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Cedar Rapids Gazette (Newspaper) - February 3, 1974, Cedar Rapids, Iowa Slate Iowa News Features Marion Entertainment Farm TV Building Food Section B SUNDAY, JANUARY T, 1974 emones 1907 Iowa By John R. Adney MAQUOKETA If Jackson county's oil "boom" had not fizzled out in 1907, it might have helped in alleviating to- day's fuel crisis and given the stale's economy a boost. The county's chief product could have been oil rather than corn, catlle and hogs. The county's oil discovery was announced in 190C in the Sept. 13 edition of the. Jackson County Sentinel. "What may prove to be a valuable find oozes from Mother Earth five miles from the headline dc- clared. For some time oil had been seen in an old sink hole on the Sam Earles farm to Maquoke- ta township. The exact details leading to the discovery of oil in the sink hole have been lost, to history. A sort of legend claims Earle found .what ap- peared to be oil, covering the hooves of his cattle and traced its source to water in the sink- hole where the' cattle had been drinking, Options Taken Earle's curiosity led him to send oil to a petroleum'-geologist for analy- v.'.'-sis. News of the find spread. Oilmen put up money, secured leases and began drilling. Options were taken on sur- rounding farms as more oil- m'en arrived. Oil fever inlen- sified when samples of the oil -t.were said to be of excellent quality. By Oct. 3, 190G, George H. Johnson of the Texas Oil Drill- ing Co. had leases on acres and said he was pre- pared to spend a large sum in those days to develop additional wells. Prospects centered on the Earles farm and an adjoining farm owned by Peter Broder- sen. So optimistic were farm- ers that they would strike .it rich, that Earles refused a offer for his land several times its value at the time. Newspaper accounts of op- tions taken, machinery arriv- ing and the progress of drill- ing fanned the oil fever. The lease rate per acre climbed from 25 to 50 cents. The Jack- son County Oil Co. was formed to secure leases re- fused to outsiders. No Oil Drilling began in April, and an experienced driller said the strike should be made at 600 to 880 feet. By May, drillers were down to 900 feet, and still no oil. Indeed, oil ceased to show in the old sink hole on Earle's farm. Oilmen attributed that to "a change of the moon" and waning optimism for a strike was renewed. Pessimism flared anew in mid-May, when drillers en- countered difficulty in keeping water out of the well. And late in May the drill struck hard rock, requiring a change to a special drill. By late July, the hole was down feet and it was filled with walcr up to 82 feet from the ground's surface: Oilmen decided drilling deeper would be loo expen- sive. They pulled Hie well's casing and dismantled the oil derrick. Jackson county, it was de- cried, was not destined to be another Texas or Oklahoma. And to this day no major oil finds have been made in Iowa. On the Inside Tipton Notes Change .Page 3B. Contributors to Campaigns .Pago 6B, DR. SAM TUTHILL, Iowa state geologist and a key energy adviser to Gov. Robert Ray, says the energy shortage in Great Britain is some- thing quite different than the one in the U. S., be- cause the one over there "derives from labor trou- ble in Wales." Tuthill is of Welsh descent and feels strongly that the British government should meet the coal miners' demands for a wage hike to a week for top miners. Hot Issue Of '57 Is By Art Hough IOWA CITY Sam Tuthill gets his Welsh dander up whenever anyone brings-up the British energy crisis and the trouble they have been having ovei there with the coal miners. About 80 percent of Great Bntam's energy comes from coal and foi the last 12 weeks miners, many of them in Wales, have refused to work, overtime and weekends. They, are demanding a pay raise and mean- while have cut their work weeks to three days with a probability it will go down to two. Dr. Tuthill, who is chief energy adviser to Iowa's Gov. Robert Ray, as well as being state geologist, director of the Iowa geological survey and adjunct professor of geology at the University of Iowa, has his hands full try- ing to deal with the Midwest energy crisis. Incidentally, he is also chairman of the Midwest governors task force on energy, which all adds up to quite a drain on his own energy, "ttloil) Hill StlH'Ii" .But, in an interview in his office last week, he was quick to admit he is prone to "blow my stack" when the British crisis is men- 1 tioned. "I think. Prime Minister Heath and Lord Carrington (the home secretary) are very ob- stinate he declared. "They arc ex- periencing an energy shortage much different from ours, because, it derives from labor trou- ble in Wales. "All this over a wage price rise from to a week for top miners." He noted that the Conservative government of England is talking about "communist inspi- but shot back that "if it takes a com- munist to recognize that a week for a man who goes to the danger and hard work coal mining is and the physical hazard it is well, so be it, I guess." He' points to the obstinacy of Heath and Carrington in "taking great pride in saying Adviser 'we will not bend in this and bring the whole English economy under a raise. "If you have ever read 'How Green Was My Valley' you have some appreciation of what the life of a Welsh miner and his family is, I think probably have more empathy with the women who have to watch their men go into the pits after day after 'day and .wonder whether they will come out." Welsh Iftisiiunt Although he'is not a native of Wales, Tuthill is of Welsh descent, has taken an active inter- est in their plight.and has been over there to see conditions firsthand. "There is an interesting fact that at the time of the investiture of the so-called prince of Wales, in order to observe the investiture, they built more public latrines than had previously existed in Wales. Which might give you some idea how wide the welfare state that has been created in England extends 'to other parts of Great Britain." Dr. Tuthill said he doubts very much that Heath and Carrington "will go down as heroes in British history for having brought the economy of the entire British Isles to its knees over what I think has to be a legiti- mate pay raise to miners. "It seems to be the silliest false pride that I've ever seen." As an energy adviser, TuthilL and William Simon, director of the federal energy office, often appear to be at swords' points in (heir differences over FEO policies. Not so, says Tuthill.' "I am not actually at swords' points with Simon.. I occupy an entirely different philoso- phy than Mr. Simon does. "I respect his frankness, candor and his openness with the press because, Lord this administration has needed it. Hood for America? "But, I just do not believe that what's good for Standard Oil is good for America. "I'm convinced in my own mind that that's a simplistic way of expressing Mr. Simon's approach to the fuel crisis. "Also, I'm opposed to the President's in- dication that we should promote maximum production of liquid 'hydrocarbons and natural gas. "L see that only as a technique to postpone facing the issue that .lias been brought home "to us, especially here in Iowa.. "We've had two winters of significant short- ages of hydrocarbon fuels. If we just produce more and run out day of reckoning is merely postponed. "The disjunction will come when we have to face conservation and the wise use of these resources. It's going to be much greater because we're'going to be that mucli farther into the use of our reserves. up our oil as fast as we can, stimulating our production and its use is 180 degrees from the direction this country should be going. Not, I'onxibli! "I don't think that self-sufficiency, as the President has said, by 1980, is in any way pos- sible. "But we can reduce consumption and still grow as a society in numbers and needs. "I'm not certain that self-sufficiency is all that useful. "I think that we should be independent enough so that no foreign nation can destroy our economy, but, I think it's ridiculous not to buy from the world market hydrocarbons and save in the ground what we have there, try to equalize these natural differences in re- sources." Dr. Tuthill said that whatever (lie cause, there is a shortage "and 1 think we have to fight the idea that price should be allowed to rise without relationship to cost." Tuthill believes some good things will conic out of the energy crisis, possibly more use of horse sense in the use of our materials. "If there were no other reasons, if there was not shortage, it still is stupid to buy and use more fuel than serves you. "I think here in the Midwest the energy -ethic is creditable to people. We have seen this without any laws being passed yet, with the exception of Daylight Saving time. "In Iowa, you take the energy that can be saved by driving 55 instead of 65, and we're talking about heating average Iowa homes for the entire heating season with what could be conserved by that speed reduction in one month." Speaking of "our kind of throw-awsy. planned obsolescence approach to econom- he said, this "stimulates the use of the readily accessible mineral resources at a much higher rate than we can afford to. Serious "In four or five 5'ears I think we're going to see serious shortages of base metals, steel, iron, copper, all of the metals. "I think it (fuel crisis) was just the first lit- tle leaf that fell off the tree. "That's not really disastrous. Let's start recycling. We don't have to tear away our whole way of living and way of operating, in- side out, but, let's st'.irt recycling make it economically feasible instead of landfill or in- cineration. "Let's start the other half of that whole in- dustrial complex of putting material back into usefulness. "I just hope the people of this country don't have to do everything on a crash crisis basis." Dr. Tuthill thinks that the need for energy conservation is a permanent thing "regard- less of whether Mr. Simon's policies of getting price so high that it regulates demand grow or not. "I think you're going to be looking at, from the economics point of view, only that which you need to use." Tuthill said that because of lowans' cultural heritage of thriftiness, "voluntary programs have a greater effect than law." BRITISH minors piacod votes in ballot boxes at a colliery last woolc. Leadership of Britain's miners was polling them on whether they am ready to strike in support of wage demands. MERTHYR VALE COLLIERY, in the foreground, dominates the view of Aberfan, the Rhonndf Valley. Iowa's top energy consultant, Dr. Sam Tuthill, is a supporter, of the Welsh miners who are seeking a wage increase and are being blamed for -an energy crisis there. Reports indicated the miners were voting in favor of a strike. By Frank Nye DBS MOINES When State Sen. Norman Rodgers (D- observed last week that there's a move afoot among some Republicans in the Iowa house to cut. the 3 percent sales tax to percent, a shudder ran through the state- house. It was understandable since there are more Republicans than Democrats in elected of- fices now. And many older Republican office-holders with more expe- rience in politics than some Republican house members, haven't forgot what happened to the party the first and only time the state had a 2% per- cent sales tax. That was in 1955-57, after the 1955 Republican legisla- ture voted to raise the sales tax from 2 to percent for two years only.. Hersehel Loveless, a Demo- crat from Ottumwa where he had been mayor, got elected in 1956 on a pledge to do away with that extra half-cent, of tax on the dollar and he was re-elected in 1958 when he made good on the promis'e. Shuns Repeat So it is no wonder Gov. Rob- ert Ray, a dis- counted Rodgers' statement. Ray was an active GOP orga- nization worker back there in the Fifties when all this took place and he doesn't want a repeat. Anyway, the governor said, reducing the 3 percent tax to 2V4 percent "wouldn't get to the heart of the problem that, of reducing the tax load on essential item's like food" to help low income families. Rodgers, a grocer, tried to make an across-the-board cut in the tax to 2te percent when the senate passed the bill re- pealing the 3 percent tax on food, prescription drugs and prosthetic devices, last week. But his amendment failed when Lt. Gov. Arthur Neu ruled it not germane out of order. Food Dealers However, the percent tax rate has the support of the Iowa Retail Food Dealers Assn., Inc., over exempting food, drugs and prosthetic de- vices from the 3 percent tax. They bombarded legislators with letters in support of their position last week and pointed out that the state would lose about the same revenue by cutting the tax a half-percent across the board as it would by removing the 3 percent tax from food, drugs and pros- thetic devices. The association said cutting the tax to percent would cost the state about mil- lion a year in revenue. Estimates by state officials are that removing the tax from food, drugs and prosthetic de- vices will cost the state from to milioira year. It is obvious why food dealers prefer an across-the- board cut: It would be easier for them to collect the tax than if they have to adjust cash registers and train cash- iers to differentiate between taxable and non-taxable items they offer for sale. History of Half-Cent History of the 2V4 percent sales tax is interesting. It was enacted by a Republican leg- islature under a Republican governor, Leo Hoegh, in 1955 for a two-year period only. The legislature had toyed with the idea of setting n ceiling and a floor on sulos lax revenue, with the extra half-cent to apply automati- cally when revenue hit the floor and to expire nulomnti- (Continued on Page Col 1)
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