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Cedar Rapids Gazette: Friday, July 12, 1974 - Page 7

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   Cedar Rapids Gazette (Newspaper) - July 12, 1974, Cedar Rapids, Iowa                                 122 is   mmmssss* jz ■  *\svwi* V    ->    SS    .**&    .-.s...,Ss. .V.V.C &L&,-■•  ..... Vs......     .  Farm Price Slump Could Threaten State Revenue   j 41     Gerald Bair, the deputy  DES MOINES (UPI) - In the first step toward a possible major state tax reform, a legislative study subcommittee Thursday began hearing testimony on the state’s tax structure and collection procedures.  The joint taxation subcommittee, chaired by Sen. Roger Shaft (R-Camanche), was created by the 1974 legislature to develop an on-going system of computerized revenue information and a revenue es  timate model for the state.  Shaft said the committee also will examine existing tax loopholes and tho state cor-  poration income tax system, and recommend revisions that could result in a more progressive income tax.  Forecast Revenues Economists from Iowa State university and the University of Iowa presented reports Thursday on studies under way which eventually will enable officials to forecast the state’s revenues for future two-year periods and design the state’s budget accordingly.  Dr. Marcin Julius, an TSU economics professor, said in 1972 farmers paid 20 percent of the total state income tax and about four percent of the total state property tax. Ile warned that a continuing slump in agricultural prices could be disastrous for the state’s financial future.  Up 70 Percent Between 1971 and 1972, Julius said, the taxes collected from self-cmploved farmers went up 70 percent and  11  ii    .    i^^XviviCw.:.  ...% *■; ■ s.. i 22' :;  ■ •••-■  farmers poured $27 million into the state treasury in a one-year period.  He said farmers primarily have created the budget surplus and if the failing livestock prices are not corrected by federal legislation some projected programs to aid Iowans could be threatened by insufficient funds.  Major Slumps “In 1972 cmd 1973 there were major jumps in the state’s revenue because of increased  ‘' J ■ -A .v •.    m    . s .-.Wv. \ •, I ti  farm incomes and there may be a major decline in that income this year if the losses of cattle are not counteracted by increased grain prices,” Julius said.  Intensive Crackdown The economics professor said it is impossible to project what the 1974 farm income will be and what impact it will have on the budget during a year in which major relief packages also went into effect.  Gerald Bair, the deputy director of the department of revenue, said an intensive crackdown on tax evaders has generated $4 million in additional funds, but added it is too early to speculate on the impact of the tax relief programs.  Over the past 16 months, Bair said, his department has prosecuted more than 20 persons for tax evasion and has reduced violations by 50 percent.  Energy Council Gathers Branch Line Information, Suggestions  By Gordon Hanson  DES MOINES (AP) - The 1974 Iowa legislature gave $3 million to the new Energy Policy council to establish a program to assist branch line railroads in the state.  “This is a little like having six pieces of candy on a picnic with 20 children,” said John Millhone, council director and chairman of its railroad task force.  “The task force is going to have to choose where the money is to go, since the  Lincoln Schools Approve Budget Totaling $886,168  STANWOOD - The Lincoln Community school board tentatively approved its 1974-75 budget of $886,168.  A public hearing on the budget has been set for July 25 at 8 p.m. after which it will be formally approved and sent to the state.  The board also approved its annual treasurer’s report. Year’s receipts were $713,512, and expenditures were $782,-036.  Sworn In  Bob Davids and Mrs. Judy, Carnes, board treasurer and secretary respectively, took: their oath of office.  The board also approved Su-  council is concerned it gets the most benefit possible from the investment in branch lines, and might be trying different types of demonstration projects in various parts of the state.”  Urgency  There is an urgency to formulating task force proposals, caused by the desire to have a demonstration project underway with some tangible results to show the next legislative session in January.  But the effort is complicated because of the little time remaining to get a project underway before winter ends the construction season, it was brought out at the initial meeting of the task force Thursday.  There are 3,700 miles of branch line railroads in Iowa. One of the first problems the task force has to cope with is determining what constitutes a branch line, as opposed to main or feeder lines, said Millhone.  Criteria  The task force must also de  termine “what information can be assembled on the branch lines quickly, and what criteria should be used in providing assistance” to the railroads, he added.  The legislature appropriated the $3 million for the period from last July I until next June 30. Millhone has held his new r  post three weeks.  Submit Suggestions  In addition to Millhone, the task force is comprised of IO other members, each with some expertise in transportation problems in Iowa. The group also sought opinions from nine “resource persons” at its first meeting.  Millhone directed members to submit to him, by next Tuesday, suggestions as to which branch lines should receive assistance, and the form of help they believe should be provided, the early deadline wag set, Millhone explained, because the council meets two days later “and will want the suggestions from the task force.”  Planning Under Way on Waste Disposal Agency  MT. VERNON - Representatives of the municipalities in  _     Linn    county    will    spend    the    next  perintendcnt Dale Proctor’s re-^ vc , ral  weeks hammering out  •    thA    I    /UTO    I    nM/J    I  quest to move the superintendent’s office out of the school building and into the mobile unit, and moving the principal’  the legal and extra-legal points of establishing a solid waste disposal commission.  At a rn e e t i n g of the Linn  office from the top to ground County Municipalities Assn. floor, making it more accessi- here Thursday night, a prelimi-ble.    nary 20-page agreement on es-  Also approved was the con- tablishment of the commission struction of a 48-foot facility in  wa s presented, the high school to store audio- The preliminary report was visual equipment.    drawn    up by attorneys repre-  Vo-Ag Instructor    senting nine municipalities, but  in a cover letter, an attorney The board agreed to hire representing Hiawatha, said Larry Masson as vo-ag instruc- there are a number of other tor to be shared with the points still to be considered by Clarence-Lowden district.    the commission.  Maureen Fletcher was hired to teach high school Spanish and eighth grade English.  The board approved an agreement with the Joint County sys  tem under which the tuition of 9 to 12 Tipton special education! students will be paid by the Joint County system.  Terms Expired  The terms of two school board members, Buell Jackson Dr. Ed Speer, are up. Nomination papers are available until Aug. I at 5 p.m. and can be obtained from the board secretary. .  These include weighted voting, contribution factors, arbitration in case of disagreements, issuance of bonds, industrial wastes and hiring of personnel.  All but three participating! municipalities have named a representative to the commis-: sion which will meet during Au-. gust to hammer out some of  and 'these details.  atives are expected to be named by September when a status report on the agreement is expected.  Linn Supervisor Chairman Jean Oxley noted the commission already has a solid asset in that the current landfill located near the county home is big enough for future use, debt free and state approved.  John Charnetski, engineer ■ with the department of environmental quality in Des Moines, commended the group on its planned working together, and recommended more soil investigation and engineering on the current site in order to prevent any possible pollution of the area.  '(the (f.feint l\npirU (OmcHc  EitobiishedTn Tm bv The Gazette Co. ana published dolly and Sunday at SOO Third ave. SE, Cedar Rapids, Iowa 52400. Second class postage poid at Cedar Rapids, Iowa.  Subscription rotes bv carrier 95 cents a week. By mail: Night Edition and Sunday 4 Issues $3.75 a month, *39 00 a year: Afternoon Editions and Sunday 7 issues *3 IS a month, $40.00 a year. Other states and U S territories $40.00 a year. No Mat! Subscriptions accepted In areas having Gazette carrier service.  The Associated Press Is entitled exclusively to the use for republication of oil the local news printed In this newspaper as well as oil AP news dispatches.  Hughes Lauds Nixon For Signing GI Bill  WASHINGTON (UPI) - Sen. Harold E. Hughes (D-Iowa), Thursday lauded the signing by President Nixon of a bill which gives veterans IO years, instead of the present eight, in which to use their GI bill benefits.  BUILD A NEW HOME ON YOUR LOT  ANY PLAN-ANY SIZE ANY STYLI-ANY DESIGN ANYWHERE  WE WILL BUILD ANY PLAN OUT OF OUR CATALOG OR ANY PUN OF YOUR OWN.  FREI ESTIMATES CHEERFULLY FURNISHED  • 30 DAY DELIVERY  • GUARANTEED PRICE  • HIGHEST QUALITY  FREE COLOR CATALOG Prica List-Owners List TY BENNETT, BUILDER R.R. ELY, IOWA ’ PH. 848-4268  U.S. HOMES  SJW 2ND AVE. DES MOINES.  FOR PEOPLE 18-35 YEARS YOUNG— HERE’S PART OF WHAT YOU GET  1 FRIE one years supply of personalized checks.  2 FREI starter subscription to “Changing Times.”  3 FRIE automatic monthly transfer from checking to saving.  4 FREI Young Iowan key chain.  5 NO service charges whatsoever,  6 SPECIAL "Young Iowan" checks.  7. PERSONAL financial counseling.  8. SPECIAL help with loans.  An exclusive of:  Brenton Bank & Trust Company  of Cedar Rapids A Avenue & 2nd St. NE (319) 364-9135  MEMBER  BANK  BR  F.D.I.C.  ' v '    *    S".-    '  ,    ..X .    ,  I  I '4  Hot Dog s Refuge  Heidi, three-month-old St. Bernard, owned by Mr. and Mrs. Daryle Bentz, Sioux City, sought refuge from 100-degree heat recently by jumping into a refrigerator when the door was opened.  JI ■ Tt  «ppw.iilj l » lim I"tnn,y W.1    I  —AP Wirephoto  Geiger Files Suit Against Iowa City  IOWA CITY - Both the director of public safety and the animal control officer for Iowa City are named in a $20,000 lawsuit launched against the city.  Michael Geiger, Iowa City, had been charged by Carol Bagels, animal control officer, with assault and battery. He was cleared of that charge in magistrate’s court.  Now Geiger claims the arrest was made without probable cause and constitutes malicious prosecution.  The assault charge was the outgrowth of an attempt by Miss Pagels to capture a stray dog and Geiger’s alleged inter-! ference.  You’re looking at some of our “High Costs of Living”  In the last ten years, the cost of a tractor with back hoe and end loader attachments has more than doubled. One-ton trucks with service bodies are 89% higher. Steel pipe* is up 27%.  Taxes and interest rates on the money we must borrow are.up. Recent critical fuel shortages have pressured additional price rises and, as the search for new  * 1W" millwrapped  energy sources goes on, prices will undoubtedly continue to rise.  As all other prices keep rising, so must the price of energy. Conservation of energy is important to us all and must continue. Besides helping to assure adequate resources to meet your future energy needs, conservation will help you stay within your household budget.   

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