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Show UNIVERSITY OF Sen--;- Vn:. : Outer Dept. DM LIItt.lR.TS .cirsity of Utah Mm DEC; WESTERN AMERICANA a ,j4 SERIALS ORDER SALT LAXE CITY, UTAH VOLUME 1, NUMBER 34 Federal Agencies Contributed To Squeeze on Sugar Actions and WASHINGTON inactions by federal agencies contributed heavily to the present supplydemand squeeze on sugar, a domestic beet sugar industry spokesman said recently. David C. Carter, Executive Vice President of the United Beet Sugar Association, a witness scheduled to appear before the Council on wage and price stability, declared that at least some of the blame for the present U.S. sugar situation rests with the now defunct Cost of Living Council, the Department of Agriculture and even Congress. Carter said that the 1971 price freeze on refined sugar also froze the price of sugarbeets, a raw agricultural product. By the time the CLC core re ted the error, sugarbeets were no longer economically competitive with other crops which were free of price controls. This resulted in two sucecssive years of decreases in acrease planted to sugar beets, he declared..- -. Carter said that in the summer of 1973, a second price freeze, followed by Phase IV, again discriminated against the beet sugar industry and lowered farmer ineven further. "Because of the higher returns farmers projected they could realize for other crops, sugarbeets could not compete with many of them for acreage, he said. Carter pointed out that as late as March 5, 1974, beet sugar grower and processor representatives had pleaded with the Cost of Living Council to completely decontrol sugar in order that farmer returns for sugarbeets could be competitive with prices for other crops. Quoting from a petition to the $362,780 "Such increased production in this countrx .and .a lessening , of dependence on foreign sources is the only way to bring down consumer prices," he stated. Supreme Court Decisions See details page 14 (4-un- . Persian Gulf of Coal h of coal, with more than the world's reserves locked up in its crust, and coal accordingly is counted on to play a major role in solving the nation's energy problems. In fact, the industry already has profited considerably from the crisis created by the Arab oil embargo and the subsequent quadrupling of oil import prices, and some large producers are now profits ten times larger than a year ago. The industry is faced with many problems, however, with the current strike symptomatic of just one of them. Coal production has trended downward for several decades, due largely to the compeand tition from the lower-cocleaner-burnin- g fossil fuels natural gas and oil but more recently due to the unions' understandable emphasis on mine safety and the environmentalists' understandable interest in curbing the ex--, cesses of strip mining. Moreover, ita future growth could also be restricted by the stricter enforcement of air pollution regulations over time. U.S. coal reserves have been conservatively estimated at about 3.2 trillion tons. (About 1.6 trillion tons of that total have been identified by mapping and exploration.) These reserves, measured in terms of BTU heat content, amount to of the naabout tion's total known reserves of fossil fuels. one-fift- ng st ... rs TREND REVERSAL Still, abundance has not necessarily led to increased consumption. Coal's share of total U.S. energy consumption has dropped from 48 to 18 percent over the past quarter-centuras natural gas and have supplanted it in petroleum the industrial, household and transportation markets This year has witnessed a sharp upsurge in demand, however, The utilties the outlet for about of the industry's output have increased their purchases of steam coal for electricity generation, because of the scarcity and stratospheric price of oil. In addition, steel producers have been heavy purchasers of metallurgical (coking) coal to help meet booming worldwide demand for steel. Substantial exports of coal plus strike-hedg- e inventory accumulation, have then added a cap to the y, Wallace Associates Announces Atherton Village Offering Wallace Associates, Inc., 518 Walker Bank Building, has filed a new limited partnership offering, Atherton Village, with the Utah State Securities Commission, Company President Angus T. Shearer, Jr., has announced. There will be 340 units of limited partnership interest at $1,067 it minimum purper unit three years. over chase) payable The offering is made only by the offering circular to qualified Utah residents, who may obtain a copy of the offering circular from Wallace Associates. The Atherton Village Limited Partnership is being formed to purchase 17.4 acres of property at approximately 4700 South and 14th West in Salt Lake County, Utah. Wallace Associates feels the property is suitable for eventual dehousvelopment of a multi-famil- y ing complex and office plaza. MONDAY, DECEMBER 2, 1974 The U.S. is the Persian Gulf of three-quarte- Project SALT LAKE CITY, UTAH U. S. Is Cost of Living Council, Carter said that such price decontrol action on the sugar industry would have prompted about 150,000 more acres of sugarbeets for 1974. When decontrol action was not forthcoming, Carter said, the growers response was a reduction in 1974 sugarbeet acreage to its lowest level in seven years. The beet sugar industry spokesman indicated that low profits commencing in 1964 had kept the U.S. and the world's sugar industry from, expanding to keep pace with consumption. So marginal was the domestic beet sugar industry, he said, that 33 processing facilities closed in the last quarter century 13 of which have shut down since 1962. But, Carter declared, increased beet sugar production is in the offing for 1975 as the result of better returns to beet farmers for their 1974 crop. . centive to grow sugarbeets DEPT. Wallace Associates is a professional real estate investment firm which specializes in the investment in and management of both undeveloped and fully developed real estate properties. In addition to Atherton Village and the firm's other current offering, Willow Creek Meadows (announced in September), the company has formed eight other limited partnerships. These include four apartment houses, two gas stations, several large parcels of land in Salt Lake Valley, and a modern television production studio in Nampa, Idaho. Principals of Wallace Associates, Inc., include M. Walker Wallace,' Chairman and Director and Angus T. Shearer, Jr., President and Director, and Alan P. Holbrook, John II. May, W. Sands Brooke, Gary D. Pape', Margaret M. Fitzpatrick, Marvin A. Blosch, and John M. Wallace, Jr. two-thir- ds boom. The inevitable result has been a in prices. Over the sharp run-u- p past year, spot market prices have jumped sharply. The overall price increase has been considerably smaller because most coal is sold under long-tercontract, but the shows impact up in the new contracts recently negotiated. Thus, the October wholesale price index for coal was 76 percent above a year ago. WAGES AND .PRODUCTIVITY Against this background of strong worldwide demand and soaring prices, it could be expected that a fairly generous wage settlement m would result from this fall's labor contract negotiations. The contract now awaiting union locals' ratification would boost hourly compensation about 45 percent above the present average over a three-yea- r period, in line with this year's pattern-settin- g steel But crucial the issues settlement, crucial both to relations and to productivity trends involve certain work practices and (especially) safety practices, such as the right of a miner larbor-manage-me- nt to leave his workstation if he considers himself to be inimminent danger. The productivity record of the U.S. industry is unrivalled anywhere, but efficiency in underground mines has fallen in recent years by 29 percent in the 1969-7- 3 period alone, or from 15.6 to per day. The productivdecline reflected such factors ity as wildcat strikes and a heavy in- flux of inexperienced miners, but the main factor was the Federal Coal Mine Health and Safety Act of 1969. This legislation has brought about a spectacular improvement in mine safety, reducing annual fatalities to less than half of the 1970 level. (Still, 829 miners have been killed in this highly dangerous industry just since 11.2 tons 1970.) STRIPPING THE WEST The industry's preferred method for expanding productivity and output in strip mining, which now acocunts for one-haof total outd put, comjiared with loss than in I960. Strip mining requires less manpower and capital than underground mining, and is also safer and more productive but it can be environmentally disastrous. Consequently, Congress lf one-thir- has been preparing stringent controls on strip mining during the current session. The states of Montana, Wyoming and North Dakota contain enormous reserves, about 40 percent of the total reserves accessible to techniques. Until strip-min- e cent years, the West's re- subbitumin-ou- s deposits occasioned little interest, because they have a lower BTU content than Eastern coal and are expensively far from Eastern markets. However, these reserves also have a very low sulphus content, and consequently are now meeting the demand of Midwestern utilities for the type of fuel callable of fulfilling the require-merftafnew,.clean-ai- r legislation. The Clean Air Act of 1970 prohibits electric utilities from burncoal after June ing d 30, 1975, thus making almost of total production unusable for that purpose. The Environmental Protection Agency has of high-sulph- one-thir- granted Eastern utilities temporary variances to switch from oil to coal in the wake of the Arab oil embargo, but it has shown no 5 intention of suspending the mid-197- of Gov't. Employees Emphasized FLS A Coverage Covered .employees of federal state and local government agencies must be paid at $2.00 an hour effective January 1 under the 1974 amendments to the Fair Labor Standards Act (FLS A), say C. Lamar Johnson, associate assistant Johnson also emphasized that between now and then these government employees should be receiving not less than $1.90 an hour. He also stresesd that most of d the governmental entitled to also are employees overtime at the rate of at least time and a half after 40 hours in a workweek. Exempt from the new minimum wage and overtime provisions are elected government officials and their personal staffs government posiemployees in policy-makin- g tions and immediate advisors to office holders and administrative, executive or professional employees. Johnson notes that the 1974 amendments also extended coverage of the Age Discrimination in Employment Act (ADEA) to federal, state and local government employees between the ages of 40 and 65. The ADEA prohibits discrimination on the basis of age in matters of hiring, job retention, tion, compensation, and other conditions or privileges of ban on high-sulph- ur coal. From all these portents, it would seem that exploiting the Persian Gulf of coal will be a very expensive proposition. In the immed-iat- e period, prices could weaken, reflecting both actually the end of hedge-buyinand some weakening of demand. post-strik- e g IN THIS ISSUE . newly-covere- Legals Probate Confirmation of Sale New Partnerships Business Telephones Bountiful Power Building Permits Business Licenses Tax Liens aviui tgagca New Corporations Liens Trust Deeds Quit Claim Deeds Warranty Deeds Uniform Commercial 2 3 3 3 3 3 3 4 4 t 4 6 7 7 7 Code Filings 8 8 Bankruptcy Sales Supreme Court Decisions ....14 Third District Court 15 Supreme Court Calendar ....16 Births 16 18 Bankruptcies 18 Suits Divorces 19 Murray Power Murray City Court Water Service 20 20 20 m |