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Show WESTERN AMERICANA Serials Order Department University of Utah Salt Lake City, Utah 84112 Uf"snY ORDER VOL.1 NO. 2 SALT LAKE CITY. UTAH Farmers Optimistic The nation's fanners are relatively optimistic as they enter the spring planting period because of soaring farm prices and the prospects of another bumper-cro- p year. Farm commodity prices should remain high, at least during the first half of the year, conbecause of continued world-wid- e ditions of strong demand and tight supply. These price pressures may weaken later, however, as record grain crops enter the world's markets. With production expenses also soaring, net farm income could decline significantly from the 1973 high. The expected crop production boom could be dampened for a number of reasons, including energy shortages, tight fertilizer supplies and transportation problems. But given continued " good weather, the U.S. of farmers intentions planting should yield a sharp expansion in food supplies. The livestock situation is less clear-cut"fence-to-fence- ,. in large part because of the many market distortions that developed in 1973. As a result, output has lagged considerably despite very favorable price developments of the past year. But some of the industry's problems may disappear later in the year, as feed grains and protein-mea- l supplies become more plentiful. - Reaching A Plateau Altogether, the agricultural econ- omy may be reaching a plateau, after one of the strongest expansion periods in this century. With high prices and record production, farm cash receipts should continue to rise 9 percent to perhaps $91 billion, although the increase would be far smaller than last year's spectacular nt increase. On the other hand, net farm income may slip by about 15 percent, to roughly $22 billion, because farmers face both breathtaking increases, in production expenses and a dramatic decline in government payments. Falling Export Demand? Looking ahead, many observers wonder whether the forces that pushed farm prices and incomes upward so fast may turn out to be only temporary. Given the enormous productive capacity of the U.S. farm economy, a return to more normal market conditions throughout the world could lead to a reduction in export demand and thereby to downward adjustments in farm prices and income. The world supply situation still re' mains somewhat tight, and this, plus strong demand forces, could keep U.S. farm exports high for some months to come. However, foreign sales of U.S. farm products are mostly on a cash basis now, and much less dependent than before on concessional sales and gifts; consequently, they are more vulnerable to supply changes in the world market, and less insulated from price fluctuations, than they used to MONDAY, APRIL 15, 1974 Utah Foundation Reports: year, plantings were delayed and substantial acreage was lost because of severe storms and floods. The livestock outlook continues to be influenced by previous market disruptions as well as some new uncertainties. In fact, meat prices have been under severe downward pressure recently because of heavier marketings and reduced consumer demand. Even so, the prospect for supplies is not very bright, as renewed cost pressures have worked to prevent any significant increase in feeding operations. red-me- Business Activity in Utah Has Surged Since 1970 Even after adjustments for inflation, the average rise in the volume of Utah business activity during the past three years has been several times as great as that experienced decade. during the This is the conclusion reached by Utah Foundation, the private research organization in their latest analysis of business activity in Utah. The study shows that total sales volume in Utah, as measured by state at 1960-197- 0 New Uncertainties In addition to their usual concern with the weather, farmers this year must face a new element of uncerthe scarcity and expensive-nes- s tainty of key production inputs. This factor, together with prospective price declines in some areas, increases the likelihood of a severe cost squeeze and a consequent reduction in net income. Petroleum apparently is only a minor problem now. Farmers are not major users of petroleum products, accounting for only 3 percent of total gasoline and diesel sales. Fertilizer shortages, in contrast, constitute a real problem perhaps the most serious threat to the hopes for abundant crops this year. Farmers will need more fertilizer because of a sharp increase in planted acreage and utilization of increasing amounts of marginal cropland. According to Agriculture Department estimates, availability of nitrogen may increase 8 percent, but' there could be an overall fertilizer shortfall of 2 to 5 percent for the year, which could necessitate substitutions among crops and lead to reductions in crop yields. Fertilizer supplies, where available, meanwhile, cost about 75 percent more than a year ago. For the first time in a generation, the nation's farmers are producing at full capacity. But faced with shortages and high prices of crucial production inputs, they will find it difficult to obtain the maximum output from their e plantings. fence-to-fenc- sales . tax collections, equaled $3,774,221,000 last year, an increase of 14.7 over 1972. When adjustments are made for the rise in consumer prices last year, the net gain for 1973 This compares with adjusted was net gains of 12.6 in 1972 and 10.2 8. In This Issue Legal Notices Murray City Court 2 Probate Court New Partnerships Suits Tax Liens Third District Court Supreme Court Decisions Liens Real Estate Transactions New Corporations Mortgages Divorces Marriage Licenses Births Bankruptcy Sale Building Permits Attorney General Opinion Bountiful Power Uniform Commercial Code Filings Business Licenses . . . . 3 3 3 3 5 5 6 10 10 12 12 13 14 15 15 ...16 16 16 17 20 Taxpayers Ask IRS umn answers questions most frequently asked by taxpayers. A. No. Each tax year stands on its own. You may deduct 1973 finance charges on your 1973 return. If you still want to deduct the 1972 finance charges, you must file an amended return. Form 1040X, which is available from your local IRS office. Q. Is it true that if you are 65 or be. and sell your home, you may not older Maximum Effort to have pay tax on the gainf Despite the shortages and high Yes. A. If you were 65 or older beprices of crucial inputs, the nation's fore the date of the sale or exchange of farmers plan to go all out in planting residence, principal you may gen- your crops this year. On the heels of a increase in planted acreage in 1973, farmers may bring another 19 million acres back into production this year, putting more acres, into crops than at any time since 1956. Although the total of 339 million acres would be below the 1944 record of 366 million acres, it represents a maximum effort by farmers to bring virtually the entire productive cropland in the nation under cultivation. Crop prospects look particularly promising this spring because of favorable weather conditions, with a mild winter and good soil moisture See details page 6 being especially beneficial to early planting. In contrast, this time last . Supre me Court Decisions comparison, the annual increase (expressed in terms of constant dollars) averaged only 2.8 per 0 decade. year during the Total business volume in Utah rose approximately 96 between 1967 and 1960-197- 1973, according to the Foundation study. In terms of constant dollars, however, the increase amounted to 47. This compares with an adjusted rise of 16 in business volume during the preceding period erally choose to exclude from income all or part of the gain, if you owned and used the property as your principal residence for at least five years out of eight years ending on the date of the sale or exchange. You can take advantage of this provision of the tax law only once in your lifetime. If you meet these requirements, you can choose to exclude the entire, gain if the adjusted sales price of your home is $20,000 or less. If the adjusted sales price is more than $20,000, you still may be able to exclude part of the For more details, see IRS Erofit. 523, "Tax Information on Your Home." It's available Selling free from your I RS office. Q. I took a new job out of state and had to move. What moving expenses can I deduct? A. If you qualify, you can deduct as moving expenses: 1) travel expenses (including meals and lodging) from your old residence to your new one; 2) the cost of moving household goods; 3) the cost of premove househunting trips; 4) the cost of temporary quarters at the new location during any period of 30 consecutive days after obtaining work; and 5) certain expenses you incur in selling your old residence and purchasing a new one. For details on the limitations and requirements for the moving expense deduction, see IRS Publication 521, "Tax Information on Moving 23.9; Piute County Summit County Kane County (23.0), Sevier (23.7), County (22.0), and Daggett County (20.5). Utah County, with a new shopping mall in Orem, also registered a 21.1 gain in business volume last year. Salt Lake City, which is a major business center not only for the State but also for the entire intermountain region, accounted for nearly 28 of total business activity in Utah last year. About 54 of the total sales in Although business activity in Utah the state is concentrated in Salt Lake continued to rise at a rapid pace County. The Foundation study points throughout 1973, there was some eviout, however, that there has been a dence of a slackening off in the rate of shift of business away from the central growth during the last quarter of the business district to suburban areas in year. The percentage gain amounted recent years. Since 1967, total to 17.6 in the second quarter of 1973 County outside the City. but fell off to 12.2 in the fourth Orem, with the opening of its new quarter of the year. shopping center last year, reported Foundation analysts point out that the largest percentage gain (67.5) in some of the largest percentage gains business activity for major cities durin business activity last year were ing 1973. Other Utah cities with signifrecorded in the smaller counties of the icant increases last year were Park state. For example, gains of 20 or City (36.4), Murray (31.6), Roosemore were reported by Wayne County velt (30.1). Heber (24.2). and Price (29.6), Morgan County (26.4) (24.1). six-ye- ar (1967-1967- ). New Oil & Noncombustible Gas Supply Found in Test - Mountain SALT LAKE CITY Fuel Supply Company reported Monday that oil and noncombustible gas had been encountered in a drill-stetest of the top of the Nugget formation at Brady Unit well No. 14 in southwestern Wyoming. The test was made by Champlin Petroleum Company, operator of the Unit. Located about six miles north of the Brady Unit discovery well, the No. 14 well is being drilled on a separate structural high to test the Madison formation at a depth of about 15,600 feet. The current test was made in the Nugget sandstone from 11,751 to 11,762 feet. Sour noncombustible gas reached the surface in 20 minutes and gauged 3,200,000 cubic feet per day inch surface choke, through a one-haand oil reached the surface in 24 minutes. Because of the sour gas, the test tool was closed when the oil reached the surface. Some 166 barrels of gas-coil was reversed out of the drill pipe. The sample chamber in the test tool recovered 7.1 cubic feet of noncombustible gas, and 120 cubic centimeters of oil with 2.8 percent basic sediments and water. Gravity of the oil was 52 degree API at 60 degrees Fahrenheit. Bottom hole flowing pressure was 4,418 psig and bottom hole shut-i- n pressure was 5,090 psig. Samples indicated the top of the Nugget formation to be at 11,746 feet, or 269 feet lower structurally than Brady Unit well No. 9 which is the lowest Brady well compelted in the Nugget formation. It is also 157 feet lower structurally than the contact in the No. 9 well. A drilling block of 798 acres around the well was designated to allocate costs of drilling the No. 14 well. On this basis', Champlin Petroleum Company and Mountain Fuel Supply Company each are paying about 25 percent of the cost of this well, Amoco Production Company about 45 ptr-m Dean Chen This column of questions and answers on federal tax matters is provided by the local office of the U.S. Internal Revenue Service and is published as a public service to taxpayers. The col- in 1971. By lf ut oil-wat- er cent, and Exon Company about 5 percent. In drilling to the Madison formation, the No. 14 well will penetrate the Phosphoria and Weber formations which are productive in other areas of the Brady Unit. Utah Named in Pay Complaint South Davis Community Hospital has been charged with violating the minimum, overtime, and equal pay provisions of the Fair Labor Standards Act in a complaint filed in U.S. District Court, the U.S. Department of Labor announced today. In the complaint filed on behalf of Secretary of Labor Peter J. Brennan, the hospital (located at 401 S. 400 E., Bountiful, Utah) is alleged to have paid a number of its employees wages of less than $1.60 an hour and overtime wages at rates less than the rate for hours worked over time-and-a-ha- lf 40 per week. The hospital is also alleged to. have discriminated on the basis of sex by paying women employed as aides and maids less than men employed as orderlies and housemen for equal work on jobs requiring equal skill, effort and responsibility and performed under similar working conditions. Further, the hospital is charged with failing to keep adequate time and pay records, as required by the Act. The Department of Labor has requested a judgment restraining the hospital from further violations of the 'Act and restoring unpaid minimum and overtime wages due these workers. The investigation leading to this complaint was conducted by the office of Jesse Davis, acting Wage-Hou- r area director, 3207 Federal Bldg., 125 So. State St., Salt Lake City, Utah 84111(801524-5706- ). |