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Show Page April 1975 Utah Farm Bureau News 2 head calls federal tax folly AFBF William J. Kuhfuss, president of the American Farm Bureau Federation, said that the tax bill signed by President Ford represents fiscal irresponsibility on the part of both the Administration and Congress. p Its been a good year, UFBF president Elmo Hamilton told attendees at recent insurance company meetings. Listing are UFBF vice president Jerold Johnson (left) and Gene Carroll (leaning forward) and Booth Wallentine of staff. Favorable reports highlight insurance company meetings Executive vice president Eugene Carroll of the Utah Farm Bureau insurance companies summarized the tone of the March 19 annual meetings when he said, during one of his reports: In light of everything that went on last year, nationally and in our state, 1 feel happy to present this good a report. In the face of inflation, recession, in spite of mounting auto claims lower speed limits and tightness of fuel and other cost increases, both Country Mutual and Utah Farm Bureau Insurance Company posted respectable gains in surplus and capital assets. Carroll reported that the trend for fire losses to increase in bad times held true for 1973. Even so, assistant treasurer Vern Sisam was able to report an increase of nearly S 1,34 1,000 in the surplus for UFBIC, the Farm Bureau casualty company. USE CAUTION IN BUYING ON PHONE Beware of buying herbicides and other farm products over the phone from unknown suppliers, T om Bingham of the UFBF satff cautions Utah farmers and ranchers. One herbicide being pushed in telephone sales in the state recently turned out to be 87 percent petroleum solvent, at the high price of $17 per gallon, he said. In these times of farm supply shortages, it's best to stick with known dealers to avoid unwise purchases. Bingham is in charge of natural resources work for UFBF and will be issuing information about pesticide application as soon as federal and state regulations for the new licensing program are finalized. s . . I AT Country Mutual Life had a gain of more than $90,000 in surplus and met the goal of having net investment income exceed general expenses. One major transaction reported at the meetings was the sale of the new Farm Bureau building to UFBIC by the life insurance company because of the higher surplus level of the buying company. Mr. Eldred Waldron, a director of both companies for 22 years, gave a brief address as he retired from the board. He will be retained as an advisor to the group, however. We are in the midst of a challenging and uncertain period. Waldron said, testing the capacity of our farm related institutions to facilitate change. As we have already seen during the past year, all of the demands on our farm related economic systems cannot be satisfied. There are limits to this countrys capacity for growth. The danger is that these limits will not be recognized and that excessive government stimulation will create additional inflationary pressures and unfavorable farm programs. I am confident in our ability to meet the challenges ahead, and confident that our free enterprise system will provide the opportunities for restoration of the vital prosperity that Americans have enjoyed in the past. UFBF president Elmo Hamilton opened both the CML meeting at 10:00 a.m. and the UFBIC session at 2:00 p.m. with optimistic reports. The new Farm Bureau Center will tie all the companies closer together, he predicted. He praised the insurance agents for their work and cooperation. Other reports touched on sales and training plans and recent improvements in the operation of the companies. .rv, r-- t . million Speaking as head of the 2.4 member family farm organization, Kuhfuss said, The signing of the and dangerously inflationary tax bill, which will boost the federal deficit to at least $60 billion, obviously was politically motivated. The Administration must now share with Congress the blame for a policy of fiscal irresponsibility. The Presidents action on the tax bill will make it more difficult to halt new spending schemes now being considered by Congress which could cost taxpayers many billions of dollars. The $22.8 billion cut in government revenues in the face of ballooning budget deficits is the height of spendthrift folly and can only add to the destructive forces of inflation. The reductions in individual tax liabilities are insignificant in relation to the higher costs that could result from further inflation. The tax credit for the purchase of new homes means a handout to a relatively few people at the expense of taxpayers in general and other home owners in particular. The special payments to Social Security recipients establishes a most undesirable precedent for dipping into general revenues to finance the expansion of Social Security programs. The result could be to remove all brakes on the future expansion of these problems. The effort to eliminate depletion allowances for oil and gas production, with minor exceptions, in an emergency tax bill is highly irresponsible. If our energy problem is to be solved, it must be approached on a comprehensive basis with due regard for the effect of various proposals on our ability to become more independent of the OPEC cartel. Farm Bureau has made specific recommendations to Congress for reducing expenditures to match income. How big is a billion? One billion seconds ago the Japanese bombed Pearl Harbor. One billion minutes ago was forty years after the death of Christ. One billion hours ago man had not set foot on the face of the earth. One billion dollars ago was yesterday. The budget of the United States for fiscal year 1976 recently sent to Congress by President Ford calls for spending of $349.4 billion during the twelve months SI billion per day, seven days a week. But the rly beginning July 1, budget provides that the federal government will only collect enough money from taxpayers to spend at that rate for six days. So instead of resting on the seventh day, well borrow $1 billion. And those figures are only budget figures. The Congress has already indicated that it is going to cut taxes more than President Ford proposed, and it is likely that spending will run higher than budget estimates. Because Uncle Sam has been running his business like this all too often over the past thirty years, the total federal debt outstanding will pass $600 billion in 1976. To pay the interest on that debt, it will take nearly $100 million each day next year 10 percent of total spending. The next $450 million to be spent each day will cover welfare, social security, health care, and veterans benefits, and another $300 million will go each day for defense, foreign aid, and space programs. The remaining $150 million to be spent daily will be stretched to cover all agricultural, transportation, housing, educational, law enforcement, and sewer and water programs, including revenue sharing. If youre an average American, you probably think youre paying too much tax. If youre an average American taxpayer, just what do you think your contribution will do in 1976? Your total taxes will pay the interest on the debt for about three seconds. Big government makes for little people. Reprinted from Northeast Agriculture 1975-nea- Cy TUtah M?02P,e8e end Fon" 3579 U,"h Farm 8ureau- - 629 fourth South, Salt Lake E Published each month by the Utah Farm Bureau Federation at Salt Lake City. Utah. Editorial and Business Office, 629 East Fourth South, Salt Lake City, Utah 84102. SubscripUon price of fifty cents per year to members is Included In membership fee. subscription price: One dollar per year. Non-memb- er Second Class postage paid at Salt Lake City, Utah UTAH FARM BUREAU FEDERATION OFFICIALS Elmo W. Hamilton, Riverton Jerold N. Johnson C. Booth Wallentine Elwood Shaffer ... Eldred Waldron (left) reminisces about his 22 years on the insurance company boards with Elmo Hamilton (center) and Gene Carroll, insurance executive vice president. . EreKen! en ce Ere Executive Vice President DIRECTORS: Frank Nishlguchl, Garland; William Holmes, Ogden; Editor Jack Brown Grants- - s.Prin9vHI; John Lewis, Monticello; Stuart Johnson neth R. Ashby, Delta; Mrs. Paul Turner, Morgan; Robert Johnson, Aurora- - Ken- Randolph. |