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Show Tax sharing laws favor wealthy parent net gain to the state would be i$S.9 million. In other oth-er words, Utah would receive approximately $1.44 back for each $1.00 paid in Federal taxes to finance the revenue allegations. These calculations are based only on the amounts that are allocated and do not include over-head and administrative admin-istrative costs which would reduce any "gain" realized by the State. The Foundation analysis points out that the House rev. enue sharing bill is scheduled for consideration in the U. S. Senate, where it is expected that the formula which stresses stress-es aid to the populous industrial indust-rial states will face hard scrutiny. In the Senate, the smaller states have an equal vote with the larger states and some changes may be made in the distribution formula. , The rich states would get richer, and the poor states would get poorer under the revtnue sharing bill passed by the U.S. IIou.se of Representatives Representa-tives and awaiting, action in the U. S. Senate. This is the conclusion reached by Utah Foundation, the private tax research organization, in their analysis of the proposed legislation. legis-lation. According to the Foundation, Founda-tion, analysis cf the bill which cleared the House on June 22, eight . cf the twelve states with the highest per capita incomes would receive per capita revenue rev-enue sharing allocations a-bove a-bove the U. S. average. Eleven of the twelve states with the lowest per capita incomes in the nation, on the other hand, would receive per capita allocations al-locations below the U. S. average av-erage if the bill is enacted into law. The average per person share going to the ten highest-income states is one-third one-third greater than the portion offered to the ten lowest-in-, come states. Although the proposed revenue reven-ue sharing formula generally favors the heavily-populated industrial states, Utah would fare relatively well under the House plan even though it is one of the poorer, sparcely-populated sparcely-populated states. The Foundation Founda-tion report notes that Utah is the only state ranking among the lower third in per capita income that would receive a per person allocation above the U. S. average. The bill would give Utah approximately approximate-ly $29.0 million in revenue, or S2G.39 per capita. For the entire en-tire United States, the average allocation would amount to $25.70 per capita. The distribution formula in the bill tends to favor states with (1) large ui'ban populations, popula-tions, (2) broadly-based state individual income taxes, (3) below average per capita incomes,, in-comes,, and (4) large tax efforts ef-forts in relation to personal income. Foundation analysts observe that these factors in the rather complicated distribution distri-bution formula do provide Utah with an advantage in the revenue-sharing allocations. alloca-tions. Utah, however, is a rare exception, since the bill generally gen-erally produces reverse equalization equal-ization with the wealthiest states entitled to the largest allocations and the poorest states receiving the smallest per person allocations. The House-passed revenue-sharing revenue-sharing bill would allocate a total of $5.3 billion in 1972 $1.8 billion to state governments govern-ments and $3.5 billion to local units (cities, counties, and townships). The amount granted to state governments would be increased each year and reach $3.1 billion by 1976. Under the plan, each state could spend the added funds In any way it chooses. Funds going to local units, however, could be spent only on specific specif-ic programs, such as police and fire protection, sewage disposal, pollution abatement, transportation (including urban ur-ban transit), and certain public pub-lic works. Cost of the proposed revenue-sharing program would be borne by all persons paying Federal taxes. The Foundation Founda-tion calculated that Utah's share of the Federal tax needed need-ed to finance this program would amount to approximately approximate-ly $20.1 million. Since the Utah entitlements would equal $29.0 million, the ap- |