Show i Washington Scene Utah Could I Gain By 1 16 6 Million The Treasury predicts that Utah could gainas gain gait gainas as ns much as 16 million dollar dollars s a year ear in ni additional state slate am and d local tax revenues if Congress s enacts tax cuts proposed b by President Kenne d y y S Sen e n Frank E. E Moss loss Utah D-Utah disclosed disclosed dis closed Wednesday TilE THE TREASURY Department Department Depart ment study was made at al the request of the Uw Senate Joint Economic Committee It was based on projections by the Economic Committee staff of the increased national income which a tax cut would late Sen Moss 1 said The fie estimate estimate esti esti- mate of 16 million dollars in additional Utah tax revenues is based on the presumption that a tax cut of ten billion would produce a 30 billion increase increase increase in in- crease in personal income forlie for forthe forthe the lie nationAlly nation AN Ally important factor in Utah is that we are arc one of 16 stales Mates which permit the deduction deduction deduction deduc deduc- tion of federal taxes in computing computing computing com com- the state stale tax We will therefore gain additional state income tax revenue directly if our citizens' citizens federal income tax is reduced One valuable effect of a federal tax lax cut would be as asan asan asan an offset to the steadily rising cost of state stale government Since 1947 1917 while the federal debt has risen by 17 per cent state and local governments increased their theil debt b by per cent Many l states stales including including including ing Utah found it il necessary to lo raise taxes this Otis year yeal IT WAS RAS projected that thai a 10 billion reduction in taxes when fully in effect would add 29 billion to the revenues re of state and local govern govern- ments Of this increase 15 15 I billion would accrue to the states and 14 to local govern govern- ments For Utah it was estimated that state tax revenues would increase by 8 percent or an amount of 9 million Local tax lax revenues in Utah Ulan would also increase by 8 per pel cent which would be a dollar amount of 9 million Local tax revenues in Utah would I also increase by 8 per per percent cent cent which would be a dollar amount of 7 million IN N THE TilE category of individual ual income tax revenues le Utah would enjoy enjo an increase of 12 per cent or an amount of 2 million dollars By force account the con industry refers to th the e practice of government agencies agen cies dies hiring permanent cm em- employees and doing their own construction work without putt putting putting put put- t ting the business out to be bId bic b by the construction industry Sen Bennett saidI said I IIA HAVE VE been informed b by bythe y the Utah Chapter of Associated ed cd General Contractors of America that several se cases case's of ol this have c occurred in Utah Sen Bennett explained The Utah lawmaker pointed out that thai at the Ouray Indian Reservation in eastern Utah the Bureau of Indian Affairs built a three span bridge 90 feet long This year the lire bureau bureau bur bur- eau plans to build another 90 foot Coot three span bridge SEN Bennett cited several se other projects either cither constructed constructed constructed con con- by the bureau or 01 which arc are in the Ute planning stage These include a n foot 25 bridge over o a canal on the Uie upper tipper White Rock River and some construction work on a abridge abridge bridge budge crossing the Green Riv Riy er cr In addition I understand that the Bureau of Indian Affairs Af- Af fairs airs through its office in Gallup Gallup Galup Gal- Gal lup up N. N M. M has purchased several several several sev sev- eral hundred thousands of dol dol- lars Jars ars in equipment and is performing per- per forming almost all of the road and other construction work on the Navajo Na Indian Reservation Reset Reser he said SEN Bennett said the construction construction con- con work can cnn be done at al considerably lower prices by private firms I strongly believe e that it is inappropriate for fOl the federal government to lo get into the construction business a and n d thereby hereby compete with private l' l enterprise rise which the upon gov gov- is dependent for fOl its ils tax lax ax revenues re Sen Bennett wrote rote the commissioner of the thc bureau Philleo Nash line including a supply to communities in central and southern Utah THIS PIPELINE is a key to tire economic prosperity of central and southern Utah Sen Bennett saidA said A A new source of cheap industrial industrial industrial in in- fuel Cuel is vital to the future future fu- fu ture lure of central and southern Utah and would encourage development de dc- of natural resources es and permit the location of new industries in this area Sen Bennett said WHAT IS rather baffling is the fact that thai the commission actually approved the pipeline at one time and later called for more hearings Now we learn that hat it has denied the application Sen Benn Bean e t t said The Utahn pointed put gut that there has not been a formal ruling mn made e on the case yet so the the official appeal cannot be presented to the commis commis commis- sion A 30 day 30 day period for appeals appeals ap- ap ap peals will be set aside after the official notification that thai the application has hns been denied de de- nied THE TILE DENIAL was issued in inthe inthe the form of a press release which gave ga no explanation In addition to giving the area a gas bas supply Sen Bennett Dennett Ben Ben- nett said an alternate benefit would have been the fact that thai steel pipe for the thc line would have lave been purchased at the US U.S. Steel plant at Geneva Utah which would have prod provided pro pro- vided a big boost boot to lion ion SEN BENNETT pointed out that hat in Utah alone some 50 m million would have ha been spent pent on the construction of the he pipe pipe Not only that but several se communities along the route would have ha had the opportunity ty y to tap into the line giving them hem gas service he saidI saidI said I I C CERTAINLY hope the commission grants Utah a rehearing rehearing re- re hearing on this imports n t case Sen Bennett said Its Ils surprising to me that the denial denial denial de de- de- de nial was issued especially since ince almost er e everyone one in the west vest was for the project In addition all of the state stale utilities utilities ties ics commissions affected by construction of the lines were favorable to lo the Ule project |