Show Education Takes Biggest Tax Bite Approximately two-thirds two of the Increased spending authorIzed authorized authorized author author- I for the by bythe the 1967 Utah Legislature will I go for education THIS WAS pointed out in a fiscal analysis of the 1967 legislative legislative leg leg- session prepared by Utah Foundation the private governmental research organization According to the study appropriations ap appropriations appropriations ap- ap and estimated ex expenditures expenditures expenditures ex- ex from the general fund and the uniform school fund over the next two years will wUl total to tota total to- to tal ta million Beginning balances and revenues to meet this commitment were estimated ed b by the governor and the legIslature legislature legislature leg leg- at million leaving leavIng leaving leav leav- ing a surplus for contingencies contingencies' contingencies contingencies' cies cies' of 22 million FOUNDATION analysts caution caution cau cau- tion Uon however that the revenue 5 g g estimates used to balance the j. j 69 1967 budget are re bas Based bas ed on on optimistic optimistic op- op projections of growth in the Utah economy and expansion expansion expansion sion in state tax revenues If It these revenue estimates are not realized a number of actions might have to be taken to assure a balanced budget j including 1 reduction or elimInation elimination elim elim- of the projected surplus 2 reduction In general fund allotments below appropriated I levels or and/or 3 an increase Inthe in inthe the state property tax levy above the 73 mills contemplated Inthe in inthe inthe the budget THE UTAH Foundation study notes that despite the higher ex expenditure expenditure expenditure ex- ex authorizations for the 69 1967 biennium no significant significant cant tax Increases were Im Imposed Imposed imposed Im- Im posed this year In fact the 1967 7 Legislature gave its approval to a number of new exemptions or deductions to present tax laws Two of these proposed tax of Inventories inventories inventories changes exemption tories and valuation of farm land landon on the basis of its agricultural use rather than market value value- involve constitutional amendments amendments amendments amend amend- ments which will be submitted to the electorate in 1968 ALTHOUGH THE H 1967 67 r h Legislature did not provide for any major tax increases it did raise fees charged for hunting and fishing drivers' drivers licenses and enrollment In colleges Revenue derived from these higher fees will be used to fi fi- fi 1 nance e expanded load and services I es of the agencies involved THE 1967 Legislature made beginning provisions for servicing servicing servicing icing the 1965 bond issue by appropriating ap- ap over I Ithe the next two years for this pur pur- purI I pose The Foundation report i observes that this added obligation obligation I gation of bond retirement and interest costs contributed to many of the budget-balancing budget problems for 69 1967 and will add to the states state's fiscal problems problems problems lems in future periods |