European Stars and Stripes (Newspaper) - September 03, 1985, Darmstadt, Hesse                                Tuesday septembers 1985 the stars and stripes Page 5 states have own plans for cigarette taxes Washington a nearly half the Stales have looked to tobacco this year at a source of More Money and Many Are ready to step in with their own new taxes if Congress allows a Federal Levy of 8 cents a pack to expire this month. Twenty four states this year enacted Tome Type of tax on cigarettes according to a Survey by the National conference of state Legislatures. Of those states 16 passed Laws raising their tax by eight cents a pack contingent upon the Federal rate dropping from 16 cents to eight cents oct. As scheduled in present Law. That s an iffy Prospect however As there Are proposal pending when Congress re turns this week to make the 16-cent Tux permanent and other proposals to raise it idas much As 32 cents. It s i Long shot for the states to be Able to Lerr the contingency taxes on oct. 1, said Steven Gold director of fiscal affairs for the state Legislatures organization in Den ver. It s conceivable but it s not Likely. Some states have even balanced their budget with that Money estimated Rev met from the contingency tax he said. That i t rather Uncertain Revenue to count  2 taxes enacted some states enacted both a contingent tax on cigarettes and another unconditional cigarette tax increase. Florida passed a contingent tax increase and also instituted a 25 percent wholesale tax on smokeless tobacco products such As chewing tobacco and snuff. Congress doubled the Federal tax to 16 cents m pan of the package of tax increases enacted in 1982. The increase was temporary to expire oct. I 1985, though it a widely considered Likely that Congress would liter extend or make permanent the higher Levy. States tre eager to step in if the Federal state taxes net change for Al Cal yer 1986 e2 inc atm d no Chi Mil inc to to recur map some Nam of of Chunc of state Lagos fun for education. It s one of our major Revenue producers among our top five he said of the cigarette tax. In Congress the House ways and Means committee has voted to make per manent the higher Federal tax As part of a deficit reduction package. The Senate finance committee holds hearings on the cigarette tax next tuesday. It Alto has proposals backed by health groups to Dou ble the tax again. One possibility said congressional aides is that Congress might make the 16 cent tax permanent but not act until after oct. I when it would drop to 8 cents. Should that happen states with Contin gent tax Laws May find themselves with both tax increases. Tax is lowered because cigarette taxes amount to a lot of Money and have been a traditional place for states to turn for reve nue. Florida for example estimates the additional 8 cents a pack would bring in s75 million a year. According to Congress signal budget office figures the Federal tax of 16 cents a pack is estimated to bring in s4.7 billion in fiscal year 1985, which ends sept. 30. The co estimates that cigarette tax revenues would drop to $2.5 billion in 1986 if the Federal tax returns to 8 cents a pack. Speaker John Tucker of the new Hampshire state House a Republican says tobacco excise taxes Are a source that states need More than Ever now because of Federal budget cuts. It s our feeling that with the loss of Federal Revenue sharing programs for the states with the cutbacks that have occurred to states. It s appropriate that Congress allow the states to capture that Money he said. New Hampshire which has no income or sales tax and already has one of the largest cigarette taxes at 25 cents a pack passed an 8-cent contingent increase. Tucker said the legislature has t appropriated the expected Money about $16 million a year but that he wants it used 1 Mal said Gold. In that Case the cigarette Industry would get hit both ways slate and taxes the National conference of state Legislatures said these states passed increases contingent upon the lower Federal tax Ari Zona Connecticut Florida Maryland. Minnesota Mississippi Missouri Montana Nebraska Nevada new Hampshire new Mexico Oklahoma Rhode Island Utah and Wisconsin. States raising cigarette taxes outright or extending temporary taxes this year according to the group were Alaska Colo Rado Iowa Kansas new York Oregon and South Dakota. Vermont extended its general sales tax to cover tobacco products. Four states Minnesota Mississippi Nevada and Rhode Island Are raising taxes outright in addition to having enacted a contingency tax based on expiration of the Federal tax of 16 cents a pack on oct. I. Killing sgt. York gun sign of new Pentagon attitude Washington a defense Secretary Caspar Weinberger s decision to kill the army s set York air defense gun was a dear signal that the Pentagon has adopted a Tough stance toward defense contractors lawmakers say. This certainly tends a message to other defense contractors that they d better shape up did sea. Dan Quayle r-lnd., after but week s decision by Weinberger to halt the sgt York program. We be certainly had some prob Tam and by killing the program Weinberger is Nutting other contractors on warning said Quayle. He b a member of the armed services com Mittee and one of the chief authors of a series of Pentagon spending reforms. In recent months the defense department has been strongly criticized for the Way it spends Money. The criticism followed reports of High prices paid for spare parts criminal indictment of some defense contractors and revelations that some contractors billed tax payers for such items As dog Kennel fees and country club memberships. The sgt York built by Ford aerospace was intended to defend army units against attack by Low flying planes or helicopters. The twin barrelled 40mm guns were mounted atop a tank Chassis and guided by radar systems like those on an f-16 fighter. The system named after world War i hero an c. York has been plagued by problems since the first production contract was signed four years ago. Weinberger s decision reportedly sur prised army leaders and Ford aerospace who Felt that the weapon s problems could be fixed and who argued it was needed to fill a Gap in army defences. Weinberger said at a news conference that he was going against the advice of a lot of very trusted and Able people in kill ing the sgt. York. He was also under increasing pressure from Capitol Hill to cancel a program. Killing a weapon already in production is rare. The adage about Weinberger is that he s never seen a weapon he does t like said Quayle. But he s shown that Given the right circumstances he s not against can celing a  Weinberger also won Praise from sen. David Pryor d-ark., one of his chief con new Jersey town spiff Over displaying tanks vehicles at annual Celebration 30yearsagotoday. Gressional critics. I must say i am pleasantly surprised said Pryor. This is the kind of attitude we need at the  two Days after Weinberger s action the air Force citing management and production problems Cut monthly contract pay ments by 50 percent to Fairchild Republic co. Until the firm improves its performance. Sands or time in the stars and stripes 40 years ago today. Sept. 3, 1945 six years less one Day after it began the costliest and bloodiest War in world history came to a close aboard the battleship Missouri in Tokyo Bay when the japanese signed a document of unconditional surrender. President Truman pro claimed today As a a Day. Somerville. . A Organ Izer of an annual Pride in Somerville Day Celebration want to display tanks and other military vehicles in Honor of veterans but the mayor Calls the idea an insult to me and the people who died for our country. The Pride in Somerville committee wants to display two tanks two helicopters three Trutta and three jeeps on a Field in the Somerset county Community on oct. 19. Mayor Emanuel Luftglass an act Jita in the anti nuclear movement said such hard Ware does not belong in a Community Cele bration. I Don t want to make it a War Day. And i Don t want kids petting tanks or sitting on them he said. Brian Miller chairman of the committee. Said he considered the idea appropriate to the theme of saluting the Community s vet  Don t think i d like to see tanks com ing Down main Street said Doris Kaplan another committee member. But to Dis play them to Honor the veterans it would be very Nice. It is a Celebration for the whole town. The whole town should Honor our  the proposal will be presented to the six member Borough Council tuesday coun Cilman Richard Horowitz said. My feeling is that it is really an inappropriate theme for Pride in Somerville Saia Horowitz. Military equipment has its place in life. What s the Point in bringing it into Somerville he said he hoped the committee s outline is not engraved in  Anthony Paternoster commander of the Somerville chapter of the disabled Ameri can veterans said he is sending out letters to the National guard asking for Permis Sion to exhibit the tanks and trucks for a Day. It s most certainly appropriate to this Celebration said Paternoster. It s not a show of military strength but a show of what the military does during peaceful  veterans representatives said they want to use the event to help raise funds for a 12 foot Granite War Monument in front of Bor Ough Ball. The si5.000 replica of the Washington Monument would be dedicated to veterans of All wars. Sept. 3, 1955 France is sending be tween 9,000 and 12,000 More troops to quell nationalist disturbances in Algeria a government spokesman in Paris said. 20 years ago today. Sept. 3, 1965 Mississippi National guardsmen rolled into Natchez As City officials readied an answer to desegregation demands by Black leaders. 10 years ago today. Sept. 3. 1975 the Fri and Dallas police officials suppressed for at least five months a statement quoting an Fri agent As saying the Bureau knew thai Lee Harvey Oswald was capable of killing president Kennedy the Houston chronicle reported