State THE BATTALION WEDNESDAY, JULY 1, 1981 Page 7 tates join lawsuit in constitutionality case Texas and Louisiana challenge windfall tax Huebners* v is thatifjd- 't hits (1^, i rest assure; United rress International . CHEYENNE, Wyo. — A federal judge "'“ ' ‘‘r r '-11 owed Texas and Louisiana to join in a lawsuit 1st ol tin i^hallenging the constitutionality of the federal /indfall profits tax on oil and took under advise- ‘ peninsula iaent a motion by the U.S. government to dis- thr laundisftis^ the suit. tlieir 20s i The Independent Petroleum Association of „ imfcrica filed the suit last year on behalf of 12,000 mn nut independent oil producers and 2.5 million prop- rty owners who receive royalties on oil produc- >e land on i:.j 0 n. 1 and wellL U S. District Judge Ewing T. Kerr Monday ;ave attorneys for both sides 30 days to file sup plemental briefs on the motion for dismissal. Kerr also allowed the states of Louisiana and Texas to join the suit amid claims Texas would lose $300 million per year because of the tax. The windfall profits tax is applied to added revenues reaped by oil producers as a result of the government’s decision to decontrol gradually domestic oil prices. The tax was enacted in March 1980 and is expected to raise $227 billion in revenue over the next 10 years. Mountain States Legal Foundation Attorney Gale Norton, arguing on behalf of the states, said Louisiana and Texas were challenging the tax’s constitutionality because nearly one-half of the geographical area of Alaska is exempt from the tax. “If half the state of Texas was exempted from the tax, I doubt we’d be here today,” Assistant Texas Attorney General Stuart Fryer told Kerr. Fryer said Texas is losing an estimated $300 million in revenue annually because the tax dis courages production on stripper wells — wells that produce less than 10 barrels a day — and other marginal production wells. Fryer said energy is the dominant industry in Texas, and any adverse effects felt by the energy industry affect the entire population because of lost state revenues. The IPAA also contends those required to pay the tax are being forced to bear a "disproportion ate’ tax burden. IPAA attorney Harold Scoggins said the wind fall tax was enacted with a “minimum level of rationality,’’ as part of a program designed to increase U.S. energy production but having just the opposite effect. He said the windfall tax was “the largest tax of any kind ever imposed by Congress” and said it amounted to a “seizure” of property. Government attorney Robert Baker, however, said the windfall tax is “one of the most beneficial and important acts ever passed by Congress” and that any problems with it should be addressed by Congress, not the courts. Baker also said the government opposed inter vention by the states because states do not pay taxes and cannot be granted relief in a tax case. Baker said Texas and Louisiana were acting as “volunteers for a very small but influential group of its citizens. ” Kerr, in granting the motion to intervene, said: “The modern policy seems to be, Every body is entitled to be heard.’ That’s probably what’s cluttering up the courts today, but that’s the policy.” 1 SUPER CASH BINGO! IGNI PRICES IN THIS ADVERTISMENT EFFECTIVE (7) SEVEN DAYS! 0 COPYRIGHT IW0, SAFIWAY STORIS, INC. START PLAYING TODAY! THOUSANDS OF INSTANT WINNERS! ADULTS ONLY. NO PURCHASE REQUIRED, GET ONE GAME TICKET (4 DISCS) ON EACH STORE VISIT. GAME IS AVAILABLE AT ALL 91 PARTICIPATING SAFEWAY STORES IN SOUTH EAST AND SOUTH CENTRAL TEXAS. SUPER CASH BINGO—ODDS CHART Odds statnij .in* good lor thirty days after promotion begins Odds will be revised weekly thereafter to indicate prices still available and will be posted m all 91 Safeway Stores NUMBER OOOS GAMES PRIZES OOOS OOOS VISITS VISITS Whole, Fully Ce:i Fresh! * Each Garlic Bread l.^99* amJ Glazed Donuts 0 .r:„ r$ 1.69 55 ,7f 99 $1« Y Safeway Store* with Bake Sho*». CHOOSE CHEESE! Havarti With Dill A full flavored Danish rind cheese with a tangy after taste and a touch of dill. Come in and try our many dofferent cheeses. You'll be amazed. Wl GOT TOUR CHEESE! y Store* with Checte Toble*. THOMPSON SEEDLESS GRAPES California, Summertime Treat! FRESH MUSHROOMS Cookout With Steak! Country Stand Brand ,