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May 15, 1980 - Image 16

Resource type:
Michigan Daily, 1980-05-15

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Page 16-Thursday, May 15, 1980-The Michigan Daily
Gasoline tax decision
appealed; Congress
continues to debate


ministration officials said yesterday
motorists will be spared the president's
10-cent-a-gallon gasoline fee while a
judge's decision is being appealed. But
the plan was dealt new blows in
A day after a federal judge overtur-
ned the fee scheduled to take effect
today, the Senate Finance Committee
voted 13-3 to repeal it for good and the
House Ways and Means trade subcom-
mittee was expected to follow suit.
THE ACTION came despite an ap-
peal by Treasury Secretary William
Miller for Congress to withhold any ac-
tion on the plan while it is still in the
Miller, testifying before the Ways and
Means panel, blasted efforts to
eliminate the fee as "extremely shor-
tsighted" and called the president's
plan "a clear test of our national will"
to reduce U.S. reliance on oil imports.
But Ways and Means Chairman Al
Ullman (D-Ore.), told Miller that
because of the fee's unpopularity in
Congress and its doubtful legal status,
Carter should now consider ditching it.
"MY JUDGMENT is that it is the bet-
ter course of wisdom for the president
to use other alternatives that are before
him rather than to pursue this course,"
Ullman told the Treasury secretary.
Miller said gas rationing and full,
immediate oil-price decontrol are the
only alternatives - and these would be
harsher on consumers than the
proposed fee.
He added that the administration ex-
pects to win its appeal of Tuesday's
decision by U.S. District Judge Aubrey

Robinson Jr. and to impose the fee. '
MILLER SAID he was hopeful the en-
tire appeal process, including possible
Supreme Court review, could take no
more than "a matter of weeks."
He was asked if that meant there
would be absolutely no increase at the
pumps today when the fee was to have
"The 10-cent. charge will not be
placed on at the pump," Miller said.
"There should be no price impact until
this is settled."
THIS VIEW was echoed by Energy
Department general counsel Lynn
Coleman, who told reporters the ad-
ministration decided not to press for an
appeals court order that might allow
imposition of the fee while the appeal
was progressing.
This means the fee does not go into ef-
fect today, Coleman said.
Instead, Coleman asked for - and
received - from Judge Robinson an
order that requires companies that
would be affected by the fee to maintain
appropriate records, giving. the ad-
ministration the ability to impose the
fee quickly if the appeals court reverses
Robinson's decision of Tuesday which
blocked the levy.
Coleman said the administration
planned to file its appeals briefs with
two appellate courts - the U.S. Court of
Appeals for the District of Columbia
and the Temporary Emergency Court
of Appeals.
In legal papers asking for the records
to be maintained, government lawyers
used some of the arguments they will

. by
-. -- ISKOMA
To Select
Sizes 5 to 10 -
619 E. Liberty 662-0266

Making history
Two female members of the 82nd Airborne Division get their parachutes
tangled as they take part in the first mass female parachute drop in military
history at Fort Bragga, N.C., yesterday. Both jumpers landed safely.


Carter tells top auto
executives of credit
loosening possibility
(Continued fromPage15)for 1979 cars equas or exceeds 120 per
ugh, healthy, aggressive auto in- cent of their 1974 fuel economy levels.
ustry," said Goldschmidt, who is
oordinating administration efforts to Carter said he called tbe auto chiefs
elp the industry. "We are not going to to Washington to gain a greater under-
bandon it." standing of the problems and to form a
HE SAID, however, the ad- "permanent working relationship" to
inistration did not favor imposing work out possible solutions.
igher tariffs or import restrictions The executives held a similar
ecause of possible retaliation by the meeting earlier this month with a group
apanese in other industries, of senators from states hit hard by the
He said Carter's special trade decline in auto sales. It was the first
epresentative, Reubin Askew, is time they had approached Washington
eeting with Prime Minister Ohira in as a group, partly because of reser-
apan, and may have results to report vations about possible anti-trust im-
as early as tomorrow." plications.
On C itl Hill Ra Willi



vn apI0 no l ,nep. Wllam
Broadhead (D-Detroit) introduced a
bill to provide a $500 tax credit for per-
sons who buy new cars during the
remainder of 1980.
THE TAX credit would be directed at
American:made sars by limiting it. to.
companies whose average fuel econmy

Earlier, Ford Motor Co. Chairman
Phillip Caldwell suggested to reporters
that foreign car manufactureres be
required to use as much as 75 per cent
American labor and parts before being
allowed to sell vehicles iithe U.S.

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