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About The daily Nebraskan. ([Lincoln, Neb.) 1901-current | View Entire Issue (April 11, 1990)
Npwc Di apct ttwr™ JL W W IbJF JL £n ^ Edited by Brandon Loomis Taxpayer fights Commonwealth reimbursement The Nebraska Supreme Court has been asked to strike down a legisla tive appropriation to reimburse de positors of Commonwealth Savings Co. and two other failed industrial loan and investment companies. Attorney James Gleason of Omaha asked the Supreme Court on Monday to take original jurisdiction over the case, a move that would forego dis trict court proceedings. The high court also was asked to prevent state Treasurer Frank Marsh from disbursing $16.9 million in funds authorized to repay depositors of Commonwealth, State Securities SavingsCo. of Lincoln and American Savings Co. of Omaha. The action was filed in the name of Gayle Haman, a Nebraska taxpayer who is not a depositor in any of the three institutions, on behalf of herself and all others similarly situated. The Legislature passed LB272A on March 29. Gov. Kay Orr signed the measure on April 2. The action filed by Gleason ar gued that the measure was unconsti tutional “special legislation.” Gleason said Haman lives in -4 4 The bill is unconsti tutional; the state should not be bur dened with the ex penditure of $16.9 million improperly. Gleason attorney -11 _ Omaha, but declined to provide other information about her at her request. He said he docs not know whether she has taken a public stand against the depositor reimbursement in the past. “She believes, to my understand ing, that it’s unconstitutional to pay taxpayers’ money for the benefit of a limited group of people,” he said. “The state has no obligation and we shouldn’t be doing this.” Gleason said his argument is based on precedent set by the state Supreme Court in a 1930 case in which the Legislature attempted to reimburse depositors of failed banks. The Su preme Court overturned the bill, say ing it was special legislation that benefited only a closed class of people. Gleason said he has taken no per sonal position on reimbursement for depositors in the past. He acknowl edged many depositors would be upset by the suit. “As an attorney, I viewed this case as a legal case in which my client’s position is correct,” he said. “The bill is unconstitutional; the state should not be burdened with the ex penditure of $16.9 million improp erly.” In a separate development, the Legislature passed resolution LR425 Monday, affirming its intent that ‘ ‘each and every depositor shall receive approximately one-half of the amount he or she would have received had the entire $33.8 million been appropri ated.” As originally conceived, LB272A would have appropriated $16.9 mil lion this fiscal year and next. But the bill did not receive enough votes to take effect immediately and make this year’s appropriation before the fiscal year expires. Since American Savings deposi tors have received more reimburse ment so far than Commonwealth or State Security depositors, some regu lators have reportedly advised Bank ing Director Cynthia Milligan that the bill could be interpreted to require more reimbursement for depositors in the first two institutions. GAO estimates $6.5 billion lost on IRS training WASHINGTON-TheInter nal Revenue Service may have lost $6.5 billion in taxes by taking senior auditors off cases to train new workers, congressional analysts say. A report by the General Accounting Office, an investi gative arm of Congress, esti mated that in cases it had checked the government lost more than $1 million in taxes for each new worker who completed a 26 nionth training course under the tutelage of senior auditors. “It is clear that the use of experienced revenue agents to train new agents carries a sig nificant cost in terms of unreal ized audit revenues,” the Gen eral Accounting Office said in its report. “It is essential that IRS explore alternatives to its present training program.” The IRS had reached much the same conclusion in its own survey of training procedures, although the agency found a lower revenue loss than did the GAO. However, the IRS is concerned enough about the loss that is planning to hire private contractors to conduct some training in the budget year that will begin Oct. 1. j Broke? i j Need Extra Money? i L| DONATE FOR DOLLARS! j This Coupon is worth I $20.00 j on your 1st and 2nd donations (within 6 days or ■ if you have not returned within 2 months). Present this coupon-Eam Extra Cash! ' For more information call the 5 * "Friendliest Staff in Town." 474-2335 - ^ Lincoln Donor Center 126 N. 14th Suite #2 J ■Si M mm mm mm mm wm """ Alligator Record's LITTLE CHARLIE and the NIGHTCATS Wednesday - Friday April 11-13 1 THE ZOO BAR | -. ^FUNNYBONE1 ’S No.l COMEDY NITE CLUB The Original Housewife Turned Comedian 4s Seen on Showtime & P.M. Magazine DEA STALEY from Chicago [ Pat Sullivan from Ohio 1 Rich Ghali from Omaha „ 2 All New College Night Fridays — Shows at 11:30 No Alcohol Served Call For Reservations Nebraskan Editor Amy Edwards 472- 1766 Managing Editor Ryan Staavas Assoc News Editors Lisa Donovan Erie Planner Editonal Paqe Editor Bob Nelson Professional Adviser Don Walton 473- 7301 The Daily Nebraskan(USPS 144-080) is published by the UNL Publications Board Ne braska Union 34, 1400 R St.. Lincoln, NE, Monday through Friday dunng the academ e year, weekly during summer sessions Readers are encouraged to submit story ideas and comments to the Daily Nebraskan by phoning 472-1763 between 9 a m and 5 p.m. Monday through Friday The public also has access to the Publications Board For information, contact Pam Klein, 472 2588 Subscription price is $45 for one year F*ostmaster: Send address changes to the Daily Nebraskan, Nebraska Union 34,1400 R St .Lincoln, NE 68588 0448 Second class postage paid at Lincoln, NE ALL MATERIAL COPYRIGHT 1990 DAILY NEBRASKAN ASUN UN-L Student Government Campus Wide Vacancies] Applications and information are available at 115 Nebraska Union. THE DEADLINE IS APRIL 20. 1990 AT 4:00 P.M. Government Liaison Committee Chair GLC Registered Lobbyist Committee for Fees Allocation Parking Appeals Parking Advisory Committee Government Liaison Committee Intercollegiate Athletics Calendar & Examinations Convocations Committee Student Employee Rights Commencement Committee Central Planning Committee Recreation Advisory Council Scholarship & Financial Aid Teaching Council University Judiciary & Appeals Electoral Commission Curriculum Grading Computational Services & Facilities Publications Board UN-l Police Committee University Libraries Scholastic or Student Life Commission Honors Convocation Recording Secretary liMt/c IAS Comedy 'Troupe I $1.00—STUDENTS ^^Z I $2.00—NON-STUDENTS I (2 FOR 1 COUPON AVAILABLE Sponsored by: l PC Kaleidoscope: ll JlfFSVF5 | AT EAST UNION—CAP OFFICE. KIPAC; Kramer Agency [ Acacia Fraternity ; presents • Vein Drain '90 j Blood Drive : Thursday, April 12,1990 : 9 a.m. to 3 p.m. : City Union j Community 1 Blood Bank • l __ "O" STKEF. T * £ MH>I. ai NrV'i UNi OLN. NtwHlC • I Mini, A. so, „ IY • I
