February 2, 2008
Representatives Phil Hoy and
Dennis Avery and Senator Bob Deig were present.
Senator Vaneta Becker and Representatives
Suzanne Crouch and Trent Van Haaften were absent due to other commitments.
Property
Tax – school funding
There is an ISTA proposal to keep instructional
programs based on property tax since this source is stable, instead of based on a consumables (sales) tax that is not dependable.
Rep. Hoy said that this proposal is in line with his stand. Rep. Avery said that the state is attempting
to assume more control in many areas through swapping funds; that the Governor’s proposal, which was 250 pages and is
now, with all the input from the Legislature, 935 pages will go to a conference committee that will attempt to reach some
consensus before the proposal goes to the entire Legislature for a final vote. Sen. Deig said that he is
concerned about a stable revenue source in this area and that this will be one of the main issues in the conference committee.
HB 1041 – Income tax breaks for low-income families with children in childcare
Rep. Avery said the will support this even though it didn’t get out of committee
– that it could be amended into another bill. Rep. Deig stated that a similar Senate bill also didn’t
get a hearing and that while a tax credit bill is tough to get out of committee, this issue will be back.
HB 1118 – Identifies grocery store as one that sells less than 25% in alcohol
The owners of the Winestyles franchise in Evansville presented the case that this bill will effectively kill wine stores
in Indiana and that there should be a special exemption for boutique wine shops.
Both Rep. Hoy and Rep. Avery said that they voted against this bill, but it did pass the House and now goes to the Senate
due to the great deal of concern about the proliferation of liquor sales and the easy availability of liquor to those under
age. Rep. Hoy says the bill tries to do too much. Rep. Avery stated that the number
of permits is increasing and are very expensive and every segment of the market is trying to force its competition out of
the liquor business -- but there should be a one-way permit to sell wine. Sen. Deig commented that Rep.
Van Haaften, who is Chairman of the Public Policy Committee, is the author of this bill. Deig said that
he would look closely at the bill when it goes to the Senate.
Evansville Psychiatric
Children’s Center relocation
FFSA has proposed building a new Evansville Psychiatric
Children’s Center on the State Hospital grounds. An employee of the Center, speaking on his own behalf,
argued that the current setting is private and wooded, that there is plenty of space there to build a new center, that the
fact that pedophiles and the criminally insane are at the State Hospital could endanger the children and violate state law,
and that the Center could lose money for the state school lunch program by not having its own kitchen.
Rep. Hoy reminded the audience that this is the only children’s facility in the state and that he is opposed to the
relocation but that the Legislature might not have much power in this issue. Rep. Avery, who authored the
bill that prevented closure a couple of years ago, said that most of the troublesome issues could be overcome with legal modifications;
but he is concerned that the 38 acres would be sold for commercial development which could cause a major problem for Wesselman
Woods re animal migration; also much of the land is in a flood plain; FFSA will need to ask for authorization for funding
and there will be lots of discussion before anything happens. Sen. Deig said that the speaker made a lot
of good points and he will be researching all the issues.
HB 1102 -- would require electric utilities to obtain 10 percent
of their power from renewable resources by 2018
Valleywatch
President John Blair asserted that it was outrageous that Rep. Crooks’ bill did not pass out of the House Utilities
Committee.
Sen. Deig said that all the involved parties needed to get together
– that Crooks hadn’t reached out and that there is too much polarization. Rep. Hoy, a member
of the Environmental Affairs Committee, voted for the Bill but bemoaned the fact that very few of the House members believe
there is an environmental crisis; that so much money is to be made that even if all the parties were at the table it wouldn’t
matter. Rep. Avery agreed that the Legislature doesn’t care; that the populace needs to elect people
who care; he has voted for a renewable energy standard in the past and would support in the future.
Reducing the number of elected officials
Sen. Deig said he has sat through lots of testimony
on this and hasn’t seen any proof that there would be efficiency in costs or improvement in the government process.
Rep. Avery said that the current bill only eliminates township assessors. Rep. Hoy said that the
Kernan Shepard report isn’t receiving much attention at this time but will go to a summer study committee; he voted
for keeping township assessors but hasn’t made a final decision; he likes voting for local officials and prefers a mix
of elected and appointed officials.
SB 359 - control of
each county’s 911 funds to be shifted to the state under the direction the of State Treasurer and an enhanced-911 advisory
board consisting of a panel of nine to 17 members
Sen. Deig voted for SB 359; Vanderburgh County has
an excellent system but many counties don’t; he said hopefully the House would improve the bill.
SB 114 - would reduce from 65 % to 51 % the number of property owners needed for
remonstrance to stop an annexation, require that municipalities submit annexation fiscal plans to
the Department of Local Government Finance for approval, and allow a territory to incorporate without obtaining the consent
of a municipality that is within a four-mile radius.
Evansville
City Council President Keith Jarboe asserted that this bill would make annexation almost impossible.
Sen. Deig said that this bill is due to a forced annexation in Fishers for a reservoir; that he voted
against it.
SB 1478 expiration
-- local option income tax for public safety funds
Everyone agreed that few counties had adopted this and it was best that it had expired without renewal at the end of 2007.
Outsourcing of state government functions
Vanderburgh County Council Member at Large Donna Leader asked how
much of state government has been outsourced; what’s on the table; can any be reversed?
Rep. Hoy thinks welfare outsourcing is a huge problem with lots of complaints – lots more than
about property taxes. Rep. Avery says that privatization, consolidation, and centralization are the thing
now; the Governor has proposed privatizing park lodges; he can do a lot of this without consulting the Legislature.
Sen. Deig said he is against privatization and that legislative assistants are spending most of their time with FFSA
problems; the poorest of the poor are being hurt. He added that re reversals, printing of state materials
had been privatized but no longer is.
HB 1280 – Energy
Efficient Public Buildings
A member of the board of the
Indiana Lumber Association asserted that no company in Indiana could meet the standards specified in this bill.
He said that the certification process is still evolving.
Rep. Hoy and Rep. Avery said that they both supported the bill. Rep. Avery asked for proposed changes
from the lumber industry. Sen. Deig said he would be meeting industry representatives.
Property Tax vs. Other Taxes
Tony Wolfe from Gibson County, who is President of the Indiana Association
of County Councils, said that the sales tax has already been increased on a regular basis through the years to offset property
taxes. Local governments still need enough money to operate effectively. He agreed with
the shift of education costs to the state.
Rep. Hoy said there is no final
solution, that what is decided today can change tomorrow, and that we will always be paying taxes. Rep.
Avery agreed that nothing is ever permanent. Sen. Deig said he agrees with most of the tax reform proposals
but not with the 1,2,3 % circuit breaker differences because it hurts farmers and businessmen.
Property Tax Caps Constitutional Amendment
Sen. Deig said that he has voted against this, that 5 or 6 such amendment
attempts on various issues have been made this year and that the constitution shouldn’t be amended so freely.
Rep. Avery said that the property tax constitutional amendment proposal passed out of the Ways and Means Committee,
with him the only one who voted against it. The issue is still alive.
Displaced Workers Program Problems
Someone in the Displaced Workers Program said that there is usually a 4-month gap in benefits for those
who enroll.
Rep. Avery and Sen. Deig said
they would look into the situation.
JANUARY
12, 2008