Stakes high as Daniels, legislators ‘wrestle'
By ROBERT BRYAN
Thursday, December 13, 2007 11:49 PM EST
A prime purpose of government, of course, is to balance conflicting interests. That being the case, these are exciting, momentous times in Indiana as the General Assembly and governor wrestle with some of the basics, including the state tax structure.
At a Chamber of Commerce function here Thursday at the Honeywell Center skating rink, one of the guests, State Rep. Bill Ruppel, R. North Manchester, perhaps put the stakes and rewards best.
What the state is about to undertake, he said, is tinkering - or more than tinkering - with an extremely complex machine, the basic tax structure in the state.
A mistake anywhere in the tinkering, he said, may have huge unintended consequences elsewhere as the state tries to balance the interests of homeowners, business and agriculture and all the other constituencies impacted by the tax structure.
But if the state gets the balance right, everybody wins, Ruppel pointed out: The economy grows, businesses prosper, jobs increase, taxes fall or stabilize as there are more people and businesses to draw from.
At the close of a Legislative Preview Luncheon, Ruppel, Sen. Gary “Doc” Dillon, and Cam Carter, a vice president of the Indiana Chamber of Commerce, answered questions from the audience on the 2008 session of the General Assembly.
Carter had been keynote speaker for the luncheon, briefing those present on Gov. Mitch Daniel's legislative proposals (chiefly his tax proposals), and providing the Chamber's assessment of each.
The topic is extremely timely, for tax restructuring has certainly gotten the public attention this year as skyrocketing property taxes in places, partly a result of reassessment, have drawn public anger.
As the state government prepares to address the anger of homeowners, constituencies such as business and agriculture, through their representatives, are anxious that the tax burden not be overshifted in their direction.
Primarily as an effort to hear the business view, Thursday' luncheon at the Honeywell Center was a cooperative venture of the Chambers in Miami, Wabash, Grant and Huntington counties.
In addition to the legislative preview, the gathering of several dozen business people, educators, city government officials and civic leaders got to see plaque presentations to Phil Magner Jr. and the Wabash County Chamber of Commerce.
Both were honored for the work, particularly in the early days, to make the Hoosier Heartland Industrial Corridor a reality. Magner is the surviving member of the trio (including Glen Tanner and Jack Porter) that spearheaded the project.
Given a standing ovation as he was presented the plaque, Magner said of his experience here, “It was a job, but it was also a wonderful experience. There are still wonderful things happening here.”
Chamber Chair Andy Eads and President Kim Pinkerton accepted their plaque on behalf of the Chamber.
In his keynote address, Carter briefed the gathering on the highlights of Daniel's tax proposals, including most notably an additional homestead exemption for homeowners' property taxes and an increase in the state sales tax from 6 percent to 7 percent. Both would have the impact of shifting more of the tax burden to business.
Also in the governor's proposal are “circuit breakers” allowing rental properties, and businesses, farms and utilities to be property-taxed at different levels from homesteads. In other words, even though property valuations in the same tax district may be the same, a business could be more heavily taxed than a homestead.
The Chamber believes, through polls, that they have the public on their side in believing this unfair.
At session's end, Carter, Dillon and Ruppel also entertained questions on chances next year for major highway funding, for transferring much of the welfare bill from the counties to the state, and for privitizing the state lottery.
Print this story | Email this story
|
