Pharos-Tribune

State News

February 13, 2014

Mayors push back on Pence tax plan

Governor open to replacing local revenue with state funds.

INDIANAPOLIS — Mayors from across the state are in open revolt against Gov. Mike Pence’s plan to cut a tax on business equipment, challenging his promises to protect their communities from the plan’s effects.

On Tuesday, about 50 mayors from big cities and small towns crowded into a press conference to denounce the plan that would eliminate $1 billion in revenue collected by local governments, schools and libraries.

The mayors — Republicans and Democrats — called for the Legislature to kill two Pence-supported bills that would begin to wind down the tax unless the state comes up with revenue to offset the cut.

“I’ve never seen mayors so united in trying to defend our communities,” said Angola Mayor Richard Hickman, president of the Indiana Association of Cities and Towns, known as IACT.

The pressure may be working.

Hours after the press conference, Pence met with a handful of mayors and told them he’s “open” to the idea of the state replacing revenues lost under the Senate’s version of his plan. The Senate bill would exempt smaller companies from paying the business equipment tax.

“This would ensure that any reform of this tax does not unduly burden local governments or shift the cost of this tax onto hardworking Hoosiers,” Pence said.

That brought a conciliatory response from some of the mayors in the meeting. Kokomo Mayor Greg Goodnight called Pence’s gesture progress. “However, he didn’t indicate a replacement for those funds, so this still has to go through the legislative process,” Goodnight said.

Local leaders remain wary. Pence offered the mayors no details on a source of the replacement money. Nor would his pledge cover the House version of the bill, which proposes giving counties the authority to kill the business equipment tax.

And there’s no promise from legislative leaders that they’ll go along with the idea. To date, the Legislature’s fiscal leaders have vowed not to re-open the budget process, which is needed to find state replacement revenues.

Text Only | Photo Reprints
State News
  • Court rules prison agency mistreated former Pendleton counselor INDIANAPOLIS (AP) — A federal appeals court has ruled that Indiana's prison agency mistreated a female employee when it shrugged off her complaints about workers having sex on her desk and later fired her for having an affair with an official. The ap

    July 23, 2014

  • Complaint ends teacher prayer in western Indiana school district TERRE HAUTE (AP) — A western Indiana school district is telling teachers and other employees they can't lead prayers during school-sponsored event. The decision by the Vigo County School Corp. in Terre Haute follows a complaint made to the Freedom fr

    July 23, 2014

  • Lawmakers approve pair of new license plates INDIANAPOLIS (AP) — A panel of state lawmakers approved new license plates recognizing the Indy 500 and Abraham Lincoln under a new system clamping down on the number of special license plates on the road. Members of the Legislature's transportation

    July 23, 2014

  • Indiana Veterans Hall of Fame seeks nominations INDIANAPOLIS (AP) — A new hall of fame for Indiana military veterans is seeking nominations for its first class of inductees. The Indiana Military Veterans Hall of Fame says it expects to induct the first honorees around Veterans Day at Fort Benjamin

    July 23, 2014

  • Gay couples' lawyers object to full-court hearing INDIANAPOLIS (AP) — Attorneys on either side of a lawsuit over Indiana’s overthrown gay marriage ban are wrangling over how many federal judges should hear the state’s appeal, a technical issue that could make a big difference.Those representing gay

    July 23, 2014

  • NWS - KT072214 - Ryan Ledbetter mugshot - CLG [Duplicate] Bunker Hill councilman arrested for firing gun BUNKER HILL – A member of the Bunker Hill Town Council was arrested Saturday after police say he broke a no-contact order with his children’s mother and fired a gun inside a trailer park near Peru. Indiana State Police responded to the Woodland Hill

    July 22, 2014 1 Photo

  • Lowe's plans 1,000-worker Indianapolis call center INDIANAPOLIS (AP) — Home-improvement retailer Lowe's says it will open a new call center in Indianapolis that could have up to 1,000 employees in the next couple years. The North Carolina-based retailer announced Tuesday that it would spend about $20

    July 22, 2014

  • 2 men die in separate apparent drownings near Rockville and Morocco ROCKVILLE, Ind. (AP) — State conservation officers say two Indiana men have died in separate apparent drownings. Officers say 29-year-old Terry Johnson of Veedersburg died after divers pulled him Monday from Raccoon Lake near the Parke County town of

    July 22, 2014

  • Former Hartford City councilman sentenced for child molesting HARTFORD CITY (AP) — A former northeastern Indiana city councilman and retired teacher has been sentenced to 10 years in prison on child molesting charges. A Blackford County judge ordered the sentence on Monday against 66-year-old John Adams. He ple

    July 22, 2014

  • 6 Indiana projects get national humanities grants INDIANAPOLIS (AP) — Three universities in Indiana have been awarded a total of $1.25 million in grants from the National Endowment for the Humanities. The endowment announced Monday that Indiana University's Indianapolis branch campus is receiving $1

    July 22, 2014

Hyperlocal Search
Premier Guide
Find a business

Walking Fingers
Maps, Menus, Store hours, Coupons, and more...
Premier Guide
Poll

The Pence administration continues to cut Indiana agency budgets despite a state surplus of $2 billion. Is this wise management of state funds?

Yes
No
Not sure
     View Results
Featured Ads
AP Video
Six Indicted in StubHub Hacking Scheme Former NTSB Official: FAA Ban 'prudent' EPA Gets Hip With Kardashian Tweet Bodies of MH17 Victims Arrive in the Netherlands Biden Decries Voting Restrictions in NAACP Talk Broncos Owner Steps Down Due to Alzheimer's US, UN Push Shuttle Diplomacy in Mideast Trump: DC Hotel Will Be Among World's Best Plane Crashes in Taiwan, Dozens Feared Dead Republicans Hold a Hearing on IRS Lost Emails Raw: Mourners Gather As MH17 Bodies Transported Robot Parking Valet Creates Stress-free Travel Raw: Fight Breaks Out in Ukraine Parliament Disabled Veterans Memorial Nearing Completion Last Mass Lynching in U.S. Remains Unsolved Home-sharing Programs Help Seniors Ex-NYC Mayor: US Should Allow Flights to Israel
Parade
Magazine

Click HERE to read all your Parade favorites including Hollywood Wire, Celebrity interviews and photo galleries, Food recipes and cooking tips, Games and lots more.