NWI Reports "Fate of Lake Income Tax Back in County Hands"

From the Northwest Indiana Times:

State lawmakers have decided for now to leave the debate over a Lake County income tax to the County Council, but plans for Gary airport board reforms and studies of a Steel City port and trauma hospital are in danger following a contentious House committee hearing.

Senate Bill 585 was changed Wednesday by the House Ways and Means Committee to remove Senate-approved provisions intended to entice the Lake County Council into approving a county income tax.

The measure would have given the council authority to enact a 1 percent local income tax and spend the revenue in new ways, including public safety and transit.

Instead, with those sections now deleted from the legislation, any income tax imposed by the county will have to mostly go toward property tax relief, as required by existing law.

The Senate sponsor, state Sen. Ed Charbonneau, R-Valparaiso, said he didn't agree with the committee's decision to eliminate the Lake income tax portion of the legislation and is willing to continue working with legislators and county officials to reach a satisfactory compromise.

"At some point they're going to have to face the reality that they can't continue to operate by borrowing $15 million to balance their budget," Charbonneau said.

However, the legislation faces an uncertain future after its House sponsor, state Rep. Ed Soliday, R-Valparaiso, declared, "I won't call the bill down," as he stormed out of the committee room following intense questioning about the Gary airport portion of the proposal.
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If the measure does not advance, state-supported studies of the need for a second Lake Michigan port and a Gary trauma hospital would have to be inserted into other legislation or they will die.

Also at risk is a third study, which the committee added to the legislation, looking at whether the Port of Indiana should pay a fee for municipal services to Portage because the port is not required to pay property taxes.

See the full article here:

http://www.nwitimes.com/news/local/govt-and-politics/fate-of-lake-income-tax-back-in-county-s-hands/article_7bf1ba55-7c54-5ca8-bfc8-27882cf2a0bf.html