Articles
Governor Daniels' Weekly Wrap-up: 3/25/08
Weekly Wrap-up
A look at news and events in the Daniels Administration
Volume 2, Issue 74
March 17 - 23, 2008
Governor signs property tax relief and reform bill
Mar. 19, 2008- Governor Mitch Daniels has signed historic legislation that will provide significant property tax relief now and permanent protection against future property tax increases. During a ceremony at the Indiana State House, Speaker of the House B. Patrick Bauer, Lieutenant Governor Becky Skillman, Senate President Pro Tempore David Long, and Daniels signed HEA 1001 flanked by dozens of legislators who overwhelmingly passed the bipartisan measure last week.
"I want to thank the leaders and all members of the legislature who worked so hard for several months to make this possible and for the cooperative nature of that process, the bipartisanship that prevailed throughout, the overwhelming bipartisan majorities that finally voted for this bill and for the companion resolution," said Daniels. "But I want to say even to those who finally couldn't bring themselves to support it that I appreciate their spirit of cooperation to the debate. The debate was a fair one and an open one, and it was conducted without rancor, and I think in really the best spirit of our democracy."
This year, Hoosiers will have an average property tax cut of more than 30 percent; a total of $870 million in relief will be provided. Beginning in 2010, homeowner property taxes will be capped at 1 percent of a home's assessed value, apartments and agriculture land will be capped at 2 percent of assessed value, and business property will be capped at 3 percent of assessed value. Once fully implemented, the plan delivers $1.72 in tax cuts for each $1 of new sales tax.
"Any legislation this significant takes compromise. And sometimes compromise is a little painful. But you have to have a process to mitigate that within the bill, and I call this a work in progress because we have eight months to see how it works out," said Bauer. "But we know one thing. It's going to be about a 38 percent property tax cut for residents. That's what we said was the prime goal this session, and that's what we did."
"After months of study and discussion, we have given Hoosiers true, permanent property tax reform. HEA 1001 is perhaps the most comprehensive and innovative property tax reform bill in the country," said Long.
The plan includes the four elements the governor said were critical last October, when he introduced a comprehensive property tax plan: immediate and significant relief; permanent protection; limits on local government spending; and improved accuracy and fairness in the assessment of property value.
"We'll make law that inaugurates a new era of taxpayer protection in this state. It puts taxpayers first, taxpayer affordability first, and I believe gives
Senate Joint Resolution 1, which would make the property tax caps passed in HEA 1001 permanent for Hoosier taxpayers through a constitutional amendment was signed earlier the same day.
Governor tours southern
Mar. 20, 2008- Heavy rains left some areas of southern Indiana underwater Thursday, but Hoosiers pulled together to help one another, said Governor Daniels after touring flood damage in Orange County.
"Once again Hoosiers proved that they come to each other's aide in times of trouble," said Daniels.
The governor conducted an aerial assessment of flood damage from a State Police helicopter before landing in French Lick to take a closer look. On the ground, Governor Daniels received a briefing from Joe Wainscott, Executive Director of the Indiana Department of Homeland Security.
According to Wainscott, about one half of the county's roads were closed due to flooding. Eleven people spent Wednesday night in a shelter, and several businesses had been evacuated.
The governor remained confident that the waters would soon recede and cleanup could begin. "Fortunately we've crested a little more quickly this time than some previous events. It's already on the way down," said Daniels.
Before leaving, Daniels took time to thank local responders. "The people of
Fire Protection Company to more than double its
Mar. 20, 2008- Ryan Fireprotection, a designer, manufacturer and installer of custom fire protection systems, announced it will expand its Northern Indiana operations in
The Noblesville, Ind.-headquartered company designs, installs and maintains fire sprinkler systems throughout the Midwest and plans to grow its
"Ryan Fireprotection is a home-grown Hoosier company that continues to create new opportunities for Hoosiers across the state," said Governor Mitch Daniels.
The company currently employs 17 associates in
"We are very excited about growing in
Founded in 1989, Ryan Fireprotection has become one of the leading designers and installers of fire protection systems in the
Commercial bakery to boost its northeast
Mar. 21, 2008- New Horizons Baking Company, a specialty supplier of bread products to the food service and consumer markets, will expand its production operations in
The company, which supplies a variety of buns and muffins to industry giants like McDonalds and Sara Lee, will invest more than $1.5 million to add 20,000 square-feet of production space at the company's
"More and more companies are recognizing that
New Horizons, which currently employs more than 80 associates at its Fremont facility, plans to hire additional production and sanitation associates in 2008 ahead of the expanded facility opening in the fall of 2008.
Governor's schedule for March 25-26
NOTE: All times are local.
Tuesday, March 25
-Governor Mitch Daniels will give welcoming remarks at the opening session of the 2008 Governor's Conference on Service and Volunteerism.
8 a.m.
Sheraton Indianapolis Hotel and Suites
8787 Keystone Crossing
-The governor will give an update on
12:30 p.m.
Strongbow Inn
2405
-The governor and officials from
3:30 p.m.
Hesburgh Library (14th Floor)
Wednesday, March 26
-Governor Mitch Daniels and officials from the Army's Aviation and Missile Command will join executives from BAE Systems to celebrate a milestone in the company's support of Army aviation.
10:30 a.m.
BAE Systems
IN THE NEWS
Tax Reform "Good for Hoosiers" "Good for Farmers"
March 20, 2008
By: Gary Truitt
Amidst much self congratulating, Governor Mitch Daniels and legislative leaders praised the property tax reform plan which was signed into law on Wednesday during special State Capitol ceremonies. "I want to thank the leaders and all members of the legislature who worked so hard for several months to make this possible and for the cooperative nature of that process, the bipartisanship that prevailed throughout, the overwhelming bipartisan majorities that finally voted for this bill and for the companion resolution," said Daniels. "We'll make law that inaugurates a new era of taxpayer protection in this state. It puts taxpayers first, taxpayer affordability first, and I believe gives Indiana yet another edge on its competition as America's best place to own a home or create a business," said the Governor as he put pen to paper flanked by Speaker of the House B. Patrick Bauer, Lieutenant Governor Becky Skillman, and Senate President Pro Tempore David Long.
Skillman said the plan not only cuts homeowner property taxes but puts spending controls on local governments to keep taxes from going back up, "We are entering into a new era of property tax restraint." But the 30% and 40% reduction that will be seen by most homeowners will not be shared by farmers.
State Agriculture Department Director Andy Miller said 90% of all farms will see some reduction in their tax bill, "Every situation that we have looked at taxes go down for those farmers." At a special briefing for agricultural journalists, Miller presented estimates that indicated an average 250 acre farm would see a 9.9% reduction, a 1000 acre farm would see a 10% reduction, and an operation over 2000 acres would see a 7.4% tax reduction under the new plan.
Miller also stressed that the method of assessing farmland would not change under this new law and, thus, increases in farmland values would not increase a farmer's tax assessment. Higher commodity prices along with changes in other input costs would impact a producer's assessment but would not necessarily mean higher tax bills. With several tax levies being removed from local property taxes, farmers could have a higher assessment but a lower tax bill.
The reform package also calls for a 1% increase in the state sales tax, but Miller pointed out that farm costs will be exempt, "That means about a billion dollars of new sales taxes will not be paid by famers for things they buy for the farm but instead will be shifted to other tax payers."
Indiana Farm Bureau released a statement saying many of the reforms in the legislation were needed but that the Governor and the legislature did not go far enough and that more needs to be done to fix the property tax system and to provide fair relief for farmers.
A 'new era' for taxpayers: Governor signs property tax reform bill into law
March 20, 2008
By Bill Ruthhart
After months of debate, disagreement and compromise, Gov. Mitch Daniels on Wednesday signed into law a property tax reform plan he said would "inaugurate a new era of taxpayer protection in
Daniels' signature on House Enrolled Act 1001 served as the final act in the state's answer to a property tax crisis that swept across
Much of the plan contains the framework of a proposal Daniels first announced in October.
With the law comes the guarantee from the governor and legislative leaders that the average Hoosier homeowner's property tax bill will drop by about 30 percent this year.
"This puts taxpayers first and taxpayer affordability first," Daniels said, "and I believe gives
To become law, the bill needed three signatures in addition to that of Daniels: Lt. Gov. Becky Skillman, Senate President Pro Tempore David C. Long, R-Fort Wayne, and House Speaker B. Patrick Bauer, D-South Bend.
The leaders signed the legislation in a Statehouse Rotunda ceremony Wednesday afternoon.
"This is truly a historic moment. We haven't seen, to this point, a property tax reform bill like this in the country," Long said. "This really is something special. We can say to the people of Indiana, the taxpayers, that we really have given them true reform and a true tax break."
Under the law, property tax bills for homeowners would be capped at 1 percent of a home's assessed value, with rental properties and farmland at 2 percent and businesses at 3 percent.
With the reduction in property taxes comes an increase in the state sales tax on April 1 from the current 6 percent to 7 percent.
"Any legislation this significant takes compromise. Sometimes compromise is a little painful, but you have a process to mitigate that within the bill," Bauer said.
While most property tax reforms adopted by the legislature became law Wednesday, one did not.
The constitutional amendment that would permanently place the property tax caps into the state constitution also must be adopted by the legislature elected this fall and then approved by voters in the 2010 general election.
Overall, Daniels lauded lawmakers for a civil discussion on a controversial issue.
"The debate was a fair one, an open one, and was conducted without rancor," he said. "I think we did
Economy in top shape, Daniels says
March 21, 2008
By Jimmy Nesbitt
Indiana Gov. Mitch Daniels said the state's economy is better prepared to handle a national recession than any other state in the
The state has the lowest unemployment rate it's had in six years, Daniels said, "and we're the only state around us that doesn't have a fiscal emergency."
"We're not going to be immune if there is a national downturn. But we've got tens of thousands of more jobs in this state than we did a few years ago."
Daniels was speaking after chairing a meeting of the Indiana Economic Development Corp., which met Thursday morning at the Old National Bank building in Downtown Evansville.
The Indiana Economic Development Corporation is the state of
In order to respond quickly to the needs of businesses, the corporation operates like a business. Led by Indiana Secretary of Commerce and Chief Executive Officer Nathan J. Feltman, the corporation is organized as a public-private partnership governed by a twelve-member board.
Daniels said
Economic goals
Daniels said his goals include getting the hourly wage above the national average. He also hopes to trigger more growth in the green economy. Daniels said his administration soon will be announcing plans for the world's biggest wind farm, which will be built in
"We have to diversify the
