V20, N31 Thursday April 23, 2015

HPI Poll: Pence still strong with GOP would be the Scott and Job approval still Jackson County HIV above 70% as epidemic that contin- ues to grow. primary challenge Among Republi- cans overall, 74% ap- talk swirls prove of Gov. Pence’s job performance By BRIAN A. HOWEY compared to 17% who INDIANAPOLIS – Gov. Mike disapprove. Among Re- Pence has a plethora of political and publican men, it stands policy problems to deal with, but a at 84/10% and among Republican gubernatorial primary isn’t Republican women, it likely to be one of them. is at 70/16%. Certainly, Since the fallout of the Reli- an incumbent governor gious Freedom Restoration Act, the would rather see those spinning rumor mill has centered on numbers in the 90th outgoing Angie’s List CEO Bill Oester- percentile, but with le and Indianapolis Mayor Greg Bal- three-quarters backing lard as potential primary challengers his job performance, to the embattled governor. But cross that is hardly enough tabulations in the April 12-14 Howey to sustain a legitimate Politics Indiana Poll (607 registered, primary challenge. +/-4.0) reveal that a legitimate pri- After the HPI Poll mary challenge to Pence would likely was published, Pence be a fool’s errand. The one ticking time bomb that could change that Continued on page 3 Our next U.S. senator By CRAIG DUNN KOKOMO – With age comes understanding, so they say. With the passing of time we all should be just a little wiser every day. And so it should be when it comes to government and politics. Here we are staring the 2016 United States Senate race in “No, I’m not. Nope, nope, nope. the face and I wonder if we will use our accumulated wisdom in Got my head down on my busi- selecting our next Republican ness. Nothing more to say.” Senate candidate. I sure hope so. In my opinion it is vitally im- - Purdue President Mitch portant for our next Republican Senate candidate to be able to Daniels, denying any interest master four critical skills. in running for governor in First, a successful Sen- ate candidate will need to be 2016, to Dave Bangert of the able to run an effective state- Lafayette Journal & Courier wide campaign. By statewide, Page 2

I mean statewide, as in from Mount pay a reasonable, but not excessive Vernon to Lawrenceberg, Angola to amount of tax on our income, go Hammond, and all points in between. home to our loved ones each evening The successful candidate will gain crit- and treat everyone with respect. We ical insight on Indiana’s unique time believe that we hold the power to find zones and the Hoosiers who inhabit solutions to problems facing us and them. Running a statewide campaign that government “help” is a last re- sounds like fun until you ponder the sort. We believe that we need to focus reality of a Lincoln Day dinner in Lake on restoring and expanding the middle County on a Monday evening followed class, providing better education for is a non-partisan newslet- by shaking hands the next morning our children and fostering an eco- ter based in Indianapolis and at a breakfast in Morgan County. You nomic environment to give everyone Nashville, Ind. It was founded put a lot of ugly miles on both your an opportunity for financial success. in 1994 in Fort Wayne. vehicle and your body. We need a sound and strong A successful statewide national defense to protect our It is published by campaign will require dump trucks freedom and way of life and, yet we WWWHowey Media, LLC loaded with cash in order to help shouldn’t poke our nose and money 405 Massachusetts Ave., spread the message throughout the in places that mean nothing to our Suite 300 Indianapolis, IN hills and hollers of Beanblossom, country. Finally, as hard as we try, we 46204 the cornfields of Newton County and know there will always be people in the working class neighborhoods of our society who fall off the grid and Kokomo. The trick, as always, will be need the support of their government. Brian A. Howey, Publisher amassing copious amounts of cash Whether they are hungry, physically Mark Schoeff Jr., Washington without losing your political soul in impaired, mentally ill or suffer from Jack E. Howey, Editor the process. Primary season is always diseases and addictions that plague Mary Lou Howey, Editor a time for well-heeled people to look our nation, we should always be will- over the field of candidates like a tout ing to offer support. Maureen Hayden, Statehouse at the horse track and lay their money Of course, with limited Matthew Butler, Daily Wire down on the candidate who may offer financial resources, we need to exam- Mark Curry, advertising the best return on investment. It will ine and allocate every dime of tax- be essential for our Republican Senate payer money in as wise and efficient Subscriptions candidate to garner the necessary manner as possible. The future can funds to win the election and not change for the better if we are willing HPI, HPI Daily Wire $599 become so beholden to the financial to change our tired old ways of run- HPI Weekly, $350 interests that when elected, forget ning government. Ray Volpe, Account Manager that they represent all Hoosiers. The third skill a successful Re- 317.602.3620 The second skill that our suc- publican Senate candidate will need to email: [email protected] cessful United States Senate candidate master is working four or five days a will need to achieve is the ability to week in the snake pit of Washington, deliver a popular message that will D.C., surrounded by wine, women and Contact HPI win votes in the primary but not lose song, being told you’re brilliant and www.howeypolitics.com the election in November. It is not my handsome and being plied with every [email protected] intent nor my job to tell any prospec- sort of toadying that can be offered Howey’s cell: 317.506.0883 tive candidate what their message up by the most talented of K Street ought to be, but like most political lobbyists, without forgetting that the Washington: 202.256.5822 writers, I’m not bashful about sharing good folks of Indiana sent you to the Business Office: 317.602.3620 my opinion. Senate to do a job. Don’t ever forget I believe that the mes- your roots. © 2015, Howey Politics Indiana. sage that the vast majority of voters Finally, a good Republican All rights reserved. Photocopy- in Indiana want to hear hits on these senator will have the skill to adapt to points: a variety of environments. In the mi- ing, Internet forwarding, fax- Indiana is a great state nority, they will look to forge bi-parti- ing or reproducing in any form, because we are a hardworking and re- san agreements on important issues. whole or part, is a violation of sponsible group of people who get up They will try and be constructive, even federal law without permission in the morning, go to work, make use- when the majority party abuses the from the publisher. ful things and provide useful services, process. When in the majority, they Page 3 will still look for opportunities to work with members of ate, I intend to take my time, listen to each of the candi- the Democrat Party on issues that are important to Hoo- dates and then support and vote for the person who will siers. If they must work with a Democrat president, they best serve the people of Indiana. will be respectful and look for common ground on critical Let the games begin! v issues. However, they will also carry a Constitution in their back pocket and defend it against all enemies, foreign and Dunn is chairman of the Howard County Republican domestic. Party. As we begin the long and difficult process of selecting our Republican candidate for United States Sen-

campaign donors that the RFRA episode was a disaster. Pence GOP, from page 1 There were reports that Vigo and Porter coun- ties had canceled Lincoln dinners. Vigo County Republican told WISH-TV at a school event, “We’ll let politics take Chairman Randy Gentry told Howey Politics Indiana that care of itself in the future but for now my focus is jobs and he didn’t cancel his annual Lincoln dinner. He just hasn’t schools and seeing those bright and shining faces here.” scheduled it yet. “I did tell the state party that the envi- Gov. Pence told the Brazil Times after he gave the ronment wasn’t good right now and I would schedule one Clay County Lincoln dinner address last Thursday that a later. I typically schedule mid-August, so this is not new reelection bid will be a “family decision.” On a potential for us. I like back-to-school time to presidential race, Pence brushed get folks fired up for the fall stretch. that question aside. Several Most of our races are in the fall.” informed and reliable Republi- Pence was slated to speak April 9 can sources say Pence has been at the Porter County Lincoln Day. He personally pained by the reaction canceled his appearance in conjunc- to his actions during the RFRA tion with local party leaders, Porter episode, particularly charges that County GOP officials told the NWI he is a “bigot.” Times. Porter County GOP Chair Many believed his first Mike Simpson said because of the term as governor was designed short amount of time to find a new to position him for a slot on the speaker, the event will be resched- 2016 presidential ticket, and the uled. “Now doesn’t seem to be the developing consensus is that both time for Republicans to be gather- presidential and veep spots are ing for any purpose other than to off the table after his performance discuss how to more proactively on ABC’s “This Week” on March convey that we are an inclusive and 29. Several influential Republicans non-discriminatory party,” Simpson HPI has talked with have won- said in a statement that reveals the dered if Pence has the stomach inner divisions within the GOP that for a second term. HPI believes RFRA has exposed. he will seek a seond term. This is not to say that Pence He sits on a $5 million doesn’t have his work cut out for and growing war chest. He was him in a 2016 general election. well received by capacity crowds Among independent voters who in Clay and Clark counties since will ultimately decide that elec- the RFRA “fix” was signed. A tion, Pence’s standing is a mediocre big gut check will come when 36% approve and 51% disapprove. he addresses the Marion County Gov. Mike Pence speaks before the Clay County Among independent women, he Republican Lincoln dinner on April Lincoln Day dinner at Center Point last Thursday to a stands at 36/49% and among inde- 30, a day after the General As- capacity 200 person crowd. (Brazil Times Photo) pendent men 35/54%. Among evan- sembly sine die. With much of his gelical Christians, Pence’s approval legislative agenda intact (See Matt stands at a surprisingly low 59%, suggesting that the sign- Butler’s analysis on Pages 7-8), Pence will find some reju- ing the RFRA “fix” has cost him with a key part of his base, venation in being able to declare this session a “success” while in the doughnut counties surrounding Indianapolis, despite the RFRA debacle. Having said that, Pence’s politi- it stands at 50/43%, which are other troubling signs for a cal team has heard loud and clear from party officials and Page 4 general election campaign. much to shake out. John Gregg is still mulling and obvi- In some of the most conservative areas of the ously awaiting the sine die of the General Assembly to state, Gov. Pence has his work cut out. In the 3rd CD his make a final decision. Gregg told WTHI-TV in Terre Haute approval stands at 51%; in the 4th it is 47%, in the 5th it that he’s only “considering” and he noted “time is tick- is 39% and in the 9th it is 37%. The 3rd, 4th and 5th CDs ing down” for a decision. “Karen Tallian, a state senator, are some of the most conservative CDs in the nation. Scott Pelath, a member of the Indiana House, and there In the RFRA dust, it was Oesterle who grabbed are some other folks that I think are discussing it, just not headlines, resigning from his CEO position and saying publicly,” Gregg said. he planned to become “civically involved.” In interviews Democratic sources tell Howey Politics that Pelath with Howey Politics Indiana and the IndyStar’s Matt Tully, said he would reconsider the race, but has not publicly Oesterle threw Purdue President Mitch Daniels into the commented on his deliberations. Former Indianapolis mix. He told HPI last week, “I would love to see Mitch mayor Bart Peterson’s name continues to be a wistful hope take another run and be governor again, but it’s a virtual for some Democrats, though Peterson and top political and impossibility he would run against Pence.” business allies continue to deflect any notion that he will Tully wrote on Tuesday: Oesterle confirmed talk return to politics. that he is aggressively pushing the idea of another run for governor by Daniels, perhaps as soon as next year. He Pence’s problem with female voters hadn’t discussed the idea with Daniels, now Purdue Uni- In the warm sunny days of late September 2012, versity’s president, and said, “’I’m just spouting off about Mike Pence was on a roll. it. What else can I do? I find it works better that way. If I In a Howey/DePauw Indiana Battleground Poll actually discuss it with him, he can tell me to stop.” taken between Sept. 19-23, 2012 the Republican guber- Later that day, Daniels put a quick end to it, natorial nominee appeared to be on his way to what many although in similar fashion to his admonishment of the had expected, a landslide victory over Democrat John press in 2010-11 when talk of a presidential campaign Gregg. He was leading Gregg 47-34% with Libertarian Ru- repeatedly surfaced (and he was actually plotting a cam- pert Boneham sitting at 5%. Among female voters, Pence paign). Daniels told the Lafayette Journal & Courier’s Dave was leading 46-33%. Bangert, “No, I’m not. Nope, nope, nope, nope. Got my And then came the day of political infamy, Oct. head down on my business. Nothing more to say.” Daniels 23, 2012, when Republican U.S. Senate nominee Richard insisted that his only priorities are the “black and gold.” Mourdock not only self-immolated with his debate com- The logistics of a sitting university president and avowed ments on rape, but in the following days it started a chain political celibate running simply don’t make sense. reaction that impacted Pence’s political career. Pence ini- The other name floating around is Ballard. But that tially called on Mourdock to apologize for his remarks, and one doesn’t have legs either. Ballard donated $400,000 of then a few days later rallied his leftover war chest to presumed around the embattled Indiana Republican nominee Chuck Brewer. treasurer at campaign rallies Influential Republican sources and in TV interviews. describe Ballard prior to his an- The impact was stunning. nouncement he wouldn’t seek Not only did Pence limp over reelection as “beaten down” but he the finish line with just 49% of since has regained some spring in the vote and a victory margin his step, despite the City-County of just a paltry 2.5%, but the Council’s override of his public events gashed Pence’s support safety veto on Monday. among women voters. In the While former Sen. Dick Oct. 24-26 Howey/DePauw Lugar used the Indianapolis may- Poll, Pence found himself tied oral office as a springboard for the with Gregg among women, rest of his career, other long-term 42-42%. And when the dust mayors haven’t been so fortunate. settled on Election Day, Pence Exhibit A was legendary India- lost the female vote 52-47%. napolis Mayor Bill Hudnut’s unsuc- It was a stunning erosion of cessful 1990 secretary of state 18% in just five weeks. And it race against Joe Hogsett. Ballard wasn’t as if the Gregg cam- would almost certainly find that in paign pushed the issue with out-state Indiana, a big city mayor TV advertising in the final six would be met with skepticism. weeks, as the Indiana gover- As for the 2016 general nor race was obscured by what election, Indiana Democrats have would be a $50 million Senate Page 5 showdown that sucked the Gov. Pence is oxygen away from the gu- expected to make bernatorial and other races. decisions on his Bellwether Research political future in pollster Christine Matthews early May. Just told Howey Politics in its a month ago, Nov. 15, 2012, edition, “I that decision was wasn’t expecting him to lose supposed to be women by the 47%-52% between seeking he did and I think there a second term or was definitely a ‘Mourdock’ getting into the impact on his race.” crowded Repub- This was not lost lican presidential on Pence or his political Gov. Pence with Lt. Gov. Ellspermann and the all-female 2014 Republican ticket of nomination fight. team. Pence had always Kelly Mitchell, Suzanne Crouch and Connie Lawson. Since the Reli- had gender awareness, gious Freedom evidenced by his selec- Restoration Act tion of Sue Ellspermann as his running mate and in 2013 debacle, most believe he will opt for reelection, though his appointment of Suzanne Crouch as state auditor, after he told the Brazil Times after the Clay County Republican opting for an ill-fated choice of African-American Dwayne Lincoln dinner a week ago that a reelection bid would be Sawyer several months prior. a “family decision.” It continued on through the 2014 election cycle The big problem for Gov. Pence heading into a re- when Indiana Republicans nominated their first all-female election bid is the specter of a move to expand Indiana’s ticket in Secretary of State Connie Lawson, Crouch and civil rights code to include sexual orientation, which would Treasurer Kelly Mitchell. At the Republican State Conven- presumably play out between January and March of the tion in June 2014, the Pence political apparatus threw its 2016 election year. weight behind Mitchell, who won the nomination on the Corporate leaders of both parties, and the NCAA, third ballot. will push for this expansion with threats of leaving the The moves were seen as Exhibit A in the com- state if the protections aren’t broadened. Pence might be bating of what Democrats had called the GOP’s “war on inclined to dig in, as Louisiana Gov. Bobby Jindal did in a women.” New York Times op-ed this morning, observing of Indiana and Arkansas, “That political leaders in both states quickly Fast forward to April 2015 cowered amid the shrieks of big business and the radical Fast forward to this month with the latest Howey left should alarm us all. As the fight for religious liberty Politics Indiana Poll revealing the free-fall of Gov. Pence’s moves to Louisiana, I have a clear message for any cor- favorables and job approval numbers, but also his support poration that contemplates bullying our state: Save your among female voters which is even worse than it was in breath.” November 2012. House Speaker Brian Bosma and Senate President On the job approval question, Pence is sideways David Long have been overt in their signals that the issue with women with 37% approving and 51% disapproving. will be dealt with. “It’s on the front burner as far as dis- Among female voters, Pence’s impressions/awareness cussions about where we go from here, and I don’t want numbers stood at 28% favorable and 42% unfavorable. to make predictions, but I think that was a good thing for That compares to Democratic Supt. Glenda Ritz, whose our state to go through,” Long said last week. numbers stood at 56/37%. Pence’s favorable/unfavorables The political problem is that the HPI Poll found stood at 28/35% among independent female voters. His support for the civil rights expansion to include sexual favorables among Republican women stand at 58/15%, orientation stood at 54-34% among all poll respondents. but that compares with Republican males who stand at Among female voters support is even more emphatic 69/11%. with 60% favor the civil rights expansion and 30% op- Female voters had a dim view of RFRA. Some 55% pose. Among Republican women, 45% support and 43% of them said RFRA will have a “negative” impact on the In- oppose. Among independent women, 67% support and diana economy after it is no longer in the headlines, com- 21% oppose. With Democratic women 70% support and pared to 5% who said it would be positive. With college- 22% oppose. educated females, 73% said the law was unnecessary, The 2016 election is 17 months off, enough time compared to just 33% of men. “I was really struck by the for Pence to recover. But in doing so, he’s going to have tremendous gender gap,” Matthews told CNHI’s Maureen to find away to straighten out his standing with female Hayden. “Then RFRA blew the top off it. The bottom has voters. v fallen out with college-educated women.” Page 6

53% favoring legal use and 44% opposed. As recently HPI Poll: Dramatic as 2006, just 32% supported marijuana legalization, while nearly twice as many (60%) were opposed. Mil- lennials (currently 18-34) have been in the forefront of shift in marijuana laws this change: 68% favor legalizing marijuana use, by far By BRIAN A. HOWEY the highest percentage of any age group. But across all INDIANAPOLIS – When it comes to whether Indi- generations, except for the Silent Generation (ages 70-87), ana will reform its marijuana laws, don’t hold that bong hit support for legalization has risen sharply over the past de- too long in hopes that it will happen any time soon. cade. The most frequently cited reasons for supporting the The Howey Politics Indiana Poll found ample sup- legalization of marijuana are its medicinal benefits (41%) port to do that. On the question: Twenty-three states and and the belief that marijuana is no worse than other drugs the District of Columbia have legalized marijuana use in (36%), with many explicitly mentioning that they think it is some form. In Indiana, it’s not legal for any use. Which of the following do you support? The results broke down: 24%, legal- ize marijuana for rec- reational and medicinal use; 31%, legalize mari- juana for medicinal use only; 13%, decriminalize HPI Poll results (top) and a history of Pew Research marijuana possession of national polling (left). any amount to be a fine as opposed to jail time; no more dangerous than alcohol or cigarettes. 28%, keep Indiana laws So why will the status quo stay in place the way they are; 4%, here in Indiana while Chicago and Michigan on don’t know. our borders and Western states have reformed One way to their laws? read it is that 68% favor First, Gov. Mike Pence is ardently op- some type of marijuana posed to any reforms to marijuana or any other law reform, and 28% fa- drug-related laws. He has been resistant to the vor the status quo, with needle exchange program to confront the Scott 4% undecided. and Jackson county HIV crisis. “I do not enter HPI posed the into this lightly,” Pence said during a press confer- question differently with ence in March. “In response to a public health this poll than we did in emergency, I’m prepared to make an exception to April 2013 and October my long-standing opposition to needle exchange 2012. In April 2013, the programs.” question was: Do you favor or oppose making possession Republicans have the legislative super of a small amount of marijuana an infraction rather than a majorities and of political parties, GOP voters are more re- crime? The results were 56% favored and 38% opposed. luctant to pot reforms than two other pools of voters, but On a similar question in the October 2012 Howey/DePauw not by that much. Among Republican voters, 40% want Indiana Battleground Poll (all polls conducted by Bellweth- to maintain the status quo, 30% favor medicinal, 15% er’s Christine Matthews and the 2012 poll with Democratic want outright legalization and 12% favor decriminaliza- pollster Fred Yang), 54% favored and 37% opposed. tion. While 57% of Republicans favor some sort of reform, These survey results correspond with other that probably won’t be enough to ignite a 2016 platform national surveys released during this “4/20” week. A CBS change and action in the General Assembly. It’s a signifi- News Poll found a record high 53% favored legalization cant change, but not a groundswell. while 43% want it illegal. CBS News reported that pub- There is a slight variation among Republican gen- lic opinion on legalizing pot has shifted over the last few erations. In the 18-44 age group, 20% favor legalization, years, and has changed dramatically since 1979 when CBS 31 medicinal, and 11% decriminalization, for a total 62% News first asked about it. Back then, just 27% said mari- favoring some reform, while 36% are opposed. Among juana use should be legal. As recently as 2011, a majority Republicans 45 and older, 45% favor the status quo while of Americans opposed legalized pot use. 10% favor legalization, 29% medicinal, and 12% decrimi- Pew Research had almost identical numbers: nalization. Page 7

Among independent voters, 32% favor legal- ization, 32% favor medicinal, 13% want decriminalization Gov. Pence’s legislative and 19% favor the status quo. Or 79% of these potentially swing voters favor some type of reform. Among Demo- crats, 28% favor legalization, 29% favor medicinal, 17% agenda mostly intact decriminalization and 20% favor the status quo. By MATTHEW BUTLER Missing in the marijuana reform paradigm is any INDIANAPOLIS – After the crossover point in late organized effort to build a consensus for reforms, nor has February, Howey Politics Indiana wrote the two unforeseen there been a conspicuous public outcry for change. The “wild cards” of the General Assembly session were repeal state’s NORML chapter is essentially missing in action. No of the common wage and emergency steps to shorten this other advocacy group has surfaced (with the exception of spring’s ISTEP. Both had Gov. Mike Pence’s vocal support Broad Ripple gadfly Bill Levine, who got some airtime on and the latter was spurred by his calls for action in the CNN during the RFRA episode advocating religious use of guise of two high-profile press pot), unlike those in Colorado, Oregon, both Washingtons conferences.They can be chalked up as administration victories as ISTEP is shortened and the com- mon wage repeal now awaits his signature despite a close vote on the senate floor. Starting in late March and early April there would emerge two far more serious wild cards and place the Pence Administration under national scrutiny: The HIV epi- demic emanating out of Scott County and the fallout over the Religious Freedom Restoration Act (RFRA). Pence spoke at a statehouse rally in support of the legislation, hosted an invitation-only signing ceremony and Alaska. It’s worth noting the dramatic shift in public once the bill reached his desk, and, to use an overused opinion on the issue in Indiana came without an advocacy phrase that does apply in this instance, doubled-down on group lobbying and spending money to build a consensus. RFRA before a national television audience. In the 2012 gubernatorial race, Democrat nominee He immediately signed the legislative “fix” but John Gregg said at the debate in Zionsville he was op- remained on the sidelines during negotiations; the busi- posed to legalization, though he said he would consider ness and medicinal. But it is unlikely that Gregg or any other Demo- corporate com- cratic gubernatorial nominee will make the issue a major munity could campaign platform. not have failed One opening would be that 68% would probably to notice. On back the lowest level of reform, which would decriminal- paper, passage ize marijuana. This would eliminate jail time, keep about of RFRA was a 10,000 Hoosiers each year from having a criminal blemish legislative suc- on their records, and help unclog overburdened courts and cess. Politically, probation agencies. A Republican consensus could prob- it may be the ably be developed around that along the lines of saving most defin- taxpayer money. The state could also monitor legalization ing as well in Washington, Colorado and Oregon. as damaging As with gay marriage, social attitudes toward event of his marijuana have shifted dramatically both nationally and administration. here in Indiana. The Indiana General Assembly and major As for the HIV crisis, a bill allowing for needle exchanges party figures have been slow to acknowledge or embrace in at-risk counties could reach his desk. Ideologically op- the shift. There is peril in doing so, as Gov. Pence and posed to needle exchanges, Pence could veto it and incur legislative Republicans discovered to stunning effect by possible political fallout if the epidemic does not improve. the reaction to the RFRA episode over the past month. It With only days before sine die, HPI asked the happened with the lottery/gaming referendum in 1988. Pence administration this week about the status of the Republican leadership had stonewalled any change to state governor’s legislative agenda. They named 12 bills, all of gaming laws for decades, until House Speaker J. Roberts which had passed albeit some “with amendments” as they Dailey was upset in 1986. The message was received, the put it. Upon inspection it’s safe to declare that legislative legislature approved the lottery referendum in 1987 and agenda has advanced and is mostly intact. 1988 and voters approved it with 64% of the vote. v Several were low-profile. HB1145 grants civil Page 8 immunity for volunteer health care providers. HB1303 by them. The Senate followed suit with a larger appropria- reforms how privately certified professionals will be reg- tion. This did not surprise anyone, however. What will be istered by the state in occupations not already regulated interesting to see is how the downgraded revenue forecast already by state law. And, HB1182 will create a statewide might impact the funding formula. Or, perhaps more likely, fire training academy to assist smaller and volunteer hit other items at the expense of keeping the funding for- departments. Pence is scheduled to sign it into law this mula a top priority. morning at the Convention Center as the 80th annual Fire The Pence administration’s budget proposal drew Department Instructors Conference meets. criticism for not requesting additional funding for staffing The Pence administration at the Department of Child Services. proposed a budget that was “struc- It cited a pending external review by turally balanced,” limited spending consultants. The agency has suffered growth under the rate of inflation, and from high employee turnover and maintained reserves above at least exceeding caseload limits. Democrats 12.5 percent of annual spending. As called upon Pence to request 77 ad- HB1001 enters into flurry of negotia- ditional case managers in his budget tions, these parameters will be met. proposal. The administration ended So will the governor’s request for a bal- up asking for more. After the review’s anced budget amendment to the state findings were released in mid-March, constitution. He unveiled that request Pence asked for $7.5 million in order and stressed it during his State of the to hire an additional 100 family case State address. It’s on its way to return managers and 17 supervisors. It’s a next year and then, if passed verba- request that will almost certainly be tim, be put before voters in November fulfilled. “I think it would be highly 2018. Other fiscal priorities such as tax simplification have unlikely for us to take that out,” Chairman Brown told HPI advanced as well. Wednesday. Gov. Pence billed the 2015 General Assembly as an There are two items that will not be addressed “education session” as far back as early December when fully: Prison funding and funding for regional city redevel- he outlined several key agenda priorities. Unlike the House opment. The house expressly did not include any funding and Senate Republicans’ key focus of the public school for Pence’s request to increase cell capacity at the Wabash funding formula, Pence’s focused more on particulars Valley and Miami Correctional Facilities. That appropriation regarding school choice and the State Board of Education would have involved $51 million in cash funding on top of (SBOE). He announced he was shuttering his own cre- a $43 million budget increase for the Department of Cor- ation, the Center for Education and Career Innovation, and rections. Both chambers have said they would rather fund instead would focus and concentrate his political control community corrections, a major accomplishment within on the SBOE. Whereas the buzz in December and Janu- last year’s criminal code reforms. ary was the possibility of eliminating the superintendent of Whereas Gov. Pence requested $84 million for public instruction as an elected post, Pence circumvented the Regional Cities Initiative, a top priority of the Indiana some of the potential political outcry and called for a Association of Cities and Towns, both the House and Sen- drastic change to the governance of the SBOE. Instead ate approved only $20 million. In response to the sub- of the superintendent automatically serving as chair, the stantial reduction, IEDC President Eric Doden wrote, “The governor-appointed board would elect its own leader. Regional Cities Initiative will enable bold transformative Democrats, teachers’ unions, and other groups held a changes in communities across Indiana to grow and retain large statehouse rally in support of Glenda Ritz and some our best and brightest. Unfortunately, the House budget Republicans broke ranks in both chambers. Ultimately, provides an insufficient amount of state investment to pur- Pence’s approach in the guise of SB 1 has advanced. It sue bold, nationally recognized transformative change for was a top agenda item and it’s so far successful. Indiana’s regional economies.” The IEDC believes hundreds Pence also requested two key school choice of millions of dollars will be needed over the next decade reforms: Removing the monetary cap on school vouchers in order to have a transformative statewide impact. Propo- and providing a $1,500-per-pupil grant to charter schools. nents are hopeful the amounts might meet somewhere in The House passed both but the Senate stripped the latter. the middle before sine die. It remains uncertain if not unlikely. Overall, one can anticipate a post-legislative press As for the school funding formula, Gov. Pence conference by the governor in which he declares this asked for a 2-percent increase ($201 million) over the budgetary session a success and his education agenda biennium, House Republicans proposed an increase of 4.7 passed into law. The implications of those policies and how percent ($469 million). “We spent more money than the certain elements were handled, like RFRA, SBOE reform, governor did,” House Ways & Means Chairman Tim Brown the school funding formula, and needle exchanges, remain said. It was something that got “a little more emphasis” unclear. v Page 9

ently be of less assessed value as compared to first-gener- ‘Dark store’ could ation big-box stores. cost locals millions Dark stores impact? A study by Policy Analytics for the Indiana Associa- By MATTHEW BUTLER tion of Counties estimates 17,067 commercial properties INDIANAPOLIS – A new precedent is poised to would be affected, resulting in a 45-percent reduction in drastically alter how Indiana big-box retail stores are as- assessed value, some $3.49 billion statewide. Lower as- sessed for property taxes. If left unaddressed this legisla- sessed value for big-box retail stores will result in a tax tive session, local government entities fear it could lead shift to the tune of $49.9 million per year to other busi- to a flurry of tax appeals, refunds going back years, and nesses and homeowners. Moreover, it will reduce revenue cost an estimated $120 million by $43.1 million for taxing units and hit TIF districts with statewide in lost annual revenue. an estimated loss of $25.6 million. As the sine die approaches, a The estimated net levy lost by applying the dark Wednesday conference committee store assessment methodology would be an appreciable for SB436 failed to resolve differ- hit of over a million dollars for at least thirteen counties: ing language on the matter. Allen ($4.1 million); Delaware ($1.18); Elkhart ($3.38); The issue stems from a Hamilton ($1.23); Hendricks ($1.32); Howard ($1.84); December ruling in which the big-box retail chain of Meijer Johnson ($1.06); Lake ($3.82); Madison ($1.35); Marion appealed the assessed value of one of its Indianapolis ($7.78); St. Joseph ($1.69); Vanderburgh ($1.86); and, stores. The Indiana Board of Tax Review (IBTR) ruled Wayne ($1.0). in Meijer’s favor and reduced the assessed value from Meijer and other stores have been successful in $19.7 million to $7.2 million. Taking into account property applying the dark store methodology in Michigan. Local tax caps, the 2012 bill was reduced from governments since 2010 have been hit with $486,000 to $177,500, a 63=percent tax legal fees, paying for tax refunds, and dealing cut. Moreover, a $2.4-million refund was with reduced revenues. Earlier this month the awarded for assessments dating back to Lansing State Journal reported that Mason 2002. Kohl’s won a similar ruling in Howard and Ottawa counties lost millions in assessed County. value and nearly $300,000 and $745,000, It could turn commercial property respectively, in annual revenue. If the India- assessed value on its head statewide. napolis Meijer ruling stands, the $2.5-million Indeed, that was the point. Faegre Baker refund will be drawn from across the county’s Daniels attorney Stephen Paul, counsel for taxing units. If the ‘dark store’ methodol- Meijer, told the Indianapolis Business Jour- ogy is applied wholesale, Marion County’s nal in January that the Indianapolis store schools and libraries would be hit to the tune was a “test case.” Both it and the Kohl’s of approximately $3.2 million and $360,000, ruling are under appeal, but now Meijer respectively. The wider tax base could also and other big-box chains are taking steps suffer diminution through a cascade effect in State Sen. Brandt Hershman to contest their individual stores’ assess- which the now lower assessed big-box stores ments county by county. The IBTR accepted and the land beneath them depresses nearby Meijer’s property tax assessment methodology over the commercial and residential properties. prevailing method in Indiana, which rests on the current highest and best usage of the property. The chain argued SB 436: Fixing or codifying? for an expansive definition of market value and compared Looking to the 2015 Indiana General Assembly, its relatively new store on the bustling 96th Street corridor local government groups and officials wanted measures to between Indianapolis, Carmel, and Fishers to other big- prevent the Michigan experience. “It looked like a double box chains’ vacant stores, or “dark stores,” in Anderson, hit,” Indiana Association of Counties (IAC) Executive Direc- Bloomington, Clarksville, and Lafayette. tor David Bottorff told to HPI Wednesday. “You have to County assessors and local officials find this a spe- come up with money for refunds and you have less money cious methodology. They argue it intentionally compares going forward, a big problem. We saw a huge decline in properties in dissimilar circumstances. New purpose-built assessed value ready to take place.” stores occupied by big-box chains are inherently more IAC along with the Indiana Association of Cities valuable than those stores either vacant or sold on the and Towns (IACT), the Indiana Association of School Busi- secondary market, they argue. Moreover, such properties ness Officials, and the Indiana Association of Public School are often sold on the secondary market with value-sapping Superintendents lobbied for a legislative fix. They found, deed restrictions disbarring competitors or similar retail perhaps, a surprising champion: Senate Tax & Fiscal Policy operations. Thus, opponents argue, dark stores will inher- Page 10

Committee Chairman Brandt Hershman, R-Buck Creek. Earlier this week IACT used a scheduled state- It’s a reversal from last year. Then those groups were fully house visit by mayors from across the state to lobby on mobilized in opposition to the repeal of the business per- the ‘dark store’ issue. It was a bipartisan group comprising sonal property tax (BBPT). Both Sen. Hershman and Gov. Pete Buttigieg, D-South Bend; Greg Goodnight, D-Kokomo; Mike Pence were proponents. Ultimately, a county option Tony Roswarski, D-Lafayette; Allan Kaufman, D-Goshen; was settled upon. Mark Myers, R-Greenwood; and David Wood, R-Mishawa- “We explained to Sen. Hershman, we walked ka. Sen. Hershman does not appear ready to compromise. through it, and we came to the conclusion that was not “It’s still up in the air,” Brown told HPI following SB436’s the intent of the “market value in-use,” which is in the Wednesday conference committee. “Sen. Hershman did property tax manual. So he agreed we needed to address not put forth any proposal today. I’ve had some private that before additional properties started to get that reduc- conversations about why we did it so he understands our tion in assessed value using that methodology,” Bottorff rationale and reasoning. I don’t think I convinced him 100 explained. Hershman amended his SB436 in committee percent.” to specify “chain stores commonly referred to as big-box “We know it’s a difficult situation for the General stores” as well as “fast -ood restaurant chain properties, Assembly to come up with the proper assessment meth- national retail drugstores, movie theaters, home improve- odology,” Bottorff told HPI. “We really need to address this ment chain stores” and other categories cannot use the big-box issue this session to stop these refunds and lower ‘dark store’ assessment methodology. Instead, market assessed value.” v value-in-use and improvement costs through the store’s * * * federal taxes and construction costs would determine as- CASINO DEAL IN WORKS: Land-based casinos ap- sessed value. peared to be safe Wednesday as House and Senate The House Ways & Means Committee replaced this negotiators worked toward crafting final legislative lan- language. Local groups fear the changes are actually codi- guage aimed at improving the competitiveness of Indiana’s fying the Meijer ruling. Chairman Tim Brown told HPI that gaming industry (Carden, NWI Times). The conference using federal measures to arrive at cost could allow for committee for House Bill 1540 focused primarily on issues depreciation that would result lower than expected assess- involving live dealers at the two central Indiana horse track ment values. “We said cost is the preferred method, but casinos, tax relief for the French Lick casino and cannibal- when you bring something in for appeal or an evaluation, ism concerns among Ohio River casinos in its only public you can use all three of the methods under our law: cost, meeting prior to the private negotiations that next week income, or sales comparison,” Brown explained Wednes- will produce a compromise proposal. The panel, led by day. Whereas others argue there is only a depressed state Rep. Tom Dermody, R-LaPorte, seemed unanimous in secondary market for vacant big-box stores, Brown said supporting a provision, previously endorsed by both cham- analysis revealed that market still exists and costs can be bers, permitting Indiana’s permanently docked riverboat evaluated. His language would disallow using long-term casinos to relocate onto adjacent land. vacant stores for comparison. After 24 months of vacancy, John Keeler, counsel and general manager for those stores would be deemed “environmentally obsoles- Centaur Gaming, which owns Hoosier Park Racing & cent.” Brown also says his language requires an “arms- Casino and Indiana Grand, said he thinks the limited live length transaction” in those sales thus preventing deed dealers over the next five years would give the casinos restrictions. time to prepare for more competition in the Indianapolis Whereas local groups wanted a solution this ses- market (Osowski, Anderson Herald-Bulletin). “I would ask sion, they might be willing to accept no bill rather than the you to look at re-inserting the language giving us a limited house’s current language. “While somewhat limiting, the number of table games,” Keeler asked the committee. 24-month window in the House version still gives apprais- ers the opportunity to find low value, second generation Bills awaiting Pence signature sales to use as comparable properties to new buildings,” NWI Times’ Dan Carden compiled bills on Gov. Bottorff told HPI. “The business’s actual construction cost Mike Pence’s desk after passing House or Senate: and land purchase is the best indicator of value after Service member contracts (82-0) — House Bill the initial years of construction. We would never allow a 1456 prevents members of the U.S. military or Indiana Na- homeowner to purchase the best, most expensive lot in tional Guard called to active duty from being charged early a neighborhood, build a new house and immediately file termination fees or other financial penalties if they cancel an appeal based on the sale of an older home in a less telephone, television, satellite radio, Internet service or desirable neighborhood. New buildings need to be based gym memberships due to their deployments. on cost for at least the first 25-percent of the buildings Wine by mail (42-5) — Senate Bill 113 rescinds expected lifespan. Our study is based on actual appraisals Indiana’s cumbersome process for purchasing wine by mail being submitted to assessors so we know what will hap- and authorizes Hoosiers to buy wine from online retailers if pen, businesses will use appraisals of older properties on the purchaser provides the seller his or her name, address, new stores. We have already seen it.” telephone number and proof of legal drinking age. v Page 11

Senate in 2016.” Brooks, Walorski out, The Brooks decision caught some influential Republicans by surprise. Former Republican chairman Rex Early told Howey Politics that two weeks ago he was con- eyes on Stutzman, vinced that Brooks was going to enter the race with the imprimatur of her husband, David Brooks, who had been Young for Senate signaling a run was imminent. Brooks had been reaching out to Hoosier Republicans across the state and was slated By BRIAN A. HOWEY to speak at the LaPorte County Lincoln dinner, well outside INDIANAPOLIS – Indiana’s open U.S. Senate of her 5th CD. campaign took on a modicum of definition Monday when Last week, Walorski came to the same conclu- rising star U.S. Rep. Susan Brooks opted to a 2016 reelect. sion in words similar to Brooks’. “Serving Hoosiers in the In tandem with U.S. Rep. Jackie Walorski who came to the Second District is truly a privilege and one of the greatest same conclusion, the one definitive element is that it won’t honors I’ve had,” said Walorski in announcing a reelection be a Republican to break the gender barrier for Senate of- bid last week, bolstered by raising $250,000 in the first fices that have always been occupied by white males over quarter. “I am so grateful to represent the best district the state’s nearly 200 years of existence. in Congress and Dean and I have been blessed by the With Brooks and Walorski out, all GOP eyes are outpouring of support we’ve received over the past few directed to the one candi- weeks.” Walorski and Brooks became the first Republican date already in, former state women to enter Congress in 2012 since U.S. Rep. Cecil Republican chairman Eric Harden more than a half century before. Holcomb, as well as U.S. As for Rep. Young, spokesman Trevor Foughty told Reps. Todd Young of Bloom- HPI that Brooks’ announcement simply “creates a clearer ington and Marlin Stutzman lane for us.” Speculation in GOP circles was that Brooks of Howe who are both and Young were unlikely to both run. Both Walorski and “preparing” for a potential Brooks had called Young to give him a heads up on their bid. Stutzman has appar- decisions. Foughty said that the Brooks decision “creates ently scheduled a campaign kickoff for May 9. Another, breathing room. We don’t have to rush to a decision.” U.S. Rep. Todd Rokita, is said to be weighing a bid, but Stutzman finished second to U.S. Sen. Dan Coats multiple sources are telling HPI he is unlikely to enter. And in the 2010 Republican primary. Holcomb has been travel- with the sine die of the Indiana General Assembly on April ing the state, building a campaign organization on a daily 29, House Speaker Brian Bosma of Indianapolis, State basis, while he raised $125,000 in the six days between Sens. Mike Delph of Carmel and Jim Merritt of Indianapolis his announcement on March 26 at the FEC filing deadline. can begin their decision-making pro- Stutzman has about $424,000 cess along with Democrat State Rep. available for a possible Senate Christina Hale of Indianapolis. Delph, bid, according to the first-quar- sources say, was holding off on the ter campaign finance report Senate race in case Brooks’ House he filed last week, according seat opened up. to the Fort Wayne Journal Brooks said on Monday, “I Gazette. Rep. Young has $1.11 am grateful to represent the 5th million, followed by Rep. Todd District of Indiana in the United Rokita, R-4th, with $1.04 States House of Representatives. It million and Rep. Brooks with is a responsibility and mission that I $884,000, according to their appreciate more each day. The op- reports. portunity I have to lead and serve is Holcomb raised over one I value deeply. This is a critical $125,000 in the six days time in the life of our nation, and between the announcement I am optimistic about my ability to of his U.S. Senate candidacy help meet the challenges we face. I on March 26, and the close of have concluded that the best way to Reps. Brooks and Walorski are out of the Senate race, the first quarter on March 31. have a positive impact for Indiana is Rep. Stutzman is in and all eyes are on Rep. Young. “The response has been, and to continue the work I have started continues to be, overwhelming in the 5th District, along with my and encouraging. We not only hit our internal goal of ‘six service on the Energy and Commerce Committee and the figures in six days’ but we exceeded it beyond our expec- Select Committee on Benghazi. For that reason, I have tations,” said Holcomb campaign spokesman Pete Seat. decided that I will not be a candidate for the United States “Eric’s five key goals, and finding real forward-looking, In- Page 12 diana-grown solutions that support those goals, is resonat- Dick Moore. Primary Horse Race Status: Leans Neese. ing in every corner of the state. From Lake to Posey, and from Allen to Scott, our 165 unique contributors represent- Fort Wayne: Harper has only $31,000 ed 27 Indiana counties with many, many more to come. Both Fort Wayne Mayor Tom Henry and Republi- Key facts about Eric Holcomb’s first-quarter fundraising can Councilman Mitch Harper are easily expected to win report: 174 total contributions; 165 unique contributors; their respective primaries. But Henry has a huge cash- 138 contributions from Indiana (79.3 percent of total); no on-hand lead over Republican challenger Mitch Harper contributions from political action committees; $125,469 (Howey Politics Indiana). According to campaign finance total raised; 78.9 percent of total from Indiana donors; reports, Henry has $661,000 cash on hand, compared to nearly 80 percent of contributions from Indiana; contribu- $31,000 for the Fort Wayne Council president. Both Henry tions represent 27 Indiana counties; over 61 percent of and Harper have only token primary opponents, with all contributions were $250 or less; over 75 percent of the Wayne Township Trustee Richard Stevenson having a mere campaign’s donations generated online through email and $1,462 cash on hand. Henry is seeking his third term. social media solicitations.” Henry started the cycle with $559,568 while the Friends of As for Democrats, Rep. Hale appears to be nearing Mitch Harper Committee began with $15,302. The Harper a decision to get into the race, former congressman Baron campaign told the Fort Wayne Journal Gazette that the Hill is still mulling a run for the same seat he ran for in candidate “has been focused going door to door, neighbor- 1990, or the gubernatorial race, and the Democratic Sena- hood to neighborhood.” His spokeswoman Veronica Wilson torial Campaign Committee, sources say, is still holding said, “Make no mistake, once we are through the primary, out that former senator Evan Bayh jumps in with his $9.9 those individuals and others hungry for new leadership will million war chest. Bayh has told state and national media bolster Mitch’s campaign and fundraising efforts.” Primary that he probably won’t run for anything in 2016, but he Horse Race Status: Safe Henry; Safe Harper. speaks in present tense and has always been in a “never say never” mode. As long as Bayh stays in that mode, it South Bend: Buttigieg has $365k COH is unlikely that a Democrat like Hill or Hale will find much South Bend Mayor Pete Buttigieg continues to out- fundraising traction. Hale told HPI that she was consider- raise and out-spend Common Council member Henry Davis ing the race prior to Sen. Coats’ March 24 announcement Jr. in the race for the Democratic nomination for mayor that he would not seek reelection. (Blasko, South Bend Tribune). According to recent cam- paign finance reports, Buttigieg raised $136,605 and spent Mayors $76,631.97 between Jan. 1 and April 10. He finished the period with $365,479.94 cash on hand. Davis, by compari- Elkhart: Neese favored son, raised $2,292, all from individual contributors, and Former state representative Tim Neese has found spent $2,087.26. He finished with $204.74 cash on hand. himself in a competitive Republican mayoral primary, Davis finished the previous reporting period with 13 cents facing Dan Boecher. Local observers tell HPI that Neese’s cash on hand. Davis has said he is not concerned by the early start and his close ties to the conservative wing of numbers. “The greatest thing about it is the fact I don’t the city party have positioned him well. Neese started have any hooks in my back,” he said. “I’m not beholden to campaigning back in August 2013 and has developed any special interests.” Primary Horse Race Status: Safe strong name recognition. Buttigieg. Boecher didn’t announce his bid until last January. Richmond: Ingram outraises all candidates Neese served 12 years in Richmond Republican mayoral candidate Kyle the General Assembly which Ingram has raised and spent more money on this spring’s helped him forge multiple primary election than the other four candidates, both ties with the community. Republican and Democrat, combined (Engle, Richmond Boecher is known, but Palladium-Item). In election campaign reporting docu- more to city movers and ments filed Friday, the Ingram campaign raised $34,747.30 shakers, those involved in and spent $31,099.91 during the reporting period of Jan. development projects. “I would say Neese has a stronger 1 through April 10. Republican opponent Diana Pappin was connection to the conservative element of Elkhart, which next, raising $13,842.21 and spending $8,055.62. Dave is pretty strong,” said Elkhart Truth reporter Tim Vande- Snow led the Democratic fundraisers with $4,728.89 and nack. “Boecher seems to be more involved with the upper spent $2,964.30. Democrat Monica Burns raised $1,051.29 echelons of the community.” Boucher raised $28,000 in and spent $579.60. Democrat Larry Scott did not raise donations, mainly from several big donors, thus far in or spend any money on his mayoral campaign during the 2015, compared to $32,000 by Neese dating back to Jan. reporting period. The complete campaign report for all the 1, 2014. The winner faces two-term Democratic Mayor candidates will be available on the Wayne County website Page 13

Friday, said Clerk of Courts Debbie Berry. Ingram, an NCAA leaving office after serving two terms. In eight months of Division I basketball referee, spent most of his money, fundraising, Hogsett has garnered $2.4 million in contribu- $28,242.17, with The Englehart Group, an Indianapolis tions. At the same point before the 2011 primary, then- consulting firm that is managing his campaign, according incumbent Mayor Greg Ballard had just over $2 million on to the filings. That money was spent on television ads, bill- hand. Two Democratic contenders, Jocelyn-Tandy Adande boards, website development, television and radio produc- and Larry Vaughn, have not raised any money, according tion, and yard signs. Primary Horse Race Status: Leans to finance reports. Ingram, Leans Snow. Evansville: Winnecke has big money lead Lake Station: Soderquist: “I’m innocent’ Although the campaign fundraising gap between Democratic candidates for the Lake Station mayor Republican Mayor Lloyd Winnecke and his Democratic are focusing on the decay in the city, abandoned houses, challenger, Gail Riecken, remains wide, both candidates sewers that are falling apart and more (Post-Tribune). But have reason to be pleased (Martin, Evansville Courier they aren’t ignoring the public corruption charges current & Press). Winnecke, who is seeking a second term, has Mayor Keith Soderquist is facing, as he defended himself $433,698 on hand compared to Riecken’s $85,572. Win- from the allegations and his competitors called for a return necke raised $566,236 and Riecken $111,445 through of ethics to the city. Soderquist, who is seeking his third April 10. Winnecke said in a prepared statement he was term in office, proclaimed: “I am innocent, and I will prove overwhelmed by the show of support. His report shows myself, and I will have my day in court.” Soderquist was contributions from both business and organized labor, with charged in two separate cases a year ago in U.S. District some big-dollar donors from Evansville and the Indianapo- Court in Hammond. In one, he and his wife, Deborah lis area. “I’m incredibly humbled by this overwhelming Soderquist, are accused of using campaign money and city show of support,” said Winnecke. “It reflects the senti- money meant for the Lake Station food pantry to finance ment I hear every day: Evansville residents are pleased their own gambling trips. Former City Judge Christopher with the progress we are making and want to see our city Anderson, who resigned from his office in February to run continue down the path of expanded job growth and busi- for mayor after two terms as city judge, said he didn’t ness investment and the revitalization of our streets and want to get into the details of the mayor’s criminal case neighborhoods.” Rep. Riecken had less than $10,000 in her but said it shows there’s a lack of ethics in the city. To an- campaign fund in December when she decided to run for swer that, he would require all city employees go through mayor. Mike Woods, Riecken’s chairman, said the cam- continual ethics training from the Shared Ethics Advisory paign is “thrilled” with its early progress. He had set a goal Commission, a Northwest Indiana group that promotes of $100,000 for the first quarter of 2015. The 2011 Demo- ethics in government. Anderson said he would also strong- cratic mayoral candidate, the late Rick Davis, was heavily ly encourage other city elected officials to undergo train- outspent and pulled 46 percent of the vote in his loss to ing as well. “I think in the city of Lake Station and given Winnecke, Woods said. An analysis by Riecken’s campaign what’s happened, (training is) mandatory at this point,” he showed 71 percent of her donors were from Evansville, said. Primary Horse Race Status: Leans Wilson. and 60 percent gave $100 or less.

Indianapolis: Hogsett Linton: Gregg endorses Wilkes has $2.1 millon Linton Mayor John Wilkes’ campaign gained mo- Democratic mayoral candidate Joe Hogsett has mentum on Friday evening when former Speaker of the In- a war chest of more than $2.1 million diana House John Gregg endorsed his entering the May primary, dwarfing re-election. ”You know why I’m here?” his Republican counterpart despite an Gregg asked. “I can’t vote, but if you injection of $400,000 from the cam- really want to do something to help me paign of outgoing Mayor Greg Ballard out, you will vote for John Wilkes for (Tuohy, IndyStar). Campaign records mayor, and I say that sincerely,” said show the former federal prosecutor Gregg. raised $955,636 between Jan. 1 and April 10 and has $2,166,932 cash on Presidential hand. Friday was the deadline to file reports before the May 5 election. Fiorina visits Indy The Republican candidate for mayor, Possible presidential contender Charles Brewer, has $657,451 on hand Prospective GOP presidential candidate Carly Fiorina wouldn’t say Monday of $671,730 raised. Records show that Carly Fiorina speaks to the Lugar Series how she thinks the GOP should choose Greg Ballard for Mayor made a $400,000 on Monday in Indianapolis. (HPI Photo by which candidates will get to participate contribution on Feb. 25. Ballard is Randy Gentry) in the party’s 2016 presidential debates Page 14

(TenBarge, Statehouse File). Fiorina, in Indianapolis to Hotline Power Ranking has ‘Rubio on rise’ speak at a GOP women’s event, sidestepped the question, Three Republicans have officially announced even though the debates could be her best shot at getting they’re running for president—but only two of them im- the attention she’d need to stand out among a grow- proved their standing since Hotline’s previous edition of its ing Republican field. “I am reasonably confident that if I GOP Presidential Power Rankings. Sens. Ted Cruz, Rand decide to jump into the race that I will be on that debate Paul, and Marco Rubio kicked off their campaigns in early stage,” Fiorina said. “I wouldn’t do this if I didn’t think I spring, with Cruz and Rubio in particular demonstrating would have a lot of encouragement and I wouldn’t do it unexpected financial might and taking advantage of the if I wasn’t prepared.” The former CEO of Hewlett Packard moment. Meanwhile the most memorable moment from is one of more than a dozen Republicans who are running Paul’s rollout was a clash with the press. The Hotline ranks or considering a bid for the party’s nomination in 2016. Jeb Bush first, and Wisconsin Gov. Scott Walker nd Florida Fiorina said she expects to make a decision and formal an- U.S. Sen. Rubio tied for second. “The senator from Florida nouncement about running for office in the coming weeks. is enjoying a nice bounce in polling, fundraising, and me- dia attention.” v

tion as part of the Davis-Bacon Act has been a persistent Studies on prevailing issue in its application. Why this might be the case is related to a later point. Second, there have been several studies of wage elimination the effect of prevailing wage on construction costs. They By MICHAEL HICKS overwhelmingly point to little or no impact on individual MUNCIE – Indiana has just passed legislation that project costs of eliminating prevailing wage. One of the would eliminate the prevailing wage’for public construc- best studies looked at the Midwest where legal changes tion projects. Indiana passed what is known as a “little” offered a clean natural experiment and found no savings. I Davis-Bacon Act in 1935. That act today requires that any think that is the likely impact in Indiana because most con- non-roadway project involving tractors will hire more skilled workers and fewer unskilled more than $350,000 in public workers as several have testified. funds would require a five-person The real impact of the repeal of the prevailing committee to set wages for wage law is that it weakens the largest source of public contract workers. This committee corruption in local government: The over-cozy relation- consists of representatives from ship between public officials and the participants of the local business, labor, contractors, prevailing wage committees. This relationship makes it too government and taxpayers. easy to trade political support for construction projects Indiana’s new legislation with local vendors and unions. The end of prevailing wage eliminates this rule so wages are spreads the competition for contracting outside the voter no longer part of the bidding pool. process for public works proj- The impact should be obvious. The limitations ects. Proponents of the measure on the cost studies outlined above are that they can only point to large cost savings to public infrastructure, while identify cost overruns on individual projects. Whether or opponents argue it will hurt local construction companies not a project was unnecessary or shoddily built is not part and workers. Given a great deal of good research on the of the construction data. It is, however, part of the com- matter, it might be wise to see what recent studies con- mon experience of local government construction projects. clude on these issues. From my reading of the available Many folks cannot say so openly, but taxpayers, research, several recurring themes emerge. good contractors, skilled workers and honest politicians First, the passage of this law will have little or should welcome the end to the prevailing wage laws in no impact on skilled workers. Their effective wages are Indiana. already primarily set in markets, not by committees. The biggest wage impact will be on low-skilled workers in Michael J. Hicks, PhD, is the director of the Cen- construction, whose wages are now set by committees. ter for Business and Economic Research and the Markets will value them less and we ought to expect fewer George and Frances Ball distinguished professor of of them on construction sites, with lower pay. The best economics in the Miller College of Business at Ball studies on the issue also point to a reduced union wage State University. premium and more racial equality in construction wages. The latter is an important point, because racial discrimina- Page 15

number of other prominent Democrats actively campaign Gov. Kernan managing for Fowler. Why? Kernan calls Dieter “a bad man” for higher office. He says Dieter has been an obstructionist on the council, city clerk campaign opposing Buttigieg, and that Dieter wants the clerk’s office By JACK COLWELL as a stepping stone for mayor. In contrast, he says, Fowler SOUTH BEND – Most South Bend residents don’t “wants to serve,” not promote political ambitions. know or care what the city clerk does. Yet, in the city’s Dieter has lots of friends as well as those de- May 5 Democratic primary election, the premier race isn’t tractors. Supporters include people with whom he worked for the mayoral nomination. It’s for the city clerk nomina- in many years of organizing and coaching in youth sports. tion, Kareemah Fowler vs. Derek Dieter. And Dieter is counting on his extensive door-to-door cam- Fowler is chief deputy clerk, groomed by long- paign that began back in January, including days of below- time Clerk John Voorde as his replacement as he leaves zero weather. He estimates that he will have reached that office and runs instead for a city council seat. Dieter, 9,000 homes by May 5. in his third term on the council, is a recently retired South Reaction? Bend police officer who runs a Mostly positive, Dieter says, except for one lady private security company. who posted that she didn’t want any of the candidates. “I More is at stake than think looking people in the eye and talking issues is more which one handles such clerk effective than pieces of paper,” Dieter says, referring to duties as keeping council mailings with endorsements for Fowler. meeting minutes and handling Both candidates say they intend to run a positive a bunch of records and the campaign. But some of their supporters attack, with ac- city seal. That’s why so many cusations against Fowler for overtime parking tickets and prominent Democrats are accusations against Dieter for making money with security involved in a highly financed jobs while still a police officer. race, featuring billboards, Fowler says she received a letter from the city yard signs, phone banks and legal department for 13 unpaid tickets for overtime parking one of the most extensive in 2011. She says she paid for them early in 2012, long door-to-door campaigns ever before she had any thought of running for clerk. conducted locally. “I’m not saying I wasn’t wrong,” she says. “I Usually, the hot primary contest is for the Demo- should have paid them on time.” But she says she dis- cratic mayoral nomination in a city where that nomination closed all the information about it to key supporters when is virtually a ticket to the she considered running, mayor’s office. Just four years with all concluding it was ago, four serious candidates nothing like a widespread were waging determined cam- ticket problem that side- paigns for the party’s may- tracked a judge candidate oral nomination. Mayor Pete in a past primary. Buttigieg won big and went Dieter says no- on to a landslide victory in the body could accuse him of November general election. being a ghost employee in Buttigieg now seeks the various security jobs a second term, seemingly because he was always vis- certain. The real question is ible on duty at Notre Dame how large his plurality will sports events and minor be over controversial council league baseball games. member Henry Davis Jr., his An ironic aspect: All the only challenger in the mayoral effort against Dieter by primary. So, focus is more detractors seeking to keep on the clerk’s race and what it could mean for a mayoral him from being a formidable 2019 mayoral candidate have nomination four years away, in 2019, when Buttigieg could made clerk the premier contest now. If he wins it, Dieter be moving to challenges beyond the mayor’s office rather could indeed be a formidable future contender. A lot more than seeking a third term. than guarding the city seal is at stake. v Even Buttigieg has focused on the clerk’s race, backing Fowler in his only endorsement of another can- Colwell has covered Indiana politics over five de- didate in the primary. Joe Kernan, former governor and cades for the South Bend Tribune. former mayor, is Fowler’s campaign manager. He and a Page 16

sured analysis. We need journalists Too often, Fox or MSNB or any of a plethora of broadcast, print and online outlets, slant the news. They engage in pack journalism, reminding me of blackbirds on for vigorous oversight a telephone line; one comes and others follow. And they By LEE HAMILTON delight in spotlighting the screw-up, the mistake, or the BLOOMINGTON – A robust, inquisitive congressio- gaffe, which might be entertaining to readers but sheds no nal oversight process should be capable of revealing what light on the underlying issues that could make government is too often hidden, but it’s not. We need journalists to do better if addressed. it. I also worry about the increasingly sophisticated I have been involved in politics and policy-making efforts by the government and powerful interests to tell for over 50 years, and as you can imagine I hold strong us only what they want us to know. Reporters want to be feelings about reporters and the media. They’re not what part of the media elite, and the White House in particular, you might think, however. under presidents of both parties, has become quite skillful Far from considering jour- at manipulating them. Reporters have to keep policy mak- nalists to be irritating pains in the ers at arm’s length, and not be intimidated by them. neck, though I’ve known a few I believe that much contemporary journal- who qualified, I believe them to ism has come untethered from a set of traditional values be indispensable to our democra- that served the country well over many years. Journalism cy. Our system rests on citizens’ needs to be in the service of justice, asking questions, ability to make discriminating telling stories, and inspiring those in power and those who judgments about policies and vote for them to do the right thing. politicians. Without the news, It should be a check on power, ferreting out information, and analysis that the the stories that those who hold public office don’t want media provides, this would be revealed, and reporting the truths that we, as Americans, impossible. We depend on jour- have the right to hear. It must hold tight to accuracy, intel- nalists and the outlets they work for to be our surrogates lectual honesty, rigorous reporting, and fairness, values in holding government accountable; they can serve as a that ought never to go out of style. And journalists have a formidable institutional check on the government’s abuse profound responsibility to serve as lie detectors. of power. A couple of years ago, the notable investigative So I am uneasy about some of the directions I reporter Seymour Hersh gave a speech in London in which see journalism taking these days. I admire the role that he said of the U.S. government in particular, “The Repub- the press has played throughout our history, and fervently lic’s in trouble. We lie about everything. Lying has become hope that it can right itself to play such a role again. the staple.” You don’t have to go to that extreme to agree Let me note at the outset that I can find excep- that journalists have to be curious and skeptical, and not tions to everything I’m about to say. There are journalists buy into the conventional wisdom of the establishment. A doing reporting that is clear-eyed, fearless, and grounded robust, inquisitive congressional oversight process should in an honest evaluation of the facts – I’m thinking, for be capable of revealing what is too often hidden, but it’s instance, of some of the work in recent years on the NSA not. We need journalists to do it. – and this work has moved the national debate forward. In the end, my concern is that skeptical report- But far too of- ing and deeply informed ten, journalism falls short. investigative journalism are Reporters often seem to take fading. We need more of what politicians and their them, not less. I want to see handlers say at face value, journalists digging deep into writing what they hear with- the activities of government, out ensuring that the facts politics, business, finance, bear it out. They look for education, welfare, culture, winners and losers at the ex- and sports. Our Republic pense of nuance. They strive depends on it. v to give the appearance of even-handedness by creating Lee Hamilton is director a false balance between two of the Center on Congress sides that do not deserve at Indiana University. He equal weight. They elevate was a member of the U.S. politics, polls and personality House of Representatives over substance and mea- for 34 years. Page 17

as Chris Anton was overwhelmingly elected. Rep. Donna Harris But Anton’s term as sheriff didn’t last long. He took ill and died in office.The county’s 500-plus precinct committeemen gathered to replace him. While Chris Anton follows Lake tradition ran a campaign of a cop for a cop’s job, neither of those By RICH JAMES seeking to replace him was a law enforcement officer. MERRILLVILLE – When Donna Harris was elected Chris’s wife, Anna Anton, sought to fill the remainder of a week ago to replace her late husband, Earl Harris, in the her husband’s term and was the sentimental favorite. But Indiana House of Representa- then, politics took over and would eventually change the tives, it certainly didn’t break face of Lake County politics forever. any new ground. Rudy Bartolomei, a county commissioner at the In fact, for wives to re- time, was talked into running by a group of political sup- place their husbands in elected porters. Bartolomei won a tight race and reportedly asked office has been a tradition in those close to him on his first day in office, “Well, what do Lake County for several de- we do now?” The office staff also told him that they would cades. Rep. Earl Harris, an East have a stamp made in his name. Chicago Democrat, spent 33 He reportedly expressed shock when the stamp years in the House before pass- turned out to be a signature stamp and not a postage ing away last month. Precinct stamp. committeemen elected Donna Bartolomei eventually was indicted by the feds and Harris over Byron “Duke” Flor- entered the witness protection program. His cooperation ence to replace her late hus- led to the indictment of several county politicians. v band. It’s always pretty much been a sentimental kind Rich James has been writing about state and local thing, whether the office being filled is on the local or state government and politics for more than 30 years. He level. Whether Donna Harris was the most qualified for is a columnist for The Times of Northwest Indiana. the job doesn’t really matter. The people wanted Earl’s wife to replace him. So, she will serve this year and next year and likely won’t run for a full term. In terms of seniority and learn- ing the ropes, it would have made more sense to elect someone who wanted a longterm career in the House. But, hey, that’s politics. And, filling vacancies is one of the most important things that precinct committeemen get to do. Yes, the idea of a spouse replac- ing a spouse has been going on for years in Lake County. Decades ago, Irene Holin- ga replaced her late husband, Andrew, as Lake County treasurer when he died in office.Their daughter, Peggy, is county treasurer today. And she still carries her late father’s name on the ballot. She always has been Peggy Holinga Katona. Perhaps the most memorable case of wife succeeding her husband came in the early 1980s. Chris Anton was elected Lake County sheriff in 1982, the first police officer in ages to be elected sheriff. Anton, who some think had the sheriff’s election stolen from him in 1978, was an extremely popular candidate. Po- lice officers across the county knocked on State Rep. Donna Harris is comforted by her son, Earl Harris Jr., at the funeral of her doors on Anton’s behalf. The work paid off late husband, State Rep. Earl Harris of East Chicago. (NWI Times Photo) Page 18

Matthew Tully, IndyStar: Bill Oesterle’s an- the Indiana Economic Development Corp. hired a New nouncement last week followed his harsh, high-profile York public relations firm for $2 million to try to polish criticism of Gov. Mike Pence and the other Statehouse the state’s image. Better late than never, I suppose. The Republicans who pushed the controversial Religious IEDC action ought to be seen as a clear sign that Indiana’s Freedom Restoration Act through the legislature this year. economy is suffering as a result of the positions taken by His actions and words of protest have carried weight the state’s legislators and governor. v because of his background: He leads one of the region’s best-known companies; he has showered Republicans John Krull, Evansville Courier & Press: When the with campaign cash in past cycles; he is a respected civic news broke that the state of Indiana had hired an out-of- leader; and, most important, he managed Daniels’ first state public relations firm to repair its “battered” image, campaign for governor in 2004. The two remain close. the politest response was a guffaw. The voices on social “Mitch’s governorship represented something very power- media, in particular, were derisive. “You can’t fix stupid,” ful to a lot of people,” he said. “It was built on ideals. It one noted communications professional posted on Face- was built on energy. It was fearless. It had thousands of book. The state’s decision to spend $2 million having Por- loyal participants. It was about putting the interests of the ter Novelli help restore the state’s brand is an easy target. state of Indiana first. It was about the simple proposition The truth is that Indiana doesn’t have an image problem. that if you do the right thing for all Hoosiers, everything Indiana’s state government does. There is a difference works out.” “I want to make sure,” he continued, “that between the state and its government, a difference our all of the people who bought into those things have the elected officials make clear on an almost daily basis. One organizational and institutional support to run for office or of the astounding things about the whole RFRA debacle to get involved. Right now, they are stuck out was that so many Hoosier elected officials said on an island. Banding them together and put- they were “stunned” by the reaction to the law — ting resources behind them is the point here. despite clear warnings from advocates, businesses Because they will change the world.” Oesterle and community organizations that there would be confirmed talk that he is aggressively pushing blowback from many quarters if RFRA became law. the idea of another run for governor by Dan- There is a solution to this problem, but it doesn’t iels, perhaps as soon as next year. He hasn’t involve an expensive public relations campaign run discussed the idea with Daniels, now Purdue University’s by an out-of-state firm. No, the solution is a political one. president, and said, “’I’m just spouting off about it. What It’s called an election. v else can I do? I find it works better that way. If I actually discuss it with him, he can tell me to stop.” The first step Indianapolis Business Jour- forward, he said, should be an amendment to state civil Andrew Downs, nal: Howey Politics Indiana released a poll on April 16 with rights laws to include protections based on sexual prefer- some interesting results. One of the findings that caught ence and gender identity. That would not only be fair, he my eye was that only 48% of Republican respondents said, but it would also help repair the long-term economic said the Religious Freedom Restoration Act (RFRA) was damage done by this year’s religious freedom debate. He necessary. What I am wondering is why Gov. Mike Pence, also believes it could save Pence’s career. “He can fix his Speaker Brian Bosma, and President Pro Tempore David governorship,” Oesterle said. “But to do so, he is going to Long supported this legislation given the lack of support have to completely reexamine his understanding of the even among their party and why they took the approach needs of the entire state. Not just some pieces of it, but to support and passage that they took. No doubt someone the entire state. He’s capable of it. He honestly is.” v will want to comment that it was right to support a bill that protects the practice of a religion regardless of what Doug Ross, NWI Times: The hits keep coming, the public thinks. There is something to be said for that. as they say on the radio, but these hits aren’t popular The reason it got me thinking is because Pence, Bosma, tunes. It’s the Pence administration taking hits for breaking and Long are smart politicians and if they had known how former Indiana Gov. Mitch Daniels’ social contract. On April unpopular this would be, they still might have supported it, 3, David Fagan resigned from the Indiana Port Commis- but there is no doubt that they would have taken a differ- sion in protest over Pence’s support for repealing Indiana’s ent approach. Why didn’t Pence, Bosma, and Long know? common construction wage. Fagan, who was appointed Given the fight over the same-sex marriage amendment twice by Daniels, said he feared middle class wages would from last session, it seems logical that the governor and/or be reduced as a result of the repeal. On Monday, long- the caucuses would have tested the RFRA language before time Indiana Education Roundtable member Pat O’Rourke the session and developed an appropriate strategy. Did resigned in disgust with Gov. Mike Pence’s policies, saying the public’s mood change that much, that quickly? If so, the Religious Freedom Restoration Act’s anti-gay stance — that would have to be one of the fastest changes of public before the uproar caused legislators to do an about-face sentiment on record. v and “fix” it — was the last straw. And then on Tuesday, Page 19

the newspaper served as the official of those strategies in a last-ditch ef- Browning out mouthpiece of the Kremlin: “Russian fort to save one of his top legislative Nuclear Energy Conquers the World” priorities — a new $84 million “region- at INDOT (New York Times). The article, in al cities” initiative intended to boost January 2013, detailed how the Rus- economic development across the INDIANAPOLIS – Indiana’s sian atomic energy agency, Rosatom, state (Cook, IndyStar). The campaign top transportation official abruptly had taken over a Canadian company is being operated out of the Indiana resigned Wednesday, with Gov. Mike with uranium-mining stakes stretch- Economic Development Corp., the Pence naming a replacement the ing from Central Asia to the American state’s semi-public job creation and same day (Schneider, Evansville Couri- West. The deal made Rosatom one business attraction arm. And it’s being er & Press). Karl Browning of the world’s largest ura- funded with donations to the Indiana served in the role of com- nium producers and brought Economic Development Foundation missioner of the Indiana Mr. Putin closer to his goal from undisclosed private companies. It Department of Transpor- of controlling much of the includes a website, indianaregionalci- tation most recently since global uranium supply chain. ties.com, that criticizes the General 2013 and also headed the But the untold story behind Assembly, saying lawmakers “SIG- Hoosier Lottery. Browning that story is one that involves NIFICANTLY SLASHED FUNDS FOR did not submit a formal resignation not just the Russian president, but HOOSIER COMMUNITIES’ TRANSFOR- letter but sent Pence’s administration also a former American president and MATION.” The site directs people to an email on Wednesday, saying his a woman who would like to be the “TAKE ACTION!” and provides a form resignation was effective immediately. next one. At the heart of the tale are letter for residents to send to legisla- “While I am proud for the accomplish- several men, leaders of the Canadian tors urging them to “restore Governor ments I’ve been able to achieve in mining industry, who have been major Pence’s proposed $84 million appropri- state government and am sincerely donors to the charitable endeavors ation for the Regional Cities Initiative.” grateful to you for the opportunity to of former President Bill Clinton and At the same time, the IEDC sent gift serve your administration, it is time for his family. Members of that group bags to 25 key lawmakers last week. me to move on,” Browning wrote to built, financed and eventually sold Inside were letters of support from the Pence. The circumstances surrounding off to the Russians a company that Indianapolis Chamber of Commerce Browning’s departure are unknown. would become known as Uranium and mayors of several cities. There When asked Wednesday, the gover- One. Since uranium is considered a was also a gift: a magnetic paper nor’s office said it doesn’t discuss per- strategic asset, with implications for clip sculpture with the regional cities sonnel matters. But informed sources national security, the deal had to be website written on it. “That’s pretty tell Howey Politics Indiana that it was approved by a committee composed aggressive, and I don’t think it really related to potential retaliation to pri- of representatives from a number of does anything to promote a solution,” vate companies for “poaching” INDOT United States government agencies. said Senate Appropriations Committee employees. Pence named Brandye Among the agencies that eventually Chairman Luke Kenley, R-Noblesville. Hendrickson as the new commissioner. signed off was the State Department, then headed by Mr. Clinton’s wife, Hill- Food insecurity Hoosier Lottery ary Rodham Clinton. As the Russians gradually assumed control of Uranium grows in Lafayette criminal charges One in three separate transactions LAFAYETTE – More people from 2009 to 2013, Canadian records INDIANAPOLIS – Marion than ever are considered food inse- show, a flow of cash made its way to County Prosecutor Terry Curry is set to cure in Tippecanoe County, accord- the Clinton Foundation. Uranium One’s announce “criminal charges in multi- ing to a newly released report from chairman used his family foundation million dollar” Hoosier Lottery scam at Feeding America (Lafayette Journal to make four donations totaling $2.35 11 a.m. today. & Courier). But the percentage of million. the total population considered food Clintons tied to insecure has dropped — suggest- Pence, IEDC send ing that the growth of Tippecanoe’s Russ uranium sale gift bags for bills general population is outpacing that of the food insecure. Those and more NEW YORK – The headline INDIANAPOLIS – Promotional findings come from a report last week in Pravda trumpeted President Vladi- gift bags. A slick, campaign-style web- released by Feeding America — a na- mir V. Putin’s latest coup, its nation- site. Undisclosed corporate donors. tional nonprofit coalition of 200 food alistic fervor recalling an era when Gov. Mike Pence has employed each banks.