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Ugly Mood (And an Accommodation)

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Ugly Mood (And an Accommodation) V13 N45 Thursday, July 26, 2007 Ugly mood (and an accommodation) A tax protester at the India- napolis Council Monday night. Could the tax revolt propel little known and underfunded Greg Ballard (right) into a true showdown with Mayor Bart Pe- terson? (HPR/WISH-TV Photos) By BRIAN A. HOWEY ers sat outside the office of U.S. Rep. Pete Visclosky with INDIANAPOLIS - In the 13 years since The Howey empty shoes, symbolizing those killed in Iraq. Nick Egnatz Political Report has been publishing, we’ve never witnessed of Munster wants Visclosky to sign an effort by U.S. Rep. more Hoosiers protesting a wider array of issues at the John Conyers to seek the impeachment of President Bush same time. The anti-incumbency mood is at its most pro- and Vice President Cheney. U.S. Sen. Evan Bayh is sched- nounced since our first year - 1994. uled to meet with Code Pink anti-war protesters on Aug. 21 On Monday, dozens of tax protesters were tossed at the Lake County Government Center. out of the Indianapolis City-County Council meeting as it voted in $90 million in new income taxes. Anti-war protest- See Page 3 No answers, just questions By CURT KOVENER CROTHERSVILLE - While we in Jackson County have not yet received our dreaded inevitably increased property tax statements, other counties nearby and upstate have and their “It does us no good at all to go results have captured the attention of their respective media. into a special session if we don’t But take a deep breath, Pilgrim, and ease your finger off that trigger. No have consensus. Unless we have need to get all lathered up just yet. Re- member what Grandpa said, “Worry is the an agreement, it would probably interest you pay on a loan before it becomes due.” Media outlets from the state’s capital city are talking be doomed to failure.” about taxpayer revolt and a property tax crisis. But I wonder: - Senate President Pro Tempore Would there be a statewide property tax “crisis” if Marion David Long Page 2 Thursday, July 26, 2007 County’s tax bills hadn’t increased as The Howey Political Report is The Howey Political Report significantly as they had? If Scott, or published by NewsLink Inc. It PO Box 40265 Washington or White or Stueben tax Indianapolis, IN 46240-0265. was founded in 1994. bills escalated, would the governor and www.howeypolitics.com legislators be paying as close attention [email protected] to the electorate’s tax anxiety? Brian A. Howey, Publisher Nope. But now that everyone’s Mark Schoeff Jr., Washington Indianapolis Office: 317-506-0883. attention seems focused on fixing our Writer Indianapolis Fax: 317-254-0535. system of paying for schools, cities and Mark Curry, Washington Writer Washington, DC Office: 202-256-5822. Beverly Phillips, associate editor towns, libraries, township and the other Business Office: 317-254-0535. Jack E. Howey, Editor local government services we have come to expect, it is an excellent time ©2007, The Howey Political Report. Subscriptions: to float up alternatives. All rights reserved. Photocopying, Internet $350 annually HPR via e-mail; forwarding, faxing or reproducing in any A quick history summation: $550 annually HPR & HPR Daily Wire. form, in whole or part, is a violation of property tax was founded on the idea Call 317-254-0535. federal law. (a Biblical idea) that to whom much is given, much is expected. Property special? pay sales tax on the supplies they buy ownership equated with affluence and Why do we pay sales tax on a to help support those kinds of services? an indication of one’s financial standing. $3 gallon of gas but not on a $6 gallon Churches, not-for-profits, and govern- Remember, income, sales and excise of milk? Why do you pay 6% when you ment facilities all pay for insurance to taxes were not around when Indiana buy a ream of paper but a business cover them from fire and theft, but began taxing property. does not? Why do I pay 6% on the salt contribute nothing to help pay for those Some folks want to do away for my water softener but not for the government-supplied services either with property tax by increasing sales salt for my cooking? Why does Miz Mary before or when they need to use them. and income taxes. pay 6% for the seeds for her garden Think about it, some of the largest Increased income taxes but farmers do not pay a sales tax for buildings in nearly every community weigh heavily on wage earners — facto- the seed to grow corn, soybeans and — schools and churches, places which ry workers, clerks in the big box stores, wheat? Why do we pay 6% sales tax have the biggest potential for fire trag- teachers, anyone who is an employee. on a quarter pound hamburger at the edy and periodically have large crowds It will have minimal effect on business fast food joint but pay no sales tax on a — pay nothing for fire protection and owners, doctors, lawyers and Indian pound of hamburger at the grocery? ambulance service in the event of an chiefs because they have the ability to If I buy a new truck, I pay a sales tax. emergency or even help pay for the manipulate (meaning lessen for tax pur- If in a month I decide I really don’t like availability of those personal safety and poses) their income through year end the vehicle and sell it to John, John pays security organizations. purchases of equipment and services. another sales tax, and later when John Even farmers — the loudest If we increase the sales tax rate, we sells it to Bill, Bill pays another sales tax property tax abolitionists — shouldn’t be border community residents will be all on the same truck. disagreeable with starting to pay a 6% the more inclined to travel to the nearby And this next example may sales tax for seed, fertilizer, fuel, and Bluegrass state to make purchases. get me run out of town but must be equipment. Would you rather pay 10% sales tax said. Churches and other not-for-profit Exemptions simply cost the rest in Indiana or travel to Kentucky to pay groups pay no sales tax nor property of us more money. When others don’t 6%? tax. Yet their existence in our commu- pay, you and I must pay more to make We don’t need to increase the nity places a demand on government up for their special exempted status. sales tax rate, we need to increase the services for police, fire and ambulance And if everybody, no matter who we sales tax revenue. But some people and services. are or what business activity in which groups don’t have to pay. This is not a separation of we are engaged, paid sales tax on all Rather than increase income church and state issue. It is a matter of of our purchases, how much would that or sales tax what if all exemptions to paying for services used and fairness. increase in sales tax revenue allow for paying sales tax were eliminated. Make Churches and not-for-profits pay for wa- reduced property taxes? it a true consumption tax. No matter ter and trash collection, pay for electric- Because of the increased who you are of what you do, you pay ity and natural gas, but they don’t pay revenue from everybody paying sales 6% on all of your purchases. for street lighting, police, fire protection tax could — dare I even breathe the Now this example may get and services. Shouldn’t they pay for thought — property taxes be eliminat- me kicked out of the state press as- these services as you and I do? ed? Kovener is publisher of the sociation, but did you know newspa- v Shouldn’t even schools, town Crothersville Times and is a town- pers don’t collect sales tax on ads and halls, townships and county courthouses subscriptions? Why is my industry so ship assessor. Page 3 Thursday, July 26, 2007 Ugly mood: From page 1 Steve Skaggs of Alexandria, James Garner of New Albany, Rob Waiz of Jeffersonville, Al Nipp of New Castle and Jim In Muncie, organizers are planning a noon “Jam Bullard of Seymour. These 11 incumbents all lost mayoral In” for today, designed to bottle up traffic in downtown to primaries last May. protest high property taxes. Gibson and LaPorte County of- The Iraq War, high gasoline prices and the prop- ficials are bracing for the kind of tax storm that has already erty tax meltdown have put Hoosiers in an ugly, ugly, ugly taken place in Indianapolis and Elkhart. mood. At Elkhart’s annual summer parade last Saturday, State Rep. Jackie Walorski marched with 200 supporters A curtain drops (see photo above) wearing “Eliminate Property Taxes” It reminds us of a speech then U.S. Rep. Lee shirts. “There were more than 30,000 people on the parade Hamilton gave to the Indiana Democratic Editorial Associa- route that cheered us through the entire way,” Walor- tion in August 1994 when he said, “Sometimes when I’m ski said. “Many came out of the streets to walk with us.” standing at a public meeting I feel a curtain drop be- Walorski’s message is simple: don’t tweak the system; give tween me and the people I’m talking to. I’m a politician us comprehensive restructuring of taxes and government. and therefore, they say, my word cannot be trusted.” It was There have already been multiple property tax a precursor to the 1994 election that changed control of protests outside the Governor’s Mansion, Monument Circle, the U.S.
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