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The Howey Political Report Is Published by Newslink - Indianapolis Councilor Beulah Coughenour Inc Thursday, Feb. 8, 2001 ! Volume 7, Number 25 Page 1 of 8 Leadership crucible The has lingering doubts Howey !"#$%&'%#()$%&'*+,'-.'/+0./('1+()22223 “Doing nothing may be the safest path; it certainly is the easiest path. Doing nothing will cost us nothing monetar- Political ily speaking, but for our community, doing nothing is a path that will lead us to nowhere.” - Columbus Mayor Fred Armstrong “All the mayors are wimps. I guess I wonder why you Report run for an office if you’re scared to do what needs to be done when you get there.” The Howey Political Report is published by NewsLink - Indianapolis Councilor Beulah Coughenour Inc. Founded in 1994, The Howey Political Report is * * * an independent, non-partisan newsletter analyzing the By BRIAN A. HOWEY in Indianapolis political process in Indiana. This state, at a variety of levels, is bearing witness to Brian A. Howey, publisher what could be called the “Leadership Crucible,” or the lack Mark Schoeff Jr., Washington writer thereof. The playing fields of leadership are established at the Jack E. Howey, editor U.S. Capitol in Washington, where Hoosiers are watching The Howey Political Report Office: 317-254-1533 U.S. Sen. Evan Bayh stake out a course that could make him PO Box 40265 Fax: 317-466-0993 conciliator on President Bush’s ambitious tax cut proposal, Indianapolis, IN 46240-0265 Mobile: 317-506-0883 or a candidate for the White House himself. [email protected] There’s the Statehouse, where there seems to be an www.howeypolitics.com almost complete leadership void, with the slippery football Washington office: 202-775-3242; of revenue and tax structure akin to a punt landing among Business Office: 317-254-0535. three cautious players - Gov. Frank O’Bannon, Ways and Subscriptions: $250 annually via e-mail or Means Chairman B. Patrick Bauer, and Senate Finance Chair fax. Call 317-254-1533. Larry Borst - none of them wanting to get their uniforms soiled. © 2001, The Howey Political Report. All rights And it’s playing out in a variety of city halls, where reserved. Photocopying, Internet forwarding, faxing or reproducing in any form, in whole or in part, is a viola- the mayoral class of ‘99 is now confronted with an array of tion of federal law and is strictly prohibited without tough decisions once fought out in Washington now set consent of the publisher. Continued on page 2 “I’d like to know if there was a quid pro quo. Ticker: Bayh, Lugar on Ashcroft p. 2 Maybe there wasn’t. I’d like to find out...” Bob Lang: W. and the Democrats p. 2 Bayh Watch: Taking helm of DLC p. 4 - U.S. Rep. Dan Burton, to CNN on Steve Goldsmith & Dick Cheney p. 6 Wednesday on his coming investigation of Perhaps: Curt Kovener speaks p. 7 President Clinton’s pardon of Marc Rich Columnists: Colwell, Smith, Jones p. 8 Thursday, Feb. 8, 2001 Page 2 of 8 SEN. RICHARD LUGAR’S STATEMENT ON ASHCROFT: "John Ashcroft has the experience and qualifications to serve as attorney general. His career has included being Missouri attorney general, governor and U.S. senator. Democrats and Republicans have emphasized that they believe Sen. Ashcroft is honest, capable and a dedi- cated public official. He has stated unequivocally that as attorney general he would State, he said, ‘We have managed the enforce the law of the land. I Leadership, from page 1 state’s finances well.’ After our analysis, am confident that he under- we’ve decided the state is broke.” stands the centrality of the tling down on Main Street. Mayor Meeting with a dozen reporters on rule of law and the impor- Armstrong of Columbus, speaking in his tance of his conduct as annual state of the city address, was in the Jan. 26, Kiely said that the state can attorney general to all opening stages of coaxing his city council expect $9.447 billion in revenues with a Americans." into improving the city’s senior center. 2000-01 budget of $10.143 billion, creat- Councilor Coughenour’s quote at ing a $696 million shortfall. “We are no SEN. EVAN BAYH’S STATE- the top of this story was her reaction in longer a state of progress, we are a state MENT ON ASHCROFT: "I the Indianapolis Star to Mayor Bart of denial,” Kiely said. “This is not for a rise as someone who Peterson refusing to endorse an annual lack of understanding, we’re just not get- deplores the gridlock of $35 user fee to pay for storm sewer ting the full picture.” recent years and the politics of personal destruction, and updates. Kiely said that Medicaid is “eating yearns for a return to bipar- up half the growth and that’s in a low tisanship and principled State of Denial unemployment environment.” He said that compromise for the sake of Nowhere is the lack of leadership, caseworkers “don’t have a chance, they’re the United States of not too long ago a distant echo from the just shuffling paperwork and nobody’s America. Because of all of David McIntosh for governor campaign, watching. The feds are going to have to these things and all we can come in and whack it.” Kiely added, “The accomplish together, I also more vividly revealing than at the rise to express my opposi- Statehouse. reality is the economy is not going to take tion to the President's nomi- It was ignited by Pat Kiely, the for- care of our policy problems,” suggesting nation of John Ashcroft to mer Ways and Means Chairman who is that the only way out of the mess will be a be the next Attorney now president of the Indiana Manufact- tax increase. General. He will bring some urers Association. Saying that “Indiana Kiely said that options include the of his more strident views looks more like a dot.com than a govern- “gum and bandaids” approach of patching to bear in that office in ways ment,” Kiely warned that the state could things up, or forging ahead with a major that will cause great con- be facing a major financial crisis. “I was restructuring of the state’s tax code. “The frontation and controversy for this President and the amazed at the last forecast when there was governor gets one shot in eight years,” no surplus statement. That was unusual. Kiely said. “This is it. It will require more Continued on page 3 Then during the governor’s State of the fortitude than analysis.” Page 3 of 8 Thursday, Feb. 8, 2001 A week later, the Indianapolis Star ture that Michigan Gov. John Engler did a reported that an “unlikely coaltion of busi- half decade ago. ness and labor leaders” was talking with Kiely makes a compelling case that the O’Bannon administration about tax since Michigan restructured, it now main- restructuring. tains a competitive advantage over But between Kiely’s pronounce- Indiana. The IMA noted 140,000 Indiana ment last Friday that the “governor gets employers contributed $1.4 billion in per- people of this country. As one shot” and any plan would have to sonal property taxes (1998 payable in attorney general he will “come from his lips,” the Democrats 1999), compared to 250,000 Michigan have to enforce the law. But were hardly stepping up to the plate. The employers paying $1.1 billion. Personal what does he consider the Star reported O’Bannon as saying, “I property tax dependence in Michigan law to be? Law is not carved in stone or immune think I’ve got to see that the legislature accounts for 12.7 percent of all property to dispute. In the Justice will really come up with a plan that’s taxes, compared to 30.79 percent in Department, hundreds of bipartisan. There’s always that chance.” Indiana. decisions will be made Bauer told The Star, “Neither party Meanwhile, there are fears that every day, about which has the will do do it.” The Associated Indiana-based companies such as there are varying interpreta- Press reported Bauer as saying, “I think American Trans Air are looking at pulling tions of the law. It will be they have come to the table too late with out, with ATA reportedly looking at mov- Mr. Ashcroft's law that will any proposal that increases any taxes.” ing its headquarters to Chicago. be put into effect for the American people." Borst told the Associated Press that it was “too early to hit the panic button” Playing the end-game GILROY SEEKS D.C. FUND- and added, “The problem around here is Kiely says the talks between the ING FOR ELECTION eventually we get to the point where we unholy business/labor alliance “are on- REFORM: Secretary of State equate good education with the amount of going. People are still trying to sort out Sue Anne Gilroy was in money we spend.” the base issues.” Washington this week exploring federal support Meanwhile, the most compelling for election reform in Governor’s will parlor game in Indiana is whether Indiana. Gilroy wants In the past, any restructuring or rev- O’Bannon will use his mandate. Washington to help pay part enue increases always came from the gov- O’Bannon has a propensity for playing the of the estimated $30 million ernor. Doc Bowen campaigned on his tax end-game in any given legislative session. it will take to upgrade punch plan throughout 1972 and used his victory That worked when he tied Colt and Pacer card and lever voting to push the plan through the following stadium plans to workers compensation machines through which year.
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