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Friday, May 15
The Indiana Daily Student

Special session ends in compromise

House concurs with Senate tax bill

INDIANAPOLIS -- The Indiana House of Representatives passed House Bill 1001 in a 51-45 vote on Saturday, sending the bill to Gov. Frank O'Bannon, who has said that he will sign it. \nPassage of the tax bill that will go a long way to balancing the state's budget came after a week of intense discussion between Senate Republicans and House Democrats. The House met to debate the bill on Saturday. After one unsuccessful vote, the bill passed Saturday night ending the historic special session.\nRep. Mark Kruzan, D--Bloomington, said failure to pass legislation addressing Indiana's massive budget deficit and court-ordered property tax increases would have had negative consequences for the state's educational system. \n"The deficit has already taken a tremendous toll on education at all levels," Kruzan said. He added that additional tuition increases and salary freezes might have resulted.\nThe bill that O'Bannon will receive is intended to funnel money into the state budget, with the result being an ability to ward off the financial woes that have stricken the state's economy. The Senate erased provisions from early versions of the bill that would have led to the creation of a new casino in French Lick. But additional taxes will be levied on the purchase of cigarettes and on gambling. There will also be a sales tax increase.\n"Some people say 'Don't raise my taxes,'" Kruzan said. "I don't want mine raised either, but I'm willing to increase cigarette and gambling taxes to address education and social service needs."\nRepublicans were initially weary of increasing some taxes and were concerned with the pressure to come out of the session, which was paid for by taxpayers, with a bill.\n"Many have espoused the philosophy of passing a bill just to be doing something. Hoosiers deserve better," said Rep. Eric Turner, R--Marion. "We will not let a bad bill pass through this House with our support."\nOver the course of the week, Senate members met with O'Bannon privately to discuss how a bill might successfully be passed. The House awaited Senate passage of the bill to debate the merits of its alterations. Until Saturday, it appeared possible that no resolution would be met, and with the deadline for the session's end at midnight Sunday, the Governor would be forced to call another special session.\n"There is a legislative debate in the Senate Republican caucus," House Ways and Means Committee chairman Rep. Patrick Bauer, D--South Bend, said earlier this week. "That's a positive thing. At this point, we are giving some advice. It has, at times, resembled a big fight over there, and you can't tell who will prevail."\nO'Bannon said he is pleased with the bill, and optimistic that it will be a successful tool for wrenching the state away from fiscal crisis.

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