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(11/05/03 7:13am)
Passage of the referendum clears the way for a casino to be built between two historic hotels in French Lick and West Baden Springs -- something many believe is the area's only chance for economic revival and reduced unemployment.\nBut some long-time backers made bolder predictions than that, saying the sleepy pocket tucked in the hills of southern Indiana would become the gambling resort it once was decades ago.\n"We're going to leave a legacy, not only for our kids and our grandkids and their kids," said state Rep. Jerry Denbo, a Democrat from French Lick who won passage of casino legislation in the General Assembly this year. "We are going to take what is the poorest county in the state and turn it into the garden of the Midwest."\nDenbo was among more than 300 supporters who celebrated the victory with hugs, hollers and beer at a ballroom at the French Lick Springs Resort. Some had made repeated trips to the Statehouse over the past 10 years lobbying for a casino.\nThey had long predicted the referendum would pass. But they pressed ahead with a small army of volunteers who monitored polling places at each precinct, ran phone banks from a picture studio in downtown Paoli and drove supporters without rides to the polls.\n"You don't spend 12 years working for something and leave it to chance on the last lap," said Barry Wininger, a member of the French Lick Town Council and part of Tuesday's get-out-the-vote effort.\nMany opponents predicted that a casino would lead to more social ills, including increased crime, bankruptcies and domestic problems.\nRobert Hoyt, leader of the Orange County Coalition Against Legalized Gambling, was monitoring election returns at the county courthouse but walked out before 8 p.m., conceding defeat.\nHoyt blamed the loss on misinformation and the "massive amounts of money" prospective casino operators spent on the campaign.\n"We did the best we could," Hoyt said. "I think we gave them much more of a fight than they thought was possible."\nIt could be several months before a casino operator is chosen and construction on a casino begins. Officials must pass local ordinances to support the venture. The Indiana Gaming Commission will make the final decision on awarding a casino contract.\nCasino opponents clearly went into Tuesday's election with more political and financial clout.\nMost elected officials favored a casino, including several town council members, Denbo and Sheriff Doyle Cornwell.\nAdvocates raised more than $100,000 to promote the venture, receiving $20,000 each from the five companies or groups vying to run the casino. Larry Bird, the basketball legend who grew up in French Lick and still owns a house there, is among investors in one of the groups.\nHoyt said he and other opponents were probably outspent 20-to-1.\n"It's no longer David vs. Goliath, it's become Bambi vs. Godzilla," he said.\nThe fight over the referendum has been bitter for weeks, with both sides accusing the other of personal attacks and negative tactics.\nWhile some said the hard feelings would linger, Marilyn Wilson of French Lick, a casino proponent, said most wounds would heal quickly.\n"Most everyone around here knows each other and many were raised together," she said. "We'll come together"
(10/21/03 5:52am)
INDIANAPOLIS -- Kathy Davis took office as Indiana's lieutenant governor Monday by pledging to "tackle tough issues" facing the state, including a struggling economy and $1 billion budget deficit.\n"We will solve this, as we have before, with honest assessment, open discussion and cooperation," Davis said to several hundred people at a Statehouse ceremony.\nDavis was sworn in by Chief Justice Randall Shepard shortly after the General Assembly voted unanimously to confirm her nomination, completing a change in top leadership caused by last month's death of Gov. Frank O'Bannon.\nDavis, a seasoned government manager nominated by Democratic Gov. Joe Kernan, is the first woman to serve either as Indiana's governor or lieutenant governor. She noted that while thanking Kernan and his wife, Maggie, for "placing your confidence in me."\n"I accept my new responsibilities gladly and wholeheartedly," Davis said. "You have made history here today. The women of Indiana thank you."\nFormer first lady Judy O'Bannon, in an invocation, said Davis had pledged herself to public service at a time of "great need and opportunity."\n"We are so grateful for her -- for her competence and compassion and selfless dedication to others," Mrs. O'Bannon said. "Fortify her for the challenges ahead."\nAfter the Republican-ruled Senate voted 48-0 to confirm Davis, she was invited by Republican Senate President Pro Tem Robert Garton to the podium where lieutenant governors preside over the chamber.\n"What an excellent-looking group you are," Davis said from the elevated perch.\nShe and Kernan then headed to the Democrat-led House, where her nomination was approved in a unanimous voice vote. She was escorted in by all 14 female representatives -- seven Democrats and seven Republicans.\nBoth chambers recognized a moment of silence for O'Bannon before voting on the nomination.\nKernan won bipartisan praise for nominating Davis to become lieutenant governor -- the post he held for nearly seven years before O'Bannon's death Sept. 13.\nDavis, 47, was state budget director under then-Gov. Evan Bayh, held the top position in the state's Family and Social Services Administration for two years under O'Bannon, and had been the Indianapolis city controller under Mayor Bart Peterson since January 2000.\nShe has earned a reputation as a pragmatic administrator with a firm grasp of her job and a diplomatic way of downplaying the politics involved. She is well-liked and respected by legislators from both major parties.\n"I pledge to work actively and openly with you to tackle the tough issues that face us as a state," Davis said to lawmakers. "I ask for your help."\nThe full General Assembly was not expected to meet again until an organization day Nov. 18, which could stretch into a mini-session of sorts on property tax legislation.\nHouse Speaker Patrick Bauer, D-South Bend, wants lawmakers to pass stricter controls on local levy increases and more tax breaks for homeowners. He says they are needed responses to a reassessment "gone wildly down the track."\nThe House Ways and Means Committee plans an initial hearing on property taxes Thursday, with other meetings around the state to follow.
(10/20/03 6:13am)
INDIANAPOLIS -- The question heading into today's special session of the General Assembly is not whether Kathy Davis will be ratified as Indiana's lieutenant governor, but by how big a vote margin.\nMore precisely, will it be unanimous?\n"I think that is a distinct possibility," said House Speaker Patrick Bauer, D-South Bend.\nRegardless, overwhelming approval of Gov. Joe Kernan's nominee is expected today in the Democrat-led House and Republican-dominated Senate. Davis is to be sworn in immediately afterward.\nKernan won bipartisan praise Oct. 9 by naming the seasoned government manager as his nominee for lieutenant governor -- the post he held for nearly seven years before Gov. Frank O'Bannon's death Sept. 13.\nDavis, 47, was state budget director under then-Gov. Evan Bayh, held the top position in the state's Family and Social Services Administration for two years under O'Bannon, and has been city controller in Indianapolis under Mayor Bart Peterson since January 2000.\nShe has earned a reputation as a pragmatic, roll-up-your-sleeves administrator with a firm grasp on her job and a diplomatic way of downplaying the politics involved. She is well-liked and respected by members of both parties.\nDavis will be the first woman to serve either as Indiana's governor or lieutenant governor.\nBauer wanted to extend today's special session into a week or more of work to pass property tax legislation, including stricter controls on local levy increases and more tax breaks for homeowners. He says lawmakers must do something about a reassessment "gone wildly down the track."\nKernan and Senate President Pro Tempore Robert Garton, R-Columbus, felt this week was too soon to tackle such a complex issue.\nBesides, they said, today should be reserved for one official act only.\n"The session was called for a specific purpose, of dealing with the nomination of Kathy Davis as lieutenant governor under Article 5 of the Constitution," Kernan said.
(10/16/03 5:12am)
INDIANAPOLIS -- Gov. Joe Kernan and top lawmakers agreed Wednesday to set late November as a time to take up legislation addressing higher property tax bills and other fallout from the statewide reassessment.\nLawmakers are to meet in special session Monday to vote on Kernan's nomination of Kathy Davis as lieutenant governor, a choice expected to receive overwhelming approval in the Democrat-led House and Republican-ruled Senate.\nHouse Speaker Patrick Bauer, D-South Bend, wanted lawmakers to extend the session next week to pass legislation he says is needed to reign in local government spending and lower homeowners' tax bills.\nHe has a plan that includes stricter limits on local levy increases and more tax breaks for homeowners, including low-income seniors and people with older homes. Bauer and many other lawmakers are eager to lower the future tax bills of those hit hardest by reassessment and local tax increases.\nBut Kernan said he talked with Bauer and Senate President Pro Tem Robert Garton, R-Columbus, on Wednesday and they agreed the General Assembly should wait until the annual organization day on Nov. 18 to formally act on legislation.\nBecause of constitutional requirements, it could take five or six days to pass any bills. A similar "mini-session" of sorts was held in November 1999 to enact a variety of bills, including tax breaks for banks and fixing a flaw in the state's drunk-driving law.\n"As I said earlier this month, we need more information to make decisions on these complex issues -- issues that require and deserve thoughtful debate and discussion," Kernan said.\nGarton said Monday he was reluctant to go along with Bauer's proposal for an extended session next week because it might be a rush job with little public input.\nHouse Minority Leader Brian Bosma, R-Indianapolis, initially supported the idea of an extended session next week, but he said he had not thought the issue through, and a mini-session in late November makes more sense.\n"It allows us to make a good decision for taxpayers instead of a hasty decision," Bosma said Wednesday.\nBauer agreed that next week "may be too soon" to reach consensus on proposals placing stricter limits on local property-tax increases.\nBut, he said, "I do believe that the Legislature needs to something as quickly as possible to address a crisis that has raged out of control"
(10/14/03 5:24am)
INDIANAPOLIS -- Republican gubernatorial candidate Mitch Daniels said Monday that Indiana must take a fresh approach to rebuilding its economy.\nWhile providing few specifics, Daniels pledged to make job creation his top priority. He also said he would try to eliminate what he called burdensome business regulations, and provide better worker training opportunities.\nHe offered reporters a generalized "framework" of steps state government could take to improve its business climate. He said he hoped his proposal would open a serious dialogue on the issue and entice others to submit suggestions to his campaign.\n"We are not a job-friendly environment in this state," he said.\nThe key to changing that, Daniels said, is bringing in new people to state government who understand how businesses operate and how investment decisions are made. Democrats have controlled the governor's office for 15 years.\n"The single most important thing we can do is repopulate state government," he said.\nDaniels, a former Bush administration budget director, discussed his ideas outside the recreational vehicle he has been traveling the state in over the past few months. He has visited all 92 counties and plans to stay on the road through much of the campaign leading up to next year's election.\nDaniels said the state has made some improvements, including the tax-restructuring package enacted by the General Assembly last year and other recent economic development initiatives. But he said more must be done to spur business investment in Indiana.\nHe said the state's colleges and universities could play a key role, and the next governor should insist they develop plans aimed at spinning off more commercial activities and helping startup ventures.\nHe also said every state agency must identify ways to encourage job growth or stop obstructing it.\nThe campaign of Democratic gubernatorial candidate Joe Andrew said Daniels had only given "some generalized thoughts" on economic development.\n"While Daniels may have pointed out the obvious economic development issues facing Hoosiers, he offers nothing on how to address those issues," Andrew campaign manager Joe Champion said in a news release.\nLast month, Andrew touted a proposal that, among other things, would provide grants to small businesses and expand tax credits in hopes of creating jobs. It also lacked many details, however, including its state costs.\nState Sen. Vi Simpson of Ellettsville also is seeking the Democratic nomination for governor, as is Bloomington attorney Roy Graham. Gov. Joe Kernan has indicated a willingness to reconsider his December announcement that he would not run for governor.\nConservative activist Eric Miller is seeking the GOP nomination, as is Petersburg Mayor Randy Harris and Indianapolis businessman Bob Parker.
(10/14/03 5:23am)
INDIANAPOLIS -- Raucous applause greeted Kathy Davis when she walked into a packed Senate chamber as Gov. Joe Kernan's nominee for lieutenant governor. But Kent Adams felt left out.\nThe Republican state senator from Warsaw turned to a reporter and said, "I think I'm the only one not clapping."\nIt wasn't because he wouldn't; it was because he couldn't. His left arm and hand were in cast and sling following tendon surgery.\nIt was the most crowded, loudest, bipartisan upbeat scene in the Indiana Senate chambers in years -- for several reasons.\nSome of the jubilance grew out of that strange yet natural sense of moving on, taking a big step forward in the wake of a shaking and lingering sadness. Sentiments over Gov. Frank O'Bannon's death have run deep.\n"But what we have seen is Hoosiers from all over come together, work together, and the system of our government has proven that it works," Kernan said to everyone there. "And today, we take the next step in this process."\nSome of the enthusiasm stemmed from another historic side to the day, since Davis is set to become Indiana's first female lieutenant governor. Women have held other high offices in Indiana, but never governor or lieutenant governor.\nBut most of the bipartisan praise seemed grounded in Kernan's choice of Davis. It was a surprise. But the overwhelming consensus was that the surprising selection was made for all the right reasons.\nDavis has held top jobs for Democrats. She was a state budget director under Gov. Evan Bayh, ran the Family and Social Services Administration under O'Bannon, and has been city controller for Indianapolis Mayor Bart Peterson since January 2000.\nYet in those politically charged hot seats, Davis has won respect from lawmakers of both parties for being unpretentious, matter-of-fact, and practical, not political.\nWhat's her secret to working with lawmakers without antagonizing them? Facts are friendly, she says.\n"I'm an engineer, and I believe in the scientific method, and I look for data, and I think the same information that causes me to come to conclusions usually holds for other people as well," Davis said.\n"So I think that an honest look at the facts goes a long way, and sometimes brings forth solutions all by themselves."\nSen. Larry Borst, a Republican who has been chairman of the powerful Senate Finance Committee for all but two years of the past three decades, was among the many who said Kernan made an excellent choice.\nBorst said Davis could not only manage the state's economic development efforts, but also become a real partner with Kernan in tackling the state's budget problems head-on.\nThe lieutenant governor wears lots of hats in Indiana, but the most important, perhaps, is being someone the governor trusts. The rest, Borst said, is icing on the cake.\n"The one thing about her is she is very fair," Borst said. "She understands there is a real world out there and you can't be draconian in your thoughts. You have to be levelheaded and listen to both sides, but then, she is nervy enough to do what she thinks is best."\nButch Morgan, Democratic chairman of the South Bend area's 2nd congressional district, put it this way:\n"It was just another validation of Frank O'Bannon's good choice of Joe Kernan, because Joe Kernan continues to make the good choices that Frank O'Bannon would make," Morgan said. "I think he is in heaven smiling down on Joe Kernan"
(09/30/03 6:05am)
INDIANAPOLIS -- Democratic Gov. Joe Kernan downplayed but did not quell speculation Monday that he might change his mind and seek a full term in office next year.\nKernan acknowledged that his wife, Maggie, had advised him not to rule out a run in 2004.\n"My advice to Joe is, things can change," Mrs. Kernan told the South Bend Tribune for a story published Monday. "I don't believe he should shut the door on it just yet."\nKernan cautioned reporters against "reading more into it than you should," and said nothing has happened over the past three weeks that "would cause me to change my mind."\nBut he left open the possibility.\n"Maggie said this is a joint decision, it's one that we will make together," Kernan said. "We have not had a chance really to talk about it, but she has expressed her opinion and she will continue to do so."\nKernan was sworn in as governor Sept. 13, just hours after Gov. Frank O'Bannon died from a stroke he suffered five days earlier.\nKernan stunned members of both major parties last December when he announced he would not run for governor in 2004. Democrats saw Kernan, who was lieutenant governor, as their best chance to extend a 16-year hold on the governor's office.\nWhen he became acting governor after O'Bannon's stroke, he told reporters he had not changed his mind about running and did not anticipate he would. When asked about it again after he was sworn in, he said, "I've already answered that question last week."\nKernan has stood aside as state Sen. Vi Simpson of Ellettsville and former state and national Democratic chairman Joe Andrew have run campaigns seeking the Democratic nomination for governor.\nBut many Democrats hope Kernan, who was South Bend's mayor from 1988-97, changes his mind.\nMrs. Kernan told the South Bend Tribune that life has been so hectic during the past few weeks that there has not been time to think about the future.\n"He's focused on a new job, getting staff in place, picking a lieutenant governor," she said. "But we're both aware of the decision and people's interest in it."\nMrs. Kernan, a vice president at 1st Source Bank in South Bend, said that deciding whether to run for governor "is pretty far down on the priority list."\n"There's no need to rush to a decision," she said, adding that her advice to her husband is not to hurry. "You might really like this. Don't paint yourself into a corner"
(09/24/03 5:10am)
INDIANAPOLIS -- The state Supreme Court sided with the Indiana Department of Environmental Management Tuesday in a lawsuit challenging the agency's authority to regulate private ponds and other isolated wetlands.\nIn a separate ruling, the high court upheld a Bloomington ordinance that bans more than three people from sharing a single-family home unless they are related.\nThe wetlands dispute is tied in part to a U.S. Supreme Court ruling in 2001 that left about a third of the state's wetlands without federal protection. Since many ponds and wetlands were no longer subject to federal regulation, IDEM initiated interim steps to regulate construction projects affecting them.\nA Marion County judge ruled last February that IDEM could not require Allen County residential developer Twin Eagle Corp. or any other party to obtain a permit to drain or fill an isolated wetland.\nThe judge also agreed with Twin Eagle's claim that IDEM tried to implement the new rules without giving fair warning to the public and conducting public hearings.\nSupporters of the interim regulations say they are needed to protect Indiana's remaining wetlands from development. Critics say they are too strict and unduly hamper growth.\nThe state Supreme Court ruled IDEM may require permits for dredged and fill materials under its existing rules, and may regulate even private ponds if discharges from them threaten other waters. It also said the interim regulatory process was valid.\nThe justices did not settle all the factual disputes in the case, but said the "proper forum to address this fact-sensitive issue" is through the state's regulatory process.\nThe interim regulations remain in place while a task force established by the late Gov. Frank O'Bannon seeks compromises on permanent rules, IDEM spokeswoman Cheryl Reed said. Numerous environmental groups filed legal briefs in support of the state's position.\nStephen Studer, an attorney for Twin Eagle, said he wanted to reserve comment until he could review the ruling and discuss it with his clients. The Indiana Builders Association and Indiana Farm Bureau filed briefs in support of Twin Eagle's challenge.\nThe Bloomington case began in 1996 when the city sued apartment owner Peter Dvorak for violating the rental occupancy ordinance by allowing five IU students to live in one of his rental properties.\nThe ordinance limits to three the number of unrelated people who can live together in a single-family residence. City officials say it makes neighborhoods more livable by helping to control trash, noise and traffic.\nAttorneys for the tenants argued that the ordinance was biased in favor of families and violated the state constitution's equal privileges and immunities clause, which protects against unequal treatment of different classes of people.\nBut the high court upheld the ordinance on constitutional grounds, and said a law passed by the General Assembly specifically allows local governments to use zoning so that "residential areas provide healthful surroundings for family life."\nMichael Carmin, an attorney for the tenants, said he was disappointed in the ruling but still maintains the ordinance discriminates against college students.\nBloomington Mayor John Fernandez called the ruling "a great day for neighborhoods."\n"The court has affirmed the city's ability to use common sense measures to make our neighborhoods more livable," he said.\nThe city of West Lafayette and the Indiana Association of Cities and Towns filed briefs in support of the Bloomington ordinance.
(09/15/03 6:41am)
INDIANAPOLIS -- Frank O'Bannon parlayed down-home southern Indiana charm and consensus-building ability into mixed success as his state's governor since 1997.\nO'Bannon, who fell ill Monday while attending a conference in Chicago, died at 11:33 a.m. Saturday at Northwestern Memorial Hospital after his blood pressure and heart rate dropped.\n"Based on the governor's living will, First Lady Judy O'Bannon and the family decided to use no further means of support and care, and the governor died naturally," a written statement from his office said.\nThe return of O'Bannon's body was delayed until his corneas could be removed for transplant. O'Bannon had designated himself an organ donor.\nThe airplane carrying O'Bannon's body landed at Indianapolis International Airport shortly after 11 p.m. An honor guard of Indiana state troopers carried the late governor's flag-draped casket off the plane as newly sworn-in Gov. Joe Kernan, Judy O'Bannon and other family members watched. A hearse then transported O'Bannon's body to Crown Hill Funeral Home in Indianapolis.\nThe former lieutenant governor, who had served as acting governor since Wednesday, was sworn in as governor Saturday night.\nBy late afternoon, mourners, many in tears, were leaving flowers outside the governor's office. Flags fell to half-staff at the Statehouse and other locations in downtown Indianapolis.\n"If a measure of a person is how he lives, he measured up to a very, very high standard," said Indiana House Speaker Patrick Bauer, a fellow Democrat from South Bend.\nPresident Bush called O'Bannon "a dedicated public servant and a good and decent man."\n"He has served the people of his state with integrity and devotion," Bush said in a written statement.\nO'Bannon's tenure began brightly with the economic boom of the late 1990s. Indiana built a record $2 billion surplus, and O'Bannon cut taxes by $1.5 billion, put 500 more police officers on the streets, and won increasing funding for schools and universities. The moderate Democrat coasted to re-election in 2000 over former U.S. Rep. David McIntosh, R-Ind.\nShortly into O'Bannon's second term, the economic good times soured into a recession. Indiana lost 120,000 jobs, and tax revenues flowing into state coffers slowed to a trickle, forcing tax increases and cuts in social services and other agencies while largely sparing education.\nState Rep. Dave Crooks, a fellow Democrat from Daviess County, said the tax-restructuring package approved last year may stand as O'Bannon's most significant achievement.\n"I think he'll be remembered as someone who served for all the right reasons," Crooks said.\nRepublicans, however, blamed O'Bannon for only recently focusing on economic development.\nIn an April 2002 interview, O'Bannon acknowledged the state's worst fiscal crunch in two decades also would be part of his legacy.\n"It will certainly be a part of it. But I don't even think of my legacy. I just look at things I can get done," O'Bannon had said.\nHis critics also accused O'Bannon of running a loose ship as governor. They pointed to the embezzlement by three state employees from a public retirement fund, a slow response by his environmental agency to a big fish kill, and problems at two state centers for the developmentally disabled.\nCriticism of O'Bannon rarely turned personal, though. That reflected his folksy image -- his home is a reconstructed barn on the outskirts of the family hometown of Corydon -- and the good will he had built during 18 years in the Indiana Senate and eight as lieutenant governor.\nBrian Bosma, the Indiana House minority leader, had clashed with O'Bannon on policy issues, but knew the governor's positions were deeply held.\n"He has always done what he has felt was in the best interest of our state. I would never question his integrity or his service or his dedication," said Bosma, R-Indianapolis.\nSen. Evan Bayh, who was governor when O'Bannon was lieutenant governor, hailed him as "a statesman in life, generous of spirit, and always focused on the public good rather than self interest."\nO'Bannon won his first term as governor in 1996, narrowly defeating Indianapolis Mayor Stephen Goldsmith, who had advocated bold moves such as school choice and privatization of government services.\nIndiana residents traditionally have embraced change only when it honors the past, historian James Madison has written. "When forced to change, they were always able to blend the old with the new."\n"I think O'Bannon is a wonderful combination of past, present and future," Madison, an IU historian said in 1996.\nO'Bannon took positions that many of his Democratic counterparts in other states might deem too conservative. He wanted to place a 7-foot stone monument with the Ten Commandments on the grounds of the state Capitol until the courts rejected the idea.\nWhile a legislator, he had been the prime sponsor of the legislation that reimposed Indiana's death penalty in the 1970s. As governor, O'Bannon allowed seven executions to occur without delay but recently granted a 60-day reprieve in one case to allow for DNA testing.\nO'Bannon had succeeded his father in the state Senate in 1970 and held the seat until becoming lieutenant governor. He had actually sought the governor's seat in 1987, but after Bayh entered the race, O'Bannon became the much younger man's running mate. The pair won election that year and then won a second term in 1991.\nOver eight years as lieutenant governor, O'Bannon quietly built ties with farmers, business people and party leaders in preparation for his own gubernatorial run. He was not opposed when he sought the Democratic nomination for governor in 1996.\nO'Bannon received a bachelor's degree in government from IU in 1952. He served two years in the Air Force and then earned his law degree from IU in 1957.\nThat year, he married Judy Asmus, whom he had met on a blind date in college. They returned to Corydon, where he started a law practice and spent time at the family-owned newspaper, the Corydon Democrat. Even as governor, he remained chairman of the O'Bannon Publishing Co., which publishes weekly newspapers in Harrison and Crawford counties.\nThe O'Bannons have three children, Polly, Jennifer and Jonathan, and five grandchildren.
(08/07/03 1:05am)
INDIANAPOLIS -- A government research organization widely respected at the Statehouse will conduct an independent study to gauge the accuracy and impact of the unfolding, statewide property tax reassessment.\nGov. Frank O'Bannon also announced Tuesday that a steering committee of government leaders and private groups will oversee the study by the Indiana Fiscal Policy Institute.\nThe study cannot be completed until all counties have sent bills reflecting court-ordered changes in the assessment system. That likely will not occur until next year, but the policy institute plans to issue an interim report lawmakers can consider at the start of next January's legislative session.\nThe study will look at tax-burden shifts caused by the new system, determine accuracy of assessments and analyze the effects local levy increases had on tax bills, among other things.\nOn the legislative front Tuesday, House Speaker Patrick Bauer blamed state Supreme Court justices, local officials and O'Bannon's administration for tax hits and other controversies caused by the reassessment.\nAn agitated Bauer, standing before reporters in his Statehouse office, said legislators were not to blame and were not getting credit for having taken steps to soften the property tax blow on homeowners.\n"The legislative branch is not involved in this reassessment in the sense that we didn't create it," said Bauer, D-South Bend. "It's the judicial branch, and this interpretation was done by the executive branch. We can't carry all these troubles on our shoulders."\nOnly about a dozen of 92 counties have sent out new bills that reflect court-ordered changes in assessments. Most counties are expected to send them by November or December, but some could be delayed until next year.\nBecause of the reassessment and large increases in local spending in Marion County, the average residential bill there went up 17.4 percent. But some homeowners, especially those in older, more expensive homes in desirable neighborhoods, have seen bills double or triple.\nThe downtown historical district in Evansville also was hit hard, and many lawmakers fear similar fates for some of their constituents.\nThe state Supreme Court ruled in 1998 that Indiana's assessment practices were unconstitutional because they were not based on objective, verifiable data. The ruling stemmed from a lawsuit that said Indiana's largely subjective system allowed huge fluctuations in assessments, even among similar properties.\nTo bring the system into compliance, the O'Bannon administration moved toward assessments based largely on market values, or sales prices. He and lawmakers knew it would shift tax burdens from businesses to homes and result in big tax increases for many homeowners.\nTo help offset that, lawmakers raised sales taxes by a penny last year and dedicated the $800 million in new revenue toward property tax relief for homeowners.\nBauer said that has escaped much of the public, in part because county officials are not providing taxpayers with statutorily required notices saying what they would have paid had lawmakers done nothing.\nHe also said deadlines imposed by law and the courts routinely have been ignored, and said some local taxing units have made things worse by raising levies too high.\nBauer did not say that earlier this year the administration corrected a 17-year mistake in the way homestead credits were applied. Lawmakers knew the fix would cost homeowners $280 million in tax relief over two years, but they wanted the money for the state budget, so they let it stand.\nWhen asked about that again Tuesday, Bauer said, "You don't codify a mistake."\nHe said the Supreme Court ruling did not address the "massive shift in taxpayer responsibility" and suggested justices step in to monitor the unfolding events. He said if they did not, then lawmakers should consider making their appointments elected instead of appointed positions.\nDave Remondini, counsel for Chief Justice Randall Shepard, said the high court felt it had done its duty. But, he said, "If someone wants us to take a look at something, we're willing to do that"
(06/30/03 1:35am)
INDIANAPOLIS -- Take note uninsured motorists and spam scammers out there. Indiana's tolerance level for your transgressions will officially drop at 12:01 Tuesday morning.\nThat is when more than 200 state laws enacted during the past session of the General Assembly take effect. Many are aimed at cracking down on crime and consumer fraud, but lawmakers didn't frown on everything.\nThe first step in a three-year increase in weekly unemployment insurance benefits kicks in July 1, rising from $336 to $349. It goes to $369 next July, then to $390 on July 1, 2005.\nBy state law, women will be allowed to breast-feed their children in any public place they have a right to be.\nOne law effective Tuesday mandates that, as of July 1 a year from now -- 2004 -- children who enter kindergarten or first-grade be immunized against chicken pox.\nTuesday also marks the first day of the new state fiscal year, when the two-year, $22.7 billion state budget enacted by lawmakers hits the books. It includes several provisions designed to spur economic development, but also spends hundreds of millions dollars more than Indiana is expected to take in.\nThe public's judgment on that bill will probably take months to play out, but Rep. Terry Goodin, D. Crothersville, said he believes most Hoosiers will appreciate passage of House Bill 1171.\nUnder that new law, a second offense for driving without insurance will be a misdemeanor carrying a possible 60-day jail term and $500 fine. Judges might be reluctant to send anyone to jail for that, but if there are two offenses within five years, they must suspend the person's driving privileges for one year.\nGoodin said he's had numerous constituent complaints about uninsured motorists and their role in driving up car-insurance premiums. There should be no excuses for a second offense, Goodin said.\n"They know they are doing it and they are blatantly slapping the law enforcement community and everyone else who drives under the law in the face," Goodin said.\nOn Tuesday, Indiana will join more than 30 states with laws against "spam."\nThe Indiana law prohibits sending unsolicited commercial e-mail messages that misinterpret or obscure the point of origin of the e-mail. It also requires some commercial e-mail to include a code in the subject line that identifies it as an ad (ADV) or an adult-oriented ad (ADV:DLT).\nSen. David Ford, R-Hartford City, acknowledges that somebody must sue under the act to collect damages, and that most Hoosiers won't spend the money or time to do that. But he backs the state law being on the books.\n"What I do think will happen is that occasionally, perhaps a corporate entity that is so inundated with these may want to go after them," Ford said.\nMicrosoft Corp., citing a Washington state law, recently filed 15 lawsuits against people and companies it claims have flooded its system and customers with deceptive, unsolicited e-mail messages.\nNew state laws also:\n• Make it a Class D felony for convicted sex offenders to change residences and not inform police of their new address so it can be posted on the statewide sex offender registry.\n• Expand the definition of identity theft to include using someone's address, place of employment or maiden name. Allows judges to send written orders to creditors on behalf of people victimized by identity theft.\n• Require merchants who sell cigarettes to someone in Indiana through direct mail or the Internet to ensure the customer is at least 18 or older. They must also pay the state cigarette tax or provide notice to the state Department of Revenue who is responsible for the unpaid tax.
(06/12/03 12:45am)
INDIANAPOLIS -- State Sen. Murray Clark says he gave a lot of thought and heartfelt contemplation in deciding to drop his bid for governor and join the team behind Mitch Daniels.\nIn the end, he said, it just made sense.\n"I think it's his time," said Clark, a Republican from Indianapolis. "He is the right person at the right time with the right ideas to lead this state forward."\nDaniels took his first formal steps toward running for governor Monday by filing papers to start raising money.\n"I said, 'All right, let's go,'" said Daniels, who has long been expected to run. He finished his last day as White House budget director Friday and drove back to Indianapolis on Saturday.\nSupporters said Clark's withdrawal gave the official start of the Daniels campaign a big boost of contacts and fund-raising strength. Clark was the running mate of gubernatorial nominee David McIntosh in 2000, when they lost to Gov. Frank O'Bannon and Lt. Gov. Joe Kernan. McIntosh is running again this time.\nClark, who detailed the developments at a news conference outside the Statehouse, said he met with Daniels for three hours Sunday night and agreed to head his campaign committee. Daniels was not at the announcement.\nClark said he suggested to Daniels that he "act like a gubernatorial candidate and start getting on the phone and calling his supporters and potential supporters, so that's what he's doing."\nClark said he was not interested in being a running mate if Daniels wins the nomination next May. He said he would return every penny of more than $400,000 made to his own campaign, but predicted many of his donors would now support Daniels.\nDaniels said by telephone that he was "deeply gratified" for Clark's support.\nSeveral top Republicans had encouraged him to run, and when he announced his resignation as budget chief, President Bush said, "This administration's loss is the gain of the people of Indiana."\nDaniels made several public appearances during his trips back to Indiana in recent months, and attended GOP Lincoln Day dinners in Boone, Brown, Cass, Hancock, Harrison, Howard, Rush, St. Joseph and Vanderburgh counties.\nClark was among several Republicans who already were running in hopes of replacing O'Bannon, who under state law cannot seek a third straight term.\nThe others include McIntosh; state Sen. Luke Kenley of Noblesville; conservative activist Eric Miller; and Petersburg Mayor Randy Harris.\nTwo Democrats -- state Sen. Vi Simpson of Ellettsville and former state and national Democratic chairman Joe Andrew -- are seeking their party's nomination.\nAlthough Daniels already is considered by many a front-runner for the GOP nomination, Clark and three others had said recently they did not plan to drop their bids if he got into the race.\nKenley, however, has seemed less adamant about that.\n"Everything is contingent on whether he announces or not," Kenley said in a May 30 interview. "I think Republicans have a problem if we get too much of a loaded primary field, and candidates have a responsibility to think about that."\nMcIntosh campaign spokesman Jason Beal said the former congressman considers Daniels a friend, "But we plan to run a good, clean, issue-oriented campaign and this doesn't alter that course."\nFormer state GOP chairman Mike McDaniel has endorsed Daniels and predicted he would have immediate fund-raising success.\n"I think he has the ability to raise shock-and-awe money, and I think that is a tribute to the fact that people are hungry for leadership, hungry for someone who has big ideas and can move the state forward," McDaniel said.\nMcIntosh and O'Bannon raised and spent more than $20 million combined in the last governor's race.
(05/09/03 4:39am)
INDIANAPOLIS -- It was no big surprise, but Mitch Daniels' decision to leave Washington as President Bush's budget director still made a big splash in Indiana.\nDaniels knew that would happen. For months now, he has been riding waves of speculation that he would come home to run for governor and become the GOP's heavyweight favorite.\nDaniels declined to comment on future plans in a telephone interview Tuesday, but he left virtually no doubt among politicos in Indiana that he will become an official candidate.\n"To me it is an exciting moment because it is one step closer to him making a decision," said former state GOP Chairman Mike McDaniel, one of many prominent Republicans who have encouraged Daniels to run.\nHis decision to step down as White House budget chief alone gave Republicans reasons to cheer, and state Democrats some fresh reasons to fear.\nFive other Republicans have announced plans to seek the GOP nomination for governor: David McIntosh, the party's nominee in 2000; state Sens. Murray Clark of Indianapolis and Luke Kenley of Noblesville; conservative activist Eric Miller; and Petersburg Mayor Randy Harris.\nTwo Democrats -- state Sen. Vi Simpson and former state and national Democratic chairman Joe Andrew -- are seeking their party's nomination.\nThere are several reasons Daniels is viewed as the biggest contender among Republicans, including his GOP credentials, political savvy and assumed ability to raise big money.\nDaniels, 54, served eight years as a top aide to Indiana Sen. Dick Lugar, was a political adviser to President Reagan and in the 1990s was a top executive at Eli Lilly and Co., the Indianapolis-based pharmaceutical giant.\nHe won praise among conservatives in Congress for his efforts to curtail spending. Whether they were enough or not, cutting government spending is a concept still held high in Indiana, which has not voted for a Democratic presidential nominee since Lyndon Johnson in 1964.\nAs budget chief to Bush for more than two years, Daniels has traveled home to Indiana on many weekends to see his wife and four daughters. It will allow him to say that even in Washington, he was an outsider who never felt quite at home.\nBrian Vargus, a political pollster at IU-Purdue University at Indianapolis, said those reasons alone would make Daniels the biggest hitter among GOP gubernatorial candidates. There are five others already seeking the nomination.\n"I think you will see a number of other candidates ... very quickly re-evaluating their position on the Republican side," Vargus said.\nThere are reasons for Democrats to worry, too, no matter who gets in on the Republican side.\nDemocratic Gov. Frank O'Bannon is in his 70s and barred by state law from seeking a third straight term. Even if he could run, it seems certain he would face huge obstacles.\nHis popularity has plummeted during his second term, one dominated by the state's fiscal crisis and the budget cuts and tax increases he has pushed and backed in efforts to balance the budget.\nO'Bannon's lieutenant governor, Joe Kernan, was widely expected to be the party's nominee in 2004, but Kernan announced in December that he would not run.\nSince then, U.S. Sen. Evan Bayh, a former two-term governor; Indianapolis Mayor Bart Peterson; former U.S. Rep. Tim Roemer; U.S. Rep. Baron Hill; and former House Speaker John Gregg have ruled out campaigns for the Democratic nomination.
(05/02/03 5:30am)
INDIANAPOLIS -- Citing cost burdens on Indiana's prison system, Gov. Frank O'Bannon vetoed legislation Thursday that would enhance penalties for some cases of physical abuse toward adults who cannot care for themselves.\nO'Bannon signed a separate bill that would increase penalties for repeat offenses of public indecency, saying it was unlikely to increase the prison population in "any significant way."\nO'Bannon had warned lawmakers that unless they increased funding to expand prison operations, he would consider vetoing any bill that added to the prison population.\nThe state budget bill passed by the General Assembly did not give O'Bannon the $26 million in additional money he says was needed to meet a projected increase in adult male inmates over the next two years. The money would have allowed the state to open and staff 1,576 new beds at two prisons.\nLawmakers also did not approve about $200 million in new money O'Bannon sought for Medicaid, the state and federal health care program for the poor and disabled.\nO'Bannon plans to sign the budget bill despite those and other concerns, in part because it increases funding for schools and contains several economic-development initiatives.\nBut O'Bannon vetoed House Bill 1660, saying it could increase the prison population and cost the state $400,000 more per year.\nAmong other things, the bill would increase penalties for battery on "endangered adults." They are defined as people over age 18 who cannot care for themselves because of mental illness, dementia or other mental or physical conditions and who are threatened by abuse or neglect.\nUnder the bill, the crime would be enhanced from a Class D to Class C felony if it resulted in serious injury, and to a Class B felony if death resulted. Class D felonies carry a maximum prison term of three years, Class C felonies have an eight-year maximum and Class B felonies have a 20-year maximum.\nThe bill also would require Adult Protective Services to investigate any report that a resident of a health care facility was an endangered adult. Current law requires the State Department of Health to refer each such report before an investigation can occur.\nO'Bannon said it was a good idea to eliminate the referral requirement but said the Department of Health already is referring for investigation every report it receives.\nHe also commended lawmakers for passing legislation calling for a comprehensive review of sentencing laws and practices in Indiana.\nBut if the General Assembly chooses to override his veto of the bill regarding endangered adults, it should do so in light of potentially revamped sentencing policies, O'Bannon said.\n"It should also provide the resources necessary to deal with the additional correctional costs generated by the bill," he wrote in his veto message. It only takes a simple majority in both houses to override a governor's veto in Indiana.\nRep. John Day, a Democrat from Indianapolis who sponsored the bill rejected by O'Bannon, said he had not reviewed the full veto message.\nBut, he said, "I think the bill was rather modest, and I think the bill's fiscal impact would be modest."\nHe said a primary focus of the bill was to ensure that reports of physical abuse toward endangered adults were taken as seriously as reports of child abuse.\n"Both are vulnerable populations," he said.
(04/28/03 4:40am)
INDIANAPOLIS -- The General Assembly passed a two-year, $22.7 billion state budget and companion economic-development package early Sunday, sending the proposal to Gov. Frank O'Bannon. He said he intends to sign the bill.\nThe House voted 61-37 to send the package to the Senate, which voted 34-16 to approve it. Both chambers then adjourned the legislative session three days before the statutory deadline.\nThe plan would ensure that all of the state's 294 public school districts get more money, despite the state's $800 million budget deficit. The increases were made possible in part by freezing funding for prisons and Medicaid over the objections of the governor, who sought more money for both.\nThe budget included several provisions designed to jump-start the state's lagging economy by creating more jobs and spurring business investment. They included $75 million to foster research and development ventures between business and universities and move their products to market.\nO'Bannon and many legislators from both parties sought the economic-development intiatives, so they were rolled into the budget bill in hopes of winning bipartisan support for both. Democrats have a 51-49 advantage in the House, while Republicans control the Senate 32-18.\nThe bill also would allow casinos to stay open 24 hours a day to bring in more tax revenue for the state and county governments. Under current rules, they can stay open 21 hours a day.\nFiscal leaders had reached a tentative agreement on the big-ticket items Friday night, including funding for schools, universities, Medicaid and state prisons.\nBut legislators spent all day Saturday revising and reviewing details in the spending bill, and partisan differencs over various provisions continued into the night. It appeared as if many of the snags had been resolved by 9 p.m., but some lawmakers wanted more time to review the plan.\n"We are as close as we're ever going to get," said Sen. Luke Kenley of Noblesville, a top budget negotiator for Senate Republicans. "I believe if we don't get it done tonight, we'll only get farther apart."\nEven though the statutory deadline for ending the session was not until midnight Tuesday, many shared Kenley's fear: If lawmakers went home without passing the bill, they would find more faults with it and the delicate deal would fall apart.\n"I believe we will have a vote this evening, and I believe it will pass. That is what I believe right now," House Speaker Patrick Bauer, D-South Bend, said late Saturday afternoon. "This is the Legislature, and anything can happen, but signs are very positive."\nThe budget proposal would steer $495 million in new money to schools over the next two years and ensure that all of the state's 294 districts get an increase.\nThe overall increases would amount to 2.3 percent the first year and 1.9 percent in 2005. But school districts could transfer money from their capital project funds, or raise property taxes for those accounts, and use the extra money to pay for utility and insurance costs.
(04/25/03 5:03am)
INDIANAPOLIS -- Legislators crept toward compromise on a two-year state budget Thursday, but it seemed doubtful they would meet a self-imposed goal of finishing business and adjourning the session by midnight.\nAmong other things, Republicans and Democrats were hashing out details of a school funding formula, which will determine how billions of dollars are doled out to the state's 294 public school districts.\nBut House Minority Leader Brian Bosma, R-Indianapolis, said the parties had reached a tentative agreement on the session's other big issue -- economic development.\nHe said the package likely would be rolled into the budget bill, and included a "substantial investment" in fostering research-and-development ventures between businesses and universities and moving their products to market.\n"If this is adopted, this will be the strongest economic package adopted in Indiana in the past two decades," Bosma said.\nMeanwhile, Gov. Frank O'Bannon warned lawmakers that if they did not provide money to open and staff new prison cells, he would consider vetoing any bill that enhances criminal sentences. There were several such bills still alive.\nDemocrats who control the House and Republicans who rule the Senate passed budget bills that would deny O'Bannon the $26 million increase he is seeking for prisons, and they have indicated little interest of including it in a final compromise.\n"If there is to be no additional funding for Department of Correction expenses in the next biennium, it would be irresponsible for me to sign legislation that significantly increases the number of persons committed to the Department," O'Bannon said in a written message to the Senate.\nIt was possible lawmakers would work Friday and into the weekend if necessary to finish their work, even though the statutory deadline for ending the session is not until midnight Tuesday.\nThe only constitutional mandate they have is to approve a two-year budget, but O'Bannon and many legislators from both parties have pressed for an economic-development package as well. They say it is necessary to jump-start Indiana's lagging economy and position the state for long-term job growth.\nHouse Republicans have touted economic development as their top priority, and their needed support to pass a budget gave them additional bargaining power on that front.\nAlthough Democrats control the chamber 51-49, one of their members -- Rep. Ben GiaQuinta of Fort Wayne -- remained unavailable to vote Thursday because of health reasons. That has left Democrats needing at least one GOP vote to pass a budget, since it takes 51 votes to pass any bill.
(04/24/03 4:06am)
INDIANAPOLIS -- Fiscal leaders in the General Assembly moved closer to a compromise on a two-year state budget Wednesday, but there was little hope they would meet a self-imposed deadline of adjourning by midnight Thursday.\n"We are a lot closer," said Sen. Robert Meeks, a top budget negotiator for Republicans who control the Senate. That included progress on how money would be divided among schools and other big-ticket items such as funding for Medicaid and prisons, he said.\nHouse Speaker Patrick Bauer, D-South Bend, planned to talk with reporters about the negotiations later Wednesday.\nLawmakers have until midnight Tuesday to adjourn the regular session, but legislative leaders set a goal of passing a budget and going home by Thursday night.\nSen. Vi Simpson, an Ellettsville Democrat and veteran budget negotiator, said it was possible lawmakers could finish business -- including passage of an economic development plan -- this weekend. But she said many details remained unresolved.
(04/11/03 4:29am)
INDIANAPOLIS -- Indiana's prescription drug program for low-income seniors will get a boost of up to $12 million in federal tax revenue, Gov. Frank O'Bannon said Thursday.\nFrom its beginning in July 2002, the Hoosier Rx program has been funded entirely by the state, using money from the national tobacco settlement.\n"But we learned today that the federal government recognizes our efforts to help deserving seniors and is helping us to do so," O'Bannon said.\nIndiana became the sixth state with a prescription drug program to win approval of federal matching dollars from the U.S. Department of Health and Human Services. The other states are Florida, Illinois, Maryland, South Carolina and Wisconsin.\nHoosier Rx pays 50 percent of drug costs for some residents age 65 or older who do not have prescription drug coverage through an insurance plan or Medicaid. The benefit is capped between $500 and $1,000 a year, depending on income.\nThe program serves seniors with incomes up to 135 percent of the federal poverty level. That means an annual income of $11,964 or less for single seniors, or $16,128 or less for couples.\nMore than 13,500 seniors are enrolled in the program, far fewer than the estimated 55,000 state officials believe could qualify. The O'Bannon administration wants to increase the number in the program to 30,000.\nThe state expects to spend about $7 million on the program this year.\nSeparate budget plans passed by House Democrats and Senate Republicans in the General Assembly would spend up to $8 million in state money on the program in each of the next two years. Federal matching dollars could increase that to $20 million per year.\nBecause of the state's budget crunch, the O'Bannon administration wants to enroll more seniors under current guidelines before it considers expanding income eligibility.\nState lawmakers trying to complete a new, two-year state budget welcomed approval of the federal waiver. For months, there has been little to celebrate about the state's finances.\n"We are very pleased to have some positive news," said House Speaker Patrick Bauer, D-South Bend.
(04/04/03 4:00am)
INDIANAPOLIS -- A state Senate committee on Thursday endorsed a bill authorizing a riverboat casino in southern Indiana's economically depressed Orange County.\nThe Senate Finance Committee approved the bill on a 9-5 vote. It now goes to the full Senate for consideration.\nThe bill easily passed the House last month, but its fate in the Senate was less certain. Both the committee chairman, Sen. Larry Borst, R-Greenwood, and Senate President Pro Tem Robert Garton, R-Columbus, have opposed the casino proposal and helped block its passage during last year's special session.\nA group of supporters from Orange County traveled to the Statehouse for the committee hearing.\n"It feels great," said John McCracken, 60, of French Lick. "These people don't have to come up here. We're coming up for the younger generation, our kids and grandkids who need jobs."\nSupporters say the bill meets the original intentions of lawmakers when they passed the 1993 law that legalized Indiana's 10 riverboat casinos. An 11th license for Patoka Lake remains dormant because the U.S. Army Corps of Engineers, which oversees the lake, has refused to allow a riverboat.\nThe bill would transfer the dormant license to a new historic-preservation district covering French Lick and West Baden Springs, which are near the lake. If approved in a countywide referendum, the district could then open a casino on a yet-to-be constructed waterway between two historic hotels.
(03/27/03 4:17am)
INDIANAPOLIS -- A controversial bill strongly pushed by telecom giant SBC Communications has stalled in the Indiana Senate and might be dead this session.\nSen. James Merritt, chairman of the Senate Utility and Regulatory Affairs Committee, said Wednesday he would not allow a vote on the bill that could advance it to the full Senate.\nMerritt will instead offer a resolution asking the Indiana Utility Regulatory Commission to take a fresh look at issues the bill touched on, including the rate at which SBC must lease its local phone lines to competitors.\nMerritt, R-Indianapolis, had previously expressed reservations about the bill and questioned whether part-time lawmakers had the expertise to deal with such complex utility issues in such a short period of time. The regular session must end by April 29.\nThe bill would require the IURC to consider an SBC-backed method for setting rates which former monopolies such as SBC and Verizon charge competitors for leasing their local phone lines. It also would remove broadbrand services such as high-speed Internet from IURC jurisdiction.\nSBC has said the bill would level the playing field for local service and protect company jobs, in part by allowing it to charge more reasonable prices for leasing its lines. Opponents, including AT&T and WorldCom, say it will stifle competition in the local service and high-speed Internet markets.\nThe House approved the bill earlier this session, and any bills that pass one chamber are eligible for late-session conference committee negotiations. This means the bill could resurface next month.\nBut Merritt's decision could prove a fatal blow. This is especially so because Senate President Pro Tem Robert Garton, R-Columbus, has for weeks been a critic of the bill and SBC's lobbying push.