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OBAMA TO FILE SIGNATURES TODAY: The presidential campaign of U.S. Sen. Barack Obama will file its signatures at noon today at the Indiana Statehouse for the May 6 Democratic primary (Howey Politics Indiana). Indiana chairman Kip Tew told HPI that a number of new endorsements will be unveiled at that time.
BAYH EXPECTS INTENSE INDIANA PRIMARY: U.S. Sen. Evan Bayh is girding for an intense Indiana Democratic presidential primary. "Given the nature of our rules, it’s going to be very difficult for either one of these candidates to get a very big lead," Bayh told reporters at an Andre Carson campaign event (Howey Politics Indiana)..jpg)
"Which makes it very likely that Indiana will be important," Bayh said. Bayh said he will likely have a vigorous schedule on behalf of U.S. Sen. Hillary Clinton in late April and early May. Democratic sources are also telling Howey Politics Indiana that both Obama and Clinton are likely to be invited to the Indiana Jefferson-Jackson Day Dinner in late April.
ELROD, CARSON TO DEBATE TONIGHT: State Rep. Jon Elrod and Indianapolis Councilman Andre Carson along with Libertarian Sean Shepard will debate at 7:30 p.m. today at Arlington Heights Baptist Church, 5630 E. 16th St.
BAYH APPEARS FOR CARSON: Indianapolis Councilman Andre Carson called for education reforms to empower students who will be "competing for jobs" in a global economy as U.S. Sen. Evan Bayh offered his endorsement in the March 11 special 7th CD election for the Democratic grandson of the late U.S. Rep. Julia Carson at the Westin Hotel on Monday morning (Howey Politics Indiana). "Everyone of those pinks slips represents a father or a mother who lost out as we compete for knowledge-based jobs," Carson said of the 17,000 jobs lost in the United States in December. "As an educator for 10 years, my wife sees the challenges every single day. 
It’s an issue we discuss at our kitchen table and it’s an issue that will be a driving force if you send me to Congress. They deserve real action and most of all, they deserve real solutions." Carson said No Child Left Behind "has left too many Indiana school children behind" and said he would seek increased funding and flexibility, particularly with special education students. "Special education students need special solutions." He added, "We don’t serve our kids well by teaching to a test." As ayh looked on, Carson added, "With Sen. Bayh and all of you, I will win the special election on March 11." Bayh said, "I am pleased to lend my voice and my support for Andre Carson today. We need a strong leader who understands the economy and jobs and Andre Carson will be that leader. He knows in the long run the single most important thing we can do to create jobs with good wages is to give our working men and women skills they need to get good jobs and grow the economy of tomorrow. That’s the kind of congressman he’s going to be." Bayh said he was not yet backing Carson or anyone else in the primary election. "I’m going to take it one step at a time," the senator said. "I’m supporting him in the special election and then I’ll have to decide what to do after that." Bayh’s support of Congress was the second time in three days that an Indiana U.S. Senator publicly offered to help in the 7th CD special election. Sen. Dick Lugar told HPI on Saturday that he will provide Republican State Rep. Jon Elrod with his campaign’s absentee voter list and will follow up with letters and phone calls.
Indiana General Assembly
BALLARD SAYS EVERYTHING IS ON THE TABLE (EXCEPT COPS & TAX HIKES): Indianapolis Mayor Greg Ballard told state lawmakers Monday that "everything is on the table" as the city tries to deal with filling an estimated $41 million hole foreseen in 2010 because of proposed caps on property taxes (Indianapolis Star). Everything, that is, except cuts to police. Or an income tax increase. Ballard, elected in November in large part because of public anger over income tax and property tax increases, said an income tax increase "would not play well in Marion County after last year. I’d do almost anything not to do that." Ballard told the House Ways and Means Committee that the caps are the "only acceptable fall-back position" to a repeal of property taxes. But he conceded that even though he believes there is plenty of "fluff" in the city budget, he’ll have a hard time making ends meet at first. He said he is trying to deal with a 2008 budget "that was already underfunded by approximately $22 million on the first day of the year." Repeatedly telling lawmakers that he’s been in office for only five weeks, Ballard said his new administration is still assessing the caps’ impact, "but we know it will be large." He asked lawmakers to give local government additional tools to "mitigate the effects" of the caps, including the ability to further consolidate local units of government, such as the township fire departments in Marion County, and for the state to take over the cost of police and fire pensions. "I’d feel much relieved if this could be done," Ballard told legislators. "You also said you want the tools to mitigate these losses, and you don’t have the slightest idea what tools you want," state Rep. Dennis Avery, D-Evansville, said. (Evansville Courier & Press). "I’d like to have every tool available at my disposal. Whether I’d use them or not is another story," Ballard replied.
MOSES PRESSES BALLARD: Rep. Carolene Mays, D-Indianapolis, told Ballard he should "look at the money you have before you come in here and ask us to pay for an expense you have." Ballard repeatedly fended off questions about what kind of budget cuts he’s considering, saying he’d been in office a relatively short time.
Rep. Win Moses, D-Fort Wayne and a former mayor, said that answer wasn’t good enough (Indianapolis Star). Asked whether police would be laid off, Ballard said no. Asked whether firefighters would be cut, Ballard said: "I can’t say about firemen. I just don’t know. Representative, you’re asking me questions that we can’t get to yet." Moses fired back: "I’m asking questions that you must know."
MAYOR WEINZAPFEL SOUNDS ALARM: Sounding the alarm about possible budget shortfalls that would cause deep cuts in services, area government officials brought their campaign against Gov. Mitch Daniels’ property tax relief plan to Evansville on Monday (Langhorne, Evansville Courier & Press). Mayor Jonathan Weinzapfel estimated the city could lose $3.3 million in property tax revenue in 2009 and $3.4 million in 2010, almost 6 percent of the city’s property tax levy. The news conference was held to caution state lawmakers about House Bill 1001 and the possible negative effect a budget reduction bill in the Indiana House of Representatives would have on critical services in the area. "A cut of $3.4 million in 2010 would represent 43 police officers or 45 firefighters, or in the alternative we could close the zoo and eliminate bus service in order to make up the difference," the mayor said at an 11 a.m. news conference at the Civic Center. Afterward, Weinzapfel said he and other local officials are open to alternative taxing options "to make sure we’re providing superior government services in the most efficient way possible."
‘THERE WILL BE DEATHS’ SAYS HAMMOND FIREFIGHTERS: A throng of Hammond firefighters descended on the Statehouse on Monday in the hopes of heading off a financial emergency (Guinane, Times of Northwest Indiana). The city stands to lose nearly a third of its budget, or about $21 million next year, if lawmakers press ahead with property tax caps sought by Gov. Mitch Daniels. So roughly a third of the Hammond Fire Department, or about 60 firefighters, came out to show legislators what’s at stake. Dozens more public safety officials from across Indiana, including a handful of East Chicago firefighters and paramedics, formed a dense crowd outside the House Ways and Means Committee. Inside the hearing room, Hammond Fire Chief Dave Hamm warned legislators that the budget cuts triggered by the tax caps would cost lives. "One thing that I can assure you is our response time will worsen, and there will be deaths," Hamm said. "Please, please do not take that as a threat. … It’s just a matter of fact. It’s going to happen." Hammond Mayor Thomas McDermott Jr. has said there’s no way his city can shed $21 million overnight without affecting police and fire protection. Meanwhile, Gary stands to lose nearly $47 million to the tax caps beginning next year. And East Chicago would have to cut its budget by more than half to meet the $31 million in spending cuts prescribed by the Republican governor. "Where are they going to cut from?" asked Angel Gilarski, an East Chicago firefighter. "It’s going to affect public safety. It’s going to affect police, the fire department, EMS, other vital parts of the community. We’re all going to be affected somehow."
REP. REARDON SAYS PUBLIC SAFETY SHOULD BE FUNDED: State Rep. Mara Candelaria Reardon, D-Munster, said the stark message delivered by firefighters from the region sharply contrasts the more pleasant talk of rescuing homeowners from unfair property taxes (Times of Northwest Indiana). "That’s all they hear, for the most part. They don’t see what it means," she said. "(The impact of the caps) is a huge concern. We have to get that message out to the public." Candelaria Reardon, the lone region legislator on the Ways and Means Committee, said lawmakers must devise some way to spare essential services — including public safety — from the wrath of the tax caps. One downstate lawmaker asked Hamm why Lake County didn’t "help itself" last year by imposing a local income tax.
LET THE VOTERS ‘BLAME ME’ SAYS MAYOR ARMSTRONG: Mayor Fred Armstrong has asked state legislators to modify or scrap a property tax-cap resolution he thinks would hurt Columbus’ economic development and cut taxpayer services (Columbus Republic). Armstrong was among numerous mayors representing cities from across the state who testified to the Indiana House Ways and Means Committee Monday. About 150 police officers and firefighters attended from as far away as East Chicago and Evansville. Most had to watch proceedings on hallway monitors because of the large crowd in the room. Armstrong, who sat next to Columbus police Sgt. Brian Wilder, talked about Columbus’ success at holding steady its tax rate while maintaining or improving taxpayer services. He warned a tax cap in this city would create a $2.78 million shortfall and force a review of the city budget from top to bottom. Depending on what citizens decide, that could mean cuts in police officers, firefighters, and perhaps services, such as weekly trash and yard waste collection. State Rep. Sheila Klinker, D-Lafayette, of Ways and Means, asked Armstrong about any local taxes the city could adopt to help make up the difference in taxes lost. Armstrong said the city has County Adjusted Gross Income Tax, but Bartholomew County Council in recent years has decided against adopting any other taxes. He suggested cities be empowered to adopt replacement taxes like the Economic Development Income Tax and Local Option Income Tax. "Let the mayors take responsibility," Armstrong said. "Let the people put the blame on me."
LOCAL OFFICIALS WARN OF TAX CAP CUTS: Local officials warned state lawmakers Monday that proposed caps on property tax bills could lead to cuts in public safety and other services (Smith, Associated Press). “Residents seem to think these services come at them at no cost and don’t realize that property taxes are paying for them,” Logansport Mayor Michael Fincher told members of the House Ways and Means Committee. Fincher was among mayors, police officers and firefighters who testified about the proposed caps and legislation that seeks ultimately to amend them into the state constitution. Several police officers and firefighters were in the meeting room, and dozens of others gathered outside to demonstrate their concerns about the possible effect of the caps.
IACT, AIC WANT FUNDING ALTERNATIVES: The lobby for municipal officials, the Indiana Association of Cities and Towns, also is warning that the revenue shortfalls created by the caps could lead to devastating cuts in police and fire protection and other essential services (Evansville Courier & Press). While counties can consider adopting local county-option income taxes to make up the shortfall, the association wants that replacement revenue to be automatic. "We want to replace (lost revenue) to be able to keep our services intact, and we’re asking the state to automatically impose that tax upon a county," said Ann Cottongim, associate executive director of the Association of Cities and Towns. "However, let the county choose what source, whether it’s a payroll tax, an income tax, a sales tax, a food and beverage tax — what tax base their area supports best to replace that lost revenue. It’s not a one-size-fits-all solution." Local government officials said the state’s property tax crunch isn’t primarily caused by spending, but rather a combination of events. They cited a six-year delay by the Legislature in implementing a new trending process which dictates that property assessments be updated annually based on sales of other neighborhood and area property; phase-out of the inventory tax on businesses and a shifting of that burden to homeowners; and state reductions of property tax replacement credits. David Bottorff, executive director of the Association of Indiana Counties, said higher homeowner tax bills don’t mean local government spending has increased. "If the homeowner’s tax levy increased 40 percent, our levy didn’t increase 40 percent," Bottorff said.
CHANGES IN STORE FOR IMMIGRATION BILL: A state Senate bill cracking down on illegal immigration will begin its journey through the Indiana House on Wednesday — but not without some changes. Senate Bill 335 will be amended to include $1.5 million in appropriations for the attorney general and State Police to pay for preparation costs and added enforcement duties mandated under the proposed law (Indianapolis Star). Whether the bill would get heard in the House was in question after Speaker B. Patrick Bauer, D-South Bend, said it would have to be better balanced in protecting good-faith businesses while punishing those profiteering from the low wages paid to illegal immigrants. Amendments to that effect could be filed this week. The bill will be heard Wednesday by the Public Policy Committee. The funding component means it also will be heard by the Ways and Means Committee, probably next week. Approved by the Senate last month, the bill would have to be approved by both committees in order to be heard by the full House. "I am confident we will move it through the committee process and the full House will have the opportunity to vote up or down on the bill," said Rep. Vern Tincher, D-Riley, the House sponsor. But will it be weakened? "No. I think we may strengthen it a bit," Tincher said.
LEGISLATURE HONORS HERO: First the applause started to build in the chambers of the Indiana House and then one by one lawmakers stood to honor the actions of Russiaville resident Greg Bugher almost one year ago (Kokomo Tribune). The Indiana House and Senate on Monday passed a joint resolution honoring Bugher’s heroic actions on April 8 in saving five teenagers from a burning van, an accident that claimed the life of Kokomo’s Joy Edwards.
2008 Election
ABRAMSON ENTERS 8TH CD GOP RACE: Evansville resident Paul Abramson announced Monday that he will seek the GOP’s nomination in the 18-county 8th District represented by Ellsworth. Abramson, 50, who describes himself as a self-employed, Internet-based contractor who also edits an academic journal, joins Greg Goode in the Republican race. Goode, 34, left his post as Indiana State University’s chief public and governmental affairs officer to campaign for Congress (Evansville Courier & Press). "I’m campaigning on the culture war of values," Abramson said. "Our society is split, and the good guys are losing at this time. "We have a religious heritage. It’s not freedom from religion; it’s freedom of religion." Goode, who filed his candidacy papers with the Indiana secretary of state on Monday, welcomed Abramson to the race. "It’s a terribly difficult decision to make," Goode said. "I respect (Abramson) for the decision, and I wish him safe travels as he makes his way around the 18 counties of the 8th District." Abramson is the founder and editor of www.creationism.org, which promotes "creation science" and calls evolution "primarily a spiritual deception." Abramson said he is a native of the Pacific Northwest who has lived in Evansville for more than three years. Abramson said he also would introduce a bill to require display of the Ten Commandments in federal courthouses.
State
ACCESS COUNSELOR CLEARS UP BACKLOG: The state official who advises citizens and government agencies on issues involving access to public information says she has eliminated a backlog of dozens of informal requests for an opinion (Associated Press). The requests went back as far as April 2005, Heather Willis Neal, the state’s public access counselor, said yesterday. Neal was appointed by Gov. Mitch Daniels in July to succeed Karen Davis, whose term ended. Neal said she immediately began to respond to the requests for informal opinions in the order they were received.
Congress
VISCLOSKY SEEKS FED FUNDS FOR SOUTH SHORE LINK: U.S. Rep. Peter J. Visclosky, D-Merrillville, wants to examine how best to integrate the South Shore commuter rail extension with the Gary/Chicago International Airport. On Monday, Visclosky requested an estimated $400,000 to fund a study. He sent a letter to U.S. Rep. John Olver, chairman of the Transportation, Housing and Urban Development Appropriations Subcommittee (Post-Tribune). "The Gary/Chicago International Airport and the expansion of the South Shore Rail Line are two of the greatest economic development projects in the First Congressional District, as well as the entire state of Indiana," Visclosky wrote. "The connection of these two modes of transportation must be made in order to create new jobs and increase economic activity in Northwest Indiana."
DONNELLY ANNOUNCES VA CLINIC: U.S. Rep. Joe Donnelly announced that he received approval from the U.S. Department of Veterans Affairs (VA) to erect a multi-use outreach veterans clinic for northern Indiana (Howey Politics Indiana). This multi-use clinic, the first of its kind, will offer a combination of services from the Veterans Health Administration (VHA), the Veterans Benefits Administration (VBA), and Vet Centers. The VHA will offer outpatient Post Traumatic Stress Disorder Group therapy initially twice a month. This will be expanded to include other treatments, such as substance abuse counseling. All services will be provided by a clinical psychologist and/or a social worker.
LUGAR MOURNS LANTOS: U.S. Senate Foreign Relations Committee Ranking Member Dick Lugar released the following statement following the death of Rep. Tom Lantos: “Tom Lantos was an extraordinary colleague and patriarch of a magnificent family. His fellow members of Congress held deep respect for his remarkable life story, his legislative accomplishments, and his love for the United States. We spent many hours together on the issues facing us, and like so many, I respected his wisdom and spirit. My thoughts are with Annette and his loved ones as they remember and celebrate the life of a dedicated public servant and family man.” (Howey Politics Indiana)
Cities
COUNCIL VOTES TO GIVE IMPD CONTROL TO BALLARD: Five Democrats joined the City-County Council’s 16 Republicans Monday night in voting to give Mayor Greg Ballard what he wants: control of the Indianapolis Metropolitan Police Department (Indianapolis Star). One of the Democrats, Vernon Brown, warned the mayor to be careful about what he asks for. Brown said the public cares less about who is in charge than about “kids getting killed.” With 15 homicides so far this year, more than twice as many as the previous year, and four of those killed being children, new Public Safety Director Scott Newman acknowledged that there is work to be done. He said it’s time to leave behind a partisan dispute so law enforcement officers can focus on stopping criminals. “Police officers have been waiting for this issue to be resolved,” Newman said. “I think we’re ready to unleash a torrent of effective crime-fighting efforts.” The council voted 21-8 to move the city’s roughly 1,600 officers under the mayor after a year with Marion County Sheriff Frank Anderson in charge. Anderson, a Democrat, and Ballard, a Republican, announced an agreement at the end of January that publicly ended a dispute that began in November, when Ballard won election and promised to follow through on his campaign pledge to clarify the chain of command in public safety. The command changeover is scheduled for 12:01 a.m. Feb. 29. Before that time, Newman promised to lay out details of changes to come.
SHOWDOWN LOOMS ON SHELBYVILLE COUNCIL: Only a week remains until the next scheduled city council meeting, and both 4th Ward candidates appear headed for a showdown at City Hall (Shelbyville News). Neither Republican Party incumbent Tamara Sullivan or Democratic Party challenger Val Phares is blinking in the political and judicial faceoff resulting from an election tie in November. Sullivan told The Shelbyville News on Friday that she is being advised by her counsel, local attorney Jason Wischmeyer, not to relinquish her seat on the Shelbyville Common Council. "I was told that he filed an appeal in state appellate court last week, and that appeal stays the order issued by Judge (Charles) O’Connor," she said. "That keeps things the way they are until the appeal runs its course and the issue is resolved. If, however, the president of the city council asks me to step down, I will. Otherwise, I plan to retain my council seat." Council President Jeff Sponsel has told The Shelbyville News that he has no plans to ask Sullivan to give up her council seat unless he gets a specific court order mandating that he do so. "So far, I’ve received nothing directly from the Circuit Court with explicit instructions regarding the issue." he said. According to local Democratic Party attorney J.D. Lux, Phares has the right to petition the Circuit Court to have Sullivan removed. When contacted by phone Sunday night and asked if he plans to take that action before the next council meeting, Phares said it was premature to comment. "I don’t feel it’s appropriate at this time to comment on what I might or might not do," Phares said. "I think it’s best to wait a few days and consult with legal counsel to see if there’s movement on both sides of this issue."
HAMMOND COUNCIL VOTES TO KEEP HEALTH DEPARTMENT: A majority of the City Council on Monday voted to fund the Hammond Health Department with gaming dollars, but waiting in the wings is a likely veto by Mayor Thomas McDermott Jr. (Times of Northwest Indiana). Voting in favor of the measure were 6th District Councilman Homero "Chico" Hinojosa, who sponsored the ordinance; 3rd District Councilman Anthony Higgs; 4th District Councilwoman Kim Poland; Councilwoman at-large JoAnn Matonovich, who seconded Hinojosa’s motion; and Councilman at-large Robert Markovich. Voting against were 1st District Councilman Mark Kalwinski, 5th District Councilman Dan Repay and Councilwoman at-large Kathy Pucalik. Absent from Monday’s meeting was 2nd District Councilman Al Salinas. McDermott has long vowed to veto any measure to keep the Health Department under local control. An override of the mayor’s veto would require six votes.
LUECKE ANNOUNCES SOUTH SHORE SUPPORT: South Bend Mayor Stephen Luecke announced his support Monday for a plan to upgrade the South Shore railroad, one that would relocate the current terminal end at South Bend Regional Airport (South Bend Tribune). “A two-hour trip from South Bend to downtown Chicago will boost ridership on the South Shore and strengthen our economic ties with the Midwest’s largest city," Luecke said, referring to the time savings of the proposed new route. "With the affordability and quality of life that South Bend offers, this reduced travel time makes us a more competitive alternative for housing and business opportunities,” he added.
FBI PROBES FAIRMOUNT MARSHAL: Fairmount Town Council accepted Town Marshal Brian Reneau’s letter of resignation Monday night, and town policy was also changed in connection with Reneau’s case (Marion Chronicle-Tribune). Reneau’s resignation will be effective Friday. "I’m tickled to death about it," Councilman James Dickey said. "I am very pleased about it." Dickey said he could not give any more details about the resignation because of pending Indiana State Police and FBI investigations into Reneau’s actions as marshal. Reneau’s wife, Kelly, a dispatcher was fired by the Town Council on Jan. 28 - the same day Reneau was suspended - because of involvement in her husband’s investigation, town attorney Phil Stephenson said.
MADISON TAKES AIM AT SEX SHOP: The city is going to close down Needful Things Boutique, an adult-oriented business in a purple building on Harrison Street, Mayor Tim Armstrong said in a speech Sunday (Madison Courier). He said the building inspector, the police chief and the assistant police chief visited Needful Things and determined that it is a sexually oriented buisness. Because of its location, it violates a city ordinance, he said. Needful Things is "sexually-oriented and it doesn’t belong there," Armstrong said at the annual meeting of the Cornerstone Society, a preservation group affiliated with the Historic Landmarks Foundation of Indiana.
Counties
LAKE AUDITOR CUTS POSITION: Lake County Auditor Peggy Holinga Katona said she has implemented the cost-cutting principles of the Good Government Initiative by trimming her staff (Times of Northwest Indiana). "I’m cutting without hurting productivity," Katona said Monday after releasing a nine-page response to the 2007 Good Government Initiative’s call to save $5 million by cutting personnel, cross-training and data sharing. The auditor is the fiscal officer of the county. Her office generates tax bills and keeps tax records, including the paperwork for all property owners claiming local tax exemptions. The office also keeps accounts and pays claims of anyone doing business with county government. Her report says she already has cut two full-time and six part-time jobs by attrition and expects to eliminate four more full-time and two more part-time positions by the end of 2008.
KNIGHT SMITH TO RETIRE: Betty Knight Smith, an elected official in Vanderburgh County for the past 32 years, announced Monday she will end that streak by not seeking office this year (Evansville Courier & Press). Knight Smith, a Democrat whose second term as county recorder ends Jan. 1, is barred by law from seeking a third term. She had said she probably would run for an at-large seat on the County Council, but on Monday said she had changed her mind.
TOWNSHIP EMPLOYEE ALLEGES POLITICAL FIRING: Patricia Jackson, the former deputy trustee of Portage Township, has filed a lawsuit alleging she was the victim of political firing and discrimination after she was terminated from her employer of 22 years (Times of Northwest Indiana). Jackson campaigned on behalf of former Democratic Township Trustee Jack Jent, and incoming Republican Trustee Joyce Webster fired her on Jan. 2, 2007, the day after Webster took office, her lawsuit filed in U.S. District Court in Hammond says. Attorneys for the township say Webster had every legal right to let Jackson go because Jackson was a policy-maker within the office, and therefore not protected by First Amendment political speech rights.
Economy
RECORD LOSS FOR GM: General Motors Corp. reported the largest annual loss for an automotive company Tuesday and said it is making a new round of buyback offers to U.S. hourly workers as it struggles to turn around its North American business amid a weak economy (Associated Press). GM said it lost $38.7 billion in 2007. The loss largely was due to a third-quarter charge related to unused tax credits. The Detroit-based automaker also on Tuesday said it was offering a new round of buyouts to all 74,000 of its U.S. hourly workers who are represented by the United Auto Workers. The 2007 loss topped GM’s previous record in 1992, when the company lost $23.4 billion because of a change in health care accounting, according to Standard & Poor’s Compustat.
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