Tuesday, January 08, 2008

City Controller Requesting a Tax Increase?

Tonight's city council agenda shows the following item:
S-08-01-06
AN ORDINANCE adopting the state formula to determine the Tax Levy for 2008

I've been trying to figure out what this ordinance actually is but I haven't been able to obtain a copy yet. However, I've been told that this bill will consider possible changes to the 2008 levy. Readers might remember that this was already voted on by the previous council and they passed a flat budget despite the objections of the Richard administration which hoped to get a 4% increase. I sided with the Richard Administration in that debate (here and here) because the money the council eventually cut was earmarked to pay down the city's massive pension debt.

It now appears that the Richard holdovers might be positioning themselves for a do-over with the newly elected council. It also looks like their request to change the levy will somehow be tied to passage of Governor Daniels' property tax solution (House Bill 1001) which, if passed, could lower local revenues.

I was told that the ordinance will only be read in tonight and will not be up for discussion. I'll try and keep you posted but this is one to keep an eye on...

2 comments:

bobett said...

The House 1001 Bill is a start.

There is a way for Indiana government to solve pitting urban, suburban and rural residents against each other;

It’s called tax and expenditure limits (TELs). Fort Wayne needs to set limits on taxes and spending. I'm not sure if the Indiana Legislature is only going to shift taxes or if they are for seriouis on limiting expenditures and taxes tied to population, income and growth. Taxes and spending needs to be capped not shifted.



More information on State Tax and Expenditures for 2007 can be found
at the National Conference of State Legislatures, 2007
http://www.ncsl.org/programs/fiscal/tels2007.htm

scott spaulding said...

It was only introduced tonight