Dearborn County Chamber of Commerce

State Sen. Johnny Nugent says state government is very much Nugent Tractor Sales or the average family’s finances.

Money comes in ... money goes out. You can’t spend what you don’t have. Unlike the federal government, states and businesses and families can’t spend more than they make ... unless they can afford to tap into savings.

“It’s bleak,” said State Representative Bob Bischoff, but he then added some optimism, “but I believe it will pick up. You’ve got to be positive. Home sales have improved. A good sign is that the stock market is up.”

Budget Issues to Dominate
Budget issues will be the main topic when the Indiana General Assembly convenes in January for its “short session” that will end in mid-March.

The biennial budget passed last year featured no new taxes and no cuts in K-12 education. But revenues from sales and property taxes have been lower than projected, and the state is now facing a $1.8 billion deficit. Reserves (or the “rainy day” fund) total $1.1 billion and could be used as an offset.

Rep. Bischoff was confident there would be “no new spending whatsoever and no new taxes.” Both legislators stressed their belief that K-12 education must be a high state priority, but both felt that some cuts are probably coming. Rep. Bischoff noted that the governor has been a strong supporter of education, but recent indications are that he may use his authority to make some budget cuts in order to balance the budget.

Other Issues

Rep Bischoff felt the property tax issue and caps will once again be back on the table for discussion. He said there will probably be discussion about how to help Indiana’s riverboat casinos in light of new competition in Ohio. He noted that allowing land-based expansion of existing casinos might be an option.

Sen. Nugent said he expects discussion on ethics reform and the influence of lobbyists, but reiterated that budget issues would dominate.
Rep. Bischoff said “jobs are the answer” and he expressed hope that federal stimulus dollars would support projects that “would start the engine.”

Chamber members are encouraged to share their opinions with our local legislators. Go to the State of Indiana’s website -- http://www. in.gov/legislative/legislators/ -- and click on “How to contact your Legislator” for mailing and email addresses.

This STRAIGHT TALK column and other STRAIGHT TALK communication through emails from the Chamber and postings on our web site will seek to clarify issues, correct misinformation, and balance discussion on key issues affecting our community. We welcome your feedback. Email – This e-mail address is being protected from spambots. You need JavaScript enabled to view it