More Hoosiers were out of work in July as the state’s unemployment rate went from 5.9 to 6.3 percent. And while higher than the national average of 5.7 percent, Indiana is still doing better than it’s neighbors; Illinois – 7.3 percent, Kentucky – 6.7 percent, Ohio – 7.2 percent, Michigan – 8.5 percent.

What’s more interesting than the statistics is where the jobs are being lost and what kinds. Indiana has taken the biggest hit in its auto manufacturing/transportation sector losing more than 21,000 jobs since July of last year. And any city or town that relies on heavy industry is also taking a hit. Look at these numbers for July 2007 – July 2008.

• Ft. Wayne – 1,900 jobs lost.
• Terre Haute – 1,200 jobs lost.
• Elkhart-Goshen – 4,700 jobs lost.
• South Bend – 2,600 jobs lost.
• Kokomo – 1,600 jobs lost.
• Anderson – 1,500 jobs lost.

Indiana did see some job gains since July of last year. 5,600 jobs were created in the Indianapolis-Carmel area. 2,100 jobs were created in Gary. And 2,300 jobs were created in Lafayette.

Putting the best face on bad picture, the Daniels administration says while the numbers aren’t good, they show Indiana is holding up a lot better than other places. And they also point to companies committing to create 12,000 jobs since January 1.

The Jill Long Thompson campaign immediately pounced on the economic bad news. In a statement Thompson said, “This is more devastating news for Indiana’s working families and it further illustrates the need for a new direction and new leadership in this state. Month after month Indiana continues to lose good-paying jobs while this administration does little, if anything, to stop it. I firmly believe that with the right leadership and right priorities we can turn this economy around. I am running for Governor because I want to work to rebuild this economy and make Indiana more competitive by overhauling our tax structure, reforming our health care and education systems and working to bring economic opportunity and good-paying jobs back to every Indiana community.”

Thompson has advocated a three-tier system for economic development using tax credits and incentives to create “good-paying” jobs.  What she has yet to explain is how she would replace jobs in the transportation sector when sales have plummeted because of $4 a gallon gas.  In addition, out of Indiana’s  14 metropolitan regions, only one has seen a double-digit increase in unemployment, that’s Anderson at 11 percent with a 4,800 job loss since January 2005.  The next worse is Kokomo that’s experienced at 6.1 percent job loss since January 2005 at 2,900 jobs.  Seven cities have seen increases in jobs ranging from 8.4 percent in Columbus to 1.5 percent in Evansville.  The other remaining cities and towns have all had single-digit increases in unemployment ranging from 0.3 percent to 2.4 percent.

Since the Daniels administration ran in 2004 on job creation, it is fair criticism to attack their record.  However when Democrats simply cite the total job loss number, forgetting that jobs are also created in that same time period they deserve chastising for not being intellectually honest.  The truth of the matter is that Indiana, like everywhere else in the Mid-West is in bad shape.  The good news is, it could be a lot worse.  If you don’t believe me, get in your, get on the interstate and drive a couple hours.

I ran into Marion County Democratic County Chairman Ed Treacy this week.  I would like to say it was a pleasant, cordial yet somewhat lively meeting. I would like to say that.

I had invited Ed on my radio program to debate GOP County Chairman Tom John on the Mayor’s budget. I never got a reponse back from the County party so when I saw Ed I told him it would have been nice for him to come on and we’d like to have him on sometime.  We probably wouldn’t have agreed on much but it would have been fun and fair. 

Ed told me he would never come on my radio program. He said he doesn’t do “entertainment shows.” And he also called the program a “POS.”  That’s a polite way of writing “piece of s****.”  

Now I was a bit taken back by Ed’s statements.  But I have to give him credit for at least being honest to my face.  I won’t hold his statements against the members of his party.  I think most of them are decent people who I just have a different philosophical perspective on how government should run.  And while we may disagree, it is a rare moment when we interact that we are disagreeable.    So they have nothing to worry about.  Ed, on the other hand, is a different story. 

Maybe Ed is starting to get up there in years and forgot one of the key jobs of a County Chairman; promote his party’s agenda.  Former Chairman Mike O’Connor would have never let an opportunity like this slip by.    Now I don’t blame Ed for not wanting to face me and engage  in a discussion.  I’d be hesitant if I were going head-to-head with someone who was my intellectual superior.  I’d also be worried about throwing verbal grenades at someone who would just pick them up, pull the pin and throw them back.    And I’d probably sweat like a Girl Scout at R. Kelly’s house if I had to argue on the merits and couldn’t just talk out of my rear.  But oh well. 

Ed, if you ever change your mind, I’ll be more than happy to sit and talk.  The door is always open, but until then it just may feel like open season from time to time.  I miss Mike already.  

Here’s this week’s edition of Capitol Watch. We are working the bugs out. Enjoy.

Indianapolis Parks Director Joe Wynns is stepping down.  Wynns tended his resignation yesterday and his last day will be September 12.  In an interview Wynns said it was time to move on and had nothing to do with his public criticism of park budget cuts. 

In a public statement the Mayor’s office said, “Joe Wynns has served the citizens of Indianapolis for over 38 years and that kind of service deserves our thanks and our admiration. I thank Joe for his dedicated service and wish him luck in his future endeavors.”

Although Wynns departure appears mutual on the surface, there are also a couple other dynamics going on here.  First, Wynns has always had a loose cannon streak.  I recall a conversation I had with him about enforcing the city’s then ban on sex offenders in city parks.  Wynns said he had no intent of enforcing the ordinance because he didn’t have the manpower.  He later denied he made the statements.  The ban was overturned.

Second, there had always been issues with Wynns’ leaderships in the Parks however, the Ballard administration decided to keep him on.  This was a mistake.  The administration should have let him go and appointed an interim Parks director.  By keeping him around for as long as they did, administration officials have set themselves for charges of being retaliatory (due to Wynns comments on the budget) and, unfortunately, the tired charge of being insensitive to Blacks. 

Speaking of racism, I can already hear the crying from the whining class.  Because of the Mayor’s conflict with the Sheriff over the budget and now the resgination of Wynns, the whning class is going to start stirring up their less-informed constituency and try to stri up trouble.  In the words of Public Enemy, don’t believe the hype.  With the work the administration is doing for ex-offenders, minority business development, tackling crime and abandoned housing, the last thing you can call them is racist.

If the Ballard administration is guilty of something, it’s bad timing.  If Wynns was going to leave, this should have been worked out a long time ago.   But such is change and how it blows.

If you’ve tried to get a hold of someone at the Mayor’s Action Center, you probably have had an issue or two.  Wait times have been ridiculously long, if you get to someone at all.  The Ballard administration is looking at privatizing the MAC line.  A decision hasn’t been made yet, but they have received requests for proposals.I’m going to go one step further.  Not only should the call center be privatized, but outsourced to India.  As a taxpayer I could care less who is on the other side of the line as long as they do two things.

1. Take my complaint and get it to where it needs to be.
2. Save me money.

If they can accomplish that, who cares if the call center is in Indianapolis, somewhere in Indiana or in India.   The job of government is not to employ people, but to provide services at the most efficient costs.  As long as it does that, who cares who answers the phone.

For anyone who still doubts Indiana is a swing state in the November election, check this out.

John McCain surrogate and possible VP candidate Rob Portman is Indianapolis today for an  economic summit, State Fair visit and evening rally in Fishers.

DNC Chairman Howard Dean is Indianapolis tomorrow for a voter registration drive.

Congrats Hoosiers, for keeping this state in play.

From the Office of Mayor Greg Ballard:

 At approximately 1:30 p.m. yesterday (Monday) Mayor Greg Ballard was admitted to Community East Hospital with chest pains and shortness of breath. Doctors ran an EKG and the Mayor underwent a stress test, the results of both tests were normal.

The Mayor was released from the hospital at 4:30 p.m. yesterday and will continue to wear a heart monitor for further observation.  He will keep his normal schedule.

Reaction to the Mayor’s budget address was predictable.  Republicans called it turning around the ship of state and putting things in the right direction.  Democrats called it voodoo economics that short changes public safety.  Neighborhood groups like the Marion County Neighborhood Association took a wait and see approach.  And the township assessors promised to fight consolidation to the end.

However, one thing that did surprise me was my conversation with City-County Councilor Jackie Nytes.  Nytes said the tax increase that Democrats passed last year put the city on much more solid financial footing.  Nytes said if they hadn’t done that, the Mayor’s budget would be in a lot worse shape.  She said the Indiana legislature has tied the hands of cities and towns, making it more difficult for them to raise revenue and fund core services.

Nytes also dismissed Republican criticism that former Council and Administration left them with unfunded obligations.  She said anyone who had been paying attention would have known the city was spending down fund balances because the legislature was limiting local governments.

Nytes said she understands that this is the way the world works, but it would be nice for the Mayor to say “thank you” to Democrats for making it possible to fund his budget.   She said Ballard is in the driver’s seat, but they were the ones who put the gas in the car.

Indiana Republicans are touting an internal poll showing incumbent Mitch Daniels with an 18-point lead over Democratic challenger Jill Long Thompson.  A survey of 500 likely voters shows Daniels leading JLT 53-35, with a margin of error of +/- 4.3%.

Republicans also say Daniels’ approval rating is 60-30 favorable/unfavorable.  He’s made gains among southern Indiana voters.  He is still weakest in the northern part of the state and strong in the Central region.

The poll was conducted August 3-5.

Marion County Sheriff Frank Anderson this afternoon complained about the more than $5 million in budget cuts his office is facing in this budget.

In a broadcast interview this afternoon, Anderson said he first learned about the proposed budget cuts this morning. The Sheriff’s budget went from $91.3 million to $85.7 million. Anderson disputed the argument by the Ballard administration that his budget for the jail costs taxpayer $107 per day per inmate. Anderson said the costs are closer to $57. He said the County jail is more expensive than the private jail because he to harbor more dangerous inmates and those with more health problems.

Anderson also complained about funds being cut from what he called his “law enforcement” division, saying his men have made more than 1200 warrant-related arrests. Anderson side-stepped any questions about whether he thought the move was political.  But he neglected to mention his office requested an extra $26 million.

A spokesman for the Mayor’s office said the information given to them by the Sheriff showed a lot of room for efficiencies in the way the jail is run and it is up to the Sheriff to find efficiencies. Marcus Barlow also said no one is immune to cost cutting and it is up to everyone to find efficiencies in their budgets.