For my friends who were hoping Senate Joint Resolution 8 would be their last best hope for the repeal of property taxes, I hate to be the bearer of bad news, it ain’t gonna happen. The Senate Republican Caucus voted 2-to-1 Thursday against moving SJR-8 to the floor for a full vote. The problem most of the Senators had with the proposal was that there was no way to eliminate property taxes without driving half the state in bankruptcy.

While proponents argue a property tax repeal could be paid for with an increase in the sales or income tax, opponents say increase business income taxes would lead to more tax avoidance and an increase in the sales tax would be passed along to the consumer.

In addition a repeal of residential property taxes could also result in an increase on business property taxes, which although now make up 37-percent of the assessed property in Indiana, they make up 53-percent of the property taxes paid.

Supporters of SJR-8 tell me they are deeply disappointed in the Senate Republicans’ decision, they are still looking for ways to eliminate residential property taxes.

In the meanwhile, the only measure on the floor for real tax reform is Governor Mitch Daniel’s plan, which is about to be run through the amendment gauntlet in the Indiana House of Representatives.

For those of you who may not be familiar with the above title, it is likely because you are low on melanin. “Grown folks are talking” is a euphemism from the Black lexicon usually directed at small children who try to butt into adult conversations and the parents have to tell them to go somewhere and sit down before they get hurt. Someone needs to direct that statement to the critics of the Governor Mitch Daniels’ property tax reform plan who have yet to bring one of their own to the table.

The Governor’s plan has four main components. Provide immediate relief, cap assessments, get local spending and borrowing under control and create a uniform system of assessments. Also he’d like to consolidate or eliminate some of the 2,600 units of local government in this state. The Governor has also made it clear that raising income taxes to property tax relief is basically a non-starter.

The Governor’s plan may not be perfect, but I have yet to see a better one. And I laugh at the critics who point out examples of how schools will be hurt and local governments will suffer, but haven’t unveiled a plan to that provides Hoosiers with permanent property tax relief while at the same time reduces the size and scope of the government that’s responsible for the tax increase in the first place.

They snipe and snicker, but bring nothing to the table but empty rhetoric and empty ideas. If you want to criticize, fine. A healthy debate and discussion about the largest issue facing this state is welcome and necessary. But if you have nothing to contribute to the dialogue, do everyone a favor and go somewhere and sit down. Grown folks are talking.

The President is going to speak at about noon today on the state of the economy.   He’ll likely call for tax cuts and an economic stimulus package to help the faltering economy avoid recession.  I honestly don’t think recessions and slowdowns are all that bad.  They have a way of eliminating waste and inefficiencies.  Somebody should go back and read Adam Smith because this country is long overdue for a good cleansing.

If you are like a lot of people in this town who are still outraged over the Hovey Street murders, here’s one way that you can help. You can make a donation to the following…

The Gina & Jordan Hunt Memorial Account

Indiana Member Credit Union

Box 24489

Indianapolis, IN 46224

The parents of Gina Hunt tell me they are exhausted, but excited in the latest developments in the case, but their primary focus right now is laying their daughter and grandson to rest this weekend.

I interviewed Jerry Hunt this morning.  He was the father of Gina Hunt and grandfather of Jordan Hunt,  two of the four victims of Indianapolis’ latest homicides in the 3200 block of North Hovey.

There is speculation the house Gina lived in was a drug house and the killings might have been drug-related.  Hunt told  me his daughter did have a problem with marijuana, but she was not a dealer.  He also said he and his ex-wife made numerous attempts to get her to move out of the house and into a better life but were unsuccessful.  His last conversation with Gina took place about 45 minutes before he found out she had been murdered.

He declined to answer specifics about the case, saying he did not want to compromise the police investigation.  Hunt said he’s confident the killers will be caught and says the community needs to come together to make safer neighborhoods.

You can hear the full interview at wxnt.com.  Click on the “podcast” button.

Please join me tomorrow on Newstalk 1430, WXNT-AM for an interview with Jerry Hunt. He is the father of Hovey street murder victim Gina Hunt and the grandfather of 23-month old Jordan Hunt who was also killed. The interview will take place in the 8 o’clock hour. You can also hear it over the Internet at www.wxnt.com. Click on the “Listen Live” icon.

Indiana Governor Mitch Daniels is going to testify before lawmakers at the House Ways and Means Committee this morning about his property tax reform plan.  Daniels is expected to reinforce a number of themes laid out in his state of the state address. 

He’ll talk about working for the people, not special interests.

He’ll talk about how the system doesn’t work and the 2,600 units of local government that add to the problem because there is no accountability.

Expect him to mention his circuit breaker plan, which allows government to grow, but in a more accountable way.

The Governor is scheduled to testify at 10 a.m.

If you haven’t seen the video clip of Marion County Sheriff Frank Anderson talking about the Hovey Street murders, I suggest you take a look at the clip.  Four people were murdered, including two babies, in what is looking more like a drug-related incident. 

In his media address Anderson said,”There’s a special place in hell for you, and we’re going to see that you get there.”   If and when these guys are arrested the Sheriff’s statement will likely be used in some pre-trial motion and probably have the case removed from Marion County and thereby making the prosecutor’s job more difficult.

I understand the anger and outrage of this tragedy. Everyone wants the killers brought to justice.   But making statements which can easily be construed as prejudicial to the administration of justice and possibly jeopardizing convictions is no way to behave when you consider yourself the County’s chief law enforcement officer.  Frank Anderson should know better.

As expected, reaction to the Governor’s State of the State depended on your political persuasion…

House Speaker Pat Bauer – “Now that the governor and his Republican colleagues in the Indiana House have seen the error of their ways and decided that they need to cut property taxes rather than increase them, the 2008 session of the Indiana General Assembly can move toward actual reform … For Indiana House Democrats, that means making sure that the property tax relief goes to those who need it the most: Hoosier families who have seen their property tax bills go through the roof. With the state’s economy going downhill and jobs disappearing, we need to move more urgently toward giving relief. … the governor’s plan does provide a starting point for debate on realistic property tax relief. We also can look to the recommendations made by the bipartisan Commission on State Tax and Financing Policy, which studied the topic extensively over the summer. We can use these ideas as the framework for a final package that provides broad-based relief …There is always the risk that partisan politics will derail real reform. Now that the speech is over, the hard work begins for the governor, who must keep members of his own party focused on a plan that is practical and doesn’t end up hurting more Hoosiers than it helps…It can be done. I sense a commitment from many lawmakers, and the need for action is too great to ignore.”

Senate Pro Tempore David Long – “We are committed to substantially cutting property taxes, capping them and letting the citizens vote on Constitutional safeguards for taxpayers.  We will move swiftly to reduce the cost of local government and fix the broken assessment system. At the same time, we will continue discussing and debating ways of eliminating property taxes on homes now or in the future.”

Murray Clark, State GOP Chairman – “Governor Daniels has shown us once again why Indiana’s future is as bright as ever. He recognizes the challenges facing Hoosier taxpayers and is working hard to put a fair and permanent plan together. He has initiated a bi-partisan approach to government reform and is dedicated to producing long-lasting results this legislative session. We should all look forward to a great 2008 and another four years of his leadership in the Statehouse.”

Jim Schellinger, Democratic Candidate for Governor – “Three years ago, Mitch Daniels promised a change of direction. And, indeed, things have gone a different way under Governor Daniels’ stewardship. Just not the direction most Hoosiers had hoped we’d go. Our property tax crisis desperately calls for a consensus-builder’s commitment to problem-solving. Because in 2005, Governor Daniels made our property tax crisis worse by severely limiting property tax relief. Now, homeowners need that relief more than ever, but Daniels proposes hitting working Hoosiers with more sales and income tax increases. Indiana deserves a leader who shares our values and sense of optimism for our state. We need a fresh start with a leader who will listen to the people of our state and build consensus to solve the challenges we face today.”

Rep. Bob Cherry (R-Greenfield) – “We need to give Gov. Daniels credit for being bold and giving us a great starting place with his plan and providing us with leadership during this period. It is time for relief and long-lasting reform when it comes to the issue of property taxes. Indiana has had major problems with property taxes in the past, and we need to create a more equitable system. While his plan might not be the end product, it is a great place to begin.”

Indiana Governor Mitch Daniels delivered his fourth, and what could be his final, State of the State address tonight. In the nearly half-hour long address, the Governor reiterated his property tax reform plan to lawmakers and told them not to make any plans for Spring Break if the job wasn’t done.

Daniels said he wanted to provide Hoosiers with immediate tax relief, constitutionally cap homeowner assessed values at one-percent and increasing the sales tax by one-percent. He wants to have the state pick up the costs of child welfare and school operation costs.He wants a uniform property tax system and controls on local spending and borrowing.

The Governor did not address the issue of repealing property taxes. His staff said he has already spoken on the issue and does not support any of the current property tax repeal plans because he says they don’t add up.

Daniels told lawmakers he will keep them there for as long as it takes to solve the property tax crisis. However, he said the bi-partisan spirit and cooperation that the General Assembly has taken on property taxes gives him hope that the problem can be solved.

Daniels also touched on some of Indiana’s accomplishments such as the state’s low unemployment rate compared to neighboring states and shorter times at the Bureau of Motor Vehicles (an average wait last month of 8 minutes and 11 seconds). Daniels also addressed the shortcomings of his administration saying some experiments had worked poorly and were abandoned.

The main objective Daniels put out for his administration this year was to improve child support enforcement. Saying single parents lose more than $5 million a year in uncollected child support.

Overall the Governor, seemed positive an upbeat in his address. However, he also acknowledged the reality that his efforts of the past four years may be rewarded with him being returned to the private sector. And while he closed his speech with words of “bravery and bipartisanship” he also quoted the motto of Special Olympics, Win or lose, may I be brave in the attempt.”