With a little more than 8 hours to go before the end of session deadline, Indiana House Republicans are crying foul over the current tentative budget agreement and say they won’t support the measure unless there is more tax relief for Hoosiers. Minority Leader Brian Bosma called the plan for a tax rebate check a “hair-brained scheme” authoored by House Speaker Pat Bauer.

Republicans are demanding an addition $50 million in property tax relief, $5 million in education tax credits and the removal of language that would mandate no more than 55 percent of the 14-member Ivy Tech State Community College Board be of the same political party.

Bosma says the tax relief can be paid for by reducing spending increases in certain programs such as the Indiana Public Defender Commission and Tobacco Use and Prevention program.

Bosma would not say if all three proposals had to pass before House Republicans signed on the budget, however he did say there were no votes for the budget plan in its current form.

Democrats control the House of Representatives by a 51-49 margin.

With less than 11 hours to go, Indiana lawmakers are still haggling out the big issue of tax relief. House Republican Leader Brian Bosma says his caucus will not sign on to a bill that includes a 24-percent tax increase average statewide. Despite plans for a possible rebate by mail in November, Bosma says that’s not good enough and his members won’t support the measure. However, House Democrats say had Republicans provided the votes for an earlier property tax relief package three months ago, this entire matter could have been avoided.

Meanwhile, the Office of Mayor Bart Peterson is still hopeful that a deal can be worked out over government consolidation. State Rep. Bill Crawford and Senator Jim Merrit are still at odds over the matter. The Mayor is hoping all sides will agree on fire consolidation and pass that measure. Last night, Crawford reportedly said the measure was dead. Merrit says he’s still open to ideas.

A 44-cent increase in the price of a pack of cigarettes looks like it will happen. A vote in Senate is likely this afternoon.

And a tougher seatbelt law may run into a road block. Several lawmakers from both parties and both chambers are not crazy about it.

More later.

Just when I think I’ve seen it all, something comes along that takes me completely by surprise and after I spend some time thinking about it, I remember I really shouldn’t. In case you’re wondering, I am referring the $15 million screw job Marion County House Democrats (MCHDs) put to fellow Democrat, Indianapolis Mayor Bart Peterson yesterday.

State Representative Bill Crawford, and his co-conspirators, squashed efforts to reform government in Marion County by opposing consolidation. There were opposed to the elimination of Township Trustees. And I’ve said before, it’s bizarre that they were all for consolidating the trustees two years ago, but now that Democrats have six of the nine townships in Marion County, they are opposed to it. Crawford and the Democrats remind me of the pigs in “Animal Farm” where they advocated for revolution and once they got in power emulated the behavior of their human oppressors. I think at one point I saw Crawford’s face morph in Republican State Senator Mike Young.

What makes this even more of an embarrassment is that the MCHDs have also opposed charter schools, something the Mayor is a big advocate. Their reasons for opposing schools are ridiculous at best and almost criminal to say the least. Democrat Greg Porter, who sends his kids to private schools by the way, opposed choice and charter schools because he’s afraid poor black children may end up acting “white” if they don’t go to an IPS School. I guess acting white must mean not speaking English like it’s a second language and not using “be” in its infinitive form.

If I was Bart Peterson, I would be furious right now. I would be livid that the people who have ridden my coattails for the past eight years only turn around to not only stab me in the back, but carve their initials in it using Old English font. Mr. Mayor, I feel your pain. And I know we’ve had some philosophical differences in the past, but allow me to make a suggestion, because I’ve always agreed with you in principle on consolidation.

Obviously, these guys don’t respect you and have shown their true colors. They are more concerned about protecting their friends than advocating good government. If that’s the case then let them. Don’t run for re-election. Take your $3 million in the bank, your fund-raising ability and all-around good personality and tell the Black Marion County Democrats to go to hell. These people will be lost without you. Go back to being a developer and build along the border of Marion and the donut counties. You will become even more of a millionaire than you are now, because with these clowns in charge, who will want to stay here.

It’s now obvious what they think of you based on their behavior this session. I say return the favor. Of course I will say if you were Black, I doubt you would get this treatment. So if consolidation doesn’t pass in the next 12 hours, you know who to blame. This County definitely needs an enema because we now know what part of the political establishment is full of.

Unless something changes in the next 24 hours, Mayor Bart Peterson’s third attempt at government consolidation has failed. House Democrats and Senate Republicans are deadlocked over whether township trustees should be included in the latest merger proposal.

Republican State Senator Jim Merritt wanted wanted the Trustees to be included in the consolidation package while Democrat Bill Crawford did not want to include the Trustees, but did want to include the township assessors.

Crawford told me earlier he did not want to include the Trustees, because they did good job of administering poor relief, however he introduced an amendment in 2005 to an Indy Works proposal that included consolidation of the Trustees.

Oh well, better luck next year.

I’ve spent most of my day over at the Indiana General Assembly. Listed below is a timeline of events starting from this morning until now.

11:30 A.M.
BUDGET DEAL?

Some more details are now available about the budget. It has tax caps as well as tax increases. Senator Luke Kenley tells me there would be about $550 million in tax relief (money that would likely come from expanding slots) for Hoosiers. It would provide a statewide average reduction in the tax increases of 15% in the first year and 13% in the second, but it would also give local governments new taxing authority. Local Governments would be allowed to levy a replacement income tax as well as a public safety tax. The replacement income tax would be used if local governments need funds beyond what the get in standard tax levy.

The public safety income tax would be used for future revenue streams and also reduce property taxes. A Capital Review Board would be implemented to keep local building projects under control.

The Mayor of Indianapolis, Bart Peterson is also here. He’s waiting outside House Speaker Pat Bauer’s office for a meeting on Indy Works, Part III.

I’ll have more later today.

12:30 P.M.
THIS IS NO WAY TO TREAT A MAYOR

I’ve been shadowng Indianapolis Mayor Bart Peterson for the last hour or so as he’s been waiting to meet with House Speaker Pat Bauer. He’s chatted with a few a folks and even had a few seconds to meet with Bill Crawford. What’s interesting about all this is watching the most powerful elected official in Marion County have to wait for a meeting with the Speaker like a little kid outside the principal’s office who got in trouble and is about to get some bad news.

This is the man who was almost his party’s nominee for Governor if he wanted the job. What’s really ironic about all this is that as one old political hand told me, Pat Bauer is speaker because of the Black Democrats. The Black Democrats (particularly the Marion County ones) want to protect the Center Township Trustee and other black elected Trustess (although they probably really don’t care all that much for Mike Hobbes of Lawrence). So the biggest obstacle to the Mayor’s consolidation plan is his own party.

It’s pretty sad. But then again this is probably pay for the Mayor’s crackdown on peashake houses, which Black Democrats have been adamant about protecting. Or it could be payback because the Mayor is an advocate for charter schools and has gotten well-deserved national attention for the city’s progress in that area. And the Black Democrats hate charter schools, which is why there is no new funding for them in this budget.

And for the record, the Mayor’s been waiting for an hour now.

12:35 P.M.
THAT WAS QUICK

Well if the Mayor was here for a meeting with House Speaker Pat Bauer it didn’t happen. The Mayor was here for about and hour and a half. The Mayor said he may have something to say later today about the Indy Works impasse. This has got to suck for him.

I’m also picking up a vibe that House Republicans aren’t crazy about the budget plan and they may be the lone holdouts on all this. The word is they want more money set aside for property tax relief.

2 P.M.
LIBERTARIANS NOMINATE PETERSON FOR MAYOR, FRED PETERSON THAT IS

Although I’m spending the day at the Indiana General Assembly, I just found out the the Marion County Libertarians have nominated long-time activist Fred Peterson to be their candidate for Mayor. Peterson says his big priorites are crime, taxes, getting the city’s priorities in shape.

Libertarian says they chose Peterson because he is a good candidate and it’s coincidental that he has the same last name as incumbent, Bart Peterson.

The Libertarians also nominated four candidates City-Council. Tim McGire (at-large), Margret Kantz (D-1), Paul Dijack-Robinson (D-16), and Barry Campbell (D-21).

Nominated in the Lawrence Mayoral race was Chris Ward. And Eric Barnes was nominated to run in Lawrence District 2.

3:15 P.M.
CAN’T WE ALL JUST GET ALONG

Indianapolis Mayor Bart Peterson is asking lawmakers to pass fire consolidation and worry about other merger issues later. The Mayor held a news conference this afternoon between the House and Senate chambers. He said since both the House and Senate versions of consolidation include merging all fire departments in Marion County, then that’s what lawmakers should pass.

Peterson said since Democrats don’t want to consolidate the Trustee offices and Republicans don’t want to merge the Assessors offices, then all sides should just focus on the area where they agree.

The Mayor says without fire consolidation he will have to raise taxes by $15 million.

He did admit that House Democrats supported consolidating the Trustee offices three years ago when Indy Works was introduced and did not want to speculate on why their position has changed now.

I’m willing to offer Hizzoner a thought on what changed, it was the party holding several of the Trustee offices. When Indy Works was introdcued Democrats controlled only Pike and Center Townships. After the 2006 election they gained control of Lawrence, Washington and Wayne Townships.

Seems pretty simple what’s motivating some people here.

Things are so slow at the Legislature that I have time to go back to my downtown apartment, shower and change for a birthday party tonight (and getting pretty takes a while to do it right) and write this.

It looks like there’s an agreement with the majority parties in the House and Senate on property taxes. Right now there’s about $450 million in tax relief which would make 25% tax increase a 13-14% increase, according to sources. House Republicans aren’t crazy about it and neither are the more conservative members of the Senate. There may be some fireworks later.

Also Indy Works III is at an impasse. Democrat Bill Crawford and Republican Jim Merritt are at odds over the fate of the Marion County Township Trustees. Merritt wants them all gone in the new consolidated government. Crawford wants them to stay, although his position is more about protecting the Black Township Trustees than anything else. If nothing changes in the next 12-24 hours, get ready for Indy Works IV. That’s it for now.

Indiana House Democrats may find themselves short on votes to pass a state budget. In today’s Washington Herald Times, State Representative David Crooks says he will not vote for the current budget because it short changes small schools in his district.

“The Senate version does not include reduced lunches in the formula,” Crooks said. “The House version includes both free and reduced lunches. But that’s still not enough.” According to Crooks, the formula to figure school payments was set two years ago by a Republican-controlled Legislature. “What they said was a kid in Carmel schools is worth more than one in a small school district,” Crooks said. Crooks said he plans to vote against the budget even if it means trouble from his own party, which currently controls the House. “If you don’t take advantage of your position and flex some muscle now, when do you?” the long-time legislator said. “I and some other members of my party are telling them we’re not happy with what they’ve crafted.”

This makes two headaches for House Speaker Pat Bauer. State Rep. Craig Fry has reportedly said he won’t vote for the budget unless it includes more money for schools in his district in Northern Indiana. It takes 51 votes to pass a budget and the current House make up is 51-49, Democrats.

As Indiana lawmakers get closer to finishing up, I like to post the gossip, rumor, blatant innuendo and wild speculation that circles the hallways. I call it “The Word on the Street.” Take it for what’s it’s worth if you decide to spread it around. Here’s tonight’s entry…

Things aren’t looking good in those closed-door state budget negotiations. Right now House Democrats and Senate Republicans are getting cranky and on each other’s nerves. I hear there was name-calling and insult hurling because things were getting so bad. And while some progress is being made, sources tell me not enough is getting done and it may be to the point where there’s not enough time to write the budget before adjournment on Sunday.

So what are the issues? Where do I start? Three sticking points are taking school funding off the local property tax payers and giving it to the state. Democrats don’t like that idea, in part because of their ties to the Indiana State Teachers’ Association which aren’t fans of the plan.

Another point of contention is the slots. Republicans wants a public auction for any slot expansion, while Democrats prefer they be sold at a certain price to the current list of possible bidders.

So will Hoosiers see any real property tax relief? The dollar figure is about $200 million for homestead exemption credit. Which means is that the 25-percent increase is now 15-percent, so only a 10-percent average reduction in bills.

And to make matters worse, everyone is starting to realize Indiana is broke. It took them long enough.

Meanwhile, did State Rep. Craig Fry tell his fellow Democrats to pay or he won’t play? The word on the street is “yes.” Fry reportedly sent his House leadership a letter saying that unless he gets $2 million more for schools in his district, he won’t vote for the budget. Apparently not too many rank and file Democrats are happy with the budget and there could more dissention in the ranks.

There is also talk of Bill Crawford trying to slip his version of Indy Works into the budget, in the event talks fall apart with the current conference committee. However, you can stick a fork in that idea, Sen. Robert Meeks says that won’t be happening.

Stay tuned for more “Word on the Street.”

I just spent part of my afternoon and evening over at the Indiana General Assembly. Not much is taking place, which is surprising because these guys have until Sunday to get their work done. One issue I’m following closely is Indy Works, part III. And what’s funny about this is how in the last days of the session, roles are starting to reverse.

I honestly thought I would never live to see the day that a Lawrence Republican is for consolidation and a City Democrat opposed it. There are two proposals on the table to consolidate government in Marion County. Democrat Bill Crawford and Republican Jim Merritt both have ideas. The two big differences are a freeze in the tax levy and the elimination of the Center Township Trustee’s office.

The levy freeze isn’t what caught my attention as much as the Democrats are opposing the elimination of the Center Township Trustee. The logic is simple, if the other township trustees go away, why shouldn’t the Center Township Trustee join them? Under Merritt’s proposal the Health and Hospital Board would take over poor relief, which is the Trustee’s main job, which it apparently doesn’t do very well because it costs more than $2 to administer $1 of poor relief. It’s sitting on more than $12 million in the bank and owns a lot of property that should be on the tax rolls.

That sounds to me like a model for the type of waste and inefficiency that Mayor Bart Peterson has rallied against and should be eliminated. However, House Democrats like Bill Crawford and Greg Porter say it’s a non-starter and deal breaker. I say if it’s good enough to eliminate the other township trustees (which I am all in favor) then the Center Township Trustee should go also.

It seems like a big exercise in intellectual dishonesty that the people who supported consolidation for the past two sessions for all the other townships in Marion County would oppose it when it comes to an office that by all objective accounts is the poster child for consolidation. And now that I’ve pointed out their inconsistency, hopefully they will see the error of their ways and not let their short-comings turn into blatant hypocrisy.

Although all of Indiana is focusing on the prison riot at New Castle, I found out this little tid bit today about a matter close to Indianapolis. Last month, Marion County Sheriff Frank Anderson gave Crime Stoppers $100,000 to help get illegal guns off the street. The way the program works if you report an illegal gun, and the cops get it, you would get $500.

Since then, 29 tips have been called in to Crime Stoppers, but only one gun has been recovered and no arrest was made.

This is disturbing because there have been a string of violent shootings in Indianapolis lately, a couple that have resulted in homicides.

Officials blame the lack of progress on a lack of public awareness and plan to step up their public information campaign about the program. I hope the criminals pay attention, otherwise this is going to be one long hot bloody summer.