One reason the legislature only meets for a few months out of the year is it allows us the opportunity to actually live under the same laws in which we enact. Since the end of session, I have had nothing but justifiable complaints about property taxes. In a letter I sent to Governor Daniels recently, I urged him to consider calling a special session if legislators could agree on a solution to the property tax problem.
People are outraged over the huge increase in their property tax bill. With gas prices rising above $3 and groceries increasing as a result, the dramatic statewide average increase of roughly 24 percent is an outrageous amount to ask our fellow Hoosiers to give. Many Hoosiers are on a fixed income and do not have the means to wait for a refund check, and I fear they could be forced to foreclose on their homes. Those that pay their property taxes through an escrow will possibly still experience a rise in monthly mortgage bills to cover the artificial 24 percent increase. This increase is likely to remain because lenders are currently unsure whether local officials are to send the rebate checks to the escrow holder or the homeowner. In addition, I wonder if the rebate funds will be counted as income for federal income tax purposes. The rebate provision fails to mandate the rebate process and leaves many uncertainties. These are all issues that could be looked at in a special session, at the very least, the Department of Local Government Finance should examine a re-assessment.
I continue to support a move toward the complete elimination of property taxes. Owning property is not a good way to determine if someone is wealthy and can afford to pay taxes. I believe moving to a combination of income and sales taxes to offset the property tax may be the best way for Indiana. These taxes are a better indication of who can afford the taxes. Maybe property taxes should only be used to fund fire and police departments. There are many options being discussed, but ultimately taxpayers need politicians to make decisions. I support the Blue Ribbon Commission that Governor Daniels recently created and am confident that the group of experts will decide what is a viable long-term taxing program for a 21st-century Indiana.
Most people know that the best way to reduce property taxes is to cut government spending. One way to go about that is for people to stop asking the government to do everything in their lives. We do not need the government to dictate how we live our lives; we do need less government. Perhaps it is time to combine school corporations and local government to reduce duplication of services. These are questions that voters need to be asking their elected officials.
If anyone has suggestions on ways to reduce government spending, please contact me. I understand that these are trying times and if you have questions or concerns that I may help with, please do not hesitate to write or call.
Send letters to: State Rep. Ruppel, 200 W. Washington St., Room 401-6, Indianapolis, IN 46204. E-mail: H22@in.gov or call toll-free: 800-382-9841.
