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House Approves Changes to Daniels’ Tax Plan

January 23, 2008

Late Tuesday night, the Indiana House of Representative approved several amendments to Governor Mitch Daniels’ property tax restructuring bill.  Among the more than forty changes that were offered, amendments were passed to do cap farm property tax rates at two percent and freeze property taxes for senior citizens with homes valued under two hundred thousand dollars.  Lawmakers also voted for South Bend Representative David Niezgodski’s amendment to cut back Governor Daniels’ proposal for voter referendum on school construction and other local capital projects, limiting to just school buildings that are not used for educational purposes.  House republicans opposed to the measure, like Uniondale Representative Jeff Espich, say it limits voter control on local spending.  

House Democrats say referendums aren’t needed since voters make their voices heard when choosing elected officials and school boards that make local spending decisions.  The governor’s property tax plan is eligible for full passage by the House of Representatives on Thursday.  If passed, it will then move to the Senate for consideration.

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