INDIANA'S TRANSPORTATION

INFRASTRUCTURE GETS A C MINUS

FROM THE AMERICAN SOCIETY OF

CIVIL ENGINEERS, BUT YOU DON'T

HAVE TO BE AN ENGINEER TO

RECOGNIZE THAT SOME OF THE

STATE'S ROADS AND BRIDGES HAVE

BECOME A REAL PAIN IN THE

ASPHALT.

MOST EVERYONE AGREES THAT

REPAIRS ARE BADLY NEEDED.

WHAT'S UP FOR DEBATE IS HOW TO

PAY FOR THE NECESSARY

IMPROVEMENTS.

HI, I'M JON SCHWANTES, AND ON

THIS EDITION OF "INDIANA

LAWMAKERS," WE'LL WE'LL FOCUS

ON INDIANA'S AGING

INFRASTRUCTURE, AND WHAT TO DO

ABOUT IT, WITH A PANEL OF

TRANSPORTATION POLICYMAKERS

AND STAKEHOLDERS.

FIRST UP, THOUGH, PAVING THE

WAY FOR THE DISCUSSION IS THIS

REPORT FROM CHRISTOPHER AYERS

OF WFYI PUBLIC MEDIA.

THE CONDITION OF INDIANA'S

ROADS AND BRIDGES TOOK CENTER

STAGE LAST SUMMER AFTER THE

SUPPORT PIER OF AN INTERSTATE

65 BRIDGE NORTH OF LAFAYETTE

WAS FOUND TO HAVE SUNK NINE

INCHES.

THAT DISCOVERY LED TO A MORE

THAN MONTH-LONG CLOSURE OF A

37-MILE STRETCH OF HEAVILY

TRAFFICKED HIGHWAY AND

PROMPTED QUESTIONS ABOUT WHAT

THE GENERAL ASSEMBLY MIGHT DO

LONG-TERM INFRASTRUCTURE

FUNDING SOLUTION.

GOVERNOR PENCE BROACHED THE

ISSUE FIRST WHEN HE ANNOUNCED

HIS OWN ROAD FUNDING PROPOSAL

IN OCTOBER.

IT WOULD SPEND A BILLION

DOLLARS ON ROAD AND BRIDGE

IMPROVEMENTS OVER THE NEXT

FOOR YYARS.

THE PLAN WOULD BE PAID FOR, IN

PART, BY PULLING FROM THE

STATE'S EXCESS RESERVES.

IT WOULD ALSO REQUIRE

BORROWING ABOUT A QUARTER OF

THE PROPOSED FUNDING THROUGH A

240 MILLION-DOLLAR BOND ISSUE.

THE PLAN HAS BEEN TAKEN UP IN

THE SENATE.

HOUSE REPUBLICANS, HOWEVER,

HAVE PROPOSED A COMPETING

ROADS PLAN.

IT WOULD INCREASE THE STATE

GASOLINE TAX, WHICH HASN'T

BEEN RAISED IN OVER A DECADE,

AS WELL AS THE CIGARETTE TAX.

HOUSE SPEAKER BRIAN BOSMA HAS

CALLED THE PLAN "RESPONSIBLE,

COMPREHENSIVE AND

SUSTAINABLE," AND HE SAYS IT

WOULD FUND THE STATE'S

INFRASTRUCTURE BEYOND THE FOUR

YEARS PROPOSED BY THE

GOVERNOR.

IT'S UNCLEAR, THOUGH, WHETHER

THE GOVERNOR COULD STOMACH A

TAX INCREASE TO PAY FOR ROAD

FUNDING -- SOMETHING HE

MENTIONED EARLIER THIS YEAR

DURING THE STATE OF THE STATE

ADDRESS.

IN THE BANK AND YOU GOT THENEY%-

BEST CREDIT RATING IN AMERICA,

THE LAST PLACE YOU SHOULD LOOK

TO PAY FOR ROADS AND BRIDGES

IS THE WALLETS AND POCKETBOOKS

OF HARD-WORKING HOOSIERS.

LET'S INVEST IN OUR ROADS,

LET'S MAINTAIN THE CROSSROADS

AF AMERICA, AND LET'S DO IT

WITHOUT RAISING TAXES.

IT'S UNCLEAR AT THIS POINT

WHICH PLAN, IF EITHER, WILL

MAKE IT TO THE GOVERNOR'S

DESK, AND WHETHER OR NOT HE'D

SIGN IT ONCE IT GOT THERE, BUT

WITH BOTH PLANS POISED TO MAKE

IT UT OF COMMITTEE, IT IS

INFRASTRUCTURE FUNDING HAS

ONLY JUST BEGIN.

FOR "INDIANA LAWMAKERS," I'M

CHRISTOPHER AYERS.

THANKS, CHRISTOPHER.

BACK IN A MOMENT WITH OUR

WEEKLY ROUND TABLE.

"INDIANA LAWMAKERS" -- FROM

IN A WAY, LAWMAKERS BEGAN

THE 2016 SESSION AT THE

POLITICAL EQUIVALENT OF A

CCOWDED ALL-WAY STOP.

EVERYONE WAS IN THE SAME

PLACE, MORE OR LESS, BECAUSE

OF THE NEAR-UNIVERSAL

RECOGNITION THAT SOMETHING HAD

TO BE DONE ABOUT THE STATE'S

AGING ROADS AND BRIDGES.

FROM THERE, HOWEVER, LAWMAKERS

HAVE ACCELERATED IN MULTIPLE

DIRECTIONS IN REGARD TO

FUNDING THE NECESSARY

IMPROVEMENTS.

SOME ARE STEERING TOWARD

BORROWING THE MONEY.

SOME ARE ON THE ROADDTO

RAISING TAXES.

AND OTHERS ARE HEADING

STRAIGHT TOWARD TAPPING THE

STATE'S BUDGET RESERVES.

THINK YOU NEED A GPS TO KEEP

TRACK OF IT ALL?

NAH, WE'VE GOT SOMETHING FAR

BETTER -- THE EXPERT PANEL

THAT JOINS ME TODAY.

REPUBLICAN REPRESENTATIVE ED

SOLIDAY OF VALPARAISO,

CHAIRMAN OF THE HOUSE ROADS

AND TRANSPORTATION COMMITTEE.

DEMOCRATIC REPRESENTATIVE DAN

FORESTAL OF INDIANAPOLIS,

RANKING MINORITY MEMBER OF

THAT AME PANEL.

FISHERS MAYOR SCOTT FADNESS,

CHAIRMAN OF THE INDIANA

ASSOCIATION OF CIIIES AND

TOWNS' LEGISLATIVE COMMITTEE.

AND JUSTIN STEVENS, STATE

DIRECTOR OF AMERICANS FOR

PROSPERITY, A CONSERVATIVE,

ANTITAX ADVOCACY GROUP FOUNDED

BY BILLIONAIRE BROTHERS DAVID

AND CHARLES KOCH.

AND I THANK YOU ALL FOO

TRAVELING THE ROADWAYS TO GET

HERE FOR THIS TAPING.

ED SOLIDAY, WHAT IS THE

FLIPPANT, BUT WHAT'S MOREADS I%-

DANGEROUS POLITICAL POTHOLES

OR THE ACTUAL POTHOLES.

I WOULD RATHER DEAL WITH

POLIIICAL POTHOLES THAN ROAD

POTHOLES.

WE BEGAN FIVE YEARS TO THE

ASPECT QUESTION AND QUITE

FRANKLY, IN 2013 WE PASSED A

BILL THAT TOLD INDOT TO HIRE A

CONSULTANT AN AND TELL US, ONE,

AAL OF THE WAYS TO FUND ROADS

USING A METRIC THAT EVERYONE

COULD BE USED TO COMPARE TO

OTHER STAAES.

OOT OF THAT STUDY INDIANA WAS

IN THE LOWER THIRD OF THE

NATION.

AND LOOKING AT A REASONED

STUDY IN MANY AREAS, WE ARE

24th IN ROAD MILES AND WELL

BELOW 30th AND SOMETIMES

45th IN EACH OF THE METRICS,

SO WE ARE THE CROSSROADS OF

AMERICA, WE GET HUGE WEAA ON

OUR STATE HIGHWAYS FROM

18-WHEEL TRUCKS AND SO FORTH.

SO WE HAVE SOME WORK TO DO.

NOW, LAST YEAR, THOUGH, WAS

A BUDGET YEAR AND EARRY ON,

SAY LAST SPRING, I DON'T THINK

FOLKS NECESSARILY SAW THIS ON

THE RADAR.

IT HAS BEEN GROWING.

WE BEGAN FIVE YEARS AGO IN THE

COMMITTEE WITH A SUMMER STUDY

COMMITTEE.

CARL BROWNING, WHO WAS

COMMISSIONER, THEN, LAST YEAR,

TESTIFYING BEFORE OUR

COMMITTEE, OUR JOINT STUDY

COMMITTEE, BEFORE WAYS AND

MEANS, SAID THAT HE NEEDED

BETWEEN 250 AND $300 MILLION,

ADDITIONAL DOLLARS, EVERY YEAR

JUST TO STOP THE DECLINE IN

OUR ROADS.

JUST TT STOP THE DECLINE.

SO WE KNEW IT WAS THEREE

THE ISSUE WAS LAST YEAR THERE

WERE A LOT OF OTHER THINGS ON

THE AGENDA.

WE WANTED TO GET EDUCATION

TAKEN CARE OF.

AND THE SPEAKER WAS SAYING

EVEN LAST YEAR THIS WOULD BE

THE YEAR OF INFRASTRUCTURE.

WWLL, AND FORESTAL YOU AND

OTHER DEMOCRATS HAVE BEEN

-ABANGING THE DRUMS ABOUT THE

CONDITION OF ROADWAYS

ESPECIALLY LAST SUMMER WITH

THE SNARLING IN WEST LAFAYETTE

WITH THE SINKING BRIDGE AND

RESULTANT DETOURS.

DO YOU FEEL THAT YOUR CAUCUS

HAS BROUGHT TO BRING ABOUT

MORE MEDIA FOCUSSON THIS

ISSUE?

I WOULD SAY THAT.

AND DEMOCRATS REALLY ARE THE

REASON THIS ISSUE IS PROBABLY

NUMBER ONE IN TERMS OF WHAT

THE LEGISLATURE'S LOOKING AT

RIGHT NOW.

YOU KNOW, I THINK FROM MY

PERSPECTIVE, WE WOULD HAVE

LIKED TO SEE SOMETHING BE

ADDRESSED IN THE BUDGET OR IN

THE BUDGET SESSION.

INDIANA'S -- INDIANA'S KNOWN

FOR ITS ROADS AND RIGHT NOW

WE'RE NOT LIVINGGUP TO THE

RESPONSIBILITY.

THE ROADS ARE NOT IN GREAT

CONDITION, OUR INFRASTRUCTURE

GENERALLY IS NOT IN GREAT

CONDITION AND IT'S SOMETHING

THAT WE ARE GOING TO AVE TO

ADDRESS.

IT'S GOOD THAT WE ALL AGREE ON

THAT PORTION OF IT.

THE QUESTIIN IS HOW DO WE GO

FORWARD WITH IT.

MAYOR, HOW IMPORTANT IS

ROAD CONSTRUCTION AND ROAD

REPAIRS IN MAYORS ANN CITIES

THAT ARE SMALL.

SSRE, MONDAY

ACROSS-THE-BOARD NUMBER ONE

PRRORITY IS IMPROVEMENT IN

TRANSPORTATION INFRASTRUCTURE.

AND SO WE'RE WATCHING

MR. SOLIDAY'S BBLL VERY

CLOSELY IN THE HOUSE, WE'RE

LOOKING AT WHAT'S HAPPENED IN

TO ALL OF OUR REPRESENTATIVES-

ABOUT WHY IT'S SO IMPORTANT TO

FIND A SUSTAINABLE PLAN FOR

THE FUTURE OF OUR

TRANSPORTATION INFRASTRUCTURE.

DO YOU THINK MOST MAYORS

ARE SAYING THAT THEY SEE THE

PROBLEMS NOW OR IS THIS MORE

OF A PRECAUTION THAT, THE

RECOGNITION THAT MANY OF THE

BRIDGES, MANY OF THE ROADS

ARE, IN FACT, AGING AND THAT

THIS WILL BE A CHALLENGE IN

THE YEARS TO COME?

YEAH, WE TEND NOT TO BE

ALARMIST ABOUT THE ISSUE BUT

WE DO THINK WE NEED TO HAVE AA%

THOUGHTFUL DISCUSSION ABOUT

THE LONG--ERM VIABILITY ABOUT

OUR FUNDINGGISSUES.

MAYOR AT THE CURRENT FUNDING%-

LEVEL WE WOULD REPAVE OUR

ROADS ONCE EVERY 72 YEARS

WHICH IS NOT A SUSTAINABLE

MODEL.

OUR ROADS MAY BE IN DECENT

CONDITION TTDAY BUT THE

LIKELIHOOD THEY WILL BE IN THE

15, 25 YEARS UNDER CURRENT

FUNDING LEVELS IS UNLIKELY.

WE NEED TO HAVE THIS

DISCUSSION TOAD.

JUSTIN, YOUR ORGANIZATION,

YOU WOULD JUST AS SOON NOT TO

HAVE A GOT OF GOVERNMENTAL

INTRUSION, BIG SPENDING, BUT

WOULD E ACKNOWLEDGE A

INFRASTRUCTURE ESPECIALLY

WHAT'' TOUTED AS THE

CROSSROADS OF AMERICA IS

IMPORTANT?

CERTAINLY, I THINK ANYONE

WOULD AGREE WITH THAT.

WE THINK THAT PROVIDING THE

APPROPRIATE INFRASTRUCTURE IS

A BASIC CORE FUNCTION OF

GOVERNMENT.

WE DO THINK THAT SHOUUD BE

TAKEN CARE OF.

WHAT WE MAY DIFFER IS HOW

SHOULD WE DO THAT AND WHAT ARE

OUR PRIORITIES.

THAT IS A CORE FUNCTION OF

GOVERNMENT.

WHAT ARE SOME THINGS THAA

MAYBE AREN'T AND HOW DO WE

NNED TO PRIORITIZE OUR STATE

BUDGET FOR THAT.

THE GOVERNOR JUMPED INTO

THE FRAY, TAPPING THE RESERVES

TO A CERTAIN EXTENT AND ALSO

BORROWING OR BONDING, I GUESS

AS IT'S MORE PLEASANT TO SAY,

WHAT WAS WRONG WITH THAT BILL?

WELL, FIRST OF ALL --

I SHOULD OT SPEAK ABOUT IT

IN PAST TENSE, INCIDENTALLEY,

IT'S STILL ALIVE AND WELL.

FIRST, WE'RE GLAD HE

RECOGNIZES IT'S A PROBLEM.

YEAR CREATES $400 MILLION.RST

BECAUSE WE'VE BEEN OVERFUNDING

MEDICAID FOR A WHILE.

IN THE SECOND YEAR, IT ONLY

CREATES MONEY IF THHRE IS MORE

REVENUE THAN THE BUDGET AND

THE RESERVES ARE OVER 11 1/2%.

SO F YOU LOOK AT THE FISSAL

DELIVERED BY LEGISLATIVE

SERVICES, THEY'RE ALL ZEROS,

NO MONEY, IT'S UNPREDICTABLE.

BECAUSE IF WE HAVE A RECESSION

OF ANY KIND OR A DIP IN THE

ECONOMY AND WE FUND THOSE

BASICS, WHEN YOU LOOK AT OUR

BUDGET, HOW LEAN IT'S BEEN

AINCE GOVERNOR DANIELS WAS

HERE AND HOW WELL MANAGED IT'S

BEEN 54% OF IT OR SO IS K-12

EDUCATION, ANOTHER 11% IS

HIGHER ED.

SO YOU REALLY DON'T HAVE ANY

MONEY FOR A GROWING PROBLEM

AFTER THEEFIRST YEAR.

SECOND OF ALL, A NUMBER OF US

DO NOT WANT TO PASS THE DEBT

FOR THAT INFRASTRUCTURE ON TO

OUR CHILDREN SO WE DON'T WANT

A BOND.

TODAY, ON A BONDING THAT WAS

DONE IN 1998, WE'RE PAYIIG

$100 MILLION A YEAR.

AND THOSE DEDICATED SOURCES

NOW DON'T PAY THAT

100 MILLION, SO WE'RE HAVING

TO DIP INTO OUR GENNRAL

REVENUES TO PAY THROUGH 2029

FOR INFRASTRUCTURE THAT'S

COMING APART.

WE DON'T AGGEE.

IT'S LIKE BUYING A HOME AND

MORTGAGING THE CARPEE FOR 30

YEARS WHEN IT LASTS 15.

DAN FORESTAL, YOUR CAUCUS

MAY NOT LIKE NECCSSARILY THE

BORROWINN BUT I THINK IT'S

CLEAR YOU DO LIKE THE NOTION

OF TAPPING THE RESERVES.

THE GOVERNOR'S PLAN TO PUT,

YOU KNOW, A PORTION OF OUR

ROADS ON A CREDIT CARD IS JUST

FISCALLY NOT RESPONSIBLE, IT'S

NOT SMART PUBLIC POLICY, I

THINK WE'LL BE PAYING IT OFF

LONG AFTER THE ROADS HAVE

DETERIORATED AND GONE.

WE'LL STILL BE PAYING THE

BONDS OFF.

IN FACT, UR CHILDRRN WILL BE

PAYING THOSE BONDS OFF.

BUT WHERE WE DO AGREE WITH THE

GOVERNOR IS THAT NNW IS NOT

THE TIME TO RAISE TAXES ON

HOOSIERS, I MEAN, WE -- THEE%

INDIANA HAS LAGGED BEHIND IN

MEDIAN HOUSEHOLDDINCOME PER

CAPITA INCOME IN TERMS OF THE

REST OF THE NATION, WE ARE

BEHIND.

AND UNTIL THOSE KINDS OF

TRENDS TURN, HOW DEMOCRATS

FEEL TTAT WHAT WE SHOULD DO IS

ROLL UP OUR SLEEVEE AND LOOK

IN THE EXISTIIG BUDGET AND THE

SURPLUU, THE MONEY WE'VE

ALREADY COLLECTED FROM

TAXPAYERS TO FUND OUR

INFRASTRUCTURE.

THEN MAYBE WE MMVE ON AND TALK

ABOUT SOME OF THE OTHER, YOU

SOME OF THE REALLY LONG-TERM,

LONG-LOOKING THINGS.

BUT BEFORE WE'VE, YOU KNOW,

-ACHECK THE COUCH CUSHIONS AND

REALLY SHAKEN THE TREESSAND

MADE SURE WE'VE EXHAUSTED

EVERY OTHER OPTION WE FEEL NNW

IS NOT THE RIGHT TIME TO RAISE

TAXES.

WE'RE GOING TO TALK ABOUT

AAXES, BELIEVE E, THIS IS AN

IMPORTANT PART OF THE

DISCUSSION BUT I GUESS, MAYOR,

YOU AND YOUR COLLEAGUES ACROSS

THE STATE PROBABLY WERE ALSO

TROUBLED INITIALLY BY THE

NOTION THAT INITIAL

LEGISLATION THAT WAS PUT FORTH

BY THE GOVERNOR DEALT ONLY

WITH STATE-CONTROLLED ROADWAYS

NOT THOSE CONTROLLED BY

COUNTIES OR MUNICIPALITIES AND

THAT'S THE VAST MAJORITY OF

ROADWAYS N THE STATE, IS IT

NOT?

THE GOVERNOR SUPPORTED

HERSHMAN'S BILL,,$30 BACK TO

LOCAL SO I THINK THERE IS SOME

RECOGNITION BY THH GOVERNOR

AND THE SENATE THAT THERE IS A

NEED TO GET MONNY BACK TO THE

LOCALS TO WORK ON THIS ISSUE.

FOCUSING ON THE STATE WOULD

HAVE BEEN A NONSTARTER.

IT WOULD HAVE BEEN

DIFFICULT FOR US.

THERE ARE CHALLENGES AT THE

LOCAL LEVEL THAT ENEED TO DEAL

WITH AND THAT $430 MILLION IS

A SIGNIFICANT ONE-TIME TO GIVE

BACK TO THE LOCALS IN TERMS OF

THE LOCAL INCOME TAXES.

I THINK THERE'S A RECOONITION

BY THE GOVERNOR THERE'S A NEED

AT THE LOCAL LEVEL AS WELL, IT

JUST WASN'T II THE INITIAL

CONCEPT OF THE BILL.

THAT'S GIVEN BBCK THE LOCAL

INCOME TAXES TAXES THAT THE

STATE IS HOLDING FROM THE

LOCALS.

IT ISN'T A HARD SELL.

WHEN WE TALK TO HOOSIERS AND

WE'VE ADE TENSE OF THOUSANDS

OF PHONE CALLS, I THINK IT'S A

HARD SELLLTO TELL HOOSIERS

AHAT WE HAVE $2 BILLION IN

RESERVE, THAT OUR REVENUE

INCREASED BY $750 MILLION LAST

FISCAL YEAR ALONE, 600 MILLION

OF THAT WAS IN INDIVIDUAL

INCOME TAXES AND SALES TAX

REVENUE, O THEN ASK THEM TO

PAY MORE.

I THINK IT'S A HARD SELL.

SO THEY HAVE THEIR WORK CUT

OUT FOR THEM AS FAR AS SELLING

THAT TO THE PUBLIC AND WE'RE

GOING TO KEEP IN EFFECT PEOPLE

OF OUR VIEW ON IT.

SELL JUSTIN STEVENS ON IT

AND SOLIDAY ON IT.

I TRY NOT TO WORRY ABOUT

HIM TOO MUCH.

C'MON.

WE ---THIS IS NOT NEW TO

US.

FIVE YEARS.WORKING ON IT FOR

WE HAVE A NUMBER OF POLLS.

I'VE NEVER SEEN IT LIKE THIS.

ACROSS AMERICA THERE'S

65% OF AMERICANS AND ABOUT THE

SAME AMOUNT OF HOOSIERS SAY

SOMETHING HAS TO BE DONE.

UP UNTIL THE LAST YEAR AND A

HALF, ONNY 30% WERE WILLING TO

PAY FOR IT IN ANY WAY.

TODAY WELL OVER 50% OF

HOOSIERS AND AT LEAST THREE

POLLS HAVE SAID WE ARE WILLING

TO PAY MORE.

WHAA'S THE DIIFERENCE, CANN%

YOU PINPOINT ONEETHING?

SURE.

PARTICULARLY IN YOUR AREA --

WELL, EXACTLY..%

BUT ON THE DAY I SPOKE AT A

CONFERENCE,,WE HAD ANOTHHR

BRIDGE IN SOUTHERN INDIANA

HAVE PROBLEMS.

PEOPLE ARE -- CHIP AND SEALING

A LOT OF ROADS INSTEAD OF

PAVING THEM SO WE'RE SEEING

WINDSHIELDS BROKEN.

RIGHT NOW TODAY HOOSIERS SPEND

ABOUT $366 PER YEAR N

MAANTAIIIIG THEIR VEHHCLES

FROM DAAAGG FROM ROADS.

SO THEY'RE FEELING IT.

SO I CAN TELL YOU THAT EVERY

PLACE I HAVE SPOKEN -- AND

I'VE SPOKEN A LOT OF PLACES --

WHEN I SAY HOW MANY OF YOU ARE

WILLING TO PAY A NICKEL MORE

GALLON, THAT'S $25 PER YEAR, PE-

IT'S ABOUT 5% THAT SAY NO.

WELL, YOU SPECULATED

UPFRONT YOU CAN'' CONVINCE

JUSTIN SSEVENS TO CHANGE HIS

HOW ABOUT YOURS, JUSTIN

FORESTALLDOES THAT RING TRUE?

SOLIDAY HAS WORKED ON A

BILL THAT HAVE A LOT OF GOOD

PROVISIONS BUT --

YEAH.NEW THAT WAS COMING.%-

HE DID A NNCE JOB OF REALLY

TRYING TO SELL IT BUT, YOU

KNOW, LOOK, THE CORPORATE

INCOME TAX IS SET TO DECLLNE

ALMOST TO HALF OF WHAT IT IS

RIGHT NOW OVER THE NEXT COUPLE

OF YEARS.

SO, YOU KNOW, I THINK -- I

AGREE WITH JUSTIN IT IS RARE,

I WOULD HAVE TO POINT OUT THAT

AMERICANS FOR PROSPERITY AND

DEMOCRATS AGREE THAT IT'S

NICE.

TRYING TO GET US TO AGREE.

THERE ARE SOMEEKOCH

BROTHERS FUNDING IN YOUR

CAMPAIGN.

YEAH, AND IT'S NICE TO

AGREE N SOME OO THESE PIECES.

BUT FOR AS LONG AS THE

CORPORATE INCOME TAX IS SET TO

GG TO ALMOST HALF OF WHAT IT

IS RIGHT NOW IT'S GOING TO BE

VERY HARD TO GO BACK AND TELL

AY CONSTITUENTS, BUT WE WANT

TO RAISE YOUR TAXES.

YOU KNOW, CORPORATIONS HAVE

HAD IT VERY, VERY WELL FOR A

VERY LONG TIME AND I LIKE

HAVING LOW TAXES FOR EVERYONE,

BUT, YYU KNOW, HAVING

CORPORATIONS' TAXES GO DOWN

WHILE HOOSIERS GO UP IT'S JUST

A NONSTARTTR FOR US.

THERE ARE ARIOUS

MECHANISMS THATTWOULD

INCREASE, SOLIDAY, INCREASE ON

GAS TAX, OFFSET DECLINE ON

MEDDCAID SPENDING, DOLLAR TAX

ON CIGARETTES.

BUT THERE'S MORE LATITUDE FOR

MUNICIPALITIES.

GOOD IDEA??%

IT'S A GOOD IDEA TO GGVE US

TOOLS TO MAKE A DECISION T

THE LOCAL LEVEL WHETHER OR NOO

WE WANT TO INCREASE RESOURCES

AND WHHEHER OR NOT WE WANT TO

SAD THAT FEE OR TAX AT A LOCAL

LEVELS.

IT'S IMPEEATIVE FOR THE

LONG-TERMMVIABILITY OF OUR

APPLAUD IT FOR SOLIDAY TO GET

THAT DONE.

DO YOU THINK THEY HAVE THE

STOMACH TO HAVE IT.

-ATHEE'RE CLOSEST TO THE

CCTIZENRY AND TAXPAYERS AND

VOTERS.

DEPENNS WHICH CITY YOU'RE

TALKING ABOUT AAD THE

SITUATION THEY'RE IN.

THERE'S A VALUE PROPOSITION

CONVERSATION WITH THE

RESIDENTS HERE.

YOU CAN DDMONSTRATE HE VALUE

WHAT THEIR TAX DOLLARS ARR

GOING TO TO IMPROVE THEIR

INFRASTRUCTURE I THINK A LOT

OF RATIONAL HOOSIERS WOULL

LOOK AT THAT AND SAY, YOU KNOW

WHAT, I'M WILLING TO PAY MORE.

JUSTEN DOES IT MATTER TO

-AYOU WHETHHR IT'S LEVIED AT THE

STATE LEVEL?

THE KEY HERE IT'S A LITTLE

BIT MISLEADING WHEN WE SAY

JUST A NICKEL MORE PER GALLON

BECAUSE WHEN YOU GO TO A CITY

LIKE JJFFERSONVILLE, WHERE

THEY DON'T HAVE A WHEEL TAX.

IF YOU HAVE TWO PEOPLE AND A

FAMILY WHERE THEY BOTH DRIVE A

CAR, DRRVE TO WORK, IT COULD

BE A 250, $300 INCREASE, NOT

COUNTING IF THEY SMOKE

INCLUDES THE INCOME TAX,

DOUBLE WHEEL TAX, CITY

IMPLEMENTS ANOTTER WHEEL TAX

ON TOP OF THAT AND THEN

THEY'RE PAYING AN EXTRA $25

APIECE A YEAR FOR THEIR GAS,

II'S NOT AN INSIGNIFICANT

AMOUNT, ESPECIALLYYFOR --

HOW DOES ONE FUND -- IF

IT'S A BILLION A YEAR THAT'SS%

NEEDED OR 300 ADDITIONAL, 1.5,

I'VE SEEN LOTS OF NUMBERS, HOW

DOES THAT GGT DONE?

T'S ABOUT PRIORITIES.

THAT'S WHAT WE'VE BEEN TALKING

ABOUT FOR A LONG TIME.

WE'VE BEEN SPENDING

TRANSPORTATION MONEY FOR

GENERAL FUNDS PROJECTS.

THIS PAST YEAR IT WOULD HAVE

BEEN $350 MILLION A YEAR THAT

WAS DERIVED FROM SALES TAX ON

GASOLINE THAT COULD HAVE BBEN

SPENT ON TRANSPORTATION.

BUT IT HASN'' BEEN.

AND I WILL GIVE, YOU KNOW,

YESTERDAY REPRESENTATIVE BROWN

POINTED OUT THAA REPUBLICANS

ROADS AND INFRASTRUCTURE BACK

IN THE BILL HE WAS TALKING

ABOUT EARLIER AND CEETAIILY IT

IS A CREDIT TO THAT.

SO THAT'S ENOUGH.

ONE OTHER THING I'D LIKE TO

MEANNTHIS WITHHALL DUEY DO, I

RESPECT, BUT, YOU KNOW, IN

FISHERS PEOPLE MMY BE A LITTLE

MORE ABLE TO FIND THE EXTRA

INCOME TO -- OR THE EXTRA

MONEY TO FUND THIS TAX, ANN IN

MY DISTRICT WE HAVE SOMEE%

REALLY, REALLY HARD-HIT AREE,

THERE ARE SOME VERY, VERY POOR

AREAS IN MY DISTRICT WHERE,

YOU KNOW, IT COULD HAVE A MUCH

LARGER IMPACT THAN FISHERS

OR --

IS THAT AN ISSUE, EVEN WITH

THE HERSHMAN BILLER SOME WOULD

SAY A DISPROPORTION MAT IMPACT

TO BETTER HEELED COMMUNITIES.

AGAIN, WHEN WE TALK ABOUT

IT'S DEPENDENT UPON EACH CITY

I THINK THERE'S A LOCAL

DEMOCRATIC PROCESS THAT'S

THESE TOOLS WHERE RESIDENTS

WOULD HAVE AN OPPORTTNITY TO

WEIGH IN AS TO WHETHER THEY

THINK IT'S A GOOD IDEA FOR

THEIR COMMUNITY OR NOT SO I

THINK EACH COMMUNITT'S GOING

TO HAVE TO WEIGH THAT DECISSOO

AND WHETHER II'S IN THE BEST

INTEREST FOR TTE RESIDENTS.

WHETHER IT'S FISHERS OR SOME

OTHER COMMUNITY I THINK IT'S

GOING TO BE UP TO THE

RESIDENTT ULTIMAAELY WHEN WEE%

TALK ABOUT THE LOCAL TOOLSS%

THAT ARE INCLUDED IN THIS

BILL.

Ap I THINK, FIRST OF ALL, WE

NEED TO GET SOME FUNKY MATH

AUT OF HERE BECAUSE WE'VE

TRIED TO BE DATA-DRIVEE.

AOR SOMEBODY TO PAY THE KIND

OF MONEY JUSTIN'S TALKING

ABOUT, THEY WOULD HAVE TO BE

DRIVING THEIR VEHICLE

60,000 MILES A YEAR.

THE AVERAGE HOOSIER DRRVES

ABOUT 11,988 MILES, SSMMTHING

LIKE THAT, PER CAR.

SO WHEN YOU WORK THAT OUT, HE

PAYS -- IF YOU LOOK AT AVERAGE

MILEAGE -- MILES PERRGALLON,

YOU'RE LOOKING AT AAOUT $108

PER VEHICLE PER YEAR THAT

PEOPLE ARE PAYING.

THAT'S $108.

-AWHAT'S YOUR CELL PHONE BILL?

AOW, FOR THAT, FOR THE AVERAGE

HOOSIER, TO GO TO $250, I NEED

TO SEE THE MATH.

p> NO, NO, NO, NO THAT'S NOT

BASED ON THE GAS TAX ALONE.

I'M SAYING IF A WHEEL TAX WERE

IMPLEMENTED IN THESE

COMMUNITIES --

YEAH, SO YOU GGT A WHEEL

TAX OF $50 FROM THE CITY, $50

FROM HE COUNTY, THAT'S $100,

IF YOU HAVE TWO CARS, THAT'S

$200 AND THEN YOU'RE PAYING

THE ADDITIONAL $50 A YEAR IN

GAS TAXES IF YOU'RE BOTH

DRIVING SO THAT'S WHERE THE

MATH COMES IN.

AND THE PEOPLE GET TO

DECIDE THAT.

AND THE TRUE -- THE ISSUE HERE

IS -- FISHERS IS UNIQUE.

II'S A FAIRLY NEW CITY.

ASPHALT LASTS ABOUT 15 TO 20

YEARS.

CONCRETE LASTS ABOUT 30 YEARS.

AND THAT MEANS REEUILD IT AAL

THE WAY TO THE LAY.

WE HAVE CITIES -- BRIDGES LAST

ABOUT 50 YEARS.

WE HAVE BRIDGES THAT ARE ON

188-YEAR REBUILD CYCLE.

WE HAVE CITIES THAT ARE ON 70

AND 80-YEAR REPAVE CYCLES.

NOW, THE PROBLEM WITH THE

ONE-YEAR, ONE POO.T'S%-

OUR CITIES NEED ABOUT

$470 MILLION A YEAR

INCREMENTAL JUST TO STOP THE

DECLINE.

OF COURSE, THE ONE-YEAR POP

IS GOOD WHEN IT'S AN ELECTION

YEAR AND WHAT ROLE DOES THAT

PLAY, THE FACT THAT IN

NOVEMBER MANY OO YOUR

COLLEAGUES WWLL BE GOING --

STANDING FORRREELECTION?

I'M SURE, YOU KNOW, AT SOME

LEVEE IT MAKES IT MMRE

DIFFICULT BUT I THINK MOST --

MOSTLY PEOPLE ARE, YOU KNOW,

HAVE SOME KIND OF TECHNICAL,EY%-

YOU KNOW, ISSUE WITH THE BIIL,

SOME KIND OF FUNDING MECHANISM

PORTION OF IT.

I DON'T THINK IT'S ALL

ELECTION-RELATED, IT REALLY

COMES DOWN TO, YOU KNOW, HAVE

NECESSARY TO LOOK FOR THEORK

MONEY IN THE EXISTING REVENUE

WE HAVE AND HOUSE DEMOCRATS

JUST DON'T FEEL LIKE WE HAVE.

WE TALK ABOUT THE T WORD,

TAXXS, THE BILL TALKS ABOUT

STUDYING TOLLS.

IS THAT ACCEPTABLE TO YOUR

ORGANIZATION?

I THINK WE CAN STUDY THAT

FOR THE LONG-TERM.

WE'REEOPEN TOOTHE STUDY FOR

SURE.

SO THAT'S BETTER THAN

TAXES, IN YOUR MIND?

WELL, I THINK THAT'S A

LONG-TERM DISCUSSION.

IF WE'RE DECIDING BETWEEN

RAISING TAXXE RIGHT NOW OR A

LOOG-TERM SOLUTION FOR

TRANSPORTATION FUNDING 20, 30

YEARS DOWW THE ROAD, THAT

MIGHT BE SOMETHIIG WE HAVE TO

DISCCSS.

TO TOLLS, MAYOR.

THIS IS COMING FROM A GUU

THAT ROVE UP 65 TTIS MORNING

THAT WOULL HAVE HAD TO PAY $16

TO GET HERE SO --

I APPPECIATE YOUR COMING

AND APPRECIATE EVERYBODY ELSE

COMING HERE FOR THIS

DISCUSSIONN

AGAIN, MY GUESTS HAVE BEEN

REPUBLICAN REPRESENTATIVE ED

SOOIDAY OF VALPARAISO.

DEMOCRATIC REPRESENNATIVE DAN

FORESTAL OF INDIANAPOLIS.

FISHERR MAYOR SCOTT FADNESS OF

THE INDIANA ASSOCIATION OF

CITIES AND TOWNS.

AND JUSTIN STEVENS OF

-AAMERICANS FOR PROSPERITY.

WE'RE TALKING FANTASY

SPORTS IN INDIANA.

SO IF YOU'RE A DRAFT KING OR A

FAN DUELER, I BET YOO'LL

DOUBLE DOWN ON THE NEXT

"IIDIANA LAWMAKERS."

TIME NOW FOR OUR WEEKLY

CONVERSATION WITH ED

FEIGENBAUM, PUBLISHER OF THE

NEWSLETTER INDIANA

"LEGISLATIVE INSIGGT."

SPOTS ON ONE SIDE, WE'VE GOT

DIRECT MAIL PIECES ON THE

OTHER SIDEE THIS II GETTING

ABSOLUTELY.

IT'S NOT GOING TO GO AWAY REAL

QUICKLY.

AS MUCH AS WE MIGHT THINK THAT

EVERYTHING WILL BE DECIDED

QUICKLY IT'S NOT GOING TO BE

DECIDED IN THE NEXT FEW WEEKS,

IT'S NOT EVEN ALL GOING TO BE

DECIDED THIS SESSION.

I THINK NEXT YEAR YOU'RE GOING

TO SEE A LOT MORE ATTENNION TO

THIS REGARDLESS WHAT WE DO

THIS YEAR BECAUSE WE'RE GOING

TO LOOK FOR A SHORT-TERMMFIX

WHICH COULD INCLUDE TAXES THIS

YEAR BUT NEXT YEAR WILL BE THE

REAL KEY AS WE DO WHAT ED

AOOIDAY WANTS TO DO, TAKE THAT

LONG-TERM VIEW DOWN THE ROAD.

WHAT'S GOING TO BE INTERESTING

OVER THE NEXT COUPLE OF WEEKS,

THOUGH, IS THE FACT THAT THE

AILING ATLANTA CLLSES SOON FOR

CANDIDACY SO THESE

LEGISLATOOSS PARTICULARLY

REPPBLICANS WHO FEAR BEING

PRIMARIED, ARE GOING TO SEE

WHO THEIR OPPONENTS ARE BEFORE

THEY HAVEETO VOTE EFFFCTIVELY

ON A TAA INCREESE TOWARD THE

END OF THE SESSION SO THAT'S

GOIIG TO HELP DRIVE THIS

DEBATE.

BUT YOU THINK THE TAX

QUESTION COULD SURVIVE EVEN

ABSOLUTELY AND WHAT YOUAR?

WILL SEE IS SOME TYPE OF

INDEXING, THE INDEXING THAT

REPRESENTATIVE SOLIDAY WAS

REFERRING TO, I THINK THAT'S

ALMOST A CERTAINTY.

THERE'S AN ONGOING INCREASE

IN THE TAX RATE, KEEP PACE

WITH INFLATION.

RIGHT, WE BUMP THINGS BACK

TO WHERE THINGS WERE BEFORE

THE RATES WERE CHAAGED.

WHEN YOU LOOK AT WHERE WE ARE

TODAY VERSUS GAS TAXES VERSUS

WHERE WE WERE BACK THEN IN 21

GOVERNOR O'BANNON IMPOSED THE

TEMPORARY BAN ON THE GASOLINE

SALES TAX, GAS AT THE SHELL

STATION AT 16th AND CAPITOL

IN IIDIANAPOLIS WAS $1.84.9

GALLON AND TODAY ON MY WAY

INTO THE STUDIO IT WAS DOWN TO

$1.74.9.

EVEN THOUGH YOU INDEXED

TODAY'S PRICES AGAINST THEE%

PRICES BACK THEN YOU'D STILLL%

BE AT ABOUT THE SAME PRICE AS

-AYOU WERE BACK 15, 16 YEARS

AGO.

IF A TAAXBILL SHOWS UP ON

THE GOVERNOR'' DESK, DOES THAT

PUT MIKE PENCE IN A TOUGH

SPOT?%-HE SAID IN THE STATE OF E

STATE THE LAST PLACE HE WOULD

LOOK WOULD BE IN THE WALLETS

OF POCKETBOOKS OF HOOSIEES.

HE'S BEEN PRETTY

COOPERATIVE IN LETTINGGTHE

LEGISLATURE COMING UP WITH THE

BEST SET OF CONCLUSSONS AND

THE BEST PACKAGES AND I THINK

THAT IF HE GETS WHAT HE WAATS

IN THERE, HE'' BE WILLING TO

AT EAST ALLOW A TAX INCREASE

IN EITHER CIGARETTES OR THE

GASOLINE SALES TAX TO BECOME

LAW EITHER WITH OR WITHOUT HIS

SIGNATURE.

THESE ARE NOT A, B, C, THIS

COULD BE AN AMALGAM BY THE

TIME WE'RE DONE WITH

COOFERENCE.

IT ILL BE A PACCAGE

PRESENTED TO GOVERNOR.

VERY INTERESTING.

ED, THANK YOU, AS ALWAYS FOR

YOUR INSIGHT.

FOR INFORMATION, EETRA

STREAMING

YOU CAN ACCESS LIVE

STREAMMNG COVERAGE OF THE

GENERAL ASSEMBLY ON THE

INTERNET AS WELL.

AND REMEMBER, YOU CAN GET OUR

SHOW, ON DEEAND, FROM XFINITY

AND BRIGHT HOUSE NETWORKS.

>WELL, THAT CONCLUDES

ANOTHER EDITION OF "INDIANA

LAWMAKERS."

I'M JON SCHWANTES, AND ON

BEHALF OFFWFYI PUBLIC MEDIA,

INNIANA'S OTHER

PUBLIC-BROADCASTING STATIOOS,

AND MYYCOLLEAGUES ED

FEIGENBAUM AND CHRISTOPHER

AYERS, I THANK YOU FOR JOINING

US, AND IIINVITE YOU TO VISIT

WFYI.ORG FOR MORE ON THE 2016

UNTIL EXT EEK....%