Griffith could get relief from Calumet Twp. taxes

INDIANAPOLIS | Calumet Township officials seem to have inadvertently persuaded state lawmakers Tuesday to impose deep cuts on the township's budget in coming years.

Senate Bill 344, sponsored by state Sen. Brandt Hershman, R-Wheatfield, would limit the tax dollars a township could spend on township assistance, which typically is used for temporary poor relief.

Under the legislation, a township's assistance tax rate could not be more than 2 times the statewide average rate, multiplied by a poverty factor.

Calumet Township's tax rate is currently four times higher than the next highest township tax rate, and the township spends more on poor relief, per capita, than any other township in Indiana.

In a Senate committee Tuesday, Hershman proposed changing the formula to allow townships to set an assistance tax rate of 4.5 times the state average rate, multiplied by a poverty factor.

But Curtis Whittaker, financial adviser to Calumet Township Trustee Mary Elgin, told the committee the township opposed Hershman's proposed amendment.

Hershman, looking slightly stunned, withdrew his amendment and left the lower maximum assistance tax rate in the legislation, which the committee then voted 7-3 to send to the full Senate. As voted on, the township's assistance tax rate could not be more than 2 times the statewide average rate, multiplied by a poverty factor.

Rick Ryfa, a Griffith town councilman who has worked to exempt Griffith residents from Calumet Township taxes, estimated Griffith property owners would pay $1 million less per year to the township under the lower maximum rate. Griffith is the only other municipality that comprises, along with the city of Gary, Calumet Township.