INDIANAPOLIS | State lawmakers took a first step Monday in the long path toward the local government revamp sought by Republican Gov. Mitch Daniels.
By a mostly party-line vote of 32-18, the Republican-led Senate sent the House legislation that would phase out the ethically questionable practice of allowing public employees to serve elected office within the same unit of local government.
"The issue of firemen, for example, working for the city and being on the council, that's just clearly a conflict of interest," Sen. Ed Charbonneau, R-Valparaiso, said. "It's a public perception issue, and we should be striving at every level of government to instill confidence in the people that we're involved in the government for the good of the people and not private gain."
Senate Bill 452, co-authored by Charbonneau, became the first piece of the so-called Kernan-Shepard report on local government reforms to cross the transom to the Democrat-controlled House. More contentious measures to eliminate townships, restructure county government and consolidate small school and library districts will get Senate attention later this week.
In addition to the dual-office ban, which would not apply to current elected officials, SB 452 would move municipal elections to even-numbered years and require that school board elections be held during fall general elections.
The legislation also would allow a county election board, by a unanimous vote, to scrap precinct polling places in favor of consolidated vote centers in high-traffic areas. The concept, tested last year in three counties, allows voters to visit whatever voting center is most convenient on election day.
Smoking ban tweaked
Cities and counties that want to adopt policies stricter than the proposed statewide smoking ban could do so under an amendment adopted Monday by the Indiana House.
House Bill 1213, which is similar to smoking bans in place in Crown Point and Valparaiso, had proposed a Dec. 31 deadline for cities and counties to consider more comprehensive bans.
Rep. Peggy Welch, D-Bloomington, told Rep. Charlie Brown, the Gary Democrat sponsoring the statewide ban, that she does not want to tie the hands of local officials.
"Lake County may come along and say we want the casinos to have a ban," Welch said. "I want to give them the opportunity to make that decision."
The legislation exempts casinos from the proposed ban on smoking in restaurants and most other indoor workplaces. Another amendment adopted Monday removed a requirement that would have required casinos to place 20 percent of their gaming positions in nonsmoking areas.
"This is a work in progress, and we've got a long way to go," Brown said of the legislation, which now is eligible for a vote by the full House. Brown prefers a more comprehensive ban that would cover casino and bars.
Blue Chip tax breaks considered
State Rep. Scott Pelath, D-Michigan City, planned to present legislation Monday night that would extend about $16 million in tax breaks to Blue Chip Casino in Michigan City, which is losing business to Four Winds Casino in nearby new Buffalo, Mich.
"They faced direct competition about 10 miles away," Pelath said. "It's not even close to being on an even playing field."
Pelath wants to temporarily exempt coupons redeemed by Blue Chip customers from the taxes the casino pays on its revenues. He said the tax break would be worth $5.2 million this year and would decline 20 percent a year for five years until completely phase out.
The legislation also would reduce by 5 percent the graduated tax rates gaming parlors at horse tracks in Anderson and Shelbyville pay on the slot machines they installed last year.
Pelath said the proposal would provide about $10 million in annual tax relief to each. He said they are struggling to make a profit after ponying up $250 million each for the slot licenses legislators created in 2007.







