Mitch Daniels (Uncertain)

Watchdog Indiana Home Page Indiana General Assembly & Governor Ratings Legislative Voting Record 11/02/04 Candidate Questionnaire 05/04/04 Candidate Questionnaire 11/05/02 Candidate Questionnaire 05/07/02 Candidate Questionnaire

Address: Office of the Governor, Statehouse, Indianapolis, IN 46204-2797
Phone: 317-232-4567
E-mail: mdaniels@gov.in.gov, http://www.in.gov/gov/2310.htm
Website: http://www.in.gov/gov/index.htm

Watchdog Indiana Candidate Questions - November 4, 2008, General Election
1. BACKGROUND: Senate Joint Resolution 1 passed the Indiana Senate 40-7 and the Indiana House 79-20 on March 14, 2008, and was signed by the Governor on March 19, 2008. SJR 1 amends the Indiana Constitution to cap homeowners' property tax bills at 1% of assessed value, rental and agricultural property at 2%, and business property at 3%. For property taxes first due and payable in 2012, 90 of Indiana's 92 counties must have a homeowner property tax cap that is 1% of the gross assessed value. Until 2020, existing debt service prior to July 1, 2008, is exempted from the 1% homeowner gross assessed value cap in Lake and St. Joseph counties ONLY. The result of these two existing debt service exemptions equates to a 1.88% homeowner cap in Lake County and a 1.52% homeowner cap in St. Joseph County. The homeowner caps for Lake and St. Joseph counties must become 1% in 2020. The exact same version of SJR 1 that passed in 2008 must again pass in the General Assembly in 2009 to put the 1% constitutional homeowner property tax cap amendment on the 2010 ballot. We the people can then vote to make the 1% homeowner property tax cap a permanent part of the Indiana Constitution. Never has it been so easy to separate those who are part of the property tax relief solution from those who are part of the property tax spending problem. A General Assembly candidate who pledges to vote for Senate Joint Resolution 1 in 2009 is part of the solution, otherwise the legislator is part of the problem. QUESTION: Do you pledge to sign in 2009 the exact same version of Senate Joint Resolution 1 that passed in 2008? DID NOT RESPOND. RECORD (www.indystar.com/2008race): Yes. Constitutional caps are necessary to protect this year’s property tax cuts from reversal by future politicians or judges. The caps provide assurance to Hoosier home and business owners that they will not lose their homes or businesses due to future rapid or unpredictable property tax increases.
2. QUESTION: Do you wish to make some additional comments about your candidacy? Do you have an E-mail address? Do you have a website? DID NOT RESPOND.

2008 General Assembly Voting Record
Originated Senate Joint Resolution 1, which amends the Indiana Constitution to include a cap beginning 2012 on homestead property tax in 90 counties at 1% of gross assessed value. Until 2020, existing debt service prior to July 1, 2008, is exempted from the 1% homeowner gross assessed value cap in Lake and St. Joseph counties ONLY. The effective constitutional homeowner property tax caps in Lake and St. Joseph counties are 1.88% and 1.52% respectively until their 1% cap takes effect in 2020.
Signed House Bill 1001, which phases in the SJR 1 constitutional property tax caps by 2010. Also, 2008 property taxes are reduced 26% from the prior year. An increase in the sales tax from 6% to 7% and county-wide local option income taxes will be used to replace the property tax revenue reductions that result from the property tax caps.

2007 General Assembly Voting Record
Signed House Bill 1001, the budget bill that is Taxpayer Friendly because the General Fund & Property Tax Replacement Fund $26.0722 billion expenditures total for the 2008 and 2009 fiscal years is less than the $26.1946 billion revenues total. HB 1001 also includes additional homestead credits from the Property Tax Reduction Trust Fund of $300 million in 2007 and $250 million in 2008.
Signed House Bill 1478, which is Taxpayer UNfriendly for the following reasons: (1) Homeowner property taxes will increase 1.2% each year from 2009 through 2013 with annual decreases in the Homestead Standard Deduction. (2) The 2% Circuit Breaker Cap on residential property taxes passed by the General Assembly in 2006 has been watered down to the point where it is almost eliminated. (3) The new local option income tax for property tax relief will be offset by future property tax increases unless the new local option income tax to replace property tax increases is implemented. (4) Using the new local option income tax to replace property tax increases means that income tax increases on Hoosier working families would lower the proportionate tax burden of businesses and utilities by freezing business and utility property taxes without a corresponding increase in other business and utility taxes. (5) A new local option income tax has been authorized for public safety.
Signed House Bill 1835,which is Taxpayer Friendly because it uses slot machine licensing fees and wagering taxes to establish the Property Tax Reduction Trust Fund, which is to be used for property tax relief in any manner prescribed by the General Assembly.
Signed on Senate Bill 401, which is Taxpayer UNfriendly because state legislators voted themselves a perpetual pay increase that is 20% more than the typical Hoosier working family earns during an entire year. SB 401 also eliminated taxpayer-paid lifetime health insurance and the $4 taxpayer match for each $1 of legislator pension contribution, but General Assembly members should not have received an excessive salary increase in return for eliminating extravagant perks they should not have in the first place.

2006 General Assembly Record
Signed the "Major Moves" House Bill 1008, which is Taxpayer UNfriendly because it authorizes the Indiana Department of Transportation to enter into public-private agreements with private entities (operators) concerning tollway projects for I-69 between Martinsville and Evansville. HB 1008 also authorizes the Indiana Finance Authority to enter into public-private agreements with operators for the Indiana Toll Road. Any agreement is subject to the approval of the Governor after review by the State Budget Committee. I-69 construction is prohibited from running through Perry Township in southern Indianapolis. The $3.85 billion proceeds from leasing the Indiana Toll Road will be used to establish (a) a Bond Retirement Account to pay off bonds selected by the Indiana Finance Authority, (b) an Administration Account, (c) an Eligible Project Account for highway improvements throughout Indiana, and (d) a $500 million Next Generation Trust Fund to be used exclusively for the provision of highways, roads, and bridges for the benefit of the people of Indiana. One use of the Administration Account will be to fund reductions in, or refunds of, user fees imposed on noncommercial cars and trucks individuals who use the Indiana Toll Road.
Signed House Bill 1001, a residential property tax reduction bill that increases the homestead credit for one year in 2006 to 28% and the homestead standard deduction for one year in 2007 to $45,000. Beginning in 2007 for Lake County and 2008 for all other counties, HB 1001 also establishes a cap on residential property taxes equal to 2% of the assessed value of the residential property.

2005 General Assembly Record
Signed House Bill 1001. This budget bill includes the Property Tax increases listed next (which overshadow the positive development of a 2% property tax cap for Lake County). (a) $436 million over the next two years from placing a cap on the state's Property Tax Relief Credits (PTRCs) while providing PTRC funding equal to the amount paid in 2002 plus the revenue generated by one percent of the sales tax. (b) School property tax increases of 1.2 percent the first year and 1.3 percent the second year for basic funding. (c) One to 1.2 percent school property tax increases to provide textbooks to low-income students, recoup state cuts for transportation, and pay for utility and insurance costs. (d) Lowered base assessed values for farmland will benefit farmers but shift property taxes to other property owners such as businesses and homeowners, especially in rural counties. (e) Counties can issue bonds to be paid off with property taxes to fund about $100 million owed the state for housing juvenile offenders. (f) $52.5 to $63 million in county levies this year to enhance and adequately fund services to protect abused and neglected children. (g) A new rule requiring annual assessments of homes will increase 2007 homeowner property taxes between 8 to 11 percent.
Signed House Bill 1120, which includes the negative tax impacts listed next. (a) Repeals the termination of the one percent Marion County Food and Beverage Tax and authorizes the Indianapolis City-County Council to increase the rate of the County Food and Beverage Tax an additional one percent; the resulting increased revenue is to be distributed to the Marion County Capital Improvement Board for use in paying debt service on obligations issued by an Indiana Stadium and Convention Building Authority to finance a new Colts stadium and expanded convention center facilities in Marion County. (b) Authorizes Marion County to increase the following taxes: Auto Rental Excise Tax (from 2% to 4%), Innkeeper's Tax (from 6% to 9%), Sports Venue Admissions Tax (from 1% to 6%). (c) Imposes a Ticket Tax on Colt's Stadium events: $3 per ticket for professional sports and $1 per ticket for other sports (excluding high school and charity events). (d) Authorizes an increase in the amount of state sales and individual income tax revenue that is annually captured by the Marion County Professional Sports Development Area (from $5 million to $16 million). (e) Authorizes Boone, Hamilton, Hancock, Hendricks, Johnson, Morgan and Shelby counties to adopt a one percent Food and Beverage Tax and allocates half of the revenue would to Marion County stadium and convention center projects. (f) Authorizes the municipalities of Avon, Carmel, Fishers, Greenfield, Lebanon, Martinsville, Noblesville, Westfield, and Zionsville to adopt a one percent Food and Beverage Tax in addition to a Food and Beverage Tax adopted in the municipality's parent county. (g) Allows Lake County and Porter County to adopt a one percent Food and Beverage Tax to cover the costs associated with membership in a Regional Development Authority to pursue expansion of the Gary Airport, regional transit projects, and Lake Michigan shoreline development. (h) Authorizes Wayne County and its municipalities to adopt a Food and Beverage Tax. (i) Authorizes Howard County and Miami County to increase their County Option Income Tax rate by 0.25 percent to fund local jail costs. (j) Authorizes Vanderburgh County to adopt a County Auto Rental Excise Tax. (k) Authorizes Tippecanoe County to increase its Innkeeper's Tax by one percent. (l) Authorizes Hendricks County to increase its Innkeeper's Tax by three percent. (m) Increases the Oil Inspection Fee by 10 cents per 50-gallon barrel (raised to 40 cents).

Candidate Questionnaire for the November 2, 2004, General Election:
1. What will be your guiding principles for the 2005-2007 biennium budget? Specifically, what mix of spending cuts, tax increases, and/or reserve depletions will you support? (Background: see the Indiana State Finances web page at http://www.finplaneducation.net/indiana_cash_flow_data.htm for information on how total state expenditures exceed current revenues every year from 1999 through 2005). DID NOT RESPOND. Record: "Tax increases are not off the table, but they're at the bottom of the list." Candidate Daniels' "Roadmap to an Indiana comeback" is a slick, fold-out campaign brochure that lists 61 "New Ideas" under the headings of education, jobs, health care, integrity, and state government reform. None of these proposed changes have cost increases or savings identified, and there is no clear indication they would reduce state spending or significantly increase state revenues from existing sources. As federal Budget Director, Candidate Daniels oversaw a federal budget that went from the largest dollar-level surplus in American history to the largest dollar-level deficit.
2. What are your opinions regarding homeowner property taxes? Specifically, what would be a good outcome for the property tax replacement study commission currently studying the elimination of property taxes and alternative sources of revenue? Do you support the Watchdog Indiana senior and disabled individuals property tax deferral program (http://www.finplaneducation.net/property_tax_deferral_program.htm)? What is your position on a 2% annual homeowner property tax cap and how would you argue for, or against, those supporting a cap of 1% to 1.5% of the market value of homeowner property? DID NOT RESPOND. Record: Candidate Daniels offers no state-paid property tax relief to the most vulnerable Hoosier homeowners. His phase-in of property tax increases would be of little help. His 10-year freeze on property taxes for agricultural producers would shift property taxes to homeowners. Candidate Daniels refuses to consider cutting total annual state spending 0.36 percent to implement the senior and disabled individuals property tax deferral program.
3. What is your position regarding the construction of an interstate from Indianapolis to Evansville? Specifically, do you favor tax increases and/or toll roads to help build any such interstate? DID NOT RESPOND. Record: Candidate Daniels favors a new-terrain interstate between Indianapolis and Indiana and, because the budget is "barely enough to maintain the roads we have now," would consider tolls as a means of payment.
4. Do you wish to make some additional comments about your candidacy? Do you have an E-mail address? Do you have a website? DID NOT RESPOND.

Candidate Questionnaire for the May 4, 2004, Primary Election:
1. What will be your guiding principles for the 2005-2007 biennium budget? Specifically, what mix of spending cuts, tax increases, and/or reserve depletions will you support? (Background: see the Indiana State Finances web page at http://www.finplaneducation.net/indiana_cash_flow_data.htm for information on how total state expenditures exceed current revenues every year from 1999 through 2005). DID NOT RESPOND. RECORD (April 25, 2004, Indianapolis Star): The governor has a constitutional duty to see that the budget is balanced. Although a thorough house-cleaning of spending programs is long overdue, it is not likely that we can cut our way out of our current fiscal emergency. It is essential that we have more individuals and businesses making more income and paying taxes to support the improvements we want to make as a state. In a situation as desperate as this one, we can't rule anything out; everything must be on the table for consideration. There is a positive side to our fiscal emergency, however. At moments like this, hard decisions become more thinkable.
2. What do you think of (a) a property tax replacement study commission to study the elimination of property taxes and alternative sources of revenue and (b) a senior and disabled individuals property tax deferral program? (Background: Senate Bill 264 information about the property tax replacement study commission can be found online at http://www.in.gov/apps/lsa/session/billwatch/billinfo?year=2004&session=1&request=getBill&docno=264
and information about the property tax deferral program can be found online at http://www.finplaneducation.net/property_tax_deferral_program.htm.) DID NOT RESPOND.
3. Do you support exempting gasoline sales from the sales tax and increasing the gasoline tax by another 5 cents? (Background: combined with the 3-cent gasoline tax hike in 2003, this would result in a revenue-neutral shift of all gasoline tax proceeds from Indiana's General Fund directly to road improvements). DID NOT RESPOND.
4. What is your position regarding tax increases to build an interstate from Indianapolis to Evansville? 4. DID NOT RESPOND. RECORD (November 26, 2003 Indianapolis Star): Candidate Daniels "enthusiastically" endorses a new-terrain extension of I-69 from Indianapolis to Evansville. He thinks the northern end of the extension should be changed from I-465 in Marion County to I-70 near Indianapolis International Airport. He wants the state to consider turning the I-69 extension into a toll road.
5. Do you wish to make some additional comments about your candidacy? Do you have an E-mail address? Do you have a website? DID NOT RESPOND. RECORD: When Candidate Daniels states that "everything must be on the table for consideration" for the state's 2005-2007 biennium budget, it is just another way of saying that he will consider tax increases. This is disturbing when one considers that state spending has increased 25.18 percent, or 2.39 times more than inflation, since the last balanced budget in 1999. Candidate Daniels' enthusiastic support for a toll-road, new-terrain extension of I-69 from Indianapolis to Evansville is likewise troubling because (1) costs for new terrain interstates always escalate, (2) taxes will increase because the political climate does not support spending cuts for interstate construction, (3) the positive economic impact of highway projects is exaggerated, (4) unnecessary environmental damage would result, and (5) temporary highway construction job increases would be paid for by inefficiently administered highway spending.

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