Vand. Tax Hike Attempt Exposes Strife Between City and County

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In a recent turn of events the Evansville City Council and the Vanderburgh County Council were at odds with one another over a bill that State Representative Holli Sullivan (R – District 78)  introduced which would allow the County to tax the citizens up to .25%, and bring in around $11 million (one of the biggest tax increases in modern day Vanderburgh County according to City Council Vice President, Justin Elpers) for the purpose of expanding the over-crowded jail.

The Indiana General Assembly HB 1487 reads as follows;

Vanderburgh County local income tax. Authorizes the county council of Vanderburgh County to impose an additional local income tax rate of not more than 0.25% to be used to: (1) pay the costs of a county jail and juvenile detention facilities, and related costs; (2) pay bonds issued after June 30, 2017, or leases entered into after June 30, 2017, for such purposes; (3) pay bonds that were issued before July 1, 2017, or leases that were entered into before July 1, 2017, for a county jail and juvenile detention facilities operated by the county as of July 1, 2017; Vanderburgh County local income tax. Authorizes the county council of Vanderburgh County to impose an additional local income tax rate of not more than 0.25% to be used to: (1) pay the costs of a county jail and juvenile detention facilities, and related costs; (2) pay bonds issued after June 30, 2017, or leases entered into after June 30, 2017, for such purposes; (3) pay bonds that were issued before July 1, 2017, or leases that were entered into before July 1, 2017, for a county jail and juvenile detention facilities operated by the county as of July 1, 2017; (4) pay operational or capital expenses of the county sheriff’s office, county jail, and juvenile detention facilities, including inmate treatment and rehabilitation services; and (5) provide additional funding for public safety in the county and, at the discretion of the county council, in the towns and townships in the county. Provides that if the additional tax rate is imposed, each recipient of the additional revenue shall establish a public safety fund and shall deposit the additional revenue in the fund.

The bill revealed a power struggle and a hint of strife between the City and County Councils over the possible influx of several million dollars. The strife comes from an allegedly non-transparent attempt by the county to circumvent city government in order to obtain a large amount of local tax dollars.

City Council members stated that this tax hike was quite a one-sided venture which left the city’s First Responders and Public Safety at a loss. County Commissioner, Cheryl Musgrave, indicated that the City simply wants control over the money while there is an obvious need for jail expansion due to overcrowding and understaffing.

In Wednesday’s County Council meeting, Vanderburgh County Council President, John Montrastelle (R -District 4) stated that the bill has been stopped and will not be heard.

While HB 1487 will not move forward into Committee review, the power struggle and strife between the City and County Councils seems to expose something much deeper taking place in our city.

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