Latest news with #ToddHuston
Axios
22-04-2025
- Business
- Axios
Indiana lawmakers won't consider marijuana legalization
If you had high hopes Indiana's budget crisis would cause lawmakers to take another look at marijuana legalization, don't hold your breath. Catch up quick: Lawmakers learned last week they need to cut a staggering $2 billion from their two-year spending plan — or find a way to close the gap with additional revenue. As it stands, lawmakers have just $170 million in new dollars to spend in 2026 and $30 million in 2027. That's not much, considering the state spends around $22 billion annually and its Medicaid expenses are projected to grow by more than $400 million in the first year and another $375 million in the second. Between the lines: Statehouse leaders have said "everything is on the table" when it comes to writing a balanced budget, and that includes cuts and, possibly, new taxes. Yes, but: Not everything. What they're saying:"We're not going to legalize marijuana in the budget," House Speaker Todd Huston (R-Fishers) told reporters Thursday. Huston said legislators wouldn't consider fast-tracking significant public policy changes in the final week of the legislative session simply to close a budget gap. Plus: The taxes generated from legalization wouldn't solve Indiana's financial problems. A fiscal analysis from the state's Legislative Services Agency estimated that recreational marijuana would generate between $100 million and $200 million annually once a cannabis program was fully implemented (which would take some time). What's more likely: Raising the cigarette tax by $1 would bring in an estimated $200 million annually and is a policy that's already been vetted by the legislative process multiple times.
Axios
11-04-2025
- Business
- Axios
Marion County schools bracing for property tax overhaul
Marion County school districts stand to lose millions under the House Republicans' property tax reform proposal, which was amended yesterday to cut even more. The big picture: Lawmakers have struggled to strike a balance between relief for homeowners who say they're struggling to keep up with skyrocketing property tax bills and the local units of government — cities, counties, school districts and more — that rely on those tax dollars to fund essential services. Driving the news: House Republicans amended Senate Bill 1 this week to give the average homeowner a $300 credit toward their property tax bill next year — more than the $200 credit they introduced last week. It also includes new credits for veterans and seniors, saving taxpayers more than $1 billion over the next three years. House Speaker Todd Huston said the bill ensures most homeowners will pay less next year than this year, while controlling "unsustainable" local government spending. Yes, but: The new SB 1 also gives municipalities a tool to offset those losses — the ability to raise local income taxes. "This plan encourages local governments to raise their local income tax rate, so you'll get more money in your right pocket but have to pay more out of your left," said Rep. Greg Porter (D-Indianapolis). State of play: Most local units of government will still bring in more property tax revenue next year than they will this year, just less than they would have without SB 1. Without the bill, revenue is projected to grow by more than 5% next year. With it, that growth slows to less than 3%. Under the earlier proposal, Marion County was projected to take in $50 million more next year than it will this year, but that's about $20 million less than it would have without SB 1. A new fiscal impact based on the larger credit adopted yesterday hasn't been released yet. Zoom in: The effect on schools would be wider ranging and likely to grow with the larger credit. Under the smaller credit, the county's 11 public school districts would see property tax revenue growth between 1% and 4% next year. Two districts — Wayne Township and Beech Grove City Schools — are projected to see year-over-year losses by 2028. What they're saying: Beech Grove superintendent Laura Hammack said she is "profoundly concerned about the long-term implications" of SB 1. "These reductions could force incredibly difficult decisions that may affect staffing, student programs and overall day-to-day operations," she told Axios. "Our ability to attract and retain talent, maintain safe and functional facilities, and offer opportunities that enrich student learning will all be jeopardized." Washington Township Schools are projected to receive at least $10 million less over the next three years than they would have taken in without SB 1. "Districts may need to revisit previously planned operations, capital improvements and other strategic initiatives to align with more modest revenue growth expectations," said Ellen Rogers, spokesperson for Washington Township. The new version of SB 1 also incorporates language from Senate Bill 518, which would require districts to start sharing some property tax dollars with charter schools. An Indianapolis Public Schools preliminary analysis of the bill said it will cost the district nearly $100 million over the next seven years. The other side: Charter school advocates say all public schools should be funded equally. What's next: The deadline for Senate bills to pass out of the House is Tuesday. The Senate will need to vote on the changes made in the House, but Senate President Pro Tempore Rodric Bray (R-Martinsville) told reporters last week he thinks his caucus will support them.
Yahoo
10-04-2025
- Business
- Yahoo
Governor gets more savings for homeowners in amended property tax proposal
After days of silence, Gov. Mike Braun gave a thumbs up on a significant property tax amendment minutes before Republican leaders brought it to the House floor. The measure passed on a 70-27 vote along party lines. Braun made property taxes a cornerstone of his 2024 campaign, and had been conspicuously quiet after House leaders unveiled their plan Friday. 'I am grateful for the leadership of (House) Speaker Todd Huston and (Senate) President Pro Tem Rod Bray and for the ways they have partnered with us to deliver this meaningful tax relief to Hoosiers,' Braun said in a statement shared to X. 'I encourage House members to support this amendment and urge the Senate to then take action quickly to get it to my desk for signature.' The new version of Senate Bill 1 will increase a credit applied to all homeowner bills to 10% or a maximum of $300, cumulatively saving homeowners $1.4 billion over the next three years. An earlier version had a $200 cap and saved homeowners $1.1 billion over three years. Additionally, the amended property tax bill softens its business personal property tax cuts and further drops local income tax limits. 'This amendment makes a good bill even better and provides even more relief to homeowners,' said Lizton Republican Rep. Jeff Thompson, who authored the amendment. Thompson, who also sponsored the underlying Senate motion, said that two-thirds of homeowners will see reduced bills in 2026 when compared to 2025. But Democrats again urged caution when voting on the large bill without knowing the full fiscal impact. The Legislative Services Agency doesn't release fiscal notes on amendments until they are adopted. 'I just can't vote on something that has so many uncertainties,' said Rep. Greg Porter, D-Indianapolis. A handful of Democrats spoke against the amended bill, many of whom mentioned the changes to the business personal property tax as a major concern. Currently, small businesses with less than $80,000 in such property — which can include equipment, billboards and more — are exempt. Before Wednesday, Senate Bill 1 would have halted the charge on purchases after this year, meaning the revenue to municipalities would gradually fall. A 2024 study from the Indiana Chamber found that exempting the tax on new business personal property would reduce revenue by $1.2 billion for the state while eliminating the depreciation floor would shave away another $35 million. In the amended property tax bill introduced on Wednesday, that $80,000 benchmark increases to $1 million next year and $2 million the year after. 'The government officials in our cities and towns (who) are going to be affected have not been in this conversation. There's still concerns with what we have, even though this amendment does make a little bit better than what we had in committee,' said Rep. Mike Andrade, D-Munster. '… a lot of elected officials are concerned that they're going to not be able to have this tool.' House Speaker Todd Huston made a rare appeal from the floor, urging his colleagues to advance the motion to amend. 'This is historic taxpayer relief. Historic,' said the Fishers Republican. '… This is a complex system. We are making it a better, more transparent system for all — whether you're a homeowner, a business or a farm. But we are, most of all, making it great for Hoosier families.' After accepting Thompson's edit, Republicans batted away over a dozen Democratic attempts to amend the bill, including ones that would grant more relief to renters, a first-time home buyer's credit and one restricting the personal property tax language to only American corporations. 'The money is tight,' Thompson repeatedly told Democrats, referencing the state's slim revenue growth predictions for the next two years. In a statement, House Minority Leader Phil GiaQuinta called Senate Bill 1 'a tax hike in disguise.' 'Paying up to 4.1% in income taxes to your city and county on top of state and federal taxes is much more than the $300 max in 'credit' you could receive off your property tax bill in 2026,' said GiaQuinta, D-Fort Wayne. 'Businesses still get a break, but working Hoosiers get crumbs. This is a bad deal for working Hoosier families, which is why House Democrats voted no on this plan.' The bill must pass through the House one more time before the Senate takes action. That chamber can opt to accept the amended property tax bill or dissent, which would go against Braun's wishes for a quick resolution. Dissenting would send the bill back to a conference committee, where lawmakers would hammer out a final negotiation that both chambers could agree upon. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX
Axios
08-04-2025
- Business
- Axios
House Republicans to release property tax plan
House Republicans will release the details of their property tax reform plan Monday, which leaders say will save the average Hoosiers hundreds of dollars annually. Why it matters: Property tax relief was one of the top priorities for lawmakers this legislative session after several years of skyrocketing home values drove up property tax bills statewide. State of play: Lawmakers have struggled to strike a balance between providing meaningful relief for homeowners without decimating the cities, counties, schools and other local units of government that depend on property taxes to fund services. House Speaker Todd Huston told reporters on Friday that the plan his caucus will release this morning as an amendment to Senate Bill 1 will save homeowners more than $1 billion in property taxes over the next three years. Zoom in: Full details weren't shared Friday, but Huston said the majority of Hoosiers will see their property tax bill go down next year. The proposal includes a 7.5% property tax credit for up to $200 on all homestead property tax bills beginning in 2026. It provides additional credits of $150 for fixed-income seniors and up to $250 for disabled veterans. It also phases in an increased property tax deduction for homeowners over the next five years and moves the state to a rate-based system that Huston said will be more transparent than our current levy-based one. Yes, but: Huston admits it's still complicated. "It's really hard," he said, when asked how much relief the bill would provide to the average homeowner. "I think it's hundreds of dollars, but I would hate to be super precise, because at the end of the day ... it's going to matter where you live." The fine print: It's also unclear what the impact on local governments will be. Huston said a fiscal impact statement should be available later Monday. He said the amendment will include a mandate that traditional public schools begin sharing some property tax dollars with charter schools in 2028. That language was originally in Senate Bill 518. What they're saying: Senate President Pro Tempore Rodric Bray, R-Martinsville, said he believes his caucus will accept the House's version of the bill. It's less clear how Gov. Mike Braun, who criticized the Senate's earlier plan for not doing enough for homeowners, will feel. "We're hopeful he'll see real value in where we're at, but we all have a position we have to stake out," Bray said. Here's what else we're watching at the Statehouse this week: 🤑 Senate spending plan The Senate has to release its two-year spending proposal by Thursday, the deadline to get House bills out of Senate committees. What we're watching: How the Senate's plan differs from what the House released in February — and if it includes a cigarette tax increase. Reality check: This will not be the final budget bill. Lawmakers are waiting on the final revenue forecast, due out next week, for a better picture of how much they'll have to spend over the next two years. We're hearing the forecast will call for an even tighter budget than lawmakers were originally expecting. 👀 IPS oversight bill coming back Senate Bill 373 is on the House Education Committee agenda for Wednesday morning for amendments. The latest: Among the amendments lawmakers will consider is an updated version of the "Indianapolis Local Education Alliance." This version of the board, which would be tasked with examining the facilities and transportation services among all public schools within the IPS boundaries, has a different makeup than what was proposed two weeks ago. There are no gubernatorial appointees to the board in the latest version; there is one person from pro-charter school group The Mind Trust. 🟢 Partisan school boards up for passage The Senate is set to concur on Senate Bill 287, which would make Indiana's school board races partisan. The House-passed version does not go as far as the original, which called for school board candidates to follow the same primary process as candidates for other offices, but Sen. Gary Byrne, R-Byrneville, has filed to accept the changes. The latest version directs candidates to indicate their party on the general election ballot and gives an option for an independent choice or no party affiliation.
Yahoo
04-04-2025
- Business
- Yahoo
House Republican plan for property taxes to save homeowners $1.1B
House Speaker Todd Huston, right, and Rep. Jeff Thompson present the House Republican plan for property taxes on April 4, 2025. (Whitney Downard/Indiana Capital Chronicle) Lawmakers introduced yet another plan for property taxes this week, pitching a proposal to save homeowners $1.1 billion over three years. In comparison, homeowners would have seen nearly $1.3 billion in relief in 2026 alone under Gov. Mike Braun's previous proposal. In the atypical Friday afternoon press conference, Rep. Jeff Thompson said that 93-94% of homeowners would see lower property tax bills than they would with no action. But the majority of homeowners would pay less in 2026 than they did in 2025. 'We have two main goals in crafting this bill: deliver immediate relief to homeowners and reform the system to prevent the dramatic spikes in property taxes that we've seen in recent years,' said House Speaker Todd Huston. 'Our amendment accomplishes both.' The amendment to Senate Bill 1, set to be introduced on Monday, isn't yet publicly available. Once adopted by a committee, the Legislative Services Agency will release an estimated fiscal note. According to the two Republican leaders, all homestead property tax bills will get a 7.5% credit in perpetuity, up to $200, based on a calculation performed after accounting for property tax caps. Fixed-income seniors will see an additional $150 credit while disabled veterans will get an additional $250 credit. 'Now, every single veteran and every single senior will get a benefit if they qualify,' said Thompson, R-Lizton. But one of the biggest benefits for the average homeowner, Huston said, would be improved transparency for taxpayers, who would be able to assess their bills on a Property Tax Transparency Portal. 'When we do a rate-based and non-levy-based system … I think the normal Hoosier homeowner can understand what their bill looks like. It's not some algebraic equation,' said Huston, R-Fishers. The plan for property taxes joins a handful of other efforts, including one from Gov. Mike Braun, Senate Republicans, a House Democrat and a previous Thompson pitch. Each proposal has varying impacts to homeowners and local units of government, which rely on revenue from property taxes to fund public safety, infrastructure and schools. For instance, Braun's plan would save homeowners the most money on their property taxes going forward but be a heavy hit to the budgets of school corporations, counties, cities and towns. Alternatively, plans that reduce that revenue loss have a small, nearly negligible impact on homeowner property taxes. It's not yet clear what the total estimated impact of those credits will be to local governments. Thompson, the chief budget architect in the House, said most units will still see additional revenue but smaller increases than they would without Senate Bill 1. 'They're still going to be gaining dollars. If I recall, it's about a 5.6% gain (under) current law. This will roughly cut that down to a little over 3%,' Thompson said. 'So they're still adding more dollars, just not as many new dollars.' But Huston cautioned that some units, depending on their circumstances, could see losses simply because of the 'complexity of the system,' pointing to local referendums and debt. Similarly homeowner tax bills vary significantly depending on a home's value, the local tax rate and other factors. 'You could have the same home in the same county — and built in the same year — and you'd have two wildly different property taxes,' Huston said. '… I wish I could stand up here and give you all the bare bone specifics. I'd love to know what my property tax bill is going to look like in '26.' The proposed amendment would also 'rein in' locally held debt, though it's not yet clear how the General Assembly would accomplish that. House Republicans reported that the state's 2,000-plus local units of government hold a combined $53.4 billion in debt. Such calculations will impact local schools, who would get a double-whammy revenue hit with the incorporation of Senate Bill 518 into the plan for property taxes. The current version would require schools to split their revenue with certain charter schools. Under the new language for sharing property taxes, which isn't yet available, Huston said changes for schools wouldn't kick in until 2028 and would be phased in over four years. Thompson also alluded to changes in the state's personal business property tax, including a 'very, very slow, gradual phase down' for purchases made after Jan. 1, 2025. Will it be enough? It's uncertain whether the plan will be enough for the Hoosiers calling for relief. Last month, hundreds rallied to push lawmakers to adopt a plan closer to Braun's proposal, pointing to tax jumps in recent years during the economic fallout of COVID-19. Democratic Rep. Greg Porter said that big business would still be the winners in a Friday press release, criticizing the plan for not addressing home assessments that increase faster than business assessments. CONTACT US 'With roughly $1.1 billion saved over three years and about 1.9 million homesteads, each homeowner will save an average of close to $575 from 2026 to 2028,' Porter said in a statement. '… With an average property tax bill ranging from $1500 to $3000, a yearly credit of only $200 will fail to make a difference.' He also denounced the lack of relief for renters as well as an increased reliance on local income taxes for municipalities to backfill losses. 'Our schools will lose money, especially with Senate Bill 518 rolled into the plan diverting property tax dollars to charter schools so the state can pay even less. This plan encourages local governments to raise their local income tax rate, so you'll get more money in your right pocket but have to pay more out of your left,' Porter continued. Braun threatened to veto earlier versions of the proposal, citing the need for homeowner relief. Still, Huston seemed comfortable with the current package. 'We feel very good about the trajectory that we're on and we will continue to work with our partners on this and figure out where the best place to land the plane is,' said Huston. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX
