News & Notes: Porter County Officials Promise Court Fight Over RDA Provision in New State Budget

Porter County opponents of the Regional Development Authority promised a court challenge to a provision in the new state budget that allows any two Porter municipalities to void the county’s attempts to withdraw from the RDA.

In April, the County Council voted 4-3 to withdraw its representative to the RDA, with the majority citing popular opposition to the tax and perceived lack of benefit to the county from its membership.

“To allow two municipalities to put us into the RDA is taxation without representation,” Porter County Commissioner Bob Harper said Wednesday. “You shouldn’t have that decision put on you by officials you don’t vote for.”

Harper said he was sure courts would overturn the decision.

However, State Rep. Ed Soliday (R-Valparaiso) believes that the provision will pass the courts, saying that lawyers in Indianapolis vetted the language with precisely such a challenge in mind.

Dewey Pearman, Executive Director of the Construction Advancement Foundation of Northwest Indiana, weighed in on the controversy in the most recent issue (.pdf) of Building Indiana. He noted that Porter County has gotten more back in RDA-funded projects than it has paid in annual dues, and that those projects fuel the job creation that politicians always claim is a top priority.

It’s not enough for public officials to simply proclaim their support for job creation. They must take action. Economic development cannot happen in a community without the support and action of local government. Government actions create the public policy environment in which development efforts flourish or flounder. Porter County has decided to let development flounder in its communities.

Read the entire article on page 28 of the May/June issue.

In other Porter County news, the Porter County United Way has received $50,061 from FEMA to help area nonprofits expand food and shelter programs for the poor and homeless.

Following the death of pop star Michael Jackson last week, Gary residents are mourning another one-time resident who went on to stardom, actor Karl Malden. Malden passed away yesterday at the age of 97.

The St. Joseph County Council and the South Bend Common Council are mulling an income tax hike to address projected city and county budget shortfalls. South Bend says it will need to cut police, fire and parks services in the face of a $20 million gap. The county claims it will come up $6 million to $10 million short, and the city of Mishawaka says it needs to find about $1.5 million. The proposed increases, which would be effective October 1, include:

- Increase the current county economic development income tax from its current 0.2 percent to 0.4 percent.

- Impose a public safety local option income tax of 0.25 percent.

- Impose a property tax relief local option income tax, reducing the county property tax rate by 0.5 percent.