Ind. House approves property tax caps

INDIANAPOLIS (WISH) - Late Monday afternoon the Indiana House of Representatives cast a crucial vote in favor of permanent property tax caps.

It's a vote that prompted campaign press releases to be issued within minutes of the vote.

The final drama surrounding the property tax cap proposal in the Indiana House came when its sponsor, Representative Bill Crawford (D-Indianapolis), failed to make a sales pitch for it.

"And I think the right thing for me to do is say vote your conscience," Crawford told the House.

In fact, Crawford voted no as Republicans and Democrats joined together in a 75-to-23 tally in favor of the tax caps.

It was Republicans who pushed hardest for the change in the state constitution.

In a floor speech Minority Leader Brian Bosma said, "I want Hoosiers to have the opportunity to vote to cap their own property taxes."

The proposal to limit property taxes to 1% of a home's value, 2% of a farm, and 3% of a business also found opposition from both parties.

Rep. Win Moses (D-Fort Wayne) said it won't help people in his district, "Right now it appears to be absolutely zero, not a single one will have their taxes cut because of that."

Rep. Tom Saunders (R-Lewisville) worried that it will lead reduced services from local governments.

"I think we're making a terrible mistake," he said. "I think we're tying the hands of future legislative bodies to react to emergencies that come up in the future."

The measure now goes to the Indiana Senate for the final approval required to place it in a November referendum. The Indiana Senate takes up the matter Tuesday morning.

Meanwhile, Governor Mitch Daniels issued a statement late Monday afternoon. In it, Daniels said simply "Our lower property taxes are closer to being permanent."