I-CAN Legislative Wrap Up
Friday,May, 11 ,2007
The budget session is always intense and often goes to the wire; 2007 General Assembly lived up to the tradition. In addition to the budget, The General Assembly addressed several significant public policy issues. Positive incremental changes in some social programs were approved but there were disappointments in several areas also. Each session provides a mixed result from the Conference’s perspective. ICC is grateful for the involvement and support of the I-CAN network. The Conference can bring the message but it is the echo of the network that makes the difference. Thanks for taking part in this complex and lengthy process. What follows is a review of the major issues that ICC covered.
Human dignity and family
The General Assembly passed several bills that will help low income families. First, it extended the sales tax exemption on heating assistance. Thus, all Federal money allocated for this program will be used for that purpose. It also increased the number of accounts and amount of the state match in the Individual Development Account program. This program helps poor families who save money to buy a home, to pay for education and training or to start a business.
An important development this session was the establishment of ongoing revenue for state and local housing and community development trust funds. Although trust funds were created to provide affordable housing and emergency housing, they were not always funded. The new law provides a source of revenue on a regular basis.
Many low income workers were also helped by making Indiana’s minimum wage coincide with Federal law. This will allow for automatic changes in minimum wage as Federal level is adjusted.
Two issues supported by ICC did not make it through the process however. The House passed an increase in the state earned income tax credit. This credit would apply only to low income families, and parallels the Federal program. Also a child and dependent care tax credit for these same families passed the House. Both failed to get hearing in the Senate and neither could be resurrected in budget negotiations.
The legislators did address the growing problem of access to health care. A cigarette tax increase will provide many benefits for uninsured children and families. The tax money will be used to provide child immunizations, a wellness program and insurance for over 130,000 Hoosiers, incentives for small business to provide insurance for workers and increased Medicaid reimbursement for doctors treating patients. It also provides coverage for care during pregnancy. While the tax and accompanying Healthy Hoosier Plan will not solve all problems, it does address critical concerns for those most in need. ICC supported the program and the tax increase necessary to provide for it.
Indiana joined other states in taking a stand against genocide in the Darfur region in Sudan, Africa. The law will require the state’s pension funds to seek divestment from companies doing business with the Sudanese government, unless the government stops its genocidal policies, or if not, the company ceases ties with the government. The law was crafted to protect the pension assets and yet to effect a change in behavior of the Sudanese government. The object is to end the killing and displacement of the people in Darfur.
Parental choice in education
ICC and others were instrumental in getting a scholarship tax credit program into the budget negotiations. The proposal would have provided a 35% tax credit on gifts to organizations that provide scholarships for families whose children are eligible for free and reduced lunch program. It would have provided help for thousands of children because the $5 million tax credit program would have generated over $14 million scholarship support. It passed the Senate but final discussions with the House resulted in the program being eliminated. It is disappointing that the teachers’ union and the House leadership saw this as a problem rather than a modest way of helping children and enabling parents to have a choice.
Life issues
The session produced little in regard to restricting abortion; only three bills were given a hearing in the Senate. Two bills were compromised in their language and hence died on the floor. The only bill to pass the Senate did not receive a hearing in the House.
Yet a pro-life bill passed. The state will seek a Medicaid waiver to provide for the collection and storage of umbilical cord blood. The new law has the potential of supporting ethical stem cell research as well as providing a resource for therapy and life giving opportunities for many. The beginning is modest but the potential is large.
The session began with little hope of addressing the death penalty. However, the Senate did provide a hearing on the issue as it affects the mentally ill. Although no vote was taken, the hearing and the illness and subsequent death of Senator Bowser, who has championed this cause, prompted the Senate and House to pass a resolution to establish a study committee specifically addressing the mental illness and the death penalty. ICC is hopeful this will lead to a bill next session.
Definition of Marriage Amendment
SJR 7, amending the Indiana Constitution to include a definition of marriage and restricting courts from applying marriage to other couples or groups, died in the House Rules committee on a tie vote. The stumbling block was the second part of the amendment that was included to limit judges’ interpretation of the constitution and laws. Opponents were able to create enough doubt or confusion regarding the wording and possible impact. Because current state law has been upheld at the Appeals level and there was no immediate threat of being overturned, some committee members determined that it was better to not change until there was clarity. It was disappointing that this could not be resolved; it will return next session.
Organizational concerns
The rules governing food preparation at restaurants and commercial operations no longer apply to most parish and school functions. Several years ago the law changed and unintentionally applied to exempt organizations. However, it took a couple of years to get it corrected. Last year the law was suspended for one year. This session the law was able to be clarified to exempt churches and schools and some not-for-profit organizations under limited conditions and at the same time protect public health.
Also the laws and rules applying to charity gaming organizations were clarified. The change in jurisdiction from the Department of Revenue to the Gaming Commission has taken a couple of years to get straight also. The transition was made last session; this session some unintended consequences were corrected. The language was supported by all the not-for-profit groups, including Catholic institutions.
The General Assembly passed several bills that will help low income families. First, it extended the sales tax exemption on heating assistance. Thus, all Federal money allocated for this program will be used for that purpose. It also increased the number of accounts and amount of the state match in the Individual Development Account program. This program helps poor families who save money to buy a home, to pay for education and training or to start a business.
An important development this session was the establishment of ongoing revenue for state and local housing and community development trust funds. Although trust funds were created to provide affordable housing and emergency housing, they were not always funded. The new law provides a source of revenue on a regular basis.
Many low income workers were also helped by making Indiana’s minimum wage coincide with Federal law. This will allow for automatic changes in minimum wage as Federal level is adjusted.
Two issues supported by ICC did not make it through the process however. The House passed an increase in the state earned income tax credit. This credit would apply only to low income families, and parallels the Federal program. Also a child and dependent care tax credit for these same families passed the House. Both failed to get hearing in the Senate and neither could be resurrected in budget negotiations.
The legislators did address the growing problem of access to health care. A cigarette tax increase will provide many benefits for uninsured children and families. The tax money will be used to provide child immunizations, a wellness program and insurance for over 130,000 Hoosiers, incentives for small business to provide insurance for workers and increased Medicaid reimbursement for doctors treating patients. It also provides coverage for care during pregnancy. While the tax and accompanying Healthy Hoosier Plan will not solve all problems, it does address critical concerns for those most in need. ICC supported the program and the tax increase necessary to provide for it.
Indiana joined other states in taking a stand against genocide in the Darfur region in Sudan, Africa. The law will require the state’s pension funds to seek divestment from companies doing business with the Sudanese government, unless the government stops its genocidal policies, or if not, the company ceases ties with the government. The law was crafted to protect the pension assets and yet to effect a change in behavior of the Sudanese government. The object is to end the killing and displacement of the people in Darfur.
Parental choice in education
ICC and others were instrumental in getting a scholarship tax credit program into the budget negotiations. The proposal would have provided a 35% tax credit on gifts to organizations that provide scholarships for families whose children are eligible for free and reduced lunch program. It would have provided help for thousands of children because the $5 million tax credit program would have generated over $14 million scholarship support. It passed the Senate but final discussions with the House resulted in the program being eliminated. It is disappointing that the teachers’ union and the House leadership saw this as a problem rather than a modest way of helping children and enabling parents to have a choice.
Life issues
The session produced little in regard to restricting abortion; only three bills were given a hearing in the Senate. Two bills were compromised in their language and hence died on the floor. The only bill to pass the Senate did not receive a hearing in the House.
Yet a pro-life bill passed. The state will seek a Medicaid waiver to provide for the collection and storage of umbilical cord blood. The new law has the potential of supporting ethical stem cell research as well as providing a resource for therapy and life giving opportunities for many. The beginning is modest but the potential is large.
The session began with little hope of addressing the death penalty. However, the Senate did provide a hearing on the issue as it affects the mentally ill. Although no vote was taken, the hearing and the illness and subsequent death of Senator Bowser, who has championed this cause, prompted the Senate and House to pass a resolution to establish a study committee specifically addressing the mental illness and the death penalty. ICC is hopeful this will lead to a bill next session.
Definition of Marriage Amendment
SJR 7, amending the Indiana Constitution to include a definition of marriage and restricting courts from applying marriage to other couples or groups, died in the House Rules committee on a tie vote. The stumbling block was the second part of the amendment that was included to limit judges’ interpretation of the constitution and laws. Opponents were able to create enough doubt or confusion regarding the wording and possible impact. Because current state law has been upheld at the Appeals level and there was no immediate threat of being overturned, some committee members determined that it was better to not change until there was clarity. It was disappointing that this could not be resolved; it will return next session.
Organizational concerns
The rules governing food preparation at restaurants and commercial operations no longer apply to most parish and school functions. Several years ago the law changed and unintentionally applied to exempt organizations. However, it took a couple of years to get it corrected. Last year the law was suspended for one year. This session the law was able to be clarified to exempt churches and schools and some not-for-profit organizations under limited conditions and at the same time protect public health.
Also the laws and rules applying to charity gaming organizations were clarified. The change in jurisdiction from the Department of Revenue to the Gaming Commission has taken a couple of years to get straight also. The transition was made last session; this session some unintended consequences were corrected. The language was supported by all the not-for-profit groups, including Catholic institutions.