Pulaski County Legislation May Lack State Support

Pulaski County Economic DevelopmentEfforts that could potentially benefit Pulaski County’s economic development may have a difficult time gaining support in Indianapolis.

Pulaski County Economic Development representatives say there is language in the Indiana Code restricting use of County Adjusted Gross Income Tax, or CAGIT funds. Those restrictions specify that monies generated through the tax are to be used only for the maintenance and operations of the Pulaski County Justice Center. Economic Development Director Nathan Origer says the jail’s lease payment is about 260-thousand dollars annually, the balance of which comes out of the County Economic Development Income Tax, or CEDIT fund. He would like to see a change in the law to allow that payment to be made from the CAGIT fund instead. Continue reading

Starke County Council Moves Money to Sheriff’s Pension Fund

David Pearman
David Pearman
The Starke County Sheriff’s Pension Fund is funded at a historically high level thanks to action earlier this week by the county council. Members voted unanimously to move $65,890.98 from the County Adjusted Gross Income Tax fund into the pension line item. Auditor Kay Chaffins explained that the state Department of Local Government Finance does not want the CAGIT money to go into the county general fund this year. Council President Dave Pearman says the transfer is consistent with the overall vision for the pension fund.

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Starke County Council Amends Payment for Jail Suit Legal Fees

  
 
Starke County officials have agreed to pay the fees stemming from the jail overcrowding lawsuit from a different fund than previously announced. Last month the council announced plans to pay the $90,000 from the County Adjusted Gross Income Tax, or CAGIT, fund. Instead the commissioners revisited their action and opted to use money in the CEDIT, or County Economic Development Income Tax, rainy day fund. Council President Dave Perman notes the money in the CEDIT fund was set aside for a purpose such as that, and using it will allow the CAGIT money to be used to cover other expenses in the county’s general fund.

The public will get a first look at plans for a new jail east of Knox on State Road 8 during the July 22 council and commissioners meeting. That presentation is scheduled to take place at 5:30 p.m. at the county annex building.

State Legislators May Override Pence’s Veto of CAGIT Bill

State Senator Ed Charbonneau
State Senator Ed Charbonneau

State Senator Ed Charbonneau visited Pulaski County this week to speak to the county commissioners and council during a joint session held Monday night regarding a revenue bill vetoed by Governor Mike Pence that could affect the county’s CAGIT moneys. State Representative Doug Gutwein previously explained to the boards that a clerical error at the state level could force the county to pay taxpayers back millions of dollars that had been collected by the County Adjusted Gross Income Tax – money that had originally been collected to cover the cost of the jail – because the state claims that the county overcharged its taxpayers. The county still owes roughly $5 million on the jail facility.

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State Rep. Gutwein Explains State CAGIT Concerns in Pulaski County

State Representative Douglas Gutwein explains the confusion regarding the CAGIT tax to the council and commissioners.
State Representative Douglas Gutwein explains the confusion regarding the CAGIT tax to the council and commissioners.

State Representative Douglas Gutwein visited Pulaski County this week to speak to the county commissioners and council during a joint session held Monday night regarding a revenue bill vetoed by Governor Mike Pence that could affect the county’s CAGIT moneys. Gutwein explained that a clerical error at the state level could force the county to pay taxpayers back millions of dollars that had been collected by the County Adjusted Gross Income Tax – money that had originally been collected to cover the cost of the jail – because the state claims that the county overcharged its taxpayers. The county still owes roughly $5 million on the jail facility.

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City of Knox to Receive Funds from State Accounting Error

A state error that was announced earlier in the month could provide funds coming back to the City of Knox. Clerk-Treasurer Jeff Houston said last week that a revelation in December found that the state didn’t account for some $320 million in corporate taxes. That triggered an internal audit that resulted in a discovery of a needed distribution to cities, towns and counties of $206 million.

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Counties to Receive Thousands, Millions from Found Money

The Department of Revenue Commissioner, John Eckart, has resigned after state officials found $205 million in local option income tax money owed to counties wasn’t distributed. State Budget Director, Adam Horst, blamed the problem on a programming error.

The problem with distribution of the local income tax money comes months after the state found $320 million in corporate taxes that were collected over four years but not transferred to the state’s general fund.

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