Voters Reject Referendum in Porter,  St. Joseph Counties



On November 3rd, voters in St. Joseph and Porter Counties in Northwest Indiana will have the opportunity to vote on the creation of a Regional Transportation District (RTD) and an additional county income tax.  Lake and La Porte Counties will follow with the ballot question at the 2010 spring primary.

According to the proposed legislation, if two of the four counties vote "YES" to the ballot question, the northern Indiana regional transportation district with a rail service division and a bus service division is established.   While the counties that vote "NO" will not become immediate members, it is not unreasonable to see continuing pressures or legislative action taken that would bring these four counties together.

The question is:

"Shall there be created the northern Indiana regional transportation district under IC 8-24 to provide a regional rail system serving Lake, Porter, LaPorte, and St. Joseph counties and regional bus public transportation system serving Lake and Porter counties with (insert name of county) County becoming a member of the district?" 

If created, the district will be established to do the following:

         (1) Review the strategic plans of each service division and require modifications to the plans to the extent that the board determines necessary to eliminate duplication of services and to enhance the integration of public transportation throughout the district territory.
        (2) Allocate revenues collected under IC 8-24-17 between the service divisions.
        (3) Receive the reports from the service divisions determined by the board.
        (4) Assist in the resolution of disputes between the service divisions brought to the board by either service division.
        (5) Develop performance measures to evaluate and inform the public about the extent to which the provision of public transportation in the district territory meets the goals, objectives, and standards established by each service division. 

INCREASED INCOME TAXES WILL BE THE PRIMARY FUNDING SOURCE FOR THE DISTRICT.  IN LAKE AND PORTER COUNTIES, PROPERTY TAXES WILL BE RAISED TO PAY FOR AN EXPANDED BUS SERVICE.

The critical question:  Who benefits from this legislation?

The simple answer is the struggling Regional Development Authority (RDA), which is charged with building NW Indiana's infrastructure including expansion of the Gary Regional Airport, the South Shore Rail and intercounty bus service.  Currently, the RDA is limited with its funding.  The creation of the RTA provides the RDA that revenue source.  However, with the proposed 0.25% income tax attached to the RTA, the funding will still be short of the RDA's goals, opening the door for even greater tax increases.

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