Niezgodski Pushed Tax Hikes, Then Punts

Rep. David Niezgodski pushes tax hikes on employers in committee, but stalls vote on measure due to lack of GOP support.

Rep. David Niezgodski (D-South Bend) is pushing legislation in the House labor committee (which he chairs) which would raise takes on employers just as the economic downturn causes many Indiana businesses to fail or prompts massive layoffs.  The Fort Wayne Journal Gazzette explains the tax hike legislation and also reports on political difficulties the bill is experiencing.  Most Republicans on the committee refuse to support the tax hikes on employers, pointing out that the bill doesn't solve the unemployment insurance problem it claims to address.  Niezgoski doesn't need any Republican votes to pass the bill out of committee but apparently doesn't want the tax hikes to be blamed solely on Democrats.

WTHR News reports on the conflict between Niezgodski and his labor chair counterpart in the State Senate, Sen. David Long (R-Fort Wayne).  Long maintains that the Indiana constitution requires that financial bills emerge from the House, while Niezgodski has been quoted saying he wants to wait for the Senate to act.  Excerpts:

House Democrats offered a bill to raise taxes on employers to help balance the bankrupt unemployment insurance fund, but House Republicans would not sign on.

"The majority is not willing to go through with their proposed tax increase. We proposed to adjust benefits, we proposed to look at the entire system. All they wanted to do was increase taxes," said Rep. Brian Bosma (R-Indianapolis).

"We're not ducking and running. We were fully prepared for that vote. It needed to have some of that Republican support. I look forward to seeing what the Senate may bring us," said Rep. David Niezgodski (D-South Bend).

...

"To not send us a bill is one of the most disappointing things I have seen in my tenure here at the legislature," said Sen. Long.