Kokomo — Gov. Mitch Daniels hopes state lawmakers will pass legislation that allows counties to develop plans locally to reform township government.

Daniels was in Kokomo Thursday to meet with the editorial board of the Kokomo Tribune, and he indicated he would like to see advances in local government reform in 2012.

“Try to find an answer to conflict of interest and to the nepotism problem,” he said. “Offer an option to move past township government. Look at an optional system in which counties can have a referendum. We’ll take what we can get. That would be a good year’s work if we can get that far.”

Daniels said the total elimination of township government won’t take place because there is still an alliance that supports township government.

However, the governor said there are a lot of lawmakers willing to give counties choices. He said there is a mix of inner-city lawmakers from Lake County that view township government as the last bastion of patronage jobs and are in an unusual alliance with Republicans representing rural areas.

Howard County’s trustees have proposed reducing township units of government in the county from 11 to five, using school districts as the boundaries.

“It’s an interesting idea,” Daniels said of the proposal. “Howard County pioneered it and it’s being talked about elsewhere.”

Daniels said he has no problem with a local approach to consolidating townships and using the school boundaries is an interesting concept.

“If Howard County took the lead, and it’s seen as a successful step forward, then would be imitated elsewhere,” he said.

All 50 states are trying to solve the same problems and Daniels’ administration is watching to see what approaches are being used in other states, he said.

“The same thing could happen in the counties in this state,” Daniels said. “If we can’t agree on a statewide approach, consider something that encourages more local innovation.”

Daniels did wonder if Howard County really needed five school districts.

“With a move as bold as converting townships into school districts, look at the number of school districts,” he said.

Jean Lushin, Center Township trustee, said the township consolidation study group will be making a recommendation on Wednesday.

“The recommendation will be the nine townships that make up the three school districts will consolidate,” Lushin said. “It is feasible and makes sense. There will be savings in the long run as a result of efficiencies.”

Under the proposal, Center and Taylor townships will remain as separate government entities. Howard, Ervin and Clay townships would consolidate using the Northwestern school boundary; Jackson, Liberty and Union townships would use the Eastern school boundaries; and Monroe, Honey Creek and Harrison would use the Western boundaries.

Honey Creek and Monroe townships have not been a part of the consolidation discussions.

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