By John Byrne, Post-Tribune staff writer
INDIANAPOLIS -- Northwest Indiana's big industries will retain their special property tax benefits after a legislative committee failed to act on a proposal to tie the breaks to the companies' profits.
The House Ways and Means Committee did not vote Thursday on Rep. Charlie Brown's proposal to amend House Bill 1858, a law passed in 2003 which allowed the steel mills and BP special tax status.
Brown, D-Gary, said the bill is dead.
But he insisted he is happy simply to have opened a dialogue about the responsibility ArcelorMittal, U.S. Steel Corp. and BP have to the communities in which they operate. "There is a minimum sensitivity by these companies toward the northern end of Lake County," Brown said. "By bringing this forward, I believe I have brought to their attention that they need to give back."
The representative said he plans to follow up with letters to company officials inviting them to meet and discuss how they can do more to improve the lives of the people who live near their facilities.
"In Pittsburgh, you see multiple buildings and parks with the name 'U.S. Steel' attached to them," Brown said. "That's not the case in Northwest Indiana."
During testimony about his proposal, Brown acknowledged much of the ire directed toward the bill was due to timing and perception.
"1858 isn't the culprit my constituents believe it is," Brown said. "They have demonized it, so I felt I should bring the situation forward."
The bill allows the industries to claim lower personal property assessments for their equipment and facilities than they would be able to otherwise.
Brown's bill would have adjusted the companies' personal property payments based on their annual profits.
Company executives insist 1858 has been a revenue boon to Northwest Indiana, because the industries set aside costly protracted property tax appeals and agreed to pay more than they would have.