By John Byrne, Post-Tribune staff writer
INDIANAPOLIS -- Despite criticism that Northern Indiana was getting preferential treatment, a bill to provide $35 million in federal stimulus money to South Shore rail projects passed the Indiana House of Representatives Wednesday.
House Bill 1660 would also provide new taxing options for local transportation districts to raise their own revenue to pay for projects like the South Shore extensions to Lowell and Valparaiso.
The bill passed 67-33, after several representatives asked why federal money was getting directed specifically to the Northern Indiana Commuter Transportation District.
Fifteen million dollars would go toward engineering and environmental work for the Hammond-to-Lowell South Shore extension, $15 million would help complete a rail spur in South Bend and $5 million would be earmarked for track improvements in Michigan City.
Another $18 million in federal transportation funds would go to central Indiana transit projects.
"I see $53 million to two areas," said Rep. Jeff Espich, R-Uniondale. "Where's the share for the rest of the state?"
The bill also allows county councils across the state to grant special taxing powers to regional transportation districts.
The districts could then raise two kinds of local income taxes, or establish tax-increment financing districts to use increases in property tax revenue to help pay for large-scale transit projects like the South Shore extension.
House Minority Leader Brian Bosma accused Rep. Chet Dobis, who was acting as speaker of the House at the time, of prematurely cutting off debate on the measure.
Dobis, D-Merrillville, insisted he had been fair in giving both sides adequate time to make their case.
Dobis' companion bill to extend the South Shore also made it through the House, though Rep. Vernon Smith of Gary said he was troubled the package does not include specific language to provide funding for continued bus service in Lake County.