By Jane Huh, Post-Tribune staff writer
Not only does the Porter County Council's vote to have the county cancel its annual membership payment to the Northwest Indiana Regional Development Authority lack authority, it's illegal, say the county auditor and county treasurer.
Auditor Jim Kopp and Treasurer Jim Murphy have teamed up to reject the council's directive to withhold the county's $3.5 million portion to the RDA.
"It is our full intention to fulfill our nondiscretionary statutory obligation and proceed with payment of the Porter County contribution to the RDA," they said in a joint statement Friday. "... (the council) cannot and will not obligate us to violate the law."
Their statement comes after the council voted 4-3 at the April 8 meeting to leave the organization. The same majority instructed Kopp to suspend the RDA payment.
Kopp and Murphy said withholding the monies, collected through the 0.25 percent local option income tax, is "misdirected and illegal."
Kopp said he will cut a check of $875,000 -- the first quarterly payment -- for the RDA and have it mailed by the April 30 deadline.
Kopp's and Murphy's comments drew the ire of councilman Dan Whitten.
Whitten, Rita Stevenson, Laura Blaney and Sylvia Graham voted for the pullout. The council, however, did not take a vote on whether to repeal the tax.
"Neither one of these guys are lawyers," Whitten said. "These two run offices that clearly aren't running properly. They should spend less time giving legal opinions and more time figuring out why they can't get tax bills out to the taxpayers on time."
"We've done our homework," Kopp said. "I'm in an administrative capacity. I just enforce the rules."
The RDA was established in 2005 to support long-term regional transportation and economic development projects. Porter and Lake counties, along with East Chicago, Gary and Hammond, each invest $3.5 million annually.
The Porter County Council adopted the local option income tax to join the RDA. The 0.25 percent tax also goes toward property tax relief, $8.3 million for the local homestead credit.
Council members who voted for the withdrawal say the RDA hasn't delivered on its promises. Their vote was in reaction to a proposal to create a regional transportation district with taxing powers.
David Hollenbeck, legal counsel for the RDA, said state law would be required to allow for any membership shakeup.
The RDA is awaiting an opinion from the Indiana Attorney General's Office on the matter.