Tax Ruling Could Doom Indianapolis
Expansion Plans
After the Indiana State Tax Board’s March 12 refusal to restore a $3.5-million property-tax increase, the Indianapolis-Marion County Public Library has delayed the construction of two new branches and the expansion of another.
The city-county council voted last year to cut the money from the library’s budget. The three-member Tax Board was asked to decide whether state law gives the council the authority to deny the increase or whether the library board has the power to set its budget and tax rate, the Indianapolis Star/News reported March 13.
“Some people on the council, I think, are using this as a campaign issue. And it will backfire on them,” predicted council member Gordon Gilmer, who opposed the cuts.
Library Board President Kerry Spradlin told the newspaper that the cut could doom the library’s $93.7-million expansion program. The board voted March 15 to establish a study group to seek alternative funding sources, and to continue its lawsuit in the State Tax Court challenging the budget cut.
Posted March 22, 1999.
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