“Makers” Making Hay

Remember Mitt Romney’s division of Americans into the “Makers” and the “Takers”? That division reflected the GOP’s longstanding policy of privileging the privileged.

Americans argue a lot about the meaning of “privilege,” but there is plenty of research confirming that–whatever other attributes may confer social or fiscal privilege–there’s hardly anything better than being rich.

I’ve posted before about the research confirming that education vouchers are disproportionately used by families whose children are already in private schools–most of whom can well afford to pay the tuition. Our tax dollars are relieving them of that obligation. How very nice of us!

And of course, it isn’t exactly a secret that the richest Americans make out like bandits when it comes to federal taxes. As the Center for American Progress has reported, low-income Americans pay higher payroll tax rates than rich Americans, the state and local tax (SALT) deduction is extremely regressive, and mortgage interest deductions are skewed toward the rich. Meanwhile, long-term capital gains and qualified dividends—both of which are forms of capital income that are taxed at lower, preferential rates—”overwhelmingly accrue to the rich.” And Republicans have pretty much eliminated estate taxes on the basis that they are not fair to the “Makers” who want to enrich their children and grandchildren.

There has been less attention focused on state-level tax rates, but a recent report from The Hill confirms a widespread suspicion that state-level taxes are similarly skewed. It turns out–surprise!!– the rich don’t pay anything remotely close to their fair share of state tax burdens. And it isn’t only their ability to pay clever accountants that largely exempts the rich from those pesky tax bills.

The wealthiest families in most states are paying lower tax rates than everyone else, a new analysis found.

The new study conducted by the Institute on Taxation and Economic Policy analyzed the tax systems across all 50 states and Washington, D.C., by looking into how each of seven different income groups pays state and local tax rates.

The study ultimately found that the lower someone’s income is, the higher their overall effective state and local tax rate is.

“On average, the lowest-income 20 percent of taxpayers face a state and local tax rate nearly 60 percent higher than the top 1 percent of households,” the analysis states.

In 41 states, the top 1 percent of families have a lower tax rate than everyone else, according to the analysis. In 42 states, the top 1 percent of earners pay less than the bottom 20 percent, and in 46 states the top 1 percent are taxed at a lower rate than the middle 60 percent, the study found.

The study found that only six states, plus Washington, D.C., tax the bottom 20 percent of income brackets at the lowest rate: New Mexico, New Jersey, New York, Vermont, Minnesota and Maine. Indiana is among the thirty-four states that tax low-income families at higher rates than everyone else.

So if you are a struggling “Taker” in the Hoosier state, or in another one of those thirty-four states, you get punished for being poor. I found this absolutely gob-smacking.

There are all kinds of arguments (good, bad and indifferent) against raising tax rates for the rich–including what level of taxation can be considered punitive, where the lines should be drawn between brackets, and the level of taxation of businesses that might have a negative effect on productivity. But I am unaware of any rational argument for saying, in effect, “let’s hit these folks while they’re down.” Or, “let’s get the money we need to operate state government from poor folks so we don’t have to annoy our rich citizens.”

I’m sure the fact that political donations come predominantly from the upper bracket of earners has absolutely nothing to do with it. (And I have a bridge in Florida to sell you…)

Given the amount of attention our state legislators focus on taxes, and their constant public  hand-wringing and crocodile tears about the need to protect citizens from the burden of taxation, I find it very interesting–and very disheartening– that so little attention has been paid to the over-taxing of those least able to pay and the unconscionable under-taxing of those with ample resources.

Assuming We the People emerge more or less intact from the existential threats we face– to democracy, civility and the planet– we really need to have a data-based discussion of tax policy.

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Now They’re After The Libraries

The Indiana General Assembly is back in session. This time, mercifully, it’s a short session, but that hasn’t stopped the supermajority from continuing its efforts to turn Indiana into Mississippi.

A commentary by my friend Michael Leppert recently began by poking fun at bills filed by lawmakers who were apparently unable to employ legislative language that would actually accomplish what seemed to be their goals. He  then moved on to bills introduced so far during this legislative session that “aren’t humorous, or merely humorless. They are hateful.” 

One of those hateful bills is House Bill 1291, filed by Rep. Chris Judy, R-Fort Wayne. That bill

attempts to erase the word “gender” from the Indiana Code and replace it with “biological sex.” He wants to legally cancel all transgender people in Indiana. If his bill were to pass, as filed, transgender people would no longer exist in the state. The bill creates definitions for other things too. Words like “woman,” “man,” “girl,” and “boy,” would now all mean what the legislature says they mean. 

Leppert is entirely correct that the cited bill is hateful, and its effects would be assisted and strengthened by a seemingly unrelated effort to destroy–or at least severely hobble–the state’s public libraries.

As WFYI reports

Indiana Republican lawmakers introduced a bill that would drastically change the way public libraries are funded and limit the types of events and activities they can host. The legislation could also potentially result in decreased funding for library services.

Senate Bill 32, authored by Sens. Jim Tomes (R-Wadesville) and Gary Byrne (R-Byrneville), would eliminate the ability for public libraries to impose property taxes. Instead, libraries would need to submit their budgets for approval to their local city or county government, in the same way that other municipal departments do. 

The proposal comes months after legislation that makes it easier for community members to request removals of books from schools was signed into law. And libraries across the country have come under fire in recent years for hosting events like drag queen story hours, or for including books in their young adult collections that some people find objectionable.

Byrne, you will recall, was the lawmaker trying to stop a nonprofit program giving voters  free rides to the polls (although Leppert points out that the language in his bill was so imprecise it would prevent transit companies from giving any person a free or reduced fare for any reason on election days.)

Senate Bill 32 would have a massively negative impact on libraries and their patrons. For one thing, it would allow counties to choose not to fund a public library at all. But the bill would do more than “merely” strike at library funding; it would prevent libraries from engaging in a wide variety of activities that currently benefit their communities.

The proposed legislation would also restrict libraries to a set of “core functions,” that are limited to public access to library materials, quiet areas for study, technical assistance, and acquisition of services for members of the public.

But public libraries typically offer a much wider array of services, including early literacy programs, science, technology, education and math programs, as well as dedicated makerspace labs, community programming like author talks, music performances and art exhibits.

Increasingly, libraries have also begun to offer social work services to help patrons gain access to government assistance, housing and mental health services.

In a statement, the Indiana Library Federation said the bill doesn’t take into account the ways modern public libraries operate as community hubs. As the Library Federation points out, “Not providing library patrons with these services would directly affect public libraries from meeting Indiana State Library compliance standards.”

The Federation also listed the numerous ways that public libraries are fiscally accountable. They are governed by boards whose members are appointed by local elected officials.

Library boards approve annual budgets, and they host public meetings and hearings on those budgets. Library budgets are publicly available, and they’re also submitted to the state’s Department of Local Government Finance and the State Board of Accounts for review. Rogers said libraries are also routinely audited by the state.

If passed, the bill would result in an increased administrator workload for municipal and county governments — which would have to take on the duties of budget oversight and approval for libraries, according to the nonpartisan Legislative Services Agency.

But if libraries are free to enlighten (or–horror of horrors–to host Drag Queen story hours) some citizens might realize–among other things– that trans people exist!

Your Indiana Republican legislators: working around the clock to defund and neuter any part of government that might educate Hoosier citizens. 

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Listen To My Friend Morton…

As regular readers of this blog know, Morton Marcus (who comments here from time to time) is a longtime friend with whom I co-authored a recent book on women’s rights, “From Property to Partner.”

Morton also writes a statewide newspaper column, primarily focused on data about Indiana, and occasionally comparing the actual activities of our dreadful legislature with his opinions about what that body ought to be doing. A recent column was so on target, I decided to share those recommendations. (Not that our supermajority Republican legislative overlords will pay the slightest bit of attention–they’re too busy micromanaging local government, destroying public education, pandering to the gun lobby, and imposing “Christian” behavioral restrictions on Hoosiers.)

The day before yesterday, you got Gulley, today you get Marcus.

The first of Morton’s recommendations was focused on legislative operations, which is sort of “inside baseball,” but important. He advocates releasing legislators to “act without the discipline of the Caucus. Let’s make the bold assumption that our 150 elected legislators are grownups. They can make their own decisions without the dictates of a repressive party leadership fully inebriated on the power of a super-majority of automatons.”

That will happen when pigs fly–or when we elect actual grownups.

Morton’s second recommendation–passage of independent redistricting– hits at the very center of Indiana’s continuing dysfunctions. Getting rid of gerrymandering would allow voters to choose their representatives; now, as sentient Hoosiers know, those representatives choose their voters. Gerrymandering is an absolutely wonderful mechanism for vote suppression–if your vote isn’t going to count, why cast it?

Morton also points out that an independent redistricting process would “likely rationalize districts such that two adjacent House districts would constitute one Senate district. No House districts would be divided.” As he notes, “Currently the Senate and the House district maps are independent of each other. It affords chaos and cover for the ambitions of individuals who seek lifetime membership in the General Assembly.”

His third recommendation hits on something else I’ve long advocated (there’s a reason we’ve been friends so long; we have similar, albeit not always congruent, views on the issues). He advocates adoption of the Maine Electoral College allocation rules.

Now the winner of the popular vote in Indiana gets all of the electoral votes in a presidential election. Under the system used in Maine, a notoriously left-wing coastal state, the winner of the statewide popular vote gets two electoral votes. The winner of each congressional district gets the one electoral vote of that district. No Constitutional amendment is needed for this move toward a more equitable system.

In 2020, instead of all 11 Indiana electoral votes going to the Repulsive candidate, that person would have received nine electoral votes and two such votes would have gone to the party that is Bidin’ its time.

(My apologies to those unfamiliar with the Gershwin songbook and who know only Taylor Swift lyrics.)

Morton also wants legislative study committees that would consider legislation reducing the number of townships in each county, and the number of counties in the states. (There are 92 counties in Indiana, in case you are wondering; California–somewhat larger– has 58).

 Why should Warren, Fountain, Parke and Vermillion not be joined into one or two counties? Perhaps Jasper and Newton counties should be returned to their former singularity. Let’s not neglect Blackford with Jay, Ohio with Dearborn or Switzerland.

I would miss the detailed data on each separate area, but my fetish is not the concern of the state. Likewise, cost cutting should not be the dominant objective, but rather improving service to citizens in line with the structure of society in the 21st century rather than the 19th century.

This last recommendation recalls that of the bipartisan Kernan-Shepard Commission, convened by then-Governor Mitch Daniels, that examined the operations of Indiana government and recommended merging or otherwise eliminating a number of the 1008 townships that each pay township boards and trustees and the expenses of trustee offices–artifacts of a time when reaching the county seat via horseback took half a day. As I wrote back in 2011, the Commission had the temerity to suggest that–in the age of the internet and the absence of virtually all of the other tasks with which those townships had originally been tasked– we should rethink them…

As members of that Commission discovered–and as Morton, a longtime Hoosier, clearly knows–Indiana legislators don’t “re-think.” Most of the time, they don’t really think in the first place.

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Our Legislative Overlords Strike Again

As I have repeatedly pointed out, Indiana has nothing remotely approaching home rule. Our legislative overlords consider themselves to be arbiters of both state and local decisions, entitling them to impose their personal prejudices and “unique” viewpoints on municipal governments.

The fact that local legislators–chosen by the residents of those municipalities–may have different priorities is irrelevant. (Remember when Bloomington wanted to forbid the use of plastic grocery bags? The legislature said no can do.)

It was bad enough when Indianapolis had to go to the Statehouse for three sessions to get permission to hold a referendum to determine whether we could tax ourselves for mass transit. And even then, the legislative pooh-bas took light rail off the table–no, we couldn’t ask Indianapolis citizens if they wanted that particular method of transit. And ever since the city voted–overwhelmingly–for the transit we were allowed to consider, Aaron Freeman, a member of the legislature (not the City County Council) has been trying to stop construction.

Because his lordship disagrees with the results of the democratic process. Other members of Indiana’s legislative self-appointed aristocracy want to reverse the City’s decision to limit right turns on red. It evidently hasn’t occurred to these autocrats that if Indianapolis citizens disagree with these decisions, we can vote for different municipal legislators. We have the veto; the legislature does not. At least, it should not.

As aggravating as these examples are, however, they don’t hold a candle to what was reported yesterday.

Indianapolis residents would lose access to free bus rides on Election Day under new legislation filed by a state senator from southern Indiana.

IndyGo buses were free to ride during the 2022 and 2023 general elections because of a sponsorship from AARP Indiana, a nonprofit organization that advocates on behalf of older residents.

The AARP sponsored similar efforts in Fort Wayne, Gary and Evansville, and is currently considering another sponsorship in Indianapolis for the 2024 general election — which will contain the high-profile elections of attorney general, governor, U.S. senator and president.

But those rides would be stopped under Senate Bill 187, which contains a single sentence: “A public transportation agency shall not implement free or reduced fares on a general, primary or municipal election day.”

Sen. Gary Byrne, R-Georgetown, said his legislation is about ensuring all voters have the same access to the polls.

“It’s a fairness thing for me on voting,” Byrne told Mirror Indy on Thursday. “The area that I live in, there’s no public transportation, and to say one part of the state gets a free ride to go vote sort of discriminates against other people in the state who don’t have that opportunity.”

Fairness my patootie! The real motive here is suppression of the urban vote. Byrne is Republican. In Indiana–and elsewhere–Republicans depend upon the votes of rural White folks to retain office. Anything that facilitates turnout in urban parts of the state–especially turnout by “those people”–minority citizens and poor folks–must be stopped. Why…it’s “woke.”

The transparency of motive, however, is beside the point. The point is, this none of the legislature’s business. Tax dollars are not being spent. Government bodies are not the sponsors. A private non-profit organization is sponsoring this effort to ameliorate some of the burdens experienced by municipal citizens.

The next time you hear a Republican talk about “freedom” or “keeping government from interfering with private business decisions” you should understand that what the members of that cult really mean is: “we are only in favor of interfering with decisions that we disagree with, or decisions that might make it more difficult for us to win elections. So long as you use your uterus and your nonprofit dollars in ways we approve, we won’t interfere.”

If Byrne really cared about “fairness,” he”d sponsor a bill to help his poorer rural constituents get to the polls–he wouldn’t be trying to suppress the votes of people who live in the urban areas of the state.

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Feeling The Heat, Todd?

Can you stand one more post about Indiana’s infantile Attorney General? (I wouldn’t keep commenting if he didn’t keep pooping in his mess-kit…)

A lawyer friend sent me a copy of Rokita’s latest filing in the ongoing soap-opera tracing responses to his ethical lapses and his fury about those responses. After reading that pleading with some amazement, I have to agree with the Indianapolis Business Journal’s characterization of it as “bombastic.” (And then some…)

According to the IBJ:

Indiana Attorney General Todd Rokita submitted a new and bombastic filing on Wednesday accusing the Indiana Supreme Court Disciplinary Commission of caving to outside pressure in a “political melee,” saying it could no longer give him fair treatment.

“The Commission needs to be disentangled from ongoing politics driven by political commentators. If the Commission is not cordoned-off from the political stage, then its meetings need to be made fully public…” the filing read.

As my lawyer friend noted, the pleading was Trump-like, with Rokita lashing out at those he clearly perceives as his enemies : an amorphous “Left” and liberals in general, of course,  but also “the establishment,” a nefarious Disciplinary Commission and its staff, a former Dean of IU’s Maurer School of Law, a reporter for the Indiana Lawyer, and others who have ever dared to suggest that he was in the wrong.

Clearly, they’re all out to get him, and it isn’t fair!

Many of the filings and decisions of the commission are private, unless the Indiana Supreme Court decides it would be in the public interest to publicize them — which the commission petitioned for in his disciplinary case. Rokita said he doesn’t oppose a motion to unseal the conditional agreement, so long as all of the deliberations and meetings related to him fall under the same “extraordinary circumstances.”

In his conclusion, Rokita said that his “style and content” were not grounds for the Commission to discipline him as a lawyer.

An excellent example of that “style and content” followed. Here is Rokita’s concluding paragraph (in which he continued to refer to himself in third person).

Respondent is vocal, aggressive, and successful regarding policies important to Hoosiers. He speaks in a manner that the ‘Establishment’ abhors. The content of his conservative message offends the Left, if not Liberals,” the filing continued. “… His press release (in November) made clear those facts in his combative style, but nothing written rendered his Affidavit false or defied the Supreme Court.”

His “combative style” reminds me of a couple of my kids when they were three-year-olds…

For those who’ve (mercifully) missed the preceding tantrums, the IBJ offered a helpful backgrounder:

In a November split decision and public reprimand, the Indiana Supreme Court found he had violated two of the Rules of Professional Conduct for lawyers:

They said Rokita’s comments constituted an “extrajudicial statement” that he knew — or reasonably should’ve known — would be publicly disseminated and would prejudice related legal proceedings.

They also said his statements had “no substantial purpose” other than to embarrass or burden Dr. Caitlin Bernard. The misconduct stems from his televised comments about Bernard, an OB-GYN who performed an abortion on a 10-year-old rape victim from Ohio and was later disciplined before the Medical Licensing Board for discussing the procedure publicly.

In an interview with Fox News commentator Jesse Watters, Rokita called Bernard an “activist acting as a doctor” and said his office would be investigating her conduct.

However, both Chief Justice Loretta Rush and Justice Christopher Goff dissented in a 3-2 split ruling, saying Rokita’s punishment — which included $250 in court costs — was too lenient.

Following the reprimand, Rokita shared a lengthy and unrepentant statement defending his “true” remarks in which he attacked the news media, medical field and “cancel culture.”

Shortly after, the disciplinary commission filed to unseal Rokita’s conditional agreement, saying, “Respondent’s actions flouted the authority of the Court, called into question the sincerity of Respondent’s assertions to the Court in his Conditional Agreement and affidavit, and caused damage to the public’s perception of the integrity and justness of the attorney discipline system…”

In his response, Rokita actually accused the Disciplinary Commission of knuckling under to “political pressure.” After all, it couldn’t possibly be the case that Todd Rokita had stepped over a line.

There’s more, of course, all along the lines of “how dare the Indiana Supreme Court and  Disciplinary Commission respond publicly to my ethical lapses? How dare a commission set up for the sole purpose of sanctioning unethical lawyer behavior sanction me? Don’t they understand how important I am?”

I think the word is “self-important,” and I think our pompous and delusional Attorney General is beginning to feel the heat.

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