Governor candidate Chambers: State income tax still needed
Jan. 14—ANDERSON — Indiana's economy offers one of the country's most hospitable business environments in large part because of historically low tax rates, according to a Republican candidate for governor who made a campaign stop in Anderson over the weekend.
Brad Chambers, one of six candidates competing for the GOP nomination in the May primary election, said a proposal to eliminate the state's individual income tax has appeal. But, he added, it would remove billions of dollars in revenues and create challenges in funding for education, public safety and health care programs.
"I think our legislature has done a fantastic job over the years of making sure we're tax efficient," Chambers said during an appearance at T.M. Norton's Pub in Edgewood.
"To cut the income tax, to take away $12 billion of revenue from the state's budget when we have big problems in education, public safety, health care, mental health — to pull $12 billion out of our revenue side, when I don't hear taxes are a challenge from Hoosiers, from business owners — I think is not the right approach."
Chambers cited the Tax Foundation's annual Business Climate Index, where Indiana ranks ninth best in the country, as evidence that a significant overhaul of the state's tax structure is unnecessary. Continued growth of tax revenues, he said, would pave the way for progress on two significant issues.
"You can fix education — you have resources to fix things — and then you also have resources then to lower taxes over time," said Chambers, a former executive director of the Indiana Economic Development Corp.
"I do not think you can ax the tax. I think that would impair our ability to fix education, to support our cops, and to deal with mental health and health care issues."
Chambers spoke with Don Henderson, a former member of the Pendleton Town Council, and listened as Henderson raised questions about the state's approach to water management — both with the proposed LEAP Innovation District in Boone County and the proposed Mounds Lake reservoir project, which has been stalled for several years.
"It's a good opportunity to get a feel for his agenda," Henderson said.
Saturday's appearance marked Chambers' third stop in Anderson since September. He characterized his campaign activities in the early part of the year as "a listening tour," noting that Madison County is reflective of much of the rest of the state's population.
"This is real Indiana," he said. "When you're out talking to Hoosiers and you're listening, you're taking notes, it's ending up in our policy strategies. You cannot underestimate the importance of getting out to places like where we are today and talking to voters and listening."
Follow Andy Knight on Twitter @Andrew_J_Knight, or call 765-640-4809.
