Tag Archives: Indiana General Assembly

Well, Look Who’s Calling Out Crony Capitalism!

Four friends have now sent me a link to this column from the Indiana Policy Review, penned (okay, typed) by Tom Charles Huston. It was surprising for a number of reasons.

For those who don’t remember, Huston was the national head of Young Americans for Freedom, back in the 60s when that college organization was considered radically conservative, and later–and more ominously–was the “mastermind” behind the Huston Plan to expand Nixon administration spying on the anti-Viet Nam war movement. After his stint in the Nixon White House, Huston returned to Indianapolis and practiced law at Barnes & Thornburg; he has been retired for several years now, and if he has participated in local policy debates these past few years, I’ve missed it.

That makes his column all the more interesting; it’s a slashing–and very effective–attack on the bill to provide a financing mechanism for the Indy Eleven soccer stadium. A bill sponsored by Huston’s nephew. A bill ardently desired by Ersal Ozdemir (who is described by Huston as “rapacious.”)

The assurance by the bill’s sponsor of transparency in financing the proposed soccer stadium rings hollow to anyone who hasn’t been asleep or on the take for the past seven years. Mayor Greg Ballard has refused to turn over documentation relating to either the special operations center lease or the financing structure for the proposed criminal justice center (both multi-million dollar deals) and has conducted as much of the public business in secret as his handlers thought he could get away with.

I gather from the Indianapolis Star report that taxpayers are expected to sleep better knowing that the legislators orchestrating this hand-out to special interests are committed to “making sure state taxpayers are at mitigated risk.” This is typical no-doze for idiots, but why taxpayers should be at any risk or who profits from this assumption of risk are not questions that interest a Star reporter.

I am undecided whether those pushing this scheme are in on the action or are simply reading from a script prepared by the lobbyists (which, incidentally, include every major lobbying outfit in Indianapolis).

Huston doesn’t mention it, but Ozdemir’s company, Keystone Development, employs Ballard’s former chief of staff. Lots of eyebrows were raised–and criticisms leveled–when Keystone got a sweetheart deal to build a parking garage (still underused) on a floodplain in Broad Ripple. Critics  pointed out that the city (over)paid to build the garage and also assumed the project’s risk, while the profits went to Ozdemir. (Crony capitalism at its finest: socialize the risk, privatize the profits….)

Others have noted that he walked away mid-construction from two libraries he’d contracted to build, forfeiting the bonds he’d posted on those projects. (Usually, if a contractor or developer forfeits even one bond, he’s toast–he can’t get another. Construction industry insiders don’t understand how Ozdemir has managed to keep operating after those defaults.)

Now the World’s Worst Legislature is in the process of enriching Mr. Ozdemir further, thanks largely to the fact that–as Huston points out–he’s hired lobbyists from every major firm in town. 

I may not have agreed with his politics, but when Tom Charles Huston is right, he’s right. And in his screed in Indiana Policy Review, he’s right.

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If You Know What You’re Talking About–You’re Out of Order

When does the General Assembly go home? It can’t be soon enough.

Not content with ethical lapses, efforts to control women’s bodies and protect homophobia   (aka “religious liberty”) and bring public education to its knees, the eager beavers at the Statehouse have filed three (count them–three!) bills intended to disable any efforts to protect Hoosier air and water, and to keep those smarty-pants scientific “experts” from making environmental rules.

SJR 12 would amend the Indiana Constitution (these guys just love to screw around with the Constitution) to add a guaranteed right to “employ effective agricultural technology and livestock production and ranching practices.” I’m sure you are as touched as I am by this proposal to give the same sacred protection to livestock production practices as we human animals have with our right to vote and freedoms of speech and religion, and I’m also sure it’s just coincidental that passage of this nonsense will make it very hard for state regulators to protect Hoosiers from factory farm pollution.

Then there’s SB 249. That little gem would prohibit local government from passing ordinances that would control or stop new construction or expansion of livestock operations, factory farms and their accompanying hazards and irritations. The bill is a handy reminder that in Indiana, the General Assembly gets to make the rules for cities and counties. We sure don’t have home rule or anything remotely like it.

Those two bills are bad enough, but the real OMG measure is HB 1351, which will be heard on Tuesday, February 3rd.  The Hoosier Environmental Council calls HB 1351 “arguably the most sweeping effort ever to weaken Indiana’s ability to act in protecting our environment.”

It would void any existing state regulations — whether environmental-related or not — that are not considered to be explicitly authorized by federal or state law. It would make it illegal for regulators (whether environmental regulators or not) from enacting any new regulation unless explicitly authorized by federal or state law. This eliminates the multi-decade discretionary authority that executive agencies have long had….

Stripping away the ability of Indiana’s environmental agency (IDEM) to deal with serious issues is irresponsible and leaves Indiana vulnerable to not being able to timely act to protect its citizens when the legislature is not in session. HB 1351 could have the added effect of paralyzing IDEM in carrying out its existing responsibilities under certain EPA programs out of fear of being sued for going beyond what those federal programs require.

The idea that adopting new environmental safeguards, through respected, technically trained regulatory boards, could hurt Indiana’s economy is also misplaced because there are existing laws that already prevent state agencies, including IDEM, from acting irresponsibly in crafting new regulations. And the Indiana legislature can always repeal or modify regulations that the legislature thinks pose a threat to Indiana’s economy.

I think I remember why Harrison Ullmann used to refer to the Indiana General Assembly as “The World’s Worst Legislature.”

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Can We Define “Liberty”–Before Someone Gets Shot?

For a bunch of lawmakers who just love to talk about liberty, the cowboys at the Indiana General Assembly seem to have embraced a very odd definition of that term. In their view, “liberty” means their right to make decisions for everyone else.

Funny, I thought that was a description of autocracy.

Case in point: A bill is proceeding through the General Assembly that will allow guns to be brought to schools and school events. The measure also says that no school board (public or private) can enact a policy forbidding legally authorized persons to have guns in their cars on school property.

The NRA must be so proud.

Ignore, for a moment, the lunacy of encouraging people to bring weapons to schools. Pretend that 26 children weren’t gunned down last year in Connecticut. Ignore the fact that gun violence is an epidemic in this city, state and country. Those arguments–while important– really are beside the point. (Although for a pointed and effective, albeit snarky, takedown of the “let’s arm the world” lunatics, you really should read this Op Ed about an Idaho bill permitting guns on campus..)

The real question is: Why in the world does the Indiana General Assembly get to tell public and private schools what safety precautions they may not choose to employ?

Municipalities have long complained about the lack of home rule in Indiana, but as the years have gone on, it has only gotten worse. The micromanaging and increasing high-handedness of the General Assembly is hard enough to stomach; the undeniable fact that campaign donors and special interests are all too often served at the expense of both sound policy and Indiana’s citizens is getting intolerable.

At what point do we ordinary Hoosiers demand some “liberty” of our own?
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Unwilling to Engage

A Facebook friend who has been following the twists, turns and votes on HJR 3 has reported on the defensive behavior of Representative Dave Ober, one of the “yes” votes for that measure.

Apparently, Rep. Ober is unwilling to engage in discussion about his position or his vote–according to my correspondent, he has “de-friended” people posting  contrary positions, no matter how respectfully, eliminated critical posts from his official Facebook page, and refused to defend or even discuss his vote.

Ober isn’t the only legislator hiding from public debate and scrutiny: when a reporter friend of mine asked for an accounting of the letters and emails generated by the HJR 3 debate, she was told that the Freedom of Information Act doesn’t apply to the legislature, and they didn’t have to respond.

Now, there might be an excuse for refusing to supply the contents of legislative emails; there really is no reason–other than potential embarrassment–for refusing to tell the media how many communications were received pro and con. ( Why do I suspect that if letters supporting HJR 3 had outnumbered those against, they’d have complied?) As it is, the legislative response to legitimate inquiries can be summarized as a collective “go *** yourself.”

Can we spell “arrogant”?

The next time one of these self-important lawmakers pontificates about how he’s “doing the people’s business,” someone should remind him that the people have a right to know how their business is being conducted, and whether the measures being passed are consistent with the people’s expressed policy preferences.

Theoretically, democracy is supposed to work like this: we elect folks, watch how they behave, and subsequently vote to retain or reject them based upon that behavior. When those we elect opt to game the system, refuse to defend their reasoning, and generally take the position that they aren’t answerable to those who elected them, it’s time to clean House.

And Senate.

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The Legislative Process

Yesterday, the Indianapolis Star ran the second part of Matt Tully’s series on ethics at the Indiana General Assembly, or how a bill really becomes a law.

What struck me most was the irony–the amounts of money spent by vocal proponents of free enterprise and the market economy in pursuit of legislation privileging their positions in that market and/or protecting them against competition. Sunday liquor sales, gaming operations, banking rules, collective bargaining…for a state that  celebrates capitalism, our lawmakers spend an inordinate amount of time picking winners and losers.

Want an example?

Also appearing in yesterday’s paper was a report on a hearing held by the House Utility Committee on the boondoggle known as the Rockport Coal-Gasification plant.

As readers of this blog will recall from previous posts, then-Governor Mitch Daniels entered into a thirty-year deal with Leucadia National Corporation, represented in Indiana by long-time Republican operative and Daniels friend, Mark Lubbers. (If the name sounds familiar, it’s because Mark Lubbers’ wife Teresa was appointed by Daniels to head up the state’s Commission on Higher Education.) The terms of the deal obligated the state to buy the company’s synthetic gas and resell it on the open market. Indiana ratepayers would get discounts or increases on their bills, depending upon whether the synthetic gas was more or less expensive than gas available on the open market. Seventeen percent of ratepayers’ bills would be tied to the Rockport plant’s rate.

State Senator Doug Eckerty, who opposes the deal, has sponsored a bill that would send the agreement back to the Indiana Utility Regulatory Commission for a full review.

In the committee hearing, Eckerty pointed out that gas prices have plummeted since the plant was first proposed, and that the manufacture of synthetic gas is no longer economically feasible. Coal gasification projects in other states have been abandoned. As he noted, if private sources will not finance these projects, why should taxpayers?

When natural gas prices were high, there was at least a thin justification for a deal that used Indiana ratepayers to guarantee the profits of a private company. Now even that pretense of a public purpose is gone. Mark Lubbers testified that gas prices are volatile, so the plant would protect ratepayers if and when the prices spiked again.

The problem is, whether gas prices rise again is irrelevant. The state should not be picking private-sector winners and losers. I hate to use a sports analogy, but government’s role in the economy is best compared to that of the umpire or referee in a game. When government abandons that role–when it suits up and plays with one of the teams–it is improper. It violates the rules, undermines the sport, and makes cynics of the onlookers.

It’s no different when the game is the free market.

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