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House passes bill returning $550M to local communities


INDIANAPOLIS (Feb. 3, 2016) — State Rep. John Price (R-Bargersville) recently voted in support of a House plan that would return $550 million to local governments.


House Bill 1110 would immediately infuse $440 million into local government budgets free of restrictions. If enacted, Johnson County would receive over $12.5 million and Morgan County would receive about $4.3 million, each as a one-time payment. The bill would also reduce the threshold for supplemental distributions from 50 to 15 percent, allowing local governments to receive an additional $110 million over the next four years.


Price said that these funds could be used by local governments to provide much-needed services, like local infrastructure or public safety.


“This bill would enable local officials to invest in the areas most important to their communities,” Price said. “Counties and cities should be able to allocate their money to address specific issues that impact their residents.”


These funds were collected from the Local Option Income Tax revenue held in reserve by the state in trust accounts for each county. Price said the bill does not raise taxes or create new debt since the funds already exist in trust accounts.


House Bill 1110 now heads to the Senate for further consideration.




Rep. Price (R-Bargersville) represents portions of Johnson and Morgan counties in central Indiana.