Proposal would eliminate township government-WEB ONLY

Legislation would eliminate township government

Lawmakers are considering a bill that would eliminate township government in Indiana and shift duties such as poor relief to the county level.

Dozens of township officials packed the Senate chambers yesterday to tout some of the services they provide: helping the needy pay their bills, maintaining cemeteries and handling weed control.

Township government was created during horse-and-buggy times when it was hard for people to travel to the county seat, and local officials told senators that grass-roots government was still needed.

Debbie Driskell, executive director of the Indiana Township Association, said some trustees visit the poor at home to help them apply for aid.

“Not all Hoosiers have the ability to drive or surf the Internet to find assistance,” Driskell said. “It is questionable as to whether individuals would receive the same level of service at the county level.”

But supporters of the reorganization painted a different picture.

Township government is rife with nepotism, bookkeeping errors and even fraud, said Kevin Brinegar, who is president of the Indiana Chamber of Commerce and is working with a government streamlining advocacy group. He cited a 2007 State Board of Accounts audit that found numerous examples of trustees misusing funds.

One deputy trustee used a credit card to buy a pair of leather gloves. Another trustee used township funds to clean a fish tank. And another was reimbursed for telephone expenses but didn’t list the township office in the local phone book.

“It’s time for all of this to end,” Brinegar said.

Opponents countered that county officials can make mistakes, too, although Brinegar said the problems found in township government show a pattern caused by little oversight.

The state’s 1,008 townships have an overall budget of about $400 million, according to the 2007 audit reports compiled by the Office of Management and Budget. Townships hold about $208 million in cash reserves, and they continue to collect property taxes that created the big savings accounts.

Last year, an IBJ investigation revealed that the Center Township Trustee’s Office in Indianapolis routinely spends less on township assistance than it collects each year. At the end of 2007, the surplus amounted to $7.1 million. Since 2001, the reserve has ranged from $4 million to $10.4 million.

The Trustee’s Office receives an average of $6.9 million annually, mostly from taxes, but only about $2 million reached the poor each year.

Sen. Beverly Gard (R-Greenfield) said it was “staggering” that townships have so much money in the bank.

Driskell said a state law prods townships to take the maximum tax increase allowed by law or face losing it in the future.

“It encourages local units to keep their tax rate at the maximum,” she said.

She said other townships may have a lot in reserves because they may be saving up for a new fire engine or other equipment for township firefighters – or they could be storing money for economic downturns when more people apply for aid.

Many township officials – including some wearing neon green T-shirts proclaiming “protect and save your township government” – opposed the bill. But some township trustees and firefighters supported the change.

Joyce Webster, the Portage Township trustee in Porter County, said moving township services to the county level could save money and make services more efficient.

“It doesn’t make sense that all 15 townships in Porter County fend for themselves,” she said.

The Senate Local Government Committee did not vote on the proposal yesterday, but could consider making changes to the bill and voting on it later, said Sen. Connie Lawson, a Republican from Danville who chairs the committee.

Even if the bill clears the GOP-controlled Senate, its future in the House is unclear. Democrats who control that chamber have not been eager to consider the government-streamlining proposals, saying lawmakers should focus on more pressing priorities like the budget.