House Bill 1002 was a priority of House Republicans, but the Senate’s Republican majority favored saving its proposed tax cuts until 2023, a budget-writing session. House Democrats questioned whether the tax cuts were the best way to take advantage of the state’s estimated $5 billion surplus.

Legislative leaders on Tuesday morning informally unveiled a compromise that includes a seven-year scaled decrease of income taxes from 3.23% to 2.9%, which Gov. Eric Holcomb has called for. This would tie Indiana with North Dakota among states with the lowest income tax rate.

The newest version of the bill also would give automatic taxpayer refunds to individuals given that the state has excess reserves. This is being called a “trigger” and would prevent the state from paying out automatic taxpayer refunds if the state takes an economic downturn.

Under the proposed compromise, legislators would ax the part of the House-passed bill concerning business personal property taxes but maintain a section repealing utility taxes.

Some legislators believe current events have called for the Indiana General Assembly to reassess where the dollars are going.

Democratic members of the conference committee on HB 1002, Sen. Tim Lanane, D-Anderson, and Rep. Gregory Porter, D-Indianapolis, called Tuesday for the income tax decrease to be implemented in a span of four years rather than seven. In a more drastic move, the pair asked for gas sales tax and fuel taxes to be put on hold for the next three months as gas prices increase.

Porter said the increase in gas prices due to conflict in Ukraine is an example of how legislation needs to shift from the beginning of session to the end as the world changes.

The legislators also called for Indiana Attorney General Todd Rokita to look into price gouging as gas prices rise.

House scrambles to push bill repealing gun permits

Also Tuesday, House Republicans were making a last push to pass legislation that would repeal the state’s permit requirements for handguns. The caucus is using House Bill 1296as a vehicle for the removal of gun permits in the state. HB 1296 was initially a bill about medical claims.

Republican leaders of the legislature had the option of removing senators and representatives on the conference committee who would not support the legislation. Rep. Terri Austin, D-Anderson, said she was removed as a conferee from the conference committee on HB 1296. Sen. Michael Griffin, D-Hammond, was also removed as a conferee.

By replacing the conferees with Republican legislators who are supportive of the legislation, the caucus is giving the bill a better chance of passing. If the conferees all sign the report, the bill will receive a vote in both chambers.

The proposed legislation initially was killed in a rules committee, then the language was substituted into Senate Bill 209. SB 209 was initially drug legislation.

The gun legislation has received pushback from many police agencies, including Indiana State Police Superintendent Doug Carter.

School board testimony requirement bill lands on governor’s desk

Senate Bill 83 passed unanimously in the House Tuesday. Authored by Sen. Jean Leising, R-Oldenburg, the bill requires school officials to hear public comments before the school board discussion at school board meetings.

The bill has now passed in both chambers and is awaiting the governor’s signature.