Macer: In the end, Republicans did not want to penalize companies that leave Indiana

INDIANAPOLIS — As the 2016 session of the Indiana General Assembly came to a close, Republican leaders chose to stand with companies that take taxpayer money and leave the state, rather than penalizing them.

Republican leaders in the Indiana House and Senate chose to get rid of language offered by State Rep. Karlee Macer (D-Indianapolis) that would have provided severe penalties against companies like Carrier that have taken advantage of state and local tax breaks, only to abandon Indiana for better deals in foreign countries. The proposal had been included in Senate Bill 308 by a bipartisan coalition of House members, but was removed by Republican leadership from a conference committee report on that bill.

“My proposal reflected the growing anger that many people feel toward companies that want their fair share of taxpayer breaks, yet have no concerns about the impact when they choose to move overseas,” Macer said. “Carrier’s decision to close its plants in Indianapolis and Huntington will put 2,100 Hoosiers out of work. This situation has drawn national attention. As many as 500 people and their families who live in the district I represent are being affected by this move.”

Macer’s provision would have enabled local units of government to claw back property tax incentives granted to a company that leaves our state and cut those companies off from receiving any more benefits from corporate tax breaks enacted by state government.

“I know that Carrier has agreed to pay back some of the taxpayer-funded incentives it has received in recent years, but that is the very least they can do if they are abandoning us,” Macer said. “This company received considerable benefits from local property tax breaks and corporate tax breaks offered at the state level, and I felt the time was right for us to say that companies that leave our state should not be allowed to do that without paying us back.

Macer told House members today that removing the provision from SB 308 absolves Carrier of any responsibility and rewards bad corporate behavior.

“As many workers begin to prepare for losing their jobs and finding new ones, Carrier is rewarding its shareholders with a $16 billion payback,” she noted. “The company’s CEO made $10 million, and revenues are up by close to 20 percent. Clearly, the company is not hurting financially. They chose to leave our state out of a desire to further maximize their profits by using cheaper labor or machines.

“To let them off without doing more is an embarrassment for our state,” Macer said. “Today, the Republican leadership of the Indiana General Assembly chose to support the wishes of the corporate elite.”