Pelath: Area Units of Government Now Benefiting from Road Funding Legislation Passed this Session

INDIANAPOLIS – Michigan City, LaPorte County, and other local units of government will be able to benefit this year from millions of dollars in funding distributions resulting from legislation strongly supported by Indiana House Democratic Leader Scott Pelath from Michigan City during this year’s session of the Indiana General Assembly.

Earlier today, it was announced that LaPorte County will be getting back more than $2.28 million in CAGIT (County Adjusted Gross Income Tax) and CEDIT (County Economic Development Income Tax) funds from the state of Indiana, while Michigan City will be getting back more than $1.12 million. The funds are being returned through the provisions of Senate Enrolled Act 67, part of a package passed by Pelath and other lawmakers during the 2016 legislative session.

“Units will be able to use these dollars for local road and street maintenance, and I’m sure it couldn’t come at a better time, since we are getting into the heart of the construction season,” Pelath said. “They will be able to so much more than originally expected through this legislation, and I’m sure that will end up being a relief to motorists who have had enough of evading potholes during their regular travels.”

Other distributions include over $9,000 in CAGIT and CEDIT funds for Michiana Shores and more than $338,000 in CEDIT funds for Chesterton. The legislation also returns funding back to other units, such as the Michigan City Area School Corporation, which is getting more than $183,000 in CAGIT funds, and the Michigan City Public Library, which is getting more than $81,000 in CAGIT funds back.

“Of course, it makes perfect sense that these funds should be returned to the units, since they were generated there,” Pelath said. “I’m sure local officials can find better uses for the funding than seeing it hoarded at the state treasury.

“The biggest blessing, of course, is that it will provide more road funding for our cities and towns at a time when it is desperately needed,” he continued. “Our road funding continues to be a problem across the state of Indiana, and this is just a short step toward finding a permanent solution, but it is a step forward and that needs to be recognized.”