He also said the city will move to narrow Washington and Jefferson boulevards downtown.INDIANAPOLIS – Democrats took a hard stand Thursday against reducing unemployment benefits during the first public meeting to negotiate a compromise solution for the state’s broken unemployment insurance system.
"There are a number of things we absolutely cannot look at," said Rep. David Niezgodski, D-South Bend. "I don’t think there is any way we can look at cutting benefits."
The Republican-controlled Senate added a plan to House Bill 1379 that would raise business taxes, cut benefits, tweak eligibility and make other changes to the fund.
Now the bill is in conference committee, where lawmakers from all four caucuses were appointed as conferees to find a solution amenable to all sides by an April 29 deadline.
Indiana’s unemployment trust fund has had a structural imbalance since 2001 and ran out of money last year, forcing the state to borrow $628 million so far from the federal government.
The Senate plan raises about $870 million in new annual revenue for the fund.
"This is kind of our opening day," said Sen. Dennis Kruse, R-Auburn. "We hope we hit a home run and come to a compromise."
But Sen. Karen Tallian, D-Portage, also said she was against changes that would mean some seasonal workers – such as those in construction – wouldn’t be allowed to collect unemployment during what is traditionally a down time in the winter.
"This is unacceptable," she said.
But Rep. Dan Leonard, R-Huntington, said lawmakers have to make a lot of unpleasant decisions.
"The fix is big enough that it has to be shared by everyone, I believe," he said, noting that businesses can’t shoulder the entire burden.
Leonard also pointed out that Indiana’s unemployment benefits rank third in the country when compared to the percentage of wages they replace for the workers.
But Niezgodski countered that the average benefit of $295 a week would place Hoosiers in poverty if it were considered their normal working wage.
Rep. Randy Borror, R-Fort Wayne, said he is not prepared to say that anything is off-limits and cautioned Democrats against putting a stake in the ground so early.
No other public conference committee hearings have been scheduled as lawmakers start having private discussions.
