Senate Passes IndyGo Funding Bill
Subscriber Benefit
As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowThe Indiana Senate has passed a bill that could put two major IndyGo projects in jeopardy. Senate Bill 141 seeks to change the definition of the source of IndyGo’s funding, which could play a factor in whether the organization can move forward with future rapid transit projects.
Current state law requires that IndyGo must receive 10% of its operating expenses for projects such as the Red Line Bus Rapid Transit program from sources other than taxes and fares. IndyGo Director of Public Relations and Partnerships Lesley Gordon tells our partners at WISH-TV the requirement isn’t an issue since the organization gets much of its funding from federal grants.
However, State Senator Aaron Freeman (R-Indianapolis), who authored the bill, cites an opinion from Indiana Attorney General Todd Rokita, who says he considers federal grant money as taxes.
“The Indiana attorney general declares what the law is in Indiana.” Freeman told WISH-TV. “That’s the opinion I’m going with.”
The bill changes the wording of state law to say IndyGo must receive 10% of the expenses “from sources other than taxes, fares, and state and federal funds.” Gordon says she disagrees with Freeman’s assertion that the bill is about holding IndyGo accountable.
“For IndyGo, it’s changing the rules when we’re halfway in it,” said Gordon. “The fact that they (Freeman) had to change the language shows they are changing the way it was originally written and what we’re already in compliance with.”
IndyGo is looking to begin construction on the Purple Line, which would connect Lawrence to the Indiana Statehouse via 38th Street. The organization is also planning the Blue Line, which would connect the east and west sides of Indianapolis via Washington Street.
The bill now heads to the Indiana House for consideration. If the bill is signed into law, IndyGo would face financial penalties for not meeting state requirements, which would cause any mass transit projects to shut down.