Cities and counties across the state are slashing their budgets and will face even more cuts next year when the HB1001 property tax caps come partially into play. The property tax reforms passed in the 2008 Indiana General Assembly followed tax protests across the state in 2007 that came on the heels of the defeat of more than 40 percent of the state’s incumbent mayors that November. A number of municipalities are also preparing to seek a variety of new local option taxes to make up for some budgetary shortfalls, heeding the advice of Gov. Mitch Daniels, House Speaker B. Patrick Bauer and Senate President Pro Tempore David Long who made that appeal in 2007 in a rare joint statement. The Lake County Council slashed its budget by $15 million on Tuesday night, cutting 112 jobs.

Gary, facing a huge budget shortfall, laid off 15 firefighters on Monday. The cuts are coming later this year after the Department of Local Government Finance extended the budget deadlines to December.