The Associated Press
MERRILLVILLE — Democratic challenger Jill Long Thompson and Republican Gov. Mitch Daniels clashed over the economy, taxes and privatization Tuesday night, seven weeks before the Nov. 4 general election.
The sharpest debate came over the state of Indiana’s economy. Daniels said the state has been cited for having a strong economic climate, but Long Thompson challenged his assertion that the state’s economy was doing well.
“Gov. Daniels would have you believe that everything is going pretty well here in Indiana and we are somehow doing better than our neighboring states,” she said. “Well, he needs a reality check. In fact we are losing jobs faster than many other states.”
Indiana lost 16,500 jobs in July, more than any other state except Florida and Georgia, according to the federal Bureau of Labor Statistics.
Daniels, meanwhile, called Long Thompson’s economic plan vague and said it amounted to “corporate welfare.”
“Government does not create jobs,” he said. “Men and women of enterprise do. Government at its best creates conditions whereby they do that well.”
The jabs between the two got so sharp they prompted the third candidate in the debate, Libertarian Andy Horning, to say: “I think maybe you better put my podium between these two.”
Daniels accused Long Thompson of distorting his record on taxes when she accused him of raising the sales tax and taxes on cigarettes. He said the sales tax increase was offset by lowering other taxes and said the cigarette tax was used to pay for health care.
“We balanced the budget without raising taxes, the tightest budget in 55 years,” he said. “There can be no debate about it. It’s absolutely true.”
Long Thompson also criticized Daniel’s decision to lease the Indiana Toll Road in northern Indiana to a private company for 75 years and the state’s 10-year contract with a private consortium to process enrollment in food stamps, Medicaid, and other public safety net benefits received by 1.1 million disabled and needy Hoosiers.
“We know that privatizing our FSSA program has been disastrous,” she said. “Not only has it hurt families in need but it’s not saving the state any money.”
Daniels, however, said privatization has saved the state millions of dollars.
“You’re either for taxpayers or you’re not. We view every service in government from a very practical standpoint. What’s the best way to deliver it, what’s the lowest cost to taxpayers,” he said.
The candidates also spent some time on time zones. Legislation was passed in 2005 mandating statewide observance of daylight-saving time, but some counties later successfully petitioned the federal government to be allowed to switch to Central Time. Confusion over time zones has been a perennial issue in Indiana.
Daniels said the change was needed because of the confusion was hurting businesses because others outside Indiana didn’t know what time it was here.
“It’s a global economy we’re in,” he said.
Long Thompson said the issue of time zones and observance of daylight-saving time should be decided in a statewide referendum. She said some families have children going to schools in different time zones.
Horning, who received 2 percent of the vote when he ran for governor in 2000, said his main goal was to put a leash on politicians and let Indiana residents live free.
He repeatedly said he thinks there should be less government, saying: “The correlation to God we trust is in politicians we do not.”
The debates are being sponsored by the Indiana Debate Commission, a nonpartisan coalition of media and citizens groups. The groups include the Indiana Broadcasters Association, the Hoosier State Press Association, the Indiana Associated Press Managing Editors, the League of Women Voters of Indiana and the AARP.
The other debates will be held Sept. 23 in Jasper and Oct. 14 in Bloomington.
