Indiana Joins The Legal Battle Over Health Care Reform

By Chris Simpkins

The ink wasn’t even dry on President Obama’s signature before the attorney generals of more than 13 states filed suit in the U.S. District Court for the Northern District of Florida challenging the constitutionality of the newly passed health care legislation. In Indiana, we were left pondering whether Attorney General Greg Zoeller would join the legal battle. On March 29th, 2010, we received our answer as Indiana joined the other multi-state plaintiffs and became the 14th state in the lawsuit. According to Zoeller, “when the federal government imposes unprecedented legal obligations on this magnitude on state government, it is my obligation as Attorney General to join and participate in challenging the constitutionality of the bill.”

The thrust of the challenge is centered on the “individual mandate.” Essentially, beginning in 2014, most citizens will be required to purchase health insurance or pay a fine of $695 per year. Thus, the question becomes: is forcing every American to pay for health insurance constitutional?

Supporters of the mandate argue that case law is on their side, while opponents argue that the mandate falls outside the scope of Congress’s power. The future of the suit is uncertain, but it is sure to be interesting and thought provoking challenge. We are following the case and will have regular updates as it progresses.

Be Good to Your Staff!

By Jeb Crandall

I bet most of you did not know that April 21, 2010 is Administrative Professionals Day. This day is often overlooked by many employers and managers who are “too busy” to take the time to thank those who are the engine behind the corporate machine. Without these people, the day-to-day tasks that many of us and our businesses take for granted would go undone. How many of us really know how to use a postage machine to send a letter? How about file a document electronically with the court? Or how about use the fax machine??? Think about it. Many of us would be crippled if our support staff decided not to show up one day.

Take the time to thank and appreciate your support staff as often as possible – not just on Administrative Professionals Day. Don’t forget that these are the people who truly make or break a business.

Change in Indiana Child Support Guidelines

Last fall, the Indiana Supreme Court adopted revisions to the Indiana Child Support Guidelines which became effective January 10, 2010. The revisions address a host of issues such as changes in the range of support for both higher and lower income levels, the calculation of Social Security benefits for both a disabled parent and a child receiving Social Security benefits, negative child support and new health insurance calculations.

The prior child support guidelines stopped on the calculator at a gross weekly income of $4,000. Any amount of $4,000 per week required practitioners to use a complicated mathematical formula to derive any additional support. This resulted in persons with substantially larger incomes being ordered to pay a much lower child support obligation in comparison to other states. For example, under the old guidelines, a person making $10,000 per week would pay support in the amount of $412.38 per week. Now, under the new guidelines that same person would be paying $712.00 per week.

The new guidelines also address the issue of people who make less income. The prior guidelines mandated a minimum support order of $25.00 per week. The new guidelines start at a support amount of $12.00 per week.

When determining gross income, Guideline 3A states that a disabled parent’s gross income must include the social security disability benefits paid for the benefit of the minor child. Survivor benefits are not to be included. Supplement Security Income (SSI) is treated differently than Social Security retirement as SSI is means tested and therefore cannot be included in a parent’s gross income. Receipt of Social Security retirement income is still discretionary with the Court.

Under the old guidelines, the non-custodial parent was to pay child support to the custodial parent. There were, however, times when the income of the custodial parent led to a situation where the child support obligation became a “negative” child support obligation. In other words, according to the Child Support Obligation Worksheet (CSOW) the custodial parent should have been paying child support to the non-custodial parent. Case law in Indiana did not necessarily allow for negative child support. The new guidelines now allow the Courts to order a custodial parent to pay a non-custodial parent child support if the CSOW so indicates.

A major change in the guidelines also addresses the issue of health insurance coverage and payment of health insurance premiums. As a result of Federal legislation, parties and attorneys will now be required to prepare a separate health insurance worksheet to be submitted with the CSOW. The purpose of this worksheet is to determine whether it is reasonable under the guidelines to require on or both of the parents to carry health insurance. For purposes of determining what is reasonable, the worksheet indicates that payment of a premium in excess of 5% of that party’s gross weekly income would not be considered reasonable.

If you are considering a change in the child support obligation you either pay or receive, you should familiarize yourself with the new guidelines.

NCAA Championship Basketball

By Milton Thompson

I'm writing this note several hours before the NCAA Championship basketball game between Perennial power Duke and hometown Butler University. The historic consequences of the game's outcome is but a small part of my comments. While hosting a few friends and sports executives who have traveled to Indianapolis to participate in the "Final Four," I have noticed the culmination of a dream contemplated by our civic and political leadership, that has not always been popularly supported. That dream, one of making downtown Indianapolis the destination site of choice for major world class events has been realized. I applaud the courageous foresight of those visionaries who posited a dream and worked tirelessly despite criticism to realize this dream. I proudly escort our visitors past Conseco Fieldhouse, Lucas Oil Stadium, the new Marriott, and the expansion of the convention center and smile at the prospect of answering a childhood question of "are we there yet?" Well, we are not there yet, but the road is clearly paved and the dream is still alive. For every great stride by a community, there is some attendant pain, taxes, inequity, philosophical and fiscal differences pock mark the road. But, these differences seemed small and almost inconsequential while enjoying the tangible fruits of the decisions to forge forward with progress.

In 49 other states, it is basketball . . . But THIS IS INDIANA!!!

By Jim Bleeke

While these days many people around the country identify Indiana and Indianapolis with the Colts, the long-time heritage of sports in the Hoosier state is basketball. The movie Hoosiers is a true story and captures how much basketball has meant to communities small and large for years.

From John Wooden who played high school hoops and began coaching in Indiana to Oscar Robertson, George McGinnis, Larry Bird and then adopted son, Reggie Miller basketball just resonates in the soul of many Indiana natives.

When I (Jim) was a little kid, my Mom and sister had to sit on the floor during the state basketball tournament, because they had broken a chair jumping up and down in previous years. My Uncle Bud Rector had made the longest shot ever in the state championship in Hinkle Fieldhouse (where Butler still plays) when playing for tiny Bluffton High School. As he retold the story over the years it seemed the shot was from somewhere barely inside the state line.

This year, Indianapolis' own little college, Butler, is trying to win it all in their home town and the city is electric with anticipation. It is like the college version of the movie Hoosiers, with Butler playing the role of little Milan in the finals.

My high school buddy Tim Shepler will be joining me for the game. He is a high school basketball coach at Homewood High school in Birmingham, where he coached Butler's defensive ace Ronald Nored. When Tim attended college in Oklahoma, he would always ask his friends if they wanted to go play some “Indiana,” which they all knew meant basketball.

We hope everybody enjoys the final four as much as those of us in Indiana will, whether Butler wins or not.