SOUTH BEND — State lawmakers got an earful from local taxpayers angry about high property taxes.

The House Ways and Means Committee met at IU-South Bend Thursday as it considers the governor's plan for property tax relief. The plan would cap taxes at 1 percent of a home’s assessed value.

The plan's supporters say that could mean a 40 percent cut for most homeowners. But critics say it's not enough and other taxes will increase to make up for it.

“I bring a message from the people of Elkhart County. We're mad as hell and we're not going to take it anymore,” said Jim Dubbert, whose taxes more than doubled last year.

Some lawmakers saw the hearing as not only a chance to hear from the public, but also sell the plan. Dubbert remained skeptical.

“Any way we do this, the way it's currently set up, the property owner is going to be paying a higher price than he's paying now and it's already too high,” Dubbert said.

Local elected officials also blasted the plan, but for different reasons. They told lawmakers it would mean millions in lost revenue, and essential services like public safety and snow plowing would suffer.

South Bend Mayor Steve Luecke called the plan a tax shift, not a tax cut.

“Property taxes will go down, but sales taxes will go up,” Luecke said. “And in those communities that lose significant revenue to the property tax caps, there will be the need to institute local income taxes.”

While some lawmakers were sympathetic to the mayors, others said cities and towns should have to live with the revenue they will have.

“The reality is they're like the rest of us,” said Rep. Jeff Espich, R-Fort Wayne, and Ranking Member of the House Ways and Means Committee. “They can do with a little less if they try harder. They're going to have to be part of the solution. And that means they're going to have to spend more carefully."

Rep. Jackie Walorski called for a cap in state spending in exchange for eliminating some property taxes. Committee Chairman Bill Crawford said the committee will consider that proposal next week as it meets to finalize the reform plan.

Lawmakers told WSBT News they’re optimistic the plan will pass before the end of the short session. Otherwise, Governor Mitch Daniels might call lawmakers back for a special session.