As Indiana lawmakers prepare to receive the revenue forecast so they can negotiate a budget deal, here are some of the major highlights in both the House and Senate proposals, as well as Governor Eric Holcomb’s proposed spending plan.
Governor Eric Holcomb
- Increases K-12 tuition support by $431 million or 2 percent each year.
- Shift $20 million from teacher appreciation grants to tuition support.
- Increase school supplies tax credit from $100 to $500
- $14 million in school safety grants
- $207 million total increase in Medicaid
- End biennium with $1.8 billion in reserves.
- House Republicans increase K-12 school funding by 4.3 percent – 2.1 percent in 2020 and 2.2 percent in 2021, which equates to a $461 million boost to local school tuition support over the biennium.
- $30 million a year for Teacher Appreciation Grants to reward effective and highly effective educators. To support new and veteran teachers, the budget provides $5 million for Teacher and Student Achievement Grants included in House Bill 1008, and $1 million for the Teacher Residency Grant Pilot Program included in House Bill 1009.
- Funding the governor’s plan to use $150 million from reserves to pay off a teacher pension liability, which will result in $70 million in annual savings for local schools.
- $20 million per year for local water infrastructure improvements.
- Fully fund DCS at the governor’s request by appropriating $286 million in new funding each year, which will align with the agency’s current spending levels.
- Increases funding for Indiana’s First Steps program by $12 million a year.
- Increases funding from $18 million to $30 million a year for local jails that house Level 6 offenders.
- $500,000 in additional funding a year for the Indiana Law Enforcement Academy, which annually graduates hundreds of local and state police recruits, and certifies other officers from across the state.
- End biennium with $1.9 billion in reserves.
- Increases K-12 funding by $775 million, including a $535 million increase in K-12 tuition support; a total of 4.9%..
- A 50% increase in funding for the Teacher Appreciation Grant (TAG) program, which is a program that allows the General Assembly to provide money directly to teachers. Under the Senate proposed budget, the TAG program would be funded at $90 million, a $30 million increase over the last state budget.
- Funding the governor’s plan to use $150 million for teacher pay with dollars from the pension stabilization fund
- Makes available the full budget request of the Department of Child Services (DCS);
- Increases funding for drug-treatment programs;
- Creates a new fund to expand access to rural broadband;
- Increases funding for Secured School Safety Grants;
- Funds a new Indiana State Police (ISP) lab/post;
- Fully funds the Medicaid forecast;
- Increases funding for workforce development training programs; and
- Provides money to ISP to fight internet crimes against children.
- End biennium with $2.2 billion in reserves.
Lawmakers are scheduled to receive the revenue forecast Wednesday at 10 a.m.