Legislative leaders in both chambers said Wednesday that cost of living will drive their agendas for the 2027 session. Democrats gained seats in the House and Senate, and Senate Republicans chose new leadership.

In the House, Democratic Leader Phil GiaQuinta said his caucus has grown to 46 members. He credited candidates who campaigned door to door on issues they heard from voters. House Speaker Ben Smalz called the results “terribly disappointing” and cited national political headwinds. The losses leave House Republicans without the supermajority they had held. Smalz said he has served only under a supermajority since entering the chamber in 2012.

“Yesterday was yesterday,” Smalz said. “We’re just going to start the work of the General Assembly as quickly as possible.”

In the Senate, Democrats flipped Districts 1, 11, 15, 22 and 31 and held Districts 4, 29 and 46, according to the caucus.

“Last night, Hoosiers sent a clear message: They want change, they want relief and they want leaders who will fight for them,” Senate Democratic Leader Shelli Yoder (D-Bloomington) said in a statement.

Senate Republicans met Wednesday and voted unanimously to back Sen. Chris Garten (R-Charlestown) for Senate President Pro Tempore. He succeeds Sen. Rodric Bray (R-Martinsville). Under Senate rules, the Democratic caucus will weigh in on Garten’s selection on Organization Day, Nov. 17. Garten named Sen. Eric Koch (R-Bedford) Majority Floor Leader. The caucus elected Sen. Tyler Johnson (R-Leo) Majority Caucus Chairman.

“Our state and nation stand at a defining moment that requires bold leadership,” Garten said.

The Senate Republican caucus listed its priorities for the upcoming budget session as:

  • strengthening schools
  • scrutinizing state spending
  • lowering health care costs
  • continuing to cut taxes

Garten also thanked Bray, saying he served “with integrity and wisdom.”

On the Democratic side, Yoder said her caucus will judge every proposal by whether it makes life more affordable for Hoosiers. She listed these priorities:

  • lowering utility costs
  • protecting access to health care
  • expanding affordable child care
  • holding data centers accountable for their effects on communities

GiaQuinta named similar House Democratic priorities: utility and health care costs, and public education. He said voters raised concerns about rising bills and school funding. He also pointed to what he described as corruption concerns involving the Secretary of State’s office. He said Senate Bill 1, intended to provide property-tax relief, may have had the opposite effect for some residents by reducing resources for schools and local governments.

Smalz said House Republicans will build their agenda together before Organization Day. He did not offer specific cost-reduction proposals.

“We’re very caucus based,” Smalz said. “We’re going to work together as a team.”

Smalz disputed that last fall’s redistricting effort contributed to the losses. He noted that local officials who lost had not been involved in it. He cited childcare legislation as an area of ongoing work with Gov. Mike Braun’s administration. He said he looked forward to examining marijuana legalization as speaker.

Leaders in both parties said they would work across the aisle. GiaQuinta said the larger caucus should have more influence in committees and on the floor.

“We pride ourselves on being pragmatic problem solvers,” GiaQuinta said.

GiaQuinta cited a statewide tally showing Democratic House candidates received about 100,000 more votes than Republicans. He said he had not fully reviewed the numbers. He declined to predict whether the gains would carry into 2028.

Lawmakers return to the Statehouse on Nov. 17 for Organization Day.