Indiana’s economy is growing. Businesses are investing and creating jobs, and communities across our state are attracting new residents. Indiana leads the Midwest in both economic and population growth. Carmel and Fishers were ranked the first- and second-best places to live in the country by U.S. News & World Report.
The reason that growth is happening is because Indiana has made it affordable to start and grow a business, build a career and raise a family. Protecting and strengthening that affordability will be key to sustaining our momentum and providing even more opportunities for Hoosiers.
For many Hoosier families, the cost of living is putting more pressure on their household budget. Housing, utilities, healthcare, insurance, groceries and property taxes all add up. Government cannot control every price, nor should it, but we can control whether our policies make those pressures better or worse.
That’s why I’ve supported efforts to let Hoosiers keep more of what they earn. Indiana’s individual income tax rate has fallen from 3.15% in 2023 to 2.95% today, with another reduction to 2.9% coming in 2027. I also supported last year’s property tax reform package, projected to save Hoosier homeowners $1.3 billion over three years. It includes a new homestead credit of up to $300 and additional relief for seniors, veterans, farmers and small businesses. It also phases in a massive homeowner deduction. Next year, a homeowner can deduct nearly half of their homes’ value from property taxes, and by 2031, they can deduct two-thirds.
But an affordable Indiana cannot simply mean lower taxes. It also has to mean an Indiana where people can afford to buy or rent a home. That is one reason I supported House Enrolled Act 1001 last session. The legislation takes aim at unnecessary local barriers that can restrict housing supply and drive up construction costs. If demand is growing, but it is harder to build, the result is predictable: higher prices. We need to keep looking for ways to encourage more housing at a price Hoosier families can afford.
Energy costs are another piece of the equation. In 2022, I supported eliminating Indiana’s utility receipts tax, a move representing more than $220 million in annual tax relief. This year, I supported House Enrolled Act 1002, which holds utilities accountable for affordability, provides more predictable billing and strengthens protections for residential utility customers.
The goal behind all of these efforts is the same. We must keep Indiana competitive without leaving Hoosier families behind. Being pro-business and pro-growth does not mean ignoring affordability. In fact, the two go hand in hand. Businesses want to locate where people want to live, and families want to live where good jobs and opportunities are available.
Indiana has built something worth protecting. We have a strong economy, strong reserves, growing communities and a quality of life that is attracting national attention. But there is more work to be done, and we cannot become complacent. We should continue cutting taxes when fiscally responsible, control property taxes, expand housing supply, demand reliable and affordable energy, confront healthcare costs and remove unnecessary barriers to economic growth.
Growth is good. Investment is good. A strong economy is good. But the ultimate measure of success is whether a Hoosier family can afford to share in it. I remain committed to building on our progress.
