FROM INDIANA PUBLIC BROADCASTING
Republican leaders in Indiana have unveiled their plan to close a projected $2 billion revenue shortfall in the upcoming state budget. The proposal includes cuts to public health and higher education funding, the use of budget reserves, and a $2-per-pack increase in the state’s cigarette tax.
Lawmakers say the first step was reducing spending, followed by tapping into reserves. The cigarette tax hike, they say, helps close the remaining gap while also serving a public health purpose.
“I think that’s going to have a huge benefit for Medicaid costs going forward,” said Senate President Pro Tem Rodric Bray.
The budget plan reduces local public health funding from $150 million this year to $40 million annually. Democratic Representative Greg Porter criticized the move, saying, “Is that making Indiana healthy again? I think it’s making us extremely vulnerable when it comes to health care.”
Higher education institutions will see a five percent cut to both general operating funds and building maintenance dollars.
Feature Photo:
From left to right, House Speaker Todd Huston (R-Fishers), Senate President Pro Tem Rodric Bray (R-Martinsville), Gov. Mike Braun, Rep. Jeff Thompson (R-Lizton) and Sen. Ryan Mishler (R-Mishawaka) unveiled details of the final version of the new state budget on April 23, 2025. (Brandon Smith/IPB News)