NEWS RELEASE
03.30.05
Contact: Jamie Jorczak (317)232-9524
jjorczak@iga.state.in.us
FOR IMMEDIATE RELEASE
(STATEHOUSE) Senate Republicans unveiled a two-year budget plan today that will control state spending while boosting K-12 education, Medicaid, and child protection funding.
Senate Appropriations Committee Chairman Robert L. Meeks (R-LaGrange) said, “This is a very responsible budget. We are funding our obligations but holding the line on spending.”
The amendment to House Bill 1001 [see attachment for summary] does not include any general tax increases, limits the growth of government and eliminates the structural deficit and funds Medicaid at a higher level than the version submitted to the Senate.
In addition, the proposal rebuilds the state’s reserves and reduces accumulated payment delays to schools and local governments up to 50 percent in an effort to restore the state’s financial viability.
“We have accomplished far more than anticipated,” Meeks said. “The most pleasing aspect of the bill is that it actually increases total funding for K-12 education, continuing our commitment to Indiana’s schools.”
The General Assembly has increased education spending in past years, even when other states were cutting education. In 2003, Indiana had the highest increase of K-12 funding in the country – during a national recession.
The budget will eliminate the approximately $600 million unfunded liability in the 1996 Teacher’s Retirement Fund, directs all new teacher/administrator transfers to the old fund, and provides school corporations with an affordable contribution rate.
The budget plan also funds Governor Mitch Daniels’ priorities for the Office of Management and Budget (OMB), Inspector General, Office of Technology, Indiana Economic Development Corporation (IEDC), Department of Agriculture and Department of Child Services. The bill allocates funds to hire a total of 400 child services caseworkers over the next two years.
Meeks will propose the amendment during tomorrow's meeting of the Senate Appropriations Committee. The meeting begins at 8:45 a.m. in Statehouse Room 431.
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**A summary of the amendment is attached. **
Jamie Jorczak
Communications Director
Indiana Senate Majority Caucus
ph: (317)232-9524 or 1-800-382-9467
fax: (317)232-9664
www.in.gov/senate_republicans