Budget’s First Step
Indiana lawmakers took their first major step today toward passing a budget. By a vote of 14-9, the House Ways and Means Committee passed a one-year spending plan totaling $14.5 billion.
The budget includes more than $308 million in new spending; most of which goes for education which was not included in Governor Daniels’ budget and $26 million less in economic development.
House Democrats say they are meeting the state’s obligation to maintain Indiana’s educational infrastructure, however Republicans say the by the time the money is spent Indiana would only have about a week’s worth of money still left in the bank. The GOP also called a one-year spending irresponsible while Democrats say it’s the prudent way to handle finances in this economic downturn.
Lawmakers are still waiting to see exactly how much Indiana will receive in the form of economic stimulus from Washington, an amount estimated to be between $4 and $6 billion.
