(The Center Square) – Indiana Gov. Eric Holcomb encouraged lawmakers to support his spending plans in his state of the state address on Tuesday.
Holcomb asked for support for spending items on its agenda for schools and public health programs. The 2023 Next Level Agenda called for $5 billion, including more than $1.1 billion in tuition increases. Several members of the Republican-dominated Legislature have expressed concerns about the cost of his plans amid an expected slowdown in state tax revenue growth.
According to Holcomb, the state has the “financial means” to pay for the proposals while maintaining an annual budget surplus.
“The work we’ve done together has put us in this position of strength, which challenges us to invest in what I believe to be needs and to address our competitive advantages and disadvantages head-on,” Holcomb said.
The legislative session, which began Monday, is expected to focus at least in part on drafting a new two-year state budget.
In his address, Holcomb argued that the state needs to increase public health funding to improve Indiana’s national rankings for obesity, smoking and life expectancy, calling it “a pattern we need to reverse.” He said the findings call for “new measures”.
The governor’s agenda includes implementing the recommendations of the governor’s public health commission, including a budget request of $120 million for the state fiscal year 2024 and $227 million in 2025.
“Nearly all of these dollars will be used locally, in your districts, where our Hoosiers colleagues need them, tailored to the unique circumstances of each community partner,” Holcomb said.
He asked for support on plans to increase teachers’ salaries and eliminate textbook costs for K-12 parents.
“Hoosier parents are no more protected from the rising cost of living than their children’s teachers are,” Holcomb said. “And for these parents of school-age children, fees for curriculum materials that are essential to teaching in the classroom can run into hundreds of dollars each year — per child — depending on the district.”
The governor announced progress on construction projects across the state during his tenure, including the completion next year of the final northern section of the Interstate 69 extension between Evansville and Indianapolis and work to expand the South Shore commuter rail line in northwest Indiana, which runs to Chicago .
Holcomb also announced that the state has awarded a $29.5 million grant to local groups developing a 62-mile recreational trail through five counties in southern Indiana. The contiguous path will be the longest in the state, according to Holcomb.
The governor praised Indiana’s business.
“Forbes just ranked Indiana as ‘the best state to start a business in 2023,’ and said we have ‘a business-friendly climate with a low flat tax rate, above-average business survival rates and a healthy amount of financing opportunities,'” he said the governor.