‘Tough decisions to make’: Indiana lawmakers discuss $2.4 billion budget shortfall

INDIANAPOLIS — With roughly a week to go before the General Assembly has to end the 2025 legislative session by law, lawmakers have not yet announced a concrete plan to address a $2.4 billion budget shortfall.

Republican leadership on the HB 1001 conference committee said Monday that they had made progress over the weekend on their budget re-evaluation, but did not go into much detail (save how K-12 education cuts would be their last resort).

“We have some tough decisions to make,” State Sen. Ryan Mishler (R-Mishawaka), the Senate Appropriations Chairman, said. “Please don’t come and ask for more. If you want more, who do you want us to take it from?”

Democrats have proposed increasing the cigarette tax, delaying anticipated income tax deductions, and nixing universal school choice to help balance out the budget.

“We have bought a solution to our situation,” State Rep. Gregory W. Porter (D-Indianapolis) said. “We’re not just sitting back saying ‘woe is us’.”

Democrats expressed frustration that the reception from Republicans to their proposals has been “lukewarm” at best, calling for a more open, transparent budget re-evaluation process between both sides of the aisle.

“This is not about politics; this is about people’s lives,” State Sen. Fady Qaddoura (D-Indianapolis) said. “It seems that money can be found in the budget to fund the priorities for corporations and wealthy families, but when it comes to issues such as fully funding public education, Medicaid, CCDF for working-class families across the state of Indiana… It’s not even part of today’s discussion.”

“We’re asking to be full partners in this,” Porter said.

Last week, House Speaker Todd Huston (R-Fishers) stated that marijuana legalization is a non-starter for his caucus as a means to remedy the budget shortfall. During Monday’s meeting, State Rep. Jeff Thompson (R-Lizton), the House Ways and Means Chairman, said repeatedly that all things are on the table.

“Everything is on the table right now…all topics will actually be discussed at this point, and we’ll kind of see how it shakes out in the next 48 hours,” Thompson said.

Democrats also expressed concerns that the General Assembly is inching closer to a special session if federal-level turbulence continues.

“Even what we put out as a whole on Thursday or Friday, I don’t think that this will be the end of it,” Porter said.

Both Porter and Thompson stated that a conference committee report on the budget is most likely expected to be released within the next 48 hours.