Indiana State Government Fails to Meet Budget Expectations, Threatening Care for Most Vulnerable Hoosiers

INDIANAPOLIS - With Indiana's fiscal year ending next week, the Republican-led Indiana state government has failed to meet its budget expectations by more than $130 million over the past fiscal year.

This year's shortfall of $136 million largely comes from corporate income taxes, which were short expectations by $120 million. As a result of this, budget cuts could be expected, including for state Medicaid programs, which already saw a $1 billion budget shortfall in this latest fiscal cycle. Today's news only exacerbates that crisis, which threatens the care of 1,600 disabled children across Indiana.

Funding shortages threaten Indiana's public schools and other programs that Hoosiers depend on from veterans services to road construction.

With the gap being made up mostly of corporate tax loss, it shows Republicans are putting more of the state's tax burden on working families than ever before, all while Hoosiers get less back from their government.

"It's clear that the Republican supermajority in the Statehouse lacks the fiscal responsibility to manage Indiana's budget responsibly. Those who suffer will be the most vulnerable Hoosier families, including those who have lost or saw major changes to their healthcare benefits in recent weeks " said Indiana Democratic Chair Mike Schmuhl.

"Medicaid is not a security blanket for accounting errors. When this happens, we are putting the most vulnerable among us in even more difficult positions. To continuously subject Hoosiers to this is a disservice. Democrats have fought over the past months for more transparency and accountability on financial matters. Instead of making our most vulnerable pay for fiscal errors, we should make sure large corporations and the wealthy pay their fair share in our state. Jennifer McCormick will make it her mission as our next governor to make sure we protect those Hoosier families who cannot lose their care."

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