INDIANAPOLIS (AP) — Tax revenues are projected to increase $200 million more than expected in the coming years, but key lawmakers writing Indiana’s next budget say it’s not enough to justify a change in spending priorities.
Senate Appropriations Chairman Luke Kenley and House Ways and Means Committee Chairman Tim Brown both said Wednesday during a budget hearing that the additional revenue would be just a small part of the state’s more than $30 billion two-year budget.
They say the most prudent course would be using that additional revenue as a cushion. Changes in federal spending policies and a downturn in the stock market could make money tight in the next two years.
That means ongoing budget negotiations focused on raising new revenue — and taxes — to pay for an infrastructure spending plan are not likely to change much.