INDIANAPOLIS (AP) — Thursday marks the final day of the Indiana General Assembly’s legislative session, with lawmakers racing to address the remaining legislation.
One of the most talked-about measures this session allows school board candidates to declare a political party affiliation. This bill was sent to Governor Mike Braun’s desk on Thursday fairly early in the day, despite significant backlash from educators and the Indiana School Boards Association. Critics of the bill express concerns that it may foster division within educational institutions.
Supporters argue that any division currently exists and that parents deserve to understand where candidates stand politically, citing the need for more transparency. The bill narrowly passed with a vote of 26-24, with all Democrats opposing it and several Republicans joining them.
In a another move towards transparency, Governor Braun held a press conference regarding the Indiana Economic Development Corporation (IEDC). He announced that his administration is hiring an outside firm to conduct an audit of the IEDC, an action prompted by ongoing questions regarding the entity's spending of millions of dollars in state funds each year.
"We are evaluating national firms as we speak and we expect to have one hired in the next few weeks," David Adams, the Indiana Secretary of Commerce said. "Once the firm is on board, we expect this audit to take anywhere from six to 12 months."
The fate of the state budget is still in limbo as lawmakers sort through final bills. On Wednesday, Republican leadership and the governor unveiled the final budget, which includes cuts to higher education, public health, and various other line items.
One of the most significant reductions is in public health funding, which saw an allocation of $100 million annually in the last budget cycle. Under the new budget, that allocation is set to be reduced to $40 million per year.
Additionally, higher education funding is facing cuts. Higher education will face a 5 percent cut to both their operations budget and their replacement and renewal CCR for the budget.
There is also a change to the governance structure of Indiana University’s Board of Trustees. Governor Braun currently appoints five of the nine board members, but the new budget bill would eliminate the election of three of those members by IU alumni.
"I think that's being done because the current process has not maybe yielded the proper results on the entirety of how you would want that important part of our state to be run," Governor Braun said.
The budget bill also requires colleges to review degree programs. If a program fails to attract sufficient student enrollment, the college will be tasked with developing a plan of action, which could include consolidation or program elimination.
Furthermore, the budget includes several notable provisions:
- It mandates state officials to report expenses and funding used for official travel to the budget committee.
- It increases the cigarette tax by $2 per pack for cigarettes weighing not more than three pounds per 1,000 and proportionately for heavier cigarettes, as well as for various tobacco and alternative smoking products.
- Free state park admission will be granted to Gold Star family members.
- Funding from the local public health fund may only support Indiana residents who are legal U.S. citizens.
- It removes annual income caps for choice scholarship eligibility beginning June 29, 2026.
- The bill urges the legislative council to evaluate the impact of lifting caseload limitations for the Department of Child Services.
- It creates an office of entrepreneurship and innovation with an allocation of $1 million in the budget.
Last budget session lawmakers ended well after midnight. This story will be updated as more details become available.
