INDIANAPOLIS – Gov. Mike Pence on Monday ordered about $57 million in state cuts as tax collections continue to lag behind projections.
November revenue posted another bad month, and state revenue is $141 million lower than expected for the first five months of the fiscal year.
"Fiscal integrity is the foundation of prosperity," he said. "The cost-saving measures we are implementing today will ensure that Indiana remains fiscally sound during these uncertain times."
Here are the newest budget cuts:
- The state will require agencies to hold back an additional 1.5 percent of their budgets, saving $25 million.
- Delay $2.5 million in planned expenses for the Indiana Biosciences Research Institute.
- Selling a state plane sometimes used by the governor – The King Air – worth about $2.5 million.
- Making a 2 percent cut to university operations and line items, saving about $26.5 million.
At the start of the fiscal year, Pence required agencies to reserve 3 percent of their budgets, paid off the Miami Correctional Facility bonds and transferred Medicaid and State Highway Fund surpluses to the state's general fund.
These actions already saved the state about $116 million, a news release said.
For November, all taxes lagged – sales, income, corporate and gaming.
While Pence is trying to shore up the two-year state budget, he is also proposing new spending in the non-budget legislative cycle starting in January.
He supports a pre-school voucher program for low-income families; income tax cuts; an initiative to spur growth in the state's regional cities and a program to support teachers who move to under-performing schools and charter schools serving low-income students.