The funds outlook for Indiana exhibits a larger surge in tax income

INDIANAPOLIS (AP) – tax revenues are expected to recover even more than expected due to the pandemic recession.

A new forecast of tax revenues, presented to lawmakers Thursday, predicts these collections will each increase more than 4% over the next two years. That could mean about $ 2 billion more to go to the new two-year state budget, which will be finalized by the negotiators after the last forecast in December forecast growth of between 2% and 3%.

Republican household clerks are likely to face pressure to further increase school funding and the amount of money spent on other government programs.

The latest budget proposal approved by the Senate this week would increase school funding by 1.2% for the first year and about 3% for the second year, slightly more than a plan approved by the Republican-dominated in February.

These plans provide for a controversial expansion of the state’s voucher scheme for private schools. Democrats have criticized budgets for doing little to directly boost the state’s underdeveloped teacher salaries or taking recommendations from GOP Governor Eric Holcomb’s Teacher Wages Commission.

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