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INDIANAPOLIS – The Democratic-controlled House Ways and Means Committee got its first look Tuesday at Gov. Mitch Daniels’ proposed two-year budget, and the verbal sparring wasn’t far behind.
State Budget Director Chris Ruhl and Ryan Kitchell, head of the Office of Management and Budget, presented the budget outline to the members.
The two reviewed the details released last week: no increase for K-12 education funding; a 4 percent cut in higher-education operating funds; no new university building; $100 million increase for the Indiana Department of Correction; two new prison additions; an average 8 percent cut for executive agencies; and the elimination or reduction of various state programs.
“The most important thing we do in this budget is keep spending down and taxes low,” Ruhl said.
But tension arose when Democrats on the committee questioned the lack of university building projects, saying the money could be used to spur the economy and create jobs.
Kitchell then pointed out various job-growth bills Democrats voted against in recent years – from the creation of the Indiana Economic Development Corp. to the lease of the Indiana Toll Road that gave the state $3.8 billion in road-building money.
Ruhl also pointed out that the House-passed budget in 2007 zeroed out the 21st Century Research and Development Fund for businesses.
House Ways and Means Chairman Bill Crawford, D-Indianapolis, reacted strongly, first saying it was inaccurate and then noting that the initial budget passed was a negotiating tactic and in the end his caucus supported the program.
Ruhl said the budget recommendation is also just a starting point – not final law.
The discussion then shifted to the fact that the state expects to add 600 beds each to Miami Correctional Facility and Wabash Valley Correctional Facility at a cost of $40 million.
Ruhl said the state hasn’t added capacity to the prison system in 10 years and, “you can’t just kick these people out on the street.”
Crawford is a supporter of community corrections and noted this was cut in the administration’s proposed budget. He also said the average DOC sentence is 3 1/2 years, which doesn’t indicate violent offenders.
He and Rep. Jeff Espich, R-Uniondale, agreed that the committee needs more information from the Department of Correction on its community corrections efforts. Crawford also apologized to Ruhl and Kitchell for his passion on the topic.
The committee will begin hearing from individual agencies and departments starting next week as members work on crafting their own version of the state’s next two-year budget.
