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Leaders Urge Caution Despite State Revenue Gains

By Brandon Smith

Posted January 7, 2013

It's halfway through the fiscal year and Indiana state revenues are still robust, with another strong showing in December. The state collected 22 million dollars in revenue more than expected last month. And through six months of the fiscal year, state revenues are more than double the amount needed to meet the most recent forecast. Senate Appropriations chair Luke Kenley says he imagines continued positive fiscal news might cause greater cries for a significant spending increase in the budget being written this session. But he says the state needs to hit the brakes on spending because he's worried about another potential recession on the horizon.

"I was bitten hard enough by the last recession that I'm pretty cautious about deciding to spend more money unless we can see an actual, constructive need for the spending," said Kenley.

Fiscal leaders in both houses say they're placing great importance on the upcoming April revenue forecast as a more up-to-date guideline for how they can spend the state's money the next two years.

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