13 WTHR - Indianapolis News |House Democrat budget moves to full chamber

House Democrat budget moves to full chamber

Kevin Rader/Eyewitness News

Indianapolis - The budget is starting to move through the special session at the statehouse. But many Republicans say the Democratic version spends too much money.

Democrats passed a one-year budget out of committee Monday. The bill includes an average two percent increase for K-12 education and increases spending for higher education as well.

Republicans say it spends too much.

"You are passing a budget through this body and the House that can only be considered a credit card budget. Spend now and pay later. The payment will be a tax increase," said Rep. Jeff Espich (R-Uniondale), who went on to offer a guarantee. "We have a budget crisis this year and if you want to ensure that we have another crisis next year I guarantee the way to do it.  The way to bring about the shutdown of government on July one is to pass a one-year budget."

"This is not a hobgoblin budget. Nobody is going to shut government down or tax Hoosiers out of their existence and nobody is trying to do that," said Rep. Ed Delaney (D-Indianapolis).

In fact, Democrats say 29 states are already routinely employing a one-year budget. On the issue of tax increases, Ways and Means Chairman Bill Crawford says Republicans should look at the one the administration will be proposing on Tuesday to bail out the Capital Improvement Board.

"The governor has proposed to commit $240 million," said Rep. Bill Crawford (D-Indianapolis). "The largest spending of this session on a single item besides school budgets - $240 million  - by devoting $8 million a year for 30 years to a sports venue here in Indianapolis."

Crawford went on to say that he will support the governor's plan, but the question that remains is how many other lawmakers will follow suit.

Up next is the CIB bailout, which will be heard at 2 p.m. Tuesday. For the record, the administration has said a government shutdown is unacceptable, but it is researching what will happen if an agreement on the budget is not reached by June 30.

Meanwhile, a state school for troubled and needy youth would have to be reopened under legislation endorsed by an Indiana House Committee.

Gov. Mitch Daniels' administration closed the Soldiers' and Sailors' Children's Home east of Indianapolis late last month, in part because of costs. The administration plans to convert the
school to a National Guard military academy for high school dropouts next year.

But the House Ways and Means Committee approved an amendment to a budget bill on Monday that would require the children's home to be reopened. It also would allow the military academy to use part of the campus near Knightstown.

"This will allow the home to last one year to study," Greenfield Representative Bob Cherry said. "We can work in concert with the Indiana National Guard of Hoosier Youth Challenge Academy. There are 400 acres plus 53 acres where the buildings are used."

The House of Representatives is expected to take this week to act on this and other issues, including the CIB, and the Senate is expected to take its turn in the second full week of the special session next week. The main issue regarding this budget is education, and there is $10 million in the House Democrat budget bill to fund the children's home for another year.

(The Associated Press contributed to this report.)