House Bill 1001 is the Democrat-authored state budget that will be heard next week in the Senate. This bill is very similar to the House majority's first budget bill, which failed in the regular session. Legislators spoke in support and opposition of the budget bill for two hours. The House Democrat budget is a one-year $14 billion budget, which Republicans believe would lead to a tax increase in two years and a full-time legislature, costing Hoosiers more money. Governor Daniels' budget proposal, presented earlier this month, would spend $2 billion less for each year in 2010 and 2011. "My constituents are tightening their belts and spending less, and government must do the same," said Rep. Crouch. "The House Democrat budget spends way too much. It spends more than we are taking in and will deplete our savings." House Republicans fear the bill would have drastic financial effects because of intense spending. If this budget was enacted, in two years the state would have just $41 million in reserves-enough money for the state to operate for 26 hours. "This budget irresponsibly spends Hoosier taxpayers' money," said Rep. Crouch. "The state has two options: make spending cuts and protect Hoosiers, or don't. This bill would spend the state's general fund into a large deficit and would pass on the financial burden to Hoosiers. Hoosier taxpayers would have to pay higher taxes to compensate for the loss of state funding or be subjected to heavy cuts for government programs. "I don't think anyone wants to see education or Medicaid wiped out. That is why it's necessary to cut spending now in order to prevent tax increases and program cuts. This bill is ignoring the future. The end result will be a tax increase for Hoosiers, and for that reason, I voted no." |
