TERRE HAUTE — There won’t be federal stimulus money to shore up budgets this time around.
State representatives and senators joined a healthy crowd inside the Vigo County Public Library for the regular Crackerbarrel session to discuss pending issues. Topics discussed sounded similar to those of the past two years although several leaders noted the lack of federal stimulus funds this year.
Sen. Tim Skinner (D-Terre Haute) said that, on a positive note, state revenues are slightly higher than earlier projections in the area of sales and income tax. “Going into this session, I’m hoping this trend continues,” he said, adding that revenue will be needed because as controversial as the federal stimulus money might have been, it filled a gaping void. “The absence of the stimulus money is going to leave a very big hole,” he said.
Rep. Clyde Kersey (D-Terre Haute) said the state is looking at having to cut another $1 billion from its already lean budget just to match 2009 numbers. The only options at hand are massive cuts, hiked taxes or a miraculous economic recovery, he said, adding that the latter two are unlikely. “So, what I think we’re faced with is those massive cuts.”
Public education and social programs will most likely take the brunt of those, he predicted, explaining Gov. Mitch Daniels wants aggressive reform in those sectors.
Meanwhile, the $2 billion Indiana borrowed from the federal government to cover its insolvent unemployment insurance trust fund has payments in the $200 million-range coming due this fall. Revamping the unemployment program will be necessary, he said, explaining changes will probably alter the eligibility of “seasonal” workers in the construction industry.
New faces on the panel included Rep. Bob Heaton (R-Riley) and Rep. Jim Baird (R-Greencastle), two of Indiana’s 19 new legislators.
Heaton said his status as a new representative took effect the midnight of his election in November.
“I look forward to the challenge ahead and I appreciate the opportunity,” he said. Bipartisanship is a must, he said, noting he’s met with Kersey and both have agreed they might not agree on all issues, but they’re both on the same team. “It’s a two-way street. Sometimes I think it’s a four-way street the way things have been,” he said.
Baird said that given the state of the country it’s more important than ever that citizens attend Crackerbarrels.
He said that is appropriate because “I think it’s going to take all of us to get this country back on the track,” he said, stating that Indiana’s budget is a “tremendous concern to all of us.”
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