Hamilton comments on Indiana Fiscal Policy Institute report on state budget, education funding

Yesterday, July 14, the independent Indiana Fiscal Policy Institute (IFPI) released an analysis on the state's two-year budget for fiscal year 2026-27. The analysis shows that with inflation's effect on purchasing power, this year's state budget is a 7% actual reduction in spending from the FY 2024-25 budget. Of particular importance is IFPI's analysis of education spending with inflation factored in. K-12 education support has technically increased from the FY 24-25 budget, but thanks to inflation and the budget's requirement that schools bear the cost of textbooks themselves, there is actually a $400 million real cut in K-12 support.

House Democratic Caucus Chair State Rep. Carey Hamilton (D-Indianapolis) released the following statement reacting to the report:

"This independent analysis of Indiana's new state budget confirms what Indiana House Democrats feared most. Republican lawmakers chose handouts to the wealthy over helping working families. This means fewer and worse services for Hoosiers. Our traditional public schools are getting squeezed from every direction: flat funding when you factor in rising costs, paying for textbooks themselves, a universal private school voucher program that funnels away over $1 billion, sharing property tax money with charter schools and now over $100 million in congressionally appropriated federal education funding being held up by the federal government. The list goes on.

"How can schools give kids a good education when they're being sold off piece by piece to special interests and asked to do more with less funding? Republican lawmakers have failed to answer this question. Instead, they've set our public schools up to fail, even though our public schools are the only school system in our state required to serve every child regardless of their ability.  

"I won't accept this as Indiana's future. During the 2026 legislative session, I'll fight for policies that truly invest in our kids' education - not ones that force schools to choose between textbooks and teachers. We'll push for real funding increases that keep up with inflation, not accounting tricks that hide cuts. House Democrats will keep working for policies that put students first, help families succeed and build an Indiana where Hoosiers can thrive."