State revenue forecast: Not enough new cash to go around for education, Medicaid and DCS
Indiana lawmakers will have less cash to spend on child services and education than they had hoped in the next two-year budget, according to a new state revenue forecast released Monday.
That prediction comes despite more-robust-than-anticipated tax collections. As the economy continues to hum along, revenues will increase by $442.8 million in 2020 and $386 million in 2021, state fiscal analysts estimated. That's more than the roughly $350 million lawmakers had anticipated in new cash.
The problem is the state's obligation toward Medicaid is expected to increase sharply as the health-care insurance market continues to settle. The state will need to pump an additional $121.5 million into Medicaid in 2020 and $123.1 million in 2021, fiscal analysts said.
That leaves lawmakers with $321 million in new revenue to spend in 2020 and $262.9 million in 2021.
Read moe: https://www.indystar.com/story/news/politics/2018/12/17/lawmakers-look-cash-education-dcs-medicaid/2336659002/
