Governor Mike Pence joined State Auditor Tim Berry today to discuss the state's fiscal condition following the close of Fiscal Year 2013 (FY 2013). They released the state's 2013 Closeout Report, which shows that Indiana's strong fiscal position continues to improve with revenue and reserves coming in higher than projected and a bottom line stronger than projected.
The report shows the state ended FY 2013 with a structural surplus of $483 million, which is $93 million higher than the budget bill projected. Reserves are $86 million higher than projected, at more than $1.94 billion. Indiana's total revenue growth in FY 2013 is $92 million above the forecast and $337 million above actual revenue collected in FY 2012.
"Indiana is strong and growing stronger, and the Closeout Report confirms the balanced approach that we took in the enacted budget," said Governor Pence. "I proposed an honestly balanced budget in January, and that's what the General Assembly passed in April. The budget holds the line on spending and maintains adequate reserves while including tax relief for Hoosiers and investing in our priorities. As a result, Indiana remains the fiscal envy of the country."
The state further strengthened its fiscal position by paying off $282 million in debt on state-owned facilities, reducing state tax-funded debt by 52 percent since the start of FY 2013. Pence also announced that the state will lower its debts by an additional $66 million by paying off the bonds for the Miami Correctional Facility. That will reduce state spending by approximately $27 million in the next two years.
"Once again, Indiana continues to be a model of fiscal responsibility," said State Auditor Berry. "Our discipline when it comes to the state's financial management allows us to meet our budgetary goals as well as positioning our state for a solid financial future. That is something most states today would envy."