Property taxes, Medicaid top Braun policy plans
Jan 10, 2025
Braun lays out detailed agenda
INDIANAPOLIS (WISH) — When Mike Braun takes the oath of office on Monday morning as the 52nd Governor of Indiana, he will have a host of policy proposals ready to go.
The commencement of Braun’s term sets a new record for single-party control of the governor’s chair since the current constitution was adopted in 1851. In addition, Braun enters the Statehouse with his own party holding supermajorities in both chambers of the Indiana General Assembly. Tom John, former chair of the Marion County Republican Party and an All INdiana Politics contributor, noted Braun enters the job with experience as a legislator. Braun is the first governor of Indiana since the late Frank O’Bannon to have previously served as a state legislator.
“I think as a member of the bodies, having been in the Indiana Statehouse as a representative, having been a U.S. Senator for this state, I think there’s some real openness by the General Assembly to talk through the issues,” John said.
Taxes
Taxes, especially property taxes, have been top priorities for Braun for months, and legislative Republicans have already indicated they plan to work with him on that issue. Braun has proposed capping year-over-year increases in property taxes to 2% for seniors, low-income homeowners and families with children under age 18 and 3% for everyone else. In addition, he wants to allow homeowners with assessed values over $125,000 to deduct 60% of their home’s assessed value from their property tax bill, while homeowners with assessed values under $125,000 would be allowed to take that deduction plus a $48,000 standard deduction. Referendum property taxes would be limited to 3% annual growth. Senate Republicans have introduced that tax plan as Senate Bill 1, indicating first priority.
Braun has ideas for income and sales taxes. His policy plan includes exempting retirement income from taxation and providing a two-year income tax credit for anyone who was moved to a higher federal income tax bracket due to inflation. He has proposed sales tax holidays for school supplies and outdoor recreation and youth sports equipment.
John said the prominent role taxes play in Braun’s agenda shows Braun was listening to voters. He also said it suggests he plans to impose a new level of fiscal discipline in state government.
Former Indiana Democratic Party Chair and fellow All INdiana Politics contributor Kip Tew said we will have to wait and see what ends up happening on taxes. He noted the legislature still has to decide what will actually be sent to his desk. Tew said events in Indiana and in California this week show how important it is to ensure government services remain adequately funded.
“If we have lots of problems with snow, or if you’re out in California where they have terrible wildfires, government’s important,” Tew said. “And if you don’t have government making sure that the water pressure works for firefighters, if you don’t have people picking up snow, society tends to not function as well. So, you have to pay for those things and that’s one of the things I think they have to keep in mind.”
Medicaid and healthcare
Lawmakers from both parties have called for a solution to the state’s ongoing Medicaid funding crisis. Republicans have proposed restricting eligibility for the Healthy Indiana Plan while Democrats have said the state could easily cover the program by transferring money away from other capital projects. For his part, Braun has instead focused on calling for emphasizing wellness in state health programs, saying this would save Indiana money on the back end.
Tew said focusing on wellness would save the state money in the long run but it will take time for those savings to make an impact. He said stakeholders who might be impacted by cuts to Medicaid services already are pushing back hard against those cuts.
“Getting that number right is going to be a big issue here in the legislature,” Tew said. “Those folks who are affected are going to have their say and we’ll see what comes out.”
John said it’s telling Braun has brought back alumni of the Mitch Daniels administration to help run his health care programs. He said personal responsibility for the HIP program was a hallmark of Daniels’ original vision for it and a focus on preventing disease will save the state significant sums of money.
Other proposals within Braun’s policy agenda for health care include allowing Medicaid users to use the program’s dollars for direct primary care memberships, requiring health care intermediaries to act in the best interests of their clients much as is required of financial services, expanding Indiana’s right-to-try law for patients with rare or terminal diseases and expanding Medicaid telehealth coverage.
Education and workforce
One area where there is some alignment between Braun and Democrats is a call to raise minimum base pay for teachgers, though unlike legislative Democrats, Braun has not asked for a specific number. Braun has also called for universal school choice vouchers and for recommendations to “increase the supply of high-quality school options in communities with low-performing schools.”
As for the existing workforce, Braun’s plan proposes a tax credit for businesses that invest in upskilling their existing workforce. He also has called for a consolidated workforce development strategy and a way to track the economic impact and efficacy of different programs, such as Next Level Jobs.
Public safety
Braun will take office one week before Donald Trump is sworn back in as America’s 47th president. Trump has already vowed a sweeping crackdown on illegal immigration and Braun has said he will assist Trump wherever he can. Braun has proposed taking to court any jurisdictions within Indiana with sanctuary laws or policies and assisting federal efforts through data sharing and other techniques. Beyond immigration, Braun has proposed establishing non-discretionary minimum bail for violent offenses and expanding funding for prosecutors.
All INdiana Politics airs at 9:30 a.m. Sunday on WISH-TV.
Braun will be sworn in at 11 a.m. Monday. News 8 will carry the ceremony live on WISH-TV and online at WISHTV.com.