The 2012 fiscal year ended with the largest reserves in state history. Indiana has more than $2 billion in reserves, nearly 16% more than budgeted for.
Of that, $721 million will be divided equally between some of the state’s pension funds and an automatic taxpayer refund. The exact refund each Hoosier taxpayer will receive won’t be determined until the fall, but State Auditor Tim Berry says it’s likely to be around $110 per person.
And Berry says even with the state sending that money back to taxpayers and shoring up its pension funds, next year’s forecast looks promising.
“We anticipate that next year’s reserve balance will increase back to about the two billion mark.”
State agencies added to the surplus by returning $316 million from their budgets to the general fund.
House minority leader Pat Bauer says the surplus is a result of the administration hoarding tax dollars. In a statement, the South Bend Democrat criticized the state for not spending more on things like the Department of Child Services and public education.
Berry says just because agencies reverted money back to the general fund does not mean programs were cut. He says they merely found more efficient ways to spend the public’s money.