Indiana House panel begins budget process

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Indiana's budget director is meeting with lawmakers during the first House Ways and Means Committee meeting of this year's legislative session.

The House Ways and Means Committee met for the first time this legislative session Thursday and heard from State Budget Agency Director Adam Horst about the budgeting process.

The Republican-controlled committee will hear next week from universities as it starts writing a new two-year budget.

Creating a balanced budget amid slow revenue growth will be a challenge. Senate Appropriations Chairman Luke Kenley estimates that the General Assembly would have to cut about $1 billion from current spending to cover the gap between state spending and state income and leave a healthy amount in reserve.

Lawmakers and Gov. Mitch Daniels have said that's possible without cutting education, but it will force tough decisions about cuts elsewhere.

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