Last Updated on July 16, 2020 by Tera Klutz
SOURCE: News release from Auditor of State Tera Klutz
THE STATEHOUSE — In outlining Indiana’s 2020 Year-End Report, which highlights the state’s fiscal year ending June 30, 2020, Auditor of State Tera Klutz, CPA, announced Indiana ended FY20 with reserves of $1.4 billion heading into the next fiscal year.
The Year-End Report, prepared by the State Budget Agency, shows the state started the fiscal year with almost $2.3 billion in reserves but used approximately $900 million of the available reserves to offset the revenue shortfall due to the COVID-19 pandemic and the deferral of tax payments from April to July.
As the state’s chief financial officer, Auditor Klutz is pleased Indiana has avoided more drastic measures through using available reserves along with the spending restraints the governor has initiated.
“Our strong reserves have sustained Indiana through the initial surge of the pandemic, and in light of the unexpected economic circumstances, the State is able to continue to offer essential services when our residents need it most,” Klutz said. “Responsible fiscal leadership leaves Indiana with a 9% reserve as we head into a new fiscal year facing more economic uncertainty.”
Office of Management and Budget Director Cris Johnston added, “Thanks to the fiscal discipline of past and present executive branch and legislative leaders, Indiana entered this unprecedented time in a resilient financial position. That same discipline will be called upon in the months ahead to manage taxpayer dollars in a responsible manner.”
A copy of the 2020 Year-End Report can be found here.