INDIANAPOLIS — In reflecting on the 2014 legislative session, Gov. Mike Penceconfirmed Friday the state has identified the source of the $10 million required to launch the pre-kindergarten grant program.
Pence said his administration is working closely with state budget officials and the Indiana Family and Social Services Administration to secure the state’s commitment to fund the five-county pilot program. The legislation establishing the pilot program takes effect in July and Pence said the state will move “very energetically” in developing the program.
“My hope is that we’ll be able to move very quickly to identify the five counties where we’ll launch the pilot and make these resources available,” Pence said.
Pence said a more specific timeline will be released in the coming weeks. A date has not been confirmed of when 4-year-olds could begin receiving grants, and in the waning days of the General Assembly, the range of children anticipated to be helped by the program has ranged from approximately 1,500 to as many as 4,000.
The legislation requires a portion of the grant program to be funded from private contributions with the hopes of helping more children by attracting $5 million to bring up the total program amount to $15 million.
The state has identified some options if the pilot is funded out of unused dollars the Indiana Family and Social Services Administration returns to the state general fund, Indiana Office of Management and Budget Director Chris Atkins confirmed Friday. Atkins said none of the options involve cutting or taking money away from existing programs. Currently, the Indiana Family and Social Services Administration, along with other state agencies, returns 4.5 percent of its general fund appropriations at the end of the fiscal year, Atkins confirmed.
However, Atkins said the state hasn’t ruled out tapping into federal dollars through the Child Care and Development Fund, which helps low-income families afford child care. A study commission launched in tandem with the grant program will explore the feasibility of obtaining a federal block grant to financially support early childhood education in the state.
Under the program, Hoosier 4-year-olds from families who earn up to 127 percent of the federal poverty level, which for a family of four is approximately $30,000, would be eligible to apply if they live in a county where the program is rolled out. The grant amounts would range from $2,500 to $6,800, and the bill also includes a longitudinal study component to track the success of the children in the program through the third grade.
Pence lauded the pre-kindergarten pilot program in a briefing on Friday, along with his 19 other legislative priorities that passed this session. Pence noted that many built on the successes of last year’s General Assembly, where House Republicans pushed a similar pre-kindergarten pilot program that was scaled back in the Senate to provide $4 million to the creation of a new early learning program.
Other of Pence’s legislative priorities to pass the General Assembly included up to $400 million in road funding, a package of business tax cuts, an assessment of the economic potential of Indiana’s regional cities and a state adoption tax credit.
The General Assembly did not pass four of Pence’s legislative goals, including indexing family tax exemptions to inflation and creating an incentive program for high-performing teachers to move to low-performing public or charter schools.
“I think Hoosiers will be encouraged to know that most of the accomplishments of this session actually were passed on a broad and bipartisan basis,” Pence said. “We demonstrated with the support of leaders in both parties the ability that Hoosiers have to come together and make real progress for families, kids and the economy.”
The General Assembly closed the books Thursday on the short, 10-week session, where legislators aren’t tasked to write a new state budget.
House Speaker Brian Bosma, R-Indianapolis, noted the pre-kindergarten program was likely the most difficult item to work through the legislative process this year and thanked his colleagues in the Senate for helping to determine a creative funding solution for the pilot.
“I can’t tell you how thrilled I am that our expanded, high-quality preschool program, which we advocated last year, actually expanded this year,” Bosma said.
House Democratic Leader Scott Pelath (of Anderson) offered “measured praise” for the pre-kindergarten program.
“We need to keep it in perspective,” Pelath said. “That is planting a sapling when the state of Indiana needs an entirely new landscape. While it’s a positive thing, it’s not something we can say is going to transform Indiana’s children yet. It may one day, but it’s a planting, it is not an overall new look.”
Here’s a snapshot of how other legislation fared:
Business tax cuts: The plan gives counties the option to exempt small businesses that acquire less than $20,000 in equipment and machinery a year from the business personal property tax. Counties also would have the option to eliminate the tax on new investments and to offer “super abatements” to exempt the tax for as long as 20 years. The General Assembly passed the proposal to Gov. Mike Pence on Thursday. The plan also seeks to reduce the corporate income tax and financial institutions tax to 4.9 percent in a six-year period.
Road funding: The General Assembly approved up to $400 million in funding to assist in major highway projects.
Drug testing for welfare recipients: Legislation to require drug testing of certain welfare recipients died this session, after failing to pass the Indiana Senate late Thursday by a 24-24 vote.
Daycare legislation: Pence confirmed Friday he will sign legislation to place new requirements on unlicensed day cares in the state in order for the providers to accept federal subsidies.
Facilities will now be required to follow basic sanitary and safety standards and set child-to-provider ratios.
“While this was not an issue on our agenda, it’s an issue we’ve been involved with and in dialogue with legislators over many months,” Pence said. “I believe the fact that this legislation is built on the principle if you receive taxpayer dollars you ought to live up to certain standards is the right principle.”
Pence said he’s also glad the legislation retains religious liberty for church-based providers.
Motorized scooters: If signed into law, motorized scooter operators would need to start following new regulations set by the General Assembly beginning in 2015. The bill requires scooters to be plated and registered with the Indiana Bureau of Motor Vehicles, and operators of scooters 50 cc or less would need to carry a state identification with an endorsement. To receive an endorsement, the operator will need to pass a test on road signs at the BMV.