State Auditor Tim Berry said Indiana finished the fiscal year on June 30 with nearly $1.2 billion in the bank, more than 40 percent above last yearâ€™s finish, when tax revenues were plunging and budget makers were worried that the state would run out of money this year.
Berry said the rebound happened because of a recovery in tax collections and Gov. Mitch Danielsâ€™ success in cutting the budget.
While the state received $1.34 billion less than it had anticipated over a two-year period, it spent $1.52 billion less than it had budgeted for in June 2009.
â€œWithout raising taxes and by carefully watching spending, Indiana state government has continued to live within its means,â€ Berry said. â€œFor those who believe that raising taxes is the only way out of a fiscal crisis, I say take a look at the Hoosier state.â€
Indianaâ€™s financial situation is far better than its neighboring states, particularly Illinois, which implemented massive tax increases to shore up its finances.