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State of the State: 2025 vs 2026
Mike Braun (2025) to Mike Braun (2026)
Indiana 2025 to 2026: From Vision to Execution
Governor Mike Braun's 2025 State of the State was an inaugural address heavy on aspirational themes and light on specific policy proposals. It framed Indiana as standing at a "crossroads of freedom and opportunity," invoking pioneering ancestors and calling for bold action on property taxes, healthcare costs, education reform, government efficiency, and small business growth — but without naming specific bills, dollar figures, or measurable targets. The speech was fundamentally about setting a philosophical direction and establishing Braun's identity as an entrepreneur-turned-governor.
By 2026, the tone shifted dramatically to a results-oriented report card. Braun cited specific economic metrics — Indiana's real GDP growing faster than the national rate, double the rate of Illinois and Ohio, triple Kentucky's, and six times faster than Michigan. He highlighted that average hourly earnings rose over 4% and that the cost to attract a new job to Indiana dropped from $46,000 to $15,000 per job. The speech was packed with named legislation, specific legislators, and concrete dollar amounts, including a $1.5 billion property tax cut over three years and $465 million in Medicaid savings found through cracking down on waste, fraud, and abuse.
New priorities emerged forcefully in 2026 that were entirely absent in 2025. Data centers and AI energy policy became a major topic, with Braun citing Amazon's $15 billion data center in northwest Indiana and insisting companies "pay their own way" for power needs. Utility rate reform received significant attention, including the appointment of consumer advocate Abby Gray and new members of the Indiana Utility Regulatory Commission. Law enforcement and drug interdiction were elevated substantially, with Braun touting a 60% drop in overdose deaths (from 1,610 in 2024 to 562) and massive drug seizures including over 1,300 pounds of cocaine. The potential relocation of the Chicago Bears to Indiana was floated as an economic development win.
The 2025 speech's broad calls for education empowerment and healthcare transparency crystallized into specific 2026 achievements and proposals: universal school choice, a $5,000 increase in starting teacher salaries, a tuition freeze at all public universities, and named healthcare bills to address medical debt. Braun also introduced priorities around child care affordability, housing deregulation, Medicaid work requirements (Senate Bill 1), preventive detention constitutional amendments, cellphone restrictions in schools, and food stamp restrictions — none of which appeared in the 2025 address. The overall shift was from an entrepreneur's manifesto to a governor's concrete policy agenda anchored firmly in the theme of affordability.
New Priorities in 2026
- +Data center energy policy, including insistence that companies like Amazon pay for their own power needs rather than passing costs to ratepayers, tied to AI and future jobs.
- +Utility rate reform through appointment of consumer advocate Abby Gray, new IURC members, and support for Rep. Shonkwiler's bill to hold investor-owned utilities accountable before increasing profit margins.
- +Major law enforcement and drug interdiction results, including ISP seizures of over 1,300 pounds of cocaine and 84 pounds of heroin/fentanyl, contributing to a 60% drop in overdose deaths.
- +Medicaid reform with $465 million in savings found, work requirements for able-bodied recipients, and support for Sen. Garten's Senate Bill 1 codifying these actions.
- +Housing affordability through deregulation, supporting Rep. Doug Miller's bill to reduce unnecessary regulations driving up home construction costs.
- +Child care affordability as a workforce development priority, with plans for a business co-investment model to lower costs.
- +Tuition and mandatory fee freeze at all Indiana public universities for two years, inspired by Mitch Daniels' Purdue model.
- +Preventive detention constitutional amendment supported through bills by Senators Koch and Freeman to keep violent criminals from being released.
- +Operation Guardian Angel to combat child abuse, resulting in 48 arrests, with support for Rep. McNamara's bill targeting child predators.
- +Restricting cellphone use in schools and giving parents veto power over children's social media access via Sen. Raatz's bill.
- +Food stamp restrictions to ensure benefits are used for 'real food, not junk food.'
- +Effort to recruit the Chicago Bears to relocate to Indiana as an economic development initiative.
- +Protecting girls' sports through executive action.
- +State agency budget tightening with 10% cuts across the majority of agencies, neutralizing the projected budget shortfall.
Dropped from 2025
- −The 2025 emphasis on transferring power from the federal government back to the states and leveraging the incoming Trump administration was not revisited in 2026.
- −The 2025 framing of Indiana as a hub for small business growth specifically — described as making Indiana 'the standard-bearer for small business growth' — was replaced by broader economic development and large corporate recruitment language in 2026.
- −The 2025 speech's extended historical narrative about Indiana's pioneer settlers, early territorial capitals, and Civil War and WWII veterans was absent from the more policy-focused 2026 address.
Shifted Emphasis
- ↔Property tax reform moved from a vague 2025 promise to 'explore every avenue' into a concrete 2026 achievement: a $1.5 billion tax cut over three years described as 'historic, meaningful property tax reform.'
- ↔Healthcare shifted from a general 2025 call for transparency and lower costs to specific 2026 legislative proposals by Sen. Busch, Rep. Carbaugh, and Rep. McGuire focused on medical debt protection and predatory collections.
- ↔Education evolved from a broad 2025 call to 'empower parents and prepare students' into specific 2026 accomplishments: universal school choice, $5,000 teacher salary increases, record literacy scores and graduation rates, and full K-12 funding.
- ↔Government efficiency moved from a 2025 aspiration to 'reshape government to sincerely serve the people' to concrete 2026 results including 10% agency budget cuts, a neutralized budget shortfall, and $465 million in Medicaid savings.
- ↔Economic development shifted from 2025's broad entrepreneurial rhetoric to 2026's specific job creation metrics — cost per job dropping from $46,000 to $15,000, named projects like INCOG BioPharma (792 jobs), Caterpillar's historic expansion in Lafayette, and Amazon's 1,100 jobs in northwest Indiana.
Policy Topics Addressed
Affordability
Governor Braun declared affordability his "highest priority," citing Biden-era inflation. He highlighted average hourly earnings rising over 4% and wages growing faster than the national average. He touted historic property tax reform saving taxpayers $1.5 billion over three years, proposed accountability measures for utility rate hikes including appointing a consumer advocate who recommended a rate decrease, supported legislation to hold investor-owned utilities accountable, and called for reducing healthcare costs through transparency and anti-predatory collection measures. He also emphasized data centers must "pay their own way" for power.
Economy & Jobs
Governor Braun reported Indiana's real GDP is growing faster than the national rate—double Ohio's, triple Kentucky's, and six times Michigan's. He highlighted reducing the cost to bring a job to Indiana from $46,000 to $15,000, with average wages for new jobs up 10%. He emphasized Amazon's $15 billion data center investment, efforts to attract the Chicago Bears, and workforce investments including the Lonnie Camp upskilling story.
Education
Governor Braun announced that Indiana now has universal school choice starting this fall, raised starting teacher salaries by $5,000, and reported all-time records in literacy scores and graduation rates. He supported Senator Raatz's bill to limit cellphone use in schools and give parents veto power over their kids and social media, and expressed interest in investing in lowering child care costs during the budget session.
Environment & Energy
Governor Braun focused on energy affordability, appointing a consumer advocate (Abby Gray) to fight utility rate hikes, who recommended a rate decrease on her first request. He specifically addressed data centers, insisting they must pay their own power costs and citing Amazon's $15 billion data center as a model. He supported legislation to hold investor-owned utility companies accountable and appointed three rate-payer conscious members to the Indiana Utility Regulatory Commission.
Government Reform
Governor Braun emphasized running government like a business, finding $465 million in Medicaid savings through cracking down on waste, fraud, and abuse. He appointed a new consumer advocate to challenge utility rate increases, appointed rate-payer conscious members to the Utility Regulatory Commission, and noted most state agencies are operating with 10% cuts while the projected budget shortfall was neutralized.
Healthcare
Governor Braun emphasized healthcare affordability, noting his personal experience building a company health plan with no premium increases in 18 years. He highlighted legislation to keep Hoosiers out of 'crushing medical debt' and announced $465 million in savings found through cracking down on Medicaid waste, fraud, and abuse, along with plans to codify Medicaid work requirements.
Housing
Governor Braun highlighted that home prices have surged because of insufficient building and unnecessary regulations. He expressed support for Rep. Doug Miller's bill to reduce government barriers and make it easier for Hoosiers to buy homes, stating "I support it 100%."
Infrastructure
Governor Braun discussed data center energy infrastructure, highlighting Amazon's $15 billion data center in northwest Indiana that will pay for its own power needs. He called for policies ensuring data centers don't stick Hoosiers with increased electricity bills and supported legislation to make homebuilding easier by removing government barriers.
Public Safety
Governor Braun highlighted Indiana State Police's drug interdiction efforts, including seizing over 1,300 pounds of cocaine, 84 pounds of heroin and fentanyl (double the prior year), and a single 300-pound cocaine bust worth $7 million. He reported overdose deaths dropped over 60%, from 1,610 in 2024 to 562. He launched Operation Guardian Angel resulting in 48 arrests of child predators and expressed support for constitutional amendments allowing preventive detention of violent criminals.
Social Services
Governor Braun highlighted finding $465 million in Medicaid savings through cracking down on waste, fraud, and abuse, and supported work requirements for Medicaid recipients. He expressed interest in investing in lowering child care costs, suggesting a program where businesses have "skin in the game." He supported Senate Bill 1 codifying Medicaid responsibility measures and noted overdose deaths dropped over 60%.
Tax & Budget
Governor Braun emphasized affordability as his highest priority, highlighting a historic $1.5 billion property tax cut over three years, cracking down on waste and fraud to find $465 million in Medicaid savings, and neutralizing a projected budget shortfall. He noted most state agencies are operating with 10% cuts while the revenue forecast shows strong growth. He also highlighted holding utility companies accountable and requiring data centers to pay their own power costs.
Technology
Governor Braun addressed data centers extensively, insisting they must pay their own way for power rather than sticking Hoosiers with the bill. He cited Amazon's $15 billion data center paying for all its own power needs as the model. He also supported Senator Raatz's bill to limit cellphone use in schools and give parents social media veto power, and promoted workforce upskilling programs.