Governor Mike Braun delivered his 2026 State of the State address Wednesday evening, declaring Indiana’s economy strong and outlining his administration’s focus on affordability for Hoosier families.
“The state of our state is strong,” Braun told lawmakers and guests assembled for the annual address. He cited Indiana’s GDP growth, which he said is outpacing neighboring states and the national average.
Economic Growth and Job Creation
The governor highlighted job creation efforts, noting that the state now spends an average of fifteen thousand dollars per new job, down from forty-six thousand dollars two years ago. Average wages for those positions have increased by seventy-five hundred dollars annually, he said.
Braun pointed to several major economic development projects across the state, including Amazon’s fifteen billion dollar data center in northwest Indiana, Caterpillar’s manufacturing expansion in Lafayette, and hundreds of jobs being created by companies in Fishers, Kosciusko County, and Crane.
The governor also mentioned ongoing efforts to bring the Chicago Bears to Indiana.
Addressing Utility Rates and Data Centers
Utility costs emerged as a key theme in the address. Braun announced the appointment of Abby Gray as the state’s consumer advocate, praising her recommendation for a rate decrease in response to the first rate increase request she reviewed.
On data centers, the governor said companies seeking large amounts of power should pay their own way. He cited Amazon’s commitment to cover its power needs as a model, stating that if other companies follow suit, “Hoosiers’ electricity rates won’t go up, they’ll go down.”
Property Tax and Housing
Braun touted what he called historic property tax reform that will save taxpayers one point five billion dollars over three years. He also backed legislation aimed at reducing regulatory barriers to homebuilding to address housing affordability.
Healthcare and Government Spending
The governor addressed healthcare costs, pointing to transparency and accountability measures passed last session. He supported new legislation aimed at protecting Hoosiers from medical debt.
Braun said his administration has tightened spending, with most state agencies operating with ten percent budget cuts. He highlighted efforts to combat Medicaid fraud, claiming four hundred sixty-five million dollars in savings this year.
The governor also announced that every public university in Indiana has frozen tuition and mandatory fees for the next two years.
Education and Social Policy
Braun emphasized parental control in education, celebrating the implementation of universal school choice and increases in teacher starting salaries. He backed legislation to limit cellphone use in schools and give parents veto power over their children’s social media use.
The governor also discussed plans to invest in making childcare more affordable and available.
Public Safety
Indiana State Police efforts to combat drug trafficking received significant attention. Braun said troopers seized over thirteen hundred pounds of cocaine in bulk shipments last year, along with eighty-four pounds of heroin and fentanyl. He credited these efforts with contributing to a sixty percent drop in overdose deaths.
The governor backed constitutional amendments to allow preventive detention for violent criminals and legislation to strengthen penalties for child predators.
Democratic Response
Senate Assistant Minority Leader Shelli Yoder issued a statement following the address, commending budget commitments to education and public health but arguing the budget falls short in key areas.
“This budget still fails to make the massive investment we need in pre-K and childcare, leaves already-vulnerable Hoosiers burdened by regressive tax structures, and does not truly reckon with the root causes of Indiana’s brain drain and workforce issues,” Yoder said.
She noted that while investments in businesses are important, “a great state starts with investments in citizens” including affordable housing, childcare, and clean air and water.
Yoder also criticized what she called “harsh social policies” signed into law over the past year, saying such policies drive young workers away from Indiana. However, she expressed hope that the legislature would “steer clear of culture wars this session and really get to work for Hoosiers.”
The address comes as the Indiana General Assembly continues its 2026 legislative session.
