ISDA Gets Hit by Budget Shortfall, BOAH’s Budget Stays Flat

The 2025 Indiana legislative session has now come to a close. One of the final items of business was finalizing a balanced budget for the next two years for the state. As we discussed on the latest Indiana Ag Policy Podcast from Hoosier Ag Today, that became increasingly difficult after last week’s budget forecast was released.

“We did have the April revenue forecast that showed a $2.4 billion shortfall,” says Steve Howell, Senior Director of Industry Affairs for the Indiana Corn Growers Association and Indiana Soybean Alliance. “They’re going to have to make that up somewhere. And we do know that there is a rainy-day fund, and there’s a front moving through, and it’s starting to rain. So, they’re going to have to pull from that. However, there’s going to have to be other cuts.”

And those cuts came down in a big way for many state agencies, including the Indiana State Department of Agriculture. Their general fund was decreased by 5%, which was expected for most departments, but cuts to funding for the Grain Buyers agency brought the total revenue lost to somewhere around 12%-13%.

As for the Board of Animal Health, their funding did not get cut (thankfully). Sources tell Hoosier Ag Today the issue they have is that federal money is way behind schedule in getting paid to the department.

The Animal Disease Diagnostic Laboratory at Purdue kept its funding of $5 million annually for the next two years, the same as before.

Howell emphasizes the importance of getting involved with your ag policy membership group to make sure your voice is heard and is being represented at the Statehouse.

“We’ve always been fortunate. Indiana has been a great place to do business, whether it’s agriculture or any other business. We’ve had a friendly regulatory environment, friendly tax environment, but as these cuts go pretty deep in some of these agencies, and perhaps even deeper, some of the basic functions of this regulatory environment that’s made Indiana a good place to do business, that’s being threatened.”

Howell is joined by representatives from Indiana Farm Bureau and Indiana Pork on the Indiana Ag Policy Podcast. Tune in to the podcast in the HAT mobile app or wherever you listen to podcasts.