7/22 Torchbearer Weekly Policy Update
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- Confused About High School Diploma Changes? We Explain the Proposal
- 1 big thing: Maybe the U.S. economy is holding up fine
- Indiana Revenues Fall Short of Budget Plan in 2024 Fiscal Year by $136 Million
- 2024 ILEARN Scores: Indiana Students Show Slight Improvement in Reading, Slight Drop in Math
- Indiana Lands $1.2M in Federal Suppot for Apprenticeship Programs
- Holcomb to Travel to Australia, Singapore on Economic Development Trip
- Share the Torchbearer Newsletter with Your Network!
- Important Dates
Let’s dive in.
Confused About High School Diploma Changes? We Explain the Proposal
State education officials have detailed their plan to rework high school graduation pathways.
Why it matters: These changes aim to provide more flexible diploma options that encourage students to gain workforce experience, but some educators worry about the potential lack of academic rigor.
Driving the news: The first draft, submitted to the Indiana Register, outlines required courses and introduces a public comment period until July 30.
The big picture: New requirements will apply to the class of 2029, with options for earning specialized seals like Enrollment Ready, Employment Ready, and Enlistment Ready. (Mirror Indy)
1 big thing: Maybe the U.S. economy is holding up fine
Rumors of the death of U.S. economic buoyancy have been greatly exaggerated. That is the takeaway from key economic headlines this morning.
Why it matters: We've been focused for the last several weeks on emerging signs of weakness in the U.S. economy. Today brought powerful reminders that — while the cracks are real and the future uncertain — the basic picture remains one of robust economic activity.
Driving the news: The International Monetary Fund's new World Economic Outlook projects the U.S. economy will grow 2.6% this year. That's down a tick from its spring projection, but double the anticipated GDP growth in the next-strongest G7 nation (Canada, at 1.3%).
- Meanwhile, new retail sales data showed American consumers ended the second quarter on a high note.
By the numbers: A big drop in gasoline prices and the auto sector's cyberattack weighed on the headline retail sales figure, which was flat compared with last month. But stripping out gas and vehicle purchases, sales were up a strong 0.8%.
- Retail sales excluding gas, autos and building materials — the control group that calculates part of the consumer spending component of GDP — rose 0.9%, the best in about a year.
What they're saying: "It is clear that the US consumer may be down but not out, at least for now," Raymond James chief economist Eugenio Alemán wrote in a note.
State of play: The IMF report described a global trend of services inflation proving harder to stamp out than seemed likely at the start of the year — resulting in fewer rate cuts from global central banks than had been anticipated.
- "In some advanced economies, especially the United States, progress on disinflation has slowed," chief economist Pierre-Olivier Gourinchas said in a news conference this morning. "Risks remain broadly balanced, but some downside near-term risks have gained in prominence."
- "First there could be bumps on the disinflation path in advanced economies. This could force central banks including the Federal Reserve to keep borrowing costs higher for even longer. That could put overall growth at risk," Gourinchas said.
Yes, but: Those risks remain somewhat hypothetical in light of benign June inflation readings.
The bottom line: The global economy always faces risks, but for the moment, the U.S. is cruising along, warning signs notwithstanding. (Axios)
Indiana Revenues Fall Short of Budget Plan in 2024 Fiscal Year by $136 Million
Indiana budget leaders will close the books on the fiscal year next week, but June’s revenue report reveals the state fell short of its budget plan.
Why it matters: Missing the budget target by over $136 million, despite strong sales tax revenue, could affect state-funded programs and services.
The big picture: June is the second largest month for tax revenues, yet it failed to meet expectations, primarily due to corporate income taxes missing the mark by about $120 million.
By the numbers: For the fiscal year, Indiana's revenues fell short by nearly $100 million, indicating broader fiscal challenges. (Indiana Public Media)
2024 ILEARN Scores: Indiana Students Show Slight Improvement in Reading, Slight Drop in Math
The 2024 ILEARN scores released Wednesday showed slight changes from last year’s scores.
Why it matters: The scores provide insights into student proficiency in English language arts, math, and combined subjects, reflecting the effectiveness of educational strategies post-pandemic.
By the numbers:
- Combined proficiency: 30.8% (up 0.2 percentage points from 2023)
- English proficiency: 41% (up from 40.7% in 2023)
- Math proficiency: 40.7% (down from 40.9% in 2023)
What’s next: The Indiana Department of Education is piloting a checkpoint-based ILEARN to provide actionable data throughout the year, aiming for a full rollout in the 2025-26 school year.
What they’re saying: "We have work to do," Indiana Secretary of Education Katie Jenner said, emphasizing the need to improve the assessment for better support to students. (Chalkbeat Indiana)
Indiana Lands $1.2M in Federal Suppot for Apprenticeship Programs
Indiana will receive $1.2 million in federal funding to expand a state apprenticeship program.
Why it matters: This funding will enhance the state's workforce by developing registered apprenticeships in key sectors such as K-12 education, transportation, clean energy, and more.
Details: The Indiana Department of Workforce Development will use the money to support jobs created through the Bipartisan Infrastructure Law, the Inflation Reduction Act, and the CHIPS and Science Act.
By the numbers: Indiana is one of 46 states receiving a portion of the $39 million distributed by the U.S. Department of Labor to increase apprenticeship program capacity. (IBJ)
Holcomb to Travel to Australia, Singapore on Economic Development Trip
Gov. Eric Holcomb will embark on his 24th international economic development trip, focusing on advanced manufacturing, defense, and energy.
Why it matters: The trip aims to strengthen Indiana's global partnerships and attract investments, enhancing the state's economy and job market.
Details: Holcomb, First Lady Janet Holcomb, and Commerce Secretary David Rosenberg will visit Australia and Singapore from July 20-30, with travel costs covered by private donations to the Indiana Economic Development Foundation.
By the numbers: Indiana's imports and exports amount to $1.8 billion with Australia and $944 million with Singapore, showcasing significant economic ties. (Indiana Capital Chronicle)
FSSA Seeks Stay in Healthy Indiana Plan Case; Says Ruling Threatens Coverage and Funding
The Indiana Family and Social Services Administration (FSSA) has filed to stay a federal court ruling that invalidated the state's Medicaid expansion program for moderate-income adults under 65. The agency is appealing the ruling to the D.C. Circuit Court and warns of serious negative consequences if the federal approval is vacated. FSSA highlights the funding risks that will arise without the waiver. The agency plans to keep contributions paused for now, but without a federal waiver, more than 335,000 Hoosiers will need to transition to HIP Basic.
Why it matters: The loss of the waiver threatens the healthcare coverage of a significant portion of Indiana's population, and the state will need to make extensive changes to systems and contracts, requiring substantial resources.
The bottom line: Without the federal waiver, beneficiaries will lose access to important benefits and will need to start making co-payments for services, affecting their ability to receive necessary care. Additionally, the state will face financial challenges without the ability to collect the Hospital Assessment Fee, putting the future of coverage at risk. (Indiana Capital Chronicle)
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Important Dates:
- State Board of Education - Wednesday, August 14 at 9am
- Indiana Medicaid Advisory Committee - Wednesday, August 21 at 10am