Indiana tax collections came in below projections last month, for the first time in more than a year. But state budget expert says that missed projection is mostly a timing issue.

Less than a quarter into its new fiscal year, Indiana has already collected hundreds of millions more in taxes than expected.

With just two months left in the current fiscal year, Indiana is on pace for budget reserves that could top $6 billion.

In just the last three months, Indiana brought in $1.2 billion more than lawmakers expected.

Indiana collected far more in taxes last month than even recent rosy projections anticipated, which leaves the state well-positioned heading into the final month of the current fiscal year.

The state's largest teachers union says it wants lawmakers to take action on recommendations made by the governor's compensation commission to boost teacher pay.

Indiana lawmakers will have about $2 billion more to use in the new state budget after an updated projection of state tax revenues was unveiled Thursday.

State budget officials project Indiana will have a $1 billion hole in its budget by the end of the current fiscal year, even with the state's significant financial reserves.

The Schahfer, Michigan City, Petersburg and Rockport coal plants will be fully or partially closed by 2028. Thatll likely mean less tax revenue for things like schools.

The state is covering its shortfall through cuts to state agencies, federal help and its budget reserves -- with $1.4 billion still left in state coffers.