Governor-elect Mike Braun greets supporters at the JW Marriott in downtown Indianapolis on Nov. 5, 2024. (Whitney Downard/Indiana Capital Chronicle)
Will incoming Gov. Mike Braun look more like Gov. Mitch Daniels or Gov. Eric Holcomb? Despite Indiana’s one-party rule, Daniels and Holcomb could not offer a more stark contrast in style and policy. Gov. Mike Pence is not being ignored, but his agenda was more social than fiscal and doesn’t seem germane to this analysis.
Two months before Daniels was elected Governor, the Fiscal Policy Institute called Indiana’s financial problems “staggering” and said the next governor would have to increase tax revenues by at least $2 billion just to meet existing budgetary obligations. Beyond this existed billions more in unfunded pension obligations and a deteriorating infrastructure that threatened Indiana’s international logistics leadership.
Once he took office, Daniels’ response was to challenge his own party and conventional wisdom by cutting taxes, reducing the size of state government, and improving public services. When other states responded to the 2008 recession with more taxes, more spending, and budget deficits, Daniels’ response was tax rebates, even smaller government, and budget surpluses. The only blemish on his record was an inability to exorcise the township demon that was protected by his own party’s stalwarts.
In 2025, the state is still living off the Daniels Dividend. The 2005 Major Moves initiative was funded by Daniels’ lease of the Indiana Toll Road for $3.8 billion, turning a fiscal albatross into a financial windfall. Hoosiers still see the benefit of this savvy business move in our daily lives as we witness the soon-to-be-completed I-69 project.
While Holcomb served as Daniels’ Deputy Chief of Staff and campaign manager, the similarity stops there. Daniels ran against his own party’s insiders and won as a populist from the seat of an RV made in northern Indiana. In contrast, Holcomb bypassed a primary process and was anointed by the Republican Indiana State Central Committee instead of being elected by a primary vote. One cannot ignore the irony.
In his 2023 budget proposal, Holcomb put forth over $5 billion in new spending. This budget included everything from expanding the Dolly Parton Imagination Library to $50 million for the Next Level Trails program. He even drew praise from Democratic leader Rep. Phil GiaQuinta, who said Holcomb was on the same page as “forward-thinking” individuals, while simultaneously doubting the Republican Party’s commitment to these same progressive spending programs.
Reasonable people can debate the merits of the two approaches; what is not debatable is that Indiana is about to get an entirely different kind of governor. Unlike Daniels and Holcomb, who spent almost their careers in politics, Braun is a lifelong businessman.
With an Ivy League MBA in his pocket and over 30 years as a business executive, I’d bet the farm he will run the state like a business. After being one of 535 legislators in Washington, DC, I suspect Braun is eager to get back in the executive saddle. As a holder of three business degrees myself and a teacher of MBA students, I am confident he will focus on efficiency, automation, cost controls, service improvements, and so much more. I expect measurables, deliverables, and all the other “ables” taught in business schools. Expect him to arrive early and stay late. Like it or not, the state will undoubtably be run like a business.
Luckily for Indiana, he made a pitstop on his way to the Governor’s mansion. While in Washington, DC, Braun likely picked up a trick or two on how government operates. This should serve him well as he confronts the entrenched bureaucracy. I believe, like with Mitch Daniels, his biggest hurdle will sometimes be his own party insiders.
Braun strikes me as a guy who is not happy with the status quo. As the leader of the status quo party, this should lead to some decent entertainment. My advice is to grab a bucket of popcorn and pull up a chair. Maybe we will get lucky and see an exorcism sometime in the next four years.
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