Indiana Gov. Mike Braun wants to shrink state government over the next two years. Driving the news: Braun's biennial budget proposal, released Thursday, calls for new tax cuts and reductions in state spending while maintaining support for public schools and Medicaid.

Indiana Gov. Mike Braun says he wants 5% cuts to the budget of every state agency. Braun made the announcement before presenting his budget to lawmakers in Indianapolis. He has tasked each of his eight cabinet secretaries with identifying those savings.