INDIANAPOLIS – Indiana's new two year budget was introduced Tuesday afternoon.

Governor Eric Holcomb and other state leaders presented the budget during a media conference. Holcomb says this budget unlike no other, is going to be truly transformational for Indiana. It will make investments in people, which is the State's biggest assets, along with Indiana's infrastructure foundation.

Holcomb says this budget is also going to invest like never before, collectively, in local communities. He says the locals should love this because it will give them more resources, and partnering with them in ways that will yield great results.

The budget also calls for $1.9 billion in new funding that will go to K-12 education. Lawmakers are making sure that money goes to teacher's pay in three ways. One is that the budget suggests schools start teachers off with a salary of $40,000 a year. If a school doesn't pay that salary to a teacher, they would have to explain to the Department of Education why the pay is lower.

Second, approximately 45 percent of the funding the schools receive will have to go towards teachers' pay. Third, schools will not be able to drop their teacher's salaries below the point that it was in the previous year. The budget must still be voted on and signed before it becomes permanent.