Carol Johnson, Southern Indiana Business Report
For what is the first time in recent history, Indiana will have a member on both the US House and Senate Armed Services Committees.
Republican US Sen. Jim Banks, who served on the Armed Services Committee when he was in the US House of Representatives, was appointed to the Senate Armed Services Committee. U.S. Rep. Mark Messmer was selected to serve on the House Armed Services Committee.
In the past, Indiana had a member of Congress on an Armed Services Committee, but not a representative on each at the same time. The last US senator from Indiana to serve on the Senate Armed Services Committee was Joe Donnelly, who served from 2013-2018.
In remarks following the appointment, Banks, a military veteran, said national security is one of his priorities.
“A bigger role, a bigger platform on those national security issues — which affects every Hoosier, but we have a lot of employers in the state in the defense industry,” Banks said.
“Since my first day in Congress, strengthening our national defense and taking care of our nation’s veterans have been two of my top priorities and I am grateful to continue that work in the United States Senate. I look forward to working with President Trump on these important issues and that starts with confirming his cabinet secretaries right away. I’m honored to be a voice for the hundreds of thousands Hoosier veterans and servicemembers and I will always fight for Indiana First,” Banks said in prepared remarks.
Having two members of Congress serving on the Armed Services Committees is advantageous for the state’s growing defense ecosystem, which includes Naval Support Activity Crane, the third largest Naval base, and a number of defense contractors in the WestGate Technology Park.
“Senator Jim Banks’ appointment to the Senate Armed Services Committee is a tremendous asset for Indiana and the nation. This recognition of his leadership and dedication to national security reinforces Indiana’s vital role in defense innovation and readiness,” said Kent Parisien, president of the Crane Regional Defense Group, a citizen-led group that advocates for Crane at the local and federal level. “Combined with Congressman Mark Messmer’s recent appointment to the House Armed Services Committee, Indiana is uniquely positioned to influence defense policy at the federal level. With these two champions advocating for our military and strategic assets like NSA Crane, we are confident in the continued advancement of national security priorities and innovation. CRDG looks forward to working with both Senator Banks and Congressman Messmer, along with the rest of the Indiana Congressional delegation, on issues of importance coming before their respective committees and chambers.”
Growing defense footprint
Indiana’s economic defense footprint has grown significantly over the past 20 years.
In 2001, Indiana was home to fewer than 400 defense contractors, who combined to secure $1.8 billion in contracts from the U.S. Department of Defense and the Department of Homeland Security, according to a study by the Indiana Business Research Center. In 2010, more than 1,100 Hoosier businesses were awarded defense-related federal contracts worth a total of more than $4 billion.
For fiscal year 2023, Indiana ranked No. 28 in defense spending with $6.4 billion spent in the state, according to the Department of Defense.
The Senate and House Armed Services Committees provide oversight of the nation’s military forces, including the DoD.
According to a 2011 report from the Indiana Business Research Center at Indiana University, Building National Security: The Economic impact of Indiana’s Defense Industry, defense contracts provide a shot in the arm to Indiana’s economy by boosting the state’s employment in order to meet the increased demand for defense goods and services.
Additionally, the wages paid to Indiana’s defense employees also provide a boost to the state economy. In 2010, the report notes the effects of defense payrolls spurred more than $800 million in economic activity and supported 18,000 jobs. Add these numbers to the effects of defense contracting and the total impacts of defense-related activities jump to $8.3 billion in economic activity and 56,600 jobs.
Indiana’s top defense contractors include AM General in St. Joseph County, Rolls-Royce Corp. in Marion County and SAIC here in the Radius Indiana region.
Among Indiana counties, Martin County ranked No. 3 ($621.9 million) in top defense contract spending in 2023.