Lawmakers allow downtown fee to move forward
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Lawmakers reversed course on a plan to eliminate a new fee to be imposed on downtown Indianapolis property owners to pay for increased public safety, beautification and the operation of a new low-barrier homeless shelter.
Why it matters: It's a rare win for Indianapolis, where plans and policies enacted by the city's Democratic leadership are regularly targeted by the GOP supermajority at the Statehouse.
Driving the news: A bill that would have repealed the city's economic enhancement district was amended Tuesday to allow the district to stand, but apartments, other multifamily residential buildings and most private homes would be excluded from paying the fee, unless owners opted in.
- Owners of properties outside the district may also opt in.
- The City-County Council would have to reintroduce and pass a new plan.
Between the lines: It's as much of a win for the city as it is for the powerful (and deep-pocketed) Indiana Apartment Association, which lobbied against the district and has now been excluded from the fee, shifting the financial burden onto commercial property owners.
Details: The new language allows the district to capture up to $5.5 million every year — the budgeted goal for the original plan.
- The fee could remain in place for a maximum of 10 years.
- The city cannot renew the fee. It would, instead, need the legislature to pass additional language allowing for the district's continuation.
👀 What we're watching: The revised bill passed a powerful Senate committee unanimously, but the district has always had greater support in that chamber.
- The House, which pushed the city to raise local income taxes to pay for the proposed downtown services, will still need to sign off on the new language.