Hogsett to introduce budget proposal without tax increases
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The City of Indianapolis' budget will grow next year — just not as much as leaders expected before the legislative session.
The big picture: Mayor Joe Hogsett will introduce his budget proposal to the City-County Council tonight, and it's expected to include small cuts for most departments, outside of public safety.
Catch up quick: Lawmakers passed a property tax overhaul earlier this year that dramatically cut how much cities bring in from that major source of revenue for Indy.
- The city could raise local income taxes to make up the gap, but Hogsett has said from the outset that he's "not interested" in raising taxes.
What they're saying: Dan Parker, Hogsett's chief of staff, told Axios the mayor will introduce a balanced budget with no tax increases.
- The budget will grow, Parker said, but departments were asked to look for savings so the city could meet the obligations of labor agreements made last year — before the property tax changes.
- The city will also start "laying the foundation" to capture the $50 million in road funding that lawmakers paved the way for in 2027, so long as the city can match it, Parker said.
The other side: Minority Leader Michael-Paul Hart said he'll advocate to protect the council budget from any cuts.
- The council budget is $3.5 million — a drop in the bucket of the city's $1.5 billion annual budget.
- In his blog, Hart said that while the city "still faces serious decisions about how to balance its books," the council is committed to passing a balanced budget.
Reality check: Despite opposition from the Republican caucus and three Democrats last year, Hogsett passed the budget he wanted — with new investments in pedestrian safety and raises for city employees.
Yes, but: Tension between Hogsett and the council has only grown since then as the investigation into his handling of sexual harassment allegations against his former deputy, Thomas Cook, uncovered text messages between Hogsett and several young women that some councilors have called inappropriate.
- Hogsett told Axios he developed a "casual, conversational" style of communicating with those he worked closely with but did not mean to make anyone uncomfortable.
- At least four councilors have called for Hogsett's resignation — something he's firmly resisted — which could complicate budget negotiations.
What's next: The council meets Monday at 7pm.
- A public hearing on the budget will be held Sept. 22 and the council will take its final vote Oct. 6.