Latest news with #HouseBill1461
Indianapolis Star
05-05-2025
- Business
- Indianapolis Star
New state law allots $50M for Indianapolis roads but can't be used for sidewalks, bike lanes
A state matching grant program could bring $100 million more a year to Indianapolis roads, but not to its sidewalks and bike paths. The city's 8,400 lane miles are chronically underfunded because the state's road-funding formula allots the same amount to a two-lane road and a six-lane road. The new law allows Indianapolis to triple certain taxes on vehicles to raise more revenue for roads. A new state law offers Indianapolis an additional $50 million in state funding each year to improve the city's battered roads. But the money, which could prove difficult to obtain, comes with strings attached that outlaw its use for increasingly popular traffic-calming changes like narrower streets, bike trails and sidewalks. Under House Bill 1461, Indianapolis can access up to $50 million a year from the statewide Community Crossings grant program, starting in 2027. Signed into law by Indiana Gov. Mike Braun May 1, the bill also increases speed limits on Interstate 465 from 55 to 65 miles per hour, effective July 1, 2025, and offers other local governments tools to expand their road budgets. To receive the money, Indianapolis must match any dollars the state provides, meaning the city could see up to $100 million more a year for roads by 2027. But an amendment by State Sen. Aaron Freeman, R-Indianapolis, requires the city to match the state with new funding outside of its transportation and public safety budgets, a city spokesperson confirmed, which are two of the city's largest annual expenses. The 2025 city-county budget was more than $1.6 billion, with nearly $1 billion devoted to public safety services including the Indianapolis police and fire departments, the Marion County sheriff's and prosecutor's offices, and Marion County courts. The city allotted nearly $200 million to roads, bridges and greenways in 2025. The amendment also prevents Indianapolis from using the state's $50 million for five purposes: "reducing the capacity of existing roads and streets; greenways; bike lanes; bike trails; and sidewalks." Some pedestrian advocates say that provision creates an incentive for the city to maintain larger roads instead of reducing lane counts, which could decrease maintenance costs and improve overall traffic safety. The new state money won't solve Indy's pothole problem. A 2022 city-commissioned study found Indianapolis would need to spend more than $500 million a year to improve its roads to fair condition. Regardless, city leaders are praising this bill for giving Indianapolis a larger share of state dollars. Indianapolis Mayor Joe Hogsett called the legislation "the most significant new investment from the state of Indiana into Indianapolis road infrastructure in decades." The city has 8,400 miles of pavement but currently receives state funding for only 3,400 "center-lane" road miles. That discrepancy stems from a road-funding formula that disregards lane counts, sending the same amount of money to a two-lane road in a rural county and a six-lane road in Indianapolis. Can the city match up to $50 million in state funding? City officials will work in upcoming budgeting sessions to figure out how Indianapolis can shift money around to make the most of the state's contributions, Department of Public Works Director Todd Wilson said in a statement. The legislation allows the city to raise money by tripling wheel taxes on large commercial vehicles and excise taxes on smaller personal vehicles, but city leaders have not signaled whether they intend to do so. The bill raises the city's wheel tax limit from $80 to $240 and the excise tax limit from $50 to $150. Under the current limits, however, Indianapolis and Marion County still leave a combined $67 million in potential revenue on the table by charging less than the maximum allowed. "I don't see the need for us to raise our wheel tax to come up with that $50 million when we have a $1.65 billion budget, probably going up to $1.7 (billion) this next year," Republican Indianapolis City-County Councilor Joshua Bain said during an April 17 public works meeting. Democratic Councilor Jared Evans said that budgeting more money toward roads will be especially challenging because the city faces millions of dollars in lost property tax revenue after the passage of Senate Bill 1. "While it's good for the roads, we also know we have some cuts coming due to the property tax bill," Evans said in the same meeting. "I don't think it's going to be an easy thing to achieve." In a May 2 emailed statement, Indianapolis City-County Council President Vop Osili said he expects the city to benefit from the full $100 million available each year under the new law. "For too long, limited funding has prevented us from addressing the full scope of our city's infrastructure needs," Osili said. "With this additional support, more streets will be repaved, more neighborhoods will be revitalized, and more residents will experience a higher quality of life." Why the money can't go toward "road diets," bike lanes, sidewalks While a potential boon for motorists, pedestrian advocates criticize the law for limiting road improvements that enhance safety for all users. The city has redoubled its commitment to such changes in recent years with the Vision Zero plan to reduce traffic deaths and the 2022 overhaul of its Complete Streets ordinance, a policy requiring city planners to design streets with all travelers in mind. Many multi-lane roads in Indianapolis see less traffic since the advent of the interstates, local urban designer Jeffery Tompkins told IndyStar, yet the city is stuck with about 8,400 miles of pavement. Barring spending on "road diets" to remove lanes and add more bike paths and sidewalks, as the city will do south of downtown on the six-lane Madison Avenue, upholds a status quo that Indianapolis can't afford to maintain, Tompkins said. "If I was a city leader with deferred maintenance of thousands of lane miles that I couldn't pay for," Tompkins said, "I think that maybe it would be a better idea to get rid of some of those lane miles that aren't serving my population." Anthony Cherolis, executive director of Bike Indianapolis and the Central Indiana Bicycling Association, criticized Freeman in an emailed statement for "state-level meddling in local design details" that would enhance road safety for motorists, pedestrians and cyclists. Freeman did not respond to IndyStar's request for comment. In the 2024 legislative session, Freeman fought unsuccessfully to stall IndyGo's Blue Line bus route, arguing it shouldn't reduce lanes for car traffic on Washington Street. State Sen. Fady Qaddoura, D-Indianapolis, said he voted in favor of the bill despite Freeman's amendment because Indianapolis can't afford to miss out on $50 million in state money after decades of underfunding. "I'm excited for any piece of legislation that helps us address the backlog of roads and streets that need to be repaved and reconstructed, especially residential roads," Qaddoura told IndyStar.
Yahoo
02-05-2025
- Automotive
- Yahoo
Indiana lawmakers and Gov. Braun just increased the speed limit on I-465
Eager central Indiana commuters will now be able to drive 65 miles per hour ― legally ― on Interstate 465. The ten mile-per-hour increase was part of a large road funding bill that Gov. Mike Braun signed into law the evening of May 1. The increase did not appear in the original legislation and did not prompt much discussion during the legislative session. House Bill 1461, now House Enrolled Act 1461, dealt more prominently with other road subjects, like tolling and the Community Crossings grant program. The Senate added language about I-465 while the bill was working its way through that chamber, and the bill author, Republican Rep. Jim Pressel of Rolling Prairie, agreed with the changes. Many Hoosiers have long felt the 55 miles-per-hour speed limit was too low. A few years ago, the Indiana Department of Transportation measured drivers' speeds at a northwest section of the interstate for 13 days and found that 96% were going over the speed limit. From 2021: Why the speed limit on I-465 is only 55 mph despite most people driving faster When Pressel presented the final version of the bill on the House floor on April 17, he acknowledged that reality and elicited some chuckles from his colleagues. "This is really not anything to do with road funding, but I like it," he said. "For those of us who struggle driving 55 miles an hour on 465, it increases the speed limit to 65. There you go." Drivers should remain vigilant about lower speed limits in work zones, such as in the I-465/I-69 construction zone on the northeast side. More: That lead foot could land a fine in your mailbox as INDOT launches speed control program Beginning May 5, there will be penalties for exceeding 11 miles per hour over the posted speed limit in those work zones. That came from another Indiana bill, passed in 2023, that enabled INDOT to pilot speed camera programs in work zones. Contact IndyStar state government and politics reporter Kayla Dwyer at kdwyer@ or follow her on X@kayla_dwyer17. Sign up for our free weekly politics newsletter,Checks & Balances, curated by IndyStar political and government reporters. This article originally appeared on Indianapolis Star: The speed limit on I-465 is now higher thanks to this Indiana law
Indianapolis Star
02-05-2025
- Automotive
- Indianapolis Star
Indiana lawmakers and Gov. Braun just increased the speed limit on I-465
Eager central Indiana commuters will now be able to drive 65 miles per hour ― legally ― on Interstate 465. The ten mile-per-hour increase was part of a large road funding bill that Gov. Mike Braun signed into law the evening of May 1. The increase did not appear in the original legislation and did not prompt much discussion during the legislative session. House Bill 1461, now House Enrolled Act 1461, dealt more prominently with other road subjects, like tolling and the Community Crossings grant program. The Senate added language about I-465 while the bill was working its way through that chamber, and the bill author, Republican Rep. Jim Pressel of Rolling Prairie, agreed with the changes. Many Hoosiers have long felt the 55 miles-per-hour speed limit was too low. A few years ago, the Indiana Department of Transportation measured drivers' speeds at a northwest section of the interstate for 13 days and found that 96% were going over the speed limit. When Pressel presented the final version of the bill on the House floor on April 17, he acknowledged that reality and elicited some chuckles from his colleagues. "This is really not anything to do with road funding, but I like it," he said. "For those of us who struggle driving 55 miles an hour on 465, it increases the speed limit to 65. There you go." Drivers should remain vigilant about lower speed limits in work zones, such as in the I-465/I-69 construction zone on the northeast side. Beginning May 5, there will be penalties for exceeding 11 miles per hour over the posted speed limit in those work zones. That came from another Indiana bill, passed in 2023, that enabled INDOT to pilot speed camera programs in work zones.
Yahoo
01-05-2025
- Business
- Yahoo
Potholes are bankrupting Indianapolis. New state funding won't help.
A lot of folks are celebrating the passage of House Bill 1461, which gives Indianapolis access to up to $50 million in additional state road funding. But before we pop the champagne, let's be honest: This bill doesn't solve our problem. It puts lipstick on a pig. HB 1461 provides two funding paths. First, it allows the city to raise the local wheel tax, but Indianapolis isn't maxing out the current rate and Mayor Joe Hogsett's administration has previously said it won't raise the wheel tax. Second, the bill offers $50 million in state money, but only if the city can match it with new revenue. There's a catch: That match can't come from existing infrastructure or public safety budgets, which already make up most of the city's spending. So, we'd have to either defund other services or raise taxes. And, even then, the money can't be used on greenways, sidewalks or bike lanes to reduce our oversized streets. In other words, we're being asked to double down on the same overbuilt, underfunded road network that got us here in the first place. The real issue in Indianapolis isn't that we spend too little on roads; it's that we've built too many of them. We've stretched infrastructure across a landscape that doesn't generate enough tax revenue to support it. This started decades ago. In the 1970s and '80s, the city expanded rapidly under Unigov, pouring money into widening arterials like Shadeland and Emerson avenues. But the development that followed, mostly low-density, single-use housing, doesn't pay the bills. Take a single-family home on a large lot. It needs roads, sewers, water, streetlights, trash pickup, fire protection and maybe even a school bus stop. But it only contributes a few thousand dollars a year in property taxes, nowhere near enough to cover the costs of service. Opinion: Indianapolis makes construction too slow, expensive and exhausting Multiply that pattern citywide and you get the math problem: long-term infrastructure liabilities that are not supported by surrounding properties. The way we've built is financially imprudent. Now, imagine that same parcel with an attached duplex or a micro-retail store or small apartment. Same infrastructure, more tax revenue. More people helping to pay for the street they use. Less long-term maintenance liability. Instead of encouraging this kind of efficient growth, our zoning code locks over 80% of Indianapolis into low-return land uses. In most of Marion County, it's still illegal to build anything but a single-family house. That's a policy choice and it's bankrupting our city one pothole at a time. Just as our costs are ballooning, our ability to raise money is shrinking. Earlier this year, the Indiana General Assembly passed Senate Bill 1, capping property tax revenue growth for local governments. It's a budget squeeze that will hit every city in the state, but especially one like Indianapolis, already struggling to pay for the system it has. Indiana uses a three-tier property tax cap: roughly 1% for owner-occupied homes, 2% for rentals and farmland, and 3% for commercial and mixed-use properties. But, because we zone so much of the city for low-yield residential use, we're blocking the higher-return development that could help fund our streets, parks and public safety. Urban3's land-use analysis conducted for IndyGo showed this clearly: most parcels in Indianapolis cost more to serve than they return in taxes. Our property tax ecosystem makes that imbalance worse. So, here's the question: Is saving $300 on your tax bill really worth blowing a tire every spring? Even if we could fix our land-use and tax system overnight, we'd still be fighting an uphill battle because Indiana funds roadwork in a fundamentally flawed way. The state allocates money based on lane miles, not traffic volume. So, a four-lane arterial in Indy is treated the same as a two-lane local road in Kokomo. That encourages overbuilding and punishes efficient design. Indianapolis is funded as if it has about 3,300 lane miles, but in reality we maintain more than 8,000. That's 5,000 miles of road we're responsible for, with no funding to back it up. HB 1461 doesn't fix this. It just patches over the gap without asking why the hole exists. If a household is struggling to pay its bills, it has two options: Make more money, or reduce expenses. Cities are no different. We can't just keep paving our way out of this. Raising taxes is politically unpopular, and cutting roads sparks backlash. But there's a third option: Allow property owners to do more with their land. When we let people build more housing, small businesses or mixed-use projects, we get more value out of the infrastructure we already have. That's revenue without raising tax rates and growth without adding costs. HB 1461 simply treats the symptoms and not the disease. Hicks Braun cut taxes for businesses, but most Hoosiers will pay more The administration has said it isn't concerned about what's in the bill; only that it's passed. That's not good enough. We need to ask why we're in this hole in the first place. HB 1461 solves the short-term funding issue by throwing more money at an inefficient system and then makes it illegal to change that system. Then, it takes away the flexibility we need to grow smarter. If we're serious about fixing our roads, we need to fix our development code too. That means liberalizing zones, simplifying permitting, and encouraging land uses that pull their financial weight that justify and support our roadways. We need to stop treating infrastructure as a cost to absorb and start treating it like an investment that has to earn a return. HB 1461 feels like throwing money down a well expecting to get water — you lose your money, and you're still left with a giant hole. Jeffery Tompkins is an urban planner. He lives in downtown Indianapolis. This article originally appeared on Indianapolis Star: Why House Bill 1461 won't fix Indy's pothole problem | Opinion
Indianapolis Star
01-05-2025
- Business
- Indianapolis Star
Potholes are bankrupting Indianapolis. New state funding won't help.
A lot of folks are celebrating the passage of House Bill 1461, which gives Indianapolis access to up to $50 million in additional state road funding. But before we pop the champagne, let's be honest: This bill doesn't solve our problem. It puts lipstick on a pig. HB 1461 provides two funding paths. First, it allows the city to raise the local wheel tax, but Indianapolis isn't maxing out the current rate and Mayor Joe Hogsett's administration has previously said it won't raise the wheel tax. Second, the bill offers $50 million in state money, but only if the city can match it with new revenue. There's a catch: That match can't come from existing infrastructure or public safety budgets, which already make up most of the city's spending. So, we'd have to either defund other services or raise taxes. And, even then, the money can't be used on greenways, sidewalks or bike lanes to reduce our oversized streets. In other words, we're being asked to double down on the same overbuilt, underfunded road network that got us here in the first place. A lot of road and little to no return The real issue in Indianapolis isn't that we spend too little on roads; it's that we've built too many of them. We've stretched infrastructure across a landscape that doesn't generate enough tax revenue to support it. Need a break? Play the USA TODAY Daily Crossword Puzzle. This started decades ago. In the 1970s and '80s, the city expanded rapidly under Unigov, pouring money into widening arterials like Shadeland and Emerson avenues. But the development that followed, mostly low-density, single-use housing, doesn't pay the bills. Take a single-family home on a large lot. It needs roads, sewers, water, streetlights, trash pickup, fire protection and maybe even a school bus stop. But it only contributes a few thousand dollars a year in property taxes, nowhere near enough to cover the costs of service. Multiply that pattern citywide and you get the math problem: long-term infrastructure liabilities that are not supported by surrounding properties. The way we've built is financially imprudent. Now, imagine that same parcel with an attached duplex or a micro-retail store or small apartment. Same infrastructure, more tax revenue. More people helping to pay for the street they use. Less long-term maintenance liability. Instead of encouraging this kind of efficient growth, our zoning code locks over 80% of Indianapolis into low-return land uses. In most of Marion County, it's still illegal to build anything but a single-family house. That's a policy choice and it's bankrupting our city one pothole at a time. A broken tax system makes it worse Just as our costs are ballooning, our ability to raise money is shrinking. Earlier this year, the Indiana General Assembly passed Senate Bill 1, capping property tax revenue growth for local governments. It's a budget squeeze that will hit every city in the state, but especially one like Indianapolis, already struggling to pay for the system it has. Indiana uses a three-tier property tax cap: roughly 1% for owner-occupied homes, 2% for rentals and farmland, and 3% for commercial and mixed-use properties. But, because we zone so much of the city for low-yield residential use, we're blocking the higher-return development that could help fund our streets, parks and public safety. Urban3's land-use analysis conducted for IndyGo showed this clearly: most parcels in Indianapolis cost more to serve than they return in taxes. Our property tax ecosystem makes that imbalance worse. So, here's the question: Is saving $300 on your tax bill really worth blowing a tire every spring? The funding formula is pitted against us Even if we could fix our land-use and tax system overnight, we'd still be fighting an uphill battle because Indiana funds roadwork in a fundamentally flawed way. The state allocates money based on lane miles, not traffic volume. So, a four-lane arterial in Indy is treated the same as a two-lane local road in Kokomo. That encourages overbuilding and punishes efficient design. Indianapolis is funded as if it has about 3,300 lane miles, but in reality we maintain more than 8,000. That's 5,000 miles of road we're responsible for, with no funding to back it up. HB 1461 doesn't fix this. It just patches over the gap without asking why the hole exists. We need a smarter way forward If a household is struggling to pay its bills, it has two options: Make more money, or reduce expenses. Cities are no different. We can't just keep paving our way out of this. Raising taxes is politically unpopular, and cutting roads sparks backlash. But there's a third option: Allow property owners to do more with their land. When we let people build more housing, small businesses or mixed-use projects, we get more value out of the infrastructure we already have. That's revenue without raising tax rates and growth without adding costs. HB 1461 simply treats the symptoms and not the disease. Hicks Braun cut taxes for businesses, but most Hoosiers will pay more The administration has said it isn't concerned about what's in the bill; only that it's passed. That's not good enough. We need to ask why we're in this hole in the first place. HB 1461 solves the short-term funding issue by throwing more money at an inefficient system and then makes it illegal to change that system. Then, it takes away the flexibility we need to grow smarter. If we're serious about fixing our roads, we need to fix our development code too. That means liberalizing zones, simplifying permitting, and encouraging land uses that pull their financial weight that justify and support our roadways. We need to stop treating infrastructure as a cost to absorb and start treating it like an investment that has to earn a return. HB 1461 feels like throwing money down a well expecting to get water — you lose your money, and you're still left with a giant hole.
