LOCAL GOVERNMENT FINANCE

HOUSING

• HB 1001 creates broad new preemptions around local authority to plan and zone for new housing options in an attempt to compel higher-density development strategies and lower costs for housing developers. It preempts density, setback, and parking ordinances that will have a wide-ranging impact.
• It also includes new restrictions on impact fees, which are used to defray the infrastructure costs associated with increased residential development in a community without raising taxes on citizens.
• Cities and towns are primary partners and drivers of housing development in the state which has seen a significant uptick since 2020, even in rural areas, due in large part to investments and development-friendly strategies employed by municipalities within their existing authority. Aim opposes large-scale preemption of planning and zoning authority but supports ways that the state, municipalities, and developers can partner to grow our communities and is working with the bill authors to put forward proactive solutions that lower housing costs without removing local input and carefully crafted zoning policies.
• HB 1001, authored by Rep. Doug Miller (R-Elkhart) and sponsored by Sen. Chris Garten (R-Charlestown), will be heard in the Senate Judiciary committee next week.

COMMUNITY CROSSINGS

• As we have reported throughout session, municipalities were concerned about the lack of Community Crossings Matching Grant (CCMG) program funding that was awarded to Indiana’s cities and towns in the fall of 2025. This set back infrastructure improvement plans in many communities throughout the state.
• SB 179 would allow for an additional $75 million call for projects in the spring on 2026 reserved for those communities that did not receive funding in the fall of 2025 call. It also allows communities with a population of up to 12,500 to lower their match requirement to 20%.
• Language was discussed last week in committee that would unstack local wheel taxes, so city residents would be able to pay the city or county wheel tax, but never both. This alleviates some concerns about double taxation that have slowed down the wheel tax adoption in many communities but also reduces the amount of revenue available through wheel taxes at the local level.
• Aim supports this bill as it helps ease the transition to the new CCMG formula without disrupting expected infrastructure investments throughout the state.
• SB 179, authored by Sen. Mike Crider (R-Greenfield) and sponsored by Rep. Jim Pressel (R-Rolling Prairie), will be amended and voted on in the House Roads and Transportation Committee on Monday.

MUNICIPAL ELECTIONS

• HB 1055 would give all cities and towns the option to adopt an ordinance that would move municipal elections to the presidential election cycle.
• Aim opposes any attempt to erode the municipal election cycle because holding municipal elections on a separate year from state and national elections ensures that local issues are front and center in those elections and they are not overshadowed by national issues or distorted by straight-ticket votes that are more concerned with up-ballot races.
• HB 1055, authored by Rep. Jennifer Meltzer (R-Shelbyville), will be amended and voted on in the Senate Elections committee next Monday.

SHOOTING AND RECREATION

• SB 176, as introduced, would grandfather in the zoning allowances for long-standing shooting ranges in Indiana that have experienced a lot of growth around them.
• Language was added in committee this week that would make sporting goods stores and indoor shooting ranges permitted uses in any area that is zoned as commercial in Indiana.
• Aim worked with the bill author to limit the scope of the applicability of the underlying bill, but the newly added amendment is not workable and could create significant zoning and infrastructure challenges if new retailers are allowed to come in without proper local engagement.
• SB 176, authored by Sen. Jim Tomes (R-Wadesville) and sponsored by Rep. Ben Smaltz (R-Auburn) will be voted on by the House next week.

Listen to more about this week on the eighth episode of the 2026 Market Street to Main Street Podcast Series, Aim’s legislative episodes of the Hometown Innovations Podcast and a supplement to this e-newsletter. In this episode, Jennifer sits down with Matt as they dive into the most impactful issues and the week ahead as we near the finish line of this quick, short Session.

To listen to Market Street to Main Street, please visit The Terminal post and click the “play button” on the audio player. Or you can subscribe to Aim Hometown Innovations Podcast on Podbean, Apple Podcasts, and Spotify.