Indianapolis residents can expect a little relief on their property tax bill next spring.
Mayor Joe Hogsett, City-County Council President Vop Osili and Riverside neighborhood residents came together Sept. 14 to celebrate the signing and passage of Proposal 310. The proposal, which is set to allocate funding to property tax relief for Marion County homeowners, was approved unanimously by the City-County Council on Sept. 12.
“All levels of government need to help residents recover from the economic impact of the past two and a half years,” Hogsett said in a statement. “Today, the City of Indianapolis provides a measure of relief targeted primarily at the homeowners facing challenges around taxes associated with a sudden leap in property value.”
Hogsett said the prices of consumer and home goods are experiencing dramatic inflations, and while the city cannot control those prices, he said it is able to provide a little bit of relief to residents during a time when they are hurting.
Hogsett extended his thanks to Osili, councilor Ali Brown and the rest of the City-County Council for their unanimous passage of his relief proposal — which he said will benefit homeowners across Indianapolis.
Although owner-occupied single-family households are the only ones eligible to receive the funding, Hogsett said the credit will automatically appear on the spring 2023 property tax bill.
“This year, when homeowners get their spring property tax bill, a part of that bill will already be paid,” he said at the signing.
Homes with an assessed value of $250,000 or less would receive a $150 credit while homes with an assessed value falling between $250,000 and $400,000 would receive a $100 credit, Hogsett said.
An estimated 191,500 Indianapolis households are expected to receive the credit, representing about 90% of owner-occupied single-family homes in Marion County.
The relief comes to the aid of residents in a time of considerable inflation as well as escalating property values — which Hogsett said drastically affects homeowners’ property tax bills.
“The truth is, since the start of the pandemic, demand for homes in Central Indiana and throughout Indianapolis has exploded,” he said. “That demand has led to an exponential rise in the assessed value of many homes, which obviously affects the amount homeowners pay in property taxes.”
Osili said the proposal would also provide some relief to many families who are continuing to experience the hardships of the pandemic and inflation.
“Along with providing some relief, this proposal plays a small role in ensuring families are not pushed out of their homes as property values increase,” he said. “The work certainly does not end here. There continue to be significant racial disparities in homeownership, especially with redlining and mortgage lenders.”
According to SAVI, a data system at IUPUI, Black borrowers are twice as likely as white borrowers to be denied a loan, even when their income and debt are the same.
“This must change,” he said, “and we must continue to work together to address those disparities and ensure Indianapolis is a city where all residents can build on their generational wealth.”
Contact staff writer Chloe McGowan at 317-924-5143 or email email@example.com. Follow her on Twitter @chloe_mcgowanxx.