IPS superintendent urges voters to approve $95 million school tax measure

A $95 million annual funding package for Indianapolis schools appears on the November 3 ballot.

Indianapolis Public Schools Superintendent Dr. Aleesia Johnson explains that the 2026 Operating Referendum seeks to generate up to $95 million each year. This revenue would support students living within the district boundary, including those attending participating public charter schools.

The Indianapolis Public Education Corporation, or IPEC, now holds authority to oversee these operating referendums. This represents a shift from previous measures, as state law requires the new funds to be shared with charter schools serving local students. It is the first time referendum revenue will be distributed across both traditional IPS schools and charter schools in the district.

IPEC approved a maximum tax rate of 37.2 cents per $100 of assessed value for this four-year measure. Ballot language indicates that a median residence valued at $150,000 would see an annual property tax increase of $221. The district notes that the actual net increase is approximately $106 per year, or about $9 per month, after accounting for the expiring 2018 operating referendum that ends in December 2026.

The revenue is directed toward educator compensation, student support services, and classroom stability. Johnson states that IPS has already cut $24 million from its current budget. Without the referendum, the district faces an additional need to cut $40 million to $45 million annually starting in 2027. Even with voter approval, IPS must still reduce spending by another $20 million because the approved rate is lower than the 55-cent rate originally sought.

IPS is one of 38 Indiana school districts pursuing referendums in 2026, the largest number in state history. Other districts seeking voter approval include Beech Grove, Noblesville, Carmel-Clay, Zionsville, Hamilton Southeastern, Washington Township, Wayne Township, and Decatur Township. Education advocates note that state policy changes over the past 15 years have forced districts to rely on local operating referendums for classroom funding. The 2008 property tax caps cost IPS approximately $19 million annually, while recent legislation has compounded budget pressures by mandating fund sharing and capping local property tax revenues.

Johnson describes the measure as a way to shape the future for young people in the city. She urges families to understand how these decisions affect their schools and to vote yes. Voters can calculate their specific property tax impact using the online tools provided by the district.