INDIANAPOLIS — Indianapolis City-County Council Infrastructure Plan is a long-term funding proposal that would generate the local matching revenue needed to unlock $50 million annually in state road funding and move Indianapolis from repair and patch local roads, toward planned neighborhood street investment.
The proposal sets the county vehicle excise surtax at a flat $100 for passenger vehicles, motorcycles, lighter trailers, and trucks under 11,000 lbs., and sets the annual wheel tax at $240 for heavier vehicle classes. It is not a new tax — it is an adjustment to a fee Marion County vehicle owners already pay annually to the BMV with their registration. The revenue is restricted exclusively for infrastructure.
In 2025, the Indiana General Assembly created a $50 million annual funding opportunity for Indianapolis, but the city must certify an eligible local match or lose those dollars entirely. The match must be certified by the end of the calendar year, which means we must act before September 1, 2026 for new rates to take effect January 1, 2027.
The plan would bring an estimated $855.75 million in new state and local infrastructure investment from 2027–2031, including $279 million for residential streets (supporting an estimated 500 miles of resurfacing) and $15 million for alleys. Beginning in 2031, the plan supports an additional $200 million annually in new and permanent infrastructure funding for future projects.
The proposal will be discussed at the Rules and Public Policy Committee on Tuesday, June 16 at 5:30 p.m. at the Ivy Tech Downtown Campus, 50 W. Fall Creek Parkway N. Dr.