Key Points:AI-assisted summary
- • Delaware County officials anticipate a $1.6 million reduction in revenue by 2026 because of a new state property tax law.
- • County departments have been advised to reduce staff through attrition and find efficiencies to prepare for future budget constraints.
- • The city of Muncie also expects a revenue hit and plans a hiring freeze for most city government positions.
- • While the new law provides an option to raise local income taxes, county officials are currently not planning to do so.
MUNCIE, IN – Delaware County commissioners are planning for leaner times and probably fewer employees in the next three years as the Indiana General Assembly’s overhaul of state property taxes takes full effect.
The changes are expected to result in about $1.6 million in reduced revenue flowing to county government in 2026 compared to the old property tax formula, Delaware County commissioner Stephen Brand said.
Brand told The Star Press he has been trying to increase efficiency in county government to get ahead of funding changes. Earlier this month, during a commissioners’ meeting, he announced that eight positions have been eliminated from departments under the commissioners’ control. All but one of those jobs were trimmed through attrition during the past year.
During the next three years, property tax revenue is expected to grow tighter for the county and other local governments in Indiana.
“In 2028, it’s going to be worse,” Brand said.
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