Indianapolis budget for 2025 proposes $1.6 billion in spending

The proposed 2025 Indianapolis budget includes a lot of things: improving traffic safety, investing in infrastructure, reducing homelessness and gun violence. The cost to accomplish all this is more than $1.6 billion — the largest budget City-County Councilors have considered.

Mayor Joe Hogset presented the budget Monday night and told a packed City-County Council chamber that the new spending plan builds on past success.

“You have been taking huge steps forward in our city for some time now, and with this year's budget, I would suggest that we have no intention of slowing down,” Hogsett said.

Here are a few of the highlights:

Salary expenses

One critical piece that is still unknown is the amount that will need to be allocated to pay workers from several unions.

The city is currently negotiating unions representing the police, firefighters, sheriffs, public defenders and municipal employees.

With uncertainty around exactly how much salaries will increase, officials say they will pull the money from unassigned funds. This pool of money is currently at twice the level required. For following years, the money will be included in each department's budget.

In a room packed with union members, Mayor Hogsett praised their dedication and hard work over the years and said it’s time to raise salaries.

"We are going to be investing money in the very people who serve our residents every day," Hogsett said. "Those who have made innumerable and immeasurable sacrifices in the past few years and who serve as the backbone of this city."

Since 2019, the Indianapolis Police Department has been trying to staff 1,743 officers in the city. Five years later, the department has yet to cross that threshold. Pay is one of the issues believed to be part of the challenge in recruiting people. The current salary for a starting officer is $71,829.

Indianapolis City Controller Sarah Riordan said other funding will go to the police department.

“We will continue investment in the police department for license plate readers, public safety cameras, dash cams and body worn cams,” Riordan said.

Police and fire departments consistently make up the largest portion of the city budget.

Officials say they hope to have all negotiations completed this year.

Vision Zero spending

The proposed budget includes adding an administrator position to oversee the Vision Zero initiative and work with other departments to accomplish the plan's goals.

Vision Zero aims to reduce motorist, cyclist and pedestrian crashes. The plan has been used in cities across the country, including Columbus, Ohio.

Hogsett said the city has also made historic investments in the Department of Public Works to improve infrastructure safety in Indianapolis.

“We need to keep up this work until no one, regardless of whether you're driving, biking or walking in our streets, no one loses a family member or neighbor to preventable traffic crashes, and that is what Vision Zero is all about,” Hogsett said.

Last night after the budget was presented, the City-County Council voted to approve the creation of the Vision Zero Task Force.

New $50 million downtown TIF district

Another notable portion of the budget that Mayor Hogsett pointed to was the creation of a new downtown TIF district. 

With the funds, the city will close a portion of Georgia Street to most traffic. The district will also rehabilitate two Union Station underpasses and maintain and support cultural trail development.

Housing

A new master leasing proposal will create 34 units of permanent supportive housing for families. The move is part of the city’s plan to address homelessness through housing first models.

The budget will grow an existing affordable supportive housing project on the near north side.

Animal care services

The city said it will increase funding for animal care services. It will also create a new agency for Animal Care Service that will no longer be under the Department of Business and Neighborhood Services.

This summer the city broke ground on a new animal shelter on the southeast side, to build a facility twice the size of its current outdated location.

$25 million total for City-County Councilors' projects

One line item included in the 2025 budget is $25 million to be equally dispersed between each of the councilors. The 25 officials will be able to take their $1 million and decide how to spend it in their communities in one of two ways.

One option is to spend it on parks in their community, for things including splash pads and trails.

The other option is with the Department of Public Works, which could address intersections with the highest crash rates or other infrastructure projects.

Other items

The budget does include funds to continue operations for two clinician-led mental health response teams, but does not expand the program.

The housing rental assistance that was funded through federal pandemic relief money will not be incorporated into the budget.

The Assessment and Intervention Center created as part of the city’s Community Justice Campus will see a reduction in funding. The center was created to divert people in crisis from jail.

The budget will now go through review and approval by committees over the coming weeks.

Contact WFYI Policy Reporter Samantha Horton at shorton@wfyi.org.

Contact WFYI City Desk Managing Editor Jill Sheridan at jsheridan@wfyi.org.