Indianapolis Public Schools Will Face Budget Cuts in 2026

Voters will decide on a property tax referendum in November that impacts district funding.

Updated on Oct. 6, 2026 in Administration

Screen-print poster illustration of a schoolhouse bell in vintage colors, representing local education finance choices.
Indianapolis Public Schools faces mandatory budget cuts in 2026, with voters set to decide on a property tax referendum in November. AI Illustration. Upload story photo >

Live Poll

Would you support a property tax increase if school budget cuts occur regardless of the result?

Indianapolis Public Schools faces mandatory budget reductions regardless of the outcome of a November 2026 property tax referendum. The district has already trimmed $24 million from its annual operating budget to address an ongoing deficit.

Why it matters

The referendum presents a choice between two levels of financial austerity for the district. Voters are determining whether Indianapolis Public Schools will proceed with $20 million in cuts or face a more severe $45 million reduction.

Homeowners with a $150,000 property face a $115 annual tax increase, or approximately $9 per month, if the measure passes. The district has already implemented $24 million in budget cuts prior to the vote.

The players

Indianapolis Public Schools

The Indianapolis Public Schools is the public school district serving the city of Indianapolis and surrounding Marion County.

The details

The proposed referendum seeks to raise property taxes to mitigate an ongoing budget deficit. If the measure fails, the district expects to implement deeper cuts, which include reductions in teaching staff and potential school closures.

Timeline

  1. November 2026: Voters decide on the school property tax referendum.

  2. 2018: The previous school funding referendum was passed.

Culture Shift

The current debate over school funding follows the path set by the 2018 Indianapolis Public Schools funding referendum, which previously provided local financial support for district operations. This vote marks a departure from that period of stability, as the district now seeks to manage an ongoing deficit through structural budget adjustments.

Homeowners will see their property taxes rise by $115 annually if the referendum is approved by voters. Residents should prepare for potential changes to school assignments and staffing levels in their neighborhoods if the measure fails.

The takeaway

Financial transparency remains critical for voters as they weigh the cost of the property tax increase against the prospect of deeper budget cuts. Understanding the long-term impact on local schools will help residents make an informed decision at the polls in November.

Further reading

Learn more about the Administration challenges currently facing local schools.

Live Poll

Would you support a property tax increase if school budget cuts occur regardless of the result?