Parks staff outlines financial sustainability plan as town adviser warns of state law changes affecting local revenues

ZIONSVILLE, Ind. — Parks staff told the Park and Recreation Board on Aug. 13 they are drafting a financial sustainability policy to help the department maintain service levels amid constrained local revenue, and the town's financial adviser briefed the board on recent state legislation that will change how local governments receive certain revenues. Parks staff said the work will include a review of operational efficiencies, diversification of revenue sources (grants, donations, program fees and leases), and a proposed fee schedule that better reflects the cost of delivering services while protecting access for residents with financial barriers. Tim Berry of Crowe Financial, the town's adviser, told the board the General Assembly's Senate Bill 1 (enacted earlier in the year) provided a homestead credit and limited annual levy growth in the near term, and it also restructures local income taxes beginning in 2027. Berry said the new law limits annual levy growth to no more than 4% in the short term and requires local governments to take positive annual action to adopt a local income-tax rate in the future if they wish to continue receiving those dollars. Berry said Zionsville historically receives about 7–8% of town expenditures for parks and that under the current five-year budget plan parks spending as a percentage of the town's overall budget may modestly decline to about 6% depending on growth and council decisions. Parks staff said they will return to the board next month with draft fee-structure proposals, and they are seeking board input during the development process.