Evansville council adopts municipal wheel tax after hours of debate and public comment

The Evansville Common Council on Aug. 25 voted 8–1 to adopt an amended ordinance imposing a municipal wheel tax and a motor vehicle license excise surtax, creating two dedicated city funds for road work.

Council members debated the tax at length and heard more than a dozen public comments before the measure passed. Council President Michael Trotman presided over the meeting as the council accepted an amendment lowering several rates from the originally proposed maximums and then approved the ordinance by roll call.

The council and city staff framed the tax as a response to changes in state grant programs, notably House Bill 1461 and related state actions that reduced the size of the Community Crossings Matching Grant (CCMG) program and created a new lane-mile distribution fund tied to municipal wheel taxes. Robert Hunter of the Controller’s office told the council the city expects roughly $500,000 less in state road program revenue in 2026 if it does not act; the CCMG maximum award for an applicant was described as having been reduced from $1.5 million to $1.0 million.

City Engineer Mike Levitsky said the city’s pavement program requires significantly…