Howard County Council backs 0.4% local income tax increase to help fund planned jail; public raises alternatives and stewardship concerns

Howard County Council voted Oct. 28 to approve Resolution 2025-HCCR-22, endorsing an increase in the county’s portion of the local income tax to raise revenue for a planned new jail project. Barnes & Thornburg attorney Max Adams explained the proposal and its limits; extensive public comment followed.

Adams told the council the proposal reflects a coordinated approach with Kokomo: "The city is actually going to contribute its share of the increased local income tax towards the project," he said, and that cooperation reduced the county’s required increase to 0.4% rather than a full 1.2% in notices. He cited a Baker Tilly estimate that a 0.4% county increase would translate to about $180 per year for an individual with $50,000 in income and said the rate would generate "just shy of $10,000,000 annually" toward the project. Adams and county officials said the rate would be in effect only until the state’s new local tax structure takes effect in 2027 under Senate Enrolled Act 1.

Public commenters urged alternatives to construction, stronger stewardship, and attention to systemic drivers of incarceration. Michael Amatuzzo said, "We don't need a bigger and nicer jail. What we need is a reduction in criminals," and argued for alternatives to incarceration. Joe Recycle (public commenter) said the county’s jail and justice system assessment showed many systemic issues — delays in case processing, inconsistent judicial practices and lack of diversion programs — and urged that those problems be addressed rather than building capacity.

Commissioner Jack Dodd and other county leaders described prior litigation and operational constraints. Dodd said renovation options were examined and that renovating the existing jail would have cost an estimated "about 90 to 95,000,000" and left the county landlocked for future expansion; he described the current site selection and said the goal is to keep project costs at or below $130,000,000. Commissioner Jeff Lipinski described the decision to reach a settlement in federal mediation as a way to preserve local control over the design and costs rather than face potentially larger court-ordered remedies and legal expenses.

Council members noted the time-limited nature of the increase under current state law and emphasized ongoing work to address court and justice-system operations. After remarks from county officials and public comment, Councilman Faulkner moved and Councilman Roberts seconded approval of Resolution 2025-HCCR-22; a voice vote carried.

Key details:

- Resolution: 2025-HCCR-22, endorsing a local income tax increase (county share 0.4%) to help fund a new jail project. - Estimated county revenue: nearly $10 million annually at the proposed county share; total project cost estimates have varied, county officials cited a planning target of up to $130,000,000 but said final cost will depend on design and bids. - Tax impact example: Baker Tilly estimated about $180/year for someone with $50,000 annual income at the 0.4% county rate (publicly presented figure). - Duration: Council and presenters said the rate is expected to remain in place only until the state’s new local tax rules take effect in 2027, at which point the county will need to revisit tax structures.

Speakers (selected): Max Adams (Barnes & Thornburg), Commissioner Jack Dodd, Commissioner Jeff Lipinski, public commenters Michael Amatuzzo and Joe Recycle. Public officials emphasized coordination with Kokomo and that the partnership reduced the county’s share of the increase.

Provenance (transcript evidence): topic introduction — Max Adams: "This local income tax increase is related to the jail project" (transcript start 3162.835); topic finish — Council voice vote approving resolution (transcript start 6858.44).