Noblesville introduces $119.2 million 2026 budget; tax rate forecast drops to $0.97, public safety prioritized

Council introduced Ordinance Number 30 one-nine-twenty 5, the city’s 2026 budget, at its Sept. 23 meeting. The introduced budget totals $119,200,000 with $98,200,000 in core operational revenue, presenters said.

Mayor Johnson and city finance staff told the council the budget was built in the context of Senate Enrolled Act 1 and revised revenue forecasts. "We're gonna receive $30,400,000 less in core revenues over the next 4 years," the mayor said, adding that fiscal-year 2026 revenue would be about $8,200,000 below earlier projections. The mayor and CFO emphasized that the introduced budget is $8,400,000 less than the 2025 adopted budget.

Deputy Financial Officer Tom McDonald summarized the components of the introduced budget, citing a $6.6 million net increase from base to introduced (about $1.4 million ongoing and $5.2 million one-time) and a $4.4 million strategic rainy‑day fund spend-down. McDonald highlighted unavoidable base pressures including a roughly $772,000 increase in required city employer contributions to sworn public-safety retirement plans and a $787,000 one-time allocation for a new Division Street police station funded with one-time revenue.

Finance staff said the introduced tax rate is a working number and could shift with certified assessed-value recertification; the working tax rate presented was 97¢. Officials stressed that a lower tax rate does not guarantee lower individual tax bills, because assessed values and other factors influence taxpayers’ bills.

The mayor said the budget keeps public safety a priority: "this budget contributes 54.7% of our budget to ongoing operational expenses in our public safety department," up from about 52% the prior year, according to the presenters.

Council opened and closed the required public hearing on the budget with no public comment; the ordinance will return for final consideration at a later date.