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Council adopts municipal wheel tax and excise surtax; staff says most registrations unaffected

Elkhart City Common Council · July 28, 2026
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Summary

The council unanimously adopted Ordinance 26‑O‑28 establishing a municipal wheel tax and municipal excise surtax. City chief of staff Megan Arwin said 90% of registrations will not pay more, though some commercial registrations may see $5–$25 increases; one resident spoke in opposition.

On July 27, the Elkhart City Common Council adopted Ordinance 26‑O‑28 to establish a municipal wheel tax and a municipal excise surtax, and to create the municipal wheel tax fund and the municipal excise surtax fund.

Councilman Henke asked whether this represents a new tax. Megan Arwin, chief of staff, replied: “That is correct for 90% of registrations. There are a small number of commercial registrations that will see a small increase between 5 and $25.”

Resident Ralph Spellbring spoke during public comment opposing city wheel taxes, asserting counties—rather than cities—should handle wheel taxes and calling city wheel taxes “political nonsense.” After public comment, council proceeded with roll-call votes and passed the ordinance 8–0.