Indiana tax relief law drives Lowell school district to voters for funding

LOWELL, Ind. (WLS) -- Tri-Creek School Corporation officials say they are facing a nearly $3 million budget shortfall that could lead to the elimination of bus transportation, sports and extracurricular activities unless voters approve additional funding through a referendum on the Nov. 3 ballot.

More than 2,000 students rely on Tri-Creek school buses each day. For some families, the potential loss of transportation services would create significant challenges.

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"It's devastating to the school district," said Gina Hathaway Vicari, a mother of five Tri-Creek students.

Vicari said losing bus service would make it difficult to manage daily transportation for her children.

"In the afternoon with the way traffic is in town, there's no way I'd be able to get there to their schools on time to pick them up," she said.

Beginning in 2028, the district has approved eliminating bus transportation if it cannot close the funding gap. K-8 sports and extracurricular activities could face elimination even sooner.

"The only options that we have are big ticket items that remain, and that is the $2.3 million in transportation. And that leaves an additional $700,000 that will have to come through big ticket items such as extracurricular sports, clubs and classroom instructional assistants. There is nothing else to cut," said Andy Anderson, superintendent of Tri-Creek School Corporation.

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Anderson said the district's financial situation became more severe after Indiana lawmakers passed Senate Enrolled Act 1 in 2025. The property tax relief law lowered taxes for homeowners while also reducing property tax revenue flowing to schools and local governments.

Tri-Creek officials say the law reduced the district's funding by more than $2 million this year, with annual losses expected to increase.

"The schools are the ones that have become the villain in all of this. Because if property taxes go up, shame on the schools, and it really is a predicament and not just here in Lowell, Indiana. It's across our entire state. There are 37 other school districts running a referendum this November," Anderson said.

The district estimates the referendum would add about $219 to next year's property tax bill for the owner of a $300,000 home.

Not all residents support the proposal.

"I am a senior, and I live on a limited income. I am working part-time just to make ends meet. If my property taxes go up, it's going to hurt me significantly," said Lowell resident Sharon Love.

Voters will decide whether the district receives additional funding when they go to the polls on Nov. 3. Until then, Tri-Creek is holding town hall meetings, including one scheduled for Tuesday night, to answer questions from taxpayers about the referendum.