GOSHEN, Ind. – A Community Conversation on Senate Enrolled Act 1 (SEA 1) impacts drew more than 400 residents to the Goshen Theater as local leaders outlined financial risks tied to Indiana’s sweeping tax law changes. The discussion focused on how the legislation could reshape budgets and services across Elkhart County and Goshen.
SEA 1 impacts
Goshen City Councilors Brett Weddell and Linda Gerber facilitated the program on Wednesday, Nov. 12, 2025. Goshen Mayor Gina Leichty and Elkhart County Councilor Steven Clark led the presentation, later joined by State Sen. Blake Doriot and State Rep. Joanna King to address audience questions.
Indiana’s new tax law changes how cities and counties collect property and income taxes. The law offers homeowners a credit of up to 300 dollars but shifts more of the tax load to commercial, rental and agricultural property. It also rewrites local income-tax rules beginning in 2028 and ends several tools cities once used for relief and revenue planning.
Local leaders warned the changes could tighten budgets and limit funding for police, fire, streets and infrastructure. Elkhart County communities face sharp drops in income-tax distributions and property-tax receipts by 2028. Goshen projects a 38 percent revenue decline if lawmakers do not revise SEA 1 during the 2026 legislative session.
Leichty and Clark explained how levy limits, assessed-value shifts and new income-tax rules place more control at the state level. They said inflation, higher public-safety wages, rising construction costs and the end of federal recovery dollars have already strained budgets, reducing local flexibility.
They also highlighted reduced TIF growth, higher business-tax exemptions and capped revenue increases as added pressures. Both urged residents to contact lawmakers and support 2026 fixes to restore income-tax flexibility, adjust levy-growth limits and simplify budget requirements. Their appeal centered on protecting essential services and keeping local decision-making in local hands.
You can view the presentation slides here: