Understanding Hamilton Southeastern Schools Referendum
Updated: 1 day ago
Intern Mary, is back explaining the HSE Referendum, why it matters, why it's political, and what the actual impact is.
Quick Overview: Vote 'Yes' to support schools, students, teachers, and our community.
Understanding Hamilton Southeastern Schools Referendum
Hamilton Southeastern Schools (HSE) is returning to the ballot in November 2026 with a proposed replacement operating referendum. This isn’t a new tax layered on top of the old one, it is a replacement.
Why HSE Needs a New Referendum
HSE already has an operating referendum that voters approved in 2023 which technically would not expire until 2031, but two major changes in state law have forced the township to seek a replacement referendum. Based on the current rate the district will receive far less money than intended:
SEA‑1 Property Tax Changes
In 2025, Indiana passed Senate Enrolled Act 1 (SEA‑1), which increased homeowner deductions.
It shrinks the assessed value of the property which is used to determine school tax rates.
HSE’s current referendum rate stays the same, but it now pulls far less money.
HSE is projected to lose millions between 2026 and 2031 because of SEA‑1.
There is construction going on; why not use that money? “Separate Boxes” Problem
Indiana law requires school districts to keep money in strictly separated funds:
Education Fund > classroom instruction
Operations Fund > transportation, maintenance
Debt Service Fund > construction bonds
Referendum Fund > teacher pay, safety, behavioral health
Education money cannot be used for operations, in the same way construction can't for education. So even if you see construction happening, those dollars legally cannot be used for teacher salaries, etc.
What the 2026 Referendum Would Do
According to the HSE Schools website the referendum is asking for a replacement operating referendum with:
Maximum rate: Up to $0.36 per $100 of assessed value ( this is currently sitting at $.1995)
Duration: 8 years
Purpose: Operation
Annual oversight: The Board of School Trustees sets the actual rate each year, which may be lower than the maximum
Taxpayer Impact: The median homeowner is projected to see a $26 increase to their 2027 tax bill
This referendum replaces the 2023 referendum because the 2023 referendum no longer provides the revenue schools intended.
What It Means for Residents
HSE School provides a calculator to help taxpayers estimate cost. You can find the calculator here: https://www.hseschools.org/uploaded/ADM/DOCUMENTS/ADMIN/Hamilton_Southeastern_Schools_Referendum_Calculator.html
The Reality:
Let's be real... understanding referendums can be hard and, at times, downright confusing. We hope this helps make the language a little clearer and provides some context around why the referendum is being proposed and what it's intended to support.
When it comes to the nuts and bolts of the numbers, we recommend visiting the HSE website, where you can find detailed financial information, including what your individual contribution could look like.
At the end of the day, our values are clear: we will always stand with our public schools, teachers, students, and community.
Yard Signs Available: https://advancehse.com/yardsign
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