A fiscal note on the proposed Chicago Bears stadium construction package shows northwest Indiana residents could pay millions in new taxes, which could grow with use by visitors to the region.
The statement — prepared by the nonpartisan Legislative Services Agency — still includes many unknowns but does provide some baseline revenue estimates for hospitality-related taxes.
Under Senate Bill 27, a state-crafted authority would take out bonds to build the stadium. A bevy of taxes would provide revenue to make the annual bond payments.
The exact cost of the project is unknown at this time though the Chicago Bears have committed $2 billion and House Speaker Todd Huston said Thursday in unveiling the plan that as much as $1 billion in public funding could be involved.
The bill allows Lake and Porter counties to each adopt a 1% food-and-beverage tax by June 30, 2027. Revenue from these taxes would go to the Northwest Indiana Stadium Board.
If both counties impose the 1% food-and-beverage tax, they could collect an estimated total of at least $12 million to $18 million annually, according to the fiscal estimate datedFriday. The estimate is based on the existing food services industry in each county and revenue collected in counties that currently impose such taxes.
“The actual amount of revenue in Lake and Porter counties would likely be greater to the extent the stadium project results in increased demand for food and beverages,” it said.
The bill allows Lake County to increase the local hotel tax rate from its current 5% to 10%. The county council is required to adopt an ordinance increasing the tax rate by June 30, 2027.
Revenue received from the hotel tax increase could be at least $5.4 million annually. But the statement says “the actual innkeeper’s tax revenue distributed to the board would likely be greater once the stadium and other facilities have been built.”
Hammond could also establish a 12% admissions tax on tickets for events held in the stadium. The tax is imposed on tickets offered for sale to the public at a box office or authorized agent, and does not apply to season tickets or a personal seat license.
All revenue collected would go to the Northwest Indiana Stadium Board to pay debt owed by the board.
The fiscal estimates the tax would generate around $12 million annually once the facility begins holding events. However, the revenue could be greater depending on the events that are held at the stadium.
The 10% Marion County admissions tax, which applies to events held at Lucas Oil Stadium, Victory Field, Gainbridge Fieldhouse and the Indiana Convention Center, generated $31.3 million during fiscal year 2025.
Another provision in the bill would create the Northwest Indiana Professional Sports Development Area. It could include any facility or complex of facilities that is used to hold a professional sporting event, including a stadium, parking garages, training facilities, and other related areas as specified in the bill.
It provides for allocation of covered taxes, including taxes paid for wages earned by athletes playing home games in a sporting facility, to the tax area. It defines covered taxes as state sales and use tax; individual income tax; local income tax; food and beverage taxes. Those revenues can be used for costs related to financing, construction, operating, maintaining and administration of the facilities established as part of the area.
The fiscal analysis said the total capture for the new tax area is unknown, but it will be less than the Marion County Professional Sports Development Area. That area — containing three sports facilities, a convention center and training facility — brings in over $16 million a year.
One final section of the bill allows dollars captured through a renegotiation of the Indiana Toll Road lease in 2026 to be used by the Indiana Finance Authority to pay or reimburse any costs associated with transportation and infrastructure projects in the following counties associated with the stadium relocation: Elkhart, LaGrange, Lake, LaPorte, Porter, Steuben and St. Joseph.
An information request with the IFA is currently pending concerning how much in revenue could be received from a renegotiation of the lease of the Indiana Toll Road, the fiscal report said.
Senate Bill 27 is set for a second reading in the Indiana House on Monday and will be finalized by Friday, when this year’s legislative session is set to conclude.
Indiana Capital Chronicle is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Indiana Capital Chronicle maintains editorial independence. Contact Editor Niki Kelly for questions: info@indianacapitalchronicle.com.
