Hammond vehicle owners will soon have to pay a city wheel tax. Starting in 2026, residents will have to pay an annual tax of $25 per passenger vehicle and $40 per larger vehicle, under an ordinance adopted Tuesday by the city council.
Mayor Tom McDermott Jr. said Hammond no longer gets enough in casino revenue to maintain roads at an acceptable level. "This tax will generate about $1.5 million a year for the city of Hammond, and we will put 100 percent of that into maintaining our roads, which is usually just he surface coat," McDermott told council members. "And we'll do miles of surface coat this way."
During a public hearing, resident Dave Matura criticized the addition of another tax at a time when the cost of groceries has gone up. "Some of my neighbors have just recently moved in from Chicago, and when I told them about that, they looked at me and said, 'That's exactly what I was trying to get away from,'" Matura said.
But council members noted that the cost of road maintenance has also gone up. "Unfortunately, we're faced with a decision," said Dave Woerpel, one of the ordinance's sponsors, "and that is do we pass a wheel tax, which the state says we can, or do we let the streets just crumble away?"
At the same time, the city says it's cracking down on residents living in Hammond but keeping cheaper out-of-state license plates. Police captain Tom Strabavy said the department once again has an officer dedicated to investigating these complaints, and 250 to 300 citations have been issued in recent weeks.
"We know that it just isn't fair to have Illinois plates flooding our city," Strabavy told council members.
Strabavy explained that each investigation has to start with a complaint. Then, the officer will issue a written warning, giving 60 days for the vehicle's owner to come into compliance. Meanwhile, the officer will start gathering evidence, to prove the resident lives in Hammond. Only after that, is a ticket issued. The requirement for an Indiana license plate doesn't apply to college students or vehicles owned by corporations.
Strabavy said many people don't realize that they're supposed to update their license plate when they move to a new state. Now, he said police are planning to put a flier in residents' water bills and hold landlords accountable.