HomeMy WebLinkAboutCity of South Bend 2026 Budget BookCITY OF SOUTH BEND, INDIANA
2026 ADOPTED BUDGET
James Mueller, Mayor
Kyle Willis, City Controller
Paulette Johnson, Deputy Controller
City of South Bend, Indiana 2026 Budget
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Table of Contents
Transmittal Letter ........................................................................................................................................................... 1
Introduction and Overview .......................................................................................................................................... 2
Background .......................................................................................................................................................... 3
2026 Strategic Priorities ....................................................................................................................................... 6
The Budget Process: Translating Strategic Priorities to an Adopted Budget ........................................... 10
2026 Budget Overview ...................................................................................................................................... 14
Financial Structure and Policies ................................................................................................................................ 24
Organization Chart ............................................................................................................................................. 25
Detailed Fund Descriptions & Structure ........................................................................................................ 26
Department/Fund Relationship ...................................................................................................................... 32
Financial Policies ................................................................................................................................................ 34
General Accounting ..................................................................................................................... 35
Cash Management & Investment Policies ............................................................................... 37
Revenue Recognition Policies .................................................................................................... 39
Budget Policies ............................................................................................................................. 42
Procurement Policies ................................................................................................................... 43
General Disbursement and Vendor Payment Policies........................................................... 45
Payroll Policy ................................................................................................................................ 48
Capital Asset Policies ................................................................................................................... 48
Inventory Policy ........................................................................................................................... 50
Debt Policies ................................................................................................................................. 50
Internal Control ............................................................................................................................ 53
Financial Summaries .................................................................................................................................................... 56
Changes in Fund Balance Summary ................................................................................................................ 57
Revenue by Type ................................................................................................................................................ 60
Expenditures by Type ........................................................................................................................................ 62
Consolidated Financial Schedules .................................................................................................................... 64
Detailed Financial Discussion – Revenue ...................................................................................................... 65
Detailed Financial Discussion – Capital Expenditures ................................................................................ 75
Detailed Financial Discussion – Debt ............................................................................................................. 82
Detailed Financial Discussion – Personnel .................................................................................................... 87
Departmental Information ......................................................................................................................................... 90
Administration & Finance ................................................................................................................................. 93
Public Works ....................................................................................................................................................... 94
Police Department ............................................................................................................................................. 95
Fire Department ................................................................................................................................................. 96
Venues, Parks & Arts ......................................................................................................................................... 97
Department of Community Investment ......................................................................................................... 98
City of South Bend, Indiana 2026 Budget
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Fund Information .......................................................................................................................................................... 99
101 General Fund ......................................................................................................................................... 100
102 Rainy Day Fund ..................................................................................................................................... 102
201 Parks & Recreation................................................................................................................................ 103
202 Motor Vehicle Highway ....................................................................................................................... 104
209 Studebaker-Oliver Revitalizing Grants .............................................................................................. 105
210 Economic Development State Grants ............................................................................................... 106
211 Department of Community Investment (DCI) Operating............................................................. 107
212 Department of Community Investment (DCI) Grants .................................................................. 108
216 Police State Seizures.............................................................................................................................. 109
217 Gift, Donation, Bequest ....................................................................................................................... 110
219 Unsafe Building ..................................................................................................................................... 111
220 Law Enforcement Continuing Education ......................................................................................... 112
221 Rental Units Regulation ....................................................................................................................... 113
222 Central Services ..................................................................................................................................... 114
226 Liability Insurance ................................................................................................................................. 115
227 Loss Recovery Fund. ............................................................................................................................ 116
230 Code Enforcement Fund ..................................................................................................................... 117
249 Local Income Tax - Public Safety....................................................................................................... 118
251 Local Road & Street .............................................................................................................................. 119
257 LOIT Special Distribution ................................................................................................................... 120
258 Human Rights Federal Grants ............................................................................................................ 121
263 American Rescue Plan (ARP).............................................................................................................. 122
264 COVID-19 Response ........................................................................................................................... 123
265 Local Road & Bridge Grant ................................................................................................................ 124
266 MVH Restricted Fund .......................................................................................................................... 125
278 Police Take Home Vehicle .................................................................................................................. 126
279 IT/Innovation/311 Call Center.......................................................................................................... 127
287 Fire Department Capital ...................................................................................................................... 128
289 Haz-Mat .................................................................................................................................................. 129
291 Indiana River Rescue ............................................................................................................................ 130
295 C.O.P.S. M.O.R.E. Grant .................................................................................................................... 131
299 Police Federal Drug Enforcement ..................................................................................................... 132
312 2017 Parks Bond Debt Service ........................................................................................................... 133
315 Airport 2003 Debt Reserve ................................................................................................................. 134
324 River West Development Area ........................................................................................................... 135
328 SBCDA 2003 Debt Reserve ................................................................................................................ 136
350 2018 Fire Station #9 Debt Service ..................................................................................................... 137
351 2018 TIF Park Bond Debt Service ..................................................................................................... 138
352 2019 South Shore Double Tracking Debt Service ........................................................................... 139
353 2020 TIF Library Bond Debt Service Reserve ................................................................................. 140
401 Coveleski Stadium Capital ................................................................................................................... 141
City of South Bend, Indiana 2026 Budget
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404 Local Income Tax - Certified Shares ................................................................................................. 142
406 Cumulative Capital Development (CCD) ......................................................................................... 143
407 Cumulative Capital Improvement (CCI) ........................................................................................... 144
408 Local Income Tax - Economic Development .................................................................................. 145
410 Urban Development Action Grant .................................................................................................... 146
412 Major Moves Construction .................................................................................................................. 147
413 Professional Sports Convention Development Area ...................................................................... 148
416 Morris Performing Arts Center Capital ............................................................................................. 149
422 West Washington .................................................................................................................................. 150
429 River East Development Area (NE Dev) ......................................................................................... 151
430 Southside Development Area #1 ....................................................................................................... 152
433 Redevelopment General ....................................................................................................................... 153
435 Douglas Road......................................................................................................................................... 154
436 River East Residential (NE Res) ......................................................................................................... 155
439 Certified Technology Park ................................................................................................................... 156
450 Palais Royale Historic Preservation .................................................................................................... 157
451 2018 Fire Station #9 Bond Capital..................................................................................................... 158
452 2018 TIF Park Bond Capital ............................................................................................................... 159
453 Zoo Bond Capital .................................................................................................................................. 160
454 Airport Urban Enterprise Zone .......................................................................................................... 161
455 2021 Infrastructure Bond Capital ....................................................................................................... 162
456 2023A RDA Bonds ............................................................................................................................... 163
457 2024B RDA Bonds ............................................................................................................................... 164
458 2024 RDA Bond Proceeds (Four Winds) ......................................................................................... 165
471 2017 Parks Bond Capital ...................................................................................................................... 166
600 Consolidated Building Fund ................................................................................................................ 167
601 Parking Garages ..................................................................................................................................... 168
602 Morris Performing Arts Center Operations ..................................................................................... 169
610 Solid Waste Operations ........................................................................................................................ 170
611 Solid Waste Capital ............................................................................................................................... 171
620 Water Works Operations ..................................................................................................................... 172
622 Water Works Capital ............................................................................................................................. 173
624 Water Works Customer Deposit ........................................................................................................ 174
625 Water Works Sinking (Debt Service) ................................................................................................. 175
626 Water Works Bond Reserve ................................................................................................................ 176
629 Water Works Operations & Maintenance Reserve .......................................................................... 177
640 Sewer Repair Insurance ........................................................................................................................ 178
641 Sewage Works Operations. .................................................................................................................. 179
642 Sewage Works Capital .......................................................................................................................... 180
643 Sewage Works Operations & Maintenance Reserve ....................................................................... 181
649 Sewage Sinking (Debt Service) ............................................................................................................ 182
653 Sewage Debt Service Reserve .............................................................................................................. 183
City of South Bend, Indiana 2026 Budget
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654 Sewage Works Customer Deposit ...................................................................................................... 184
655 Project ReLeaf ....................................................................................................................................... 185
667 Storm Sewer Fund ................................................................................................................................ 186
670 Century Center Operations ................................................................................................................. 187
671 Century Center Capital ......................................................................................................................... 188
672 Century Center Energy Conservation Debt Service ........................................................................ 189
701 Fire Pension ........................................................................................................................................... 190
702 Police Pension ........................................................................................................................................ 191
711 Self-Funded Employee Benefits ......................................................................................................... 192
713 Unemployment Compensation ........................................................................................................... 193
714 Parental Leave Fund ............................................................................................................................. 194
730 City Cemetery ........................................................................................................................................ 195
731 Bowman Cemetery ................................................................................................................................ 196
752 South Bend Redevelopment Authority ............................................................................................. 197
754 Industrial Revolving Fund ................................................................................................................... 198
755 South Bend Building Corporation ...................................................................................................... 199
756 2015 Smart Streets Bond Debt Service .............................................................................................. 200
757 2015 Parks Bond Debt Service ........................................................................................................... 201
759 2017 Eddy Street Commons Bond Capital ....................................................................................... 202
760 2017 Eddy Street Commons Bond Debt Service ............................................................................ 203
Glossary .......................................................................................................................................................................... 204
1200N COUNTY-CITY BUILDING PHONE 574.235.9216
227 W. JEFFERSON BLVD. FAX 574.235.9928
SOUTH BEND, INDIANA 46601-1830
CITY OF SOUTH BEND JAMES MUELLER, MAYOR
DEPARTMENT OF ADMINISTRATION AND FINANCE
Page 1
The Honorable James Mueller, Mayor of the City of South Bend
Members of the City of South Bend Common Council
Residents of the City of South Bend
RE: 2026 Adopted Budget
Enclosed please find the adopted budget for the City of South Bend, Indiana (the "City") for the year beginning
January 1, 2026.
This economic variability makes even annual budgeting challenging, let alone long-term fiscal planning. That said, the
City’s comprehensive and exhaustive budget development process allows us to assess these many variables and piece
together an annual budget that continues our investment in our neighborhoods and economic revitalization, while
ensuring the City maintains its strong financial position.
This 2026 budget continues to move forward with investments across a broad range of City priorities. The City
continues to budget for a fully staffed Police Department, increasing the number of budgeted officers from 306 to 310.
We’ve continued our historic investment in infrastructure by fully funding the fourth year of the “Rebuilding our
Streets” plan and committing to tens of millions of dollars in water and sewer capital projects. We’ve reinvested in
mental health and support for the unhoused. We’ve continued and expanded neighborhood investments, including in
athletic court repairs, traffic calming, and additional capacity for maintenance of alleys. In short, the 2026 budget
continues the successes of the past several years and utilizes an unprecedented level of resources on hand to invest and
invigorate our community.
The Department of Administration and Finance would like to express our sincere gratitude for the leadership of Mayor
James Mueller, City Department Heads, Personnel & Finance Committee Chair Sheila Niezgodski, and all members of
the City of South Bend Common Council. Without their dedication, passion, guidance, and excellence in service to our
City, preparation of this budget would not have been possible.
With gratitude,
Kyle J. Willis
City Controller
City of South Bend, Indiana 2026 Budget
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INTRODUCTION & OVERVIEW
City of South Bend, Indiana 2026 Budget
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Background
The City of South Bend is the county seat of St. Joseph County,
Indiana, and is the fourth largest city in the state. The City of South
Bend’s 2024 U.S. Bureau of the Census population estimate was
103,713. Accordingly, South Bend is classified as a “City of the
Second Class” under Indiana statutes (cities with a population of
35,000 to 250,000).
Despite a prolonged period of population decline from 1970 to
2010, population data show that the City is experiencing
a resurgence, experiencing ten straight years of population growth.
The City of South Bend operates with a mayor as chief executive
and a nine-member City Common Council composed of six
members elected from districts and three members elected at-large.
The City provides a full range of traditional general governmental services to its residents. These services include police
and fire protection; sanitation services; the construction and maintenance of highways, streets, and infrastructure;
recreational activities and cultural events. In addition to general governmental activities, the City exercises oversight
over the South Bend Water Works, the South Bend Wastewater Treatment Facility, the Century Center Convention
Center, the Morris Performing Arts Center, the Palais Royale Ballroom, the City of South Bend Redevelopment
Commission and Authority, and several downtown parking facilities.
Location
St. Joseph County lies within the heartland of the manufacturing belt and
metropolitan regions of the Upper Midwest and Canada. The City of South Bend is
located in the north central part of Indiana, ten miles south of the Michigan state
line, and is the economic and cultural anchor of the “Michiana” region. The region
is a vibrant and diverse area with a strong economy based on a mix of health care,
agricultural, service, manufacturing, education, and other commercial and tourism
industries. This diverse economic mix creates varied employment opportunities for
the area’s residents while providing insulation via diversification from future
economic downturns.
The City is approximately 90 miles east of Chicago and 140 miles north of
Indianapolis. Accessibility to transportation, including Interstate 80/90, an
international airport (which is the second busiest in the State of Indiana) and the
South Shore Line has supported economic growth within the community.
Economic Conditions & Outlook
St. Joseph County, with a total population of 273,744, boasts a strong history of manufacturing which continues today.
The service industry and retail trade have also flourished, creating a balance that serves the community well.
The estimated labor force in St. Joseph County is 129,888 workers1.
1 STATS Indiana, 2024, St. Joseph County. https://www.stats.indiana.edu/profiles/profiles.asp?scope_choice=a&county_changer=18141
South Bend
South Bend Quick Facts
Year of Incorporation ...................................... 1865
Mayor ................................................. James Mueller
Number of Council Members ............................... 9
Population (2024 Census) .......................... 103,713
Budgeted Full-Time City Positions ............... 1,228
2026 Budgeted City Revenues .......... $470,236,305
2026 Budgeted City Expenditures ... $448,498,541
Bond Rating (Standard & Poors) ...................... AA
City of South Bend, Indiana 2026 Budget
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Education
Approximately 95.1% of the County’s adult population are high school graduates or higher (comparable to the national
average of approximately 90%) with an estimated 33.5% with a bachelor’s degree or higher. There are six colleges,
universities and technical schools within South Bend and the surrounding area:
• University of Notre Dame
• Indiana University South Bend
• Bethel University
• Holy Cross College
• Saint Mary’s College
• Ivy Tech Community College
Unemployment
As of December 2025, St. Joseph County is experiencing a low unemployment rate of 3.0%, which is slightly higher
than the State of Indiana unemployment rate of 2.7%, and much lower than the national unemployment rate of 4.4%.
The unemployment rate in St. Joseph County is similar to that of its surrounding counties [Elkhart County (2.7%),
LaPorte County (3.1%), and Marshall County (2.5%)], as well as similar to comparable counties throughout the state
[Allen County (2.6%) and Marion County (2.8%)].
Income
The median household income in St. Joseph County in 2024 was $64,573, compared to a national median of $83,730.
However, the cost of living continues to be one of the greatest advantages of living in this community. Housing costs
in South Bend are well below the national and regional averages. Per data provided by the United States Census Bureau,
the median value for a single-family home in St. Joseph County was $192,800, compared to a median value of $334,100
in Chicago and $224,800 in Indianapolis. The national median value is $332,700.
Employment by Industry Sector
According to the Bureau of Labor Statistics, most employees in the South Bend area are employed in the education and
health services sector.
Source: Bureau of Labor Statistics South Bend Area Economic Summary, updated January 26, 2026
https://www.bls.gov/regions/midwest/summary/blssummary_southbend.pdf
Largest Employers
According to the Indiana Department of Workforce Development, the region’s largest employers are:
• Beacon Health Systems (7,000)
• University of Notre Dame (6,447)
• South Bend Community School Corp (3,000)
• St. Joseph County (1,397)
• City of South Bend (1,290)
• Four Winds Casino (1,250)
• Indiana University South Bend (1,166)
• Honeywell International (700)
• Walmart (700)
• Ivy Tech Community College (654)
2020 Number of Employees – Sources: Employers' websites and Indiana Department of Workforce Development
- 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000
Information
City of South Bend, Indiana 2026 Budget
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Population2
Prior to 2010, South Bend experienced decades of population loss, primarily stemming from the collapse of the local
manufacturing industry and particularly the closing of the local Studebaker plant in 1963. However, despite being
named one of America’s “dying cities” by Newsweek in 2011, South Bend has experienced a renaissance of economic
opportunity and cultural growth over the past ten years. Investments in the City made by high-tech firms and other
private businesses have led to a positive population growth in each of the past five years.
2 US Census Bureau https://www.census.gov/quickfacts/fact/table/US,in,stjosephcountyindiana/AGE295217
Stats Indiana https://www.stats.indiana.edu/population/PopTotals/historic_counts_cities.asp
City of South Bend downtown and Riverwalk
0
20,000
40,000
60,000
80,000
100,000
120,000
140,000
POPULATION
City of South Bend, Indiana 2026 Budget
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2026 Strategic Priorities
The formulation of an annual budget is, at its core, a strategic exercise. Although the budget is important for ensuring
good fiscal management through expenditure control and planning, the most important function of the budget is to
ensure resource allocation is inextricably linked to the City’s strategic priorities.
To understand the City’s strategic framework and strategic priorities is, therefore, vital to understanding the allocations
of resources presented in the 2026 Adopted Budget.
For the 2026 budget process, the City administration and the Common Council
once again undertook a feedback-gathering initiative called “Build the Budget.”
This multi-modal feedback model incorporated in-person meetings, an online
feedback form, and the ability to call into the City’s 311 information line. All
methods of participation were aimed at a single purpose: to understand what
initiatives and priorities were important to City residents. Ultimately, over 1,500
people participated in a “Build the Budget” activity for the 2026 budget.
One of the most important questions asked during the Build the Budget sessions
(and on the online feedback form) inquired how the respondent would divide
$100 among the various City priorities. Respondents could divide the money in
any way they chose, including putting all $100 into a single priority. When
aggregated and averaged, the results of this exercise are summarized below:
This exercise was instrumental in determining the City’s strategic priorities for the 2026 fiscal year.
Ultimately, the City grouped the initiatives above into five overarching strategic priorities, which are summarized below:
City of South Bend, Indiana 2026 Budget
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Strong Neighborhoods
Safe, vibrant, and attractive neighborhoods are a cornerstone of inclusive
economic development. The City will make investments to fund or leverage state
and federal funding for housing assistance, development and home ownership
programs, neighborhood public works and parks, neighborhood development for
social services and organizations, and public safety initiatives. Committing these
resources will help us maintain, improve, and support strong neighborhood
development.
South Bend is working with partners to create new strategies for enhancing neighborhoods. Reinforcing our
neighborhoods creates opportunities for our residents across the socioeconomic strata to own and enjoy safe, affordable
homes in the community they love.
Strong Neighborhoods - Desired Outcomes
• Align code enforcement with community incentives to improve our neighborhoods
• Improve walkability of neighborhood roadways (curbs, sidewalks, lights)
• Continue work to revamp parks and trails
• Expand access to affordable housing
• Invest in improvements to our major corridors
Safe Community for Everyone
Public Safety is the foundation of all the City’s efforts to build South Bend.
Through the targeted and creative use of available resources, the City is working
to provide quality police, fire and emergency medical services for the community.
The dedicated officers, firefighters, and paramedics of the City of South Bend work
tirelessly to accomplish the primary mission of any government: ensuring that
residents and visitors can take safety for granted.
South Bend must be a city where everyone can thrive, regardless of race, gender,
orientation, age, or zip code. We believe that our city ought to be measured not by the success of its wealthiest residents,
but rather by the experience of its most vulnerable members.
It is critical for our residents to feel that they can trust and rely upon our law enforcement officers, and equally important
for officers to trust and rely on our community in which they serve. The City is dedicated to implementing and
continuing community-based policing and, in 2026, will continue to invest in recruiting and retention initiatives, with a
specific focus on minority officers.
To help our residents experiencing homelessness, the City has put together a comprehensive working group on
homelessness to provide recommendations and initiatives and has included an unparalleled investment in homelessness
abatement into the 2026 budget.
Safe Community for Everyone - Desired Outcomes:
• Pursue housing-first approach to homelessness
• Institute comprehensive mandatory training on best practices for community policing
• Continue focus on improving diversity in SBPD and SBFD
• Expand violence intervention initiatives
• Partner to reduce infant mortality and health disparities
City of South Bend, Indiana 2026 Budget
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Robust, Sustainable Infrastructure
As with any city, the upkeep of South Bend’s infrastructure is essential to the
functioning of all other priorities. From routine street maintenance and snow
removal to multi-million-dollar projects designed to revolutionize traffic flow or
sewage management, few areas touch residents’ day-to-day lives more completely
than effective infrastructure management.
In 2026, the City will continue implementation of an ambitious and comprehensive
roads plan, kicked off in 2021 by a significant debt-financed investment in road
repair and other neighborhood projects. In addition, we will continue to invest in miles of curbs, sidewalks, and public
lighting, and continue the capital plans supporting our water and wastewater utilities to ensure safe, clean drinking water
for all.
Robust, Sustainable Infrastructure - Desired Outcomes:
• Invest in a multiyear road improvement plan
• Maintain and improve safe, reliable water and wastewater utility
• Expand reliable, high-speed internet access
• Invest in sustainable, green infrastructure improvements
South Bend Water Works Pumping Station
City of South Bend, Indiana 2026 Budget
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Equitable Access to Opportunity
South Bend is open for business – and is open for business to all. Our future
prosperity will come from being a welcoming city, free from hate and bias, in which
all residents participate in, contribute to, and benefit from economic growth.
We must continue to pursue policies that support and empower LGBTQ,
immigrant, and minority communities. Local government plays a key role in
economic development. By providing adequate infrastructure and offering
targeted assistance, the City can stimulate private investment, creating and
expanding business opportunities and jobs. The City continues to streamline business support services to make it easy
to do business in South Bend, especially for new business owners.
In light of the economic hardships stemming from the worldwide COVID-19 pandemic, compounded by inflation
brought on by the subsequent economic recovery, investing in economic activity is more important than ever.
Strengthening and supporting businesses through difficult times while continuing to encourage growth and relocation
is more important than ever.
Equitable Access to Opportunity - Desired Outcomes:
• Support small businesses as they rebuild from economic downturn
• Develop an opportunity fund for underrepresented local businesses
• Incentivize public-private partnerships to invest in South Bend and create jobs
• Support programs and policies that encourage immigration and engage new residents
• Incentivize grocers to fill in food deserts (areas with few to no convenient options for affordable, healthy food)
Youth and Workforce Development
The City is committed to removing barriers to good jobs, fostering an inclusive
economy, and providing all opportunities to all of our residents, no matter their
background or zip code. Investing in our young people – by ensuring access to
pre-K childcare and fostering the development of valuable life skills necessary to
enter a growing and productive economy – is critical to the future of our City.
Additionally, the City is continuing to invest in workforce development activities
to strengthen the capacity of local workers and small businesses to help rebuild and recapture South Bend’s success.
Through the Pathways workforce development program, the City partners with WorkOne to provide specialized job
training and placement assistance to local workers.
Youth and Workforce Development - Desired Outcomes:
• Expand economic empowerment programs like Love Your Block, financial literacy training, and an eviction
legal defense fund
• Continue to fund workforce development programs like Pathways for residents who want to build their skills
and advance their career
• Expand programming for the Office of Diversity & Inclusion to increase the utilization of MWBE (Minority/
Women-owned Business Enterprises) businesses for City contracts
• Invest in pre-K centers to deliver quality, affordable childcare
• Partner with the South Bend Community School Corporation to develop a new way forward for our public
schools
City of South Bend, Indiana 2026 Budget
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The Budget Process:
Translating Strategic Priorities to an Adopted Budget
At the core of the budgeting process is the translation of the policy goals of the administration into investments that
can be used to accomplish those policy goals.
The outcome of this budget preparation process is a budget ordinance passed by the Common Council, in which the
Council authorizes the level of funding for City operations. It is important to note that the line-item budget passed by
the Council is the maximum authorization to incur liabilities. It is not a mandate to spend (i.e., City funds may spend less
than the appropriated amount), but it does represent the legal limit of spending (i.e., City funds may NOT spend more
than the appropriated amount). Spending within a single cost category (personnel, services, supplies, and capital) in a
single fund cannot exceed appropriations without Common Council approval.
To ensure that the City is able to accomplish its objectives, the annual budget for local governments like South Bend
has three primary goals:
1) Allocate resources in a manner that enables the accomplishment of strategic goals.
2) Maintain liquidity and practice good stewardship of financial resources through expenditure control.
3) Promote interperiod equity through responsible fiscal management of debt and assets.
• “Interperiod equity” refers to the state in which current expenditures are not deferred to future
taxpayers through excessive use of debt or other financing mechanisms. In other words, South Bend
wishes to ensure that current-year revenues are sufficient to pay for current-year expenses.
To promote the achievement of these objectives, the City of South Bend prepares a budget that is strategically aligned,
operationally balanced in the long-term, and prepared on the cash-basis.
Speed Hump
City of South Bend, Indiana 2026 Budget
Page 11
Balanced Budget
To promote good fiscal management and enable the achievement of objectives 2 and 3 listed above, South Bend is
committed to the passage of a balanced operational budget, defined as a budget in which operational expenditures do
not exceed revenue available to finance those ongoing operations.
A balanced budget is necessary for proper financial management in the City of South Bend. However, in light of the
increased expense challenges facing the City stemming from inflation and associated economic hardships, the 2026
budget was not operationally balanced.
The three major City operational funds—General Fund, Local Income Tax-Public Safety, and Local Income Tax-
Economic Development—have an operational deficit of roughly $10.3 million.
Basis of Budgeting: A Tool for Fiscal Management
Similarly, in an effort to promote good fiscal management and enable the achievement of objectives 2 and 3 listed above,
South Bend has elected to budget all funds on a cash basis. This is not the same basis as is used in the City’s audited
financial statements. As prescribed by the Government Accounting Standards Board (GASB), the City’s audited
financial statements are prepared on a modified accrual basis for governmental funds and a full accrual basis for
proprietary funds.
The decision to budget on a cash basis was made primarily in view of the importance of the budget as a planning and
control instrument in the City. The accounting system provides the basis for appropriate budgetary control. Unlike
accounting, budgeting is not primarily a financial procedure; it is primarily a policy-planning process to ensure strategic
alignment and good fiscal management. The goals of current expenditure control and interperiod equity are served well
by the cash-basis system of budgeting, and therefore the City uses cash-basis budgeting.
Although the primary budgeting method is cash-basis, encumbrance accounting is employed in all funds. Encumbrances
(e.g., purchase orders, contracts) outstanding at year-end are reported as designates of fund balances and do not
constitute expenditures or liabilities because the goods or services have not been received as of year-end; the
encumbrances will roll over and be honored during the subsequent year.
Despite the cash-basis budget, the need for more complete disclosure of the City’s underlying condition by the public
and credit markets have led the City to release audited financial statements prepared on the modified accrual basis (for
governmental funds) and the full accrual basis (for proprietary funds). The primary difference between accrual-basis
accounting and cash-basis accounting is that accrual-basis accounting recognizes revenues and expenses when they are
earned or incurred, as opposed to when they are received or paid in cash. The accrual and modified accrual accounting
bases provide for a more holistic look at the overall economic position of the City and is thus used to prepare the
audited financial statements in accordance with GASB standards.
City of South Bend, Indiana 2026 Budget
Page 12
The 2026 Budget Process:
With the three objectives listed above in mind, and the need to prepare a budget that is strategically-aligned,
operationally balanced in the long-term, and prepared on the cash-basis, the City of South Bend undertook the
following process for the 2026 budget:
• The City’s annual budget process began with a budget kickoff meeting in May, which included the Mayor,
Department Heads, Fiscal Officers, Common Council and other City leaders.
• At the budget kickoff meeting, administration priorities were discussed, and the budget process was reviewed.
Soon after the meeting, department heads and various staff members prepared a first-round draft of their five-
year capital improvement plan and five-year operating budget.
• During the month of June, the City Controller and Department Heads revised the first-round budget to adjust
expenditures based on revenue projections and ensure that the budget was balanced in operational funds.
• Based on input from Department Heads, the City Controller submitted the proposed budget to the Mayor in
July, and revised the budget based on the Mayor’s input.
• From August to October, the Mayor and City Controller presented to the Common Council the recommended
budget for the next year. The Common Council reviewed the recommended budget, made reductions at their
discretion, held thirteen public budget meetings, and ultimately adopted the City budget for the fiscal year prior
to November 1 (per Indiana law).
o The process of presenting the proposed budget to the Common Council often leads to feedback and
changes, meaning the final, adopted budget is often different than the budget originally proposed by
the Mayor.
• Once adopted, the budget was forwarded to the State of Indiana Department of Local Government Finance
(DLGF) for final approval. The City’s fiscal year begins January 1.
Electric Vehicle Charger at Howard Park
City of South Bend, Indiana 2026 Budget
Page 13
Budget Calendar for Fiscal Year 2026 Budget
May 9, 2025 Budget kickoff meeting for all Department Heads and Directors of Dept Finance
June 16, 2025 Deadline for Directors of Dept Finance and Department Heads to submit first-round budgets
July – Early Aug. 2024 Mayor’s Office review of budgets with Department Heads & Fiscal Officers
Aug 14 – Oct 13, 2024 Eight public budget hearings with City Council & Department Heads, along with two additional Council working sessions
September 8, 2025 First reading of 2026 City budget
September 22, 2025 Public hearing on 2026 City budget and first reading of 2025 Mayor, Clerk, Council, non-
bargaining, and bargaining salary ordinances
October 13, 2025 Adoption of 2026 City budget, 2025 Mayor, Clerk, Council, non-bargaining, Police, and Teamster salary ordinances
October 13, 2025 Adoption of 2026 Fire salary ordinance
October 13, 2025 Adoption of 2026 Police salary ordinance
Budget Amendment Policy
After the budget is adopted, the primary responsibility for managing the appropriated funds falls to each respective
department’s Department Head and Director of Department Finance, as well as the Department of Administration &
Finance and the Mayor. Directors of Department Finance and Department Heads analyze their respective budgets on
a continuous basis through electronic budget monitoring in the City’s Enterprise Resource Planning (“ERP”) system.
Management flexibility is given to each Department for exceeding a given expenditure/expense line item within a given
cost category if there is an available budget within another expense line item of the same cost category, in the same
department, and in the same fund. Cost categories include personnel, supplies, services, and capital. Budget
amendments within the same cost category, department, and fund do not require approval from the Common Council.
If a review of year-to-date activity indicates that any given expense line item will exceed the budget, and the line item
cannot be covered by another budget within the same cost category, then the department is required to submit a budget
amendment request through the ERP system. The Finance Department reviews the request and, if deemed appropriate,
presents it to the Mayor and the Common Council for approval. Budget amendments are presented to the Common
Council on a quarterly basis.
Budget amendments that require Common Council approval include:
• Budget transfers between different cost categories (i.e. personnel, supplies, services, capital)
• Budget transfers between different departments within the same fund
• Additional appropriations (increases) or reductions to the total budget for a given fund
City of South Bend, Indiana 2026 Budget
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2026 Budget Overview
Introduction
This summary has been prepared as a general overview to the 2026 Budget for the City of South Bend in the hope that
it will provide City residents with a quick summary of the plans for the City for the fiscal year.
The Common Council held ten public budget hearings and two public Council working sessions to review the budget.
The 2026 budget was centered around the named priorities listed below, which were shared by the Common Council
and the administration. The 2026 budget was adopted on October 13, 2026.
Strategic Priorites Reflected in the 2024 Budget
Short-Term Organizational Factors: Context for the 2026 Budget
As the City of South Bend prepared its 2026 budget, there were several specific factors that guided the development of
the budget:
1) Opportunity for Generational Investment in the Community: Signed into law on March 11, 2021, the
American Rescue Plan Act of 2021 (“ARP Act”) is a $1.9 trillion economic stimulus bill designed to facilitate
recovery from the economic and health effects of the COVID-19 pandemic and the resulting, ongoing recession.
As a part of this legislation, Congress allocated $350 billion to state, local, territorial and Tribal governments to
respond to the pandemic, provide economic relief, and lay the foundation for a strong and equitable recovery.
The City of South Bend (the “City”) was one of almost 1,200 Metropolitan Cities across the country that received
a direct infusion of resources as a result of this Act. The City’s allocation totaled $58,910,047 (the “ARP Funds”).
In its guidance, the Department of the Treasury outlined four funding objectives for the ARP Funds. In
developing its own plan for spending, the City of South Bend further grouped these four objectives into two
main categories of spending: “Response & Relief” and “Equitable Recovery”. These funding objectives are
described below:
City of South Bend, Indiana 2026 Budget
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In this budget, spending allocated for “Response and Relief” is
intended to provide direct, rapid relief to residents and
businesses who have experienced economic or health-related
harms related to the pandemic. Spending allocated for
“Equitable Recovery” is intended to rebuild a more equitable
economy and community by addressing systemic challenges that
have been present in our community for decades.
Although the majority of the ARP funding was allocated and
budgeted during the 2022 budget cycle, the projects and
programs funded with these dollars are long-term in nature and
will continue to play a significant role in deciding how to allocate
strategic structural dollars over the upcoming several years. In
other words, deciding how to allocate ongoing operational
funding to strategic priorities in 2026 was significantly impacted by the continuing existence of programs funded
through one-time investments of ARP funding.
2) Strategic Priorities: Within the context of the general strategic framework presented in the prior section, the
South Bend Common Council and the City administration have articulated the following specific budget
initiatives for 2026:
o Strong Neighborhoods
Safe, Affordable Housing
• Continue existing and establish new home repair
assistance programs.
• Dedicate funding for eviction prevention.
• Establish a loan guarantee fund to enable the financing
of new-home construction in areas where banks traditionally have been unwilling or
unable to lend.
• Enable first-time homeowners with home buying assistance programs, including
down payment support.
Neighborhood Infrastructure
• Continue investment in expanding sidewalks in neighborhoods.
“Response and Relief” “Equitable Recovery”
Support urgent COVID-19 response efforts
Replace lost revenue for eligible state, local, territorial, and Tribal governments
Support immediate economic stabilization for households and businesses
Address systemic public health and economic challenges that have contributed to the inequal impact of the pandemic
City of South Bend, Indiana 2026 Budget
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• Continue and expand the “Light Up South Bend” program to put more streetlights
in neighborhoods.
• Invest in traffic calming measures on neighborhood streets where speed is a concern.
• Expand alley maintenance and alley grading activities.
Neighborhood Planning
• Continue the City-wide Comprehensive Plan, which is undertaken once every 20
years.
• Invest in two new neighborhood plans for Lasalle Park and River Park.
Neighborhood Revitalization
• Expand investment in demolition of large, vacant commercial buildings that pose a
health and safety hazard to the community.
• Incentivize private investment in neighborhoods by providing matching grants for
improvements.
• Invest in neighborhood amenities such as bike racks, trash cans, and bus shelters.
• Partner with a local agency to start a land bank.
• Invest in additional inspectors to boost the rental safety verification program and
ensure compliance with other municipal ordinances.
• Restart funding for the “Ethnic Fest”, a celebration of communities across our City.
Parks, Arts, and Green Spaces
• Continue investment in tree maintenance in the neighborhoods, including funding a
tree planting matching initiative and a dead tree removal pilot program.
• Repair and resurface all athletic courts in parks.
• Continue operational support for the Potawatomi Zoo, the Studebaker Museum, and
the South Bend Art Museum.
o Safe Community for Everyone
A fully staffed Police Department, which has been attained for
the first time in more than a decade due to historic raises agreed
to during the last negotiating period.
Continued investment in the Community Paramedic program to
help enhance health and avoid unnecessary ambulance calls.
Expand spending on public safety technology upgrades,
including:
• Install a real-time crime center (RTCC), including investing in technology and three
new crime analysts.
• Continuing investment in body cameras.
• Expanding ShotSpotter to cover an increased area.
• Incentivizing and subsidizing the installation of security cameras by residents and
businesses.
Continue to implement the Mayor’s strategy to combat homelessness, including investments
in permanent supportive housing.
Invest in violence reduction initiatives, including Group Violence Intervention (GVI) and the
Stand Against Violence Everyday (SAVE) programs.
Increased funding for mental health initiatives, supplementing funding from the American
Rescue Plan.
City of South Bend, Indiana 2026 Budget
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o Robust, Sustainable Infrastructure
Complete year 4 of the City’s “Rebuilding Our Streets” plan,
which represents the largest investment in the quality of City
roads in nearly 50 years.
Major investment in water infrastructure to address areas of
greatest need.
Major investment in wastewater infrastructure in accordance
with long-term control plan and EPA consent decree.
Invest in green infrastructure and the City’s Climate Action Plan, including incentivization of
solar panels, commercial recycling, and creation of infrastructure for electric vehicle charging.
o Equitable Access to Opportunity
Establish Small Business Assistance Fund to continue to help
local businesses weather the economic storm
Establish an Opportunity Fund to help small businesses
(especially minority- and women-owned businesses) break
barriers to financing and barriers to work.
Support the immigration of new residents by providing
favorable local regulations and direct support for immigrants upon arrival.
Through the Office of Diversity & Inclusion, continue to work to ensure that minority- and
women-owned businesses have access to City contracts and work.
o Youth and Workforce Development
Continue concerted strategy with youth employment for City
jobs, including with the “Manager-Youth Employment”
position and the mentored mowing program in the department
of Venues Parks & Arts.
Expand investment in workforce development programs,
including both skills development (especially in expanding fields
such as technology, solar installation, etc.) and programs designed to decrease barriers to
employment (such as transportation barriers or criminal history).
Continue investment in a complete renovation and revitalization of the Martin Luther King,
Jr. Community Center to create a new “Dream Center” that will be developed based on
community feedback.
Invest in pre-K centers to ensure that all residents have access to high-quality, affordable pre-K
childcare and educational services.
3) Inflation and Continuing Economic Concerns
o Although it has lessened slightly over the two years, inflation remains an important consideration in
the 2026 budget.
o The areas most impacted by inflation are:
Wages: The City spends over 50% of its operational budget on salaries, wages, and benefits.
In addition to above standard increases in wages for sworn police officers and sworn
firefighters. All non-bargaining employees received a 3% cost of living increase in the 2026
budget.
City of South Bend, Indiana 2026 Budget
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4) Revised Financial Processes and Policies
o In 2020, the City completed implementing a new ERP system, Microsoft Dynamics 365 for Finance
and Operations (“DFO”). The Department of Administration & Finance took the opportunity of this
implementation to completely redesign and revitalize both the financial processes that support the
City’s operations and the policies that underlay those processes.
o This redesign of financial processes has meant more control over budgetary compliance, reduced
inappropriate spending, and generally strengthened the City’s ability to manage its financial reality.
o This strengthened control and visibility places an even greater importance on the budget and ensuring
that planned spending is reflective of desired outcomes.
City of South Bend, Indiana 2026 Budget
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2026 Adopted Budget Highlights
• Over $2.62 million allocated for affordable housing projects, including
continuation of home repair and eviction prevention programs
• $3.05 million for streetlights, traffic calming, and curbs/sidewalks.
• $770 thousand for neighborhood revitalization, including investments in
demolishing vacant and abandoned buildings, investment in brownfield
remediations, and investing in DTSB beautification and security programs.
• $600,000 for continuing the City’s Fusion Festival, a celebration of communities
across our City.
• $810 thousand in operating subsidies and capital contributions for the
Potawatomi Zoo, Studebaker Museum, and South Bend Art Museum.
• $775 thousand for continued implementation of the City’s strategy on
homelessness.
• Budgeting for fully-staffed police department.
• Over $8.95 million allocated for street repair.
• $1.24 million for storm sewer projects to assist in drainage.
• $214,898 for green infrastructure projects, including solar and EV projects.
• $115,000 in support for local chambers of commerce.
• $110,000 in small business assistance loans
• Continued support for workforce development programs, including
investments in green jobs and tech positions.
• Continued investment in the city’s youth jobs program, through the City’s
Youth Employment Manager position.
City of South Bend, Indiana 2026 Budget
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Fund Accounting & City Funds
The City of South Bend uses fund accounting to enhance accountability and transparency for the use of resources. The
City maintains over 100 funds (with a total fund balance of over $250 million) for various purposes, grouped into seven
main categories:
• General Plus Fund: The largest single fund group are the
General Plus Funds, which provide $143.8 million in
funding (32.9% of total expenditures) towards the
majority of services available to the City residents (Police,
Fire and general government)
o The bulk of the spending from this fund group
($99.1 million) is for the Police, Fire, and EMS
Departments.
o An additional $30.4 million is used to fund the City’s
administration costs (Mayor’s Office, City Clerk,
Common Council, Controller’s Office, Human
Resources, Diversity & Inclusion, Human Rights,
Legal Department, and Engineering).
o The remaining $14.3 million is used to provide
operational support to the Parks fund ($3.3 million)
and the Streets fund ($11 million), as well as smaller
operational support to other departments.
• Special Revenue Funds: Providing $65.1 million in funding (14.9% of total expenditures), these Funds are used
to account for the proceeds of earmarked revenue or financing activities requiring separate accounting because of
legal or regulatory provisions. The City of South Bend maintains over 30 Special Revenue Funds.
o These funds account for the City’s Venues, Parks & Arts (VPA) Department, Streets Division of Public
Works, and the Department of Community Investment, among other priorities.
• Capital Projects & Debt Service Funds: Because the City of South Bend does not issue debt except for the
purpose of funding capital projects, these funds are grouped together. These funds account for large-scale capital
projects and principal and interest payments on debt associated with those projects represent total expenditures in
2026 of $24.9 million (5.7% of total expenditures).
o The City currently maintains 18 capital projects funds and 6 city-controlled debt service funds.
o Note that this fund grouping does not include capital projects/debt service payments related to enterprise
funds or Redevelopment Commission controlled funds, which are accounted for in their respective
categories.
• Enterprise Funds: Enterprise Funds are generally used to account for activities that are designed to support their
operations through charges for services rendered (as opposed to tax revenue). Because they operate and finance
themselves much in the way a business would, these funds are sometimes called “business-type” funds. These funds
provide $142.1 million of funding (32.5% of total expenditures).
o The largest enterprise fund grouping is the Utilities Funds, which provides $135.4 million in funding for
water, wastewater, sewer, and solid waste operations.
o Other enterprise funds include funds for parking garages, the Building Department, the Century Center, and
the Morris Performing Arts Center.
City of South Bend, Indiana 2026 Budget
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• Internal Service Funds: Internal Service Funds are used to account for $50.9 million of expenditures (11.6% of
total expenditures), and cover operations that primarily provide services to other departments of the City of South
Bend on a cost-reimbursement basis. These 7 funds account for activities such as Central Services (which provides
vehicle repairs/maintenance for police, fire, streets, etc.) and the City’s self-funded employee benefits (such as
health insurance and parental leave).
• Pension Trust Funds: Pension Trust funds ($10.5 million; 2.4% of total expenditures) are used to account for
resources that are ultimately benefiting a party outside of the City government. The expenditures in this fund
category are for pension costs for the City’s legacy Police and Firefighters pension plans.
A full description of each fund is presented in the “Financial Structure & Policies” section of this document.
The City prepares five-year projections every year for all funds.
The City continues to monitor cash reserves and other revenue options, as well as reviewing our priorities with regards
to the programs and services we offer, to ensure we do not fall below our cash reserve targets. See “Financial Structure
& Policies” section of this document for more information on cash reserve requirements.
East Race River Rafting
City of South Bend, Indiana 2026 Budget
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2026 Revenue Summary
Total revenue for the City of South Bend is estimated at $470,236,305 for 2025, which is a 1% increase from total
amended estimates of $466,228,005 for 2025. The contributing factors to the increase in revenue can be seen below:
Note: The above table includes revenues for both City and Redevelopment Commission controlled funds.
• Property Taxes: The 2026 estimate reflects a 3% decrease in property taxes from 2025, primarily due to Indiana
Senate Enrolled Act 1 (“SEA 1”) property tax reforms beginning pay 2026, including the new Supplemental
Homestead Credit which is estimated to reduce City property tax revenues by $2.2 million. The City also assumes
a more conservative circuit breaker loss rate of 40% in 2026, vs the 2025 actual loss rate of 38.4%, which also
contributes to the reduction.
• Income Taxes: The City predicts a slight increase in local income taxes in 2026, due to inflation driving wages
higher plus continued recovery from the COVID-19 pandemic.
• Donations: The City expects a strong increase in donations from private sources.
• Interest Earnings: The City anticipates lower yields on investments in 2026, as compared to previous years due
to forecasted reductions in interest rates.
• Debt Proceeds: The City plans on issuing bonds in 2026, for water infrastructure and one capital lease, which
together total approximately $25.2 million.
A full analysis of 2026 revenue is included in the “Financial Summaries” section of this document.
2023 2024
2025
Adopted
2025
Amended
2026
Adopted
$
Change
%
Change
Revenues
01 - Property Taxes 98,454,891 111,753,843 108,764,709 112,752,271 109,270,549 (3,481,722) -3%
02 - Local Income Taxes 44,541,700 47,813,789 43,460,144 42,279,598 44,390,313 2,110,715 5%
03 - Intergov./ Shared Revenues 28,646,886 32,685,750 31,075,792 31,576,978 31,775,443 198,465 1%
04 - Intergov./ Grants 10,223,449 8,633,889 5,592,512 11,099,031 5,616,082 (5,482,949) -49%
05 - Licenses & Permits 2,348,304 4,163,304 2,588,372 2,779,440 3,647,422 867,982 31%
06 - Charges for Services 114,804,134 120,285,788 122,732,256 123,784,895 125,730,221 1,945,326 2%
07 - Fines, Forfeitures, and Fees 823,566 977,036 781,840 782,419 559,850 (222,569) -28%
08 - Interest Earnings 10,777,090 16,804,146 6,256,231 11,110,686 9,830,941 (1,279,745) -12%
09 - Donations 8,194,935 13,468,067 1,393,000 2,920,318 9,039,000 6,118,682 210%
10 - Other Income 14,201,773 9,680,364 3,709,079 4,214,681 3,988,467 (226,214) -5%
11 - Debt Proceeds 40,047,853 90,948,752 18,063,997 18,533,997 28,987,383 10,453,386 56%
12 - PILOT 6,095,594 6,024,186 5,765,661 5,765,661 5,975,482 209,821 4%
13 - Interfund Allocation Reimb 26,659,591 30,402,622 32,782,959 32,782,959 33,514,548 731,589 2%
14 - Interfund Transfers In 57,096,116 51,340,621 64,177,906 65,845,071 57,910,604 (7,934,467) -12%
Total Revenues 462,915,882 544,982,156 447,144,458 466,228,005 470,236,305 4,008,300 1%
Actual Budget 2025 to 2026
City of South Bend, Indiana 2026 Budget
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2026 Capital Expenditure Summary
The City of South Bend is planning to invest $57.5 million in capital in 2026. The majority is for improvements to the
City-owned utilities’ capital infrastructure, a portion of these are proposed to be funded through the issuance of bonds,
estimated at $17 million for Water Works. The bond will be repaid with user fees collected by the utilities. Other projects
include improvements to the City’s streets, investments in parks and community centers, and the replacement of aging
vehicles and equipment.
Capital projects are financed in one of four ways:
• Cash: Capital items purchased outright with City cash.
• Capital Lease: Capital items purchased with lease proceeds. Typically, capital leases are paid off over a 4 to 5-year
time period. Cash is not impacted as heavily in any particular year.
• Bond Proceeds: Capital projects paid for by proceeds from a bond. Typically, bonds are paid off over the useful
life of the capital project (e.g. 20 years for infrastructure projects) such that cash is not impacted as heavily in any
particular year.
• Contributed Capital: Capital items not purchased with City cash.
A full analysis of capital expenditures is included in the “Financial Summaries” section of this document.
2026 Debt Summary
At the beginning of 2026, the City of South Bend will have total debt outstanding of $300,664,197 concentrated primarily
on culture & recreation, economic development and wastewater capital projects:
12/31/2025 Principal Balance = $300,664,197
This outstanding principal represents: $2,899 debt per capita
and 7.2% of assessed property value within City limits.
12/31/2025 Balance
Business-Type 74,556,162$
Solid Waste 1,269,018
Wastewater 51,985,000
Water Works 21,302,144
Governmental 226,108,034$
Culture & Recreation 111,980,605
Economic Development 73,568,754
General Government 1,060,469
Highways & Streets 22,387,076
Public Safety 15,553,224
Solid Waste 1,557,907
Grand Total 300,664,197$
City of South Bend, Indiana 2026 Budget
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FINANCIAL STRUCTURE & POLICIES
City of South Bend, Indiana 2026 Budget
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City of South Bend Organization Chart
(1) Board Members include Mayoral appointees only
(2) Board Members include 3 Mayoral appointees and 2 Council appointees
(3) Board Members include 5 Mayoral appointees and 4 Council appointees
Effective January 1, 2023
Residents of South Bend
Common Council Mayor
Administration & Finance (City Controller)
Finance
Central Services
Human Resources
Treasury
Purchasing
Diversity & Inclusion (Diversity & Inclusion Officer)
Diversity & Inclusion Office
Human Rights Commission
Legal Department (Corporation Counsel)
Board & Department Support
Ordinances
Litigation
Public Works (Director)
Board of Public Works 1
Engineering
Solid Waste
Streets & Sewers
Water Utility
Wastewater Utility
Innovation & Technology (Chief Innovation Officer)
Services
Infrastructure
Applications
Business Analytics
311 Call Center
Police Department (Chief)
Board of Public Safety 1
Operations
Patrol
Support
Fire Department (Chief)
Board of Public Safety 1
Operations
Services
Training
Fire Prevention
EMS
Community Investment (Executive Director)
Redevelopment Commission 2/ Redevelopment Authority 2
Opportunity & Growth
Engagement & Economic Empowerment Planning
Neighborhoods
Neighborhood Health & Housing
Neighborhood Services & Enforcement
Animal Resource Center
Building Inspections & Permitting
Sustainability
Venues, Parks & Arts (Executive Director)
Board of Park Commissioners 1
Park Maintenance & Recreation
Community
Civic Center Board of Managers 3
Century Center
Morris Performing Arts Center & Palais Royale
Visitor Experience
City Clerk
City of South Bend, Indiana 2026 Budget
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Detailed Fund Descriptions & Structure
The below lists all funds maintained by the City of South Bend. Major funds (funds which constitute a substantial
amount of resources or receive a substantial amount of revenue and are thus presented separately on the financial
statements) are indicated in blue.
GENERAL FUND
Fund #101: General Fund
*MAJOR FUND*
To account for general government operations of the municipality, including the Mayor’s
Office, City Clerk, Common Council, Controller’s Office, Human Resources, Diversity & Inclusion, Human Rights, Legal Department, Engineering, Police and Fire Departments, and Palais Royal Ballroom. Financing is provided by property taxes as well as other
smaller taxes and some user fees.
SPECIAL REVENUE FUNDS
Fund #102: Rainy Day To set aside monies which can be used to meet unanticipated expenses that cannot be funded from existing appropriations, to meet cash flow needs between biannual distribution of property tax receipts and other periodic distributions, for bridging a gap caused by an unexpected revenue shortfall or significant delay in receiving revenue, and for any other City purpose or need consistent with or permitted by state law. This fund can be used for mid-year or year-end advances to other funds that have cash shortages, and the advances must be paid back within six months.
Fund #201: Parks &
Recreation *MAJOR FUND*
To account for general operations and capital needs of the Department of Venues, Parks &
Arts. There are several operational divisions within the department under this fund: Administration, Maintenance, Golf Courses, Recreational Experiences, and Community Programming. Financing is provided by property taxes and user fees.
Fund #202: Motor Vehicle Highway To account for maintenance and construction of the City’s streets through the operations of the Streets division of the Department of Public Works. Financing is provided by state gasoline and wheel tax distributions.
Fund #209: Studebaker/Oliver Revitalization Grants To account for expenditures related to the Studebaker and Oliver revitalization projects. Financing is provided by federal and state grants and loans from other organizations.
Fund #210: Economic Development State Grants To account for expenditures related to projects promoting economic development. Financing is provided by state grants and loan payments. Expenditures include grants and
related expenses.
Fund #211: DCI Operating To account for the operating expenditures related to the Department of Community Investment (DCI). Financing will be provided by interfund transfers from income tax funds, revenues received from charges for services, and grants.
Fund #212: DCI Grants To account for revenues received from the U.S. Department of Housing and Urban
Development related to community improvement projects.
Fund #216: Police State Seizure To account for law enforcement expenditures financed by the authorized state or local
agencies' sale of confiscated property.
Fund #217: Gifts, Donations & Bequests To account for donations, gifts, or bequeaths for purposes designated by the donor.
Fund #219: Unsafe Building To receive fines and fees related to Indiana's Unsafe Building law and account for the expenses incurred for board-ups, demolitions, ordinance violation abatements, and other
related services.
City of South Bend, Indiana 2026 Budget
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Fund #220: Law Enforcement
Continuing Education
To account for police fees collected to finance police officers' continuing education,
training, and supplies and equipment.
Fund #221: Rental Units Regulation To account for the revenues and expenditures related to the Landlord Registration and the Rental Safety Verification Program (RSVP) ordinances enacted by the Common Council.
Fund #227: Loss Recovery To account for compensatory or exemplary damage payments from third parties arising from loss or damage to City tangible or intangible property.
Fund #230: Code Enforcement To account for the activity of the Neighborhoods division of the Department of
Community Investment. The Neighborhoods division includes the activities of Code
Enforcement and the South Bend Animal Resource Center.
Fund #249: Local Income Tax - Public Safety *MAJOR FUND*
To account for the receipt of the public safety component of the local income tax. Funds are used only to cover the cost of salaries and benefits for sworn police and firefighters.
Fund #251: Local Road and Street To account for operation and maintenance of local and arterial road and street systems. Financing is provided by state gasoline tax distributions.
Fund #257: Local Option Income Tax (LOIT) Special
Distribution
To account for a one-time, special distribution of local income taxes from the State of Indiana for the purpose of infrastructure expenditures.
Fund #258: Human Rights Federal Grants To account for expenditures to prevent discrimination and to promote human rights. Financing is provided by federal grants from the Department of Housing & Urban Development (HUD) and the Equal Employment Opportunity Commission (EEOC).
Fund #263: American Rescue
Plan
To track the receipt and expenditure of the funds from the American Rescue Plan Act.
Signed into law on March 11, 2021, the American Rescue Plan Act of 2021 (“ARP Act”) is a $1.9 trillion economic stimulus bill designed to facilitate recovery from the economic and health effects of the COVID-19 pandemic and the resulting, ongoing recession. The City’s
allocation totaled $58,910,047.
Fund #264: COVID-19 Response This fund was established in 2020 to track the costs associated with the City's response to the COVID-19 coronavirus pandemic.
Fund #265: Local Road & Bridge Grant To account for the receipt of the Community Crossings grant and matching revenue and for the payment of expenditures on eligible projects.
Fund #289: Haz-Mat To account for monies generated by the South Bend Fire Department's response to
hazardous materials incidents. Funds are used to purchase, repair, or replace hazmat
equipment, or for training and supplies.
Fund #291: Indiana River Rescue To account for expenditures related to river rescue training. Financing is provided by registration fees.
Fund #299: Federal Drug Enforcement To account for expenditures for drug enforcement. Financing is provided by distributions from the authorized federal agencies' confiscated property sale.
Fund #101: Local Income
Tax Certified Shares *CLOSED*
To account for the receipt of the certified shares component of the local income tax. Funds
are used to items such as debt service payments, certain organizations’ grants and operational subsidies, capital expenditures and other uses as deemed by the Mayor and Council. These revenues started being receipted into the General Fund, #101 in 2023.
Fund #408: Local Income Tax - Economic Development *MAJOR FUND*
To account for the receipt of the economic development component of the local income
tax. Funds are used to items such as debt service payments, economic development, capital expenditures benefiting economic development street operations and other uses as deemed by the Mayor and Council.
City of South Bend, Indiana 2026 Budget
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Fund #410: Urban
Development Action Grant (UDAG)
To account for economic development expenditures which are financed by federal grants
and loan repayments.
Fund #655: Leaf Collection and Removal (Project ReLeaf) To account for the expenditures of a program to remove leaves from the City each fall. Financing is provided by a monthly service fee charged to all City residents.
Fund #725: Morris Box Office To account for the collection of certain revenue payments and deposits in advance of events
at the facilities. From these receipts, certain event expenses are paid to promoters and other vendors.
Fund #730: City Cemetery To account for expenditures specifically for the City Cemetery. Funding is provided by the sale of cemetery plots and burial expenses.
Fund #731: Bowman Cemetery To account for the expenditures the City incurs in maintaining the Bowman Cemetery.
Fund #754: Industrial Revolving Fund (IRF) To report and administer loan funds for small businesses that is governed by a separate Board of Directors which contracts with the City's Community Investment Department for
administration services.
DEBT SERVICE FUNDS
Fund #312: 2017 Parks Bond Debt Service This fund is used to collect a separate property tax levy and is used to pay for the semi-annual payment of debt service principal and interest to the bondholders of the 2017 Park District Bonds, Series A-K.
Fund #350: 2018 Fire Station 9
Bond Debt Service
To accumulate monies received as debt service payments from the City and pass them
through to trustee banks and bondholders.
Fund #672: Century Center
Energy Savings (Debt Service)
This fund was established in 2015 to account for the debt service payments of the 2015
Century Center Energy Conservation bonds. The bond proceeds were used to make improvements at the Century Center, including a new roof and other energy efficiency
projects.
Fund #752: Redevelopment
Authority Debt Service
To accumulate monies for the payment of Redevelopment Authority bonds issued to
refinance bonds issued for construction of a parking garage facility, bonds issued for central development area land acquisition and construction of public improvements, bonds issued
to purchase the Palais Royale, bonds issued to refinance bonds issued for construction of Century Center improvements, and bonds issued to refinance bonds issued for renovations to the Morris Performing Art Center.
Fund #755: South Bend
Building Corporation
To accumulate monies received as debt service payments from the City and pass them
through to trustee banks and bondholders.
Fund #756: 2015 Smart Streets
Bond Debt Service
To accumulate monies as a reserve for the payment of 2015 Smart Streets Bonds related to
the conversion of one-way to two-way streets.
Fund #757: 2015 Parks Bond Debt Service To accumulate monies as a reserve for the payment of the 2015 Parks & Recreation Bond debt service payments.
Fund #760: 2017 Eddy Street Commons Debt Service To accumulate monies as a reserve for the payment of the 2017 Eddy Street Commons Phase II Bond debt service payments.
CAPITAL PROJECTS FUNDS
Fund #287: Fire Department
Capital
To account for purchases of necessary equipment for the Fire Department and Emergency
Medical Services Department. Financing is provided by ambulance fees.
Fund #401: Coveleski Stadium
Capital
To account for expenditures related to the maintenance and improvement of the baseball
stadium. Financing is provided by a rental paid by the semi-pro baseball team.
City of South Bend, Indiana 2026 Budget
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Fund #406: Cumulative Capital
Development (CCD)
To account for expenditures relating to the purchase or lease of capital improvements in
the City. Financing is provided by a specific property tax levy.
Fund #407: Cumulative Capital Improvement (CCI) To account for state cigarette tax distributions used for improvement projects.
Fund #412: Major Moves Construction To account for state distributions used for road construction and other uses authorized by Indiana statute.
Fund #413: Professional Sports
Convention Development Area
To account for the receipt of a portion of state sales tax and income taxes (covered taxes)
generated in the Professional Sports Convention Development Area (PSCDA) in
downtown South Bend, to be used towards capital improvements.
Fund #416: Morris Performing Arts Center Capital To accumulate monies for major repairs and capital improvements to the Morris Performing Arts Center. Financing is provided by a surcharge on ticket sales for events held
at the auditorium.
Fund #450: Palais Royale
Historic Preservation
To account for expenditures financed by a two percent fee charged for all Palais Royale
services.
Fund #451: 2018 Fire Station 9 Bond Capital To account for the expenditures of bond funds relating to the General Obligation Bonds, Series 2018 to be used for the construction of the new Fire Station #9 and additional classroom for the Fire Training Center.
Fund #453: 2018 Zoo Bond
Capital
To account for the expenditures of bond funds relating to the Economic Development
Revenue Bonds, Series 2018 to be used for the construction, expansion, renovation, equipping, furnishing and improvement of the Potawatomi Zoo.
Fund #455: 2021 Infrastructure Bond Capital
Fund#456: 2023 Redevelopment Authority
Bonds, Series A
To track the expenditures of bond funds relating to the LIT Lease Rental Revenue Bonds, Series 2021 to be used for street and neighborhood infrastructure projects.
To track expenditures of bond funds relating to the Lease Rental Revenue Bonds, Series 2023 to be used for various public improvement projects located in the River East and River
West TIF districts.
Fund #457: 2024 Redevelopment Authority Bonds, Series B
To track the expenditures of bond funds relating to the Lease Rental Revenue Bonds, Series 2024 to be used for the Madison Lifestyle District project.
Fund #458: 2024
Redevelopment Authority Bonds (Four Winds)
To track expenditures of bond funds relating to the Lease Rental Revenue Bonds, Series
2024 relating to renovation and construction projects at Four Winds Field.
Fund #471: 2017 Parks Bond Capital To account for the expenditures of bond funds relating to the Park District Bonds, Series 2017 A-K to be used for planned capital projects to improve the parks.
Fund #750: Equipment/
Vehicle Leasing
To account for proceeds from capital lease-purchase agreements used to finance major
equipment needs of the City.
Fund #759: 2017 Eddy Street
Commons Bond Capital
To account for the expenditures of the bond proceeds from to be spent on Phase II of the
mixed-use development near the University of Notre Dame.
ENTERPRISE FUNDS
Fund #600: Consolidated
Building
To account for the operation of the consolidated St. Joseph County/ South Bend Building
Department.
Fund #601: Parking Garages To account for the operation and maintenance of the City's parking garages. Revenues come
from the collection of daily and monthly parking fees at several downtown parking garages. This fund also receives revenue from street parking fines.
City of South Bend, Indiana 2026 Budget
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Fund #602: Morris Performing
Arts Center Operations
To account for the operating costs of the Morris Performing Arts Center in downtown
South Bend. Revenues come from charges for services including facility rental, concessions, ticket handling fees, and more.
Fund #610: Solid Waste Operations To account for the operations of the Solid Waste department. Revenues come from charging City residents a monthly fee for pick-up and disposal of trash at area landfills and
recycling centers.
Fund #611: Solid Waste Capital To account for debt service and capital expenditures related to the Solid Waste Department.
Fund#620: Water Works
Operations *MAJOR FUND*
To account for all revenues and operational expenses of the water utility. This fund is
financed through charges for providing water to City residents.
Fund #622: Water Works
Capital
To account for the acquisition, construction or improvement of water utility capital assets
(including wells, reservoirs, transmission & distribution mains, water meters, pumping
equipment, treatment equipment, transportation equipment, etc.)
Fund #624: Water Works Customer Deposit To account for security deposits collected from utility customers, which are refunded upon termination of service.
Fund #625: Water Works Sinking (Debt Service) To account for principal and interest payments on obligated debt for the Water Works utility.
Fund #626: Water Works Bond
Reserve
To account for the assets held to satisfy the requirements of certain utility bond covenants.
Fund #629: Water Works
Operations & Maintenance Reserve
To account for assets held to serve as fiscal protection against the risk of revenue shortfalls,
emergencies, or other economic risks that may impact the Water Utility’s ability to meet financial commitments.
Fund #640: Sewer Repair
Insurance
The City is responsible for the main sewer line; from the main line to the house is the
homeowner’s responsibility This program (which charges a monthly fee to residents)
protects participating customers who require significant repairs to their sewer line that cannot be accomplished by a plumber.
Fund #641: Sewage Works Operations
*MAJOR FUND*
To account for the operations of the following divisions of Public Works: Wastewater,
Sewer, & Organic Resources (yard waste, leaves, etc.)
Fund #642: Sewage Works Capital To account for the purchase of capital equipment and major renovations/restorations for the Wastewater and Sewer departments.
Fund #643: Sewage Works Operations & Maintenance
Reserve
To account for assets held to serve as fiscal protection against the risk of revenue shortfalls, emergencies, or other economic risks that may impact the Wastewater department’s ability
to meet financial commitments.
Fund #649: Sewage Works Sinking (Debt Service) To account for all debt service obligations for Wastewater and Sewers.
Fund #653: Sewage Works Debt Service Reserve To account for the assets held to satisfy the requirements of certain utility bond covenants.
Fund #654: Sewage Works
Customer Deposit
To account for security deposits collected from utility customers, which are refunded upon
termination of service.
Fund #667: Storm Sewer Fund To account for maintenance of the storm sewer system, which consists of sewers, storm
inlets, catch basins, manholes, curbs, gutters, ditches, swales, retention and/or detention ponds or basins, dams, and flood control facilities designed for the collection, control,
transport or discharge of stormwater. A stormwater utility fee is a fee that produces revenue
dedicated to improving drainage, controlling flooding, improving water quality and implementing regulations.
City of South Bend, Indiana 2026 Budget
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Fund #670: Century Center
Operations
To account for the operational needs of the Century Center Convention Center. Financing
is provided through the County collection of Hotel/Motel Tax as well as user fees.
Fund #671: Century Center Capital To account for capital expenditures at the Century Center.
INTERNAL SERVICE FUNDS
Fund #222: Central Services To account for expenses related to fuel, vehicle repairs and various supplies provided to City departments on a cost-reimbursement basis.
Fund #226: Liability Insurance
Premium Reserve
To account for expenses related to maintaining the City's self-funded liability insurance and
worker’s compensation costs, including administrative costs, claims and premiums.
Funding is provided by assessments to certain other City funds.
Fund #278: Police Take Home Vehicle To account for expenses associated with claims arising from use of program vehicles occurring while officers are not on duty. Funding is provided by officers participating in
the program.
Fund #279: IT/Innovation/
311 Call Center
To account for expenses associated with the Department of Innovation & Technology and
the 311 Call Center. The IT Dept provides technical services to the various departments within the City. Funding is provided by the departments which benefit from the call center
and the IT Dept. The Call Center is a customer service support center where residents and business can receive personal assistance with City-related questions and non-emergency services.
Fund #711: Self-Funded
Employee Benefits
To account for employer (the City) and employees' contributions for a medical insurance
plan and for the payment of medical claims for employees.
Fund #713: Unemployment
Compensation Insurance
To account for payment of unemployment claims to the Indiana Department of Workforce
Development. Financing is provided by allocating costs to user departments to cover the estimated costs of claims.
Fund #714: Parental Leave To account for expenses related to the City’s Parental Leave Program which provides additional paid time off for employees for the child or adoption of a child. Financing is
provided by allocating costs to user departments to cover the estimated costs of the program.
FIDUCIARY FUNDS
Fund #702: 1925 Police
Pension
To account for the provision of retirement and disability benefits to police officers hired
prior to May 1, 1977. Financing is provided by mandatory contributions by active members, and state pension relief distributions.
Fund #701: 1937 Firefighters'
Pension To account for the provision of retirement and disability benefits to firefighters hired prior
to May 1, 1977. Financing is provided by mandatory contributions by active members and
state pension relief distributions.
City of South Bend, Indiana 2026 Budget
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Department – Fund Relationship
Fund
Number Fund Name General
Government
Community
Investment
Venues, Parks &
Arts
Police
Dept
Fire
Dept
Public
Works
City Controlled Funds 101 General Fund Mayor's Office / Community Initiatives X
Community Police Review Office X City Clerk X Common Council X
Controller’s Office X
Human Resources X Diversity & Inclusion X
Human Rights X
Legal Department X
Engineering X Police Department / Police Crime Lab X
Fire Department / EMS X
Palais Royale Ballroom X
Special Revenue Funds
102 Rainy Day X
201 Parks & Recreation X
202 Motor Vehicle Highway X
209 Studebaker-Oliver Revitalizing Grants X
210 Economic Development State Grants X
211 Department of Community Investment X
212 Dept of Community Investment Grants X
216 Police State Seizures X
217 Gift, Donation, Bequest X X
219 Unsafe Building Fund X
220 Law Enforcement Continuing Education X
221 Rental Units Regulation X
227 Loss Recovery Fund X
230 Code Enforcement X
249 Local Income Tax - Public Safety X X
251 Local Road & Street X
257 LOIT 2016 Special Distribution X 258 Human Rights Federal Grants X
263 American Rescue Plan X X
265 Local Road & Bridge Grant X
266 MVH Restricted X
289 Haz-Mat X
291 Indiana River Rescue X
299 Police Federal Drug Enforcement X
404 Local Income Tax - Certified Shares X X X X X X
408 Local Income Tax - Economic Development X X X X X X
410 Urban Development Action Grant X
655 Project ReLeaf X
730 City Cemetery X
731 Bowman Cemetery X
754 Industrial Revolving Fund X
Debt Service Funds
312 2017 Parks Bond Debt Service X 350 2018 Fire Station #9 Debt Service X
672 Century Center Energy Conserv. Debt Service X
752 South Bend Redevelopment Authority X
755 South Bend Building Corporation X
City of South Bend, Indiana 2026 Budget
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Fund Number Fund Name General Government Community Investment
Venues, Parks & Arts
Police Dept Fire Dept Public Works
756 2015 Smart Streets Bond Debt Service Reserve X
757 2015 Parks Bond Debt Service X
760 2017 Eddy Street Commons Bond Debt
Service X
Capital Project Funds
287 Fire Department Capital X
401 Coveleski Stadium Capital X
406 Cumulative Capital Development (CCD) X X
407 Cumulative Capital Improvement (CCI) X
412 Major Moves Construction X
413 Professional Sports Convention Develop.
Area X
416 Morris Performing Arts Center Capital X
450 Palais Royale Historic Preservation X
451 2018 Fire Station #9 Capital X
455 2021 Infrastructure Bond Capital X
456 2023 Lease Rental Bonds X
457 2024 Madison Lifestyle District Bond Capital X
458 2024 Four Winds Field Bond Capital X
471 2017 Parks Bond Capital X
750 Equipment/Vehicle Leasing X
759 2017 Eddy Street Commons Bond Capital X
Enterprise Funds
600 Consolidated Building Fund X
601 Parking Garages X
602 Morris Performing Arts Center Operations X 610 Solid Waste Operations X
611 Solid Waste Capital X
620 Water Works Operations X
622 Water Works Capital X
624 Water Works Customer Deposit X 625 Water Works Sinking (Debt Service) X
626 Water Works Bond Reserve X
629 Water Works Operations & Maint. Reserve X 640 Sewer Repair Insurance X
641 Sewage Works Operations X
642 Sewage Works Capital X
643 Sewage Works Operations & Maint. Reserve X
649 Sewage Sinking (Debt Service) X
653 Sewage Debt Service Reserve X
654 Sewage Works Customer Deposit X
667 Storm Sewer Fund X 670 Century Center Operations X
671 Century Center Capital X
Internal Service Funds
222 Central Services X
226 Liability Insurance X
278 Take Home Vehicle Police X
279 IT / Innovation / 311 Call Center X
711 Self-Funded Employee Benefits X
713 Unemployment Compensation X
714 Parental Leave Fund X
Fiduciary Funds
701 Fire Pension X
702 Police Pension X
City of South Bend, Indiana 2026 Budget
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Financial Policies
The financial integrity of our City government is of utmost importance. To discuss, write, and adopt a set of financial
policies is a key element to maintaining this integrity. These financial management policies are designed to ensure the
fiscal stability of the City of South Bend and to guide the development and administration of the annual operating and
capital budgets, as well as the debt program.
Unless otherwise directed by Indiana law, all financial policies are established by the City Controller pursuant to the
Controller’s general authority as head of the Administration and Finance Department under South Bend Municipal
Code Section 2-21(b) and have been approved by the Mayor. Accordingly, the policies presented below are subject to
change, as determined by the Controller, the Mayor, or, in cases where Indiana law gives authority for the policy to the
legislative body, the Common Council. When policies change, the City ensures that all affected parties are notified.
Written, adopted financial policies have many benefits, such as assisting the Mayor, Common Council and City
Controller in the financial management of the City, saving time and energy when discussing financial matters, promoting
public confidence, and providing continuity over time as the Mayor and Common Council and staff members change.
While these policies will be amended periodically, they will provide the foundation and framework for many of the
issues and decisions facing the City. They will promote wise and prudent financial management, provide the foundation
for adequate funding of services desired by the public, and help make the City financially stable, efficient and effective.
Financial Policy Objectives
1. Ensure that the City is financially sustainable in the long-term, and promote alignment between resource allocation
and strategic priorities
2. Design processes for purchasing, paying our bills, paying employees, and handling financial resources that are
simple, cost-effective, accurate, timely, and predicated on strong internal control
3. Enhance the usefulness and availability of financial information and analyses for City employees, elected officials, and the public
4. Invest in the maintenance of and sustainable replacement of the City's assets, including facilities, equipment, and vehicles
5. Create a culture of respect, excellence, diversity, transparency, and communication among employees
In order to meet these objectives, the City’s policies are divided into eleven general categories for ease of reference. These categories are:
1) General Accounting Policies
2) Cash Management & Investment Policies
3) Revenue Recognition Policies
4) Budgeting Policies
5) Procurement Policies
6) General Disbursement and Vendor Payment Policies
7) Payroll Policies
8) Capital Asset Policies
9) Inventory Policies
10) Debt Policies
11) Internal Control
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1. General Accounting Policies
The purpose of this Policy and the accompanying procedures is to promote accounting and general ledger (“GL”)
practices that will ensure the relevance, objectivity, reliability, completeness, and consistency of the City’s internal and
external financial reports.
Basis of Accounting
The City will account for all City funds on a cash basis, a modified accrual basis, and a full accrual basis of
accounting. To accomplish this within the City’s financial system (“DFO”), the Accounting department will
maintain three segregated layers in which journal entries can be posted (“posting layers”). These posting layers
will be called the “Current Layer”, the “Modified Accrual Layer” (which is called "Custom Layer 1" in DFO),
and the “Full Accrual Layer” (which is called the "Operations" layer in DFO).
Different types of transactions will be posted in each posting layer:
• The Current Layer will account for the City’s operations on cash basis (revenues are recognized in the
accounting period in which they are received, expenditures are recognized in the accounting period in
which they are paid, and long-term assets / liabilities are not recognized). The Current Layer will be
used to compare budget-to-actual performance and for reporting receipts and disbursements to the
Indiana Gateway Reporting system.
• The Modified Accrual layer is used to convert cash basis to modified accrual basis. Journal entries will
be made in the Modified Accrual Layer such that reports that combine the Current Layer and the
Modified Accrual Layer will result in full accrual financial statements.
• The Full Accrual Layer will be used to convert modified accrual basis to full accrual basis. Journal
entries will be made in the Full Accrual Layer such that reports that combine the Current Layer, the
Modified Accrual Layer, and the Full Accrual Layer result in full accrual financial statements.
Journal Entry Procedures
The City’s activity will be recorded via journal entries. There are two broad types of journal entries: General
Journal Entries and Sub-Ledger Journal Entries.
• General Ledger Journal Entries are used to record activities that are not associated with a sub-ledger
(sub-ledgers include Accounts Payable, Accounts Receivable, Cash & Bank, and Fixed Assets).
Transactions not related to a sub-ledger (including adjusting entries, interfund transfers, etc.) will be
made via a General Journal Entry.
• Sub-Ledger Journal Entries are used to record transactions related to budget, encumbrances,
accounts payable, accounts receivable and cash. These transactions are recorded in each respective
module of the accounting system, submitted through workflow approval within that module, and
finally posted to the General Ledger automatically.
Audit Requirements & Procedures
The City will have an audit performed on its Annual Comprehensive Financial Report (ACFR) for each fiscal
year. This audit has historically been performed by the Indiana State Board of Accounts (“SBOA”). However,
the City may utilize a qualified private company for the audit, provided the City satisfies the requirements of
Indiana Code § 5-11-1-24.4, including the creation and oversight of an Audit Committee of the South Bend
Common Council. The City satisfied these requirements in 2021 and currently uses BKD, LLP to audit its
financial statements.
Generally, audits run from April 1st to June 15th. The audit covers the Financial Statements, the Notes to the
Financial Statements, and the Required Supplemental Information. Additionally, limited audit procedures are
performed on the City's Management's Discussion & Analysis section (MD&A). It does not cover any part of
City of South Bend, Indiana 2026 Budget
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the Introductory Section or the Statistical Section. BKD will also audit the City's Schedule of Expenditure of
Federal Awards ("SEFA") as a part of the Federal Single Audit.
The audit requires a formal entrance conference and a formal exit conference. The Mayor, each Common
Council member, and the President of the Board of Public Works will be invited to both conferences.
At the conclusion of the audit, BKD will provide two sets of findings related to the audited financial statements:
the first is set of formal audit findings, which will be published in the final audit report and require written
responses from City management. The second set of findings will come in the form of an informal management
letter, which represent recommendations from BKD and will be shared with the Mayor and with the Common
Council but will not be published to the public.
Cost Allocation Policies
The City will allocate administrative costs to operational departments on a monthly basis. This allocation is vital
to understanding the true financial performance of each department because it provides a more accurate picture
of all expenses necessary of the department. The following costs will be allocated among operational
departments:
• City Administration (Mayor’s Office, City Clerk, Common Council, Controller’s Office, Human
Resources, Diversity & Inclusion, Legal Department): The operational costs for these administrative
departments in the General Fund will be allocated to operational department on the basis of the total
expenditure budget.
• Payroll: This allocation is used to allocate a specified position’s salary and benefits between the
departments it serves. Departments/divisions will calculate the amount to allocate based on the
percentage of time the position spends working for each department/division.
• Facilities Management: The Facilities Management division of Central Services will be allocated to
operational department based on departments’ electric and natural gas expenses as a percent of total.
• Worker’s Compensation Claims: The costs of the City’s self-funded worker’s compensation claims
are allocated to operational departments on the basis of prior years’ worker’s compensation claims.
• Liability Insurance: The costs of the City’s self-funded liability claims are allocated to operational
departments on the basis of prior years’ liability claims.
• Business Insurance: The costs of paying premiums for property insurance and other kinds of
insurance will be allocated on the basis of the net book value of capital assets in each department.
• Health Insurance: The cost of claims for the City’s self-funded health insurance will be allocated to
operational departments at a flat rate per employee. The rate of allocation will be determined by the
Controller and the Director of Accounting & Budget.
• Utility Customer Service & Support Allocation: The costs of the Customer Service Department in
the Water Utility are allocated between the Water Works, Sewage Works, Solid Waste, and Project
ReLeaf divisions.
• Innovation & Technology: The costs of the City’s Innovation & Technology department will be
allocated based on the number of IT users, phone users, or other technology user factors.
Every operational fund, department and division will receive allocations according to the above criteria. No
operational department or division is exempt from allocations. No operational department is entitled to
reimbursement for the cost of allocations, as these costs represent true costs of the departments.
In addition to the above allocations, the Utilities (both Water Works and Sewage Works) will make Payment in
Lieu of Taxes (PILOT) payments to the General Fund. The amount of these PILOT payments will be
computed as the net book value of the capital assets of the utilities multiplied by the property tax rate, limited
to the maximum 3% rate they would receive were the entity a tax paying business.
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2. Cash Management & Investment Policies
The purpose of this Policy and the accompanying supplements is to set forth policies and procedures related to the
City’s management of cash and investments. Maintaining adequate access to liquid assets (cash and investments) is of
paramount importance to the City.
Cash Accounts
Eligible deposit accounts mean any of the following:
• Any account subject to withdrawal by negotiable orders of withdrawal, unlimited as to amount or
number, and without penalty, including NOW accounts
• Passbook savings accounts
• Certificates of Deposit
• Money market deposit accounts
• Any interest-bearing account that is authorized and offered by a financial institution in the course of
its respective business
The City will maintain at least the following bank accounts:
• General Depository Account: This account will function as the City’s main bank account. In general,
all City revenue is receipted into this account. All disbursements made in accordance with the City of
South Bend General Disbursement Policy are paid from this account.
• Payroll Sweep Account: This account is used as the disbursement account for all payroll expenses
(including payments made directly to employees and payments remitted to taxing entities or other
entities). This account is utilized to ensure that payroll expenses are remitted correctly.
• Trustee Bank Accounts: When debt is issued, the proceeds are generally remitted into escrow bank
accounts. Additionally, an escrow account may be established for the purpose of paying debt service
payments.
• Additional Operational Bank Accounts: As determined by the Controller with the advice of the
Director of Treasury, additional bank accounts may be set up to account for specific City operations,
including the following:
o Century Center: ASM Global Operational Account (KeyBank)
o Morris/Palais: Box Office Accounts (1st Source)
o DCI Transactions: Industrial Revolving Fund (Centier)
o Police Buy Money for Confidential Informants (Policeman’s Credit Union)
o Police Forfeiture Settlement Fund (Policeman’s Credit Union)
• Investment Account: Since the City is required by law to maintain extremely liquid investments, the
City’s investment account can be considered as a “cash equivalent” account.
On a regular basis, the City will issue an RFP for banking services for the depository account and payroll sweep
account.
Investment Policy
The City shall invest excess cash in various investment vehicles as allowed by Indiana law. The City shall make
all investments, in both Deposit and Investment Accounts, in accordance with the terms and limitations of
Indiana Code 5-13-9. The current authorization for the City to engage in these investment activities comes
from Ordinance No. 10832-21. The City's practice is to obtain this authorization via an ordinance on an annual
basis, so as to maintain the maximum investment flexibility under Indiana Code 5-13-9.
Board of Finance
The local Board of Finance (as defined in Indiana Code 5-13-7) will review the investment policy and will
receive an investment report on an annual basis coincident with the Annual Meeting of the Board of Finance,
held after the 1st Monday in January and before January 31st.
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Valuation of Investments
Currently, the total amount invested is $200 million. On a monthly basis, the City’s investment custodian
(currently 1st Source) transfers any gain in market value over $200 million or direct dividends paid from
investments into the City’s depository bank account.
The City will not track the current fair market value of investments on a monthly basis. Rather, the City's books
will be adjusted for fair market value of investments on an annual basis only.
Cash Handling Requirements
The City maintains a list of approved locations that accept cash. If an area needs to begin transacting or carrying
cash on hand, that area must be approved by the City Controller and placed on the list of approved locations.
All locations on the approved list will be audited periodically to ensure compliance with the cash handling
procedures in this section.
Specifically, the following internal control rules must be followed by all areas that collect or transact in cash:
• The responsibility for collecting money and issuing receipts is segregated from those preparing the
bank deposit.
• The responsibility for making bank deposits is segregated from those preparing the monthly bank
reconcilement.
• Prenumbered receipts are issued for all money collected and the receipt is retained with supporting
documentation.
• Receipts are reconciled to the cash receipts ledger by an individual other than the one collecting money
and issuing receipts.
• Posting of receipts to the ledger is completed by an individual other than the one who collects money
and makes the deposit.
• Receipts indicate the type of payment received (cash, check, etc.) and this is reconciled to the make-up
of the bank deposit.
• Accounts receivable records are maintained by an individual other than the one(s) involved in the
billing process.
• The billing process is completed by an individual other than the one who collects cash payments from
customers.
• Customer account adjustments above the $500 materiality threshold, stated in this policy, are approved
by the Board of Public Works only after review.
Cash Reserve Requirements
The City of South Bend has established the cash reserve guidelines for each fund to ensure adequate liquidity.
Cash reserves are defined as cash balances on hand less outstanding encumbrances. “Annual expenditures” in
each fund do not include capital expenditures. Although there are slight exceptions in specific cases, in general,
these reserve policies are as follows:
• General Fund:
o Minimum Cash Reserve – The City will maintain General Fund cash reserves at a level not
less than 50 percent of the annual adopted General Fund expenditures. The purpose of these
reserves is to alleviate significant unanticipated budget shortfalls and to ensure the orderly
provisions of services to residents. This is the minimum level necessary to maintain the City’s
creditworthiness and maintain adequate cash flows.
City of South Bend, Indiana 2026 Budget
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o Unused Cash Reserves – To the extent that the General Fund cash exceeds the target, the City
may draw upon the cash reserves to provide pay-go financing for capital projects, for other
one-time capital items, or for other approved liability payments.
• Rainy Day Fund – A “rainy day” account equal to a minimum of three percent of the City’s total
expenditures in the prior year will be maintained annually in separate funds. This account will be made
available for unanticipated, unbudgeted expenditures of a non-recurring nature and/or unexpected
cost increases that require the approval by the Common Council and the Mayor.
• Enterprise Funds:
o Cash Reserves – The City will maintain cash reserves equal to 25% of annual expenditures for
most Enterprise Funds, with the exception of the Water and Wastewater Utilities. The Water
and Wastewater Utility Funds require a reserve of 5% of annual operating expenditures.
o O&M Funds – The Water and Wastewater Operations and Maintenance Reserve Funds will
maintain cash reserves at a level of 16.67% of annual operating expenses in the main operating
funds, net of transfers.
• Other Funds:
o Minimum Cash Reserve – The City will maintain a cash balance in the other funds equal to
10%-50% of annual budgeted expenditures, depending on the specific needs of the fund.
Debt Reserve Funds are set up for most debt service obligations and are funded at 100%.
• Reserve Deficiencies:
o If reserves in any City fund fall below the prescribed minimums, the City will implement the
following budgetary strategies to replenish funding deficiencies:
Seek reductions in recurring expenditures
Seek to increase current revenue streams or develop new revenue sources
Seek the use of ongoing grant funding to alleviate operating expenditures
3. Revenue Recognition Policies
The purpose of this Policy and its supplemental materials is to define and memorialize a consistent framework for the
City’s methods of recognizing and recording revenue in accordance with applicable government accounting standards.
Revenue Recognition Policies
The City maintains a full “Revenue Recognition Matrix” for each specific revenue stream. This resource
describes in detail the accounting treatment of each revenue source and is utilized to identify the appropriate
revenue recognition method to apply to a given instance of revenue.
At a summarized level, the City’s revenue recognition policies are as follows:
• Charges for Services
o Recognized as revenue as soon as the exchange takes place
o Guidance: NCGA (National Council on Governmental Accounting) Statement 1, Paragraph 62
• Property Tax Revenue
o Recognized in the period in which the taxes are levied. Since all property taxes are receipted
into governmental funds, however, the revenue must be available to finance expenditures of
the current period. The City receives property tax distributions from St. Joseph County (who
is responsible for collecting the property taxes) in June and December. Therefore, for practical
purposes, this amounts to the City recognizing property tax revenue when received.
o Guidance: GASB Statement 33, Paragraph 18
• Income Tax Revenue
City of South Bend, Indiana 2026 Budget
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o The State of Indiana collects and distributes income tax on behalf of local units like the City.
In an ideal world, the City would recognize revenue when the underlying transaction occurred
(that is, when the income was earned). However, practical limitations prevent the City from
doing this. Therefore, the city recognizes this revenue when it is received.
o Guidance: GASB Statement 33, Paragraph 51
• Other Tax Revenue (Gasoline Tax, Wheel Tax, Cigarette Tax, Commercial Vehicle Tax,
Liquor Excise Tax, Auto Excise Tax, Hotel/Motel Tax)
o The State of Indiana or St. Joseph County collects and distributes various taxes on behalf of
local units like the City. In an ideal world, the City would recognize revenue when the
underlying transaction occurred. However, practical limitations prevent the City from doing
this. Therefore, the city recognizes this revenue when it is received.
o Guidance: GASB Statement 33, Paragraph 51
• Fines, Forfeitures, and Fees
o Recognized as revenue when the fine or fee is assessed.
o Guidance: GASB Statement 33, Paragraph 17
• Licenses / Permits
o Accounting guidance suggests that licenses and permits are “exchange-like transactions” (that
is, they are more similar to exchange transactions than to non-exchange transactions), and
should therefore be accounted for similarly to exchange transactions, by recognizing revenue
as soon as the exchange takes place.
o However, the amount of revenue the City receives from licenses and permits is not material,
and the costs of tracking and recognizing this revenue in this way would outweigh the benefits
of doing so. Accordingly, the City recognizes this revenue when it is received.
o Guidance: GASB Statement 33, Paragraph 50
• Grants & Donations
o Recognized as revenue as soon as the City meets all eligibility requirements to receive the grant
or donation.
o Guidance: GASB Statement 33, Paragraph 71
General Revenue Policies
• The City of South Bend will pursue measures to encourage economic development, intended to expand
the tax base through real and personal property tax, employment income tax, and other tax and
economic impact created by economic expansion.
• The City will pursue development and maintenance of a diversified economic environment portfolio
of commercial, industrial and residential taxpayers, intended to produce a stable revenue stream.
• The City will pursue efforts as required with St. Joseph County to maintain sound property appraisal
procedures and practices in order to ensure a system of current and up-to-date property assessments.
• The City will maintain the practice of establishing pricing for user charges and fees at market-based
levels.
• The City will maintain the practice of establishing pricing for the Water and Wastewater Utility
operations at levels supporting utility operational costs and in full compliance with State of Indiana
Utility Regulatory requirements.
• The City will maintain the practice of aggressive collection pursuit of all revenue due to the City of
South Bend and will utilize the City’s in-house legal department and outside collection agencies in this
effort.
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• The City will maintain the practice to seek funding support from Federal, State of Indiana, and other
entities for use by City operations, through higher level governmental grants, and other sources as may
come available from time to time.
Write-off of Uncollectible Accounts
The City of South Bend strives to maintain accurate and up-to-date information in accounts receivable balances,
and, as such, from time to time finds it necessary to remove from its books and/or cease collection activities
for various receivables that it deems to be uncollectible.
There are two separate events involved in the pursuit of delinquent accounts receivable that are a part of
“writing off” an account: recognizing the write-off from an accounting perspective and actually ceasing the
pursuit of the collection of the account. While these events may or may not happen simultaneously, they are
distinguishable and separate: the accounting write-off of a receivable does not imply that the City will cease its
attempts to collect on the account, nor does it constitute forgiveness of a debt or discharge of the debtor’s legal
obligation to pay.
• Collection Activities are defined as the actual steps involved in pursuing collection on delinquent
accounts. Examples of collection activities include sending dunning letters, telephonic interventions,
and referring accounts to an external collection agency. The City’s Corporation Counsel oversees
collection activities with the assistance of the applicable department head.
• Accounting for write-offs is defined as recognizing in the City’s General Ledger that previously
recorded revenue should be reduced or bad debt expense needs to be recognized, in accordance with
the principle of conservatism in the recognition of revenue. The type of adjustment and the timing of
that adjustment is based on the circumstances warranting the accounting write-off.
Consistent with South Bend Municipal Code Sec. 2-13(B)(2)(a), the legal department has ultimate responsibility
for pursuing collections on delinquent accounts and should work with departments to ensure that all collection
steps are documented and are in line with established policy. All collection efforts will be documented by the
department undertaking the collection activities and will continue until the account is deemed “uncollectible”,
after which the City will cease directly undertaking collection activities. The following situations describe
accounts that generally qualify as uncollectible:
• Accounts that have been referred to a collection agency, following a consistent and documented
practice
• Debts that been discharged in bankruptcy
• Accounts where the debtor is confirmed to be deceased and the debtor's estate is insolvent
• Accounts where the debtor is a business that has been dissolved under state law
In addition, from time to time, the City may deem a particular account as uncollectible if the City has exhausted
reasonable efforts to collect the account (and has documented its efforts), and that no further action is
warranted (including the referral of the account to a collection agency). This determination of uncollectibility
must be approved by the department head of the department responsible for the account (who will assess the
operational impact of writing off the account), the Corporation Counsel (who will confirm that all reasonable
efforts to collect in accordance with established policy have been exhausted), and the City Controller (who will
weigh in on the financial impact of the write off, if applicable).
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4. Budget Policies
The purpose of this Policy and the accompanying procedures is to define and memorialize the City’s administrative
processes involved in the preparation, presentation, adoption, and monitoring of the City’s annual budget and
amendments thereto (the “Budget”). The City’s budget-related activities are supported by and must adhere to the
requirements of Indiana law, including, without limitation, Indiana Code 36-4-7 and Indiana Code 6-1.1, as
supplemented by the terms of Chapter 2, Article 7, of the South Bend Municipal Code (collectively, the “Budget
Provisions”), as well as applicable guidance of the Indiana Department of Local Government Finance.
In addition, this Policy and the accompanying procedures outline processes for budgetary decision making, standards
for sound budgetary practices and fiscal performance, and policies for monitoring budgetary control. The procedures
herein are in compliance with recommendations made by the Government Finance Officers Association (“GFOA”).
General Budget Assumptions
• All City Funds (including Governmental, Proprietary, and Fiduciary Funds) will be budgeted utilizing
the cash basis of accounting. Revenues will be recognized when they are received, expenditures will be
recognized when they are disbursed.
• All Funds require appropriation from Council to expend funds. Budgeted Appropriations represent
the legal limit of spending for each fund and cost category.
• In normal circumstances, the City will propose a balanced budget in all operating funds over the
upcoming year. For the purposes of this policy, a “balanced budget” means that operating revenues
are greater than or equal to budgeted operating expenditures for that budget year.
o This assumption applies only to operating funds. Operating funds include any fund that pays
personnel costs for any City department, plus Income Tax funds and any Internal Service
Fund. Operating funds specifically excludes capital projects funds.
o Notwithstanding this assumption, there are times where allowing budgeted expenditures to be
greater than budgeted revenues is expected and desired. These include strategic spend-downs
of fund balances, times in which revenues are expected to be insufficient due to temporary
circumstances, or at any other time that the Mayor deems an operational spend-down of cash
reserves to be in the best interest of the City.
o In no event will annual expenditures exceed annual revenues plus available fund balance
• Resident participation in the budget planning and development processes will be encouraged in every
possible way, including input sessions, public hearings, public outreach, and engagement with
technology.
• A five-year projection of revenues and expenditures for all funds is prepared each fiscal year to provide
strategic perspective to each annual budget process.
• All appropriations shall lapse at the end of the budget year if not expended or encumbered.
• Any year-end operating surpluses will revert to fund balances for use in maintaining reserve levels set
by policy (see policy on reserves) and the balance will be available for pay-go capital projects and/or
one-time capital outlays.
• The City will continuously pursue an active campaign to maintain existing and create new sources of
revenue.
• The City will continue to provide first priority funding to essential services as determined by the Mayor
in conjunction with the Common Council.
• The City will maintain an ongoing program of capital asset replacement and modernization in order to
maintain efficient city operations.
• The City will maintain a structured revenue and expenditure forecasting process to enable effective
financial planning on a current and multi-year basis.
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Budget Monitoring & Control
There are three levels of budgetary control: at the level of a “Cost Category”, at the level of individual account
strings, and within a single account string.
Cost Category
At the highest level, budgetary control exists to ensure that spending adheres to the appropriations budget that
is passed by the Common Council. Council approves the annual budget at the level of Fund and Cost Category.
There are four Cost Categories in each Fund – Personnel, Supplies, Services, and Capital.
At this high level, appropriations cannot be moved between Cost Categories (or between departments or
divisions) without approval by Council.
Individual Account Strings
Within a Cost Category, there are a variety of individual main accounts (which, along with Fund-Department-
Division-Subdivision, create an “account string”). For example, “Legal Services” and “Other Professional
Services” are both different main accounts within the “Services” Cost Category.
If two account strings have the same Fund, Department, Division and Cost Category, then budget can be
transferred between those accounts without requiring the approval of Council.
Within a Single Account String
General Budget Reservations can be used to reserve a portion of the budget in an individual account string for
a particular purpose. For example, say there is $12,000 in available budget in the Controller’s Professional
Services account string, $5,000 of which is for assistance with preparing the ACFR and $7,000 is for bond
continuing disclosure services. The Fiscal Officer can set up General Budget Reservations to ensure that there
is enough money for each priority. In this scenario, setting up General Budget Reservations would prevent the
City from entering into a contract for $8,000 for bond continuing disclosure services (even though there is
enough budget in the overall account), since the additional $1,000 is set aside for ACFR preparation services.
Mid-Year Budget Amendment Process
The City will evaluate its budget on an ongoing basis and make adjustments as needed. Budget transfers that
require Council approval and additional appropriations will be taken to Council on a quarterly basis, for
approval at the final Council meeting of each quarter (March, June, September, and December).
5. Procurement Policies
The purpose of this Policy and its supplemental materials is to define and memorialize the rules and administrative
processes that form the context in which the City, through its administrative staff, seeks to achieve the following
foundational objectives in procuring supplies, services, and public works for the City: (a) lawfully, efficiently, and
prudently to expend public funds for the public purposes established in the City’s budget; (b) to embody the City’s
values in its procurement activities; and (c) to ensure proper accounting for public funds and effective internal controls
across the City’s procurement-related operations.
Procurement Processes
Subject to applicable laws of the State of Indiana, as they may be amended in the future, including Article 22
of Title 5 of the Indiana Code (the “Public Purchasing Law”), and all applicable enactments under the authority
of Indiana Code § 5-22-3-3, including ordinances and resolutions of the South Bend Common Council (the
“Council”) and policies of the Mayor of the City of South Bend (the “Mayor”) serving as the City’s purchasing
agency, this Policy and its supplemental materials express the policies and procedures governing the City’s
purchase of supplies and services (as such terms are defined in the Public Purchasing Law). Without limitation,
such enactments and policies include the following, which remain in effect and govern the City’s purchasing
activities:
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• Council Ordinance No. 8956-98 (establishing the Mayor as the City’s purchasing agency within the
meaning and application of the Public Purchasing Law);
• Council Resolution No. 2690-98 (adopting certain purchasing rules for the City pursuant to the Public
Purchasing Law, including service contracts);
• the Minority and Women Business Enterprise Inclusion Program Plan, adopted under Chapter 14.5 of
the South Bend Municipal Code and originally acknowledged by South Bend Common Council
Resolution No. 4822-19 (adopting practices intended to promote equal opportunity for and the City’s
utilization of minority- and women-owned businesses);
• Board of Public Works Resolution No. 33-2018 (approving the use of online reverse auctions for
purchases by the City under Chapter 7.5 of the Public Purchasing Law); and
• Board of Public Works Resolution No. 57-2019 and Board of Public Safety Resolution No. 54-2019
(together documenting a qualified delegation of procurement-related authority by the Board of Public
Safety to the Board of Public Works).
In addition, subject to applicable laws of the State of Indiana, including Article 1 of Title 36 of the Indiana
Code, and ordinances and resolutions of the Council, including South Bend Municipal Code Chapter 14.5
(establishing certain inclusive procurement regulations) and Chapter 6, Article 13 (establishing responsible
bidding practices for public work projects), this Policy describes certain procedures by which the City procures
the performance of public works (as defined in Indiana Code § 36-1-12-2).
Various documents are necessary or appropriate to facilitate and record the City’s procurement activities. The
following descriptions are intended to characterize certain basic procurement documents but should not be
considered exhaustive or exclusive of other documents arising under this Policy’s supplemental materials or in
the City’s various business practices.
Purchase requisitions
The first document prepared in the procurement of any supply, service, or public work is a purchase requisition.
As explained and illustrated in this Policy’s supplemental materials, the preparation and submission of a
purchase requisition initiates the approval process resulting in the issuance of a purchase order or the formation
of a service contract or public work contract.
Purchase orders
In the context of the City’s purchase of supplies (as defined in Indiana Code § 5-22-2-38) under the Public
Purchasing Law, the fundamental procurement document is the purchase order. A purchase order identifies
the vendor from which supplies are ordered, states the description, quantity, price, and other attributes of the
property to be purchased from a vendor, and sets forth general terms and conditions to which the City and the
vendor will adhere in concluding the purchase transaction. As such, the purchase order constitutes a binding
contract between the City and the vendor. In addition, the purchase order fulfills certain internal budgetary
functions, including the encumbering of funds committed to a vendor under a purchase order, which prevents
those funds from being committed to any other vendor or payee. Consistent with Indiana Code § 5-22-18-
5(b), upon the City’s approval of a purchase of supplies, the City must issue an approved purchase order to the
approved vendor and retain a copy of the purchase order. The form of purchase order and the standard terms
and conditions currently in effect are included in this Policy’s supplemental materials.
Service contracts
In the context of the City’s engagement of services (as defined in Indiana Code § 5-22-2-30), the fundamental
procurement document is the service contract. A service contract establishes the terms of a relationship
between the City and a service provider, including the terms of payment for the provider’s provision of specified
services to the City.
Because service contracts vary in certain respects and arise across a wide and diverse spectrum of City
operations, the City does not require the use of a standardized contract form. Subject to applicable laws and
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the Department of Law’s guidance and assistance in preparing service contracts, the following elements should
be included in any service contract:
• the proper names of the parties (e.g., “XYZ, Inc.” and “City of South Bend, Indiana”);
• terms and conditions that are clearly stated and consistent throughout the document and create no
conflict with federal, state, or local laws or regulations;
• the amount of payment due on the contract, with a detailed definition of any payment schedule;
• the services to be rendered, with any deliverables and deadlines clearly defined;
• the effective start and end dates of the contract; and
• no Social Security numbers in the body of the contract or any attachment or exhibit.
While the City’s procurement system requires each service contract to be represented by a purchase order
record for internal tracking and budgetary purposes, the service contract itself (incorporating any ancillary
documents identified in the service contract, where applicable) forms the exclusive basis of the relationship
between a service provider and the City with respect to a given engagement.
Notably, as stated in Indiana Code 5-22-6, the Public Purchasing Law permits the City to establish its own
policies and procedures concerning the procurement of services. With the exception of procuring legal services
from attorneys, which requires authorization by the Corporation Counsel (pursuant to Indiana Code § 36-4-9-
12), the City’s policy is to permit City operations to purchase services in any reasonable manner. See Council
Resolution No. 2690-98. The procedures established under this Policy are aimed at preserving and promoting
that operational discretion within the context of the City’s overall strategic priorities and initiatives, budgetary
constraints, and legal requirements.
Public work contracts
In the context of the City’s contracting for the performance of public works (as defined in Indiana Code § 36-
1-12-2), the fundamental procurement document is the public work contract, otherwise referred to as a
construction contract. Subject to applicable laws and the Department of Law’s guidance and assistance in
preparing the necessary documents, such contracts must incorporate all appropriate plans and specifications
necessary for completion of the public work. While the City’s procurement system requires each public work
contract to be represented by a purchase order record for internal tracking and budgetary purposes, the public
work contract itself (incorporating any ancillary documents identified in the public work contract, where
applicable) forms the exclusive basis of the relationship between a public work contractor and the City with
respect to a given public work.
Solicitation documents
In certain procurement scenarios, the City is either required by law or chooses voluntarily to solicit offers or
proposals from prospective vendors, service providers, and contractors. Subject to specific legal requirements,
the typical modes of solicitation include requests for bids, requests for quotes, and requests for proposals. The
form and content of the document(s) comprising such solicitations may vary widely. Subject to applicable laws
and the Department of Law’s guidance and assistance in preparing the necessary documents, solicitations
should be crafted and disseminated in a manner reasonably calculated to achieve effective and cost-efficient
procurements.
6. General Disbursement and Vendor Payment Policies
The purpose of this Policy and its supplemental materials is to define and memorialize the City’s administrative processes
involved in making payments and disbursing money from City funds in satisfaction of payroll costs, operating
expenditures, debt payments, and other liabilities of the City.
General Disbursement Mechanisms
The City utilizes five (5) distinct forms of payment and disbursement: P-cards, checks, ACH transfers, wire
transfers, and disbursements by trustees.
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P-cards
A purchase card (“P-card”) is a type of credit card issued by the City’s credit provider to an individual employee
of the City authorized to execute payment for certain purposes. This Policy’s supplemental materials define
the qualifications for obtaining a P-card and the processes governing its use. The Controller will be responsible
for executing monthly disbursements to the P-card provider to settle outstanding credit balances on all P-cards,
subject to the City’s ordinary disbursement procedures and subject to review and approval of charges made by
P-card users in accordance with this Policy’s supplemental materials.
Checks
Paper checks are negotiable instruments printed on specialized check stock bearing the seal of the City and the
Controller’s signature. The Controller issues paper checks to payees, subject to the approval of the payees’
claims as set forth in this Policy’s supplemental materials. Unless a payee retrieves a check from the City in
person or the case requires another method, each check is delivered to the payee named on the check by U.S.
Mail to the payee’s address on file or otherwise provided by the payee.
ACH transfers
The automated clearing house (ACH) network facilitates electronic bank transfers of funds from a City
disbursement account directly to a payee’s account at a bank or financial institution. In appropriate cases, as
determined by the Controller, the City executes disbursements by ACH transfers, subject to the approval of
the payees’ claims as set forth in this Policy’s supplemental materials. Among disbursements made by ACH
transfer are payroll disbursements to City employees, as addressed in the City of South Bend Payroll Policy.
Wire transfers
A wire transfer is an electronic bank transfer of funds from a City disbursement account directly to a payee’s
account at a bank or financial institution. A wire transfer may be executed only in appropriate cases determined
in the Controller’s discretion upon a payee’s specific request for payment by wire transfer or upon the
Controller’s independent determination that a wire transfer is appropriate. Wire transfers are authorized in
accordance with bank requirements, including written and/or telephone instructions by the City. Such
instructions may be communicated on behalf of the City by the Controller, the Deputy City Controller, or the
Director of Treasury only and not by any other employee or person.
Trustee payments
In appropriate cases where a bank, financial institution, or other organization has agreed in writing to serve as
the trustee or agent on behalf of the City or in connection with a City-financed project, such trustee or agent
may disburse City funds on the City’s behalf, provided the procedures required under the agreements or
instruments governing the City’s relationship with the trustee or agent have been observed. Such payments,
although executed by the City’s trustee or agent, remain subject to all other procedures established under this
Policy.
Disbursement Roles/Responsibilities
The City will conduct its disbursement activities exclusively through authorized representatives, as set forth in
this Policy and its supplemental materials. Unless he or she has been so authorized, no person has authority to
undertake on the City’s behalf any disbursement-related activities. This Section describes the roles and
responsibilities of those representatives, as further defined and operationalized in this Policy’s supplemental
materials.
Controller
The Controller, with the assistance of staff members where appropriate, is responsible for the overall
administration of the disbursement processes and the execution of disbursements to payees under this Policy
and its supplemental materials, in accordance with applicable laws, including, without limitation, the provisions
of Indiana Code 5-11-10 and 36-4-8 and South Bend Municipal Code Section 2-50.1. Within the meaning of
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the applicable provisions of Indiana Code 5-17-5, concerning prompt payment for public works, services,
goods, equipment, and travel, the Controller will make all reasonable efforts to make timely payment to each
payee properly entitled to payment. Moreover, subject to all required approval processes, the Controller will
endeavor to disburse funds at the time necessary to take advantage of any discount offered by a payee for early
payment. In fulfilling the Controller’s responsibilities under this Policy, the Controller is assisted by the Deputy
City Controller and may delegate all appropriate authority to the Deputy City Controller to achieve the purposes
of this Policy.
Director of Treasury and Accounts Payable Supervisor
The Director of Treasury is responsible for overseeing the activities of the Department’s staff members
involved in executing disbursements to satisfy accounts payable, payroll, and other obligations. The Accounts
Payable Supervisor is responsible for a wide range of disbursement matters, including overseeing and
participating in the processing and payment of claims by vendors, service providers, and public work
contractors doing business with the City, preparing spending reports and tax-related documents, and analyzing
payment. In addition, the Accounts Payable Supervisor is responsible for coordinating with the necessary
employees of all City departments, including the AP clerks described below, to efficiently process disbursements
in a timely and financially advantageous manner.
Accounts payable clerks
In consultation with the Controller and the responsible department head, each division of the City will select
one (1) employee to be designated as an accounts payable clerk (“AP clerk”) to meet the disbursement-related
needs of the division. Specifically, an AP clerk is responsible for (a) collecting, organizing, and scanning into
electronic format all invoices, bills, and other documentation of claims for payment by the City with respect to
the division’s activities, including those received by the AP clerk directly from payees and those received by
other employees within the division; (b) entering into the financial system all necessary information for the
efficient processing of each claim in accordance with the procedures established under this Policy; and (c)
serving as the principal point of contact for internal and external communications related to the division’s
disbursement matters.
Division approvers
Managers, supervisors, and other employees working within the divisions of the City are required to
acknowledge the receipt of goods and services for purposes of confirming that payment is properly due to the
provider of the goods or services. See Indiana Code § 36-4-8-7(b). They must acknowledge receipt in
accordance with the procedures established under this Policy.
Boards responsible for allowance of claims
Among the City’s disbursements are payments made on invoices for goods delivered or services rendered to
the City (“claims,” as defined in Indiana Code § 36-4-8-7(a)). Pursuant to Indiana Code §§ 36-4-8-7(b)(5) and
5-11-10-1.6(c)(5), each claim must be formally allowed by the appropriate board prior to the Controller paying
the claim, unless it is expressly pre-approved for payment. In the case of a pre-approved claim, the Controller
is required to submit the claim for ratification by the appropriate board after having paid the claim. See Indiana
Code § 36-4-8-14; South Bend Municipal Code Section 2-50.1. The City boards with jurisdiction over the
allowance of claims conduct their allowances as follows:
• Board of Public Works (“BPW”): The Controller routinely presents claims for allowance by the BPW
at its public meetings. The claims presented to the BPW include all claims for payment over which no
other City board or official has jurisdiction for allowance.
• Board of Park Commissioners (“BPC”): The BPC has contracted with the BPW for the BPW’s
provision of certain services as the BPC’s agent under the Master Agency Agreement between the BPC
and the BPW dated March 26, 2015, as amended by the First Amendment to Master Agency Agreement
dated April 16, 2018 (collectively, “Agency Agreement”), authorized under Indiana Code § 36-10-3-
11(a)(1), (8). Section 10 of the Agency Agreement provides that, on behalf of the BPC, the BPW will
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process the BPC’s claims for payment according to the BPW’s standard procedures. Accordingly, all
claims over which the BPC otherwise would have jurisdiction for allowance are included as part of the
claims presented to the BPW at its public meetings described above.
• Redevelopment Commission (“Commission”): The Controller, as the Commission's treasurer
pursuant to Indiana Code § 36-7-14-8(b), “may disburse funds of the [Commission] only after the
[Commission] allows and approves the disbursement. However, the [Commission] may, by rule or
resolution, authorize the treasurer to make certain types of disbursements before the [Commission's]
allowance and approval at its next regular meeting.” Indiana Code § 36-7-14-8(c). In turn, by Article V,
Section 3, of the Second Amended and Restated By-Laws of the South Bend Redevelopment
Commission, dated July 9, 2020, adopted pursuant to Resolution No. 3520, the Commission has
authorized the Controller to make disbursements from any applicable Commission-controlled fund to
pay any and all Commission-allowed claims prior to the Commission’s review and allowance thereof.
The Controller prepares and submits to the Commission a list of all such disbursements made since
the Commission’s last ratification, and the Commission allows and ratifies such disbursements at its
next regular meeting.
• Civic Center Board of Managers (“CC Board”): Pursuant to Indiana Code § 36-10-10-32(c), the
Controller may disburse funds in satisfaction of claims for payment in accordance with procedures
prescribed by the CC Board, provided that an itemized and verified statement of the claim has been
filed with the Controller. The CC Board typically meets on a quarterly basis, and its established practice
is to ratify claims paid out of Funds #670 and #671 at its next meeting after payment of such claims.
7. Payroll Policy
The purpose of this Policy and the accompanying procedures is to ensure effective and efficient processing of City
payroll, with the following specific goals:
1. Making accurate and timely payments to all persons on the City payroll.
2. Making all statutory deductions and verifying that all required reporting procedures are followed in connection
with statutory deductions.
3. Making all non‐statutory deductions and/or reductions and verifying that accurate record-keeping and
reporting procedures are followed.
4. Maintaining records and reports required by the City, State and Federal Government agencies pertaining to
personnel paid through the payroll system.
8. Capital Asset Policies
The purpose of this Policy and the accompanying procedures is to define the City’s capital asset capitalization practices.
This Policy sets definition to the capital asset categories, depreciation methodology, capital asset disposal practice, and
other matters pertaining to the capital assets of the City.
Definition of Capital Assets
Capital assets are defined as items owned by the City of South Bend that have a useful life of at least one year
and have an acquisition cost exceeding the capitalization threshold identified in the following table:
Asset Category Capitalization Threshold
Land All land is capitalized
Construction in Progress All construction in progress is capitalized
Infrastructure $250,000
Buildings $100,000
Land & Building Improvements $100,000
Intangibles $100,000
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Machinery & Equipment $ 10,000
Computer & Office Equipment $ 10,000
Vehicles $ 10,000
Definition of Capital Expenses
Categorizing an expenditure as either maintenance or as a capital improvement is an important decision that
needs to be made when any type of maintenance, repair, or renovations are performed. The appropriate
categorization requires considering the value of the asset, the intended goal of the work to be performed, the
scope of work, the actual result, and its impact on the asset’s value and useful life.
Maintenance (Operating Expenses)
Maintenance costs are expenses for routine actions that keep assets in their original condition; these typically
fall under Repairs and Maintenance (“R&M”) in the operating budget. Both routine and preventative
maintenance are classified as operating expenses if they are performed to restore the asset’s physical condition
and/or operation to a specified standard or their original condition, prevent further deterioration, replace or
substitute a component at the end of its “useful life,” serve as an immediate but temporary repair, or assess
ongoing maintenance requirements.
Maintenance activities can include:
• Housekeeping
• Painting
• Landscaping
• Irrigation repairs
• Elevator maintenance
• Other related tasks that are performed on a frequent or ongoing basis
Capital Improvements (Capital Expenditures)
Capital improvements are investments made to increase the value of an asset and to boost an asset’s condition
beyond its original or current state. Associations undertake capital improvements when they wish to increase
an asset’s useful function or service capacity, perform a required extension of “useful life,” enhance the quality
of services, reduce future operating costs, or upgrade essential parts of the asset.
Capital improvements can include:
• Installation of a new roof
• Replacement of HVAC systems
• Structural additions to existing building
Depreciation of Capital Assets
All tangible capital assets will be depreciated over their useful life, with the exception of land, land
improvements with an inexhaustible life, and CIP. Intangible assets will be amortized over their useful life,
unless the intangible asset has an infinite useful life.
The City will use the straight-line method as the basis for depreciating and amortizing capital assets. Under the
straight-line method, the basis of the asset is written off in annual equal amounts over the useful life of the
asset. The City will commence depreciation of the capital asset in the month and year the asset is acquired.
The City will base its useful life of assets on industry best practices.
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Capital Asset Inventory
City departments are required to conduct an annual physical inventory of all capital assets assigned to the
department including fixed, movable, and infrastructure assets. Typically, inventory is conducted during
October and November. This inventory must be reconciled to the capital asset register and inventory
maintained in the financial records of the City.
Physical inventories are to be coordinated between the department and the central Administration & Finance
office. Results of the physical inventory are to be immediately reported to the City Controller. The physical
inventory results are kept on file for the audit.
9. Inventory Policy
Inventory is comprised of goods and materials held on hand by the City’s divisions. The purpose of this Policy and its
supplemental materials is to define and memorialize the rules and administrative processes that form the City’s inventory
accounting practices
For valuing its inventory, the City uses the average cost methodology, and appropriate entries will be recorded to account
for inventory on an annual basis.
10. Debt Policies
The City is permitted to issue certain debt obligations – such as revenue bonds, mortgage bonds, general obligation
bonds, loans or notes payable, tax anticipation notes, or capital leases – in accordance with the conditions and
requirements of applicable federal and state laws, including, but not limited to, Article 1 of Title 5 of the Indiana Code.
The City will not use short-term borrowing to finance operating needs except in the case of an extreme financial
emergency, which is beyond its control or reasonable ability to forecast. The purpose of this Policy and its supplemental
materials is to define and memorialize the rules and guidelines that govern the City’s issuance and management of debt
obligations.
Consideration of Incurring Debt Obligations
This Supplement establishes the general framework for considering the City’s issuance of debt obligations. In
consultation with the Mayor, the Controller is responsible for guiding the City’s consideration of incurring debt
obligations and its overall debt position.
Prohibition on incurring unauthorized debt obligations
No employee, division, or department of the City is authorized to incur or seek to incur a debt obligation on
behalf of the City, except as directed and coordinated by the City Controller and in accordance with applicable
legal and policy requirements. For purposes of the City of South Bend Debt Policy, any borrowing or financing
mechanism, including any “lease-to-own” transaction or any similar arrangement bearing an implicit or explicit
interest cost, will be considered to constitute a debt obligation.
General principles guiding new debt decisions
The following principles apply to the City’s assessment of its overall debt position and its consideration of
issuing new debt obligations:
• General principles
o Debt management will provide for the protection and maintenance of the City's AA bond
rating, the maintenance of adequate debt service reserves, compliance with debt covenant
provisions, and appropriate disclosure to investors, underwriters, and rating agencies.
o Long-term borrowing will not be used to finance current operations or normal maintenance
and will only be considered for significant capital and infrastructure improvements
o South Bend’s property taxpayers and residents who benefit from projects and assets financed
by debt should be the source of the related debt service funding. This principle of taxpayer
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equity (or interperiod equity) should be a primary consideration in determining the type of
projects and assets selected for financing through debt. Furthermore, the principle of taxpayer
equity shall be applied for setting rates in determining net revenues for bond coverage ratios.
o It is critical that elected and appointed City officials, and all others associated with the issuance
of City debt, not only avoid the reality of a conflict of interest, but the appearance thereof as
well. City officials must conduct themselves in a manner consistent with the best interest of
the City and taxpayers. Elected and appointed City officials should avoid even the appearance
of linkages between politics and public finance that can erode the confidence of taxpayers,
ratepayers, and voters. This includes avoiding gratuities and political contributions of more
than nominal value.
• Short-term financing (including capital lease debt)
o Short-term financing will be considered to finance certain equipment purchases when the
aggregate cost of equipment to be purchased exceeds $25,000, and departments requesting
short-term financing for equipment, vehicle, or other asset purchases must have an approved
budget appropriation sufficient to cover the principal and interest payments due under such
short-term financing arrangement.
o The term of short-term financing will be limited to the usual useful life period of the vehicle,
equipment, or other asset being financed, but in no case will exceed ten years. It is anticipated
that most capital lease debt will be for five years.
o Recognizing that bond issuance costs add to the total interest costs of financing, the City shall
perform due diligence to ensure that installment agreement or other legally appropriate debt
is considered whenever applicable.
• Long-term (bond) financing
o Within the constraints of maintaining or improving the City’s bond ratings and debt service
capacity, the construction or acquisition of long-lived capital assets will be financed through
the issuance of bonds or other financing instruments for a period not to exceed the useful life
of the acquired assets.
o Whenever possible, the City will finance capital projects by using self-supporting revenue
bonds because revenue bonds assure the greatest degree of equity by most closely matching
those who benefit from a project or asset and those who pay for the project or asset.
o It will be a long-term goal that each utility or enterprise will ensure future capital financing
needs are met by using a combination of current operating revenues and revenue bond
financing. Therefore, a goal is established that 15% of total project costs should come from
operating funds of the utility or enterprise, if feasible.
o Bond proceeds for a capital project should be limited to financing the costs of planning,
design, land acquisition, buildings, permanent structures, attached fixtures or equipment, and
movable pieces of equipment, or other costs as permitted by law (including for the
establishment of a debt service reserve fund).
o Bonds will be sold on a competitive basis unless it is in the best interest of the City to conduct
a negotiated sale.
Review of proposals for new debt obligations
In the event a City department or division is interested in pursuing a new debt obligation, the department head
and/or the department’s designated fiscal officer will submit a written explanation of the proposed debt to the
City Controller. With the assistance of qualified consultants and advisors (including financial advisors and bond
counsel) where appropriate, the City Controller will assess each proposal regarding conformance with existing
debt and financial policies, the City’s current and future debt service capacity, and the likely effects of the new
debt on the City’s creditworthiness. The following are among the factors relevant to that assessment:
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• Debt Analysis
o Debt capacity analysis
o Purpose for which debt is issued
o Debt structure
o Debt burden
o Debt history and trends
o Adequacy of debt and capital planning
o Obsolescence of capital assets
• Financial Analysis
o Stability, diversity, and growth rates of tax or other revenue sources
o Trend in assessed valuation and collections
o Current budget trends
o Appraisal of past revenue and expenditure trends
o History and long-term trends of revenues and expenditures
o Evidences of financial planning
o Adherence to generally accepted accounting principles
o Audit results
o Fund balance status and trends in operating and debt funds
o Financial monitoring systems and capabilities
o Cash flow projections
o Future operating and maintenance costs associated with the financed asset(s)
• Governmental and Administrative Analysis
o Government organization structure
o Location of financial responsibilities and degree of control
o Adequacy of basic service provision
o Intergovernmental cooperation/conflict and extent of duplication
o Overall city planning efforts
• Economic Analysis
o Geographic and location advantages
o Population and demographic characteristics
o Wealth indicators
o Housing characteristics
o Level of new construction
o Types of employment, industry, and occupation
o Evidences of industrial decline
o Trend of the economy
Refunding of outstanding bonds
Where market conditions are favorable, the City Controller (with the assistance of qualified consultants and
advisors, where appropriate) will assess the appropriateness of refinancing (i.e., “refunding”) outstanding bond
obligations. In assessing refunding opportunities, the City Controller will address the following considerations:
• Whether refunding the outstanding bond obligations will both comply with the City’s financial policies
and advance the City’s strategic objectives.
• Whether refunding the outstanding bond obligations will result in positive monetary savings
(discounted to net present value) sufficient to justify the expenditure of financial and other resources
involved in executing the refunding.
o Assessing the financial quality of the proposed refunding includes considering (1) issuance
costs and the interest rate at which the refunding bonds can be issued; (2) the maturity date of
the refunded bonds; (3) the call date of the refunded bonds; (4) the call premium on the
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refunded bonds; (5) the structure, yield, and administrative costs of the refunding escrow; and
(6) any transferred proceeds penalty.
Continuing Disclosure and Arbitrage Rebate Policies
Continuing Disclosure
The City of South Bend will comply fully with Rule 15c2-12 of the Securities and Exchange Act of 1934 (“Rule”)
and the requirements for any outstanding debt which is subject to the Rule and for which the City is the obligor
under a continuing disclosure undertaking agreement (CDUA). The City will file all required financial/operating
information and event filings on the Electronic Municipal Market Access (EMMA) website in a timely manner,
or on a successor website. The City Controller and Deputy City Controller are responsible for implementing
this procedure but may elect to allow a dissemination agent to assist them with filings required to comply with
the Rule.
Arbitrage Rebate
The City of South Bend recognizes that issuing certain tax-exempt qualified obligations require the City to
comply with applicable provisions of the Internal Revenue Code of 1986 (the “Code”) and regulations
promulgated thereunder. The City has established a policy describing procedures to be taken to ensure that
these qualified obligations continue to be excludable from gross income for federal income tax purposes. This
includes the monitoring and calculating of arbitrage and compliance with specific arbitrage rules and regulations,
the monitoring and tracking of private uses and private payments with respect to facilities financed with
qualified obligations and complying with specific reissuance and record retention requirements.
11. Internal Control
The City’s management team is responsible for establishing and maintaining an internal control structure designed to
ensure that the assets of the government are protected from loss, theft or misuse and to ensure that adequate accounting
data is compiled to allow for the preparation of financial statements in conformity with generally accepted accounting
principles. The internal control structure is designed to provide reasonable, but not absolute, assurance that these
objectives are met. The concept of reasonable assurance recognizes that: (1) the cost of a control should not exceed the
benefits likely to be derived; and (2) the valuation of costs and benefits requires estimates and judgments by
management.
Control Environment
City management and elected officials are committed to demonstrating a commitment to ethical values and
integrity. As such, it has established a system of standards, processes, and structures designed to reinforce this
commitment and act as the foundation for a sound system of internal control.
Among other things, the City has committed to:
• Maintain Council’s oversight over the City’s internal control system.
• Convey consistent and ongoing messages of the City' s internal control philosophy and expectations
to all employees
• Evaluate the City' s internal control system for weaknesses on an ongoing basis, providing solutions to
any discovered weaknesses, and inform employees of necessary changes in procedures
• Institute procedures to address violations of policies and consequences for violations of internal
control procedures
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Risk Assessment
The City takes a risk-based approach to internal control, analyzing risks in terms of their impact on the following
goals:
• operational efficiency,
• reliability and integrity of financial reporting, and
• compliance with appliable laws and regulations.
The City has implemented a structure and process to identify risks based on changes in the internal or external
environments, assess those risks in terms of likelihood and impact on the goals presented above. Risks that are
relatively likely to occur and which will have a significant impact on the City’s ability to accomplish the
objectives above are prioritized for mitigation and control activities.
Control Activities
The City has established and maintains a system of internal controls that is designed to mitigate the risks that
are identified and prioritized. This system is based on general internal control principles, including:
• Preventive Controls
o Segregation of duties
No single person should have the ability to execute a key function (disbursing,
receiving, reconciling, etc.) without involvement from another person
o Authorization and approval
Proposed transactions should be authorized by someone with appropriate approval
authority, ensuring those transactions are proper and consistent with City policy
o Custodial and security arrangements
Unauthorized access to City assets and data should be prevented, and responsibility
for the physical security of those assets should be separate from the record-keeping
of those assets.
• Detective Controls
o Review and reconciliation
Departmental documentation is compared with City accounting system reports and
financial statements to verify their reasonableness, accuracy, and completeness
o Internal audits
Compliance with established procedures is verified through routine internal audits
Information and Communication
Ensuring quality information is readily available and transparent is critical to maintaining the City’s internal
control system, and effective internal and external communication is necessary to support achievement of the
City’s objectives. Internal communication is the bi-directional means by which personnel receive from
management a clear message that ethical behavior and compliance with internal control is important, and the
means by which personnel communicate to management known or suspected ethical violations.
The City has committed to:
• Establish and maintain a confidential reporting system for individuals to report suspected fraud and
abuse of internal control policies
• Lead in the areas of financial transparency and accountability
• Maintain sufficient documentation to support the validity and appropriateness of recorded
transactions.
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Monitoring Activities
The City must maintain a robust monitoring program including ongoing evaluations, independent and internal
audits, and automatic feedback loops to ensure that each component of internal control (as well as individual
activities within each component) is functioning correctly.
The City has committed to:
• Perform routine and surprise internal audits to determine if controls are in place and working
effectively
• Review control activities to determine if the actual activities are in compliance with established
procedures
• Document deficiencies in the internal control processes and remediating them quickly
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FINANCIAL SUMMARIES
City of South Bend, Indiana 2026 Budget
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Changes in Fund Balance Summary
Cash Balance 1/1/2025 2025 Revenues 2025 Expenditures 2025 Surplus (Deficit)Cash Balance 12/31/2025 Cash Balance 1/1/2026 2026 Revenues 2026 Expenditures 2026 Surplus (Deficit)Cash Balance 12/31/2026
City Funds
1 General Plus Funds
101 - General Fund 91,331,533 103,915,520 137,364,055 (33,448,536) 57,882,997 57,882,997 101,718,272 108,537,362 (6,819,090) 51,063,907
249 - Local Income Tax - Public Safety 6,470,681 12,400,718 13,878,633 (1,477,915) 4,992,766 4,992,766 12,974,112 14,761,236 (1,787,124) 3,205,642
404 - Local Income Tax - Certified Shares 786,839 10,991 45,564 (34,573) 752,266 752,266 15,737 - 15,737 768,003
408 - Local Income Tax - Economic Development 30,701,333 17,959,302 44,872,314 (26,913,012) 3,788,322 3,788,322 18,817,853 20,549,181 (1,731,328) 2,056,994
1 General Plus Funds Total 129,290,387 134,286,530 196,160,566 (61,874,035) 67,416,351 67,416,351 133,525,974 143,847,780 (10,321,806) 57,094,546
2 Special Revenue Funds
102 - Rainy Day 11,836,259 263,016 - 263,016 12,099,276 12,099,276 236,725 - 236,725 12,336,001
201 - Parks & Recreation 11,969,237 24,979,108 35,990,096 (11,010,988) 958,249 958,249 24,081,637 24,059,559 22,078 980,327
202 - Motor Vehicle Highway 5,370,283 18,140,410 21,694,665 (3,554,256) 1,816,027 1,816,027 16,996,229 18,917,005 (1,920,776) (104,749) 209 - Studebaker-Oliver Revitalizing Grants 639,406 14,199 84,626 (70,427) 568,979 568,979 12,788 30,000 (17,212) 551,767
210 - Economic Development State Grants (66,903) - - - (66,903) (66,903) - - - (66,903)
211 - Dept of Community Investment Operating 613,118 4,801,194 5,330,572 (529,378) 83,739 83,739 4,009,982 4,660,879 (650,897) (567,157)
212 - Dept of Community Investment Grants 262,755 3,203,105 10,771,637 (7,568,532) (7,305,777) (7,305,777) 3,232,912 2,745,419 487,493 (6,818,285)
216 - Police State Seizures 306,471 23,077 22,000 1,077 307,549 307,549 5,909 22,000 (16,091) 291,458
217 - Gift, Donation, Bequest 2,825,418 161,065 1,834,312 (1,673,246) 1,152,172 1,152,172 7,271,492 96,250 7,175,242 8,327,414
219 - Unsafe Building 1,007,690 114,173 25,000 89,173 1,096,863 1,096,863 127,120 25,000 102,120 1,198,982
220 - Law Enforcement Continuing Education 874,488 549,352 1,205,168 (655,816) 218,672 218,672 127,747 589,250 (461,503) (242,830)
221 - Rental Units Regulation 397,458 259,595 144,866 114,729 512,187 512,187 197,017 30,000 167,017 679,204
227 - Loss Recovery 3,123,868 69,416 410,000 (340,584) 2,783,284 2,783,284 60,377 210,000 (149,623) 2,633,661
230 - Code Enforcement Fund 1,718 7,414,691 7,979,653 (564,962) (563,244) (563,244) 5,836,100 6,447,309 (611,209) (1,174,453)
251 - Local Road & Street 478,515 2,043,021 2,504,636 (461,615) 16,901 16,901 2,119,024 750,000 1,369,024 1,385,925
257 - LOIT Special Distribution 65,734 869 53,339 (52,470) 13,264 13,264 1,315 - 1,315 14,579 258 - Human Rights Federal Grants 310,825 243,456 381,927 (138,471) 172,354 172,354 159,234 384,878 (225,643) (53,289)
263 - American Rescue Plan 980,782 21,534 24,553 (3,019) 977,763 977,763 19,616 - 19,616 997,378
264 - COVID-19 Response - 5,000 - 5,000 5,000 5,000 - - - 5,000
265 - Local Road & Bridge Grant 338,405 3,010,177 3,993,345 (983,168) (644,764) (644,764) 1,500,000 3,000,000 (1,500,000) (2,144,764)
266 - MVH Restricted Fund 1,180,553 3,202,007 3,670,924 (468,917) 711,636 711,636 3,290,467 2,655,211 635,255 1,346,891
289 - Haz-Mat 42,190 6,129 10,000 (3,871) 38,319 38,319 5,744 - 5,744 44,063
291 - Indiana River Rescue 567,228 103,136 94,700 8,436 575,663 575,663 137,595 - 137,595 713,258
295 - COPS MORE Grant 20,876 - - - 20,876 20,876 418 - 418 21,294
299 - Police Federal Drug Enforcement 294,114 84,926 50,000 34,926 329,040 329,040 86,682 - 86,682 415,722
410 - Urban Development Action Grant 71,914 7,950 - 7,950 79,864 79,864 1,438 - 1,438 81,302
655 - Project ReLeaf 542,450 468,924 469,686 (762) 541,688 541,688 466,974 456,177 10,797 552,485
730 - City Cemetery 32,784 728 - 728 33,512 33,512 656 - 656 34,168
731 - Bowman Cemetery 515,724 11,460 - 11,460 527,184 527,184 10,314 - 10,314 537,499 754 - Industrial Revolving Fund 4,853,400 1,092,024 548,655 543,369 5,396,769 5,396,769 1,796,650 56,500 1,740,150 7,136,919
2 Special Revenue Funds Total 49,456,759 70,293,743 97,294,360 (27,000,617) 22,456,142 22,456,142 71,792,163 65,135,437 6,656,726 29,112,868
2025 Amended Budget
Changes in Fund Balance
2026 Adopted Budget
City of South Bend, Indiana 2026 Budget
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Cash Balance 1/1/2025 2025 Revenues 2025 Expenditures 2025 Surplus (Deficit)Cash Balance 12/31/2025 Cash Balance 1/1/2026 2026 Revenues 2026 Expenditures 2026 Surplus (Deficit)Cash Balance 12/31/2026 3 Capital & Debt Service Funds287 - Fire Department Capital 2,843,653 5,637,513 8,580,975 (2,943,462) (99,808) (99,808) 4,130,445 4,323,679 (193,235) (293,043) 312 - 2017 Parks Bond Debt Service 169,829 1,198,444 1,181,215 17,229 187,057 187,057 1,164,212 1,173,390 (9,178) 177,879 350 - 2018 Fire Station #9 Bond Debt Service 1 344,656 344,656 - 1 1 342,756 342,756 - 1
401 - Coveleski Stadium Capital 210 31,938 30,000 1,938 2,149 2,149 31,831 - 31,831 33,980
406 - Cumulative Capital Development 364,286 802,162 891,096 (88,934) 275,352 275,352 817,637 500,000 317,637 592,988
407 - Cumulative Capital Improvement 382,647 181,555 75,000 106,555 489,202 489,202 182,933 75,000 107,933 597,135
412 - Major Moves Construction 925,626 140,800 762,824 (622,024) 303,602 303,602 18,513 - 18,513 322,114
413 - Professional Sports Convention Development Area 2,574,203 2,886,296 218,646 2,667,649 5,241,852 5,241,852 5,068,879 3,260,500 1,808,379 7,050,232
416 - Morris Performing Arts Center Capital 6,037,556 108,619 6,692,686 (6,584,067) (546,512) (546,512) 117,449 - 117,449 (429,062)
450 - Palais Royale Historic Preservation 149,563 19,394 10,000 9,394 158,957 158,957 19,036 - 19,036 177,993
451 - 2018 Fire Station #9 Bond Capital 342,923 7,620 - 7,620 350,543 350,543 6,858 - 6,858 357,402
453 - Zoo Bond Capital - - - - - - - - - -
455 - 2021 Infrastructure Bond Capital 673,591 14,968 446,483 (431,515) 242,076 242,076 13,472 - 13,472 255,548
471 - 2017 Parks Bond Capital 854,408 17,473 805,184 (787,711) 66,697 66,697 17,088 - 17,088 83,785
672 - Century Center Energy Conservation Debt Svc 152,074 391,218 388,754 2,464 154,538 154,538 387,097 384,057 3,041 157,579
752 - South Bend Redevelopment Authority 5,167,209 7,656,290 6,733,009 923,282 6,090,491 6,090,491 12,505,728 9,400,546 3,105,182 9,195,673
755 - South Bend Building Corporation 249,384 1,430,112 1,430,605 (493) 248,890 248,890 1,441,843 1,436,855 4,988 253,878
756 - 2015 Smart Streets Bond Debt Service 1,757,417 1,747,006 1,712,844 34,162 1,791,579 1,791,579 1,740,947 1,707,819 33,128 1,824,707
757 - 2015 Parks Bond Debt Service 594,295 392,195 381,031 11,163 605,458 605,458 385,117 373,231 11,886 617,344
759 - 2017 Eddy Street Commons Bond Capital 25,767 515 - 515 26,282 26,282 515 - 515 26,797
760 - 2017 Eddy Street Commons Bond Debt Service 3,669,174 2,030,702 1,955,125 75,577 3,744,751 3,744,751 2,024,633 1,951,250 73,383 3,818,135
3 Capital & Debt Service Funds Total 26,933,815 25,039,476 32,640,133 (7,600,657) 19,333,158 19,333,158 30,416,990 24,929,083 5,487,908 24,821,065
4 Internal Service Funds
222 - Central Services 136,948 12,197,203 12,644,758 (447,555) (310,607) (310,607) 12,181,311 12,154,141 27,170 (283,437)
226 - Liability Insurance 7,397,475 3,816,847 4,122,275 (305,428) 7,092,047 7,092,047 4,027,609 4,031,500 (3,891) 7,088,156
278 - Police Take Home Vehicle 941,097 71,255 50,000 21,255 962,351 962,351 69,322 - 69,322 1,031,673
279 - IT / Innovation / 311 Call Center 6,398,926 15,236,278 18,175,507 (2,939,230) 3,459,696 3,459,696 14,887,220 15,058,810 (171,590) 3,288,106
711 - Self-Funded Employee Benefits 9,856,763 19,111,166 21,512,637 (2,401,471) 7,455,292 7,455,292 19,067,159 19,492,503 (425,344) 7,029,949
713 - Unemployment Compensation 392 86,992 82,500 4,492 4,885 4,885 85,033 82,500 2,533 7,417
714 - Parental Leave Fund 878,198 317,956 150,000 167,956 1,046,153 1,046,153 316,534 100,000 216,534 1,262,687
4 Internal Service Funds Total 25,609,798 50,837,696 56,737,677 (5,899,981) 19,709,817 19,709,817 50,634,189 50,919,455 (285,266) 19,424,552
5 Enterprise Funds
600 - Consolidated Building Fund 3,247,209 2,570,203 2,065,233 504,970 3,752,179 3,752,179 3,517,077 2,031,163 1,485,914 5,238,093
601 - Parking Garages 368,341 1,017,031 1,226,492 (209,461) 158,880 158,880 1,877,252 1,389,648 487,604 646,484
602 - Morris Performing Arts Center Operations 126,113 1,984,497 1,904,608 79,889 206,002 206,002 2,158,400 2,060,903 97,497 303,499
610 - Solid Waste Operations 1,277,909 8,334,528 8,662,231 (327,703) 950,205 950,205 8,320,016 9,009,550 (689,534) 260,671
611 - Solid Waste Capital 2,043,183 1,373,911 3,310,370 (1,936,458) 106,725 106,725 3,956,131 2,865,120 1,091,011 1,197,736
620 - Water Works Operations 12,675,923 23,672,961 25,351,815 (1,678,854) 10,997,069 10,997,069 23,679,058 25,032,384 (1,353,326) 9,643,742
622 - Water Works Capital 15,820,438 8,620,083 20,772,049 (12,151,965) 3,668,472 3,668,472 19,722,519 33,216,550 (13,494,031) (9,825,559)
624 - Water Works Customer Deposit 1,401,817 31,124 - 31,124 1,432,941 1,432,941 28,036 - 28,036 1,460,977
625 - Water Works Sinking (Debt Service)2,039,158 1,507,173 3,646,688 (2,139,515) (100,357) (100,357) 2,324,774 2,283,991 40,783 (59,573)
626 - Water Works Bond Reserve 1,613,195 110,614 - 110,614 1,723,809 1,723,809 161,815 - 161,815 1,885,624
629 - Water Works Operations & Maintenance Reserve 3,163,289 70,292 - 70,292 3,233,581 3,233,581 63,266 - 63,266 3,296,847
640 - Sewer Repair Insurance 1,580,381 700,098 1,413,156 (713,057) 867,324 867,324 691,270 1,309,343 (618,073) 249,251
641 - Sewage Works Operations 33,871,023 45,693,473 55,601,832 (9,908,360) 23,962,664 23,962,664 44,832,313 43,423,310 1,409,003 25,371,667
642 - Sewage Works Capital 9,382,327 10,962,211 33,679,967 (22,717,755) (13,335,429) (13,335,429) 3,345,837 11,320,000 (7,974,163) (21,309,592) 643 - Sewage Works Operations & Maintenance Reserve 5,996,959 133,260 - 133,260 6,130,219 6,130,219 119,939 - 119,939 6,250,159
2025 Amended Budget
Changes in Fund Balance
2026 Adopted Budget
City of South Bend, Indiana 2026 Budget
Page 59
Cash Balance 1/1/2025 2025 Revenues 2025 Expenditures 2025 Surplus (Deficit)Cash Balance 12/31/2025 Cash Balance 1/1/2026 2026 Revenues 2026 Expenditures 2026 Surplus (Deficit)Cash Balance 12/31/2026
649 - Sewage Sinking (Debt Service)12,888 8,457,438 10,584,228 (2,126,790) (2,113,902) (2,113,902) 5,643,780 5,629,113 14,668 (2,099,234)
653 - Sewage Debt Service Reserve 4,534,269 254,192 - 254,192 4,788,461 4,788,461 472,187 - 472,187 5,260,647
654 - Sewage Works Customer Deposit 1,546,815 34,751 - 34,751 1,581,566 1,581,566 30,936 - 30,936 1,612,503
667 - Storm Sewer Fund 1,680,385 1,189,320 2,401,129 (1,211,809) 468,576 468,576 1,178,751 1,352,842 (174,091) 294,486
670 - Century Center Operations 972,620 3,614,117 3,619,462 (5,345) 967,274 967,274 1,691,346 343,944 1,347,401 2,314,676
671 - Century Center Capital 1,053,192 531,474 106,740 424,734 1,477,926 1,477,926 820,467 835,000 (14,533) 1,463,393
5 Enterprise Funds Total 104,407,434 120,862,752 174,345,999 (53,483,247) 50,924,187 50,924,187 124,635,170 142,102,861 (17,467,691) 33,456,495
8 Custodial Fund
709 - Payroll Fund (40,537) - - - (40,537) (40,537) - - - (40,537)
718 - State Tax Withholding Fund 338,475 - - - 338,475 338,475 - - - 338,475 725 - Morris / Palais Box Office 1,233,154 - - - 1,233,154 1,233,154 - - - 1,233,154 726 - Police Distributions Payable 824,099 - - - 824,099 824,099 - - - 824,099 8 Custodial Fund Total 2,355,192 - - - 2,355,192 2,355,192 - - - 2,355,192
9 Pension Trust Funds
701 - Fire Pension 342,385 4,608,949 4,526,297 82,652 425,037 425,037 4,607,595 4,525,250 82,345 507,382
702 - Police Pension 537,964 6,192,000 6,011,449 180,551 718,515 718,515 6,010,895 5,986,400 24,495 743,011
9 Pension Trust Funds Total 880,350 10,800,949 10,537,746 263,203 1,143,553 1,143,553 10,618,490 10,511,650 106,840 1,250,393
City Funds Total 338,933,735 412,121,146 567,716,481 (155,595,335) 183,338,400 183,338,400 421,622,976 437,446,265 (15,823,289) 167,515,111
Redevelopment Commission Controlled Funds
6 Tax Increment Financing
324 - TIF - River West Development Area 28,107,758 28,442,097 37,210,608 (8,768,512) 19,339,246 19,339,246 23,254,802 1,979,390 21,275,412 40,614,658
422 - TIF - West Washington 1,346,604 717,125 1,740,000 (1,022,875) 323,729 323,729 351,280 - 351,280 675,009 429 - TIF - River East Development Area (NE Dev)21,696,392 7,991,300 15,792,214 (7,800,914) 13,895,478 13,895,478 7,962,536 2,745,125 5,217,411 19,112,889 430 - TIF - Southside Development Area #1 8,620,393 3,778,416 5,972,741 (2,194,325) 6,426,069 6,426,069 3,778,416 - 3,778,416 10,204,485 435 - TIF - Douglas Road 980,537 425,820 423,175 2,645 983,182 983,182 425,820 - 425,820 1,409,002
436 - TIF - River East Residential (NE Res)10,131,628 8,172,462 5,082,296 3,090,166 13,221,794 13,221,794 8,172,462 4,538,248 3,634,214 16,856,007 6 Tax Increment Financing Total 70,883,312 49,527,220 66,221,035 (16,693,815) 54,189,497 54,189,497 43,945,316 9,262,763 34,682,553 88,872,050
7 Redevelopment Capital & Debt Service
315 - Airport 2003 Debt Reserve 83,630 7,084 - 7,084 90,714 90,714 - - - 90,714
328 - SBCDA 2003 Debt Reserve 139,816 11,844 - 11,844 151,660 151,660 224 - 224 151,884
351 - 2018 TIF Park Bond Debt Service 1,123,677 24,970 - 24,970 1,148,647 1,148,647 43,836 - 43,836 1,192,482
352 - 2019 South Shore Double Tracking Debt Service 25,452 1,030,838 1,030,125 713 26,165 26,165 1,030,713 1,030,000 713 26,878
353 - 2020 TIF Library Bond Debt Service Reserve 326,969 6,670 - 6,670 333,639 333,639 6,670 - 6,670 340,309
433 - Redevelopment General 3,445,064 2,378,424 3,012,835 (634,411) 2,810,653 2,810,653 3,574,424 759,513 2,814,912 5,625,565
439 - Certified Technology Park 12,091 269 - 269 12,360 12,360 230 - 230 12,590
452 - 2018 TIF Park Bond Capital 172,746 3,060 76,676 (73,616) 99,130 99,130 3,455 - 3,455 102,585 454 - Airport Urban Enterprise Zone 445,232 9,894 - 9,894 455,126 455,126 8,461 - 8,461 463,587 456 - Redev Auth Lease Rental Revenue Bonds - Series 2023A 23,307,350 355,983 15,334,963 (14,978,980) 8,328,370 8,328,370 - - - 8,328,370 457 - 2024 RDA Lease Rental Revenue Bond Series B 17,448,598 216,306 17,136,840 (16,920,534) 528,064 528,064 - - - 528,064
458 - 2024 RDA Bond Proceeds (Four Winds)44,187,441 534,298 43,538,668 (43,004,370) 1,183,071 1,183,071 - - - 1,183,071 7 Redevelopment Capital & Debt Service Total 90,718,067 4,579,639 80,130,107 (75,550,468) 15,167,598 15,167,598 4,668,012 1,789,513 2,878,500 18,046,098
Redevelopment Commission Controlled Funds Total 161,601,378 54,106,859 146,351,142 (92,244,283) 69,357,095 69,357,095 48,613,328 11,052,276 37,561,053 106,918,148
Grand Total 500,535,113 466,228,005 714,067,623 (247,839,618) 252,695,495 252,695,495 470,236,305 448,498,541 21,737,764 274,433,259
Note: Refer to individual Fund Summaries for further details.
2025 Amended Budget
Changes in Fund Balance
2026 Adopted Budget
City of South Bend, Indiana 2026 Budget
Page 60
Revenue by Type
01 - Property Taxes
02 - Local
Income Taxes
03 - Intergov./
Shared Revenues
04 -
Intergov./ Grants
05 -
Licenses & Permits 06 - Charges for Services
07 - Fines,
Forfeitures, and Fees
08 -
Interest Earnings 09 - Donations 10 - Other Income 11 - Debt Proceeds 12 - PILOT
13 - Interfund
Allocation Reimb
14 -
Interfund Transfers In Total Revenues
City Funds1 Governmental101 - General Fund 54,210,733 13,354,067 2,687,097 - 273,512 6,637,247 5,000 1,826,631 - 611,600 2,882,000 5,975,482 11,879,904 1,375,000 101,718,272
102 - Rainy Day - - - - - - - 236,725 - - - - - - 236,725 201 - Parks & Recreation 12,716,098 - 1,510,409 - 360 5,406,788 - 239,385 294,000 199,214 1,415,383 - - 2,300,000 24,081,637
202 - Motor Vehicle Highway - - 3,224,147 - - 163,300 - 122,149 - 81,500 3,600,000 - 105,133 9,700,000 16,996,229
209 - Studebaker-Oliver Revitalizing Grants - - - - - - - 12,788 - - - - - - 12,788 210 - Economic Development State Grants - - - - - - - - - - - - - - -
211 - Dept of Community Investment Operating - - - - - 473,120 71,700 12,262 - 52,900 - - - 3,400,000 4,009,982 212 - Dept of Community Investment Grants - - - 3,217,882 - - - 10,030 - 5,000 - - - - 3,232,912 216 - Police State Seizures - - - - - - - 5,909 - - - - - - 5,909
217 - Gift, Donation, Bequest - - - - - - - 251,492 7,020,000 - - - - - 7,271,492 219 - Unsafe Building - - - - - - 85,600 41,520 - - - - - - 127,120 220 - Law Enforcement Continuing Education - - - - - 115,000 - 12,747 - - - - - - 127,747
221 - Rental Units Regulation - - - - - - 169,000 28,017 - - - - - - 197,017 227 - Loss Recovery - - - - - - - 60,377 - - - - - - 60,377
230 - Code Enforcement Fund - - - - 19,000 41,530 175,400 - - 170 - - - 5,600,000 5,836,100 249 - Local Income Tax - Public Safety - 12,844,698 - - - - - 129,414 - - - - - - 12,974,112 251 - Local Road & Street - - 2,020,190 55,000 - - - 43,834 - - - - - - 2,119,024
257 - LOIT Special Distribution - - - - - - - 1,315 - - - - - - 1,315 258 - Human Rights Federal Grants - - - 147,700 - - - 11,534 - - - - - - 159,234 263 - American Rescue Plan - - - - - - - 19,616 - - - - - - 19,616
264 - COVID-19 Response - - - - - - - - - - - - - - - 265 - Local Road & Bridge Grant - - - 1,500,000 - - - - - - - - - - 1,500,000
266 - MVH Restricted Fund - - 3,224,147 - - - - 66,320 - - - - - - 3,290,467
287 - Fire Department Capital - - - 50,000 - 2,336,048 - 54,397 - - 1,690,000 - - - 4,130,445 289 - Haz-Mat - - - - - 5,000 - 744 - - - - - - 5,744
291 - Indiana River Rescue - - - - - 125,000 - 12,595 - - - - - - 137,595 295 - COPS MORE Grant - - - - - - - 418 - - - - - - 418 299 - Police Federal Drug Enforcement - - 80,000 - - - - 6,682 - - - - - - 86,682
312 - 2017 Parks Bond Debt Service 1,131,367 - 29,573 - - - - 3,272 - - - - - - 1,164,212 350 - 2018 Fire Station #9 Bond Debt Service - - - - - - - - - - - - - 342,756 342,756
401 - Coveleski Stadium Capital - - - - - 31,611 - 220 - - - - - - 31,831
404 - Local Income Tax - Certified Shares - - - - - - - 15,737 - - - - - - 15,737 406 - Cumulative Capital Development 773,121 - 34,157 - - - - 10,359 - - - - - - 817,637
407 - Cumulative Capital Improvement - - 174,287 - - - - 8,646 - - - - - - 182,933 408 - Local Income Tax - Economic Development - 18,191,548 - 35,500 - - - 590,805 - - - - - - 18,817,853 410 - Urban Development Action Grant - - - - - - - 1,438 - - - - - - 1,438
412 - Major Moves Construction - - - - - - - 18,513 - - - - - - 18,513 413 - Professional Sports Convention Development Area - - 5,000,000 - - - - 68,879 - - - - - - 5,068,879
416 - Morris Performing Arts Center Capital - - - - - - - 117,449 - - - - - - 117,449
450 - Palais Royale Historic Preservation - - - - - 16,000 - 3,036 - - - - - - 19,036 451 - 2018 Fire Station #9 Bond Capital - - - - - - - 6,858 - - - - - - 6,858
453 - Zoo Bond Capital - - - - - - - - - - - - - - - 455 - 2021 Infrastructure Bond Capital - - - - - - - 13,472 - - - - - - 13,472 471 - 2017 Parks Bond Capital - - - - - - - 17,088 - - - - - - 17,088
655 - Project ReLeaf - - - - - 456,126 - 10,848 - - - - - - 466,974 672 - Century Center Energy Conservation Debt Svc - - 221,437 - - - - 3,041 - 47,365 - - - 115,254 387,097 730 - City Cemetery - - - - - - - 656 - - - - - - 656
731 - Bowman Cemetery - - - - - - - 10,314 - - - - - - 10,314 752 - South Bend Redevelopment Authority - - - - - - - 263,522 - - - - - 12,242,206 12,505,728
754 - Industrial Revolving Fund - - - - - - - 224,450 - 1,572,200 - - - - 1,796,650 755 - South Bend Building Corporation - - - - - - - 4,988 - - - - - 1,436,855 1,441,843 756 - 2015 Smart Streets Bond Debt Service - - - - - - - 35,128 - - - - - 1,705,819 1,740,947
757 - 2015 Parks Bond Debt Service - - - - - - - 11,886 - - - - - 373,231 385,117 759 - 2017 Eddy Street Commons Bond Capital - - - - - - - 515 - - - - - - 515 760 - 2017 Eddy Street Commons Bond Debt Service - - - - - - - 73,383 - - - - - 1,951,250 2,024,633
1 Governmental Total 68,831,319 44,390,313 18,205,443 5,006,082 292,872 15,806,770 506,700 4,721,406 7,314,000 2,569,949 9,587,383 5,975,482 11,985,037 40,542,372 235,735,127
2026 Adopted Budget - Revenues by Type
City of South Bend, Indiana 2026 Budget
Page 61
01 - Property Taxes
02 - Local Income Taxes
03 - Intergov./ Shared Revenues
04 - Intergov./ Grants
05 - Licenses & Permits 06 - Charges for Services
07 - Fines, Forfeitures, and Fees
08 - Interest Earnings 09 - Donations 10 - Other Income 11 - Debt Proceeds 12 - PILOT
13 -
Interfund Allocation Reimb
14 - Interfund Transfers In Total Revenues
2 Proprietary
222 - Central Services - - - - 2,200 11,872,140 - - - 59,500 - - 247,471 - 12,181,311 226 - Liability Insurance - - - - - - - 146,446 - - - - 3,881,163 - 4,027,609 278 - Police Take Home Vehicle - - - - - 50,000 - 19,322 - - - - - - 69,322
279 - IT / Innovation / 311 Call Center - - - - - - - 125,012 - - - - 14,762,208 - 14,887,220 600 - Consolidated Building Fund - - - - 3,352,350 - 5,150 156,477 - 3,100 - - - - 3,517,077 601 - Parking Garages - - - - - 1,528,855 48,000 9,657 - - - - 290,740 - 1,877,252
602 - Morris Performing Arts Center Operations - - - - - 1,933,000 - 16,800 150,000 58,600 - - - - 2,158,400
610 - Solid Waste Operations - - - - - 8,256,538 - 18,478 - 45,000 - - - - 8,320,016 611 - Solid Waste Capital - - - - - - - 51,261 - - 2,400,000 - - 1,504,870 3,956,131
620 - Water Works Operations - - - - - 21,693,111 - - - 18,055 - - 1,967,892 - 23,679,058
622 - Water Works Capital - - - - - 210,000 - 498,140 - 14,379 17,000,000 - - 2,000,000 19,722,519 624 - Water Works Customer Deposit - - - - - - - 28,036 - - - - - - 28,036 625 - Water Works Sinking (Debt Service)- - - - - - - 40,783 - - - - - 2,283,991 2,324,774
626 - Water Works Bond Reserve - - - - - - - 33,547 - - - - - 128,268 161,815 629 - Water Works Operations & Maintenance Reserve - - - - - - - 63,266 - - - - - - 63,266 640 - Sewer Repair Insurance - - - - - 666,095 - 25,175 - - - - - - 691,270
641 - Sewage Works Operations - - - - - 43,763,012 - 684,664 - 4,600 - - 380,037 - 44,832,313
642 - Sewage Works Capital - - - - - 339,000 - 106,837 - - - - - 2,900,000 3,345,837 643 - Sewage Works Operations & Maintenance Reserve - - - - - - - 119,939 - - - - - - 119,939
649 - Sewage Sinking (Debt Service)- - - - - - - 400 - - - - - 5,643,380 5,643,780
653 - Sewage Debt Service Reserve - - - - - - - 94,463 - - - - - 377,724 472,187 654 - Sewage Works Customer Deposit - - - - - - - 30,936 - - - - - - 30,936 667 - Storm Sewer Fund - - - - - 1,147,200 - 31,551 - - - - - - 1,178,751
670 - Century Center Operations - - 1,400,000 - - - - 64,562 - 226,784 - - - - 1,691,346 671 - Century Center Capital - - 800,000 - - - - 20,467 - - - - - - 820,467 711 - Self-Funded Employee Benefits - - - - - 18,082,500 - 184,659 - 800,000 - - - - 19,067,159
713 - Unemployment Compensation - - - - - 85,000 - 33 - - - - - - 85,033
714 - Parental Leave Fund - - - - - 297,000 - 19,534 - - - - - - 316,534 2 Proprietary Total - - 2,200,000 - 3,354,550 109,923,451 53,150 2,590,446 150,000 1,230,018 19,400,000 - 21,529,511 14,838,233 175,269,359
4 Fiduciary701 - Fire Pension - - 4,600,000 - - - - 7,595 - - - - - - 4,607,595 702 - Police Pension - - 6,000,000 - - - - 10,895 - - - - - - 6,010,895
4 Fiduciary Total - - 10,600,000 - - - - 18,490 - - - - - - 10,618,490
City Funds Total 68,831,319 44,390,313 31,005,443 5,006,082 3,647,422 125,730,221 559,850 7,330,342 7,464,000 3,799,967 28,987,383 5,975,482 33,514,548 55,380,604 421,622,976
Redevelopment Commission Controlled Funds3 Redevelopment Funds
315 - Airport 2003 Debt Reserve - - - - - - - - - - - - - - -
324 - TIF - River West Development Area 20,984,804 - 385,000 610,000 - - - 1,086,498 - 188,500 - - - - 23,254,802 328 - SBCDA 2003 Debt Reserve - - - - - - - 224 - - - - - - 224 351 - 2018 TIF Park Bond Debt Service - - - - - - - 43,836 - - - - - - 43,836
352 - 2019 South Shore Double Tracking Debt Service - - - - - - - 713 - - - - - 1,030,000 1,030,713 353 - 2020 TIF Library Bond Debt Service Reserve - - - - - - - 6,670 - - - - - - 6,670 422 - TIF - West Washington 301,306 - - - - - - 49,974 - - - - - - 351,280
429 - TIF - River East Development Area (NE Dev)7,483,422 - - - - - - 479,114 - - - - - - 7,962,536
430 - TIF - Southside Development Area #1 3,369,158 - - - - - - 409,258 - - - - - - 3,778,416 433 - Redevelopment General - - 385,000 - - - - 114,424 1,575,000 - - - - 1,500,000 3,574,424
435 - TIF - Douglas Road 402,862 - - - - - - 22,958 - - - - - - 425,820
436 - TIF - River East Residential (NE Res)7,897,678 - - - - - - 274,784 - - - - - - 8,172,462 439 - Certified Technology Park - - - - - - - 230 - - - - - - 230 452 - 2018 TIF Park Bond Capital - - - - - - - 3,455 - - - - - - 3,455
454 - Airport Urban Enterprise Zone - - - - - - - 8,461 - - - - - - 8,461 3 Redevelopment Funds Total 40,439,230 - 770,000 610,000 - - - 2,500,598 1,575,000 188,500 - - - 2,530,000 48,613,328
Redevelopment Commission Controlled Funds Total 40,439,230 - 770,000 610,000 - - - 2,500,598 1,575,000 188,500 - - - 2,530,000 48,613,328
Total Revenues 109,270,549 44,390,313 31,775,443 5,616,082 3,647,422 125,730,221 559,850 9,830,941 9,039,000 3,988,467 28,987,383 5,975,482 33,514,548 57,910,604 470,236,305
2026 Adopted Budget - Revenues by Type
City of South Bend, Indiana 2026 Budget
Page 62
Expenditures by Type
01 - Salaries & Wages 02 - Fringe Benefits
03 - Other Personnel Costs 04 - Supplies
05 - Professional Services
06 - Repairs & Maintenance
07 - Grants & Subsidies 08 - Utilities
09 - Printing & Advertising 10 - Insurance
11 - Education & Training 12 - Travel 13 - Bad Debt
14 - Other Services & Charges 15 - Capital
16 - Debt Service Principal
17 - Debt Service Interest & Fees 18 - PILOT
19 - Interfund Allocations
20 - Interfund Transfers Out Total ExpendituresCity Controlled Funds1 General Plus Funds101 - General Fund 48,453,519 24,391,521 - 3,384,733 2,227,778 2,557,500 460,000 2,179,430 201,213 - 306,956 105,430 - 1,232,715 2,816,000 2,533,363 302,369 - 12,484,835 4,900,000 108,537,362 249 - Local Income Tax - Public Safety 14,761,236 - - - - - - - - - - - - - - - - - - - 14,761,236 404 - Local Income Tax - Certified Shares - - - - - - - - - - - - - - - - - - - - - 408 - Local Income Tax - Economic Development - - - - 158,000 400,000 1,940,000 349,000 3,500 - - - - 550,000 - 220,000 108,750 - - 16,819,931 20,549,181
1 General Plus Funds Total 63,214,755 24,391,521 - 3,384,733 2,385,778 2,957,500 2,400,000 2,528,430 204,713 - 306,956 105,430 - 1,782,715 2,816,000 2,753,363 411,119 - 12,484,835 21,719,931 143,847,780
2 Special Revenue Funds201 - Parks & Recreation 9,350,240 3,134,402 - 1,917,218 648,825 796,000 440,000 955,300 1,028,500 - 75,350 45,200 - 893,961 1,070,383 722,004 92,101 - 2,890,074 - 24,059,559 202 - Motor Vehicle Highway 4,315,812 1,856,392 - 1,487,304 1,650,000 1,080,163 - 55,000 2,000 - 20,000 15,000 - 155,940 3,600,000 2,395,998 320,933 - 1,962,463 - 18,917,005
209 - Studebaker-Oliver Revitalizing Grants - - - - 30,000 - - - - - - - - - - - - - - - 30,000 210 - Economic Development State Grants - - - - - - - - - - - - - - - - - - - - - 211 - Dept of Community Investment Operating 2,222,285 840,683 - 40,510 555,750 1,750 - - 14,500 - 6,100 10,500 - 20,650 - - - - 948,151 - 4,660,879 212 - Dept of Community Investment Grants - - - - - - 2,745,419 - - - - - - - - - - - - - 2,745,419 216 - Police State Seizures - - - - - - - - - - 10,000 - - 12,000 - - - - - - 22,000
217 - Gift, Donation, Bequest - - - - 70,000 12,000 9,000 - 5,250 - - - - - - - - - - - 96,250 219 - Unsafe Building - - - - 25,000 - - - - - - - - - - - - - - - 25,000 220 - Law Enforcement Continuing Education - - - 280,000 - - - - - - 175,000 75,000 - 59,250 - - - - - - 589,250 221 - Rental Units Regulation - - - - 30,000 - - - - - - - - - - - - - - - 30,000 227 - Loss Recovery - - - - - - - - - - - - - 210,000 - - - - - - 210,000
230 - Code Enforcement Fund 2,765,410 1,261,670 - 218,650 92,300 348,000 - 41,000 17,897 - 14,000 10,000 - 151,300 73,000 344,871 30,923 - 1,078,289 - 6,447,309 251 - Local Road & Street - - - - 80,000 470,000 - - - - - - - - 200,000 - - - - - 750,000 257 - LOIT Special Distribution - - - - - - - - - - - - - - - - - - - - - 258 - Human Rights Federal Grants 154,268 60,710 - 8,900 24,900 600 - - 29,000 - 10,000 16,000 - 80,500 - - - - - - 384,878 263 - American Rescue Plan - - - - - - - - - - - - - - - - - - - - -
264 - COVID-19 Response - - - - - - - - - - - - - - - - - - - - - 265 - Local Road & Bridge Grant - - - - - 3,000,000 - - - - - - - - - - - - - - 3,000,000 266 - MVH Restricted Fund 407,517 154,460 - 1,499,350 - 406,355 - - - - - - - - - 182,137 5,392 - - - 2,655,211 289 - Haz-Mat - - - - - - - - - - - - - - - - - - - - - 291 - Indiana River Rescue - - - - - - - - - - - - - - - - - - - - -
295 - COPS MORE Grant - - - - - - - - - - - - - - - - - - - - - 299 - Police Federal Drug Enforcement - - - - - - - - - - - - - - - - - - - - - 410 - Urban Development Action Grant - - - - - - - - - - - - - - - - - - - - - 655 - Project ReLeaf 114,312 8,745 - 5,500 - - - - - - - - 6,500 - - - - - 21,121 300,000 456,177 730 - City Cemetery - - - - - - - - - - - - - - - - - - - - -
731 - Bowman Cemetery - - - - - - - - - - - - - - - - - - - - - 754 - Industrial Revolving Fund - - - - 25,500 - - - - - - - - 31,000 - - - - - - 56,500 2 Special Revenue Funds Total 19,329,844 7,317,061 - 5,457,432 3,232,275 6,114,868 3,194,419 1,051,300 1,097,147 - 310,450 171,700 6,500 1,614,601 4,943,383 3,645,010 449,349 - 6,900,098 300,000 65,135,437
3 Capital & Debt Service Funds
287 - Fire Department Capital - - - - - - - - - - - - - - 1,190,000 1,408,952 170,479 - - 1,554,249 4,323,679 312 - 2017 Parks Bond Debt Service - - - - - - - - - - - - - - - 940,000 233,390 - - - 1,173,390 350 - 2018 Fire Station #9 Bond Debt Service - - - - - - - - - - - - - - - 235,000 107,756 - - - 342,756 401 - Coveleski Stadium Capital - - - - - - - - - - - - - - - - - - - - -
406 - Cumulative Capital Development - - - - - - - - - - - - - - - - - - - 500,000 500,000 407 - Cumulative Capital Improvement - - - - - - - - - - - - - - - - - - - 75,000 75,000 412 - Major Moves Construction - - - - - - - - - - - - - - - - - - - - - 413 - Professional Sports Convention Development Area - - - - - - - - - - - - - - - - - - - 3,260,500 3,260,500 416 - Morris Performing Arts Center Capital - - - - - - - - - - - - - - - - - - - - -
450 - Palais Royale Historic Preservation - - - - - - - - - - - - - - - - - - - - - 451 - 2018 Fire Station #9 Bond Capital - - - - - - - - - - - - - - - - - - - - - 453 - Zoo Bond Capital - - - - - - - - - - - - - - - - - - - - - 455 - 2021 Infrastructure Bond Capital - - - - - - - - - - - - - - - - - - - - - 456 - 2023A RDA Bonds - - - - - - - - - - - - - - - - - - - - -
457 - 2024B RDA Bonds - - - - - - - - - - - - - - - - - - - - - 458 - 2024A RDA Bonds - - - - - - - - - - - - - - - - - - - - -
471 - 2017 Parks Bond Capital - - - - - - - - - - - - - - - - - - - - - 672 - Century Center Energy Conservation Debt Svc - - - - - - - - - - - - - - - 321,964 62,093 - - - 384,057 752 - South Bend Redevelopment Authority - - - - - - - - - - - - - - - 4,990,000 4,410,546 - - - 9,400,546 755 - South Bend Building Corporation - - - - - - - - - - - - - - - 995,000 441,855 - - - 1,436,855 756 - 2015 Smart Streets Bond Debt Service - - - - - - - - - - - - - - - 1,190,000 517,819 - - - 1,707,819
757 - 2015 Parks Bond Debt Service - - - - - - - - - - - - - - - 260,000 113,231 - - - 373,231 759 - 2017 Eddy Street Commons Bond Capital - - - - - - - - - - - - - - - - - - - - - 760 - 2017 Eddy Street Commons Bond Debt Service - - - - - - - - - - - - - - - 905,000 1,046,250 - - - 1,951,250 3 Capital & Debt Service Funds Total - - - - - - - - - - - - - - 1,190,000 11,245,916 7,103,418 - - 5,389,749 24,929,083
2026 Adopted Budget - Expenditures by Type
City of South Bend, Indiana 2026 Budget
Page 63
01 - Salaries
& Wages
02 - Fringe
Benefits
03 - Other Personnel
Costs
04 -
Supplies
05 - Professional
Services
06 - Repairs &
Maintenance
07 - Grants &
Subsidies
08 -
Utilities
09 - Printing &
Advertising
10 -
Insurance
11 - Education
& Training
12 -
Travel
13 - Bad
Debt
14 - Other Services &
Charges 15 - Capital
16 - Debt Service
Principal
17 - Debt Service Interest &
Fees 18 - PILOT
19 - Interfund
Allocations
20 - Interfund Transfers
Out
Total
Expenditures4 Internal Service Funds222 - Central Services 2,747,565 1,165,216 - 6,645,791 70,383 245,537 - 80,881 - - 15,919 4,482 - 35,156 154,000 - - - 989,211 - 12,154,141 226 - Liability Insurance - - 48,500 - 363,000 - - - - 2,370,000 - - - 1,250,000 - - - - - - 4,031,500 278 - Police Take Home Vehicle - - - - - - - - - - - - - - - - - - - - -
279 - IT / Innovation / 311 Call Center 3,717,275 1,473,752 - 490,200 845,000 7,422,711 - - 15,000 - 52,000 49,100 - 341,157 - 561,322 37,841 - 53,452 - 15,058,810 711 - Self-Funded Employee Benefits - - 17,324,500 150,000 1,410,000 - - - 100 606,403 - - - 1,500 - - - - - - 19,492,503 713 - Unemployment Compensation - - 82,500 - - - - - - - - - - - - - - - - - 82,500 714 - Parental Leave Fund 100,000 - - - - - - - - - - - - - - - - - - - 100,000 4 Internal Service Funds Total 6,564,840 2,638,969 17,455,500 7,285,991 2,688,383 7,668,248 - 80,881 15,100 2,976,403 67,919 53,582 - 1,627,813 154,000 561,322 37,841 - 1,042,663 - 50,919,455
5 Enterprise Funds600 - Consolidated Building Fund 1,068,954 468,209 - 23,000 8,000 29,743 - - 4,200 - 6,000 6,000 1,000 30,050 80,000 - - - 306,007 - 2,031,163 601 - Parking Garages - - 699,627 91,456 126,120 54,000 - 134,400 - 16,724 - - - 55,122 50,000 - - - 162,199 - 1,389,648 602 - Morris Performing Arts Center Operations 578,495 227,004 - 95,360 87,000 162,000 - 237,000 176,000 - 12,000 7,000 - 98,500 - - - - 380,545 - 2,060,903
610 - Solid Waste Operations 1,504,929 712,359 - 539,671 - 1,527,000 - - 5,615 - 15,000 7,500 150,000 1,385,500 - - - - 1,657,107 1,504,870 9,009,550 611 - Solid Waste Capital - - - - - - - - - - - - - - 1,360,250 1,365,562 139,308 - - - 2,865,120 620 - Water Works Operations 4,446,799 1,657,344 - 2,007,303 1,573,030 681,297 - 959,097 22,500 - 34,626 10,000 300,000 3,595,017 - - - 1,575,974 3,757,138 4,412,259 25,032,384 622 - Water Works Capital - - - - 95,000 - - - - - - - - - 33,121,550 - - - - - 33,216,550 624 - Water Works Customer Deposit - - - - - - - - - - - - - - - - - - - - -
625 - Water Works Sinking (Debt Service)- - - - - - - - - - - - - - - 1,622,829 661,162 - - - 2,283,991 626 - Water Works Bond Reserve - - - - - - - - - - - - - - - - - - - - - 629 - Water Works Operations & Maintenance Reserve - - - - - - - - - - - - - - - - - - - - - 640 - Sewer Repair Insurance 152,952 63,633 - 64,025 - 900,000 - - - - - - 6,500 - - - - - 122,233 - 1,309,343 641 - Sewage Works Operations 6,522,100 2,762,212 - 4,111,629 254,927 3,155,764 - 1,798,005 6,470 - 58,720 40,000 425,000 4,318,661 - - - 4,399,508 6,649,209 8,921,104 43,423,310
642 - Sewage Works Capital - - - - - - - - - - - - - - 11,320,000 - - - - - 11,320,000 649 - Sewage Sinking (Debt Service)- - - - - - - - - - - - - - - 4,116,000 1,513,113 - - - 5,629,113 653 - Sewage Debt Service Reserve - - - - - - - - - - - - - - - - - - - - - 654 - Sewage Works Customer Deposit - - - - - - - - - - - - - - - - - - - - - 667 - Storm Sewer Fund 58,350 26,492 - - - - - - - - - - 28,000 - 1,240,000 - - - - - 1,352,842
670 - Century Center Operations 169,344 57,440 - - - - - - - - - - - - - - - - - 117,160 343,944 671 - Century Center Capital - - - - - - - - - - - - - - 835,000 - - - - - 835,000 5 Enterprise Funds Total 14,501,923 5,974,693 699,627 6,932,443 2,144,078 6,509,804 - 3,128,503 214,785 16,724 126,346 70,500 910,500 9,482,850 48,006,800 7,104,391 2,313,582 5,975,482 13,034,438 14,955,393 142,102,861
9 Pension Trust Funds
701 - Fire Pension 4,508,000 - - 100 15,400 - - - - - - 350 - 1,400 - - - - - - 4,525,250 702 - Police Pension 5,975,000 - - - 9,500 - - - - - - 500 - 1,400 - - - - - - 5,986,400 9 Pension Trust Funds Total 10,483,000 - - 100 24,900 - - - - - - 850 - 2,800 - - - - - - 10,511,650
City Controlled Funds Total 114,094,362 40,322,245 18,155,127 23,060,699 10,475,414 23,250,420 5,594,419 6,789,114 1,531,745 2,993,127 811,671 402,062 917,000 14,510,779 57,110,183 25,310,002 10,315,309 5,975,482 33,462,034 42,365,073 437,446,265
Redevelopment Commission Controlled Funds6 Tax Increment Financing324 - TIF - River West Development Area - - - - 668,000 - - - - - - - - - - 1,040,000 271,390 - - - 1,979,390 422 - TIF - West Washington - - - - - - - - - - - - - - - - - - - - -
429 - TIF - River East Development Area (NE Dev)- - - - - - - - - - - - - - - - - - - 2,745,125 2,745,125 430 - TIF - Southside Development Area #1 - - - - - - - - - - - - - - - - - - - - - 435 - TIF - Douglas Road - - - - - - - - - - - - - - - - - - - - - 436 - TIF - River East Residential (NE Res)- - - - - - - - - - - - - - - 113,360 7,532 - - 4,417,356 4,538,248 6 Tax Increment Financing Total - - - - 668,000 - - - - - - - - - - 1,153,360 278,922 - - 7,162,481 9,262,763
7 Redevelopment Capital & Debt Service315 - Airport 2003 Debt Reserve - - - - - - - - - - - - - - - - - - - - - 328 - SBCDA 2003 Debt Reserve - - - - - - - - - - - - - - - - - - - - -
352 - 2019 South Shore Double Tracking Debt Service - - - - - - - - - - - - - - - 835,000 195,000 - - - 1,030,000 353 - 2020 TIF Library Bond Debt Service Reserve - - - - - - - - - - - - - - - - - - - - - 433 - Redevelopment General - - - - 4,500 - - - - - - - - - - - - - - 755,013 759,513 439 - Certified Technology Park - - - - - - - - - - - - - - - - - - - - - 452 - 2018 TIF Park Bond Capital - - - - - - - - - - - - - - - - - - - - -
454 - Airport Urban Enterprise Zone - - - - - - - - - - - - - - - - - - - - - 7 Redevelopment Capital & Debt Service Total - - - - 4,500 - - - - - - - - - - 835,000 195,000 - - 755,013 1,789,513
Redevelopment Commission Controlled Funds Total - - - - 672,500 - - - - - - - - - - 1,988,360 473,922 - - 7,917,494 11,052,276
Total Expenditures 114,094,362 40,322,245 18,155,127 23,060,699 11,147,914 23,250,420 5,594,419 6,789,114 1,531,745 2,993,127 811,671 402,062 917,000 14,510,779 57,110,183 27,298,362 10,789,232 5,975,482 33,462,034 50,282,566 448,498,541
2026 Adopted Budget - Expenditures by Type
City of South Bend, Indiana 2026 Budget
Page 64
Consolidated Financial Schedules
2023 2024
2025
Adopted 2025 Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
01 - Property Taxes 98,454,891 111,753,843 108,764,709 112,752,271 109,270,549 111,455,960 113,685,079 115,958,781 118,277,956 (3,481,722) -3%
02 - Local Income Taxes 44,541,700 47,813,789 43,460,144 42,279,598 44,390,313 46,165,926 48,012,563 49,933,065 51,930,388 2,110,715 5%
03 - Intergov./ Shared Revenues 28,646,886 32,685,750 31,075,792 31,576,978 31,775,443 31,775,443 31,775,443 31,775,443 31,775,443 198,465 1%
04 - Intergov./ Grants 10,223,449 8,633,889 5,592,512 11,099,031 5,616,082 5,616,082 5,616,082 5,616,082 5,616,082 (5,482,949) -49%
05 - Licenses & Permits 2,348,304 4,163,304 2,588,372 2,779,440 3,647,422 3,647,422 3,647,422 3,647,422 3,647,422 867,982 31%
06 - Charges for Services 114,804,134 120,285,788 122,732,256 123,784,895 125,730,221 125,646,731 125,647,832 125,648,967 125,650,136 1,945,326 2%
07 - Fines, Forfeitures, and Fees 823,566 977,036 781,840 782,419 559,850 559,850 559,850 559,850 559,850 (222,569) -28%
08 - Interest Earnings 10,777,090 16,804,146 6,256,231 11,110,686 9,830,941 7,507,800 5,244,134 5,539,022 5,539,022 (1,279,745) -12%
09 - Donations 8,194,935 13,468,067 1,393,000 2,920,318 9,039,000 2,039,000 2,039,000 2,039,000 2,039,000 6,118,682 210%
10 - Other Income 14,201,773 9,680,364 3,709,079 4,214,681 3,988,467 3,995,754 3,995,754 3,995,754 3,995,754 (226,214) -5%
11 - Debt Proceeds 40,047,853 90,948,752 18,063,997 18,533,997 28,987,383 27,572,000 27,572,000 27,572,000 27,572,000 10,453,386 56%
12 - PILOT 6,095,594 6,024,186 5,765,661 5,765,661 5,975,482 5,975,482 5,975,482 5,975,482 5,975,482 209,821 4%
13 - Interfund Allocation Reimb 26,659,591 30,402,622 32,782,959 32,782,959 33,514,548 34,555,624 35,562,256 36,599,088 37,667,024 731,589 2%
14 - Interfund Transfers In 57,096,116 51,340,621 64,177,906 65,845,071 57,910,604 33,510,596 28,877,431 28,267,445 27,883,622 (7,934,467) -12%
Total Revenues 462,915,882 544,982,156 447,144,458 466,228,005 470,236,305 440,023,670 438,210,328 443,127,401 448,129,181 4,008,300 1%
Expenditures by Department
01 - Mayor's Office 1,029,047 1,153,035 1,391,226 1,392,763 1,366,859 1,346,849 1,379,554 1,413,101 1,447,513 (25,904) -2%
02 - City Clerk 550,428 539,960 626,828 649,328 572,863 573,205 585,859 598,838 612,148 (76,464) -12%
03 - Common Council 650,968 607,821 1,013,369 1,115,064 862,952 757,071 771,302 785,898 800,867 (252,112) -23%
04 - Administration & Finance 65,826,564 70,254,028 54,286,699 85,918,542 57,478,663 59,200,135 61,278,317 63,791,857 66,359,723 (28,439,879) -33%
05 - Legal Department 1,581,443 1,804,101 2,117,787 2,199,109 2,058,016 2,137,015 2,189,858 2,244,058 2,299,648 (141,093) -6%
06 - Public Works 119,843,028 121,607,625 164,405,898 221,517,717 177,894,543 131,218,493 129,192,564 119,002,748 118,494,681 (43,623,174) -20%
07 - Innovation & Technology 9,544,684 12,510,360 15,012,050 18,175,507 15,058,810 13,568,947 13,876,466 13,669,691 13,809,475 (3,116,697) -17%
08 - Police Department 54,669,905 56,159,350 60,609,393 62,730,906 63,686,661 67,021,014 68,116,051 67,347,648 68,415,200 955,756 2%
09 - Fire Department 45,634,344 45,663,321 48,794,393 53,579,511 51,229,499 52,646,461 53,381,198 54,990,932 55,813,757 (2,350,011) -4%
10 - Dept of Community Investment 81,359,943 116,995,320 49,285,505 154,012,975 42,870,364 59,986,844 61,010,179 56,630,213 39,968,057 (111,142,610) -72%
11 - Venues, Parks & Arts 49,014,204 48,028,818 40,740,329 112,776,202 35,419,309 38,084,400 37,274,355 37,663,526 38,118,544 (77,356,893) -69%
Total Expenditures by Dept 429,704,556 475,323,739 438,283,476 714,067,623 448,498,541 426,540,433 429,055,704 418,138,510 406,139,613 (265,569,082) -37%
01 - Personnel 140,983,492 148,248,734 172,030,120 172,289,725 172,571,733 176,451,524 181,289,688 186,271,516 191,401,742 282,009 0%
01 - Salaries & Wages 94,220,231 98,914,014 110,994,074 111,424,013 114,094,362 115,240,333 118,121,341 121,074,374 124,101,234 2,670,348 2%
02 - Fringe Benefits 28,649,864 30,351,218 40,569,874 40,443,790 40,322,245 40,717,899 41,735,830 42,779,209 43,848,673 (121,546) 0%
03 - Other Personnel Costs 18,113,397 18,983,502 20,466,172 20,421,921 18,155,127 20,493,293 21,432,517 22,417,933 23,451,836 (2,266,794) -11%
02 - Supplies 20,562,547 22,114,252 25,565,097 28,184,868 23,052,299 24,660,908 25,549,239 26,708,936 27,992,425 (5,132,569) -18%
04 - Supplies 20,562,547 22,114,252 25,565,097 28,184,868 23,052,299 24,660,908 25,549,239 26,708,936 27,992,425 (5,132,569) -18%
03 - Services 88,180,485 86,399,477 73,392,268 144,884,870 67,956,649 69,047,834 68,780,092 68,488,146 68,071,371 (76,928,221) -53%
04 - Supplies - - 8,400 8,400 8,400 8,820 9,261 9,724 10,210 - 0%
05 - Professional Services 21,343,240 22,696,234 16,344,984 44,471,964 11,147,914 12,639,643 12,443,667 11,492,184 11,053,167 (33,324,051) -75%
06 - Repairs & Maintenance 23,792,860 22,704,198 22,608,861 31,445,843 23,250,420 21,632,225 21,722,595 21,758,774 21,809,527 (8,195,423) -26%
07 - Grants & Subsidies 17,996,938 10,742,502 6,597,506 29,006,730 5,594,419 6,373,106 6,323,106 6,148,106 6,098,106 (23,412,311) -81%
08 - Utilities 5,833,117 6,023,715 5,155,294 7,150,598 6,789,114 6,642,173 6,827,748 6,996,766 7,171,244 (361,484) -5%
09 - Printing & Advertising 993,638 1,019,572 2,062,584 2,205,761 1,531,745 2,105,650 2,152,791 2,201,361 2,251,402 (674,016) -31%
10 - Insurance 2,729,906 3,067,640 2,993,222 3,009,554 2,993,127 2,928,923 2,953,756 2,978,990 3,004,632 (16,427) -1%
11 - Education & Training 599,244 553,623 945,723 1,024,704 811,671 942,430 937,373 939,389 941,462 (213,034) -21%
12 - Travel 232,276 354,794 468,967 489,814 402,062 449,531 450,948 452,406 453,906 (87,752) -18%
13 - Bad Debt 976,388 1,007,484 514,500 768,705 917,000 401,573 401,573 401,573 401,573 148,295 19%
14 - Other Services & Charges 13,682,879 18,229,714 15,692,227 25,302,797 14,510,779 14,923,761 14,557,274 15,108,873 14,876,143 (10,792,018) -43%
04 - Capital 55,648,843 92,563,508 28,620,484 224,915,031 57,110,183 46,246,099 47,359,506 32,354,633 15,454,247 (167,804,848) -75%
15 - Capital 55,648,843 92,563,508 28,620,484 224,915,031 57,110,183 46,246,099 47,359,506 32,354,633 15,454,247 (167,804,848) -75%
05 - Debt Service 34,447,670 37,961,856 36,395,169 43,012,585 38,087,593 39,824,796 39,496,063 37,465,959 36,028,489 (4,924,992) -11%
16 - Debt Service Principal 26,586,068 29,020,737 26,403,873 30,733,447 27,298,362 27,242,559 27,696,430 26,703,566 26,410,575 (3,435,086) -11%
17 - Debt Service Interest & Fees 7,861,602 8,941,120 9,991,297 12,279,138 10,789,232 12,582,237 11,799,633 10,762,393 9,617,914 (1,489,906) -12%
06 - Interfund Transfers 89,881,519 88,035,912 102,280,338 100,780,544 89,720,082 70,309,272 66,581,118 66,849,320 67,191,338 (11,060,462) -11%
18 - PILOT 6,095,594 6,024,186 5,765,661 5,765,661 5,975,482 6,107,791 6,113,899 6,120,013 6,126,133 209,821 4%
19 - Interfund Allocations 26,720,431 30,462,723 32,793,821 32,793,821 33,462,034 33,553,010 34,558,163 35,593,434 36,659,726 668,213 2%
20 - Interfund Transfers Out 57,065,494 51,549,003 63,720,856 62,221,062 50,282,566 30,648,471 25,909,056 25,135,872 24,405,479 (11,938,496) -19%
Total Expenditures 429,704,556 475,323,739 438,283,476 714,067,623 448,498,541 426,540,433 429,055,704 418,138,510 406,139,613 (265,569,082) -37%
Net Surplus / (Deficit)33,211,326 69,658,418 8,860,982 (247,839,618) 21,737,764 13,483,236 9,154,624 24,988,891 41,989,568
Beginning Balance 397,920,116 419,585,989 500,535,113 252,695,495 274,433,259 287,916,496 297,071,120 322,060,010
Cash Adjustments (11,545,453) 11,290,707
Ending Balance 419,585,989 500,535,113 252,695,495 274,433,259 287,916,496 297,071,120 322,060,010 364,049,578
Expenditures by Category & Subcategory
Note: Refer to Individual Fund Summaries for Further Detail.
Consolidated Financial Schedules - All Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 65
Detailed Financial Discussion
Revenue
Summary
Total revenue for the City of South Bend’s City Controlled Funds is estimated at $421,622,976 for 2026, which is a 2%
increase from amended estimates of $412,121,146 for 2025. Note: the following tables reflect City Controlled Fund’s
revenues only (Redevelopment Commission Controlled Fund’s revenues are not included). The contributing factors to
the increase in revenue can be seen below:
The largest variances from 2025 to 2026 can be explained as follows:
• Property Taxes: The City is predicting a slight decrease in property taxes in 2026 – primarily due to impacts
from SEA 1 – but could increase depending on actual property tax credits.
• Income Taxes: The City predicts a slight increase in local income taxes in 2026 assuming it receives a one-time
Supplemental Distribution from the state for its Local Income Tax funds.
• Intergovernmental / Grants: This decrease is due to the fact that the City doesn’t have many confirmed grants
budgeted for 2026. The City typically does not budget grant proceeds until the grant has been confirmed and
awarded to the City.
• Donations: The City expects to receive about seven million dollars from private sources in 2026.
• Interest Earnings: The City’s expects its interest earnings to decrease in 2026 with interest rates trending
downward.
• Debt Proceeds: The City plans on issuing one revenue bond in 2026 for a Water Works infrastructure project
which will total $17 million.
2023 2024
2025
Adopted
2025
Amended
2026
Adopted
$
Change
%
Change
01 - Property Taxes 61,739,306 70,811,554 67,959,634 71,947,196 68,831,319 (3,115,877) -4%
02 - Local Income Taxes 44,541,348 47,813,768 43,460,144 42,279,598 44,390,313 2,110,715 5%
03 - Intergov./ Shared Revenues 28,070,886 31,550,362 30,411,792 30,427,978 31,005,443 577,465 2%
04 - Intergov./ Grants 9,891,829 7,099,488 5,189,662 5,286,719 5,006,082 (280,637) -5%
05 - Licenses & Permits 2,348,304 4,163,304 2,588,372 2,779,440 3,647,422 867,982 31%
06 - Charges for Services 114,804,134 120,278,577 122,732,256 123,782,375 125,730,221 1,947,846 2%
07 - Fines, Forfeitures, and Fees 823,566 977,036 781,840 782,419 559,850 (222,569) -28%
08 - Interest Earnings 7,967,646 12,307,469 3,780,372 7,502,586 7,330,342 (172,243) -2%
09 - Donations 6,830,523 11,770,089 43,000 1,570,318 7,464,000 5,893,682 375%
10 - Other Income 6,325,915 6,796,592 3,575,579 4,014,954 3,799,967 (214,987) -5%
11 - Debt Proceeds 6,949,500 20,902,750 18,063,997 18,533,997 28,987,383 10,453,386 56%
12 - PILOT 6,095,594 6,024,186 5,765,661 5,765,661 5,975,482 209,821 4%
13 - Interfund Allocation Reimb 26,659,591 30,402,622 32,782,959 32,782,959 33,514,548 731,589 2%
14 - Interfund Transfers In 56,060,608 43,560,480 62,997,781 64,664,946 55,380,604 (9,284,342) -14%
Total Revenues 379,108,750 414,458,279 400,133,049 412,121,146 421,622,976 9,501,831 2%
Actual Budget 2025 to 2026
Revenues
City of South Bend, Indiana 2026 Budget
Page 66
2026 Budget Revenue Summary
Revenue by Type – City Controlled Funds
01 -Property Taxes16.33%
02 -Local Income Taxes10.53%
03 -Intergov./ Shared Revenues7.35%
04 -Intergov./ Grants1.19%
05 -Licenses & Permits0.87%06 -Charges for Services29.82%
07 -Fines, Forfeitures, and Fees0.13%
08 -Interest Earnings1.74%
09 -Donations1.77%
10 -Other Income0.90%
11 -Debt Proceeds6.88%
12 -PILOT1.42%
13 -Interfund Allocation Reimb7.95%
14 -Interfund Transfers In13.14%
2026 Adopted
Percent of
Total
01 - Property Taxes 68,831,319 16.3%
02 - Local Income Taxes 44,390,313 10.5%
03 - Intergov./ Shared Revenues 31,005,443 7.4%
04 - Intergov./ Grants 5,006,082 1.2%
05 - Licenses & Permits 3,647,422 0.9%
06 - Charges for Services 125,730,221 29.8%
07 - Fines, Forfeitures, and Fees 559,850 0.1%
08 - Interest Earnings 7,330,342 1.7%
09 - Donations 7,464,000 1.8%
10 - Other Income 3,799,967 0.9%
11 - Debt Proceeds 28,987,383 6.9%
12 - PILOT 5,975,482 1.4%
13 - Interfund Allocation Reimb 33,514,548 7.9%
14 - Interfund Transfers In 55,380,604 13.1%
Total Revenues 421,622,976 100%
Budget
Revenue Type
City of South Bend, Indiana 2026 Budget
Page 67
The following is a discussion of major revenue categories and trends:
Property Taxes – $ 68,831,319 – 16.3%
Property taxes are based on the net assessed valuation of real and personal property in the City, multiplied by the tax
rate as determined by the Indiana Department of Local Government Finance, less applicable property tax credits.
Property taxes are an important source of revenue for the General Fund, Parks & Recreation Fund, Cumulative Capital
Development Fund, and 2017 Park Bond Debt Service Fund.
In 2008, the State of Indiana passed a law known as the “circuit breaker” property tax reform. The law limited the
amount of property taxes paid to a fixed percentage of gross assessed valuation—1% for homestead/residential,
2% for rental, 3% for commercial/personal property. While property owners benefited from the property tax caps
reduction, local governments lost a substantial amount of tax revenue. However, a special exemption was made for St.
Joseph County (where the City is located) due to the amount of outstanding debt backed by property tax revenue. At
the end of 2019, the exemption ended. In 2020, the City became subject to the full effect of the property tax caps.
For the 2026 budget, the City estimates a 3% decrease in property tax revenues compared to 2025, with most of the
reduction affecting the City-controlled General Fund and Parks & Recreation Fund. This decline primarily reflects
Indiana’s Senate Enrolled Act 1 (SEA 1), enacted in 2025, which introduced significant changes to the State’s property
tax system beginning 2026 and phasing in through 2031. In general, these changes are expected to place downward
pressure on net assessed values and property tax revenues for local governments. The most immediate impact for the
City is the new Supplemental Homestead Credit beginning in 2026, which is estimated to reduce City property tax
revenues by approximately $2.2 million. The 2026 estimate assumes a 40% circuit breaker loss rate, consistent with the
City’s four-year average but higher than the 2025 actual rate of 38.4%, contributing to the year-over-year reduction.
Civil City Property
Tax Collections
2023 Actual $61,739,306
2024 Actual $70,811,554
2025 Amended $71,947,196
2026 Budget $68,831,319
City of South Bend, Indiana 2026 Budget
Page 68
Local Income Taxes – $ 44,390,313 – 10.5%
Local income taxes are based on employee wages earned in St. Joseph County multiplied by the tax rate and then
allocated to the local governmental units in the county based on several factors including property tax levy amounts. St.
Joseph County has adopted three local income taxes (LIT) that result in direct revenue to the City—certified shares
(.4% of wages), economic development (.4% of wages), and public safety (.25% of wages). In addition, St. Joseph
County has adopted the Property Tax Replacement LIT (.5% of wages) that results in no direct revenue to the City but
does reduce circuit breaker property tax losses.
LIT revenues generally reflect income and employment trends within the local economy and spiked in 2024 due to post-
COVID income recognition; however, total revenues have remained relatively flat since 2023. In addition, the
Supplemental LIT component has experienced volatility including a downward trend in recent years, contributing to
fluctuations in total revenues. The City’s 2026 estimate assumes modest growth and a partial recovery in supplemental
distributions compared to 2025.
Recent State legislation, including Senate Enrolled Act 1 (2025) and House Enrolled Act 1210 (2026), significantly
restructured Indiana’s local income tax system. Beginning in 2029, the City will gain the authority to adopt its own
municipal income tax rate of up to 1.2%, replacing the current countywide rate and distribution system. These changes
create both opportunities and risks for the City: while the City will gain greater direct control over this critical revenue
source, the underlying tax base will change to exclude income earned by non-City residents. The City will continue to
monitor these changes and evaluate impacts to future local income tax revenues in the coming years.
Certified
Shares
Economic
Development Public Safety Supplemental Total
2023 Actual $10,164,012 $13,736,992 $9,855,778 $10,784,566 $44,541,348
2024 Actual $12,554,287 $16,896,469 $11,988,584 $6,374,428 $47,813,768
2025 Amended $11,530,318 $15,564,814 $11,000,678 $4,183,790 $42,279,600
2026 Budget $11,765,644 $16,045,668 $11,299,892 $5,279,109 $44,390,313
City of South Bend, Indiana 2026 Budget
Page 69
Charges for Services – $ 125,730,221 – 29.8%
Charges for services are fees charged by the City’s enterprise funds (e.g., Wastewater, Water Works, Solid Waste, Streets
& Sewers, and Century Center convention facility) and certain governmental funds (e.g., Parks & Recreation) for services
provided.
Charges for Services also includes the revenue collected to support the City’s employee benefits. The City is self-insured
– it pays medical, dental, and vision claims directly, as opposed to paying an insurance company to pay the claims. The
revenue comes from individual departments based on the number of employees taking health insurance, as well as from
employee and public safety retiree health insurance premiums.
Most fees charged have remained fairly consistent in recent years with the exception of the fees charged by the utilities.
Utilities 75,408,861 60.0%
Self-Funded Employee Benefits 18,464,500 14.7%
Central Services 11,872,140 9.4%
EMS 6,095,000 4.8%
Century City - 0.0%
Morris 1,933,000 1.5%
Golf Courses 3,607,400 2.9%
Parking Garages 1,528,855 1.2%
Parks & Recreation 1,830,999 1.5%
Other 4,989,466 4.0%
Total Charges for Services 125,730,221 100%
Type of Charges for Services 2026 Estimate % of Total
City of South Bend, Indiana 2026 Budget
Page 70
The last utility rate increases were approved in 2021 (Ordinance No. 10797-21).
• Solid Waste rates for trash collection were increased to support growing expenses. Landfill costs have continued
to increase as the volume of trash collected rises year after year. However, the City does not charge residents based
on the volume of trash picked up so an overall rate increase was needed.
• Wastewater rates were increased in order to finance capital improvements to wastewater plant and collection
system in response to an EPA-mandated consent decree agreed to by the City. The purpose of the comprehensive
rate adjustment is to provide a multi-year plan that meets the operational and capital needs of the utilities, gradually
adjusting rates to generate sufficient cash flow.
• The 2021 ordinance also established the Utility Assistance Program (UAP), to provide discounts to qualifying low-
income customers. The program is funded by a monthly fee charged to all customers, starting out at $1.75 per
month with the option to increase it gradually over the years to support the program as needed.
Total charges for services revenue for the utilities are as follows:
Note: Wastewater includes Storm Sewer & Organic Resources.
2023 Actual $19,778,397 $7,622,504 $43,303,399 $70,704,300
2024 Actual $20,728,278 $8,183,773 $44,597,220 $73,509,271
2025 Amended $21,903,111 $8,256,538 $45,920,018 $76,079,667
2026 Budget $21,903,111 $8,256,538 $45,249,212 $75,408,861
Wastewater TotalWater Utility Solid Waste
City of South Bend, Indiana 2026 Budget
Page 71
Gasoline Tax – $ 6,368,483 – 1.5%
Distributions of gasoline tax revenue are made monthly by the Indiana Department of Revenue to the City for use in
the construction, operation and maintenance of streets. Distributions are based on a formula that takes into account
population, road and street mileage and other factors. Gasoline tax revenue helps fund the Motor Vehicle Highway
Fund and the Local Road & Street Fund.
Effective July 1, 2017, the State of Indiana increased the gas tax by 10 cents per gallon to raise extra funds to repair the
state’s roads and bridges. Despite this increase, the City's gas tax revenue decreased from 2018 to 2019 due to changes
to the State's distribution formula which keeps more funds at the State level. Revenue is forecasted conservatively given
the current conditions.
Effective January 1, 2019, Indiana Code 8-14-1-4(b) and Indiana Code 8-14-1-5(c) requires at least 50% of the MVH
distributions to be used for construction, reconstruction and preservation of the unit’s highways. Maintenance
expenditures do not count toward the 50% requirement. The City established a separate MVH Restricted Fund (#266)
to account for this requirement, allowing the City to keep track of the spending of the restricted funds towards qualified
expenditures.
2023 Actual $2,227,697 $2,227,697 $2,040,961 $6,496,355
2024 Actual $2,163,565 $2,163,565 $2,063,246 $6,390,376
2025 Amended $2,117,476 $2,117,476 $1,944,187 $6,179,139
2026 Budget $2,174,147 $2,174,147 $2,020,190 $6,368,484
Total
202 - Motor
Vehicle Highway
266 - MVH
Restricted
251 - Local Road
& Street
City of South Bend, Indiana 2026 Budget
Page 72
Wheel Tax – $ 2,100,000 - 0.5%
Effective January 1, 2004, St. Joseph County enacted a wheel tax and annual license excise surtax as allowed by State
law to provide additional funding for road maintenance and repair. The tax is collected by the Indiana Bureau of Motor
Vehicles, remitted to the County, and distributed monthly to the local units based on population and road miles. Wheel
tax revenue helps fund the Motor Vehicle Highway Fund and has remained fairly consistent from year to year. Since
2019, the State of Indiana requires that the tax revenue be split 50/50 between the Motor Vehicle Highway Fund and
the MVH Restricted Fund.
2023 Actual $1,046,526 $1,046,526 $2,093,052
2024 Actual $1,033,125 $1,033,125 $2,066,250
2025 Amended $1,050,000 $1,050,000 $2,100,000
2026 Budget $1,050,000 $1,050,000 $2,100,000
202 - Motor
Vehicle Highway
266 - MVH
Restricted Total
City of South Bend, Indiana 2026 Budget
Page 73
Payment in Lieu of Taxes – $ 5,975,482 – 1.4%
Payment in lieu of tax (PILOT) revenue is received as an internal charge to the City’s Water Works and Wastewater
utility funds. PILOT is computed as the net book value of the capital assets of the utilities multiplied by the property
tax rate. The PILOT revenue collected cannot exceed the amount of property taxes that would have been levied if the
utilities were subject to property taxation.
In 2017, the calculation of the charge was revised to limit each paying entity to the maximum 3% rate they would receive
should the entity be a tax paying business and that all PILOT charges would be deposited directly into the General
Fund.
Total payment in lieu of tax (PILOT) revenue is as follows:
Investment Earnings – $ 7,330,342 – 1.7%
Interest rates earned on City cash reserves and investments have been between 1% to 2% per year on average. The City
has a custodial investment agreement with a local financial institution to manage its investments in a professional
manner. One of the goals of the investment manager is to increase yields over what a normal certificate of deposit
would pay. Investment earnings increased in 2013-2017 as the City has accumulated additional cash reserves and has
authorized the investment manager to invest a certain percentage of the portfolio in 2-5 year maturities. The City is
limited by state law to only invest in fixed income instruments. 2018 and 2019 saw high returns due to high cash reserves.
In 2020 and 2021, interest earnings fell sharply, partially due to a spend down in cash related to large capital projects
funded by bond proceeds, as well as due to continuing downward pressure on interest rates. Towards the tail-end of
2022 and continuing into 2023, rising interest rates had a significant upward influence on investment earnings in 2023
and 2024. Due to lower rates, the City saw decreased investment earnings in 2025 and expects 2026 to be similar.
Total investment earnings revenue is as follows:
City Administration/IT Allocation – $ 23,886,114 – 5.7%
The General Fund charges an administration fee to all departments to cover a portion of the general and administrative
costs of the Mayor’s Office, City Clerk, Common Council, Controller’s Office, Human Resources, Diversity &
Inclusion, and Legal Department. The costs of these “overhead” departments are paid from the General Fund and
charged back to other funds based on their respective adopted expenditure budgets (City Administration Fee). Prior to
2017, the City administration fee was only allocated to non-general fund departments. However, in an effort to
understand the full cost of service for all departments, this fee was calculated and charged back to all departments
beginning in 2017. The allocations are charged on a monthly basis.
In 2017, IT related costs for all departments were consolidated into a single fund (#279) in order to better understand
the technology costs throughout the City. The IT allocation encompasses 100% of the budgeted expenditures in that
fund. IT functions including 311 Call Center, telephone, GIS and general technology expenditures (IT/Innovation
2023 Actual $6,095,594
2024 Actual $6,024,186
2025 Amended $5,765,661
2026 Budget $5,975,482
General Fund
Investment
Earnings
2023 Actual $7,967,646
2024 Actual $12,307,469
2025 Amended $7,502,586
2026 Budget $7,330,342
City of South Bend, Indiana 2026 Budget
Page 74
employees, computer refresh program, etc.) are allocated between the City departments based on various criteria
including number of devices, number of user licenses, departmental specific software, and more. The allocations are
charged monthly and deposited into the IT internal service fund (#279).
Total City Administration/IT Allocation revenue is as follows:
Other Revenue
The City collects a variety of other revenue including hotel/motel tax, certified technology park funding, internal charges
to other City funds (i.e. liability insurance premiums), commercial vehicle excise tax, auto excise tax, cable television
franchise fees, community development block grants, community support from a local university, bond proceeds and
other revenue.
Revenue collection is monitored on a monthly basis and a report of revenue and expenditures is prepared monthly by
the Controller’s Office and distributed to the Mayor, Administration Officials, Department Heads, Directors of
Department Finance, and the Common Council. The monthly financial report is also posted to the City website.
Additionally, the Controller’s Office developed the Comprehensive Revenue Report to provide financial information
on the revenue received, broken down by funds and types. This report is submitted to the Common Council in March
regarding activities for the preceding year, and is available online.
2023 Actual $9,030,000 $9,990,823 $19,020,823
2024 Actual $9,521,000 $13,100,296 $22,621,296
2025 Amended $9,586,000 $14,991,280 $24,577,280
2026 Budget $9,123,906 $14,762,208 $23,886,114
Administration Technology Total
City of South Bend, Indiana 2026 Budget
Page 75
Detailed Financial Discussion
Capital Expenditures
Capital Budgeting
The City budgets for capital assets using a 5-year forecast, asking each department to consider its capital needs over this
period based upon the expected lives of the equipment and infrastructure. Budgeting for constructed items, such as
infrastructure projects, can be challenging because there are many factors that can change the shape of the cash flows
throughout the project. Delays in construction due to weather are common in Northern Indiana.
All capital items are required to have a payment method assigned to them:
• Cash – Capital items purchased outright with City cash.
• Capital Lease – Capital items purchased with lease proceeds. Typically, capital leases are paid off over a 4 to 5-
year time period. Cash is not impacted as heavily in any particular year.
• Bond Proceeds – Capital projects paid for by proceeds from a bond. Typically, bonds are paid off over the
useful life of the capital project (e.g. 20 years for infrastructure projects) such that cash is not impacted as
heavily in any particular year.
• Contributed Capital – Capital items not purchased with City cash.
The worksheets for the budget include a template to aid fiscal officers in estimating annual principal and interest
payments and these amounts are included in the departments’ debt service principal and interest budget. These
distinctions are necessary since our budget documents are developed with an eye toward the cash balance in each fund.
Analysis is performed throughout the budget process to ensure capital costs are properly incorporated into the budget.
The trends in capital acquisitions by department are reviewed to alert the administration to any unexpected changes in
capital acquisition requests and allow administration to address those changes as needed.
Capitalization Policy
Assets will be capitalized where
• ownership title is held by the City of South Bend,
• the acquisition cost of the item exceeds the City’s capitalization threshold, and
• the item has a useful life in excess of one (1) year.
Asset Category Capitalization Threshold
Land All land is capitalized
Infrastructure $250,000
Buildings & Building Improvements $100,000
Land Improvements $100,000
Intangibles $100,000
Motor Vehicles $ 10,000
Machinery & Equipment $ 10,000
Furniture & Fixtures $ 10,000
City of South Bend, Indiana 2026 Budget
Page 76
Financial Impact of Capital Investment – Initial Investment
Capital Leases are used for routine replacement for larger items with predictable useful lives, such as vehicles.
Typically, capital financed through lease funding is routine and replacement items which do not typically require
additional maintenance costs. Capital leases are paid off over 4 to 5-year time periods.
Cash Purchases are used for smaller routine purchases from funds with adequate cash flow to cover the purchases.
Typical cash purchases include individual replacement vehicles, infrastructure improvements which are routine in nature
or covered by grant funds and smaller land maintenance projects. Typically, capital financed through cash funding is
routine and replacement items which do not typically require additional maintenance costs.
Bond Financing is used for large, one-time or infrequent acquisitions infrastructure improvement and large building
projects. These expenditures are usually made from funds with limited revenue streams and are not expected to require
ongoing financial resources beyond basic maintenance. These purchases are considered carefully to ensure that a) the
funding source can support these expenditures, b) there is an adequate Return on Investment (ROI) for the
expenditures, and c) the ongoing maintenance of the project can be supported either by additional revenue streams
created by the project or by other resources of the City.
Financial Impact of Capital Investment – Ongoing Operational Impact
Most capital purchases by the City are not expected to have a significant impact on the ongoing operating budget.
Generally, this is because the additional maintenance costs associated with capital assets is offset by improvements in
assets that therefore require less maintenance. For example, many new park projects will require additional maintenance
(for example, the expansion of existing park grounds, which requires more frequent mowing, watering, etc.). However,
the improvements which will require more maintenance will be offset by the improvements which will require less
maintenance (for example, the replacement of an old building). As another example, data shows that 60% of ongoing
vehicle maintenance and repair costs are driven by only 10% of the vehicles. Replacing these older vehicles reduces the
overall maintenance costs of the fleet, thereby offsetting the cost of the replacement.
However, there are several that will have an impact, and that impact may be positive (i.e. a reduction in operational cost
through automation, efficiencies, etc.) or negative (i.e. an increase in operational cost due to additional assets requiring
ongoing maintenance).
• Example of positive impact to operating budget from capital expenditures
o The purchase of certain CNG vehicles for Public Works and Public Safety is expected to result in
reduced fuel costs, but the actual benefit is difficult to quantify. There are no anticipated changes in
City personnel due to these capital expenditures. Certain Information Technology purchases like the
computer refresh program will lead to employee time savings and productivity improvement.
• Example of negative impact to operating budget from capital expenditures
o The renovation of the City’s Martin Luther King Center into a new “Dream Center” will drastically
increase the service offerings and attendance at that community center. This increased level of service
will require increased operational costs, such as additional staff hours, utility costs, and supply cost.
This increase is partially offset by improvements in the purchase and installation of energy-efficient
components in the new building.
Each individual capital project is assessed separately for operational impact, and significant operational impacts are built
into the operational five-year budget forecasts. Although not presented separately, these impacts are taken into account
in the numbers presented in the fund information schedules and the five-year operational forecasts in each fund.
The following pages detail the capital outlays anticipated in detail by department.
City of South Bend, Indiana 2026 Budget
Page 77
Capital Improvement Plan Summary
2026
Budget
2027
Budget
2028
Budget
2029
Budget
2030
Budget Total
04 - Administration & Finance 352,675 131,785 100,000 118,800 102,000 805,260
457 - Central Services Capital 352,675 131,785 100,000 118,800 102,000 805,260
06 - Public Works 50,976,800 18,770,276 12,946,204 7,466,126 7,336,240 97,495,646
500 - Engineering 40,000 - - - - 40,000
503 - Streets 3,600,000 4,185,000 2,650,000 2,500,000 2,115,000 15,050,000
506 - Local Roads & Streets 3,200,000 3,250,000 3,200,000 - - 9,650,000
509 - Sewers 3,900,000 4,175,000 3,580,000 3,515,000 3,625,000 18,795,000
512 - Solid Waste 1,360,250 1,199,276 1,316,204 1,451,126 1,596,240 6,923,096
514 - Wastewater 4,420,000 2,018,000 2,000,000 - - 8,438,000
515 - Organic Resources - 400,000 - - - 400,000
517 - Storm Sewer 1,240,000 200,000 200,000 - - 1,640,000
620 - WW Capital 33,216,550 3,343,000 - - - 36,559,550
08 - Police Department 2,732,000 2,882,000 2,882,000 2,882,000 2,882,000 14,260,000
080 - Police General 2,732,000 2,882,000 2,882,000 2,882,000 2,882,000 14,260,000
09 - Fire Department 1,190,000 2,170,000 1,995,000 2,586,000 1,695,000 9,636,000
098 - Fire Other 1,190,000 2,170,000 1,995,000 2,586,000 1,695,000 9,636,000
10 - Dept of Community Investment 153,000 84,000 45,000 45,000 45,000 372,000
060 - Building Dept 80,000 40,000 45,000 45,000 45,000 255,000
100 - Neighborhood Services & Enforcement 43,000 44,000 - - - 87,000
105 - Animal Resource Center 30,000 - - - - 30,000
11 - Venues, Parks & Arts 2,055,383 305,000 135,000 135,000 135,000 2,765,383
201 - Park Maintenance 895,383 170,000 - - - 1,065,383
220 - Golf Courses 175,000 - - - - 175,000
290 - Potawatomi Zoo 100,000 100,000 100,000 100,000 100,000 500,000
297 - CC Capital 835,000 35,000 35,000 35,000 35,000 975,000
461 - Parking General Operations 50,000 - - - - 50,000
Grand Total 57,459,858 24,343,061 18,103,204 13,232,926 12,195,240 125,334,289
By Department & Subdivision
2026
Budget
2027
Budget
2028
Budget
2029
Budget
2030
Budget Total
Buildings & Building Improvements 2,640,900 322,400 375,000 375,000 375,000 4,088,300
Land & Land Improvements 3,000,000 2,000,000 2,000,000 2,000,000 2,000,000 11,000,000
Machinery & Equipment 2,467,383 4,668,000 2,700,000 2,500,000 3,395,000 15,730,383
Utilities & Infrastructure 40,800,325 8,887,385 5,410,000 28,800 12,000 55,138,510
Vehicles 8,551,250 8,465,276 7,618,204 8,329,126 6,413,240 39,377,096
Grand Total 57,459,858 24,343,061 18,103,204 13,232,926 12,195,240 125,334,289
By Capital Type
2026
Budget
2027
Budget
2028
Budget
2029
Budget
2030
Budget Total
Bond 17,000,000 - - - - 17,000,000
Capital Lease 8,165,633 10,290,276 8,483,204 9,059,126 7,928,240 43,926,479
Cash 32,294,225 14,052,785 9,620,000 4,173,800 4,267,000 64,407,810
Grand Total 57,459,858 24,343,061 18,103,204 13,232,926 12,195,240 125,334,289
By Funding Source
City of South Bend, Indiana 2026 Budget
Page 78
Capital Improvement Plan Detail
The table below lists planned capital investment by subdivision. The timeframes are approximate and subject to change.
2026 Budget 2027 Budget 2028 Budget 2029 Budget 2030 Budget Total
060 - Building Dept 80,000 40,000 45,000 45,000 45,000 255,000
(2) SUV w/CNG or Hybrid 80,000 40,000 45,000 45,000 45,000 255,000
080 - Police General 2,732,000 2,882,000 2,882,000 2,882,000 2,882,000 14,260,000
32 police cars at $74000 each 2,672,000 2,822,000 2,822,000 2,822,000 2,822,000 13,960,000
(2) Undercover cars 60,000 60,000 60,000 60,000 60,000 300,000
098 - Fire Other 1,190,000 2,170,000 1,995,000 2,586,000 1,695,000 9,636,000
(2) Pumper Fire Truck - - - 2,016,000 - 2,016,000
(1) Aerial Truck - 1,400,000 - - - 1,400,000
(1) Medic (Ambulance) - New 450,000 - 450,000 - 450,000 1,350,000
Firefighter Turn Out Gear - - 1,200,000 - - 1,200,000
Self-Contained Breathing Apparatus (SCBA)- - - - 900,000 900,000
Building Improv - Roofs/Parking Lots - 150,000 150,000 150,000 150,000 600,000
Used Pumper Fire Truck 500,000 - - - - 500,000
(1) Medic (Ambulance) - Rebuild - 225,000 - 225,000 - 450,000
Specialty Team Equipment 75,000 75,000 75,000 75,000 75,000 375,000
Personnel Equipment 75,000 75,000 75,000 75,000 75,000 375,000
(1) Mid-Size Sedan Hybrid 45,000 45,000 45,000 45,000 45,000 225,000
Cardiac Monitors - 200,000 - - - 200,000
(1) Inspector Vehicle 45,000 - - - - 45,000
100 - Neighborhood Services & Enforcement 43,000 44,000 - - - 87,000
(1) Code - Truck 4x4 43,000 44,000 - - - 87,000
105 - Animal Resource Center 30,000 - - - - 30,000
SBARC Van Cages 30,000 - - - - 30,000
201 - Park Maintenance 895,383 170,000 - - - 1,065,383
Chipper 550, 650, dual tank sprayer, trucks, auger, @x water
trailer, dump trailer grant paying for $272k 283,383 145,000 - - - 428,383
Trash Truck Rear Loader 350,000 - - - - 350,000
330 & 331A Trucks 100,000 - - - - 100,000
Trades Truck 60,000 - - - - 60,000
Cargo Van 52,000 - - - - 52,000
Trades Van 347 50,000 - - - - 50,000
Flatrax Trailer - 25,000 - - - 25,000
220 - Golf Courses 175,000 - - - - 175,000
Toro Irrigation Upgrade 100,000 - - - - 100,000
Erskine Utility Vehicles 40,000 - - - - 40,000
Studebaker - Utility vehicle 20,000 - - - - 20,000
Utility Vehicle 15,000 - - - - 15,000
290 - Potawatomi Zoo 100,000 100,000 100,000 100,000 100,000 500,000
"Additional capital" pledged to Potowatomi Zoo 100,000 100,000 100,000 100,000 100,000 500,000
297 - CC Capital 835,000 35,000 35,000 35,000 35,000 975,000
Various projects to repair and maintain the existing capital as
needed 835,000 35,000 35,000 35,000 35,000 975,000
457 - Central Services Capital 352,675 131,785 100,000 118,800 102,000 805,260
Vertical Real Estate Maintenance & Inspection 142,775 94,385 10,000 28,800 12,000 287,960
C.S. Paving - - 90,000 90,000 90,000 270,000
Gas Detection 154,000 - - - - 154,000
Fence, overhead heaters, exhaust system repairs, hoist
repairs, garage doors and misc replacements.55,900 37,400 - - - 93,300
461 - Parking General Operations 50,000 - - - - 50,000
UTV w/Cab 50,000 - - - - 50,000
500 - Engineering 40,000 - - - - 40,000
Compact SUV 40,000 - - - - 40,000
Details by Subdivision
City of South Bend, Indiana 2026 Budget
Page 79
2026 Budget 2027 Budget 2028 Budget 2029 Budget 2030 Budget Total
503 - Streets 3,600,000 4,185,000 2,650,000 2,500,000 2,115,000 15,050,000
(1) Tandem Axle Dump Truck w/Leaf Boxes- Replace 252 - 800,000 1,260,000 - - 2,060,000
Upgrade to Salt Dome 1,500,000 - - - - 1,500,000
(2) Single Axle Dump Truck w/Leaf Boxes- Replace 253 600,000 320,000 240,000 - - 1,160,000
(4) - Leaf Vacs 340,000 360,000 400,000 - - 1,100,000
(3) - Tandem Axle Dump Truck w/ Leaf Box - - - 880,000 - 880,000
(2) - Tandem Axle Dump Truck w/Leaf Box - - - - 880,000 880,000
(2) Tandem Axle Dump Truck w/Leaf Boxes- Replace 243, 244 700,000 - - - - 700,000
(2) Semi-Tractor, Day Cab - - - - 650,000 650,000
1 - Asphalt Cold Milling Machine - 600,000 - - - 600,000
1 - Asphalt Paver - 550,000 - - - 550,000
1 - Roadpatcher - Single Unit - - - 550,000 - 550,000
(1) Pavement Milling Machine - 505,000 - - - 505,000
(1) - Bucket Truck for Sign Crew 250,000 250,000 - - - 500,000
(1) Skid Loader w/Trailer & Attachments w/Remote Control - 200,000 - 250,000 - 450,000
1 - 14-Ton Asphalt Roller - replace 224R - - - 400,000 - 400,000
1 - 3-Yd Front End Loader w/Grapple - 400,000 - - - 400,000
(2) 3/4-Ton Pickup 4WD, Ext. Cab, V-plow - 160,000 - 160,000 75,000 395,000
(2) 1 Ton Crew Truck - - - - 300,000 300,000
1 - 12-Ton Asphalt Roller - - 300,000 - - 300,000
(2) - Single Axle 1 Ton Utility Dump Truck - - - 260,000 - 260,000
1 - Backhoe - - 250,000 - - 250,000
(3) - 3/4 Ton Pickup Truck, Std. Cab, w/V-plow - - 200,000 - - 200,000
(1) F-550 4x4Utility Truck w/Cage 170,000 - - - - 170,000
(1) Asphalt Hot Box - Replace 206HB, 209HB 40,000 40,000 - - - 80,000
(1) 3/4-Ton Pickup 4WD, Extended Cab, V-plow - - - - 75,000 75,000
(2) - 1-Ton Towable Rollers - - - - 70,000 70,000
(1) 3/4-Ton Pickup 4WD, Standard Cab, V-plow - Replace 429 - - - - 65,000 65,000
506 - Local Roads & Streets 3,200,000 3,250,000 3,200,000 - - 9,650,000
Match for CCG from INDOT 3,000,000 3,000,000 3,000,000 - - 9,000,000
Traffic Calming 200,000 250,000 200,000 - - 650,000
509 - Sewers 3,900,000 4,175,000 3,580,000 3,515,000 3,625,000 18,795,000
Sewer Lining Projects 3,000,000 2,000,000 2,000,000 2,000,000 2,000,000 11,000,000
1 - Combo Sewer Cleaning Machine - 700,000 - 700,000 700,000 2,100,000
1 - Street Sweeper 400,000 400,000 400,000 400,000 500,000 2,100,000
2 - Tandem Axle Dump Truck w/Leaf Box - - 800,000 - - 800,000
2 - Single Axle Dump Truck w/ Leaf Box - 600,000 - - - 600,000
1 - Single Axle Dump Truck w/Leaf Box - - 300,000 300,000 - 600,000
1 - Sewer Camera Truck 500,000 - - - - 500,000
1 - Front End Loader - - - - 425,000 425,000
1 - Tandem Axle Dump Truck w/Leaf Box - 400,000 - - - 400,000
1 - 3/4 Ton PU Truck, Crew Cab, 4WD, w/straight plow - 75,000 80,000 - - 155,000
1 - AWD SUV - - - 65,000 - 65,000
1 - Concrete Saw - - - 50,000 - 50,000
512 - Solid Waste 1,360,250 1,199,276 1,316,204 1,451,126 1,596,240 6,923,096
(2) ASL Dedicated CNG Unit ($545,125 each)1,090,250 1,199,276 1,316,204 1,451,126 1,596,240 6,653,096
Building Renovations 150,000 - - - - 150,000
(2) Pick CNG Pick up Trucks 120,000 - - - - 120,000
Details by Subdivision
City of South Bend, Indiana 2026 Budget
Page 80
2026 Budget 2027 Budget 2028 Budget 2029 Budget 2030 Budget Total
514 - Wastewater 4,420,000 2,018,000 2,000,000 - - 8,438,000
WWTP Secondary Treatment Projects(was at $1M)1,000,000 1,000,000 1,000,000 - - 3,000,000
Randolph Basin Project 2,000,000 - - - - 2,000,000
2025 CSO Tank Design $3.25M; Other Improvement Designs
$250K: TEK/IN Kote Design 500K - 500,000 500,000 - - 1,000,000
WWTP Secondary Treatment Plant Improvement(was at $500K - 500,000 500,000 - - 1,000,000
Sewer Truck 800,000 - - - - 800,000
2026 WWTP Sage Road 500,000 - - - - 500,000
Cargo Van 60,000 - - - - 60,000
Pickup Truck 60,000 - - - - 60,000
(1) Utility Cart - 18,000 - - - 18,000 515 - Organic Resources - 400,000 - - - 400,000
(1) Phoenix Power Screen - 400,000 - - - 400,000 517 - Storm Sewer 1,240,000 200,000 200,000 - - 1,640,000 Misc Drainage Repairs, Design & Construction $300K; Lathrop
Street - Stormwater contribution $500K; Beck's Lake Valve
$250K; Ireland & Ironwood Stormwater contribution $250K 1,240,000 - - - - 1,240,000
2025 Professional services (design) for Storm Sewer Project:
Johnson & Fellows Drainage, Royal Oaks Drainage, Bercliff
Estates Storm Sewer, and Garland Circle Drainage Swale - 200,000 200,000 - - 400,000
620 - WW Capital 33,216,550 3,343,000 - - - 36,559,550
North PFAS remediation (BOND)12,000,000 - - - - 12,000,000
North PFAS remediation 7,509,550 - - - - 7,509,550 2025 Distribution System Improvements: Winterbury Booster Station $640,000; Lathrop Distribution Main - Portage to
Bendix $900,000; Carriage Hills Generator 1.1M; Cathodic Protection Upgrades 103K; Ireland tank rehab 1.5M 4,243,000 2,543,000 - - - 6,786,000
Lead Service Line (BOND)5,000,000 - - - - 5,000,000 Pinhook Well 3 Replacement ($770K) Cleveland South Well 1
Replacement ($800K)1,570,000 - - - - 1,570,000
Cleveland North Generator 1,100,000 - - - - 1,100,000
2026 Water Meter Replacement 500,000 500,000 - - - 1,000,000
Replacement/Maintenance/Repair LSOCA (100K) Annual
Mains (300K)400,000 - - - - 400,000
Hydrant & Valve Replacement 200,000 200,000 - - - 400,000
(6) Mini Cargo Van 312,000 - - - - 312,000
MISC Funds for projects (50K)/Annual Hydraulic modeling &
calibration (45K)95,000 100,000 - - - 195,000
Dumptruck Single Axle 125,000 - - - - 125,000
North Backwash Blower 100,000 - - - - 100,000
(2) Mid Size Car/Hybrid Sedan 62,000 - - - - 62,000
Grand Total 57,459,858 24,343,061 18,103,204 13,232,926 12,195,240 125,334,289
Details by Subdivision
City of South Bend, Indiana 2026 Budget
Page 81
Howard Park Ice Trail & Event Center
City of South Bend, Indiana 2026 Budget
Page 82
Detailed Financial Discussion
Debt
Summary of Considerations for Incurring Debt Obligations
1. Debt management will provide for the protection and maintenance of the City's AA bond rating, the maintenance
of adequate debt service reserves, compliance with debt covenant provisions, and appropriate disclosure to investors, underwriters, and rating agencies.
2. The City's compliance officer is the City Controller. Compliance monitoring will be performed annually.
3. The term of any City debt issue, including lease-purchases, shall not exceed the useful life of the assets being acquired by the debt issue.
4. All debt issuances shall comply with federal, State and City requirements. All IRS regulations in regard to post-issuance tax compliance will be followed.
5. The City shall maintain an ongoing performance monitoring system of the various outstanding bond
indebtedness. This is particularly important as funds borrowed for a project today are not available to fund other projects tomorrow and funds committed for debt service payments today are not available to fund operations in
the future.
6. The City shall maintain all spending records related to bond issuance until at least three years after the final maturity is redeemed.
7. The City will maintain good, ongoing communication with bond rating agencies about its financial condition. The City will follow a policy of full disclosure on every financial report and bond prospectus (Official Statement).
8. Accompanying each debt issue will be an assessment of the City's capacity to repay the debt. The assessment will
address the effects on the current operating budget, as well as identify the resources that will be utilized to repay the debt.
9. Long-term borrowing will not be used to finance current operations or normal maintenance and will only be considered for significant capital and infrastructure improvements.
10. The City will try to keep the average maturity of general obligation bonds at or below twenty years.
11. The City will generally conduct financings on a competitive basis. However, negotiated financings may be used due to market volatility or the use of an unusual or complex financing or security structure.
12. The City will not issue tax or revenue anticipation notes.
13. The City will strive to maintain a reliance on pay-go financing for its capital improvements, whenever possible.
14. The City will follow the general debt limits as stated by Indiana law, which mandates a 2% debt limit on net
assessed valuation for certain type of general obligation and other debt.
15. The city will report all debt to the Indiana Department of Local Government Finance (DLGF) using its Gateway Reporting program.
16. The City will make all continuing bond disclosures required using the MSRB Electronic Municipal Market Access (EMMA) portal in a timely manner.
The following pages present a summary of the City of South Bend’s current debt position and relationship to legal debt
margin (debt limit).
City of South Bend, Indiana 2026 Budget
Page 83
Legal Debt Margin (Debt Limit)
As established per the Constitution of the State of Indiana and the Indiana Code, the City of South Bend may not
exceed 2% (percent) of 1/3 (one-third) of the net assessed value (AV) of the City within the municipal boundaries.
Both the City of South Bend (Civil City) and the South Bend Redevelopment District are subject to this limit.
This limit is only applicable to general obligation bonds, Economic Development Income Tax revenue bonds, tax
revenue notes, and certain other types of indebtedness. This limit is not applicable to revenue bonds (except bonds paid
from Economic Development Income Tax). In practice, most debt incurred by South Bend is neither general obligation
debt nor debt secured with income tax revenue. This means that most debt incurred by South Bend is not subject to
this limitation.
Net Assessed Valuation (2025 Pay 2026) of Taxable Property in South Bend 4,396,041,441$
Debt Limit: 2% of one third therof 29,306,943
Civil City
Less: Outstanding Principal of Bonds Subject to Limitation
Economic Development Income Tax Bonds of 2015 (Parks Bond)(3,340,000)
Economic Development Income Tax Bonds of 2018 (Zoo Bond)(2,210,000)
General Obligation Bonds, Series 2018 (Fire Station #9)(3,525,000)
Issuance Margin Available 20,231,943$
Percentage of Debt Limit Used 31.0%
Park District
Less: Outstanding Principal of Bonds Subject to Limitation
2017 Parks District Bonds, Series A-K (7,840,000)
Issuance Margin Available 21,466,943$
Percentage of Debt Limit Used 26.8%
Redevelopment District
Less: Outstanding Principal of Bonds Subject to Limitation
Redevelopment District Bonds of 2018 (TIF Parks Bond)(6,610,000)
Issuance Margin Available 22,696,943$
Percentage of Debt Limit Used 22.6%
Estimated Calculation of Debt Limitations (12/31/2025)
2023 Audited 2024 Unaudited 2025 Unaudited
Debt Limit $23,747,545 $27,442,401 $29,306,943
Civil City
Total Net Debt Applicable to Limit 10,565,000 9,765,000 9,075,000
Debt Margin 13,182,545 17,677,401 20,231,943
Percentage of Debt Limit 44.49%35.58%30.97%
Park District
Total Net Debt Applicable to Limit 9,650,000 8,760,000 7,840,000
Debt Margin 14,097,545 18,682,401 21,466,943
Percentage of Debt Limit 40.64%31.92%26.75%
Redevelopment District
Total Net Debt Applicable to Limit 8,140,000 7,385,000 6,610,000
Debt Margin 15,607,545 20,057,401 22,696,943
Percentage of Debt Limit 34.28%26.91%22.55%
City of South Bend, Indiana 2026 Budget
Page 84
Debt by Fund Original Debt 2025 2026 2027 2028 2029 2030-2034 2035-2039 2040-2044 2045-2050
General Plus Funds 31,658,635 4,492,579 2,968,738 2,461,854 2,091,791 1,892,210 6,871,316 1,885,044 - -
101 - General Fund 9,264,500 1,754,032 2,028,704 2,028,704 1,829,014 1,089,334 274,672 - - -
404 - Local Income Tax - Certified Shares 8,002,438 1,138,217 672,332 172,323 - - - - - -
408 - Local Income Tax - Economic Development 19,312,697 2,680,309 1,347,681 1,340,806 1,342,756 1,342,866 6,596,644 1,885,044 - - Other Funds 167,299,992 15,434,173 16,145,134 15,469,425 14,688,899 13,323,787 60,869,359 44,941,588 19,613,719 567,266
101 - General Fund 9,264,500 1,754,032 2,028,704 2,028,704 1,829,014 1,089,334 274,672 - - -
201 - Parks & Recreation 3,608,211 618,763 742,286 606,075 469,863 384,573 147,066 - - -
202 - Motor Vehicle Highway 11,126,448 2,094,495 2,026,707 1,757,883 1,427,346 890,145 298,581 - - -
230 - Code Enforcement Fund 1,703,000 325,660 348,048 247,064 168,919 110,649 38,865 - - -
266 - MVH Restricted Fund 888,007 187,529 187,529 93,765 - - - - - -
279 - IT / Innovation / 311 Call Center 3,190,428 754,571 391,488 241,002 155,365 - - - - -
287 - Fire Department Capital 10,705,000 1,441,447 1,155,835 968,848 673,024 524,225 1,766,781 - - -
312 - 2017 Parks Bond Debt Service 14,075,000 1,181,215 1,173,390 1,179,890 1,175,490 1,190,115 4,131,005 - - -
350 - 2018 Fire Station #9 Bond Debt Service 5,045,000 344,656 342,756 340,631 348,356 340,706 1,721,209 1,199,344 - -
433 - Redevelopment General 12,110,000 755,513 755,013 750,138 758,713 751,913 3,763,753 3,757,975 2,819,684 567,266
456 - Redev Auth Lease Rental Revenue Bonds - Series 2023A 29,155,000 1,987,750 2,745,125 2,862,125 2,968,375 3,056,750 16,494,750 10,751,000 351,875 -
457 - 2024 RDA Lease Rental Revenue Bond Series B 24,480,000 1,505,740 1,888,596 2,045,278 2,172,048 2,242,820 14,664,680 11,635,032 617,922 -
458 - 2024 RDA Bond Proceeds (Four Winds)44,860,000 3,066,682 3,521,488 3,514,613 3,514,113 3,519,488 17,596,938 17,598,238 15,824,238 -
672 - Century Center Energy Conservation Debt Svc 4,167,897 388,754 384,057 379,296 374,469 369,576 544,312 - - -
Public Works 132,105,996 10,397,847 7,836,189 11,431,109 7,196,877 6,645,469 23,546,821 15,246,759 15,245,712 361,188
202 - Motor Vehicle Highway 11,126,448 2,094,495 2,026,707 1,757,883 1,427,346 890,145 298,581 - - - 611 - Solid Waste Capital 6,117,996 1,312,634 1,235,404 915,221 616,675 241,410 - - - -
625 - Water Works Sinking (Debt Service)29,454,657 1,453,100 1,456,529 5,357,198 1,443,563 1,450,096 5,774,362 3,608,836 3,610,372 361,188
649 - Sewage Sinking (Debt Service)101,870,000 8,408,405 5,624,113 5,638,380 5,613,744 5,431,330 18,549,433 11,637,923 11,635,340 -
TIF Funds 125,501,657 10,144,525 9,799,806 9,618,128 9,631,762 9,632,743 37,456,073 15,837,870 190,906 -
324 - TIF - River West Development Area 56,430,000 4,644,921 4,305,432 4,122,395 4,137,880 4,149,915 15,420,940 6,673,620 190,906 - 436 - TIF - River East Residential (NE Res)61,000,000 4,424,731 4,417,356 4,418,881 4,419,616 4,408,300 20,959,578 9,164,250 - -
625 - Water Works Sinking (Debt Service)29,454,657 1,453,100 1,456,529 5,357,198 1,443,563 1,450,096 5,774,362 3,608,836 3,610,372 361,188
649 - Sewage Sinking (Debt Service)101,870,000 8,408,405 5,624,113 5,638,380 5,613,744 5,431,330 18,549,433 11,637,923 11,635,340 -
Grand Total 456,566,279 40,469,124 36,749,868 38,980,517 33,609,329 31,494,210 128,743,569 77,911,261 35,050,337 928,454
Debt Summary - Principal & Interest Payments (2025 through 2050)
5-Year Periods
Note: Does not include interfund loans.
General Plus Funds7%
Other Funds37%
Public Works29%
TIF Funds27%
Original Debt by Fund Type
$-
$5
$10
$15
$20
$25
$30
$35
$40
$45
2025 2026 2027 2028 2029MillionsPrincipal & Interest Payments
Other Funds
General Plus Funds
Public Works
TIF Funds
City of South Bend, Indiana 2026 Budget
Page 85
Debt by Purpose Original Debt 2025 2026 2027 2028 2029 2030-2034 2035-2039 2040-2044 2045-2050
Building Projects 33,000,594 3,550,842 2,221,068 2,202,457 2,221,062 2,202,050 9,189,995 4,957,319 2,819,684 567,266 2013 Fire Station #5 & Training Tower Bonds 5,580,000 406,543 411,493 410,643 414,149 421,605 1,715,471 - - -
2014 PSAP Center Bonds 2,657,697 1,337,378 - - - - - - - -
2015 Century Center Solar Panels 4,167,897 388,754 384,057 379,296 374,469 369,576 544,312 - - -
2018 Fire Station #9 Bonds 5,045,000 344,656 342,756 340,631 348,356 340,706 1,721,209 1,199,344 - -
2018 Zoo Bonds 3,440,000 318,000 327,750 321,750 325,375 318,250 1,445,250 - - -
2022 MPAC Bonds 6,395,000 377,350 376,350 375,125 378,750 377,150 1,879,700 1,882,825 1,878,734 567,266
2022 Zoo Bonds 5,715,000 378,163 378,663 375,013 379,963 374,763 1,884,053 1,875,150 940,950 - Capital Leases 46,515,751 9,220,805 8,376,841 6,620,243 4,926,058 2,818,731 810,494 - - -
Economic Development 206,440,278 14,639,050 15,890,622 15,994,892 16,223,631 16,384,447 81,667,686 55,822,140 16,984,941 -
2013 Century Center Special Tax Bonds 4,655,000 387,563 163,000 - - - - - - -
2015 Eddy St Commons Parking Garage Bonds 36,000,000 2,469,606 2,466,106 2,468,256 2,467,241 2,461,425 8,631,578 - - -
2015 Smart Streets Bonds 25,000,000 1,710,844 1,705,819 1,709,819 1,707,694 1,709,444 8,536,069 4,271,250 - -
2017 Eddy St Commons Phase II Bonds 25,000,000 1,955,125 1,951,250 1,950,625 1,952,375 1,946,875 12,328,000 9,164,250 - -
2019 South Shore Double Tracking Bonds 7,985,000 1,030,125 1,030,000 1,032,625 1,028,125 1,031,500 512,500 - - -
2020 Library Bonds 4,225,000 325,615 323,415 320,990 323,415 326,215 1,618,284 815,578 - -
2023 Neigborhood Bonds 29,155,000 1,987,750 2,745,125 2,862,125 2,968,375 3,056,750 16,494,750 10,751,000 351,875 - 2024 Four Winds Field 44,860,000 3,066,682 3,521,488 3,514,613 3,514,113 3,519,488 17,596,938 17,598,238 15,824,238 -
2024 Madison Lifestyle District 24,480,000 1,505,740 1,888,596 2,045,278 2,172,048 2,242,820 14,664,680 11,635,032 617,922 -
2025 TIF Bonds 2,570,000 - 95,824 90,561 90,246 89,931 1,284,888 1,586,793 190,906 -
Other 2,510,278 200,000 - - - - - - - -
Park Bonds 31,675,000 2,553,021 2,533,996 2,523,646 2,541,071 2,566,556 9,541,474 593,094 - -
2015 Park Bonds 5,605,000 381,031 373,231 375,356 377,181 383,616 1,941,269 593,094 - -
2017 Park Bonds 14,075,000 1,181,215 1,173,390 1,179,890 1,175,490 1,190,115 4,131,005 - - -
2018 TIF Park Bonds 11,995,000 990,775 987,375 968,400 988,400 992,825 3,469,200 - - -
Streets Infrastructure 7,610,000 643,900 646,700 643,700 640,200 641,000 3,210,125 1,291,950 - - Wastewater/Sewer Infrastructure 101,870,000 8,408,405 5,624,113 5,638,380 5,613,744 5,431,330 18,549,433 11,637,923 11,635,340 -
Water Works Infrastructure 29,454,657 1,453,100 1,456,529 5,357,198 1,443,563 1,450,096 5,774,362 3,608,836 3,610,372 361,188
Grand Total 456,566,279 40,469,124 36,749,868 38,980,517 33,609,329 31,494,210 128,743,569 77,911,261 35,050,337 928,454
Debt Summary - Principal & Interest Payments (2025 through 2050)
5-Year Periods
Note: Does not include interfund loans.
Building Projects7%
Capital Leases10%
Economic Development45%
Park Bonds7%
Streets Infrastructure2%
Wastewater/Sewer Infrastructure22%
Water Works Infrastructure7%
Original Debt by Purpose
$-
$5
$10
$15
$20
$25
$30
$35
$40
$45
2025 2026 2027 2028 2029MillionsPrincipal & Interest Payments
Streets Infrastructure
Park Bonds
Water Works Infrastructure
Building Projects
Capital Leases
Economic Development
Wastewater/SewerInfrastructure
City of South Bend, Indiana 2026 Budget
Page 86
Principal Balance by Fund 12/31/24 12/31/25 12/31/26 12/31/27 12/31/28 12/31/29 12/31/30 12/31/31 12/31/32 12/31/33
General Plus Funds 16,861,564 15,485,180 13,060,511 11,064,322 9,365,724 7,804,902 6,455,000 5,325,000 4,155,000 2,930,000
101 - General Fund 5,686,992 6,694,553 4,909,877 3,054,317 1,324,736 269,902 0 0 0 0
404 - Local Income Tax - Certified Shares 1,941,622 830,381 170,322 - - - - - - - 408 - Local Income Tax - Economic Development 13,624,738 11,445,000 10,520,000 9,565,000 8,570,000 7,535,000 6,455,000 5,325,000 4,155,000 2,930,000 Other Funds 142,814,521 136,425,598 126,235,795 116,311,875 106,764,918 98,178,963 89,811,508 81,025,000 72,250,000 63,340,000
101 - General Fund 5,686,992 6,694,553 4,909,877 3,054,317 1,324,736 269,902 0 0 0 0
201 - Parks & Recreation 1,376,506 2,167,392 1,500,796 947,800 512,390 144,512 - - - - 202 - Motor Vehicle Highway 5,107,649 5,942,262 4,118,151 2,500,153 1,152,014 293,395 - - - - 230 - Code Enforcement Fund 798,649 855,475 533,993 304,094 144,841 38,190 - - - - 266 - MVH Restricted Fund 452,747 274,814 92,676 - - - - - - -
279 - IT / Innovation / 311 Call Center 1,144,402 738,206 375,899 146,702 - - - - - -
287 - Fire Department Capital 5,298,465 4,503,290 3,502,598 2,656,765 2,078,645 1,630,419 1,215,000 830,000 425,000 0 312 - 2017 Parks Bond Debt Service 8,760,000 7,840,000 6,900,000 5,925,000 4,925,000 3,880,000 2,815,000 1,710,000 580,000 - 350 - 2018 Fire Station #9 Bond Debt Service 3,755,000 3,525,000 3,290,000 3,050,000 2,795,000 2,540,000 2,275,000 2,000,000 1,720,000 1,430,000
433 - Redevelopment General 11,065,000 10,630,000 10,180,000 9,720,000 9,240,000 8,755,000 8,255,000 7,745,000 7,220,000 6,685,000
456 - Redev Auth Lease Rental Revenue Bonds - Series 2023A 29,155,000 28,625,000 27,295,000 25,780,000 24,080,000 22,205,000 19,940,000 17,410,000 14,875,000 12,270,000
457 - 2024 RDA Lease Rental Revenue Bond Series B 24,480,000 24,320,000 23,715,000 22,920,000 21,955,000 20,870,000 19,395,000 17,535,000 15,675,000 13,345,000 458 - 2024 RDA Bond Proceeds (Four Winds)44,860,000 44,130,000 42,610,000 41,020,000 39,350,000 37,590,000 35,740,000 33,795,000 31,755,000 29,610,000 672 - Century Center Energy Conservation Debt Svc 2,169,315 1,853,754 1,531,790 1,203,261 868,002 525,843 176,508 - - -
Public Works 79,558,670 73,839,275 67,796,427 57,981,379 52,227,488 46,860,395 41,852,000 36,843,000 33,016,000 29,970,000
202 - Motor Vehicle Highway 5,107,649 5,942,262 4,118,151 2,500,153 1,152,014 293,395 - - - -
611 - Solid Waste Capital 4,010,670 2,826,925 1,684,630 826,485 236,502 - - - - - 625 - Water Works Sinking (Debt Service)22,388,517 21,302,144 20,169,882 15,091,701 13,882,571 12,623,459 11,314,000 10,334,000 9,337,000 7,983,000 649 - Sewage Sinking (Debt Service)58,720,000 51,985,000 47,869,000 43,620,000 39,273,000 34,983,000 30,538,000 26,509,000 23,679,000 21,987,000
TIF Funds 79,408,259 74,914,144 67,991,882 60,948,701 53,634,571 46,039,459 38,660,000 32,540,000 26,130,000 20,205,000
324 - TIF - River West Development Area 33,817,742 32,850,000 29,615,000 26,420,000 23,120,000 19,690,000 16,655,000 13,975,000 11,145,000 8,570,000
436 - TIF - River East Residential (NE Res)40,030,000 37,325,000 34,500,000 31,555,000 28,485,000 25,310,000 22,005,000 18,565,000 14,985,000 11,635,000 625 - Water Works Sinking (Debt Service)22,388,517 21,302,144 20,169,882 15,091,701 13,882,571 12,623,459 11,314,000 10,334,000 9,337,000 7,983,000 649 - Sewage Sinking (Debt Service)58,720,000 51,985,000 47,869,000 43,620,000 39,273,000 34,983,000 30,538,000 26,509,000 23,679,000 21,987,000
Grand Total 318,643,014 300,664,197 275,084,614 246,306,277 221,992,700 198,883,719 176,778,508 155,733,000 135,551,000 116,445,000
Principal Balance by Purpose 12/31/24 12/31/25 12/31/26 12/31/27 12/31/28 12/31/29 12/31/30 12/31/31 12/31/32 12/31/33
Building Projects 23,864,053 21,098,754 19,566,790 17,998,261 16,358,002 14,680,843 12,941,508 11,320,000 9,825,000 8,270,000 2013 Fire Station #5 & Training Tower Bonds 3,170,000 2,880,000 2,575,000 2,260,000 1,930,000 1,580,000 1,215,000 830,000 425,000 -
2014 PSAP Center Bonds 1,294,738 - - - - - - - - -
2015 Century Center Solar Panels 2,169,315 1,853,754 1,531,790 1,203,261 868,002 525,843 176,508 - - -
2018 Fire Station #9 Bonds 3,755,000 3,525,000 3,290,000 3,050,000 2,795,000 2,540,000 2,275,000 2,000,000 1,720,000 1,430,000 2018 Zoo Bonds 2,410,000 2,210,000 1,990,000 1,765,000 1,525,000 1,280,000 1,020,000 745,000 460,000 155,000 2022 MPAC Bonds 5,910,000 5,710,000 5,505,000 5,295,000 5,075,000 4,850,000 4,620,000 4,380,000 4,135,000 3,885,000
2022 Zoo Bonds 5,155,000 4,920,000 4,675,000 4,425,000 4,165,000 3,905,000 3,635,000 3,365,000 3,085,000 2,800,000
Capital Leases 22,647,702 21,953,299 14,313,942 8,176,315 3,519,127 796,417 0 0 0 0 Economic Development 164,957,742 160,640,000 151,920,000 142,705,000 132,845,000 122,395,000 111,365,000 99,835,000 87,945,000 75,430,000 2013 Century Center Special Tax Bonds 535,000 160,000 - - - - - - - - 2015 Eddy St Commons Parking Garage Bonds 18,015,000 16,175,000 14,255,000 12,260,000 10,190,000 8,060,000 5,855,000 3,570,000 1,210,000 -
2015 Smart Streets Bonds 17,330,000 16,170,000 14,980,000 13,750,000 12,485,000 11,180,000 9,840,000 8,455,000 7,025,000 5,555,000
2017 Eddy St Commons Phase II Bonds 22,015,000 21,150,000 20,245,000 19,295,000 18,295,000 17,250,000 16,150,000 14,995,000 13,775,000 11,635,000
2019 South Shore Double Tracking Bonds 4,900,000 4,105,000 3,270,000 2,390,000 1,470,000 500,000 - - - - 2020 Library Bonds 3,475,000 3,235,000 2,990,000 2,740,000 2,480,000 2,210,000 1,940,000 1,660,000 1,375,000 1,085,000 2023 Neigborhood Bonds 29,155,000 28,625,000 27,295,000 25,780,000 24,080,000 22,205,000 19,940,000 17,410,000 14,875,000 12,270,000
2024 Four Winds Field 44,860,000 44,130,000 42,610,000 41,020,000 39,350,000 37,590,000 35,740,000 33,795,000 31,755,000 29,610,000
2024 Madison Lifestyle District 24,480,000 24,320,000 23,715,000 22,920,000 21,955,000 20,870,000 19,395,000 17,535,000 15,675,000 13,345,000 2025 TIF Bonds - 2,570,000 2,560,000 2,550,000 2,540,000 2,530,000 2,505,000 2,415,000 2,255,000 1,930,000 Other 192,742 - - - - - - - - - Park Bonds 19,745,000 17,790,000 15,795,000 13,725,000 11,600,000 9,385,000 7,115,000 4,765,000 2,350,000 935,000
2015 Park Bonds 3,600,000 3,340,000 3,080,000 2,810,000 2,530,000 2,235,000 1,930,000 1,610,000 1,280,000 935,000
2017 Park Bonds 8,760,000 7,840,000 6,900,000 5,925,000 4,925,000 3,880,000 2,815,000 1,710,000 580,000 - 2018 TIF Park Bonds 7,385,000 6,610,000 5,815,000 4,990,000 4,145,000 3,270,000 2,370,000 1,445,000 490,000 - Streets Infrastructure 6,320,000 5,895,000 5,450,000 4,990,000 4,515,000 4,020,000 3,505,000 2,970,000 2,415,000 1,840,000
Wastewater/Sewer Infrastructure 58,720,000 51,985,000 47,869,000 43,620,000 39,273,000 34,983,000 30,538,000 26,509,000 23,679,000 21,987,000
Water Works Infrastructure 22,388,517 21,302,144 20,169,882 15,091,701 13,882,571 12,623,459 11,314,000 10,334,000 9,337,000 7,983,000
Grand Total 318,643,014 300,664,197 275,084,614 246,306,277 221,992,700 198,883,719 176,778,508 155,733,000 135,551,000 116,445,000
Note: Does not include interfund loans.
Debt Summary - Principal Balance (December 31, 2024 through 2033)
City of South Bend, Indiana 2026 Budget
Page 87
Detailed Financial Discussion
Personnel
2026 Budget - Full Time Positions
by Department
2026
Budget
% of
Total
08 - Police Department 310 25.4%
06 - Public Works 275 22.6%
09 - Fire Department 264 21.7%
11 - Venues, Parks & Arts 115 9.4%
10 - Community Investment 90 7.4%
04 - Administration & Finance 81 6.6%
07 - Innovation & Technology 48 3.9%
05 - Legal Department 14 1.1%
03 - Common Council 9 0.7%
01 - Mayor's Office 9 0.7%
02 - City Clerk 4 0.3%
Grand Total 1,219 100.0%
City of South Bend, Indiana 2026 Budget
Page 88
2024
Budget
2025
Budget
2026
Budget
2025-26
Net
Change Notes
101 - General Fund 660 672 679 7
010 - Mayor 8 8 8 -
012 - Community Police Review Office 1 1 1 -
020 - City Clerk 4 4 4 -
030 - Common Council 10 11 9 (2) (A)
041 - Finance 19 24 28 4 (B) (C) (D)
042 - Human Resources 7 7 6 (1) (E)
043 - Diversity & Inclusion 3 3 2 (1) (F)
044 - Human Rights General 4 6 6 -
050 - Legal Dept 14 13 14 1 (G)
080 - Police General 294 299 302 3 (H)
083 - Crime Lab 7 7 8 1 (I)
090 - Fire General 256 256 260 4 (J)
092 - EMS 4 4 4 -
500 - Engineering 29 29 27 (2) (K)
201 - Parks & Recreation 103 111 105 (6)
011 - Community Initiatives 8 8 5 (3) (L) (M) (N)
200 - Park Administration 5 4 2 (2) (D)
201 - Park Maintenance 44 44 38 (6) (O) (P)
206 - Visitor Experience - 13 21 8 (P) (Q)
220 - Golf Courses 9 9 8 (1) (R)
230 - General Recreational Experiences 11 7 8 1 (S)
231 - Development & Promotions 10 10 10 -
237 - General Community Programming 16 16 13 (3) (N) (T)
202 - Motor Vehicle Highway 63 65 65 -
503 - Streets 55 57 57 -
505 - Curb & Sidewalk 8 8 8 -
211 - Dept of Community Investment Operating 30 30 27 (3)
120 - Community Investment 26 26 24 (2) (C) (U)
124 - Historic Preservation 2 2 2 -
132 - Sustainability 2 2 1 (1) (V)
222 - Central Services 39 38 37 (1)
450 - Equipment Services 31 30 30 -
453 - Radio Shop 3 3 2 (1) (W)
454 - Building Maintenance 4 3 3 -
455 - Facilities Management 1 2 2 -
230 - Code Enforcement Fund 47 47 46 (1)
100 - Neighborhood Services & Enforcement 38 37 35 (2) (C) (X)
105 - Animal Resource Center 9 10 11 1 (Y)
258 - Human Rights Federal Grants 2 2 2 -
045 - Human Rights - EEOC 1 1 1 -
046 - Human Rights - HUD 1 1 1 -
279 - IT / Innovation / 311 Call Center 47 47 48 1
070 - 311 Call Center 15 15 16 1 (Z)
071 - Information Technology 32 32 32 -
600 - Consolidated Building Fund 16 17 17 -
060 - Building Dept 16 17 17 -
602 - Morris Performing Arts Center Operations 8 8 8 -
292 - Morris PAC 8 8 8 -
Personnel Budget Summary
City of South Bend, Indiana 2026 Budget
Page 89
Notes: Changes from 2025 to 2026
(A) Two staff shifted from Common Council to City Clerk
(B) New Position of 'Senior Director of Dept Finance' and Reduction of 1 'Director of Dept Finance'
(C) Transfer of 2 Positions from Dept of Community Investment to Administration & Finance: '2 Financial Specialist III' (D) Transfer of 2 Positions from VPA to Administration & Finance: '2 Senior Financial Officer'
(E) Reduction of 2 'HR Generalist' and Addition of 1 'HR Generalist - Senior'
(F) Reduction of 1 'Contract Compliance Administrator'
(G) Addition of 1 'Ordinance Violations Bureau Clerk'
(H) Reduction of 1 'Financial Spec III' and Addition of 2 'PO Crime Intelligence Analyst' and 1 'PO Crime Intelligence Analyst-
SIO' (I) Reduction of 1 'Firearm & Toolmrk Ex Tr-DB Day' and 1 'Firearms IBIS/NIBIN Tech-DB Day' and Addition of 3 'Forensic Lab Tech-DB Day'
(J) Reduction of '8FF3-GF' and Addition of 1 'Digital Comm & Multimedia Tr Coord', 3 'Sworn Firefighter', and 8 'FF2-GF'
(K) Reduction of 1 'Admin Asst II L-PW/G-ENG', 1 'Asst City Engineer-Engineering', 1 'Senior Inspector-Engineering' and
Addition of 1 'Dir of Project Management'
(L) Reduction of 1 'Admin Asst II-Community Initiative' and 2 'Violence Prev Coord II' and Addition of 1 'OVP Program Manager'
(M) Transfer of 2 Positions from Community Initiatives to Community Programming: 'Project Manager-Community Initiatives'
(N) Transfer of 1 Position from Community Programming to Community Initiatives: 'Program Coordinator'
(O) Addition of 1 'Executive Assistant-Park Maint' and Reduction of 1 'Manager-Parks', 1 'Equipment Operator II-Park Maint',
and 1 'Custodian-Rum Village'; and Reduction of 1 'Group Leader-Recreation-Park Main', and 1 'Job Leader-Park Maint'
(P) Transfer of 2 Positions from Park Maintenance to Visitor Experience: 1 'Group Leader-Plaza-Park Main' and 1 'Group Leader-
Recreation-Park Main' (Q) Addition of 1 'Manager-Parks', 4 'General-Laborer', 2 'Head Custodian', and 1 'Job Leader; and Reduction of 1 'Group Leader-
Custodian' and 1 'Head Custodian-MLK'
(R) Reduction of 1 'Club Pro Municipal Golf Course' and 1 'Mechanic IV-Golf'; and Addition of 1 'Golf Hospitality Events Manager'
(S) Reduction of 1 'Admin Assistant II' and Addition of 2 'Athletic Field Maintenance'
(T) Reduction of 1 'Youth Employment Program Coordinator' and 1 'Athletic Field Mtce-Community Programming'
(U) Reduction of 1 'Business Development Spec-DCI' and 1 'Workforce Development Coordinator-DCI'; and Addition of '1 Manager-Business Development' (V) Reduction of 1 'Project Manager-Sustainability'
(W) Reduction of 1 'Radio Equipment Installation Tech' and 1 'Radio Technician II'; and Addition of 1 'Radio Technician III'
(X) Reduction of 1 'Neighborhood Program Sp-Neighborhoods'
(Y) Addition of 1 'Director-Animal Resource Center', 1 'Shelter Operations', and 1 'Field Operations Supervisor'; and Reduction
of 1 'Manager-Animal Resource Center', and 1 'Manager-Asst Animal Resource Center' (Z) Addition of 1 'City Hall Executive Administrator'
(AA) Reduction of 1 'Manager-Ops-Wastewater' and 1 'SCADA Instrument Sp-Wastewater'; and Addition of 1 'SCADA
Integration Analyst-Wastewater'
(AB) Reduction of 1 'Custodian-Century Ctr', 2 'Security Guard-Century Ctr', 1 'Director of Ops-Venues-Century Ctr', and 1
'General Manager-Venues L-Ven/G-Cen'.
2024
Budget
2025
Budget
2026
Budget
2025-26
Net
Change Notes
610 - Solid Waste Operations 25 25 25 -
512 - Solid Waste 25 25 25 -
620 - Water Works Operations 69 65 65 -
608 - WW Admin & General 69 65 65 -
640 - Sewer Repair Insurance 2 2 2 -
510 - Sewer Repair 2 2 2 -
641 - Sewage Works Operations 91 91 90 (1)
509 - Sewers 35 35 35 -
511 - Concrete Crew 4 4 4 -
514 - Wastewater 45 45 44 (1) (AA)
515 - Organic Resources 7 7 7 -
667 - Storm Sewer Fund - - 1 1
517 - Storm Sewer - - 1 1
670 - Century Center Operations 7 7 2 (5)
295 - CC City Operations 7 7 2 (5) (AB)
Grand Total 1,209 1,227 1,219 (8)
Personnel Budget Summary
City of South Bend, Indiana 2026 Budget
Page 90
DEPARTMENTAL INFORMATION
City of South Bend, Indiana 2026 Budget
Page 91
Departmental Information & Summaries
For the purposes of simplifying and presenting financial information in this budget, the City is organized into six
departments as follows:
1) General Government: Includes the Mayor’s Office, City Clerk’s Office, Common Council, Controller’s Office,
Legal Department, Human Resources, Department of Innovation & Technology, Central Services, Office of
Diversity & Inclusion, Human Rights Commission, and employee benefits/insurance.
2) Public Works: Includes Water Works, Wastewater, Solid Waste, Streets & Sewers, Organic Resources, and
Engineering.
3) Police Department
4) Fire Department
5) Venues, Parks & Arts: Includes the administration & maintenance of South Bend’s parks, golf courses, and
community centers. Also includes the operations of the Morris Performing Arts Center, the Palais Royale
Ballroom, the Century Center Convention Center, and the City owned parking garages.
6) Department of Community Investment: Includes all economic development activities including
administration of the Redevelopment Commission-controlled funds. This department also includes the
Building Department, which is responsible for building and zoning administration, and the Neighborhoods
Division, which includes Code Enforcement, the Animal Resource Center, Rental Unit Inspection activities,
and the Neighborhood Enforcement Action Team (NEAT).
The departmental pages that follow include a detail of expenditures by department.
All self-employed insurance costs and one-time ARP-funded costs are counted in general government. Full budget
presentation of each fund (including both revenues and expenditures) is presented in the section titled “Fund
Information”.
City of South Bend, Indiana 2026 Budget
Page 92
Department Summary Sheets
City of South Bend, Indiana 2026 Budget
Page 93
Department Purpose
The General Government budget summary includes the Mayor's Office, the City Clerk's Office, the Common Council, the Controller's Office, Legal Department, Department of Innovation & Technology, Central Services, Office of Diversity & Inclusion, Human Rights, and Human Resources. The purpose of these departments is to provide fiscal
management and administrative services to the City's operational departments, thereby facilitating the timely, effective delivery of services to South Bend residents. The Innovation & Technology department includes the operations of the City's 311 Call Center.
Explanation of Revenue Sources
The Mayor's Office, City Clerk's Office, Common Council, Controller's Office, Legal Department, Office of Diversity & Inclusion, and Human Resources are funded by property taxes and other revenue from the General Fund. The Department of Innovation & Technology is funded by an allocation to City departments. Central Services is funded by charges for services to City departments and external customers. Human Rights is partially funded by property taxes in the General Fund but also receives funding from HUD and EEOC grants tracked in the Human Rights Grant Fund. Refer to individual fund budgets in the "Fund Information" section for more information.
Explanation of Expenditures, Staffing, and Significant Changes/Variance Refer to individual fund budgets in the "Fund Information" section for more information.
2023 2024
2025Adopted 2025Amended 2026Adopted 2027 2028 2029 2030
$Change %Change
101 - General Fund 18,993,337 18,194,220 13,009,553 35,562,472 12,906,931 12,333,796 12,596,824 13,032,446 13,128,832 (22,655,541) -64%
217 - Gift, Donation, Bequest 83,900 2,971 9,000 14,000 14,000 14,000 14,000 14,000 14,000 - 0%
222 - Central Services 10,150,004 11,050,762 12,542,193 12,644,758 12,154,141 13,043,266 13,757,888 14,756,669 15,859,657 (490,616) -4%
226 - Liability Insurance 3,021,317 3,098,324 3,808,050 4,122,275 4,031,500 3,779,500 3,789,095 3,798,786 3,808,574 (90,775) -2%
258 - Human Rights Federal Grants 196,770 231,051 355,177 381,927 384,878 290,652 296,161 301,807 307,595 2,950 1%
263 - American Rescue Plan 945,227 9,321,898 - 24,553 - - - - - (24,553) -100%
279 - IT / Innovation / 311 Call Center 9,426,505 12,510,360 15,012,050 18,175,507 15,058,810 13,568,947 13,876,466 13,669,691 13,809,475 (3,116,697) -17%
404 - Local Income Tax - Certified Shares 13,172,117 47,676 - 45,564 - - - - - (45,564) -100%
406 - Cumulative Capital Development 458,333 500,000 500,000 500,000 500,000 450,000 450,000 450,000 450,000 - 0%
407 - Cumulative Capital Improvement 275,000 75,000 75,000 75,000 75,000 50,000 50,000 50,000 50,000 - 0%
408 - Local Income Tax - Economic Development 64,117 2,815,305 - 7,995,506 - - - - - (7,995,506) -100%
413 - Professional Sports Convention Development Area - 4,020,000 - - 1,760,500 - - - - 1,760,500 0%
711 - Self-Funded Employee Benefits 19,237,373 18,734,663 20,823,322 21,512,637 19,492,503 21,241,308 22,208,979 23,223,411 24,286,910 (2,020,134) -9%
713 - Unemployment Compensation 77,693 77,729 - 82,500 82,500 - - - - - 0%
714 - Parental Leave Fund 83,396 78,021 150,000 150,000 100,000 102,500 105,063 107,689 110,381 (50,000) -33%
752 - South Bend Redevelopment Authority 795,927 4,686,781 6,733,009 6,733,009 9,400,546 11,270,398 11,505,526 11,662,632 12,058,695 2,667,537 40%
755 - South Bend Building Corporation 2,202,118 1,424,543 1,430,605 1,430,605 1,436,855 1,438,855 1,431,355 1,436,312 1,445,255 6,250 0%
Expenditures by Fund 79,183,133 86,869,305 74,447,958 109,450,313 77,398,163 77,583,222 80,081,357 82,503,443 85,329,374 (32,052,149) -29%
010 - Mayor 1,029,047 1,153,035 1,391,226 1,392,763 1,366,859 1,346,849 1,379,554 1,413,101 1,447,513 (25,904) -2%
020 - City Clerk 550,428 539,960 626,828 649,328 572,863 573,205 585,859 598,838 612,148 (76,464) -12%
030 - Common Council 650,968 600,357 1,001,369 1,103,064 850,952 757,071 771,302 785,898 800,867 (252,112) -23%
040 - General City 28,957,581 32,073,482 10,240,838 40,508,116 14,835,099 14,601,307 14,829,359 15,171,859 15,397,315 (25,673,017) -63%
050 - Legal Department 1,581,443 1,804,101 2,117,787 2,199,109 2,058,016 2,137,015 2,189,858 2,244,058 2,299,648 (141,093) -6%
070 - 311 Call Center 675,189 1,203,133 1,429,380 1,429,380 1,565,275 1,549,122 1,586,443 1,624,697 1,663,906 135,895 10%
071 - Information Technology 8,869,495 11,307,227 13,582,670 16,746,128 13,493,535 12,019,824 12,290,023 12,044,995 12,145,568 (3,252,592) -19%
400 - Controller's Office 3,368,923 3,793,592 4,859,328 4,945,778 5,211,705 4,782,963 4,904,750 5,015,491 5,143,264 265,927 5%
401 - Diversity & Inclusion 402,397 538,121 735,607 745,807 458,509 557,174 566,374 575,817 585,509 (287,297) -39%
402 - Human Rights 527,880 786,334 1,127,362 1,206,672 1,112,706 1,092,117 1,116,808 1,142,135 1,168,114 (93,966) -8%
403 - Central Services 10,150,004 11,050,762 12,542,193 12,644,758 12,154,141 13,043,266 13,757,888 14,756,669 15,859,657 (490,616) -4%
405 - Liability Insurance 3,021,317 3,098,324 3,808,050 4,122,275 4,031,500 3,779,500 3,789,095 3,798,786 3,808,574 (90,775) -2%
406 - Health Insurance and Benefits 19,398,461 18,913,414 20,973,322 21,745,137 19,675,003 21,343,808 22,314,042 23,331,100 24,397,291 (2,070,134) -10%
Expenditures by Division 79,183,133 86,861,841 74,435,958 109,438,313 77,386,163 77,583,222 80,081,357 82,503,443 85,329,374 (32,052,149) -29%
01 - Personnel 28,315,689 31,039,094 36,471,284 37,287,804 35,325,967 37,392,637 38,780,313 40,225,432 41,730,572 (1,961,836) -5%
01 - Salaries & Wages 8,561,544 10,551,167 12,448,777 12,529,697 12,805,459 13,071,315 13,398,097 13,733,050 14,076,376 275,762 2%
02 - Fringe Benefits 3,080,033 3,706,966 5,271,180 5,294,116 5,065,008 5,189,876 5,319,623 5,452,613 5,588,929 (229,108) -4%
03 - Other Personnel Costs 16,674,112 16,780,961 18,751,327 19,463,991 17,455,500 19,131,447 20,062,593 21,039,769 22,065,267 (2,008,491) -10%
02 - Supplies 6,816,871 7,707,713 8,142,318 9,078,899 7,364,891 8,620,324 9,380,723 10,244,274 11,226,125 (1,714,008) -19%
04 - Supplies 6,816,871 7,707,713 8,142,318 9,078,899 7,364,891 8,620,324 9,380,723 10,244,274 11,226,125 (1,714,008) -19%
03 - Services 22,441,565 19,910,409 18,098,527 33,038,339 18,295,633 15,762,110 15,795,784 16,019,951 15,881,440 (14,742,706) -45%
05 - Professional Services 4,228,789 3,354,377 3,805,030 6,215,726 3,587,808 3,037,218 3,074,505 3,071,218 3,100,365 (2,627,918) -42%
06 - Repairs & Maintenance 5,736,309 6,531,443 8,015,030 8,536,779 8,006,342 6,943,590 6,911,805 6,930,605 6,913,805 (530,437) -6%
07 - Grants & Subsidies 7,109,377 3,560,822 406,594 10,556,813 412,000 398,451 398,451 398,451 398,451 (10,144,813) -96%
08 - Utilities 68,323 60,520 80,881 80,881 235,261 80,542 82,153 83,797 85,472 154,380 191%
09 - Printing & Advertising 156,024 170,167 210,240 240,613 177,313 153,440 153,787 154,141 154,502 (63,300) -26%
10 - Insurance 2,656,642 2,995,922 2,935,445 2,951,777 2,976,403 2,891,403 2,916,236 2,941,470 2,967,112 24,626 1%
11 - Education & Training 94,889 87,302 301,050 296,796 224,669 296,630 296,630 296,630 296,630 (72,127) -24%
12 - Travel 86,217 98,418 136,350 152,679 121,207 124,350 124,350 124,350 124,350 (31,472) -21%
13 - Bad Debt (100) - - - - - - - - - 0%
14 - Other Services & Charges 2,305,096 3,051,437 2,207,907 4,006,276 2,554,630 1,836,486 1,837,867 2,019,289 1,840,753 (1,451,646) -36%
04 - Capital 1,263,774 12,374,665 7,200 18,121,503 154,000 154,000 - - - (17,967,503) -99%
15 - Capital 1,263,774 12,374,665 7,200 18,121,503 154,000 154,000 - - - (17,967,503) -99%
05 - Debt Service 3,881,704 6,870,519 8,900,859 9,095,792 11,436,564 12,877,930 13,280,030 13,098,944 13,503,950 2,340,772 26%
16 - Debt Service Principal 2,660,933 3,900,466 4,720,608 4,890,752 6,546,322 7,252,394 7,729,585 8,140,000 9,175,000 1,655,570 34%
17 - Debt Service Interest & Fees 1,220,771 2,970,053 4,180,251 4,205,040 4,890,242 5,625,536 5,550,445 4,958,944 4,328,950 685,201 16%
06 - Interfund Transfers 16,463,530 8,966,904 2,827,770 2,827,976 4,821,109 2,776,220 2,844,507 2,914,842 2,987,287 1,993,133 70%
19 - Interfund Allocations 1,730,387 2,037,904 2,252,770 2,252,770 2,485,609 2,276,220 2,344,507 2,414,842 2,487,287 232,838 10%
20 - Interfund Transfers Out 14,733,143 6,929,000 575,000 575,206 2,335,500 500,000 500,000 500,000 500,000 1,760,294 306%
Total Expenditures 79,183,133 86,869,305 74,447,958 109,450,313 77,398,163 77,583,222 80,081,357 82,503,443 85,329,374 (32,052,149) -29%
Expenditures by Fund
Expenditures by Division
Expenditures by Category & Subcategory
Note: Refer to Individual Fund Summaries for Further Detail
Department Summaries
Administration & Finance
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 94
Department Purpose The Department of Public Works builds the foundation for a thriving city by providing essential services and developing sustainable assets and infrastructure, enhancing the community's quality of life. The following divisions operate under the Department of Public Works: Engineering manages the development and expansion of the City’s infrastructure. It oversees Public Works projects from setting the standards to issuing the permits, administering the contracts, and inspecting construction. | Streets repairs and maintains 2,200 lane miles of road surface in the city limits. Traffic & Lighting (a function of the Streets division) repairs and replaces traffic signs, signals, and city-owned streetlights. | Solid Waste provides weekly trash collection service to South Bend residents. | Water Works provides water service to South Bend residents. Water Works solely utilizes groundwater to serve more than 112,000 customers. There are nine well fields which can produce water to be treated before making its way to homes and businesses via 550+ miles of water main. Water Works staff regularly conducts thorough testing on the groundwater before, during and after treatment, as well as throughout the distribution system. Water being distributed meets or exceeds all drinking water regulations. | Wastewater facilitates the collection, treatment, and disposal of wastewater. It is responsible for the operation of the treatment facility, which is a conventional activated sludge plant, the interceptor sewer system, the combined sewer overflow (CSO) system and the remote sewage lift stations. | Sewers oversees the repair and maintenance of sanitary sewer and storm drains. | Organic Resources recycles collected yard waste, leaves, and brush for compost and mulch products.
Explanation of Revenue Sources
This department is primarily funded by charges for services rendered, particularly through the water and wastewater utility funds. However, it also receives a significant amount of tax support, especially for activities related to street maintenance, traffic & lighting, and the Engineering division (which is accounted for in the General Fund).
Explanation of Expenditures, Staffing, and Significant Changes/Variance
A significant percentage of the budget in the Public Works department is dedicated to capital projects.
2023 2024
2025Adopted 2025Amended 2026Adopted 2027 2028 2029 2030
$Change %Change
101 - General Fund 9,536,192 12,351,631 11,031,368 12,767,228 9,067,247 7,395,047 7,542,710 7,693,989 7,848,974 (3,699,981) -29%202 - Motor Vehicle Highway 10,677,672 15,010,836 18,327,244 21,694,665 18,917,005 19,758,768 16,940,686 16,330,268 15,808,029 (2,777,660) -13%
217 - Gift, Donation, Bequest - 5,295,688 - 1,704,312 - - - - - (1,704,312) -100%
227 - Loss Recovery - - 210,000 410,000 210,000 - - - - (200,000) -49%
251 - Local Road & Street 3,372,745 3,269,691 2,350,000 2,504,636 750,000 1,450,000 1,500,000 1,450,000 1,100,000 (1,754,636) -70%
257 - LOIT Special Distribution 189,096 - - 53,339 - - - - - (53,339) -100%265 - Local Road & Bridge Grant 3,105,996 1,229,350 3,000,000 3,993,345 3,000,000 3,000,000 3,000,000 3,000,000 3,000,000 (993,345) -25%
266 - MVH Restricted Fund 4,412,010 2,955,898 3,373,407 3,670,924 2,655,211 3,642,946 3,248,993 3,057,994 3,068,355 (1,015,713) -28%
404 - Local Income Tax - Certified Shares - 99,875 - - - - - - - - 0%
408 - Local Income Tax - Economic Development 3,024,499 1,039,895 5,693,900 7,616,810 7,396,700 693,700 690,200 691,000 691,000 (220,110) -3%412 - Major Moves Construction 759,056 884,900 140,892 762,824 - 150,000 150,000 148,000 121,060 (762,824) -100%
455 - 2021 Infrastructure Bond Capital 1,236,390 276,767 - 446,483 - - - - - (446,483) -100%
610 - Solid Waste Operations 7,616,354 7,679,398 8,495,391 8,662,231 9,009,550 8,413,985 8,285,667 8,059,147 7,996,469 347,319 4%
611 - Solid Waste Capital 977,143 3,866,961 1,338,315 3,310,370 2,865,120 1,761,381 1,801,079 1,615,818 1,596,240 (445,250) -13%620 - Water Works Operations 19,134,577 17,801,468 23,377,629 25,351,815 25,032,384 25,793,127 22,188,092 22,790,716 22,913,609 (319,431) -1%
622 - Water Works Capital 4,237,907 2,172,531 10,758,520 20,772,049 33,216,550 3,490,000 8,481,000 - - 12,444,501 60%
625 - Water Works Sinking (Debt Service)1,401,675 1,090,143 1,474,793 3,646,688 2,283,991 1,175,757 1,473,245 1,494,653 964,085 (1,362,697) -37%
640 - Sewer Repair Insurance 925,437 994,942 1,333,271 1,413,156 1,309,343 1,098,785 1,109,350 1,120,189 1,131,310 (103,813) -7%
641 - Sewage Works Operations 37,432,072 31,647,467 53,037,571 55,601,832 43,423,310 39,652,662 40,304,862 39,441,576 40,186,639 (12,178,523) -22%642 - Sewage Works Capital 3,265,885 4,317,807 10,362,670 33,679,967 11,320,000 6,450,000 5,203,000 5,015,000 4,925,000 (22,359,967) -66%
649 - Sewage Sinking (Debt Service)7,496,591 7,623,195 8,413,405 10,584,228 5,629,113 5,643,380 5,618,744 5,433,330 5,454,554 (4,955,116) -47%
655 - Project ReLeaf 365,307 397,704 469,686 469,686 456,177 461,992 465,798 469,703 473,708 (13,509) -3%
667 - Storm Sewer Fund 676,423 1,601,475 1,217,834 2,401,129 1,352,842 1,186,963 1,189,137 1,191,366 1,215,650 (1,048,287) -44%Expenditures by Fund 119,843,028 121,607,625 164,405,898 221,517,717 177,894,543 131,218,493 129,192,564 119,002,748 118,494,681 (43,623,174) -20%
600 - Engineering 12,717,368 15,559,337 11,116,160 15,426,068 9,163,947 10,291,860 10,456,085 10,525,627 10,272,525 (6,262,121) -41%602 - Streets & Sewers 33,877,627 35,621,474 44,735,001 64,768,230 46,872,337 40,128,838 36,571,101 35,966,337 37,139,158 (17,895,893) -28%
603 - Solid Waste 8,593,497 11,546,359 9,833,706 11,972,601 11,874,670 10,175,366 10,086,746 9,674,965 9,592,709 (97,931) -1%
604 - Water Works 24,774,159 21,064,141 35,820,942 50,180,552 60,742,926 30,458,884 32,142,337 24,285,369 23,877,694 10,562,374 21%
605 - Sewage Works 39,880,377 37,816,313 62,900,089 79,170,266 49,240,663 40,163,546 39,936,294 38,550,451 37,612,595 (29,929,603) -38%Expenditures by Division 119,843,028 121,607,625 164,405,898 221,517,717 177,894,543 131,218,493 129,192,564 119,002,748 118,494,681 (43,623,174) -20%
01 - Personnel 22,245,746 22,781,661 29,068,045 29,068,045 28,295,878 29,003,275 29,728,357 30,471,566 31,233,355 (772,167) -3%01 - Salaries & Wages 15,981,726 16,471,262 20,124,694 20,117,194 20,113,555 20,616,394 21,131,804 21,660,099 22,201,601 (3,639) 0%
02 - Fringe Benefits 6,264,020 6,310,399 8,943,351 8,950,851 8,182,323 8,386,882 8,596,554 8,811,467 9,031,754 (768,528) -9%
02 - Supplies 8,084,019 7,817,270 11,071,081 12,267,709 9,813,790 9,972,544 10,178,810 10,405,726 10,640,403 (2,453,919) -20%
04 - Supplies 8,084,019 7,817,270 11,071,081 12,267,709 9,813,790 9,972,544 10,178,810 10,405,726 10,640,403 (2,453,919) -20%03 - Services 30,257,178 32,290,392 32,262,879 47,106,143 30,444,452 28,749,878 28,524,909 27,944,840 27,468,907 (16,661,691) -35%
05 - Professional Services 5,273,296 9,853,272 8,354,376 14,539,085 3,817,958 5,137,722 5,022,976 4,056,936 3,570,673 (10,721,128) -74%
06 - Repairs & Maintenance 13,764,201 11,179,657 10,575,478 15,111,547 11,479,679 10,638,290 10,743,275 10,696,458 10,701,420 (3,631,868) -24%
08 - Utilities 3,592,247 3,674,166 2,562,957 4,312,957 4,212,103 4,058,001 4,138,860 4,221,340 4,305,466 (100,854) -2%
09 - Printing & Advertising 25,985 14,273 32,852 45,783 44,585 32,572 32,872 33,177 33,488 (1,199) -3%11 - Education & Training 96,713 68,257 178,653 204,950 149,766 177,462 178,619 179,798 181,001 (55,184) -27%
12 - Travel 29,002 55,112 122,780 122,780 88,055 127,210 127,886 128,576 129,279 (34,725) -28%
13 - Bad Debt 974,862 1,005,201 513,500 767,705 916,000 400,273 400,273 400,273 400,273 148,295 19%
14 - Other Services & Charges 6,500,872 6,440,454 9,922,284 12,001,336 9,736,308 8,178,349 7,880,148 8,228,283 8,147,308 (2,265,028) -19%04 - Capital 10,471,868 13,940,815 21,445,029 59,577,145 50,881,800 17,324,276 18,300,204 9,566,126 9,554,240 (8,695,345) -15%
15 - Capital 10,471,868 13,940,815 21,445,029 59,577,145 50,881,800 17,324,276 18,300,204 9,566,126 9,554,240 (8,695,345) -15%
05 - Debt Service 11,221,189 11,719,270 13,640,023 18,079,835 12,322,434 9,825,848 9,583,189 8,272,322 7,091,927 (5,757,401) -32%
16 - Debt Service Principal 9,676,670 10,064,331 11,156,075 13,625,600 9,682,527 7,937,940 7,986,395 6,858,844 5,891,914 (3,943,073) -29%
17 - Debt Service Interest & Fees 1,544,519 1,654,939 2,483,948 4,454,235 2,639,907 1,887,908 1,596,794 1,413,478 1,200,013 (1,814,327) -41%06 - Interfund Transfers 37,563,027 33,058,217 56,918,840 55,418,840 46,136,188 36,342,671 32,877,095 32,342,168 32,505,848 (9,282,652) -17%
18 - PILOT 6,095,594 6,024,186 5,765,661 5,765,661 5,975,482 6,107,791 6,113,899 6,120,013 6,126,133 209,821 4%
19 - Interfund Allocations 12,312,396 14,528,090 15,570,096 15,570,096 14,975,773 15,173,012 15,628,202 16,097,048 16,579,960 (594,323) -4%
20 - Interfund Transfers Out 19,155,037 12,505,941 35,583,082 34,083,082 25,184,933 15,061,868 11,134,994 10,125,106 9,799,755 (8,898,150) -26%Total Expenditures 119,843,028 121,607,625 164,405,898 221,517,717 177,894,543 131,218,493 129,192,564 119,002,748 118,494,681 (43,623,174) -20%
Expenditures by Fund
Expenditures by Division
Expenditures by Category & Subcategory
Note: Refer to Individual Fund Summaries for Further Detail
Department Summaries
Public Works
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 95
Department Purpose
MISSION: The South Bend Police Department works to safeguard the lives and property of the people we serve, to reduce the incidence and fear of crime, and to resolve problems among residents. The Department, in partnership with our community, strives to protect the life, property, and the personal liberties of all individuals. We believe that the overall quality of life for all residents will improve through the deterrence of criminal activity and an understanding of the diversity of cultures within this community. We also work to build and sustain community-police relationships to advance a culture of trust and inclusion.
VISION: To constantly strive for excellence in the quality of police service to help ensure a safe community for everyone.
Explanation of Revenue Sources
The majority of the operations of the Police department (including the salaries of all sworn officers and civilian staff members, as well as all non-labor operating expenditures) are financed out of the General Fund, funded primarily through property taxes. In addition to the General Fund, a portion of sworn police officer wages are supported by the Local Income Tax Public Safety Fund (#249). The Police Department collects a small amount of revenue from fines for ordinance violations including false alarms, noise ordinance violations, and curfew violations. The Department receives reimbursement for officers working at various events and other units. Some grant revenues are received to support specific programs or purchases of equipment.
Explanation of Expenditures, Staffing, and Significant Changes/Variance Refer to individual fund budgets in the "Fund Information" section for more information.
2023 2024
2025Adopted 2025Amended 2026Adopted 2027 2028 2029 2030
$Change %Change
101 - General Fund 41,625,548 41,086,461 47,378,759 48,800,854 49,708,393 50,172,080 50,541,104 51,597,908 52,305,896 907,539 2%216 - Police State Seizures - - 22,000 22,000 22,000 22,000 22,000 22,000 22,000 - 0%
220 - Law Enforcement Continuing Education 709,459 904,620 509,250 1,205,168 589,250 469,250 469,250 469,250 469,250 (615,918) -51%
249 - Local Income Tax - Public Safety 4,749,279 6,928,340 6,200,339 6,200,339 7,380,618 7,565,133 7,754,262 7,948,118 8,146,821 1,180,279 19%
278 - Police Take Home Vehicle 1,040 - 50,000 50,000 - 50,000 50,000 50,000 50,000 (50,000) -100%299 - Police Federal Drug Enforcement 75,609 - 50,000 50,000 - 50,000 50,000 50,000 50,000 (50,000) -100%
404 - Local Income Tax - Certified Shares 1,138,217 1,138,217 - - - - - - - - 0%
406 - Cumulative Capital Development 260,548 48,541 391,096 391,096 - 2,559,775 2,943,550 767,550 767,550 (391,096) -100%
702 - Police Pension 6,110,205 6,053,170 6,007,949 6,011,449 5,986,400 6,132,775 6,285,884 6,442,821 6,603,682 (25,049) 0%
Expenditures by Fund 54,669,905 56,159,350 60,609,393 62,730,906 63,686,661 67,021,014 68,116,051 67,347,648 68,415,200 955,756 2%
080 - Police Department 48,559,701 50,106,180 54,601,444 56,719,457 57,700,261 60,888,239 61,830,166 60,904,826 61,811,518 980,805 2%081 - Police Pension 6,110,205 6,053,170 6,007,949 6,011,449 5,986,400 6,132,775 6,285,884 6,442,821 6,603,682 (25,049) 0%
Expenditures by Division 54,669,905 56,159,350 60,609,393 62,730,906 63,686,661 67,021,014 68,116,051 67,347,648 68,415,200 955,756 2%
01 - Personnel 39,449,292 40,841,901 43,637,696 43,637,696 46,455,040 47,616,416 48,806,827 50,026,997 51,277,672 2,817,344 6%
01 - Salaries & Wages 31,345,511 32,132,722 32,838,729 32,838,729 35,045,775 35,921,920 36,819,968 37,740,467 38,683,978 2,207,046 7%
02 - Fringe Benefits 8,103,781 8,709,178 10,798,967 10,798,967 11,409,265 11,694,497 11,986,859 12,286,531 12,593,694 610,298 6%
02 - Supplies 1,586,671 1,789,609 1,968,000 2,055,844 1,918,000 1,660,090 1,570,110 1,570,130 1,570,151 (137,844) -7%04 - Supplies 1,586,671 1,789,609 1,968,000 2,055,844 1,918,000 1,660,090 1,570,110 1,570,130 1,570,151 (137,844) -7%
03 - Services 3,233,971 2,898,816 3,022,207 3,150,949 2,585,207 3,230,307 3,234,183 3,238,136 3,242,169 (565,742) -18%
05 - Professional Services 1,195,070 806,825 736,500 845,627 739,500 736,500 736,500 736,500 736,500 (106,127) -13%
06 - Repairs & Maintenance 1,196,027 1,219,505 1,010,199 1,015,943 1,010,199 1,010,199 1,010,199 1,010,199 1,010,199 (5,744) -1%
07 - Grants & Subsidies 9,970 16,801 357,000 357,000 57,000 357,000 357,000 357,000 357,000 (300,000) -84%08 - Utilities 215,910 215,834 210,000 210,000 210,000 213,800 217,676 221,629 225,662 - 0%
09 - Printing & Advertising 74,591 30,381 155,000 155,000 45,000 155,000 155,000 155,000 155,000 (110,000) -71%
11 - Education & Training 127,213 129,532 185,000 198,871 185,000 185,000 185,000 185,000 185,000 (13,871) -7%
12 - Travel 47,240 74,516 55,750 55,750 75,750 55,750 55,750 55,750 55,750 20,000 36%13 - Bad Debt - - - - - 300 300 300 300 - 0%
14 - Other Services & Charges 367,952 405,423 312,758 312,758 262,758 516,758 516,758 516,758 516,758 (50,000) -16%
04 - Capital 3,664,559 2,888,311 3,242,410 3,911,193 2,776,000 5,058,000 5,058,000 2,882,000 2,882,000 (1,135,193) -29%
15 - Capital 3,664,559 2,888,311 3,242,410 3,911,193 2,776,000 5,058,000 5,058,000 2,882,000 2,882,000 (1,135,193) -29%05 - Debt Service 1,598,455 1,879,575 2,406,246 3,642,390 2,835,732 2,126,018 1,896,843 1,853,794 1,433,319 (806,658) -22%
16 - Debt Service Principal 1,528,630 1,809,411 2,212,314 3,320,835 2,533,363 1,941,360 1,826,259 1,771,723 1,357,213 (787,472) -24%
17 - Debt Service Interest & Fees 69,825 70,164 193,932 321,555 302,369 184,658 70,584 82,071 76,106 (19,186) -6%
06 - Interfund Transfers 5,136,956 5,861,138 6,332,834 6,332,834 7,116,682 7,330,183 7,550,088 7,776,591 8,009,888 783,848 12%
19 - Interfund Allocations 5,136,956 5,861,138 6,332,834 6,332,834 7,116,682 7,330,183 7,550,088 7,776,591 8,009,888 783,848 12%Total Expenditures 54,669,905 56,159,350 60,609,393 62,730,906 63,686,661 67,021,014 68,116,051 67,347,648 68,415,200 955,756 2%
Expenditures by Fund
Expenditures by Division
Expenditures by Category & Subcategory
Note: Refer to Individual Fund Summaries for Further Detail
Department Summaries
Police Department
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 96
Department Purpose
The South Bend Fire Department exists to provide our community with the highest quality emergency services protecting life and property through education, response, and dynamic outreach. The objective of the South Bend Fire Department is to provide rapid and efficient response to emergency medical incidents, fires, hazardous materials incidents, and complex rescue situations in order to safeguard the life and property of our citizens. This requires planning and development of response capabilities to ensure that future needs and the efficiency of operations are addressed. Public education and prevention services are provided to ensure citizen safety before an incident occurs. This is the safest and most cost-
effective method for providing public safety. The South Bend Fire Department endeavors to give the best emergency medical care available backed by evidence-based medical practices which give citizens the best chance for positive outcomes and continued quality of life. Providing the members of the South Bend Fire Department with the latest and best available equipment and training to perform their duties gives them the tools to effect the best possible outcomes when emergencies occur. The South Bend Fire Department is dedicated to providing expert-level service with an all-hazards approach to public safety.
Explanation of Revenue Sources The majority of the operations of the Fire Department (including the salaries of 8 civilian staff members and 256 sworn firefighters, as well as all non-labor operating expenditures) are financed out of the General Fund, funded primarily through property taxes. A portion of sworn firefighter wages are supported by the Local Income Tax Public Safety Fund (#249). The Fire Department recovers significant portion of the cost of EMS services through insurance and patient payments. The Fire Department's Special Operations Bureau manages the Indiana River Rescue School (IRRS) and receives revenue from tuition fees for participants. There are typically 2-4 schools a year, each a week in duration. Explanation of Expenditures, Staffing, and Significant Changes/Variance
Refer to individual fund budgets in the "Fund Information" section for more information.
2023 2024
2025Adopted 2025Amended 2026Adopted 2027 2028 2029 2030
$Change %Change
101 - General Fund 30,622,512 30,715,961 31,904,544 32,344,589 34,657,196 35,257,351 36,083,215 36,930,103 37,798,557 2,312,607 7%249 - Local Income Tax - Public Safety 4,749,279 6,928,340 7,678,294 7,678,294 7,380,618 7,565,133 7,754,262 7,948,118 8,146,821 (297,676) -4%
287 - Fire Department Capital 5,784,893 3,623,181 4,242,301 8,580,975 4,323,679 4,744,980 4,341,468 4,799,686 4,426,324 (4,257,296) -50%
289 - Haz-Mat - - 10,000 10,000 - 10,000 10,000 10,000 10,000 (10,000) -100%
291 - Indiana River Rescue 91,052 60,963 91,800 94,700 - 91,815 91,830 91,845 91,860 (94,700) -100%350 - 2018 Fire Station #9 Bond Debt Service 342,856 341,331 344,656 344,656 342,756 340,631 348,356 340,706 348,357 (1,900) -1%
408 - Local Income Tax - Economic Development - 8,371 - - - - - - - - 0%
701 - Fire Pension 4,043,751 3,985,174 4,522,797 4,526,297 4,525,250 4,636,550 4,752,068 4,870,473 4,991,839 (1,047) 0%
Expenditures by Fund 45,634,344 45,663,321 48,794,393 53,579,511 51,229,499 52,646,461 53,381,198 54,990,932 55,813,757 (2,350,011) -4%
090 - Fire Department 40,954,583 40,775,847 43,519,944 48,217,423 45,864,464 47,263,531 47,875,991 49,360,391 50,054,749 (2,352,959) -5%
091 - Fire Pension 4,043,751 3,985,174 4,522,797 4,526,297 4,525,250 4,636,550 4,752,068 4,870,473 4,991,839 (1,047) 0%092 - Emergency Medical Service 636,009 902,300 751,652 835,790 839,785 746,380 753,139 760,068 767,170 3,995 0%
Expenditures by Division 45,634,344 45,663,321 48,794,393 53,579,511 51,229,499 52,646,461 53,381,198 54,990,932 55,813,757 (2,350,011) -4%
01 - Personnel 32,763,905 33,789,822 37,256,125 37,256,125 39,651,084 40,642,361 41,658,420 42,699,881 43,767,378 2,394,959 6%
01 - Salaries & Wages 25,897,761 26,577,749 28,479,667 28,479,667 29,974,845 30,724,216 31,492,321 32,279,629 33,086,620 1,495,178 5%
02 - Fringe Benefits 6,866,144 7,212,072 8,776,458 8,776,458 9,676,239 9,918,145 10,166,099 10,420,252 10,680,758 899,781 10%
02 - Supplies 1,173,106 1,705,150 1,392,000 1,690,945 1,573,959 1,380,015 1,380,030 1,380,045 1,380,060 (116,986) -7%04 - Supplies 1,173,106 1,705,150 1,392,000 1,690,945 1,573,959 1,380,015 1,380,030 1,380,045 1,380,060 (116,986) -7%
03 - Services 2,550,572 3,151,958 2,348,950 2,496,449 2,256,396 2,364,400 2,383,628 2,403,239 2,423,243 (240,053) -10%
05 - Professional Services 703,465 553,037 543,400 547,549 473,653 540,000 540,000 540,000 540,000 (73,896) -13%
06 - Repairs & Maintenance 1,225,848 1,834,895 1,152,000 1,238,545 1,142,707 1,166,000 1,180,280 1,194,846 1,209,703 (95,838) -8%
08 - Utilities 292,340 301,507 327,500 327,500 327,500 332,350 337,298 342,343 347,490 - 0%09 - Printing & Advertising 5,229 2,779 36,300 36,733 20,000 36,300 36,300 36,300 36,300 (16,733) -46%
11 - Education & Training 158,872 203,836 144,000 185,787 138,786 144,000 144,000 144,000 144,000 (47,001) -25%
12 - Travel 34,408 58,519 30,350 30,630 38,350 30,350 30,350 30,350 30,350 7,720 25%
13 - Bad Debt 1,116 1,384 - - - - - - - - 0%14 - Other Services & Charges 129,294 196,002 115,400 129,705 115,400 115,400 115,400 115,400 115,400 (14,305) -11%
04 - Capital 4,072,497 1,662,885 1,807,708 5,860,379 1,190,000 2,170,000 1,995,000 2,586,000 1,695,000 (4,670,379) -80%
15 - Capital 4,072,497 1,662,885 1,807,708 5,860,379 1,190,000 2,170,000 1,995,000 2,586,000 1,695,000 (4,670,379) -80%
05 - Debt Service 1,337,427 1,554,666 2,028,051 2,314,053 1,922,187 2,164,337 1,932,319 1,792,081 2,313,957 (391,866) -17%16 - Debt Service Principal 1,163,939 1,384,500 1,751,156 1,952,852 1,643,952 1,969,016 1,770,674 1,642,414 2,127,000 (308,900) -16%
17 - Debt Service Interest & Fees 173,488 170,166 276,895 361,201 278,235 195,321 161,645 149,667 186,957 (82,966) -23%
06 - Interfund Transfers 3,736,837 3,798,840 3,961,559 3,961,559 4,635,874 3,925,347 4,031,801 4,129,686 4,234,120 674,314 17%
19 - Interfund Allocations 2,984,481 3,043,508 3,210,361 3,210,361 3,081,625 3,174,074 3,269,296 3,367,375 3,468,396 (128,736) -4%
20 - Interfund Transfers Out 752,356 755,332 751,199 751,199 1,554,249 751,274 762,505 762,311 765,724 803,050 107%Total Expenditures 45,634,344 45,663,321 48,794,393 53,579,511 51,229,499 52,646,461 53,381,198 54,990,932 55,813,757 (2,350,011) -4%
Expenditures by Fund
Expenditures by Division
Expenditures by Category & Subcategory
Note: Refer to Individual Fund Summaries for Further Detail
Department Summaries
Fire Department
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 97
Department Purpose The Department of Venues, Parks, & Arts inspires a more livable South Bend for all, connecting us to emotionally engaging experiences and to one another. The department's primary focus areas include arts and culture, recreation, and public placemaking. The places it cares for and the services and programs it offers have a significant impact on social equity, neighborhood and economic impact, health & wellness, and ecological stewardship. This department includes the administration & maintenance of South Bend’s parks, golf courses, and community centers. It also includes the operations of the Morris Performing Arts Center, the Palais Royale Ballroom, the City-owned Parking Garages, and the Century Center Convention Center.
Explanation of Revenue Sources
Although this department does take in a significant amount of revenue from charges for services rendered (such as golf course greens fees or charges for events held at the Morris), most of the operations of the department of Venues, Parks and Arts are subsidized by property taxes and other non-reciprocal revenue. In recent years, the Parks & Recreation fund has received interfund transfers from local income tax funds to help support operations.
Explanation of Expenditures, Staffing, and Significant Changes/Variance
Refer to individual fund budgets in the "Fund Information" section for more information.
2023 2024
2025Adopted 2025Amended 2026Adopted 2027 2028 2029 2030
$Change %Change
101 - General Fund 7,494,802 7,898,321 5,039,362 7,855,913 2,197,595 2,077,600 2,082,619 2,087,747 2,092,990 (5,658,318) -72%201 - Parks & Recreation 20,209,644 22,736,445 25,719,542 35,990,096 24,059,559 23,058,337 23,239,880 23,519,881 23,882,338 (11,930,538) -33%
312 - 2017 Parks Bond Debt Service 1,179,165 1,177,990 1,181,215 1,181,215 1,173,390 1,179,890 1,175,490 1,190,115 1,190,115 (7,825) -1%
401 - Coveleski Stadium Capital 33,159 21,613 30,000 30,000 - 40,000 40,000 40,000 40,000 (30,000) -100%
404 - Local Income Tax - Certified Shares 84,198 11,356 - - - - - - - - 0%
407 - Cumulative Capital Improvement 996 - - - - - - - - - 0%408 - Local Income Tax - Economic Development 1,742,921 775,691 1,250,031 8,750,031 1,101,981 798,106 803,556 802,866 810,413 (7,648,050) -87%
413 - Professional Sports Convention Development Area 3,568,457 147,772 - 218,646 1,500,000 4,614,613 3,514,113 3,519,488 3,520,363 1,281,354 586%
416 - Morris Performing Arts Center Capital 1,440,954 1,493,326 - 6,692,686 - - - - - (6,692,686) -100%
450 - Palais Royale Historic Preservation - - 10,000 10,000 - 20,000 20,000 20,000 20,000 (10,000) -100%452 - 2018 TIF Park Bond Capital 7,480 2,238,756 - 76,676 - - - - - (76,676) -100%
453 - Zoo Bond Capital 4,467,955 0 - - - - - - - - 0%
458 - 2024 RDA Bond Proceeds (Four Winds)- 2,027,334 - 43,538,668 - - - - - (43,538,668) -100%
471 - 2017 Parks Bond Capital 780,322 558,336 - 805,184 - - - - - (805,184) -100%
601 - Parking Garages 1,262,212 1,627,040 1,220,198 1,226,492 1,389,648 806,314 823,120 837,757 852,484 163,156 13%602 - Morris Performing Arts Center Operations 1,413,999 1,521,591 1,874,213 1,904,608 2,060,903 1,901,178 1,969,202 2,016,255 2,064,476 156,295 8%
670 - Century Center Operations 4,128,823 4,807,849 3,610,925 3,619,462 343,944 2,798,710 2,819,726 2,841,227 2,861,613 (3,275,518) -90%
671 - Century Center Capital 415,617 223,629 35,058 106,740 835,000 35,000 35,000 35,000 35,000 728,260 682%
672 - Century Center Energy Conservation Debt Svc 407,917 393,388 388,754 388,754 384,057 379,296 374,469 369,576 364,715 (4,697) -1%757 - 2015 Parks Bond Debt Service 375,581 368,381 381,031 381,031 373,231 375,356 377,181 383,616 384,038 (7,800) -2%
Expenditures by Fund 49,014,204 48,028,818 40,740,329 112,776,202 35,419,309 38,084,400 37,274,355 37,663,526 38,118,544 (77,356,893) -69%
011 - Community Initiatives 1,280,884 1,381,901 1,888,863 2,488,333 1,254,075 1,608,786 1,629,992 1,651,738 1,674,039 (1,234,258) -50%
102 - Redevelopment Commission - - - - 1,500,000 1,100,000 - - - 1,500,000 0%
200 - Park Administration 6,368,600 7,113,776 5,302,457 5,341,599 3,561,866 1,303,489 1,338,736 1,374,998 1,412,305 (1,779,733) -33%
201 - Park Maintenance 14,987,431 11,358,595 10,826,532 14,008,051 9,300,930 11,052,353 11,321,552 11,454,237 11,766,694 (4,707,120) -34%202 - Golf Courses 2,215,416 2,263,825 3,282,802 3,735,091 2,771,346 2,942,270 2,991,108 2,974,005 2,802,991 (963,745) -26%
203 - Recreation 2,376,955 2,368,544 2,436,478 2,383,439 2,378,985 2,532,220 2,582,730 2,661,947 2,742,710 (4,454) 0%
204 - Potawatomi Zoo 6,170,129 403,422 453,422 453,422 453,422 453,662 403,771 403,885 354,001 - 0%
205 - Development & Promotions 1,069,187 1,145,069 2,481,320 2,607,534 2,098,050 2,549,529 2,618,733 2,689,876 2,763,012 (509,485) -20%
206 - Park Projects & Capital 1,759,312 7,980,623 100,000 60,969,273 - 100,000 100,000 - - (60,969,273) -100%207 - Park Debt 2,202,617 2,308,012 2,267,778 2,267,778 2,253,553 5,773,465 5,775,840 5,801,584 5,810,428 (14,225) -1%
208 - Community Programming 1,331,326 1,470,931 2,430,036 1,834,861 2,118,178 2,171,759 2,226,276 2,282,213 2,339,603 283,317 15%
209 - Visitor Experience - - 1,451,650 2,054,007 2,517,756 317,289 - - - 463,750 23%
220 - Morris Performing Arts Center 2,855,137 3,014,917 2,324,213 9,047,294 2,060,903 1,901,178 1,969,202 2,016,255 2,064,476 (6,986,390) -77%221 - Palais Royale Ballroom 182,642 167,297 239,844 244,072 197,595 259,082 264,101 269,229 274,472 (46,477) -19%
230 - Century Center 4,952,357 5,424,866 4,034,736 4,114,956 1,563,001 3,213,006 3,229,195 3,245,803 3,261,327 (2,551,955) -62%
240 - Parking Garages 1,262,212 1,627,040 1,220,198 1,226,492 1,389,648 806,314 823,120 837,757 852,484 163,156 13%
Expenditures by Division 49,014,204 48,028,818 40,740,329 112,776,202 35,419,309 38,084,400 37,274,355 37,663,526 38,118,544 (77,356,893) -69%
01 - Personnel 11,939,072 13,173,029 16,466,749 15,909,834 14,216,552 12,953,942 13,251,806 13,557,077 13,869,938 (1,693,282) -11%
01 - Salaries & Wages 7,898,752 8,332,630 10,787,515 11,144,035 10,098,079 8,698,424 8,915,884 9,138,781 9,367,251 (1,045,956) -9%02 - Fringe Benefits 2,601,034 2,637,857 3,964,389 3,807,869 3,418,846 2,893,673 2,965,998 3,040,132 3,116,119 (389,023) -10%
03 - Other Personnel Costs 1,439,285 2,202,542 1,714,845 957,930 699,627 1,361,846 1,369,924 1,378,164 1,386,569 (258,303) -27%
02 - Supplies 2,628,678 2,857,929 2,642,568 2,722,821 2,099,499 2,731,955 2,742,033 2,809,648 2,874,960 (623,322) -23%
04 - Supplies 2,628,678 2,857,929 2,642,568 2,722,821 2,099,499 2,731,955 2,742,033 2,809,648 2,874,960 (623,322) -23%03 - Services 10,855,940 9,090,054 9,084,348 12,821,091 6,314,052 10,378,571 10,265,762 10,467,955 10,627,800 (6,507,039) -51%04 - Supplies - - 8,400 8,400 8,400 8,820 9,261 9,724 10,210 - 0%
05 - Professional Services 1,462,018 1,358,575 1,162,334 1,713,761 861,945 1,082,781 953,335 960,032 966,761 (851,816) -50%
06 - Repairs & Maintenance 1,522,086 1,422,573 1,284,463 4,038,457 1,070,000 1,406,561 1,409,451 1,459,081 1,506,816 (2,968,457) -74%
07 - Grants & Subsidies 2,184,275 667,045 740,000 743,000 540,000 740,000 690,000 690,000 640,000 (203,000) -27%08 - Utilities 1,587,669 1,574,178 1,858,282 1,868,586 1,414,250 1,840,978 1,932,930 2,006,774 2,083,854 (454,336) -24%
09 - Printing & Advertising 705,896 778,331 1,570,170 1,671,279 1,204,500 1,672,316 1,718,810 1,766,721 1,816,090 (466,779) -28%
10 - Insurance 73,264 71,718 57,777 57,777 16,724 37,520 37,520 37,520 37,520 (41,053) -71%
11 - Education & Training 101,400 35,494 82,920 84,200 87,350 79,938 73,724 74,561 75,431 3,150 4%
12 - Travel 20,425 46,907 67,175 70,943 52,200 57,809 58,550 59,318 60,115 (18,743) -26%13 - Bad Debt 240 217 - - - - - - - - 0%
14 - Other Services & Charges 3,198,667 3,135,016 2,252,828 2,564,688 1,058,683 3,451,847 3,382,181 3,404,223 3,431,004 (1,506,005) -59%
04 - Capital 12,489,428 10,102,590 1,682,137 69,999,329 1,955,383 445,507 445,507 345,507 278,007 (68,043,946) -97%
15 - Capital 12,489,428 10,102,590 1,682,137 69,999,329 1,955,383 445,507 445,507 345,507 278,007 (68,043,946) -97%05 - Debt Service 2,817,670 3,279,696 2,747,196 3,205,796 3,073,533 6,416,673 6,400,211 6,195,166 6,064,809 (132,262) -4%
16 - Debt Service Principal 2,080,942 2,029,287 2,118,495 2,498,185 2,463,968 3,607,851 3,716,889 3,637,613 3,620,013 (34,217) -1%
17 - Debt Service Interest & Fees 736,729 1,250,408 628,702 707,611 609,565 2,808,822 2,683,322 2,557,553 2,444,796 (98,046) -14%
06 - Interfund Transfers 8,283,416 9,525,520 8,117,331 8,117,331 7,760,290 5,157,752 4,169,036 4,288,173 4,403,030 (357,041) -4%
19 - Interfund Allocations 2,603,183 2,865,006 3,078,481 3,078,481 3,469,899 3,570,911 3,676,600 3,785,425 3,897,477 391,418 13%20 - Interfund Transfers Out 5,680,233 6,660,514 5,038,850 5,038,850 4,290,391 1,586,841 492,435 502,749 505,553 (748,459) -15%
Total Expenditures 49,014,204 48,028,818 40,740,329 112,776,202 35,419,309 38,084,400 37,274,355 37,663,526 38,118,544 (77,356,893) -69%
Expenditures by Fund
Expenditures by Division
Expenditures by Category & Subcategory
Note: Refer to Individual Fund Summaries for Further Detail
Department Summaries
Venues, Parks & Arts
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 98
Department Purpose The Department of Community Investment is tasked with spurring investment to create a stronger South Bend. It does this by attracting and retaining growing businesses, planning for vibrant neighborhoods, and connecting residents to economic opportunities. To better assist the citizens and businesses of South Bend, the department is organized into five teams that work collaboratively: Engagement and Economic Empowerment, Growth and Opportunity (formerly Business Development), Neighborhoods (includes South Bend Animal Resource Center, Neighborhood Services & Enforcement, Neighborhood Grants, and Neighborhood Health and Housing), Planning (includes Building, Historic Preservation, Planning, and Zoning) and Sustainability. Explanation of Revenue Sources
The Department of Community Investment uses a variety of different funding mechanisms. Its primary operations are funded primarily through the economic development portion of the Local Income Tax (LIT), as well as (to a lessor extent) federal grants and staff contracts. This department also works with the Redevelopment Commission (RDC) to use resources gained from Tax Increment Financing (TIF) on economic development projects. Explanation of Expenditures, Staffing, and Significant Changes/Variance Refer to individual fund budgets in the "Fund Information" section for more information.
2023 2024
2025Adopted 2025Amended 2026Adopted 2027 2028 2029 2030
$Change %Change
101 - General Fund - - - 33,000 - - - - - (33,000) -100%
209 - Studebaker-Oliver Revitalizing Grants 25,658 39,368 30,000 84,626 30,000 50,000 50,000 50,000 50,000 (54,626) -65%210 - Economic Development State Grants 144,348 - - - - - - - - - 0%
211 - Dept of Community Investment Operating 4,015,082 4,233,812 4,897,977 5,330,572 4,660,879 4,650,833 4,753,400 4,858,652 4,966,658 (669,693) -13%
212 - Dept of Community Investment Grants 4,310,457 2,859,882 2,987,662 10,771,637 2,745,419 3,007,655 3,007,655 2,832,655 2,832,655 (8,026,218) -75%
217 - Gift, Donation, Bequest 63,583 41,311 78,500 116,000 82,250 3,500 3,500 3,500 3,500 (33,750) -29%219 - Unsafe Building 17,500 24,780 25,000 25,000 25,000 23,000 23,000 23,000 23,000 - 0%
221 - Rental Units Regulation 65,375 56,593 54,000 144,866 30,000 54,000 54,000 54,000 54,000 (114,866) -79%
227 - Loss Recovery - 150,000 - - - - - - - - 0%
230 - Code Enforcement Fund 4,396,734 5,001,223 7,207,752 7,979,653 6,447,309 6,513,752 6,576,262 6,649,770 6,717,349 (1,532,344) -19%264 - COVID-19 Response 383,405 118,138 - - - - - - - - 0%
315 - Airport 2003 Debt Reserve - 1,040,462 - - - - - - - - 0%
324 - TIF - River West Development Area 22,554,045 39,245,605 7,066,880 37,210,608 1,979,390 23,306,961 24,105,328 24,701,128 9,546,860 (35,231,218) -95%
328 - SBCDA 2003 Debt Reserve - 1,739,495 - - - - - - - - 0%
352 - 2019 South Shore Double Tracking Debt Service 1,030,125 1,033,625 1,030,125 1,030,125 1,030,000 1,032,625 1,028,125 1,031,500 512,500 (125) 0%
353 - 2020 TIF Library Bond Debt Service Reserve 8 - - - - - - - - - 0%
408 - Local Income Tax - Economic Development 10,622,286 12,258,118 14,166,035 20,509,966 12,050,500 3,480,485 3,481,970 3,483,161 3,384,700 (8,459,466) -41%
410 - Urban Development Action Grant 338,253 - - - - - - - - - 0%
422 - TIF - West Washington 99,745 1,208,357 - 1,740,000 - 280,000 280,000 280,000 - (1,740,000) -100%429 - TIF - River East Development Area (NE Dev)3,834,024 5,176,736 526,200 15,792,214 2,745,125 3,500,000 3,500,000 350,000 - (13,047,089) -83%
430 - TIF - Southside Development Area #1 6,447,977 8,034,036 - 5,972,741 - 2,000,000 2,000,000 200,000 - (5,972,741) -100%
433 - Redevelopment General 2,170,909 2,312,002 760,013 3,012,835 759,513 1,754,638 1,763,213 1,756,413 1,759,337 (2,253,322) -75%
435 - TIF - Douglas Road - - - 423,175 - - - - - (423,175) -100%436 - TIF - River East Residential (NE Res)5,236,835 6,992,824 4,547,623 5,082,296 4,538,248 4,571,773 4,572,508 4,498,740 4,210,741 (544,048) -11%
456 - Redev Auth Lease Rental Revenue Bonds - Series 2023A 6,815,738 11,782,263 - 15,334,963 - - - - - (15,334,963) -100%
457 - 2024 RDA Lease Rental Revenue Bond Series B - 7,077,814 - 17,136,840 - - - - - (17,136,840) -100%
600 - Consolidated Building Fund 2,205,269 2,838,993 2,065,233 2,065,233 2,031,163 1,960,642 2,012,823 2,061,222 2,110,871 (34,070) -2%752 - South Bend Redevelopment Authority 2,856,381 - - - - - - - - - 0%
754 - Industrial Revolving Fund 87,011 82,115 174,536 548,655 56,500 134,536 136,327 138,154 140,017 (492,155) -90%
756 - 2015 Smart Streets Bond Debt Service 1,709,319 1,706,394 1,712,844 1,712,844 1,707,819 1,711,819 1,709,694 1,711,444 1,706,994 (5,025) 0%
760 - 2017 Eddy Street Commons Bond Debt Service 1,929,875 1,941,375 1,955,125 1,955,125 1,951,250 1,950,625 1,952,375 1,946,875 1,948,875 (3,875) 0%Expenditures by Fund 81,359,943 116,995,320 49,285,505 154,012,975 42,870,364 59,986,844 61,010,179 56,630,213 39,968,057 (111,142,610) -72%
060 - Building Department 2,205,269 2,838,993 2,065,233 2,065,233 2,031,163 1,960,642 2,012,823 2,061,222 2,110,871 (34,070) -2%101 - Community Investment 29,406,443 35,850,689 17,201,428 63,103,981 15,819,617 13,589,453 13,694,921 13,624,441 13,633,399 (47,284,364) -75%
102 - Redevelopment Commission 41,373,669 66,783,143 13,930,841 70,263,994 11,052,276 36,445,997 37,249,173 32,817,781 16,029,438 (59,211,719) -84%
103 - Neighborhoods 8,374,562 11,522,495 16,088,002 18,579,766 13,967,309 7,990,752 8,053,262 8,126,770 8,194,349 (4,612,458) -25%
Expenditures by Division 81,359,943 116,995,320 49,285,505 154,012,975 42,870,364 59,986,844 61,010,179 56,630,213 39,968,057 (111,142,610) -72%
01 - Personnel 6,269,788 6,623,227 9,130,221 9,130,221 8,627,211 8,842,892 9,063,964 9,290,563 9,522,827 (503,009) -6%01 - Salaries & Wages 4,534,937 4,848,484 6,314,692 6,314,692 6,056,649 6,208,065 6,363,267 6,522,349 6,685,407 (258,043) -4%
02 - Fringe Benefits 1,734,851 1,774,744 2,815,529 2,815,529 2,570,562 2,634,826 2,700,697 2,768,214 2,837,420 (244,966) -9%
02 - Supplies 273,203 236,579 349,130 368,650 282,160 295,980 297,532 299,113 300,725 (86,490) -23%
04 - Supplies 273,203 236,579 349,130 368,650 282,160 295,980 297,532 299,113 300,725 (86,490) -23%03 - Services 18,841,259 19,057,848 8,575,356 46,271,898 8,060,909 8,562,568 8,575,826 8,414,025 8,427,812 (38,210,989) -83%
05 - Professional Services 8,480,603 6,770,149 1,743,345 20,610,216 1,667,050 2,105,422 2,116,351 2,127,498 2,138,868 (18,943,166) -92%
06 - Repairs & Maintenance 348,388 516,125 571,691 1,504,572 541,493 467,585 467,585 467,585 467,585 (963,079) -64%
07 - Grants & Subsidies 8,693,317 6,497,834 5,093,912 17,349,917 4,585,419 4,877,655 4,877,655 4,702,655 4,702,655 (12,764,498) -74%
08 - Utilities 76,629 197,509 115,674 350,674 390,000 116,502 118,831 120,883 123,300 39,326 11%09 - Printing & Advertising 25,913 23,641 58,022 56,353 40,347 56,022 56,022 56,022 56,022 (16,006) -28%
11 - Education & Training 20,157 29,203 54,100 54,100 26,100 59,400 59,400 59,400 59,400 (28,000) -52%
12 - Travel 14,983 21,322 56,562 57,033 26,500 54,062 54,062 54,062 54,062 (30,533) -54%
13 - Bad Debt 270 682 1,000 1,000 1,000 1,000 1,000 1,000 1,000 - 0%14 - Other Services & Charges 1,180,999 5,001,382 881,050 6,288,033 783,000 824,920 824,920 824,920 824,920 (5,505,033) -88%
04 - Capital 23,686,716 51,594,243 436,000 67,445,482 153,000 21,094,316 21,560,795 16,975,000 1,045,000 (67,292,482) -100%
15 - Capital 23,686,716 51,594,243 436,000 67,445,482 153,000 21,094,316 21,560,795 16,975,000 1,045,000 (67,292,482) -100%
05 - Debt Service 13,591,224 12,658,130 6,672,794 6,674,720 6,497,144 6,413,990 6,403,470 6,253,652 5,620,528 (177,576) -3%16 - Debt Service Principal 9,474,954 9,832,741 4,445,224 4,445,224 4,428,230 4,533,998 4,666,628 4,652,971 4,239,436 (16,994) 0%
17 - Debt Service Interest & Fees 4,116,270 2,825,389 2,227,570 2,229,496 2,068,914 1,879,992 1,736,842 1,600,680 1,381,092 (160,582) -7%
06 - Interfund Transfers 18,697,752 26,825,293 24,122,004 24,122,004 19,249,940 14,777,099 15,108,591 15,397,860 15,051,165 (4,872,064) -20%
19 - Interfund Allocations 1,953,028 2,127,077 2,349,279 2,349,279 2,332,446 2,028,611 2,089,470 2,152,154 2,216,718 (16,833) -1%20 - Interfund Transfers Out 16,744,724 24,698,216 21,772,725 21,772,725 16,917,494 12,748,488 13,019,122 13,245,706 12,834,447 (4,855,231) -22%
Total Expenditures 81,359,943 116,995,320 49,285,505 154,012,975 42,870,364 59,986,844 61,010,179 56,630,213 39,968,057 (111,142,610) -72%
Expenditures by Fund
Expenditures by Division
Expenditures by Category & Subcategory
Note: Refer to Individual Fund Summaries for Further Detail
Department Summaries
Dept of Community Investment
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 99
FUND INFORMATION
City of South Bend, Indiana 2026 Budget
Page 100
Fund Purpose The General Fund is the primary operating fund for City operations including general government, public safety, certain culture & recreation expenses, and certain debt service obligations.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
01 - Property Taxes 48,636,181 55,895,188 53,563,962 56,758,025 54,210,733 55,294,948 56,400,847 57,528,864 58,679,441 (2,547,292) -4%
02 - Local Income Taxes 14,189,571 14,471,413 13,285,318 12,790,037 13,354,067 13,888,230 14,443,759 15,021,509 15,622,370 564,030 4%
03 - Intergov./ Shared Revenues 4,032,969 3,893,554 5,215,827 5,220,876 2,687,097 2,687,097 2,687,097 2,687,097 2,687,097 (2,533,779) -49%
04 - Intergov./ Grants - 49,885 - - - - - - - - 0%
05 - Licenses & Permits 219,971 280,315 273,512 276,482 273,512 273,512 273,512 273,512 273,512 (2,970) -1%
06 - Charges for Services 5,630,413 5,737,187 4,580,267 4,800,681 6,637,247 6,628,757 6,629,858 6,630,993 6,632,162 1,836,566 38%
07 - Fines, Forfeitures, and Fees 9,045 10,608 5,000 5,050 5,000 5,000 5,000 5,000 5,000 (50) -1%
08 - Interest Earnings 2,940,561 3,352,743 1,070,485 1,777,878 1,826,631 1,826,631 1,826,631 1,826,631 1,826,631 48,753 3%
09 - Donations 1,726,912 1,982,977 - 385,000 - - - - - (385,000) -100%
10 - Other Income 1,400,222 2,206,927 1,231,000 1,368,804 611,600 611,600 611,600 611,600 611,600 (757,204) -55%
11 - Debt Proceeds 1,827,500 2,176,000 2,176,000 2,516,000 2,882,000 2,882,000 2,882,000 2,882,000 2,882,000 366,000 15%
12 - PILOT 6,095,594 6,024,186 5,765,661 5,765,661 5,975,482 5,975,482 5,975,482 5,975,482 5,975,482 209,821 4%
13 - Interfund Allocation Reimb 10,597,451 11,206,787 11,676,027 11,676,027 11,879,904 12,160,822 12,507,332 12,864,238 13,231,851 203,877 2%
14 - Interfund Transfers In 13,865,143 575,000 575,000 575,000 1,375,000 500,000 500,000 500,000 500,000 800,000 139%
Total Revenues 111,171,535 107,862,770 99,418,059 103,915,520 101,718,272 102,734,078 104,743,117 106,806,925 108,927,145 (2,197,247) -2%
01 - Personnel 61,024,392 60,065,551 68,368,973 68,442,631 72,845,040 74,666,166 76,532,820 78,446,141 80,407,294 4,402,409 6%
01 - Salaries & Wages 43,911,983 41,804,149 45,339,767 45,407,265 48,453,519 49,664,857 50,906,478 52,179,140 53,483,619 3,046,254 7%
02 - Fringe Benefits 17,112,409 18,261,402 23,029,206 23,035,366 24,391,521 25,001,309 25,626,342 26,267,001 26,923,676 1,356,156 6%
02 - Supplies 2,708,357 3,224,349 3,370,688 3,911,424 3,384,733 3,029,197 2,939,854 2,940,522 2,941,203 (526,690) -13%
04 - Supplies 2,708,357 3,224,349 3,370,688 3,911,424 3,384,733 3,029,197 2,939,854 2,940,522 2,941,203 (526,690) -13%
03 - Services 20,106,617 17,177,257 9,499,860 26,514,293 9,271,022 11,512,442 11,583,563 11,821,977 11,715,715 (17,243,271) -65%
05 - Professional Services 2,667,178 2,371,140 2,623,568 3,203,512 2,227,778 1,988,068 2,000,609 1,999,261 2,012,026 (975,734) -30%
06 - Repairs & Maintenance 3,632,029 3,895,675 2,942,193 5,617,800 2,557,500 2,907,326 2,922,772 2,938,527 2,954,597 (3,060,300) -54%
07 - Grants & Subsidies 7,117,846 3,577,623 754,594 10,904,813 460,000 746,451 746,451 746,451 746,451 (10,444,813) -96%
08 - Utilities 1,895,474 1,978,372 646,509 2,046,363 2,179,430 2,154,256 2,195,242 2,237,045 2,279,686 133,067 7%
09 - Printing & Advertising 205,374 184,178 342,272 368,478 201,213 322,793 323,140 323,494 323,855 (167,265) -45%
11 - Education & Training 220,293 253,659 355,420 395,334 306,956 342,000 342,000 342,000 342,000 (88,378) -22%
12 - Travel 102,967 112,421 119,305 120,998 105,430 108,000 108,000 108,000 108,000 (15,568) -13%
13 - Bad Debt 1,016 1,409 - - - 300 300 300 300 - 0%
14 - Other Services & Charges 4,264,439 4,802,780 1,715,999 3,856,996 1,232,715 2,943,248 2,945,049 3,126,899 2,948,800 (2,624,281) -68%
04 - Capital 3,571,162 5,157,002 3,203,488 13,338,781 2,816,000 2,882,000 2,882,000 2,882,000 2,882,000 (10,522,781) -79%
15 - Capital 3,571,162 5,157,002 3,203,488 13,338,781 2,816,000 2,882,000 2,882,000 2,882,000 2,882,000 (10,522,781) -79%
05 - Debt Service 199,690 692,817 2,015,150 3,251,294 2,835,732 1,742,243 1,129,293 1,086,244 665,769 (415,562) -13%
16 - Debt Service Principal 193,179 673,675 1,864,747 2,973,267 2,533,363 1,575,860 1,095,259 1,040,723 626,213 (439,904) -15%
17 - Debt Service Interest & Fees 6,512 19,143 150,403 278,027 302,369 166,383 34,034 45,521 39,556 24,342 9%
06 - Interfund Transfers 20,662,173 23,929,618 21,905,427 21,905,632 17,384,835 13,403,826 13,778,941 14,165,309 14,563,268 (4,520,797) -21%
19 - Interfund Allocations 9,609,111 10,829,618 11,705,427 11,705,427 12,484,835 12,503,826 12,878,941 13,265,309 13,663,268 779,408 7%
20 - Interfund Transfers Out 11,053,062 13,100,000 10,200,000 10,200,206 4,900,000 900,000 900,000 900,000 900,000 (5,300,206) -52%
Total Expenditures 108,272,391 110,246,594 108,363,586 137,364,055 108,537,362 107,235,874 108,846,471 111,342,193 113,175,250 (28,826,693) -21%
Net Surplus / (Deficit)2,899,144 (2,383,825) (8,945,527) (33,448,536) (6,819,090) (4,501,797) (4,103,354) (4,535,268) (4,248,105)
Beginning Balance 91,411,452 93,698,543 91,331,533 57,882,997 51,063,907 46,562,110 42,458,756 37,923,489
Cash Adjustments (612,053) 16,815
Ending Balance 93,698,543 91,331,533 57,882,997 51,063,907 46,562,110 42,458,756 37,923,489 33,675,384
Cash Reserve Target
50% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 101 - General Fund
1 General Plus Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 101
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
01 - Mayor's Office 1,029,047 1,153,035 1,391,226 1,392,763 1,366,859 1,346,849 1,379,554 1,413,101 1,447,513 (25,904) -2%
02 - City Clerk 550,428 539,960 626,828 649,328 572,863 573,205 585,859 598,838 612,148 (76,464) -12%
03 - Common Council 650,968 607,821 1,013,369 1,115,064 862,952 757,071 771,302 785,898 800,867 (252,112) -23%
04 - Administration & Finance 15,181,451 14,089,303 7,860,344 30,206,208 8,046,240 7,519,656 7,670,250 7,990,551 7,968,656 (22,159,968) -73%
05 - Legal Department 1,581,443 1,804,101 2,117,787 2,199,109 2,058,016 2,137,015 2,189,858 2,244,058 2,299,648 (141,093) -6%
06 - Public Works 9,536,192 12,351,631 11,031,368 12,767,228 9,067,247 7,395,047 7,542,710 7,693,989 7,848,974 (3,699,981) -29%
08 - Police Department 41,625,548 41,086,461 47,378,759 48,800,854 49,708,393 50,172,080 50,541,104 51,597,908 52,305,896 907,539 2%
09 - Fire Department 30,622,512 30,715,961 31,904,544 32,344,589 34,657,196 35,257,351 36,083,215 36,930,103 37,798,557 2,312,607 7%
10 - Dept of Community Investment - - - 33,000 - - - - - (33,000) -100%
11 - Venues, Parks & Arts 7,494,802 7,898,321 5,039,362 7,855,913 2,197,595 2,077,600 2,082,619 2,087,747 2,092,990 (5,658,318) -72%
Total Expenditures by Dept 108,272,391 110,246,594 108,363,586 137,364,055 108,537,362 107,235,874 108,846,471 111,342,193 113,175,250 (28,826,693) -21%
010 - Mayor 1,029,047 1,153,035 1,391,226 1,392,763 1,366,859 1,346,849 1,379,554 1,413,101 1,447,513 (25,904) -2%
020 - City Clerk 550,428 539,960 626,828 649,328 572,863 573,205 585,859 598,838 612,148 (76,464) -12%
030 - Common Council 650,968 600,357 1,001,369 1,103,064 850,952 757,071 771,302 785,898 800,867 (252,112) -23%
040 - General City 11,084,877 9,205,279 1,502,224 23,703,879 1,662,198 1,392,054 1,392,478 1,572,915 1,393,365 (22,041,681) -93%
050 - Legal Department 1,581,443 1,804,101 2,117,787 2,199,109 2,058,016 2,137,015 2,189,858 2,244,058 2,299,648 (141,093) -6%
080 - Police Department 41,625,548 41,086,461 47,378,759 48,800,854 49,708,393 50,172,080 50,541,104 51,597,908 52,305,896 907,539 2%
090 - Fire Department 29,986,503 29,813,661 31,152,893 31,508,798 33,817,411 34,510,971 35,330,075 36,170,035 37,031,387 2,308,612 7%
092 - Emergency Medical Service 636,009 902,300 751,652 835,790 839,785 746,380 753,139 760,068 767,170 3,995 0%
101 - Community Investment - - - 33,000 - - - - - (33,000) -100%
200 - Park Administration 5,372,562 6,000,000 4,100,000 4,100,000 2,000,000 - - - - (2,100,000) -51%
201 - Park Maintenance 1,891,368 1,723,084 709,518 1,021,813 - 1,838,518 1,838,518 1,838,518 1,838,518 (1,021,813) -100%
206 - Park Projects & Capital 48,047 7,939 - 2,500,028 - - - - - (2,500,028) -100%
220 - Morris Performing Arts Center 184 - - - - - - - - - 0%
221 - Palais Royale Ballroom 182,642 167,297 229,844 234,072 197,595 239,082 244,101 249,229 254,472 (36,477) -16%
400 - Controller's Office 3,368,923 3,793,592 4,859,328 4,945,778 5,211,705 4,782,963 4,904,750 5,015,491 5,143,264 265,927 5%
401 - Diversity & Inclusion 402,397 538,121 735,607 745,807 458,509 557,174 566,374 575,817 585,509 (287,297) -39%
402 - Human Rights 325,254 552,311 763,185 810,744 713,828 787,465 806,648 826,328 846,519 (96,916) -12%
600 - Engineering 3,409,584 3,859,565 4,931,368 5,267,228 4,767,247 4,998,160 5,115,885 5,236,627 5,360,465 (499,981) -9%
602 - Streets & Sewers 6,126,608 8,492,066 6,100,000 7,500,000 4,300,000 2,396,887 2,426,825 2,457,362 2,488,509 (3,200,000) -43%
Total Expenditures by Division 108,272,391 110,239,131 108,351,586 137,352,055 108,525,362 107,235,874 108,846,471 111,342,193 113,175,250 (28,826,693) -21%
Expenditures by Subdivision
010 - Mayor 970,586 1,052,036 1,252,131 1,253,668 1,234,608 1,236,917 1,266,873 1,297,604 1,329,128 (19,060) -2%
012 - Community Police Review Office 58,461 100,999 139,095 139,095 132,251 109,932 112,680 115,497 118,385 (6,844) -5%
020 - City Clerk 550,428 539,960 626,828 649,328 572,863 573,205 585,859 598,838 612,148 (76,464) -12%
030 - Common Council 650,968 600,357 1,001,369 1,103,064 850,952 757,071 771,302 785,898 800,867 (252,112) -23%
040 - General City 11,084,877 9,205,279 1,502,224 23,703,879 1,662,198 1,392,054 1,392,478 1,572,915 1,393,365 (22,041,681) -93%
041 - Finance 2,594,482 2,936,333 3,858,925 3,937,885 4,211,357 3,785,666 3,883,252 3,969,156 4,071,440 273,472 7%
042 - Human Resources 774,441 857,259 1,000,403 1,007,893 1,000,347 997,297 1,021,498 1,046,335 1,071,823 (7,545) -1%
043 - Diversity & Inclusion 402,397 538,121 735,607 745,807 458,509 557,174 566,374 575,817 585,509 (287,297) -39%
044 - Human Rights General 325,254 552,311 763,185 810,744 713,828 787,465 806,648 826,328 846,519 (96,916) -12%
050 - Legal Dept 1,581,443 1,804,101 2,117,787 2,199,109 2,058,016 2,137,015 2,189,858 2,244,058 2,299,648 (141,093) -6%
080 - Police General 40,788,073 40,187,026 46,330,463 47,751,325 48,673,121 49,110,561 49,452,658 50,481,837 51,161,485 921,795 2%
083 - Crime Lab 837,475 899,435 1,048,296 1,049,529 1,035,273 1,061,520 1,088,446 1,116,071 1,144,411 (14,256) -1%
090 - Fire General 29,914,764 29,724,270 31,088,393 31,423,348 33,769,911 34,459,961 35,278,544 36,117,974 36,978,785 2,346,563 7%
092 - EMS 636,009 902,300 751,652 835,790 839,785 746,380 753,139 760,068 767,170 3,995 0%
095 - Training Center 71,739 89,391 64,500 85,450 47,500 51,010 51,531 52,061 52,602 (37,950) -44%
132 - Sustainability - - - 33,000 - - - - - (33,000) -100%
200 - Park Administration 5,372,562 6,000,000 4,100,000 4,100,000 2,000,000 - - - - (2,100,000) -51%
201 - Park Maintenance 1,891,368 1,723,084 709,518 1,021,813 - 1,838,518 1,838,518 1,838,518 1,838,518 (1,021,813) -100%
273 - Park Capital 48,047 7,939 - 2,500,028 - - - - - (2,500,028) -100%
292 - Morris PAC 184 - - - - - - - - - 0%
293 - Palais Royale 182,642 167,297 229,844 234,072 197,595 239,082 244,101 249,229 254,472 (36,477) -16%
500 - Engineering 3,409,584 3,859,565 4,931,368 5,267,228 4,767,247 4,998,160 5,115,885 5,236,627 5,360,465 (499,981) -9%
503 - Streets 3,437,500 5,500,000 4,500,000 4,500,000 2,000,000 - - - - (2,500,000) -56%
505 - Curb & Sidewalk 1,375,000 1,600,000 1,600,000 1,600,000 900,000 900,000 900,000 900,000 900,000 (700,000) -44%
507 - Street Signals & Lighting 1,314,108 1,392,066 - 1,400,000 1,400,000 1,496,887 1,526,825 1,557,362 1,588,509 - 0%
Total Expenditures by Subdivision 108,272,391 110,239,131 108,351,586 137,352,055 108,525,362 107,235,874 108,846,471 111,342,193 113,175,250 (28,826,693) -21%
Expenditures by Department
Expenditures by Division
Fund Summaries
Fund 101 - General Fund
1 General Plus Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 102
Fund Purpose
This fund was established (ordinance 9509-04) in order to set aside monies which can be used to meet unanticipated expenses that cannot be funded from existing appropriations, to meet cash flow needs between biannual distribution of property tax receipts and other periodic distributions, for bridging a gap caused by an unexpected revenue shortfall or significant delay in receiving revenue, and for any other City
purpose or need consistent with or permitted by state law. This fund can be used for mid-year or year-end advances to other funds that have cash shortages and the advances must be paid back within six months. The establishment of a Rainy Day Fund is looked upon favorably by bond rating agencies and is one of the factors resulting in South Bend's good AA bond rating with Standard & Poor's. The cash reserve requirement for this fund is 3% of prior year operational expenditures in Civil City funds, excluding interfund transfers.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 321,428 460,870 227,508 263,016 236,725 236,725 236,725 236,725 236,725 (26,291) -10%
Total Revenues 321,428 460,870 227,508 263,016 236,725 236,725 236,725 236,725 236,725 (26,291) -10%
Net Surplus / (Deficit)321,428 460,870 227,508 263,016 236,725 236,725 236,725 236,725 236,725
Beginning Balance 11,026,118 11,375,389 11,836,259 12,099,276 12,336,001 12,572,726 12,809,451 13,046,176
Cash Adjustments 27,843 0
Ending Balance 11,375,389 11,836,259 12,099,276 12,336,001 12,572,726 12,809,451 13,046,176 13,282,901
Cash Reserve Target
3% of total expenditures in
previous fiscal year for Civil City
Funds, less interfund transfers
out
Fund Summaries
Fund 102 - Rainy Day
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 103
Fund Purpose This fund accounts for the operation of the Parks & Recreation side of the Department of Venues, Parks & Arts (VPA). Its purpose is to provide quality spaces, places, and experiences within the City. There are several operational divisions within the department: Administration, Maintenance, Golf Courses, Recreational Experiences, Community Programming, and Development & Promotions.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
01 - Property Taxes 11,441,107 13,118,405 12,564,386 13,320,124 12,716,098 12,970,420 13,229,828 13,494,425 13,764,313 (604,026) -5%
03 - Intergov./ Shared Revenues 861,197 827,072 1,138,013 1,138,013 1,510,409 1,510,409 1,510,409 1,510,409 1,510,409 372,396 33%
04 - Intergov./ Grants 135,000 - - - - - - - - - 0%
05 - Licenses & Permits 289 915 360 536 360 360 360 360 360 (176) -33%
06 - Charges for Services 3,171,541 3,506,474 3,531,304 3,556,115 5,406,788 5,361,788 5,361,788 5,361,788 5,361,788 1,850,673 52%
08 - Interest Earnings 130,670 463,113 107,060 165,384 239,385 - - - - 74,000 45%
09 - Donations 1,447,300 - - 1,100,000 294,000 294,000 294,000 294,000 294,000 (806,000) -73%
10 - Other Income 240,432 125,725 117,264 121,807 199,214 206,501 206,501 206,501 206,501 77,407 64%
11 - Debt Proceeds - 68,750 1,347,128 1,477,128 1,415,383 - - - - (61,745) -4%
14 - Interfund Transfers In 5,372,562 6,000,000 4,100,000 4,100,000 2,300,000 - - - - (1,800,000) -44%
Total Revenues 22,800,098 24,110,453 22,905,515 24,979,108 24,081,637 20,343,478 20,602,886 20,867,483 21,137,371 (897,471) -4%
011 - Community Initiatives 1,280,884 1,381,901 1,888,863 2,488,333 1,254,075 1,608,786 1,629,992 1,651,738 1,674,039 (1,234,258) -50%
200 - Park Administration 996,038 1,113,776 1,202,457 1,241,599 1,261,866 1,303,489 1,338,736 1,374,998 1,412,305 20,267 2%
201 - Park Maintenance 9,494,446 9,447,125 10,087,014 12,737,591 9,300,930 9,173,835 9,443,034 9,575,719 9,888,176 (3,436,661) -27%
202 - Golf Courses 2,215,416 2,263,825 3,282,802 3,735,091 2,771,346 2,942,270 2,991,108 2,974,005 2,802,991 (963,745) -26%
203 - Recreation 2,376,955 2,368,544 2,436,478 2,383,439 2,378,985 2,532,220 2,582,730 2,661,947 2,742,710 (4,454) 0%
204 - Potawatomi Zoo 602,174 403,422 353,422 353,422 353,422 353,662 303,771 303,885 254,001 - 0%
205 - Development & Promotions 1,069,187 1,145,069 2,481,320 2,607,534 2,098,050 2,549,529 2,618,733 2,689,876 2,763,012 (509,485) -20%
206 - Park Projects & Capital 838,269 3,136,902 100,000 6,548,718 - 100,000 100,000 - - (6,548,718) -100%
207 - Park Debt 4,950.0 4,950.0 5,500.0 5,500.0 4,950 5,500.0 5,500.0 5,500.0 5,500.0 (550.0) -10%
208 - Community Programming 1,331,326.0 1,470,930.8 2,430,036.3 1,834,861.4 2,118,178 2,171,758.5 2,226,276.2 2,282,212.9 2,339,603.3 283,316.6 15%
209 - Visitor Experience - - 1,451,649.6 2,054,006.6 2,517,756 317,288.8 - - - 463,749.7 23%
Total Expenditures by Division 20,209,644 22,736,445 25,719,542 35,990,096 24,059,559 23,058,337 23,239,880 23,519,881 23,882,338 (11,930,538) -33%
01 - Personnel 9,409,288 9,765,872 13,168,875 13,368,875 12,484,642 10,534,006 10,797,340 11,067,257 11,343,922 (884,234) -7%
01 - Salaries & Wages 7,099,030 7,444,862 9,671,263 10,027,783 9,350,240 7,931,889 8,130,186 8,333,440 8,541,776 (677,543) -7%
02 - Fringe Benefits 2,310,259 2,321,010 3,497,613 3,341,093 3,134,402 2,602,118 2,667,154 2,733,817 2,802,145 (206,691) -6%
02 - Supplies 1,611,704 1,693,261 2,039,398 2,112,670 1,908,818 2,275,997 2,284,101 2,350,628 2,414,829 (203,852) -10%
04 - Supplies 1,611,704 1,693,261 2,039,398 2,112,670 1,908,818 2,275,997 2,284,101 2,350,628 2,414,829 (203,852) -10%
03 - Services 4,923,923 4,699,269 6,087,720 6,212,752 4,891,536 6,369,367 6,203,884 6,376,532 6,506,497 (1,321,216) -21%
04 - Supplies - - 8,400 8,400 8,400 8,820 9,261 9,724 10,210 - 0%
05 - Professional Services 565,476 728,640 871,196 744,013 648,825 836,204 702,722 707,858 713,250 (95,188) -13%
06 - Repairs & Maintenance 960,346 1,049,191 951,483 1,105,465 796,000 1,060,282 1,057,447 1,101,237 1,143,015 (309,465) -28%
07 - Grants & Subsidies 1,084,275 667,045 640,000 643,000 440,000 640,000 590,000 590,000 540,000 (203,000) -32%
08 - Utilities 914,400 880,167 1,066,550 1,066,550 955,300 1,119,878 1,175,873 1,234,669 1,296,400 (111,250) -10%
09 - Printing & Advertising 631,575 711,844 1,450,769 1,551,746 1,028,500 1,490,106 1,532,956 1,577,150 1,622,728 (523,246) -34%
11 - Education & Training 96,883 28,604 72,720 74,000 75,350 75,056 68,749 69,490 70,263 1,350 2%
12 - Travel 16,085 42,707 50,975 54,523 45,200 51,567 52,182 52,824 53,490 (9,323) -17%
13 - Bad Debt 240 160 - - - - - - - - 0%
14 - Other Services & Charges 654,643 590,911 975,627 965,055 893,961 1,087,454 1,014,693 1,033,580 1,057,141 (71,094) -7%
04 - Capital 1,807,647 3,947,232 1,597,079 11,020,829 1,070,383 260,507 260,507 160,507 93,007 (9,950,446) -90%
15 - Capital 1,807,647 3,947,232 1,597,079 11,020,829 1,070,383 260,507 260,507 160,507 93,007 (9,950,446) -90%
05 - Debt Service 519,757 459,980 477,196 925,696 814,105 644,768 632,583 413,122 279,204 (111,590) -12%
16 - Debt Service Principal 462,762 389,972 422,934 802,624 722,004 586,772 583,030 381,329 261,553 (80,620) -10%
17 - Debt Service Interest & Fees 56,995 70,008 54,263 123,072 92,101 57,996 49,553 31,793 17,651 (30,971) -25%
06 - Interfund Transfers 1,937,325 2,170,831 2,349,274 2,349,274 2,890,074 2,973,692 3,061,465 3,151,835 3,244,879 540,801 23%
19 - Interfund Allocations 1,937,325 2,170,831 2,349,274 2,349,274 2,890,074 2,973,692 3,061,465 3,151,835 3,244,879 540,801 23%
Total Expenditures 20,209,644 22,736,445 25,719,542 35,990,096 24,059,559 23,058,337 23,239,880 23,519,881 23,882,338 (11,930,538) -33%
Net Surplus / (Deficit)2,590,454 1,374,008 (2,814,027) (11,010,988) 22,078 (2,714,859) (2,636,993) (2,652,398) (2,744,967)
Beginning Balance 6,223,909 8,884,670 11,969,237 958,249 980,327 (1,734,532) (4,371,525) (7,023,923)
Cash Adjustments 70,307 1,710,559
Ending Balance 8,884,670 11,969,237 958,249 980,327 (1,734,532) (4,371,525) (7,023,923) (9,768,890)
Cash Reserve Target
25% of Annual expenditures
Expenditures by Category & Subcategory
Expenditures by Division
Fund Summaries
Fund 201 - Parks & Recreation
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 104
Fund Purpose This fund accounts for a portion of the Streets & Sewers Division's, see operations listed below. Streets & Sewers is a division of the Department of Public Works. Streets - Repairs and maintains 2,200 lane miles of road surface in the city limits. Maintenance on streets ranges from paving and patching in the summer to plowing snow in the winter. In 2019, the crack-sealing program was revived in an effort to mitigate water infiltration through cracks in the street surface. Additionally, Streets maintains around 398 miles of alley surface. Also operating under Streets is Unit 211, a 24/7 response vehicle that works with the South Bend Police and Fire Departments for emergencies. | Traffic & Lighting - Maintains traffic signs, signals, and city-owned streetlights. Not only does this office provide traffic control in construction areas for Streets & Sewers, but Traffic & Lighting also works with the South Bend Police Dept to provide traffic control for special events in the city, setting up traffic control for events. Additionally, it is responsible for street painting, i.e., line striping, crosswalks, stop bars, etc. | Curb & Sidewalk - An annual program to replace sidewalks, curbs, and curb ramps in poor condition at residential properties throughout the City. City Council members select the locations to be reviewed by Engineering for bidding as a public works project.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
03 - Intergov./ Shared Revenues 3,274,223 3,196,691 3,167,476 3,167,476 3,224,147 3,224,147 3,224,147 3,224,147 3,224,147 56,671 2%
05 - Licenses & Permits 2,725 2,250 1,500 1,775 - - - - - (1,775) -100%
06 - Charges for Services 89,847 103,179 160,500 165,177 163,300 163,300 163,300 163,300 163,300 (1,877) -1%
08 - Interest Earnings 90,854 147,816 49,242 55,261 122,149 107,406 - - - 66,889 121%
10 - Other Income 107,157 182,582 81,500 81,534 81,500 81,500 81,500 81,500 81,500 (34) 0%
11 - Debt Proceeds 2,235,000 2,670,000 3,101,869 3,101,869 3,600,000 3,600,000 3,600,000 3,600,000 3,600,000 498,131 16%
13 - Interfund Allocation Reimb 162,650 167,318 167,318 167,318 105,133 188,604 194,262 200,090 206,093 (62,185) -37%
14 - Interfund Transfers In 5,087,500 7,400,000 11,400,000 11,400,000 9,700,000 1,200,000 1,200,000 1,200,000 1,200,000 (1,700,000) -15%
Total Revenues 11,049,955 13,869,835 18,129,405 18,140,410 16,996,229 8,564,956 8,463,209 8,469,037 8,475,040 (1,144,181) -6%
Expenditures by Subdivision
503 - Streets 8,783,703 12,833,923 15,375,399 17,769,946 15,978,254 17,414,945 14,559,158 13,909,828 13,347,425 (1,791,692) -10%
505 - Curb & Sidewalk 1,893,969 2,176,913 2,951,845 3,924,719 2,938,751 2,343,823 2,381,527 2,420,440 2,460,604 (985,968) -25%
Total Expenditures by Subdivision 10,677,672 15,010,836 18,327,244 21,694,665 18,917,005 19,758,768 16,940,686 16,330,268 15,808,029 (2,777,660) -13%
01 - Personnel 4,492,597 4,800,554 6,560,163 6,560,163 6,172,204 6,326,509 6,484,671 6,646,788 6,812,958 (387,960) -6%
01 - Salaries & Wages 3,186,475 3,425,081 4,513,428 4,513,428 4,315,812 4,423,707 4,534,300 4,647,657 4,763,849 (197,616) -4%
02 - Fringe Benefits 1,306,122 1,375,473 2,046,736 2,046,736 1,856,392 1,902,801 1,950,371 1,999,131 2,049,109 (190,344) -9%
02 - Supplies 1,146,446 1,247,843 1,642,532 1,981,201 1,487,304 1,631,231 1,655,614 1,690,235 1,721,547 (493,897) -25%
04 - Supplies 1,146,446 1,247,843 1,642,532 1,981,201 1,487,304 1,631,231 1,655,614 1,690,235 1,721,547 (493,897) -25%
03 - Services 1,413,672 2,655,257 3,121,605 4,081,490 2,978,103 2,341,653 2,354,687 2,367,955 2,381,464 (1,103,387) -27%
05 - Professional Services 866,929 1,098,698 1,750,000 2,707,363 1,650,000 1,065,000 1,065,000 1,065,000 1,065,000 (1,057,363) -39%
06 - Repairs & Maintenance 346,497 1,314,234 1,089,834 1,091,272 1,080,163 996,018 1,007,731 1,019,651 1,031,786 (11,109) -1%
08 - Utilities 47,159 39,999 66,836 66,836 55,000 66,065 67,386 68,734 70,108 (11,836) -18%
09 - Printing & Advertising 1,810 2,394 2,950 2,950 2,000 2,950 2,950 2,950 2,950 (950) -32%
11 - Education & Training 11,555 10,089 30,000 30,000 20,000 30,000 30,000 30,000 30,000 (10,000) -33%
12 - Travel 803 11,328 25,000 25,000 15,000 25,000 25,000 25,000 25,000 (10,000) -40%
14 - Other Services & Charges 138,918 178,514 156,985 158,070 155,940 156,620 156,620 156,620 156,620 (2,130) -1%
04 - Capital 1,067,160 3,131,758 3,031,869 5,010,022 3,600,000 5,180,000 2,650,000 2,500,000 2,115,000 (1,410,022) -28%
15 - Capital 1,067,160 3,131,758 3,031,869 5,010,022 3,600,000 5,180,000 2,650,000 2,500,000 2,115,000 (1,410,022) -28%
05 - Debt Service 1,158,251 1,580,038 2,225,981 2,316,696 2,716,931 2,257,075 1,712,744 979,831 567,238 400,236 17%
16 - Debt Service Principal 1,113,112 1,469,371 1,909,313 1,909,313 2,395,998 2,069,870 1,641,863 903,928 505,914 486,685 25%
17 - Debt Service Interest & Fees 45,139 110,667 316,668 407,383 320,933 187,205 70,881 75,903 61,324 (86,450) -21%
06 - Interfund Transfers 1,399,546 1,595,386 1,745,093 1,745,093 1,962,463 2,022,300 2,082,969 2,145,458 2,209,822 217,370 12%
19 - Interfund Allocations 1,399,546 1,595,386 1,745,093 1,745,093 1,962,463 2,022,300 2,082,969 2,145,458 2,209,822 217,370 12%
Total Expenditures 10,677,672 15,010,836 18,327,244 21,694,665 18,917,005 19,758,768 16,940,686 16,330,268 15,808,029 (2,777,660) -13%
Net Surplus / (Deficit)372,283 (1,141,001) (197,839) (3,554,256) (1,920,776) (11,193,811) (8,477,477) (7,861,231) (7,332,989)
Beginning Balance 5,878,352 6,272,150 5,370,283 1,816,027 (104,749) (11,298,561) (19,776,037) (27,637,268)
Cash Adjustments 21,515 239,134 Ending Balance 6,272,150 5,370,283 1,816,027 (104,749) (11,298,561) (19,776,037) (27,637,268) (34,970,258)
Cash Reserve Target
25% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 202 - Motor Vehicle Highway
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 105
Fund Purpose This fund was established (ordinance 9214-01) to account for various EPA grants relating to brownfields. Revenues and expenditures in this fund are grant and project specific and will vary from year to year. The EPA's Brownfields Program empowers states, communities, and other stakeholders to work together to prevent, assess, safely clean up, and sustainably reuse brownfields. A brownfield site is real property, the expansion, redevelopment, or reuse of which may be complicated by the presence or potential presence of a hazardous substance, pollutant, or contaminant. Past grant activity includes: - Brownfields assessment grant: Hazardous substances grant funds and petroleum grant funds used to conduct Phase I and II environmental site assessments on a city-wide basis. Sites included a former foundry site that is now a city park, a former railroad site in the Studebaker/Oliver project area, and sites in wellhead protection areas. - Brownfields cleanup grant: Grant funds used to clean up the former Oliver Plow Works site. The site is part of the Studebaker/Oliver Plow Works Redevelopment Strategy, a phased approach for eventually redeveloping the entire Studebaker and Oliver factories into two light industrial parks. Grant funds also will be used for remediation and post-cleanup reporting, and community involvement activities.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 18,615 26,294 10,783 14,199 12,788 12,788 11,688 11,188 11,188 (1,411) -10%
Total Revenues 18,615 26,294 10,783 14,199 12,788 12,788 11,688 11,188 11,188 (1,411) -10%
03 - Services 25,658 39,368 30,000 84,626 30,000 50,000 50,000 50,000 50,000 (54,626) -65%
05 - Professional Services 25,658 39,368 30,000 84,626 30,000 50,000 50,000 50,000 50,000 (54,626) -65%
Total Expenditures 25,658 39,368 30,000 84,626 30,000 50,000 50,000 50,000 50,000 (54,626) -65%
Net Surplus / (Deficit)(7,043) (13,073) (19,217) (70,427) (17,212) (37,212) (38,312) (38,812) (38,812)
Beginning Balance 657,860 652,479 639,406 568,979 551,767 514,555 476,243 437,432
Cash Adjustments 1,661 0 Ending Balance 652,479 639,406 568,979 551,767 514,555 476,243 437,432 398,620
Cash Reserve Target
No reserve requirement
Grant Fund - spend down
to zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 209 - Studebaker-Oliver Revitalizing Grants
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 106
Fund Purpose This fund was established to track the receipt and subsequent expenditure of grants from the State of Indiana.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
04 - Intergov./ Grants 85,650 67,698 - - - - - - - - 0%
Total Revenues 85,650 67,698 - - - - - - - - 0%
03 - Services 144,348 - - - - - - - - - 0%
06 - Repairs & Maintenance 144,348 - - - - - - - - - 0%
Total Expenditures 144,348 - - - - - - - - - 0%
Net Surplus / (Deficit)(58,698) 67,698 - - - - - - -
Beginning Balance (75,903) (134,601) (66,903) (66,903) (66,903) (66,903) (66,903) (66,903)
Ending Balance (134,601) (66,903) (66,903) (66,903) (66,903) (66,903) (66,903) (66,903)
Cash Reserve Target
No reserve requirement
Grant fund - spend down to zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 210 - Economic Development State Grants
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 107
Fund Purpose This fund was established (ordinance 10060-10) to account for the activities of the Department of Community Investment (DCI). DCI's mission is to spur investment in a stronger South Bend by attracting & retaining growing businesses, connecting residents to economic opportunities, and planning for vibrant neighborhoods.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
04 - Intergov./ Grants 229,133 - - 1,571 - - - - - (1,571) -100%
06 - Charges for Services 266,888 407,740 608,674 608,674 473,120 473,120 473,120 473,120 473,120 (135,554) -22%
07 - Fines, Forfeitures, and Fees 92,005 122,280 64,500 64,500 71,700 71,700 71,700 71,700 71,700 7,200 11%
08 - Interest Earnings (92) 365 100,000 100,000 12,262 12,262 - - - (87,738) -88%
10 - Other Income 24,565 39,424 20,000 26,449 52,900 52,900 52,900 52,900 52,900 26,451 100%
14 - Interfund Transfers In 3,778,841 3,872,000 4,000,000 4,000,000 3,400,000 - - - - (600,000) -15%
Total Revenues 4,391,340 4,441,809 4,793,174 4,801,194 4,009,982 609,982 597,720 597,720 597,720 (791,212) -16%
Expenditures by Subdivision
120 - Community Investment 3,496,347 3,371,993 4,019,026 4,201,013 3,810,803 3,775,273 3,867,994 3,963,145 4,060,790 (390,210) -9%
124 - Historic Preservation 161,987 149,383 199,254 200,374 193,328 206,839 211,591 216,461 221,454 (7,046) -4%
126 - Neighborhood Rebuilding 17,166 - - - - - - - - - 0%
127 - Engagement 148,402 267,420 205,500 330,113 151,250 255,500 255,500 255,500 255,500 (178,863) -54%
128 - Planning 6,808 15,540 22,100 22,273 9,250 22,100 22,100 22,100 22,100 (13,023) -58%
129 - Zoning 6,190 515 10,000 - 10,000 20,000 20,000 20,000 20,000 10,000 0%
130 - Property 11,669 92,374 34,000 67,425 250,000 25,000 25,000 25,000 25,000 182,575 271%
132 - Sustainability 150,730 294,322 364,496 458,673 222,447 300,522 305,616 310,845 316,214 (236,226) -52%
Total Expenditures by Subdivision 3,999,299 4,191,547 4,854,377 5,279,872 4,647,079 4,605,233 4,707,800 4,813,052 4,921,058 (632,793) -12%
01 - Personnel 2,691,232 2,623,094 3,303,049 3,303,049 3,062,968 3,139,542 3,218,031 3,298,481 3,380,943 (240,081) -7%
01 - Salaries & Wages 1,854,286 1,973,676 2,336,348 2,336,348 2,222,285 2,277,842 2,334,788 2,393,158 2,452,987 (114,063) -5%
02 - Fringe Benefits 836,946 649,418 966,701 966,701 840,683 861,700 883,242 905,323 927,957 (126,018) -13%
02 - Supplies 29,510 34,082 71,129 71,129 40,510 51,624 51,637 51,650 51,663 (30,619) -43%
04 - Supplies 29,510 34,082 71,129 71,129 40,510 51,624 51,637 51,650 51,663 (30,619) -43%
03 - Services 541,181 734,699 587,343 1,019,938 609,250 657,482 657,482 657,482 657,482 (410,688) -40%
05 - Professional Services 496,648 618,918 488,200 912,221 555,750 559,200 559,200 559,200 559,200 (356,471) -39%
06 - Repairs & Maintenance 1,302 1,230 4,406 4,406 1,750 3,895 3,895 3,895 3,895 (2,656) -60%
09 - Printing & Advertising 12,182 14,892 23,675 18,979 14,500 23,675 23,675 23,675 23,675 (4,479) -24%
11 - Education & Training 6,663 15,003 18,200 18,200 6,100 23,500 23,500 23,500 23,500 (12,100) -66%
12 - Travel 8,342 15,891 24,162 24,633 10,500 21,662 21,662 21,662 21,662 (14,133) -57%
14 - Other Services & Charges 16,044 68,764 28,700 41,500 20,650 25,550 25,550 25,550 25,550 (20,850) -50%
06 - Interfund Transfers 753,159 841,937 936,455 936,455 948,151 802,185 826,251 851,038 876,570 11,696 1%
19 - Interfund Allocations 753,159 841,937 936,455 936,455 948,151 802,185 826,251 851,038 876,570 11,696 1%
Total Expenditures 4,015,082 4,233,812 4,897,977 5,330,572 4,660,879 4,650,833 4,753,400 4,858,652 4,966,658 (669,693) -13%
Net Surplus / (Deficit)376,258 207,997 (104,803) (529,378) (650,897) (4,040,851) (4,155,680) (4,260,932) (4,368,938)
Beginning Balance 23,296 396,172 613,118 83,739 (567,157) (4,608,008) (8,763,689) (13,024,621)
Cash Adjustments (3,381) 8,948 Ending Balance 396,172 613,118 83,739 (567,157) (4,608,008) (8,763,689) (13,024,621) (17,393,558)
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 211 - Dept of Community Investment Operating
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 108
Fund Purpose This fund accounts for the receipt and subsequent expenditure of grants received from the U.S. Department of Housing and Urban Development related to community improvement projects. This fund accounts for various grants including: Community Development Block Grant (CDBG) CDBG funds can be used for a variety of community development opportunities such as providing affordable housing, a suitable living environment, and economic opportunities for individuals and families with incomes below 80 percent of the area median income. CDBG funds can also be used for the elimination of slum and blight. Emergency Solutions Grant (ESG) The ESG Program provides homeless persons with basic shelter and essential supportive services. It can assist with operational costs of the shelter facility, and for the administration of the grant. Neighborhood Stabilization Project (NSP) Congress created the Neighborhood Stabilization Program to help cities, counties and states deal with community problems that are the result of the mortgage foreclosure crisis in the nation. HUD provides money to local governments (cities and counties), nonprofits, and all 50 states. Generally, the money must be used to buy, fix up, and resell foreclosed and abandoned homes. NSP grantees develop their own programs and funding priorities. However, NSP grantees must use at least 25 percent of the funds appropriated for the purchase and redevelopment of abandoned or foreclosed homes or residential properties that will be used to house individuals or families whose incomes do not exceed 50 percent of the area median income. In addition, all activities funded by NSP must benefit low- and moderate-income persons whose income does not exceed 120 percent of area median income. Activities may not qualify under NSP using the "prevent or eliminate slums and blight" or "address urgent community development needs" objectives.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
04 - Intergov./ Grants 5,559,168 1,903,440 3,067,662 3,132,748 3,217,882 3,217,882 3,217,882 3,217,882 3,217,882 85,134 3%
08 - Interest Earnings - - 2,857 2,857 10,030 - - - - 7,173 251%
10 - Other Income 15,178 85,985 67,500 67,500 5,000 5,000 5,000 5,000 5,000 (62,500) -93%
Total Revenues 5,574,346 1,989,425 3,138,019 3,203,105 3,232,912 3,222,882 3,222,882 3,222,882 3,222,882 29,807 1%
03 - Services 4,310,457 2,859,882 2,987,662 10,771,637 2,745,419 3,007,655 3,007,655 2,832,655 2,832,655 (8,026,218) -75%
07 - Grants & Subsidies 4,310,457 2,859,882 2,987,662 10,771,637 2,745,419 3,007,655 3,007,655 2,832,655 2,832,655 (8,026,218) -75%
Total Expenditures 4,310,457 2,859,882 2,987,662 10,771,637 2,745,419 3,007,655 3,007,655 2,832,655 2,832,655 (8,026,218) -75%
Net Surplus / (Deficit)1,263,889 (870,457) 150,357 (7,568,532) 487,493 215,227 215,227 390,227 390,227
Beginning Balance (155,885) 1,212,370 262,755 (7,305,777) (6,818,285) (6,603,058) (6,387,831) (5,997,604)
Cash Adjustments 104,366 (79,159)
Ending Balance 1,212,370 262,755 (7,305,777) (6,818,285) (6,603,058) (6,387,831) (5,997,604) (5,607,377)
Cash Reserve Target
No reserve requirement
Grant fund - spend down to zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 212 - Dept of Community Investment Grants
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 109
Fund Purpose This fund accounts for law enforcement expenditures financed by the state or local agencies' authorized sale of confiscated property.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
03 - Intergov./ Shared Revenues 51,127 38,123 5,000 16,137 - - - - - (16,137) -100%
08 - Interest Earnings 6,281 11,348 4,830 6,940 5,909 5,909 5,029 4,809 4,809 (1,031) -15%
Total Revenues 57,408 49,471 9,830 23,077 5,909 5,909 5,029 4,809 4,809 (17,168) -74%
03 - Services - - 22,000 22,000 22,000 22,000 22,000 22,000 22,000 - 0%
11 - Education & Training - - 10,000 10,000 10,000 10,000 10,000 10,000 10,000 - 0%
14 - Other Services & Charges - - 12,000 12,000 12,000 12,000 12,000 12,000 12,000 - 0%
Total Expenditures - - 22,000 22,000 22,000 22,000 22,000 22,000 22,000 - 0%
Net Surplus / (Deficit)57,408 49,471 (12,170) 1,077 (16,091) (16,091) (16,971) (17,191) (17,191)
Beginning Balance 199,090 257,001 306,471 307,549 291,458 275,368 258,397 241,206
Cash Adjustments 503 -
Ending Balance 257,001 306,471 307,549 291,458 275,368 258,397 241,206 224,016
Cash Reserve Target
25% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 216 - Police State Seizures
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 110
Fund Purpose
This fund was established (ordinance 9870-08) to receive monies donated, given, and/or bequeathed to the City by private, non-governmental persons. Most donations, gifts, or bequests have a specific purpose designated by the donor. By accounting for the monies in this separate fund, the City can better track the expense of the monies and ensure that they are spent according to the designated purpose.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 26,704 186,739 86,747 86,747 251,492 125,746 193,083 193,108 193,108 164,745 190%
09 - Donations 3,625,410 3,561,983 32,000 74,318 7,020,000 20,000 20,000 20,000 20,000 6,945,682 9346%
Total Revenues 3,652,115 3,748,722 118,747 161,065 7,271,492 145,746 213,083 213,108 213,108 7,110,426 4415%
Expenditures by Subdivision
044 - Human Rights General 5,856 2,971 9,000 14,000 14,000 14,000 14,000 14,000 14,000 - 0%
072 - IT Initiatives 78,044 - - - - - - - - - 0%
105 - Animal Resource Center 38,753 31,148 50,000 50,000 70,000 - - - - 20,000 40%
120 - Community Investment - - 2,500 2,500 - 2,500 2,500 2,500 2,500 (2,500) -100%
124 - Historic Preservation 266 - 1,000 1,000 250 1,000 1,000 1,000 1,000 (750) -75%
132 - Sustainability 24,565 10,163 25,000 62,500 12,000 - - - - (50,500) -81%
500 - Engineering - 5,295,688 - 1,704,312 - - - - - (1,704,312) -100%
Total Expenditures by Subdivision 147,483 5,339,970 87,500 1,834,312 96,250 17,500 17,500 17,500 17,500 (1,738,062) -95%
02 - Supplies 8,182 - 2,500 2,500 - 2,500 2,500 2,500 2,500 (2,500) -100%
04 - Supplies 8,182 - 2,500 2,500 - 2,500 2,500 2,500 2,500 (2,500) -100%
03 - Services 139,302 5,339,970 85,000 1,831,812 96,250 15,000 15,000 15,000 15,000 (1,735,562) -95%
05 - Professional Services 116,796 5,326,836 50,000 1,754,312 70,000 - - - - (1,684,312) -96%
06 - Repairs & Maintenance 11,460 - 25,000 25,000 12,000 - - - - (13,000) -52%
07 - Grants & Subsidies 6,313 10,163 9,000 46,500 9,000 9,000 9,000 9,000 9,000 (37,500) -81%
09 - Printing & Advertising 4,732 2,971 1,000 6,000 5,250 6,000 6,000 6,000 6,000 (750) -13%
Total Expenditures 147,483 5,339,970 87,500 1,834,312 96,250 17,500 17,500 17,500 17,500 (1,738,062) -95%
Net Surplus / (Deficit)3,504,631 (1,591,248) 31,247 (1,673,246) 7,175,242 128,246 195,583 195,608 195,608
Beginning Balance 894,757 4,416,666 2,825,418 1,152,172 8,327,414 8,455,659 8,651,243 8,846,851
Cash Adjustments 17,278 - Ending Balance 4,416,666 2,825,418 1,152,172 8,327,414 8,455,659 8,651,243 8,846,851 9,042,460
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 217 - Gift, Donation, Bequest
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 111
Fund Purpose
The Unsafe Building Fund was established in 2016 (ordinance 10416-16) to receive fines and fees related to Indiana's Unsafe Building law (IC 36-7-9). The expenses incurred for board-ups, demolitions, ordinance violation abatements, and other related services are recorded here. The Unsafe Building Fund is an extension of the Neighborhoods Division and shares the same mission to ensure a safe and clean community by upholding and enforcing the ordinances of the City of South Bend, the Indiana Unsafe Building Law, and the 2000 International Property Maintenance Code. Code Enforcement not only cites neglected properties through its team of inspectors, it also pursues citizens' complaints, partners with volunteer neighborhood associations for neighborhood cleanups, and works directly through community outreach programs to enrich the City of South Bend's neighborhoods. Note: In 2021, the Department of Code Enforcement was brought under the Department of Community Investment (DCI) and was renamed the Neighborhoods Division. The Unsafe Building Fund is managed by the Neighborhoods Division which facilitates code enforcement activities.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
07 - Fines, Forfeitures, and Fees 68,515 94,394 91,240 91,554 85,600 85,600 85,600 85,600 85,600 (5,954) -7%
08 - Interest Earnings 24,876 37,818 19,605 22,620 41,520 20,760 21,492 22,118 22,118 18,900 84%
Total Revenues 93,390 132,212 110,845 114,173 127,120 106,360 107,092 107,718 107,718 12,947 11%
03 - Services 17,500 24,780 25,000 25,000 25,000 23,000 23,000 23,000 23,000 - 0%
05 - Professional Services 17,500 24,780 25,000 25,000 25,000 23,000 23,000 23,000 23,000 - 0%
Total Expenditures 17,500 24,780 25,000 25,000 25,000 23,000 23,000 23,000 23,000 - 0%
Net Surplus / (Deficit)75,890 107,432 85,845 89,173 102,120 83,360 84,092 84,718 84,718
Beginning Balance 822,291 900,258 1,007,690 1,096,863 1,198,982 1,282,342 1,366,434 1,451,152
Cash Adjustments 2,076 - Ending Balance 900,258 1,007,690 1,096,863 1,198,982 1,282,342 1,366,434 1,451,152 1,535,870
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 219 - Unsafe Building
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 112
Fund Purpose This fund was established (ordinance 6974-81) to fund the continuing education for the officers of the South Bend Police Department.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
04 - Intergov./ Grants 648,640 553,924 300,000 300,000 - - - - - (300,000) -100%
06 - Charges for Services 106,073 111,828 115,000 115,000 115,000 115,000 115,000 115,000 115,000 - 0%
07 - Fines, Forfeitures, and Fees 117,605 83,835 106,200 106,200 - - - - - (106,200) -100%
08 - Interest Earnings 20,473 26,498 6,970 16,124 12,747 12,747 - - - (3,377) -21%
09 - Donations 8,400 - 1,000 1,000 - - - - - (1,000) -100%
10 - Other Income 93,350 7,432 - 11,027 - - - - - (11,027) -100%
Total Revenues 994,541 783,517 529,170 549,352 127,747 127,747 115,000 115,000 115,000 (421,604) -77%
02 - Supplies 209,080 403,989 180,000 207,047 280,000 180,000 180,000 180,000 180,000 72,954 35%
04 - Supplies 209,080 403,989 180,000 207,047 280,000 180,000 180,000 180,000 180,000 72,954 35%
03 - Services 199,280 223,202 289,250 303,121 309,250 289,250 289,250 289,250 289,250 6,129 2%
05 - Professional Services 13,866 10,144 - - - - - - - - 0%
11 - Education & Training 125,137 129,532 175,000 188,871 175,000 175,000 175,000 175,000 175,000 (13,871) -7%
12 - Travel 39,543 74,516 55,000 55,000 75,000 55,000 55,000 55,000 55,000 20,000 36%
14 - Other Services & Charges 20,734 9,010 59,250 59,250 59,250 59,250 59,250 59,250 59,250 - 0%
04 - Capital 301,100 277,429 40,000 695,000 - - - - - (695,000) -100%
15 - Capital 301,100 277,429 40,000 695,000 - - - - - (695,000) -100%
Total Expenditures 709,459 904,620 509,250 1,205,168 589,250 469,250 469,250 469,250 469,250 (615,918) -51%
Net Surplus / (Deficit)285,082 (121,103) 19,920 (655,816) (461,503) (341,503) (354,250) (354,250) (354,250)
Beginning Balance 717,743 999,052 874,488 218,672 (242,830) (584,333) (938,583) (1,292,833)
Cash Adjustments (3,773) (3,461)
Ending Balance 999,052 874,488 218,672 (242,830) (584,333) (938,583) (1,292,833) (1,647,083)
Cash Reserve Target
25% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 220 - Law Enforcement Continuing Education
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 113
Fund Purpose
This fund accounts for the revenues and expenditures related to the Landlord Registration ordinance (10427-16) and the Rental Safety Verification Program (RSVP) ordinance (10644-19). Both of these programs are managed by the Neighborhoods Division of the Department of Community Investment (DCI). The Rental Safety Verification Program (RSVP) requires an occupancy inspection of all real property or rental units that are intended to be occupied or are occupied by anyone other than the owner. This program is designed to ensure all City of South Bend rental units meet the minimum property standards of the International Property Maintenance Code, which are incorporated into Chapter 6- Article 14 of the City's municipal code. Once the rental unit has been inspected with an Inspection Report and approved for occupancy, an Inspection Certificate shall be issued by the Department authorizing the rental unit to be occupied. The purpose of the Inspection Report and Inspection Certificate issued to the owner or the property manager (if applicable) is to verify that the rental unit is safe and habitable for occupancy with respect to: electrical systems, plumbing systems, water and sanitary system, including hot water, heating and ventilation systems, bathroom, toilet facilities, doors, windows, stairways, hallways, functioning smoke detectors, lead hazards, indoor air quality, and the overall structure in which a rental unit is established. Note: In 2021, the Department of Code Enforcement was brought under the Department of Community Investment (DCI) and was renamed the Neighborhoods Division. The Rental Units Regulation Fund is managed by the Neighborhoods Division which facilitates code enforcement activities.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
07 - Fines, Forfeitures, and Fees 150,899 302,788 250,000 250,215 169,000 169,000 169,000 169,000 169,000 (81,215) -32%
08 - Interest Earnings 5,230 10,924 9,380 9,380 28,017 9,339 11,279 12,429 12,429 18,637 199%
Total Revenues 156,129 313,712 259,380 259,595 197,017 178,339 180,279 181,429 181,429 (62,578) -24%
01 - Personnel 63,900 (5,733) - - - - - - - - 0%
01 - Salaries & Wages 42,182 (5,308) - - - - - - - - 0%
02 - Fringe Benefits 21,718 (425) - - - - - - - - 0%
03 - Services 1,475 62,325 54,000 144,866 30,000 54,000 54,000 54,000 54,000 (114,866) -79%
05 - Professional Services 1,475 62,325 54,000 144,866 30,000 54,000 54,000 54,000 54,000 (114,866) -79%
Total Expenditures 65,375 56,593 54,000 144,866 30,000 54,000 54,000 54,000 54,000 (114,866) -79%
Net Surplus / (Deficit)90,754 257,119 205,380 114,729 167,017 124,339 126,279 127,429 127,429
Beginning Balance 123,526 210,001 397,458 512,187 679,204 803,544 929,823 1,057,252
Cash Adjustments (4,280) (69,662)
Ending Balance 210,001 397,458 512,187 679,204 803,544 929,823 1,057,252 1,184,681
Cash Reserve Target
10% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 221 - Rental Units Regulation
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 114
Fund Purpose This fund was established to track the operating costs of the Central Services Division. The Division provides a variety of services to other city departments, along with several local county, state and federal agencies. Central Services consists of 4 cost centers: Equipment Services, Building Maintenance, Radio Shop, and Facilities Management. The Department of Administration & Finance oversees the Central Services Division.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
05 - Licenses & Permits 2,738 2,346 2,200 2,235 2,200 2,200 2,200 2,200 2,200 (35) -2%
06 - Charges for Services 8,923,201 10,059,761 11,965,257 11,973,154 11,872,140 11,872,140 11,872,140 11,872,140 11,872,140 (101,014) -1%
08 - Interest Earnings 78 - - 2,225 - - - - - (2,225) -100%
10 - Other Income 59,794 110,664 59,500 59,589 59,500 59,500 59,500 59,500 59,500 (89) 0%
13 - Interfund Allocation Reimb 160,000 160,000 160,000 160,000 247,471 251,896 256,452 261,146 265,980 87,471 55%
14 - Interfund Transfers In - 1,500,000 - - - - - - - - 0%
Total Revenues 9,145,812 11,832,771 12,186,957 12,197,203 12,181,311 12,185,736 12,190,292 12,194,986 12,199,820 (15,891) 0%
01 - Personnel 2,504,806 3,119,370 4,012,352 4,042,550 3,912,781 3,954,562 4,053,426 4,154,762 4,258,631 (129,768) -3%
01 - Salaries & Wages 1,778,787 2,254,224 2,762,557 2,775,978 2,747,565 2,761,973 2,831,023 2,901,798 2,974,343 (28,413) -1%
02 - Fringe Benefits 726,019 865,146 1,249,795 1,266,572 1,165,216 1,192,589 1,222,404 1,252,964 1,284,288 (101,355) -8%
02 - Supplies 6,543,875 6,834,645 7,189,518 7,190,091 6,645,791 7,584,039 8,344,405 9,207,922 10,189,738 (544,300) -8%
04 - Supplies 6,543,875 6,834,645 7,189,518 7,190,091 6,645,791 7,584,039 8,344,405 9,207,922 10,189,738 (544,300) -8%
03 - Services 374,589 290,519 511,061 582,856 452,358 331,777 310,603 313,047 297,922 (130,498) -22%
05 - Professional Services 6,968 15,569 86,530 86,530 70,383 21,600 30,600 12,600 12,600 (16,147) -19%
06 - Repairs & Maintenance 279,396 190,780 301,500 372,607 245,537 189,985 158,200 177,000 160,200 (127,070) -34%
08 - Utilities 68,323 60,520 80,881 80,881 80,881 80,542 82,153 83,797 85,472 - 0%
11 - Education & Training 4,990 8,182 18,050 16,801 15,919 16,050 16,050 16,050 16,050 (882) -5%
12 - Travel 2,342 2,875 4,850 4,850 4,482 4,850 4,850 4,850 4,850 (368) -8%
14 - Other Services & Charges 12,570 12,594 19,250 21,187 35,156 18,750 18,750 18,750 18,750 13,969 66%
04 - Capital - 25,342 7,200 7,200 154,000 154,000 - - - 146,800 2039%
15 - Capital - 25,342 7,200 7,200 154,000 154,000 - - - 146,800 2039%
05 - Debt Service 8,491 4,245 - - - - - - - - 0%
16 - Debt Service Principal 8,254 4,198 - - - - - - - - 0%
17 - Debt Service Interest & Fees 237 48 - - - - - - - - 0%
06 - Interfund Transfers 718,243 776,640 822,062 822,062 989,211 1,018,887 1,049,454 1,080,938 1,113,366 167,149 20%
19 - Interfund Allocations 718,243 776,640 822,062 822,062 989,211 1,018,887 1,049,454 1,080,938 1,113,366 167,149 20%
Total Expenditures 10,150,004 11,050,762 12,542,193 12,644,758 12,154,141 13,043,266 13,757,888 14,756,669 15,859,657 (490,616) -4%
Net Surplus / (Deficit)(1,004,193) 782,010 (355,236) (447,555) 27,170 (857,530) (1,567,596) (2,561,683) (3,659,837)
Beginning Balance 305,778 (680,622) 136,948 (310,607) (283,437) (1,140,967) (2,708,563) (5,270,246)
Cash Adjustments 17,792 35,561
Ending Balance (680,622) 136,948 (310,607) (283,437) (1,140,967) (2,708,563) (5,270,246) (8,930,082)
Cash Reserve Target
10% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 222 - Central Services
4 Internal Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 115
Fund Purpose
This fund was established in 1979 when the Common Council determined that the City should become self-insured for liability insurance (ordinance 6657-79). The purpose of this fund is to set aside monies, assessed on all operations and departments of the City, for the payment of any premium for outside coverage, claims arising from retained risk and all incidental costs associated with any claims including, but not limited to, investigative and legal fees. Currently, this fund handles operations relating to business insurance and claims--property, liability, workers compensation, etc. This fund is managed by the Department of Administration & Finance.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 164,629 268,908 117,112 166,346 146,446 146,446 66,494 68,675 68,675 (19,900) -12%
10 - Other Income 500,956 85,678 - 10,502 - - - - - (10,502) -100%
13 - Interfund Allocation Reimb 3,583,000 3,639,999 3,639,999 3,639,999 3,881,163 3,997,598 4,117,526 4,241,052 4,368,283 241,164 7%
Total Revenues 4,248,586 3,994,584 3,757,111 3,816,847 4,027,609 4,144,044 4,184,020 4,309,726 4,436,958 210,762 6%
Expenditures by Subdivision
411 - Business Insurance 1,062,020 1,184,958 1,330,050 1,353,674 1,430,000 1,289,500 1,299,095 1,308,786 1,318,574 76,326 6%
412 - Liability Coverage 872,633 521,205 1,085,000 1,270,443 1,215,000 1,215,000 1,215,000 1,215,000 1,215,000 (55,443) -4%
413 - Worker's Compensation 1,086,164 1,392,161 1,393,000 1,405,424 1,386,500 1,275,000 1,275,000 1,275,000 1,275,000 (18,924) -1%
414 - Catastrophic Events 500 - - 92,733 - - - - - (92,733) -100%
Total Expenditures by Subdivision 3,021,317 3,098,324 3,808,050 4,122,275 4,031,500 3,779,500 3,789,095 3,798,786 3,808,574 (90,775) -2%
01 - Personnel 29,792 37,660 55,000 55,000 48,500 47,000 47,000 47,000 47,000 (6,500) -12%
03 - Other Personnel Costs 29,792 37,660 55,000 55,000 48,500 47,000 47,000 47,000 47,000 (6,500) -12%
03 - Services 2,991,026 3,060,665 3,753,050 3,974,541 3,983,000 3,732,500 3,742,095 3,751,786 3,761,574 8,459 0%
05 - Professional Services 498,869 275,275 233,000 418,443 363,000 353,000 353,000 353,000 353,000 (55,443) -13%
06 - Repairs & Maintenance 231,043 - - - - - - - - - 0%
10 - Insurance 2,052,688 2,427,744 2,270,050 2,282,474 2,370,000 2,129,500 2,139,095 2,148,786 2,158,574 87,526 4%
14 - Other Services & Charges 208,426 357,645 1,250,000 1,273,624 1,250,000 1,250,000 1,250,000 1,250,000 1,250,000 (23,624) -2%
04 - Capital 500 - - 92,733 - - - - - (92,733) -100%
15 - Capital 500 - - 92,733 - - - - - (92,733) -100%
Total Expenditures 3,021,317 3,098,324 3,808,050 4,122,275 4,031,500 3,779,500 3,789,095 3,798,786 3,808,574 (90,775) -2%
Net Surplus / (Deficit)1,227,268 896,260 (50,939) (305,428) (3,891) 364,544 394,925 510,940 628,384
Beginning Balance 5,760,773 6,488,526 7,397,475 7,092,047 7,088,156 7,452,700 7,847,625 8,358,565
Cash Adjustments (499,515) 12,688 Ending Balance 6,488,526 7,397,475 7,092,047 7,088,156 7,452,700 7,847,625 8,358,565 8,986,949
Cash Reserve Target
50% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 226 - Liability Insurance
4 Internal Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 116
Fund Purpose This fund was established (ordinance 9890-08) to account for compensatory or exemplary damage payments from third parties arising from loss or damage to City tangible or intangible property. The monies deposited into this fund shall be used for costs arising from the covered loss including repair or replacement of tangible property, administrative costs of obtaining loss recovery, enhancement or improvement of City services related to the loss, with any excess to be applied to any reasonable purpose beneficial to the City.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
04 - Intergov./ Grants 1,067,118 991,612 - - - - - - - - 0%
08 - Interest Earnings 53,138 108,013 41,355 69,416 60,377 60,377 54,077 54,077 54,077 (9,039) -13%
Total Revenues 1,120,256 1,099,626 41,355 69,416 60,377 60,377 54,077 54,077 54,077 (9,039) -13%
03 - Services - 150,000 210,000 410,000 210,000 - - - - (200,000) -49%
05 - Professional Services - - - 200,000 - - - - - (200,000) -100%
07 - Grants & Subsidies - 150,000 - - - - - - - - 0%
14 - Other Services & Charges - - 210,000 210,000 210,000 - - - - - 0%
Total Expenditures - 150,000 210,000 410,000 210,000 - - - - (200,000) -49%
Net Surplus / (Deficit)1,120,256 949,626 (168,645) (340,584) (149,623) 60,377 54,077 54,077 54,077
Beginning Balance 1,052,929 2,174,242 3,123,868 2,783,284 2,633,661 2,694,039 2,748,116 2,802,193
Cash Adjustments 1,057 - Ending Balance 2,174,242 3,123,868 2,783,284 2,633,661 2,694,039 2,748,116 2,802,193 2,856,271
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 227 - Loss Recovery
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 117
Fund Purpose
This fund was established in 2020 to account for the activity of the Neighborhoods Division of the Department of Community Investment (DCI). Operating under the Neighborhoods Division is Neighborhood Code Enforcement (NCE), the South Bend Animal Resource Center (SBARC), and Neighborhood Enforcement Action Team (NEAT). NCE upholds and enforces the ordinances of the City of South Bend, the Indiana Unsafe Building Law, and the 2000 International Property Maintenance Code. SBARC runs the animal resource center (aka animal shelter) and enforces animal welfare laws regarding animal cruelty and neglect per City, State, and Federal regulations. NEAT works in tandem with NCE to provide services for environmental clean-ups to homeowners and/or businesses. These clean-ups consist of illegal dumping of household items, tires, building materials, appliances, and any other form of litter and debris. Additional fines may be assessed for failure to comply upon notification. Note: In 2021, the Department of Code Enforcement was brought under the Department of Community Investment (DCI) and was renamed the Neighborhoods Division.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
05 - Licenses & Permits 23,580 21,615 25,000 25,000 19,000 19,000 19,000 19,000 19,000 (6,000) -24%
06 - Charges for Services 43,575 45,391 45,200 45,840 41,530 41,530 41,530 41,530 41,530 (4,310) -9%
07 - Fines, Forfeitures, and Fees 301,742 189,507 181,900 181,900 175,400 175,400 175,400 175,400 175,400 (6,500) -4%
08 - Interest Earnings 1,261 5,887 - 4,951 - - - - - (4,951) -100%
10 - Other Income 19,515 9,492 1,000 1,000 170 170 170 170 170 (830) -83%
11 - Debt Proceeds 232,000 300,000 356,000 356,000 - - - - - (356,000) -100%
14 - Interfund Transfers In 3,298,000 4,452,200 6,800,000 6,800,000 5,600,000 - - - - (1,200,000) -18%
Total Revenues 3,919,673 5,024,091 7,409,100 7,414,691 5,836,100 236,100 236,100 236,100 236,100 (1,578,591) -21%
Expenditures by Subdivision
100 - Neighborhood Services &
Enforcement 3,247,961 3,742,671 5,732,675 6,495,550 5,062,767 5,155,385 5,201,256 5,245,237 5,286,890 (1,432,783) -22%
105 - Animal Resource Center 1,148,773 1,258,552 1,475,077 1,484,103 1,384,542 1,358,367 1,375,005 1,404,533 1,430,459 (99,561) -7%
Total Expenditures by Subdivision 4,396,734 5,001,223 7,207,752 7,979,653 6,447,309 6,513,752 6,576,262 6,649,770 6,717,349 (1,532,344) -19%
01 - Personnel 2,334,799 2,756,968 4,304,801 4,304,801 4,027,080 4,127,757 4,230,951 4,336,725 4,445,143 (277,721) -6%
01 - Salaries & Wages 1,808,302 1,998,390 2,946,308 2,946,308 2,765,410 2,834,545 2,905,409 2,978,044 3,052,495 (180,898) -6%
02 - Fringe Benefits 526,496 758,579 1,358,493 1,358,493 1,261,670 1,293,212 1,325,542 1,358,681 1,392,648 (96,823) -7%
02 - Supplies 212,692 179,819 252,501 272,021 218,650 236,856 238,395 239,963 241,562 (53,371) -20%
04 - Supplies 212,692 179,819 252,501 272,021 218,650 236,856 238,395 239,963 241,562 (53,371) -20%
03 - Services 509,686 696,440 897,478 1,409,073 674,497 832,664 833,508 834,369 835,247 (734,576) -52%
05 - Professional Services 119,478 162,165 102,300 288,155 92,300 140,300 140,300 140,300 140,300 (195,855) -68%
06 - Repairs & Maintenance 129,650 352,604 492,542 785,816 348,000 424,900 424,900 424,900 424,900 (437,816) -56%
08 - Utilities 35,422 38,188 41,389 41,389 41,000 42,217 43,061 43,922 44,800 (389) -1%
09 - Printing & Advertising 11,387 7,497 22,147 22,147 17,897 22,147 22,147 22,147 22,147 (4,250) -19%
11 - Education & Training 7,627 8,354 29,900 29,900 14,000 29,900 29,900 29,900 29,900 (15,900) -53%
12 - Travel 6,641 5,430 26,400 26,400 10,000 26,400 26,400 26,400 26,400 (16,400) -62%
13 - Bad Debt 270 682 - - - - - - - - 0%
14 - Other Services & Charges 199,211 121,521 182,800 215,266 151,300 146,800 146,800 146,800 146,800 (63,966) -30%
04 - Capital 273,206 133,864 356,000 594,860 73,000 44,000 - - - (521,860) -88%
15 - Capital 273,206 133,864 356,000 594,860 73,000 44,000 - - - (521,860) -88%
05 - Debt Service 221,101 266,702 334,518 336,444 375,793 305,739 277,670 213,103 139,019 39,349 12%
16 - Debt Service Principal 207,530 247,430 306,356 306,356 344,871 283,360 258,666 200,110 129,436 38,514 13%
17 - Debt Service Interest & Fees 13,571 19,272 28,162 30,088 30,923 22,379 19,004 12,993 9,583 835 3%
06 - Interfund Transfers 845,250 967,430 1,062,454 1,062,454 1,078,289 966,736 995,738 1,025,610 1,056,378 15,835 1%
19 - Interfund Allocations 845,250 967,430 1,062,454 1,062,454 1,078,289 966,736 995,738 1,025,610 1,056,378 15,835 1%
Total Expenditures 4,396,734 5,001,223 7,207,752 7,979,653 6,447,309 6,513,752 6,576,262 6,649,770 6,717,349 (1,532,344) -19%
Net Surplus / (Deficit)(477,061) 22,868 201,348 (564,962) (611,209) (6,277,652) (6,340,162) (6,413,670) (6,481,249)
Beginning Balance 497,495 (18,294) 1,718 (563,244) (1,174,453) (7,452,105) (13,792,267) (20,205,936)
Cash Adjustments (38,727) (2,857) Ending Balance (18,294) 1,718 (563,244) (1,174,453) (7,452,105) (13,792,267) (20,205,936) (26,687,186)
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 230 - Code Enforcement Fund
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 118
Fund Purpose
This fund was established in 2010 due to Indiana's property tax "circuit breaker" system that effectively limited property tax receipts. This fund can only be used to pay for Public Safety personnel wages and benefits. (Resolution 3980-09, Indiana Code IC 6-3.6-6-8)
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
02 - Local Income Taxes 12,690,915 13,856,678 12,400,678 12,222,196 12,844,698 13,358,486 13,892,825 14,448,538 15,026,480 622,502 5%
08 - Interest Earnings 178,001 307,287 178,522 178,522 129,414 129,414 - - - (49,109) -28%
Total Revenues 12,868,916 14,163,965 12,579,200 12,400,718 12,974,112 13,487,900 13,892,825 14,448,538 15,026,480 573,393 5%
08 - Police Department 4,749,279 6,928,340 6,200,339 6,200,339 7,380,618 7,565,133 7,754,262 7,948,118 8,146,821 1,180,279 19%
09 - Fire Department 4,749,279 6,928,340 7,678,294 7,678,294 7,380,618 7,565,133 7,754,262 7,948,118 8,146,821 (297,676) -4%
Total Expenditures by Dept 9,498,558 13,856,681 13,878,633 13,878,633 14,761,236 15,130,267 15,508,524 15,896,237 16,293,643 882,603 6%
01 - Personnel 9,498,558 13,856,681 13,878,633 13,878,633 14,761,236 15,130,267 15,508,524 15,896,237 16,293,643 882,603 6%
01 - Salaries & Wages 9,498,558 13,856,681 13,878,633 13,878,633 14,761,236 15,130,267 15,508,524 15,896,237 16,293,643 882,603 6%
Total Expenditures 9,498,558 13,856,681 13,878,633 13,878,633 14,761,236 15,130,267 15,508,524 15,896,237 16,293,643 882,603 6%
Net Surplus / (Deficit)3,370,357 307,284 (1,299,433) (1,477,915) (1,787,124) (1,642,367) (1,615,698) (1,447,698) (1,267,163)
Beginning Balance 2,786,001 6,163,397 6,470,681 4,992,766 3,205,642 1,563,275 (52,424) (1,500,122)
Cash Adjustments 7,039 0
Ending Balance 6,163,397 6,470,681 4,992,766 3,205,642 1,563,275 (52,424) (1,500,122) (2,767,285)
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Expenditures by Department
Fund Summaries
Fund 249 - Local Income Tax - Public Safety
1 General Plus Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 119
Fund Purpose
This fund is used to track expenditures for road projects managed by the Engineering division of the Department of Public Works. Per Indiana Code Section 8-14-2-5, this fund "shall be used exclusively by the cities, towns, and counties for: engineering, land acquisition, construction, resurfacing, maintenance, restoration, or rehabilitation of both local and arterial road and street systems; the payment of principal and interest on bonds sold primarily to finance road, street, or thoroughfare projects; any local costs required to undertake a recreational or reservoir road project under IC 8-23-5; or the purchase, rental, or repair of highway equipment."
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
03 - Intergov./ Shared Revenues 2,040,961 2,063,246 1,944,187 1,944,187 2,020,190 2,020,190 2,020,190 2,020,190 2,020,190 76,003 4%
04 - Intergov./ Grants 205,355 333,546 55,000 55,000 55,000 55,000 55,000 55,000 55,000 - 0%
08 - Interest Earnings 74,193 41,630 43,834 43,834 43,834 22,822 27,326 33,578 33,578 - 0%
Total Revenues 2,320,509 2,438,422 2,043,021 2,043,021 2,119,024 2,098,012 2,102,516 2,108,768 2,108,768 76,003 4%
02 - Supplies 347,256 380,000 - 20,000 - 400,000 400,000 400,000 400,000 (20,000) -100%
04 - Supplies 347,256 380,000 - 20,000 - 400,000 400,000 400,000 400,000 (20,000) -100%
03 - Services 2,241,701 2,500,319 600,000 1,908,924 550,000 800,000 850,000 850,000 700,000 (1,358,924) -71%
05 - Professional Services 524,598 743,100 300,000 708,864 80,000 250,000 250,000 250,000 250,000 (628,864) -89%
06 - Repairs & Maintenance 1,717,103 1,757,220 300,000 1,200,060 470,000 550,000 600,000 600,000 450,000 (730,060) -61%
04 - Capital 783,787 389,372 250,000 575,712 200,000 250,000 250,000 200,000 - (375,712) -65%
15 - Capital 783,787 389,372 250,000 575,712 200,000 250,000 250,000 200,000 - (375,712) -65%
06 - Interfund Transfers - - 1,500,000 - - - - - - - 0%
20 - Interfund Transfers Out - - 1,500,000 - - - - - - - 0%
Total Expenditures 3,372,745 3,269,691 2,350,000 2,504,636 750,000 1,450,000 1,500,000 1,450,000 1,100,000 (1,754,636) -70%
Net Surplus / (Deficit)(1,052,235) (831,270) (306,979) (461,615) 1,369,024 648,012 602,516 658,768 1,008,768
Beginning Balance 2,380,085 1,388,435 478,515 16,900 1,385,925 2,033,937 2,636,453 3,295,221
Cash Adjustments 60,586 (78,650)
Ending Balance 1,388,435 478,515 16,900 1,385,925 2,033,937 2,636,453 3,295,221 4,303,989
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 251 - Local Road & Street
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 120
Fund Purpose This fund was established in 2016, per the Indiana State Board of Accounts (SBOA), to receive a one-time payment of local income taxes from the State for the purpose of infrastructure expenditures. Per the state statute (Senate Enrolled Act 67), a minimum of 75% must be spent on infrastructure projects.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 3,388 2,573 - 869 1,315 1,315 1,315 1,315 1,315 446 51%
Total Revenues 3,388 2,573 - 869 1,315 1,315 1,315 1,315 1,315 446 51%
03 - Services 184,782 - - 704 - - - - - (704) -100%
05 - Professional Services 184,782 - - 704 - - - - - (704) -100%
04 - Capital 4,314 - - 52,635 - - - - - (52,635) -100%
15 - Capital 4,314 - - 52,635 - - - - - (52,635) -100%
Total Expenditures 189,096 - - 53,339 - - - - - (53,339) -100%
Net Surplus / (Deficit)(185,709) 2,573 - (52,470) 1,315 1,315 1,315 1,315 1,315
Beginning Balance 248,243 67,475 65,734 13,264 14,579 15,893 17,208 18,523
Cash Adjustments 4,941 (4,314)
Ending Balance 67,475 65,734 13,264 14,579 15,893 17,208 18,523 19,837
Cash Reserve Target
No reserve requirement - One
time distribution - spend down
to zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 257 - LOIT Special Distribution
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 121
Fund Purpose This fund tracks the portion of the South Bend Human Rights Commission’s expenses that are funded by grants from the federal government.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
04 - Intergov./ Grants 8,775 380,140 187,000 187,000 147,700 147,700 147,700 147,700 147,700 (39,300) -21%
06 - Charges for Services 20,000 - - 10,000 - - - - - (10,000) -100%
08 - Interest Earnings 6,995 6,723 3,000 6,456 11,534 - - - - 5,078 79%
10 - Other Income - - 40,000 40,000 - - - - - (40,000) -100%
Total Revenues 35,770 386,863 230,000 243,456 159,234 147,700 147,700 147,700 147,700 (84,222) -35%
Expenditures by Subdivision
045 - Human Rights - EEOC 96,673 116,706 129,396 151,746 135,012 155,175 157,904 160,702 163,569 (16,734) -11%
046 - Human Rights - HUD 100,097 114,345 225,782 230,182 249,865 135,477 138,256 141,105 144,025 19,684 9%
Total Expenditures by Subdivision 196,770 231,051 355,177 381,927 384,878 290,652 296,161 301,807 307,595 2,950 1%
01 - Personnel 168,255 194,549 209,177 209,177 214,978 220,352 225,861 231,507 237,295 5,800 3%
01 - Salaries & Wages 121,381 142,532 146,200 146,200 154,268 158,125 162,078 166,130 170,283 8,068 6%
02 - Fringe Benefits 46,874 52,016 62,977 62,977 60,710 62,227 63,783 65,378 67,012 (2,268) -4%
02 - Supplies 1,280 2,402 12,000 12,000 8,900 2,500 2,500 2,500 2,500 (3,100) -26%
04 - Supplies 1,280 2,402 12,000 12,000 8,900 2,500 2,500 2,500 2,500 (3,100) -26%
03 - Services 27,235 34,101 134,000 130,750 161,000 67,800 67,800 67,800 67,800 30,250 23%
05 - Professional Services 1,667 250 12,000 38,750 24,900 28,000 28,000 28,000 28,000 (13,850) -36%
06 - Repairs & Maintenance - - - - 600 - - - - 600 0%
09 - Printing & Advertising 23,500 12,284 52,000 52,000 29,000 8,000 8,000 8,000 8,000 (23,000) -44%
11 - Education & Training - 9,675 16,000 16,000 10,000 9,000 9,000 9,000 9,000 (6,000) -38%
12 - Travel 2,068 11,891 23,000 23,000 16,000 22,000 22,000 22,000 22,000 (7,000) -30%
14 - Other Services & Charges - - 31,000 1,000 80,500 800 800 800 800 79,500 7950%
04 - Capital - - - 30,000 - - - - - (30,000) -100%
15 - Capital - - - 30,000 - - - - - (30,000) -100%
Total Expenditures 196,770 231,051 355,177 381,927 384,878 290,652 296,161 301,807 307,595 2,950 1%
Net Surplus / (Deficit)(161,000) 155,812 (125,177) (138,471) (225,643) (142,952) (148,461) (154,107) (159,895)
Beginning Balance 315,523 155,014 310,825 172,354 (53,289) (196,241) (344,702) (498,809)
Cash Adjustments 491 - Ending Balance 155,014 310,825 172,354 (53,289) (196,241) (344,702) (498,809) (658,704)
Cash Reserve Target
No reserve requirement
Grant fund - spend down to zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 258 - Human Rights Federal Grants
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 122
Fund Purpose This fund was established in 2021 to track the receipt and expenditure of the funds from the American Rescue Plan Act. Signed into law on March 11, 2021, the American Rescue Plan Act of 2021 (“ARP Act”) is a $1.9 trillion economic stimulus bill designed to facilitate recovery from the economic and health effects of the COVID-19 pandemic and the resulting, ongoing recession. As a part of this legislation, Congress allocated $350 billion to state, local, territorial and Tribal governments to respond to the pandemic, provide economic relief, and lay the foundation for a strong and equitable recovery. The City of South Bend was one of almost 1,200 Metropolitan Cities across the country that received a direct infusion of resources as a result of this Act. The City’s allocation totaled $58,910,047 (the “ARP Funds”). On March 18, 2021, the Indiana State Board of Accounts issued State Examiner Directive 2021-1, which prescribes the accounting procedures for federal assistance received through the ARP Act, and on May 17, 2021, the United States Department of the Treasury published an interim final rule to describe the requirements on implementing the Coronavirus State Fiscal Recovery Fund and the Coronavirus Local Fiscal Recovery Fund established under the ARP Act. Both the state and the federal directives recommend the creation of a formal spending plan for the ARP Funds. In its guidance, the Department of the Treasury outlined four funding objectives for the ARPA Funds. In developing its own plan for spending, the City of South Bend further grouped these four objectives into two main categories of spending: Response & Relief • Support urgent COVID-19 response efforts • Support immediate economic stabilization for households and businesses Equitable Recovery • Replace lost revenue for eligible state, local, territorial, and Tribal governments • Address systemic public health and economic challenges that have contributed to the inequal impact of the pandemic Spending allocated for “Response and Relief” is intended to provide direct, rapid relief to residents and businesses who have experienced economic or health-related harms related to the pandemic. Spending allocated for “Equitable Recovery” is intended to rebuild a more equitable economy and community by addressing systemic challenges that have been present in our community for decades. In Sections 602(c)(1) and 603(c)(1) of ARPA, Congress provided four eligible uses of funds: a) To respond to the public health emergency or its negative economic impacts, including assistance to households, small businesses, and nonprofits, or aid to impacted industries such as tourism, travel, and hospitality; b) To respond to workers performing essential work during the COVID-19 public health emergency by providing premium pay to eligible workers; c) For the provision of government services to the extent of the reduction in revenue due to the COVID–19 public health emergency relative to revenues collected in the most recent full fiscal year prior to the emergency; and d) To make necessary investments in water, sewer, or broadband infrastructure
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 180,695 187,279 - 21,534 19,616 - - - - (1,918) -9%
Total Revenues 180,695 187,279 - 21,534 19,616 - - - - (1,918) -9%
Expenditures by Subdivision
040 - General City 945,227 9,321,898 - 24,553 - - - - - (24,553) -100%
Total Expenditures by Subdivision 945,227 9,321,898 - 24,553 - - - - - (24,553) -100%
04 - Capital 945,227 9,321,898 - 24,553 - - - - - (24,553) -100%
15 - Capital 945,227 9,321,898 - 24,553 - - - - - (24,553) -100%
Total Expenditures 945,227 9,321,898 - 24,553 - - - - - (24,553) -100%
Net Surplus / (Deficit)(764,532) (9,134,619) - (3,019) 19,616 - - - -
Beginning Balance 10,879,460 10,144,293 980,782 977,763 997,378 997,378 997,378 997,378
Cash Adjustments 29,365 (28,892)
Ending Balance 10,144,293 980,782 977,763 997,378 997,378 997,378 997,378 997,378
Cash Reserve Target
No reserve requirement
Grant fund - spend down to zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 263 - American Rescue Plan
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 123
Fund Purpose This fund was established to track the costs associated with the City's response to the COVID-19 coronavirus pandemic.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
04 - Intergov./ Grants 368,404 197,789 5,000 5,000 - - - - - (5,000) -100%
Total Revenues 368,404 197,789 5,000 5,000 - - - - - (5,000) -100%
03 - Services 383,405 118,138 - - - - - - - - 0%
07 - Grants & Subsidies 383,405 118,138 - - - - - - - - 0%
Total Expenditures 383,405 118,138 - - - - - - - - 0%
Net Surplus / (Deficit)(15,001) 79,650 5,000 5,000 - - - - -
Beginning Balance (52,921) (79,650) - 5,000 5,000 5,000 5,000 5,000
Cash Adjustments (11,729) - Ending Balance (79,650) - 5,000 5,000 5,000 5,000 5,000 5,000
Cash Reserve Target
No reserve requirement
Grant fund - spend down to zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 264 - COVID-19 Response
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 124
Fund Purpose This fund was established (ordinance 10486-16) to account for the receipt of the Community Crossings state grant and matching revenue (50/50) and for the payment of expenditures on eligible projects, per the Indiana State Board of Accounts (SBOA). Community Crossings is a partnership between the Indiana Department of Transportation (INDOT) and Hoosier communities, both urban and rural, to invest in infrastructure projects that catalyze economic development, create jobs, and strengthen local transportation networks. The City is seeking $1 million in grant funding each year.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
04 - Intergov./ Grants 1,000,000 1,111,750 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 - 0%
08 - Interest Earnings 50,707 27,984 4,106 10,177 - - - - - (10,177) -100%
14 - Interfund Transfers In - - 1,500,000 1,500,000 - - - - - (1,500,000) -100%
Total Revenues 1,050,707 1,139,734 3,004,106 3,010,177 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 (1,510,177) -50%
03 - Services 3,105,996 1,229,350 3,000,000 3,993,345 3,000,000 3,000,000 3,000,000 3,000,000 3,000,000 (993,345) -25%
06 - Repairs & Maintenance 3,105,996 1,229,350 3,000,000 3,993,345 3,000,000 3,000,000 3,000,000 3,000,000 3,000,000 (993,345) -25%
Total Expenditures 3,105,996 1,229,350 3,000,000 3,993,345 3,000,000 3,000,000 3,000,000 3,000,000 3,000,000 (993,345) -25%
Net Surplus / (Deficit)(2,055,289) (89,615) 4,106 (983,168) (1,500,000) (1,500,000) (1,500,000) (1,500,000) (1,500,000)
Beginning Balance 2,477,054 428,020 338,405 (644,764) (2,144,764) (3,644,764) (5,144,764) (6,644,764)
Cash Adjustments 6,255 (0)
Ending Balance 428,020 338,405 (644,764) (2,144,764) (3,644,764) (5,144,764) (6,644,764) (8,144,764)
Cash Reserve Target
No reserve requirement
Grant fund - spend down to zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 265 - Local Road & Bridge Grant
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 125
Fund Purpose The MVH Restricted Fund was established in 2019 due to a directive from the Indiana State Board of Accounts: Starting on January 1, 2019, the political subdivision must post at the time of receipt of the distribution from the State Motor Vehicle Highway Account fifty percent (50%) of the distribution to MVH Restricted. The political subdivision, by ordinance or resolution, may elect to allocate more than fifty percent (50%) of the distributions to MVH Restricted. During the same fiscal year, the political subdivision may transfer, by ordinance or resolution, the amount allocated in excess of the 50% requirement from MVH Restricted to MVH. In no event can any transfers from MVH Restricted to MVH reduce the fiscal year distributions from the State Motor Vehicle Highway Account below the 50% requirement for MVH Restricted. Any amounts allocated in excess of the required 50% of distributions which remain in MVH Restricted at the end of the fiscal year must remain in MVH Restricted until expended for construction, reconstruction, or preservation.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
03 - Intergov./ Shared Revenues 3,274,223 3,196,691 3,167,476 3,167,476 3,224,147 3,224,147 3,224,147 3,224,147 3,224,147 56,671 2%
08 - Interest Earnings 39,874 44,973 10,650 34,531 66,320 29,300 - - - 31,789 92%
Total Revenues 3,314,097 3,241,664 3,178,126 3,202,007 3,290,467 3,253,447 3,224,147 3,224,147 3,224,147 88,460 3%
01 - Personnel 582,623 506,606 679,651 679,651 561,977 576,026 590,427 605,188 620,317 (117,674) -17%
01 - Salaries & Wages 399,253 350,371 521,781 521,781 407,517 417,705 428,148 438,851 449,823 (114,264) -22%
02 - Fringe Benefits 183,370 156,235 157,870 157,870 154,460 158,322 162,280 166,337 170,495 (3,410) -2%
02 - Supplies 1,386,353 1,374,806 2,112,757 2,120,878 1,499,350 1,432,606 1,485,555 1,540,960 1,598,943 (621,528) -29%
04 - Supplies 1,386,353 1,374,806 2,112,757 2,120,878 1,499,350 1,432,606 1,485,555 1,540,960 1,598,943 (621,528) -29%
03 - Services 1,592,715 886,957 393,470 682,865 406,355 941,783 879,430 712,030 743,045 (276,510) -40%
06 - Repairs & Maintenance 1,592,715 886,957 393,470 682,865 406,355 941,783 879,430 712,030 743,045 (276,510) -40%
04 - Capital 662,791 - - - - 505,000 - - - - 0%
15 - Capital 662,791 - - - - 505,000 - - - - 0%
05 - Debt Service 187,529 187,529 187,529 187,529 187,529 187,531 293,581 199,816 106,050 0 0%
16 - Debt Service Principal 169,814 173,826 177,933 177,933 182,137 177,934 283,138 193,677 101,000 4,204 2%
17 - Debt Service Interest & Fees 17,716 13,703 9,596 9,596 5,392 9,597 10,443 6,139 5,050 (4,204) -44%
Total Expenditures 4,412,010 2,955,898 3,373,407 3,670,924 2,655,211 3,642,946 3,248,993 3,057,994 3,068,355 (1,015,713) -28%
Net Surplus / (Deficit)(1,097,914) 285,766 (195,282) (468,917) 635,255 (389,500) (24,847) 166,153 155,791
Beginning Balance 1,971,069 848,707 1,180,553 711,636 1,346,891 957,391 932,545 1,098,697
Cash Adjustments (24,448) 46,080
Ending Balance 848,707 1,180,553 711,636 1,346,891 957,391 932,545 1,098,697 1,254,488
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 266 - MVH Restricted Fund
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 126
Fund Purpose
This fund was established (ordinance 9919-09) to receive monies collected from South Bend Police Department Officers participating in the City's Take Home Vehicle Program. The City shall use all monies deposited into this fund to pay the costs and expenses associated with claims arising from use of program vehicles occurring while officers are not on duty.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
06 - Charges for Services 59,460 72,260 50,000 50,000 50,000 50,000 50,000 50,000 50,000 - 0%
08 - Interest Earnings 22,799 35,245 16,472 21,255 19,322 19,322 19,822 19,822 19,822 (1,933) -9%
Total Revenues 82,259 107,505 66,472 71,255 69,322 69,322 69,822 69,822 69,822 (1,933) -3%
03 - Services 1,040 - 50,000 50,000 - 50,000 50,000 50,000 50,000 (50,000) -100%
14 - Other Services & Charges 1,040 - 50,000 50,000 - 50,000 50,000 50,000 50,000 (50,000) -100%
Total Expenditures 1,040 - 50,000 50,000 - 50,000 50,000 50,000 50,000 (50,000) -100%
Net Surplus / (Deficit)81,219 107,505 16,472 21,255 69,322 19,322 19,822 19,822 19,822
Beginning Balance 750,477 833,591 941,097 962,351 1,031,673 1,050,995 1,070,817 1,090,639
Cash Adjustments 1,895 - Ending Balance 833,591 941,097 962,351 1,031,673 1,050,995 1,070,817 1,090,639 1,110,461
Cash Reserve Target
Set dollar amount of $750,000
Expenditures by Category & Subcategory
Fund Summaries
Fund 278 - Police Take Home Vehicle
4 Internal Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 127
Fund Purpose
This fund was established to account for the expenditures of the Department of Innovation & Technology, which includes the 311 Call Center, Services, Infrastructure, Business Analytics, Applications, and Civic Innovation. The Department of Innovation & Technology's goal is to empower an innovative workforce and a thriving community through technology, data, and strategic partnerships. The functions within the department include: The 311 Call Center handles resident telephone calls in an efficient and effective manner. It provides residents with a "one-stop" shop to contact city departments with inquiries and service requests. | Services focuses on internal technology-related services for the employees of the City of South Bend. Daily general operations and user experience fall under this division. | Applications oversees architecting, implementing, configuring, integrating, and supporting all software applications and platforms. This includes the employee intranet, the 311 Service Portal, our CRM solution, GIS mapping, and many applications specialized for departments and divisions. | Infrastructure oversees the Network Infrastructure within the City of South Bend, which is comprised of the hardware, software and security resources of an entire network. The infrastructure team plans new deployments, maintains all technology infrastructure inclusive of servers, network devices, wireless network devices, cloud environments, data center, and security; ensuring availability, capacity, and continuity. | Business Analytics acts as liaisons between City departments and the rest of the Dept of Innovation and Technology team and provides additional resources to City departments for selected projects. Business Analytics team members provide services including business needs assessments, process mapping and improvement, performance management, data and technology training, data analytics, and project management. | Civic Innovation works with City and community partners to improve residents’ access to technology and digital literacy. The division connects residents and groups with the technology resources they need to succeed by leveraging connections both internal and external connections.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
06 - Charges for Services 2,602 - - - - - - - - - 0%
08 - Interest Earnings 123,322 219,189 72,145 130,974 125,012 125,012 - - - (5,961) -5%
09 - Donations 15,000 19,000 - - - - - - - - 0%
10 - Other Income 131,250 118,344 - 114,024 - - - - - (114,024) -100%
13 - Interfund Allocation Reimb 9,990,823 13,100,296 14,991,280 14,991,280 14,762,208 15,205,074 15,661,226 16,131,063 16,614,995 (229,072) -2%
Total Revenues 10,262,996 13,456,829 15,063,425 15,236,278 14,887,220 15,330,087 15,661,226 16,131,063 16,614,995 (349,057) -2%
01 - Personnel 2,975,719 4,334,083 5,042,919 5,042,919 5,191,027 5,320,803 5,453,823 5,590,169 5,729,923 148,108 3%
01 - Salaries & Wages 2,176,973 3,198,257 3,532,087 3,532,087 3,717,275 3,810,207 3,905,462 4,003,099 4,103,176 185,188 5%
02 - Fringe Benefits 798,746 1,135,827 1,510,832 1,510,832 1,473,752 1,510,596 1,548,361 1,587,070 1,626,747 (37,080) -2%
02 - Supplies 164,623 704,783 709,500 1,597,589 490,200 823,200 823,200 823,200 823,200 (1,107,389) -69%
04 - Supplies 164,623 704,783 709,500 1,597,589 490,200 823,200 823,200 823,200 823,200 (1,107,389) -69%
03 - Services 5,410,183 6,715,726 8,521,567 10,602,003 8,724,968 7,255,351 7,255,351 7,255,351 7,255,351 (1,877,035) -18%
05 - Professional Services 967,886 811,905 1,075,000 2,769,542 845,000 936,260 936,260 936,260 936,260 (1,924,542) -69%
06 - Repairs & Maintenance 4,116,523 5,556,651 7,005,530 7,376,813 7,422,711 6,095,461 6,095,461 6,095,461 6,095,461 45,898 1%
09 - Printing & Advertising 6,393 11,108 15,000 14,600 15,000 16,500 16,500 16,500 16,500 400 3%
11 - Education & Training 32,822 19,183 67,000 67,095 52,000 84,580 84,580 84,580 84,580 (15,095) -22%
12 - Travel 30,830 46,813 35,000 49,916 49,100 35,000 35,000 35,000 35,000 (816) -2%
14 - Other Services & Charges 255,730 270,067 324,037 324,037 341,157 87,550 87,550 87,550 87,550 17,120 5%
05 - Debt Service 875,168 754,950 737,245 932,178 599,163 168,677 343,149 - - (333,015) -36%
16 - Debt Service Principal 817,680 686,269 665,608 835,752 561,322 152,394 79,585 - - (274,430) -33%
17 - Debt Service Interest & Fees 57,489 68,681 71,637 96,426 37,841 16,283 263,564 - - (58,585) -61%
06 - Interfund Transfers 813 818 818 818 53,452 916 943 971 1,001 52,634 6434%
19 - Interfund Allocations 813 818 818 818 53,452 916 943 971 1,001 52,634 6434%
Total Expenditures 9,426,505 12,510,360 15,012,050 18,175,507 15,058,810 13,568,947 13,876,466 13,669,691 13,809,475 (3,116,697) -17%
Net Surplus / (Deficit)836,490 946,469 51,375 (2,939,230) (171,590) 1,761,140 1,784,760 2,461,372 2,805,521
Beginning Balance 4,698,328 5,506,547 6,398,926 3,459,696 3,288,106 5,049,246 6,834,006 9,295,378
Cash Adjustments (28,272) (54,090)
Ending Balance 5,506,547 6,398,926 3,459,696 3,288,106 5,049,246 6,834,006 9,295,378 12,100,898
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 279 - IT / Innovation / 311 Call Center
4 Internal Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 128
Fund Purpose This fund was established (ordinance 10339-14) to track capital expenditures of the South Bend Fire Department. Capital purchases include fire apparatuses, ambulances, and major construction projects. This fund is also used to repay debt issued for capital purchases and capital improvements, such as vehicle/equipment capital leases and bonds.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
04 - Intergov./ Grants - - 75,000 75,000 50,000 50,000 50,000 50,000 50,000 (25,000) -33%
06 - Charges for Services 2,031,836 2,071,884 2,108,162 2,108,270 2,336,048 2,336,048 2,336,048 2,336,048 2,336,048 227,778 11%
07 - Fines, Forfeitures, and Fees 26 - - - - - - - - - 0%
08 - Interest Earnings 29,370 49,098 17,452 44,243 54,397 54,397 - - - 10,154 23%
10 - Other Income - 32,394 - - - - - - - - 0%
11 - Debt Proceeds 1,430,000 2,745,000 3,410,000 3,410,000 1,690,000 1,690,000 1,690,000 1,690,000 1,690,000 (1,720,000) -50%
Total Revenues 3,491,232 4,898,376 5,610,614 5,637,513 4,130,445 4,130,445 4,076,048 4,076,048 4,076,048 (1,507,068) -27%
04 - Capital 4,037,967 1,662,885 1,807,708 5,860,379 1,190,000 2,170,000 1,995,000 2,586,000 1,695,000 (4,670,379) -80%
15 - Capital 4,037,967 1,662,885 1,807,708 5,860,379 1,190,000 2,170,000 1,995,000 2,586,000 1,695,000 (4,670,379) -80%
05 - Debt Service 994,570 1,213,334 1,683,394 1,969,397 1,579,431 1,823,706 1,583,963 1,451,375 1,965,600 (389,966) -20%
16 - Debt Service Principal 948,939 1,164,500 1,521,156 1,722,852 1,408,952 1,729,016 1,515,674 1,387,414 1,872,000 (313,900) -18%
17 - Debt Service Interest & Fees 45,632 48,835 162,238 246,545 170,479 94,690 68,289 63,961 93,600 (76,066) -31%
06 - Interfund Transfers 752,356 746,961 751,199 751,199 1,554,249 751,274 762,505 762,311 765,724 803,050 107%
20 - Interfund Transfers Out 752,356 746,961 751,199 751,199 1,554,249 751,274 762,505 762,311 765,724 803,050 107%
Total Expenditures 5,784,893 3,623,181 4,242,301 8,580,975 4,323,679 4,744,980 4,341,468 4,799,686 4,426,324 (4,257,296) -50%
Net Surplus / (Deficit)(2,293,661) 1,275,195 1,368,313 (2,943,462) (193,235) (614,535) (265,420) (723,638) (350,276)
Beginning Balance 3,856,779 1,568,458 2,843,653 (99,808) (293,043) (907,578) (1,172,998) (1,896,636)
Cash Adjustments 5,340 -
Ending Balance 1,568,458 2,843,653 (99,808) (293,043) (907,578) (1,172,998) (1,896,636) (2,246,912)
Cash Reserve Target
No reserve requirement
Capital fund - spend down to
zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 287 - Fire Department Capital
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 129
Fund Purpose This fund was established (ordinance 7748-87) to account for the monies generated by the South Bend Fire Department's response to hazardous materials incidents. The monies accumulated in this fund may be expended for the replacement, repair, or purchase of Haz-Mat equipment, for training and supplies and to defray the expense of Haz-Mat related activities. There are no budgeted positions in this fund, responses are made by firefighters of the South Bend Fire Department.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
06 - Charges for Services 2,375 24,983 5,000 5,000 5,000 5,000 5,000 5,000 5,000 - 0%
08 - Interest Earnings 910 1,478 494 1,129 744 894 894 844 844 (385) -34%
Total Revenues 3,285 26,461 5,494 6,129 5,744 5,894 5,894 5,844 5,844 (385) -6%
02 - Supplies - - 10,000 10,000 - 10,000 10,000 10,000 10,000 (10,000) -100%
04 - Supplies - - 10,000 10,000 - 10,000 10,000 10,000 10,000 (10,000) -100%
Total Expenditures - - 10,000 10,000 - 10,000 10,000 10,000 10,000 (10,000) -100%
Net Surplus / (Deficit)3,285 26,461 (4,506) (3,871) 5,744 (4,106) (4,106) (4,156) (4,156)
Beginning Balance 31,206 32,194 42,190 38,319 44,063 39,957 35,851 31,695
Cash Adjustments (2,296) (16,465) Ending Balance 32,194 42,190 38,319 44,063 39,957 35,851 31,695 27,538
Cash Reserve Target
25% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 289 - Haz-Mat
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 130
Fund Purpose This fund is used to account for the revenue from tuition fees for students attending the Indiana River Rescue School (IRRS) and the expenditures of that revenue. There are typically 2-4 schools a year, each a week in duration. The IRRS is administered by the South Bend Fire Department under the direction of the Special Operations Bureau. The majority of instructors are comprised of South Bend Firefighters and Conservation Officers from the IDNR. The 5 day school includes extensive field training on the St. Joseph River and its unique "L" shaped dam, and the East Race Waterway. The East Race Waterway is a 2000' run which winds through the heart of the city. It has been the site of many U.S. Olympic trials and World Class kayak events. It allows for realistic but controlled training in river rescue, what is now formally known as the premier training ground for "Swiftwater rescue." Class lectures will provide a background in theory and concepts that enables students to go directly to the water. Students become familiar with such equipment as inflatable boats, outboards, rescue ropes, rope rescue systems & necessary personal gear. Many of the teaching sites have actual accident histories.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
06 - Charges for Services 149,173 137,522 90,000 90,000 125,000 125,000 125,000 125,000 125,000 35,000 39%
08 - Interest Earnings 12,217 20,875 9,152 13,136 12,595 12,595 14,176 14,508 14,508 (541) -4%
Total Revenues 161,390 158,396 99,152 103,136 137,595 137,595 139,176 139,508 139,508 34,459 33%
02 - Supplies 31,093 37,708 67,500 70,400 - 67,515 67,530 67,545 67,560 (70,400) -100%
04 - Supplies 31,093 37,708 67,500 70,400 - 67,515 67,530 67,545 67,560 (70,400) -100%
03 - Services 25,429 23,255 24,300 24,300 - 24,300 24,300 24,300 24,300 (24,300) -100%
06 - Repairs & Maintenance 1,770 1,726 13,000 13,000 - 13,000 13,000 13,000 13,000 (13,000) -100%
09 - Printing & Advertising 2,101 - 1,300 1,300 - 1,300 1,300 1,300 1,300 (1,300) -100%
11 - Education & Training 21,269 19,088 10,000 10,000 - 10,000 10,000 10,000 10,000 (10,000) -100%
14 - Other Services & Charges 289 2,441 - - - - - - - - 0%
04 - Capital 34,530 - - - - - - - - - 0%
15 - Capital 34,530 - - - - - - - - - 0%
Total Expenditures 91,052 60,963 91,800 94,700 - 91,815 91,830 91,845 91,860 (94,700) -100%
Net Surplus / (Deficit)70,338 97,433 7,352 8,436 137,595 45,780 47,346 47,663 47,648
Beginning Balance 389,572 463,394 567,228 575,663 713,258 759,038 806,384 854,047
Cash Adjustments 3,484 6,400 Ending Balance 463,394 567,228 575,663 713,258 759,038 806,384 854,047 901,695
Cash Reserve Target
25% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 291 - Indiana River Rescue
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 131
Fund Purpose This fund was originally established (7015-82) to track the Community Oriented Police Program but has been expanded to track other federal grants related to the Police Department. In recent years, this fund has also been used to track donations and their associated expenditures.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 64 - - - 418 - - - - 418 0%
Total Revenues 64 - - - 418 - - - - 418 0%
Net Surplus / (Deficit)64 - - - 418 - - - -
Beginning Balance 20,813 20,876 20,876 20,876 21,294 21,294 21,294 21,294
Cash Adjustments 0 -
Ending Balance 20,876 20,876 20,876 21,294 21,294 21,294 21,294 21,294
Cash Reserve Target
25% of Annual expenditures
Fund Summaries
Fund 295 - COPS MORE Grant
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 132
Fund Purpose This fund was established to receive the Police Department's share of money acquired in Federal drug enforcement activity. Expenditures are to be used to fund drug enforcement and training.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
03 - Intergov./ Shared Revenues 155,023 89,867 80,000 80,000 80,000 80,000 80,000 80,000 80,000 - 0%
08 - Interest Earnings 3,289 2,951 4,926 4,926 6,682 6,682 7,782 8,082 8,082 1,756 36%
Total Revenues 158,312 92,818 84,926 84,926 86,682 86,682 87,782 88,082 88,082 1,756 2%
02 - Supplies - - 50,000 50,000 - 50,000 50,000 50,000 50,000 (50,000) -100%
04 - Supplies - - 50,000 50,000 - 50,000 50,000 50,000 50,000 (50,000) -100%
04 - Capital 75,609 - - - - - - - - - 0%
15 - Capital 75,609 - - - - - - - - - 0%
Total Expenditures 75,609 - 50,000 50,000 - 50,000 50,000 50,000 50,000 (50,000) -100%
Net Surplus / (Deficit)82,703 92,818 34,926 34,926 86,682 36,682 37,782 38,082 38,082
Beginning Balance 118,593 201,296 294,114 329,040 415,722 452,404 490,186 528,269 Ending Balance 201,296 294,114 329,040 415,722 452,404 490,186 528,269 566,351
Cash Reserve Target
25% of Annual expenditures
Expenditures by Category & Subcategory
Fund 299 - Police Federal Drug Enforcement
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 133
Fund Purpose This fund was established (ordinance 10580-18) to collect a separate property tax levy that is used to pay for the semi-annual payment of debt service principal and interest to the bondholders of the 2017 Park District Bonds, Series A-K (debt schedule #165). The par amount of the 2017 Park District Bonds, Series A-K was $14,075,000. The bonds were closed on December 20, 2017 and have a net interest rate of 3.056%. The net proceeds after bond issuance costs were $13,715,350. This amount was deposited into the 2017 Parks Bond Capital Fund (#471) to be used towards the approved capital projects.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
01 - Property Taxes 1,080,710 1,133,782 1,140,000 1,136,115 1,131,367 1,153,994 1,177,074 1,200,616 1,224,628 (4,748) 0%
03 - Intergov./ Shared Revenues 54,790 58,349 61,490 61,490 29,573 29,573 29,573 29,573 29,573 (31,917) -52%
08 - Interest Earnings 438 2,341 - 839 3,272 3,272 - - - 2,434 290%
Total Revenues 1,135,939 1,194,473 1,201,490 1,198,444 1,164,212 1,186,839 1,206,647 1,230,189 1,254,201 (34,231) -3%
05 - Debt Service 1,179,165 1,177,990 1,181,215 1,181,215 1,173,390 1,179,890 1,175,490 1,190,115 1,190,115 (7,825) -1%
16 - Debt Service Principal 865,000 890,000 920,000 920,000 940,000 607,550 608,600 614,125 614,125 20,000 2%
17 - Debt Service Interest & Fees 314,165 287,990 261,215 261,215 233,390 572,340 566,890 575,990 575,990 (27,825) -11%
Total Expenditures 1,179,165 1,177,990 1,181,215 1,181,215 1,173,390 1,179,890 1,175,490 1,190,115 1,190,115 (7,825) -1%
Net Surplus / (Deficit)(43,226) 16,483 20,275 17,229 (9,178) 6,949 31,157 40,074 64,086
Beginning Balance 196,572 153,346 169,829 187,057 177,879 184,829 215,986 256,060
Cash Adjustments - 0 Ending Balance 153,346 169,829 187,057 177,879 184,829 215,986 256,060 320,146
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 312 - 2017 Parks Bond Debt Service
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 134
Fund Purpose
This fund was established to satisfy debt service reserve requirements of the outstanding 2011 Airport Development Area TIF Redevelopment Authority bonds (debt schedule #6) for the airport taxable project.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 30,526 43,769 134 7,084 - - - - - (7,084) -100%
Total Revenues 30,526 43,769 134 7,084 - - - - - (7,084) -100%
05 - Debt Service - 1,040,462 - - - - - - - - 0%
16 - Debt Service Principal - 999,382 - - - - - - - - 0%
17 - Debt Service Interest & Fees - 41,080 - - - - - - - - 0%
Total Expenditures - 1,040,462 - - - - - - - - 0%
Net Surplus / (Deficit)30,526 (996,693) 134 7,084 - - - - -
Beginning Balance 1,047,153 1,080,323 83,630 90,714 90,714 90,714 90,714 90,714
Cash Adjustments 2,644 - Ending Balance 1,080,323 83,630 90,714 90,714 90,714 90,714 90,714 90,714
Cash Reserve Target
100% debt service reserve
per bond covenants
Expenditures by Category & Subcategory
Fund Summaries
Fund 315 - Airport 2003 Debt Reserve
7 Redevelopment Capital & Debt Service Redevelopment Commission Controlled Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 135
Fund Purpose This fund accounts for the collection of Tax Increment Financing (TIF) revenues for the River West Development Area and expenses of those funds on eligible development projects for this TIF area.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
01 - Property Taxes 19,559,921 20,520,362 20,984,804 20,984,804 20,984,804 21,404,500 21,832,590 22,269,242 22,714,627 - 0%
03 - Intergov./ Shared Revenues 385,000 385,000 283,500 385,000 385,000 385,000 385,000 385,000 385,000 - 0%
04 - Intergov./ Grants 331,620 1,534,401 402,850 5,812,312 610,000 610,000 610,000 610,000 610,000 (5,202,312) -90%
06 - Charges for Services - 7,210 - - - - - - - - 0%
08 - Interest Earnings 868,831 1,062,628 1,086,498 1,086,498 1,086,498 764,044 919,156 911,966 911,966 - 0%
09 - Donations - 100,000 - - - - - - - - 0%
10 - Other Income 68,639 357,110 133,500 173,483 188,500 188,500 188,500 188,500 188,500 15,017 9%
14 - Interfund Transfers In 8 6,741,141 - - - - - - - - 0%
Total Revenues 21,214,018 30,707,852 22,891,152 28,442,097 23,254,802 23,352,044 23,935,246 24,364,708 24,810,093 (5,187,295) -18%
03 - Services 986,913 5,036,064 433,309 8,672,549 668,000 456,886 466,024 475,344 484,851 (8,004,549) -92%
05 - Professional Services 761,913 2,614,706 433,309 6,762,994 668,000 456,886 466,024 475,344 484,851 (6,094,994) -90%
14 - Other Services & Charges 225,000 2,421,357 - 1,909,555 - - - - - (1,909,555) -100%
04 - Capital 12,780,071 26,014,116 - 21,904,488 - 14,130,316 14,635,795 15,000,000 - (21,904,488) -100%
15 - Capital 12,780,071 26,014,116 - 21,904,488 - 14,130,316 14,635,795 15,000,000 - (21,904,488) -100%
05 - Debt Service 4,516,261 4,525,125 1,517,290 1,517,290 1,311,390 1,290,290 1,312,715 1,290,290 1,313,140 (205,900) -14%
16 - Debt Service Principal 3,874,615 4,054,615 1,207,742 1,207,742 1,040,000 1,075,000 1,105,000 1,075,000 1,170,000 (167,742) -14%
17 - Debt Service Interest & Fees 641,646 470,510 309,548 309,548 271,390 215,290 207,715 215,290 143,140 (38,158) -12%
06 - Interfund Transfers 4,270,800 3,670,300 5,116,281 5,116,281 - 7,429,469 7,690,794 7,935,494 7,748,869 (5,116,281) -100%
20 - Interfund Transfers Out 4,270,800 3,670,300 5,116,281 5,116,281 - 7,429,469 7,690,794 7,935,494 7,748,869 (5,116,281) -100%
Total Expenditures 22,554,045 39,245,605 7,066,880 37,210,608 1,979,390 23,306,961 24,105,328 24,701,128 9,546,860 (35,231,218) -95%
Net Surplus / (Deficit)(1,340,027) (8,537,752) 15,824,272 (8,768,512) 21,275,412 45,084 (170,082) (336,419) 15,263,233
Beginning Balance 35,127,336 34,088,454 28,107,758 19,339,246 40,614,658 40,659,742 40,489,660 40,153,241
Cash Adjustments 301,145 2,557,056 Ending Balance 34,088,454 28,107,758 19,339,246 40,614,658 40,659,742 40,489,660 40,153,241 55,416,474
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 324 - TIF - River West Development Area
6 Tax Increment Financing Redevelopment Commission Controlled Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 136
Fund Purpose
This fund was established to satisfy debt service reserve requirements of the outstanding 2011 South Bend Downtown Central Development Area TIF Redevelopment Authority bonds (debt schedule #5) for the Palais Royale project.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 51,035 73,175 224 11,844 224 - - - - (11,620) -98%
Total Revenues 51,035 73,175 224 11,844 224 - - - - (11,620) -98%
05 - Debt Service - 1,739,495 - - - - - - - - 0%
16 - Debt Service Principal - 1,715,185 - - - - - - - - 0%
17 - Debt Service Interest & Fees - 24,310 - - - - - - - - 0%
Total Expenditures - 1,739,495 - - - - - - - - 0%
Net Surplus / (Deficit)51,035 (1,666,320) 224 11,844 224 - - - -
Beginning Balance 1,750,680 1,806,136 139,816 151,660 151,884 151,884 151,884 151,884
Cash Adjustments 4,421 - Ending Balance 1,806,136 139,816 151,660 151,884 151,884 151,884 151,884 151,884
Cash Reserve Target
100% debt service reserve
per bond covenants
Expenditures by Category & Subcategory
Fund Summaries
Fund 328 - SBCDA 2003 Debt Reserve
7 Redevelopment Capital & Debt Service Redevelopment Commission Controlled Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 137
Fund Purpose
This fund was established (ordinance 10590-18) to pay for the semi-annual payment of debt service principal and interest to the bondholders for the General Obligation Bonds, Series 2018 (debt schedule #168). The bonds were issued to fund the replacement of Fire Station #9 and addition of a classroom building on the grounds of the Luther J Taylor Sr. Fire Training Center. The par amount of the General Obligation Bonds, Series 2018 was $5,045,000 with a premium of $37,316. The bonds were closed on March 29, 2018 with a net interest rate of 3.065%. The capital expenditures of this bond are tracked in the 2018 Fire Station #9 Bond Capital Fund (#451).
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
14 - Interfund Transfers In 342,856 341,332 344,656 344,656 342,756 340,631 348,356 340,706 342,981 (1,900) -1%
Total Revenues 342,856 341,332 344,656 344,656 342,756 340,631 348,356 340,706 342,981 (1,900) -1%
05 - Debt Service 342,856 341,331 344,656 344,656 342,756 340,631 348,356 340,706 348,357 (1,900) -1%
16 - Debt Service Principal 215,000 220,000 230,000 230,000 235,000 240,000 255,000 255,000 255,000 5,000 2%
17 - Debt Service Interest & Fees 127,856 121,331 114,656 114,656 107,756 100,631 93,356 85,706 93,357 (6,900) -6%
Total Expenditures 342,856 341,331 344,656 344,656 342,756 340,631 348,356 340,706 348,357 (1,900) -1%
Net Surplus / (Deficit)- 1 - - - - - - (5,376)
Beginning Balance - - 1 1 1 1 1 1
Cash Adjustments - 0 Ending Balance - 1 1 1 1 1 1 (5,375)
Cash Reserve Target
100% debt service reserve
per bond covenants
Expenditures by Category & Subcategory
Fund Summaries
Fund 350 - 2018 Fire Station #9 Bond Debt Service
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 138
Fund Purpose This fund was established (ordinance 10590-18) to hold the debt service reserve for the Redevelopment District Bonds, Series 2018 (debt schedule #169). The bonds were issued for the purpose of funding renovations and upgrades at Pulaski, Leeper, and Seitz Parks and improvements to the mixed use riverfront trail and other infrastructure improvements to park and recreation areas in or serving the River West Development Area. - The par amount of the Redevelopment District Bonds, Series 2018 was $11,995,000 with a premium of $96,103. The bonds closed on April 25, 2018 with a net interest rate of 2.971%. The net proceeds after bond issuance costs were $11,818,495. $993,495 was deposited into this fund per the bond agreement. The remaining $10,825,000 was deposited into the 2018 TIF Park Bond Capital Fund (#452) and will be used towards the approved capital projects. - The debt service reserve fund is funded from bond proceeds in an amount equal to maximum annual principal and interest due on the bonds. If moneys in the reserve fund are used to pay principal and interest on the bonds, the balance will be restored from TIF revenues. Debt service payments are due on February 1 and August 1. The first debt service payment is due August 1, 2018 and the final payment is due February 1, 2033. The debt service reserve will be used towards the last debt service payment.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 30,515 43,753 21,362 24,970 43,836 22,474 22,474 22,474 22,474 18,866 76%
Total Revenues 30,515 43,753 21,362 24,970 43,836 22,474 22,474 22,474 22,474 18,866 76%
Net Surplus / (Deficit)30,515 43,753 21,362 24,970 43,836 22,474 22,474 22,474 22,474
Beginning Balance 1,046,766 1,079,924 1,123,677 1,148,647 1,192,482 1,214,956 1,237,429 1,259,903
Cash Adjustments 2,643 -
Ending Balance 1,079,924 1,123,677 1,148,647 1,192,482 1,214,956 1,237,429 1,259,903 1,282,376
Cash Reserve Target
100% debt service reserve
per bond covenants
Fund Summaries
Fund 351 - 2018 TIF Park Bond Debt Service
7 Redevelopment Capital & Debt Service Redevelopment Commission Controlled Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 139
Fund Purpose This fund was established to account for the semi-annual payment of debt service principal and interest to the bondholders for the South Bend Redevelopment Authority Lease Rental Revenue Bonds of 2019 South Shore Double Tracking Project (debt schedule #200). The bonds were issued to fund the Northern Indiana Commuter Transportation District Main Line Double-Tracking Project, which will be located partly within the geographical boundaries of the River West Development Area. The par amount of the bonds was $7,985,000 with a premium of $1,462,840.60. The bonds were closed on December 28, 2019 with a net interest rate of 5%.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 3 3 713 713 713 509 - - - - 0%
14 - Interfund Transfers In 1,035,500 1,039,000 1,030,125 1,030,125 1,030,000 1,032,625 1,028,125 1,031,500 512,500 (125) 0%
Total Revenues 1,035,503 1,039,003 1,030,838 1,030,838 1,030,713 1,033,134 1,028,125 1,031,500 512,500 (125) 0%
05 - Debt Service 1,030,125 1,033,625 1,030,125 1,030,125 1,030,000 1,032,625 1,028,125 1,031,500 512,500 (125) 0%
16 - Debt Service Principal 720,000 760,000 795,000 795,000 835,000 880,000 920,000 970,000 500,000 40,000 5%
17 - Debt Service Interest & Fees 310,125 273,625 235,125 235,125 195,000 152,625 108,125 61,500 12,500 (40,125) -17%
Total Expenditures 1,030,125 1,033,625 1,030,125 1,030,125 1,030,000 1,032,625 1,028,125 1,031,500 512,500 (125) 0%
Net Surplus / (Deficit)5,378 5,378 713 713 713 509 - - -
Beginning Balance 14,696 20,074 25,452 26,165 26,878 27,387 27,387 27,387
Cash Adjustments (0) -
Ending Balance 20,074 25,452 26,165 26,878 27,387 27,387 27,387 27,387
Cash Reserve Target
100% debt service reserve
per bond covenants
Expenditures by Category & Subcategory
Fund Summaries
Fund 352 - 2019 South Shore Double Tracking Debt Service
7 Redevelopment Capital & Debt Service Redevelopment Commission Controlled Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 140
Fund Purpose This fund was established to hold the debt service reserve for the Taxable Economic Development Tax Increment Revenue Bonds, Series 2020, Community Education Center Project (debt schedule #210). The bonds were issued to provide funds to the St. Joseph County Public Library for the purpose of construction, equipping, and furnishing of a new building for use as a community and education center to provide new and flexible spaces for community meeting and training, events and conferences, and a larger auditorium to meet increasing demand for program space and allow for a more diverse range of programs and community events. - The par amount of the bonds was $4,225,000 with a premium of $120,058.95. The bonds were closed on October 28, 2020 with a net interest rate of 3%. - The bond proceeds were deposited into the River West Development Area TIF Fund (#324). $4,000,000 went towards the capital project and the remaining amount went towards cost of issuance. - The bonds are being repaid by Fund #324, with bond payments due on February 1 and August 1.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 16 16 6,670 6,670 6,670 6,539 6,539 6,539 6,539 - 0%
Total Revenues 16 16 6,670 6,670 6,670 6,539 6,539 6,539 6,539 - 0%
Net Surplus / (Deficit)8 16 6,670 6,670 6,670 6,539 6,539 6,539 6,539
Beginning Balance 326,944 326,952 326,969 333,639 340,309 346,848 353,388 359,927
Cash Adjustments 0 0
Ending Balance 326,952 326,969 333,639 340,309 346,848 353,388 359,927 366,466
Cash Reserve Target
100% debt service reserve
per bond covenants
Fund Summaries
Fund 353 - 2020 TIF Library Bond Debt Service Reserve
7 Redevelopment Capital & Debt Service Redevelopment Commission Controlled Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 141
Fund Purpose This fund was established (ordinance 7492-85) to account for minor capital improvements for Four Winds Field at Coveleski Stadium, located in downtown South Bend. The fund is administered by the Department of Venues, Parks & Arts.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
06 - Charges for Services 31,611 23,212 31,611 31,611 31,611 31,611 31,611 31,611 31,611 - 0%
08 - Interest Earnings 111 24 - 327 220 - - - - (107) -33%
14 - Interfund Transfers In - 19,000 - - - - - - - - 0%
Total Revenues 31,722 42,236 31,611 31,938 31,831 31,611 31,611 31,611 31,611 (107) 0%
03 - Services 33,159 21,613 30,000 30,000 - 40,000 40,000 40,000 40,000 (30,000) -100%
06 - Repairs & Maintenance 33,159 21,613 30,000 30,000 - 40,000 40,000 40,000 40,000 (30,000) -100%
Total Expenditures 33,159 21,613 30,000 30,000 - 40,000 40,000 40,000 40,000 (30,000) -100%
Net Surplus / (Deficit)(1,437) 20,623 1,611 1,938 31,831 (8,389) (8,389) (8,389) (8,389)
Beginning Balance 4,226 2,799 210 2,149 33,980 25,591 17,202 8,813
Cash Adjustments 11 (23,212)
Ending Balance 2,799 210 2,149 33,980 25,591 17,202 8,813 424
Cash Reserve Target
No reserve requirement
Capital fund - spend down to
zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 401 - Coveleski Stadium Capital
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 142
Fund Purpose
This fund was established to account for the receipt of the certified shares component of the local income tax. Funds are used to items such as debt service payments, certain organizations’ grants and operational subsidies, capital expenditures and other uses as deemed by the Mayor and Council.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings (329,900) 50,894 - 10,991 15,737 - - - - 4,746 43%
10 - Other Income 318,253 4,289 - - - - - - - - 0%
Total Revenues (11,647) 55,183 - 10,991 15,737 - - - - 4,746 43%
Expenditures by Subdivision
040 - General City 13,131,982 47,676 - 45,564 - - - - - (45,564) -100%
071 - Information Technology 40,135 - - - - - - - - - 0%
088 - Police Other 1,138,217 1,138,217 - - - - - - - - 0%
273 - Park Capital 84,198 11,356 - - - - - - - - 0%
500 - Engineering - 99,875 - - - - - - - - 0%
Total Expenditures by Subdivision 14,394,532 1,297,124 - 45,564 - - - - - (45,564) -100%
02 - Supplies - 99,875 - - - - - - - - 0%
04 - Supplies - 99,875 - - - - - - - - 0%
03 - Services 124,505 59,032 - 45,564 - - - - - (45,564) -100%
05 - Professional Services 40,135 47,676 - 45,564 - - - - - (45,564) -100%
06 - Repairs & Maintenance 84,198 11,356 - - - - - - - - 0%
14 - Other Services & Charges 172 - - - - - - - - - 0%
05 - Debt Service 1,138,217 1,138,217 - - - - - - - - 0%
16 - Debt Service Principal 1,080,040 1,087,743 - - - - - - - - 0%
17 - Debt Service Interest & Fees 58,178 50,475 - - - - - - - - 0%
06 - Interfund Transfers 13,131,810 - - - - - - - - - 0%
20 - Interfund Transfers Out 13,131,810 - - - - - - - - - 0%
Total Expenditures 14,394,532 1,297,124 - 45,564 - - - - - (45,564) -100%
Net Surplus / (Deficit)(14,406,179) (1,241,942) - (34,573) 15,737 - - - -
Beginning Balance 16,451,803 2,042,781 786,839 752,266 768,003 768,003 768,003 768,003
Cash Adjustments (2,843) (14,000) Ending Balance 2,042,781 786,839 752,266 768,003 768,003 768,003 768,003 768,003
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 404 - Local Income Tax - Certified Shares
1 General Plus Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 143
Fund Purpose This fund is used to account for expenditures relating to the purchase or lease of capital improvements in the City. A cumulative capital development fund is defined under Indiana Code (I.C. 36-9-16) and was established by the Common Council in 1985 (ordinance no. 7486-85).
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
01 - Property Taxes 581,307 664,179 691,286 732,932 773,121 788,583 804,355 820,442 836,851 40,189 5%
03 - Intergov./ Shared Revenues 43,758 41,911 62,613 62,613 34,157 34,157 34,157 34,157 34,157 (28,456) -45%
08 - Interest Earnings 4,133 7,224 - 6,617 10,359 10,359 - - - 3,741 57%
Total Revenues 629,199 713,315 753,899 802,162 817,637 833,099 838,512 854,599 871,008 15,474 2%
Expenditures by Subdivision
040 - General City 458,333 500,000 500,000 500,000 500,000 450,000 450,000 450,000 450,000 - 0%
088 - Police Other 260,548 48,541 391,096 391,096 - 2,559,775 2,943,550 767,550 767,550 (391,096) -100%
Total Expenditures by Subdivision 718,881 548,541 891,096 891,096 500,000 3,009,775 3,393,550 1,217,550 1,217,550 (391,096) -44%
04 - Capital - - - - - 2,176,000 2,176,000 - - - 0%
15 - Capital - - - - - 2,176,000 2,176,000 - - - 0%
05 - Debt Service 260,548 48,541 391,096 391,096 - 383,775 767,550 767,550 767,550 (391,096) -100%
16 - Debt Service Principal 255,412 47,993 347,568 347,568 - 365,500 731,000 731,000 731,000 (347,568) -100%
17 - Debt Service Interest & Fees 5,136 547 43,529 43,529 - 18,275 36,550 36,550 36,550 (43,529) -100%
06 - Interfund Transfers 458,333 500,000 500,000 500,000 500,000 450,000 450,000 450,000 450,000 - 0%
20 - Interfund Transfers Out 458,333 500,000 500,000 500,000 500,000 450,000 450,000 450,000 450,000 - 0%
Total Expenditures 718,881 548,541 891,096 891,096 500,000 3,009,775 3,393,550 1,217,550 1,217,550 (391,096) -44%
Net Surplus / (Deficit)(89,683) 164,774 (137,197) (88,934) 317,637 (2,176,676) (2,555,038) (362,951) (346,542)
Beginning Balance 288,976 199,512 364,286 275,352 592,988 (1,583,688) (4,138,726) (4,501,676)
Cash Adjustments 219 -
Ending Balance 199,512 364,286 275,352 592,988 (1,583,688) (4,138,726) (4,501,676) (4,848,218)
Cash Reserve Target
No reserve requirement
Capital fund - spend down to
zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 406 - Cumulative Capital Development
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 144
Fund Purpose This fund was established (ordinance 4832-66) in 1966 to account for the receipt of cigarette tax revenue designated to be used solely for capital improvements.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
03 - Intergov./ Shared Revenues 187,788 167,350 173,274 173,274 174,287 174,287 174,287 174,287 174,287 1,013 1%
08 - Interest Earnings 7,680 10,797 - 8,281 8,646 8,646 9,382 10,624 10,624 365 4%
Total Revenues 195,468 178,147 173,274 181,555 182,933 182,933 183,669 184,911 184,911 1,378 1%
Expenditures by Subdivision
040 - General City 275,000 75,000 75,000 75,000 75,000 50,000 50,000 50,000 50,000 - 0%
273 - Park Capital 996 - - - - - - - - - 0%
Total Expenditures by Subdivision 275,996 75,000 75,000 75,000 75,000 50,000 50,000 50,000 50,000 - 0%
04 - Capital 996 - - - - - - - - - 0%
15 - Capital 996 - - - - - - - - - 0%
06 - Interfund Transfers 275,000 75,000 75,000 75,000 75,000 50,000 50,000 50,000 50,000 - 0%
20 - Interfund Transfers Out 275,000 75,000 75,000 75,000 75,000 50,000 50,000 50,000 50,000 - 0%
Total Expenditures 275,996 75,000 75,000 75,000 75,000 50,000 50,000 50,000 50,000 - 0%
Net Surplus / (Deficit)(80,528) 103,147 98,274 106,555 107,933 132,933 133,669 134,911 134,911
Beginning Balance 359,020 279,499 382,647 489,202 597,135 730,067 863,736 998,647
Cash Adjustments 1,008 -
Ending Balance 279,499 382,647 489,202 597,135 730,067 863,736 998,647 1,133,559
Cash Reserve Target
No reserve requirement
Capital fund - spend down to
zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 407 - Cumulative Capital Improvement
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 145
Fund Purpose This fund was established to account for the receipt of the economic development component of the local income tax. Funds are used to items such as debt service payments, economic development, capital expenditures benefiting economic development, street operations and other uses as deemed by the Mayor and Council. This fund supports the operations of the Community Investments Department.
Fund Type Control
2023 2024 2025Adopted 2025Amended 2026Adopted 2027 2028 2029 2030 $Change %Change
Revenues
02 - Local Income Taxes 17,660,862 19,485,677 17,774,148 17,267,365 18,191,548 18,919,210 19,675,978 20,463,017 21,281,538 924,183 5%
04 - Intergov./ Grants 44,703 0 - 30,401 35,500 35,500 35,500 35,500 35,500 5,100 17%
08 - Interest Earnings 750,667 1,248,961 177,628 661,037 590,805 590,805 296,425 436,249 436,249 (70,231) -11%
09 - Donations 7,500 - - - - - - - - - 0%
10 - Other Income 1,124 393,911 500 500 - - - - - (500) -100%
Total Revenues 18,464,856 21,128,549 17,952,276 17,959,302 18,817,853 19,545,515 20,007,903 20,934,766 21,753,287 858,551 5%
Expenditures by Subdivision
040 - General City 64,117 2,792,305 - 7,995,506 - - - - - (7,995,506) -100%
098 - Fire Other - 8,371 - - - - - - - - 0%100 - Neighborhood Services & Enforcement 2,847,911 4,793,484 7,371,250 7,951,250 6,100,000 550,000 550,000 550,000 550,000 (1,851,250) -23%
120 - Community Investment 4,519,588 4,194,282 4,150,000 7,015,645 3,400,000 150,000 150,000 150,000 150,000 (3,615,645) -52%
124 - Historic Preservation 83,345 13,500 - 181,655 - - - - - (181,655) -100%
126 - Neighborhood Rebuilding 991,123 1,615,268 1,380,000 2,428,998 1,295,000 850,000 850,000 850,000 850,000 (1,133,998) -47%
127 - Engagement 147,004 184,523 152,500 267,722 101,000 200,000 200,000 200,000 200,000 (166,722) -62%
128 - Planning 525,469 170,896 130,000 468,680 130,000 225,000 225,000 225,000 125,000 (338,680) -72%
130 - Property 300,102 520,097 307,285 1,083,930 709,500 335,485 336,970 338,161 339,700 (374,430) -35%
132 - Sustainability 349,223 396,027 250,000 306,374 - 475,000 475,000 475,000 475,000 (306,374) -100%
200 - Park Administration - - - - 300,000 - - - - 300,000 0%
202 - Four Winds/Coveleski Stadium - 19,000 - - - - - - - - 0%
273 - Park Capital - - - 7,500,000 - - - - - (7,500,000) -100%
276 - 2015 Park Bond 308,421 430,191 382,031 382,031 374,231 376,356 378,181 384,616 385,038 (7,800) -2%
290 - Potawatomi Zoo 1,100,000 - 100,000 100,000 100,000 100,000 100,000 100,000 100,000 - 0%
291 - Zoo Bond 334,500 326,500 318,000 318,000 327,750 321,750 325,375 318,250 325,375 9,750 3%
292 - Morris PAC - - 450,000 450,000 - - - - - (450,000) -100%
406 - Unemployment Comp - 23,000 - - - - - - - - 0%
500 - Engineering - - 50,000 50,000 - 50,000 50,000 50,000 50,000 (50,000) -100%
503 - Streets 2,379,999 396,395 5,000,000 6,922,910 6,750,000 - - - - (172,910) -2%
506 - Local Roads & Streets 644,500 643,500 643,900 643,900 646,700 643,700 640,200 641,000 641,000 2,800 0%
Total Expenditures by Subdivision 14,595,302 16,527,339 20,684,966 44,066,602 20,234,181 4,277,291 4,280,726 4,282,027 4,191,113 (23,832,421) -54%
03 - Services 6,764,914 4,313,123 3,366,035 9,765,596 3,400,500 3,380,485 3,381,970 3,383,161 3,384,700 (6,365,096) -65%
05 - Professional Services 489,734 583,421 408,500 1,096,164 158,000 660,000 660,000 660,000 660,000 (938,164) -86%
06 - Repairs & Maintenance 2,411,278 530,650 70,000 2,632,517 400,000 71,200 71,200 71,200 71,200 (2,232,517) -85%
07 - Grants & Subsidies 3,696,740 2,655,169 2,206,250 4,578,630 1,940,000 1,970,000 1,970,000 1,970,000 1,970,000 (2,638,630) -58%
08 - Utilities 41,208 159,322 74,285 299,285 349,000 74,285 75,770 76,961 78,500 49,715 17%
09 - Printing & Advertising 1,969 1,000 7,000 10,027 3,500 5,000 5,000 5,000 5,000 (6,527) -65%
14 - Other Services & Charges 123,986 383,561 600,000 1,148,973 550,000 600,000 600,000 600,000 600,000 (598,973) -52%
04 - Capital 324,647 498,495 - 17,362,786 - 100,000 100,000 100,000 - (17,362,786) -100%
15 - Capital 324,647 498,495 - 17,362,786 - 100,000 100,000 100,000 - (17,362,786) -100%
05 - Debt Service 335,250 327,250 319,000 319,000 328,750 322,750 326,375 319,250 326,375 9,750 3%
16 - Debt Service Principal 200,000 200,000 200,000 200,000 220,000 225,000 240,000 245,000 240,000 20,000 10%
17 - Debt Service Interest & Fees 135,250 127,250 119,000 119,000 108,750 97,750 86,375 74,250 86,375 (10,250) -9%
06 - Interfund Transfers 8,029,012 11,758,512 17,424,931 17,424,931 16,819,931 1,169,056 1,167,381 1,174,616 1,175,038 (605,000) -3%
20 - Interfund Transfers Out 8,029,012 11,758,512 17,424,931 17,424,931 16,819,931 1,169,056 1,167,381 1,174,616 1,175,038 (605,000) -3%
Total Expenditures 15,453,823 16,897,380 21,109,966 44,872,314 20,549,181 4,972,291 4,975,726 4,977,027 4,886,113 (24,323,133) -54%
Net Surplus / (Deficit)3,011,033 4,231,169 (3,157,690) (26,913,012) (1,731,328) 14,573,224 15,032,177 15,957,740 16,867,174
Beginning Balance 23,374,857 26,620,483 30,701,333 3,788,322 2,056,994 16,630,218 31,662,394 47,620,134
Cash Adjustments 234,593 (150,319)
Ending Balance 26,620,483 30,701,333 3,788,322 2,056,994 16,630,218 31,662,394 47,620,134 64,487,308
Fund Summaries
Fund 408 - Local Income Tax - Economic Development
1 General Plus Funds City Funds
Actual Budget Forecast 2025 to 2026
Expenditures by Category & Subcategory
Cash Reserve Target
No reserve requirement
City of South Bend, Indiana 2026 Budget
Page 146
Fund Purpose This fund was originally established to account for economic development expenditures which are financed by federal grants and loan repayments.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 8,846 2,800 7,950 7,950 1,438 - - - - (6,512) -82%
Total Revenues 8,846 2,800 7,950 7,950 1,438 - - - - (6,512) -82%
05 - Debt Service 338,253 - - - - - - - - - 0%
16 - Debt Service Principal 338,253 - - - - - - - - - 0%
Total Expenditures 338,253 - - - - - - - - - 0%
Net Surplus / (Deficit)(329,407) 2,800 7,950 7,950 1,438 - - - -
Beginning Balance 397,517 69,114 71,914 79,864 81,302 81,302 81,302 81,302
Cash Adjustments 1,004 - Ending Balance 69,114 71,914 79,864 81,302 81,302 81,302 81,302 81,302
Cash Reserve Target
No reserve requirement
Grant fund - spend down to zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 410 - Urban Development Action Grant
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 147
Fund Purpose This fund was established in 2006 with the City's share of the proceeds for the lease of the Indiana Toll Road (I-80/90). The fund is used to finance capital improvements projects managed by the Engineering division of the Department of Public Works. Per Indiana Code Section 8-14-16-5, “money in the fund may be expended only for the following purposes: (1) Construction of highways, roads, and bridges; (2) In a county that is a member of the northwest Indiana regional development authority, or in a city or town located in such a county, any purpose for which the regional development authority may make expenditures under IC 36-7.5; (3) Providing funding for economic development projects (as defined in IC 6-3.5-7-13.1(c)(1) or IC 6-3.5-7-13.1(c)(2)(A) through IC 6-3.5-7-13.1(c)(2)(K)); (4) Matching federal grants for a purpose described in this section; (5) Providing funding for interlocal agreements under IC 36-1-7 for a purpose described in this section; (6) Providing the county's, city's, or town's contribution to a regional development authority established under IC 36-7.6-2-3.”
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
04 - Intergov./ Grants 238,248 9,705 - - - - - - - - 0%
08 - Interest Earnings 53,463 60,055 3,463 19,908 18,513 18,513 17,013 15,513 15,513 (1,396) -7%
10 - Other Income 493,328 138,514 120,892 120,892 - - - - - (120,892) -100%
Total Revenues 785,039 208,274 124,355 140,800 18,513 18,513 17,013 15,513 15,513 (122,288) -87%
02 - Supplies 628,041 350,000 - - - - - - - - 0%
04 - Supplies 628,041 350,000 - - - - - - - - 0%
03 - Services 97,521 217,979 - 178,882 - 150,000 150,000 148,000 121,060 (178,882) -100%
05 - Professional Services 97,521 217,979 - 178,882 - 150,000 150,000 148,000 121,060 (178,882) -100%
04 - Capital 33,493 316,921 140,892 583,942 - - - - - (583,942) -100%
15 - Capital 33,493 316,921 140,892 583,942 - - - - - (583,942) -100%
Total Expenditures 759,056 884,900 140,892 762,824 - 150,000 150,000 148,000 121,060 (762,824) -100%
Net Surplus / (Deficit)25,983 (676,627) (16,537) (622,024) 18,513 (131,487) (132,987) (132,487) (105,547)
Beginning Balance 1,572,300 1,602,252 925,626 303,602 322,114 190,627 57,639 (74,848)
Cash Adjustments 3,969 -
Ending Balance 1,602,252 925,626 303,602 322,114 190,627 57,639 (74,848) (180,396)
Cash Reserve Target
No reserve requirement
Capital fund - spend down to
zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 412 - Major Moves Construction
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 148
Fund Purpose This fund was established in 2021 (Resolution 4917-21) to account for the reinstatement of the Professional Sports Convention Development Area (PSCDA) in downtown South Bend. The PSCDA was originally established in 1997 (Resolution 2519-97) to fund debt service and improvements at the College Football Hall of Fame. The City received PSCDA tax revenue for the original area from January 1998 through December 2017. The original PSCDA included the College Football Hall of Fame, Century Center, Four Winds Field at Stanley Coveleski Stadium, Morris Performing Arts Center, Palais Royale Ballroom, and the Studebaker National Museum. The revised PSCDA expanded the tax area, adding the Aloft Hotel, the Courtyard by Marriott South Bend, Downtown, the Doubletree Hotel, Howard Park including its Community Center and the Howard Park Public House, and the campus of Indiana University South Bend.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
03 - Intergov./ Shared Revenues 2,055,414 6,363,342 2,800,000 2,800,000 5,000,000 5,000,000 5,000,000 5,000,000 5,000,000 2,200,000 79%
08 - Interest Earnings 15,005 125,958 - 86,296 68,879 - - - - (17,417) -20%
Total Revenues 2,070,419 6,489,300 2,800,000 2,886,296 5,068,879 5,000,000 5,000,000 5,000,000 5,000,000 2,182,583 76%
04 - Capital 3,568,457 147,772 - 218,646 - - - - - (218,646) -100%
15 - Capital 3,568,457 147,772 - 218,646 - - - - - (218,646) -100%
05 - Debt Service - - - - - 3,514,613 3,514,113 3,519,488 3,520,363 - 0%
16 - Debt Service Principal - - - - - 1,590,000 1,670,000 1,760,000 1,850,000 - 0%
17 - Debt Service Interest & Fees - - - - - 1,924,613 1,844,113 1,759,488 1,670,363 - 0%
06 - Interfund Transfers - 4,020,000 - - 3,260,500 1,100,000 - - - 3,260,500 0%
20 - Interfund Transfers Out - 4,020,000 - - 3,260,500 1,100,000 - - - 3,260,500 0%
Total Expenditures 3,568,457 4,167,772 - 218,646 3,260,500 4,614,613 3,514,113 3,519,488 3,520,363 3,041,854 1391%
Net Surplus / (Deficit)(1,498,038) 2,321,528 2,800,000 2,667,649 1,808,379 385,388 1,485,888 1,480,513 1,479,638
Beginning Balance 1,466,302 252,675 2,574,203 5,241,852 7,050,232 7,435,619 8,921,507 10,402,019
Cash Adjustments 284,411 -
Ending Balance 252,675 2,574,203 5,241,852 7,050,232 7,435,619 8,921,507 10,402,019 11,881,657
Cash Reserve Target
No reserve requirement
Capital fund - spend down to
zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 413 - Professional Sports Convention Development Area
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 149
Fund Purpose This fund was established (ordinance 7292-84) to receive monies to be used solely for the purpose of renovating, remodeling, or otherwise improving the facilities of the Morris Performing Arts Center (MPAC). The Morris Performing Arts Center was re-opened in 2000 - Many of the assets throughout the building are coming to an end of their useful life and need replacement. The theatrical equipment is outdated and needs to be upgraded to meet the requirements of the performances / acts renting the facility.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
04 - Intergov./ Grants - 1,500,000 - - - - - - - - 0%
08 - Interest Earnings 307 258 - 108,619 117,449 - - - - 8,831 8%
09 - Donations - 6,200,000 - - - - - - - - 0%
10 - Other Income 378,872 - - - - - - - - - 0%
Total Revenues 379,179 7,700,258 - 108,619 117,449 - - - - 8,831 8%
04 - Capital 1,440,954 1,493,326 - 6,692,686 - - - - - (6,692,686) -100%
15 - Capital 1,440,954 1,493,326 - 6,692,686 - - - - - (6,692,686) -100%
Total Expenditures 1,440,954 1,493,326 - 6,692,686 - - - - - (6,692,686) -100%
Net Surplus / (Deficit)(1,061,775) 6,206,931 - (6,584,067) 117,449 - - - -
Beginning Balance 1,368,110 160,804 6,037,556 (546,512) (429,062) (429,062) (429,062) (429,062)
Cash Adjustments (145,531) (330,179) Ending Balance 160,804 6,037,556 (546,512) (429,062) (429,062) (429,062) (429,062) (429,062)
Cash Reserve Target
No reserve requirement
Capital fund - spend down to
zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 416 - Morris Performing Arts Center Capital
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 150
Fund Purpose
This fund accounts for the collection of Tax Increment Financing (TIF) revenues for the West Washington Development Area and expenses of those funds on eligible development projects for this TIF area. The budget for the RDC controlled funds is approved by the Redevelopment Commission and not the Common Council.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
01 - Property Taxes 490,344 610,117 667,151 667,151 301,306 307,332 313,479 319,748 326,143 (365,845) -55%
08 - Interest Earnings 45,603 61,654 49,974 49,974 49,974 29,945 33,232 33,505 33,505 - 0%
Total Revenues 535,947 671,771 717,125 717,125 351,280 337,277 346,710 353,253 359,648 (365,845) -51%
03 - Services - 1,140,000 - 1,450,000 - - - - - (1,450,000) -100%
05 - Professional Services - 1,140,000 - - - - - - - - 0%
14 - Other Services & Charges - - - 1,450,000 - - - - - (1,450,000) -100%
04 - Capital 99,745 68,357 - 290,000 - 280,000 280,000 280,000 - (290,000) -100%
15 - Capital 99,745 68,357 - 290,000 - 280,000 280,000 280,000 - (290,000) -100%
Total Expenditures 99,745 1,208,357 - 1,740,000 - 280,000 280,000 280,000 - (1,740,000) -100%
Net Surplus / (Deficit)436,202 (536,586) 717,125 (1,022,875) 351,280 57,277 66,710 73,253 359,648
Beginning Balance 1,443,740 1,883,190 1,346,604 323,729 675,009 732,286 798,997 872,250
Cash Adjustments 3,248 -
Ending Balance 1,883,190 1,346,604 323,729 675,009 732,286 798,997 872,250 1,231,898
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 422 - TIF - West Washington
6 Tax Increment Financing Redevelopment Commission Controlled Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 151
Fund Purpose This fund accounts for the collection of Tax Increment Financing (TIF) revenues for the River East Development Area and expenses of those funds on eligible development projects for this TIF area. The boundaries for this TIF district were changed during the 2014 TIF re-alignment. This fund was formerly known as the Northeast TIF. The budget for the RDC controlled funds is approved by the Redevelopment Commission and not the Common Council.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
01 - Property Taxes 6,216,898 8,221,833 7,483,422 7,483,422 7,483,422 7,633,090 7,785,752 7,941,467 8,100,297 - 0%
06 - Charges for Services - - - 2,520 - - - - - (2,520) -100%
08 - Interest Earnings 360,139 680,566 479,114 479,114 479,114 481,311 515,122 556,453 556,453 - 0%
10 - Other Income 1,000 2,406,481 - 26,244 - - - - - (26,244) -100%
Total Revenues 6,578,037 11,308,880 7,962,536 7,991,300 7,962,536 8,114,401 8,300,874 8,497,920 8,656,750 (28,764) 0%
03 - Services 371,517 1,012,810 - 6,741,348 - - - - - (6,741,348) -100%
05 - Professional Services 371,517 209,827 - 5,290,121 - - - - - (5,290,121) -100%
14 - Other Services & Charges - 802,983 - 1,451,227 - - - - - (1,451,227) -100%
04 - Capital 3,232,307 3,379,725 - 8,524,666 - 3,500,000 3,500,000 350,000 - (8,524,666) -100%
15 - Capital 3,232,307 3,379,725 - 8,524,666 - 3,500,000 3,500,000 350,000 - (8,524,666) -100%
06 - Interfund Transfers 230,200 784,200 526,200 526,200 2,745,125 - - - - 2,218,925 422%
20 - Interfund Transfers Out 230,200 784,200 526,200 526,200 2,745,125 - - - - 2,218,925 422%
Total Expenditures 3,834,024 5,176,736 526,200 15,792,214 2,745,125 3,500,000 3,500,000 350,000 - (13,047,089) -83%
Net Surplus / (Deficit)2,744,012 6,132,144 7,436,336 (7,800,914) 5,217,411 4,614,401 4,800,874 8,147,920 8,656,750
Beginning Balance 11,899,914 14,630,846 21,696,392 13,895,478 19,112,889 23,727,290 28,528,164 36,676,085
Cash Adjustments (13,081) 933,402 Ending Balance 14,630,846 21,696,392 13,895,478 19,112,889 23,727,290 28,528,164 36,676,085 45,332,834
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 429 - TIF - River East Development Area (NE Dev)
6 Tax Increment Financing Redevelopment Commission Controlled Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 152
Fund Purpose
This fund accounts for the collection of Tax Increment Financing (TIF) revenues for the Southside Development Area #1 and expenses of those funds on eligible development projects for this TIF area. The budget for the RDC controlled funds is approved by the Redevelopment Commission and not the Common Council.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
01 - Property Taxes 2,986,918 3,445,271 3,369,158 3,369,158 3,369,158 3,436,541 3,505,272 3,575,377 3,646,885 - 0%
08 - Interest Earnings 411,769 381,990 409,258 409,258 409,258 206,099 254,156 268,522 268,522 - 0%
10 - Other Income 691,010 - - - - - - - - - 0%
Total Revenues 4,089,697 3,827,261 3,778,416 3,778,416 3,778,416 3,642,641 3,759,428 3,843,899 3,915,407 - 0%
03 - Services 568,771 277,394 - 285,478 - - - - - (285,478) -100%
05 - Professional Services 568,771 277,394 - 285,478 - - - - - (285,478) -100%
04 - Capital 5,879,206 7,756,642 - 5,687,263 - 2,000,000 2,000,000 200,000 - (5,687,263) -100%
15 - Capital 5,879,206 7,756,642 - 5,687,263 - 2,000,000 2,000,000 200,000 - (5,687,263) -100%
Total Expenditures 6,447,977 8,034,036 - 5,972,741 - 2,000,000 2,000,000 200,000 - (5,972,741) -100%
Net Surplus / (Deficit)(2,358,280) (4,206,775) 3,778,416 (2,194,325) 3,778,416 1,642,641 1,759,428 3,643,899 3,915,407
Beginning Balance 15,162,732 12,834,453 8,620,393 6,426,069 10,204,485 11,847,125 13,606,554 17,250,453
Cash Adjustments 30,002 (7,285)
Ending Balance 12,834,453 8,620,393 6,426,069 10,204,485 11,847,125 13,606,554 17,250,453 21,165,860
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 430 - TIF - Southside Development Area #1
6 Tax Increment Financing Redevelopment Commission Controlled Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 153
Fund Purpose
The Redevelopment Commission was established to address conditions associated with blight and the underutilization of land and/or barriers to development. The Commission operates within the city limits. They study areas of the city, identify problem areas and develop a strategic plan for eliminating blight and bringing about new development within those areas. A primary focus is on the expansion of tax base and the creation of new jobs within South Bend. There are five voting members of the South Bend Redevelopment Commission. Three are appointed by the Mayor; two are appointed by the South Bend Common Council. There is one additional member from the South Bend Community School Corporation Board of School Trustees, appointed by the Mayor as a non-voting adviser to the Commission.
Fund Type Control
2023 2024 2025Adopted 2025Amended 2026Adopted 2027 2028 2029 2030
$Change %Change
Revenues
02 - Local Income Taxes 352 21 - - - - - - - - 0%
03 - Intergov./ Shared Revenues 191,000 750,388 380,500 764,000 385,000 385,000 385,000 385,000 385,000 (379,000) -50%
08 - Interest Earnings 98,249 141,217 114,424 114,424 114,424 95,906 122,274 136,828 136,828 - 0%
09 - Donations 1,364,412 1,597,977 1,350,000 1,350,000 1,575,000 1,575,000 1,575,000 1,575,000 1,575,000 225,000 17%
14 - Interfund Transfers In - - 150,000 150,000 1,500,000 1,250,000 150,000 150,000 150,000 1,350,000 900%
Total Revenues 1,654,014 2,489,603 1,994,924 2,378,424 3,574,424 3,305,906 2,232,274 2,246,828 2,246,828 1,196,000 50%
03 - Services 1,407,909 724,465 4,500 2,137,322 4,500 4,500 4,500 4,500 4,500 (2,132,822) -100%
05 - Professional Services 10,006 19,983 4,500 75,173 4,500 4,500 4,500 4,500 4,500 (70,673) -94%
07 - Grants & Subsidies 1,397,903 704,482 - 2,062,149 - - - - - (2,062,149) -100%
04 - Capital - 824,038 - 120,000 - 1,000,000 1,000,000 1,000,000 1,000,000 (120,000) -100%
15 - Capital - 824,038 - 120,000 - 1,000,000 1,000,000 1,000,000 1,000,000 (120,000) -100%
06 - Interfund Transfers 763,000 763,500 755,513 755,513 755,013 750,138 758,713 751,913 754,837 (500) 0%
20 - Interfund Transfers Out 763,000 763,500 755,513 755,513 755,013 750,138 758,713 751,913 754,837 (500) 0%
Total Expenditures 2,170,909 2,312,002 760,013 3,012,835 759,513 1,754,638 1,763,213 1,756,413 1,759,337 (2,253,322) -75%
Net Surplus / (Deficit)(516,895) 177,601 1,234,912 (634,411) 2,814,912 1,551,269 469,062 490,416 487,491
Beginning Balance 3,754,261 3,248,346 3,445,064 2,810,653 5,625,565 7,176,833 7,645,895 8,136,311
Cash Adjustments 10,980 19,117
Ending Balance 3,248,346 3,445,064 2,810,653 5,625,565 7,176,833 7,645,895 8,136,311 8,623,801
Cash Reserve Target
25% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 433 - Redevelopment General
7 Redevelopment Capital & Debt Service Redevelopment Commission Controlled Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 154
Fund Purpose This fund accounts for the collection of Tax Increment Financing (TIF) revenues for the Douglas Road Development Area and expenses of those funds on eligible development projects for this TIF area. The Douglas Road TIF was established to develop the road and area near the border between South Bend and Mishawaka. The budget for the RDC controlled funds is approved by the Redevelopment Commission and not the Common Council.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
01 - Property Taxes 233,288 346,093 402,862 402,862 402,862 410,919 419,138 427,520 436,071 - 0%
08 - Interest Earnings 12,570 30,035 22,958 22,958 22,958 23,639 31,777 35,886 35,886 - 0%
Total Revenues 245,859 376,129 425,820 425,820 425,820 434,559 450,915 463,407 471,957 - 0%
03 - Services - - - 74,175 - - - - - (74,175) -100%
05 - Professional Services - - - 74,175 - - - - - (74,175) -100%
04 - Capital - - - 349,000 - - - - - (349,000) -100%
15 - Capital - - - 349,000 - - - - - (349,000) -100%
Total Expenditures - - - 423,175 - - - - - (423,175) -100%
Net Surplus / (Deficit)245,859 376,129 425,820 2,645 425,820 434,559 450,915 463,407 471,957
Beginning Balance 357,934 604,408 980,537 983,182 1,409,002 1,843,561 2,294,475 2,757,882
Cash Adjustments 616 - Ending Balance 604,408 980,537 983,182 1,409,002 1,843,561 2,294,475 2,757,882 3,229,839
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 435 - TIF - Douglas Road
6 Tax Increment Financing Redevelopment Commission Controlled Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 155
Fund Purpose This fund accounts for the collection of Tax Increment Financing (TIF) revenues for the River East Residential Development Area and expenses of those funds on eligible development projects for this TIF area. The boundaries for this TIF district were changed as part of the TIF re-alignment during 2015. The fund was formerly known as the Northeast Residential TIF. The budget for the RDC controlled funds is approved by the Redevelopment Commission and not the Common Council.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
01 - Property Taxes 7,228,216 7,798,613 7,897,678 7,897,678 7,897,678 8,055,632 8,216,744 8,381,079 8,548,701 - 0%
08 - Interest Earnings 157,758 327,534 274,784 274,784 274,784 236,227 213,895 248,733 248,733 - 0%
Total Revenues 7,385,974 8,126,147 8,172,462 8,172,462 8,172,462 8,291,858 8,430,639 8,629,812 8,797,434 - 0%
03 - Services - 10,740 - - - 30,000 30,000 30,000 30,000 - 0%
05 - Professional Services - 10,740 - - - 30,000 30,000 30,000 30,000 - 0%
04 - Capital 338,132 2,427,195 - 534,673 - - - - - (534,673) -100%
15 - Capital 338,132 2,427,195 - 534,673 - - - - - (534,673) -100%
05 - Debt Service 494,828 140,014 122,892 122,892 120,892 122,892 122,892 60,440 - (2,000) -2%
16 - Debt Service Principal 464,882 126,129 111,126 111,126 113,360 115,638 117,962 57,862 - 2,234 2%
17 - Debt Service Interest & Fees 29,946 13,886 11,766 11,766 7,532 7,254 4,930 2,579 - (4,234) -36%
06 - Interfund Transfers 4,403,875 4,414,875 4,424,731 4,424,731 4,417,356 4,418,881 4,419,616 4,408,300 4,180,741 (7,375) 0%
20 - Interfund Transfers Out 4,403,875 4,414,875 4,424,731 4,424,731 4,417,356 4,418,881 4,419,616 4,408,300 4,180,741 (7,375) 0%
Total Expenditures 5,236,835 6,992,824 4,547,623 5,082,296 4,538,248 4,571,773 4,572,508 4,498,740 4,210,741 (544,048) -11%
Net Surplus / (Deficit)2,149,139 1,133,323 3,624,839 3,090,166 3,634,214 3,720,085 3,858,131 4,131,072 4,586,693
Beginning Balance 6,838,775 9,025,377 10,131,628 13,221,794 16,856,007 20,576,092 24,434,224 28,565,296
Cash Adjustments 37,464 (27,073) Ending Balance 9,025,377 10,131,628 13,221,794 16,856,007 20,576,092 24,434,224 28,565,296 33,151,989
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 436 - TIF - River East Residential (NE Res)
6 Tax Increment Financing Redevelopment Commission Controlled Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 156
Fund Purpose This fund was established (ordinance 10148-12) to account for the collection of a special state tax distribution received at the end of 2011 and the use of those funds for improvements at Innovation Park and Ignition Park, the city's dual-campus technology park.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 328 471 230 269 230 242 242 242 242 (39) -14%
Total Revenues 328 471 230 269 230 242 242 242 242 (39) -14%
Net Surplus / (Deficit)328 471 230 269 230 242 242 242 242
Beginning Balance 11,264 11,621 12,091 12,360 12,590 12,832 13,074 13,316
Cash Adjustments 28 0
Ending Balance 11,621 12,091 12,360 12,590 12,832 13,074 13,316 13,557
Cash Reserve Target
No reserve requirement
Fund Summaries
Fund 439 - Certified Technology Park
7 Redevelopment Capital & Debt Service Redevelopment Commission Controlled Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 157
Fund Purpose
This fund was established (ordinance 9706-06) for the sole purpose of assisting with the continued historic preservation, maintenance and repair of the Palais Royale building and related facilities.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
06 - Charges for Services 15,594 18,482 16,000 16,000 16,000 16,000 16,000 16,000 16,000 - 0%
08 - Interest Earnings 3,450 5,587 2,512 3,394 3,036 3,036 3,041 3,001 3,001 (358) -11%
Total Revenues 19,044 24,069 18,512 19,394 19,036 19,036 19,041 19,001 19,001 (358) -2%
03 - Services - - 10,000 10,000 - 20,000 20,000 20,000 20,000 (10,000) -100%
06 - Repairs & Maintenance - - 10,000 10,000 - 20,000 20,000 20,000 20,000 (10,000) -100%
Total Expenditures - - 10,000 10,000 - 20,000 20,000 20,000 20,000 (10,000) -100%
Net Surplus / (Deficit)19,044 24,069 8,512 9,394 19,036 (964) (959) (999) (999)
Beginning Balance 108,786 128,105 149,563 158,957 177,993 177,030 176,071 175,072
Cash Adjustments 275 (2,611) Ending Balance 128,105 149,563 158,957 177,993 177,030 176,071 175,072 174,074
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 450 - Palais Royale Historic Preservation
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 158
Fund Purpose This fund was established to track the expenditures of the proceeds from the General Obligation Bonds, Series 2018. The bonds were issued to fund the replacement of Fire Station #9 and addition of a classroom building on the grounds of the Luther J Taylor Sr. Fire Training Center. Payment of debt service principal and interest to the bondholders is recorded in the 2018 Fire Station #9 Bond Debt Service Fund (#350). Bond issuance costs were recorded in this fund per Ordinance 10576-18 section VII-(a)
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 9,313 13,352 - 7,620 6,858 - - - - (762) -10%
Total Revenues 9,313 13,352 - 7,620 6,858 - - - - (762) -10%
Net Surplus / (Deficit)9,313 13,352 - 7,620 6,858 - - - -
Beginning Balance 319,452 329,571 342,923 350,543 357,402 357,402 357,402 357,402
Cash Adjustments 807 0
Ending Balance 329,571 342,923 350,543 357,402 357,402 357,402 357,402 357,402
Cash Reserve Target
No reserve requirement
Bond capital fund - spend
down to zero
Fund Summaries
Fund 451 - 2018 Fire Station #9 Bond Capital
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 159
Fund Purpose This fund was established to track the expenditures of the proceeds from the Redevelopment District Bonds, Series 2018. The bonds were issued for the purpose of funding renovations and upgrades at Pulaski, Leeper, and Seitz Parks and improvements to the mixed-use riverfront trail and other infrastructure improvements to park and recreation areas in or serving the River West Development Area.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 67,016 43,300 1,055 3,060 3,455 - - - - 395 13%
Total Revenues 67,016 43,300 1,055 3,060 3,455 - - - - 395 13%
04 - Capital 7,480 2,238,756 - 76,676 - - - - - (76,676) -100%
15 - Capital 7,480 2,238,756 - 76,676 - - - - - (76,676) -100%
Total Expenditures 7,480 2,238,756 - 76,676 - - - - - (76,676) -100%
Net Surplus / (Deficit)59,536 (2,195,456) 1,055 (73,616) 3,455 - - - -
Beginning Balance 2,302,851 2,368,202 172,746 99,130 102,585 102,585 102,585 102,585
Cash Adjustments 5,815 - Ending Balance 2,368,202 172,746 99,130 102,585 102,585 102,585 102,585 102,585
Cash Reserve Target
No reserve requirement
Bond capital fund - spend
down to zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 452 - 2018 TIF Park Bond Capital
7 Redevelopment Capital & Debt Service Redevelopment Commission Controlled Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 160
Fund Purpose This fund accounts for the expenditures of the bond proceeds from the Economic Development Lease Rental Revenue Bonds, Series 2022. The bonds were issued to fund a variety of projects in furtherance of the Potawatomi Zoo's 30-year master plan. The Hotel/Motel Tax Board pledged 0.50% of hotel/motel tax revenue towards the repayment of the bonds. The bonds will be repaid over a period of 20 years with the first debt service payment due on August 1, 2022 and the final payment due on February 1, 2042. Debt service payments are tracked in the South Bend Building Corporation Debt Service Fund (#755). Previously, this fund was used to track the expenditures of the proceeds from the Economic Development Revenue Bonds, Series 2018. The bonds were issued to fund capital improvements at the Zoo, including a modernized visitor center and various deferred maintenance improvements throughout the Zoo. The 2018 bond capital proceeds were fully spent in 2020.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 122 - - - - - - - - - 0%
Total Revenues 122 - - - - - - - - - 0%
04 - Capital 4,467,955 0 - - - - - - - - 0%
15 - Capital 4,467,955 0 - - - - - - - - 0%
Total Expenditures 4,467,955 0 - - - - - - - - 0%
Net Surplus / (Deficit)(4,467,833) (0) - - - - - - -
Beginning Balance 4,467,833 0 (0) (0) (0) (0) (0) (0)
Ending Balance 0 (0) (0) (0) (0) (0) (0) (0)
Cash Reserve Target
No reserve requirement
Bond capital fund - spend
down to zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 453 - Zoo Bond Capital
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 161
Fund Purpose This fund was established in 2009 to receive property tax proceeds derived from parcels located in the Airport Economic Development Area that are also located in the Urban Enterprise Zone, as provided and permitted by Indiana law (IC 36-7-14-39(g)). All sums of money collected are to be used for programs in job training, job enrichment, and basic skill development that are designed to benefit residents and employers in the Urban Enterprise Zone and for other purposes permitted within IC 36-7-14-39 and other applicable Tax Increment Finance State law. The budget for the RDC controlled funds is approved by the Redevelopment Commission and not the Common Council.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 12,091 17,336 8,461 9,894 8,461 8,905 8,905 8,905 8,905 (1,433) -14%
Total Revenues 12,091 17,336 8,461 9,894 8,461 8,905 8,905 8,905 8,905 (1,433) -14%
Net Surplus / (Deficit)12,091 17,336 8,461 9,894 8,461 8,905 8,905 8,905 8,905
Beginning Balance 414,758 427,896 445,232 455,126 463,587 472,492 481,396 490,301
Cash Adjustments 1,047 -
Ending Balance 427,896 445,232 455,126 463,587 472,492 481,396 490,301 499,206
Cash Reserve Target
No reserve requirement
Fund Summaries
Fund 454 - Airport Urban Enterprise Zone
7 Redevelopment Capital & Debt Service Redevelopment Commission Controlled Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 162
Fund Purpose This fund was established to track the expenditures of the proceeds from the LIT Lease Rental Revenue Bonds, Series 2021. The bonds were issued to fund street and neighborhood infrastructure projects. The bonds were secured with local income tax funding and are being repaid by the Local Income Tax Economic Development Fund (#408). Payment of debt service principal and interest to the bondholders is recorded in the Building Corporation Fund (#755).
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 48,402 27,842 - 14,968 13,472 - - - - (1,496) -10%
Total Revenues 48,402 27,842 - 14,968 13,472 - - - - (1,496) -10%
04 - Capital 1,236,390 276,767 - 446,483 - - - - - (446,483) -100%
15 - Capital 1,236,390 276,767 - 446,483 - - - - - (446,483) -100%
Total Expenditures 1,236,390 276,767 - 446,483 - - - - - (446,483) -100%
Net Surplus / (Deficit)(1,187,989) (248,925) - (431,515) 13,472 - - - -
Beginning Balance 2,302,010 922,516 673,591 242,076 255,548 255,548 255,548 255,548
Cash Adjustments (191,505) - Ending Balance 922,516 673,591 242,076 255,548 255,548 255,548 255,548 255,548
Cash Reserve Target
No reserve requirement
Bond capital fund - spend down
to zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 455 - 2021 Infrastructure Bond Capital
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 163
Fund Purpose
The 2023 TIF Bond Series A Capital Fund (#456) was established as a non-reverting fund for the purpose of accounting for the proceeds of the Series A Bonds and any interest earnings.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 662,994 908,612 - 355,983 - - - - - (355,983) -100%
10 - Other Income 7,115,209 120,181 - - - - - - - - 0%
11 - Debt Proceeds 33,098,353 - - - - - - - - - 0%
Total Revenues 40,876,557 1,028,793 - 355,983 - - - - - (355,983) -100%
03 - Services 5,530,838 938,215 - 5,073,551 - - - - - (5,073,551) -100%
05 - Professional Services 5,530,838 938,215 - 5,073,551 - - - - - (5,073,551) -100%
04 - Capital 794,541 10,844,047 - 10,261,412 - - - - - (10,261,412) -100%
15 - Capital 794,541 10,844,047 - 10,261,412 - - - - - (10,261,412) -100%
05 - Debt Service 490,359 - - - - - - - - - 0%
17 - Debt Service Interest & Fees 490,359 - - - - - - - - - 0%
Total Expenditures 6,815,738 11,782,263 - 15,334,963 - - - - - (15,334,963) -100%
Net Surplus / (Deficit)34,060,819 (10,753,470) - (14,978,980) - - - - -
Beginning Balance - 28,540,322 23,307,350 8,328,370 8,328,370 8,328,370 8,328,370 8,328,370 Ending Balance 28,540,322 23,307,350 8,328,370 8,328,370 8,328,370 8,328,370 8,328,370 8,328,370
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 456 - Redev Auth Lease Rental Revenue Bonds - Series 2023A
7 Redevelopment Capital & Debt Service Redevelopment Commission Controlled Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 164
Fund Purpose Fund 457 was created for the purpose of receiving and disbursing the bond proceeds of the 2024 South Bend Redevelopment Authority Lease Rental Revenue Bonds, Series B that were issued to fund the Madison Lifestyle District project.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings - 31,843 - 216,306 - - - - - (216,306) -100%
11 - Debt Proceeds - 24,480,000 - - - - - - - - 0%
Total Revenues - 24,511,843 - 216,306 - - - - - (216,306) -100%
03 - Services - - - 55,000 - - - - - (55,000) -100%
05 - Professional Services - - - 45,000 - - - - - (45,000) -100%
08 - Utilities - - - 10,000 - - - - - (10,000) -100%
04 - Capital - 71,735 - 17,081,840 - - - - - (17,081,840) -100%
15 - Capital - 71,735 - 17,081,840 - - - - - (17,081,840) -100%
05 - Debt Service - 264,938 - - - - - - - - 0%
17 - Debt Service Interest & Fees - 264,938 - - - - - - - - 0%
06 - Interfund Transfers - 6,741,141 - - - - - - - - 0%
20 - Interfund Transfers Out - 6,741,141 - - - - - - - - 0%
Total Expenditures - 7,077,814 - 17,136,840 - - - - - (17,136,840) -100%
Net Surplus / (Deficit)- 17,434,028 - (16,920,534) - - - - -
Beginning Balance - - 17,448,598 528,064 528,064 528,064 528,064 528,064
Cash Adjustments - 14,570 Ending Balance - 17,448,598 528,064 528,064 528,064 528,064 528,064 528,064
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 457 - 2024 RDA Lease Rental Revenue Bond Series B
7 Redevelopment Capital & Debt Service Redevelopment Commission Controlled Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 165
Fund Purpose
Fund 458 was created for the purpose of receiving and disbursing the bond proceeds of the 2024 South Bend Redevelopment Authority Lease Rental Revenue Bonds, Series A that were issued to fund the renovation and construction projects at Four Winds Field.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings - 648,774 - 534,298 - - - - - (534,298) -100%
11 - Debt Proceeds - 45,566,002 - - - - - - - - 0%
Total Revenues - 46,214,776 - 534,298 - - - - - (534,298) -100%
04 - Capital - 1,474,628 - 43,528,568 - - - - - (43,528,568) -100%
15 - Capital - 1,474,628 - 43,528,568 - - - - - (43,528,568) -100%
05 - Debt Service - 552,707 - 10,100 - - - - - (10,100) -100%
17 - Debt Service Interest & Fees - 552,707 - 10,100 - - - - - (10,100) -100%
Total Expenditures - 2,027,334 - 43,538,668 - - - - - (43,538,668) -100%
Net Surplus / (Deficit)- 44,187,441 - (43,004,370) - - - - -
Beginning Balance - - 44,187,441 1,183,071 1,183,071 1,183,071 1,183,071 1,183,071
Ending Balance - 44,187,441 1,183,071 1,183,071 1,183,071 1,183,071 1,183,071 1,183,071
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 458 - 2024 RDA Bond Proceeds (Four Winds)
7 Redevelopment Capital & Debt Service Redevelopment Commission Controlled Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 166
Fund Purpose This fund was established per the bond agreement in order to track the capital expenditures of the 2017 Park District Bonds, Series A-K. The bonds were issued to fund certain improvements in connection with the MY SB Parks & Trails initiative. The bonds will be repaid over a period of 15 years with the first debt service payment due on July 15, 2018 and the final payment due on January 15, 2033. Debt service payments are tracked in the 2017 Parks Bond Debt Service Fund (#312).
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 43,384 41,824 134 17,473 17,088 - - - - (385) -2%
Total Revenues 43,384 41,824 134 17,473 17,088 - - - - (385) -2%
Expenditures by Subdivision
277 - 2017 Park Bond - 183,182 - 346,362 - - - - - (346,362) -100%
279 - 2017 Park Bond Series B - St.
Louis Street 3,881 - - - - - - - - - 0%
280 - 2017 Park Bond Series C -
Colfax-Seitz 672 - - - - - - - - - 0%
281 - 2017 Park Bond Series D -
Howard-Farmers 2,816 - - - - - - - - - 0%
282 - 2017 Park Bond Series E - Miami-Twyckenham 15,000 - - 10,000 - - - - - (10,000) -100%283 - 2017 Park Bond Series F - Seitz Park 2,565 - - - - - - - - - 0%
284 - 2017 Park Bond Series G - East
Race/AM General 465,962 267,485 - - - - - - - - 0%
285 - 2017 Park Bond Series H -
Pinhook Park 57,555 42,067 - 1 - - - - - (1) -100%
286 - 2017 Park Bond Series I - Other
Park Improvements 44,749 55,602 - 11,624 - - - - - (11,624) -100%
287 - 2017 Park Bond Series J - Pinhook Connect 4,403 - - 35,191 - - - - - (35,191) -100%288 - 2017 Park Bond Series K -
Future Projects 182,721 10,000 - 402,005 - - - - - (402,005) -100%
Total Expenditures by Subdivision 780,322 558,336 - 805,184 - - - - - (805,184) -100%
04 - Capital 780,322 558,336 - 805,184 - - - - - (805,184) -100%
15 - Capital 780,322 558,336 - 805,184 - - - - - (805,184) -100%
Total Expenditures 780,322 558,336 - 805,184 - - - - - (805,184) -100%
Net Surplus / (Deficit)(736,938) (516,512) 134 (787,711) 17,088 - - - -
Beginning Balance 2,587,911 1,370,920 854,408 66,697 83,785 83,785 83,785 83,785
Cash Adjustments (480,053) -
Ending Balance 1,370,920 854,408 66,697 83,785 83,785 83,785 83,785 83,785
Cash Reserve Target
No reserve requirement
Bond capital fund - spend down
to zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 471 - 2017 Parks Bond Capital
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 167
Fund Purpose This fund was established (ordinance 8412-93) to receive monies and fees to pay expenses related to the operation of the St Joseph County/South Bend Building Department. The fund is operated in accordance with the interlocal agreement between St Joseph County and the City of South Bend executed December 31, 1991 as amended. The Building Department regulates the “built environment” through enforcement of current building codes and zoning ordinances. The Building Department's purpose is to promote safe occupancy for all residents of the jurisdiction, serving all properties within the City of South Bend and all properties with a 5-digit address within St. Joseph County. Note: From 2019 through 2021, the Building Department has transitioned to a team within the Department of Community Investment (DCI). In 2022, that transition was complete and Building is now part of the DCI Planning team.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
05 - Licenses & Permits 2,099,002 3,855,863 2,285,800 2,473,412 3,352,350 3,352,350 3,352,350 3,352,350 3,352,350 878,938 36%
07 - Fines, Forfeitures, and Fees 13,890 16,310 13,000 13,000 5,150 5,150 5,150 5,150 5,150 (7,850) -60%
08 - Interest Earnings 56,845 116,879 55,082 80,681 156,477 78,239 64,909 78,909 78,909 75,796 94%
10 - Other Income 5,831 9,196 - 3,110 3,100 3,100 3,100 3,100 3,100 (10) 0%
Total Revenues 2,175,568 3,998,248 2,353,882 2,570,203 3,517,077 3,438,839 3,425,509 3,439,509 3,439,509 946,874 37%
01 - Personnel 1,179,858 1,248,898 1,522,370 1,522,370 1,537,163 1,575,592 1,614,982 1,655,357 1,696,741 14,793 1%
01 - Salaries & Wages 830,167 881,725 1,032,036 1,032,036 1,068,954 1,095,678 1,123,070 1,151,147 1,179,925 36,918 4%
02 - Fringe Benefits 349,691 367,172 490,334 490,334 468,209 479,915 491,912 504,210 516,815 (22,125) -5%
02 - Supplies 22,819 22,678 23,000 23,000 23,000 5,000 5,000 5,000 5,000 - 0%
04 - Supplies 22,819 22,678 23,000 23,000 23,000 5,000 5,000 5,000 5,000 - 0%
03 - Services 614,274 1,192,373 89,493 89,493 84,993 80,360 80,360 80,360 80,360 (4,500) -5%
05 - Professional Services 55 947 8,000 8,000 8,000 8,000 8,000 8,000 8,000 - 0%
06 - Repairs & Maintenance 30,349 28,036 29,743 29,743 29,743 17,590 17,590 17,590 17,590 - 0%
09 - Printing & Advertising - 252 4,200 4,200 4,200 4,200 4,200 4,200 4,200 - 0%
11 - Education & Training 5,867 5,846 6,000 6,000 6,000 6,000 6,000 6,000 6,000 - 0%
12 - Travel - - 6,000 6,000 6,000 6,000 6,000 6,000 6,000 - 0%
13 - Bad Debt - - 1,000 1,000 1,000 1,000 1,000 1,000 1,000 - 0%
14 - Other Services & Charges 578,003 1,157,292 34,550 34,550 30,050 37,570 37,570 37,570 37,570 (4,500) -13%
04 - Capital 28,978 57,334 80,000 80,000 80,000 40,000 45,000 45,000 45,000 - 0%
15 - Capital 28,978 57,334 80,000 80,000 80,000 40,000 45,000 45,000 45,000 - 0%
05 - Debt Service 4,722 - - - - - - - - - 0%
16 - Debt Service Principal 4,673 - - - - - - - - - 0%
17 - Debt Service Interest & Fees 49 - - - - - - - - - 0%
06 - Interfund Transfers 354,619 317,710 350,370 350,370 306,007 259,690 267,481 275,505 283,770 (44,363) -13%
19 - Interfund Allocations 354,619 317,710 350,370 350,370 306,007 259,690 267,481 275,505 283,770 (44,363) -13%
Total Expenditures 2,205,269 2,838,993 2,065,233 2,065,233 2,031,163 1,960,642 2,012,823 2,061,222 2,110,871 (34,070) -2%
Net Surplus / (Deficit)(29,702) 1,159,255 288,649 504,970 1,485,914 1,478,196 1,412,686 1,378,287 1,328,638
Beginning Balance 2,112,164 2,087,954 3,247,209 3,752,179 5,238,093 6,716,289 8,128,976 9,507,262
Cash Adjustments 5,493 -
Ending Balance 2,087,954 3,247,209 3,752,179 5,238,093 6,716,289 8,128,976 9,507,262 10,835,900
Cash Reserve Target
25% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 600 - Consolidated Building Fund
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 168
Fund Purpose This fund was established (ordinance 5089-69) to account for the maintenance and operation of off-street parking facilities. This fund accounts for the revenues and expenditures from the various parking garages owned by the City of South Bend. There are currently 1,484 stalls.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
06 - Charges for Services 842,422 1,360,275 859,619 936,640 1,528,855 1,528,855 1,528,855 1,528,855 1,528,855 592,215 63%
07 - Fines, Forfeitures, and Fees 69,839 157,314 70,000 70,000 48,000 48,000 48,000 48,000 48,000 (22,000) -31%
08 - Interest Earnings 22,813 18,667 4,985 5,735 9,657 9,657 - 5,380 5,380 3,923 68%
10 - Other Income - 9,841 - 4,655 - - - - - (4,655) -100%
13 - Interfund Allocation Reimb - - - - 290,740 290,740 290,740 290,740 290,740 290,740 0%
Total Revenues 935,075 1,546,097 934,604 1,017,031 1,877,252 1,877,252 1,867,595 1,872,975 1,872,975 860,222 85%
Expenditures by Subdivision
460 - Parking Enforcement 80,623 397,933 37,845 156,300 151,479 306 312 318 324 (4,821) -3%
461 - Parking General Operations 585,441 92,666 227,898 218,490 268,635 569,478 583,967 596,223 608,503 50,144 23%
462 - Main Street Garage 210,216 330,688 241,844 223,861 249,960 77,169 77,890 78,630 79,390 26,099 12%
463 - Leighton Plaza Garage 231,288 343,630 244,602 232,213 252,839 80,135 80,944 81,776 82,631 20,626 9%
464 - Wayne Street Garage 154,644 346,664 241,631 213,648 251,956 79,225 80,007 80,811 81,637 38,308 18%
465 - Eddy Street Commons Garage - 85,270 - - - - - - - - 0%
Total Expenditures by Subdivision 1,262,212 1,596,851 993,821 1,044,513 1,174,869 806,314 823,120 837,757 852,484 130,357 12%
01 - Personnel 197,293 747,791 756,920 5 699,627 403,920 411,998 420,238 428,643 699,622 15376318%
01 - Salaries & Wages - 1,930 - - - - - - - - 0%
03 - Other Personnel Costs 197,293 745,860 756,920 5 699,627 403,920 411,998 420,238 428,643 699,622 15376318%
02 - Supplies 29,259 60,158 61,609 67,209 91,456 18,564 18,935 19,313 19,699 24,247 36%
04 - Supplies 29,259 60,158 61,609 67,209 91,456 18,564 18,935 19,313 19,699 24,247 36%
03 - Services 936,052 703,265 250,557 1,008,166 386,366 66,765 70,110 70,967 71,586 (621,800) -62%
05 - Professional Services 636,076 348,277 75,620 754,450 126,120 37,000 39,750 40,000 40,000 (628,330) -83%
06 - Repairs & Maintenance 143,195 52,754 - 58,794 54,000 1,040 1,061 1,082 1,104 (4,794) -8%
08 - Utilities 114,917 138,058 104,000 114,450 134,400 - - - - 19,950 17%
09 - Printing & Advertising - 5,375 - - - - - - - - 0%
10 - Insurance - 18,783 20,257 20,257 16,724 - - - - (3,533) -17%
12 - Travel - 574 10,080 10,080 - - - - - (10,080) -100%
13 - Bad Debt - 57 - - - - - - - - 0%
14 - Other Services & Charges 41,864 139,387 40,600 50,135 55,122 28,724 29,299 29,884 30,482 4,987 10%
04 - Capital - 18,911 50,000 50,000 50,000 150,000 150,000 150,000 150,000 - 0%
15 - Capital - 18,911 50,000 50,000 50,000 150,000 150,000 150,000 150,000 - 0%
06 - Interfund Transfers 99,609 96,916 101,112 101,112 162,199 167,065 172,077 177,239 182,557 61,087 60%
19 - Interfund Allocations 99,609 96,916 101,112 101,112 162,199 167,065 172,077 177,239 182,557 61,087 60%
Total Expenditures 1,262,212 1,627,040 1,220,198 1,226,492 1,389,648 806,314 823,120 837,757 852,484 163,156 13%
Net Surplus / (Deficit)(327,138) (80,943) (285,594) (209,461) 487,604 1,070,938 1,044,475 1,035,218 1,020,491
Beginning Balance 864,961 553,932 368,341 158,880 646,484 1,717,422 2,761,897 3,797,115
Cash Adjustments 16,109 (104,647)
Ending Balance 553,932 368,341 158,880 646,484 1,717,422 2,761,897 3,797,115 4,817,606
Cash Reserve Target
25% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 601 - Parking Garages
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 169
Fund Purpose
In 2022, the operations of the Morris Performing Arts Center were moved from the General Fund (#101) into this newly created enterprise fund. This fund will account for the operating costs of the Morris Performing Arts Center in downtown South Bend, the premier performing arts center in this region of the country. It provides improved quality of life to the City's residents, serves as an economic catalyst in the City, and fosters historic preservation of landmark City venues. The Morris Performing Arts Center (Morris PAC) is a division under the Department of Venues, Parks & Arts.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
06 - Charges for Services 988,672 860,486 1,403,079 1,404,279 1,933,000 1,903,000 1,903,000 1,903,000 1,903,000 528,721 38%
08 - Interest Earnings 2,954 16,595 16,800 16,800 16,800 3,329 - - - - 0%
09 - Donations - 6,129 10,000 10,000 150,000 150,000 150,000 150,000 150,000 140,000 1400%
10 - Other Income 172,449 168,367 50,636 103,418 58,600 58,600 58,600 58,600 58,600 (44,818) -43%
14 - Interfund Transfers In - - 450,000 450,000 - - - - - (450,000) -100%
Total Revenues 1,164,076 1,051,578 1,930,515 1,984,497 2,158,400 2,114,929 2,111,600 2,111,600 2,111,600 173,903 9%
Expenditures by Subdivision
292 - Morris PAC 1,413,999 1,521,591 1,834,213 1,864,608 2,000,903 1,814,478 1,880,768 1,926,052 1,972,470 136,295 7%
Total Expenditures by Subdivision 1,413,999 1,521,591 1,834,213 1,864,608 2,000,903 1,814,478 1,880,768 1,926,052 1,972,470 136,295 7%
01 - Personnel 639,950 680,358 855,918 855,918 805,499 825,636 846,277 867,434 889,120 (50,419) -6%
01 - Salaries & Wages 462,232 498,090 603,599 603,599 578,495 592,957 607,781 622,976 638,550 (25,104) -4%
02 - Fringe Benefits 177,718 182,268 252,319 252,319 227,004 232,679 238,496 244,458 250,570 (25,315) -10%
02 - Supplies 32,647 47,773 82,360 83,609 95,360 33,819 35,360 36,007 36,668 11,751 14%
04 - Supplies 32,647 47,773 82,360 83,609 95,360 33,819 35,360 36,007 36,668 11,751 14%
03 - Services 462,767 497,192 622,985 652,130 779,500 649,762 683,845 696,982 710,382 127,370 20%
05 - Professional Services 61,849 109,002 82,000 81,780 87,000 86,260 87,545 88,856 90,193 5,220 6%
06 - Repairs & Maintenance 66,555 87,128 104,000 132,853 162,000 112,200 114,444 116,733 119,068 29,147 22%
08 - Utilities 137,372 143,388 181,976 181,976 237,000 166,366 191,321 195,148 199,051 55,024 30%
09 - Printing & Advertising 74,137 61,112 119,401 119,534 176,000 182,210 185,854 189,571 193,362 56,467 47%
11 - Education & Training 3,718 6,890 10,000 10,000 12,000 4,682 4,775 4,871 4,968 2,000 20%
12 - Travel 4,341 3,626 6,120 6,340 7,000 6,242 6,367 6,495 6,624 660 10%
14 - Other Services & Charges 114,797 86,045 119,488 119,647 98,500 91,802 93,538 95,309 97,115 (21,147) -18%
06 - Interfund Transfers 278,635 296,268 312,950 312,950 380,545 391,961 403,720 415,831 428,306 67,595 22%
19 - Interfund Allocations 278,635 296,268 312,950 312,950 380,545 391,961 403,720 415,831 428,306 67,595 22%
Total Expenditures 1,413,999 1,521,591 1,874,213 1,904,608 2,060,903 1,901,178 1,969,202 2,016,255 2,064,476 156,295 8%
Net Surplus / (Deficit)(249,924) (470,013) 56,302 79,889 97,497 213,751 142,398 95,345 47,124
Beginning Balance 435,479 646,796 126,113 206,002 303,499 517,250 659,648 754,993
Cash Adjustments 461,240 (50,670)
Ending Balance 646,796 126,113 206,002 303,499 517,250 659,648 754,993 802,117
Cash Reserve Target
10% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 602 - Morris Performing Arts Center Operations
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 170
Fund Purpose This fund was established to account for the operations of the Solid Waste Division of the Department of Public Works. Solid Waste provides weekly trash collection service. Additional services available to residents include trash extra bulky collection, weekly yard waste collection, yard waste extra bulky collection, and Christmas tree collection.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
04 - Intergov./ Grants 8,636 - - - - - - - - - 0%
06 - Charges for Services 7,622,504 8,183,773 8,256,538 8,256,538 8,256,538 8,256,538 8,256,538 8,256,538 8,256,538 (0) 0%
08 - Interest Earnings 8,323 25,610 10,970 31,874 18,478 18,478 - - - (13,396) -42%
10 - Other Income 18,231 3,739 45,000 46,115 45,000 45,000 45,000 45,000 45,000 (1,115) -2%
14 - Interfund Transfers In 527,035 - - - - - - - - - 0%
Total Revenues 8,184,729 8,213,121 8,312,508 8,334,528 8,320,016 8,320,016 8,301,538 8,301,538 8,301,538 (14,512) 0%
01 - Personnel 1,794,982 1,866,802 2,230,825 2,230,825 2,217,288 2,272,720 2,329,538 2,387,776 2,447,471 (13,537) -1%
01 - Salaries & Wages 1,265,563 1,320,819 1,482,946 1,482,946 1,504,929 1,542,552 1,581,116 1,620,644 1,661,160 21,983 1%
02 - Fringe Benefits 529,419 545,983 747,879 747,879 712,359 730,168 748,422 767,133 786,311 (35,520) -5%
02 - Supplies 306,830 282,404 567,435 567,435 539,671 564,538 575,830 587,345 599,091 (27,765) -5%
04 - Supplies 306,830 282,404 567,435 567,435 539,671 564,538 575,830 587,345 599,091 (27,765) -5%
03 - Services 3,256,517 3,120,770 2,779,672 2,946,512 3,090,615 2,660,782 2,711,734 2,763,703 2,816,711 144,103 5%
06 - Repairs & Maintenance 1,893,174 1,536,291 1,194,169 1,239,169 1,527,000 1,191,356 1,214,764 1,238,640 1,262,994 287,832 23%
09 - Printing & Advertising 12,003 - 5,870 18,241 5,615 5,983 6,103 6,225 6,349 (12,626) -69%
11 - Education & Training 4,068 132 20,400 20,400 15,000 20,400 20,808 21,224 21,648 (5,400) -26%
12 - Travel - - 15,300 15,300 7,500 10,098 10,300 10,506 10,716 (7,800) -51%
13 - Bad Debt 219,772 206,880 150,000 259,035 150,000 62,273 62,273 62,273 62,273 (109,035) -42%
14 - Other Services & Charges 1,127,500 1,377,466 1,393,934 1,394,368 1,385,500 1,370,672 1,397,486 1,424,835 1,452,731 (8,868) -1%
06 - Interfund Transfers 2,258,026 2,409,423 2,917,459 2,917,459 3,161,977 2,915,945 2,668,565 2,320,322 2,133,196 244,518 8%
19 - Interfund Allocations 1,358,336 1,476,423 1,579,144 1,579,144 1,657,107 1,705,577 1,756,744 1,809,447 1,863,730 77,963 5%
20 - Interfund Transfers Out 899,690 933,000 1,338,315 1,338,315 1,504,870 1,210,368 911,821 510,876 269,466 166,555 12%
Total Expenditures 7,616,354 7,679,398 8,495,391 8,662,231 9,009,550 8,413,985 8,285,667 8,059,147 7,996,469 347,319 4%
Net Surplus / (Deficit)568,375 533,723 (182,883) (327,703) (689,534) (93,969) 15,871 242,391 305,069
Beginning Balance 294,832 766,957 1,277,909 950,205 260,671 166,703 182,573 424,965
Cash Adjustments (96,250) (22,771)
Ending Balance 766,957 1,277,909 950,205 260,671 166,703 182,573 424,965 730,034
Cash Reserve Target
10% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 610 - Solid Waste Operations
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 171
Fund Purpose
This fund was established to account for capital expenditures and debt service related to the Solid Waste Division of the Department of Public Works. Some equipment is purchased through capital leases which are usually paid off over 5 years.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 5,297 42,274 - 35,597 51,261 - - - - 15,664 44%
11 - Debt Proceeds 1,225,000 2,200,000 - - 2,400,000 2,400,000 2,400,000 2,400,000 2,400,000 2,400,000 0%
14 - Interfund Transfers In 899,690 933,000 1,338,315 1,338,315 1,504,870 1,210,368 911,821 510,876 269,466 166,555 12%
Total Revenues 2,129,987 3,175,274 1,338,315 1,373,911 3,956,131 3,610,368 3,311,821 2,910,876 2,669,466 2,582,219 188%
04 - Capital - 2,764,101 - 1,965,676 1,360,250 1,199,276 1,316,204 1,451,126 1,596,240 (605,426) -31%
15 - Capital - 2,764,101 - 1,965,676 1,360,250 1,199,276 1,316,204 1,451,126 1,596,240 (605,426) -31%
05 - Debt Service 977,143 1,102,860 1,338,315 1,344,694 1,504,870 562,105 484,875 164,692 - 160,176 12%
16 - Debt Service Principal 928,231 1,054,761 1,206,567 1,206,567 1,365,562 542,006 474,282 162,780 - 158,995 13%
17 - Debt Service Interest & Fees 48,912 48,099 131,747 138,126 139,308 20,099 10,593 1,912 - 1,182 1%
Total Expenditures 977,143 3,866,961 1,338,315 3,310,370 2,865,120 1,761,381 1,801,079 1,615,818 1,596,240 (445,250) -13%
Net Surplus / (Deficit)1,152,844 (691,687) - (1,936,458) 1,091,011 1,848,987 1,510,742 1,295,058 1,073,226
Beginning Balance 1,582,027 2,734,871 2,043,183 106,725 1,197,736 3,046,723 4,557,465 5,852,523
Ending Balance 2,734,871 2,043,183 106,725 1,197,736 3,046,723 4,557,465 5,852,523 6,925,749
Cash Reserve Target
No reserve requirement
Capital fund - spend down to
zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 611 - Solid Waste Capital
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 172
Fund Purpose This fund was established to account for the revenues and operational expenses of the City-owned water utility. This fund also provides the monies for debt service obligations and capital improvements through transfer of monies to other water utility funds. The water utility is run by the Water Works Division of the Department of Public Works. Water Works solely utilizes groundwater to serve more than 112,000 customers. There are nine well fields which can produce water to be treated before making its way to homes and businesses via 550+ miles of water main. Water Works staff regularly conducts thorough testing on the groundwater before, during and after treatment, as well as throughout the distribution system. Water being distributed meets or exceeds all drinking water regulations.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
06 - Charges for Services 19,884,401 20,611,978 21,693,111 21,693,111 21,693,111 21,693,111 21,693,111 21,693,111 21,693,111 - 0%
08 - Interest Earnings 187,240 396,484 136,803 295,518 - 239,985 - - - (295,518) -100%
10 - Other Income 510,566 22,997 18,055 29,224 18,055 18,055 18,055 18,055 18,055 (11,169) -38%
13 - Interfund Allocation Reimb 1,633,074 1,652,888 1,655,108 1,655,108 1,967,892 2,026,929 2,087,737 2,150,369 2,214,880 312,784 19%
14 - Interfund Transfers In 134,865 - - - - - - - - - 0%
Total Revenues 22,350,146 22,684,348 23,503,077 23,672,961 23,679,058 23,978,080 23,798,903 23,861,535 23,926,046 6,097 0%
01 - Personnel 5,301,166 5,093,060 6,367,650 6,367,650 6,104,143 6,256,747 6,413,165 6,573,494 6,737,832 (263,507) -4%
01 - Salaries & Wages 3,777,318 3,648,854 4,336,218 4,336,218 4,446,799 4,557,969 4,671,918 4,788,716 4,908,434 110,581 3%
02 - Fringe Benefits 1,523,848 1,444,206 2,031,432 2,031,432 1,657,344 1,698,778 1,741,247 1,784,778 1,829,398 (374,088) -18%
02 - Supplies 1,598,311 1,537,179 2,279,509 2,480,167 2,007,303 2,246,271 2,290,198 2,335,003 2,380,703 (472,864) -19%
04 - Supplies 1,598,311 1,537,179 2,279,509 2,480,167 2,007,303 2,246,271 2,290,198 2,335,003 2,380,703 (472,864) -19%
03 - Services 5,030,571 5,847,243 7,399,524 9,173,051 7,175,567 5,976,666 5,658,356 5,985,982 5,884,085 (1,997,485) -22%
05 - Professional Services 872,977 1,227,334 1,569,381 2,424,466 1,573,030 1,303,727 1,329,601 1,355,993 1,382,912 (851,436) -35%
06 - Repairs & Maintenance 402,687 477,557 725,429 882,229 681,297 651,960 665,001 678,300 691,866 (200,932) -23%
08 - Utilities 893,492 880,936 956,813 1,306,813 959,097 956,811 975,947 995,467 1,015,376 (347,715) -27%
09 - Printing & Advertising 2,341 2,683 7,520 7,520 22,500 7,520 7,670 7,823 7,979 14,980 199%
11 - Education & Training 22,722 8,509 37,438 62,438 34,626 37,439 38,188 38,951 39,730 (27,812) -45%
12 - Travel 3,775 3,735 23,715 23,715 10,000 23,715 24,189 24,673 25,166 (13,715) -58%
13 - Bad Debt 303,108 327,535 102,000 236,865 300,000 100,000 100,000 100,000 100,000 63,135 27%
14 - Other Services & Charges 2,529,469 2,918,953 3,977,229 4,229,006 3,595,017 2,895,494 2,517,760 2,784,776 2,621,057 (633,989) -15%
06 - Interfund Transfers 7,204,529 5,323,986 7,330,946 7,330,946 9,745,372 11,313,443 7,826,373 7,896,237 7,910,988 2,414,425 33%
18 - PILOT 1,606,468 1,638,597 1,602,400 1,602,400 1,575,974 1,609,682 1,611,292 1,612,903 1,614,516 (26,426) -2%
19 - Interfund Allocations 2,848,061 3,559,703 3,853,754 3,853,754 3,757,138 3,717,065 3,828,577 3,943,434 4,061,737 (96,615) -3%
20 - Interfund Transfers Out 2,750,000 125,686 1,874,793 1,874,793 4,412,259 5,986,697 2,386,505 2,339,900 2,234,735 2,537,467 135%
Total Expenditures 19,134,577 17,801,468 23,377,629 25,351,815 25,032,384 25,793,127 22,188,092 22,790,716 22,913,609 (319,431) -1%
Net Surplus / (Deficit)3,215,569 4,882,880 125,448 (1,678,854) (1,353,326) (1,815,047) 1,610,810 1,070,819 1,012,437
Beginning Balance 4,758,783 7,853,450 12,675,923 10,997,069 9,643,742 7,828,696 9,439,506 10,510,325
Cash Adjustments (120,902) (60,407) Ending Balance 7,853,450 12,675,923 10,997,069 9,643,742 7,828,696 9,439,506 10,510,325 11,522,762
Cash Reserve Target
5% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 620 - Water Works Operations
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 173
Fund Purpose This fund was established to account for acquiring, constructing, and improving water utility capital assets. Water utility capital assets include wells, reservoirs, transmission and distribution mains, water meters, pumping equipment, treatment equipment, transportation equipment, and other general plant items.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
06 - Charges for Services (106,004) 116,300 210,000 210,000 210,000 210,000 210,000 210,000 210,000 - 0%
08 - Interest Earnings 227,703 498,140 208,820 337,083 498,140 176,487 - - - 161,057 48%
10 - Other Income 2,392 9,200 - - 14,379 14,379 14,379 14,379 14,379 14,379 0%
11 - Debt Proceeds - 10,743,000 7,673,000 7,673,000 17,000,000 17,000,000 17,000,000 17,000,000 17,000,000 9,327,000 122%
14 - Interfund Transfers In - - 400,000 400,000 2,000,000 - - - - 1,600,000 400%
Total Revenues 124,091 11,366,639 8,491,820 8,620,083 19,722,519 17,400,866 17,224,379 17,224,379 17,224,379 11,102,436 129%
03 - Services 132,973 432,412 - 1,436,653 95,000 150,000 - - - (1,341,653) -93%
05 - Professional Services 132,973 432,412 - 1,436,653 95,000 150,000 - - - (1,341,653) -93%
04 - Capital 4,104,934 1,604,614 10,758,520 19,335,396 33,121,550 3,340,000 8,481,000 - - 13,786,154 71%
15 - Capital 4,104,934 1,604,614 10,758,520 19,335,396 33,121,550 3,340,000 8,481,000 - - 13,786,154 71%
05 - Debt Service - 135,505 - - - - - - - - 0%
17 - Debt Service Interest & Fees - 135,505 - - - - - - - - 0%
Total Expenditures 4,237,907 2,172,531 10,758,520 20,772,049 33,216,550 3,490,000 8,481,000 - - 12,444,501 60%
Net Surplus / (Deficit)(4,113,816) 9,194,108 (2,266,700) (12,151,965) (13,494,031) 13,910,866 8,743,379 17,224,379 17,224,379
Beginning Balance 11,059,854 6,652,330 15,820,438 3,668,472 (9,825,559) 4,085,308 12,828,687 30,053,066
Cash Adjustments (293,708) (26,000) Ending Balance 6,652,330 15,820,438 3,668,472 (9,825,559) 4,085,308 12,828,687 30,053,066 47,277,445
Cash Reserve Target
No reserve requirement
Capital fund - spend down to
zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 622 - Water Works Capital
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 174
Fund Purpose This fund was established to retain the security deposits collected from utility customers. Upon termination of service, the security deposited is refunded in the form of a credit to the customer's final bill.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 38,236 54,661 - 31,124 28,036 - - - - (3,087) -10%
Total Revenues 38,236 54,661 - 31,124 28,036 - - - - (3,087) -10%
Net Surplus / (Deficit)38,236 54,661 - 31,124 28,036 - - - -
Beginning Balance 1,315,511 1,349,630 1,401,817 1,432,941 1,460,977 1,460,977 1,460,977 1,460,977
Cash Adjustments (4,117) (2,474)
Ending Balance 1,349,630 1,401,817 1,432,941 1,460,977 1,460,977 1,460,977 1,460,977 1,460,977
Cash Reserve Target
100% cash reserve for
customer deposits
Fund Summaries
Fund 624 - Water Works Customer Deposit
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 175
Fund Purpose This fund was established to account for the payment of debt service obligations for Water Works, including bond principal and interest payments and paying agent fees.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 54,408 99,807 - 32,380 40,783 - - - - 8,403 26%
14 - Interfund Transfers In 2,750,000 64,246 1,474,793 1,474,793 2,283,991 5,858,429 2,258,237 2,286,455 2,234,735 809,199 55%
Total Revenues 2,804,408 164,053 1,474,793 1,507,173 2,324,774 5,858,429 2,258,237 2,286,455 2,234,735 817,601 54%
05 - Debt Service 1,401,675 1,090,143 1,474,793 3,646,688 2,283,991 1,175,757 1,473,245 1,494,653 964,085 (1,362,697) -37%
16 - Debt Service Principal 1,045,513 786,373 1,127,262 2,514,703 1,622,829 899,130 1,240,112 1,308,459 840,000 (891,873) -35%
17 - Debt Service Interest & Fees 356,162 303,770 347,531 1,131,985 661,162 276,627 233,133 186,194 124,085 (470,823) -42%
Total Expenditures 1,401,675 1,090,143 1,474,793 3,646,688 2,283,991 1,175,757 1,473,245 1,494,653 964,085 (1,362,697) -37%
Net Surplus / (Deficit)1,402,734 (926,090) - (2,139,515) 40,783 4,682,672 784,992 791,802 1,270,650
Beginning Balance 2,273,787 3,665,884 2,039,158 (100,357) (59,573) 4,623,098 5,408,090 6,199,892
Cash Adjustments (10,637) (700,636)
Ending Balance 3,665,884 2,039,158 (100,357) (59,573) 4,623,098 5,408,090 6,199,892 7,470,542
Cash Reserve Target
100% cash reserve per
bond covenants
Expenditures by Category & Subcategory
Fund Summaries
Fund 625 - Water Works Sinking (Debt Service)
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 176
Fund Purpose This fund was established to ensure compliance with certain debt service bond covenants. The required cash balance is determined by the debt service financing arrangements at the time of issuance. The debt service reserve amount is used towards the last debt service payment.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 42,407 60,326 - 36,334 33,547 - - - - (2,788) -8%
14 - Interfund Transfers In - 74,823 - 74,280 128,268 128,268 128,268 128,268 128,268 53,988 73%
Total Revenues 42,407 135,149 - 110,614 161,815 128,268 128,268 128,268 128,268 51,200 46%
Net Surplus / (Deficit)42,407 135,149 - 110,614 161,815 128,268 128,268 128,268 128,268
Beginning Balance 1,432,109 1,478,046 1,613,195 1,723,809 1,885,624 2,013,892 2,142,160 2,270,428
Cash Adjustments 3,530 -
Ending Balance 1,478,046 1,613,195 1,723,809 1,885,624 2,013,892 2,142,160 2,270,428 2,398,696
Cash Reserve Target
100% cash reserve per
bond covenants
Fund Summaries
Fund 626 - Water Works Bond Reserve
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 177
Fund Purpose This fund was established to hold cash reserves equivalent to two months of budgeted operating expenses in the Water Works Operations Fund (#620). This serves as fiscal protection against the risk of revenue shortfalls, emergencies, and other economic risks that may impact the water utility's ability to meet financial commitments.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 85,903 123,169 - 70,292 63,266 - - - - (7,026) -10%
Total Revenues 85,903 123,169 - 70,292 63,266 - - - - (7,026) -10%
Net Surplus / (Deficit)85,903 123,169 - 70,292 63,266 - - - -
Beginning Balance 2,946,775 3,040,120 3,163,289 3,233,581 3,296,847 3,296,847 3,296,847 3,296,847
Cash Adjustments 7,441 0
Ending Balance 3,040,120 3,163,289 3,233,581 3,296,847 3,296,847 3,296,847 3,296,847 3,296,847
Cash Reserve Target
16.67% of annual operating
expenses in Fund 620, net of
transfers
Fund Summaries
Fund 629 - Water Works Operations & Maintenance Reserve
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 178
Fund Purpose This fund was established in 1980 (ordinance 6811-80) to account for the repair and/or replacement of private sewer connections. The Sewer Insurance program is funded by a monthly charge on City residents' sewer bills. The City is responsible for the main sewer line; from the main line to the house is the homeowner's responsibility. This program helps residents who have an issue with their lateral that cannot be resolved by a simple clean-out by a plumber, i.e., collapsed line, complete root infiltration, etc. that requires excavation work - a "dig". The program is set up so that the homeowner pays a maximum $500 deductible toward the cost of the repair and the City pays the rest.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
06 - Charges for Services 703,574 716,799 666,095 666,095 666,095 666,095 666,095 666,095 666,095 - 0%
08 - Interest Earnings 54,170 66,591 16,699 34,003 25,175 25,175 - - - (8,828) -26%
14 - Interfund Transfers In 6,390 - - - - - - - - - 0%
Total Revenues 764,134 783,390 682,794 700,098 691,270 691,270 666,095 666,095 666,095 (8,828) -1%
01 - Personnel 186,235 191,046 212,823 212,823 216,585 221,999 227,549 233,238 239,069 3,761 2%
01 - Salaries & Wages 130,097 134,105 147,565 147,565 152,952 156,776 160,695 164,713 168,830 5,387 4%
02 - Fringe Benefits 56,138 56,941 65,258 65,258 63,633 65,224 66,854 68,525 70,239 (1,626) -2%
02 - Supplies 40,016 69,570 121,135 134,645 64,025 82,340 83,200 84,069 84,947 (70,620) -52%
04 - Supplies 40,016 69,570 121,135 134,645 64,025 82,340 83,200 84,069 84,947 (70,620) -52%
03 - Services 598,680 636,644 901,413 967,788 906,500 657,858 657,916 657,977 658,041 (61,288) -6%
06 - Repairs & Maintenance 589,860 621,712 901,213 967,588 900,000 651,158 651,216 651,277 651,341 (67,588) -7%
09 - Printing & Advertising - - 200 200 - 200 200 200 200 (200) -100%
13 - Bad Debt 8,820 14,932 - - 6,500 6,500 6,500 6,500 6,500 6,500 0%
06 - Interfund Transfers 100,506 97,681 97,900 97,900 122,233 136,587 140,685 144,905 149,253 24,333 25%
19 - Interfund Allocations 100,506 97,681 97,900 97,900 122,233 136,587 140,685 144,905 149,253 24,333 25%
Total Expenditures 925,437 994,942 1,333,271 1,413,156 1,309,343 1,098,785 1,109,350 1,120,189 1,131,310 (103,813) -7%
Net Surplus / (Deficit)(161,304) (211,552) (650,477) (713,057) (618,073) (407,514) (443,255) (454,094) (465,215)
Beginning Balance 1,951,963 1,804,260 1,580,381 867,324 249,251 (158,263) (601,519) (1,055,613)
Cash Adjustments 13,601 (12,327)
Ending Balance 1,804,260 1,580,381 867,324 249,251 (158,263) (601,519) (1,055,613) (1,520,828)
Cash Reserve Target
25% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 640 - Sewer Repair Insurance
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 179
Fund Purpose This fund was established to account for the operations of the following divisions of the Department of Public Works: Wastewater - Facilitates the collection, treatment, and disposal of wastewater. Responsible for the operation of the treatment facility, which is a conventional activated sludge plant, the interceptor sewer system, the combined sewer overflow (CSO) system and the remote sewage lift stations. | Sewers - Oversees the repair and maintenance of approximately 700 miles of sanitary sewer and storm drains. Along with the sanitary and storm lines, Sewers also maintains around 10,000 catch basins, inlets, and drains. Maintenance of the sewer system is assisted by a vactor truck outfitted with a specialized camera system that enables real-time viewing of the inside of the sewer lines. This allows for the identification of issues to be addressed before they become problems that can affect the public. Sewers also mows and upkeeps the City’s retention ponds. | Organic Resources - Recycles collected yard waste, leaves, and brush for compost and mulch products.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
06 - Charges for Services 41,920,789 42,834,770 43,763,012 44,415,191 43,763,012 43,763,012 43,763,012 43,763,012 43,763,012 (652,179) -1%
08 - Interest Earnings 568,907 1,062,197 115,405 844,310 684,664 684,664 - - - (159,646) -19%
10 - Other Income 68,553 144,263 2,000 12,650 4,600 4,600 4,600 4,600 4,600 (8,050) -64%
13 - Interfund Allocation Reimb 461,751 403,429 421,322 421,322 380,037 433,962 446,981 460,390 474,202 (41,285) -10%
14 - Interfund Transfers In 184,500 - - - - - - - - - 0%
Total Revenues 43,204,500 44,444,659 44,301,739 45,693,473 44,832,313 44,886,238 44,214,593 44,228,002 44,241,814 (861,160) -2%
Expenditures by Subdivision
509 - Sewers 7,048,829 6,403,311 7,947,725 8,358,833 7,941,370 7,933,532 8,121,866 8,321,141 8,532,015 (417,463) -5%
511 - Concrete Crew 562,830 513,606 640,997 640,997 643,230 660,928 677,583 694,680 712,233 2,233 0%
514 - Wastewater 28,653,161 23,034,326 42,625,843 44,713,091 32,798,275 29,349,214 29,757,188 28,637,371 29,112,905 (11,914,815) -27%
515 - Organic Resources 1,167,251 1,696,224 1,823,006 1,888,911 2,040,434 1,708,989 1,748,225 1,788,384 1,829,487 151,523 8%
Total Expenditures by Subdivision 37,432,072 31,647,467 53,037,571 55,601,832 43,423,310 39,652,662 40,304,862 39,441,576 40,186,639 (12,178,523) -22%
01 - Personnel 7,300,303 7,487,544 9,252,669 9,252,669 9,284,312 9,516,420 9,754,331 9,998,189 10,248,144 31,644 0%
01 - Salaries & Wages 5,272,342 5,445,536 6,402,628 6,395,128 6,522,100 6,685,153 6,852,281 7,023,588 7,199,178 126,973 2%
02 - Fringe Benefits 2,027,960 2,042,008 2,850,041 2,857,541 2,762,212 2,831,268 2,902,049 2,974,601 3,048,966 (95,329) -3%
02 - Supplies 2,484,857 2,355,553 4,109,028 4,559,542 4,111,629 3,380,952 3,453,266 3,532,416 3,618,913 (447,913) -10%
04 - Supplies 2,484,857 2,355,553 4,109,028 4,559,542 4,111,629 3,380,952 3,453,266 3,532,416 3,618,913 (447,913) -10%
03 - Services 7,255,275 6,878,314 9,121,267 11,235,014 10,057,547 9,371,308 9,527,478 8,687,697 8,852,092 (1,177,466) -10%
05 - Professional Services 1,065,584 191,971 257,927 395,686 254,927 1,241,927 1,245,766 249,682 253,675 (140,759) -36%
06 - Repairs & Maintenance 1,731,522 2,951,638 2,893,510 3,054,255 3,155,764 2,578,315 2,647,434 2,718,861 2,792,688 101,509 3%
08 - Utilities 1,337,488 1,361,164 1,539,308 1,539,308 1,798,005 1,538,238 1,568,702 1,599,777 1,631,473 258,697 17%
09 - Printing & Advertising 4,135 1,981 7,180 7,740 6,470 6,966 6,996 7,026 7,057 (1,270) -16%
11 - Education & Training 34,832 30,878 69,395 69,465 58,720 68,623 68,623 68,623 68,623 (10,745) -15%
12 - Travel 14,539 22,986 43,210 43,210 40,000 53,147 53,147 53,147 53,147 (3,210) -7%
13 - Bad Debt 423,366 419,612 225,000 225,000 425,000 225,000 225,000 225,000 225,000 200,000 89%
14 - Other Services & Charges 2,643,809 1,898,083 4,085,737 5,900,349 4,318,661 3,659,094 3,711,812 3,765,583 3,820,431 (1,581,688) -27%
06 - Interfund Transfers 20,391,637 14,926,056 30,554,608 30,554,608 19,969,821 17,383,982 17,569,787 17,223,274 17,467,489 (10,584,787) -35%
18 - PILOT 4,489,126 4,385,589 4,163,261 4,163,261 4,399,508 4,498,109 4,502,607 4,507,110 4,511,617 236,247 6%
19 - Interfund Allocations 6,129,164 7,136,712 7,565,272 7,565,272 6,649,209 6,864,769 7,070,712 7,282,833 7,501,318 (916,062) -12%
20 - Interfund Transfers Out 9,773,347 3,403,755 18,826,075 18,826,075 8,921,104 6,021,104 5,996,468 5,433,330 5,454,554 (9,904,971) -53%
Total Expenditures 37,432,072 31,647,467 53,037,571 55,601,832 43,423,310 39,652,662 40,304,862 39,441,576 40,186,639 (12,178,523) -22%
Net Surplus / (Deficit)5,772,428 12,797,191 (8,735,833) (9,908,360) 1,409,003 5,233,575 3,909,730 4,786,426 4,055,175
Beginning Balance 13,821,063 19,586,870 33,871,023 23,962,664 25,371,667 30,605,242 34,514,972 39,301,398
Cash Adjustments (6,621) 1,486,962
Ending Balance 19,586,870 33,871,023 23,962,664 25,371,667 30,605,242 34,514,972 39,301,398 43,356,573
Cash Reserve Target
5% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 641 - Sewage Works Operations
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 180
Fund Purpose
This fund was established to account for the purchase of capital equipment and to fund major renovations/restorations for the following divisions of the Department of Public Works: Wastewater, Sewers, Organic Resources, and Concrete Crew.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
06 - Charges for Services 340,467 543,359 339,000 357,627 339,000 339,000 339,000 339,000 339,000 (18,627) -5%
08 - Interest Earnings 402,237 468,545 - 191,915 106,837 106,837 - - - (85,078) -44%
10 - Other Income - 4,692 - - - - - - - - 0%
14 - Interfund Transfers In - - 10,412,670 10,412,670 2,900,000 - - - - (7,512,670) -72%
Total Revenues 742,704 1,016,596 10,751,670 10,962,211 3,345,837 445,837 339,000 339,000 339,000 (7,616,375) -69%
Expenditures by Subdivision
509 - Sewers 1,378,935 456,714 1,542,670 14,097,059 3,900,000 4,175,000 3,580,000 3,515,000 4,925,000 (10,197,059) -72%
514 - Wastewater 1,496,881 2,971,433 8,100,000 18,862,908 7,420,000 1,828,000 1,623,000 1,500,000 - (11,442,908) -61%
515 - Organic Resources 390,070 889,660 720,000 720,000 - 447,000 - - - (720,000) -100%
Total Expenditures by Subdivision 3,265,885 4,317,807 10,362,670 33,679,967 11,320,000 6,450,000 5,203,000 5,015,000 4,925,000 (22,359,967) -66%
03 - Services 1,105,955 298,314 4,000,000 4,065,304 - 500,000 500,000 500,000 - (4,065,304) -100%
05 - Professional Services 1,105,955 298,314 4,000,000 4,065,304 - 500,000 500,000 500,000 - (4,065,304) -100%
04 - Capital 2,159,930 4,019,494 6,362,670 29,614,663 11,320,000 5,950,000 4,703,000 4,515,000 4,925,000 (18,294,663) -62%
15 - Capital 2,159,930 4,019,494 6,362,670 29,614,663 11,320,000 5,950,000 4,703,000 4,515,000 4,925,000 (18,294,663) -62%
Total Expenditures 3,265,885 4,317,807 10,362,670 33,679,967 11,320,000 6,450,000 5,203,000 5,015,000 4,925,000 (22,359,967) -66%
Net Surplus / (Deficit)(2,523,181) (3,301,211) 389,000 (22,717,755) (7,974,163) (6,004,163) (4,864,000) (4,676,000) (4,586,000)
Beginning Balance 15,204,815 12,732,727 9,382,327 (13,335,429) (21,309,592) (27,313,756) (32,177,756) (36,853,756)
Cash Adjustments 51,093 (49,189)
Ending Balance 12,732,727 9,382,327 (13,335,429) (21,309,592) (27,313,756) (32,177,756) (36,853,756) (41,439,756)
Cash Reserve Target
No reserve requirement
Capital fund - spend down to
zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 642 - Sewage Works Capital
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 181
Fund Purpose This fund was established to hold cash reserves equivalent to two months of budgeted operating expenses in the Sewage Works Operations Fund (#641). This serves as fiscal protection against the risk of revenue shortfalls, emergencies, and other economic risks that may impact the sewage works' ability to meet financial commitments.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 162,855 233,504 - 133,260 119,939 - - - - (13,321) -10%
Total Revenues 162,855 233,504 - 133,260 119,939 - - - - (13,321) -10%
Net Surplus / (Deficit)162,855 233,504 - 133,260 119,939 - - - -
Beginning Balance 5,586,493 5,763,455 5,996,959 6,130,219 6,250,159 6,250,159 6,250,159 6,250,159
Cash Adjustments 14,107 0
Ending Balance 5,763,455 5,996,959 6,130,219 6,250,159 6,250,159 6,250,159 6,250,159 6,250,159
Cash Reserve Target
16.67% of annual operating
expenses in Fund 641, net of
transfers
Fund Summaries
Fund 643 - Sewage Works Operations & Maintenance Reserve
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 182
Fund Purpose This fund was established to account for the payment of debt service obligations for Sewage Works, including bond principal and interest payments and paying agent fees.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 120,213 238,095 - 44,033 400 - - - - (43,633) -99%
14 - Interfund Transfers In 9,773,347 2,803,411 8,413,405 8,413,405 5,643,380 5,643,380 5,618,744 5,433,330 5,454,554 (2,770,025) -33%
Total Revenues 9,893,560 3,041,506 8,413,405 8,457,438 5,643,780 5,643,380 5,618,744 5,433,330 5,454,554 (2,813,658) -33%
05 - Debt Service 7,496,591 7,623,195 8,413,405 10,584,228 5,629,113 5,643,380 5,618,744 5,433,330 5,454,554 (4,955,116) -47%
16 - Debt Service Principal 6,420,000 6,580,000 6,735,000 7,817,084 4,116,000 4,249,000 4,347,000 4,290,000 4,445,000 (3,701,084) -47%
17 - Debt Service Interest & Fees 1,076,591 1,043,195 1,678,405 2,767,144 1,513,113 1,394,380 1,271,744 1,143,330 1,009,554 (1,254,032) -45%
Total Expenditures 7,496,591 7,623,195 8,413,405 10,584,228 5,629,113 5,643,380 5,618,744 5,433,330 5,454,554 (4,955,116) -47%
Net Surplus / (Deficit)2,396,969 (4,581,689) - (2,126,790) 14,668 (0) - 0 (0)
Beginning Balance 3,631,819 6,033,296 12,888 (2,113,902) (2,099,234) (2,099,235) (2,099,235) (2,099,234)
Cash Adjustments 4,508 (1,438,719)
Ending Balance 6,033,296 12,888 (2,113,902) (2,099,234) (2,099,235) (2,099,235) (2,099,234) (2,099,234)
Cash Reserve Target
100% of cash reserves
per bond covenants
Expenditures by Category & Subcategory
Fund Summaries
Fund 649 - Sewage Sinking (Debt Service)
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 183
Fund Purpose This fund was established in 2009 (ordinance 9966-09) to be the repository for the City's Sewage Works bond debt service reserves as required by bond documents. The required cash balance is determined by the debt service financing arrangements at the time of issuance. The debt service reserve amount is used towards the last debt service payment.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 110,014 231,652 - 96,807 94,463 - - - - (2,345) -2%
14 - Interfund Transfers In - 409,201 - 157,385 377,724 377,724 377,724 - - 220,339 140%
Total Revenues 110,014 640,853 - 254,192 472,187 377,724 377,724 - - 217,995 86%
Net Surplus / (Deficit)110,014 640,853 - 254,192 472,187 377,724 377,724 - -
Beginning Balance 3,773,871 3,893,415 4,534,269 4,788,461 5,260,647 5,638,371 6,016,095 6,016,095
Cash Adjustments 9,530 -
Ending Balance 3,893,415 4,534,269 4,788,461 5,260,647 5,638,371 6,016,095 6,016,095 6,016,095
Cash Reserve Target
100% of cash reserves
per bond covenants
Fund Summaries
Fund 653 - Sewage Debt Service Reserve
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 184
Fund Purpose This fund was established to retain the security deposits collected from utility customers. Upon termination of service, the security deposited is refunded in the form of a credit to the customer's final bill.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 37,039 57,810 - 34,751 30,936 - - - - (3,815) -11%
Total Revenues 37,039 57,810 - 34,751 30,936 - - - - (3,815) -11%
Net Surplus / (Deficit)37,039 57,810 - 34,751 30,936 - - - -
Beginning Balance 1,185,442 1,360,670 1,546,815 1,581,566 1,612,503 1,612,503 1,612,503 1,612,503
Cash Adjustments 138,190 128,335
Ending Balance 1,360,670 1,546,815 1,581,566 1,612,503 1,612,503 1,612,503 1,612,503 1,612,503
Cash Reserve Target
100% of cash reserves
per bond covenants
Fund Summaries
Fund 654 - Sewage Works Customer Deposit
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 185
Fund Purpose This was established to account for the fall and spring leaf collection program. This program is managed by the Department of Public Works through the Streets division. This fund was established in 1989 (ordinance 8007-89) in response to the problems brought about by the layers of dead leaves that collect in the fall. The City instituted a leaf pick-up program, called "Operation Re-Leaf," which encompassed using leaf vacuums as the primary collection tool. The City collects and disposes of leaves for residents to mitigate the practice of burning leaves. Burning leaves impacts air quality and can cause house/wildfires. (Ord. No. 7895-88, § 1; Ord. No. 8023-89, § 1; Ord. No. 9641-05, § I, 11-18-05)
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
06 - Charges for Services 455,392 455,341 456,126 456,126 456,126 456,126 456,126 456,126 456,126 - 0%
08 - Interest Earnings 13,471 21,275 9,402 12,798 10,848 10,848 1,666 1,607 1,607 (1,950) -15%
14 - Interfund Transfers In 4,905 - - - - - - - - - 0%
Total Revenues 473,768 476,616 465,528 468,924 466,974 466,974 457,792 457,733 457,733 (1,950) 0%
01 - Personnel 43,252 48,726 123,057 123,057 123,057 126,133 129,287 132,519 135,832 (0) 0%
01 - Salaries & Wages 40,178 45,347 114,312 114,312 114,312 117,170 120,099 123,102 126,179 - 0%
02 - Fringe Benefits 3,074 3,379 8,745 8,745 8,745 8,963 9,188 9,417 9,653 (0) 0%
02 - Supplies 4,380 5,477 7,757 7,757 5,500 7,605 7,605 7,605 7,605 (2,257) -29%
04 - Supplies 4,380 5,477 7,757 7,757 5,500 7,605 7,605 7,605 7,605 (2,257) -29%
03 - Services 6,436 11,250 6,500 6,500 6,500 6,500 6,500 6,500 6,500 - 0%
13 - Bad Debt 6,436 11,250 6,500 6,500 6,500 6,500 6,500 6,500 6,500 - 0%
06 - Interfund Transfers 311,239 332,252 332,372 332,372 321,121 321,754 322,407 323,079 323,771 (11,252) -3%
19 - Interfund Allocations 36,239 32,252 32,372 32,372 21,121 21,754 22,407 23,079 23,771 (11,252) -35%
20 - Interfund Transfers Out 275,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 - 0%
Total Expenditures 365,307 397,704 469,686 469,686 456,177 461,992 465,798 469,703 473,708 (13,509) -3%
Net Surplus / (Deficit)108,461 78,912 (4,158) (762) 10,797 4,982 (8,007) (11,970) (15,975)
Beginning Balance 353,065 461,511 542,450 541,688 552,485 557,467 549,461 537,491
Cash Adjustments (15) 2,027
Ending Balance 461,511 542,450 541,688 552,485 557,467 549,461 537,491 521,516
Cash Reserve Target
25% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 655 - Project ReLeaf
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 186
Fund Purpose
On January 14, 2019, the Common Council passed an ordinance to establish a storm water user fee (ordinance 10633-19). This fund was established to track receipt of the storm water fee revenue and expense of that revenue on storm water projects. - The storm sewer system consists of sewers, storm inlets, catch basins, manholes, curbs, gutters, ditches, swales, retention and/or detention ponds or basins, dams, and flood control facilities designed for the collection, control, transport or discharge of stormwater. A storm water utility fee is a fee that produces revenue dedicated to improving drainage, controlling flooding, improving water quality and implementing regulations.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
04 - Intergov./ Grants 293,000 - - - - - - - - - 0%
06 - Charges for Services 1,042,143 1,219,090 1,147,200 1,147,200 1,147,200 1,147,200 1,147,200 1,147,200 1,147,200 - 0%
08 - Interest Earnings 53,355 73,405 236 42,120 31,551 31,551 2,040 1,643 1,643 (10,569) -25%
14 - Interfund Transfers In 10,305 - - - - - - - - - 0%
Total Revenues 1,398,803 1,292,496 1,147,436 1,189,320 1,178,751 1,178,751 1,149,240 1,148,843 1,148,843 (10,569) -1%
01 - Personnel - - 87,834 87,834 84,842 86,963 89,137 91,366 93,650 (2,992) -3%
01 - Salaries & Wages - - 58,650 58,650 58,350 59,809 61,304 62,837 64,407 (300) -1%
02 - Fringe Benefits - - 29,184 29,184 26,492 27,154 27,833 28,529 29,242 (2,692) -9%
03 - Services 286,736 163,687 230,000 321,756 28,000 200,000 200,000 200,000 204,000 (293,756) -91%
05 - Professional Services 273,376 138,721 200,000 281,451 - 200,000 200,000 200,000 204,000 (281,451) -100%
13 - Bad Debt 13,360 24,967 30,000 40,305 28,000 - - - - (12,305) -31%
04 - Capital 389,687 1,437,787 900,000 1,991,539 1,240,000 900,000 900,000 900,000 918,000 (751,539) -38%
15 - Capital 389,687 1,437,787 900,000 1,991,539 1,240,000 900,000 900,000 900,000 918,000 (751,539) -38%
Total Expenditures 676,423 1,601,475 1,217,834 2,401,129 1,352,842 1,186,963 1,189,137 1,191,366 1,215,650 (1,048,287) -44%
Net Surplus / (Deficit)722,379 (308,979) (70,398) (1,211,809) (174,091) (8,212) (39,897) (42,523) (66,807)
Beginning Balance 1,285,693 2,163,420 1,680,385 468,576 294,486 286,274 246,377 203,854
Cash Adjustments 155,348 (174,056)
Ending Balance 2,163,420 1,680,385 468,576 294,486 286,274 246,377 203,854 137,048
Cash Reserve Target
No reserve requirement
Capital fund - spend down to
zero
Expenditures by Category & Subcategory
Fund Summaries
Fund 667 - Storm Sewer Fund
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 187
Fund Purpose This fund was established to account for the operating costs of Century Center, the City's convention center. The Century Center is a division of the Department of Venues, Parks & Arts. The Century Center is located along the St. Joseph River in Downtown South Bend. It plays host to conventions and trade shows, conferences and meetings, weddings and receptions, plays, and concerts.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
03 - Intergov./ Shared Revenues 1,275,000 1,275,000 1,275,000 1,275,000 1,400,000 1,400,000 1,400,000 1,400,000 1,400,000 125,000 10%
06 - Charges for Services 3,008,853 3,183,581 2,167,000 2,199,546 - - - - - (2,199,546) -100%
08 - Interest Earnings 8,476 12,050 16,003 20,906 64,562 - - - - 43,656 209%
10 - Other Income 99,675 7,441 5,000 46,760 226,784 226,784 226,784 226,784 226,784 180,024 385%
13 - Interfund Allocation Reimb 70,842 71,905 71,905 71,905 - - - - - (71,905) -100%
Total Revenues 4,462,846 4,549,977 3,534,908 3,614,117 1,691,346 1,626,784 1,626,784 1,626,784 1,626,784 (1,922,771) -53%
Expenditures by Subdivision
295 - CC City Operations 1,197,943 1,537,502 1,668,004 1,676,541 343,944 916,269 937,285 958,786 979,172 (1,332,597) -79%
296 - CC Event Operations 2,930,880 3,270,347 1,942,921 1,942,921 - 1,882,441 1,882,441 1,882,441 1,882,441 (1,942,921) -100%
Total Expenditures by Subdivision 4,128,823 4,807,849 3,610,925 3,619,462 343,944 2,798,710 2,819,726 2,841,227 2,861,613 (3,275,518) -90%
01 - Personnel 1,692,541 1,979,009 1,685,036 1,685,036 226,784 1,190,380 1,196,191 1,202,148 1,208,253 (1,458,252) -87%
01 - Salaries & Wages 337,490 387,748 512,653 512,653 169,344 173,578 177,917 182,365 186,924 (343,309) -67%
02 - Fringe Benefits 113,057 134,580 214,457 214,457 57,440 58,876 60,348 61,857 63,403 (157,017) -73%
03 - Other Personnel Costs 1,241,993 1,456,681 957,926 957,926 - 957,926 957,926 957,926 957,926 (957,926) -100%
02 - Supplies 950,670 1,052,869 453,140 453,272 - 394,453 394,453 394,453 394,453 (453,272) -100%
04 - Supplies 950,670 1,052,869 453,140 453,272 - 394,453 394,453 394,453 394,453 (453,272) -100%
03 - Services 1,233,797 1,297,500 1,085,565 1,093,970 - 1,102,391 1,113,827 1,125,492 1,137,390 (1,093,970) -100%
05 - Professional Services 198,618 172,655 133,518 133,518 - 123,318 123,318 123,318 123,318 (133,518) -100%
06 - Repairs & Maintenance 136,704 149,846 131,840 140,245 - 114,756 117,050 119,391 121,778 (140,245) -100%
08 - Utilities 347,863 343,600 396,747 396,747 - 443,515 452,293 461,246 470,378 (396,747) -100%
10 - Insurance 73,264 52,935 37,520 37,520 - 37,520 37,520 37,520 37,520 (37,520) -100%
11 - Education & Training 799 - 200 200 - 200 200 200 200 (200) -100%
14 - Other Services & Charges 476,549 578,463 385,741 385,741 - 383,083 383,447 383,818 384,197 (385,741) -100%
06 - Interfund Transfers 251,815 478,472 387,183 387,183 117,160 111,485 115,254 119,133 121,516 (270,023) -70%
19 - Interfund Allocations 251,815 266,399 279,364 279,364 - - - - - (279,364) -100%
20 - Interfund Transfers Out - 212,073 107,819 107,819 117,160 111,485 115,254 119,133 121,516 9,341 9%
Total Expenditures 4,128,823 4,807,849 3,610,925 3,619,462 343,944 2,798,710 2,819,726 2,841,227 2,861,613 (3,275,518) -90%
Net Surplus / (Deficit)334,024 (257,872) (76,017) (5,345) 1,347,401 (1,171,926) (1,192,942) (1,214,443) (1,234,829)
Beginning Balance 945,928 838,464 972,620 967,274 2,314,676 1,142,750 (50,192) (1,264,635)
Cash Adjustments (441,488) 392,028 Ending Balance 838,464 972,620 967,274 2,314,676 1,142,750 (50,192) (1,264,635) (2,499,464)
Cash Reserve Target
25% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 670 - Century Center Operations
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 188
Fund Purpose
This fund was established in 1989 for the purpose of providing preventative maintenance and improvement to the Century Center.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
03 - Intergov./ Shared Revenues 494,855 133,000 500,000 500,000 800,000 800,000 800,000 800,000 800,000 300,000 60%
08 - Interest Earnings 33,418 41,706 19,759 31,474 20,467 20,714 11,314 18,964 18,964 (11,007) -35%
Total Revenues 528,273 174,706 519,759 531,474 820,467 820,714 811,314 818,964 818,964 288,993 54%
04 - Capital 415,617 223,629 35,058 106,740 835,000 35,000 35,000 35,000 35,000 728,260 682%
15 - Capital 415,617 223,629 35,058 106,740 835,000 35,000 35,000 35,000 35,000 728,260 682%
Total Expenditures 415,617 223,629 35,058 106,740 835,000 35,000 35,000 35,000 35,000 728,260 682%
Net Surplus / (Deficit)112,656 (48,923) 484,701 424,734 (14,533) 785,714 776,314 783,964 783,964
Beginning Balance 986,966 1,102,115 1,053,192 1,477,926 1,463,393 2,249,107 3,025,421 3,809,384
Cash Adjustments 2,492 0 Ending Balance 1,102,115 1,053,192 1,477,926 1,463,393 2,249,107 3,025,421 3,809,384 4,593,348
Cash Reserve Target
25% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 671 - Century Center Capital
5 Enterprise Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 189
Fund Purpose
This fund was established in 2015 to account for debt service payments of the 2015 Century Center Energy Conservation bonds. The bond proceeds were used to make improvements at the Century Center including a new solar panel roof and other energy efficiency projects
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
03 - Intergov./ Shared Revenues 221,437 221,437 221,437 221,437 221,437 221,437 221,437 221,437 221,437 - 0%
08 - Interest Earnings 5,924 5,377 622 6,130 3,041 3,041 - - - (3,088) -50%
10 - Other Income 36,231 73,619 55,832 55,832 47,365 47,365 47,365 47,365 47,365 (8,467) -15%
14 - Interfund Transfers In - 212,073 107,819 107,819 115,254 111,485 115,254 119,133 121,516 7,435 7%
Total Revenues 263,591 512,506 385,710 391,218 387,097 383,328 384,056 387,935 390,318 (4,120) -1%
05 - Debt Service 407,917 393,388 388,754 388,754 384,057 379,296 374,469 369,576 364,715 (4,697) -1%
16 - Debt Service Principal 313,180 309,315 315,561 315,561 321,964 328,529 335,259 342,159 349,335 6,403 2%
17 - Debt Service Interest & Fees 94,738 84,073 73,193 73,193 62,093 50,767 39,210 27,417 15,380 (11,100) -15%
Total Expenditures 407,917 393,388 388,754 388,754 384,057 379,296 374,469 369,576 364,715 (4,697) -1%
Net Surplus / (Deficit)(144,326) 119,118 (3,043) 2,464 3,041 4,032 9,587 18,359 25,603
Beginning Balance 176,962 32,956 152,074 154,538 157,579 161,611 171,198 189,557
Cash Adjustments 319 -
Ending Balance 32,956 152,074 154,538 157,579 161,611 171,198 189,557 215,160
Cash Reserve Target
No reserve requirement
Expenditures by Category & Subcategory
Fund Summaries
Fund 672 - Century Center Energy Conservation Debt Svc
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 190
Fund Purpose This fund accounts for the operation of a pension plan for retired South Bend firefighters and receives reimbursement from the State of Indiana.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
03 - Intergov./ Shared Revenues 4,063,376 3,920,895 4,600,000 4,600,000 4,600,000 4,600,000 4,600,000 4,600,000 4,600,000 - 0%
08 - Interest Earnings 10,004 13,928 - 1,758 7,595 7,595 - - - 5,837 332%
10 - Other Income 2,166 (44) - 7,191 - - - - - (7,191) -100%
Total Revenues 4,075,547 3,934,778 4,600,000 4,608,949 4,607,595 4,607,595 4,600,000 4,600,000 4,600,000 (1,354) 0%
01 - Personnel 4,038,647 3,980,374 4,505,547 4,505,547 4,508,000 4,620,700 4,736,218 4,854,623 4,975,989 2,453 0%
01 - Salaries & Wages 4,038,647 3,980,374 4,505,547 4,505,547 4,508,000 4,620,700 4,736,218 4,854,623 4,975,989 2,453 0%
02 - Supplies 93 - 100 100 100 100 100 100 100 - 0%
04 - Supplies 93 - 100 100 100 100 100 100 100 - 0%
03 - Services 5,011 4,800 17,150 20,650 17,150 15,750 15,750 15,750 15,750 (3,500) -17%
05 - Professional Services 3,825 3,500 15,400 18,900 15,400 14,000 14,000 14,000 14,000 (3,500) -19%
12 - Travel - - 350 350 350 350 350 350 350 - 0%
14 - Other Services & Charges 1,186 1,300 1,400 1,400 1,400 1,400 1,400 1,400 1,400 - 0%
Total Expenditures 4,043,751 3,985,174 4,522,797 4,526,297 4,525,250 4,636,550 4,752,068 4,870,473 4,991,839 (1,047) 0%
Net Surplus / (Deficit)31,796 (50,396) 77,203 82,652 82,345 (28,955) (152,067) (270,473) (391,839)
Beginning Balance 360,078 392,781 342,385 425,037 507,382 478,428 326,360 55,887
Cash Adjustments 908 - Ending Balance 392,781 342,385 425,037 507,382 478,428 326,360 55,887 (335,951)
Cash Reserve Target
10% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 701 - Fire Pension
9 Pension Trust Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 191
Fund Purpose This fund accounts for the operation of a pension plan for retired South Bend police officers and receives reimbursement from the State of Indiana.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
03 - Intergov./ Shared Revenues 5,984,746 6,063,837 6,000,000 6,000,000 6,000,000 6,000,000 6,000,000 6,000,000 6,000,000 - 0%
08 - Interest Earnings 14,162 20,525 190,000 190,000 10,895 10,895 - - - (179,105) -94%
10 - Other Income - - 2,000 2,000 - - - - - (2,000) -100%
Total Revenues 5,998,908 6,084,363 6,192,000 6,192,000 6,010,895 6,010,895 6,000,000 6,000,000 6,000,000 (181,105) -3%
01 - Personnel 6,105,589 6,048,550 5,999,549 5,999,549 5,975,000 6,124,375 6,277,484 6,434,421 6,595,282 (24,549) 0%
01 - Salaries & Wages 6,105,589 6,048,550 5,999,549 5,999,549 5,975,000 6,124,375 6,277,484 6,434,421 6,595,282 (24,549) 0%
03 - Services 4,616 4,621 8,400 11,900 11,400 8,400 8,400 8,400 8,400 (500) -4%
05 - Professional Services 3,500 3,500 6,500 10,000 9,500 6,500 6,500 6,500 6,500 (500) -5%
12 - Travel - - 500 500 500 500 500 500 500 - 0%
14 - Other Services & Charges 1,116 1,121 1,400 1,400 1,400 1,400 1,400 1,400 1,400 - 0%
Total Expenditures 6,110,205 6,053,170 6,007,949 6,011,449 5,986,400 6,132,775 6,285,884 6,442,821 6,603,682 (25,049) 0%
Net Surplus / (Deficit)(111,297) 31,192 184,051 180,551 24,495 (121,880) (285,884) (442,821) (603,682)
Beginning Balance 616,515 506,772 537,964 718,515 743,011 621,131 335,246 (107,575)
Cash Adjustments 1,555 0
Ending Balance 506,772 537,964 718,515 743,011 621,131 335,246 (107,575) (711,257)
Cash Reserve Target
10% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 702 - Police Pension
9 Pension Trust Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 192
Fund Purpose This fund was established in 1983 when the Common Council determined that the City should become self-insured for employee health insurance (ordinance 7161-83). The purpose of this fund is to set aside monies assessed from City departments and monies collected from employees to be expended on insurance and claims relating to employees, including medical, dental, life, flex spending, etc. The City of South Bend is self-insured - it pays medical, dental, and vision claims directly, as opposed to paying an insurance company to pay the claims.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
06 - Charges for Services 17,264,637 17,565,077 18,082,500 18,082,500 18,082,500 18,082,500 18,082,500 18,082,500 18,082,500 - 0%
08 - Interest Earnings 281,357 398,292 184,659 218,666 184,659 191,035 - - - (34,007) -16%
10 - Other Income 645,958 1,031,006 810,000 810,000 800,000 800,000 800,000 800,000 800,000 (10,000) -1%
Total Revenues 18,191,953 18,994,374 19,077,159 19,111,166 19,067,159 19,073,535 18,882,500 18,882,500 18,882,500 (44,007) 0%
Expenditures by Subdivision
404 - Health Insurance 17,293,498 17,289,436 19,428,322 20,078,498 18,002,503 19,923,432 20,868,506 21,859,888 22,899,877 (2,075,995) -10%
405 - Workplace Wellness Clinic 1,862,320 1,301,396 1,250,000 1,289,140 1,350,000 1,214,358 1,235,645 1,257,358 1,279,505 60,861 5%
408 - Employee Wellness 81,555 143,832 145,000 145,000 140,000 103,518 104,828 106,165 107,528 (5,000) -3%
Total Expenditures by Subdivision 19,237,373 18,734,663 20,823,322 21,512,637 19,492,503 21,241,308 22,208,979 23,223,411 24,286,910 (2,020,134) -9%
01 - Personnel 16,566,627 16,665,572 18,696,327 19,326,491 17,324,500 19,084,447 20,015,593 20,992,769 22,018,267 (2,001,991) -10%
03 - Other Personnel Costs 16,566,627 16,665,572 18,696,327 19,326,491 17,324,500 19,084,447 20,015,593 20,992,769 22,018,267 (2,001,991) -10%
02 - Supplies 64,176 113,029 150,000 179,183 150,000 150,000 150,000 150,000 150,000 (29,183) -16%
04 - Supplies 64,176 113,029 150,000 179,183 150,000 150,000 150,000 150,000 150,000 (29,183) -16%
03 - Services 2,606,570 1,956,063 1,976,995 2,006,964 2,018,003 2,006,861 2,043,386 2,080,642 2,118,643 11,039 1%
05 - Professional Services 1,993,988 1,384,334 1,310,000 1,336,061 1,410,000 1,243,358 1,264,645 1,286,358 1,308,505 73,939 6%
09 - Printing & Advertising - - 100 100 100 100 100 100 100 - 0%
10 - Insurance 603,954 568,178 665,395 669,303 606,403 761,903 777,141 792,684 808,538 (62,900) -9%
14 - Other Services & Charges 8,628 3,551 1,500 1,500 1,500 1,500 1,500 1,500 1,500 - 0%
Total Expenditures 19,237,373 18,734,663 20,823,322 21,512,637 19,492,503 21,241,308 22,208,979 23,223,411 24,286,910 (2,020,134) -9%
Net Surplus / (Deficit)(1,045,420) 259,711 (1,746,163) (2,401,471) (425,344) (2,167,773) (3,326,479) (4,340,911) (5,404,410)
Beginning Balance 10,708,563 9,628,440 9,856,763 7,455,292 7,029,949 4,862,176 1,535,697 (2,805,214)
Cash Adjustments (34,703) (31,387) Ending Balance 9,628,440 9,856,763 7,455,292 7,029,949 4,862,176 1,535,697 (2,805,214) (8,209,624)
Cash Reserve Target
25% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 711 - Self-Funded Employee Benefits
4 Internal Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 193
Fund Purpose This fund was established in 2011 (ordinance 10059-10) to account for the City’s payment of unemployment claims and outplacement services on behalf of all departments. Prior to the establishment of this fund, claims were accounted for under individual departments’ operations.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
06 - Charges for Services 8,305 8,566 85,000 85,000 85,000 85,000 85,000 85,000 85,000 - 0%
08 - Interest Earnings 2,161 731 1,992 1,992 33 33 - 108 108 (1,960) -98%
14 - Interfund Transfers In - 23,000 - - - - - - - - 0%
Total Revenues 10,467 32,298 86,992 86,992 85,033 85,033 85,000 85,108 85,108 (1,960) -2%
01 - Personnel 77,693 77,729 - 82,500 82,500 - - - - - 0%
03 - Other Personnel Costs 77,693 77,729 - 82,500 82,500 - - - - - 0%
Total Expenditures 77,693 77,729 - 82,500 82,500 - - - - - 0%
Net Surplus / (Deficit)(67,226) (45,432) 86,992 4,492 2,533 85,033 85,000 85,108 85,108
Beginning Balance 77,878 45,824 392 4,885 7,417 92,450 177,450 262,558
Cash Adjustments 35,172 -
Ending Balance 45,824 392 4,885 7,417 92,450 177,450 262,558 347,666
Cash Reserve Target
25% of Annual expenditures
Expenditures by Category & Subcategory
Fund Summaries
Fund 713 - Unemployment Compensation
4 Internal Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 194
Fund Purpose
Beginning in 2018, the City offers a Parental Leave Program to its employees to provide additional paid time off for employees for the birth or adoption of a child. The Parental Leave Program was developed based on the models of other progressive, best-in-class employers.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
06 - Charges for Services 283,791 299,279 297,000 297,000 297,000 297,000 297,000 297,000 297,000 - 0%
08 - Interest Earnings 14,964 30,026 14,871 20,956 19,534 19,534 21,449 23,394 23,394 (1,422) -7%
Total Revenues 298,755 329,305 311,871 317,956 316,534 316,534 318,449 320,394 320,394 (1,422) 0%
01 - Personnel 83,396 78,021 150,000 150,000 100,000 102,500 105,063 107,689 110,381 (50,000) -33%
01 - Salaries & Wages 83,396 78,021 150,000 150,000 100,000 102,500 105,063 107,689 110,381 (50,000) -33%
Total Expenditures 83,396 78,021 150,000 150,000 100,000 102,500 105,063 107,689 110,381 (50,000) -33%
Net Surplus / (Deficit)215,359 251,284 161,871 167,956 216,534 214,034 213,386 212,705 210,013
Beginning Balance 410,517 626,913 878,198 1,046,153 1,262,687 1,476,721 1,690,108 1,902,813
Cash Adjustments 1,037 - Ending Balance 626,913 878,198 1,046,153 1,262,687 1,476,721 1,690,108 1,902,813 2,112,825
Cash Reserve Target
8% of Annual expenditures -
one month reserve
Expenditures by Category & Subcategory
Fund Summaries
Fund 714 - Parental Leave Fund
4 Internal Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 195
Fund Purpose This fund was established (ordinance 10638-18) to provide perpetual care and maintenance for the South Bend City Cemetery.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 890 1,277 630 728 656 656 656 656 656 (73) -10%
Total Revenues 890 1,277 630 728 656 656 656 656 656 (73) -10%
Net Surplus / (Deficit)890 1,277 630 728 656 656 656 656 656
Beginning Balance 30,540 31,507 32,784 33,512 34,168 34,823 35,479 36,135
Cash Adjustments 77 0
Ending Balance 31,507 32,784 33,512 34,168 34,823 35,479 36,135 36,790
Cash Reserve Target
25% of Annual expenditures
Fund Summaries
Fund 730 - City Cemetery
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 196
Fund Purpose In 2018, the trust administered by Key Bank for the maintenance of the Bowman Cemetery was terminated. The funds held in the trust were transferred to the City for the City’s ongoing responsibility to care for the Bowman Cemetery in perpetuity according to Indiana law. This fund was established by Ordinance No. 10638-18, dated December 10, 2018, to account for the transferred funds and to budget for the expenses the City will incur in maintaining the Bowman Cemetery.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 14,005 20,081 9,913 11,460 10,314 10,314 10,314 10,314 10,314 (1,146) -10%
Total Revenues 14,005 20,081 9,913 11,460 10,314 10,314 10,314 10,314 10,314 (1,146) -10%
Net Surplus / (Deficit)14,005 20,081 9,913 11,460 10,314 10,314 10,314 10,314 10,314
Beginning Balance 480,425 495,643 515,724 527,184 537,499 547,813 558,128 568,442
Cash Adjustments 1,213 -
Ending Balance 495,643 515,724 527,184 537,499 547,813 558,128 568,442 578,757
Cash Reserve Target
$400,000 minimum
Fund Summaries
Fund 731 - Bowman Cemetery
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 197
Fund Purpose
This fund accounts for the bi-annual debt service principal and interest payments for various debt issued by the South Bend Redevelopment Authority. The South Bend Redevelopment Authority is a separate legal entity that is recorded in the City's Annual Comprehensive Financial Report (ACFR).
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 16,077 17,969 15,272 15,272 263,522 131,761 - - - 248,250 1626%
14 - Interfund Transfers In 3,825,000 9,388,500 6,205,519 7,641,019 12,242,206 10,392,531 10,769,341 11,089,875 11,488,441 4,601,188 60%
Total Revenues 3,841,077 9,406,469 6,220,790 7,656,290 12,505,728 10,524,292 10,769,341 11,089,875 11,488,441 4,849,438 63%
05 - Debt Service 3,652,309 4,686,781 6,733,009 6,733,009 9,400,546 11,270,398 11,505,526 11,662,632 12,058,695 2,667,537 40%
16 - Debt Service Principal 2,205,000 2,300,000 3,105,000 3,105,000 4,990,000 6,105,000 6,625,000 7,075,000 8,025,000 1,885,000 61%
17 - Debt Service Interest & Fees 1,447,309 2,386,781 3,628,009 3,628,009 4,410,546 5,165,398 4,880,526 4,587,632 4,033,695 782,537 22%
Total Expenditures 3,652,309 4,686,781 6,733,009 6,733,009 9,400,546 11,270,398 11,505,526 11,662,632 12,058,695 2,667,537 40%
Net Surplus / (Deficit)188,768 4,719,688 (512,218) 923,282 3,105,182 (746,106) (736,185) (572,757) (570,254)
Beginning Balance 258,753 447,521 5,167,209 6,090,491 9,195,673 8,449,567 7,713,382 7,140,625 Ending Balance 447,521 5,167,209 6,090,491 9,195,673 8,449,567 7,713,382 7,140,625 6,570,370
Cash Reserve Target
100% cash reserves per
bond covenants
Expenditures by Category & Subcategory
Fund Summaries
Fund 752 - South Bend Redevelopment Authority
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 198
Fund Purpose The Industrial Revolving Fund is a loan fund for small businesses. It is governed by a separate Board of Directors which contracts with the City's Community Investment Department for administrative services. A City cash reserve target has not been established for the fund, but it operates under federal guidelines with respect to the amount of loans and cash balances that must be maintained.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 156,288 178,664 221,654 221,654 224,450 112,225 140,629 155,005 155,005 2,796 1%
10 - Other Income 979,867 1,770,916 847,900 870,370 1,572,200 1,572,200 1,572,200 1,572,200 1,572,200 701,830 81%
Total Revenues 1,136,154 1,949,580 1,069,554 1,092,024 1,796,650 1,684,425 1,712,829 1,727,205 1,727,205 704,626 65%
03 - Services 87,011 82,115 174,536 548,655 56,500 134,536 136,327 138,154 140,017 (492,155) -90%
05 - Professional Services 48,257 36,211 139,536 511,693 25,500 119,536 121,327 123,154 125,017 (486,193) -95%
14 - Other Services & Charges 38,755 45,905 35,000 36,962 31,000 15,000 15,000 15,000 15,000 (5,962) -16%
Total Expenditures 87,011 82,115 174,536 548,655 56,500 134,536 136,327 138,154 140,017 (492,155) -90%
Net Surplus / (Deficit)1,049,143 1,867,465 895,018 543,369 1,740,150 1,549,889 1,576,502 1,589,051 1,587,188
Beginning Balance 4,731,022 3,050,364 4,853,400 5,396,769 7,136,919 8,686,808 10,263,309 11,852,361
Cash Adjustments (2,729,801) (64,429)
Ending Balance 3,050,364 4,853,400 5,396,769 7,136,919 8,686,808 10,263,309 11,852,361 13,439,549
Cash Reserve Target
No City reserve requirement;
there are program requirements
Expenditures by Category & Subcategory
Fund Summaries
Fund 754 - Industrial Revolving Fund
2 Special Revenue Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 199
Fund Purpose This fund accounts for bi-annual debt service principal and interest payments for various debt issued by the South Bend Building Corporation. The South Bend Building Corporation is a separate legal entity, but is reported as a fund in the City's Annual Comprehensive Financial Report (ACFR).
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 3,995 2,641 - 1,507 4,988 4,988 - - - 3,481 231%
14 - Interfund Transfers In 2,217,500 1,440,000 1,428,605 1,428,605 1,436,855 1,429,355 1,434,311 1,437,368 1,443,255 8,250 1%
Total Revenues 2,221,495 1,442,641 1,428,605 1,430,112 1,441,843 1,434,343 1,434,311 1,437,368 1,443,255 11,731 1%
05 - Debt Service 2,202,118 1,424,543 1,430,605 1,430,605 1,436,855 1,438,855 1,431,355 1,436,312 1,445,255 6,250 0%
16 - Debt Service Principal 1,645,000 910,000 950,000 950,000 995,000 995,000 1,025,000 1,065,000 1,150,000 45,000 5%
17 - Debt Service Interest & Fees 557,118 514,543 480,605 480,605 441,855 443,855 406,355 371,312 295,255 (38,750) -8%
Total Expenditures 2,202,118 1,424,543 1,430,605 1,430,605 1,436,855 1,438,855 1,431,355 1,436,312 1,445,255 6,250 0%
Net Surplus / (Deficit)19,377 18,099 (2,000) (493) 4,988 (4,512) 2,956 1,056 (2,000)
Beginning Balance 211,908 231,285 249,384 248,890 253,878 249,366 252,322 253,377
Cash Adjustments 0 (0)
Ending Balance 231,285 249,384 248,890 253,878 249,366 252,322 253,377 251,377
Cash Reserve Target
100% cash reserves per
bond covenants
Expenditures by Category & Subcategory
Fund Summaries
Fund 755 - South Bend Building Corporation
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 200
Fund Purpose
This fund accounts for the bi-annual principal and interest payments to bondholders for the 2015 Smart Streets Bond. It also accounts for the related debt service reserve cash balance held at trustee bank. The bonds were closed on April 9, 2015 and the par amount was $25 million.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 91 91 36,162 36,162 35,128 35,128 932 912 912 (1,034) -3%
14 - Interfund Transfers In 1,714,000 1,712,500 1,710,844 1,710,844 1,705,819 1,709,819 1,707,694 1,709,444 1,704,994 (5,025) 0%
Total Revenues 1,714,091 1,712,591 1,747,006 1,747,006 1,740,947 1,744,947 1,708,626 1,710,356 1,705,906 (6,059) 0%
05 - Debt Service 1,709,319 1,706,394 1,712,844 1,712,844 1,707,819 1,711,819 1,709,694 1,711,444 1,706,994 (5,025) 0%
16 - Debt Service Principal 1,090,000 1,120,000 1,160,000 1,160,000 1,190,000 1,230,000 1,265,000 1,305,000 1,340,000 30,000 3%
17 - Debt Service Interest & Fees 619,319 586,394 552,844 552,844 517,819 481,819 444,694 406,444 366,994 (35,025) -6%
Total Expenditures 1,709,319 1,706,394 1,712,844 1,712,844 1,707,819 1,711,819 1,709,694 1,711,444 1,706,994 (5,025) 0%
Net Surplus / (Deficit)4,773 6,198 34,162 34,162 33,128 33,128 (1,068) (1,088) (1,088)
Beginning Balance 1,746,446 1,751,219 1,757,417 1,791,579 1,824,707 1,857,836 1,856,768 1,855,680 Ending Balance 1,751,219 1,757,417 1,791,579 1,824,707 1,857,836 1,856,768 1,855,680 1,854,591
Cash Reserve Target
100% cash reserves per
bond covenants
Expenditures by Category & Subcategory
Fund Summaries
Fund 756 - 2015 Smart Streets Bond Debt Service
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 201
Fund Purpose This fund accounts for the semi-annual payment of debt service principal and interest to the bondholders of the 2015 Parks Bond. The par amount of the bonds were $5,605,000. The debt service reserve will be used towards the last debt service payment. The accounting records are maintained in trustee bank accounts.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 5,303 5,695 11,163 11,163 11,886 11,886 4,421 4,421 4,421 723 6%
14 - Interfund Transfers In 338,293 398,819 381,031 381,031 373,231 375,356 377,181 383,616 384,038 (7,800) -2%
Total Revenues 343,596 404,514 392,195 392,195 385,117 387,242 381,603 388,037 388,459 (7,077) -2%
05 - Debt Service 375,581 368,381 381,031 381,031 373,231 375,356 377,181 383,616 384,038 (7,800) -2%
16 - Debt Service Principal 240,000 240,000 260,000 260,000 260,000 270,000 280,000 295,000 305,000 - 0%
17 - Debt Service Interest & Fees 135,581 128,381 121,031 121,031 113,231 105,356 97,181 88,616 79,038 (7,800) -6%
Total Expenditures 375,581 368,381 381,031 381,031 373,231 375,356 377,181 383,616 384,038 (7,800) -2%
Net Surplus / (Deficit)(31,986) 36,133 11,163 11,163 11,886 11,886 4,421 4,421 4,421
Beginning Balance 590,148 558,162 594,295 605,458 617,344 629,230 633,651 638,072
Cash Adjustments 0 -
Ending Balance 558,162 594,295 605,458 617,344 629,230 633,651 638,072 642,494
Cash Reserve Target
100% cash reserves per
bond covenants
Expenditures by Category & Subcategory
Fund Summaries
Fund 757 - 2015 Parks Bond Debt Service
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 202
Fund Purpose This fund accounts for the expenditures of the bond proceeds from the 2017 Eddy Street Commons Phase II Bond. The funds will be spent on Phase II of the Eddy Street Commons, a mixed-use development area just south of the University of Notre Dame.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 1 1 515 515 515 - - - - 0 0%
Total Revenues 1 1 515 515 515 - - - - 0 0%
Net Surplus / (Deficit)1 1 515 515 515 - - - -
Beginning Balance 25,764 25,766 25,767 26,282 26,797 26,797 26,797 26,797
Cash Adjustments (0) 0
Ending Balance 25,766 25,767 26,282 26,797 26,797 26,797 26,797 26,797
Cash Reserve Target
No reserve requirement
Bond capital fund - spend down
to zero
Fund Summaries
Fund 759 - 2017 Eddy Street Commons Bond Capital
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 203
Fund Purpose
This fund accounts for the semi-annual payment of debt service principal and interest to the bondholders of the 2017 Eddy Street Commons Phase II Bonds. The bonds were closed on August 14, 2017 and the par amount was $25 million. This fund will hold a minimum of $2.5 million in cash reserves per the 2017 Eddy Street Commons bond covenant. In December 2018, an additional $945,000 was added to the debt service reserve. In March 2021, an additional $205,104 was added to the debt service reserve.
Fund Type Control
2023 2024
2025
Adopted
2025
Amended
2026
Adopted 2027 2028 2029 2030
$
Change
%
Change
Revenues
08 - Interest Earnings 187 188 75,577 75,577 73,383 73,383 34,358 34,358 34,358 (2,194) -3%
14 - Interfund Transfers In 1,929,875 1,941,375 1,955,125 1,955,125 1,951,250 1,950,625 1,952,375 1,946,875 1,948,875 (3,875) 0%
Total Revenues 1,930,062 1,941,563 2,030,702 2,030,702 2,024,633 2,024,008 1,986,733 1,981,233 1,983,233 (6,069) 0%
05 - Debt Service 1,929,875 1,941,375 1,955,125 1,955,125 1,951,250 1,950,625 1,952,375 1,946,875 1,948,875 (3,875) 0%
16 - Debt Service Principal 760,000 810,000 865,000 865,000 905,000 950,000 1,000,000 1,045,000 1,100,000 40,000 5%
17 - Debt Service Interest & Fees 1,169,875 1,131,375 1,090,125 1,090,125 1,046,250 1,000,625 952,375 901,875 848,875 (43,875) -4%
Total Expenditures 1,929,875 1,941,375 1,955,125 1,955,125 1,951,250 1,950,625 1,952,375 1,946,875 1,948,875 (3,875) 0%
Net Surplus / (Deficit)187 188 75,577 75,577 73,383 73,383 34,358 34,358 34,358
Beginning Balance 3,668,799 3,668,987 3,669,174 3,744,751 3,818,135 3,891,518 3,925,876 3,960,235 Ending Balance 3,668,987 3,669,174 3,744,751 3,818,135 3,891,518 3,925,876 3,960,235 3,994,593
Cash Reserve Target
$2,500,000 minimum
Expenditures by Category & Subcategory
Fund Summaries
Fund 760 - 2017 Eddy Street Commons Bond Debt Service
3 Capital & Debt Service Funds City Funds
Actual Budget Forecast 2025 to 2026
City of South Bend, Indiana 2026 Budget
Page 204
GLOSSARY
City of South Bend, Indiana 2026 Budget
Page 205
Glossary
Activity Budget(s): Cost centers or specific and commonly recognized service functions within a fund or
department to which specific expenses are to be allocated.
Ad Valorem: Imposed at a rate percent of the value as stated in determining property taxes.
Appropriation: An expenditure authorization made by the Common Council, which permits charges
against specified funding sources. Appropriations are usually made for fixed amounts and are typically
approved for the entire fiscal year unless otherwise amended by the City Council.
Approved/Adopted Budget: The City’s budget & expenditure authority as adopted by the Common
Council in a vote conducted after a City Charter-required public hearing to collect public input on the
Proposed Budget.
Assessed Valuation: The estimated value placed upon real and personal property by the County Assessor.
Assets: Property owned by the City, which has monetary value.
Audit: A systematic examination of resource utilization concluding in a written report. It is a test of
management’s internal controls and is intended to:
• Ascertain whether financial statements fairly present financial positions and results of operations.
• Test whether transactions have been legally performed.
• Identify areas for possible improvements in accounting practices and procedures.
• Ascertain whether transactions have been recorded accurately and consistently.
• Ascertain the stewardship of officials responsible for governmental resources.
• Certain audited funds related to trustee accounts, bonding and capital leases are not budgeted or
included in this document.
Balanced Budget: The budgeted revenues (plus available cash reserves) are equal or more than the
budgeted expenditure.
Base Budget: The budget predicated on maintaining the existing level of service.
Bond (Debt Instrument): A written promise to pay (debt) a specified sum of money (called principal
or face value) at a specified future date (called the maturity date) along with periodic interest paid at a specified
percentage of the principal (interest rate). Bonds are typically used for long-term debt to pay for specific capital
improvements.
Budget Amendment: Adjustments made to the budget or approved expenditure authority during the
fiscal year by the Common Council to properly account for unanticipated changes, which occur either in
revenues or expenditures or for programs or policy objectives initially approved for the fiscal year.
Budget (Operating): A plan of financial operations embodying an estimate of proposed expenditures
for a given period (typically a fiscal year) and the proposed means of financing them (revenue estimates). The
term is also sometimes used to denote the officially approved expenditure ceiling under which the City and
its departments operate.
Budget Basis: The basis by which a City determines its budget. The budget basis may be cash, accrual,
modified accrual or some other basis. The City of South Bend uses the cash basis for budgeting.
City of South Bend, Indiana 2026 Budget
Page 206
Budget Calendar: The schedule of key dates or milestones that the City follows in the preparation and
adoption of the budget.
Budgetary Control: The level at which expenditures cannot legally exceed the appropriated amounts.
Budgeted Funds: Funds that are planned for certain uses. The budget document that is submitted for
Common Council approval is composed of budgeted funds.
Budget Message: Initially, a general discussion of the proposed budget document presented in writing as
a supplement to the budget document. The budget message explains principal budget issues against the
background of financial experience in recent years and presents recommendations.
Capital Expenditures: The expenditure for the acquisition of capital assets; whether major assets with
long-term useful life spans or shorter-term operational capital needs such as office equipment, small tools &
machinery. The expenditure is financed by either capital debt or cash-pay-as-you-go. Generally, equipment
with a cost of $10,000 or more and a useful life of at least one year is considered a capital expenditure.
Cash Management: The management of cash necessary to pay for government services while investing
temporarily idle cash in order to earn interest. Cash management refers to the activities of forecasting the
inflows and outflows of cash, mobilizing cash to improve its availability for investment, establishing and
maintaining banking relationships, and investing funds safely in order to achieve the highest interest on
temporary cash balances.
CIP: Abbreviation for Capital Improvement Program.
Contingency: An estimated amount of funds needed for deficiency or emergency purposes. An annual
appropriation to cover short falls in revenue and/or underestimation of expenditures.
Contractual Services: Items of expenditure from services that the City receives from an outside company.
HVAC, maintenance, custodial services, Building, Mechanical, and Plumbing Inspectors are examples of
contractual services.
CPI: Abbreviation for Consumer Price Index.
Debt Service: The City’s obligation to pay the principal and interest of all bonds and other debt instruments
according to a pre-determined payment schedule.
Department: A major activity of the City, which indicates overall management responsibility for an
operation of a group of related operations within a functional area.
Depreciation: That portion of the cost of a capital asset, used during the year to provide service.
Division: The functional areas that make up a department. For example, Engineering is a division of the
Public Works Department.
DLGF: Abbreviation for the Indiana Department of Local Government Finance. The DLGF is a state
agency that approves the budgets and property tax rates.
Enterprise Fund: A governmental accounting fund in which the services provided are financed and
operated similarly to those of a private business. The rate schedules for these services are established to ensure
that revenues are adequate to meet all necessary expenses. Enterprise funds are established for services such
as water and sewer utilities.
City of South Bend, Indiana 2026 Budget
Page 207
Estimated Revenue: The amount of projected revenue to be collected during the fiscal year.
Expenditure: The cost of Governmental Fund goods delivered and services rendered, whether paid or
unpaid.
Fiscal Officer: Finance personnel assigned to a specific Department/Division within the City. They are
responsible for managing their respective departments’ budget. These personnel report to the Controller’s
office.
Fund: An independent fiscal and accounting entity with a self-balancing set of accounts for the purpose of
carrying on specific activities or attaining certain objectives.
Fund Balance: For financial reporting, fund balance is the difference between assets and liabilities in a
governmental fund. Fund balance is required to be reported in two components—reserved and unreserved.
When fund balance is reserved, it either means that the resources are in a form that cannot be appropriated
and spent or that the resources are legally limited to being used for a particular purpose. For instance, grant
monies from the federal government that may be used only for a road project would be reported as reserved
fund balance in a street fund. Likewise, the City’s cemetery trust funds in the General Fund are nonexpendable
resources that can be invested but not spent—as reserved fund balance. The portion of fund balance that is
not reserved is fittingly called unreserved fund balance. For budgeting, fund balance is equal to cash balance
as the City utilizes the cash basis of budgeting.
GAAP: Abbreviation for Generally Accepted Accounting Principles.
GASB: The Governmental Accounting Standards Board, which provides direction in accounting and
reporting requirements for units of government.
Gateway: The State of Indiana budget and financial reporting program that local units of government are
required to use.
General Fund: The largest fund within the City, the General Fund accounts for most of the financial
resources of the government that may be used for any lawful purpose. General Fund revenues include
property taxes, licenses and permits, service charges, and other types of revenue. This fund usually includes
most of the basic operating services, such as police protection, finance, public services and general
administration.
General Obligation Bonds: When the City pledges its full faith and credit to the repayment of the
bonds it issues, those bonds are General Obligation (G.O.) bonds.
GFOA: Abbreviation for Government Finance Officers Association.
Investment: Securities purchased and held to produce income in the form of interest.
KPI: Abbreviation for Key Performance Indicator. Also known as Performance Measure.
Liabilities: Debt or other legal obligations arising out of transactions in the past, which must be liquidated,
renewed or refunded at some future date. The term does not include encumbrances.
LIT: Local Income Tax (LIT). Local income taxes are based on employee wages earned in St. Joseph County
multiplied by the tax rate and then allocated to the local governmental units in the county based on several
factors including property tax levy amounts. St. Joseph County has adopted three local income taxes (LIT)
that result in direct revenue to the City—namely, Certified Shares (.6% of wages), Economic Development
(.4% of wages), and Public Safety (.25% of wages).
City of South Bend, Indiana 2026 Budget
Page 208
Long Term Debt: Debt with a maturity of more than one year.
Maturities: The date on which the principal or stated values of investments or debt obligation mature and
may be reclaimed.
Net Assessed Value: Total value of property less certain deductions like homestead deductions, tax
abatements, exempt property, and TIF property.
Net Debt: All City Debt Net of special assessment, transportation fund and revenue bond debt.
Per Capita Basis: Per unit of population.
Revenue: An addition to the assets of a fund, which does not increase a liability, does not represent the
recovery of an expenditure, does not represent the cancellation of a liability without a corresponding increase
in any other liability or a decrease in assets, and does not represent a contribution of fund capital in an
enterprise.
SBOA: Abbreviation for the Indiana State Board of Accounts. The SBOA is a state agency that performs
the function of private accounting firms in other states.
Surplus Funds: Liquid or Non-Liquid Funds not immediately needed to pay demands against vendors and
other claimants as determined by management.
Structurally Balanced Budget: A budget that is sustainable for multiple years into the future.
Tax Base: The total value of taxable property in the City.
TIF: Abbreviation for Tax Increment Financing. A fund that captures the increase in net assessed value on
properties in an area to provide property tax revenue for economic development projects.
Transfers- In/Out: A legally authorized funding transfer between funds in which one fund is responsible
for the initial receipt and the other fund is responsible for the actual disbursement.
Fiduciary Funds: Fiduciary funds are used to account for assets held by the city in a trustee capacity or
as an agent for individuals, organizations, other governments, or other funds.
Utilities Fund: This enterprise fund is used to account for the provision of water, sewer and solid waste
services to the customer, financed primarily by user charges.
Working Capital: Working Capital is generally defined as current assets, less current liabilities; however,
this is to some extent, an abstract concept. If all of the current assets were converted to cash at their book
value and all the current liabilities paid, then working capital would be the amount of cash remaining. For the
City’s Utilities Fund, current assets are comprised of cash and cash equivalents, receivables and inventory; and
current liabilities are comprised of accounts payable, accrued liabilities and the current portion of next fiscal
year’s long-term debt.