What’s at Stake for Gary in Indiana’s 2026 Legislative Session

Gary residents once again have a lot at stake in this year’s state legislative session, from proposals targeting diversity initiatives to changes in Medicaid eligibility and renewed efforts to lure the Chicago Bears to Northwest Indiana.

As lawmakers move deeper into the session, several high-impact bills have already advanced, while others have stalled or failed in committee. Below is a breakdown of the legislation that has moved forward and is now closer to becoming law. 

Utility costs

As protests continue over NIPSCO rates, House Bill 1002, which addresses electric affordability, is of particular importance. 

The bill would limit when electric and gas utilities can disconnect residential customers during dangerous weather, expanding protections for low-income households who have applied for state heating assistance.

The bill includes several key provisions:

• Extreme heat protections: Utilities would be prohibited from shutting off electric service on days when the National Weather Service forecasts a heat index of 95 degrees or higher, based on county-level forecasts issued within 48 hours. The protection would apply to customers who are eligible for and have applied for state heating assistance during that calendar year.
• Winter disconnection ban: Existing protections would be clarified by prohibiting electric or gas shutoffs between Dec. 1 and March 15 for eligible customers who have applied for heating assistance. The Indiana Utility Regulatory Commission would be required to ensure service continues while eligibility is being reviewed.
• Disconnection “pause”: If a customer has already received a shutoff notice, the bill would temporarily halt the 14-day disconnection countdown during extreme heat events, resuming only after temperatures fall below the threshold.
• Customer notification: By June 1, 2026, utilities would be required to post clear notices on their websites explaining weather-related protections and how customers can apply for assistance, including a toll-free number or web link.

Though the bill was designed to help residents, House Democrats said it does not go far enough to alleviate the burden of increases in heating and electricity bills. Democrats proposed several amendments to the bill that would prohibit disconnections for those with medical conditions, allow residents to opt in to community-based renewable energy projects, and require utility companies to reimburse customers for losses sustained during outages. Republicans rejected each amendment. 

“House Bill 1002 is a start, but Hoosiers need relief now,” said state Rep. Earl Harris, chair of the Indiana Black Legislative Caucus. 

“In Northwest Indiana and throughout the state, Hoosiers are struggling to keep up with their utility bills,” Harris said. “Indiana Republicans offered a weak bill that does the bare minimum to help Hoosiers struggling to get by. The amendments my colleagues offered would have gone a long way in providing real relief — from eliminating the sales tax on residential utility bills to banning disconnections during the coldest months of the year. It’s a shame the supermajority couldn’t do more for Hoosiers.”

Bears stadium

Though the Chicago Bears are out of the NFL playoffs, conversations around where they will play their home games are still ongoing. In response to the Bears’ ownership widening its search for a new stadium site, the state legislature introduced an economic framework through which the team could operate in Senate Bill 27. 

The bill would give the state primary control over financing and oversight of a potential Chicago Bears stadium in Northwest Indiana.

Senate Bill 27 would: 

• Create a new regional authority: The bill would establish the Northwest Indiana Stadium Authority, a state-controlled body with the power to plan, build and finance major public facilities in the region.
• Puts decision-making at the state level: The three-member board would be made up of state finance officials, limiting direct local control from cities such as Gary.
• Allows use of local tax dollars: Projects could be financed through long-term bonds — up to 40 years — paid for using local excise, food and beverage, and innkeeper taxes.
• Gives broad land-use powers: The authority would have eminent domain authority, allowing it to acquire public or private land if deemed necessary for a project.
• Covers more than stadiums: Despite the name, the authority could develop a wide range of large-scale civic, cultural, or recreational facilities.
• Locks in long-term commitments: Any professional football team using a publicly financed stadium would be required to sign a lease of at least 35 years.
• Limits labor requirements: The bill would prohibit requiring contractors to enter specific labor agreements as a condition of bidding on projects.
• Provides tax exemptions: Property owned or leased by the authority — and the bonds it issues—would generally be exempt from state taxes.

The Bears organization acknowledged the legislation in a statement:

“The Indiana Senate’s passage of SB 27 is another positive and significant step toward building a world-class stadium in Northwest Indiana for Chicago Bears fans and all of Chicagoland.”

Immigration

Indiana lawmakers have also directed considerable legislation to immigration this session. A number of bills target not only undocumented residents but potential businesses that employ them. 

State Bill 76 would:

• Ban hiring of unauthorized workers: Beginning July 1, 2026, Indiana employers would be prohibited from knowingly or intentionally recruiting, hiring, or employing unauthorized immigrants, with enforcement handled by the attorney general.
• Provide a compliance safe harbor: Employers could avoid penalties by showing “reasonable diligence,” including using the federal E-Verify system or following industry-standard hiring practices.

The legislation includes the following penalties and enforcement:

• License suspensions or revocation: Courts could suspend or permanently revoke business licenses at specific locations, with penalties escalating from short suspensions for first violations to permanent shutdowns for repeat or widespread violations.
• Probation and reporting: Employers could be placed on probation for up to two years and required to submit quarterly hiring and work-authorization records.
• First-time correction window: Employers without prior violations would have 15 business days after notice to terminate unauthorized workers and submit an affidavit to avoid legal action.

The bill also requires the Indiana Department of Correction to establish cooperation protocols between county jails and federal immigration authorities. It would allow the governor to withhold state funding from governmental bodies for up to one year if they are found in violation of detainer requirements.