At a recent meeting of the Fishers Plan Commission, neighbors voiced opposition to a proposed memory care center along Brooks School Road. As the public hearing concluded, City Councilor Pete Peterson — who also serves on the Plan Commission — warned those in attendance about legislation moving through the Indiana General Assembly that he said could significantly limit, or even eliminate, local control over such land-use decisions in the future.
The General Assembly wrapped up its 2026 session Friday. So what, exactly, did lawmakers send to Governor Mike Braun on that issue?
The answer is a sweeping housing measure aimed at increasing residential development statewide and reducing housing costs — but one that stops short of fully stripping zoning authority from cities like Fishers.
Required review of local zoning rules
Under the new law, local governments must hold a public hearing by January 1, 2027, to review their unified development ordinance (UDO) and zoning rules “with the goal of increasing housing development.”
The legislation directs cities and counties to specifically consider a wide range of changes, including:
• Allowing duplexes, triplexes and fourplexes in areas currently zoned for single-family homes
• Permitting accessory dwelling units (ADUs)
• Encouraging adaptive reuse of commercial buildings into residential housing
• Increasing allowable density and floor-area ratios in multifamily districts
• Reducing or eliminating minimum lot sizes, setback requirements and parking mandates
• Shortening permitting timelines and streamlining approval processes
Local governments are also required to submit a report to the Legislative Services Agency outlining what changes were made — or explaining why changes were not adopted.
The law does not mandate that cities adopt these reforms. However, it requires them to publicly examine their land-use rules through the lens of housing production and formally document their response to the state.
Impact fees and development costs
The legislation also tightens rules on local impact fees — the charges assessed on new development to pay for infrastructure such as roads and public safety facilities. Fishers has made use of such fees for many years.
Under the new framework, impact fees must meet more uniform standards and procedural requirements. Lawmakers argue this will create predictability and reduce development costs. Local officials, however, have expressed concern that additional state oversight could limit flexibility in planning for growth.
What it means for Fishers
Fishers retains zoning authority under the new law. The Plan Commission and City Council will still vote on rezonings and development proposals, including projects like the Brooks School Road memory care center.
However, the city will be required to formally review its development code and consider whether its standards — including density limits and design requirements — are restricting housing supply.
The broader message from the Statehouse is clear: local zoning authority remains in place, but it must now operate within a statewide policy push favoring increased housing density and reduced regulatory barriers.
For residents who packed the Plan Commission meeting concerned about a single project, the larger debate about local control and housing policy may just be beginning.
