IPS and Charter Schools See Major Enrollment Dips in 2026 Data

ARTICLE ORGINALLY POSTED BY WISH-TV
INDIANAPOLIS — Indianapolis Public Schools (IPS) has recorded its sharpest annual enrollment decline since the pandemic, a trend mirrored by a rare drop in the city’s charter school sector. The new data arrives as state lawmakers consider a radical restructuring of how the city’s schools are governed and funded.
According to a recent analysis of state data, total enrollment for students attending IPS or charter schools within the district’s boundaries sits at 41,663. However, both sectors saw losses over the last year:
IPS Schools: Enrollment fell 6% to 19,774 students—a loss of 1,281 children.
Charter Schools: Combined enrollment for independent and Innovation Network charters dropped nearly 3% to just under 22,000.
High School Impact: IPS saw its most dramatic losses in the upper grades, with a 9% drop in high schoolers and a 20% decrease in the freshman class alone.
“The reality facing public schools across the U.S. is that enrollment has been decreasing,” IPS said in a statement, citing national trends like declining birth rates and shifting population demographics.
The timing of the decline is particularly critical as Indianapolis schools face a “perfect storm” of financial and regulatory changes:
- Property Tax Reforms
Incoming state property tax reforms are estimated to cost Indianapolis districts millions in local revenue. Because state funding is also tied directly to “per-pupil” counts, the loss of over 1,000 students represents a massive blow to the IPS operating budget. - The IPEC Proposal (HB 1423)
State lawmakers are currently advancing House Bill 1423, which would create the Indianapolis Public Education Corporation (IPEC). If passed, this new mayoral-appointed body would:
Take ownership of all IPS school buildings and transportation services.
Manage the levy and collection of property taxes.
Establish a unified “accountability system” for both traditional and charter schools.
Critics of the bill argue it strips power from the elected school board, while supporters say a centralized authority is needed to manage the city’s fragmented education landscape and “right-size” the number of school buildings to match the shrinking student population.
The drop in charter enrollment—historically a growth sector in Indianapolis—suggests that even “school choice” options are not immune to the city’s shifting demographics. Experts suggest that if these trends continue, the city may see an increase in school mergers or closures as both sectors struggle to remain fiscally solvent.