Carmel BPW approves sending more than $12M in park impact fees to CRC projects after judge denies temporary restraining order 

0

The Carmel Board of Public Works on Dec. 6 unanimously approved 11 resolutions that will send more than $12.2 million in waived park impact fees to Carmel Redevelopment Commission projects instead of to Carmel Clay Parks & Recreation.

The total amount of funds diverted to the CRC will likely be much higher, as the total number of dwelling units has not been determined for six of the projects. A park impact fee of $4,882 is charged for every new dwelling unit in the city.

Michael Klitzing
Michael Klitzing

The BPW approvals came without discussion shortly after a Hamilton County judge declined to grant a temporary restraining order sought by the CCPR board to delay a BPW vote on the resolutions.

“Because this was a monetary issue, based on some case law, (the judge) felt it did not qualify for irreparable harm standards necessary to issue a temporary restraining order,” CCPR Director Michael Klitzing said. This does not mean the parks board is without standing, and legal actions could still be pursued, we just were not eligible for a temporary restraining order.”

Klitzing said CCPR will “continue to explore all options and seek an accounting of all impact fees diverted to the CRC.” He expects the matter won’t be resolved until after the first of the year.

The projects and dollar amounts approved by the BPW on Dec. 6 are:

  • Penn One Eleven, $4,706,248

  • Hamilton Crossing, $4,882 per unit

  • Gramercy Carmel Marketplace, $4,084,508

  • Midtown Blocks 4 and 5, $4,882 per unit

  • Old Meridian Apartments, $1,391,370

  • Magnolia II, $704,364

  • Valentina, $4,882 per unit

  • ICON on Main, $1,406,016

  • Monon Square South, $4,882 per unit

  • Civic Square Condos, $4,882 per unit

  • South Rangeline, $4,882 per unit

In the last decade, the BPW has agreed to waive more than $25 million in park impact fees charged to developers that would have helped the city expand its park system in underserved areas to accommodate population growth. Instead, those funds have supported urban parks or related amenities within or near redevelopment projects.

“(The Dec. 6 approval by the BPW) simply continues to illustrate the growing capital funding challenge the parks board has to sustain and grow the park system in all areas of the community based on the extensive community input we have received,” Klitzing said. “It will be paramount to work collaboratively with parks to finally resolve this issue for which we have long waived the flag was coming.”

In addition to receiving less funding in park impact fees than previously expected, soon after the Central Park bond is paid off in 2025 CCPR will lose millions in dollars of annual funds it has received through local income tax dollars.

Share.