The Carmel Clay Parks & Recreation board voted March 12 to dismiss a lawsuit regarding the use of park impact fee credits it filed in December 2023 against the City of Carmel.
The vote came in the first board meeting since the Carmel City Council approved a resolution that begins the process of changing how park impact fee credits are handled.
“Both the City of Carmel and Clay Township have been important partners contributing to the success of Carmel Clay Parks & Recreation, and this is an issue we are happy to move beyond,” CCPR Director Michael Klitzing stated. “Together we can now focus our attention on the future and how best to serve the park and recreation needs of Carmel residents.”
CCPR filed the lawsuit in response to Carmel’s Board of Public Works granting a steeply rising number of park impact fee credits in recent years, which allowed $4,882 charged per new dwelling unit in the city to be used for Carmel Redevelopment Commission urban park projects rather than expansion of CCPR amenities.
The resolution approved by the council outlines a process that gives the city council more oversight over the use of park impact fees. It also requires CRC and CCPR officials to communicate about intended splits and uses of park impact fees throughout the redevelopment process.
The Carmel Plan Commission must approve the changes by updating the city’s unified development ordinance before sending it to the city council for final approval.
“I appreciate the resolution of this issue and would like to thank the Parks Board for taking this action,” Carmel Mayor Sue Finkam stated. “With this lawsuit behind us, we can focus our valuable resources on providing world-class parks and recreation amenities to residents and visitors for decades to come.”
