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There’s only about six weeks left until the most wonderful time of the year begins in Carmel, but recent changes to the operating structure of the Carmel Christkindlmarkt have led some in the Hamilton County community to worry about what that means for the annual tradition.
At Monday night’s Carmel City Council meeting, Mayor Sue Finkam addressed changes to the board of the not-for-profit that operates Carmel Christkindlmarkt, a topic that also generated lengthy discussion by city councilors and members of the public.
The Christkindlmarkt and public skating at the Ice at Carter Green began in 2017 and have become a yearly tradition, drawing hundreds of thousands of visitors to Carmel, including more than 475,000 in 2023. This year’s market is scheduled to run from Nov. 23 to Dec. 24.
The Christkindlmarkt was established as a city-owned event that is operated by the three-member board of the not-for-profit Carmel Christkindlmarkt Inc.
Last week, Finkam announced an operating agreement on a new governance framework for the Christkindlmarkt that she said would better support the event and defray more than $1.5 million the city is expected to contribute this year.
The framework was announced after changes to the organizational structure of Carmel Christkindlmarkt, which included the removal of two board members, Brenda Myers and Sven Schumacher. Board Chair Sue McDermott also resigned. Finkam appointed McDermott and Myers to the board in January, and Schumacher had served on the board since 2019.
The new board consists of Board Chair Maddie Augustus, a registered lobbyist with Indianapolis-based Faegre Drinker; Vice Chair Abhi Reddy, chief of staff and legislative counsel for the Indiana treasurer of state; and Secretary-Treasurer Zac Jackson, who serves as the city of Carmel’s chief financial officer. Carmel Christkindlmarkt Inc. is led by CEO Maria Adele Rosenfeld.
The Current in Carmel newspaper first reported on changes to the Carmel Christkindlmarkt board on Saturday.
Finkam emphasized Monday night that “the market was not taken over” as a result of the changes to the board. She cited “a considerable amount of misinformation” that led to concern from community members about the future of the Christkindlmarkt.
“You cannot take over an event you already own, and the one that we’ve owned since 2017,” she said.
Finkam said the city’s goal is to have a more independent market. However, she said that cannot happen until there is more clarity about Carmel Christkindlmarkt’s financial position and its ability to reimburse the city for funds it provides for the event.
“As the mayor, I have a right to the financial information I’ve yet to receive,” she said. “During the last five months, we repeatedly requested comprehensive financials from the market leader, the attorney and the board chair. We have received some. We’ve not received all of them. This is problematic.”
Finkam also discussed a trademark filing the city made for the Carmel Christkindlmarkt name and logo. She said “hard lines” were established for city ownership to continue, that intellectual property like logos, ads and operations would be owned by the city and that competitive information could not be used to start a competing market outside Carmel.
“Yet, to our surprise, in discussions, the market leadership came back with a limited list of cities where they would not compete—Anderson, Carmel and Indianapolis metro areas—thereby allowing market leadership to hold competing events in surrounding areas,” Finkam said. “How in the world would the mayor of Carmel, who has seen $8 million of taxpayer dollars go to support this market, even think about that being an allowable language in a document?”
Nearly 20 community members spoke at the beginning of Monday night’s Carmel City Council meeting, with many expressing worries about the Christkindlmarkt’s future and the treatment of former board members.
In her comments, McDermott, the former board chair, called granting ownership and trademarks to the city “a sticking point” in reaching a new operating agreement with Carmel.
“The CCI board could not agree to that, as it would place the nonprofit status of CCI at risk,” she said.
Other residents who spoke expressed disappointment in how they felt the recent changes were made behind closed doors.
“What my main concern at this point is that there have been several changes in the last few weeks from an administration that promised transparency as one of the hallmarks of what was run on,” Daniel Rexroth said. “And this seems like it’s been anything but transparent what has occurred, and it’s very, very concerning.”
Michael Nahmias, vice president of operations for Carmel Christkindlmarkt, who said he was not speaking on behalf of the organization, said the not-for-profit has not been unwilling to reimburse the city for its investment and that it not “ambivalent toward self-sustainability.” He noted the market was sustainable enough after two years to not require cultural grant funds from the city.
“Measures of efficiency are being instituted as we move forward and plan for the years to come. It is vital not to lose sight of the progress we have already made,” Nahmias said. “The willingness is undoubtedly there, but we do require ample notice to help contribute, and we do ask for a fair seat at the negotiating table when it comes to budgeting for this beloved event.”
Councilor Ryan Locke said he looks at the situation in the lens of as how can the city help create a financial reality for the Christkindlmarkt that works for it into the future.
“I know that the last week has been stressful for everybody that’s attached to this because of the love we all have for the things that are here, including the market, including the city, including the ice rink,” Locke said. “Trying to figure out how those things fit together matters in ensuring that it’s there for future generations to enjoy.”
City Council member Adam Aasen questioned if the negotiations on a new operating agreement “needed to be a painful process” and he noted that he understood the disappointment felt by people who work and volunteer for the Christkindlmarkt.
“I feel like there is a divide right now. We have got to fix this. I think you both want the same thing, but maybe we could have waited until after the holiday season,” he said. “I’d like to learn more because I can’t really say who’s right or wrong in this situation, but I think negotiations could have been handled more delicately.”
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1.) Does the lobbyist installed as Chairman of the Board have any experience with large festivals or events?
2.) How many of the “new” board members were contributors to Mayor Finkam’s campaign?
3.) Will we see a number of new vendors, service providers, etc., with the “correct” political ties?
Inquiring minds want to know…
Gosh, if I were a Carmel taxpayer I’d want to know…
1) How much tax money does the City contribute to the organization every year?
2) Does the organization pay for the ice rink or pay rent on the park space to put on their show, and do they pay for the police and emergency services on site for the event? If not, what’s the value of all that contribution by the City?
3) Does the organization publish an annual financial report for the Mayor and Council to review?