Carmel continues cutting costs across city accounts

Findings from a detailed financial and legal review initiated to ensure appropriate use of taxpayer dollars were discussed at Wednesday night’s Affiliate Review Committee meeting.

Finkam

While the full fiscal and legal review prompted in partnership with Mayor Sue Finkam and the Carmel City Council includes four nonprofit affiliates, the meeting focused on the operation of the Carmel Christkindlmarkt, Inc. (CCI).

Opening remarks at the meeting emphasized the best-in-class nature of the event and its programming. Founded in 2017, the market has received multiple No. 1 rankings as the nation’s best holiday market by USA Today.

The Affiliate Review Committee follows work prompted by Mayor Finkam in October 2024, when she restructured the nonprofit board, aiming to protect taxpayer dollars and ensure fiscal accountability. The changes included requiring the nonprofit to reimburse the city for expenses and prohibiting competition with the Carmel Christkindlmarkt. The city also protected the market’s trademarks and related intellectual property.

To date, the efforts have resulted in the city being reimbursed for expenses for the first time in market history – $284,000 in 2025.

At Wednesday’s meeting, committee members heard findings that were informed by detailed analysis including the review of hundreds of pages of documents submitted by market leadership. The review focused on the governance structure, fiscal matters, and executive compensation, risks, and historical review of taxpayer investment. The committee discussed opportunities to increase transparency to the taxpayers and develop best practices pertaining to governance and financial reporting.

As a result of the review, the city encouraged market leadership to take multiple steps, including developing a long-term growth strategy to expand on its proven success, review staffing and compensation levels, and initiate surveys related to vendor, visitor, and volunteer experience.

“The Carmel Christkindlmarkt is a treasured event and the steps we have taken as part of this review will ensure it remains an enduring tradition for our community,” Mayor Finkam said. “Already we have delivered significant relief to taxpayers and will ensure that progress continues as part of the remaining work before us. I am pleased that the council, my administration and the CCI board continue to be unified in the efforts to put appropriate controls in place to protect taxpayers.”

Augustus

“Our board has worked productively and collaboratively with the City, and we remain committed to open dialogue and the shared vision of maintaining a festive, family-friendly event that brings joy to both residents and visitors,” CCI Board Chair Maddie Augustus said. “As part of that commitment, we understand the importance of working toward long-term self-sustainability, and we are actively exploring ways to enhance revenue opportunities, improve operational efficiencies, and ensure that the Christkindlmarkt remains a vibrant, financially responsible asset for the community.”

The Affiliate Review Committee will continue its work with analysis of the Carmel City Center Community Development Corporation.