Promote Carmel seeks funds for Jazz Fest and local cookbook amidst financial crisis

The City Council of Carmel, Indiana, convened on March 27, 2025, to address pressing financial issues concerning Promote Carmel, a local nonprofit organization. The meeting highlighted several key agenda items, primarily focusing on the organization's financial distress and its implications for community events and projects.

The discussion began with a review of a letter indicating that Promote Carmel had been asked to financially assist the Carmel Jazz Fest, although the source of this request remained unclear. Additionally, the organization was approached to fund a local author’s cookbook and to support a historical account of the Carmel Symphony Orchestra in light of its upcoming fiftieth anniversary celebration.

Council members expressed concern over Promote Carmel's financial situation, noting that the organization was unable to pay its vendors due to a severely depleted bank account. It was reported that by July, the organization had insufficient funds to fulfill its financial obligations, a situation that persisted into August. The letter acknowledged that vendors had not been compensated for several months, indicating that the financial troubles predated the closure of the organization’s store.

Legal considerations were also discussed, particularly regarding the mission of Promote Carmel as a 501(c)(3) organization. Questions arose about the breadth of its mission and whether funding events like the Jazz Fest could be justified under its charitable purposes. Legal counsel noted that while 501(c)(3) organizations can grant funds to other similar entities, there are concerns about the financial management and transparency of such transactions. It was emphasized that the board of Promote Carmel should have been fully informed about the financial decisions being made.

The meeting concluded with a call for further examination of Promote Carmel's financial practices and a commitment to ensuring that the board is adequately advised on future funding decisions. The council aims to address these issues promptly to safeguard the integrity of community events and the organization’s mission.