City Council approves ordinance covering rentals in neighborhoods without HOAs

The Carmel City Council convened on June 2, 2025, to discuss significant updates regarding residential ordinances and rental properties. The meeting focused on clarifying the implications of removing a 10% citywide cap on certain regulations, particularly concerning neighborhoods without homeowners' associations (HOAs).

The council addressed concerns about how the removal of this cap would affect older neighborhoods that were established before the prevalence of HOAs. It was clarified that these neighborhoods, defined as subdivisions with ten or more single-family homes or townhomes, would still be subject to the new ordinance despite lacking specific HOA covenants. This means that areas like College Meadows and Homeplace, which do not have active HOAs, will still be included under the ordinance's provisions.

Councilor Menard emphasized that neighborhoods with HOAs are also covered by the ordinance. He noted that while the city’s regulations apply, HOAs retain the authority to enforce their own more restrictive covenants. This distinction was crucial for ensuring that residents understand their rights and the scope of the ordinance.

Following the discussion, a motion was made to approve the ordinance, which received a second from another council member. Before the vote, Councilor Green expressed appreciation for the collaborative efforts of the council in addressing community concerns regarding rental properties. He highlighted that the discussions surrounding these changes have been ongoing for several years, dating back to the comprehensive plan discussions initiated four to five years prior.

The meeting concluded with a vote on the motion, marking a significant step in the council's efforts to regulate residential properties and address community concerns effectively. The council's actions reflect a commitment to balancing the needs of various neighborhoods while ensuring that all residents are protected under the new regulations.