Commission staff told the Carmel Historic Preservation Commission that the commission’s main operating budget for 2026 has been reduced to roughly $50,000, while the commission’s nonreverting historic-preservation fund carries a reported balance of $245,857.50.

Staff and commissioners said they had expected about $40,000 (sometimes described as $42,000 in staff email) of unspent 2025 money to roll into the nonreverting fund but discovered those dollars appear to have remained in the city’s general fund. Staff said a form to have the funds encumbered was submitted to DOCS and to counsel but was not approved or otherwise acted upon.

Given the reduced operating budget, staff presented three options for the facade grant program: continue two rounds (the program’s historical pattern, previously up to two rounds of $30,000–$35,000), collapse the program into a single round of around $50,000 to cut mailing and administrative costs, or limit awards and rely more on the nonreverting fund. Staff cautioned that adding the proposed new survey properties would expand the pool of eligible applicants from roughly 500 to about 1,600 addresses and would therefore increase demand on limited funds.

Staff supplied cost estimates: the annual administrative fee to retain Indiana Landmarks was listed at $12.05 (to come from the $50,000 operating budget); mailing for a public outreach notification previously cost about $930, and duplicating that outreach for two rounds could approach $2,000. Staff also said the city spent about $75,000 for the recent survey update, which has not yet been fully used to implement the expanded survey.

Commissioners asked staff to provide a complete list of outstanding obligations and reimbursements — including projects with reimbursements that expire in March 2026 — before choosing whether to collapse rounds or draw from the nonreverting fund. Several members suggested that cutting the program now would be easier than restoring funds later and encouraged outreach to city council members if commissioners want the rollover or additional appropriations addressed.

Staff said they will provide the requested detailed accounting and a list of outstanding reimbursable projects prior to the next meeting so the commission can make a budget decision with full information.