Commission pledges $500,000 to settle Moody Park lawsuit, acquire property for flood mitigation

Madison Redevelopment Commission · February 11, 2026

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Summary

The commission approved Resolution 2026-1R to pledge $500,000 toward settlement and acquisition of Moody Park—a long-blighted trailer park—so the city can pursue flood-mitigation work and future redevelopment of the Walnut Street corridor.

The Madison Redevelopment Commission voted to pledge $500,000 to help settle a multi-year lawsuit over a dilapidated trailer park known as Moody Park and to allow the city to acquire the parcel for mitigation and future redevelopment.

According to staff, the site at the base of New Hill Road and Walnut Street has been subject to unsafe-conditions orders and litigation. City staff and Mayor Courtney said the settlement will transfer control of the property to the city and enable planned flood-mitigation work tied to the Crooked Creek stormwater plan and broader gateway improvements along the Walnut Street corridor.

“...this is a good day for Madison,” one city official said, describing the outcome as a path to eliminate a chronically blighted and unsafe area and to advance flood mitigation. The commission moved to approve resolution 2026-1R—approving expenditure to settle litigation, acquire the property and fund future redevelopment—and the motion passed by voice vote.

Staff said they will follow up with timing and implementation details as the settlement and property transfer proceed.