Lebanon City Council Approves Water Deal with LEAP Innovation District Despite Community Backlash

Residents and environmental advocates raise concerns over potential future water withdrawals from Eagle Creek

Published on Mar. 10, 2026

The Lebanon City Council has approved an ordinance creating a water agreement between the city and the LEAP Innovation District, despite opposition from local residents and environmental advocates. The main concern is that the agreement allows the parties to negotiate for more water withdrawals from Eagle Creek in the future, which could impact the local water supply.

Why it matters

This decision highlights the tension between economic development and environmental protection in the region. The LEAP Innovation District is seen as an important driver of economic growth, but residents and advocates worry that increased water withdrawals could harm the delicate ecosystem of Eagle Creek and reduce the available water supply for the community.

The details

The ordinance, specifically Section 9, would allow the Indiana Economic Development Corporation (IEDC) and Lebanon Utilities to renegotiate the water withdrawal agreement in the future. This comes as Citizens Energy Group, which provides water to Indianapolis, is also working to renegotiate its agreement to pull water from Eagle Creek. Residents and advocates are concerned that the lack of a public process and transparency around these negotiations could lead to further depletion of the local water resources.

  • The Lebanon City Council passed the ordinance on March 10, 2026.
  • Citizens Energy Group is currently renegotiating its agreement to pull water from Eagle Creek.

The players

Lebanon City Council

The governing body of the city of Lebanon, Indiana, which passed the ordinance creating the water agreement with the LEAP Innovation District.

LEAP Innovation District

A planned industrial and technology development site in Lebanon, Indiana, that is seeking a water agreement with the city.

Protect Pike Township

A local advocacy group that is raising concerns about the water agreement and the potential impact on the Eagle Creek ecosystem.

Citizens Energy Group

The utility company that provides water to the city of Indianapolis and is currently renegotiating its agreement to pull water from Eagle Creek.

Dan Boots

An Indianapolis City-County Councilor who is worried about the lack of transparency in the water negotiations between the cities and Citizens Energy Group.

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What they’re saying

“We offered common-sense amendments like a public process. People had a lot of concern because this is allowing the Indiana Economic Development Corporation to change the water withdraw[al].”

— Megan Anderson, with Protect Pike Township

“The MOU specifically says that IEDC may go back to CEG that they can ask for more water, but they have expressed to us that they will not do that ever.”

— Dan Boots, Indianapolis City-County Councilor

What’s next

Protect Pike Township is hosting a 'Walk for Water' event on March 14, 2026, to advocate for protecting Eagle Creek and the local water supply from the LEAP Innovation District's potential future water withdrawals.

The takeaway

This decision highlights the ongoing tension between economic development and environmental protection in the region. While the LEAP Innovation District is seen as an important driver of growth, residents and advocates are concerned that the lack of transparency and public input around water negotiations could lead to the depletion of the local water resources, with potentially serious consequences for the community and the ecosystem of Eagle Creek.