Lakewood Ranch road and gate privatization discussed

Lakewood Ranch community development districts and homeowners associations explore converting public roads

Article Courtesy of The Bradenton Herald

By Kathryn Moschella  

Published September 8, 2014

       
LAKEWOOD RANCH -- Lakewood Ranch leaders are exploring the possibilities of converting the public roads and gates in Community Development Districts 2, 5 and 6 into private roads by conveying them to their respective homeowner associations.

During a Thursday legislative workshop attended by supervisors from each district, the group agreed to move forward with the idea and to arrange a meeting with Manatee County Commissioner Vanessa Baugh, who represents District 5, before the CDDs take any formal action to make their communities more private.

 

An amendment would be needed to current legislation, passed in 2002, allowing homeowner associations to request the county to convey the roads and rights of way of public roads to the associations for the purpose of gating and restricting public access. The Florida Senate was addressing county issues, and no consideration to CDDs was given at the time the legislation was passed.

Richard Williams, chairman of CDD 6, the Country Club West community of Lakewood Ranch, told his fellow supervisors that agreements could be put in place to move operations and maintenance from a CDD to an HOA.

"Privatization of roads and gates of Lakewood Ranch CDDs is for another day, but if a private, gated community -- rather than a community with gates -- is a goal of the LWR CDDs, as well as
CEVA (Country Club/Edgewater Village Association) and the County Club West HOA, this legislative amendment would be a significant start as present laws do not permit privatization of publicly dedicated roads in a CDD with little exception," Williams wrote in a memorandum.

Visitors to Country Club West must pass through a security guard at the Balmoral Gate. Security is paid, along with gate operations and maintenance through an inter-local gate sharing agreement between CDDs 2,5, and 6.


  
"This legislation would provide a level playing field for all HOAs in Florida. However, the legislative change is only Step One, and approval of Step One does not indicate support for, or no-support for, LWR CDDs privatizing roads and gates now or in the future," he said. 
Alan Silverglat, treasurer of Country Club District 5, said residents have told him they would would want it.

"My sense is that's true. I don't think anyone has said they wouldn't want more security or more control over the roads," he said.

Richard Moran, Country Club East District 2 supervisor, said he wasn't sure if all the residents fully understand the issue as it relates to security, but he sees no downside to it.

"If they're public roads, anyone can come in. If private, they can be restricted. What constitutes keeping people out?" Moran asked Williams.

Williams replied that anyone who isn't a resident would have to go through a different protocol and the HOAs could set their own rules and policies.

Williams also noted there is no cost to any CDD in simply introducing the amended bill. But, he did point out that if the legislation is passed, bonds are a major issue as long as bonds with funding for the roads remain. Currently, bonds for CDDS 2,5, and 6 in Lakewood Ranch are tax-exempt public-purpose bonds that were used to construct their roads. CDD 2 bonds expire in May 2017, and CEVA and its homeowner association could petition to take the Edgewater roads and gate private if approved by CDD2 and the legislation was in place.

Williams said he emailed Manatee County officials a hypothetical question, asking if an HOA would be a tax-exempt entity if it owned the streets for private use only. He said he was told by the county that the roads would not be taxed.

"Public roads and rights of way owned by a government entity are not taxed, and in most cases, do not even have a parcel number assigned," said Director of Appraisal Services Mark B. Johns. "The only time a road would be assessed and taxed would be if it is a private road owned by an individual or a corporation and its use is for private purposes only. In the scenarios you speak of, that are all within subdivisions, I do not see an instance where these roads would be taxed."

Republican State Rep. Greg Steube, whose 73rd District includes Lakewood Ranch and East Manatee County, said he met with Williams and would be interested in reviewing the draft amendment.

"The timing is good because we're preparing our legislation" for the 2015 session, Steube said. "I would be curious to hear what the county position is. The county would be giving up ownership of the roads. Ultimately, the legislators would make the decision."

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