Road privatization effort gains traction

Lakewood Ranch Country Club residents want the ability to beef up security at their gated entrances and turn motorists away if they aren’t invited guests.

But they have a long way to go toward achieving that goal.

The first step is gaining complete ownership of their roads and gates. On Aug. 29, a small legislative issues workgroup met at Lakewood Ranch Town Hall to start the process.

Community Development District 6 Chairman Richard Williams is leading an effort to get the Florida Legislature to approve a bill at its 2015 session that would allow the CDDs to transfer the roads and control of the roads over to the homeowners’ associations.

“We have to take the lead with the state to get us on a level playing field,” said Williams, who already drafted a bill that will now be reviewed by Manatee County Commissioner Vanessa Baugh and other Manatee County officials. Then the bill will come before the CDD board members later this month for their approval to move forward with the legislation.

The effort, though, still has a long way to go.

That’s because the roads were paid for with bonds through the CDD taxing districts that residents are still repaying. The roads and current ownership structure of the roads must remain intact until those bonds are paid off.

Until then, the gates that sit at the entrances of the country club in CDDs 2, 5 and 6 can’t be used to turn away certain maintenance vehicles or tighten up security to only allow visitors access to the community if phone access is granted by residents.

“No one has said they wouldn’t want more security or more control over the roads,” said CDD 5 Treasurer Alan Silverglat.

Issues that Silverglat and others brought up include paying for maintenance services to the roads and rights of way.

Lakewood Ranch Town Hall Executive Director Eva Rey, though, pointed out that residents are already assessed for maintenance of the roads through the CDDs, so nothing would change if the homeowners associations take control of the roads.

“Signs, landscaping, anything within 25 feet of the centerline of your right of way is your responsibility,” Rey said.

The only cost increase for residents would be a 6% sales tax increase for all maintenance costs associated with the roads in the future if they are controlled by the homeowners associations. That’s because through the CDDs, the road maintenance costs are sales tax exempt for such costs.

Issues that could arise with transferring road ownership include transferring CDD assessment dollars to the homeowners associations for future road use.

“Can we qualify for using private funds for public use?” Silverglat said. “We have to find out.”

Other costs would include creating U-turn lanes at the entrance gates to allow those that aren’t granted access to the community a road to turn around and exit.

“We need to make sure this is something all residents want and that they can afford,” Silverglat said.
Williams, though, urged the committee to realize they are way ahead of themselves.

CDD 5 bonds aren’t paid off until 2031 and CDD 6 bonds don’t expire until 2034. 

“This discussion should take place in 2030,” Williams said. “We’re just trying to get legislation passed that would even allow this discussion to happen.”

A sliver of CDD 2, the gated Edgewater community that sits between Lakewood Ranch Boulevard and Legacy Boulevard, has bonds that will be paid off in 2017 though.

“They might be able to take advantage of this concept sooner if everything pans out,” Williams said.
Williams said the CDDs might even decide not to move forward with the legislation measure if a huge lobby group opposes their bill.

“If we need to hire a lobbyist to help us and this ends up costing $20,000, forget it and we won’t do it.” Williams said.

Williams, though, said he’s hopeful the bill can move through the Legislature next year with no opposition, which would mean minimal additional costs for the CDDs and its residents.

Silverglat noted that moving forward with legislation “doesn’t change our life at all,” even if the Legislature approves the bill.

Contact Kurt Schultheis at [email protected].