SUBJECT:
Title
A Resolution of the Town Council of the Town of Erie Authorizing Erie Highlands Metropolitan Districts Nos. 1 and 2 to Impose a Service and Facility Fee
Body
DEPARTMENTS: Town Attorney and Town Manager
Department
PRESENTER(S): Kendra Carberry, Town Attorney
Malcolm Fleming, Town Manager
Jeffrey E. Erb, Esq. Erb Law, LLC
Jillian Martin, Esq. Erb Law, LLC
First Name Last Name, Title
TIME ESTIMATE: 15 minutes
only required for non-consent items
FISCAL SUMMARY:
No costs other than legal review and staff time to process this request
POLICY ISSUES:
The Service Plan for Erie Highlands Metropolitan District Nos. 1-5 prohibits the imposition of fees without prior written consent of the Town (Section V.A.8). This agenda item considers whether to approve a proposed Service and Facility Fee of up to $636 annually per residential lot for fiscal years 2025 through 2029.
STAFF RECOMMENDATION:
Recommendation
Consider the Metro District’s representatives’ presentation and consider whether to approve the request by Erie Highlands Metropolitan District Nos. 1 and 2 to impose a Service and Facility Fee as outlined in the Settlement Agreement.
End
SUMMARY AND BACKGROUND OF SUBJECT MATTER:
Erie Highlands Metropolitan District Nos. 1 and 2 request the Town’s authorization to impose an annual Service and Facility Fee, capped at $636 per year per residential lot, from 2025 to 2029. This fee is necessary to fund ongoing operations and maintenance of shared public amenities, including landscaping, pool and clubhouse facilities. The need for the fee arises due to a short-term funding gap as District 2 continues its development (currently at approximately 67% build-out).
The key actions leading to the Districts asking Council to approve this proposed fee include the following:
• A December 2024 Settlement Agreement between Districts 1-5 and Oakwood Homes resolved previous disputes and provided funding for repairs and maintenance.
• Oakwood Homes has contributed over $352,000 to support facility and landscape repairs.
• A new Intergovernmental Agreement between Districts 1 and 2 outlines cost-sharing mechanisms for maintenance and repairs of shared amenities.
• The Draft 2025 Budget anticipates $291,480 in revenue from the proposed fee to help cover approximately $1.16 million in total expenditures.
The Town’s written approval is required under the Service Plan to implement the fee, which will be set annually by the Districts’ Boards of Directors. If the Town Council authorizes the Districts to impose this fee, the Districts will immediately begin repairs on the neighborhood pool and other amenities benefiting the neighborhoods within the Districts.
COUNCIL PRIORITY(S) ADDRESSED:
ü Attractive Community Amenities
ü Effective Governance
ü Fiscally Responsible
ATTACHMENT(S):
1. District Presentation
2. Resolution
3. Fee Request Correspondence
4. Settlement Agreement - Erie Highlands Metropolitan Districts and Oakwood Homes
5. Intergovernmental Cost-Sharing Agreement between EHMD Nos. 1 and 2
6. Draft 2025 Budget for EHMD Nos. 1 and 2