CDD – What is it?

CDD = Community Development District

There have been a number of questions about the roads within and in front of the community and the role of the Community Development District (CDD). The following is based on conversations with the CDD and DiVosta / Pulte. The CDD for Village Walk of Bonita Springs issued two bonds, Series 2005 for approximately $6,505,000 and Series 2007 for approximately $9,805,000, both mature in 30 years and are subject to a 10 year “call period”. The funds raised were used for the construction of the storm water drainage system [including storm sewers, lakes, retention ponds and raising the level of the roads and pads on which the houses are located]. The CDD did not pay for any roads within or outside Village Walk of Bonita Springs; DiVosta paid for the construction of the roads within the walls of the community. DiVosta transferred to the CDD the land under Bonita Beach Road and the possible road on the west of VillageWalk [Logan Boulevard extension, tentatively to be named Bella Road], There is a CDD mainteance component on your tax bill which pertains to the ongoing maintenance of the storm water drainage system. The legislative mandate of the CDD when it comes to maintenance is quite narrow and pertains only to the storm water drainage system. The maintenance for the gated access infrastructure and irrigation system is a Home Owners Association responsibility. Typically the storm water drainage system has a 30 year life and requires about $20,000 of maintenance per year. The annual Lee County tax bill contains two CDD components; one is for the bond payment and the second is for the annual Operations & Maintenance assessment. The bond assessment changes minutely each year similar to a home mortgage payment, the Operations and Maintence component includes maintenance funds for minimal lake maintenance and a host of operational costs, i.e. audit fees, printing, district attorney, district engineer, district manager, postage, insurance, trustee fees and administrative costs. The Operations and Maintenance fee is the same for all units no matter what type, approximately $61 per home.
The CDD is managed by a five person board of supervisors which initially consisted of DiVosta employees and will consist entrely of elected homeowners by the end of 2016. The CDD is governed by Chapter 190 of the Florida Statutes; it is a governmental entity. All Florida government rules apply; as such the CDD can be sued, however, it is protected by State rights and sovereign immunity that basically dictates limits a government agency can be sued for as specified by state statute. This has certain advantages as the Homeowners’ Association can be sued without these limitations.
The CDD meets on the second Friday of each month at 3:00 pm in the Town Center. If there is no business, the meeting is cancelled, but all meetings are open to residents. Our Homeowners Association can advise when a meeting will take place
VillageWalk of Bonita Springs lies on Section 3 of southeast Lee County and is roughly one square mile in dimension. The northern boundary of the property is generally along the telephone line on the north side of Bonita Beach Road. Individual residents own the lot [land] on which their home sits, the CDD owns the land under the lakes and storm water drainage system and the land under Bonita Beach Road and the possible road on the west of VillageWalk [Logan Boulevard extension], the Homeowners’ Association owns much of the common area and the roadways inside the complex that have been developed. At the time of build-out, DiVosta transferred all of the common areas and roadways to the Homeowners’ Association.
The previous land owner to the east of VillageWalk (a part of the Ronto Group) placed an easement across the northern boundary of Section 3 to allow access to the two sections east of VillageWalk. That land owner was also required to build and maintain the roadway that now lies in front of VillageWalk. Lee County does not have an obligation to take ownership of, nor maintain this roadway. Although the roadway lies on land owned by the CDD, it is maintained by successors of the previous land owner, who we believe to be at this time, Bonita Beach Road, LLC. This roadway was built in accordance with the standards of Lee County Department of Transportation and has a certificate of compliance to that effect. In general, Lee County and the City of Bonita Springs resist attempts to assume new responsibilities for road maintenance. At present Bonita Beach Road LLC is responsible for maintaining the road in front of VillageWalk of Bonita Springs, even though significant development has yet to take place to the east of the VillageWalk of Bonita Springs.