A federal judge in Charlotte has denied a motion by the Town of Davidson to dismiss a developer’s lawsuit challenging the town’s development rules. The ruling means the lawsuit by FC Summer’s Walk LLC, developer of the 329-home Summer’s Walk neighborhood off N.C. 73 east of town, goes forward.
Judge Graham Mullen’s ruling at U.S. District Court in Charlotte came on Jan. 20.
Town Attorney Richard Kline said the town filed a response to the denial of its motion to dismiss the case on Monday, Feb. 1. A variety of pre-trial activity now begins, he said. The case still could be resolved through mediation this summer. If it is not, it could go to trial next fall.
FC Summer’s Walk sued the town last year, asking the court to throw out Davidson’s Adequate Public Facilities Ordinance, or APFO, adopted in 2001. The APFO requires developers of new housing to share the costs of additional fire and police protection, public parks or other public services needed because of their projects.
Many developers oppose the rules, which can add thousands of dollars to the price of a new home.
Judge Mullen’s ruling to deny Davidson’s request for a dismissal does not mean the town has lost the case, but merely that the case should go forward and all the evidence should be heard.
The suit is the first against Davidson in more than a decade. So far, it has cost the town about $20,000 in legal fees to defend itself. Town Manager Leamon Brice said in December that some legal fees are covered through the town’s legal insurance. But he also said he may need to ask the Town Board to amend the budget to cover additional costs. The money likely would come from the town’s contingency fund, or savings, he said.
FC Summers Walk – as well as developers in other nearby towns who have filed similar suits – are challenging the validity of APFOs. FC Summers Walk also challenges the way the law was applied to its development.
But in its reply to Judge Mullen’s latest order Monday, the town defends its rules.
“The essence is that everything we’ve done we’ve, done correctly,” Mr. Kline told DavidsonNews.net. “The N.C. General Statutes allow us to adopt and enforce an APFO, we’ve done so, we’ve done so correctly and we’ve applied it correctly in the case of Summer’s Walk.”
RELATED COVERAGE
Dec. 23, 2009, “Developer challenges town’s adequate public facilities ordinance.”
DOCUMENTS
Jan. 20, 2010, Judge’s order denying Davidson’s request to have the case dismissed (PDF), CLICK HERE>
Feb. 1, 2010, Town of Davidson’s response to the dismissal order (PDF), CLICK HERE>
