Lexington considers charging HOAs for streetlights

By Catharine Barone
Posted 8/24/26

Should the town of Lexington pay for the operating costs of required streetlights in subdivisions within town limits?

Following a work session Monday, Aug. 17, changes could be coming to the …

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Lexington considers charging HOAs for streetlights

Posted

Should the town of Lexington pay for the operating costs of required streetlights in subdivisions within town limits?

Following a work session Monday, Aug. 17, changes could be coming to the town’s streetlight ordinance.

Town officials discussed the current ordinance governing streetlights placed in neighborhoods within Lexington’s town limits. According to the current town ordinance, which dates to 1986, Ordinance 154.06.15 establishes requirements for residential streetlight installation and the process by which the town assumes responsibility for streetlight operating costs.

According to town council documents, the town requires one streetlight to be installed for every six lots in all subdivisions within town limits during construction. This remains the requirement for new neighborhoods. The document also states that the town of Lexington assumes financial responsibility for the required streetlights’ operating costs.

Town Administrator Rachelle Gleaton asked council members to revise the ordinance on the recommendation of town staff.

Questions were raised about whether homeowners association-governed subdivisions within town limits are being reimbursed for the annual cost of operating streetlights.

Town Councilman Gavin Smith, who previously served as the president of his subdivision’s HOA, said his subdivision spends nearly $40,000 a year to operate its streetlights and does not receive reimbursement from the town.

Discussion also indicated that other neighborhoods have been identified as eligible for reimbursement of streetlight operating costs but have not received it.

Gleaton said the town has received applications for light reimbursement but has not taken action because the subdivisions didn’t meet the requirements outlined in the ordinance.

She also said officials want to revise the ordinance because it’s outdated and needs to be updated to reflect current lighting technology standards, cost considerations and growth.

“The goal would be that we have an ordinance that fits the general purpose of what council wants for the community, and we are not having to come multiple times to council annually to make an exception,” Gleaton said.

Councilman Todd Lyle said he would support requiring neighborhoods to pay for their own streetlights.

“I would be in favor of us not paying for streetlights in neighborhoods,” Lyle said. “I think they can pay for their own streetlights. … I feel like that is a due that is easily collectible by the members of the neighborhood. Just like any new neighborhood that has amenities, they can collect a few extra dollars to pay for their street lights and not the taxpayers who choose not to live in a neighborhood with streetlights. I feel like it’s more appropriately borne from those who would benefit from it and not from everyone.”

Lyle said that while streetlight installation is a developmental standard, the town could choose not to pay the annual operating costs and instead require the lights to be installed during neighborhood development.

“I don’t think the taxpayers who don’t live in a neighborhood should pay for the streetlights of others,” Lyle said.

Mayor Hazel Livingston said it’s not uncommon for municipalities to pay for streetlights within their town limits.

In its fiscal year 2027 budget, the town will spend $400,000 on streetlight expenditures, including lighting in neighborhoods as well as public spaces and buildings where street lighting is needed.

Gleaton said that if the town decides to cover the cost of more streetlights within town limits, it could have a significant impact on future budgets.

“Based on my comparison to other cities, we are fairly in line with what others are paying considering the size of the city and number of households,” Gleaton said.

Gleaton clarified that the town should only be responsible for streetlights located in the public right of way, not on residents’ private property.

Officials will review the current streetlight ordinance and bring it back to the council with recommendations and updates in September.

In other business, the Lexington Town Council will review a system designed to protect the town’s drinking water called the “Cross Connection Control Program.”

According to town documents, the program helps protect the town’s public drinking water system by preventing contaminants from entering the water supply through backflow.

The council voted to place the item on the agenda for its upcoming September meeting.

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