Collier, Port of the Islands condo association pause $1M fee dispute

As Collier County and a Port of the Islands condominium association consider possible litigation over more than $1 million the association alleges the county owes in condominium association fees, the association has agreed to set aside 2.37 acres for recreation and pay past-due property taxes. 

The county became the owner of 28 vacant parcels on Peacock Lane in fall 2022 through the tax deed escheatment process, in which properties that remain unsold following a tax deed process eventually transfer to the county. The developer stopped paying property taxes on the parcels, which were part of the nearly 50-acre North Port Bay Planned Unit Development at Orchid Cove at Port of the Islands. 

Records show Orchid Cove at Port of the Islands Condominium Association filed 27 liens involving 2.37 acres of undeveloped parcels in September 2025, and they’ve since accrued interest, additional COA fees and penalties totaling more than $1 million. No lien was filed for one parcel. 

However, according to the county attorney’s office, state law provides the county with sovereign immunity against the liens because condominium associations can only place and foreclose liens against private parcels and owners, not sovereign or local government agencies exercising public functions. 

“The HOA counters that substantive Florida law permits the HOA to assess all owners regardless if the owner is a governmental entity,” Assistant County Attorney Ronald Tomasko wrote in a memo to commissioners, noting commissioners authorized the county attorney to challenge the liens’ legal validity in January and sue. “Since then, the County Manager’s Office, Property Acquisition and the County Attorney’s Office have engaged in negotiations with the HOA and its attorneys in an attempt to resolve the dispute between the parties.” 

As a result, the Board of County Commissioners on Oct. 13, without discussion, authorized Chair Dan Kowal to execute a statute-of-limitations tolling agreement with the condo association, giving both sides time to negotiate a potential settlement. 

Tolling agreements stop the “legal clock,” allowing parties to negotiate a settlement, exchange information or investigate claims without filing a lawsuit — avoiding expensive court fees, legal costs and court proceedings. The agreements also protect the association’s right to sue later while giving the county time to evaluate the claim and prepare a defense. Under the tolling agreement, both sides have three months to sue once it’s terminated. 

The agreement was signed by COA President Rheta Bradke. She declined to comment and referred questions to the association’s attorney, Brittany Cowan, of Naples-based Cowan Boyd, who said they cannot comment on pending negotiations or the settlement at this time.

Under the potential settlement, the association would pay the county $85,127.66 to cover all past-due county taxes and escheatment costs, and the county would deed the land to the association, with the understanding that the association would seek the county’s permission to reclassify the parcels as recreational open space. 

While that process plays out, the 12-month period in which the county can contest the liens’ validity has been paused. The properties are at 25017, 25021, 25025, 25037, 25041, 25045 and 25049 Peacock Lane. 

The community, which features four condos in each two-story building, is across from Port of the Islands Resort hotel and near Port of the Islands Marina, which offers fishing charters and eco-tours. More than 100 units were built, and the North Port Bay PUD allowed for up to 248 more on 49.96 acres. 

Bayview Villas LLC, the original landowner, was responsible for developing and conveying the units. State records show it was voluntarily dissolved in 2015.