El Paso County has announced the allocation of $1 million in federal grant funding to help fix chronic issues with the Falcon Highlands Metropolitan District’s drainage system.

Falcon Highlands is a community near Falcon in unincorporated El Paso County. As a metro district, Falcon Highlands is a quasi-governmental entity responsible for most of its own upkeep through resident property taxes. El Paso County does maintain roads within the development but does not take responsibility for other infrastructure.

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An issue with the community’s drainage arose when multiple residents noticed significant flooding in their basements. The district and El Paso County identified Falcon Highland’s aging underdrain system, underground infrastructure meant to regulate groundwater, as the source of the problem in 2023.

Responsibility for fixing the issue fell ultimately to the district. Spot repairs started in the spring of 2024, though some community members were unsatisfied with the speed and efficiency of the project. The sentiment, plus dissatisfaction with the involvement of active developer Challenger Homes in the governance of the district, led to a successful recall election last summer.

Falcon Highlands replaced two Challenger Homes employees and another board member from the five-person board in a mail-in election in July.

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The new agreement brings money to the underdrain issue but does not reverse the county’s position on responsibility for metro district infrastructure. According to a release, the county will funnel federal funds from the American Rescue Plan Act to Falcon Highlands through an intergovernmental agreement.

The agreement stipulates that the metro district continues to assume responsibility for maintaining and replacing the underdrain system, which “aligns with El Paso County’s long-standing expectations.”

The intergovernmental agreement states costs to fix the underdrain are still under consideration, and that the final total could be “well over” $1 million. The district planned to spend just over $2.5 million in total expenditures including debt services last year, according to a Falcon Highlands 2024 budget document.

“The County views this agreement as an important step in addressing immediate needs while fostering collaboration for the benefit of the community,” read the release.