My neighberhood has done the same thing in the past, though they seem to have went about it in a different way. First of all, it is a private road and there is a HOA. Additionally, the road is a dead end.
They would set up a partial barricade, with a sign asking trick-or-treaters to park at the end of the neighberhood and walk. No one was stopped, nor was there any attempt to to identify residents. We get a great deal of kids coming through the neighberhood and it is easier for them to walk around when there isn't a lot of auto traffic.
I have never found it to be all that big of a deal. It only lasts for about an hour and a half and no one is prevented from driving down the street.
They would set up a partial barricade, with a sign asking trick-or-treaters to park at the end of the neighberhood and walk. No one was stopped, nor was there any attempt to to identify residents. We get a great deal of kids coming through the neighberhood and it is easier for them to walk around when there isn't a lot of auto traffic.
I have never found it to be all that big of a deal. It only lasts for about an hour and a half and no one is prevented from driving down the street.