METHUEN — The city yesterday agreed to pay $600,000 to the family of Timothy DiLeo, 11, who died after a 1,600-pound, unhinged gate fell on him at Tenney Grammar School on Labor Day 2007.

The $600,000 settlement was the maximum amount of damages the DiLeo family could seek under state law. The city previously admitted it was liable in the accident for leaving the iron gate unsecured in an area where children had easy access.

"No amount of money could ever replace a child," said Mayor William Manzi, who confirmed the settlement last night. "Our hearts, thoughts and prayers are with them."

Susan DiLeo, Timothy's mother, politely declined comment on the settlement when reached at her Davis Road home last night.

The DiLeo's attorney, Eric Parker of Boston, could not be reached for comment.

The best interests of the city "are served in resolving this matter amicably and with the compassion the DiLeo family so genuinely deserves," according to a statement released yesterday by Peter McQuillan, city solicitor.

"The DiLeo family and their counsel have shown great dignity and patience during the course of our discussions," read the statement. "They are worthy of our admiration, respect and gratitude."

Because the city is self insured, city councilors will be asked to approve the settlement and "debt financing" to pay for it at a meeting next week, Manzi said.

On Labor Day 2007, Timothy DiLeo, two of his brothers, and another boy were playing at the Tenney Grammar School, which is down the street from their home.

The boys were playing near a Dumpster when the heavy gate fell on Andrew DiLeo, 8, and Timothy.

It took several men, including the boys' father, Steven DiLeo, and police officers, to lift the gate off the boys. Timothy was killed and Andrew suffered serious injuries.

"I'm heartbroken," said Steven DiLeo three weeks after the accident, "but we have to go on for our three children. I want them to be happy again."

After the accident, neighbors started a fund for the family, Tenney School students wrote a memorial book and released balloons in Timothy's honor.

In addition to the settlement, the family also wanted a commitment that city school facilities would be better secured in the future to prevent a similar accident.

"It is our fervent hope that the memory of Timothy DiLeo will live on in all of us and that his spirit will thrive in the heart of every child who aspires to make the world a better place," concluded the statement released by McQuillan's office.

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