Is there a wireless router with a category content filtering??

There are no easy options, sorry. Except if you want to pay thousands of $$$ for a router, licenses and hire a IT guy to setup all that. The only filtering options are based on blocked URL / domains. BUT! There is a possible one. You would need a computer always on, with 2 network cards, with will the the router. This computer will be pluged on internet directly and on a LAN port of the wifi router with a crosshover rj45 cable. The DHCP server of the wifi router will be desactivated, it will only be acting like a switch. So you set the wifi options on the wifi routers and that's it for it. Then, on the computer, there is a software called WinRoute which will share the internet connexion to computers on the wifi-router, and there is a plugin to winroute called IBM Orange Web Filter seems a good filter. But as you see, it's pretty complicated...

Yeah..... you lost me around the "DHCP server of the wifi router will be deactivated, it will only be acting like a switch. So you set the wifi options on the wifi routers and that's it for it. Then on the computer, there is a software......" part.
I consider myself fairly PC savvy (building pc's, etc) but when it comes to networking stuff... ehhhhh.

I work as a Deputy Sheriff in the county, so I may opt to keep the account in my name and "recruit" other individuals to split the bill with me (as long as I am not making a profit, as I'm told, it's ok right {?}). I'm sure if an issue were to arise I could dismiss it rather quickly and wash my hands of any illegal activity that came up.

With this I am input, thinking of simply setting up a repeater and allowing people access via MAC address (therefore I have somewhat of a control and know who's accessing it). Unless there is an overwhelming majority who vote for wifi access at an HOA meeting, I will opt for this plan.

Can anyone think of anything else or is this insane to do??

If you are in Australia just wait for the great firewall with all the content filtering you want or dont want. Of course you will be back to something like dialup speeds BUT you will be safe from all those nasties.

Or will you???

I would suggest looking into DD-WRT Firmware (for Linksys routers...)
It's a somewhat open source and provides features not normally found in non bussiness routers.. It has Hot Spot features that allow you to have users log in.
It can also act as repeater/bridge so you can put one on each floor if needed.

http://www.dd-wrt.com/dd-wrtv3/index.php

I have the 3Com® OfficeConnect® Wireless 54 Mbps 11g Cable/DSL Router
(Product #: 3CRWER100-75).

It has "Surfcontrol", which is a great web filter. I test it once a month or so, and have never gotten "porn" or other offensive stuff. Neither have my kids.

I'm told that SurfControl will cease to exist in 2013, but maybe something better will come to take its place. All other filters I know are software based, and therefore are limited to that computer. This filter stops my iTouch, iPhone, and other devices from getting porn while on my network.

If someone knows of another solution, I'd love to know of it.

you could just set the dns servers manually on the router and set them to an opendns account with the content filters set.