April 6, 2023 By Katie Roundtree

There has been quite a bit of news lately surrounding special districts and what they are and are not allowed to do. They are a little-known but widely used type of government. A special district is defined by Florida Statutes as “. . . a unit of local government created for a special purpose, as opposed to a general purpose, which has jurisdiction to operate within a limited geographic boundary and is created by general law, special act, local ordinance, or by rule of the Governor and Cabinet.” (Section 189.012(6), Florida Statutes) Special Districts have limited powers specifically given to them, such as water control, fire, airport, health care, etc. Special districts exist for a specific reason and can only do what is in their charter or enabling legislation. Municipalities and Counties have broad powers, such as police, fire, code enforcement, building inspections, parks, etc. They are enabled to provide whatever services are needed within their geographical boundary, except when expressly prohibited by law.

Municipalities and Counties can only operate within their specific geographical area. Special districts are similar in that they have a particular geographical area; however, that area can cross several municipalities or counties. Northern Palm Beach County Improvement District overlaps eight cities and unincorporated Palm Beach County. The South Florida Water Management District is a special district that manages water resources in the southern half of the state, covering 16 counties from Orlando to the Florida Keys. Every parcel of land in Florida is served by at least one special district.

Did you know that special districts date back as far as 1736? Benjamin Franklin established the first special district on December 7, 1736, when he created the Union Fire Company of Philadelphia, a volunteer fire department. Residents in a specific neighborhood paid a fee to receive fire protection services. Any resident not paying the fee had no fire protection services. There are more than 30,000 special districts in the US- the majority are fire protection districts.

The first special district in Florida began in 1822. It was created to establish and maintain public roads. The first road districts had no taxation authority and solved their labor needs by conscription (mandated enlistment). Men failing to report to work were fined one dollar per day.

In 1845, soon after Florida became a state, the legislature established the first special district by special act. Five commissioners were empowered to drain the “Alachua Savannah.” The first special assessments were levied on landowners to finance the project based on the number of acres owned and the benefit derived.

There are about 1,900 special districts in Florida currently. Some special districts operate in multiple counties, such as the Water Management Districts. Other special districts serve small neighborhoods, helping residents develop and maintain common areas.

Many of these are Community Development Districts created to issue bonds and construct infrastructure for one specific area/housing development. Board members are appointed by the developer initially, with residents assuming seats as the development is sold out.

Special Districts are funded through assessments that can be either ad-valorem or non ad-valorem. Ad-valorem assessments are based on the property’s value (value times a millage rate). Non ad-valorem assessments are not based on the property’s value; instead, assessments are determined by computing the benefit derived for each parcel and allocating the budgeted amount to be collected based on the derived benefits. Property can be assessed at the same amount for many parcels or different amounts based on varying benefits derived (i.e., residential, commercial, or industrial).

Both special districts, municipalities, and counties have governing bodies, such as council members or board members, responsible for making the rules and approving the budget for the government. Some are popularly elected on the County election ballot, while the landowners elect others at the district offices.

Here are some of the services that special districts provide, along with examples:

• Community Development Districts and Improvement Districts – Allow new residential, commercial and industrial developments to occur by financing, building and maintaining common infrastructure and facilities (for example, roads, landscaping, water and sewer lines, street lighting, and drainage systems).
• Redevelopment Agencies – Attract businesses and retail establishments to specific areas by redeveloping, improving and maintaining commercial areas and facilities (for example, sidewalks, building facades, bicycle lanes, parking facilities, signs, and roadways).
• Fire, Health Care and Water Control Districts – Protect life and property by providing fire control and rescue, flood control, and emergency medical services.
• Airport, Port and Transit Authorities -Provide major infrastructure and facilities serving large areas (for example, airports, roads and bridges, expressways, seaports, waterways, and utility systems).
• Library and Beach Districts – Help make Florida a desirable place to live, work and visit by providing civic, health, educational, conservation, parks, sports, and recreational facilities.

If you’d like more information on special districts in Florida, please go to the Florida Department of Economic Opportunity’s Special District Accountability Program, found at https://floridajobs.org/community-planning-and-development/special-districts/special-district-accountability-program.