Bill Summary – FastDemocracy

HOUSE OF REPRESENTATIVES LOCAL BILL STAFF ANALYSIS
BILL #:     HB 819 Lehigh Acres Municipal Services Improvement District, Hendry and Lee Counties
SPONSOR(S): Esposito
TIED BILLS:       IDEN./SIM. BILLS:
    REFERENCE                                                     ACTION               ANALYST             STAFF DIRECTOR or
                                                                                                           BUDGET/POLICY CHIEF
    1) Local Administration, Federal Affairs & Special            12 Y, 0 N            Roy                 Darden
       Districts Subcommittee
    2) State Affairs Committee                                    20 Y, 0 N            Roy                 Williamson
                                                     SUMMARY ANALYSIS
A “special district” is a unit of local government created for a particular purpose, with jurisdiction to operate
within a limited geographic boundary. Special districts are created by general law, special act, local ordinance,
or rule of the Governor and Cabinet. A special district has only those powers expressly provided by, or
reasonably implied from, the authority provided in the district’s charter.
The Lehigh Acres Municipal Services Improvement District (District) lies primarily in the unincorporated area of
eastern Lee County, with portions in Hendry County. The District is an independent special district created in
2015 to replace the East County Water Control District. The District provides drainage and water control, public
improvements and community facilities, water and wastewater services, local streets and sidewalks,
streetlights, and certain authority over outdoor signage and monuments. The District also preserves and
protects water reserves through drainage, conservation, mitigation, navigational, and water management
practices in 70,000 acres of land in Lehigh Acres in eastern Lee County and in the western portion of Hendry
County. The District is authorized to raise funds as provided in general law but is prohibited from imposing or
collecting ad valorem taxes.
The bill expands the boundaries of the District by adding a parcel owned by a single landowner who requested
annexation into the district.
The Economic Impact Statement indicates the bill will increase District revenues by the amount of annual non-
ad valorem assessments paid by the property owner.
This docum ent does not reflect the intent or official position of the bill sponsor or House of Representatives .
STORAGE NAME: h0819c.SAC
DATE: 1/30/2024
                                                          FULL ANALYSIS
                                                    I. SUBSTANTIVE ANALYSIS
    A. EFFECT OF PROPOSED CHANGES:
         Present Situation
         Special Districts
         A “special district” is a unit of local government created for a particular purpose, with jurisdiction to
         operate within a limited geographic boundary.1 Special districts are created by general law, special act,
         local ordinance, or rule of the Governor and Cabinet.2 A special district has only those powers
         expressly provided by, or reasonably implied from, the authority provided in the district’s charter.
         Special districts provide specific municipal services in addition to, or in place of, those provided by a
         municipality or county.3 Special districts are funded through the imposition of ad valorem taxes, fees, or
         charges on the users of those services as authorized by law. 4
         Special districts may be classified as dependent or independent based on their relationship with local
         general-purpose governments. A special district is classified as “dependent” if the governing body of a
         single county or municipality:
              Serves as governing body of the district;
              Appoints the governing body of the district;
              May remove members of the district’s governing body at-will during their unexpired terms; or
              Approves or can veto the budget of the district.5
         A district is classified as “independent” if it does not meet any of the above criteria or is located in more
         than one county, unless the district lies entirely within the boundaries of a single municipality.6
         Special districts do not possess “home rule” powers and may impose only those taxes, assessments,
         or fees authorized by special or general law. The special act creating an independent special district
         may provide for funding from a variety of sources while prohibiting others. For example, ad valorem tax
         authority is not mandatory for a special district.7
         Lehigh Acres Municipal Services Improvement District
         The Lehigh Acres Municipal Services Improvement District (District) lies primarily in the unincorporated
         area of eastern Lee County, and partially in Hendry County. The District is an independent special
         district created in 2015 to replace the East County Water Control District. When the District replaced
         the East County Water Control District, it assumed all rights, title, and possession of property, and all
         obligations and liabilities of the water control district. 8
         The District provides drainage and water control, public improvements and community facilities, water
         and wastewater services, local streets and sidewalks, streetlights, and certain authority over outdoor
1 See Halifax Hospital Medical Center v. State of Fla., et al., 278 So. 3d 545, 547 (Fla. 2019).
2
  See ss. 189.02(1), 189.031(3), and. 190.005(1), F.S. See generally s. 189.012(6), F.S.
3 Local Administration, Federal Affairs & Special Districts Subcommittee, The Local Government Formation Manual, 62, available at
https://myfloridahouse.gov/Sections/Committees/committeesdetail.aspx?CommitteeId=3227 (last visited Jan. 8, 2024).
4 The method of financing a district must be stated in its charter. Ss. 189.02(4)(g) and 189.031(3), F.S. Independent special districts
may be authorized to impose ad valorem taxes as well as non -ad valorem special assessments in the special acts comprising their
charters. See, e.g., ch. 2023-335, s. 6 of s. 1, Laws of Fla. (East River Ranch Stewardship District). See also, e.g., ss. 190.021
(community development districts), 191.009 (independent fire control districts), 197.3631 (non -ad valorem assessments), 298.305
(water control districts), and 388.221, F.S. (mosquito control), and ch. 2004-397, s. 27 of s. 3, Laws of Fla. (South Broward Hospital
District).
5 S. 189.012(2), F.S.
6
  S. 189.012(3), F.S.
7 See, e.g., ch. 2006-354, Laws of Fla. (Argyle Fire District may impose special assessments, but has no ad valorem tax authority).
8 Ch. 2015-202, ss. 1(8) and 7, Laws of Fla.
STORAGE NAME: h0819c.SAC                                                                                                          PAGE: 2
DATE: 1/30/2024
        signage and monuments.9 The District also preserves and protects water reserves through drainage,
        conservation, mitigation, navigational, and water management practices in 70,000 acres of land in
        Lehigh Acres in eastern Lee County and in the western portion of Hendry County. 10
        The District maintains a 311-mile canal system containing 3,260 culvert crossings, 22 bridges, and 66
        water control structures.11 The canals, as well as 20 lakes, flow into the Caloosahatchee River via four
        outfalls: Orange River, Bedman Creek, Hickeys Creek, and Carlos Waterway.12 Additionally, the District
        maintains 1,298 preserve acres,13 as well as 578-acre Harns Marsh, which is an active stormwater
        facility that is also used for passive recreation and public exploration. 14
        The District is authorized to raise funds as provided in general law but is prohibited from imposing or
        collecting ad valorem taxes.15
        Effect of Proposed Change
        The bill expands the boundaries of the District by adding a parcel owned by a single landowner who
        requested annexation into the District.16
        The Economic Impact Statement indicates the bill will increase District revenues by the amount of
        annual non-ad valorem assessments paid by the property owner.
     B. SECTION DIRECTORY:
        Section 1:        Amends ch. 2015-202, Laws of Florida, as amended, expanding the boundaries of the
                          Lehigh Acres Municipal Services Improvement District Lee County.
        Section 2:        Provides an effective date of October 1, 2024.
                               II. NOTICE/REFERENDUM AND OTHER REQUIREMENTS
     A. NOTICE PUBLISHED?              Yes [x]     No []
        IF YES, WHEN?              October 27, 2023.
        WHERE?                     News-Press, a daily newspaper published at Fort Myers in Lee County.
     B. REFERENDUM(S) REQUIRED?                    Yes []     No [x]
        IF YES, WHEN?
     C. LOCAL BILL CERTIFICATION FILED?                     Yes [x]    No []
     D. ECONOMIC IMPACT STATEMENT FILED?                         Yes [x]       No []
9 Ch. 2015-202, Laws of Fla.
10 Lehigh Acres Municipal Services Improvement District, Culvert Replacement Project, https://la-msid.com/la-msid/page/culvert-
replacement-project (last visited Jan. 16, 2024).
11
   Id.
12 Id.
13 Id.
14 Lehigh Acres Municipal Services Improvement District, Harns Marsh, https://la-msid.com/community/page/harns-marsh (last visited
Jan 16, 2024).
15
   Ch. 2012-202, s. 5(1) and (2), Laws of Fla.
16 Landowner Agreement Between Lehigh Acres Municipal Services Improvement District and Rocklyn Homes, Inc. (Aug. 8, 2023) (on
file with the Local Administration, Federal Affairs & Special Districts Subcommittee).
STORAGE NAME: h0819c.SAC                                                                                                   PAGE: 3
DATE: 1/30/2024
                                                III. COMMENTS
   A. CONSTITUTIONAL ISSUES:
       None.
   B. RULE-MAKING AUTHORITY:
       The bill neither provides authority for nor requires rulemaking by executive branch agencies.
   C. DRAFTING ISSUES OR OTHER COMMENTS:
       None.
                           IV. AMENDMENTS/COMMITTEE SUBSTITUTE CHANGES
       None.
STORAGE NAME: h0819c.SAC                                                                               PAGE: 4
DATE: 1/30/2024