HOUSE OF REPRESENTATIVES STAFF ANALYSIS
BILL #: CS/CS/HB 7013 PCB LFS 24-02 Special Districts
SPONSOR(S): State Affairs Committee, Ways & Means Committee, Local Administration, Federal Affairs &
Special Districts Subcommittee, Persons-Mulicka
TIED BILLS: IDEN./SIM. BILLS: SB 1058
REFERENCE ACTION ANALYST STAFF DIRECTOR or
BUDGET/POLICY CHIEF
Orig. Comm.: Local Administration, Federal Affairs 11 Y, 4 N Mwakyanjala Darden
& Special Districts Subcommittee
1) Ways & Means Committee 21 Y, 1 N, As CS Berg Aldridge
2) State Affairs Committee 21 Y, 0 N, As CS Mwakyanjala Williamson
SUMMARY ANALYSIS
Special districts are units 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 bill revises provisions relating to special districts by:
Creating a 12-year term limit for elected members of governing bodies of most types of independent
special districts;
Providing that boundaries of independent special districts may only be changed by an act of the
Legislature, with an exception;
Adding additional criteria for declaring a special district inactive;
Revising notice and procedures for proposed declaration of inactive status;
Authorizing districts that have been declared inactive to expend funds in certain instances;
Requiring all special districts to adopt goals and objectives, as well as performance measures and
standards to determine if those goals and objectives are being achieved;
Repealing provisions that allow special districts to convert to a municipality without legislative approval;
Requiring each petition to create a community development district to contain a sworn affidavit
concerning planned development;
Requiring independent special fire control districts to report certain information to the Division of the
State Fire Marshal;
Reducing the maximum ad valorem millage rate that may be levied by a mosquito control district from
10 mills to one mill;
Requiring mosquito control districts to meet certain conditions required to participate in state programs;
and
Prohibiting the creation of new safe neighborhood improvement districts and requiring the Office of
Program Policy Analysis and Government Accountability to conduct a performance review of existing
safe neighborhood improvement districts.
The bill may have an insignificant fiscal impact on state government and an indeterminate fiscal impact on local
governments.
This docum ent does not reflect the intent or official position of the bill sponsor or House of Representatives .
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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
The Special District Accountability Program within the Department of Commerce (department) is
responsible for maintaining and electronically publishing the official list of all special districts. 7 This list
includes all active special districts, as well as a separate list of those declared inactive. 8 According to
the official list, as of January 18, 2024, the state had 1,980 special districts, of which 1,367 were
independent special districts and 613 were dependent districts.9
Special districts are governed generally by the Uniform Special District Accountability Act (USDAA). 10
The USDAA centralizes provisions governing special districts and applies to the formation, 11
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 January 18, 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 S. 189.061, F.S.
8 Ss. 189.061, 189.062(6), F.S.
9 Dept. of Commerce, Special District Accountability Program, Official List of Special Districts, available at
https://specialdistrictreports.floridajobs.org/OfficialList/CustomList (last visited January 18, 2024).
10 S. 189.01, F.S., b ut see ch. 190, F.S. (community development districts), ch. 191, F.S. (independent special fire control districts), ch.
298, F.S. (water control districts), ch. 388, F.S. (mosquito control districts), and ch. 582, F.S. (soil and water conservation districts).
11 See ss. 189.02 (creation of dependent special districts) and 189.031, F.S. (creation of independent special districts).
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governance,12 administration,13 supervision,14 merger,15 and dissolution16 of special districts, unless
otherwise expressly provided in law.17 The USDAA requires notice and publication of tentative budgets
and final budgets.18 Certain budget amendments are allowed up to 60 days following the end of the
fiscal year.19
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.20
Community Development Districts
Community development districts (CDDs) are a type of independent special district intended to provide
urban community services in a cost-effective manner by managing and financing the delivery of basic
services and capital infrastructure to developing communities without overburdening other governments
and their taxpayers.21 As of January 18, 2024, there were 961 active CDDs in Florida.22
The method for establishing a CDD depends upon its size. CDDs of 2,500 acres or more, or located in
multiple counties or municipalities, are established by petitioning the Florida Land and Water
Adjudicatory Commission (FLWAC)23 to adopt an administrative rule creating the district.24 Each
petition to establish a CDD must contain:
A metes and bounds description of the boundaries of the district;
Written consent to be included in the district from all landowners in the boundaries;
A list of five persons who will serve as the interim board of supervisors of the district until
elections may be called;
The name of the proposed district;
A map of the district showing current major trunk water mains and sewer interceptors and
outfalls, if any;
The proposed timetable for construction of the district services and the estimated cost of
constructing the proposed services;
A designation of the future general distribution, location, and extent of public and private uses of
land proposed for the area within the district by the future land use plan element of the effective
local government comprehensive plan of which all mandatory elements have been adopted by
the applicable general-purpose local government in compliance with the Community Planning
Act; and
A statement of estimated regulatory costs.25
A copy of the petition must be filed with each county or municipality in which the proposed CDD will be
located and also to each municipality contiguous with or containing a portion of the land proposed for
inclusion in the district.26 The counties or municipalities may conduct public hearings and express
support or objection to the proposed district by resolution and by stating their position before the
FLWAC.27 Additionally, a public hearing on the petition before an administrative law judge must be held
12 See s. 189.0311, F.S. (charter requirements for independent special districts).
13 See s. 189.019, F.S. (requiring codification of charters incorporating all special acts for the district).
14 See s. 189.0651, F.S. (oversight for special districts created by special act of the Legislature).
15 Ss. 189.071 and 189.074, F.S.
16
Ss. 189.071 and 189.072, F.S.
17 See, e.g., s. 190.004, F.S. (Ch. 190, F.S. as “sole authorization” for creation of community development districts).
18 S. 189.016(4), F.S.
19 S. 189.016(6), F.S.
20 See, e.g., ch. 2006-354, Laws of Fla. (Argyle Fire District may impose special assessments, but has no ad valorem tax authority).
21 S. 190.002(1)(a), F.S.
22 Dept. of Commerce, supra note 9.
23 Created by s. 380.07, F.S., the FLWAC is comprised of the Administration Commission, which in turn is created by s. 14.202, F.S.,
and is composed of the Governor and Cabinet.
24 S. 190.005(1), F.S.
25 S. 190.005(1)(a), F.S.
26 S. 190.005(1)(b), F.S.
27 S. 190.005(1)(c), F.S.
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in the county where the CDD will be located.28 Once the hearing process is complete, the entire record
is submitted to the FLWAC, reviewed by staff, and placed on the FLWAC meeting agenda for final
consideration with the petition.29 If the petition is approved, the FLWAC initiates proceedings to adopt
the rule creating the CDD.
The process for establishing a CDD of less than 2,500 acres follows the same procedural steps, but is
approved by local ordinance as follows:
All land that is in unincorporated areas of the county, by county ordinance.
Land that includes unincorporated areas and portions of a municipality, by county ordinance
subject to municipal approval.
All land that is in a single municipality, by municipal ordinance.30
Each CDD is governed by a five-member board elected by the landowners of the district on a one-acre,
one-vote basis.31 Board members serve four-year terms, except some initial board members serve a
two-year term for the purpose of creating staggered terms.32 After the sixth year (for districts of up to
5,000 acres) or the 10th year (for districts exceeding 5,000 acres or for a compact, urban, mixed-use
district33) following the CDD’s creation, each member of the board is subject to election by the electors
of the district at the conclusion of their term. However, this transition does not occur if the district has
fewer than 250 (for districts of up to 5,000 acres) or 500 (for districts exceeding 5,000 acres or for a
compact, urban, mixed-use district) qualified electors.34
A CDD, upon attaining the population standards for municipal incorporation, 35 may hold a referendum
on the question of incorporation at a general election if the CDD is wholly contained within the
unincorporated area of a county and meets certain requirements for municipal incorporation.36 This
provision does not prohibit the annexation of a CDD that is contiguous to the boundary of a municipality
following standard municipal annexation procedures under ch. 171, F.S.37
Community Redevelopment Agencies
The Community Redevelopment Act of 1969 authorizes a county or municipality to create a community
redevelopment agency (CRA) as a means of redeveloping slums and blighted areas. 38 An area is
“blighted” if there is a substantial number of deteriorated structures causing economic distress or
endangerment to life or property and two or more of the following factors are present:
Predominance of defective or inadequate street layout, parking facilities, roadways, bridges, or
public transportation facilities;
Aggregate assessed values of real property in the area for ad valorem tax purposes have failed
to show any appreciable increase over the five years prior to the finding of such conditions;
Faulty lot layout in relation to size, adequacy, accessibility, or usefulness;
Unsanitary or unsafe conditions;
Deterioration of site or other improvements;
Inadequate and outdated building density patterns;
Falling lease rates per square foot of office, commercial, or industrial space compared to the
remainder of the county or municipality;
28 S. 190.005(1)(d), F.S.
29 S. 190.005(1)(e), F.S.
30
S. 190.005(2), F.S. The county approval process may be used for proposed CDDs of up to 7,000 acres if the CDD is located in a
connected-city corridor established pursuant to s. 163.3246, F.S.
31 S. 190.006(2), F.S.
32 S. 190.006(1), F.S.
33 S. 190.006(3)(a)2.a., F.S. A “compact, urban, mixed-use district” is a dis trict located within a municipality and a CRA that consists of
a maximum of 75 acres, and has development entitlements of at least 400,000 square feet of retail development and 500 residen tial
units. S, 190.003(7), F.S.
34 S. 190.006(3)(a)2.b., F.S.
35 The population thresholds for incorporating are 1,500 persons in a county with a population of 75,000 or less , or 5,000 persons in a
county with a population of greater than 75,000. S. 165.061(1)(b), F.S.
36 S. 190.047(1), F.S.
37 Id.
38 Ch. 163, part III, F.S.
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Tax or special assessment delinquency exceeding the fair value of the land;
Residential and commercial vacancy rates higher in the area than in the remainder of the
county or municipality;
Incidence of crime in the area higher than in the remainder of the county or municipality;
Fire and emergency medical service calls to the area proportionately higher than in the
remainder of the county or municipality;
A greater number of violations of the Florida Building Code in the area than the number of
violations recorded in the remainder of the county or municipality;
Diversity of ownership or defective or unusual conditions of title which prevent the free
alienability of land within the deteriorated or hazardous area;
Governmentally owned property with adverse environmental conditions caused by a public or
private entity; or
A substantial number or percentage of properties damaged by sinkhole activity that have not
been adequately repaired or stabilized.39
An area also may be classified as blighted if one of the above factors is present and all taxing
authorities with jurisdiction over the area have agreed that the area is blighted by either interlocal
agreement or by passage of a resolution by the governing bodies of such taxing authorities. 40
An area is considered a slum if it has physical or economic conditions conducive to disease, infant
mortality, juvenile delinquency, pove