The Florida Senate
BILL ANALYSIS AND FISCAL IMPACT STATEMENT
(This document is based on the provisions contained in the legislation as of the latest date listed below.)
Prepared By: The Professional Staff of the Committee on Rules
BILL: CS/SB 1058
INTRODUCER: Community Affairs Committee and Senator Hutson
SUBJECT: Special Districts
DATE: February 13, 2024 REVISED:
ANALYST STAFF DIRECTOR REFERENCE ACTION
1. Hunter Ryon CA Fav/CS
2. Hunter Twogood RC Favorable
Please see Section IX. for Additional Information:
COMMITTEE SUBSTITUTE - Substantial Changes
I. Summary:
CS/SB 1058 revises provisions relating to 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 Specifically the bill makes changes by:
Creating a 12-year consecutive 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;
Repealing provisions that allow special districts to convert to a municipality without
legislative approval;
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;
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
1 See Halifax Hospital Medical Center v. State of Fla., et al., 278 So. 3d 545, 547 (Fla. 2019).
BILL: CS/SB 1058 Page 2
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.
The effective date of this bill is July 1, 2024.
II. 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.2 Special districts are created by
general law, special act, local ordinance, or rule of the Governor and Cabinet.3 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.4 Special districts are funded through the
imposition of ad valorem taxes, fees, or charges on the users of those services as authorized by
law.5
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.6
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 single
municipality.7
The Special District Accountability Program within the Department of Commerce (department)
is responsible for maintaining and electronically publishing the official list of all special
2 See Halifax Hospital Medical Center v. State of Fla., et al., 278 So. 3d 545, 547 (Fla. 2019).
3 See sections 189.02(1), 189.031(3), and. 190.005(1), F.S. See generally section 189.012(6), F.S.
4 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 24, 2024).
5 The method of financing a district must be stated in its charter. Ss. 189.02(4)(g), 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., sections 190.021 (community development
districts), 191.009 (independent fire control districts), 197.3631 (non-ad valorem assessments), 298.305 (water control districts), 388.221
(mosquito control), ch. 2004-397, s. 27 of s. 3, Laws of Fla. (South Broward Hospital District).
6 Section 189.012(2), F.S.
7 Section 189.012(3), F.S.
BILL: CS/SB 1058 Page 3
districts.8 This list includes all active special districts, as well as a separate list of those declared
inactive.9 According to the official list, as of January 14, 2024, the state had 1,979 special
districts, of which 1,366 are independent special districts and 613 are dependent districts.10
Special districts are governed generally by the Uniform Special District Accountability Act
(USDAA).11 The USDAA centralizes provisions governing special districts and applies to the
formation,12 governance,13 administration,14 supervision,15 merger,16 and dissolution17 of special
districts, unless otherwise expressly provided in law.18 The USDAA requires notice and
publication of tentative budgets and final budgets.19 Certain budget amendments are allowed up
to 60 days following the end of the fiscal year.20
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.21
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.22 As of January 14, 2024, there are 960
active CDDs in Florida.23
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)24 to adopt an administrative rule creating the
district.25 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 shall serve as the interim board of supervisors of the district until
elections may be called;
8 Section 189.061, F.S.
9 Sections 189.061, 189.062(6), F.S.
10 Dept. of Commerce, Special District Accountability Program, Official List of Special Districts, available at
https://specialdistrictreports.floridajobs.org/OfficialList/CustomList (last visited January 24, 2024).
11 Section 189.01, F.S., but 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).
12
See sections 189.02 (creation of dependent special districts) and 189.031, F.S. (creation of independent special districts).
13 See section 189.0311, F.S. (charter requirements for independent special districts).
14 See section 189.019, F.S. (requiring codification of charters incorporating all special acts for the district).
15 See section 189.0651, F.S. (oversight for special districts created by special act of the Legislature).
16 Sections 189.071 and 189.074, F.S.
17 Sections 189.071 and 189.072, F.S.
18 See section 190.004, F.S. (Ch. 190, F.S. as “sole authorization” for creation of community development districts).
19 Section 189.016(4), F.S.
20 Section 189.016(6), F.S.
21 See ch. 2006-354, Laws of Fla. (Argyle Fire District may impose special assessments, but has no ad valorem tax authority).
22 Section 190.002(1)(a), F.S.
23 Dept. of Commerce, supra note 9.
24 Created by section 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.
25 Section 190.005(1), F.S.
BILL: CS/SB 1058 Page 4
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.26
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.27 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.28 Additionally, a public hearing on the petition before an
administrative law judge must be held in the county where the CDD will be located.29 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.30 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.31
Each CDD is governed by a five-member board elected by the landowners of the district on a
one-acre, one-vote basis.32 Board members serve four-year terms, except some initial board
members serve a two-year term for the purpose of creating staggered terms.33 After the sixth year
(for districts of up to 5,000 acres) or the tenth year (for districts exceeding 5,000 acres or for a
compact, urban, mixed-use district34) 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
26 Section 190.005(1)(a), F.S.
27 Section 190.005(1)(b), F.S.
28 Section 190.005(1)(c), F.S.
29 Section 190.005(1)(d), F.S.
30 Section 190.005(1)(e), F.S.
31 Section 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.
32 Section 190.006(2), F.S.
33 Section 190.006(1), F.S.
34 Section 190.006(3)(a)2.a., F.S. A “compact, urban, mixed-use district” is a district located within a municipality and within 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
residential units. S, 190.003(7), F.S.
BILL: CS/SB 1058 Page 5
500 (for districts exceeding 5,000 acres or for a compact, urban, mixed-use district) qualified
electors.35
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.36
An area is defined as blighted if there are 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;
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.37
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.38
An area is considered a slum if it has physical or economic conditions conducive to disease,
infant mortality, juvenile delinquency, poverty, or crime because there is a predominance of
35 Section 190.006(3)(a)2.b., F.S.
36 Ch. 163, part III, F.S.
37 Section 163.340(8), F.S.
38 Id.
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buildings or improvements which are impaired by reason of dilapidation, deterioration, age, or
obsolescence, with one of the following factors present:
Inadequate provision for ventilation, light, air, sanitation, or open spaces;
High density of population, compared to the population density of adjacent areas within the
county or municipality, and overcrowding, as indicated by government-maintained statistics
or other studies and the requirements of the Florida Building Code; or