Community Development Districts (CDDs)
A CDD is a governmental unit created to serve the long-term specific needs of its community. Created pursuant to chapter 190 of the Florida Statutes, a CDD’s main powers are to plan, finance, construct, operate and maintain community-wide infrastructure and services specifically for the benefit of its residents.
What will the CDD Do?
How CDDs Operate
A CDD is governed by its Board of Supervisors which is elected initially by the landowners, then begins transitioning to residents of the CDD after six years of operation. The Viera East CDD is completely transitioned to residents. Like all municipal, county, state, and national elections, the Office of the Supervisor of Elections oversees the vote, and CDD Supervisors are subject to state ethics and financial disclosure laws.The CDD’s business is conducted in the “Sunshine,” which means all meetings and records are open to the public. Public hearings are held on CDD assessments. and the CDD’s budget is subject to annual independent audit.
Benefits to Residents
Residents within a community with a CDD may expect to receive three major classes of benefits. First, the CDD provides landowners consistently high levels of public facilities and services managed and financed through self-imposed fees and assessments. Second, the CDD ensures that these community development facilities and services are maintained at a proper level. Third, CDD residents elect the Board of Supervisors, which is able to determine the type, quality and expense of CDD facilities and services.
Other savings are realized because a CDD is subject to the same laws and regulations that apply to other government entities. The CDD is able to borrow money to finance its facilities at lower, tax-exempt, interest rates, the same as cities and counties. Many contracts for goods and services, such as annually negotiated maintenance contracts, are subject to publicly advertised competitive bidding.
The CDD sets the standards of quality in the community. The CDD provides perpetual maintenance of the environmental conservation areas. This consistent and quality-controlled method of management helps protect the long term property values in a community.
The Cost of a CDD
The cost to operate a CDD is borne by those who benefit from its services. Property owners in the CDD are subject to a non-ad valorem assessment, which appears on their annual property tax bill from the county tax collector and may consist of two parts—an annual assessment for operations and maintenance, which can fluctuate up and down from year to year based on the budget adopted for that fiscal year—and an annual capital assessment to repay bonds sold by the CDD to finance community infrastructure and facilities, which annual assessments are generally fixed for the term of the bonds. Because costs and services vary depending upon the individual CDD, specific fee information is available for each community.
Lasting Value
The CDD makes it possible for our community to offer the most desirable elements of a master-planned community. Residents enjoy high quality infrastructure facilities and services with the comfort and assurance of knowing that the standards of the community will be maintained long after the developer is gone. With a CDD in place, residents are assured of the ability to control quality and value for years to come.
CDD Organization
The Viera East Community Development District is organized similar to other local governments in Florida, in that the legislative body is composed of a five-member board known as the Board of Supervisors. The Board establishes the policy of the District in accordance with Florida law. The Board, by law, must hire a District Administrator and District Counsel. Staff members operate utilizing the same formalities as a County Administrator and County Attorney. The Board, through review of advertised Requests for Qualifications, ranks and selects a District Engineer to perform the engineering needs of the District. District Administration staff and the District Attorney administer the operations of the District and implement the Board’s policies and contracts.
District Administration
The District Manager’s responsibilities include:
- Preparation and submittal of a proposed operations and maintenance budgets for Board review and action
- Preparation of contract specifications for District operations, including community appearance, waterway management, recreation and facilities maintenance
- File all required forms and documents with state and local agencies
- Attend all Board of Supervisor meetings – implement the policies of the Board
- Additional duties as directed by the Board
The District Engineer’s responsibilities include:
- Preparation and supervision of construction projects within the CDD
- Inspection and reporting on the District facilities
- Assist in the preparation of the annual maintenance budget.
- Attend Board of Supervisor meetings as requested by Board – implement the policies of the Board”
- Additional duties as directed by the Board
The District Counsel’s responsibilities include:
- Preparation and review of agreements and other CDD documents
- Ensuring all provisions of the Florida Statutes are followed
- Attend Board of Supervisor meetings as requested by Board – implement the policies of the Board
- Additional duties as directed by the Board
Contact the District Office to obtain more information.
Community Development District FAQs
Q. Who governs the CDD?
A. The CDD is governed by a five-member Board of Supervisors elected initially by the property owners. The Board will then be elected by majority vote of the resident electors in the community. A professional manager implements the policies of the Board.
Q. How are CDD services financed?
A. The CDD issues Special Assessment Revenue Bonds to finance community infrastructure. Generally, Community Development Districts assess each property owner a yearly capital debt service assessment to pay back those bonds.
In addition, to maintain the facilities of the community and administer the CDD, the CDD conducts a public hearing each year at which it adopts an operating and maintenance budget. The funding of this budget is levied as an operating and maintenance assessment on your property by the Board of Supervisors. All residents pay for a share of the maintenance of the CDD improvements through this annual assessment.
Q. How are annual assessments determined?
A. The annual operating and maintenance assessment amount will be set annually by the Board of Supervisors.
Q. What are the ongoing responsibilities of the CDD?
A. The ongoing responsibilities of the CDD are to administer CDD bonds, operate and maintain the community facilities for the benefit of the property owners.
Q. How Do I Find Out More About the Viera East Community Development District?
A. All other issues can be directed to the District Manager HERE.