A Community Development District (CDD) in Florida is a special-purpose government entity established to manage and finance infrastructure and community development within a planned residential community. CDDs are created under Chapter 190 of the Florida Statutes and are typically formed by a developer before the construction of a community.
How a CDD Benefits Residents:
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Well-Maintained Amenities & Infrastructure – CDDs provide and maintain community features such as roads, stormwater systems, landscaping, parks, clubhouses, pools, and other recreational facilities.
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Enhanced Community Services – Some CDDs may offer security services, public transportation, or water management, ensuring the community stays attractive and functional.
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Controlled Development & Planning – CDDs ensure that infrastructure and services are properly planned and maintained over time, which helps preserve property values.
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Predictable Budgeting for Maintenance & Improvements – Since CDDs are funded through assessments on residents' property taxes, the cost of maintaining amenities is distributed among homeowners in a structured way.
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Local Resident Representation – As the community matures, residents have the opportunity to serve on the CDD board and influence decisions about the community’s upkeep and future projects.
What Residents Should Know:
- CDD Fees are added to annual property tax bills and cover bond repayment (for initial infrastructure) and ongoing maintenance.
- The CDD operates separately from a Homeowners Association (HOA), though both may coexist.
- Once the initial infrastructure bonds are repaid, residents may see a reduction in CDD fees, though maintenance costs will still apply.