CDD 101	
AMELIA WALK CDD

What is a Community Development
District (CDD)?
Local unit of special purpose government
Established under the Uniform Community Development Act of 1980 (Chapter 190, F.S.)
Primary functions:
Provide a mechanism to finance, construct and maintain high-quality improvements and amenities
Issue tax-exempt bonds to finance cost of public infrastructure
Maintain roadways, facilities, amenities, common areas, and other public improvements
Collect revenues and pay operating expenses
Levy assessments on lands benefited by improvements

ALLOWED BY CHAPTER 190
Construct and maintain public infrastructure Issue long-term bonds
Issue short-term bonds
Levy and collect non-ad valorem assessments
for debt service
Levy and collect operating and maintenance assessments
Contract for services
Provide security/recreational services

NOT ALLOWED BY CHAPTER 190
Regulate land use/zoning Issue building permits Issue development orders Provide police services Enforce code compliance Enforce traffic regulations

As a unit of government, a CDD is:
Subject to the Government in the Sunshine Law
Subject to Public Records laws
Subject to certain reporting and disclosure requirements
Subject to bidding requirements for certain projects
Able to issue tax-exempt bonds to finance public improvements
Able to enjoy the protections of sovereign immunity
Exempt from sales tax

The CDD is controlled by an elected 5-member Board of Supervisors
Phase 1: Landowner Elections
Initially, Supervisors are elected on an at-large basis by those owning property within the CDD
1 acre of land = 1 vote (partial acres are rounded up)
Candidates must be Florida residents and U.S. citizens
Phase 2: General Qualified Electors
Beginning six years after the initial appointment of Supervisors and once the CDD has at least 250 qualified electors, Supervisors begin to be elected through the general election process.
Supervisors elected through the General Election process must be qualified electors (residents of the District who are at least 18 years old and registered to vote in Nassau County) and serve four-year terms with staggered expiration dates.

Long term, tax-exempt financing available to Amelia Walk CDD because it is a unit of government with authority to issue long-term debt
Must be validated by a court and comply with Florida law
May be repaid over up to 30 years
Spreading costs over a longer period makes costs more manageable for homeowners
Costs only paid at the time you own your house – assessments run with the land, not the property
owner.
May be refunded to obtain better interest rates

Debt Assessments
Levied to repay bonds
Mailed and published notices + public hearing required
Usually collected on the tax roll
Operations & Maintenance Assessments
Levied to pay annual administrative, operational, and general maintenance costs of the District –
adopted annually with budget
Includes reserves and amounts for maintaining current infrastructure
Mailed and published notices + public hearing required to increase above last noticed amount
Usually collected on the tax roll

High-quality improvements and amenities
Entity outlives the developer and maintenance/high-level support is ensured as opposed to County maintenance
or HOA that is not active
Resident participation and input is encouraged, and a forum is provided for the same, accountability apparent
Stability of collection of payments/assessments, much higher than HOA
Liability for annual assessment limited only to individual property owner
Professionally managed; more structured than homeowners association
Meetings advertised and held in public
Property values maintained at higher level
In economic downturn, CDDs are typically first to come out of recovery
Sovereign immunity protection

CDDS
Unit of government
Subject to open government and public records laws
CDD assessments are co-equal with County taxes, making them very secure
Able to finance large improvements through bonds,
resulting in less financial burden on homeowners
Required to hold public hearings for certain actions
Board begins turnover to resident Board members as early as 6 years from establishment
Tax-exempt

HOAS
Private entity (not-for-profit corporation)
Financing limited to annual assessments, shorter-term loans, and other private financing
Required to hold homeowner votes for certain decisions
Turnover to resident control usually occurs over a longer period (based on percentages of sold lots)
Has control over deed restrictions on private lots

AMELIA WALK CDD
Roadways
Stormwater Management System Clubhouse
Swimming Pool Tennis Courts Playgrounds

AMELIA WALK HOA
Deed restriction enforcement Community architectural control Homeowners’ driveways/lawns

If you have questions or would simply like additional information about the CDD, please contact the following:

Daniel Laughlin, District Manager 475 West Town Place, Suite 114 Saint Augustine, Florida 32092 (904)-940-5850 x401 (Office)
(904)-940-5899 (Fax)
dlaughlin@gmsnf.com