Every CDD must adopt a budget each fiscal year. Section 190.008 of Chapter 190 of the Florida Statutes governs this process, and the budget adoption follows a specific statutory timeline that involves public notice, a hearing, and board action.
The statutory process
Step 1: Proposed budget
The district manager prepares a proposed budget for the upcoming fiscal year. The proposed budget must include all anticipated revenues and expenditures, broken down into Operations & Maintenance (O&M) and Debt Service components.
Step 2: Board approval of the proposed budget
The board of supervisors reviews the proposed budget at a regular or special meeting and approves it for public hearing. This is not the final adoption; it is approval to proceed with the required notice and hearing.
Step 3: Public notice
The district must publish notice of the public hearing in a newspaper of general circulation in the county. The notice must be published at least once, at least 15 days prior to the hearing. The notice must include the time, date, and place of the hearing, and must state the purpose (budget adoption).
Step 4: Public hearing
At the noticed public hearing, the board receives public comment on the proposed budget. Any member of the public may attend and speak. The board may amend the proposed budget in response to public comment or its own review.
Step 5: Adoption by resolution
After the public hearing, the board adopts the final budget by resolution. The adopted budget is the basis for the O&M assessment levied on each property in the district for the fiscal year.
Timing considerations
Most Florida CDDs operate on an October 1 through September 30 fiscal year (to align with the county property-tax collection cycle). This means:
- The proposed budget is typically prepared in late spring (April-May)
- Board approval of the proposed budget occurs in June-July
- The public hearing notice is published in July-August
- The budget hearing and adoption occur in August-September
- The assessment roll is certified to the county tax collector by September 15
The exact timing depends on the district's fiscal year and the county's deadlines for non-ad-valorem assessment roll certification.
What happens if the budget is not adopted on time
If the board does not adopt a budget before the start of the fiscal year, 190.008(2)(c) provides that the prior year's budget continues in effect on an interim basis until a new budget is adopted. The board should act promptly to adopt a budget to avoid operating on stale appropriations.
The assessment connection
The adopted budget determines the O&M assessment rate. The total O&M budget is divided among the properties in the district according to the benefit methodology established in the district's assessment methodology (which may be based on lot size, number of units, or another measure). The resulting per-unit or per-acre assessment is what appears on the property-tax bill.
What CDDStream can do
CDDStream can surface the budget adoption requirements from 190.008, the notice requirements, and the specific budget amounts from your district's adopted budget documents. When a supervisor asks "what is the budget-adoption timeline?" the system cites the statutory process. When a resident asks "what is my assessment?" the system cites the adopted budget.
CDDStream is software; it is not a law firm and does not create an attorney-client relationship. Verify specifics with your district counsel.