Special districts are forms of local government that provide specific services with dedicated revenue sources, often through elected boards, and function with autonomy to focus on specialized tasks. They have grown in number as a means to exercise more local control and navigate fiscal limitations of broader governments.
Special districts share several distinct characteristics, which differentiate them from other forms of local government. They are generally created to provide specific services to a community, such as education, utilities, or transportation. Here are some key characteristics they have in common:
Special districts are often governed by an elected board, offering a level of direct democracy and accountability.
They are typically funded through dedicated revenue streams such as property taxes, user fees, or service charges specific to the service they provide.
Special districts are designed to operate with a degree of autonomy, focusing on specialized functions like running schools, providing water services, or managing parks.
Many special districts possess the authority to issue debt, which can lead to concerns over local government indebtedness if not managed well.
The districts can offer targeted services without having to compete for funding within the broader municipal or county budget frameworks.
They sometimes emerge as a response to limitations in tax and expenditure imposed on general-purpose local governments, offering a workaround through dedicated funding for certain services.
There is often low public awareness and participation in the governance of special districts, potentially impacting democratic accountability.
The growth in the number of special districts has been fueled by the desire for localized control and management of specific services, as well as opportunities to overcome fiscal constraints faced by city or county governments.