Public Improvement Districts

What is a PID?

A PID (Public Improvement District) is a defined geographical area established to provide specific types of improvements or maintenance within the area which are financed by assessments against the property owners within the area.

Chapter 372 of the Texas Local Government Code authorizes the creation of PIDs by cities and towns.

Why is a PID created?

The PID was created to finance certain public improvements (roadway improvements and utility improvements) that are required for and provide specific benefits to property within the project. The proportionate cost of these authorized public improvements including debt issuance costs represent the assessments levied on the property within the PID to be collected from all benefitted.

What is a PID Assessment? 

The PID assessments represent a proportional share of the cost of the authorized public improvements allocated to each property type pursuant to the Service and Assessment Plan (SAP) approved by the Town at the time the assessments were levied.

Each year, the PID Administrator prepares and submits the PID annual budget for PID debt and administration obligations to the Town for Town Council approval. The annual installments billed and collected from each property represent a proportionate share of the annual PID budget approved by the Town Council each year.

Please contact the PID Administrator for details regarding the various property types and assessment amounts contemplated for each type of property within the project. All assessments that are not paid in full will be billed in annual installments and collected each year by the Denton County Tax Office within the property owner’s property tax bill. 

More information concerning the amount of the assessment and the due dates of that assessment may be obtained from MuniCap, Inc., the District Administrator for the Town, located at 222 W. Las Colinas Blvd, Suite 1650E, Irving, TX 75039 and available by telephone at 972-444-2519 or 866-648-8482 (toll-free).  

Is a Public Improvement District (PID) and a Homeowner’s Association (HOA) the same thing?

No, they are different. Here is a comparison of the two entities: 

                                                                             PID    HOA

Type of Property Maintained                               Public    Private

Governed by City Council                                       Yes    No

Deals with Deed Restrictions                                  No    Yes

Enhances Public Property Maintenance                 Yes    No

Collect through Mortgage Payment                         Yes    No

Cash Held in Separate City Fund                            Yes    No

PID Expenses Exempt from Sales Taxes                Yes    No

How many PIDs are in the Town of Little Elm?

There are currently four Public Improvement Districts within Little Elm Town limits. 

The Valencia on the Lake Public Improvement District was created on Sept. 17, 2013, by Resolution No. 09171301. 

The Rudman Tract Public Improvement District on Oct. 18, 2016, by Resolution No. 10181601.

The Hillstone Pointe Public Improvement District No. 2 was created on April 4, 2017, by Resolution No. 04041709.

The Lakeside Estates Public Improvement District No. 2 was created on Dec. 5, 2017, by Resolution No. 08151703.

MuniCap, Inc., the Town’s designated administrator for the PIDs has created a website for each district. For more information please click here to go to their website. 

View Town of Little Elm PIDs here