Here’s what you need to know about Public Infrastructure Districts(PIDs).
Do you live in a public infrastructure district and wonder about its benefits? Today, we’ll explore PIDs and their potential advantages.
In 2021, a bill was passed that introduced Public Infrastructure Districts (PIDs). These PIDs allow cities and counties to create public infrastructure for the benefit of the community. This financing arrangement benefits developers as they don’t have to foot the entire bill upfront.
The PID, in turn, collects the costs of these amenities through taxes and property assessments. However, this system can be a source of concern and even a detriment. Some homeowners discovered an unexpected additional tax on their properties if they were in a PID, alongside their regular property taxes. So it’s important to be aware of whether you live in such communities.
Not all new construction projects fall within a PID, and not all projects offer these added amenities like sidewalks, storm drains, parks, and more. Think of it as similar to homeowners associations, with different fee levels. This model, adopted after 2021, introduces an element of awareness when buying or selling property.
For sellers, there’s a disclosure section to ensure transparency; for buyers, it helps them know what they’re getting into. PIDs can be seen as a positive force, encouraging developers to provide amenities for the public, something they might not have done otherwise due to strict city requirements. While no one likes more taxes, the additional amenities are a valuable asset.
If you have questions about PIDs, whether your property is affected, or how it impacts property values, feel free to call or email us. We’re here to assist you with your real estate needs, whether it’s buying, selling, or investing in the future. We look forward to hearing from you soon.