|Manner of Property Maintained||Public||Private|
|Governed by Cedar Hill City Council||Yes||No|
|Collects through Mortgage Payment||Yes||No|
|Deals with Deed Restrictions||No||Yes|
|Enhance Public Property Maintenance||Yes||No|
|Expenses Exempt from Sales Taxes||YEs||No|
|Cash Held in Separate Fund by City||Yes||No|
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.
No, assessments are usually collected by the city’s tax collecting agent and are deposited into a specific PID fund. Revenue collection is simple since a homeowner’s association does not have to perform fee collection. Also, the PID allows for an interest charge and lien on unpaid assessments. This ensures a dependable revenue source for the PID. In most instances, mortgage companies include PID assessments within the property owner escrow payment and pay the assessment at the same time that ad valorem taxes are paid.