Pelican Marsh CDD vs HOA: Who Pays for What?

You find the perfect home in Pelican Marsh, then realize there are different fees with different names. It is normal to wonder which charge covers roads, lakes, gates, and amenities, and which one shows up on your tax bill. You deserve a simple, accurate breakdown so you can budget with confidence and avoid surprises at closing. In this guide, you will learn how Pelican Marsh’s Community Development District and the master and sub-associations typically split responsibilities and costs, plus the documents to request before you buy. Let’s dive in.

Quick definitions in plain English

What a CDD is

A Community Development District is a special-purpose local government under Florida Statute Chapter 190. It plans, finances, builds, operates, and maintains community infrastructure that benefits the development. The CDD funds this work through assessments, which may appear on your property tax bill as non-ad valorem assessments or be billed separately.

What an HOA and sub-association are

A homeowners’ association is a private corporation that manages community rules and amenities under recorded covenants and bylaws. A master association typically runs the community-wide amenities and common areas, while sub-associations handle neighborhood-level items such as landscaping, private roads, or building exteriors for condos. HOAs are governed by Florida Statutes Chapter 720, and condominiums follow Chapter 718.

How they interact

The split between a CDD and associations is defined in recorded documents, engineer’s reports, plat maps, and any maintenance or interlocal agreements. In most planned communities, the CDD handles large-scale infrastructure and water management, while the associations manage amenities, neighborhood maintenance, and enforcement of covenants. Some functions are intentionally shared, such as a CDD owning entry features while the master HOA funds on-site security staff.

Pelican Marsh: who pays for what

What the CDD usually covers

While you will confirm specifics in the official Pelican Marsh documents, CDDs in Florida commonly handle major infrastructure for the entire development. Expect the CDD to own and maintain stormwater systems such as lakes, canals, culverts, and drainage easements. The district may also maintain district-owned roads and sidewalks, street lighting in public rights of way, entry features and hardscape, and permits tied to water management. The CDD’s assessments also cover any bond debt issued to build that infrastructure, along with lake management and related operations.

What the master association usually covers

The master association typically operates the primary amenity experience. This can include clubhouse facilities, pools, fitness, social programming, and staff for amenities. Master-level HOA budgets often include landscaping of HOA-owned common areas, insurance for those facilities, management contracts, and reserves for future repairs. The HOA also enforces the community’s covenants and design standards and collects dues and any special assessments for capital work.

What sub-associations usually cover

Sub-associations focus on neighborhood-specific needs. That can include landscaping for village common areas, private roads if not owned by the district, and additional amenities that serve just that village. For condominiums and many townhomes, the sub-association often funds exterior building maintenance, roof and wall reserves, building insurance, elevators, pest control, and sometimes bundled services like cable. Fees vary by property type and scope of services.

Gate operations and security

In many Naples communities, the CDD may own and maintain physical gate structures and automation equipment, while the HOA funds gate staffing and security vendors. The split can vary by agreement. In your due diligence, confirm who budgets for guard salaries, radios, software, and access systems so you understand which entity is responsible for each piece.

How assessments are billed

CDD assessments: debt vs. operations

A CDD typically levies two main categories of charges. Debt service assessments repay bonds that financed the initial infrastructure and can be a significant portion of the total until bonds are retired. Operation and maintenance assessments fund day-to-day costs like landscaping in district corridors, lake management, administration, insurance, and legal.

HOA dues and special assessments

Associations charge regular dues, often monthly, quarterly, or annually, to run amenities and maintain common areas. They also build reserves for future repairs. If a major project or shortfall arises, associations can levy special assessments as permitted by their governing documents. Some documents allow limited board-approved increases, while larger increases may require member votes.

Where charges show up

In Collier County, many CDD assessments appear on the property tax bill as non-ad valorem assessments. Some districts choose direct billing instead. At closing, outstanding CDD and HOA balances are settled using estoppel letters that state the amounts due. Bond-based CDD assessments generally run with the property, so you will want to know if any prepayment options exist and how they work.

What it might cost

Exact figures vary by unit type and the community’s budgets in a given year. Across Florida, CDD assessments range from a few hundred dollars per year to several thousand dollars per year in communities with larger bond debt. Master HOA dues in high-amenity Naples communities commonly range from about 1,000 to over 6,000 dollars per year. Sub-association fees vary widely based on services and property type, often from a few hundred to several thousand dollars per year, with condos typically higher due to building insurance and exterior maintenance. For Pelican Marsh, review the current CDD budget and the master and sub-association budgets to set your true annual carrying cost.

Due diligence checklist for Pelican Marsh

• Confirm the name and boundaries of the Pelican Marsh CDD that covers the property.
• Obtain the current CDD budget, assessment schedule, and recent board meeting minutes.
• Request the master association and sub-association budgets, reserve studies, audits, and estoppel letters.
• Ask whether CDD assessments appear on the Collier County tax bill or are invoiced directly.
• Verify who covers gate equipment, gate staffing, and security vendor contracts.
• Check for planned special assessments or major capital projects within the next 3 to 5 years.
• Review outstanding CDD bond debt and the debt service schedule.
• Ask the seller for their recent payment history for CDD and HOA assessments, then rely on estoppel letters for final amounts at closing.
• Look for any developer rights or turnover provisions that could affect future responsibilities.
• Discuss tax treatment of assessments with your tax advisor, since treatment can vary by assessment type and current IRS rules.

Where to verify key items

• CDD records: request the current operating and debt service budgets, assessment methodology, meeting minutes and agendas, engineer’s report, and any maintenance agreements between the CDD and the HOA or county.
• Bond disclosures: check the Municipal Securities Rulemaking Board’s EMMA system for the CDD’s official statements and continuing disclosures that show original bond amounts and outstanding principal.
• County records: use the Collier County Property Appraiser to confirm parcel details and assessment codes, and the Collier County Tax Collector to see how CDD charges appear on the tax bill.
• Association records: obtain the master association and applicable sub-association CC&Rs, bylaws, budgets, reserve studies, rules, and minutes. The association estoppel letter will show the amounts due and any pending special assessments.

Red flags to investigate

• Rapidly rising operating costs or frequent special assessments that suggest underfunded reserves.
• A large outstanding CDD bond balance paired with a short remaining term that could spike near-term assessments.
• Blurry lines of responsibility between the CDD and HOA, such as duplicate claims over the same infrastructure.
• Pending litigation involving the CDD or any association that might lead to new assessments.
• Difficulty obtaining budgets, minutes, or the assessment methodology from the CDD or associations.

Smart budgeting tips for buyers

• Build a multi-line ownership budget that separates CDD debt service, CDD operations, master HOA dues, and sub-association dues. This helps you track which costs are fixed and which may change with capital projects.
• Ask if any CDD bond series has a prepayment option and what that process looks like. Prepayment can be limited and is strictly regulated by bond documents.
• Study reserve studies and the capital project list for the next 3 to 5 years. This gives you a better view of potential special assessments.
• Clarify how gate operations are split so you know whether guard staffing is in the HOA budget and whether gate hardware and software upgrades are budgeted by the CDD or HOA.
• Calendar key meeting dates. Budget hearings and annual meetings are where important decisions that affect assessments are made.

The bottom line

Owning in Pelican Marsh typically means you will pay both a CDD assessment and association dues, and possibly a sub-association fee depending on the neighborhood or building type. The CDD commonly funds community infrastructure and stormwater management, including any related bond debt. The master and sub-associations manage amenities, neighborhood maintenance, enforcement of covenants, and staffing like gate guards. When you review the right documents early and confirm who pays for what, you can plan your total carrying cost with confidence and head to closing without surprises.

If you would like a clear, property-specific breakdown before you write an offer, reach out. I will help you gather the right budgets, estoppels, and disclosures so you can make a confident decision in Pelican Marsh.

Ready to explore homes or confirm your ownership budget? Connect with Laurie Bellico for expert, discreet guidance tailored to Pelican Marsh and greater Naples.

FAQs

What is a CDD in Pelican Marsh and how is it different from the HOA?

• A CDD is a public unit under Florida Statute Chapter 190 that funds and maintains community infrastructure and water management, while the HOA is a private association that runs amenities, neighborhood maintenance, and covenants under Chapter 720.

Do Pelican Marsh CDD assessments show up on the Collier County tax bill?

• Many CDD assessments in Collier County appear as non-ad valorem items on the tax bill, though some districts bill directly, so you should verify the billing method for the specific property.

Who pays for stormwater lakes and drainage in Pelican Marsh?

• In Florida CDD communities, stormwater and lake maintenance are commonly CDD responsibilities, and those costs are typically covered by the CDD’s assessments.

Are gate guards and access systems paid by the CDD or the HOA in Pelican Marsh?

• The CDD may own and maintain gate structures and hardware, while the HOA often funds on-site guard staffing and access software; confirm the exact split in current budgets and agreements.

Can you prepay Pelican Marsh CDD bond assessments?

• Some CDD bond series allow prepayment under specific terms, but options are limited and controlled by bond documents, so you should review the CDD’s disclosures before planning a payoff.