How to Create an MSTU

The difference between an MSTU and an MSBU is as follows:

  • An MSBU is a special assessment on a one-time benefit for improvements within an established district without ongoing maintenance requirements.
  • An MSTU is a tax based on the assessed property value and addresses capital improvements that typical require continued maintenance obligations.

Seven Steps to create an MSTU

The creation of an MSTU or MSBU by Citizen Petition should include the following steps.


generate description

Generate a clear and concise description of the objective to be achieved by the formation of the MSTU/MSBU.


Create a Map

Create a map showing the properties that would be included within the MSTU/MSBU.


prepare analysis

Prepare a taxable value analysis. Potential revenues (taxable value multiplied by the millage rate) are analyzed to determine whether the anticipated taxable values are sufficient to support the cost of the proposed objective and associated maintenance costs.

This report may also be used by the citizen sponsor to review alternatives in revenue generation such as different millage rate recommendations, special assessment, and/or financing through selling bonds. Bond issues require that the MSTU/MSBU be formed first and that the authority to use MSTU/MSBU funds to repay loan obligations must be approved through a voter referendum.


generate petition

Upon favorable results of the analysis, the citizen petitioner should generate a proposed petition in accordance with Collier County Resolution No. 96-134 and submit it to the County Manager to determine sufficiency. When sufficiency is certified by the County Manager a unique number will be assigned to each petition.


Circulate petition

Citizens Sponsor Circulation of the Petition. The number of required approved petitions must be at least 50% plus one of the number of parcels to be included in the requested MSTU/MSBU district. It is the responsibility of the Citizen Sponsor to ensure that the petitions are circulated to all property owners within the intended taxing district. Signatures by parties which are not property owners will not be recognized or validated to count as an approval vote.


Validate petition

Validation of Petitions Received. The County Manager has 21 days to make a determination of the number of approved petitions. Upon determination, the County Manager will send a letter to the Citizen Sponsor indicating whether the number of required, approved petitions has been met. Upon receipt of this letter, the Citizen Sponsor has twelve months to sbmit the petition for the BCC for consideration.


Gain approval

Upon successful completion of the steps above, County Staff will assist the Citizen Sponsor by preparing the Executive Summary, Ordinance, MSTU/MSBU district boundary map, and schedule the presentation before the BCC to gain approval to establish the MSTU/MSBU.

MSTU/MSBU Advisory Committee Responsibilities

An MSTU/MSBU may be created with or without an Advisory Committee. If an Advisory Committee is created, the BCC will establish the committee in accordance with Ordinance No. 2001-55. The Advisory Committee may be assigned specific duties by the BCC when it is created and those duties will generally include the following responsibilities:

  • Budget recommendations for each Fiscal Year (Oct. 1 to Sept 30).
  • Recommendations for millage rate and related Budget requests.
  • Recommendations for allocations of funding for projects members
  • Recommendations for MSTU/MSBU operational expenditures.
  • Funding a proportionate share for County management services required for Advisory Committee’s activities.
  • Recommendations to appoint new Advisory Committee.
  • Recommendations regarding changes to the existing MSTU/MSBU Ordinance.