Water districts charge water rates to their customers. Virtually all water, waste, and hospital districts are enterprise districts. Activities such as fire protection and mosquito abatement benefit the entire community, not just an individual user. Property taxes are used to cover the costs for these services. Each district must adhere to the rules, regulations and restrictions according to the state laws, which are established and amended by the legislature.
Dependent districts have no power to tax or set levels of service.
Governing boards vary in size and nature of the district. Most districts have five-member governing boards, other governing boards vary from three to eleven members. The Metropolitan Water District of Southern California, which has 52 board members, is an exception. The board is usually chosen by majority vote within the district. Most independent districts have their own General Manager.