MUDs (Municipal Utility Districts) provide water, sewer, and drainage services to local residents, which are paid for through service fees (your water/sewer bill) and property taxes imposed by your local MUD. The MUDs are seperate government entities and operate independently from the Woodlands Township and local county government. Woodlands residents actually receive a separate property tax bill from their local MUD in addition to the consolidated tax bill issued by the county tax office. There are 12 different MUD districts within The Woodlands and each one independently sets their own tax rate and policies, and each one is governed by a board of directors elected by residents within that MUD district. The total tax rate imposed on property thus varies by location, depending upon which MUD serves that location.
In Panther Creek, MUD #1 services the properties north of Woodlands Parkway (with the exception of Herald Oaks and Windward Cove), while the latter neighborhoods and properties south of Woodlands Parkway are part of MUD #07.