Which of the following is an example of a special purpose district?

Special purpose districts are unique governmental entities created to address specific needs or services within a certain area, often beyond the capabilities of general-purpose governments like counties or municipalities. Municipal Utility Districts (MUDs) exemplify this concept as they exist to provide essential services such as water, sewage, or drainage in a defined region, typically where the local government does not offer these services.

In contrast, school districts, while indeed specialized, are more focused on education and are often categorized separately from other forms of special purpose districts. County governments represent broader governance over larger areas and multiple services, while city councils serve as local legislative bodies for cities, which do not fit the criteria of special purpose districts since their functions are more general and not limited to a specific purpose. Thus, Municipal Utility Districts effectively embody the characteristics of special purpose districts, fulfilling targeted community needs.