Through special studies, LAFCOs encourage governents to evaluate their current operations for reorganization. Local agencies often overlap and have the potential of duplicating services. LAFCOs conducts service, district merger, and subsidiary district formation feasibility studies. These studies provide general information about local governments and present alternatives for improving services and reducing operational costs.

Merger: The termination of the existence of a district, and the assumption of the district’s responsibilities by a city.

 Subsidiary district: A district of limited powers for which a city council is designated as the ex officio board of directors of the district. At least 70% of the district’s land area and number of registered voters must be within the city limits for a district to become a subsidiary district.