Check the notifications section you can see in my screenshot.
The "When custom fields are modified" condition includes when the custom field goes from not-existing to having some value, i.e. when the post is first published.
So you can add the condition for your district custom field there to specify when the notifications should be sent.
Unfortunately, it did not help me, and I guess because I worded the question wrong.
Can we di one more try?
I want tol create a submit news form. But the notification when this form is submitted should only go to all the Userers that have already i.e. 'District 1' as a value in the select field in the Custom User field 'District'
Hope that make sense and that is still is possible to do?
In that case, no, it's not possible to do this without writing some custom code, where you would use the Forms API to modify the recipients of the notification.
You would send a notification to some admin account on form submit.
You would then use the cred_notification_recipients filter to modify who the notification was sent to, in this case running a user query to get users who have the required custom user field value, and then updating the list of recipients to cc: or bcc: these users.