The Mello-Roos Community Facilities Act of 1982 provides a versatile method of financing public facilities, infrastructure and services associated with new development. It is more flexible than either assessment district or general obligation bond financing and can finance a wide range of facilities and services at interest rates that are typically several percent below conventional financing rates.
In the first years after passage of the Mello Roos Act many developers viewed it suspiciously s another vehicle by which public agencies could impose additional burdens on their projects. Today, however, developers view it as an important tool in the development process that can often mean the difference between a project's success and failure.
What
is A Mello-Roos District?
A Mello-Roos District or
Community Facilities District is
a financing district formed under this Community Facilities District
Act of 1982. (Code section 5311, et seq.). It provides designated local
agencies, including cities, counties, school districts and all other
municipal corporations and districts with authority to form Mello-Roos
Districts to finance a broad array of public facilities and services
through imposition of special taxes approved by a two-third vote of the
qualified electorate of the District. This vote is conducted
by either registered voters, or, if there are fewer than twelve
registered voters within the proposed District by landowners. The
facilities or services may be funded either through bonded indebtedness
secured by the special taxes or directly from the special tax proceeds
on a "pay-as-you-go-basis".
A local real estate agent should have information on Mello-Roos districts, when purchasing your home.
Information offered by:Crescent Moon Realty, Inc. For your "Free" home buyers guide contact Crescent Moon Realty, Inc. today.
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A local real estate agent should have information on Mello-Roos districts, when purchasing your home.
Information offered by:Crescent Moon Realty, Inc. For your "Free" home buyers guide contact Crescent Moon Realty, Inc. today.
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