What is Mello-Roos?
Why do some homes have this assessment?

Mello-Roos refers to “special” tax districts.  Senator Henry J. Mello and former Assemblyman Michael Roos won passage of Mello-Ros Community Facilities Act in 1982.  This legislation authorized Mello-Roos Community Facilities District as a way to assist cities, counties and school districts to provide new infrastructure and facilities after governmental funds were cut by the passage of Proposition 13 in 1978.

Under Mello-Roos Community Facilities Act, landowners put up their land as collateral so that public agencies, like a school district could raise money to pay for vital basic public facilities.  The public agency forms a Mello-Roos Community District that sells bonds to fund the construction of these new public facilities.  A bond allows for payment over a specific amount of time through special taxes levied on property owners in that particular district.  Mello-Roos taxes area paid by the County Tax Collector as part of the normal property tax system.

Not all “new” homes communities are affected by Mello-Roos special taxes.  For example, sometimes a new neighborhood is built within existing communities.  Because public facilities are already in place, they are not subject to Mello-Roos taxes.