Facing revenue challenges, California lawmakers enact the Mello-Roos Community Facilities Act in 1982. Viewed by some as a workaround to Proposition 13, it provides an alternative funding source but sparks controversy due to its impact on property taxes.
Mello-Roos Special Taxes and Notice of Special Tax
The Mello-Roos Act introduced special taxes that could double property taxes, often perceived negatively by the public. These taxes were complex, foreclosable liens, leading to a disclosure requirement for sellers and agents. This requirement included obtaining a Notice of Special Tax from government agencies that established the districts.
