Introduction to Bonded Community Facilities Districts
Background What are Community Facilities Districts? Community Facilities Districts (“CFDs”), also known as Mello-Roos Districts, are special tax districts that were created in 1982 through the Mello-Roos Community Facilities Act of 1982 as a means of obtaining additional public funding and financing for various services and infrastructural improvements in California by imposing special taxes on property. In bonded CFDs, improvements are funded through the sale of land-secured municipal bonds. Property owners within the district boundaries pay an annual special tax until the debt service on the bonds is completely paid off over a designated period. CFDs were created by and …
Introduction to Bonded Community Facilities Districts Click Here to Read More »