What is a special assessment?

A special assessment refers to a charge levied against specific properties to cover the costs of improvements or services that benefit those properties directly. When a local government or municipal authority undertakes a project, such as constructing a new road, sidewalk, or sewer system, the associated costs can be allocated specifically to the properties that will benefit from these improvements. This ensures that the expense is fairly distributed among the property owners who will gain utility from the project rather than spreading the cost evenly across an entire district or community.

Properties that are deemed to directly benefit from the improvement are assessed to pay their share, which is typically based on the degree of benefit received. This system allows for funding of necessary infrastructure improvements without burdening those who do not benefit from the project. Special assessments are often used when the costs are substantial and there is a clear advantage to the properties within the specified area.