What is a Special Assessment?
By: Robert M. Nordlund, P.E., R.S. January, 2004
A Special Assessment is an unplanned, special tax levied upon the members of an association. Sometimes a special assessment comes about due to misfortune (in order to meet a large insurance deductible or a non-insured loss), or due to poor planning (failing to set aside sufficient funds in advance for a predictable expense).
A special assessment can be a single demand by the association for a lump sum, or it can be an amount spread over multiple payments to provide owners with some payment flexibility. Some associations even provide a small discount if the total is paid in full in advance.
