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Delinquent Property Tax Funding Program

Urban Futures Financial Group is the financial advisor for the California Statewide Community Development Authority (CSCDA) and Tower Capital Management on the Delinquent Property Tax Funding Program.

The Delinquent Property Tax Funding Program enables cities, districts, community facilities and special assessment districts that do not participate in a county Teeter plan to sell or assign their share of their county’s delinquent 1% levy taxes to the CSCDA. Cities and districts can now receive immediate cash for their share of uncollected property taxes that have been levied on their behalf.

In practice, this program acts as a “private Teeter plan” for agencies and districts that do not participate in a county Teeter plan and are very similar to the Teeter plans available in 53 of California’s 58 counties with at least two significant differences:

  • CSCDA pays a 10% premium in addition to the principal amount of the delinquencies that are purchased versus a Teeter plan that is limited by law to 100%.
  • CSCDA allows participating agencies to exit the program after an initial three-year commitment versus a Teeter plan that does not allow individual agencies to exit.

Under this program Local Taxing Agencies receive 100% of each year’s direct levy of special taxes and assessments which provides bondholders with the security that they will be paid in full and on time. For more information, please visit the CSCDA website or contact us.

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Urban Futures, Inc. Corporate Office: 17821 E 17th St, Suite 245 Tustin, CA 92780
Northern California Office: 1470 Maria Lane, Suite 315, Walnut Creek, CA 94596