The New International Encyclopædia/Special Assessment

SPECIAL ASSESSMENT. A compulsory contribution levied in proportion to the special benefits derived from a public improvement, and designed to cover, entirely or in part, the cost of that improvement. A special assessment is levied most frequently in connection with the opening or improvement of streets or highways. It differs from a tax in that it is levied in proportion to the benefit directly derived from the uses to which the contribution is put. (See Tax.) Charges of the nature of special assessments were imposed in France as early as 1672. In 1807 a general law was passed authorizing such levies, but it has rarely been invoked. In Prussia, since 1875, the expenses of certain street improvements have been partially defrayed in this manner. In England contributions of the nature of special assessments were imposed in 1427 and in 1667. The Public Health Act of 1875 permits urban authorities, under certain contingencies, to recover the cost of improvements from property-owners, in proportion to the frontage of their premises. In England, however, no general policy of covering the costs of improvements by special assessments exists.

The principle of special assessments first appeared in America in a law of the Province of New York of 1691. By that law. however, all houses in the city of New York might be assessed in proportion to benefits derived from public improvements. By a law of 1787, assessments were limited to the owners of property which was intended to be benefited. In other States this form of revenue appeared about 1830. After the Civil War the principle became far more extended, and is now throughout the United States a recognized principle of local finance. In a typical case, when a street is graded or paved, after the improvement has been made a board of assessors is appointed, who apportion the cost in proportion to benefits received. Such assessments are usually subject to legal limitation as to amount. Consult Rosewater, Special Assessments (New York, 1893).