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HomeGovernment CodeDiv. 1Ch. 2Art. 4.5§ 23260 County Debt Distribution Rules

§ 23260 County Debt Distribution Rules

Government Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 23260 County Debt Distribution Rules

Key Takeaways

  • •When one county gives land to another, they must fairly split the debts.
  • •The new county can add extra taxes or fees to help pay the old county's debts.
  • •They look at how much money both counties owe and how much the land is worth to decide who pays what.
  • •They use the latest property values to make sure it's fair.

Example

County A gives some of its land to County B. County A still owes money for building roads.

County B might have to add a small extra tax to help pay for those roads. They check how much both counties owe and how much the land is worth to decide how to split the bill.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 23260 County Debt Distribution Rules

Except as otherwise provided in this article, the commission may, in determining a fair, just and equitable distribution of the indebtedness of the transferring county between that county and the accepting county, provide for: (a) The levying or fixing and the collection in the accepting county of (1) special, extraordinary or additional taxes or assessments, or (2) special, extraordinary or additional service charges, rentals or rates, or (3) both. (b) The imposition, exemption, transfer, division or apportionment, as between the transferring county, and the accepting county, of liability for payment of all or any part of principal, interest or any other amounts which shall become due on account of all or any part of any bonds, including revenue bonds outstanding or authorized at the time a petition is filed or resolution adopted, or other contracts or obligations, of the transferring county; and the levying or fixing and the collection in the accepting county of any (1) taxes or assessments, or (2) service charges, rentals or rates, or, (3) both, as may be necessary to provide for such payment. In making its determinations, the commission shall ascertain the current indebtedness of both affected counties. It shall also ascertain (a) the total assessed value of all property located in both affected counties; and, (b) the assessed value of the territory to be transferred. The assessed values used by the commission shall be those shown on the last equalized assessment roll of both affected counties. (Added by Stats. 1974, Ch. 1393.)

Last verified: January 22, 2026

Key Terms

liabilityresolutioncommissioncontractterminationpropertyportobligation

Related Statutes

  • § 56886 Reorganization Terms And Conditions
  • § 23254 Property Transfer Protest Rules
  • § 23264 County Boundary Change Report
  • § 23334 County Debt Distribution Rules
  • § 23262 County Boundary Tax Relief

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Government Code. Section 23260.
View Official Source