Revenue generating Special Benefit Assessment Districts are authorized by state legislation to levy special benefit assessments for needed public rail transit facilities and/or services on the property which benefits from those facilities and/or services. Assessments are calculated annually based on either the square footage of the parcel or the square footage of the assessable improvements, whichever is larger. Benefit Assessment Districts have been established around the Metro Redline Segments 1 and 2 station areas. Similar districts are in the process of being created around future segments. Properties subject to assessment includes offices, commercial, retail, hotels and motels.