Scandal-Ridden California City Must Return Tax Dollars

By Staff | September 13, 2010 | 2:32 PM EDT

(AP) - Homeowners in the small Southern California city of Bell should be receiving a total of $3 million in property tax refunds in the coming months.

Lt. Gov. Abel Maldonado signed a law Monday allowing taxes collected illegally to be returned to the working-class suburb's approximately 4,000 property owners. The exact amount of each refund will depend on the value of property.

Maldonado, acting as governor while Gov. Arnold Schwarzenegger is out of state, signed the bill at Bell City Hall.

The Los Angeles suburb is the target of state and federal investigations looking into high taxes, hefty salaries paid to several former Bell officials, and allegations of racial profiling of Hispanic drivers.