A. If a public agency owning property, including property held in trust for any beneficiary, which is otherwise exempt from a special tax grants a leasehold or other possessory interest in the property to a nonexempt person or entity, the special tax shall be levied on the leasehold or possessory interest and shall be payable by the owner of the leasehold or possessory interest.

B. When entering into a lease or other written contract creating a possessory interest that may be subject to taxation, pursuant to subsection (A) of this section, the public agency shall include, or cause to be included, in the contract a statement that the property interest may be subject to special taxation pursuant to this chapter, and that the party in whom the possessory interest is vested may be subject to the payment of special taxes levied on the interest. Failure to comply with the requirements of this section shall not, however, invalidate the contract.

C. If the special tax on any possessory interest levied pursuant to subsection (A) of this section is unpaid when due, the tax collector may use those collection procedures which are available for the collection of assessments on the unsecured roll.