Policy on Delinquent Maintenance Accounts; Order of Application of Funds Paid

We are blessed by a great majority of owners who pay their fees in a timely manner. It is for them that we must take steps to promote payment by those few who do not.

For quite some time, the Association’s first line of defense has been to impose a $25 delinquency fee on payments that are fifteen days late, then another $25 at the thirty day point.

Since those who do pay on time are bearing the burden of those who still have not paid, the Board has revised the policy so that in each subsequent month that the amount due is not paid in full, an additional $50 will be added on the fifteenth of the month.

Note that amounts delinquent include not only the quarterly assessments, but any fines or penalties levied as well as other charges such as legal fees levied in accordance with the Association's governing documents.

This revised policy took effect on July 1, 2009; the regulation covering that and the order of application of funds paid was included in a new resolution adopted in May 2010. You may see the resolution here.

For your general information, as outlined therein, when payments are received, they are applied to outstanding sums due in the following order:

a.  Outsdanding fines, penalties, and imposed costs,

b.  Outstanding late fees,

c.  Outstanding attorney's fees and costs,

c.  Outstanding special and emergency assessments, and

d.  Outstanding maintenance fees.

Delinquent owners may be subject to legal and collection fees, interest charges, acceleration of obligations, or other steps. The Board generally cannot grant different treatment to different folks, but if you do face an unexpected, limited-term problem and want to suggest a payment method that you can responsibly meet to catch up in a timely manner, please feel free to talk with the Association.