Potawatomi Property Owners Association
Board of Directors
Past Due Balance Policy
1. Declaration of Restrictive Covenants; ARTICLE V. COVENANT FOR MAINTENANCE ASSESSMENTS
a. Section 1. Personal Obligation of Assessments and Creation of the Lien. All owners agree to pay to the Association: (1) annual assessments or charges; (2) special assessments for capital improvements or other purposes deemed reasonable by the board, such assessments to be fixed, established and collected from time to time as subsequently provided. The annual and special assessments, together with such interest thereon and costs of collection thereof as subsequently provided, shall be a charge on the land and shall be a continuing lien upon the property, against which each assessment is made. Each such assessment, together with such interest thereon and cost of collection thereof as subsequently provided, shall also be the personal obligation of the person who was the Owner of such property at the time when the assessment fell due.
b. Section Annual Assessments Due Dates. The assessment for each succeeding calendar year becomes due and payable on first day of January of each year and shall be paid not later than the first day of April of each year.
c. Section Effect of Non-Payment of Assessment: The Personal Obligation of the Owner; The Lien; Remedies of Association. If the assessments are not paid by the first day of April of the applicable year, the assessment and any costs of collection shall become a continuing lien on the property. If an assessment is not paid by the first day of April of the applicable year, a penalty fee not to exceed $2.00 may be added there to and from that date interest at the rate of six (6) interest per cent per annum may be added to the delinquent balance and penalty, and the Association may bring an action at law against the owner personally obligated to pay the sum or to foreclose the lien against the property. There shall be added to such assessment, delinquent fees and interest and the cost of preparing and filing Complaint in such action and in the event that Judgment is obtained, such Judgment shall include interest on the total amount as above provided and reasonable attorney’s fee to be fixed by the court together with the costs of the action. If any assessment is not paid by the first day of April of the applicable year, the nonpaying member shall forfeit all rights in the Association until such time as assessments are current, including but not limited to, the right to vote at Association meetings, the right to serve on the board and the right to use the Common Properties.
a. Statements indicating past due balances shall be mailed to all property owners with past due balances, including all allowable penalties and interest, in May and October of each year
b. When a property owner reaches a past due of 53 weeks, the delinquent balance will be submitted to a contractor for collections.
c. In the event the contractor is unable to collect the outstanding balance, the Association reserves the right to seek remedies in court.
3. Policy Review
a. The Board shall meet in Executive Session during the May and October Regular Meetings to review all Past Due balances and this policy.
Duties and Responsibilities of the Board of the Directors: The Board shall act in accordance with and support the Covenants, act in the best interests of the association, maintain the common property, establish rental policies for use of the common property, maintain the financial solvency of the association and maintain the financial and other records of the association.