Living in the Neighborhood

Assessment Collection Policy – Revision

The Association relies on the collection of assessments (or dues) as a means of meeting operation expenses and of maintaining adequate reserve funds for neighborhood maintenance. Residents should clearly understand these fees at the time of purchase and closing. Each owner, by accepting a deed or entering into a recorded contract of sale for any portion of the Neighborhood, is deemed to covenant and agree to pay all assessments authorized in the Governing Documents. Through mailings and the newsletter, explanations of various aspects of the assessment collection policy and penalties for non-payment have been communicated more than once. However, there continues to be some confusion as to how the policy works.

At the end of this month’s print newsletter is a two-page summary of the Association Collection Policy as prepared by Abbott Enterprises. Effective February 1, there was a minor revision to the original policy outlined in the Neighborhood Covenant. In order to conform with recent legislation governing the North Carolina Planned Community Act, an additional step has been added to the collection process. Step 3 (15-day Pre-lien Letter) was added between the issue of a certified letter (at 60 days overdue) and lien filing (at 90 days overdue). The remainder of the policy remains unchanged. Please read this document closely and pay particular attention to the examples outlining the penalties for non-payment. Word and PDF versions may be downloaded from the Documents page.

A number of points should be highlighted:

Fees for single-family homeowners are due semi-annually (January 1 and July 1).

Fees for Peer Group (or townhome) owners are due on the first day of each month.

Late fees and possible additional charges begin when the payment becomes 30 days overdue. Penalty fees are assessed as follows:

Interest at 10% per annum (compounded monthly)

All costs, including legal fees, incurred as the result of filing a lien or foreclosure are the responsibility of the homeowner. These expenses can become substantial. (Please note that in the examples given in the policy summary, these fees will vary per case and are listed as $xxx.xx.)

Failure of the Council to fix assessment amounts or rates or to deliver or mail each owner an assessment notice shall not be deemed a waiver, modification, or release of any owner from the obligation to pay assessments.

The authority for the Association to assess late fees and penalties for late payment of assessments is granted under Article IX of the New Neighborhood Covenant. The policy is legally binding. Although the Council of Stewards can agree to waiver penalties under unusual circumstances, this is rarely done. Payment plans will be permitted only in cases of hardship, such as loss of employment, or if otherwise permitted by the Council, who will review all requests for such plans.

All owners (and residents) are encouraged to read the Covenant and to pay particular attention to the policy summary and examples in the document attached to the newsletter. If an owner does not make payment within 30 days of the due date, penalties WILL be applied.

If you have questions regarding your account, please contact Abbott Enterprises immediately. If you do not understand the policy, please contact a member of the Council of Stewards or Vera Victorino at Abbott.

Corrections to Database Information

Prior to the February meeting, Abbott Enterprises mailed an updated owner/resident directory to members of the Council of Stewards. Several errors were noted in the updated listing.