QUESTION:  If for whatever reason(s) we are unable to pay a semi-annual HOA assessment fee, and we are not eligible for or elect not to pursue a Payment Plan (discussed in the October 2018 Springs CCR discussion article), what HOA late fees are assessed?

 

ANSWER:  Late fees are assessed homeowners who fail to pay a semi-annual assessment and do not have an approved or active Payment Plan.  Late fee policy was established by the HOA Board of Directors Resolution adopted by the Board and recorded at the County Clerk’s Office in March 2012, titled “Resolution of the Board of Directors of the Springs at Stone Oak Owners Association Establishing Reasonable Late Charges for Non-Payment of Assessments.”  The policy is included in the Consolidated CCR’s, as part of Article XXXV, Covenants for Maintenance Assessments:

 

Reasonable Late Fees. Any assessment which is not paid by the due date shall be subject to a late charge.

  • o The first month during which an assessment shall be delinquent the late charge shall be $25.00.
  • o Each account which has a delinquent assessment balance of more than thirty days, but less than sixty days, shall be subject to an additional $50.00 late charge.
  • o Each assessment which has a delinquent balance of three months or more shall be subject to an additional late charge of $100.00 per month during each month such delinquency shall continue.

Notwithstanding the foregoing, the total amount of late charges assessed against any individual Owner shall not exceed an amount equal to the annual assessment levied on Lots subject to the Declaration, in the amount levied for the year in which the delinquent balance shall first become delinquent [$860 for assessments delinquent in 2018].

 

The above information should serve as an incentive for Springs homeowners who anticipate not being able to pay their next HOA semi-annual assessment to request a Payment Plan, as detailed in the October 2018 CCR Discussion article on this website.  Please also remember that in addition to late fees assessed delinquent accounts, interest is charged at a rate of 12% per annum on the balance of those accounts.

 

These periodic CCR messages intend to remind residents of The Springs of the Covenants, Conditions, and Restrictions (CCR’s) that apply to all Springs residents solely by our election to live in this community. The purpose of the CCR’s is to maintain specific standards for the good of us all, as articulated in their definition:


“THE SPRINGS AT STONE OAK is encumbered by these Restrictive Covenants for the following reasons: to seek to achieve the best and highest use and most appropriate development of the property; to protect lot owners against improper use of surrounding lots; to preserve so far as practical the natural beauty of the property; to guard against the erection of poorly designed or proportioned structures of improper or unsuitable materials; to encourage and secure the erection of attractive improvements on each lot with appropriate locations; and to secure and maintain proper setbacks from streets and adequate free space.”

If you are a Springs resident who has misplaced your copy of the CCR’s, or are a new resident who wasn’t provided a copy by the previous owners or your realtor, you can view (and download in Adobe Reader [.pdf] format) the complete Springs CCR’s and By-Laws at the Consolidated Bylaws and CCRs section of this website, located in the Pages & Links tab.