Community Assessment

Article IV, Section 4. (a) of the Declaration of Covenants, Conditions and Restrictions (Declaration) for The Whittier Community Association, Inc. (Association) requires each Member to pay to the Association, in advance, an annual sum, also referred to as a “Community Assessment” equal to the Members’ proportionate share of the annual expenses of the Association.

Article IV, Section 4. (b) of the Declaration for the Association requires each fee owner of a Lot to pay to the Association, in advance, an additional annual sum, also known as “Neighborhood Assessment”, equal to the Members’ proportionate share of the annual expenses applicable only to a particular “Neighborhood” or type of home as the Association may from time to time elect.

For purposes of this policy resolution, the “Community Assessment” and “Neighborhood Assessment” shall be hereinafter collectively referred to as “assessments”.

Article IV, Section 10. of the Declaration for the Association further provides that the assessments levied pursuant to the Declaration, or installment thereof, not paid when due shall be delinquent and shall, together with interest, late charges and the costs of collection, shall become a continuing lien upon the Lot or Lots belonging to the Member against whom such assessment is levied.

Article IV, Section 10. of the Declaration for the Association further provides that any assessment, or installment thereof, which is not paid within thirty (30) days after it is due may, upon resolution of the Board of Directors, bear interest from the due date until paid at the maximum legal rate permitted by the State of Maryland, and that the Board of Directors may impose late charges upon any assessment which has not been fully paid when due.

It is the intention of the Board of Directors for the Whittier Community Association, Inc. to establish formal policy and procedure, pursuant to the Declaration for the Association, for the collection of assessments.

In support of the above, the following shall be the procedure of the Association for the collection of assessments:

  1. Due Date: All assessments for the Association shall be collected on an annual basis due as follows:
    1. The Community Assessment shall be due on the 31st day of January of each calendar year.
    2. Any Neighborhood Assessment levied shall be due on the 28th day of February of each calendar year.
    3. Should either of the above dates fall on a weekend, the due date will be the next regular business day that is not a national holiday. 
  2. Late Fee: Any assessment not paid on or before the thirtieth (30th) day after the due date shall be considered late and the Association shall impose a late charge of ten percent (10%) of the assessment amount.

    The Association or its agent shall, on or about the thirtieth (30th) day after the due date, send a notice of late payment to each Member having an outstanding balance. The late notice will remind the owner of his/her obligation to pay an assessment, and that a late charge has been applied.

    All payments made shall first be applied against any unpaid balance on a Member’s account as of the date of receipt of the payment. As a result, the current assessment, or a portion thereof, may still be considered late. 

  3. Notice of Intent to Create Lien: If the Member’s account is not paid in full within sixty (60) days after the due date the account may be turned over to the Association’s attorney to send a NOTICE OF INTENTION TO CREATE A LIEN (NOI), pursuant to the Maryland Contract Lien Act. The Member shall be responsible for any and all costs associated with the preparation and delivery of said notice. …/…WHITTIER COLLECTION 2014 Whittier Community Association Policy Resolution for Collection of Assessments. 
  4. Filing a Lien: If the balance requested in the NOTICE OF INTENTION to CREATE A LIEN has not been paid in full in thirty (30) days, pursuant to the Maryland Contract Lien Act, the Association may file a STATEMENT OF LIEN (“Lien”) on the Member’s property to secure the amounts due and owing. The Lien shall be filed for and include the amount of unpaid accelerated Assessments, together with interest at a rate equal to the maximum rate permitted under the laws of the State of Maryland, accrued late fees, actual costs of collection, including the costs of preparing and serving the NOI, the costs of the preparation of the Lien, attorney’s fees, and any charges assessed against the Member. The Member is also responsible for all fees incurred in the filing and releasing of a recorded lien, including but not limited to, filing fees, and recordation taxes. No lien will be released until the full amount owed on the account is paid, including outstanding attorney’s fees, late fees, interest, and other charges. 
  5. Priority of Payments. All payments made shall be allocated in the following order of priority:
    1. Charges for attorney’s fees, court costs and other costs of collection,
    2. All late fees and accrued interest,
    3. Any special assessment levied against the Owner or property,
    4. The annual assessment amount. Beginning with the oldest balance. 
  6. Collection Action-Member Responsibility for All Costs of Collections: The Board of Directors, either directly or through its agent, may at any time turn a delinquent account over to legal counsel for collection proceedings as allowed in Article IV, Section 10 of the Declaration for the Association or any other action at law which the Board of Directors may deem appropriate. All costs of collections, including, but not limited to, the costs of the preparation of any notices prepared by the attorney, all filing fees, private process server costs and attorney’s fees, will be added to the delinquent Member’s account. 
  7. This policy may, from time to time, be amended, repealed or superseded pursuant to applicable laws.

Adopted by Resolution of the Board of Directors on February 25 , 2014 at a meeting of the Board of Directors at which a quorum was present and a majority of the quorum voted in favor of the Resolution.