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TomE4 (South Carolina)
Posts: 26
Posted:
Looking for some advice on a specific section of our covenants. We have several paragraphs dealing with assessments, but then the following paragraph (at the very end of the section on assessments) seems to negate everything else that was said about assessments.

Specific Assessment. The Board shall have the power to specifically assess pursuant to this section as it shall deem appropriate, in its sole discretion. Failure of the Board to exercise its authority under this section shall not be grounds for any action against the Association or the Board of Directors and shall not constitute a waiver of the Board's right to exercise its authority under this section in the future. The Board may also specifically assess Owners for the following Association expenses (except for expenses incurred for maintenance and repair of items which are the maintenance responsibility of the Association).

How would you interpret this?

Thanks,

Tom
JanetB2 (Colorado)
Posts: 4,219
Posted:
Hi Tom:

The last sentence makes this confusing ... to get a better idea could you post the text exactly as it is in your documents regarding assessments.
TimB4 (Tennessee)
Posts: 21,059
Posted:
Without seeing the full document language it's difficult to say.

The paragraph might be talking about Special assessments or the ability to charge an assessment to a specific member (perhaps to pay for something that they broke vs. normal wear and tear). It's possible it's talking about specifically assessing the member for upkeep to a limited common element (i.e. those that have access to it vs. everyone). It's also possible that it refers to something completely different that is mentioned in the section that we don't have access to.

See ยง 47Fโ€‘3โ€‘107. Upkeep of planned community; responsibility and assessments for damages. as it might help explain that section.

More information will provide better advise.

Tim
GlenL (Ohio)
Posts: 5,491
Posted:
Although it is difficult to interpret partial postings and things taken out of context, I would suggest you substitute the word "fine" for "Specific Assessment" to get the meaning of the article.

Studies show that 5 out of 4 people have problems with fractions
TomE4 (South Carolina)
Posts: 26
Posted:
Thanks for all the input. I'm not sure if I can legally post whole sections of our covenants (I would think so, but who knows). I think I have enough to go on now.

Thanks,

Tom
MelissaP1 (Alabama)
Posts: 13,836
Posted:
This sounds like the Board can make a Specified assessment to cover certain expenses without being sued or the association. I did't see the list of items except for the exception for maintenance. This seems to allow the board/association to have the ability to raise money for a specified special expense they choose.

I would say this may be in regards to covering additional expenses that fall outside of general operations/maintenance of the HOA. A good example are lawsuit judgements. Like I've posted a million times... You sue your HOA you sue yourself and your neighbors. The HOA may have to have a special specified assessment to cover the judgement ruled against them.

There are other examples but this one is the most likely to occur.

Former HOA President
LawrenceC1 (Georgia)
Posts: 480
Posted:
Tom,

Annual or regular assessments usually cover all members equally and cover budgeted expenses.

Special assessments are for items over and above the budget, usually to add a new feature to your community rather than for maintenance and operations.

Specific assessments are made to one member or a subset of the membership for something that benefits only one member or a subset of members. For example, if the community lake needed to be dredged it might be appropriate to assess only lakefront properties a share of the cost. Also, as Glen pointed out, any fines levied by the board are considered "specific assessments" on one member so that collection can be enforced like other assessments.

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