Do fines ever become assessments? Are HOA-led home repairs assessments?

SayA, read your governing documents. In my association in Colorado the governing documents clarify assessments:
"Assessments may include, but are not limited to, the annual (regular) assessment, special assessments, late charges, interest, fees, fines, attorney fees, collection costs and court costs. All costs related to a delinquent account shall be assessed to the property and paid by the owner. The Declaration (Covenants) establishes that an assessment is a continuing lien upon the property and a personal obligation of the owner."

For the repair of an owner's property I recommend first getting a Court Order, otherwise you may be trespassing. The Court Order can allow assessment against the property.

So I think the short answers would be YES.

It depends IF fines are documented in your documentation to charge. Alot of HOA's do have policies such as "$20 for leaving garbage cans out on days garbage isn't picked up" ETC... However, unless that is IN the CC&R's it's most likely NOT enforceable when push comes to shove. I consider Fines similar to "Speeding tickets" and Dues/Assessments like "TAXES". Fines have to be agreed upon to charge before they could be assessed.

As for the HOA doing the work for a homeowner to be up to code, that IS a reason for a lien. If the homeowner's house needs painted to be an approved color, the HOA CAN paint that house and charge the owner for the work. If that owner doesn't pay, then the HOA can lien the owner the amount owed plus legal fees.

SayA,

Is the serious situation the guy parking autos in his rear yard? That to me is not that serious of a situation that the Board can't take the time to verify what you want to do through the Associations attorney. Yes the Association will need to pay for the advise but based on your previous posts, the Association should be positive that they are not violating due process.

BTW: I consider a serious situation one that involves safety.

Tim

Stacy,

Fines for violations are separate and in addition to your annual assessments. Paying one will not reduce the other.

Most States, but not all, will allow the fines to be considered as additional assessments which enable the Association to file a lien on your home for unpaid fines. Some States will only allow Associations to file a lien based on annual assessments and not for fines.

Every Association should have some due process that has to be followed when placing fines. Unfortunately, not all do. To dispute a fine a member would request a hearing with the Board of Directors. If the hearing is refused or the member does not agree with the results of the hearing, the member can consider taking the Association to court over the issue. If this happens, the loser typically pays all legal fees and court costs for both sides. Therefore, one should strongly consider all other avenues first.

If you are disputing a fine, State laws would apply. Typically the fines stop during the dispute. You would need to check your laws and governing documents. Note: if you lose the dispute, the fines might be backdated to the original date (basically as if the fine never stopped).

Hope this helped answer your questions.

Tim

Stacy, in reading the NC laws, I can tell you that in NC monies you pay to go assessments first, then fines. Also, you can request a hearing for any fines to dispute and you can't be fined before a hearing plus 5 days after a final agreement by the Board of committee. Unpaid fines can become assessments with time however. I don't know the details of your issue, but if I were you I'd ask for a hearing and see if you can explain the situation, and ask the Board to waive the fines in this case.

This might help - http://www.heathfieldneighbors.org/Docs/NC%20HOA%20LAWS.pdf

http://www.hoa-nc.com/StateLaws.aspx

I suspect that if the individual can't afford to maintain the property that they won't be able to pay the fines. Is the Association willing to foreclose on the members home? I ask as once you start fining and nothing happens this would be what the process would be. I'm not saying don't fine, I'm saying look at all aspects of the issue.

Has anyone tried to be a neighbor and find out what is happening with them and why the repairs aren't being made?

Tim

Try this approach: Send a letter or speak to them in person either way. Convey to them that the HOA is willing to make the necessary repairs to the home and hire a contractor. If they are agreeable to that, then ask them if they would like to choose a contractor or let the HOA hire their own contractor. (This is a COMPROMISE tactic just in case).

However, if that doesn't work then let them know the HOA plans on hiring their OWN contractor at the homeowner's expense. So now it is THEIR choice if they want the HOA to go through the expense or they choose a contractor out their own pocket of their own choosing.

This gives them the sense of some control or power which might make the pill go down easier. Most likely the owner will be quite disagreable either way. This is when let them know about the Lien process and how it will work IF they choose NOT to pay the HOA's bill. Believe me, they will threaten to sue and throw a big fit. Just don't panic or lose ground. Tell them if they want to sue that is FINE and okay. The HOA will then add the bill as a COUNTER-CLAIM to their lawsuit IF they choose to file one. A counter-suit is cheaper for the HOA and won't have to go through the lien process.

Your HOA better be prepared to pay a licensed/insured contractor and legal fees before trying this approach. The HOA could also ask for volunteers if they are so skilled to do the work. Just charge the owner for materials if that would be an option. There are options in working with an owner like this. It is ALL in the approach...