Braun Station East Community Improvement Association

DELINQUENT ASSESSMENTS

Board Adopts Resolution

At its regular meeting on Febrauary 20, 2001, the BSECIA Board of Directors adopted a resolution concerning collection of delinquent assessments. The text of the resolution follows:

Resolution Text

Remedies for Nonpayment of Assessments
(Expires when rescinded or modified)

WHEREAS, Article V, Section 8 of the Braun Station East Covenants. Codes and Restrictions (the Restrictions) and Article XI of the Braun Station East Community Improvement Association, Inc. (BSECIA), By-laws (the By-laws) empower the Board of Directors of the BSECIA (the BOARD) to take action in seeking remedies for non-payment of member assessments; and,

WHEREAS, there is a need to adopt specific rules and due process for collection actions for non-payment of assessments in order to provide a fair, impartial method of collecting delinquent assessments; and,

WHEREAS, these remedies for nonpayment of assessments shall apply to all members of this Association known as the Braun Station East Community Improvement Association, Inc.;

NOW THEREFORE, BE IT RESOLVED THAT the remedies for non-payment of assessments by members will be as follows:

1. Any account for which assessment payments are not received by the due date shall be termed delinquent.
2. Thirty (30) days after the due date, a notice of delinquency shall be mailed to the MEMBER(S), which notice shall include the amount of the delinquent payment, interest charge at the rate of 6% per annum or the maximum rate permitted under the laws of the State of Texas, cost of collection, and the total amount remaining unpaid.
3. Sixty (60) days after the due date, a second notice of delinquency shall be mailed to the MEMBER(S) via first class and certified mail, which notice shall include the amount of the delinquent payment, a second interest charge at the lesser of the rate of 6% per annum or the maximum rate permitted under the laws of the State of Texas, cost of collection, and the total amount remaining unpaid.
4. Ninety (90) days after the due date, a final notice of delinquency shall be mailed to the MEMBER(S) via first class and certified mail, which notice shall include the amount of the delinquent payment, a third interest charge at the lesser of the rate of 6% per annum or the maximum rate permitted under the laws of the State of Texas, cost of collection, and the total amount remaining unpaid.
5. If, fifteen (15) days after the mailing of the final notice of delinquency, the account remains delinquent and no response has been received from the owner of record, the property in question and the name of the MEMBER shall be turned over to the Association’s legal counsel for the actions specified in Article V, Section 8 of the Restrictions and/or as decided by the BOARD by Special Resolution. The Board of Directors will be advised of such action at their regular meetings. All attorneys fees incurred by said collection action shall be the whole responsibility of the MEMBER, per Article V, Section 1, of the Restrictions and will be attached to the MEMBER’S account.
6. A MEMBER with a delinquent account shall be deemed a Member Not in Good Standing and shall not be eligible to vote as a member or use the recreational facilities unless and until such time as the account has been brought current. At the same time as the delinquent account is turned over to counsel, the right to serve on any committee established by the BOARD, or to serve on the BOARD, shall be suspended until such delinquent assessments have been paid.

IN WITNESS HEREOF, as a result of the passage of this resolution by the BOARD, the undersigned have executed this consent as of February 20, 2001.

Darryl F. Richards, President