The reason for the high amount was due to several indicative factors:
The collection of the receivables began with the financial audit by the HLCA independent CPA. Two accounts were determined uncollectible due to bankruptcy and bank foreclosure. The board made the decision to write off the two accounts totaling $17,010. The remaining amount was collected by diligence to follow the HLCA board policy for collection procedures. As the on-site CAM, we send courtesy reminder notices to all unit owners at ten days late. We made phone calls to accounts to inquire if the correct address was being used to mail payments. We found that some owners were not using the correct address and we assisted with the address for Arizona lockbox. We met with unit owners to examine their account histories, often line by line, to ensure that all their checks were posted. We also used labels on envelopes that we handed out to the owner to ensure the checks were going to the correct location, often before coupon books arrived. If accounts remain as status unpaid, then the next notices are sent at 45 days. At 60 days, per board policy, the accounts are reviewed by the board, and further action is determined for filing of lien by the association attorney. One lien was filed in the timeline; however, it was released because the unit owner paid in full.
Additionally, Associa sends computer-generated notices when the accounts are past due. Over my 25 years of property management experience, accounts statistically will pay when professional, consistent communication is made without lapse.
We communicated with the slow pay accounts and encouraged enrollment for Direct Debit. As of 5/31/2018, 108 accounts were enrolled. Seventeen months later, 135 accounts were enrolled. Any new owners that became part of the association were also encouraged to enroll in Direct Debit. As of today, enrollment is 142.
Customer service is our product that we provide to the unit owner. We strive to “sell” our product. Direct Debit is presented as a convenience, as well as helpful information to offer a clear understanding of account history, all of which provides customer service to the owners
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December 12HOA Architectural Review Guide
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