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Published on Chaska Herald (http://www.chaskaherald.com)

No due diligence: 1,000 Jonathan homeowners delinquent

By Mollee Francisco
Created 05/22/2008 - 12:34pm

More than a thousand of Jonathan Association homeowners have yet to pay their annual association dues this year.

According to Jonathan board treasurer Mike Liebe, the association’s March balance sheet showed outstanding payments totaling more than $115,000 – meaning 590 homeowners were delinquent in paying their dues. By April, that number had jumped to $192,000 – equating to 1,050 non-current homeowners.

“It’s kind of scary,” said Liebe. The Jonathan Association is a large homeowners group in Chaska stretching across 23 neighborhoods and encompassing some 8,000 residents in 2,900 homes.

In addition to the monies owed yet this year, there is an additional $40,000 due from members who haven’t paid their annual fee for the last two years. Liebe said that figure equates to 108 delinquent homeowners. Currently, the Jonathan Association has an annual fee of $195.

Liebe said that those dollars are generally earmarked for capital improvement projects.

“Right now we’re collecting just enough to keep things going,” he said. “Hopefully we’ll collect some more money. We can’t get anything done without it.”

Liebe attributed some of the delinquency to new homeowners who were under the impression that the association no longer existed or might not exist in the near future, homes in foreclosure and even protests over the former board’s actions. “I didn’t want to believe that at first,” said Liebe. “But at the annual meeting, someone handed me an envelope with two years worth of dues and told me he was convinced the board was finally going in the right direction.”

The association does have a collection policy for outstanding dues. According to Liebe, an initial letter is sent after 30 days of non-payment and homeowners are notified that they are now accruing a finance fee. A second letter is sent if no money is collected and after that, the association works with their attorney to file a lien on the property.

According to Liebe, the reality is that if things continue as is, the association, which is already looking at $231,000 in accounts receivable, could be $20,000 in the hole soon.

“That means we don’t fix or replace anything,” he said.

By comparison, last year at this time, the association only had $134,000 in accounts receivable.

“I’m not sure if it’s an issue of affordability or what,” said Liebe.

-Mollee Francisco, staff writer



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