BMH Asks
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BMH ASKS: Property Managers
COVID-Related Late Fees W
ith many workers impacted negatively by the state’s economic shutdown being condo dwellers—and with the tourism shutdown set to last until at least Sept. 1—boards across the Islands are concerned about payment of fees and what that could mean for their association’s finances. BMH polled the leaders of top management companies for their best advice.
Mike Hartley President, Hawaiiana Management How much of a problem have Mike Hartley late/delinquent fee payments been for your properties? It has varied. Overall, it doesn’t appear that
people saw a huge short-term increase in new delinquencies, although associations are continuing to monitor. Some anticipate that there may be more long-term issues depending on how re-opening goes. Association responses included the following: • A number of associations waived late and/or interest fees in the short term. • A number of associations considered payment plan requests. • One association sent letters to owners who had not been delinquent before they became delinquent during the shutdown to see if they needed to set up a payment plan. • Associations followed rules/regulations regarding foreclosure moratoriums. While there were exceptions due to the situation with COVID-19, associations continued to follow collection procedures.
As the economic shutdown/
8 BUILDING MANAGEMENT HAWAII | AUGUST 2020
slowdown drags on, is the problem increasing? Or have recovery funds from the government helped? It is difficult to gauge. There were some people who thought it did and others who were not sure. Again, this could become more of an issue depending on how re-opening goes.
Neil Ross Senior Vice PresidentOperations, Associa Hawaii How much of a problem have Neil Ross late/delinquent fee payments been for your properties? For the most part, our association clients have not seen significant increases See Late Fees on page 13
