Late Fee Rule Change

Your Officers and Board appreciate that with the current economy some of our members may be experiencing difficulty. Unfortunately your yacht club also has obligations to meet. Our members previously established the policy for Indebtedness in our By-Laws, Article III, Section 8, which states, “Any member whose indebtedness to the Club exceeds thirty days shall stand suspended.” Our club rules for moorage charges, 1.07, and late fees, 6.01, both state that bills are delinquent after 45 days and late fees may be applied. This has led to a growing sense of entitlement with some member that they have 45 days to pay their bills. A recent review of the October 1, 2010, billing showed that over 28% of our members’ bills were delinquent and still outstanding as of November 1, 2010. A review of the January 1, 2011, billing which is primarily for moorage, showed that on February 1, 2011, 29.7% or almost 30% of the billing was still outstanding.

As a result of this conflict between the By-Laws and Rules and a sense that there was confusion over the bill payment policy your Board of Trustees on March 14, 2011, voted to changed rules 1.07 and 6.01 to state that bills are delinquent if not paid within 30 days and late fees are applicable.

Your Treasurer is required to post delinquent accounts after thirty days outside the office. Also I have to review the delinquent accounts with the Board at each meeting. If you are experiencing difficulty in paying your account, please contact the Treasurer to discuss options and payment plans. Your Treasurer can then ask the Board for latitude with payment and late fees.

John Rogers
Club Treasurer

(This is a reprise of last month’s article, which seemed to merit retelling in the interest of keeping our members informed. Ed.)