Memorial Northwest Homeowners' Association
Frequently Asked Questions

1.   What are HOA Association Dues?

      HOA association annual dues (currently $400.00 per year) are paid by each and every homeowner in the subdivision.  They are collected and used to provide common services for the benefit of the entire subdivision such as landscape maintenance, mosquito fogging, security, deed restriction enforcement, utilities, maintenance and operation of the community center recreational facility and other needs of the homeowners.

2.  How frequently does the Association increase the fees?

     This Association has increased the fees five times since the inception of the subdivision in the early 1970s.  The maintenance fund ($196.00) was last increased approximately nine years ago.  In 2005 there was an additional $175.00 per year voted on by the homeowners to fund the takeover and ongoing operation of the community center.  Total dues are now $400.00 ($225.00 and the $175.00 as mentioned above.)

3.  How does the association decide if dues increases are needed?

      Generally, the Association prepares a budget prior to December 1st of each year.  This budget is based on the expected expenditures for the following year.  Contracts are reviewed every year and sent out for bids when the Board deems necessary.

      Every effort is made to keep the cost as low as possible without sacrificing services.  Once the Board sets the budget, the Board reviews the cash reserves and determines how much will be needed to fulfill the budget based on the correct rates.  If there is a shortfall, then an increase would be necessary or services would need to be cut.

4.  What cost increases have we faced over the last several years?

      Over the past ten years, the consumer price index has increased on an average of three (3%) per year.  The Security Contract increases on the average of five (5%) per year.  Since it has been nine years since the last increase, this means that the cost of living has gone up approximately thirty (30%).

5.   Has the Association cut any services in the past?

      Yes.  In 2004, the Association decided to decrease the number of deputies that patrol the subdivision from five (5) to four (4).  This saved the Association approximately $50,000 and delayed the need for an increase for a couple of years.

6.   Do the Board Members get paid for their service on the Board?

    No.  The Board members serve in strictly a volunteer capacity.  The Association bylaws provide that they can be reimbursed for out-of-pocket expenses when they occur but no fee or salary is paid for their Board Service.

7.  How do the fees for Memorial Northwest compare with other subdivisions in the area?

      It is somewhat difficult to compare subdivisions because of the difference in services, size and amenities. Our subdivision enjoys an advantage of scale and we have worked hard to keep costs in line with revenues. However, at $400.00 per year, Memorial Northwest enjoys the lowest fee for any subdivision that has a community center / recreational facility in the surrounding area.

8.   Why can't the Association continue with the Community Service Fee?

      A recent ruling by the Texas Supreme Court has made assessing the fee more difficult.

9.   How are Community Service Fees approved now?

      The Association is required to provide notice to every homeowner of their intention to hold a meeting for the purpose of discussing and approving an increase in the Community Service fee.  This notice is generally placed in the newsletter that is sent to every home in the subdivision.  The meeting is then called, a quorum is established and if the fee is approved by a majority vote of those present, then it becomes a legitimate fee.  A quorum for your Association is thirty (30) homeowners.  If the parties attending are husband and wife, then theoretically, fifteen (15) homes could approve an increase in the community service fee.  Please note these meetings are generally attended by more than thirty (30) people but much less than a simple majority of the subdivision.

10.  If I am opposed to acquiring the club, why should I sign the amendment?

      The increases provided for in the amendments do not take into consideration the club acquisition or the monies needed to maintain the club.  This issue will be handled by a separate vote.

11.  What cost increases have we faced over the last several years?

      The ability to increase fees from time to time is needed to keep up with the cost of living increases that currently take place every year.  Over the past ten years, the consumer price index has increased on an average of three (3%) per year.  The Security Contract increases on the average of five (5%) per year.  Since it has been seven years since the last increase, this means that the cost of living has gone up approximately twenty-one (21%) percent.

12.  How do the fees for Memorial Northwest compare with other subdivisions in the area?

      It is very difficult to compare subdivisions because of the difference in services, size and amenities.  At $400.00 per year, Memorial Northwest enjoys one of the lowest fees in the immediate area.

13.  Do the Board's in other subdivisions have the right to automatically
increase maintenance fees when necessary?

      Yes.  All restrictions that have been reviewed provide for an increase in fees to be administered by the Board of Directors.  Of course, in most instances there are limitations to what the Board can increase the fees to without going to the membership. The ten (10%) percent cap is the trigger that calls for a vote of the homeowners.

 

 

 

 

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