At the recent MARA Workshop on April 18, 2015 when I mentioned that I as Road Commissioner on behalf of my Association, charge interest on the unpaid delinquent road maintenance fee assessments, the statement appeared to raise concern by some attendees.

I note that Section 6. in the document Appendix E: Sample Registry Notice of Non-Payment of Road Association Assessment that was distributed as a workshop handout says "....full payment of the unpaid assessments, interest and costs...." This I believe is a leftover from the Title 23 statute prior to the 2013 "Goodall" revision when collection of unpaid assessments could be made as a municipality collects unpaid property taxes [36M.R.S.A. §505] and we know that municipalities certainly charge interest. As mentioned at the workshop as Road Commissioner I have, by majority vote, been given the authority to collect interest on the basic road fee assessment. Further I note that none of the my recent lien or claim settlement pay-offs over the last few years have questioned the inclusion of interest costs. I believe that as long as the association's bylaws (if any) or the Annual Meeting minutes, validated by majority vote, the application of interest in the unpaid amount to be collected is proper and legal.

The interest rate that we use at the time the collection action begins is the same interest rate as used by my municipality, i.e., the maximum allowed by the Maine State Treasurer [36 M.R.S.A. §505.4] which has been 7.00% from 2010 through 2015.

I would appreciate any comments both “for” or “against” the policy of including interest in the computation of the delinquent amount owed to a road association.