Assessment Area Levies/Debtors Assessment Last Assessed: 14th Jan 2022 at 11:02 am Responsible Party: Detailed Assessment - Levies/Debtors Detailed Assessment - Levies/Debtors How do levies compare with those of similar Community Schemes? * Well below the average/market Below the average/market In line with the average/very comparable Above the average/market Very much higher than the average/market How well are levy increases accepted? * Very well Some resistance Quite a bit of resistance A lot of resistance Does the Community Scheme have a levy subsidisation scheme or fund in place? * Yes - we pro-actively use this to manage and smooth levy increases Yes - to some degree but we have not always been able to curb the growth in levies No, not really. We tried but this quickly became impractical due to the realities of our expenditure levels/unpaid/outstanding levies No, we do not have a levy reserve fund in place and prefer to match levies against budgeted expenditure/make use of special levies if necessary No, not at all How vulnerable is the Community Scheme to the non or delayed payment of levies for whatever reason e.g. retrenchment levels of owners/tenants, rentability of units by owners, inability of owners/developer to sell units, illegally occupied units, inability to evict tenants, poor reputation of complex, lack of security, poor state of facilities, inability to maintain the assets of the Community Scheme to an acceptable standard? * Not vulnerable at all Some vulnerability Fairly vulnerable - high reliance on current levy flows Very vulnerable - we are heavily reliant on current levy payments and failure of payment flows could well result in the collapse of the Community Scheme e.g. level of cash resources and balance sheet Are any incentives being offered to owners or lessees to settle levy payments/dues early/on time? * Yes Yes but not financial No Is interest being recovered on late and arrears levies? * Yes Yes but not applied No Are the full cost of collecting arrears and outstanding amounts being recovered from defaulting debtors e.g. legal costs, admin costs etc? * Yes No Don't know/Can't establish Has the Community Scheme suffered any bad debts that have had to be written off? * Yes - on a number of occasions Yes - but infrequent Yes - single incident No - none at all Were the losses/write offs significant/material? * Yes Manageable No Do the Trustees/Directors/Estate Management know the state of arrears of owners in respect of municipal tariffs e.g. rates and taxes, electricity/water where applicable? * Yes - fully aware of situation and pressures being faced and potential impact on the payment of levies Yes to a large degree - we are aware of municipal legal action/delays in the transfer of certain sales due to this Yes to a small extent - we have limited awareness of the situation No, not at all. Situation of owners and impact on affordability of levies however remains a big concern What is the outlook for levies/contributions e.g. ability to implement increases, collectability, level of default, level of bad debts? * Very positive in all respects Good/positive in most respects Mixed - some areas will be worse than other Unfavourable in a number of respects Very poor in all respects Have no idea Does the Community Scheme provide relief to owners for the late or non-payment of levies for any specific reason e.g. financial difficulties being experienced, health reasons, unemployment, non-payment of rental by tenants etc? * No, not at all No, very rarely - and only subject to a formal request where a specific repayment plan is provided No, not really but very temporary relief is granted to known/long standing owners Yes to some degree - exceptions are made from time to time Yes, fairly often Yes, consistently - we have precedents here resulting in major problems, cash flow difficulties and even bad debts If you are human, leave this field blank. Submit