Late Payment Penalty Policy

Originally Adopted by MVRMA Board: March 21, 1994

Purpose

On rare occasions, member cities have failed to remit funds in a timely manner, affecting earnings of the Association and/or the timely payment of Association bills. This policy has been established to encourage members to pay the Association in a timely fashion.

Policy Statement

Article XI of the Amended Agreement and Bylaws of Miami Valley Risk Management Association, Inc. refers to the obligation of members to promptly pay all payments to the Pool, and to incur a penalty which shall be equal to the highest interest rate allowed by statute for any delinquent payments. Effective April 1, 1994, members of the Association shall incur a late payment penalty fee equivalent to 1% per month, for every day that payments are received after the bill's due date, provided that at least 30 days advance notice is provided by MVRMA for a regular payment and 60 days advance notice is provided by MVRMA for a supplementary payment.