Feature Package PK-07 — Service Charge & Finance
Status: Package Specification
Domain: Billing / Collections / Finance
Maps to: Playbook (service-charge lifecycle)
External integration: ERPNext (GL/invoices), payments, bank
1. What This Package Does
Gives the HOA treasurer and finance team one auditable system for service charges and maintenance fees — issuing recurring charges, tracking collections, managing arrears, and reconciling with the association's accounts — replacing manual invoices, spreadsheets, and unmatched receipts.
2. Features & Functionality
| Feature | What it does | Who uses it | What stands behind it |
|---|---|---|---|
| Service-charge issuance | Recurring charges (monthly/quarterly) issued per unit based on unit entitlement or flat rate | HOA treasurer, finance | cns://claim/type/real-estate/service-charge; resource:budget_service_charge |
| Charge calculation | Declarative rate bands (by unit type/size) applied to all units; changes approved by HOA board | Finance, HOA board | lookup.claims.threshold.v1 (rate bands); board resolution |
| Collection tracking | Payments recorded per charge; partial payments supported; balance carried forward | Accounts | Payment reference on claim; ERPNext invoice mirror |
| Arrears management | Overdue charges flagged; escalation notices generated; payment plans proposed | HOA treasurer, property manager | SLA binding to Kestra (escalation cadence) |
| Three-way match | Charge → invoice → payment matched before funds cleared | Accounts | Three-way match (charge, invoice, payment); PoCE-recorded |
| Budget & fund visibility | Service-charge fund balance and allocation visible to HOA and owners | HOA board, owners | resource:budget_service_charge; live query |
| Surplus/deficit handling | Year-end surplus carried forward or refunded per HOA resolution | HOA board | Resolution claim (PK-03); fund adjustment |
3. Workflow (Service-Charge Cycle)
- HOA board approves annual budget and rate bands → resolution claim (PK-03)
- Service charges issued per unit per period → charge claims created
- Owners pay → payment references recorded; three-way match (charge, invoice, payment)
- Overdue charges flagged after grace period → escalation notices (Kestra SLA)
- Payment plans proposed for arrears → owner agreement → recorded
- Year-end: surplus/deficit resolved by board resolution; fund carried forward
- PoCE receipt per charge collection; financial statements from live data
4. Guard Rails
- No charge issued without board-approved rate band
- No payment cleared without three-way match
- Arrears escalation requires human approval at each stage (no auto-fine)
- ERPNext owns fiscal GL/tax; Sovereign owns charge state and collection proof
- If payments are unavailable → fail closed; no fake payment records
- No hardcoded collection rates on dashboards
5. Evidence & Audit
- Charge claims, rate-band resolutions, payment records, ERPNext invoice refs, arrears notices, budget statements, PoCE receipts