Indiana HOA Special Assessment Calculator — IC 32-25.5-4-4 (Indiana Condominium Act) & IC 32-21-13-6 (Planned Community Act)

Indiana has NO statutory percentage threshold that automatically triggers a required member vote for special assessments. Under IC 32-25.5-4-4 (Indiana Condominium Act) and IC 32-21-13-6 (Planned Community Act), board authority is generally sufficient unless the DECLARATION specifically requires owner approval above a certain dollar amount or percentage. This distinguishes Indiana from WUCIOA in Washington (RCW 64.90.430: board assessments above 5% of the annual budget require 67% member approval) and California (Civil Code Sec. 5605: assessments over 5% of the annual budget require member vote). Before imposing a large special assessment in Indiana, the board should review the declaration's special-assessment provisions carefully.

Indiana HOA and condominium declarations vary considerably on special assessment provisions. Common structures include: (1) BOARD AUTHORITY ONLY — the board may impose special assessments without owner vote (most common); (2) DOLLAR THRESHOLD — owner approval required if the per-unit assessment exceeds a specified amount (e.g., three months of regular assessments); (3) PERCENTAGE THRESHOLD — owner approval required if the total assessment exceeds a percentage of the annual budget (similar to WUCIOA's 5% threshold but set in the document, not the statute). The board must read the declaration's special-assessment article before proceeding with any large assessment.

INDIANA (IC 32-25.5-4-4): No statutory percentage threshold; declaration controls whether owner approval is required. WASHINGTON WUCIOA (RCW 64.90.430): Board may impose without owner approval UNLESS total special assessments in the same year exceed 5% of the annual budget — at which point 67% of unit owners must approve. Indiana's lack of a statutory threshold gives boards more flexibility but also means the declaration is the critical document. Indiana boards considering large assessments should review the declaration with HOA counsel before proceeding.

In Indiana, unpaid special assessments become a lien on the unit or lot under the declaration's lien-grant clause. The association may then pursue judicial foreclosure under IC 32-29 (Indiana Mortgage Foreclosure) to enforce the lien — the same judicial path as for delinquent regular assessments. The timeline for judicial foreclosure in Indiana is 12–18 months from complaint filing to sheriff sale, including the statutory three-month upset window under IC 32-29-7-3. Alternatively, the association may sue in small claims court for special assessment amounts within the jurisdictional limit (currently $10,000 in Indiana). The practical collection decision depends on the amount of the delinquency and the value of the unit.

Yes. Indiana courts have recognized that HOA and condominium boards must exercise their special-assessment authority reasonably and in accordance with the declaration. A special assessment that lacks a legitimate corporate purpose, is imposed for a purpose not authorized by the declaration, or is disproportionate in amount may be challenged in superior court. The board's best protection is a documented business decision: a board meeting with proper notice, a clear project scope, competitive bids, a documented need (e.g., reserve study or inspection report), and a resolution that recites the authorization under the declaration and the applicable statute.