A Look at the Budet

Community associations operate and execute their duties based upon an annual budget. That budget is developed and approved by the board of directors but is sometimes subject to a vote of the membership during the association's annual meeting. Requirements for budget approval are typically outlined in the association's by-laws. Throughout the year, the board then monitors the economic condition of the association through periodic (usually monthly) financial reports and updates.

The association's budget is, essentially, an estimate of the income and expenses of the association for the year. A budget reflects an association's policy decisions (as proposed by the board of directors and approved by the members) regarding the programs and services that will be completed during the budget year. Often, the governing documents of the community will define the common property expected to be maintained by the association and other maintenance and service requirements. The budget then establishes what services the community will provide, when they will be done, and how much they are expected to cost.

Fort More information on Budgets read here:

• Budgeting Whys and Wherefores

If you have further questions on this issue, please feel free to contact J Brooks & Associates, Inc. at (239) 313-7129. As always, we are here to help.

17041 Alico Commerce Ct., Unit 1

Fort Myers, FL 33967

(239)313-7129

www.JBrooksai.com

J Brooks & Associates, Inc. is a full service Homeowner Association (HOA), Condominium Association, Cooperative Association and Master Community Association property management company servicing all of Fort Myers, Naples, Bonita Springs, Cape Coral, and all of Lee, Collier, Charlotte, and Sarasota Counties.www.jbrooksai.com

Budgeting for Reserves

If you live in a Condominium Association, Homeowners Association, or Master Association, one of the responsibilities of your Associations Board of Directors and Property Manager is to prepare the Associations Annual Budget.  It is a major undertaking that must be gone over with a fine tooth comb to ensure that your association will have the necessary funds to survive the following years expenses.

One of the major issues that must be considered is the Associations Reserve Fund.  This is money that is set aside for major projects or repairs that must be made sometime in the future.  This is a great article on Budgeting for Reserves written by Jerry Brooks, a Florida Licensed Community Association Manager (CAM) and owner of J Brooks & Associates, Inc.

J Brooks & Associates, Inc. is a Community Association Property Management firm located in Fort Myers, Florida.  They manage many Condominium, Homeowner, Cooperative, and Master Associations throughout the Southwest Florida Area.

Check out:  Budgeting for Reserves