| Tuesday, Nov. 10th at 7 pmSubmit topics for discussion in Open Forum through the Copperfield website by 6 pm Sunday, Nov 8th The Agenda and meeting documents will be emailed to you on Tuesday. Join Zoom Meeting: https://us02web.zoom.us/j/81308953713 Meeting ID: 813 0895 3713 One tap mobile +13462487799,,81308953713# US A proposal from the Finance Committee was introduced at the Annual Meeting in October, and will be voted on at the Nov 10th meeting. Please review the details below. |
| Proposal from Finance CommitteeBackgroundWith the anticipated shortfall we will be seeing in the budget this year, the finance committee would like to propose a strategy to limit the increasing HOA dues but balance the need for extra funds as the insurance costs rise. We identify that extra funds are needed but would recommend not raising dues to limit any impact on economic costs for real-estate sales in the area. We feel a special assessment for the same value as the yearly 5% raise would balance both a need for funds to pay for our HOA bills while limiting the impact of our members to maximize a sale of their unit at any given time. By doing a special assessment related to the insurance expense, which is the main reason a dues increase would be needed, it could meet both needs of the HOA and HOA members. The special assessment would gather majority of the overage due to insurance needs and the HOA reserves would cover the rest. We feel this would be a win, win. Rationale If monthly dues increased by 5% as allowed in Bylaws: 5% HOA dues increase: $400 x 5% = $20 / month increase $20 + $400 = $420 monthly dues Instead collect the same amount of money for the HOA as an assessment: 5% HOA dues increase: $400 x 5% = $20 / month increase $20 x 12 months = $240 special assessment. Result $240 per unit assessment x 149 units = $35,760 applied to offset increased insurance cost Finance Committee Recommendation Take the 5% yearly dues increase as a one time special assessment to be applied to insurance. Special assessment of $240 per unit for a one time assessment in 2021 and dues remain at $400 for 2021. HOA will absorb the remainder of the insurance increase from reserve. |