Condo Column: Access to your money

“Alexander Hamilton started the United States Treasury with nothing, and that was the closest our country was to being the same.” – Will Rogers

From time to time a problem arises in community associations which has arisen lately in an association which I am fortunate to represent, and a member of the board thought it might make a column worthwhile. He was right, so here we are. Plus, I don’t want to lose either a reader or a customer.

Every condo must have at least two bank accounts. One is for the operating account. This account is used to pay the usual bills such as insurance, maintenance, management, landscaping, snow removal and your attorney. The other is a reserve account set aside to build funds for long-term capital expenditures. Properly funded will avoid both special assessments and punishing younger homeowners for the financial sins of long-term homeowners who have not been adequately saved and cleared.

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