Many Florida condo buildings run into trouble after having to contend with years of inattention from a disengaged board or subpar services from a property management company. As a result, they may be running afoul of some important legal requirements. If you serve on a board of directors or you belong to a condominium association’s membership, there are a few things that you should find out about your condominium’s compliance status.
Are You Holding Annual Meetings?
Florida law governing condominiums requires associations to have annual meetings. The most important objectives at an annual meeting include electing a board of directors and approving a budget for the year ahead.
Is Your Property Management Company Collecting Unpaid Dues?
In general, property managers rather than individual board members are responsible for ensuring that individual unit owners pay their membership dues. When a unit owner stops paying maintenance, the property management company should help the board initiate a collections action or legal claim against the delinquent account holder.
For help with property management services Brevard County FL, reach out to a company with Licensed Community Association Managers who are experienced in helping associations resolve accounts receivables managers. An LCAM can help a building enter into a collections arrangement with an owner who is behind on his or her maintenance and also institute legal proceedings if necessary.
Do You Have Reserve Funds?
Some condominiums need to have a certain amount of reserve funding available. When the association determines membership dues, it should try to budget for contributions to a reserve account. The purpose of reserves is to pay for unforeseen expenses as well as capital improvements. Maintaining these funds can prevent an association from having to levy high assessments against unit owners in order to pay for repairs or improvements to the building’s common areas.