The Retreat at Greenbrier Town Hall Meeting. November 7, 2017

Transcription

1 The Retreat at Greenbrier Town Hall Meeting November 7, 2017

2 Agenda Call to Order/Establish Quorum President s Welcome Presentation of the Proposed 2017 Budget Question and Answer Adjournment

3 2017 Proposed Budget

4 What is the Retreat s Budget? The budget consists of two parts: A Reserve (long term and contingency planning), and An Budget (fiscal year planning)

5 The Replacement Reserve What is it? Why is it necessary? What does it accomplish? Helps meet current and future obligations Ensures property values are maintained More attractive disclosure packages for resale Minimizes uncertainty in future budgets Guards against special assessments

6 A Replacement Reserve Study Statutorily required every 5 years

7 Monthly Assessments Developer s initial assessments were relatively low: Wanted to sell houses Few maintenance issues $ $ Management turned over to homeowners in 2012 Assessments increased: 2014 and $ $290.00

8 2012 Reserve Study Contributions before the changeover The 2012 Study recommended: $ per unit monthly assessment Annual per unit assessment: $ $ $ $ $102.35

9 2016 Reserve Study In developing the 2016 Study, mistakes and omissions from the 2012 Study were corrected Items were added Quantities of certain existing items increased Normal life of numerous items were adjusted The 2016 Study recommended: $ per unit monthly contribution

10 Annual Budgets Budget Year Number of Units Per unit Per month Net Expenses Budgeted Replacement Reserves $ ,159 19, $ ,411 42, $ ,900 47, $ ,950 70, $ ,135 80, $ , , $ , , $ , , $ , , Budgeted Reserves as % of NET Expenses

11 Replacement Reserves Study Funded Underfunded Year Annual Reserve Contribution Per Unit Per Month Actual Reserve Contribution Per Unit Per Month Annual Amount , , , , , , , , , , , , , , , , , , , , , , , o , %

12 Expenses There are four categories: Administrative Utilities Maintenance Contract services

13 Now, The proposed budget

14 Increasing Monthly Assessment Areas driving the increase: Contribution to the Replacement Reserve: $53.00 New Budget Items Power washing & Painting HardiPlank: $ 8.15 Concrete Repairs: $ 5.89 Rest of the Budget: $ 5.96 Increase $73.00

15 Complete Monthly Assessment Monthly Assessment $ % 15% 7% 3% $54.69 Administrative $12.87 Utilities $24.64 Maintenance 29% $ Contract Services $ Reserves

16 Reserves 7% Assessment $ $ Replacement $11.32 General Replacement 93%

17 Administrative Expenses 4% Expenses $ % 3% 3% 32% $17.38 Mangement Contract $2.81 Audit Contract/Taxes $0.17 DPOR/SRR Registrations $3.62 Legal $0.68 Postage $23.32 Insurance 43% 7% 1% 5% 0% $2.36 Printing $1.13 Misc. Genral and Admin $1.81 ProfessionalFees $1.40 Community Activities

18 Utilities Expenses 21% 11% 1% 7% Expenses $ % $7.70 Electric Common $2.72 Electric Clubhouse $1.36 Water/Sewage Clubhouse $0.19 Gas $0.91 Telephone/Cable

19 Maintenance Expenses Expense $24.64 $2.72 Irrigation Repairs $ % Lawn Maintenance 12% $1.13 Pond Extras 5% $0.68 Pool Extras 3% $1.13 Volunteer Maintenance 4% $16.03 General Maintenance 65%

20 Contract Services Expenses $ % 0% 2% 3% 6% 8% 12% 38% 3% 4% 9% 7% 8% 0% Contract Services $3.13 Pool Maintenance $41.21 Lawn Main/Landscaping $0.00 Seasonal Flowers $19.06 Mulch $7.47 Irrigation $9.51 Waste Management $3.85 Termites/Clubhouse Pest $3.03 Pond Mnagement $12.91 Power Wash/Paint-Trim $8.15 Power Wash/Paint-Hardi $5.89 Concrete Repairs $0.45 Exercise Equipment $0.45 HVAC Clubhouse $1.99 Clubhouse Cleaning

21 Back up slides

22 Proposed 2017 Income Income 2016 Income 2017 Monthly per unit assessment Assessments 640, , $ Water fee Income 91, , Clubhouse Rental 2, , $1.22 Working Capital Contribution 2, , $1.64 Total Income 736, , $365.87

23 Administrative Expenses ADMINISTATION EXPENSE 2015 Budget 2016 Budget 2016 Monthly Per Unit Cost 2017 Budget 2017 Monthly Per Unit Cost Management Contract 34, , $ , $17.38 Audit Contract/Taxes 3, , $2.33 6, $2.81 DPOR/SCC Registrations $ $0.17 Legal 7, , $3.40 8, $3.62 Postage $0.34 1, $0.68 Insurance 37, , $ , $23.32 Printing Expenses 3, , $1.77 5, $2.36 Misc General and Admin 2, , $0.82 2, $1.13 Professional Fees 4, , $1.81 4, $1.81 Community Activities 3, , $1.40 3, $1.40 TOTAL ADMINISTRATION 99, , $ , $54.69

24 Utility Expenses 2015 Budget 2016 Budget 2016 Monthly Per Unit Cost 2017 Budget 2017 Monthly Per Unit Cost UTILITIES: Electric- Common 21, , $ , $7.70 Electric- Clubhouse 5, , $2.72 6, $2.72 Water Sewer 92, , $1.36* 96, $1.38* Gas $ $0.19 Telephone/Ca ble , $0.75 2, $0.91 TOTAL UTILITIES 119, , $ , $12.87

25 Maintenance Expenses 2015 Budget 2016 Budget 2016 Monthly Per Unit Cost 2017 Budget 2017 Monthly Per Unit Cost MAINTENANCE: Volunteer Maintenance Supplies 1, , $1.27 2, $1.13 General Maintenance Repairs 9, , $ , $16.03 Lawn Maint/Landscaping Extras 4, , $2.26 6, $2.94 Irrigation Repairs 3, , $2.72 6, $2.72 Pond Extras 2, $1.13 Pool Extras 1, $0.68 TOTAL MAINTENANCE 23, , $ , $24.64

26 CONTRACT SERVICES: Monthly Per Unit 2017 Monthly Per Unit Pool Maintenance 5, , $2.99 6, $3.13 Lawn Main/Landscaping 85, , $ $41.21 Seasonal Flowers 2, $ Mulch 13, , $ , $9.06 Irrigation 15, , $ , $7.47 Waste Management 21, , $ , $9.51 Termites/Clubhouse Pest 7, , $3.75 8, $3.85 Pond Management 7, , $2.94 6, $3.03 Power Wash & Paint - Trim 43, , $ , $12.91 Power Wash & Paint - Hardi , $8.15 Concrete Repairs , $5.89 Exercise Equipment 1, , $0.45 1, $0.45 HVAC Clubhouse 1, $0.23 1, $0.45 Clubhouse Cleaning 3, , $1.99 4, $1.99 TOTAL CONTRACT SERV. 215, , $ , $107.11

27 Reserves 2015 Budget 2016 Budget 2016 Monthly Per Unit Cost 2017 Budget 2017 Monthly Per Unit Cost RESERVES: Replacement Reserves 192, , $ , $ General Reserves 10, , $ , $11.32 TOTAL RESERVES 202, , $ , $166.56

28 Top Ten Expense Lines 2016 Monthly Per Unit 2017 Monthly Per Unit Replacement Reserves Lawn Main/Landscaping Power Wash & Paint-Trim Insurance Management Contract Waste Management Mulch General Reserves General Maintenance Repairs Electric Common Areas $ $303.68