Sample Mountain HOA Breckenridge, Colorado SHOA Current Assessment Funding Model Summary

Size: px

Start display at page:

Download "Sample Mountain HOA Breckenridge, Colorado SHOA Current Assessment Funding Model Summary"

Beverly Owen
6 years ago
Views:

1 Breckenridge, Colorado SHOA Current Assessment Funding Model Summary Report Date June 01, 2010 Budget Year Beginning October 01, 2010 Budget Year Ending September 30, 2011 Total Units 11 Report Parameters Inflation 3.00% Interest Rate on Reserve Deposit 3.00% Tax Rate on Interest 30.00% Contingency 3.00% 2010 Beginning Balance $100, This Townhome association's asset components comprise 5 luxury duplex buildings (10 duplex units total) plus 1 single family home, with common entrance asphalt roadway, individual asphalt driveways and fully landscaped areas. A separate hot tub room is located adjacent one of the buildings. Construction of the homes commenced in 1993 and was completed in With major repairs to the exterior being conducted over the last couple of years, primarily to the retaining walls and synthetic stucco facade, the complex appears in great condition overall. The asphalt surfaces, some exterior woodwork re-staining, and minor stucco repairs, appear to be the only reserve projects requiring imminent attention. The association has not previously contracted a professional reserve study, however, it has drafted its own budget based on many of the necessary parameters. Current Assessment Funding Model Summary of Calculations Required Monthly Contribution $1, $ per unit monthly Average Net Monthly Interest Earned $ Total Monthly Allocation to Reserves $1, $ per unit monthly PAGE 2-1

2 SHOA Current Assessment Funding Model Projection Beginning Balance: $100,155 Projected Fully Current Annual Annual Annual Ending Funded Percent Year Cost Contribution Interest Expenditures Reserves Reserves Funded ,986 19,000 2,302 1, , ,074 54% ,436 19,570 2,739 1, , ,585 57% ,169 20,157 3,105 5, , ,760 59% ,194 20,762 2,015 75, , ,112 50% ,520 21,385 2,437 3, , ,730 54% ,155 22,026 2, , ,997 58% ,110 22,687 3,417 3, , ,197 60% ,393 24,048 3,901 4, , ,989 63% ,015 25,491 2,990 71, , ,365 58% ,986 27,021 3,451 7, , ,140 61% ,315 28,642 4,009 5, , ,966 64% ,015 30,360 4, , ,655 68% ,095 32,182 5,361 5, , ,855 71% ,568 34, ,957-14,840 76,029-19% ,445 36, ,167 17, ,275 17% ,738 38, , ,465 43% ,460 40,629 1,563 4,540 93, ,554 59% ,624 40,629 2,377 3, , ,116 71% ,243 40,629 3,110 8, , ,466 78% ,330 40,629 3,785 11, , ,801 84% ,900 40,629 4,656 3, , ,933 89% ,967 40,629 5, , ,577 92% ,546 40,629 6,352 11, , ,140 94% ,653 40,629 4, , , ,030 95% ,302 40,629 5,353 3, , ,892 97% ,511 40,629 6,283 2, , ,721 98% ,297 40,629 7,152 5, , ,839 98% ,675 40,629 8,058 5, , ,250 98% ,666 40,629 7,633 68, , ,569 98% ,286 40,629 8,367 13, , ,911 98% PAGE 2-2

3 SHOA Current Assessment Funding Model VS Fully Funded Chart The Current Assessment Funding Model is based on the current annual assessment, parameters, and reserve fund balance. Because it is calculated using the current annual assessment, it will give the accurate projection of how well the association is funded for the next 30 years of planned reserve expenditures. PAGE 2-3

4 Breckenridge, Colorado SHOA Threshold Funding Model Summary Report Date June 01, 2010 Budget Year Beginning October 01, 2010 Budget Year Ending September 30, 2011 Total Units 11 Report Parameters Inflation 3.00% Annual Assessment Increase 3.00% Interest Rate on Reserve Deposit 3.00% Tax Rate on Interest 30.00% Contingency 3.00% 2010 Beginning Balance $100, This Townhome association's asset components comprise 5 luxury duplex buildings (10 duplex units total) plus 1 single family home, with common entrance asphalt roadway, individual asphalt driveways and fully landscaped areas. A separate hot tub room is located adjacent one of the buildings. Construction of the homes commenced in 1993 and was completed in With major repairs to the exterior being conducted over the last couple of years, primarily to the retaining walls and synthetic stucco facade, the complex appears in great condition overall. The asphalt surfaces, some exterior woodwork re-staining, and minor stucco repairs, appear to be the only reserve projects requiring imminent attention. The association has not previously contracted a professional reserve study, however, it has drafted its own budget based on many of the necessary parameters. Threshold Funding Model Summary of Calculations Required Monthly Contribution $1, $ per unit monthly Average Net Monthly Interest Earned $ Total Monthly Allocation to Reserves $2, $ per unit monthly PAGE 2-4

5 SHOA Threshold Funding Model Projection Beginning Balance: $100,155 Projected Fully Current Annual Annual Annual Ending Funded Percent Year Cost Contribution Interest Expenditures Reserves Reserves Funded ,986 22,722 2,345 1, , ,074 55% ,436 23,403 2,862 1, , ,585 60% ,169 24,106 3,314 5, , ,760 64% ,194 24,829 2,313 75, , ,112 57% ,520 25,574 2,830 3, , ,730 63% ,155 26,341 3, , ,997 67% ,110 27,131 4,012 3, , ,197 71% ,393 27,945 4,596 4, , ,989 74% ,015 28,783 3,775 71, , ,365 72% ,986 29,647 4,315 7, , ,140 76% ,315 30,536 4,938 5, , ,966 79% ,015 31,452 5, , ,655 82% ,095 32,396 6,375 5, , ,855 84% ,568 26, ,957 26,308 76,029 34% ,445 26, ,167 49, ,275 49% ,738 27,594 1,370 78, ,465 60% ,460 28,422 1,897 4, , ,554 66% ,624 29,274 2,470 3, , ,116 70% ,243 30,152 2,974 8, , ,466 73% ,330 31,057 3,434 11, , ,801 75% ,900 31,989 4,106 3, , ,933 77% ,967 32,948 4, , ,577 79% ,546 33,937 5,450 11, , ,140 80% ,653 34,955 3, , , ,030 73% ,302 36,004 4,171 3, , ,892 76% ,511 37,084 4,991 2, , ,721 78% ,297 38,196 5,770 5, , ,839 80% ,675 39,342 6,608 5, , ,250 81% ,666 40,522 6,139 68, , ,569 80% ,286 41,738 6,852 13, , ,911 81% PAGE 2-5

6 SHOA Threshold Funding Model VS Fully Funded Chart The Threshold Funding Model calculates the minimum reserve assessments, with the restriction that the reserve balance is not allowed to go below $0 or other predetermined threshold, during the period of time examined. All funds for planned reserve expenditures will be available on the first day of each fiscal year. The Threshold Funding Model allows the client to choose the level of conservative funding they desire by choosing the threshold dollar amount. PAGE 2-6

7 Breckenridge, Colorado SHOA Component Funding Model Summary Report Date June 01, 2010 Budget Year Beginning October 01, 2010 Budget Year Ending September 30, 2011 Total Units 11 Report Parameters Inflation 3.00% Interest Rate on Reserve Deposit 3.00% Tax Rate on Interest 30.00% Contingency 3.00% 2010 Beginning Balance $100, This Townhome association's asset components comprise 5 luxury duplex buildings (10 duplex units total) plus 1 single family home, with common entrance asphalt roadway, individual asphalt driveways and fully landscaped areas. A separate hot tub room is located adjacent one of the buildings. Construction of the homes commenced in 1993 and was completed in With major repairs to the exterior being conducted over the last couple of years, primarily to the retaining walls and synthetic stucco facade, the complex appears in great condition overall. The asphalt surfaces, some exterior woodwork re-staining, and minor stucco repairs, appear to be the only reserve projects requiring imminent attention. The association has not previously contracted a professional reserve study, however, it has drafted its own budget based on many of the necessary parameters. Component Funding Model Summary of Calculations Required Monthly Contribution $2, $ per unit monthly Average Net Monthly Interest Earned $ Total Monthly Allocation to Reserves $2, $ per unit monthly PAGE 2-7

8 SHOA Component Funding Model Projection Beginning Balance: $100,155 Projected Fully Current Annual Annual Annual Ending Funded Percent Year Cost Contribution Interest Expenditures Reserves Reserves Funded ,986 26,313 2,386 1, , ,074 57% ,436 26,786 2,978 1, , ,585 63% ,169 27,353 3,502 5, , ,760 68% ,194 28,780 2,582 75, , ,112 64% ,520 28,965 3,182 3, , ,730 70% ,155 29,384 3, , ,997 76% ,110 29,889 4,510 3, , ,197 80% ,393 30,429 5,160 4, , ,989 83% ,015 31,895 4,411 71, , ,365 84% ,986 31,213 5,013 7, , ,140 87% ,315 30,362 5,664 5, , ,966 90% ,015 28,261 6, , ,655 91% ,095 28,100 7,013 5, , ,855 92% ,568 33, ,957 62,780 76,029 82% ,445 32,019 1,609 4,167 92, ,275 91% ,738 32,361 2, , ,465 97% ,460 32,839 2,971 4, , , % ,624 32,788 3,650 3, , , % ,243 31,832 4,232 8, , , % ,330 32,873 4,756 11, , , % ,900 32,843 5,484 3, , , % ,967 32,209 6, , , % ,546 33,400 6,874 11, , , % ,653 37,896 4, , , , % ,302 36,839 5,723 3, , , % ,511 37,142 6,585 2, , , % ,297 37,954 7,395 5, , , % ,675 37,527 8,244 5, , , % ,666 42,691 7,817 68, , , % ,286 42,633 8,597 13, , , % PAGE 2-8

9 SHOA Component Funding Model VS Fully Funded Chart The Component Funding Model s long-term objective is to provide a plan to a fully funded reserve position over the longest period of time practical. This is the most conservative funding model. PAGE 2-9

10 SHOA Component Funding Model Assessment & Category Summary Description Replacement Year Life Useful Adjustment Remaining Life Cost Current Assigned Reserves Fully Funded Streets/Asphalt Asphalt - Overlay ,530 25,950 25,950 Asphalt - Repairs ,832 1,832 1,832 Streets/Asphalt - Total $32,362 $27,782 $27,782 Roofing Roof - Repairs ,280 1,368 1,368 Roof - Replace ,120 5, ,068 Roofing - Total $182,400 $6,989 $103,436 Painting Painting - Stucco ,915 25,141 25,141 Painting - Wood Trim & Railings , Painting - Total $38,119 $26,022 $26,022 Recreation/Pool Spa - replacement ,000 15,000 15,000 Recreation/Pool - Total $25,000 $15,000 $15,000 Building Components Siding - Stone Repair , Siding - Stucco Repairs Siding - Trim & Railings replacement ,550 18,734 18,734 Siding - Trim repairs ,755 1,377 1,377 Building Components - Total $37,105 $21,357 $21,357 Total Asset Summary $314,986 $97,150 $193,598 Contingency at 3.00% $3,005 $5,988 Summary Total $100,155 $199,585 Fully Funded Level 50% Current Average Liability per Unit (Total Units: 11) -$9,039 PAGE 2-10

11 SHOA Distribution of Accumulated Reserves Description Remaining Replacement Assigned Life Year Reserves Fully Funded Reserves Asphalt - Repairs ,832 1,832 Siding - Stucco Repairs Roof - Repairs ,368 1,368 Siding - Trim repairs ,377 1,377 Asphalt - Overlay ,950 25,950 Painting - Stucco ,141 25,141 Painting - Wood Trim & Railings Siding - Trim & Railings replacement ,734 18,734 Spa - replacement ,000 15,000 Siding - Stone Repair Roof - Replace *5, ,068 Total Asset Summary $97,150 $193,598 Contingency at 3.00% $3,005 $5,988 Summary Total $100,155 $199,585 Fully Funded Level 50% Current Average Liability per Unit (Total Units: 11) -$9,039 '*' Indicates Partially Funded PAGE 2-11

12 SHOA Annual Expenditure Detail Description Expenditures Replacement Year 2010 Asphalt - Repairs 1,832 Total for 2010 $1,832 Replacement Year 2011 Siding - Stucco Repairs 1,028 Total for 2011 $1,028 Replacement Year 2012 Roof - Repairs 2,419 Siding - Trim repairs 2,923 Total for 2012 $5,342 Replacement Year 2013 Asphalt - Overlay 33,361 Painting - Stucco 39,246 Painting - Wood Trim & Railings 2,408 Total for 2013 $75,015 Replacement Year 2014 Asphalt - Repairs 2,062 Siding - Stucco Repairs 1,123 Total for 2014 $3,185 No Replacement in 2015 Replacement Year 2016 Siding - Trim repairs 3,290 Total for 2016 $3,290 Replacement Year 2017 Roof - Repairs 2,804 Siding - Stucco Repairs 1,227 Total for 2017 $4,031 Replacement Year 2018 Asphalt - Repairs 2,320 PAGE 2-12

13 SHOA Annual Expenditure Detail Description Expenditures Replacement Year 2018 continued... Painting - Wood Trim & Railings 2,792 Siding - Trim & Railings replacement 34,900 Spa - replacement 31,669 Total for 2018 $71,681 Replacement Year 2019 Siding - Stone Repair 7,571 Total for 2019 $7,571 Replacement Year 2020 Siding - Stucco Repairs 1,341 Siding - Trim repairs 3,702 Total for 2020 $5,043 No Replacement in 2021 Replacement Year 2022 Asphalt - Repairs 2,612 Roof - Repairs 3,251 Total for 2022 $5,862 Replacement Year 2023 Painting - Stucco 52,743 Painting - Wood Trim & Railings 3,237 Roof - Replace 264,512 Siding - Stucco Repairs 1,465 Total for 2023 $321,957 Replacement Year 2024 Siding - Trim repairs 4,167 Total for 2024 $4,167 No Replacement in 2025 Replacement Year 2026 Asphalt - Repairs 2,940 Siding - Stucco Repairs 1,601 Total for 2026 $4,540 PAGE 2-13

14 SHOA Annual Expenditure Detail Description Expenditures Replacement Year 2027 Roof - Repairs 3,768 Total for 2027 $3,768 Replacement Year 2028 Painting - Wood Trim & Railings 3,752 Siding - Trim repairs 4,690 Total for 2028 $8,442 Replacement Year 2029 Siding - Stone Repair 10,175 Siding - Stucco Repairs 1,749 Total for 2029 $11,924 Replacement Year 2030 Asphalt - Repairs 3,308 Total for 2030 $3,308 No Replacement in 2031 Replacement Year 2032 Roof - Repairs 4,369 Siding - Stucco Repairs 1,912 Siding - Trim repairs 5,279 Total for 2032 $11,559 Replacement Year 2033 Asphalt - Overlay 60,254 Painting - Stucco 70,882 Painting - Wood Trim & Railings 4,350 Total for 2033 $135,486 Replacement Year 2034 Asphalt - Repairs 3,724 Total for 2034 $3,724 Replacement Year 2035 Siding - Stucco Repairs 2,089 Total for 2035 $2,089 PAGE 2-14

15 SHOA Annual Expenditure Detail Description Expenditures Replacement Year 2036 Siding - Trim repairs 5,941 Total for 2036 $5,941 Replacement Year 2037 Roof - Repairs 5,065 Total for 2037 $5,065 Replacement Year 2038 Asphalt - Repairs 4,191 Painting - Wood Trim & Railings 5,043 Siding - Stucco Repairs 2,283 Spa - replacement 57,198 Total for 2038 $68,714 Replacement Year 2039 Siding - Stone Repair 13,674 Total for 2039 $13,674 PAGE 2-15

16 SHOA Annual Expenditure Chart PAGE 2-16

17 SHOA Funding Model Reserve Ending Balance Comparison Chart The chart above compares the projected reserve ending balances of the three funding models (Current Assessment Funding Model, Threshold Funding Model and Component Funding Model) over 30 years. PAGE 2-17

18 SHOA Funding Model Comparison by Percent Funded The chart above compares the three funding models (Current Assessment Funding Model, Threshold Funding Model and Component Funding Model) by the percentage fully funded over 30 years. This allows your association to view and then choose the funding model that might best fit your community s needs. PAGE 2-18

19 SHOA Funding Model Assessment Comparison Chart The chart above compares the annual assessment of the three funding models (Current Assessment Funding Model, Threshold Funding Model and Component Funding Model) over 30 years. PAGE 2-19

20 SHOA Spread Sheet Description Asphalt - Overlay 33,361 Asphalt - Repairs 1,832 2,062 2,320 Painting - Stucco 39,246 Painting - Wood Trim & Railings 2,408 2,792 Roof - Repairs 2,419 2,804 Roof - Replace Siding - Stone Repair 7,571 Siding - Stucco Repairs 1,028 1,123 1,227 Siding - Trim & Railings replacement 34,900 Siding - Trim repairs 2,923 3,290 Spa - replacement 31,669 Year Total: 1,832 1,028 5,342 75,015 3,185 3,290 4,031 71,681 7,571 PAGE 2-20

21 SHOA Spread Sheet Description Asphalt - Overlay Asphalt - Repairs 2,612 2,940 Painting - Stucco 52,743 Painting - Wood Trim & Railings 3,237 3,752 Roof - Repairs 3,251 3,768 Roof - Replace 264,512 Siding - Stone Repair 10,175 Siding - Stucco Repairs 1,341 1,465 1,601 1,749 Siding - Trim & Railings replacement Siding - Trim repairs 3,702 4,167 4,690 Spa - replacement Year Total: 5,043 5, ,957 4,167 4,540 3,768 8,442 11,924 PAGE 2-21

22 SHOA Spread Sheet Description Asphalt - Overlay 60,254 Asphalt - Repairs 3,308 3,724 4,191 Painting - Stucco 70,882 Painting - Wood Trim & Railings 4,350 5,043 Roof - Repairs 4,369 5,065 Roof - Replace Siding - Stone Repair 13,674 Siding - Stucco Repairs 1,912 2,089 2,283 Siding - Trim & Railings replacement Siding - Trim repairs 5,279 5,941 Spa - replacement 57,198 Year Total: 3,308 11, ,486 3,724 2,089 5,941 5,065 68,714 13,674 PAGE 2-22

BUDGET APPROVED. GENERAL EXPENSES (158 Units)

BUDGET APPROVED. GENERAL EXPENSES (158 Units) TANGLEWOOD HILLS CONDOMINIUM Association name: Tanglewood Hills Condom Association number: 1457 General - Total # of Units 158 Fiscal year end: 12/31 Budget year: 2017 Budget type: M BUDGET APPROVED ACCT.