Dear Condominium Unit Owner:

Transcription

1 ROWAYTON WOODS CONDOMINIUM ASSOCIATION, INC. C/O WESTFORD REAL ESTATE MANAGEMENT, LLC 50 Founders Plaza, Suite 207, East Hartford, CT Tel: Fax: To: Rowayton Woods Condominium Unit Owners From: Rowayton Woods Condominium Association, Inc. Board of Directors Date: August 31, 2010 RE: Budget Meeting for the Budget Dear Condominium Unit Owner: We are pleased to announce that the Budget Meeting for Rowayton Woods Condominium Association, Inc. will be held on Monday, September 20, 2010 at 7:00 p.m. at the Rowayton Community Center, 33 Highland Avenue, Norwalk, Connecticut. The Budget, approved by the Board at the August 16, 2010 Board meeting is enclosed herein, along with the Assumptions for the Budget and a cover letter from the Association Treasurer, George Ince, explaining the budget process and the purpose of the Budget Meeting. The sole issue on the agenda at the Budget Meeting is the ratification of the Budget. The Board and Westford Real Estate Management, LLC have worked hard to minimize costs wherever possible without sacrificing important services at Rowayton Woods Condominium. Please remember that it is the Association s goal each year to approve a budget that will balance income vs. expenses and provide sufficient support to the Association s overall needs without sacrificing the quality of living. A new coupon book reflecting the 1.67% increase in common charges noted in the enclosed letter of George Ince was previously mailed to all unit owners. Please make sure to reflect this in your payment due in September, If you cannot attend the Budget Meeting, please return the enclosed Proxy to the above address for receipt by Westford no later than Friday, September 17, 2010, or submit your proxy to any Board member for submission at the Budget Meeting on September 20, Please take the time to review the enclosed materials and make every effort to attend the Budget Meeting. We will discuss the Budget in more detail at the meeting. Should you have any questions, please contact Jessica Sander of Westford Real Estate Management, LLC at ext Rowayton Woods Condominium Association, Inc. Board of Directors Enclosures: Budget Letter from Board Treasurer George Ince Assumptions for Budget Partial Directed Proxy

2 ROWAYTON WOODS CONDOMINIUM ASSOCIATION, INC. Budget Meeting September 20, 2010 PARTIAL DIRECTED PROXY KNOW ALL PEOPLE BY THESE PRESENTS THAT the undersigned, being the owner or owners of the unit(s) listed below at Rowayton Woods, Norwalk, Connecticut and entitled to vote at the meetings of unit owners of Rowayton Woods Condominium Association, Inc., do hereby constitute and appoint Justin Parks or Lynn Julian, or (Unit ) as proxy for the undersigned to attend the September 20, 2010 Annual Meeting of Rowayton Woods Condominium Association, Inc.., at 7:00 PM at the Rowayton Community Center, 33 Highland Avenue, Norwalk, Connecticut, or any adjournment thereof, with full power to act for the undersigned and in the name, place and stead of the undersigned, in the same manner, to the same extent, and with the same effect, as if the undersigned were personally present thereat, giving to such proxy full power of substitution and revocation. The holder of this proxy (who in accordance with the Amended and Restated Declaration of Rowayton Woods Condominium Association, Inc., must be a current unit owner) is directed to vote my interests as specified below regarding the matter indicated, and may vote on any other matter which may properly come before the unit owners in such manner as he or she deems best. Any proxy or proxies heretofore given by the undersigned, to any person or persons whomsoever, are hereby revoked. SHOULD THE ROWAYTON WOODS CONDOMINIUM ASSOCIATION, INC. BUDGET FOR FYE AUGUST 31, 2011 BE RATIFIED? YES NO PLEASE CHECK ONE BOX Unit Owner(s) Name Unit Owner(s) Signature Unit Number: Date: IF YOU ARE NOT PLANNING TO ATTEND THE MEETING, IT IS VERY IMPORTANT THAT YOU COMPLETE AND RETURN (FOR RECEIPT NO LATER THAN SEPTEMBER 17, 2010) YOUR PROXY TO WESTFORD REAL ESTATE MANAGEMENT, LLC, 50 FOUNDERS PLAZA, SUITE 207, EAST HARTFORD, CT 06108, OR GIVE YOUR PROXY TO ANY BOARD MEMBER PRIOR TO THE MEETINGS.

3 ROWAYTON WOODS CONDOMINIUM ASSOCIATION, INC. To All Unit Owners: Enclosed is the Association s budget for the coming fiscal year which goes from September 1, 2010 to August 31, Also attached is a summary of certain assumptions used in putting together this budget. I wish to thank Kathy Cook, Alan Krantzler and Beth Sicker for their efforts on the preparation of this budget as members of the Finance Committee. Our current financial goal is to build up a reserve to pay for any necessary capital improvements and repairs that occur in the future without the need to incur additional debt. We have been advised that a prudent goal for such a reserve is an amount equal to one year s common charges, or about $800,000 in our case. It is expected that as of the end of August 31, 2010, our reserve account balance will be about $195,500 and the current budget projects a reserve balance at August 31, 2011 of $279,500. In order to keep us on the path to a reasonable reserve but mindful of the economic circumstances that many owners may face, the Finance Committee recommended, and the Board adopted, effective September 1, 2010, a 1.67% increase in common charges, which is down from the 2% increase adopted for the year just ended, and no increase in the special assessment that is used to pay off the bank loan incurred to finance the recently concluded major renovation project. Also enclosed is a notice of a budget meeting for owners that will be held on September 20 at 7:00 PM just before the regular monthly Board meeting that night. Under the rules governing the Association, the enclosed budget will remain in effect unless 50.1% of the unit owners, measured by their percentage ownership of our complex, vote that night to reject the budget. Thank you for your attention and I look forward to seeing you on September 20. George Ince, Treasurer

4 ROWAYTON WOODS CONDOMINIUM ASSOCIATION, INC. ASSUMPTIONS FOR BUDGET INCOME: Common Charges: Special Assessment: Estimate of $814,946. Revenue is based on a 1.67% increase in common charges commencing on $389,000. Payment toward the loan for the capital improvement project. Late Fees: Estimate of $4,500. Fines: Capital Contributions: Interest Income: Miscellaneous Income: Estimate of $500. Conservative number utilized. Estimate of $3,000. Move-in fees of two months of common charges for new owners. Estimate of $2,500 earned on reserve account. Estimate of $750. Maintenance reimbursement, NSF fees and key income. EXPENSES: ADMINISTRATIVE EXPENSES: Superintendent Costs: Estimate of $54,500. Property Management Fees: $62,172. Contractual amount. Accountant Fees: Legal Fees: Misc. Admin Fees: Estimate of $8,500. A reduction of reports by the accountant from four to two. Estimate of $4,500. This includes the estimated cost of document overlay due to the new CIOA laws. Estimate of $9,000. Coupon booklets, office supplies, bottled water for superintendent, and quarterly reimbursement to Westford for copies, postage, checks and envelopes. DEBT SERVICE EXPENSES: Interest and Principal: $410,000 for loan related to the capital improvement project. OPERATING EXPENSES: Electric: Refuse Removal: Estimate of $24,500. Relied upon historical average amounts in addition to current year. $33,000. Contractual amount.

5 Telephone: Water: Gas: Exterminating: Dumpsters: Supplies: Misc. Operating Expenses: Estimate of $1,500. Superintendent s office phone/fax and cell phone. Slight increase from current year projection. Estimate of $60,000. Slight increase from current year projection. Estimate of $6,500. Relied upon historical average amounts in addition to current year. $10,000. Contractual amount. Estimate of $2,000. Community dumpster for household bulk and garden debris. Relied upon historical averages amounts in addition to current year. Estimate of $6,000. Painting supplies, maintenance supplies related to work orders completed by Superintendent and/or Westford, doggie bags. Estimate of $800. Keys, fire extinguishers, etc. REPAIRS & MAINTENANCE: Housekeeping: Grounds & Snow Removal: Snow Removal Additions: Repairs: Pool Maintenance: $12,000. Contractual amount for common hallway cleaning and shampooing, and pool bathrooms. $86,623. Contractual amount. Estimate of $7,000. Anticipated sanding during icy conditions beyond contracted services. Estimate of $20,000. Building repairs, sewer pipes, stairs, decks, mail boxes. $19,000. Contractual amount. Opening and closing the pool, vacuuming, chemicals, heating, etc. Landscaping Improvements: Estimate of $25,000. Projected projects not covered under the landscaping contract, storm related damage work, flowers, mulch. Plumbing: Interior Repairs/Painting Roof Repairs: Estimate of $12,000. Common area sewers, jet cleaning, drain lines, Pool house bathrooms. Slight increase from current year projection. Estimate of $4,000. Utilization of current year projection. Estimate of $4,000. Garage and residential buildings, including flat roofs. Conservative projection based on historical average amounts. Page 2

6 Electrical Repairs: Chimney Repairs: Gutter Maintenance: Tree Care: Pond/Path Maintenance: Misc. Maintenance: Estimate of $14,000. Common area lighting repairs, post light poles. Estimate of $1,000. Flashing work Estimate of $5,500. Two cleanings per year. Estimate of $12,000. Minor tree trimming and removal. Estimate of $5,000. New Item to the budget. Estimate of $10,000. Water leaks, railings, unforeseen maintenance issues. TAXES & INSURANCE: Insurance Premiums: $80,809. Six months at the current premium and six months with a 10% projected premium increase. Payroll Taxes & Fees: Taxes & License: Estimate of $9,000. Payroll taxes for Superintendent and payroll fees. Estimate of $500. Property taxes for the Association garage and annual pool license. CAPITAL EXPENDITURES: Roofs: Estimate of $65,000. Based upon completion of two buildings and one garage. Decks, Balconies & Patios: Estimate of $15,000. Based on current year plus an additional $5,000. Asphalt: Painting: Pool: Lighting: Pond: Masonry: Contingency: Estimate of $2,000. Misc. road items. Estimate of $2,000. Misc. painting items. Estimate of $2,000. Misc. pool items. Estimate of $2,000. Misc. lighting items. Estimate of $5,000. Based on current year for Bio report plus additional $2,000 for further testing of the pond. Estimate of $10,000. Repair of stone walls and walkways. Estimate of $5,000. New item. Page 3