THE VINEYARDS AT DUBLIN GREENE OWNERS ASSOCIATION Full Reserve Study With On-site Visual Inspection October 3, 2018 Reserve Study for Fiscal Year: 01/01/2019 through 12/31/2019 2059 Camden Ave. Suite 151 San Jose, CA 95124 PH: (408) 306-0145 www.smareserves.com Page 1 of 62
General Information The following reserve study assessment is based upon information and data available to us during the course of the study. Factual information provided by the association, managing agent, and association contracted service providers, regarding past or current reserve projects, financial data, physical characteristics, component quantities, or historical issues are assumed to be correct and complete. The initial reserve fund cash balance is derived from the Association's balance sheet as provided by the Association or managing agent. The conclusions and recommendations presented in this report have been based on visual observations and opinion of the reserve inspector at the time of inspection. Property Description The Vineyards at Dublin Greene is a 152 unit townhome project contained in 24 buildings at 4800 Swinford Court in Dublin, CA. The project features a pool house, swimming pool, and spa. Level of Service This reserve study has been prepared to meet California Civil Code section 5570, and the National Reserve Study Standards published by the Community Associations Institute (CAI). The level of service performed in this reserve study was a Full Reserve Study with On-site Visual Inspection, in which the following five objectives were performed: Component Inventory Condition Assessment (based on visual inspection) Life and Valuation Estimates Reserve Fund Status Funding Plan This study is not intended for the purpose of performing quality/forensic analyses, background check of historical records, or an audit or review of a previous reserve study. The on-site inspection is not intended to be a project audit, inspection for compliance with building code and local ordinances, or an inspection on the quality of workmanship. No invasive or destructive testing has been performed as part of this study. Since no destructive testing was undertaken, this study does not purport to address any latent and/or patent defects, nor does it address any life expectancies, which are abnormally short due to either improper design or installation, or to subsequent improper maintenance. Additionally, any components not accessible to the inspector have been omitted from this study. This study assumes that all components will be properly maintained for the remainder of their life expectancy. Page 2 of 62
Reserve Study Goals and Objectives This study has been prepared in two parts: The physical analysis and the financial analysis. All information in this report was created by a certified Reserve Specialist from SMA Reserves. The physical analysis is prepared by the reserve study inspector by an on-site visual inspection of the common area components that the Association is obligated to maintain. The physical analysis includes preparation of the component inventory, condition assessment, and life and valuation estimates. The component inventory should be relatively stable from year to year although the recommended scope of repair and/or price consideration may vary, depending on condition, maintenance, and economic factors. The financial analysis is a determination and opinion of the current or projected status of the Association's reserve fund cash balance. The financial analysis includes a reserve funding plan which may have been modified by the Association's board or managing agent as a part of this study. The funding plan included in this report should reflect the Association's anticipated annual reserve contributions and anticipated special assessments, if applicable, as of the date of the report. The funding plan included herein is evaluated based on a cash flow method, whereby contribution to the reserve fund are designed to offset the variable annual expenditures from the reserve fund. Different reserve funding plans are tested against the anticipated schedule of reserve expenses until the desired funding goal is achieved. The funding goal selected in this report is designed to maintain a minimum threshold balance equal to 5% of the total replacement cost of all components included in the study. The reserve funding plan provides a 5-year reserve fund contribution schedule and anticipated special assessments, if applicable, in order to meet an adequate reserve funding level. Basis for Life Expectancies and Cost Estimates Life expectancy and cost estimates are prepared based on information available to the reserve preparer and the individual experience and opinion of the reserve inspector. The basis for opinion may also be derived from bids from local contractors, recent architectural / construction reports, R.S. Means / BNI construction cost data, historical repair costs, and comparative cost data derived by our reserve study analyst. The projected life expectancy of the major components and the funding needs of the reserves of the Association are based upon the Association performing appropriate routine and preventative maintenance for each major component. Failure to perform such maintenance can negatively impact the remaining useful life of the major components and dramatically increase the funding needs of the reserves of the Association. Page 3 of 62
Status of the Reserve Fund The status of the reserve fund cash balance is evaluated as either adequate or inadequate. The reserve fund cash balance is considered adequate if the anticipated cash balance of the reserve fund is greater than or equal to a threshold balance of 5% for each year over the next thirty years without the anticipated need for a special assessment or increase greater than inflation. The Association's current reserve fund cash balance is inadequate. It is recommended that the Association increase their reserve contribution in order to fund anticipated future repairs. Agent Involvement This reserve study was prepared by Erik Sundquist and reviewed by David Hodges. Erik Sundquist has been certified as a Reserve Specialist (RS) by the Community Associations Institute (CAI), graduated with highest honors from UC Berkeley, and has over 25 years experience in construction, construction management, estimating, and design. David Hodges is a graduate of the Orfalea College of Business at Cal Poly San Luis Obispo with over 10 years experience in finance, accounting and business management. Terms and Definitions Component: The individual line items in the Reserve Study, developed or updated in the Physical Analysis. These elements form the building blocks for the Reserve Study. Components typically are: 1) Association responsibility, 2) with limited Useful Life expectancies, 3) predictable Remaining Useful Life expectancies, 4) above a minimum threshold cost, and 5) as required by local codes. Fully Funded: 100% Funded. When the actual (or projected) Reserve Balance is equal to the Fully Funded Balance. Remaining Useful Life (RUL): Also referred to as Remaining Life (RL). The estimated time, in years, that a reserve component can be expected to continue to serve its intended function. Projects anticipated to occur in the initial year have zero Remaining Useful Life. Useful Life (UL): Total Useful Life or Depreciable Life. The estimated time, in years, that a reserve component can be expected to serve its intended function if properly constructed in its present application or installation. Project Management and Administration: It is added to each component to account for additional costs beyond the base component cost such as construction management fees, expansion of project scope, hidden damage, additional association management costs, etc. Deferral (DEF): Deferrals allow an association to extend repairs to a component beyond the recommended useful life. The accountant's breakout gives a detailed analysis of the associations funding for each component. The following definitions are used. Fully Funded Balance (FFB): (Unit Cost / (Useful Life - Remaining Life)) Current Fund Balance: (Component's FFB / sum(ffb)) * Reserve Balance Annual Accrual: Current Cost / Useful Life Annual Contribution: Component's Annual Accrual / sum(annual Accrual) * Annual Contribution Page 4 of 62
Three Year Projects Summary Report 2019 Anticipated Reserve Projects Schedule 2 Reserve Study Preparation Reserve Study, Update 394 40 Plumbing Hot Water Heater, 40 gal., Economy 1,239 55 Fencing Metal Fencing, Pool, Paint 1,648 2019 Total Anticipated Reserve Expenditure 3,281 2019 Total Anticipated Reserve Fund Beginning Cash Balance 920,982 2020 Anticipated Reserve Projects Schedule 3 Reserve Study Preparation Reserve Study, Update 406 6 Appurtenant Structure Wood Trellises (all), Paint 3,408 10 Balcony Balcony Deck Surfacing, Seal 17,965 16 Exterior Siding Stucco Siding, Paint 270,800 17 Exterior Siding Wood Trim, Paint 34,048 19 Exterior Siding Wood Trim, Window Shutters 246,041 43 Pool & Spa Mech & Elec Systems Pool, Chlorinator 467 44 Pool & Spa Mech & Elec Systems Pool Equipment Controller 708 47 Pool & Spa Mech & Elec Systems Pool Pump 1,809 48 Pool & Spa Mech & Elec Systems Spa, Chlorinator 467 51 Pool & Spa Mech & Elec Systems Spa, Pumps 3,618 53 Exterior Furnishings Pool Furniture 2,163 62 Landscape Backflow Valve Repair/Replacement Fund 3,785 69 Landscape Plants & Refurbishment 12,329 70 Landscape Tree Maintenance 13,843 73 Pavement Asphalt Pavement, Crack Fill, Seal Coat, Stripe 18,494 75 Pavement Asphalt Pavement, Minor Repair-20% 85,995 76 Pavement Concrete Pavement, Repair Fund 2,704 2020 Total Anticipated Reserve Expenditure 719,050 2020 Total Anticipated Reserve Fund Beginning Cash Balance 1,096,285 Page 5 of 62
Three Year Projects Summary Report 2021 Anticipated Reserve Projects Schedule 1 Reserve Study Preparation Reserve Study, Onsite 1,949 39 Plumbing Drinking Fountain 1,402 52 Exterior Furnishings Park Bench 7,018 72 Misc. Site Systems Signage, Misc. 1,392 79 Pool & Spa Site Systems Mastic 1,447 81 Pool & Spa Site Systems Spa Plaster 2,451 2021 Total Anticipated Reserve Expenditure 15,659 2021 Total Anticipated Reserve Fund Beginning Cash Balance 579,213 Page 6 of 62
Reserve Study Financial Summary Status of the Reserve Fund as of December 31, 2018 Reserve Fund Cash Balance as of December 31, 2017 768,504.57 Anticipated Interest Revenue prior to December 31, 2018 7,685.05 Community Information Fiscal Year Start January 1, 2019 Fiscal Year End December 31, 2019 Anticipated Reserve Fund Contribution prior to December 31, 2018 144,792.00 Anticipated Reserve Fund Expenditures prior to December 31, 2018 0.00 Community Type Townhomes Projected Reserve Fund Cash Balance 920,981.62 Number of Units 152 Year Built 2000 Projected Fully Funded Balance 2,725,318.47 Percent Funded 34% Last Inspected April 4, 2018 Average Reserve Fund Surplus / (Deficit) per Member (11,870.64) Five Year - Cash Flow Funding Plan Summary Fiscal Year Ending Reserve Contribution Special Assessment Percent Funded 2019 169,407 0 36% 2020 198,206 0 22% Computation Parameters Inflation Rate 3.00% Interest Rate 1.00% Threshold Factor 5.00% 2021 231,901 0 27% 2022 271,324 0 31% Prior Year Fund Contribution 144,792 2023 317,450 0 36% Summary Notice: This five year funding plan summary is provided in accordance with California Civil Code Section 5570. The full reserve study plan is available and will be provided, by the Association, to any member upon request. Page 7 of 62
Cash Flow Funding Plan Fiscal Year Annual Reserve Contribution Monthly Reserve Assessment Percent Increase Anticipated Beginning Balance Estimated Interest Anticipated Reserve Expense Anticipated Special Assessment Anticipated FYE Cash Balance Fully Funded Balance Surplus / (Deficit) of FFB Projected FYE Percent Funded 2019 169,407 92.88 17.00% 920,982 9,177 3,281 0 1,096,285 3,059,877 (1,963,593) 36% 2020 198,206 108.67 17.00% 1,096,285 3,772 719,050 0 579,213 2,674,916 (2,095,703) 22% 2021 231,901 127.14 17.00% 579,213 5,636 15,659 0 801,091 3,010,814 (2,209,723) 27% 2022 271,324 148.75 17.00% 801,091 7,500 51,138 0 1,028,777 3,328,400 (2,299,623) 31% 2023 317,450 174.04 17.00% 1,028,777 10,283 443 0 1,356,067 3,716,126 (2,360,060) 36% 2024 371,416 203.63 17.00% 1,356,067 13,213 34,724 0 1,705,972 4,088,826 (2,382,854) 42% 2025 434,557 238.24 17.00% 1,705,972 8,558 850,133 0 1,298,954 3,641,744 (2,342,790) 36% 2026 447,593 245.39 3.00% 1,298,954 12,893 9,689 0 1,749,751 4,056,084 (2,306,333) 43% 2027 461,021 252.75 3.00% 1,749,751 17,120 37,768 0 2,190,124 4,463,384 (2,273,260) 49% 2028 474,852 260.34 3.00% 2,190,124 21,129 77,187 0 2,608,918 4,852,038 (2,243,120) 54% 2029 489,097 268.15 3.00% 2,608,918 26,043 4,577 0 3,119,483 5,337,168 (2,217,685) 58% 2030 503,770 276.19 3.00% 3,119,483 15,322 1,587,246 0 2,051,330 4,217,031 (2,165,701) 49% 2031 518,884 284.48 3.00% 2,051,330 20,490 2,328 0 2,588,375 4,706,393 (2,118,018) 55% 2032 534,450 293.01 3.00% 2,588,375 25,464 41,934 0 3,106,356 5,180,600 (2,074,244) 60% 2033 550,484 301.80 3.00% 3,106,356 31,015 4,842 0 3,683,013 5,718,524 (2,035,511) 64% 2034 566,998 310.85 3.00% 3,683,013 36,798 3,181 0 4,283,628 6,285,921 (2,002,293) 68% 2035 584,008 320.18 3.00% 4,283,628 30,626 1,221,009 0 3,677,253 5,627,950 (1,950,697) 65% 2036 601,528 329.79 3.00% 3,677,253 36,051 72,172 0 4,242,660 6,145,876 (1,903,216) 69% 2037 619,574 339.68 3.00% 4,242,660 41,920 50,621 0 4,853,533 6,714,239 (1,860,706) 72% 2038 638,161 349.87 3.00% 4,853,533 47,562 97,380 0 5,441,876 7,264,575 (1,822,699) 75% 2039 657,306 360.37 3.00% 5,441,876 54,356 6,295 0 6,147,242 7,938,715 (1,791,473) 77% 2040 677,025 371.18 3.00% 6,147,242 9,743 5,172,920 0 1,661,091 3,325,337 (1,664,246) 50% 2041 697,336 382.31 3.00% 1,661,091 16,149 46,165 0 2,328,412 3,868,412 (1,540,000) 60% 2042 718,256 393.78 3.00% 2,328,412 22,621 66,354 0 3,002,934 4,421,710 (1,418,776) 68% 2043 739,804 405.59 3.00% 3,002,934 29,996 3,319 0 3,769,415 5,071,700 (1,302,286) 74% 2044 761,998 417.76 3.00% 3,769,415 37,269 42,473 0 4,526,209 5,716,485 (1,190,276) 79% 2045 784,858 430.29 3.00% 4,526,209 32,808 1,245,420 0 4,098,455 5,157,669 (1,059,215) 79% 2046 808,404 443.20 3.00% 4,098,455 40,976 875 0 4,946,959 5,880,545 (933,585) 84% 2047 832,656 456.50 3.00% 4,946,959 48,820 64,911 0 5,763,525 6,576,221 (812,696) 88% 2048 857,635 470.19 3.00% 5,763,525 55,669 196,646 0 6,480,183 7,174,664 (694,481) 90% Page 8 of 62
Cash Flow Funding Plan 6,000,000 4,000,000 2,000,000 0 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 2046 2047 2048 Anticipated Reserve Expense Threshold Minimum Balance Fully Funded Balance Anticipated FYE Cash Balance Page 9 of 62
Component Inventory Detail Report See General Information for Definitions R.L. U.L. Def. Quantity Unit Cost PM&A Anticipated Total Cost ADMINISTRATIVE Reserve Study Preparation 1 Reserve Study, Onsite 2 3 1 Fund 1,750.00 5.00% 1,838 2 Reserve Study, Update 0 3 1 Fund 375.00 5.00% 394 3 Reserve Study, Update 1 3 1 Fund 375.00 5.00% 394 BUILDING SYSTEMS Appurtenant Structure 4 Pool House, Refurbish 11 30 675 Sq.Ft. 28.00 5.00% 19,845 5 Wood Trellises 11 30 408 Sq.Ft. 26.01 5.00% 11,143 6 Wood Trellises (all), Paint 1 5 2424 Sq.Ft. 1.30 5.00% 3,309 7 Wood Trellis, Pool 11 30 525 Sq.Ft. 26.01 5.00% 14,338 Balcony 8 Balcony Deck & Railing, Major Repair 21 40 80 Each 3,600.00 5.00% 302,400 9 Balcony Deck Surfacing, Resurface 6 25 5728 Sq.Ft. 17.08 5.00% 102,726 10 Balcony Deck Surfacing, Seal 1 5 5728 Sq.Ft. 2.90 5.00% 17,442 11 Metal Balcony Railing 21 40 1056 Ln.Ft. 66.26 5.00% 73,469 Exterior Doors 12 Exterior Doors, Utility Closets 16 35 96 Each 487.00 5.00% 49,090 13 Garage Door, Metal, Sectional, Double - HOMEOWNER 16 35 104 Each None 5.00% 0 RESPONSIBILITY 14 Garage Door, Metal, Sectional, Single - HOMEOWNER RESPONSIBILITY 16 35 48 Each None 5.00% 0 Page 10 of 62
Component Inventory Detail Report See General Information for Definitions R.L. U.L. Def. Quantity Unit Cost PM&A Anticipated Total Cost Exterior Siding 15 Stucco Siding, 3% Repair 1 10 10 6157 Sq.Ft. 4.95 5.00% 32,001 16 Stucco Siding, Paint 1 10 205240 Sq.Ft. 1.22 5.00% 262,912 17 Wood Trim, Paint 1 5 10600 Ln.Ft. 2.97 5.00% 33,056 The Remaining Life of this component has been adjusted to synch with stucco paint. Inspect buildings and touch up as needed in the interim to protect wood surfaces. 18 Wood Trim, Repair Fund 1 5 5 1060 Ln.Ft. 17.58 5.00% 19,567 19 Wood Trim, Window Shutters 1 5 520 Each 437.50 5.00% 238,875 Interior Renovation 20 Restrooms, Cabana 6 25 2 Each 1,500.00 5.00% 3,150 Misc. Building Systems 21 Mail Boxes, 4"x5" Cluster 11 30 152 Each 59.42 5.00% 9,483 22 Mailbox Kiosk, Refurbish 11 30 9 Each 1,500.00 5.00% 14,175 23 Wood Destroying Pests, Treatment & Repairs 11 15 358940 Sq.Ft. 0.37 5.00% 139,448 Roofing 24 Downspouts, Aluminum 11 30 5984 Ln.Ft. 7.46 5.00% 46,873 25 Gutters, Aluminum 11 30 13222 Ln.Ft. 8.77 5.00% 121,755 26 Roof Inspection & Repair 9 10 152 Each 320.00 5.00% 51,072 27 Tile Roofing, Replace Underlayment 21 40 179470 Sq.Ft. 8.50 5.00% 1,601,770 Page 11 of 62
Component Inventory Detail Report See General Information for Definitions R.L. U.L. Def. Quantity Unit Cost PM&A Anticipated Total Cost MECHANICAL/ELECTRICAL SYSTEMS Exterior Lighting 28 Exterior Address Light 17 18 176 Each 81.22 5.00% 15,009 29 Exterior Bollard Light, Newer 22 25 8 Each 823.15 5.00% 6,914 30 Exterior Bollard Light, Original 6 25 67 Each 823.15 5.00% 57,909 31 Exterior Entry Lights 6 25 152 Each 110.98 5.00% 17,712 32 Exterior Garage Light, Standard 6 25 152 Each 200.26 5.00% 31,961 33 Exterior Lights, Balcony 6 25 80 Each 99.35 5.00% 8,345 34 Exterior Pole Light Poles 16 35 10 Each 907.14 5.00% 9,525 35 Exterior Pole Lights 11 30 10 Each 300.26 5.00% 3,153 Fire & Alarm Systems 36 Fire Sprinkler System Repair/Modernize 16 35 152 Each 1,400.00 5.00% 223,440 37 Fire Standpipe System, 5-Yr Certification* 3 5 24 Each 480.00 5.00% 12,096 38 Minor Repair Fund 3 5 24 Each 450.00 5.00% 11,340 Plumbing 39 Drinking Fountain 2 20 1 Each 1,258.67 5.00% 1,322 40 Hot Water Heater, 40 gal., Economy 0 12 1 Each 1,180.05 5.00% 1,239 41 Sewage Utility Lines, Repair Fund 31 50 1 Fund 150,000.00 5.00% 157,500 42 Water Piping Replacement, Common 31 50 152 Each 3,500.00 5.00% 558,600 Page 12 of 62
Component Inventory Detail Report See General Information for Definitions R.L. U.L. Def. Quantity Unit Cost PM&A Anticipated Total Cost Pool & Spa Mech & Elec Systems 43 Pool, Chlorinator 1 10 1 Each 432.00 5.00% 454 44 Pool Equipment Controller 1 10 1 Each 654.67 5.00% 687 45 Pool Filter 5 12 1 Each 2,174.08 5.00% 2,283 46 Pool Heater 3 10 1 Each 4,500.00 5.00% 4,725 47 Pool Pump 1 10 1 Each 1,672.61 5.00% 1,756 48 Spa, Chlorinator 1 10 1 Each 432.00 5.00% 454 49 Spa, Filter 5 12 1 Each 2,174.08 5.00% 2,283 50 Spa, Heater 9 10 1 Each 3,875.00 5.00% 4,069 51 Spa, Pumps 1 10 2 Each 1,672.61 5.00% 3,512 SITE SYSTEMS Exterior Furnishings 52 Park Bench 2 20 14 Each 450.00 5.00% 6,615 53 Pool Furniture 1 10 1 Fund 2,000.00 5.00% 2,100 Fencing 54 Metal Fencing, Pool 16 35 246 Ln.Ft. 78.00 5.00% 20,147 55 Metal Fencing, Pool, Paint 0 5 246 Ln.Ft. 6.38 5.00% 1,648 56 Metal Patio Gate - 3' 16 35 80 Each 334.80 5.00% 28,123 57 Metal Pedestrian Security Gate, Pool 16 35 1 Each 844.99 5.00% 887 58 Metal Pedestrian Security Gate, Sidewalk Access 6 25 8 Each 844.99 5.00% 7,098 59 Metal Pedestrian Security Gate, Sidewalk Access - Auto Closers - None None None None 5.00% 0 OPERATING (As Needed) 60 Metal Vehicle Security Gate 21 40 2 Each 1,662.00 5.00% 3,490 Fire Access from Dublin Blvd. 61 Wood Fence w/ Pressure Treated Posts 3 22 496 Ln.Ft. 35.03 5.00% 18,244 Page 13 of 62
Component Inventory Detail Report See General Information for Definitions R.L. U.L. Def. Quantity Unit Cost PM&A Anticipated Total Cost Landscape 62 Backflow Valve Repair/Replacement Fund 1 20 1 Fund 3,500.00 5.00% 3,675 63 CMU Block Retaining Wall, Paint 7 15 7920 Sq.Ft. 0.90 5.00% 7,484 64 CMU Block Retaining Wall, Repair 21 40 7920 Sq.Ft. 6.00 5.00% 49,896 65 Irrigation Controller Enclosures 11 30 5 Each 1,871.00 5.00% 9,823 66 Irrigation Controllers 11 15 5 Each 1,748.88 5.00% 9,182 67 Landscape Improvement Fund - Irrigation & General Landscape 6 25 1 Fund 50,000.00 5.00% 52,500 Upggrades 68 Landscape, Reclaimed Water Project 31 50 1 Fund 53,400.00 5.00% 56,070 Legacy item from previous report. 69 Plants & Refurbishment 1 5 152 Each 75.00 5.00% 11,970 70 Tree Maintenance 1 10 1 Fund 12,800.00 5.00% 13,440 Misc. Site Systems 71 Monument Sign 6 25 2 Each 1,500.00 5.00% 3,150 72 Signage, Misc. 2 7 1 Fund 1,250.00 5.00% 1,312 Pavement 73 Asphalt Pavement, Crack Fill, Seal Coat, Stripe 0 5 1 85500 Sq.Ft. 0.20 5.00% 17,955 74 Asphalt Pavement, Major Replacement 31 50 85500 Sq.Ft. 4.33 5.00% 388,726 75 Asphalt Pavement, Minor Repair-20% 0 5 1 17100 Sq.Ft. 4.65 5.00% 83,491 76 Concrete Pavement, Repair Fund 1 10 1 Fund 2,500.00 5.00% 2,625 77 Concrete, Swimming Pool & Spa Deck, Repair 5% 8 10 173 Sq.Ft. 25.00 5.00% 4,541 Page 14 of 62
Component Inventory Detail Report See General Information for Definitions R.L. U.L. Def. Quantity Unit Cost PM&A Anticipated Total Cost Pool & Spa Site Systems 78 Coping 17 36 156 Ln.Ft. 19.34 5.00% 3,168 79 Mastic 2 4 158 Ln.Ft. 8.22 5.00% 1,364 80 Pool Plaster 5 12 1044 Sq.Ft.Surf. 17.41 5.00% 19,085 81 Spa Plaster 2 7 102 Sq.Ft.Surf. 21.57 5.00% 2,310 82 Tile 5 24 156 Ln.Ft. 17.20 5.00% 2,817 Total 5,139,748 Page 15 of 62
Accountants Breakout Current Unit Cost Fully Funded Balance Current Fund Balance Annual Reserve Accrual % of Annual Accrual/ Contribution Annual Contribution Contribution per Unit per Month ADMINISTRATIVE Reserve Study Preparation 1 Reserve Study, Onsite 1,838 612 207 612 0.25% 417.19 0.23 2 Reserve Study, Update 394 394 133 131 0.05% 89.40 0.05 3 Reserve Study, Update 394 262 89 131 0.05% 89.40 0.05 BUILDING SYSTEMS Appurtenant Structure 4 Pool House, Refurbish 19,845 12,568 4,247 662 0.27% 450.56 0.25 5 Wood Trellises 11,143 7,057 2,385 371 0.15% 252.98 0.14 6 Wood Trellises (all), Paint 3,309 2,647 895 662 0.27% 450.73 0.25 7 Wood Trellis, Pool 14,338 9,081 3,069 478 0.19% 325.53 0.18 Balcony 8 Balcony Deck & Railing, Major Repair 302,400 143,640 48,541 7,560 3.04% 5,149.29 2.82 9 Balcony Deck Surfacing, Resurface 102,726 78,072 26,383 4,109 1.65% 2,798.76 1.53 10 Balcony Deck Surfacing, Seal 17,442 13,953 4,715 3,488 1.40% 2,376.00 1.30 11 Metal Balcony Railing 73,469 34,898 11,793 1,837 0.74% 1,251.04 0.69 Exterior Doors 12 Exterior Doors, Utility Closets 49,090 26,649 9,006 1,403 0.56% 955.32 0.52 13 Garage Door, Metal, Sectional, Double - 0 0 0 0 0.00% 0.00 0.00 HOMEOWNER RESPONSIBILITY 14 Garage Door, Metal, Sectional, Single - HOMEOWNER RESPONSIBILITY 0 0 0 0 0.00% 0.00 0.00 Page 16 of 62
Accountants Breakout Current Unit Cost Fully Funded Balance Current Fund Balance Annual Reserve Accrual % of Annual Accrual/ Contribution Annual Contribution Contribution per Unit per Month Exterior Siding 15 Stucco Siding, 3% Repair 32,001 28,801 9,733 3,200 1.29% 2,179.66 1.19 16 Stucco Siding, Paint 262,912 236,621 79,963 26,291 10.57% 17,907.58 9.82 17 Wood Trim, Paint 33,056 26,445 8,937 6,611 2.66% 4,503.06 2.47 18 Wood Trim, Repair Fund 19,567 15,653 5,290 3,913 1.57% 2,665.45 1.46 19 Wood Trim, Window Shutters 238,875 191,100 64,579 47,775 19.21% 32,540.67 17.84 Interior Renovation 20 Restrooms, Cabana 3,150 2,394 809 126 0.05% 85.82 0.05 Misc. Building Systems 21 Mail Boxes, 4"x5" Cluster 9,483 6,006 2,030 316 0.13% 215.31 0.12 22 Mailbox Kiosk, Refurbish 14,175 8,978 3,034 472 0.19% 321.83 0.18 23 Wood Destroying Pests, Treatment & Repairs 139,448 37,186 12,567 9,297 3.74% 6,332.10 3.47 Roofing 24 Downspouts, Aluminum 46,873 29,686 10,032 1,562 0.63% 1,064.20 0.58 25 Gutters, Aluminum 121,755 77,111 26,059 4,058 1.63% 2,764.33 1.52 26 Roof Inspection & Repair 51,072 5,107 1,726 5,107 2.05% 3,478.63 1.91 27 Tile Roofing, Replace Underlayment 1,601,770 760,841 257,115 40,044 16.10% 27,275.07 14.95 Page 17 of 62
Accountants Breakout Current Unit Cost Fully Funded Balance Current Fund Balance Annual Reserve Accrual % of Annual Accrual/ Contribution Annual Contribution Contribution per Unit per Month MECHANICAL/ELECTRICAL SYSTEMS Exterior Lighting 28 Exterior Address Light 15,009 834 282 834 0.34% 567.96 0.31 29 Exterior Bollard Light, Newer 6,914 830 280 277 0.11% 188.38 0.10 30 Exterior Bollard Light, Original 57,909 44,011 14,873 2,316 0.93% 1,577.72 0.86 31 Exterior Entry Lights 17,712 13,461 4,549 708 0.28% 482.57 0.26 32 Exterior Garage Light, Standard 31,961 24,291 8,209 1,278 0.51% 870.79 0.48 33 Exterior Lights, Balcony 8,345 6,343 2,143 334 0.13% 227.37 0.12 34 Exterior Pole Light Poles 9,525 5,171 1,747 272 0.11% 185.36 0.10 35 Exterior Pole Lights 3,153 1,997 675 105 0.04% 71.58 0.04 Fire & Alarm Systems 36 Fire Sprinkler System Repair/Modernize 223,440 121,296 40,990 6,384 2.57% 4,348.29 2.38 37 Fire Standpipe System, 5-Yr Certification* 12,096 4,838 1,635 2,419 0.97% 1,647.77 0.90 38 Minor Repair Fund 11,340 4,536 1,533 2,268 0.91% 1,544.79 0.85 Plumbing 39 Drinking Fountain 1,322 1,189 402 66 0.03% 45.01 0.02 40 Hot Water Heater, 40 gal., Economy 1,239 1,239 419 103 0.04% 70.33 0.04 41 Sewage Utility Lines, Repair Fund 157,500 59,850 20,225 3,150 1.27% 2,145.54 1.18 42 Water Piping Replacement, Common 558,600 212,268 71,733 11,172 4.49% 7,609.51 4.17 Page 18 of 62
Accountants Breakout Current Unit Cost Fully Funded Balance Current Fund Balance Annual Reserve Accrual % of Annual Accrual/ Contribution Annual Contribution Contribution per Unit per Month Pool & Spa Mech & Elec Systems 43 Pool, Chlorinator 454 408 138 45 0.02% 30.90 0.02 44 Pool Equipment Controller 687 619 209 69 0.03% 46.82 0.03 45 Pool Filter 2,283 1,332 450 190 0.08% 129.57 0.07 46 Pool Heater 4,725 3,308 1,118 472 0.19% 321.83 0.18 47 Pool Pump 1,756 1,581 534 176 0.07% 119.62 0.07 48 Spa, Chlorinator 454 408 138 45 0.02% 30.90 0.02 49 Spa, Filter 2,283 1,332 450 190 0.08% 129.57 0.07 50 Spa, Heater 4,069 407 137 407 0.16% 277.13 0.15 51 Spa, Pumps 3,512 3,161 1,068 351 0.14% 239.24 0.13 SITE SYSTEMS Exterior Furnishings 52 Park Bench 6,615 5,954 2,012 331 0.13% 225.28 0.12 53 Pool Furniture 2,100 1,890 639 210 0.08% 143.04 0.08 Fencing 54 Metal Fencing, Pool 20,147 10,937 3,696 576 0.23% 392.08 0.21 55 Metal Fencing, Pool, Paint 1,648 1,648 557 330 0.13% 224.49 0.12 56 Metal Patio Gate - 3' 28,123 15,267 5,159 804 0.32% 547.30 0.30 57 Metal Pedestrian Security Gate, Pool 887 482 163 25 0.01% 17.27 0.01 58 Metal Pedestrian Security Gate, Sidewalk Access 7,098 5,394 1,823 284 0.11% 193.38 0.11 59 Metal Pedestrian Security Gate, Sidewalk Access - 0 0 0 0 0.00% 0.00 0.00 Auto Closers - OPERATING (As Needed) 60 Metal Vehicle Security Gate 3,490 1,658 560 87 0.04% 59.43 0.03 61 Wood Fence w/ Pressure Treated Posts 18,244 15,756 5,324 829 0.33% 564.83 0.31 Page 19 of 62
Accountants Breakout Current Unit Cost Fully Funded Balance Current Fund Balance Annual Reserve Accrual % of Annual Accrual/ Contribution Annual Contribution Contribution per Unit per Month Landscape 62 Backflow Valve Repair/Replacement Fund 3,675 3,491 1,180 184 0.07% 125.16 0.07 63 CMU Block Retaining Wall, Paint 7,484 3,992 1,349 499 0.20% 339.85 0.19 64 CMU Block Retaining Wall, Repair 49,896 23,701 8,009 1,247 0.50% 849.63 0.47 65 Irrigation Controller Enclosures 9,823 6,221 2,102 327 0.13% 223.02 0.12 66 Irrigation Controllers 9,182 2,448 827 612 0.25% 416.92 0.23 67 Landscape Improvement Fund - Irrigation & 52,500 39,900 13,484 2,100 0.84% 1,430.36 0.78 General Landscape Upggrades 68 Landscape, Reclaimed Water Project 56,070 21,307 7,200 1,121 0.45% 763.81 0.42 69 Plants & Refurbishment 11,970 9,576 3,236 2,394 0.96% 1,630.61 0.89 70 Tree Maintenance 13,440 12,096 4,088 1,344 0.54% 915.43 0.50 Misc. Site Systems 71 Monument Sign 3,150 2,394 809 126 0.05% 85.82 0.05 72 Signage, Misc. 1,312 938 317 188 0.08% 127.71 0.07 Pavement 73 Asphalt Pavement, Crack Fill, Seal Coat, Stripe 17,955 17,955 6,068 3,591 1.44% 2,445.91 1.34 74 Asphalt Pavement, Major Replacement 388,726 147,716 49,918 7,775 3.13% 5,295.40 2.90 75 Asphalt Pavement, Minor Repair-20% 83,491 83,491 28,214 16,698 6.71% 11,373.50 6.24 76 Concrete Pavement, Repair Fund 2,625 2,362 798 262 0.11% 178.79 0.10 77 Concrete, Swimming Pool & Spa Deck, Repair 5% 4,541 908 307 454 0.18% 309.32 0.17 Page 20 of 62
Accountants Breakout Current Unit Cost Fully Funded Balance Current Fund Balance Annual Reserve Accrual % of Annual Accrual/ Contribution Annual Contribution Contribution per Unit per Month Pool & Spa Site Systems 78 Coping 3,168 1,672 565 88 0.04% 59.94 0.03 79 Mastic 1,364 682 230 341 0.14% 232.21 0.13 80 Pool Plaster 19,085 11,133 3,762 1,590 0.64% 1,083.26 0.59 81 Spa Plaster 2,310 1,650 558 330 0.13% 224.79 0.12 82 Tile 2,817 2,230 754 117 0.05% 79.96 0.04 Total 5,139,748 2,725,318 920,982 248,717 100.00% 169,407.00 92.88 Page 21 of 62
Future Capital Needs Report ADMINISTRATIVE 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Annual Expense Totals: 3,281 719,050 15,659 51,138 443 34,724 850,133 9,689 37,768 77,187 Reserve Study Preparation 1 Reserve Study, Onsite 0 0 1,949 0 0 2,130 0 0 2,328 0 2 Reserve Study, Update 394 0 0 430 0 0 470 0 0 514 3 Reserve Study, Update 0 406 0 0 443 0 0 484 0 0 BUILDING SYSTEMS Appurtenant Structure 4 Pool House, Refurbish 0 0 0 0 0 0 0 0 0 0 5 Wood Trellises 0 0 0 0 0 0 0 0 0 0 6 Wood Trellises (all), Paint 0 3,408 0 0 0 0 3,951 0 0 0 7 Wood Trellis, Pool 0 0 0 0 0 0 0 0 0 0 Balcony 8 Balcony Deck & Railing, Major Repair 0 0 0 0 0 0 0 0 0 0 9 Balcony Deck Surfacing, Resurface 0 0 0 0 0 0 122,660 0 0 0 10 Balcony Deck Surfacing, Seal 0 17,965 0 0 0 0 20,826 0 0 0 11 Metal Balcony Railing 0 0 0 0 0 0 0 0 0 0 Exterior Doors 12 Exterior Doors, Utility Closets 0 0 0 0 0 0 0 0 0 0 13 Garage Door, Metal, Sectional, Double - 0 0 0 0 0 0 0 0 0 0 HOMEOWNER RESPONSIBILITY 14 Garage Door, Metal, Sectional, Single - HOMEOWNER RESPONSIBILITY 0 0 0 0 0 0 0 0 0 0 Page 22 of 62
Future Capital Needs Report 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Annual Expense Totals: 3,281 719,050 15,659 51,138 443 34,724 850,133 9,689 37,768 77,187 Exterior Siding 15 Stucco Siding, 3% Repair 0 0 0 0 0 0 0 0 0 0 16 Stucco Siding, Paint 0 270,800 0 0 0 0 0 0 0 0 17 Wood Trim, Paint 0 34,048 0 0 0 0 39,471 0 0 0 18 Wood Trim, Repair Fund 0 0 0 0 0 0 23,363 0 0 0 19 Wood Trim, Window Shutters 0 246,041 0 0 0 0 285,229 0 0 0 Interior Renovation 20 Restrooms, Cabana 0 0 0 0 0 0 3,761 0 0 0 Misc. Building Systems 21 Mail Boxes, 4"x5" Cluster 0 0 0 0 0 0 0 0 0 0 22 Mailbox Kiosk, Refurbish 0 0 0 0 0 0 0 0 0 0 23 Wood Destroying Pests, Treatment & Repairs 0 0 0 0 0 0 0 0 0 0 Roofing 24 Downspouts, Aluminum 0 0 0 0 0 0 0 0 0 0 25 Gutters, Aluminum 0 0 0 0 0 0 0 0 0 0 26 Roof Inspection & Repair 0 0 0 0 0 0 0 0 0 66,637 27 Tile Roofing, Replace Underlayment 0 0 0 0 0 0 0 0 0 0 Page 23 of 62
Future Capital Needs Report MECHANICAL/ELECTRICAL SYSTEMS 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Annual Expense Totals: 3,281 719,050 15,659 51,138 443 34,724 850,133 9,689 37,768 77,187 Exterior Lighting 28 Exterior Address Light 0 0 0 0 0 0 0 0 0 0 29 Exterior Bollard Light, Newer 0 0 0 0 0 0 0 0 0 0 30 Exterior Bollard Light, Original 0 0 0 0 0 0 69,146 0 0 0 31 Exterior Entry Lights 0 0 0 0 0 0 21,150 0 0 0 32 Exterior Garage Light, Standard 0 0 0 0 0 0 38,164 0 0 0 33 Exterior Lights, Balcony 0 0 0 0 0 0 9,965 0 0 0 34 Exterior Pole Light Poles 0 0 0 0 0 0 0 0 0 0 35 Exterior Pole Lights 0 0 0 0 0 0 0 0 0 0 Fire & Alarm Systems 36 Fire Sprinkler System Repair/Modernize 0 0 0 0 0 0 0 0 0 0 37 Fire Standpipe System, 5-Yr Certification* 0 0 0 13,218 0 0 0 0 15,323 0 38 Minor Repair Fund 0 0 0 12,392 0 0 0 0 14,365 0 Plumbing 39 Drinking Fountain 0 0 1,402 0 0 0 0 0 0 0 40 Hot Water Heater, 40 gal., Economy 1,239 0 0 0 0 0 0 0 0 0 41 Sewage Utility Lines, Repair Fund 0 0 0 0 0 0 0 0 0 0 42 Water Piping Replacement, Common 0 0 0 0 0 0 0 0 0 0 Page 24 of 62
Future Capital Needs Report 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Annual Expense Totals: 3,281 719,050 15,659 51,138 443 34,724 850,133 9,689 37,768 77,187 Pool & Spa Mech & Elec Systems 43 Pool, Chlorinator 0 467 0 0 0 0 0 0 0 0 44 Pool Equipment Controller 0 708 0 0 0 0 0 0 0 0 45 Pool Filter 0 0 0 0 0 2,646 0 0 0 0 46 Pool Heater 0 0 0 5,163 0 0 0 0 0 0 47 Pool Pump 0 1,809 0 0 0 0 0 0 0 0 48 Spa, Chlorinator 0 467 0 0 0 0 0 0 0 0 49 Spa, Filter 0 0 0 0 0 2,646 0 0 0 0 50 Spa, Heater 0 0 0 0 0 0 0 0 0 5,309 51 Spa, Pumps 0 3,618 0 0 0 0 0 0 0 0 SITE SYSTEMS Exterior Furnishings 52 Park Bench 0 0 7,018 0 0 0 0 0 0 0 53 Pool Furniture 0 2,163 0 0 0 0 0 0 0 0 Fencing 54 Metal Fencing, Pool 0 0 0 0 0 0 0 0 0 0 55 Metal Fencing, Pool, Paint 1,648 0 0 0 0 1,910 0 0 0 0 56 Metal Patio Gate - 3' 0 0 0 0 0 0 0 0 0 0 57 Metal Pedestrian Security Gate, Pool 0 0 0 0 0 0 0 0 0 0 58 Metal Pedestrian Security Gate, Sidewalk Access 0 0 0 0 0 0 8,475 0 0 0 59 Metal Pedestrian Security Gate, Sidewalk Access - 0 0 0 0 0 0 0 0 0 0 Auto Closers - OPERATING (As Needed) 60 Metal Vehicle Security Gate 0 0 0 0 0 0 0 0 0 0 61 Wood Fence w/ Pressure Treated Posts 0 0 0 19,935 0 0 0 0 0 0 Page 25 of 62
Future Capital Needs Report 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Annual Expense Totals: 3,281 719,050 15,659 51,138 443 34,724 850,133 9,689 37,768 77,187 Landscape 62 Backflow Valve Repair/Replacement Fund 0 3,785 0 0 0 0 0 0 0 0 63 CMU Block Retaining Wall, Paint 0 0 0 0 0 0 0 9,205 0 0 64 CMU Block Retaining Wall, Repair 0 0 0 0 0 0 0 0 0 0 65 Irrigation Controller Enclosures 0 0 0 0 0 0 0 0 0 0 66 Irrigation Controllers 0 0 0 0 0 0 0 0 0 0 67 Landscape Improvement Fund - Irrigation & 0 0 0 0 0 0 62,688 0 0 0 General Landscape Upggrades 68 Landscape, Reclaimed Water Project 0 0 0 0 0 0 0 0 0 0 69 Plants & Refurbishment 0 12,329 0 0 0 0 14,293 0 0 0 70 Tree Maintenance 0 13,843 0 0 0 0 0 0 0 0 Misc. Site Systems 71 Monument Sign 0 0 0 0 0 0 3,761 0 0 0 72 Signage, Misc. 0 0 1,392 0 0 0 0 0 0 1,713 Pavement 73 Asphalt Pavement, Crack Fill, Seal Coat, Stripe 0 18,494 0 0 0 0 21,439 0 0 0 74 Asphalt Pavement, Major Replacement 0 0 0 0 0 0 0 0 0 0 75 Asphalt Pavement, Minor Repair-20% 0 85,995 0 0 0 0 99,692 0 0 0 76 Concrete Pavement, Repair Fund 0 2,704 0 0 0 0 0 0 0 0 77 Concrete, Swimming Pool & Spa Deck, Repair 5% 0 0 0 0 0 0 0 0 5,753 0 Page 26 of 62
Future Capital Needs Report 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Annual Expense Totals: 3,281 719,050 15,659 51,138 443 34,724 850,133 9,689 37,768 77,187 Pool & Spa Site Systems 78 Coping 0 0 0 0 0 0 0 0 0 0 79 Mastic 0 0 1,447 0 0 0 1,628 0 0 0 80 Pool Plaster 0 0 0 0 0 22,125 0 0 0 0 81 Spa Plaster 0 0 2,451 0 0 0 0 0 0 3,014 82 Tile 0 0 0 0 0 3,266 0 0 0 0 Page 27 of 62
Future Capital Needs Report ADMINISTRATIVE 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 Annual Expense Totals: 4,577 1,587,246 2,328 41,934 4,842 3,181 1,221,009 72,172 50,621 97,380 Reserve Study Preparation 1 Reserve Study, Onsite 0 2,544 0 0 2,779 0 0 3,037 0 0 2 Reserve Study, Update 0 0 561 0 0 613 0 0 670 0 3 Reserve Study, Update 529 0 0 578 0 0 632 0 0 690 BUILDING SYSTEMS Appurtenant Structure 4 Pool House, Refurbish 0 27,470 0 0 0 0 0 0 0 0 5 Wood Trellises 0 15,424 0 0 0 0 0 0 0 0 6 Wood Trellises (all), Paint 0 4,580 0 0 0 0 5,310 0 0 0 7 Wood Trellis, Pool 0 19,847 0 0 0 0 0 0 0 0 Balcony 8 Balcony Deck & Railing, Major Repair 0 0 0 0 0 0 0 0 0 0 9 Balcony Deck Surfacing, Resurface 0 0 0 0 0 0 0 0 0 0 10 Balcony Deck Surfacing, Seal 0 24,143 0 0 0 0 27,989 0 0 0 11 Metal Balcony Railing 0 0 0 0 0 0 0 0 0 0 Exterior Doors 12 Exterior Doors, Utility Closets 0 0 0 0 0 0 78,774 0 0 0 13 Garage Door, Metal, Sectional, Double - 0 0 0 0 0 0 0 0 0 0 HOMEOWNER RESPONSIBILITY 14 Garage Door, Metal, Sectional, Single - HOMEOWNER RESPONSIBILITY 0 0 0 0 0 0 0 0 0 0 Page 28 of 62
Future Capital Needs Report 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 Annual Expense Totals: 4,577 1,587,246 2,328 41,934 4,842 3,181 1,221,009 72,172 50,621 97,380 Exterior Siding 15 Stucco Siding, 3% Repair 0 44,297 0 0 0 0 0 0 0 0 16 Stucco Siding, Paint 0 363,932 0 0 0 0 0 0 0 0 17 Wood Trim, Paint 0 45,757 0 0 0 0 53,045 0 0 0 18 Wood Trim, Repair Fund 0 27,085 0 0 0 0 31,399 0 0 0 19 Wood Trim, Window Shutters 0 330,659 0 0 0 0 383,324 0 0 0 Interior Renovation 20 Restrooms, Cabana 0 0 0 0 0 0 0 0 0 0 Misc. Building Systems 21 Mail Boxes, 4"x5" Cluster 0 13,127 0 0 0 0 0 0 0 0 22 Mailbox Kiosk, Refurbish 0 19,622 0 0 0 0 0 0 0 0 23 Wood Destroying Pests, Treatment & Repairs 0 193,029 0 0 0 0 0 0 0 0 Roofing 24 Downspouts, Aluminum 0 64,883 0 0 0 0 0 0 0 0 25 Gutters, Aluminum 0 168,537 0 0 0 0 0 0 0 0 26 Roof Inspection & Repair 0 0 0 0 0 0 0 0 0 89,555 27 Tile Roofing, Replace Underlayment 0 0 0 0 0 0 0 0 0 0 Page 29 of 62
Future Capital Needs Report MECHANICAL/ELECTRICAL SYSTEMS 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 Annual Expense Totals: 4,577 1,587,246 2,328 41,934 4,842 3,181 1,221,009 72,172 50,621 97,380 Exterior Lighting 28 Exterior Address Light 0 0 0 0 0 0 0 24,808 0 0 29 Exterior Bollard Light, Newer 0 0 0 0 0 0 0 0 0 0 30 Exterior Bollard Light, Original 0 0 0 0 0 0 0 0 0 0 31 Exterior Entry Lights 0 0 0 0 0 0 0 0 0 0 32 Exterior Garage Light, Standard 0 0 0 0 0 0 0 0 0 0 33 Exterior Lights, Balcony 0 0 0 0 0 0 0 0 0 0 34 Exterior Pole Light Poles 0 0 0 0 0 0 15,285 0 0 0 35 Exterior Pole Lights 0 4,364 0 0 0 0 0 0 0 0 Fire & Alarm Systems 36 Fire Sprinkler System Repair/Modernize 0 0 0 0 0 0 358,556 0 0 0 37 Fire Standpipe System, 5-Yr Certification* 0 0 0 17,763 0 0 0 0 20,593 0 38 Minor Repair Fund 0 0 0 16,653 0 0 0 0 19,306 0 Plumbing 39 Drinking Fountain 0 0 0 0 0 0 0 0 0 0 40 Hot Water Heater, 40 gal., Economy 0 0 1,767 0 0 0 0 0 0 0 41 Sewage Utility Lines, Repair Fund 0 0 0 0 0 0 0 0 0 0 42 Water Piping Replacement, Common 0 0 0 0 0 0 0 0 0 0 Page 30 of 62
Future Capital Needs Report 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 Annual Expense Totals: 4,577 1,587,246 2,328 41,934 4,842 3,181 1,221,009 72,172 50,621 97,380 Pool & Spa Mech & Elec Systems 43 Pool, Chlorinator 0 628 0 0 0 0 0 0 0 0 44 Pool Equipment Controller 0 952 0 0 0 0 0 0 0 0 45 Pool Filter 0 0 0 0 0 0 0 3,773 0 0 46 Pool Heater 0 0 0 6,939 0 0 0 0 0 0 47 Pool Pump 0 2,431 0 0 0 0 0 0 0 0 48 Spa, Chlorinator 0 628 0 0 0 0 0 0 0 0 49 Spa, Filter 0 0 0 0 0 0 0 3,773 0 0 50 Spa, Heater 0 0 0 0 0 0 0 0 0 7,135 51 Spa, Pumps 0 4,862 0 0 0 0 0 0 0 0 SITE SYSTEMS Exterior Furnishings 52 Park Bench 0 0 0 0 0 0 0 0 0 0 53 Pool Furniture 0 2,907 0 0 0 0 0 0 0 0 Fencing 54 Metal Fencing, Pool 0 0 0 0 0 0 32,331 0 0 0 55 Metal Fencing, Pool, Paint 2,215 0 0 0 0 2,567 0 0 0 0 56 Metal Patio Gate - 3' 0 0 0 0 0 0 45,129 0 0 0 57 Metal Pedestrian Security Gate, Pool 0 0 0 0 0 0 1,424 0 0 0 58 Metal Pedestrian Security Gate, Sidewalk Access 0 0 0 0 0 0 0 0 0 0 59 Metal Pedestrian Security Gate, Sidewalk Access - 0 0 0 0 0 0 0 0 0 0 Auto Closers - OPERATING (As Needed) 60 Metal Vehicle Security Gate 0 0 0 0 0 0 0 0 0 0 61 Wood Fence w/ Pressure Treated Posts 0 0 0 0 0 0 0 0 0 0 Page 31 of 62
Future Capital Needs Report 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 Annual Expense Totals: 4,577 1,587,246 2,328 41,934 4,842 3,181 1,221,009 72,172 50,621 97,380 Landscape 62 Backflow Valve Repair/Replacement Fund 0 0 0 0 0 0 0 0 0 0 63 CMU Block Retaining Wall, Paint 0 0 0 0 0 0 0 0 0 0 64 CMU Block Retaining Wall, Repair 0 0 0 0 0 0 0 0 0 0 65 Irrigation Controller Enclosures 0 13,597 0 0 0 0 0 0 0 0 66 Irrigation Controllers 0 12,710 0 0 0 0 0 0 0 0 67 Landscape Improvement Fund - Irrigation & 0 0 0 0 0 0 0 0 0 0 General Landscape Upggrades 68 Landscape, Reclaimed Water Project 0 0 0 0 0 0 0 0 0 0 69 Plants & Refurbishment 0 16,569 0 0 0 0 19,208 0 0 0 70 Tree Maintenance 0 18,604 0 0 0 0 0 0 0 0 Misc. Site Systems 71 Monument Sign 0 0 0 0 0 0 0 0 0 0 72 Signage, Misc. 0 0 0 0 0 0 2,106 0 0 0 Pavement 73 Asphalt Pavement, Crack Fill, Seal Coat, Stripe 0 24,854 0 0 0 0 28,813 0 0 0 74 Asphalt Pavement, Major Replacement 0 0 0 0 0 0 0 0 0 0 75 Asphalt Pavement, Minor Repair-20% 0 115,571 0 0 0 0 133,978 0 0 0 76 Concrete Pavement, Repair Fund 0 3,634 0 0 0 0 0 0 0 0 77 Concrete, Swimming Pool & Spa Deck, Repair 5% 0 0 0 0 0 0 0 0 7,731 0 Page 32 of 62
Future Capital Needs Report 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 Annual Expense Totals: 4,577 1,587,246 2,328 41,934 4,842 3,181 1,221,009 72,172 50,621 97,380 Pool & Spa Site Systems 78 Coping 0 0 0 0 0 0 0 5,236 0 0 79 Mastic 1,833 0 0 0 2,063 0 0 0 2,322 0 80 Pool Plaster 0 0 0 0 0 0 0 31,544 0 0 81 Spa Plaster 0 0 0 0 0 0 3,707 0 0 0 82 Tile 0 0 0 0 0 0 0 0 0 0 Page 33 of 62
Future Capital Needs Report ADMINISTRATIVE 2039 2040 2041 2042 2043 2044 2045 2046 2047 2048 Annual Expense Totals: 6,295 5,172,920 46,165 66,354 3,319 42,473 1,245,420 875 64,911 196,646 Reserve Study Preparation 1 Reserve Study, Onsite 3,319 0 0 3,626 0 0 3,963 0 0 4,330 2 Reserve Study, Update 0 732 0 0 800 0 0 875 0 0 3 Reserve Study, Update 0 0 754 0 0 824 0 0 901 0 BUILDING SYSTEMS Appurtenant Structure 4 Pool House, Refurbish 0 0 0 0 0 0 0 0 0 0 5 Wood Trellises 0 0 0 0 0 0 0 0 0 0 6 Wood Trellises (all), Paint 0 6,155 0 0 0 0 7,136 0 0 0 7 Wood Trellis, Pool 0 0 0 0 0 0 0 0 0 0 Balcony 8 Balcony Deck & Railing, Major Repair 0 562,553 0 0 0 0 0 0 0 0 9 Balcony Deck Surfacing, Resurface 0 0 0 0 0 0 0 0 0 0 10 Balcony Deck Surfacing, Seal 0 32,447 0 0 0 0 37,615 0 0 0 11 Metal Balcony Railing 0 136,674 0 0 0 0 0 0 0 0 Exterior Doors 12 Exterior Doors, Utility Closets 0 0 0 0 0 0 0 0 0 0 13 Garage Door, Metal, Sectional, Double - 0 0 0 0 0 0 0 0 0 0 HOMEOWNER RESPONSIBILITY 14 Garage Door, Metal, Sectional, Single - HOMEOWNER RESPONSIBILITY 0 0 0 0 0 0 0 0 0 0 Page 34 of 62
Future Capital Needs Report 2039 2040 2041 2042 2043 2044 2045 2046 2047 2048 Annual Expense Totals: 6,295 5,172,920 46,165 66,354 3,319 42,473 1,245,420 875 64,911 196,646 Exterior Siding 15 Stucco Siding, 3% Repair 0 59,531 0 0 0 0 0 0 0 0 16 Stucco Siding, Paint 0 489,095 0 0 0 0 0 0 0 0 17 Wood Trim, Paint 0 61,494 0 0 0 0 71,288 0 0 0 18 Wood Trim, Repair Fund 0 36,400 0 0 0 0 42,197 0 0 0 19 Wood Trim, Window Shutters 0 444,378 0 0 0 0 515,156 0 0 0 Interior Renovation 20 Restrooms, Cabana 0 0 0 0 0 0 0 0 0 0 Misc. Building Systems 21 Mail Boxes, 4"x5" Cluster 0 0 0 0 0 0 0 0 0 0 22 Mailbox Kiosk, Refurbish 0 0 0 0 0 0 0 0 0 0 23 Wood Destroying Pests, Treatment & Repairs 0 0 0 0 0 0 300,733 0 0 0 Roofing 24 Downspouts, Aluminum 0 0 0 0 0 0 0 0 0 0 25 Gutters, Aluminum 0 0 0 0 0 0 0 0 0 0 26 Roof Inspection & Repair 0 0 0 0 0 0 0 0 0 120,355 27 Tile Roofing, Replace Underlayment 0 2,979,764 0 0 0 0 0 0 0 0 Page 35 of 62
Future Capital Needs Report MECHANICAL/ELECTRICAL SYSTEMS 2039 2040 2041 2042 2043 2044 2045 2046 2047 2048 Annual Expense Totals: 6,295 5,172,920 46,165 66,354 3,319 42,473 1,245,420 875 64,911 196,646 Exterior Lighting 28 Exterior Address Light 0 0 0 0 0 0 0 0 0 0 29 Exterior Bollard Light, Newer 0 0 13,249 0 0 0 0 0 0 0 30 Exterior Bollard Light, Original 0 0 0 0 0 0 0 0 0 0 31 Exterior Entry Lights 0 0 0 0 0 0 0 0 0 0 32 Exterior Garage Light, Standard 0 0 0 0 0 0 0 0 0 0 33 Exterior Lights, Balcony 0 0 0 0 0 0 0 0 0 0 34 Exterior Pole Light Poles 0 0 0 0 0 0 0 0 0 0 35 Exterior Pole Lights 0 0 0 0 0 0 0 0 0 0 Fire & Alarm Systems 36 Fire Sprinkler System Repair/Modernize 0 0 0 0 0 0 0 0 0 0 37 Fire Standpipe System, 5-Yr Certification* 0 0 0 23,873 0 0 0 0 27,675 0 38 Minor Repair Fund 0 0 0 22,380 0 0 0 0 25,945 0 Plumbing 39 Drinking Fountain 0 0 2,532 0 0 0 0 0 0 0 40 Hot Water Heater, 40 gal., Economy 0 0 0 0 2,519 0 0 0 0 0 41 Sewage Utility Lines, Repair Fund 0 0 0 0 0 0 0 0 0 0 42 Water Piping Replacement, Common 0 0 0 0 0 0 0 0 0 0 Page 36 of 62
Future Capital Needs Report 2039 2040 2041 2042 2043 2044 2045 2046 2047 2048 Annual Expense Totals: 6,295 5,172,920 46,165 66,354 3,319 42,473 1,245,420 875 64,911 196,646 Pool & Spa Mech & Elec Systems 43 Pool, Chlorinator 0 844 0 0 0 0 0 0 0 0 44 Pool Equipment Controller 0 1,279 0 0 0 0 0 0 0 0 45 Pool Filter 0 0 0 0 0 0 0 0 0 5,380 46 Pool Heater 0 0 0 9,325 0 0 0 0 0 0 47 Pool Pump 0 3,267 0 0 0 0 0 0 0 0 48 Spa, Chlorinator 0 844 0 0 0 0 0 0 0 0 49 Spa, Filter 0 0 0 0 0 0 0 0 0 5,380 50 Spa, Heater 0 0 0 0 0 0 0 0 0 9,588 51 Spa, Pumps 0 6,534 0 0 0 0 0 0 0 0 SITE SYSTEMS Exterior Furnishings 52 Park Bench 0 0 12,675 0 0 0 0 0 0 0 53 Pool Furniture 0 3,907 0 0 0 0 0 0 0 0 Fencing 54 Metal Fencing, Pool 0 0 0 0 0 0 0 0 0 0 55 Metal Fencing, Pool, Paint 2,976 0 0 0 0 3,450 0 0 0 0 56 Metal Patio Gate - 3' 0 0 0 0 0 0 0 0 0 0 57 Metal Pedestrian Security Gate, Pool 0 0 0 0 0 0 0 0 0 0 58 Metal Pedestrian Security Gate, Sidewalk Access 0 0 0 0 0 0 0 0 0 0 59 Metal Pedestrian Security Gate, Sidewalk Access - 0 0 0 0 0 0 0 0 0 0 Auto Closers - OPERATING (As Needed) 60 Metal Vehicle Security Gate 0 6,493 0 0 0 0 0 0 0 0 61 Wood Fence w/ Pressure Treated Posts 0 0 0 0 0 38,198 0 0 0 0 Page 37 of 62
Future Capital Needs Report 2039 2040 2041 2042 2043 2044 2045 2046 2047 2048 Annual Expense Totals: 6,295 5,172,920 46,165 66,354 3,319 42,473 1,245,420 875 64,911 196,646 Landscape 62 Backflow Valve Repair/Replacement Fund 0 6,837 0 0 0 0 0 0 0 0 63 CMU Block Retaining Wall, Paint 0 0 14,341 0 0 0 0 0 0 0 64 CMU Block Retaining Wall, Repair 0 92,821 0 0 0 0 0 0 0 0 65 Irrigation Controller Enclosures 0 0 0 0 0 0 0 0 0 0 66 Irrigation Controllers 0 0 0 0 0 0 19,801 0 0 0 67 Landscape Improvement Fund - Irrigation & 0 0 0 0 0 0 0 0 0 0 General Landscape Upggrades 68 Landscape, Reclaimed Water Project 0 0 0 0 0 0 0 0 0 0 69 Plants & Refurbishment 0 22,268 0 0 0 0 25,814 0 0 0 70 Tree Maintenance 0 25,002 0 0 0 0 0 0 0 0 Misc. Site Systems 71 Monument Sign 0 0 0 0 0 0 0 0 0 0 72 Signage, Misc. 0 0 0 2,590 0 0 0 0 0 0 Pavement 73 Asphalt Pavement, Crack Fill, Seal Coat, Stripe 0 33,402 0 0 0 0 38,722 0 0 0 74 Asphalt Pavement, Major Replacement 0 0 0 0 0 0 0 0 0 0 75 Asphalt Pavement, Minor Repair-20% 0 155,317 0 0 0 0 180,055 0 0 0 76 Concrete Pavement, Repair Fund 0 4,883 0 0 0 0 0 0 0 0 77 Concrete, Swimming Pool & Spa Deck, Repair 5% 0 0 0 0 0 0 0 0 10,390 0 Page 38 of 62
Future Capital Needs Report 2039 2040 2041 2042 2043 2044 2045 2046 2047 2048 Annual Expense Totals: 6,295 5,172,920 46,165 66,354 3,319 42,473 1,245,420 875 64,911 196,646 Pool & Spa Site Systems 78 Coping 0 0 0 0 0 0 0 0 0 0 79 Mastic 0 0 2,613 0 0 0 2,941 0 0 0 80 Pool Plaster 0 0 0 0 0 0 0 0 0 44,975 81 Spa Plaster 0 0 0 4,559 0 0 0 0 0 0 82 Tile 0 0 0 0 0 0 0 0 0 6,639 Page 39 of 62
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Assessment and Reserve Funding Disclosure Summary Assessment and Reserve Funding Disclosure Summary For the Fiscal Year Ending December 31, 2019 (1) The current assessment per ownership interest is $220.00 per month. Note: If assessments vary by the size or type of ownership interest, the assessment applicable to this ownership interest may be found on page of the attached summary. (2) Additional regular or special assessments that have already been scheduled to be imposed or charged, regardless of the purpose, if they have been approved by the board and/or members: Date assessment will be due: None Amount per ownership interest month: Purpose of the assessment: Note: If assessments vary by the size or type of ownership interest, the assessment applicable to this ownership interest may be found on page of the attached report. (3) Based upon the most recent reserve study and other information available to the board of directors, will currently projected reserve account balances be sufficient at the end of each year to meet the association's obligation for repair and/or replacement of major components during the next 30 years. Yes (4) If the answer to (3) is no, what additional assessments or other contributions to reserves would be necessary to ensure that sufficient reserve funds will be available each year during the next 30 years that have not yet been approved by the board or the members: Approximate date assessment will be due: Amount per ownership interest: (5) All major components are included in the reserve study and are included in its calculations. (6) Based on the method of calculation in paragraph (4) of subdivision (b) of Section 5570, the estimated amount required in the reserve fund at the end of the current fiscal year is $2,725,318.47, based in whole or in part on the last reserve update prepared by SMA Reserves as of October 3, 2018. The projected reserve fund cash balance at the end of the current fiscal year is $920,981.62, resulting in reserves being 34% funded at this date. (7) Based on the method of calculation in paragraph (4) of subdivision (b) of Section 5570 of the Civil Code, the estimated amount required in the reserve fund at the end of each of the next five budget years is (below), and the projected reserve fund cash balance in each of those years, taking into account only assessments already approved and other known revenues, is (below), leaving the reserve at (below) percent funded. If the reserve funding proved by the association is implemented, the projected reserve fund cash balance in each of those years will be (below), leaving the reserve at (below) percent funded. FY Ending Fully Funded Balance Projected Reserve Fund Balance Percent Funded 2019 3,059,877 1,096,285 36% 2020 2,674,916 579,213 22% 2021 3,010,814 801,091 27% 2022 3,328,400 1,028,777 31% 2023 3,716,126 1,356,067 36% Note: The financial representations set forth in this summary are based on the best estimates of the preparer at that time. The estimates are subject to change. At the time this summary was prepared, the assumed long-term before-tax interest rate earned on reserve funds was 1.00% per year, and the assumed long-term inflation rate to be applied to major component repair and replacement costs was 3.00% per year. Page 62 of 62