Dec. Financial Report - Is This True?

Take a look at the Year-End financial report of the HOA. The Financial Operating Report for December 2024 includes not only the results for the month of December but also the results for the Year.

On Page 4 in Manager Notes, you'll find, "The Summit financials are in good shape and operating under budget by $193,481.66."

Is this true? How could that be?

Look at Page 2, Operating Expenses (Significant Variance to Budget). These are the Line Items in the 2024 Budget where more money was spent than was budgeted.

Eleven (11) Line Items are shown with significant over-spending. Of course, it's not called "over=spending" on the page; it's called Variance.

Those 11 Lines total $123,124.17. (They are not totaled in the Report!)

But another category with a significant Variance was omitted all year from this Report.

Legal/Professional Expenses (Line 6500) was left out. The Variance for the 12 months of 2024 was $8356.81. Over-spent!

So, 12 Lines of over-spending totaled $131,480.98.

The Year (2024) started with a deficit of $27,799.97!

Adding $123,124.17 + $8,356.81 + $27,799.97, this Total is $159,280.95.

And nothing went into Reserves.

Tell me, once again, are The Summit financials in good shape?

How many categories of expenditures were budgeted but did not get money actually spent?

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