Reserve Study - What's This?

Was it a shock to anyone else at the May 5, 2026 Board Meeting that the HOA has never conducted a formal Reserve Study?

Do you know what a Reserve Study is?

A formal Reserve Study analyzes the adequacy of Reserves. In other words, does the HOA have sufficient money set aside to meet future needs?

In 2020 the Approved Budget included $163,965 for Reserves. Did that money actually make it into the Reserve Accounts?

In the following years, the Budgets included smaller contributions to Reserves.

2021, $146,155

2022, $91,610

2023, $39,677

2024, $0

2025, $3,000

2026, $91,081*

Did your dues go down? They certainly did not.

The HOA collected your money and spent it on Operations. That was a bright-red flag that no Board President or Board Treasurer (or any Board member or your Property Management Company) told you about!

Reserve Account balances have dropped. The Board should be worried about the cost of repairs to the Indigo dam. And other major repairs.

What is likely to happen? Will there be a Special Assessment? A major one? Or a sizeable increase in Annual Assessment?

A substantial increase (more than 10%) in Annual Assessment (dues) will not be possible without enough legitimate, duly-elected Voting Members to approve it. Is this why the Board is finally acknowledging the Voting Member problem?

* No Approved Budget for 2026 has been posted. Only the Proposed Budget is posted. Did the Board ever approve the 2026 Proposed Budget? On what date?

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