Policy Example: Finances

Homeowner Insurance Requirements

1) Each unit is required to carry a minimum of $300,000 in liability insurance. 
2) Each unit is required to carry dwelling replacement insurance of a minimum of $65 per square foot. (Dwelling replacement covers the walls, floors, and ceilings from the center of the studs or joists in, cabinets, attached light fixtures, fans, kitchen appliances, bathroom fixtures, and other such items. It does not cover personal property such as clothing and furniture.) 
3) It is recommended that owners consider carrying a higher amount per square foot - $75 to $100 - in order to insure replacement of similar quality to what is currently in the units.           
4) Each owner shall pr 4) Each owner shall provide the Secretary with a copy of their insurance coverage statement (not the whole policy) demonstrating compliance with items 1 and 2 of this decision. This shall be done within 30 days of the effective date of the policy and within 30 days of each renewal or change of the policy. The coverage statement should include:
---the address of the uni the address of the unit,name of the policy owner(s),effective dates of insurance coverage,amount of liability coverage, amount of dwelling replacement coverage and, the name of the insuring company. 
5) If more than one insurance policy is used to increase coverage on the unit to the required amount (for example, if liability insurance on another property provides liability coverage for the unit), then the owner shall provide the Secretary with copies of insurance coverage statements for both/all policies. Each coverage statement will be sent to the Secretary within one month of purchase, change, or renewal for that policy. 3-7-10
Rainy Day Piggy Bank
1. The Board shall establish and operate the Columbia Ecovillage Emergency Fund, which may also be known as the “Rainy Day Piggy Bank” fund.
2. The Emergency Fund shall be used to provide financial assistance to members of the Association who are having financial difficulties because they have lost their employment or sources of income or had their income significantly reduced, or because they must pay significant other expenses, such as unexpected medical bills. The Board may adopt criteria regarding eligibility for financial assistance, and criteria for the selection of beneficiaries of the assistance if more than one member requests assistance and the Emergency Fund cannot provide all of the assistance requested. The Board may establish an application form, at its discretion. Members who request financial assistance from the Emergency Fund may be asked to provide some documentation of their financial situation and need for the assistance, at the discretion of the Board, in order to demonstrate their qualification for assistance. The Board may consider all relevant factors in deciding whether to provide financial assistance, and the decision on whether to provide financial assistance from the Emergency Fund to any particular applicant shall be made at the sole and complete discretion of the Board of Directors or its’ designee.
3. The money distributed from the Emergency Fund shall be used to help members of the Association pay any assessments that they owe to the Association, or to pay the monthly payments owed to the Association, or both, and for no other purpose except as follows. The money distributed from the Fund shall not be used for any other purposes unless the Board notifies the entire membership in advance, in writing, that it is considering using the money for a different purpose and explains what that other purpose would be, and then the Board votes on the adoption of a formal resolution approving the use of the money for the other purposes. Any such other use must provide a significant and important benefit to the entire Association.
4. Distributions from the Emergency Fund shall be made to provide financial assistance to members for one month at a time only; however there is no limit to the number of months, consecutive or otherwise, that a member may apply for assistance, or that the Board may decide to provide financial assistance to a particular member.
5. The Emergency Fund shall be funded through voluntary contributions. The Treasurer will include a report on the status of the fund during any regular financial report to the community.
6. The Emergency Fund money shall be kept in a separate, segregated account once it accumulates to an excess of $2,500, in order to insure that it will not be mixed with other funds and cannot be used for other purposes.
7. The Board may decide to invest the money in the Emergency Fund, in which case the investments shall be made and managed in accordance with the Uniform Prudent Investor Act. 8-2-09
Renewable Energy
We spend $10/month to have all renewable energy and donate a small amount for salmon habitat restoration. 8-9-09.

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