Policy Example: Finances - General

FINANCES-GENERAL
    1. OWNERSHIP INTERESTS. The determination of the percentage ownership interest of the respective units in the common areas and facilities have been made upon the basis of the approximate relation that the fair value of each unit on the date hereof bears to the aggregate fair value of all the units in the condominium on the date hereof. (Master Deed) We agree to fairly reapportion condo fees.( 2/5/01) We agree to the concept of a mixture of value of house and per household for determining condo fees. (12/9/01)
    2. LANDLORDS ARE FINANCIALLY RESPONSIBLE FOR RENTERS AND VISITORS. If renters or visitors leave the community owing money to the community, their landlord will be charged for that cost. Owners are responsible for the financial liabilities to the community of anyone who occupies their unit, whether they be house mates, renters or visitors. [This has been enforced several times] The Finance Committee recommends that landlords acquire and hold a security deposit and a last month’s rent, and check with the kitchen, common house, annex, laundry, co-food, and finance committee before refunding the money to the renter when they leave. (2/17/01 Finance Committee)
    3. LAUNDRY BILLING Laundry bills shall be due with the condo fees in the month following the billing. The same late fee policies apply. [Not enforced unless it really gets out of hand, which it never has](2/17/01 Finance Committee)
    4. COMMITTEE SPENDING POLICY (Operating Fund)
      1. Each Committee is authorized to spend within its budget. Funds may be transferred from one line item to another within a committee’s budget. The committee will approve the transfer only if
        1. The transfer is consistent with the spirit of the General Meeting approved budget.
        2. the expected expense is judged to be reasonable.
        3. There seems to be no issues that warrant community discussion/decision
      2. The Finance Committee can approve overspending for a committee’s budget for which there seems to be no feasible alternatives and which are critical to the functioning of the community. In addition the Finance Committee can approve overspending of a committee budget by 10% if that overspending is consistent with the spirit of the budget. Any other overspending must be approved by the General Meeting.
    5. INTEREST. Interest earned by the Affordability Fund will be added to the principal of the Affordability Fund. All other interest earned by community funds will be added to the Replacement Reserves Fund. (date?)
    6. OFFICE BUILDING. The private office group will pay $2,532 (16% of $15,586.25 – the full development fee for the five private offices) in development fees for the private office space. Payment terms are negotiable. The “common” space will be available for community use, and its final design will incorporate suggestions from the community to maximize its community value. Monthly condo fees will be paid by the five office group members to the community, and will be those of a “B” unit. (6/5/94) Payment of the remaining development fees on the office building will be deferred until the fifth office is sold. (1/4/98 – Finance Committee)
    7. CHARGING OWNERS FOR HOUSE REPAIRS. Whenever the By-laws state that maintenance, repairs or replacements are to be done at the expense of the unit owner, and the unit owner shall fail or neglect to so maintain or repair any such area, the Association may do so and charge the unit owner. (Master Deed)
    8. VOLUNTARY FINANCING OF COMMUNITY RESOURCES 9/00 DB The community approves voluntary financing of community resources as long as resource is approved (a) by General Meeting or Decision Board if major item (examples: sauna, carports) or (b) by committee if minor item (examples: octagon ham­mock chair, garden shed roof shingles, tools). Should the community decide to assess any user fees to cover operating expenses, they shall be assessed equally of all community users unless specific arrangements are made with the commun­ity approval.

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