Association Management Group
The Triad's top choice in Property Management.
How the Budget Committee Works
One of the most important committees for condominium (condo) or homeowner association (HOA) is the budget committee. Comprises of members of the condominium (condo), homeowner association (HOA) or community association, enables residents to have a say in how their money is spent.
How does the budget committee work and who serves on it?
The Treasurer’s and Accountant’s Roles
It makes sense for the board treasurer to chair the budget committee. As chair, it’s the treasurer’s job to keep everyone on track as the budget is prepared. The treasurer also presents the budget for approval to the board and members. If the association works with an accountant, he or she may offer consulting, but the accountant really has no significant role in the process of devising the budget.
Who Should Be on the Committee?
The owners who serve on the budget committee should represent a cross-section of the community. Of course, if there are members willing to serve who have expertise in areas such as insurance, that’s even better. When it comes to size, a good general guideline is that the committee shouldn't be so large that it becomes unwieldy.
What the Committee Does
The treasurer will make sure that all committee members understand the three basic components of the budget:
1. Funds needed for daily operation of the community, such as common electricity and water, grounds maintenance, management, insurance, and general maintenance. These expenses are either contractual or can be reasonably estimated based on experience. An important consideration when looking at items in the operating budget is the expectations of the community—for example, do members want a landscaper who is a “blow, mow, and go” type, or do they want a landscaper who provides a higher level of service?
2. Funds needed to maintain our reserves at sufficient levels. Reserve funds provide money for the repair and replacement of the community’s assets—such as the pool, roofs, pavement, etc.
3. Funds for additions or enhancements to the existing property. This is a function of what members of the community want and are willing to pay for. The community should provide input and approval for this component. Armed with this knowledge, the committee will estimate total expenses for the coming year and compare that sum to the association’s potential revenue (assessments, interest on investments, concession income, and so on). If expenses are greater than revenue, the committee will look for ways to lower expenses without compromising service. If that doesn't balance the budget, the committee may have to make a tough decision—whether to increase assessments or levy a one-time special assessment.
The owners who serve on the budget committee should represent a cross-section of the community. Of course, if there are members willing to serve who have expertise in areas such as insurance, that’s even better. When it comes to size, a good general guideline is that the committee shouldn't be so large that it becomes unwieldy.
What the Committee Does
The treasurer will make sure that all committee members understand the three basic components of the budget:
1. Funds needed for daily operation of the community, such as common electricity and water, grounds maintenance, management, insurance, and general maintenance. These expenses are either contractual or can be reasonably estimated based on experience. An important consideration when looking at items in the operating budget is the expectations of the community—for example, do members want a landscaper who is a “blow, mow, and go” type, or do they want a landscaper who provides a higher level of service?
2. Funds needed to maintain our reserves at sufficient levels. Reserve funds provide money for the repair and replacement of the community’s assets—such as the pool, roofs, pavement, etc.
3. Funds for additions or enhancements to the existing property. This is a function of what members of the community want and are willing to pay for. The community should provide input and approval for this component. Armed with this knowledge, the committee will estimate total expenses for the coming year and compare that sum to the association’s potential revenue (assessments, interest on investments, concession income, and so on). If expenses are greater than revenue, the committee will look for ways to lower expenses without compromising service. If that doesn't balance the budget, the committee may have to make a tough decision—whether to increase assessments or levy a one-time special assessment.
Association Management Group (AMG)...Carolinas leading homeowner association management group.
Since 1984, many communities have benefited from " Association Management Group's (AMG)" services provided by various independent companies. AMG, as we are known, utilizes "state of the art" management practices which assist our communities in increasing property values and operating more effectively. Compared to competitive services, AMG is able to offer a consistently higher quality of service because of the unique and proprietary management systems we have developed.
The five independent AMG companies manage over 200 condominium, townhome and planned unit developments from our offices in Greensboro, Winston-Salem and Charlotte, North Carolina, and Greenville/Spartanburg and Myrtle Beach, South Carolina. Our philosophy is simple: "Provide superior performance at a competitive price."
An effective Homeowner's Association (HOA) must have effective management in order to protect the interest of the residents within a community. AMG is the company to provide such management. Enforcing the rules and by-laws of a convenant community is no small task. This enforcement often consumes budgets and adds undue stress to officers that help manage the community. AMG has a proven set of processes to help manage these concerns. AMG can also assist HOA officers with contracts and insurance. In addition, AMG provides a full range of audit services to protect the community's interest.
AMG's service area includes the following cities in North Carolina and South Carolina:
- Greenville - Greensboro
- Winston-Salem - Charlotte
- Raleigh - Durham
- Chapel Hill - Burlington
- Lake Norman - Spartanburg
AMG's approach has generated a tremendous amount of interest throughout the community association management industry. Thank you for visiting our web site. We hope you will take a few moments to browse the information about our services and our people.
Proposal request - http://www.amgworld.com/request.asp
Learn more - http://www.amgworld.com/services.asp
Since 1984, many communities have benefited from " Association Management Group's (AMG)" services provided by various independent companies. AMG, as we are known, utilizes "state of the art" management practices which assist our communities in increasing property values and operating more effectively. Compared to competitive services, AMG is able to offer a consistently higher quality of service because of the unique and proprietary management systems we have developed.
The five independent AMG companies manage over 200 condominium, townhome and planned unit developments from our offices in Greensboro, Winston-Salem and Charlotte, North Carolina, and Greenville/Spartanburg and Myrtle Beach, South Carolina. Our philosophy is simple: "Provide superior performance at a competitive price."
An effective Homeowner's Association (HOA) must have effective management in order to protect the interest of the residents within a community. AMG is the company to provide such management. Enforcing the rules and by-laws of a convenant community is no small task. This enforcement often consumes budgets and adds undue stress to officers that help manage the community. AMG has a proven set of processes to help manage these concerns. AMG can also assist HOA officers with contracts and insurance. In addition, AMG provides a full range of audit services to protect the community's interest. AMG's service area includes the following cities in North Carolina and South Carolina:
- Greenville - Greensboro
- Winston-Salem - Charlotte
- Raleigh - Durham
- Chapel Hill - Burlington
- Lake Norman - Spartanburg
AMG's approach has generated a tremendous amount of interest throughout the community association management industry. Thank you for visiting our web site. We hope you will take a few moments to browse the information about our services and our people.
Proposal request - http://www.amgworld.com/request.asp
Learn more - http://www.amgworld.com/services.asp
