RonZ (Florida)
Posts: 1
Posts: 1
Posted:
Can a Mobile home park use a contingency fund line item in its budget
for hedging losses for delinquents and liens and foreclosures
for hedging losses for delinquents and liens and foreclosures
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Contingency Funding
Started by RonZ • 3 replies • 1080 views
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GloriaM (North Carolina)
Posts: 829
Posts: 829
Posted:
If the operating account can not pay the bills for a specific year ithas taken funds from reserves to help float the operating. I am not sure of Forida laws, you may want to look into its many statutes.
MaryA1 (Arizona)
Posts: 388
Posts: 388
Posted:
Ron,
I doubt there is a law which would prevent you from having a contingency fund for unexpected expenses. Many HOAs have also starting putting in a budget line item for "Bad Debts" to account for the uncollectible delinquencies.
I doubt there is a law which would prevent you from having a contingency fund for unexpected expenses. Many HOAs have also starting putting in a budget line item for "Bad Debts" to account for the uncollectible delinquencies.
DavidW5 (North Carolina)
Posts: 565
Posts: 565
Posted:
In response to a recommendation in a previous audit report, our HOA has budgeted an operating contingency of 10% of the annual budget. This helped us avoid a special assessment after last winter's massive snow storms drove snow removal costs $68,000 over what was budgeted.
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