How contingency fund

I belong to a HOA in Florida. We have a budget set for 2021 and a reserve fund in place. Our general account has an average monthly balance of approximately 100,000. Our monthly HOA fees more than adequately cover our monthly expenses. Our President refuses to spend any of our excess monthly monies on outstanding bills stating the law says we must keep 60% of our cash flow on hand in case of emergency. She claims this is the law. We claim it is suggested not law. I would like the opinion of any one who is aware of any such law.
Thank you.

please provide the statute and section number.

The president is only one vote - how does the rest of the board feel about this? If the amount of excess money is enough to pay off the outstanding bills and perhaps keep two months' worth of expenses as your contingency fund, I see no reason not to put it to use.

If she can't come up with a statute or something from your documents, outvote her and perhaps establish a policy setting up a formal contingency fund with rules on when it's to be tapped. Anything beyond two months' worth of expenses could be placed in the reserve fund. You live in Florida and given hurricanes and what not, it's probably a good idea to have a very healthy reserve so you can avoid special assessments.

Print out a copy of FS 720 and ask her to highlight the section that backs up her position. Ask for a citation to any law and be prepared to wait. There is no such law. At best, it's a suggestion. Anther suggestion is to keep 2-3 months of operating funds in the "operating" account.

Thank you all for your timely responses.our reserves are fully funded. This helps a lot.