AnnW (Ohio)
Posts: 29
Posts: 29
Posted:
It has been awhile since I last posted and as usual need last minute help if possible! We have made it through the year of self management and will announce at our yr end meeting tonight that we have hired a MC on OUR terms. I'll go into the terms in a later email.
I would please like some thoughts regarding our audit. Our by laws read as follows:
From the By-Laws
Section 9, Annual Audit.
The books of the Association shall be audited once year by the Board of Managers and such audit shall be completed prior to each annual meeting. If requested by two members of the Board of Managers, such audit shall be made by a Certified Public Accountant. In addition and at any time, requested by the owners of four or more units, including Twin Creek, the Board of Managers shall cause an additional audit to be made.
As you can see they are a bit difficult to understand. We read them to mean that the board must provide an audit prior to meeting. We prepared our own audit: a letter outlining the high points,a spread sheet with each months incom and out go, a copy of our check detail, detailed water reports as we pay the water and from our computer program each days happenings (don't have a copy in front of me as to what that is called)
Note in the bylaws that 4 owners can request an additional audit but it does not say what type of audit. Four mrmbers did just that. They implied (but not in the actual letter of request)that it was not necessary to spend the several thousands of $ that a CPA audit would require but suggested we have someone other than ourlelves verify.
The board thoughts were "and who would you get to do that without paying someone!) So the Board decision was to just provide them with the audit they prepared and let them figure it our. With the offer to meet with them with the records at the clubhouse to show them anything they wanted to see. This was delivered yesterday and of course we received a call asking for the resume of the person who actually compiled all the data with the help of the treasurer. The head minion owner who offered his help to the board...if you remember this small faction despises this man but he has been a great resource to this board.
Your thoughts and can anyone give me a definition of an audit that would apply under these circumstances. Everywhere I look everyone thinks we should have a CPA audit BUT you must remember we are in the middle of a lawsuit with former MC that has mis-managed our funds with approx $30,000 missing. Plus the rogue member has encouraged other members to place there dues on hold with a bank (which they cannot legally do) We have taken several of them to small claims and they have paid. The rogue BM has taken her claim to a higher court which the attorney believes will be thrown out! So our money situation is not plentiful. In the future maybe it would be good to have an annual CPA audit but now it would be difficult although not impossible.
I would please like some thoughts regarding our audit. Our by laws read as follows:
From the By-Laws
Section 9, Annual Audit.
The books of the Association shall be audited once year by the Board of Managers and such audit shall be completed prior to each annual meeting. If requested by two members of the Board of Managers, such audit shall be made by a Certified Public Accountant. In addition and at any time, requested by the owners of four or more units, including Twin Creek, the Board of Managers shall cause an additional audit to be made.
As you can see they are a bit difficult to understand. We read them to mean that the board must provide an audit prior to meeting. We prepared our own audit: a letter outlining the high points,a spread sheet with each months incom and out go, a copy of our check detail, detailed water reports as we pay the water and from our computer program each days happenings (don't have a copy in front of me as to what that is called)
Note in the bylaws that 4 owners can request an additional audit but it does not say what type of audit. Four mrmbers did just that. They implied (but not in the actual letter of request)that it was not necessary to spend the several thousands of $ that a CPA audit would require but suggested we have someone other than ourlelves verify.
The board thoughts were "and who would you get to do that without paying someone!) So the Board decision was to just provide them with the audit they prepared and let them figure it our. With the offer to meet with them with the records at the clubhouse to show them anything they wanted to see. This was delivered yesterday and of course we received a call asking for the resume of the person who actually compiled all the data with the help of the treasurer. The head minion owner who offered his help to the board...if you remember this small faction despises this man but he has been a great resource to this board.
Your thoughts and can anyone give me a definition of an audit that would apply under these circumstances. Everywhere I look everyone thinks we should have a CPA audit BUT you must remember we are in the middle of a lawsuit with former MC that has mis-managed our funds with approx $30,000 missing. Plus the rogue member has encouraged other members to place there dues on hold with a bank (which they cannot legally do) We have taken several of them to small claims and they have paid. The rogue BM has taken her claim to a higher court which the attorney believes will be thrown out! So our money situation is not plentiful. In the future maybe it would be good to have an annual CPA audit but now it would be difficult although not impossible.
Ann W.