CAI-NJ July 2018 (w)(1)

“A board is a group of resident volunteers who bring their expertise and time to the tasks at hand.”

REFLECTIONS... from page 14.

have worked in the field in question. Our reply is two-fold. One is that the engineer mentioned ear- lier was contracted by us to manage these proj- ects and represent our interests. They know up-to- date and detailed infor- mation regarding current regulations. Also, they are working for us and are

with a useful life of 20 years that is now 25 years old and failing will need to be replaced. Replacing any HVAC unit, especially commercial building units, can be an expensive proposition. Our board found itself in this position. Through the hard work of our engineering partner we found state-sponsored energy savings funding that allowed us to replace all of the 13 units on the roof of our clubhouse. We got lucky. I mention the reserve study because an accurately com- pleted study can be a critical guideline for a board in view- ing the assets within their purview. Had assets in our com- munity been replaced gradually and over time, it would not have come down to our current board to undertake that kind of monster project. Now, that we have completed this project and a few others that occurred simultaneously, we are getting the reserve report updated to reflect the age of these new assets. One of the ongoing conversations within the community is using outside contractors when there are residents who

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not beholden to the contractors who might be eventually select- ed by the board. The second part is that our board is now covered regarding liability should a contractor fail to meet their contractual obligations. Having a resident, while most likely quite capable, managing any project exposes an association to potential liability. The last important piece of the puzzle is the management company. A board that has a good management company as their partner can address the various issues of the com- munity successfully. Additionally, the management compa-

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