The evolution of reserve studies from
its beginning many years ago has necessitated the
introduction of better computer programs and talented
and educated reserve study providers. These providers
will have specialized training and education as a
Reserve Specialist (RS) accredited by the Community
Association Institute (CAl) and Professional Reserve
Analysts (PRA) accredited by the Association of
Professional Reserve Analysts (APRA, engineers,
architects and CPAs. All of these are qualified and
educated to provide a viable, accurate and
understandable reserve study.
Anyone not holding one or more of these
qualifications should be looked at very carefully to be
certain the product meets the requirements of state
statutes, regulations, governing documents and codes.
In order to meet the required results of
a "cash flow time value of money reserve study" (TVM)
and future cash flow needs, many guidelines have been
developed by reserve study providers, construction cost
analysts, architects, engineers and product suppliers.
This information may also be, but is not limited to,
component costs and useful lives. We believe that this
criteria is required for the association to have
adequate guidance in the maintenance, repair and
replacement of the association's assets.
In order to protect the association's
and owners' assets an expanded approach to Common
Element and Limited Common Element maintenance, repair
and replacement should be taken with the use of roof
inspections every 6 years, water intrusion and building
envelope inspections every 3 years. These inspections
may require intrusive test work and systematic and
regular up-dates (annually) to the reserve study.
The building envelope inspection, which
includes windows, doors, siding, roof, trim,
gutters/downspouts, decks and balconies, is vital to
understanding the condition of the building(s) and
future work that may need to be done to protect the
value of each member's home. This work should be done by
a licensed and qualified contractor. The results of the
building envelope inspection should be dove-tailed into
the reserve study.
Reserve Funding will make a complete
physical analysis of the common elements and limited
common elements to arrive at conditions, useful
remaining lives and replacement costs, because without
that information the results are merely a projection
with no basis.
Once all data has been received Reserve
Funding will produce a maintenance plan and reserve
study in PDF format for your convenience.
