The meeting minutes taken on November 16, 2004 seem especially important. Here is the second paragraph:
A decision was reached to attempt to replenish our depleted reserves account in the year 2005. In years past, the dues have been raised in order to replenish the reserves that become depleted due to expenses. As was stated in the previous minutes, expenses have risen dramatically due to increased costs, as well as to certain difficulties with homeowners who have trouble paying their dues (or not paying at all). Because of this, our deposit to reserves line shows an amount that is one third of what it normally is in any given year. A minimum increase in the dues of 10% was therefore necessary. This 10% increase only replenishes our deposit to reserves line to an amount a little over 65% of where it is typically maintained. Therefore, we as an association are taking in less funding than we need to. But an increase in homeowners dues greater than 10% was determined to be too burdensome, given the recent 10% increases in years 2003 and 2004.
By spending only on those line items listed above that we have already committed to and nothing else, and by actively pursuing those homeowners who consistently pay their dues late or not at all, the Kenthill Townhomes Homeowners Association Board hopes to slowly build back up our reserves and hold the line on homeowners dues increases in the future.
