DALLAS, Nov. 09, 2023 (GLOBE NEWSWIRE) -- Associa, the community management industry’s largest company, is dedicated to helping homeowners associations (HOAs) and managed communities create attractive and welcoming environments that maximize resident quality of life. A knowledgeable and informed board of directors is key to a successful, well-run HOA. These tips are designed to help your community reduce costs, save money, and keep assessments stable during periods of inflation.
Review Supplier and Service Contracts
Many service providers have implemented fuel surcharges and minimum-trip charges to offset increased fuel costs. Now is a good time to review your community’s service contracts and find out what’s included. Look for:
- Ineffective or unneeded line-item services
- Promotions or referral specials
- Pricing that aligns with services rendered
If you find any discrepancies or are unhappy with the services rendered, talk to your supplier or services provider to see if they will work with you. It does not hurt to solicit bids and see what other vendors offer.
Review Your Reserve Fund
Some states, provinces, or HOA bylaws require an annual reserve fund study. Even if yours does not, it is wise to regularly monitor your community’s reserve fund. Because these funds are set aside for repairs and upgrades that are not required every year, it is vital that they be well-maintained. Interest rates continue to fluctuate. Review your return on interest and discuss with your reserve banking partner what higher reserve interest-bearing options are available.
Consult Your Insurance Agent
These days, insurance is easily one of the biggest expenses for many communities. This makes it essential to sit down with your insurance agent and review your association’s policy. While governing documents may establish a minimum amount of coverage for your HOA insurance policy, it is important to consider additional coverage in order to thoroughly protect your community. There is no one-size-fits-all approach to association insurance. Prices and needs fluctuate so you might be able to make adjustments or shop around for another carrier to reduce costs.
Go Paperless When Possible
One of the industry’s largest print companies recently implemented a 15.5% supplier surcharge due to higher paper costs and wage inflation. Digitizing your print mailings can reduce expenses on postage and printing. HOA technology can also:
- Protect sensitive information and documents
- Streamline online payments to / from residents and vendors
- Provide easier access to key meetings with added transparency
- Manage violations and improve enforcement of community rules
- Streamline communications with homeowners
Many HOA technology companies provide free consultations or demonstrations to help you understand their potential.
Create A Plan
Establishing the direction of a community and allocating resources are key board member duties. There is no better way to ensure that dollars and other resources get used wisely than to plan ahead. Meet with your community leadership team to assess how inflation and the current economic environment are impacting your operations today and in the future. Then, create a response plan that determines what next steps work best for your community. This plan should act as a roadmap on how the board will address current and future situations moving forward. Consider engaging owners for feedback, as transparency and communication go a long way in building trust in the board.
About Associa
With more than 275 branch offices across North America, Associa is building the future of community for more than 6.5 million residents worldwide. Our 14,000+ team members lead the industry with unrivaled education, expertise, and trailblazing innovation. For more than 44 years, Associa has brought positive impact and meaningful value to communities. To learn more, visit www.associaonline.com.
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