Bill Coleman writes to Eugenia Volcheck – Octuber 18, 2021
William (Bill) J. Coleman is the Director of Condominium Operations of Atlantic Pacific Co. Atlantic Pacific is the management firm for the Aquarius Condominium Association. Mr. Coleman supervises about one hundred Associations similar to Aquarius. This note came to this blog via an Administrative Assistant of the Aquarius Management Office.
This blog is open to post any communication relevant to the life of the community. Offensive, divisive content will not be posted. All material should be sent directly to firstname.lastname@example.org by the author.
I appreciate your communication.
Your overview is inaccurate. You are commingling revenue (assessments), expense (cost of projects and projected cost of projects), and liability (loans).
Revenue (assessments) directly/indirectly pays for expenses.
- Directly: cash on hand utilized to pay an expense for a
- Indirectly: assessments collected/charged to pay for a liability (loan) that is utilized to pay an expense for a project today when the cash on hand is not available
Expenses are the cost, or projected cost, of projects.
Liability (loans) are taken to fund expenses for projects that are being completed today, but the assessment is not charged/collected in full today. It is charged and collected based on a repayment schedule (amortization schedule) that allows the association to spread the expense to the owner over many months for an expense that is incurred today for a project being completed today.
In your breakdown, you recognize the following:
- Year 2017 – $ 15,000,000 Special Assessment adopted by the board
- Year 2018 – $ 1,194,000 Insurance deductible was collected
- Year 2019 – $ 2,500,000 New Line of Credit was opened
- Year 2020 – $ 1,314,562 Proceeds for IRMA hurricane claim received
- Year 2021 – $ 7,632,237 Special Assessment adopted again by the board
Total $ 27,640,799.
Here are the actual numbers broken down:
|Expense||Sum of Balance|
|Expense||Sum of Balance|
|LOC Credit Cost||($19,758.97)|
|SA Irma Deductible||$1,119,000.00|
|Insurance Claim Proceeds||$1,314,562.09|
|Loans to cover deficit:|
|2017 SA (original $15m)||$2,603,000.09|
|Total Outstanding Loans||$5,103,000.09|
Loans to cover deficit
|Total 2022 SA||$7,603,080.09|
I hope this covers all your questions and concerns.
Grandfather: a pretty good description
“A grandfather is a man who doesn’t have small children, that’s why he likes other people’s children.
Grandparents have nothing to do but just to be there.
When they take us for a walk, they walk slowly and don’t step on the pretty flowers or caterpillars.
They never say: Get away from here! Will sleep! Not now! Go to your room and think about you have just done!
They’re usually fat, but they still manage to button up our shoes.
They always know what we want. Only they know the food we want to eat like no one else in this world.
Grandfathers wear glasses and sometimes even manage to remove their teeth.
Grandfathers do not need to go to the hairdresser, as they are bald or always
have their hair neatly combed.
When they tell us stories, they never skip parts and they don’t mind telling the same story over and over again.
Grandparents are the only grownups who always have time for us.
They are not as weak as they say, although they die more often than we do.
Everyone should do their best to have a grandfather, even more if they don’t have a television set.”
8 Years old, Florianópolis, Santa Catarina, Brazil.