William Coleman Presentation of August 16,  2021 –

Aquarius Financials

On August 16, 2021, Mr. Bill Coleman, AP Director and former Regional Manager including Aquarius gave a Zoom a presentation that may be of interest to Aquarius residents. The Management Office announced a discussion over the forthcoming financial matters. A careful exam of this material may enhance our understanding of the issues being considered.

Also attached is the most recent Aquarius ‘Reserves Study’. It is important to have an updated ‘Reserves Study.’ Best practices indicate that al least every two years the ‘Reserves Study’ is refreshed.

To fund the observed required reserves is a separate issue. The Legislative Branch of the State of Florida allows Homeowners to wave funding the Reserves provided there is a majority vote. However, following the recent structural problems in buildings in South Florida, i.e. Champlain Towers, the Legislature is inclined to remove the possibility to continue not funding reserves. If this is ever approved in Florida, it will follow similarly to most states that establish mandatory funding of Reserves. At this time, it is still legal to not have funds in reserve in Florida.

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   Aquarius Bill Coleman Presentation 8.16.21mod

  2019 07 05 AQUARIUS Reserve Study 2019-compressed

AQUARIUS CONDOMINIUM ASSOCIATION, INC.

PAST
PRESENT
FUTURE

AGENDA

• PAST – EXPENSE BREAKDOWN
• SA 2017 EXPENSE
• IRMA EXPENSES OVERAGES
• PRESENT
• 2021 PROJECTS
• FINANCING
• PAYMENT SCHEDULES
• FUTURE
• Q & A
  

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• PAST – EXPENSE BREAKDOWN

• 40 RECERT       =     $14,665,268
• HALLWAYS       =     $2,385,708
• ELEVATORS      =     $1,846,090
• PROF. FEES       =     $1,896,036
• CONTINGENCY  =     $207,682
• LOAN EXP & INT =    $167,126
• CLAIM EXP          =     $242,598
  

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PAST – EXPENSE BREAKDOWN

TOTAL PROJECT COSTS           =      $21,410,512

IRMA EXPENSES                         =             $215,151

TOTAL SA RELATED COSTS     =        $21,625,663

PAST – ATTRIBUTABLE INCOME

• 2017 SA TOTAL INCOME        =    $15,000,000
• IRMA INSURANCE CLAIM    =    $1,314,562
• TOTAL INCOME                =    $16,314,562
• TOTAL EXPENSES           =    $21,625,663
• TOTAL DEFICIT                =    ($5,311,101)
  

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Present – New Projects

PRESENT – FINANCING

FACILITY #1: NEW PROJECTS – LINE OF CREDIT = $4M, 18 MONTH LOC, 20 YEARS, 5.50%

FACILITY #2: PROJECT & OVERAGES – TERM LOAN = $7,528,994, 17.25 YEARS, 5%

FACILITY #3: PAYOFF LINE OF CREDIT – TERM LOAN = $2.5M, 20 YEARS, 5.2%

PROJECTS

FACILITY #1: NEW PROJECTS – LINE OF CREDIT = $4M, 18 MONTH LOC, 20 YEARS, 5.50%

$4M – $2.2M = $1.8M

PRESENT – PAYMENT SCHEDULES

(PAID IN FULL)

PRESENT – PAYMENT SCHEDULES

(MONTHLY PAYMENTS)’

FUTURE – YEARS OF RESERVE COMPONENTS

–  $1.8M FUNDS ALL RESERVE PROJECTS FORECASTED THROUGH 2030

– CURRENT TOTAL BUDGET = $2.8M, IF BEGINNING IN 2024, THE ASSOCIATION INCREASES THEIR OPERATING BUDGET BY 3% EVERY OTHER YEAR TO FUND RESERVES THROUGH 2039, AQUARIUS WILL BE FULLY FUNDED.

-THIS LONG TERM PLAN ENSURES NO FURTHER
SPECIAL ASSESSMENTS.

Q & A

.o0o.