Purpose
The purpose of the Reserve Study is to give those overseeing the maintenance of the property a better idea of what major expenses to expect and an educated estimate of when these expenses will occur. With this knowledge, the Homeowner's Association Board or manager can create a budget so association members will make their fair share of Reserve contributions, designed to offset the slow but steady ongoing Reserve Component deterioration at the association. In addition, the Reserve Study provides important annual disclosures to association members (and prospective buyers) about the condition of common area components, and the level of preparedness (strength) of the Reserve Fund (typically measured in terms of Percent Funded). A Reserve Study is a roadmap that allows decisions to be made which will be efficient and effective for the long term.
Read more about this topic: Reserve Study
Famous quotes containing the word purpose:
“The purpose of a work of fiction is to appeal to the lingering after-effects in the reader’s mind as differing from, say, the purpose of oratory or philosophy which respectively leave people in a fighting or thoughtful mood.”
—F. Scott Fitzgerald (1896–1940)
“Respect is not fear and awe; it...[is]the ability to see a person as he is, to be aware of his unique individuality. Respect, thus, implies the absence of exploitation. I want the loved person to grow and unfold for his own sake, and in his own ways, and not for the purpose of serving me.”
—Erich Fromm (20th century)
“War is an ugly thing, but not the ugliest of things: the decayed and degraded state of moral and patriotic feeling which thinks nothing worth a war, is worse.... A war to protect other human beings against tyrannical injustice; a war to give victory to their own ideas of right and good, and which is their own war, carried on for an honest purpose by their own free choice—is often the means of their regeneration.”
—John Stuart Mill (1806–1873)