Maintaining Adequate Reserve Funds
When a newly elected co-op board is suddenly confronted with an exhaustive amount of major renovation and repair that is urgently needed and predecessor board members had not maintained a sufficient Reserve Fund, the new directors can be in a serious quandary about what to do.
Maintaining an “adequate” reserve fund is critical to the fiscal stability of every building.
The attached article, “Inadequate Reserve Funds – The Risks of Not Keeping Up” provides some important insight into that concept.
