Receive $1,000 Credit When You Sign a New HOA Management Contract for 2023
September marks the final quarter of the year, meaning that it’s already time to start planning for 2023. This includes evaluating your current HOA management strategies to determine if they are yielding successful outcomes. If you’re looking for a new HOA management company, we have good news – our end of the year deal is here, providing HOA communities with an offer that’s too good to pass up! This limited-time offer includes $1,000 credit for anyone who signs up for a new 2023 annual HOA management contract with Atlantic & Pacific Management. This credit can be applied toward any of the services that are part of our HOA management plans. With a recognized track record of over 40 years of success in managing HOA and multifamily properties, we provide top-tier support for communities of all size. The Atlantic & Pacific team is an established group of professionals with a documented history of diligence in the management of both single and multi-family communities in San Diego County. As the end of the year draws near, now is the time to ask the following questions: Are your properties being managed by a knowledgeable team who maintains consistent communication with its residents? Do the residents of your property seem happy with the current management team and procedures? Are you satisfied with your current services? Are they working in your favor? If you feel like you’re in need of a change, Atlantic & Pacific Management is here to help. We offer a multitude of services including strategic planning, community preservation, annual budgeting, monthly financial reporting, meeting coordination, site inspection reports, implementation of policies and bylaws, guidance on capital improvements, general assessments, and more. For a free analysis of your current HOA management plan, contact Dominic Cirillo at (858) 672-3100 or visit our website https://aphoamgmt.com/index.php/request-for-proposal for more information.
YEAR END PREPARATIONS: BUDGETING
To be prepared for 2023, it is important to have all your budgeting for your HOA community done before November 1st. Preparing an annual budget for an HOA community is not an easy task; it is a complex activity with many steps. A well-defined, well-written budget is a powerful financial tool allowing funds to be saved and/or allocated for specific costs and projects. It is a way to estimate expenses and ensure that funds are available when they are needed. As your local HOA service provider, Atlantic & Pacific Management can help your HOA board prepare your budget for 2023, ensuring that your plans are finalized and approved prior to the beginning of the association’s new fiscal year. Here are some of the key steps we recommend to include in your budgeting process to prepare for 2023: 1. Prepare a business plan for 2023. 2. Develop and/or update protocols and assign tasks to different members of the HOA board or management company participating in the budgeting process. 3. Review financial history for a comprehensive outlook on the community’s financial situation. 4. Project utility costs based on previous years and other applicable market changes. 5. Review vendor contracts and make sure your budget matches the agreements with these vendors. 6. Conduct a maintenance review of your community’s property. 7. Evaluate insurance policies and account for those costs in your budget. 8. Include legal and collection costs in your budget. 9. Plan out reserve funds based on recently conducted reserve studies. 10. Distribute the budget to the HOA board and other important members of the community. 11. Use the budget as a guide and continue to follow it for 2023! A few additional tips we have are to remember to prioritize important projects, be transparent with your community, and expect the unexpected! For more information about budgeting, contact Dominic Cirillo.
Solar Act
As the number of homeowners who have been turning to solar power as a source of clean, renewable energy continues to grow, people in certain neighborhoods have encountered problems due to the restrictions and regulations enforced in their communities. For those living in a community governed by a homeowners association, measures taken by the HOA can be the source of these hurdles. Although associations cannot deny solar applications for single-family homes, the HOA guidelines for solar on townhomes and condos can make the process more difficult. To protect homeowners who want to integrate solar energy into their homes, the state of California has passed laws to protect them from restrictive regulations. One of these laws is the Solar Act, which allows townhouse and condo owners to purchase solar energy. However, there are certain guidelines that must be followed. These include the following: ● Solar energy needs to be equally usable. (This means that the energy collected from the solar panels needs to be divided by the number of units in the building so it is shared among all residents.) ● A legal document needs to be drawn up. ● The legal document must be filed and approved. ● The panels need to be purchased in full. The application process, which will take at least 45 days to assess for approval, includes: ● Sending an application for installation ● Providing additional documents for the solar panels’ model ● An outline of the planned installation process HOA uniformity As we know, HOAs generally establish and enforce strict guidelines on external additions to maintain uniformity. This helps preserve a consistent and well-kept neighborhood while also limits unwarranted or negative interactions in the community as a result of aesthetic housing differences. With that being said, aesthetics can no longer be the reason for the disapproval of solar power. California Law Revisions The changes in the law state that any installation process or construction change enforced by an association cannot discourage the system’s efficiency or cost-effectiveness by more than 10%. The revisions also state that the re-installation cannot exceed the cost of $1000. These changes allow homeowners the right to request solar easements with their HOAs. A solar easement is a homeowner’s right to receive sunlight across the property for any solar energy device. It protects homeowners’ right to something some may have never realized they are entitled to, such as sunlight. Thus, any HOA-installed trees, streetlamps, or signs that produce shade that prevents sunlight from reaching the resident’s roof is something they can dispute. The updated laws now also protect neighbors who need to hire a branch-trimming service. These revisions showed a significant increase in solar panel installations in California since the Solar Act of 2012 was updated. This proves the clamor for solar energy among homeowners. For further information or assistance with updates on laws and codes, contact Atlantic & Pacific Management at (858) 672-3100 or visit aphoamgmt.com/sandbox/.
Dues Assessments
Questions frequently arise about why associations raise dues and what the limitations are. HOA fees are determined by the anticipated expenses the association will incur to ensure a safe and clean environment for the community it governs. Expenses increase with inflation or when unexpected damages occur. Association dues can be raised or adjusted through regular assessments and special assessments. Once the amount to be raised has been determined, all homeowners must be notified in writing of any dues increase at least 30 days, but not more than 60 days, before the increase is in effect. Regular Assessments These assessments must be paid by every member of the community every year (AKA regular dues). The amount requested for regular assessments is determined by the reserve required to meet the association’s annual operating expenses. This may be increased over time for a variety of reasons (usually determined by the expenses accumulated in the association). An HOA’s board of directors may, without membership approval, increase the level of regular assessments each year by up to twenty percent over the prior year’s level. Special Assessments Special assessments may be imposed by the association board to offset unanticipated budget shortfalls or to raise funds needed for unforeseen repairs. The board may, without membership approval, charge a special assessment up to five percent of the current year’s budgeted gross expenses. Capital Improvement Assessments Many of the association’s governing documents use the term “capital improvement assessments” to refer to special assessments which are collected to fund the construction of a capital improvement. The limitations on the board’s ability to levy this assessment with or without a vote of the membership will be dictated by the terms of the association’s governing documents as well as the general limitations on levying special assessments. Reimbursement (“Compliance”) Assessments Under certain circumstances, HOA boards may charge an individual special assessment against a specific member of the community. This assessment is strictly to recover the association’s costs provoked in repairing damage to the community’s common area caused by the member, his/her family, or tenant.
Are you up to date on the new HOA Revisions?
As we continuously see changes within the California HOA laws, it can be difficult to keep up with the constant legal revisions. Our team is here to help you keep track of these updates and ensure the corrections in a timely manner to avoid any issues within your association. Below, we have summarized a few necessary updates to be made by your HOA. The Rental Restriction Act The Rental Restriction Act requires documents to be reformed. According to the new law, HOAs must remove illegal rental restrictions from governing documents, which may be done through the board without a membership vote by July 1, 2022. This action also requires a declaration of the changes to be published no less than 28 days prior to the board vote to approve the amendment. As most HOA CC&Rs usually do not carry such unreasonable rental restrictions that may now be illegal, it shouldn’t be a big change for many of the communities. For your protection, you may seek legal counsel to review the CC&Rs for any updates the new laws may require. Electronic Deliveries As of January 1, 2022, associations are required to request their members to specify their preferred delivery method (email, mail, or both) for all notices and disclosures. Additionally, on an annual basis, all associations are obliged to give notice which states that members are not required to provide their email address to the HOA. There must be written consent in possession of the HOA prior to electronically distributing any documents or notices to the members. There is no specified form created for the associations particularly to this matter. The only requirement is to have the consent written, which an email also qualifies. If the association would like to further create a form instead, they are allowed to do so. The statement collected must be clearly written to the association specifying: • Any rights of the recipient to have the record provided or made available on paper in non-electric form. • Whether the consent applies only to that transaction, to specified categories of communication, or to all communication from the corporation. • The procedure the recipient must use to withdraw consent. For further information or assistance with updates on laws and codes, contact Atlantic & Pacific Management at (858) 672-3100 or visit aphoamgmt.com/sandbox/.
Is your HOA prepared for the new balcony inspection law?
Now is the time to begin inspections of balconies and other external structural elements to ensure they are up to the new codes. As of January 1 2020, associations with buildings that have three or more units must inspect load-bearing structures. All first inspections must be completed by January 1, 2025. Going forward, elevated structures must be examined at least once every nine years following the first inspection. A licensed structural engineer or architect must conduct the inspections while using the least intrusive methods necessary. Inspectors must provide 95 percent confidence that the results from a sample are reflective of the whole, with a margin of error of no greater than plus or minus 5 percent. The objective is to check for any potential structural issues or repairs that will need to be fixed in the future, followed by a submission of a full report to the board providing the physical condition and remaining useful life of the structures. The report must also be submitted to the local code enforcement agency within 15 days of completion. The statute does not change who is responsible to maintain, repair, or replace load-bearing configurations. It imposes further inspection and repair obligations on HOAs in addition to the existing responsibilities. Repairs will be needed for damage caused by various types of dry rot. These sources of impairment, such as termites and fungi, spread throughout a structure as they feed on wood. To stop the destruction, all decayed wood and fungi must be removed. The longer it goes untreated, the greater the liability and possibility of collapse. If an immediate threat to the safety of the occupants is found by the inspector, the association must take direct measures to rectify the issue(s) upon receiving the report. For further information or assistance with updates on codes, contact Atlantic & Pacific Management at (858) 672-3100 or visit aphoamgmt.com/sandbox/.
Six Fun Ways to Get Involved in Your Community This Holiday Season
It’s the most wonderful time of the year! The holiday season is upon us, and it’s time to get festive! Here are six ways to get involved in your community this holiday season. 1. Hold a holiday decorating contest Jump in on the holiday spirit by decorating your home for the holidays and creating a fun little competition out of the participation! On a specified evening, everyone in the Remember, it’s important to check with your HOA board to determine what is and isn’t allowed when it comes to outdoor decorations. As long as your decorations stay within the recommended size, area, and other guidelines, you should be good to go! 2. Arrange a neighborhood Secret Santa or “You’ve Been Elf-ed” “You’ve Been Elf-ed” is essentially the holiday version of the Hallowneen “You’ve Been BOO-ed” game. It goes something like this: A few weeks before Christmas, or at the beginning of December, one neighbor begins the game by filling a basket with treats and holiday-related items. They also include a note, stating that the person to receive the package has been “elf-ed,” and instructions on how they can proceed with the game. For more information, check out this website: https://christmas.organizedhome.com/celebrate/youve-been-elfed-poem-signs 3. Coordinate a holiday cookie or dessert exchange Everyone loves a sweet treat! Have everyone sign up to bake their favorite type of cookie, cake, or pastry, and arrange some sort of matching system to make sure that everyone is both giving and receiving a holiday treat. Then, on a day chosen by the community, have everyone deliver their goods to each other! 4. Have a gingerbread house decorating competition Shape and bake your own gingerbread house pieces from scratch, or purchase a kit from your local grocery store, and put your decorating skills to the test! Incorporate your favorite candies and colored icings to bring out the cookie architect within you. Then, have members of your community judge each contestant to choose a handful of winners! To make things even easier, you can use some sort of online forum like social media to upload photos of your gingerbread house and allow for easy voting. 5. Participate in caroling Have the neighborhood vote on songs they’d like to hear, send the music to everyone interested, and decide on an evening that works best for everyone participating. Then, once everyone has had some time to learn the words, perfect the melody, and practice the songs, gather at a place of your choosing to bring the gift of music to your neighborhood! 6. Collect for a charity The holidays are a time for giving back and focusing on gratitude, which makes December a great time to arrange a community collection for charity. Whether you choose to collect money to donate to a local cause or organization of your choice, or you decide to do a donation drive for supplies such as food, toys, or clothes, you have the ability to make a huge difference in someone’s life! For more information about local donation events taking place near you, check out: https://www.sandiegouniontribune.com/north-county-community-news/story/2020-11-13/holiday-food-and-clothing-and-gift-drives These are just a few fun ideas of ways you can get involved with your community during the holiday season. Remember to always abide by the rules set forth by your HOA, as well as COVID-19 protocol, to preserve the health and safety of everyone in your neighborhood. Happy holidays from Atlantic & Pacific Management!
Get One Month FREE When Signing Up for A New 2022 Annual HOA Management Contract By The End of 2021
Our end-of-the-year deal is here! For a limited time, Atlantic & Pacific HOA Management is offering a special deal—get one month free when you sign up for a new 2022 annual HOA management contract! These final few months of the year is the best time to evaluate your current HOA management strategies to determine if they are working in your favor. Are your properties being managed by a knowledgeable team who upholds consistent communication with its residents? Are you satisfied with your current services? If you’re in need of a change, Atlantic & Pacific Management is here for you! With a history of serving the San Diego over 40 years, we are an established and trusted team of professionals who can provide everything your community needs to succeed in 2022. We are service- oriented, highly responsive, and thorough in our management of both single and multi-family communities in San Diego County. We offer a variety of services including strategic planning, community preservation, annual budgeting, monthly financial reporting, meeting coordination, site inspection reports, implementation of policies and bylaws, guidance on capital approvements, and general assessments. For a free analysis of your current HOA management plan, contact us TODAY! This amazing deal won’t be available for long, so schedule a consultation with us today to learn more! Contact us by phone at (858) 672-3100 and ask for Dominic Cirillo, or visit this link for more information: http://aphoamgmt.com/index.php/request-for-proposal
How to prepare for Halloween in an HOA neighborhood
Putting together costumes, choosing which candy you want to hand out, and decorating the exterior of your home are all some of the fun lead-ups to the celebration of Hallow’s Eve– the spooky celebration more commonly referred to as Halloween. However, if you live in an HOA community, there are a few other things to be cognizant of while preparing for the festivities on the final night of October. HOA boards almost always include information about holiday decorations in their bylaws, and Halloween is no exception to these regulations. It is important to note that while these rules do sometimes restrict the type of decorations you can have on your house and in your yard during the holiday season, they’re all in place for specific and important reasons. HOA boards are tasked with ensuring that neighborhoods are not only safe, but also clean and visually appealing (even during the holidays.) This is to protect everyone living in the community and the value of their property. With that in mind, here are some things you can do to prepare for Halloween while remaining within the guidelines set forth by your HOA. 1. Plan your timeline. Very often, there are time constraints on holiday decorations in an HOA community. This means that they cannot be put up before a specific date, and that they also must be taken down before another date. To plan accordingly, ensure that you get this information from your HOA board before planning so that your home is only decorated within the pre- approved timeframe. 2. Be considerate when it comes to noise and light. Decorations are always fun, but no one likes a disturbance. Sometimes, less truly is more. In addition to not wanting to scare younger children with decor that may be considered “too scary,” lights with rapid flashing could be a trigger for individuals with complications like epilepsy, so keeping things simple is typically better. If your decorations do include sound or light, try to keep the volume on the lower side. Additionally, if they are allowed, make sure any decoration with sound is scheduled to turn off at an appropriate time each night so that they aren’t a disturbance. 3. Pay attention to limitations regarding amount and location of decorations. The last thing that anyone wants are decorations that obstruct walkways or infringe on the property of others. As you’re decorating, make sure that you are keeping these areas clear. There should be nothing on or around sidewalks, stairs, or other walking areas that could potentially be a safety hazard. 4. Safety always comes first. On the night that trick-or-treating takes place, the streets and sidewalk are bound to be full of children. For this reason, it is especially important to be diligent in taking general safety precautions. Drive safely and be mindful while parking. If you have lights lining the sidewalk in front of your home, make sure those are working properly so that the area is properly lit. If you’re utilizing candle-lit jack-o-lanterns, keep them away from doorsteps, sidewalks, walkways, and anything flammable. 5. If you have a child planning on trick-or-treating, make sure they are well prepared. As always, it is also important to protect our children during holidays. If you have trick-or-treaters in your home, try utilizing reflective tape or flashlights so your children can always be seen, even in the dark. Additionally, make sure your child is never trick-or- treating alone. Remember, these are just general tips, and we recommend that you check in with your own HOA board to receive a clear outline of what is and is not allowed in your own community. Happy celebrating!
How Effectively is Your Management Company Working for Your Homeowners’ Association?
Now is the time to start evaluating whether your HOA management team is making all the necessary preparations for the new year to ensure that your neighborhood will thrive. An HOA has many responsibilities with regard to maintaining property for its residents, and it’s important to have a reliable management team to help carry out those tasks. Here are some essential tips to keep in mind when seeking out an HOA management team who will effectively keep your community up to standard and protect the lifelong investment that you call home. Here are some questions to ask to evaluate the efficacy of your current HOA management team: Are you getting the results you need? Is your HOA management team abiding by the 10 steps outlined by the California compliance guidelines? Do you know what the new laws are for 2021 and what changes are being made to ensure they are being followed? Are you aware of the plans for budgeting and financial accounting for the upcoming year? Has your annual reserve study been conducted by a certified reserve company? Budgeting One of the primary obligations of an HOA management team is to create and maintain a budget for both day-today operations and money allocated for annual property upkeep. This must be done while following the rules of fiscal accounting as outlined by state law to avoid fines. In order to efficiently manage money from the dues that are collected from its residents, it is crucial that a management team does proper accounting to cover its daily operational expenses and pay vendors for routine maintenance in its communities. HOA management should check in with vendors annually to identify any changes in price so that they can update their budget. Each year, HOA board members must approve the new budget before the year is over, so management should begin creating the new year’s budget in September. (If you are in the market for a new HOA management team, this is also the best time to start hunting for a new one.) This budget also includes both a reserve fund and an emergency fund, and your management team should be diligent about never commingling these two funds. Reserve funds are those that the board deems necessary to have available in the event of the need for a repair or replacement of a property element the HOA is required to maintain. Emergency funds are entirely separate accounts used only in emergency situations to repair high-priority structural issues that occurred due to damages from unexpected acts of nature. A healthy financial reserve is funded above 70%, but ideally somewhere between 75% and 100%. Financial Accounting In addition to tasks like managing the collection of dues, an important aspect of HOA management is financial accountability. A qualified HOA management team is always up-to-date on what is currently owed and what has already been collected in order to ensure that bills are being paid on time. This is applicable to ongoing services like landscaping or garden service. How often is your HOA management team looking at your statements to keep tabs on account receivables and payables? Performing Routine Maintenance Checks It is essential that an HOA management team performs routine maintenance checks to ensure that everything is functioning properly and that the aesthetics of the neighborhood are visually appealing. If anything seems to be broken or deteriorating faster than anticipated, the HOA management team must then present the cost of fixing this issue to the board, who will then vote on whether or not they think it should be repaired. By performing these scheduled assessments, the management team is being cost-effective and proactive, avoiding what may potentially become a sizeable expense, especially if neglected for too long! Hiring Reliable Vendors It is very important that HOA management companies take the time to do research and acquire proper references when hiring vendors, contractors, and other professionals necessary in maintaining a property. An HOA team should implement proper protocols to verify third-party vendors, such as making sure they have the proper professional experience, are reputable with a good-standing track record, and, most of all, can be trusted. Does your current HOA management company check all the boxes? Consider Atlantic & Pacific HOA Management Team, as they have a vast amount of knowledge and expertise. A&P has provided exceptional service for 41 years in San Diego and has a highly respected group of personnel working to uphold the highest standards in the communities they represent. They pride themselves on always looking out for the best interest of their residents and have a history of reliability. For a comprehensive evaluation of your current HOA management company, contact Atlantic & Pacific’s Director of Community Associations, Mr. Dominic Cirillo, TODAY! Call (858) 672-3100 or email dcirillo@apmanagement.net.