The other owner/trustee in our 2-unit condo has proposed eliminating our monthly condo fee and paying all condo expenses as they become due, after we substantially draw down the minimal balance in our condo bank account first. This was in response to my recommendation to increase the monthly condo fees to cover master insurance and other recurring common expenses (snow removal, gutter cleaning, etc.) and to consider paying an additional 10% to build a reserve. I have proposed this for the last few years with no success except to increase condo fee to cover master insurance policy only. The other owner agreed temporarily to a nominal increase for this year which will not even cover expected master insurance policy cost, let alone other recurring common expenses. I think the other owner's proposal is not financially prudent, and does not abide with our condo by-laws which call for monthly condo fees to cover common operating expenses plus a reserve (though docs do not indicate how much should be in reserve). Both units have 50/50 voting rights, and we seem to be at a stalemate. Is mediation or arbitration the only way to resolve this?
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Resolving Common Expense & Reserve Stalemate
Sunday, March 4, 2018 - 17:01 | Author: dfodo | Comments (0)