Oakmont Regime Home Owners Association

2009 Budget

11/12/2008	Bay Hills Townhouses - A Condominium, Oakmont Regime, Inc.
	Budget Analysis for Fiscal Year January 1, 2009 - December 31, 2009
			Proposed 2009 Budget - with no Increase
				2008	2008	2008	2009
				Budget	Projected	Budget	Proposed
					Year End	Variance	Budget
						Proposed
INCOME						Increase --->	$ -
	Home Owner Assessments			$ 50,400	$ 50,400	$ -	$ 50,400
	Interest Earned			$ -	$ 206	$ 206	$ 970
	Late Charges and Fees			$ -	$ 45	$ 45	$ -
	Fines			$ -	$ 150	$ 150	$ -
	Income from Reserves			$ -	$ -	$ -	$ -
	Other Income			$ -	$ 21	$ 21	$ -
		Total Income		$ 50,400	$ 50,822	$ 422	$ 51,370
	Contribution to Reserves - Sidewalks			$ -	$ -	$ -	$ -
	Contribution to Reserves - Parking Lot			$ 6,600	$ 6,600	$ -	$ 8,717
	Contribution to Reserves - Sewer				$ -	$ -	$ -
	Contribution to Reserves - Curb and Gutter				$ -	$ -	$ -
	Contribution to Reserves - Mailbox Stands				$ -	$ -	$ -
	Contribution to Reserves - Light Poles & Lights				$ -	$ -	$ -
	Contribution to Reserves - Unassigned			$ -	$ -	$ -	$ -
		Income Minus Reserves		$ 43,800	$ 44,222	$ 422	$ 42,653
EXPENSES
	Lawn and Landscape Maintenance
	Lawn Care Contract			$ 10,308	$ 10,308	$ -	$ 10,710
	Area Maintenance and Repairs			$ 1,482	$ 482	$ 1,000	$ 500
	Landscaping			$ 1,500	$ 900	$ 600	$ 1,500
	Snow Removal			$ 2,000	$ 2,000	$ -	$ 2,000
	Landscaping Trees			$ 5,000	$ 5,070	$ (70)	$ -
	Noise Abatement/Privacy Trees & Shrubs			$ -	$ -	$ -	$ -
	Sidewalk Maintenance			$ -	$ -	$ -	$ -
	Parking Lot Maintenance			$ -	$ -	$ -	$ -
	Sewer Cleanout			$ -	$ -		$ -
	Curb and Gutter Repair			$ -
	Mailbox Stands			$ -
	Light Poles and Lights			$ -
	Erosion Control Timbers and Fill Dirt			$ -			$ 1,545
	Street Lights			$ 2,200	$ 2,200	$ -	$ 2,200
	Attorney's Fees			$ 1,000	$ 2,547	$ (1,547)	$ 1,000
	Administrative Write-off			$ -	$ -	$ -	$ -
	Professional Services			$ -	$ -	$ -	$ -
	Management Fees			$ 6,180	$ 6,180	$ -	$ 6,384
	Administrative Expenses
	Record Storage			$ 360	$ 360	$ -	$ 400
	Meeting Room Rental			$ 480	$ 480	$ -	$ 500
	Mailing			$ 528	$ 728	$ (200)	$ 500
	Property Tax Prep						$ 75
	Audit and Tax Filing			$ 955	$ 955	$ -	$ 995
	Insurance
	F&L / D&O			$ 8,708	$ 8,828	$ (120)	$ 11,156
	Fidelity			$ 299	$ 299	$ -	$ 300
	Deductible			$ 2,500	$ -	$ 2,500	$ 2,500
	Insurance Claim
	Taxes - Federal and State			$ 300	$ 300	$ -	$ 388
		Total Expenses		$ 43,800	$ 41,637	$ 2,163	$ 42,653
NET INCOME				$ -	$ 2,585		$ (0)
			Ending Reserves		$ 23,650		$ 34,952
Notes:
1	35 units in Association.
2	Currently $120 monthly fee per unit.
3	Propose no monthly fee increase.
4	Assume Insurance Deductible is not paid in 2008

Reserve Analysis:

11/12/2008
		Reserve Analysis
Common Area	Estimated	Remaining	Estimated	Recommended	Next	Next	Next
Component	Replacement	Life	Replacement	Annual	10 year	20 year	10 year
	Costs		Costs	Funding	Replacement	Replacement	Replacement
	(Today's Cost)		(Cost at End of Life)		Cost	Cost	Cost
--------------------------------------------------------------------------------------------------------------------------------------------------------------
Sidewalks	$ 20,000	19	$ 37,750	1,986.86		$ 73,677
Asphalt Parking Lots	$ 65,000	29	$ 171,399	5,910.32
Sewer Mains Cleanout	$ 6,000	9	$ 8,107	900.73	$ 11,325		$ 15,821
Curb and Gutter Repair	$ 10,000	19	$ 18,875	993.43		$ 36,838
Mailbox Stands	$ 4,000	9	$ 5,404	600.49	$ 7,550		$ 10,548
Light Poles & Lights	$ 6,000	19	$ 11,325	596.06		$ 22,103
Total	$ 111,000		$ 252,861	$ 10,988
Notes:
Annual average Inflation Rate assumption is:
	3.40%	(from http://www.forecasts.org/inflation.htm)
No prediction of commodities is assumed (i.e. petroleum)
Last Update:
October 15, 2008

Reserve Forecast:

	Proposed Future Reserve Projection - Repave north parking lot in 2010
		Inflation rate	3.40%	1.0340
		2008	2009	2010	2011	2012	2013	2014	2015	2016	2017	2018
		Projected	Proposed	Budget	Budget	Budget	Budget	Budget
		Year End	Budget	Projection	Projection	Projection	Projection	Projection
INCOME		Proposed Increases	$0	$10	$0	$0	$0	$0
Home Owner Assessments		$50,400	$50,400	$54,600	$54,600	$54,600	$54,600	$54,600
Interest Earned		$206	$970	$300	$500	$900	$1,640	$2,200
Late Charges and Fees		$45	$0	$0	$0	$0	$0	$0
Income from Reserves		$150	$0	$0	$0	$0	$0	$0
Income from Special Assessments		$0	$0		$0
Other Income		$21	$0	$0	$0	$0	$0	$0
	Total Income	$50,822	$51,370	$54,900	$55,100	$55,500	$56,240	$56,800
Contribution to Reserves - Sidewalks		$0	$0	$1,987	$1,987	$1,987	$1,987	$1,987
Contribution to Reserves - Parking Lot		$6,600	$8,717	$5,910	$5,910	$5,910	$5,910	$5,910
Contribution to Reserves - Sewer		$0	$0	$901	$901	$901	$901	$901
Contribution to Reserves - Curb and Gutter		$0	$0	$993	$993	$993	$993	$993
Contribution to Reserves - Mailbox Stands		$0	$0	$600	$600	$600	$600	$600
Contribution to Reserves - Light Poles & Lights		$0	$0	$596	$596	$596	$596	$596
Contribution to Reserves - Unassigned		$0	$0	$0	$0	$0	$0	$0
	Net Income	$44,222	$42,653	$43,912	$44,112	$44,512	$45,252	$45,812
EXPENSES									2015	2016	2017	2018
Lawn and Landscape Maintenance
Lawn Care Contract		$10,308	$10,710	$11,074	$11,451	$11,840	$12,243	$12,659
Area Maintenance and Repairs		$482	$500	$500	$517	$1,035	$1,070	$1,106
Landscaping		$900	$1,500	$1,048	$1,084	$1,120	$1,159	$1,198
Snow Removal		$2,000	$2,000	$2,068	$2,138	$2,211	$2,286	$2,364
Landscaping Trees		$5,070	$0	$0	$0	$1,000	$1,034	$1,069
Noise Abatement/Privacy Trees & Shrubs		$0	$0	$0	$0	$3,000	$0	$0
Sidewalk Maintenance		$0	$0	$0	$0	$0	$0	$0		Sidewalk Maintenance		$ -
Parking Lot Maintenance		$0	$0	$36,000	$0	$0	$0	$0		Parking Lot Maintenance		$ -
Sewer Cleanout		$0	$0	$0	$0	$0	$0	$0		Sewer Cleanout		$8,107
Curb and Gutter Repair		$0	$0	$0	$0	$0	$0	$0		Curb and Gutter Repair		$ -
Mailbox Stands		$0	$0	$0	$0	$0	$0	$0		Mailbox Stands		$5,404
Light Poles and Lights		$0	$0	$0	$0	$0	$0	$0		Light Poles and Lights		$ -
Erosion Control Timbers and Fill Dirt			$1,545
Street Lights		$2,200	$2,200	$2,275	$2,352	$2,432	$2,515	$2,600
Attorney's Fees		$2,547	$1,000	$500	$517	$535	$553	$572
Administrative Write-off		$0	$0	$0	$0	$0	$0	$0
Professional Services		$0	$0	$0	$0	$1,000	$1,034	$1,069
Management Fees		$6,180	$6,384	$6,601	$6,825	$7,058	$7,298	$7,546
Administrative Expenses		$0
Record Storage		$360	$400	$414	$428	$442	$457	$473
Meeting Room Rental		$480	$500	$517	$535	$553	$572	$591
Mailing		$728	$500	$517	$535	$553	$572	$591
Property Tax Prep		$0	$75	$78	$80	$83	$86	$89
Audit and Tax Filing		$955	$995	$1,029	$1,064	$1,100	$1,137	$1,176
Insurance
F&L / D&O		$8,828	$11,156	$11,536	$11,928	$12,333	$12,753	$13,186
Fidelity		$299	$300	$310	$321	$332	$343	$355
Deductible		$0	$2,500	$2,500	$2,500	$2,500	$2,500	$2,500
Insurance Claim		$0	$0
Taxes - Federal and State		$300	$388	$120	$200	$360	$656	$880
	Total Expenses	$41,637	$42,653	$77,086	$42,474	$49,486	$48,265	$50,023	Year
									2015	2016	2017	2018
NET INCOME		$2,585	($0)	($33,174)	$1,638	($4,974)	($3,013)	($4,211)
									Reserve Expenses		----->	$13,511
ESTIMATED RESERVE BALANCE		$26,235	$34,951	$12,765	$25,392	$31,406	$39,380	$46,157	$57,145	$ 68,133	$ 79,121	$76,598
Notes:
1	Expenses in out-years are increased by inflation percentage.
2	According to the General Common Area Maintenance Plan, all the trees are to be shaped every 3 years.
3	Reserves in 2009 go to North Parking lot maintenance only.
4	Reserves for Tree Pruning start in 2011 and according to our accountant, are reserved as budget items and not
	carried as separate reserve item for tax purposes.
5	We always hope to pickup the insurance deductible amount of $2,500 and unused snowplow funds.
6	We need to accumulate $200,000 in reserves by 2038 for the next parking lot resurfacing and other reserve projects.

Way Out Years for Reserve Forecast

2019	2020	2021	2022	2023	2024	2025	2026	2027	2028	2029	2030	2031	2032	2033	2034	2035	2036	2037	2038	2039
2019	2020	2021	2022	2023	2024	2025	2026	2027	2028	2029	2030	2031	2032	2033	2034	2035	2036	2037	2038	2039
									$37,750
																			$171,399
									$11,325										$15,821
									$18,875
									$7,550										$10,548
									$11,325
		Planned Reserve Accumulation and Expenses in the Future
2019	2020	2021	2022	2023	2024	2025	2026	2027	2028	2029	2030	2031	2032	2033	2034	2035	2036	2037	2038	2039
									$86,826										$197,768
$87,586	$98,574	$109,562	$120,549	$131,537	$142,525	$153,513	$164,501	$175,489	$99,651	$110,639	$121,627	$132,615	$143,602	$154,590	$165,578	$176,566	$187,554	$198,542	$11,761	$22,749
																			30 Year Projected
																			Reserve Balance