2021 Budget

by Nicole Careaga

For those of you that read my article last month, you know that we have been in the throes of Budget Season for the past few months. Thanks to everyone involved, we have officially made it through and can begin enjoying the holidays. We are so thankful to be at this point, and are excited to be able to tell you all that the and 2021 that budget we will has see been approved NO INCREASE to the 2021 assessment amount.

Even though the assessment amount didn ’t change, there were a number of things that were updated for the 2021 year.

New Units – 2021 brings exciting news as we will begin to meet our new neighbors to the west, as the Luxe is anticipated to open in the Spring. The addition of two new buildings is a major factor in our assessment assessment. Having 65 units paying the full amount provides a lot of income to our community, which always helps in offsetting expenses. Expenses – Many of the expenses have increased in 2021. The most impactful are:

Postage/Statement Fees – These line items became quite expensive this year due to a new Arizona requirement that all residents receive a monthly statement instead of an annual coupon book.

Landscape Maintenance – An expected increase of 3%, due to the approval of Prop 206 four years ago. This is the final year our state will see a minimum wage increase in relation to this proposition.

Janitorial Maintenance – An anticipated increase of 3%, due to Prop 206.

Pool Maintenance – This increase is due to having a new pool vendor, Aquaman Pools. The increase is about $1300 per month.

Cost Savings – The team works diligently each year to find some way to provide cost savings. Some years are really great, while others are just more costly. A big savings for 2021 is that we have contracted with a new Window Cleaning Provider who will be saving us about $15,000 next year, while still providing the same services.

We hope to see some cost savings due to our new gate maintenance provider, Antech. This year the front gates had a major overhaul and have been working much more efficiently.

Another cost savings was due to the insurance premium for the community going down. As we continue to have no major losses due to water or fire damage, this premium has become more affordable.

So, what can you do to help keep assessments low?

Pay your assessment on time each month – this eliminates costs due to collections, additional late notice mailings, and legal fees.

Sign Up For E-Statements –Yes, residents are required to receive a statement each month, however doing so electronically saves the Association about $6 per month per unit. That means you can save the Association $72 per year. That number adds up quickly as we currently have 677 units receiving the statement each month.

Take Ownership – By properly disposing of your garbage and cleaning up after your pets, you save the association hundreds in labor costs.

Should you have any question about this years budget, or any of the financials, please give me a call or schedule some time to come and visit with me.