10 Crucial Things Your Community Management Company SHOULD Be Doing
1. Statistics show there is high percentage of associations who plan their budget only one year in advance. Is your association part of that group?
- Best run associations have a 5 year capital plan, which allows for better planning, better budgeting and lesser reliance on special assessments to fund capital improvements and replacements.
- This results in less financial stress on the homeowners.
2. Do your assessment amounts correlate correctly with the percent ownership stated in your latest version of governing documents?
- Statistics show that 10-15% of homeowners are underpaying or overpaying their assessments.
- Don’t pay more than you have to and don’t let others get away with paying too little.
- Highly effective management companies make sure this issue is resolved quickly if it is an issue.
3. Does your association have polices for things like collections, fines, noise violations or pet violations? If so, are they uniformly enforced?
- It’s hard to be a board member and it’s even harder to knock on someone’s door and tell them to pay their assessments.
- Effective management companies enforce all rules and regulations in a friendly and effective way.
- Don’t wait until your association is slapped with a lawsuit to find out that the policies were NOT uniformly enforced.
4. Do you know the status of all open association issues such as maintenance work orders, violations, and pending homeowner sales?
- You should, and highly effective management companies make it possible with the click of a mouse.
5. Are you experiencing a lot of maintenance emergencies? Does your property look dilapidated? Are you worried about your resale value?
- By creating a detailed preventative maintenance plan that addresses the building exterior, mechanicals, and security components, the best run community associations experience fewer emergencies and a greater return on their investments.
6. Are you in compliance with the IL laws such as the Condo Act or CICCA? Do you have access to properly approved meeting minutes? Are you satisfied with the quality?
- Yes, there is a right way and a wrong way to take and approve minutes from your board meetings.
- If you don’t already know the details, ask yourself why hasn’t your current management company advised you?
7. Do you feel you have access to the proper training necessary to be effective as a board of director? Do you understand your duties and responsibilities thoroughly?
- As an important part of an effective management company, it should be included free of charge.
- By becoming a more effective board member, you will ensure the long-term success of the association.
8. Are your unit owners running your board meetings? Do you feel like your board meetings are turning into town hall meetings? Do you feel like you are meeting excessively?
- Time is valuable- Conducting an effective board meeting is critical for the well-being of the association.
- Effective management companies assist in everything from advanced scheduling, to conducting pre-board meeting conference calls, and preparation of detailed board meeting agendas.
- This should result in one hour board meetings AT LEAST 90% of the time.
9. Most owners feel like they are in the dark on association matters. Do you have a communication policy for how owners are kept informed?
- Well run associations do, and the homeowners are kept informed on issues ranging from emergencies to everyday matters.
10. Are you getting a consistent level of management support that you need to successfully run the association? Are you feeling overwhelmed by the time commitment needed to serve on the board? Do you have an effective volunteer recruitment program?
- Alright, those are actually 3 points, but they’re clearly related and not every management company in Chicago can ensure association leadership. Does yours? It’s time to become part of the small percentage that plans and prepares.
- Your association requires ALL of these support services from a management company in order to succeed and make it a well run community.
- Now for the assessment! If you answered NO to two or more of these crucial items then maybe it’s time to make a change!
- It’s time to experience the Joy of LIVING MORE and WORRYING LESS.