Throughout the life of a Community Association, money is collected from closings to fund reserves and/or working capital and, typically, a portion of the regular Assessments are set aside to continue to fund reserves in perpetuity.  Does it make sense to invest these dollars while they are accumulating for future repairs and replacement of the Communities’ assets?  Yes, it does.                                                       

One of the important things to remember in this regard is that Reserve Studies assume some level of interest is being earned on reserve account balances.  The assumptions in Reserve Studies are typically very conservative with interest earned (or investment yield – net of taxes) ranging from 1 percent to 3 percent.   But, note that the interest-earned component is an integral part of the funding plans for reserves. So, there should always be a strategy or policy for keeping the reserve balance in, at a minimum, some form of low-risk, interest-bearing account or certificate of deposit (CD) program.

All Community Associations, particularly those with the potential for significant reserve and/or savings account balances, should consider developing and approving an investment policy.  Investment policies help to maximize (conservatively) interest income and to provide good cash management procedures.  A good investment policy will list types of permitted investments as approved by the Board, such as money market accounts, certificates of deposit, U.S. Government obligations and U.S. Government agencies obligations. The policy may also list approved FDIC-insured banks and/or investment companies which the Board has agreed to use. The Board of Directors may want to go one step farther and appoint a Finance Committee to help oversee investments and to give guidance to the applicable AAM Accounting staff member to facilitate transfers to various accounts to ensure that funds remain fully insured.

We could not be more proud.

NINE exceptional AAM employees were recognized as finalists for the 2010 AZ Association of Community Management’s G.E.M. Awards (Guiding Excellence in Management) and out of those nine, FOUR were award winners!

Here is a run-down of the categories and AAM finalists and winners:

CAASP™ Excellence in Service Award

• Recognizes a CAASP who displays integrity, reliability, and the ability to interface with managers, affiliate partners & other industry professionals.
• Contributes to AACM through promotion of ethical conduct and competence.

Finalists:

Michelle Dennis: Department Manager, Disclosures and Transfers

Kelli Lyon: Lifestyle Director for Province

Winner: Kelli Lyon, Lifestyle Director for Province

The Rising G.E.M. Award

• Recognizes a manager with less than two years of experience in the industry who has displayed exceptional abilities.

Finalists:

Frank Puma, Community Manager

Mirranda Stapley, Community Manager

Winner: Mirranda Stapley, Community Manager

Mirranda Stapley, Community Manager

The Humanitarian Award – Level 2 (above 300 homes)

• Recognizes a manager who has gone above & beyond in helping a homeowner, a community or a cause within one of the communities they manage.
• Nominees utilize “outside the box” thinking to create a positive outcome for a specific issue.

Finalists:

Pam Hilliard, Area Manager

Annette McCraw, Community Manager

Winner: Annette McCraw, Community Manager 

Annette McCraw, Community Manager

Manager of the Year Award – Level 2 (above 300 homes)

• Represents commitment to the industry, loyalty to consumer clients, and dedication to working professionally & ethically with affiliates.
• This award offers recognition to a manager who shows respect to fellow employees, builds positive working relationships, participates in industry activities and demonstrates an ability to promote the industry in a positive manner.
• The award winner must consistently demonstrate an essence of excellence in all that they do.
• They continually go above and beyond for their communities with higher standards of professionalism and passion for their communities at all times.

Finalists:

Jeff Dixon, Community Manager

Brad Lundmark, Community Manager

Tamara Swanson, Community Manager

 Winner: Tamara Swanson, Community Manager

Tamara Swanson, Community Manager

A BIG congratulations to all of the finalists and winners!!! You’re all winners in our book!

For more information on AACM GEM Awards, please visit:

http://www.aacmonline.org/GEM-Awards~291636~10622.htm

Playground equipment within your communities should be inspected quarterly, at least, to ensure safe play and to minimize risk.  All inspections should be completed by a certified playground safety inspector vs. an uncertified handyman or landscape maintenance employee. Such quarterly service may include the following:

Our Community Managers physically inspect equipment on a routine basis for cleanliness and issues that arise from vandalism and regular use. But, having a certified playground inspector perform maintenance checks at least quarterly will help minimize potential risk to the Association. Your Community Manager can contact a professional on your behalf and make necessary arrangements for regular inspection and maintenance visits.

It’s important to remember to budget funds each year to cover professional inspection and maintenance service for all playground equipment within tot lot areas. Don’t forget to include money for quarterly, bi-monthly or even monthly  power washings to keep equipment clean and safe, and pest control to keep ants, spiders and other potentially harmful insects at bay.

These days, more and more insurance carriers are doing site visits to visually inspect tot lot areas and playground equipment. Therefore, it is also very important to check with the Association’s carrier to ensure that insurance obligations regarding periodic inspections and maintenance are being met.   Also, some counties and municipalities require specific maintenance procedures on equipment such as splash pads. Check with those officials to ensure compliance with county and municipal code.

Lastly, it is very important to let our homeowners know via newsletters or community postings that children should wear shoes and clothing appropriate for playing on and around the tot lot equipment. We all know that even shaded playground structures get hot quickly (particularly plastic and metal parts) even in early autumn, so appropriate footwear and clothing will help protect our kids from potential injuries.

On September 11^th, 2010 McDowell Mountain Ranch held a benefit concert for Homes for Our Troops. We raised $1,070.00 for this cause. The bands that participated were: Poppy and the Usual Suspects, The Top Cats, Hans Olson and Retro. Also a GREAT BIG THANK YOU to all the AAM employees how volunteered their time to help make this event so successful.

Deborah Boyle, McDowell Mountain Ranch Community Association Communications / Activities Director

Sonoran Mountain Ranch in Peoria is planning their 3^rd annual clean up day on Saturday, November 6, 2010.  Volunteers will meet at the City Park to pick up supplies and location.  Four Peaks Landscaping will be assisting the community by providing the necessary tools needed for this type of outdoor work.  The event is planned from 8:30 – 11:00 am.

To join the fun and volunteer, contact Liz Miller at 602-906-4938 or lmiller@aamaz.com OR Carolyn Vesely at 602-906-4916 or cvesely@aamaz.com.

Carolyn Vesely, Area Manager