The Cloister as A Business Operation


In early years management and bookkeeping for the Cloister at St Henry facility was simple, collect HOA monthly fees, pay bills relating to ongoing operations and pay the monthly Comcast fee.

But now we have two categories of expenditures, routine operating expenses and capital expenses(such as new roofs, street repaving, retaining walls and other repairs to our infrastructure) This leaves us with challenges in budgeting, and supervision and monitoring of outside contractors.

The value to The Cloister property is approaching Fifty Million Dollars ($50,000,000.00) The property was developed in 1984, some buildings are 32 years old with the newest building built 25 years ago. Original Cloister homeowners did not face expensive maintenance and repair projects  such as roof replacement, street paving,  and exterior repair and painting during the first 10 years of the life of the Cloister complex. Thus we relied upon unpaid volunteers from among residents.

Initially a small group of, sometimes reluctant, mostly inexperienced volunteers formed the Architectural Review and Maintenance Committee to manage the simple housekeeping matters. We have reached a critical point in  budgeting with management of large infrastructure maintenance and repair projects like jacking up and supporting an entire Cloister Condo building, replacing sunken driveways, rebuilding walls, and maintaining the storm water drainage system.

We home owners have been hit with huge monthly HOA fee increases. Yet we assume that management of this major facility can still be conducted with unpaid volunteers on what we call the ARMS Committee.

We are sadly mistaken……

ConstructionManagement

It is time that we reduce the responsibilities of the ARMS Committee and hire on-site management and monitoring for our large, expensive infrastructure repair and maintenance projects and capital spending. Or should we idly stand by while the ARMS committee attempt to manage a $50 million dollar facility and a one million dollar per year budget?

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