BUYERS GUIDE: HOW DO WE DEVELOP FUNDING PLANS?
Video transcription: So as the reserve study progresses it moves from the component analysis when we're determining useful lives, remaining useful lives and determining costs of components to a financial analysis; how is the community going to pay for those expected expenditures? This could be roofing, siding, paint, windows, asphalt overlays, seal coats. All these items are expected expenditures that will happen. Now what we create are financial plans that a community can follow to help pay for those items hopefully with minimal risk of special assessments for loans. It really is based on where the community is right now, how much do you have in a reserve account how much are you allocated to reserve account. Based on that we're going to create a financial plan which will help you in the future pay for these items, as the expected expenses come do.
Now we're going to create numerous funding plans, so are going to be more aggressive and some are going to be more conservative for you. It's completely up to you, the Board, to vote on these items. What do you feel more comfortable with, do we want lower allocation to the reserve account but perhaps a higher risk for special assessments later or do we want a higher allocation to the reserve account now and a lower risk for special assessment later. That's completely up to the board, us as a reserved study provider, what we do is provide numerous funding plans to show you the path the pathways essentially that you can follow to reach your goals as a community. There's a lot more information on our website at https://www.rdanorthwest.com , you can read about the different funding plans, how we develop them and how different communities may benefit from different strategies. Please ask any questions on there that you may have just go to the contact page and send us an email; [it's] very simple we'll get right back to you. We look forward to hearing from you. Thank you so much.