News and Resources

Annual Budget Preparation

By: Victor J. Galati, COMMUNITY ADVANTAGE® of Barrington Bank and Trust Company, N.A.

With the onset of autumn we are all reminded of the necessity of preparing for the annual budget season that is now upon us. For those associations with fiscal years beginning January 1, 2006, now is the time to begin planning for the coming year(s) if you have not done so already. Section 18.4 of the Illinois Condominium Property Act empowers and charges the Board of Managers, "To prepare, adopt and distribute the annual budget for the property, to levy and expend assessments, and to collect assessments from unit owners." The Association's covenants will also have some language outlining the obligations of the Board to prepare and distribute a budget. Whether you are a property supervisor, on-site manager or a board member, the budget process can be a time consuming yet rewarding experience.

For a complete copy of this article, please contact Linda Schiff by phone at 847-842-7980 or by email at lschiff@communityadvantage.com.

January 2, 2006