Reserve Study
Reserve Funds and Reserve Studies
Oregon law requires that homeowner’s associations set aside money to fund the repair and replacement of common assets owned by the membership. The law also requires that a study be conducted and updated to determine whether the amount being set aside by associations (i.e., reserved) is sufficient to fund what needs to be repaired and replaced.
The Persimmon Country Club Community Homeowners Association consists of three entities: the greater HOA, (all Persimmon homeowners), and two subsets of the greater Association, the Golf Villas (there are 30 villas), and the Masters Collection units (there are 20 such units). The exact nature of the common elements to be funded is identified in the governing documents and varies from one entity to the other. All homeowners contribute to the reserve fund for the greater HOA. Villa owners and owners of the Master's Units contribute an additional amount to their respective reserve funds. Reserve funds are invested in accordance with the Association's investment policy.
A reserve study is a tool used by Board of Directors to assist in the preparation of the Association's budget. A reserve study identifies those common assets for which funding must be set aside and then projects their associated costs into the future. A reserve study also evaluates the current status of the existing reserve fund balance and provides a recommended contribution rate (a funding plan) that should be going into the reserve fund on a periodic basis.
Please click on the following link for the reserve study information:
The information provided are executive summaries. If you would like to have a full report please contact Nancy LaVoie at CMI.