Prior to the annual meeting of owners, the management company puts together a proposed budget for the following year with the finance committee and the BOD's concurrance. Neither has to approve the budget. The owners approve it at the annual meeting.
After it is reviewed by the finance committee and submitted to the BOD for their review it is sent to the owners at least 30 days in advance of the annual meeting. The proposed budget is then approved by the owners.
At the annual meeting, the expense budget and the capital budget for the following year is presented and voted upon by the owners. In the absense of a vote, the budget as presented is the budget for the association for the next year.
In the event that no budget is presented for vote, the preceding years budget is then still in effect.
If the BOD has recommended an increase in dues it is presented to the owners. The BOD has the ability to raise the dues 15% over the previous years dues if they deem it necessary to meet the next years budget.
If the requirement for an increase of more than 15% is recommended by the BOD with majority vote of the BOD, then the increase must be voted upon by the owners at the annual meeting, or special meeting of the owners and requires a majority vote of the members..
