Developments - September 2016 - 52

MANAGEMENT/FINANCE Where Do the Dollars Go? Knowing where your maintenance fee spend is BY LENA G. COMBS, CPA CGMA, RRP O ne of the most often asked questions from timeshare owners is: "Where are my maintenance fee dollars going?" Boards and management have a fiduciary responsibility to spend these dollars for the operations of an association in a way that is prudent and fiscally sound. And depending on the knowledge of the owner base and their degree of pleasure with the resort, the decisions made surrounding budgeting can often be scrutinized. Most owners who dutifully pay their maintenance assessments do so without taking a deep dive in to historical financial information or budget models; however, it is the responsibility of those charged with governance to do so. The majority of timeshare owners do not care to get involved, but there are always some who have complaints. These "squeaky wheels" can, at times, complain very loudly about the efforts of the volunteer board members which can lead to discontent for other owners. It is, of course, every owner's 52 - Developments arda.org duty to be engaged and informed in order to have an active and healthy owner base. Engaged owners make a better resort and a better experience for everyone. Being prepared with best practices, financial averages, and other detailed information can often solve these concerns very quickly. To assist in that endeavor and to provide some benchmarks for boards, management and owners, WithumSmith+Brown, PC, prepares an annual study of timeshare associations' financial data. The summary of the data from that study that is presented here can provide a tool by which to compare a specific resort to some industry metrics and offer useful averages when looking at budgeting trends and historical financial data. Classification and Terminology Operating assessments for purposes of this analysis are considered the portion of the total assessment that is used to pay the association's common expenses. These expenses include items such as utilities, general repairs and maintenance, housekeeping, management fees, insurance, etc. Replacement reserve assessments represent the portion of the total assessment that are used to pay for deferred maintenance and large capital items, such as roof replacement, building painting, pavement resurfacing, unit furnishings, etc. The exhibits and data presented are averages based on how most resorts present their budgets and financial statements. There are, indeed, many variations, and no one way is necessarily better than another. The categories presented in relation to operating fund expenses are as follows: * Administrative and general - includes such items as board expenses, newsletters, office expenses, postage, printing, professional services, etc. * Bad debts - this represents the cost to the association of owners who are delinquent in paying their assessments. This number often is estimated based on http://www.arda.org

Table of Contents for the Digital Edition of Developments - September 2016

UP FRONT
FIRST WORD
AROUND THE INDUSTRY
TRUSTEE TALK
INTERNATIONAL BRIEF
RESEARCH
MEMBER MATTERS
SPECIAL HR SECTION: PART II
CUSTOMER CARE
CREATIVE RESALE STRATEGIES
FRONTLINE TACTICS
RENOVATIONS: “IF MONEY WERE NO ISSUE?”
WHERE DO THE DOLLARS GO?
HOAS AND THE NEW OVERTIME RULES
CAUTION ABOUT YOUR FINANCE OPTIONS
FOCUS ON: REPUTATION MANAGEMENT
FACES FROM THE FRONTLINES
MEMBERSHIP UPDATES
Developments - September 2016 - 1
Developments - September 2016 - Cover1
Developments - September 2016 - Cover2
Developments - September 2016 - 1
Developments - September 2016 - 2
Developments - September 2016 - 3
Developments - September 2016 - 4
Developments - September 2016 - 5
Developments - September 2016 - UP FRONT
Developments - September 2016 - 7
Developments - September 2016 - FIRST WORD
Developments - September 2016 - 9
Developments - September 2016 - AROUND THE INDUSTRY
Developments - September 2016 - 11
Developments - September 2016 - 12
Developments - September 2016 - 13
Developments - September 2016 - 14
Developments - September 2016 - 15
Developments - September 2016 - 16
Developments - September 2016 - 17
Developments - September 2016 - 18
Developments - September 2016 - 19
Developments - September 2016 - TRUSTEE TALK
Developments - September 2016 - 21
Developments - September 2016 - INTERNATIONAL BRIEF
Developments - September 2016 - 23
Developments - September 2016 - RESEARCH
Developments - September 2016 - 25
Developments - September 2016 - 26
Developments - September 2016 - 27
Developments - September 2016 - MEMBER MATTERS
Developments - September 2016 - 29
Developments - September 2016 - SPECIAL HR SECTION: PART II
Developments - September 2016 - 31
Developments - September 2016 - 32
Developments - September 2016 - 33
Developments - September 2016 - CUSTOMER CARE
Developments - September 2016 - 35
Developments - September 2016 - 36
Developments - September 2016 - 37
Developments - September 2016 - CREATIVE RESALE STRATEGIES
Developments - September 2016 - 39
Developments - September 2016 - 40
Developments - September 2016 - 41
Developments - September 2016 - FRONTLINE TACTICS
Developments - September 2016 - 43
Developments - September 2016 - 44
Developments - September 2016 - 45
Developments - September 2016 - 46
Developments - September 2016 - 47
Developments - September 2016 - RENOVATIONS: “IF MONEY WERE NO ISSUE?”
Developments - September 2016 - 49
Developments - September 2016 - 50
Developments - September 2016 - 51
Developments - September 2016 - WHERE DO THE DOLLARS GO?
Developments - September 2016 - 53
Developments - September 2016 - 54
Developments - September 2016 - 55
Developments - September 2016 - HOAS AND THE NEW OVERTIME RULES
Developments - September 2016 - 57
Developments - September 2016 - CAUTION ABOUT YOUR FINANCE OPTIONS
Developments - September 2016 - 59
Developments - September 2016 - FOCUS ON: REPUTATION MANAGEMENT
Developments - September 2016 - 61
Developments - September 2016 - FACES FROM THE FRONTLINES
Developments - September 2016 - 63
Developments - September 2016 - MEMBERSHIP UPDATES
Developments - September 2016 - 65
Developments - September 2016 - 66
Developments - September 2016 - 67
Developments - September 2016 - 68
Developments - September 2016 - 69
Developments - September 2016 - 70
Developments - September 2016 - 71
Developments - September 2016 - 72
Developments - September 2016 - Cover3
Developments - September 2016 - Cover4
https://www.nxtbook.com/ygsreprints/ARDA/SUM20_ARDA_Nxtbook
https://www.nxtbook.com/ygsreprints/ARDA/arda_trusteedirectory_2020
https://www.nxtbook.com/ygsreprints/ARDA/0520_ARDA_Nxtbook
https://www.nxtbook.com/ygsreprints/ARDA/0420_ARDA_Nxtbook
https://www.nxtbook.com/ygsreprints/ARDA/0220_ARDA_Nxtbook
https://www.nxtbook.com/ygsreprints/ARDA/G112065_arda_novdec2019
https://www.nxtbook.com/ygsreprints/ARDA/G398743_arda_oct2019
https://www.nxtbook.com/ygsreprints/ARDA/G110069_arda_sept2019
https://www.nxtbook.com/ygsreprints/ARDA/0919_arda_50thSup
https://www.nxtbook.com/ygsreprints/ARDA/G109015_arda_aug2019
https://www.nxtbook.com/ygsreprints/ARDA/G108120_arda_jul2019
https://www.nxtbook.com/ygsreprints/ARDA/G107369_arda_jun2019
https://www.nxtbook.com/ygsreprints/ARDA/arda_trusteedirectory_2019
https://www.nxtbook.com/ygsreprints/ARDA/G105240_arda_apr2019
https://www.nxtbook.com/ygsreprints/ARDA/G104323_arda_mar2019
https://www.nxtbook.com/ygsreprints/ARDA/G103171_arda_feb2019
https://www.nxtbook.com/ygsreprints/ARDA/G102857_arda_jan2019
https://www.nxtbook.com/ygsreprints/ARDA/G100505_arda_novdec2018
https://www.nxtbook.com/ygsreprints/ARDA/G993377_arda_oct18
https://www.nxtbook.com/ygsreprints/ARDA/G98243_arda_sept2018
https://www.nxtbook.com/ygsreprints/ARDA/G97455_arda_aug2018
https://www.nxtbook.com/ygsreprints/ARDA/G96594_arda_july2018
https://www.nxtbook.com/ygsreprints/ARDA/G93341_arda_may2018
https://www.nxtbook.com/ygsreprints/ARDA/G92771_arda_apr2018
https://www.nxtbook.com/ygsreprints/ARDA/G91395_arda_mar2018
https://www.nxtbook.com/ygsreprints/ARDA/G90172_arda_feb2018
https://www.nxtbook.com/ygsreprints/ARDA/G88761_arda_jan2018
https://www.nxtbook.com/ygsreprints/ARDA/G85176_arda_novdec2017
https://www.nxtbook.com/ygsreprints/ARDA/G83609_arda_october2017
https://www.nxtbook.com/ygsreprints/ARDA/G81545_arda_september2017
https://www.nxtbook.com/ygsreprints/ARDA/G80017_arda_august2017
https://www.nxtbook.com/ygsreprints/ARDA/G79156_arda_july2017
https://www.nxtbook.com/ygsreprints/ARDA/G77028_arda_june2017
https://www.nxtbook.com/ygsreprints/ARDA/G74802_arda_aprmay2017
https://www.nxtbook.com/ygsreprints/ARDA/G73958_arda_mar2017
https://www.nxtbook.com/ygsreprints/ARDA/minidigest2017_interval
https://www.nxtbook.com/ygsreprints/ARDA/minidigest2017_rci
https://www.nxtbook.com/ygsreprints/ARDA/G72702_arda_feb2017
https://www.nxtbook.com/ygsreprints/ARDA/G70973_arda_jan2017
https://www.nxtbook.com/ygsreprints/ARDA/arda_NovDec2016
https://www.nxtbook.com/ygsreprints/ARDA/G66901_October2016
https://www.nxtbook.com/ygsreprints/ARDA/G66137_September2016
https://www.nxtbook.com/ygsreprints/ARDA/g64853_august2016
https://www.nxtbook.com/ygsreprints/ARDA/g63556_arda_july16
https://www.nxtbook.com/ygsreprints/ARDA/arda_may16
https://www.nxtbook.com/ygsreprints/ARDA/arda_april16
https://www.nxtbook.com/ygsreprints/ARDA/arda_march16
https://www.nxtbook.com/ygsreprints/ARDA/minidigest2016_interval
https://www.nxtbook.com/ygsreprints/ARDA/minidigest2016_rci
https://www.nxtbook.com/ygsreprints/ARDA/arda_feb16
https://www.nxtbook.com/ygsreprints/ARDA/g56444_arda_0116
https://www.nxtbook.com/ygsreprints/ARDA/g55471_arda_1115
https://www.nxtbook.com/ygsreprints/ARDA/g54352_arda_1015
https://www.nxtbook.com/ygsreprints/ARDA/g53078_arda_0915
https://www.nxtbook.com/ygsreprints/ARDA/g52346_arda_aug15
https://www.nxtbook.com/ygsreprints/ARDA/g51820_arda_july2015
https://www.nxtbook.com/ygsreprints/ARDA/g50568_arda_june2015
https://www.nxtbook.com/ygsreprints/ARDA/g48582_arda_aprmay2015
https://www.nxtbook.com/ygsreprints/ARDA/g48198_arda_mar2015
https://www.nxtbook.com/ygsreprints/ARDA/ARDA/arda_minidigest15
https://www.nxtbook.com/ygsreprints/ARDA/ARDA/arda_minidigest15_rci
https://www.nxtbook.com/ygsreprints/ARDA/arda_minidigest15_interval
https://www.nxtbook.com/ygsreprints/ARDA/g47739_arda_feb2015
https://www.nxtbook.com/ygsreprints/ARDA/g47155_arda_jan2015
https://www.nxtbook.com/ygsreprints/ARDA/g45549_arda_nov14
https://www.nxtbook.com/ygsreprints/ARDA/g44747_arda_oct2014
https://www.nxtbook.com/ygsreprints/ARDA/g44047_arda_sept2014
https://www.nxtbook.com/ygsreprints/ARDA/g43314arda_aug2014
https://www.nxtbook.com/ygsreprints/ARDA/g42697_arda_july2014
https://www.nxtbook.com/ygsreprints/ARDA/g42010_arda_jun2014
https://www.nxtbook.com/ygsreprints/ARDA/g40308_arda_aprmay2014
https://www.nxtbook.com/ygsreprints/ARDA/g39858_arda_mar2014
https://www.nxtbook.com/ygsreprints/ARDA/arda_minidigest_interval14
https://www.nxtbook.com/ygsreprints/ARDA/arda_minidigest_rci14
https://www.nxtbook.com/ygsreprints/ARDA/g39339_arda_feb2014
https://www.nxtbook.com/ygsreprints/ARDA/g38847_arda_jan2014
https://www.nxtbook.com/ygsreprints/ARDA/g37182_arda_novdec2013
https://www.nxtbook.com/ygsreprints/ARDA/g36850_arda_oct2013
https://www.nxtbook.com/ygsreprints/ARDA/g36032_arda_sep2013
https://www.nxtbook.com/ygsreprints/ARDA/g35644_arda_aug2013
https://www.nxtbook.com/ygsreprints/ARDA/g34942_arda_jul2013
https://www.nxtbook.com/ygsreprints/ARDA/g34203_arda_jun2013
https://www.nxtbook.com/ygsreprints/ARDA/g32965_arda_developments-aprmay2013
https://www.nxtbook.com/ygsreprints/ARDA/g32413_arda_mar2013
https://www.nxtbook.com/ygsreprints/ygs/arda_minidigest
https://www.nxtbook.com/ygsreprints/ygs/arda_minidigest_rci
https://www.nxtbook.com/ygsreprints/ygs/arda_minidigest_interval
https://www.nxtbook.com/ygsreprints/ygs/g31739_arda_feb13
https://www.nxtbook.com/ygsreprints/ygs/g31264_arda_developments_jan2013
https://www.nxtbook.com/ygsreprints/ygs/g29933_arda_developments_novdec2012
https://www.nxtbook.com/ygsreprints/ygs/g29207_arda_developments-oct2012
https://www.nxtbook.com/ygsreprints/ygs/g28427_arda_developments_sept2012
https://www.nxtbook.com/ygsreprints/ygs/g27671_arda_developments_aug2012
https://www.nxtbook.com/ygsreprints/ygs/7091_arda_developmentsjuly2012
https://www.nxtbook.com/ygsreprints/ygs/g26491_arda_june12
https://www.nxtbook.com/ygsreprints/ygs/g24897_arda_dev_aprilmay12
https://www.nxtbook.com/ygsreprints/ygs/g24629arda_dev_march2012
https://www.nxtbook.com/ygsreprints/ygs/g24005arda_dev_feb12
https://www.nxtbook.com/ygsreprints/ygs/g23471_dev_jan12
https://www.nxtbook.com/ygsreprints/ygs/g22146_arda_novdec11
https://www.nxtbook.com/ygsreprints/ygs/g21696ardaoct11
https://www.nxtbook.com/ygsreprints/ygs/arda_sept11_nxtbk
https://www.nxtbook.com/ygsreprints/ygs/g20778_arda_august2011
https://www.nxtbook.com/ygsreprints/ygs/g20046arda_nxtbook
https://www.nxtbook.com/ygsreprints/ygs/g20045arda_nxtbk
https://www.nxtbook.com/ygsreprints/ygs/G18220_ARDA_aprmay11
https://www.nxtbook.com/ygsreprints/ygs/g18768_arda_march2011
https://www.nxtbook.com/ygsreprints/ygs/g18289arda_feb11
https://www.nxtbook.com/ygsreprints/ygs/g17975_arda_jan11
https://www.nxtbook.com/ygsreprints/ygs/g16746arda_novdec10
https://www.nxtbook.com/ygsreprints/ygs/ARDA/arda_flashadcompilation
https://www.nxtbook.com/ygsreprints/ygs/p16572_arda_2011mediakit
https://www.nxtbook.com/ygsreprints/ygs/g16282arda_oct10
https://www.nxtbook.com/ygsreprints/ygs/g15671_arda_sep10
https://www.nxtbook.com/ygsreprints/ygs/g15375_arda_aug2010a
https://www.nxtbook.com/ygsreprints/ygs/g14892_ardajuly10_final
https://www.nxtbook.com/ygsreprints/ygs/g14484_arda_june
https://www.nxtbook.com/ygsreprints/ygs/g13575_arda_may10_cvt
https://www.nxtbook.com/ygsreprints/ygs/p14395_ARDA_MemberKit
https://www.nxtbook.com/ygsreprints/ygs/g13153_ARDA_marchaprl10
https://www.nxtbook.com/ygsreprints/ygs//g12797_arda_feb10
https://www.nxtbook.com/ygsreprints/ygs/g12360_jan10nxtbook
https://www.nxtbook.com/ygsreprints/ygs/G11457ARDA2
https://www.nxtbook.com/ygsreprints/ygs/G10696_arda_oct
https://www.nxtbook.com/ygsreprints/ygs/2010sponbroc_nxtbook1
https://www.nxtbook.com/ygsreprints/ygs/developements_sept09
https://www.nxtbook.com/ygsreprints/ygs/Developments2010_MK1
https://www.nxtbookmedia.com