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Condo association budget time - what about a financial audit first?

stephen polinsky on Tue, Dec 21, 2010 @ 10:11 AM

14 comments

We are a Florida condo association and it's budget meeting time. As a concerned homeowner and a former board member, over the last several months I have taken the time to review financials, (mostly due to the fact that I have little faith in the present board who have very little experience or knowledge regarding all things 718). During my review process I have found numerous errors in the financials, for amounts that are large (thousands of dollars) as well as continuous coding errors by management. This same problem happened when I was on the board and I brought it to the attention of the management & board so that it could be corrected. Unfortunately I don't have that ability at this time. However, I have also discovered my association has not had a audit and or financial review since 2005! Every year since then it has been waived by the members, (I am aware of the financial reporting statutes and partial or fully funding reserve waiver). Homeowners were sent their financial packets recently and again waiving financial reporting as well as fully funding reserves were on the proxy. With a statement that we would be due in 2012 for a Financial review. This information is incorrect!! When the question was posed to Management when the last year was that we had a financial audit and/or review he stated "I don't know", Now that the mistakes that I have uncovered as well as the fact that we have not had the financial review have come to light, Can membership petition for an audit? Especially since the financials are not correct? I read the comment about "appealing" I would like to know under what circumstances you can do that also? Seeking advice... thank you

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