Home › COFSAB Forum › Finances › Can a condominium board use reserve funds for an item not included in the reserve fund plan? › Reply To: Can a condominium board use reserve funds for an item not included in the reserve fund plan?
MemberApril 10, 2022 at 8:01 pm
Posted : 04/06/2018 8:31 pm
This answer is correct, in my opinion, but our reserve study has categories that are very broad and thus easily enable a broad range of expenditures. To be more certain that an expenditure qualifies as a reserve fund expenditure a Corporation needs a comprehensive inventory of assets and a running schedule of major repairs and replacements of each of these assets. It surprises me that such inventories are not developed and maintained as would be required if Corporations had to capitalize and depreciate them for financial and for tax purposes.