Condo Line  Is board mishandling budget reserve?  Q: Can a board
underfund a reserve study without a vote of the membership?
B.C., Naples  A: The board has a fiduciary duty as well as a
statutory duty to establish an adequate reserve budget. The
board is also required to have a reserve study. While it’s
advisable that the board use the reserve study and develop an
adequate reserve budget, the board may vary their figures in the
reserve budget if they are justified.  There are two sides to
this question — the board may underestimate or overestimate the
reserve study. It is a board’s responsibility and not the
members that vote on the final reserve budget. However, at a
members’ meeting the members may vote to eliminate or reduce the
budget.  The key to the answer to your question: Will the budget
provide adequate funds when needed?  Q: Our condominium has
hired a building manager who also rents and sells condominium
units. The manager has hired unlicensed friends to do air
conditioning and electrical work. Th