As information, when a condo owner stops paying fees, the law requires the rest of us to make up the difference to keep the Association solvent. In a February news column Becker Poliakoff stated, “Most community associations today are forced to budget for ‘bad debt’, which translates into unit owners who are paying their maintenance while having to cover the obligation of the non-paying unit owners and their lenders, who refuse to take title in order to avoid having to pay assessments.”

Rafael Alleguez

From the outset in 2001, this Board put in place a tough new common sense approach that reformed our outdated system of patch and glue. Under the guidance of an owner, Rafael Alleguez, we began a 5 year plan to build and replace anew our infrastructure vs. patch & glue. To accomplish this, we read our documents and initiated innovative programs such as exercising the Right of First Refusal which brought much needed funds into our treasury without assessing the owners.

In view of the current state of the economy that affects us all, and in view of the fact there is no way for the Board to know of unforeseen foreclosures; on January 26^th, I sent a memorandum entitled “Survival Strategies” to all Board Members. My cautious plan of action included:

1. Determine to the extent possible the number of units with mortgages.

2. Estimate to the extent possible the number of units that may become problems.

3. Monitor our economic situation and delay or cut back on non-emergency expenditures.

4. Expend only for items already budgeted and evaluate even those for possible delay.

The Regency Tower has been blessed with wise treasurers over the years such as Ron Forment, Henry Kaplan, and the two excellent gentlemen I have worked with; Bill Tennenbaum and Bob Nagle. Under their leadership we have expanded our commitment to operate only in the black at whatever the cost. We are committed to a sense of honesty and accountability to our budget. Every Board member is cognizant of his/her fiduciary responsibility.