Page 6 - Lake Forest II Mainsheet
P. 6

      This past Nov, the Board approved the MASTER BASE ASSESSMENT for all LFII separate interest prop- erties at $78/mo. This is a $5/mo
per property increase over the 2022
rate. But how was the $78 number
arrived at?
The Master Base Assessment
has two components: 1) operational
funds; 2) reserve funds. Operational
funds are for the day-to-day expenses,
i.e. paying the bills, to keep the doors
open and the facility (Clubhouse)
operating. This Includes: salaries,
insurance, supplies, equipment, util-
ities, etc. A subset component of
operational funds is Capital funds,
which are dedicated to the acquisi-
tion of capital assets, usually by means of either purchase or construction. While operational funds are for regular, reoccurring expenses and/or the acquisition of capital as- sets, reserve funds are dedicated for the maintenance or repair of assets on an “as needed” basis.
In determining the projected expenses for the coming fiscal year, the Board, Budget & Finance Committee, and LFII staff all worked in coordination to determine the line
item needs of each of the departments, i.e, Recreation, Newsletter Adult Lounge/Rentals, Community Services, AccountingandAdministration. The needs are determined with regular assessments of legal mandates, facility needs and Member priorities. In crunching the numbers, it was determined LFII’s expected income for 2023 would be $3,187,087. The projected operational expenses calculated as $3,393,247. A short- fall of $206,160 resulted. Dividing by 3,436 (the # of LFII households), then dividing by 12 (for the months in a year) results in a $5/mo/ property amount to make up this difference. Using this same process, each property was assessed an added $1/mo towards the reserve account. These two increases total $6, but was reduced down to $5 by reducing the monthly Capital Fund alloca- tion from $2.20 to $1.20. In addition to the Master Base Assessment, each property pays an additional assess- ment to their neighborhood department or sub-association
(households in Ranchwood & Park Place excepted).
  Happy New Year!
Happy New Year!
         May this new
year bring
new happiness, CHEERS TO
new goals, new 2023
achievements, and maybe even a new home!
With love from The Deluna Family Your local Lake Forest Realtor
           JANUARY 2023

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