Building Value by Preventive Maintenance

Many community associations are growing old and not always gracefully. Dry rot, extensive wood boring insect damage, leaking roofs, siding falling off, water intrusion and hefty additional assessments seem to be the order of the day due to the lack of funding reserves properly. Letting major preventative maintenance items slide year after year is not the answer. Owner's property in associations that are well maintained will sell faster and for more money. It is a matter of protecting and maintaining the value of the asset, a Board’s primary and legal responsibility. So how can those associations that want to maintain their assets do so with a minimal amount of funds and energy? There not, how often have you had your buildings inspected by a professional contractor? But we had our buildings painted and the painter caulked and we had some bad wood replaced. The painter was hired to paint, most painters will not inspect the buildings for preventative maintenance and nor should you expect them to if not qualified.

Get Committed The Board needs to first go on record that it is committed to a preventative maintenance program. Consider enacting a formal written resolution approved by the Board that insists that professional quality maintenance of the property is a commitment to follow. As boards change, they will be held to this standard.

Get Organized Find volunteers for a Maintenance Committee. If any of them have experience in construction, design, or architecture that’s better. Next, put together a job description for the Committee outlining the major responsibilities and time lines for completion of certain tasks.

Develop a Component List Besides the obvious like roofs, paint, paving, etc., there may be other not-so-obvious components. Water flow from top to the bottom or your buildings is probably the most important concern you should have.

Physically Inspect the Components Many Boards have never taken the time to walk around the property on a "maintenance inspection" and those that do often do not possess the proper skills. Choose the people carefully, interview potential professional contractors and hire them to work with your committee of volunteers and to inspect the entire building(s) from rooftop to grading. Include reputable, licensed and qualified contractors, engineer or architectural consultants, or certified building inspectors. These people are trained to look for potential problems and design deficiencies. Although they may charge for their time, you will save money in the long run.

Once you have completed your walk-through, categorize all components in the following manner:

• Building Components: Roofs, gutters, windows, siding and trim, water flow etc.
• Site Components: Pavement, concrete, area lighting, fences, entry monuments, etc.
• Landscaping Components: Time clocks, sprinkler heads, controllers, water features, etc.
• Recreational Components: Pool, spa, sauna, tennis courts, playground, exercise room, clubhouse, etc.

Develop a Maintenance Plan Create a guideline for maintenance for each component insisting that "professional" lasting repairs are to be completed. Avoid the "band-aid" mentality...it will cost you dearly and typically hurts the sense of community you have established. Use your current service providers to determine reasonable methods and costs.

Allocate the Funds The best maintenance plan in the world is useless if not properly funded. Since money comes from the operating budget it is critical to have the plan that justifies an increase in the operating budget. Build the budget around the maintenance program. Increase monthly assessments as opposed to funding this project by additional assessments.

Follow-up on the Work Have the Maintenance Committee or property manager do monthly (at least quarterly) inspections and put the observations in writing for the file. The report can be used as a checklist for the maintenance or landscaping people doing corrective work, annually.

Build Service Continuity Establish long term relationships with reputable service providers for continuity. Check each vendor’s costs at budget time to confirm that the association is getting a competitive price, you may have to discuss with your vendor if charges seem out of line, chances are they will adjust their costs. If a preventive maintenance program is implemented, the Association can not only protect itself from unscheduled additional assessments, potential lawsuits, but will enhance the unit values as well. The purpose of preventive maintenance is to spend money now but also save a lot later.