Wednesday, July 07, 2021

Climate change could cost condos billions--and they aren't ready for it.

 https://www.washingtonpost.com/outlook/surfside-condo-climate-change-cost/2021/07/01/b6699a98-da76-11eb-9bbb-37c30dcf9363_story.html

This is the piece by me that has attracted quite a bit of attention. It's great that the news media are covering the issue of condo associations and the challenges they face with property maintenance, but it's awful that it took this tragedy to make that happen. I hope state and federal legislators enact laws that put in place the right kind of oversight. I will writing more about that but it would include:

1. Making developers establish large reserve funds and set assessments at the proper level, as determined by independent experts on reserve requirements.

2. Mandatory reserve studies and updates every three years.

3. Publishing reserve studies on a government web site

4. Publishing on government and industry web sites of a rating -- what percent funded is the association's reserve account, when compared with the reserve study.

5. Free training for all association members, directors, and officers--at public expense.

This is a start. There is more that I will talk about later.

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