When are assessments typically reviewed and approved?

Assessments are typically reviewed and approved at the annual meeting because this is a key time set aside for the board to discuss the financial plans and operational budget for the upcoming year. During this meeting, homeowners have the opportunity to participate in discussions and vote on important matters, including the assessments that will determine the financial obligations for the community.

Annual meetings are crucial for ensuring transparency and community involvement, allowing members to understand how their contributions will be allocated for maintenance, improvements, and other needs of the association. This annual review process helps ensure that the assessments reflect the current financial situation and future needs of the community while also complying with any regulations or requirements set forth in the governing documents of the association.

In contrast, while monthly board meetings can address ongoing financial matters, they typically do not include a comprehensive review of assessments. Assessments do not typically require a review every five years, as financial needs can change annually. Significant changes might prompt a review, but such adjustments would still likely be addressed at the annual meeting for approval.