How industry trends are elevating capital planning
By: Matt Kuisle, Southeast Regional Executive Director, Reserve Advisors
Phone: 800 / 980-9881 Email: matt @ reserveadvisors. com
Much like business leaders, HOA boards manage financial resources and make strategic decisions that both preserve and enhance the community ' s value. With personal budgets wearing thin, every decision is under greater scrutiny, from increases in dues to the timing of capital projects. While temporarily limiting assessment increases or delaying projects may seem like a low-risk way to support residents in the short term, the potential consequences can be far more significant. As a matter of fact, underfunding reserves or deferred maintenance often signals increased risk to insurance providers and mortgage lenders. Industry Trends are Elevating Reserve Planning Following the Surfside tragedy, the reserve study landscape has rapidly evolved. From legislation to insurance and lending, the impact is far-reaching. The following states, for example, have passed legislation aimed at ensuring structural and resident safety.
1. Florida – Now requires reserve studies for buildings with three or more residential stories. These communities are also required to fund reserves at the level outlined in the reserve study, and older buildings must conduct periodic structural inspections.
2. Maryland – Signed into law in 2022, all condominiums, cooperatives, and certain homeowners associations are required to conduct periodic reserve studies. These associations are also required to fund reserves at the level outlined in the reserve study.
36 community • June 2026 WWW. CAIWESTFlORIDA. ORg