Financial Mangement
Operational Management
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Service Description |
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Select a service on the left to learn what all East Coast has to offer.
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Computer Systems |
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East Coast Management utilizes a personal computer
network for its financial and administrative systems.
Our file server features a next generation Pentium
based processor and storage capabilities that should
serve our needs well into the 21st century. Our
Accounts Receivable, Financial Statement and
Database Management programs were developed
specifically for our needs by a principle of the company
and by outside contractors. Your Associations data is
easily available by remote access with the use of a
standard modem, if the Board desires. Data backup and
safeguarding are important issues that have been appropriately considered.
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Accounts Payable |
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All invoices are reviewed for accuracy by the Property Manager and
the Accounts Payable Manager. Individual files are maintained for major vendors. This
reduces the possibility of duplicate or incorrect payments and facilitates research for the
budget process. Files are purged annually and boxed for the Association's auditors. File
boxes are maintained at our office for at least one year and then sent to the site office or
to storage. All payables checks are manually signed by two EAST
COAST MANAGEMENT employees. We do not use signature stamps for any
reason. In addition, each client has its own separate bank accounts. We do
not co-mingle your funds with those of our other clients. |
Accounts Receivable |
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Assessments and other income are processed directly through our
office in Springfield. This ensures timely and accurate deposit of the Association's funds
into an interest bearing operating account. The proprietary software used in our accounts
receivable and data-base management procedures is as accurate, cost-effective, and
efficient as any in the industry. Payments are scanned or manually entered directly into
the appropriate owner account. Each check is then prepared for deposit in a local
financial institution. Daily batch deposit reports are checked with standard adding
machine tape. We do not use bank lockboxes because of the cost to our clients and
the continual errors and delays we experienced with two different financial institutions. |
Delinquency Monitoring |
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Computer generated delinquency letters are mailed within 24
hours of the end of the grace period. Additional reminder and warning letters are
prepared in accordance with the collections policy of the Association. Typically, a
second notice is sent near the end of the month and the account is turned over to the
Association's attorney after it is 45 days past due. There is no additional charge
for our involvement in collection efforts by the Association's attorney. If
appropriate, we will provide suggestions to the Board of Directors regarding alternative
collection methods.
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Financial Statements |
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Comprehensive, customized financial statements will be
submitted to the Board within the first 10 days of each accounting period, or as otherwise
agreed. Our financial statements provide total up to date financial information including;
a profit & loss statement, schedules of income and expenses, a cash and investment
schedule, a balance sheet, monthly and year-to-date actual-versus-budget comparisons,
and a reserve schedule. If no reserve schedule exists, EAST COAST MANAGEMENT can
assist the Board in preparing one. Sample financial statements are attached for your
review. |
Reserve Analysis |
It has been our experience that, while useful, professional engineering
studies often overlook important and expensive property
components. They also often use standard industry costs and inflation adjustment factors
to determine appropriate funding levels. These procedures overstate the funding requirements,
often significantly. Our clients have found our studies, which are updated annually as part
of the budget process, to be realistic and adequate. Our analysis includes current reserve funding
levels, a property inspection and inventory, and useful life projections and analysis. Our
analysis will include a review of existing engineering data, if available.
No EAST COAST client has ever required a special
assessment or a fee increase to cover reserve fund deficiencies. To the contrary,
several of our clients have funded unexpected repairs or discretionary expenditures with
budget surpluses. As a result of our budgeting expertise and financial management, Windgate not
only went 6 years without a fee increase, but has replaced all 225 roofs, financed an unexpected
$105,000 foundation repair, and repaved and repainted the entire community. Little
River Square replaced all their roofs, repainted, made major pool repairs, renovated their
hallways, made major landscaping improvements and replaced every window in the
community with one 50/0 increase in 8 years.
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Reserve Fund Management |
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We will reconcile all investment statements and assist the
Board of Directors in identifying appropriate investments for the Association. Typically,
investment options are limited to Certificates of Deposit, Treasury Securities and Money
Market funds. We recommend our clients use the services of a broker to simplify
investment decisions and accounting.
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Database Management |
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We will maintain at our offices a computerized database
including: the present owner or tenant, mailing addresses for absentee owners, fee
payment history, telephone numbers and unit type. We have the capability to generate
computerized mailing lists, labels, account payment histories and any number of
customized reports on an as needed basis. We have developed procedures that, with the
Board's approval, can result in better information regarding all community residents. The
database is available either on-line, or by diskette for authorized Association personnel.
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Resident Communications |
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We have the capability to assist the Board or committees in
the development of materials and the implementation of programs designed to enhance
overall communications. This includes web sites, welcome packages, resident handbooks
and an attractive and informative newsletter.
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Record Keeping |
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We will arrange for the secure and efficient maintenance of
Association records, including computer backup tapes at our office and on site, as
appropriate.
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Management Transition |
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The transition period includes the transfer of Association
funds and records, the establishment of property service mechanisms, and financial and
physical plant reviews. The employees of EAST COAST MANAGEMENT have participated
in over 50 successful management transitions over the past ten years.
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Reporting |
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The Property Manager will make a written and verbal report for up to 12
Board of Directors meetings and will attend the annual meeting of the membership. The
Management Report will be in a format agreeable to the Board of Directors and will be
delivered at least 3 days prior to each regularly scheduled meeting. Our reports include
status reports on contracts, financial matters, delinquencies and collections, and all other
pertinent Association material. A sample management report without attachments has
been included for the Board's review.
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Attend Meetings |
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The Property Manager will attend Board of Directors meetings, budget
preparation sessions, committee meetings and special meetings as mutually agreed upon.
We do not charge for meetings that exceed a specified time limit.
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Contracting Procedures |
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Specifications for competitively bid contracts will be
developed and presented to the Board in a timely manner. After the Board approves the
specifications, a minimum of three proposals will be obtained. Conforming proposals are
provided for the Board's review as attachments to the monthly management report. More
complicated programs are also summarized in paragraph or table form in the same report.
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Contract Management |
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The performance of all contractors and vendors is reviewed on
an on-going basis. Supervision of all contractors is essential to ensure quality
workmanship, prompt delivery, and specification compliance. We pride ourselves on the
quality and cost-effectiveness of the professional service companies, suppliers and
vendors that will be solicited on the Association's behalf. We constantly update our list
of approved vendors to obtain the best price and service for our clients.
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Resource Conservation |
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Utilities traditionally consume a large portion of the operating
budget. Consumption and billing problems could cost the Association thousands of
dollars per year. We will monitor utility consumption and make recommendations to the
Board regarding savings programs that may be considered.
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Initial Property Survey |
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An initial detailed evaluation of all aspects of the property will
be conducted at the end of the transition period. The components of the survey include
concrete, paving, painting, landscaping, mechanical systems, roofs, drainage systems,
recreational facilities and covenants violations. Management will issue a written report
of findings for the Board of Directors to consider and utilize. A sample site inspection is
included.
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Inspections |
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It is impossible to effectively manage a community without taking an active
and visible role. In order to accomplish this, your property manager will make
substantial visits to your property at least once per week.
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Covenant Enforcement |
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Please contact us to discuss this matter further.
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Curb Appeal |
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The appearance of your community is vital to the maintenance and
enhancement of property values and the overall feeling owners and residents have about
where they live. We will provide continual input to the Board in the design and
implementation of landscape improvement and maintenance programs.
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