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Effective Recommendations Start-date

Depreciation reports include recommended changes to the amount and/or magnitude of regular and special contributions to the reserve fund of a strata corporation.

The effective recommendations start-date exists because the strata corporation will vote on changes at the next AGM, and implement these changes as of the beginning of the first day of the fiscal-year that follows the current fiscal-year, regardless of when the vote took place.

This effective date typically coincides with the second column in the thirty year projection common to all scenarios.

It is important to note that the ‘effective date’ used by appraisers in their appraisals usually refers to the date of their visit to a property – their version has little to no place in reserve fund planning.

About Author: Jean-François

With experience gained in construction, project management, field reviews, inspections, report writing and as strata president, J.-F. has cross-industry expertise guaranteeing that you will participate in a process geared to improving the corporation's finances and to setting the condo | strata board | council's planning to stand the test-of-time.