Quote:
Originally Posted by Altavia
Framing this as a HUGE 400% increase is highly deceptive.
If the increase is $5/mo a rooftop, that is more like a 2.6% adjustment to the Amenity fee.
In the real world, a manager would be expected to find something else to reduce to absorb charges for a critical resource.
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I guess that depends on how you look at it.
$5/month is 10% of my maintenance fee. So either I accept a 10% increase or the CDD has to find a way to trim 10% of their budget for this additional cost.
10% of the budget doesn't sound too bad until you consider fixed costs. For my CDD, 67% of the budget is obligated for PWAC. This number seems to be non-negotiable. So the increase does not come out of the full budget, it comes out of the 33% that is left over. Another 10% of the budget goes to other fixed items such as salaries, legal fees, and management fees to the VCCDD.
All in all, this leaves about 25% of the yearly budget to cover an increase equivalent to 10% of the yearly budget. In other words, the $5/month per rooftop works out to be about 50% of the spending the CDD controls. Half of what gets done that is not accomplished through the PWAC will need to be cut to cover this increase. To me, that is quite significant.