At the January 21, 2010 Board of Directors meeting the Treasurer reported that operating results for 2009 were 1.5% below the budget plan.

The 2009 surplus combined with prior years operating surplus resulted in equity of over $50,000, which is about 3% of annual cash flow. Some of this surplus will be used to reduce 2010 assessments.

Contributions to reserves, as well as the amounts spent, were close to the projections of the 2009 Reserve Analysis.

The main asset replacements and refurbishments were the sport court, pool shade structures, Lucido Park playground equipment, office copier printer, front entry rebuild and ongoing renovation of slope plants.

In concluding the year, the Board recognized the management skills of Becky, her stadd and PCM in reasonably defining and then accomplishing the financial goals of 2009. This was greatly facilitated by the increased awareness and involvement of the Board, with input from HOA presidents, in budget development and carefully defining projects. The 2010 budget is based on the 2009 and prior years history, documented assumptions, most probable estimates, ongoing cost control focus and the detailed trade-off planning. Total expenses remain the same as 2009.

Reductions of income due to less interest, room rental and a smaller return of operating surplus required a 2% increase in the regular monthly assessment.

The 2010 reserve study resulted in a small contribution increase to insure meeting the long term threshold objective of about $500,000, which is invested in professionally selected CD's.

The financial position of CABH remains strong.