RESERVE STUDY VS.
BUILDING CONDITION ASSESSMENT
Which One Do I Need & When Do I Need It?
By Christian Colunga, RS and Nathan Seney, RA R
ecent events and subsequent changes over the last two years are forcing association members, boards, managers, and vendors
to take a closer look at their positions within the community association arena. Life-safety, liability implications, and fiduciary duties are talking points on a daily basis for us as condition assessment and reserve study professionals. Together, we hope to provide insight into the differences between our professions, why they work so well in-tandem, and how you can maximize the benefits of these expertise fields.
Reserve Study Background and Process
A reserve study is a budget and disclosure tool, supplementing operating and maintenance budgets for the large expenses that do not occur each year, per CAI National Reserve Study Standards. The requirements for a reserve study are established in Title 64 of The Revised Code of Washington, Reserve Studies are to be updated each year and a site inspection completed every 3 years. A disclosure to the ownership body is required each year. The site inspection is based on visual observation. The skills and background of a Reserve Specialist (RS) vary, but
12 Community Associations Journal | November–December 2022
the standard for earning the RS credential is structured by CAI and involves a lengthy review process and experience requirements. An RS relies heavily on communication with board members, management representatives and vendors. Vendors are especially important when community projects are in-process or forthcoming in the immediate future. Many RS have compiled decades of data specific to the region(s) they serve and combine that information with industry standards and expectancies. In addition, multiple providers now offer state-of-the-art technology to their clients, so they can easily model the needs of their community as conditions change.
The reserve study report will include a physical analysis, description of the conditions of the reviewed components and a financial analysis which assesses the repair and replacement costs for items beyond annual maintenance costs. The financial analysis also compares the current balance of the reserve fund and the annual contributions from owners to the anticipated needs of the community and advises if current contributions will meet them.
Building Condition Assessment Background and Process
A Building Condition Assessment (BCA) is an in-depth review of building components typically managed by a registered architect (RA) or professional engineer (PE), licensed by the state through documented experience and
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34
