Disclosure Packets for Unit Sales

Frequently Asked Questions

Emergency Services - Call the regular American Management Services, Inc. phone number, 408-225-7380. The operator will ask you if your call is of an emergency nature and will ask you for appropriate information regarding the status of the emergency. Otherwise, your after hours call will be forwarded to the manager on the next business day. 

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The Management Model

American Management Services, Inc. has a proprietary database system that was created specifically for the community association industry. Our database tracks all information, owner contacts, work orders, violation letters, etc. The database is available within our computer network to all employees.

American Management Services, Inc. has reduced their corporate client paper files and documents to an electronic format. Client files are backed up to a redundant system for protection of the client data files. When we transfer files out, we provide the client with a Flash Drive that contains documents filed in our proprietary functional files system and not archive box after archive box full of paper files.

What kind of Management Reports provided?

Written reports and complete financial reports are presented at the Board of Directors Meetings at each meeting and are created through the use of our proprietary software and are included in the board packet that each director receives.

Board Packets

We like to think that our Board Packets are the best produced in the business. We take the time to organize them well so that they make sense, now and later when a director may have to make reference to the packet for a decision that he may have made. Simply stated: The packet is organized to the Agenda, which acts as an index for the documents that follow. All documents included in the packet are reproduced, numbered and "tagged" to the agenda. The idea is that each resolution is represented by a paper document in the packet. A detailed Board Packet is provided because we believe that in order for directors to fulfill their obligations and duties to the Association Members, they require detailed information. The more you know, the better your decisions will be.

Most of our directors like to have hard copy board packets, which are bound and we provide those according to their desires. For those directors who would rather have an electronic version of the Board packet, the entire packet is available in "PDF" (Portable Document Format) on request, and provided via email.

The packets include the following standard information in this basic order:

Use of Individual Unit Files to manage each lot

An electronic unit file for each lot is maintained and all documents pertaining to that unit file are located there electronically.

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Association Banking

A separate account is maintained for each fund balance by association, e.g., Operating, Reserve and Defect Proceeds. Trust accounts and commingling of funds is not a part of our company profile for cash management.

Assessment Billing

We believe that homeowners should be able to pay their assessments on time. We therefore offer them the opportunity to remit payment either by EFT (ACH) directly from their personal accounts or pay through the use of coupons. Statements of account are provided at a minimum of once annually or the time when a reminder letter has been sent to the homeowner.  Homeowners also have the opportunity to remit their assessments throught the use of their credit cards.

Processing Accounts Payable

We generally recommend only one director's signature for the Operating or day to day expenses, unless the expense has to do with a reserve component, in which case, the California Civil Code requires two signatures. Those checks will be accompanied by a manager approved invoice.

Delinquency Collection Process

Assuming that the Association has properly adopted a new policy with its budget on an Annual Basis, we recommend the inclusion of language that permits the Board, through Management, to forward outstanding accounts receivable actions to a professional collection service after we have gone through our in house effort of sending two reminder letters.

In addition to the monthly Accounts Receivable Reports provided in the Board packet with each periodic financial compilation, the Collection Agent will also provide a detailed accounting of their efforts to collect past due assessments, each month. These documents are automatically included in the Board Packet.

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Enforcement of Rules

Enforcement Actions

Letters are written by the manager in accordance with the policy established by the Board that ought to be communicated to the members annually. If such a policy has not been established American Management Services, Inc. will assist the Board in formulating one.

Hearing Procedures

This procedure is generally outlined in the policy for violations which the homeowner members receive with their budget annually. More specifically, the process needs to include statutory requirements for notice and due process. As well as language, which incorporates the requirements of both Individual and Alternative Dispute Resolution.

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Escrow and Sales 

Sales and Escrow Information

Transactions pertaining to the sale of an individual unit pertain only to that separate interest and not to the Association. Therefore, the owner is billed at the time title makes an inquiry of our firm.

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Budget and Audits/Review 

Pro Forma Operating Budget?

American Management Services, Inc. will prepare a Pro Forma Operating Budget for the Board of Directors on an annual basis with sufficient time for the Board to preview and make adjustments as necessary. The budget will include all necessary disclosures are required by the California Civil Code.

Audit and Review Preparation?

American Management Services, Inc., will provide the association records to the CPA firm engaged by the Board, so that the review or audit can be finalized and sent to homeowners within 120 days following the close of the fiscal year. This process also includes preparation of the corporate tax returns. American Management Services, Inc. will also prepare all of the 1099's for the Association's unincorporated vendors.

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Operating and Reserve Maintenance 

Bidding from Contractors for major work?

American Management Services, Inc., requires the following information from the selected contractor:

The Contractor's License Number and under which name is it assigned, a Certificate of general liability insurance with a minimum of $1,000,000 which names the Association as an additionally insured, a Certificate of Workers Compensation Insurance, which also names the Association as additionally insured, eligibility for bonding and well as a list of references.

For major construction, that is contracts which generally exceed $5,000 or more, management will send as many Requests for Proposals (RFP's) as required by the Board with a minimum of three bids for the board to conduct its due diligence.

Maintenance Work Order Process from homeowners

All service requests are immediately entered into the work order system, and sent to the vendor who would normally be assigned that the duty to repair. A consolidated summary of all maintenance work orders with the work's current status is submitted to the Board of Directors as part of the board packet, along with the actual MWO that was generated for the service.

In-House Maintenance Section

American Management Services, Inc., has a maintenance section primarily to provide cost effective maintenance for small jobs. Typically, our maintenance section is be able to respond quickly to most common area matters requiring attention such as lighting replacements, fence repairs, sign installations, graffiti removal and other miscellaneous jobs.

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