The RDA Reserve Management Software(TM) is not a spreadsheet, but rather a fully-integrated management, computational and projection tool. Unlike spreadsheet programs, RDA software allows for greater detail of all major assets and more accurate future projections, without limiting itself to a twenty or thirty-year window. RDA software allows for computation of compounded interest and periodic percentage increases in reserve contributions consistent with or independent of inflationary trends. And RDA software allows the client to become fully-funded while keeping the required monthly contributions as low as possible, and either decreases or eliminates the need for “special assessments. “In addition, your RDA report will serve a variety of useful purposes:
1. Following the recommendations of a reserve study can protect a Board of Directors from personal liability concerning reserve components and reserve funding.
2. A reserve analysis study for a common interest development will be required by your accountant during the preparation of the annual review or audit.
3. A reserve study is often requested by lending institutions during the process of loan applications, both for a common interest development and, in many cases, the individual owners.
4. Your RDA report is also a detailed inventory of all of your major assets and serves as a management tool for scheduling, coordinating and planning future repairs and replacements.
5. Since the RDA reserve analysis study includes precise measurements and cost estimates of the client’s assets, the detail reports may be used to evaluate the accuracy and price of contractor bids when assets are due to be repaired or replaced.
6. In a common interest development, a properly performed reserve analysis study can be a tool which will assist the Board in fulfilling their legal and fiduciary obligations for maintaining the community in a state of good repair.