Management Minutes, 6-01-2026

Management Meeting, June 1, 2026
In attendance: Michael, Cheryl, Ben, Kerry

Prepare for Fannie Mae’s “full review” requirement, effective August 2026. Do we have everything we need?

-    Links regarding upcoming requirements from Fannie Mae: 
o    https://singlefamily.fanniemae.com/media/44986/display
o    https://selling-guide.fanniemae.com/sel/b4-2.2-02/full-review-process 
o    https://stephsbooks.com/news/fannie-freddie-condo-financial-review-rules-2026 
-    Per Cheryl: last reserve analysis was 2023, which told us the recommended allowance per month, which we are currently slightly under that amount; we should plan to continue to follow the reserve analysis and increase contribution for next year’s budget (next one is due in 2029)
-    Some say that new reserve analyses should be commissioned proactively due to changes from Fannie Mae
-    Ben states that because we have been keeping up to date in between reserve analyses every six years and updated every three, this seems unnecessary
-    Kerry suggests that we ask the ombudsman office about the needs
-    Cheryl feels that our most recent reserve analysis was not as thorough or thoughtful as our informal/internal discussion of reserve expenses afterward
-    Ben feels that some of the expenses in the reserve analyses are overkill or unnecessary for our particular community (such as CH kitchen renovation)
-    Cheryl expects that the next reserve analysis could be more collaborative and informed due to active maintenance
-    Ben states that documentation will be crucial in this, and that overall we are on top of the most important stuff maintenance-wise and landscape-wise, as well as contributing to the reserves
-    “Limited Review” by Fannie Mae is no longer permitted to approve condominium unit purchases, meaning that documentation packages will be more burdensome and review more thorough
-    Financial statements will be required from prior two years (Ben recommends that quarterly or even annual should be sufficient); we have EOY 2025 statements
-    “Recent” reserve studies are required, but that word isn’t defined; legal requirement is every six years, with a review/update halfway through, meaning we are due for a review
-    Fannie Mae website states that a study or update must be within three years and (unclear on this) done by a third party 
-    Fidelity Bonds may be required, which insure against theft or embezzlement by board members
-    According to Fannie Mae, reserve analyses must “meet or exceed” state statutes 
-    “Structural integrity reports” are included on the list, and it isn’t clear what this means, but we have had a few things that could foot that bill recently (unit 19 foundation study, CH beam structural analysis, unit 1/2 repairs)
-    Plan is for this to be the topic of an ACM in July, presented by Cheryl, with the overall theme being to build up rationale that from a management and maintenance standpoint our requirements are going to dramatically increase
o    As a result, we need “all hands on deck(s)” to keep up
-    One of the upshots is that cohousing tends to be perceived as interesting or unusual, which from an insurance and lender perspective may be detrimental
-    Due to this, Cheryl recommends that in conversations with lenders or insurers, we introduce ourselves as “We are an HOA [with a cohousing culture]” with the second part stated only if directly asked; will discuss this at ACM in July