PROPERTY MANAGEMENT
MSPM charges a nominal fee to transition all community files from the previous Management Company (see Attachment 'A' of proposed contract). MSPM ensures that all community files and records are transferred using an industry standard checklist. All homeowners and vendors will be notified of the change in the management agent so that bills and payments can be processed without interruption.
The Property Manager assigned to the account will attend the last meeting between the Board and the previous Management Company to provide a smooth transition and to get a thorough understanding of pending issues.
In order to guarantee that the transition occurs smoothly, MSPM will designate one of the corporate officers to be the Transition Coordinator for your property. This person will serve as a point of contact for the Board and the previous Management Company to ensure that all files and documents are transitioned properly. By having our corporate executives involved in the transition, you can be assured that the transition between management companies will be handled efficiently and effectively.
The transition process will include the establishment of a database of all homeowners' names, addresses and account balances. Homeowner files will be established so that a running history of all correspondence sent to or received from that homeowner can be kept on file. MSPM will issue a 'welcome letter' to all homeowners advising them of the change in management agent and how to reach us for assistance on any condominium transition matter. Included in this letter will be information concerning where future payments should be sent. MSPM will also notify all vendors of the change in management agent to ensure that bills continue to be paid in a timely manner.
MSPM will take all actions that the Board requests in order to complete the transition process with a minimal amount of disruption to the homeowners and the Board itself.
Your Property Manager is accessible throughout the day to address any situation which may arise in your community. When out of the office, each Property Manager carries a pager and has a cellular phone. For non-emergency situations, messages may be left with MSPM's receptionist or our after hours seven day a week answering service.
When your Property Manager cannot immediately respond, another Property Manager from Main Street Property Management Inc. will be available to address any emergency situations which arise.
Each Property Manager carries a pager during the day when they are out of the office so that they may be contacted if a situation arises that requires their immediate attention. Your Manager can respond, even when out of the office, via his cellular phone. Our controller and accounting staff are available during regular business hours through a direct line phone number to answer homeowner account inquiries.
A member of our staff will answer all calls during normal business hours and will assist the caller with their needs. In the event that further information is required, your property manager will be contacted and will respond directly to your inquiries. Office personnel and the answering service will have an information facts sheet about your community so that they can respond to basic questions. It is our company's policy that hopefully the first person who responds to your call can address routine matters that arise. Non routine or emergency calls are routed directly to the property manager.
In order to enhance customer service, the Board President or Board Liason will have the property manager's phone number. We recognize that you are volunteers and because your time is limited you should be able to reach us at your convenience.
As previously stated, MSPM offers 24-hour emergency service to respond to situations which arise during non-business hours. A Property Manager is on duty 24 hours a day, 7 days a week, 365 days a year to quickly and accurately resolve emergency situations. We will attempt to respond to all emergency calls within 10 minutes from when they are received.
Between 9:00 a.m. and 5:00 p.m., Monday through Friday, emergencies should be reported to MSPM by calling 240-632-0001. At all other times (non-business hours), you should still call the same number 240-632-0001. You may report a non-emergency situation to the answering service and the property manager will return your call the next business day. If it is an emergency situation (i.e. damage to individual units or common elements such as a water leak, burst pipe, plumbing back-ups, fire, or lack of water or electricity, etc.), the answering service operator for MSPM will immediately call your property manager. In order to receive a call back for an emergency situation, please remember to leave your name, address and phone number so that we can contact you, as needed. For homeowner complaints, parking problems or other non-emergency matters, please call MSPM at 240-632-0001 during normal business hours as stated above.
Your assigned Property Manager is responsible for the distribution of all relevant letters, correspondence and any other pertinent written communication from your community to contractors, County officials, homeowners, attorneys, and other involved parties. Your manager checks each piece of correspondence for accuracy of fact and content to avoid costly errors.
MSPM will make recommendations related to administrative practices and will assist the Board in adopting new procedures or guidelines if requested by the Board. This practice will include furnishing the Board with sample drafts of documents for Board review to assist in writing any new rules and regulations such as vehicle rules, architectural guidelines, and delinquency and/or lien procedures, etc. Your manager will advise the Board of any areas of concern, recommend and implement corrective measures, and provide objective analysis.
It is our company's position to encourage Boards to make the rules as positive as possible because not only are they written to change the behavior of the current resident but they are also intended to serve as a marketing device to prospective buyers. Incremental enforcement procedures should be part of the rule. The first violation notice should give 30 days to cure, and the second notice of violation should include Board hearing within 30 days, and if the matter is not corrected within 15 days, a Board hearing can be held. The Board hearing must be held in compliance with the Maryland Condominium Act. After the hearing, fines or other sanctions can be levied. For non-compliance cases and dispute resolution matters it is suggested that the Board utilize the services of the Montgomery County Commission of Common Ownership Communities.
To have successful enforcement procedures the Association should track and follow up with all violations, otherwise violators will not take the Board or Management seriously. Do not selectively enforce rules. Management, with the Boards approval, can publish a rule handbook, which perhaps should also be published in Spanish.
Each month, approximately 5-6 days in advance of your scheduled Board meeting, your Property Manager will deliver a detailed Management Report. This monthly report will provide a comprehensive listing of any ongoing and new issues affecting the community. Each issue will be explained in detail and all documentation relative to the issue will be provided along with a recommended course of action. A copy of the Management Report will be reviewed by each corporate officer prior to distribution.
During each Board meeting, the Property Manager will complete an Action Item List which is used to document and complete action items during the course of the month. It is our company's goal to complete all action items within seven days of the date of the meeting. Action Item List will be included in the next monthly management report.
Each management report will include an Agenda detailing the course of the meeting, topics and issues to be discussed and decided upon. Flexibility is allowed for each community as to the order of business to be covered. A sample copy/outline of MSPM's management report is included in our proposed contract.
Also included will be copies of Inspection Reports completed since the last Board meeting. Each Inspection Report will indicate any maintenance items noted, the action taken by the Property Manager, or action the Board needs to decide upon. The Inspection Report also notes violations of the governing documents and outlines all action taken by the Manager to correct such violations. This report helps ensure the proper upkeep and 'curb appeal' of your community.
If requested, the property manager will maintain a parking vehicle log to identify those vehicles that have been stickered and/or towed from the community. The Vehicle Tow Log confirms a formalized procedure for towing in case of a challenge by a homeowner or the courts.
Included with the monthly Management Report will be copies of the previous month's Financial Statements. Main Street Property Management, Inc. prepares all financial reports on a cash basis of accounting. It is our belief that this method of accounting gives the association the most accurate financial position on a particular date and time. The reports you will receive are Balance Sheet, Budget Comparison Report, Income Statement, Expense Register, Budget Detail Report, Delinquency Report, Owner Detail Report, Owner Directory, and General Ledger. Optional reports which can be provided upon request include Cash Flow Analysis, Income Register, Journal Entry Report, and Reserve Account by Component. Your Manager will explain variations in month-to-date and year-to-date budget line items. This explanation provides greater comprehension to each Board member in that all budgeted line item expenses are fully explained and any variation for such is justified. The Financial Statements are further detailed in the Financial Services portion of this proposal.
MSPM will furnish the Board with copies of CAI Quorum, and any federal/state/local government publications and tax and/or legal rulings known to us that may potentially impact the community. This information is provided as it becomes available.
Main Street Management Property, Inc. will perform an Annual Inspection Review of your community to be conducted at a mutually convenient time for the Board or an inspection committee. The Property Manager, on site personnel, if applicable, and Board members will do a thorough physical inspection of the property and provide a report to the remainder of the Board and/or committees. The report will identify any maintenance requirements that may be needed or capital improvement projects that should be considered. This information will supplement the Association's Reserve Study which should be updated every three to five years. This Reserve Study is one of the most important documents to the association. It assists in current year budget preparation (short-term repairs) as well as defining a timetable and funding needs for long-term capital replacements. The reserve study should be made available to every member of the association. In addition, the Manager will review the financial status of the Association. While the manager will not be an engineer, we will make recommendations regarding the property infrastructure. If so desired, these recommendations can be reviewed by contractors, on site personnel or the author of the reserve study before implementation. The Manager of the property is responsible for preparing a formal written report to the Board of Directors with recommended alternative courses of action. This report will coincide with the budget/reserve analysis review so that items cited can be budgeted for in the next fiscal year.
The objective of inspections with the Board, Property Manager and on site personnel, if applicable, ensures that all parties are working together to maintain the community's physical assets. It is also an effective tool to prioritize the use of budgeted funds for maintenance, repair and improvement projects.
In addition, if so requested, each Property Manager can provide to the Board President, a Year In Review report which highlights the Board's accomplishments during the past year. This report will be provided to the Board President prior to the Annual Meeting for presentation to the community.
In conjunction with the Year in Review report, your Property Manager can also provide the Board with a Year in Advance report. The intention of this report is to outline the Board's goals and objectives for improving the physical and/or financial status of the community. This report is also presented at the Annual Meeting in order to educate the homeowners regarding how their assessments will be put to use during the current and future operating years.
Your manager is responsible for obtaining bids for all contract services, maintenance items and improvement projects which cost more than $1,000. Our Property Managers will prepare detailed specifications for Board review. At least three bids are solicited for each contract and no contract is let until the final bids have been reviewed and approved by the Board of Directors. Your manager will negotiate these contracts on behalf of the community so as to gain the most service for the best possible price. Upon award, each contractor will be required to provide a Certificate of Insurance prior to work commencing on the property.
After the contract is awarded the Manager is responsible for ensuring that work is completed to the specifications and will make sure that quality work is performed. Final payments for contracted services will not be issued without Board approval.
Our office has resources to develop bid specifications for all required work within the community. We utilize the services of Community Association Institute (CAI), Institute of Real Estate Management (IREM) and any other professional society or organization that can serve as a resource for residential property management. We keep abreast of all local, state, and federal laws and programs that may affect the management of your association.
Our proposed contract will require the property manager to attend a specified number of meetings a year, including the Annual Meeting. We are available to attend other meetings but they will be reimbursed at a fee outside of the management contract (see Attachment 'A' of proposed contract). For details of meeting assistance see management report narrative above.
The Manager will assist the Board to prepare for the Annual Meeting. The Manager will assist the Board to conduct the Annual Meeting in accordance with all requirements of the Association's Bylaws and any applicable State laws. This assistance will include, if necessary, handling the preparation and mailing of the First and Second Notices of Annual Meeting/Call for Candidates; collecting and maintaining all proxy/ballots for voting and quorum purposes; providing an updated delinquent homeowner listing; and assisiting in the selection of the Election Committee.
A complete unit owner history is maintained for each homeowner which contains copies of all correspondence sent to or received from that individual. These files enable the Association to access information regarding a particular unit owner quickly and accurately.
MSPM will maintain a detailed and comprehensive set of financial records and office files on behalf of the community. All administrative documents are filed according to subject matter utilizing a uniform filing system for all communities.
All files are the property of the community and are available for inspection by any homeowner as permissible by law, provided the inspection occurs during normal business hours. Members of the Board of Directors may inspect these files at their convenience, provided there are no requests for weekend inspections.
It will management's responsibility to update/review the community's insurance policy(s) on an annual basis and make the necessary monthly/quarterly/annual payments as instructed by the Board of Directors to include the review of competitive rates in the insurance industry on an as-needed basis.
As part of our management fee, MSPM can provide administrative support to establish and maintain an architectural and exterior management database of the community. This database can keep track of unit owner violations or maintainence issues which are identified on inspections by the property manager, property manager and Board, and/or committee. Management will follow the violation enforcement procedures of the community. (Refer to the suggestions for rule enforcement stated above). Violation letters will be prepared and mailed following inspections. Follow-up letters will then be prepared based on a schedule set by the community. All correspondence to and from homeowners will be tracked in the database and will be available in case legal action is required. In sum, using these procedures, MSPM can work with the community to ensure that the curb appeal and property values of the homes are maintained, and that rules are enforced consistently.
