A Del Webb Community 2019 Budget Bridgewater A Del Webb Community 2019 Budget

Key Terms The Master- All residents are a part of the Master Association which encompasses the entire community Sub-Association- Smaller association within Bridgewater Committees- Groups comprised of volunteer homeowners to oversee Finance, Lifestyle, Grounds and Landscape, Community Concerns and Alterations Boards- Groups comprised of elected volunteer homeowners to make decisions for overall sub-association. Master Board- Board with final say on all decisions, currently declarant run. Will be comprised of homeowners in 2019 AAM- Management company hired to oversee all aspects of community Reserve Fund- itemized fund that is utilized for maintenance and replacement of items throughout community over and above operations Reserve Contribution- Amount of assessment set aside for maintenance and replacement of items throughout community Subsidy- Financial support provided by Pulte as a partial offset for costs associated with unsold homes.

Bridgewater Budget Process Finance Committee Members 2018 Forecast and 2019 Budget Proposal prepared by Finance Committee. Budget reviewed by AAM and Neighborhood Boards and Committees. 2019 Budget presented to Master Board by AAM. and changes requested to account for increased operating costs.

Historical Monthly HOA Fees Detached Condominiums Years 2012 2013 2014 2015 2016 2017 2018 2019 Monthly Fees $194 $209 $229 $254 $255 $255 $280 $290 *The Villas HOA Fee is $100.00 higher per month.

Bridgewater Major Expense Categories ($000) 2016 2017 2018(F) 2019(B) Water $407 $365 $364 $392 Landscaping $523 $580 $596 $686 Snow $67 $78 $227 $252 Irrigation $121 $144 $123 $130 Payroll/Admin $317 $329 $317 $329 Total Major Expense $1,435 $1,496 $1,627 $1,789 Assessment Revenue $1,441 $1,594 $1,879 $2,099 Landscaping: Includes landscape contract, tree service/repair, seed, mulch and exterminator costs. Irrigation: Includes irrigation contract and irrigation repairs.

2019 Bridgewater Assessment Fees $290 Per Month

Irrigation & Landscaping Assessments - 2019

Bridgewater Home Sales Total Sales Since Opening – 578/620 as of October 2018 Lots Sold Lots Available Sites 408 6 Towns/Manors 75 0 Parks 95 36 Total 578 42

Reserve Contribution Funding ($000) Master Sites Park Villas Manors Projected Balance 12/31/18: $1,097 $132 $13 $215 $5 Reserve Funding: 99% 110% 131% 82% 94% Projected Balance 12/31/19: $1,156 $142 $17 $248 $5 Reserve Funding: 87% 107% 123% 78% 60% Reserve Funding percentages based on the 2015 Reserve Study. Updated reserve study completed in early 2019. State Regulations require an accumulated minimum 10% of Operating Budget in Reserves. That total has currently been met and exceeded by the HOA.

Budget Overview Summary 2019 Budget – $10 increase in monthly dues Balanced budget and continue to be a self-sustaining community. Reserve Balances extremely healthy and exceed state requirements. Age of community will result in increased maintenance cost over time. Our various Neighborhood Boards and Committees continue to review and challenge Operating Expenses.

Any Questions for the Finance Committee?