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July 2017

Ask the Administrator: Reserve Fund

In the last AGM, we discussed the reserve fund.  Due different extra expenditures in recent years, the amount of this Fund is much lower than in other years.  But most neighbors don’t want to make an impact or a greater contribution to this Fund, leaving it to be at the minimum.  I am concerned that in the future given an urgency and by not having a background in conditions we have to make a large payment,  what can we do?

Julieta H.

Administrator:  Juan López

The law expressly establishes that the reserve fund must be equipped with an amount that in no case may be less than five per cent of its last regular budget.  So at least that minimum must be met.  Good management involves proposing a budget tight but realistic.  Bloat the budget without justification can reveal that there will not be a rigorous work of control of expenditure.  But adjust fees to a minimum, never should be ignoring the law, by what once included items of expenditure of the community, the reserve fund cannot be underestimated.   Now that you know the answer, we recommend that either expose at the Assembly in approval of the budget.  We must analyze all items, to rule out if your community can reduce the amount of some of which correspond to maintenance.  If the reserve fund is not quoted by same or higher percentage than the stipulated in the law , you will need to appeal the agreement at the courts so it is declared as null and consequently, the fund is granted at least with the minimum legal figure

Ask the Administartor: Partisan Administrator

Good afternoon. I live in a community of owners of the coast of Orihuela and we have an administrator who fails regularly in his duties, acting discriminatory in favour of some neighbours and against others.  In various meetings I have proposed to remove him, but my proposals have never prospered.  In this situation I would like to know if I am obligated to pay their fees or I can avoid paying them not to be a compulsory service.

Frida H.

Administrator:  Juan López

Good afternoon. From our point of view, and as a result of the information that you provide, we consider that your proposals are right since the person listed as an administrator has to comply faithfully with their obligations and make it completely impartially.  Thus, we believe that the best way to solve the problem would be by removing the administrator.  For that you need to get a majority in the Board of which you do not have.


As for the obligation to pay their fees, we must inform you that what you pay is a share of current expenditures, corresponding to apply its coefficient of participation to an annual budget approved by a majority of the Board of the community.  You do not pay, in particular, to the administrator, and therefore we regret to tell you that you can not deduct the part corresponding to the service provided by this. They are common costs which must necessarily respond (failure to do so could have one bigger problem).


At this point, and to the difficulties raised, we recommend bringing to the Board more details (partiality and breach of obligations) for, to try to remove him and also mark a line of action to have some results by the end of the year.

Ask the Administrator: I am in the Board of Presidents

Good morning.   I am writing because I am currently part of the Board of Presidents of my community of owners  ( in  Murcia), boasting the vocal position, and more than 3 years we have not had any meeting.  We do not know the status of the accounts and other existing different needs.  I tried to convene meetings but I have never obtained any response, so I want to know how long I am obliged to stay in my position since I’m considering to resign because I’m tired of the situation of inactivity and neglect that we are living.

 Hans  V.

Administrator:  Agustín Pascual de Riquelme

Good morning. We understand your frustation.  Firstly, your charges are annual but let us take us the confidence to transmit that we do not believe that the appropriate solution is to abandon it, since in that case the situation of the community (do not forget that it is the place where you live) will get worse since they will continue being in the hands of a Board that does not assume its functions or do not give them solutions to their problems and not move them information.

Therefore, we recommend you to required the President to convene the Board of proprietors through burofax (it is his obligation and he can have responsibility in the case of failure to do so) and, once convened, treat all problems you are arising.  Finally, if you decide to continue with the option which we propose you, with that do not arise to the Board as a member responsible shall terminate automatically, since the charges are annual and new elections must be called.