Budget Amendments Must Follow Specific Process

Q: Can a condominium association change the budget mid-year without a board vote or notice to owners? (S.S., via e-mail)

A: It depends on what you mean by “change the budget,” as that phrase can encompass different things. For example, an association may have budgeted a projected amount for insurance premiums, only to learn that the actual premiums will be higher than the amount projected when the budget was prepared and adopted. But the association may also find that an expense that was budgeted for can be addressed for less than projected and move that money to pay the increased insurance cost. While that may technically be a “change in the budget,” this is common and would not require the adoption of an amended budget.