Maine Alliance for Road Associations
We have a Statutory Association with 80 payers assessed each year. We created a Contingency(Savings) fund a few years ago to plan and prepare for replacement/repair of 2 bridges that provide access to and out of the Pond. We just had our annual meeting and have voted to conduct a Watershed survey next spring. Wondering if is it OK to use the money from our contingency fund to help with the cost, build matching funds for any possible grants, and help with preparing for the exorbitant cost of bridge repair of replacement?
I am not an attorney and recommend you seek legal confirmation of what follows:
Subparagraph 4-A, §3101, allows a road association, "through its commissioner or board", to address "present and future repair of a private road, way or bridge as authorized by the owners...". The phrase, "future repair", is the key here. I believe this permits you, with majority owner approval at a duly called road association meeting, to fund the survey and raise substantial contingency funds for the purposes you state.
I would think it would depend on exactly how your contingency fund was described when it was set up. What did its stated purpose include? If you don't have something in writing defining it, perhaps the answer is to have the members vote on whether that is an appropriate use of the funds.
The Maine Alliance for Road Associations