The Strata Financials: Year End Financials

While this list is by no means exhaustive, some things to keep an eye out for when reviewing a strata’s year end financials includes:

• How the strata has ended the past two fiscal years.

  • Significant deficits may be a result of the strata not budgeting properly, which could result in significant future strata fee increases.

• Make sure the strata is paying off its past year deficit properly.

  • Strata corporations are required to pay off any previous fiscal year deficit in the current fiscal year. If the strata had a deficit in its last fiscal year, you should typically see:

    • A budget line item showing the strata’s previous year deficit in the current fiscal year budget, or

    • A contingency reserve fund (CRF) or special levy resolution, approving funds to pay off the previous year deficit.

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