Financial Transparency?

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On February 23, 2026, the president of the board recited some information on a slide show, trying to differentiate myths and facts at Villages North.  While everyone is entitled to their perspective, we'd like to point out some of the realities going on.  What we found is that most of the material presented was, at best, a half-truth.

There is grand financial transparency?  The reader presented a lot of information without confirmation, but to dig deeper, here we go:

A CPA's "Compilation" report is not at all transparent.  Within the scope of CPA work, the compilation is the least rigorous type of independent analysis.  To the extent that the CPA's own cover letter states the following:

"We do not express an opinion, a conclusion, nor provide any assurance on these
financial statements," and "We did not audit or review the financial statements nor were we required to perform any procedures to verify the accuracy or completeness of the
information provided by management."  

That's transparent?  Not only does this not even meet the requirements of Villages North's own Audit Policy, which was created at the request of our lender (does anyone remember we owe a bank $1.5 million?).  Failing to meet the bank's requirements is an event of default.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

So much for accuracy in reporting and completeness, a report that doesn't even meet our own standards, let alone someone else.

 

Even in the most recent Board meeting, they were unable to verify or approve the financial statements for this past January.  We're almost to March and they haven't flushed out any changes that were required.  This prompts the following questions:

• What were the problems?
• Why did no one want to discuss them in an open meeting?
• Is something being hidden?
• Why does no one want to summarize how we perform from time to time.

 

 Anyone remember reading monthly, easy-to-read financial summaries, like this?

 

Given that the recent roofing contract has the potential to drain our reserve fund to less than $1 million, don't you think more information is better than less?

 

Bill and Sara both do!