One of the earliest advocates of preventive maintenance was Ben Franklin. He wisely wrote: "A little neglect may breed mischief...for want of a nail, the shoe was lost; for want of a shoe the horse was lost..." Old Ben nailed what happens when seemingly minor things are overlooked. Little things have major impact on the assets of a homeowner association.

For example, a small lack of flashing can lead to major dryrot structural problems and dollars. Ka-CHING! Preventive maintenance is critical to managing an HOA’s assets. When executed properly, it extends the useful life of buildings, grounds and equipment. S-t-r-e-t-c-h-i-n-g out asset useful lives means s-t-r-e-t-c-h-i-n-g member dollars. And it substantially reduces downtime from component failures and equipment malfunctions.

Preventive maintenance involves fixing something before it breaks. Here are five objectives for a every preventive maintenance program:

1. To perform maintenance that keeps the property safe and functioning.
2. To promote the most effective and efficient use of resources.
3. To provide an accurate way of estimating the human resources needed for proper operation and maintenance.
4. To determine funding requirements and long-range planning projections.
5. To provide a way to evaluate the maintenance effort.

Preventive maintenance programs are common with elevators, HVAC and pool equipment, usually because there is a service contract. Other components, like paving, roofing, decks and paint require monitoring, money and planning must be done thoughtfully.

Functional obsolescence is also a legitimate concern. Lack of parts, improvements in energy efficiency, computerization and changes in fire and building code may make expensive equipment obsolete even though it’s working just as designed. This is particularly applicable to elevators, boilers, pumps and HVAC. Buying new equipment is often a great investment in reduced operating costs.

For example, by replacing all common area lighting with compact fluorescent bulbs, the light level will be significantly increased, the energy consumption reduced by 70% and the useful life of each bulb extended by 10-15 times thereby saving an enormous amount of labor costs. Rather than waiting for each incandescent bulb to burn out, it makes enormous sense to replace them all...today. Within 12-18 months, the cost will be recouped in energy savings and then, it’s money in the bank.

So, what is the best way to address major preventive maintenance? Two words: Reserve Study. A Reserve Study identifies all the significant components that the HOA is responsible to maintain, assesses current condition, cost of repair and replacement and charts a 30 year maintenance plan to keep the components in their best condition.

The Reserve Study includes interval maintenance so components survive to a ripe old age. Take paving (please!). If cracks, minor repairs and sealcoating are performed every five years at about 10¢/square foot, the pavement will not require a major overlay (about $1 per square foot) for 30 years. If this relatively inexpensive preventive maintenance is not done, the overlay will be required much sooner and the repairs to failed asphalt will be significant and costly. In other words, pay a little to save a lot.

A Reserve Study will also guide the Board how to systematically accumulate funds without special assessments. A proper funding plan will have all owners contribute over the time line. No one will get a better deal than anyone else and the money will be there when needed. The Reserve Study is absolutely the best way to prepare for a future which will certainly come to pass.Remember Ben’s nail analogy. Little things have a way of causing great things to happen. But rather than fail in the little things, plan for them and hit this nail right on the head. For more on Reserve Planning and Preventive Maintenance, visit Regenesis.net.