NAC116.453. Presentation and contents of interim financial statements subject to audit or review.

The financial statements of an association subject to an audit or review must be presented using fund accounting and must include, at a minimum:

     1. An operating fund which reflects the accounting transactions surrounding the normal maintenance and service operations of the association; and

     2. A reserve fund which reflects the accounting transactions pertaining to the long-term, major repair and replacement requirements of the association and the restrictions of its use as described in paragraph (b) of subsection 2 of NRS 116.3115.

     (Added to NAC by Comm’n for Common-Interest Communities by R205-05, eff. 9-18-2006)

Notation

REVISER’S NOTE.

      The regulation of the Commission for Common-Interest Communities (now the Commission for Common-Interest Communities and Condominium Hotels) filed with the Secretary of State on September 18, 2006 (LCB File No. R205-05), the source of this section, contains the following provisions not included in NAC:

      “1.  If an association has not previously caused the financial statements of the association to be audited on an annual basis, the association must cause the financial statements of the association to be audited pursuant to NRS 116.31144 for the first fiscal year that begins on or after July 1, 2006.

      2.  If an association which is required to cause the financial statements of the association to be audited at least once every 4 years pursuant to NRS 116.31144 has caused the financial statements of the association to be audited for the fiscal year immediately preceding the first fiscal year that begins on or after July 1, 2006, the association is not required to cause the financial statements of the association to be audited for another 4 years.”