How Much of Your Money is in the Covenant Enhancement Fund?

Author: RSF Post

Date: December 11, 2014

The Rancho Santa Fe Association puts a portion of its assessments paid by its members into what is known as the Covenant Enhancement Fund (CEF). This fund is intended to be used for projects which improve the value of the community or provide a service to its members.

Dues-paying members can find out what portion of their dues go towards the CEF with the following formula:

( ( [Amount Paid in Dues] x .025 ) / .14 ) x 3

If you pay $300 per year in dues, $161 was put into the fund over the past three years. If you pay $6000 per year in dues, $3214 was put into the fund over the past three years.

Simply put the more you pay in dues, the more you have at stake in the CEF.

There is currently $5.7 million in total assessments. The following graph shows the number of members, how much they pay in assessments, and the proportion they contribute to the total. This is based on estimated assessments for this fiscal year:

• 20 percent of properties pay less than 5 percent of total assessments
• 50 percent of properties pay over 80 percent of total assessments
• There are 387 properties that pay less than $1,000 in assessments, 70 of those properties pay less than $200
• There are 25 properties pay less than $100 annually in assessments

There are 38 properties that make up 10 percent of the total assessment, each property contributes between $5,250 to $26,784 to the Covenant Enhancement Fund.