Civ. Code Section 5305

Old Code: 1365(c)

New Code: 5305

Subject: Required financial review by accountant

Unless the governing documents impose more stringent standards, a review of the financial statement of the association shall be prepared in accordance with generally accepted accounting principles by a licensee of the California Board of Accountancy for any fiscal year in which the gross income to the association exceeds seventy-five thousand dollars ($75,000). A copy of the review of the financial statement shall be distributed to the members within 120 days after the close of each fiscal year, by individual delivery pursuant to Section 4040.

Substantive Changes: Formerly, the above standard for required review was not subject to more stringent standards that may exist in the governing documents. Note also clear provision for delivery of the review by individual delivery (Section 4040).