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No resort should
Operate in a vacuum
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Board Members
Resort Managers
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What every
resort needs
Effective
governance &
planning
Happy dues
paying owners
and.. new,
younger
visitors
Worry, fear and frustration are
the results of inaction.
Let’s now continue
on our path of positive,
forward-thinking planned action.
THE PILLARS
 REINFORCING BOARD MEMBERS FIDUCIARY
DUTIES 
Brian Heller – Tricom Management
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The Eight Pillars of Fiduciary Duties
The Pillars:
Are a guide for responsible board
member resort management.
As a fiduciary – a board member is
someone who has undertaken to act for
and on behalf of another with the duty to
make decisions regarding financial matters
on behalf of the others.
The Eight Pillars of Fiduciary Duties
1. Legal: Board members should act –
“Based on the advice of legal counsel…”
Qualified timeshare legal counsel
The Eight Pillars of Fiduciary Duties
2. Audit: Board members should –
Engage a qualified CPA firm to conduct an
annual audit.
A firm with experience in timeshare financials
The Eight Pillars of Fiduciary Duties
3. Financial Records: Should include • Operating Account (detailed)
• Reserve Account (based on Reserve
Study)
• General Fund (if supportable)
• Accrual-basis Accounting (required for
Audit)
The Eight Pillars of Fiduciary Duties
4. Insurance – Every Resort needs D&O policy * General Liability Policy
Reviewed by an experienced timeshare
insurance agent
The Eight Pillars of Fiduciary Duties
5. Disclosure: Boards should provide Transparency & Disclosure;
to its owners consistent with the governing
documents and subject to “advice of legal
counsel”
The Eight Pillars of Fiduciary Duties
6. Reserve Study: Boards should  Engage a qualified third party to
conduct a through Reserve Study
 Update on an annual basis
 Fund it
The Eight Pillars of Fiduciary Duties
7. Communications: Board members
should–
Establish a system of;
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Consistent, Ongoing, Quarterly owner
communication
Communicate Special Situations as needed
Determine the medium(s) that is connective
with the ownership demographic base
The Eight Pillars of Fiduciary Duties
8. Non-assessment Revenues: Board
Members should -
• Explore, Plan and Implement sources
of non-Assessment
• Rentals, Re sales, Space Rentals,
Special Events
• Consult with a 3rd Party
Learn, Expand & Improve,
You will Enjoy! being a board
member.