Nevada Revised Statutes 116.3115 (2b) states that associations shall establish adequate reserves to be funded on a reasonable basis. This section of the law also states that associations may establish a funding plan that is designated to allocate the costs for the repair, replacement and restorations of the major components of the common elements over a period of years. The funding plan must be financially sound and must ensure that sufficient money is available when the repairs, replacements and restorations are necessary.
