1) Calculate how much additional revenue you need to wipe out the debt in, say, three years. Add 10% or so to begin to create a healthy reserve fund.

2) Have the board vote to impose the assessment or increase, effective immediately. From the situation you describe, you need a cash infusion ASAP.

3) Announce the assessment and/or increase to all shareholders.

4) Watch how quickly shareholders suddenly take an outsized interest in the board and fiscal operations.

-----

The board has a fiduciary responsibility to ensure the Operating Account breaks even at the end of each year (via maintenance increases) and the Reserve Fund contains a minimum of three months (optimum six months) of maintenance income. This is *after* all of the unsafe conditions in the building are eliminated.

Do *not* let shareholders participate in any maintenance increase or assessment votes. There is nothing in the Proprietary Lease or Bylaws that requires shareholder participation, and you'll never get anything passed. Shareholders do not have the same fiduciary obligations to maintain good fiscal management as board members.

Expect very intense pushback from your shareholders. Before you make any maintenance increases or assessments known to the shareholders, prepare a one or two-page bullet-point summary outlining why the increases are necessary. This will save your vocal cords and mental sanity.

Make sure your annual audited financial report and budget projection are sent to every shareholder before any announcements are made. You should get both of these documents from your accountant. You *do* have an accountant on an annual retainer, right?

Once the financial report and budget are sent to shareholders, solicit feedback about how/where shareholders feel the co-op can be more efficient.

Something I used to do as treasurer is go through the budget line by line and highlight which expenses are non-discretionary. IIRC the top four are real estate taxes, mortgage principal and interest, insurance, and staff salary and benefits. I think you'll find non-discretionary expenses are 75% to 80% of your monthly maintenance income.

One final suggestion, and I cannot stress this strongly enough, is start having long conversations with your accountant and your attorney. These are the professionals who can best guide you and keep you financially healthy. This is what you are paying them for.

Good Luck!