{
  "_meta": {
    "code": "VS-09",
    "title": "Financial Audit and Reserve Study",
    "version": "1.0",
    "statute_primary": "765 ILCS 605/19(a)",
    "statute_secondary": "765 ILCS 605/9(c)",
    "diagnostic_question": "Has independent financial review ever occurred — and is the association's financial condition verifiable by anyone outside the controlling entity?",
    "dsc_activations": ["DSC-01", "DSC-03", "DSC-08", "DSC-09"],
    "verification_sources": [
      {
        "label": "Kane County Recorder of Deeds",
        "url": "https://www.kanecountyrecorder.com",
        "instruction": "Some associations record annual financial statements or audit reports. Search under the association name for any recorded financial documents."
      },
      {
        "label": "Illinois Compiled Statutes — 765 ILCS 605/19(a)",
        "url": "https://www.ilga.gov/legislation/ilcs/ilcs3.asp?ActID=2200",
        "instruction": "Section 19(a) governs homeowner rights to association financial records. The association is required to maintain and produce financial records on written request. Compare the statutory requirement against what the association has produced."
      },
      {
        "label": "Illinois Compiled Statutes — 765 ILCS 605/9(c)",
        "url": "https://www.ilga.gov/legislation/ilcs/ilcs3.asp?ActID=2200",
        "instruction": "Section 9(c) governs reserve fund requirements. Verify whether the association maintains a reserve fund and whether a reserve study has been conducted."
      }
    ],
    "renderer_notes": "VS-09 is the financial verification foundation for the entire diagnostic record. Like VS-07, the homeowner perspective is an information record — what was communicated, what was produced, what was withheld. The professional record is where the financial condition is actually assessed. The key diagnostic signal is not the absence of an audit itself but the consequence of that absence: every financial claim in DSC-01, DSC-03, DSC-08, and DSC-09 rests on unverified numbers when VS-09 shows no independent review. The renderer should surface this consequence note prominently when the audit absence flag is triggered."
  },

  "perspectives": {

    "homeowner": {
      "label": "Your Record",
      "access_state": "participant",
      "instruction": "Record what you know about your association's financial records — whether an audit has ever been conducted, whether financial statements have been shared with the membership, and whether you have ever been able to verify what the association says you owe. You are not expected to be an accountant. Record what you have been told and what you have observed.",
      "fields": [
        {
          "id": "ho_audit_communicated",
          "label": "Has the association ever told the membership that an independent financial audit or review has been conducted?",
          "type": "select",
          "required": true,
          "options": [
            { "value": "yes_regular", "label": "Yes — audits are conducted and reported regularly" },
            { "value": "yes_once", "label": "Yes — an audit was mentioned once" },
            { "value": "no", "label": "No — an audit has never been mentioned" },
            { "value": "told_not_required", "label": "I was told an audit is not required" },
            { "value": "unknown", "label": "I do not know" }
          ],
          "diagnostic_flag": true,
          "flag_condition": ["no", "told_not_required"],
          "flag_label": "No independent financial audit communicated to membership",
          "flag_note": "Without independent financial review, the association's financial statements reflect only what the controlling entity has chosen to record. Assessment amounts, reserve balances, expenditure authorizations, and attorney fee charges cannot be independently verified."
        },
        {
          "id": "ho_financial_statements_shared",
          "label": "Are annual financial statements shared with the membership?",
          "type": "select",
          "required": true,
          "options": [
            { "value": "yes_annual", "label": "Yes — shared at annual meetings" },
            { "value": "yes_on_request", "label": "Yes — but only when a homeowner specifically requests them" },
            { "value": "partial", "label": "Partial — some information shared but not complete statements" },
            { "value": "no", "label": "No — financial statements are not shared" },
            { "value": "unknown", "label": "I do not know" }
          ],
          "diagnostic_flag": true,
          "flag_condition": "no",
          "flag_label": "Financial statements not shared with membership"
        },
        {
          "id": "ho_reserve_fund_known",
          "label": "Do you know whether your association maintains a reserve fund for major repairs and replacements?",
          "type": "select",
          "required": true,
          "options": [
            { "value": "yes_funded", "label": "Yes — a reserve fund exists and I have been told the balance" },
            { "value": "yes_unfunded", "label": "Yes — a reserve fund exists but it is underfunded or empty" },
            { "value": "no_reserve", "label": "No — I have been told there is no reserve fund" },
            { "value": "unknown", "label": "I do not know whether a reserve fund exists" }
          ],
          "diagnostic_flag": true,
          "flag_condition": ["yes_unfunded", "no_reserve"],
          "flag_label": "Reserve fund absent or underfunded",
          "flag_note": "An underfunded or absent reserve fund means major repair costs will be funded through Special Assessments. This is the financial precondition for the Special Assessment disputes documented in DSC-01."
        },
        {
          "id": "ho_reserve_study_known",
          "label": "Has a reserve study ever been conducted — a professional assessment of the association's long-term repair and replacement needs and the funding required to meet them?",
          "type": "select",
          "required": true,
          "options": [
            { "value": "yes_recent", "label": "Yes — a reserve study was conducted within the last five years" },
            { "value": "yes_old", "label": "Yes — a reserve study was conducted more than five years ago" },
            { "value": "no", "label": "No — no reserve study has been conducted" },
            { "value": "unknown", "label": "I do not know" }
          ],
          "diagnostic_flag": true,
          "flag_condition": ["no", "yes_old"],
          "flag_label": "Reserve study absent or outdated",
          "flag_note": "Without a current reserve study, Special Assessments for major repairs cannot be independently justified as necessary or properly calculated."
        },
        {
          "id": "ho_financial_records_requested",
          "label": "Have you ever formally requested financial records from the association — ledgers, bank statements, budget documents, or audit reports?",
          "type": "boolean",
          "required": true
        },
        {
          "id": "ho_financial_records_result",
          "label": "What was the result of your request?",
          "type": "select",
          "required": false,
          "depends_on": { "field": "ho_financial_records_requested", "value": true },
          "options": [
            { "value": "produced_complete", "label": "Produced — complete records provided within the statutory deadline" },
            { "value": "produced_partial", "label": "Produced — partial records only, some withheld" },
            { "value": "produced_late", "label": "Produced — but after the statutory deadline" },
            { "value": "denied_exemption", "label": "Denied — exemption claimed under 765 ILCS 605/19(g)" },
            { "value": "denied_no_reason", "label": "Denied — no reason given" },
            { "value": "ignored", "label": "Ignored — no response received" }
          ],
          "diagnostic_flag": true,
          "flag_condition": ["denied_exemption", "denied_no_reason", "ignored"],
          "flag_label": "Financial record request denied or ignored — statutory access violation",
          "flag_note": "The statutory right to financial records under 765 ILCS 605/19 is not conditioned on assessment status or any other homeowner obligation. Denial or non-response is a statutory violation independent of any other dispute."
        },
        {
          "id": "ho_exemption_claimed_detail",
          "label": "What exemption was claimed and for which specific records?",
          "type": "textarea",
          "required": false,
          "depends_on": { "field": "ho_financial_records_result", "value": "denied_exemption" },
          "placeholder": "Example: The association claimed subsection (g)(4) to withhold my own account ledger. I was told my ledger was a 'financial record of another unit owner.'"
        },
        {
          "id": "ho_account",
          "label": "Your account — describe what happened in your own words.",
          "type": "textarea",
          "required": false,
          "placeholder": "No required format. No legal terminology needed. You do not need to be neutral. You need to be accurate."
        }
      ]
    },

    "professional": {
      "label": "Professional Record",
      "access_state": "professional",
      "instruction": "Verify whether independent financial review has occurred, whether reserve fund balances are adequate, and whether the association's financial records are complete and reconcilable. Assess the statutory compliance of any record access denials. Upgrade or downgrade the homeowner record as warranted.",
      "fields": [
        {
          "id": "pro_audit_verified",
          "label": "Independent financial audit or review — verified status",
          "type": "select",
          "required": true,
          "options": [
            { "value": "audit_current", "label": "Audit conducted — current, within three years" },
            { "value": "audit_outdated", "label": "Audit conducted — more than three years ago" },
            { "value": "review_only", "label": "Compilation or review only — no full audit" },
            { "value": "none", "label": "No independent financial review has been conducted" },
            { "value": "not_verified", "label": "Not yet verified" }
          ],
          "diagnostic_flag": true,
          "flag_condition": ["none", "audit_outdated"],
          "flag_label": "No current independent financial audit — financial claims unverifiable"
        },
        {
          "id": "pro_reserve_fund_balance",
          "label": "Reserve fund balance — verified from financial records",
          "type": "text",
          "required": false,
          "placeholder": "e.g. $42,000 as of [date] per [source]"
        },
        {
          "id": "pro_reserve_fund_adequate",
          "label": "Is the reserve fund adequately funded relative to the association's known deferred maintenance and replacement obligations?",
          "type": "select",
          "required": false,
          "options": [
            { "value": "adequate", "label": "Adequate — reserve fund meets or exceeds identified obligations" },
            { "value": "underfunded", "label": "Underfunded — reserve fund is below identified obligations" },
            { "value": "critically_underfunded", "label": "Critically underfunded — reserve fund is insufficient for known near-term obligations" },
            { "value": "no_study", "label": "Cannot assess — no reserve study exists to compare against" }
          ],
          "diagnostic_flag": true,
          "flag_condition": ["underfunded", "critically_underfunded"],
          "flag_label": "Reserve fund underfunded — Special Assessment risk elevated"
        },
        {
          "id": "pro_financial_records_reconcilable",
          "label": "Are the association's financial records complete and reconcilable against bank statements and payment documentation?",
          "type": "select",
          "required": true,
          "options": [
            { "value": "yes", "label": "Yes — records are complete and reconcilable" },
            { "value": "partial", "label": "Partial — some records available, reconciliation incomplete" },
            { "value": "no", "label": "No — records are incomplete or cannot be reconciled" },
            { "value": "not_produced", "label": "Records not produced — reconciliation not possible" }
          ],
          "diagnostic_flag": true,
          "flag_condition": ["no", "not_produced"],
          "flag_label": "Financial records incomplete or not produced — reconciliation not possible"
        },
        {
          "id": "pro_exemption_valid",
          "label": "If a 765 ILCS 605/19(g) exemption was claimed to deny records — was it validly applied?",
          "type": "select",
          "required": false,
          "options": [
            { "value": "valid", "label": "Valid — exemption correctly applied to the specific records requested" },
            { "value": "invalid", "label": "Invalid — exemption incorrectly applied" },
            { "value": "19g4_misapplied", "label": "19(g)(4) misapplied — used to withhold homeowner's own ledger" },
            { "value": "not_applicable", "label": "No exemption was claimed" }
          ],
          "diagnostic_flag": true,
          "flag_condition": ["invalid", "19g4_misapplied"],
          "flag_label": "Statutory exemption misapplied — record denial was improper"
        },
        {
          "id": "pro_19g4_detail",
          "label": "Describe the misapplication of 19(g)(4).",
          "type": "textarea",
          "required": false,
          "depends_on": { "field": "pro_exemption_valid", "value": "19g4_misapplied" },
          "placeholder": "19(g)(4) exempts financial records of other unit owners. It does not exempt a homeowner's own account ledger. If the association invoked 19(g)(4) to withhold the requesting homeowner's own ledger, the denial was improper and the homeowner's statutory right was violated."
        },
        {
          "id": "pro_financial_unverifiability_consequence",
          "label": "Which financial claims in this homeowner's dispute cannot be independently verified due to the absence of audit or incomplete records?",
          "type": "textarea",
          "required": false,
          "placeholder": "List the specific financial claims — assessment amounts, attorney fees, ledger balances, Special Assessment calculations — that rest on unverified association-controlled records."
        },
        {
          "id": "pro_assessment",
          "label": "Professional assessment — upgrade, downgrade, or confirm the homeowner record.",
          "type": "select",
          "required": true,
          "options": [
            { "value": "confirmed", "label": "Confirmed — homeowner record is accurate" },
            { "value": "upgraded", "label": "Upgraded — condition is more significant than homeowner record indicates" },
            { "value": "downgraded", "label": "Downgraded — condition is less significant than homeowner record indicates" },
            { "value": "insufficient", "label": "Insufficient information — further verification required" }
          ]
        },
        {
          "id": "pro_notes",
          "label": "Professional notes",
          "type": "textarea",
          "required": false,
          "placeholder": "Include the statutory basis for record access rights, the specific exemptions claimed and their validity, and the financial unverifiability consequences for this homeowner's specific dispute."
        }
      ]
    },

    "public_record": {
      "label": "Public Record",
      "access_state": "operator",
      "instruction": "Enter the court or appellate ruling on any financial record access, audit requirement, reserve fund, or exemption validity question. Immutable after submission except for corrections to spelling or citation format.",
      "immutable_after_submit": true,
      "fields": [
        {
          "id": "pr_adjudicated_condition",
          "label": "Condition adjudicated",
          "type": "select",
          "required": true,
          "options": [
            { "value": "record_access_denied", "label": "Financial record access — improper denial" },
            { "value": "exemption_invalid", "label": "Statutory exemption — misapplication of 19(g)" },
            { "value": "19g4_misapplied", "label": "19(g)(4) — misapplied to homeowner's own ledger" },
            { "value": "reserve_fund", "label": "Reserve fund — adequacy or statutory requirement" },
            { "value": "audit_required", "label": "Independent audit — requirement or absence consequence" },
            { "value": "other", "label": "Other — describe in summary" }
          ]
        },
        {
          "id": "pr_case_citation",
          "label": "Case citation",
          "type": "text",
          "required": true,
          "placeholder": "e.g. Smith v. Elm Court Condominium Assoc., 2023 IL App (2d) 220145"
        },
        {
          "id": "pr_court",
          "label": "Court",
          "type": "text",
          "required": true,
          "placeholder": "e.g. Illinois Appellate Court, Second District"
        },
        {
          "id": "pr_ruling_date",
          "label": "Ruling date",
          "type": "date",
          "required": true
        },
        {
          "id": "pr_ruling_summary",
          "label": "Ruling summary — the court's finding in plain language.",
          "type": "textarea",
          "required": true,
          "placeholder": "Describe what the court determined and on what basis."
        }
      ]
    }
  },

  "spool": {
    "contract_version": "1.0",
    "addon": "vs01",
    "vs_code": "VS-09",
    "payload_fields": [
      "perspective",
      "association_address",
      "submitted_at",
      "standing",
      "fields"
    ],
    "notes": "VS-09 is the financial verification foundation for DSC-01, DSC-03, DSC-08, and DSC-09. When pro_audit_verified returns none, the renderer spec must surface a consequence note: 'Without independent financial audit, the following financial claims in this record cannot be independently verified.' The pro_financial_unverifiability_consequence textarea provides the professional's specific list. The 19(g)(4) misapplication flag is particularly significant — it is the specific statutory violation documented in the operator's own case and will be one of the first verified public record entries in the corpus."
  }
}