reserve fund


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Reserve Fund

An account used to save for unexpected expenses. In most cases, a reserve fund is a savings account from which one can withdraw at will. In other cases, a reserve fund may be a money market fund or may be invested in something like U.S. Treasury securities. In any case, a reserve fund is highly liquid and easy to access.

reserve fund

A physical fund with money for anticipated future needs. A reserve fund should appear on a company's or property's balance sheet as an actual bank account, earmarked for a particular use.

References in periodicals archive ?
Best international practice is to use a 25- or 30-year lifecycle cost analysis period for the reserve fund forecast, as this covers the replacement of most major mechanical, electrical, and plumbing (MEP) items, such as chillers, lifts, and fire alarm panels.
Although it is a criminal act to do so, sponsors looking to make their reserve fund obligations as small as possible base their calculations on the lower insider price tables, figures which are actually obsolete in most cases prior to the effectiveness of the plan.
The loan-loss reserve fund will cover 20 per cent of the loss once all avenues of financial recovery have been exhausted, she adds.
Calemine said the reserve fund issue was relatively minor compared with the massive scope of LAFCO's work, which Connell largely backed.
The rating downgrade to 'BBB' from 'BBB+' on the senior lien bonds, which are secured by a net revenue pledge of airport system net revenues and an irrevocable commitment of passenger facility charge receipts, reflects management's decision to circumvent the flow of funds under the master trust indenture and purposely pay a portion of July 2006 scheduled senior and subordinate lien interest payments from debt service reserve funds.
The priority of payment of deficiencies in principal and interest is first from the FNMA Reserve Fund (only available to FNMA-backed certificates), then the Escrow Reserve Fund (only available to certain certificates), and finally the P&I Reserve Fund (available to all certificates).
The Series 2006 debt service reserve fund is available to pay interest and principal when due and payable to the extent that there are insufficient funds in the revenue fund.
In the event of a default by TEAC that results in a draw on the debt service reserve fund (DSRF) below 60 days, TEAC or the trustee will request J.
Series 2006C and 2006D bond proceeds were used to refund outstanding reserve fund resolution bonds related to Maine Medical Center (a subsidiary of Maine Health System).
In addition, the trust has a capital reserve fund which will be fully funded with approximately $7.
Series 2006C bond proceeds will be used to refund outstanding reserve fund resolution bonds related to Maine Medical Center (a subsidiary of Maine Health System).
The company is currently before the Florida Public Service Commission (FPSC) seeking an order to recover 2005 storm damage costs and pre-fund its storm damage reserve fund.

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