HOA Homefront: Can we skip the reserve account?

Dear Mr. Richardson: I am wondering, are HOAs required to have a “reserve” account or it is just recommended? — P.P. Rancho San Diego
Dear P.P.:
Reserve accounts are intended to be a critical protection for common interest development homeowners, particularly in attached housing developments. The Davis-Stirling Common Interest Development Act has many requirements regarding reserve accounts.
Associations must have a reserve study every third year, under Civil Code 5550, identif