Adoption of the annual budget is an example of which type of resolution?

• A. policy resolution
• B. general resolution
• C. special resolution
• D. administrative resolution

Answer: (B)

Adopting the annual budget is a routine, everyday decision about the association’s finances. It outlines expected income and expenses for the coming year and authorizes the planned expenditures, which is standard operating business for the board. This kind of decision is typically handled with a general resolution, which covers ordinary matters of the association that don’t change governing documents or long-term policies and is decided by a simple majority. It isn’t a change to bylaws or articles (which would require a special resolution) and it isn’t simply an internal procedural tweak (administrative) or a policy directive. So the budget adoption fits best as a general resolution.