Condo Smarts: Do we have to continue to pay tiered fees?

If the owner has financial difficulties, how to charge tiered fees is a decision of the tiered committee

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COVID-19: In the current crisis, the law does not provide for or provide for emergency expenses within the budget, allowing Tiering companies postpone tiering costs

Dear Tony: [19659006] We have contacted several owners to ask the tiering committee to ask if the tiered company can postpone tiering costs until people resume work. We are not sure what options we have.

Is this something the Security Council has the right to consider? Can we declare an emergency and transfer funds from the emergency fund to cover months of tiered costs? What if Strata's money runs out and we can't pay for it? As insurance costs increase and deductible costs increase, we do not want to use our reserves unless absolutely necessary.

-Vancouver Karen Lynch

Dear Karen:

Under the current crisis, there is no provision in the law or emergency costs in the budget No tiering company is allowed to delay tiering fees. If the owner is experiencing financial difficulties, how you charge these fees is a decision of the stratification committee and is determined by your charter. Have your board work closely with your manager and treasurer to review monthly receivables and then decide on collection procedures if necessary.

Your council is not obliged to levy fines or interest, nor to lien or take further action to collect the accounts; however, it is important to pay attention to the balance owed, and everyone should treat the same, keeping in mind the final collection of funds and Duty to protect company interests. It is important to monitor our downtime and when residents can return to work. Hopefully, along with the extension of mortgages and loan payments and government-sponsored funding, homeowners will still be able to manage their tiered expenses.

Before considering options to reduce the budget or use of reserves for the next fiscal year, it is important that you consider the basic obligations and services provided to the underlying company. During the spring, many tiered companies hold annual shareholder meetings, and while they are trying to reduce your expenses, many tiered companies are already at a minimum level of funding and are only used to maintain critical services.

If your tiered company reduces operating costs, this impact will lead to delayed maintenance and services, which may eventually lead to compound damage, building failures, and possible disputes that will result in exponentially increasing remediation costs . These are the results of textbooks, showing that tiered companies are unable to maintain their property at low tiering costs.

Look at a high-rise or low-rise building without shared commercial space. The management and management of service contracts, increased cleaning procedures, increased demand for concierge or maintenance staff, utility costs, insurance costs and building safety are all essential costs and services to protect your property and owner.

Who can ensure that the elevator service is normal and that someone can answer the phone after work after being trapped or stopped? Who manages the maintenance and emergency response of hot water boilers and circulation systems? What if a building has a flood or fire? In addition to managing potential insurance claims, who will respond to calls, emergency emissions reductions and maintenance management? How to maintain and flush the plumbing and drainage systems to prevent water accumulation inside the equipment? How to manage waste management and collection? With so many residents isolated from the outside world and using home delivery, the increase in waste and cardboard recycling in many buildings has doubled.

Even if the number of on-site meetings may be reduced, it is vital that your network of service providers and emergency personnel be managed by your class manager or resident manager. With fewer staff, it may even be busier and demand more high. During this period, the number of phones and emails at the CHOA office has doubled to provide assistance in meetings and operations, and as residents are isolated, the demand for hot water, gas fireplaces and cleaning services will continue to increase.

These times are tough times for everyone. Continuing operations must pay tiered fees, and suppliers and contractors are still struggling to provide basic services.

For more guidance and resources on managing tiered companies during the COVID-19 crisis, visit www.choa.bc.ca [19659007] Tony Gioventu is the executive director of the Apartment Owners Association. Email tony@choa.bc.ca

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