Bills for clean-up and repair can run to more than $50,000
Tony Gioventu
Province
Dear Condo Smarts:
Your recent column on small strata corporations has hit home for our tri-plex in Saanich.
Our building was constructed in the early 1970s and our business has been operated fairly informally. Everyone has voluntarily paid their share of the roofing repairs and insurance, and everyone has tended to the maintenance on their own strata lots and garden areas.
A few months ago, an owner noticed a depression in her yard area. When we investigated further, we discovered an old oil tank that was never removed. Based on the quotes we have received, it may cost $10,000 or more for removal of the tank and for restoration, but one owner refuses to pay their share.
The excuse is: “The tank is in her back yard, so why should we pay?”
Our options are to ignore the repairs, pay for them ourselves and collect later or force the matter into court. Are there any other options possible for a small strata?
— DW and KW, Saanich
Dear D and K:
Every homeowner or buyer in B.C. needs to be aware of the risks and costs of unused and decommissioned fuel tanks.
The costs of removal can start at $5,000 and easily rise to more than $50,000 if there are any environmental damages. In strata corporations like yours, fuel tanks are frequently on common property because they were a solitary supply for several units. This means the strata corporation as a whole will be responsible for the costs of removal and restoration.
It is not a requirement of the current B.C. Fire Code to remove any oil tank that has been out of service for more than two years. However, many local government bylaws either require the removal and restoration or refer back to older codes that did require the removal of such tanks.
Check with your local government first. They will tell you what is required and what your options are. In some regions you may be permitted to simply fill the tank with sand without having to remove it — provided there is no evidence of leaking or environmental damages.
In some cities, the tanks must be removed under the bylaws. There are hazards and risks, especially if the tank is leaking or has failed a pressure test and shows signs of contamination.
In addition, if the contamination affects other neighbouring property, you can be held responsible for the restoration of those properties as well. If your strata refuses to remove the tank, contact the local bylaw enforcement officer to determine if there is a bylaw violation, and the local government may order you to undertake the work.
An order by an authority must be complied with under the Strata Property Act. There are also health risks associated with contamination, hazards associated with collapses, and your insurance company may cancel your insurance or nullify a related claim if you have failed to report the tank or failed to comply with the requirements of restoration.
If you are selling your home and there is an unused or decommissioned tank, you must also disclose that information.
Tony Gioventu is executive director of the Condominium Home Owners’ Association (www.choa.bc.ca). E-mail: [email protected]
© The Vancouver Province 2008
