Strata corps need AGMs


Sunday, September 16th, 2007

Tony Gioventu
Province

Dear Condo Smarts:

We live in a triplex built in 1985.While we are a strata corporation we have chosen to operate informally.

We have never convened an official annual general meeting, we have no bylaws, no minutes of meetings or records for sales documents and purchase our own insurance separately. Now we are at a crisis.

Our roof must be replaced as there are leaks in our attics, but one owner is refusing to agree to a roofing contract and pay his share of the roof expense, so we’re stalled.

Is there any way we can force him to pay up?

Unless we do, we will be faced with damages and rising unmanageable costs.

— Carol Miller, Nanaimo Dear Carol:

Whether you are in a duplex in >Prince Rupert or a 600-unit complex in Vancouver, you are still a strata and you must operate in compliance with the Strata Property Act.

Even the smallest strata corporations must take the time each year to hold an annual general meeting and pass a budget and elect a council.

You must also produce minutes as a record of meetings.

Within your budgets, you must include common expenses such as strata insurance, operating costs and contingency reserve contributions.

Many small strata complexes under 10 units pay strata fees of $350 per month or more to ensure they are properly maintaining their common property, buying the right insurance and planning for future repairs and not dumping all the responsibility on just one or two owners.

In your case, you need to start by holding an AGM to set a basic budget for operating and financial planning for future repairs. But there is a kink in the legislation.

If you are duplex or triplex and one person votes against everything, you can’t pass a special levy by 3/4 vote for roof repairs or new bylaws that address long-term planning and maintenance — the vote must be all voting in favour.

The result is you may have to proceed to court if your resolutions fail.

Hold an AGM, place the resolutions on the agenda, create minutes recording results of the votes and, if they fail, the owners must retain a lawyer to either obtain a court order for repairs or application of an administrator to handle the strata affairs.

Education is critical. Knowing what you are doing makes all the difference. Check out CHOA’s fall seminar schedule at www.choa.bc.ca. Sessions commence province-wide Sept. 20, and are open to all strata owners, councils and managers.

Tony Gioventu is the executive director of the Condominium Home Owners Association. Call 604-584-2462 or 1-877-353-2462.



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