CONDO NEWSLETTER & resident comments

AUGUST 15, 2015

Your Board of Directors met on August 12. This is a summary of discussions and decisions taken. As always, your Board welcomes input and feedback from all owners with any concerns. As always, the Board refuses to acknowledge any input or feedback from owners with concerns if they disagree with any such input and feedback.

Good news- the residential elevator is back in service and the University Bridge is open. Bad news-Our domestic water heater has failed for the fifth time. Luckily, we had a spare on site so the replacement was accomplished within a few hours with a minimum of inconvenience to residents. Once again, the manufacturer, designer, contractor and service provider have been engaged to seek a solution. Once again, the Board fails to recognize that this sad situation is simply a demonstration of failed and irresponsible procurement procedures on their part. There is obviously a capacity issue here yet the Board seems incapable of addressing this issue once and for all. As for the elevators, there appears to be no monitoring of this project on the part of management or the Board. It has been nearly four months, and the project is still far from completion. The Board refuses to provide any details of the contract leaving many questions unanswered.

The safety tip for this edition is related to the automatic door openers on both the main lobby entrance door and the basement garage vehicle entry door. Since both of these are slow closing, please wait and see that they are fully closed behind you after you enter. There is opportunity for unauthorized entry while the doors are open.

FINANCIALS

Draft financial statements for the fiscal year ending June 30, 2015 were reviewed. The financial results are very good news. We ended the year with a budget surplus exceeding $50,000, which will be available to transfer into reserves. In every category, expenses were less than budget and in most cases less than prior year.

This proud declaration by the Board of a “SURPLUS” of $50,000 is a most troubling deception on the part of the Board, and comes as a result of failure to recognize and address the outstanding and growing DEFERRED MAINTENANCE, which has now escalated to a level of APPROXIMATELY $300,000!

Of special significance, building utilities (gas and electrical costs) were down. Currently, a historical analysis of actual annual usage of gas and electricity is underway. The Board continues to mislead residents with a false declaration of an ongoing reduction in energy costs. The facts are, that as of June 30, 2015, net energy costs have steadily increased since the installation of the new heating system in 2010. Rather that the Board’s projected energy savings of some $30,000 per year, there has been a net accumulated increase in energy costs of over $70,000. The Board’s promise of reduced operating expenses of $30,000 per year simply did not happen and this failed promise of savings along with the actual increase in energy costs, has resulted in a $200,000 plus deficit to the promised energy savings.

Also, repairs and maintenance are down indicating less outsourced services. We expect the refurbishment of the elevators will further reduce both these costs in future years. We continue to investigate every possible energy saving. For example, the installation of a variable speed pump on the pool circulation system has been approved. Energy savings of approximately 50% are expected over the existing pump. Why does the Board refuse to disclose data supporting such projected savings?

Statements are currently under review by our external auditors and will be available prior to the AGM. Are our EXTERNAL AUDITORS providing an audited financial report?

PARKADE PROJECT

Initial steps have been taken. Robb Kullman Engineering LLP has been engaged to deliver the first stage of the project, which is schematic design. This should be completed by September 30, 2015.This document should be available for presentation at the AGM and have systems and details sorted out and first run at phasing the project. No such expenditure has been included in a Reserve Fund budget as is legally required and subject to approval by unit owners with a special resolution. It appears our residential Board members continue to bow to the wishes of the commercial owner. No such project is warranted without clear demonstration of structural damage evidenced by destructive testing and analysis. The Board refuses to provide residents with any such evidence. The $50,000 option to correct the outstanding deferred maintenance remains the appropriate solution. 

RESERVE FUND STUDY

The study is complete and in the final stages of review and printing and is expected to be received shortly from the firm of Brundston, Junor, Johnson. It is imperative that the report be presented by a representative from this firm at the AGM in order to ensure a qualified presentation to residents.

REGISTERED PLAN

Webb Surveys have been engaged by the Board to establish the boundaries between owner’s properties and common areas intended in the original registered plan. There has been much discussion and some disagreement primarily with respect to responsibility for windows and doors. It is expected that this professional interpretation will resolve these issues. Their report is expected shortly.

Once again, residential Board members continue to bow to the wishes of the commercial owner. The Board is asked to identify which Board members are demanding such unnecessary and costly services where the Registered Plan IS THE LEGALLY RECOGNIZED DOCUMENT THAT HAS ALREADY ESTABLISHED THE BOUNDARIES and clearly defined the responsibility for windows and doors as was INTENDED IN THE ORIGINAL PLAN. 

ANNUAL GENERAL MEETING

Our 2015 AGM will be held Thursday, October 8 at 2:00PM in the 4th floor meeting room. Mark the date.

TRANSITIONS

Welcome to Izim Okeren who has recently moved into 701. The Okeren family is original owners in Spadina Towers. Izim’s father, Turhan, was the Architect who designed the building.

Congratulations to Mr. & Mrs. John Beckman on their recent marriage. In spite of the honeymoon, John has thrown himself into the hard work of chairing our Board.

Units 401 and 503 are currently listed for sale. We regret that Rena, Patricia and John will be leaving. If you have friends or family who may be interested in relocating to the finest condominium building in the city, please spread the word.

BICYCLE STORAGE

Thanks to everyone who provided input into our survey. As a result, we have identified all the active owners, disposed of unwanted bikes and made arrangements for a rack to be installed shortly in the storage room. This will make storage much more orderly and more convenient. We would urge owners who currently keep bikes in their parking stalls to make use of the storage room.

SECURITY ISSUES 

It was recently discovered that there has been unauthorized entry and use of the party room and the guest bedroom on the 4th floor. Building management is currently investigating more secure methods for entry and authorization of use, as there may be a large number of old keys in circulation. Such issues are easily addressed if the caretaker is conducting his required evening inspections. 

REFURBISHMENT

Everyone is certainly aware of the sad state of some or our premiere amenities- pool area deck, windows (broken seals) and furniture; party room outdoor patio (black mold in carpet), furniture; dirty and no longer cleanable carpets throughout the 4th floor common area; guest bedroom bed, mattress, linen, furnishings (dating from 1978); etc. Instead of increasing, they may be actually reducing value of our properties from remarks being made by listing realtors and prospective buyers. In addition, there may be serious health issues. The Board is currently studying this issue and sincerely solicits opinions from the owners. Everyone is certainly aware of the Board’s ongoing failure to address such deferred maintenance which is simply part of the several hundreds of thousands of dollars in outstanding deferred maintenance which has failed to be addressed by the Board and continues to accumulate. 

SHOPPING CARTS

The current large metal shopping carts are causing considerable damage to walls, doorframes and elevators. As a result, an order has been placed for smaller, lighter carts made of plastic. These should be arriving shortly at which time the old steel carts will be disposed of. It has been suggested to the Board many times in the past, to simply have the caretaker attach a rubber bumper to the front of the existing carts. Apparently, the easy way is to simply write another cheque. 

IN CLOSING

Thank you to the many people who make positive contributions to our building not only in material ways but also in acts of kindness.

Bob Kowalishin

On behalf of the Board of Directors