SPADINA CONDOMINIUM CORPORATION AGM October 4, 2018 Follow Up Comments 

1. Approval was granted by unit owners for obtaining detailed cost information relating to the $317,700 of proposed Reserve Fund expenditures in the current year. Given the current financial position of the Corporation, such expenditures would deplete the Reserve Fund entirely which is obviously not acceptable. A General Meeting is required within 30 days to address this serious issue and permit residents to participate in the required approval process of Reserve Fund expenditures. The proposed Roof Anchor project requires as special resolution as it is a capital expenditure. However, this project is totally unnecessary as has been confirmed by the Saskatchewan Occupational Health & Safety branch.

2. The notes of the financial statements include #1, “During they year ended June 30, 2016, the organization made a motion for a special assessment of $950,000 to be placed into the Reserve. I asked the Board at the AGM for written confirmation of this “motion” and the required resulting “resolution” along with the reason why the word “organization” rather than “corporation” is now being used by the Board. Residents are yet again reminded that ALL RESERVE FUND EXPENDITURES MUST BE PRESENTED IN A BUDGET AT THE AGM or other General Meeting, AND DULY APPROVED BY RESOLUTION OF UNIT OWNERS WHO MUST AT THE SAME MEETING, APPROVE A FURTHER RESOLUTION OF FUNDING THOSE EXPENDITURES. The Board advised that a copy of an appropriate resolution would be immediately forthcoming. Yet, no such confirmation has been provided to date.

3. The Board proceeded with a major expenditure and change to landscaping during the year. Again, please provide in writing a copy of the approval resolution required from unit owners for this project and a cost breakdown of the project including invoices with documentation approving funding by unit owners.

4. The Board proceeded with a signage expenditure that was contrary to the wishes of residents, that being a resolution of approval to establish signage on the front of the building to appropriately identify the building as SPADINA TOWERS. The Board rejected this resolution that was clearly approved at an Annual General meeting in 2005. This resolution was in fact approved by unit owners, clearly supported by a recording of that meeting. Again, it is requested that the Board provide a written copy of the resolution by unit owners that did in fact authorize via resolution, a totally different  expenditure (as per the wishes of the commercial owner) and its funding. 

5. As was noted at the meeting, there has been zero enforcement of parking regulations. With the addition of new regulations, there will be even greater need for EFFECTIVE enforcement. The Board should demonstrate such enforcement effective immediately. As advised at the meeting, unit owners (both commercial and residential) have been found to the greatest violators (ie. Mr. Beckman parked his vehicle in visitor parking for five consecutive months during the current year).  Commercial owners and their tenants (not visitors) also are the major violators in commercial visitor parking, which is a major contributor to violations in residential visitor parking where commercial visitors simply park in resident visitor parking as a result of no parking available in commercial visitor parking. Building service contractors further continue to violate these regulations as well. Home care workers (who are fully entitled to reimbursement for their metered parking expense, are also a major violator). Cleaning up these current violators is what is required by management, not penalizing residents with a four hour visitor parking limitation.

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RESERVE AND COMMON EXPENSE FUND OUTSTANDING ACCOUNT RECEIVABLE

1. The scheme of apportionment for contributions to the common expenses funds and reserve funds of the Corporation shall be as follows:
2. c) The budget for the Commercial Property (the “Commercial Unit Owner’s Budget Share) shall include the following:

iii) 44.31% of the common expenses and the reserve fund expenses related to the entire underground parkade and all of the outdoor parking stalls;

vii) 44.31% of the common expenses and all other reserve fund expenses relating to the common room, hallway, kitchen, bedroom, exercise room, washrooms, shower, sauna, and pool area as shown on Level 4 of the Condominium Plan, other than for decorating, furnishings, or exercise equipment;

44. xi) 44.31% of all other common expenses and reserve fund expenses not otherwise allocated.

1. c) Notwithstanding Section 1.2(a), no unit owner shall do any of the following acts, nor permit any tenant or other occupant of a unit, or guest or invitee to any of the following acts, namely:
2. iv) make any changes in the plumbing, electrical or other mechanical system of a unit

Fobs $ 5013  Fobs (4^th floor common area)

2000 Fobs (Unit 1) + 2300 Bike Racks + 1069 Carts= $10,442 x .4431=$4626.85 + $7000 for commercial renovations (adding heating lines during renovations)=$11,625.85 PAYABLE TO CORPORATION BY COMMERCIAL OWNER=$11,625.85 PAYABLE TO CORPORATION BY COMMERIAL OWNER   

During my review of invoices for the 2014-15 fiscal year and later Reserve Fund reports (2016) I discovered more than $20,000 of illegitimate expenditures by the Corporation which includes the $7000 noted above. During that review, I was advised that there was an invoice submitted to the Board for payment approval by the commercial owner for an ADDITIONAL AMOUNT relating to their own purchase order for a new door and entry improvement to their condo unit #1. I was to be provided with a copy of any invoice and any payment made by the Corporation in relation to that door entry imp improvement conducted by the commercial owner. Such documentation was never provided to me. Residents must be entitled to review all invoices and other source documents for the past five years. This would relieve the lack of transparency and possibly reveal other such amounts payable to the Reserve Fund. It is requested that these documents be made available to residents in the next 30 days.

Please provide in writing available dates for the review of records. As well, please confirm that the $11,625.85 has been paid to the Corporation by the commercial owner. Resident unit owners refuse to pay for commercial unit owner expenses.