Since the installation of the new heating system, numerous inquiries of residents have been submitted to the board requesting information. The board has failed to respond to these requests.
A detailed cost analysis of the new heating system and all associated costs including the cooling tower, has often been requested but never provided.
Many questions and requests for information relating to operating costs including energy, insurance, HVAC, etc. remain unanswered. For example, the board continues to refuse disclosure of the caretaker contract which is obviously “pertinent information” as is referenced in our last year end financial report. Other “pertinent” information would include disclosure of insurance policy negotiations where the board has clearly contravened the bylaws as follows:
Section 13.2 Nature of Insurance Policies
h) The amount of the deductible shall be that as approved by the unit owners from time to time.
Yet, an individual board member, with the endorsement of the board, took it upon himself to enter into an insurance contract and establish the deductible, on behalf of the Corporation and did so with no consideration, consultation or approval of unit owners as is required by our bylaws.The notes in the year end financial report include the following statement: “The comparative figures have been reported as “totals only” in that the unitholders have access to all pertinent information for the prior year with respect to the allocation of assets, liabilities, revenues and expenditures”. That means, that should any unitholder require any further detailed information relating revenues or expenditures, they are in fact entitled to access this information from the Corporation. Such “access to all pertinent information” has in fact been denied by the board.
The board is bound by the Condominium Act and the Bylaws of the Corporation where provisions are there for a purpose, including accountability on the part of the board. This of course includes the provision of all requested financial information to unit owners.
The Condominium Act clearly places emphasis on the obligation of the board of directors to enforce all bylaws of the Corporation and abide by all provisions of the Condominium Act. Clearly, the board has failed to respect a most fundamental provision of our bylaws as follows:
Bylaw No.1 Section 3.20 Duty of Care
Every director and officer of the Corporation has the duty of care, the duty to act in the best interests of the Corporation, and the duty to comply with the Condominium Act, as required by The Interpretation Act of Saskatchewan.
It is therefore requested that the Board provide a response to any and all questions, inquiries and requests for information as they relate to the finances of the Corporation.
Normally, when an audited year end financial report is provided, financial issues subject to questions and inquiries are, if not addressed in the audited report, are subject to request for further information by unit owners from both the auditor and the Corporation.
In conclusion, an audited financial report is obviously required to ensure appropriate disclosure of all relevant information in order to satisfy the interests and concerns of all unit owners.
