Disclaimer:
“This article is a work of fiction. Any similarity to a Condo Corporation and its Board of Directors, persons (living or dead), or actual events, is purely coincidental. While reading the article, remain focused on the notion that reality is often stranger than fiction, and the social environment that generates a set of “Real" conflicts, is the very same social environment that creates the fictional article.”
Based on the two letters below, can anyone explain why a Board of Directors automatically approves a yearly 15 to 20% increase, for three consecutive years, without considering the possibility of relying on a substitute that may provide the same service for less?
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Attn: The Board of Directors,
MTCC0001
19 November 2024
Dear Members of The Board,
In reviewing the amount of money spent by The Board, under the heading of “Security”, it has become obvious to me that the “Service Provider” has increased significantly (20 to 24%) the amount of money paid for the steady number of hours and the same number of security guards on duty; Actual 2022 $96,788 Actual 2023 $120,517 Actual 2024 $156,000.
Here are the clarifications, that I hope I can obtain from The Board:
a) Is The Board selecting the “Security Company” because it is classified as a “Trusted Supplier”?
b) Has The Board ever discussed with the appropriate party why the “Corporation” has to shoulder unreasonable increases that go well beyond 20% yearly?
c) Did the Board make any attempt to open the service to bids and allow competitors to provide the same service for a significantly lesser amount?
Thanks in advance for any clarification you might be able to provide.
Nicholas Manichevitz
Narkan, ON
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Mr. Petrof Manevsky, Property Manager
MTCC0001, Narkan, ON
20 January 2025
Dear Sir,
With great disappointment I am writing this email simply because I was hoping that you will be more proactive than your predecessor, and refrain from hiding behind a wall of silence hoping that a concern expressed by a unit owner will miraculously disappear, and spare you disruptions in your 9 to 5 routine.
Like your predecessor, you failed to adhere to the time frame conveyed to me by the lawyer of the corporation, and unfortunately I will have to rely on third parties to get answers for decisions adopted by The Board that trigger serious alarm bells for me and other owners.
Why am I so concerned with the issues expressed in my email of 19 Nov. 2024?
A) My home is my biggest investment ($600,000) that imposed on me lots of pain and hard work, over a period of 40 years, to become mortgage free.
B) Like every Canadian who invests thousands of dollars in a specific financial goal, I worry when companies, individuals, Boards associated with my financial project cannot explain why a contractor was awarded 20 to 24% increases over a period of three years, and no one made any attempt to find a substitute who can provide the same service for less than $156,000, an amount that represents roughly 15% of the total budget of 2024.
Very shortly I will retain the services of Flying Eagle Audit for a full review of your financial documents, contracts, etc. from 2022, to 2024. I need to have an understanding as to why such a huge amount is given to a contractor without an adequate explanation. Keep in mind, that under existing rules and regulations the audit will be performed at the expense of The Corporation.
Please note, that I do not want to hear anything from the lawyer of The Corporation. If he is not happy with the tone of my email, finds certain words offending, he can go ahead and file the appropriate documents with any judicial, quasi-judicial, or regulatory agency he deems appropriate to redress his or The Corporation’s grievances. The only place where I will lock horns with him, is in a court of law.
Kind Regards,
Nicholas Manichevitz
Narkan, ON
n.b.
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