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  • #8344
    confused1
    Flatchatter

      I’ve been in my unit for 2.5 years now, prior to that it was agreed by the EC that the fences be replaced. To cut a long story short, the saga of “the fence” has seen the cost blow out to about 24k….

      Earlier this year, all owners (15) were asked to vote on whether we were to accept an interest free loan (from one of the EC members) to be repaid in 4 instalments over a year or forego the loan and pay a one off special levy.

      There were insufficient responses (probably due to lack of information) to come to any decisions.

      Somehow, the fences have now been completed and they were funded through a loan.

      The owners are generally not informed of EC meetings, sometimes a notice will appear on the front door but usually only on the day of the meeting and most people aren’t home from work in time to see it. If we are lucky enough to  receive copies of minutes it’s generally about 6 months after the fact.

      The EC was a cast of 6 when voted in, but for various reasons have now whittled down to 3. The EC (3 ppl) are planning an EGM 2 weeks prior to the AGM to decide how the ‘loan’ will be repaid. If the special levies aren’t voted in, the lendor will demand we take out a loan to repay her (remember we never approved of borrowing in the first place). Apparently now that there are only 3 members a quorum of 2 is acceptable?

      I’m not sure of the balance of the sinking fund, but they are also planning on more fencing (to replace a wall they knocked down during fence construction – again, who approved?).

      My questions are:

      1. What capacity does the EC (50% of those originally elected) have to enter into such financial agreements?
      2. If an item was approved years ago and blows out in cost, what are the limits the EC can approve without approval from the OC?
      3. If a committee loses 50% of its members, do the remaining 50% still hold the same level of authorisation?
      4. Is it possible for the OC to put a hold on the decision making rights of the EC until a new one can be elected? Keep in mind, the AGM is scheduled 2 weeks after the ECM (convenient huh?)

      In my opinion, it wasn’t necessary to replace all of the fencing (and add new fencing) at the same time. It could have easily been done in stages. (Parts of it werent’ really needed at all)

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