By David Lu
If you live in a condominium, , you may only meet your board of directors once a year, at the Annual General Meeting, so it can be hard to learn what role your board members actually play in your condominium community. Your board members play a crucial role in ensuring the health of your condominium community year-round.
Condominium corporations, like any other corporations, have a board of directors that oversees all affairs at the condominium. The decisions board members make can affect your everyday condominium experience. Some of the responsibilities the board of directors have include: (1) tracking the condominium’s financial performance; (2) ensuring that all required maintenance and repairs are carried out; (3) enacting rules to promote the safety and welfare of all owners and residents; and (4) communicating (as needed) to the owners on condominium matters.
Over the past few years, condominium boards have been facing increasingly complex issues which can result in larger annual budgets. It is now common to see condominium annual budgets well over $1 million. Given the increasing complexity of new condominium developments (i.e. condominiums with non-residential elements such as stores etc.), we see this trend continuing.
As a result, the Condominium Act requires board members to complete a training course provided by the Condominium Authority Tribunal within six months of being elected. The course is designed to provide board members with the basic knowledge they need in their role on the Board. The training is free and completely online, and takes no more than a day or so to complete.
Candidates for Board positions must also provide disclosure, at the time of their candidacy, if any of the following items apply to them: (1) if they are involved in legal action that also involves the condominium corporation; (2) if they have been convicted of an offence under the Condominium Act in the previous 10 years; (3) if they have an interest in certain contracts or transactions involving the condominium; (3) if they are in arrears on condo fees; (4) if they are not an owner; or (4) if they don’t live at the condominium.
The disclosure and training requirements are designed to ensure that the condominium community elects the most suitable candidates to be board members, and for these board members to have the requisite knowledge on condominium matters to make informed decisions.
Board members play a crucial role in ensuring effective management of the condominium . If you live in a condominium and have some time and energy, please get involved, particularly if you live in a new condominium. (Boards at new condominiums often face a set of critical issues right at the beginning, which I will talk about in a future article.) By ensuring that the decisions made benefit the whole community, you would not only be helping your fellow neighbours, but you would also be doing the single most important thing to help preserve, and even enhance, the value of your home.
David Lu is an Associate at Davidson Houle Allen LLP, a boutique Condominium Law firm serving Eastern Ontario.