I was hoping to get some advise from other board members regarding a tough situation my condo is faced with. We are a small condo complex of 30 owners. The complex is only 14 years old but the developer clearly took shortcuts when building the complex. I moved in 3 years ago and have been Board President for the last 2 years. I inherited only $30,000 in reserves and structural problems that a reputable engineer estimated would cost approximately $600,000 to repair. Making matters worse I have 1 unit owner who's bank started a foreclosure 2 yrs ago that is dragging along. He owes $60,000 in maintenance and fines and 2 other owners who I have started legal action against who owe $25,000 in maintenance and fines.
Anytime I mention a raise in maintenance (bylaws allow only a 10% raise) I get resistance from owners and board members. I assessed the condo $160,000 over 12 months (a compromise, I asked for $250K over 12 months) to do necessary repairs which was met with groans. I mentioned the need for another assessment for at least $75,000 and people are not happy. Any advise on how to avoid a complete financial collapse without being tied to the stake by the owners? The problem is past boards did not make an honest effort to build the reserves and now we have all kinds of problems with no money to deal with them. Any help would be appreciated.
Does anyone know how this developer continues to get HPD projects? Meanwhile our coop is screwed by construction defects that his firm refuses to address? Our elected officials have received donations from his firm and dealing with HPD has been unsuccessful? Can some reporter do a story?
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There is a shareholder in my building who is becoming increasingly emotionally erratic. I would very much like to hear from board members and anyone else who has had to deal with this situation directly. Specifically, what did you find was the best course of action, what social services are available, what are our legal liabilities and responsibilities, to what level does ADA play a role, etc.
For privacy concerns I won't post any details of our particular situation on the forum. I can be reached directly at steven424 [at] earthlink [dot] net
Thanks in advance for all constructive suggestions and leads.
As a new Board member I was recently made aware of gross financial mis management by the prior management agent as well as suspicious financial oversight by both the President and Vice-President. Shareholders are not only calling for their resignation but a full financial audit of the cooperative's financial records, including all revenue and expense activity.
Has anyone conducted an audit of their cooperative's financial activities? Is this something that can be done with a special committee of shareholders in lieu of hiring a CPA?
I’m a first-time poster. Thanks for reading
Here’s the issue. We have longstanding members of the Board in our co-op. When new shareholders want to run, the President always makes a point of stating that the Board meets weekdays, during the day. Since our current Board includes people that don’t work or who are retired, meeting at 10:00am on a Thursday is convenient for them. There are issues with the current Board that a number of the shareholders would like to address by getting at least one new member elected to the Board at our next annual meeting of Shareholders. Most of us work a typical 9-5 schedule and would like the Board meeting to take place in the evening after work.
If there is a quorum, are they able to prevent the new member from joining the meetings simply by holding the meeting at a time that is inconvenient for them?
It seems like fairness would make the Board want to meet at a time that is workable for ALL directors, although not sure we can count on fairness from this group. The language from the proprietary lease (below) doesn’t seem very specific on this matter.
"Regular meetings of the Board of Directors shall be held not less than once every six (6) weeks and may be held upon such notice, or without notice, and at such time and at such place as shall, from time to time, be determined by the Board of Directors."
It apears our staff (co-op building) is occasionally putting their personal clothing in to be cleaned with the uniform dry cleaning account.
Is this acceptable?
How can we stop people congregating in front of our doorway and taking thier coffee and smoke break without putting up a sign? The people come from a local rehab clinic as well as the various bars on the street.
It's very uncomfortable for residents as well as the commercial tenant.
Our super has gone to the clinic and made numerous complaints but the problem still exits.
Our building recently received a lawsuit regarding a "trip and fall" that happened last year. Plaintiff claims serious injury due to "neglect" of maintenance of tree pit.
Legal papers were served and this is the first time we heard of the fall.
Does this happen all the time in nyc?
In any event, it will cost the building? Unfairly, I might add.
Should we remove the tree?
We had a beautiful metal fence which cars and trucks kept backing into and the cost of repair fell in building.
To alleviate that problem colored stones were put down.
As a board member elected 5 years ago by shareholders to affect a change of management of our coop, I have come to a conclusion that there is a dearth of professionalism and true responsibility that resides within this industry.
Have some of the more long time board members within this forum found the same, and how is this challenge taken on?
at our annual meeting a shareholder asked the board about a response she received to a complaint letter. It concerned her seeing a approx 6 year old child riding his bike in the indoor garage, which has had a no bikes policy since it was built, or at least 31 years that another shareholder has been here. The garage is very cramped and tight , with poor sight lines, plus grease , antifreeze and other slippery substances. Lots of cars have sharp corners and trim that could easily take an eye out. The shareholder had complained about damage to her car that could have been caused by a bicycle. She saw the child with father learning to ride his bike in the garage and wrote a letter of complaint, as she should. The response she received stated that they were allowing this, and there was no house rule violation, as the board had changed the house rules t to allow the board members son to ride in the garage. The board never notified the shareholders of any change, so this was a secret self dealing change.
I couldn't believe the board and president actually arguing back at the meeting stating they were not going to change it, and keep allowing it. The president thinks he is king of the building now. It has gone from very bad to insane.
I, of course went ballistic hearing the board arguing back, and knowing the liability risk they had put the building under. Including loss of insurance, which = loss of mortgage
To top it off the treasure said that we could keep this change among ourselves and not tell the insurance company, which i would call insurance fraud.
To add even more to it, i had a go-pro camera on a chest strap mount, due to the presidents conduct towards me in previous meetings. He told his non shareholder son, who should not have been there, to stand in front of me and interfere with the meeting. I asked him if he was a shareholder and since he replied in the negative, i told him that he could not interfere with the meeting and shouldn't be at the meeting. The managing agent said he could be there,
it got more interesting, with the police and all, but this is enough. I did stand my ground with the police too, i refused to leave when they told me to Stating this was my building, my annual meeting, and i was a shareholder,this was my shared property. plus there were stickers all over the lobby stating you would be videotaped. , they backed off. This was a set up by the pres, when he told me i could tape and i said i would. Go-pro with the open sides pick up great audio, even whispered.
i still have to make sure that they have returned the rules to normal, or make the board and managing company solely responsible, without the coops insurance. i guess i have to write the AG, not that they ever do anything, but this is serious, and the pres with his controlling personality, would keep the secret change in effect for spite and to show power.
I call it a breach of fiduciary duty to the shareholders
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You could explore bank financing to fund the repairs. There are banks who will lend the condo corp money, and that might be one way to get your repairs done. Most likely common charges will rise to pay financing expense, but probably not as much as doing assessments. Good luck! Sounds like you're in a tough spot.
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