Paul;

You have a point.

I, as a board member, would like to see the service user surveyed.

Carey

I agree, Paul. There is a definite need for an objective source of information on management companies. Making sure that a good — and honest — management company is in place is probably the most important thing a board can do for a building. There is so much opportunity for corruption around real estate and the building industry that it's not even funny.

I also think that Will has a point when he says that a lot can be learned from reading various management companies' responses to the green issue.

I also agree that much can be learned from mgmt firm replies to a specific question. But I don't agree that listing mgmt firms with the worst ratings would necessarily be helpful or productive.

A low rating may not be because a mgmt firm doesn't do well. There may be personality conflicts which can't always be explained - they just "are". A board's demands may be too high. Some BMs may be difficult to work with and a mgmt firm may resign the account if they don't get cooperation from them. There are, of course, mgmt firms that aren't very good or have "questionable" practices. But ratings could be low for very subjective reasons, which isn't fair to a mgmt firm.

IMO, to find a good mgmt firm, find out what types of bldgs they manage and what their speciality is, if any. Get recommendations if possible. Interview firms and call their references. When we interviewed mgmt firms a few years ago, we asked for references for bldgs they currently manage. We ALSO asked for contacts at a few bldgs they NO LONGER manage. We found that to be a good way to get a fair cross-section of opinions and evaluations of the firms.

Good points.

I do think it would be helpful if something like this existed for management companies/managing agents:

http://avvo.com/

Paul,
You are correct. The present survey is of no value. It is made for the Management Companies.

If they want to help the Board it would show which Companies got the worst ratings.

I definitely believe there should be some type of rating systems for management companies - however who will put together the information - board or Habitat or maybe both - Boards should have good information in helping them chose a mangement company and that is not available now - but would Habitat put it on their boards or should it be done off -
We have had quite a few problems with management companies that I do not believe anyone has discussed
Management company did not pay our payroll taxes for a long time - we got stuck with IRS bil, and it couldn't have been just our coop
Management company paid employees off books - no building employee qualifies for this treatment per IRS law - problem is if employee is injured or gets sick they are not entitled to Disability or Workers Compensation - both NYS laws - therefore major lawsuits could come
Management companies put subtractions on the disbursement account for bills that were not paid -
Then there is problem of transfers to reserve accounts - are those watched
Bottom line how many boards check their financial information from management companies and are qualified to know this, and please do not rely on your accountant because management companies cannot do this without participation of the accountant -

You are correct. Just look in the magazine and see the constant change of management company. They tell you what bldg. they just signed up with but we do not know how many bldgs got rid of them. A survey of bldgs listing the management agencies they got rid of would tell a board alot. for example if a good number got rid of XYZ Company I think we would get the idea that it might be wise to stay away from them.

I may be wrong but there may be legal issues with a survey listing mgmt firms that bldgs got rid of. If bldgs give them low ratings for mismanagement, criminal acts (kickbacks, fraud, etc.) they have to support it with evidence. Habitat isn't the forum for this. Publishing claims against mgmt firms without proof of misdoing might be considered libel. Also, a published survey has little purpose if it state things like "we didn't like the property agent's attitude" or "they didn't return phone calls quickly enough." Comments like these are too subjective.

Per my 9/20 reply here on this subject, a board/committee should interview mgmt firms, get references for bldgs they manage AND get contacts at bldgs they no longer manage. Maybe talk to contacts at the former mgmt firms and see what they say about the bldgs that terminated them. There are always two sides to every story. A coop/condo's lawyer can also check if there are criminal records or pending litigations against a mgmt firm.

Most definitely rating system would be useful. My coop has also experience management co. not paying payroll taxes Now socked with huge bills from IRS and having difficulties in trying to establish for which quarters we have or have not paid. In addition to management, accountant should have realized the problem yet presented audited financials attesting the financial soundness of the coop. What about ratings for accountants?

to Larry - maybe you and I and some other shareholders who are experienced these problems could get together to discuss what can be done about it - Definitely the accountant and management company should be held liable - has your coop done anything about that - and also where were the board members during this time - The President, Treasurer, etc, why did they not know and do something before everything got out of control

I agree and I don't agree. This current survey is of what experienced management executives think in response to a question which was excellent this year. Our board wants to go green at our 65 unit co-op in Queens. Several of these responses included information on ways to address issues that crop up and some warning signs tool. For Free! So it was of value to us. Your survey idea might be good too, but it's a different kind of survey. If you have any suggestions for Habitat, you might benefit by writing a note to the Publisher cott@habitatmag.com.