I feel you definitely need to treat the owner as an independent contractor. Same license, permits, and insurance requirements as with any outside contractor. There is an extra level of complexity - if there are problems during or after the job, holding a shareholder and your neighbor accountable will be more difficult.

You should discuss this with the co-op's attorney to get her/his opinion on the arrangement.

I agree with Steven. I would thank the owner "for their gracious offer, but due to potential liability issues and for example, if he or someone else gets hurt in the process, or something gets damaged or something is wrong with the work, it cannot be permitted. It's to protect him as well as the ownership". I would go onto say that "if the ownership deems this work as required, in the future, and we solicit quotes, we would certainly include you in that process".

Steve, Ned,

Thank you for the feedback. Much appreciated.

DC

We have sub-letters who entered with the intent to buy, and others who had no intention to buy. For us the process is the same: before subletting they had to pass the normal board review process as if buying. When they decide to buy, they repeat the process, but the focus is not on who they are, but their current financial position.

I see a small but potential issue. Banks are hesitant to approve mortgages in buildings with too many apartments as rentals/sublets. While the lease-to-own agreement is in effect, and it could be in effect over many years, it will count as a sublet. One of the reasons most buildings have a maximum limit on concurrent sublets is so they don't run afoul of mortgage originator guidelines

I have a few different answers depending on what we are talking about. In one example, if a sales package is sent around via email and there is sensitive information for those purchasers attached, it would be good practice to delete the file or the entire email once the sale has been approved or not approved, this way there is no digital trace on the board members' individual computers. A hard copy can always be retained in the building management file and/or a file cabinet kept at the building.

For emails that are board business, it may be a good idea for the Board to set up an additional e-mail address, such as buildingxyz@gmail.com. You can always include this email address in the CC of the emails that are going around and you will always have a detailed record of board business that can be reviewed at any time, and all of the file and sensitive information can be confined to that email address should they be deleted by other individual board members. Of course, the password to that account should be changed along with a change in the Board as well.

If a Board member has e-mails on their computer from during the time that they served, I don't see the harm of keeping them after the fact. It's always possible that a lawsuit or other issue may pop up from the time that they served, and so long as there is nothing sensitive on the e-mails relating to individual shareholders, it's a matter of keeping record of the events that occurred during their tenure.

BTW, What is the "Chappaqua Affect"?

I've been on the board for quite some time now (8 yrs). Came on after it was uncovered that 20 yr board veterans were also the "sponsors" and besides conflict of interests issues also did nothing to protect the other shareholders interests, did not enforce house rules, didn't even know the house rules and once a lawyer came into the building (which we were told "no lawyers") we found ourselves in years of litigation. It was a mess and topic deserves a separate conversation.

Anyhow, I found that when the board consisted of women or people others had "personal" vendettas against, the board was constantly challenge by non board shareholders. Our lives were made awful, elevator rides or any encounters were hostile. People just behaved like children. There were constant demands on the new board, constant complaints and criticisms, "secret meetings" where held to discredit the board and individuals were negatively discussed. It was awful.

I found whatever records were kept for 25 years Records were scattered about. Some things still in unopened envelops. Meeting notes were pitiful, if there were any, inadequately documented. Personal information was not protected (which was used against people when the board was replaced). I spend months shredding 25 year old materials and organizing whatever minutes and important documents I could find. I contacted the building's attorney and got correct format for minutes , notices, and agendas. I made a book of templates and for over 7 years kept pristine records!

I got flack all the time for mis-spelled words in an email! But, no one seemed to care about the previous years of improper board behavior and non-existent record keeping!

What I am finding now that I no longer keep the records is that they are not getting done and all the work I did is now lost or "misplaced". No one took charge!

All that work for nothing.

By "Chappaqua Affect" I was referring to the current public discourse regarding the fate of Hillary Clinton's official e-mails, which raises broader issues of what happens to e-mauls when someone leaves the entity, whether the Department of State or Board of Directors, and attendant confidentiality issues.

We have used surveys and quite successfully with excellent participation. We have 2 buildings and Suggestion Boxes at each in the foyer so it makes it easy for co-owners to deposit the surveys. For seniors or co-owners that may not have good command of the English language, we go door to door to ensure that they understand and to collect the survey.

Perhaps you should look at Metered Appliances. Its a smaller and family run outfit. You will get more personal treatment, and you will deal directly with the owner. They've been around a long time.

We have in are coop sky laundry systems excellent company they upgraded the entire laundry room highly recommend them 718 639-7070

Metered Appliances has been terrible for our building. Gross old refurbished machines, poorly maintained room, unresponsive to service requests and they never issue refunds for the money that is frequently lost in their machines. Maybe they are better in other buildings in different neighborhoods but I'm counting the days until we can fire these people and have them take their gross machines somewhere else. PS - our machines actually had ROACHES in them at one point.

We use Hercules and are very happy with their service and can recommend them. We did use CoinMach in the past.

Coin Mach and Hercules horrible company we had them in the past I live in forest Hills the worst 7 years with coinmach and the second worst 7 years with Hercules

We had both Hercules and CoinMach years ago, been with Hi-Rise for about 10 years now. Same day or next morning service is pretty consistent, including weekends. We get some complaints about clothes not rinsing well, but it may be that people are using too much soap and water/energy efficient machines in use. Dryers seem to take longer too, also energy efficient machines. Currently have all front loader washers and dryers. Using cards, card machine takes cash only, $5,10,20. With internet connection, you can get credit card use as well. Check to see if machines offered are energy star rated, and if extra rinse cycle is available for washers. Use 'HE' high efficiency (liquid) laundry detergent.

Hi,

Be wary of using machines that use recycled water. My co-op found that using someone else's rinse water as your wash water had little acceptance and people started using outside services as a result (less revenue). Plus, if the people failed to use chlorine bleach, the water in the holding tank began to smell.

Also, ask the question about how long the cycles are. We have found that ours were too short.

Steve

Hi
My experience with laundry equipment when you use soft mount machines they are horrible you definitely want hard mount heavy duty commercial machine stainless steel you want to stay away from machines that only use Eco detergents and are light duty that look small in height look like hard plastic squared box soap dispenser in front of machine that's a sure sign that they going to get mold inside machine and a weird smell will come out of machines and service calls you will always have on equipment. Laundry Machines With those problems are example speed queen, maytag, wacomat. The equipment I would recommend is dexter the only two companies that use them is Fowler laundry and Sky Laundry

I recently purchased an LG washer and dryer (both front loaders) for home use and discovered odors as well. A careful reading of the manual states that the washer needs to go through a cleaning cycle periodically (monthly for me) with a commercial washing machine cleaner product (Tide makes one) or baking soda, etc. My aged Whirlpool top loader also had an odor issue.

You indicate that they snow plow vendor refused service due to lack of payment, which is being worked on, so the superintendent is telling the truth - just a truth you do not want passed onto the shareholders. And no, this is not insubordination. Unless you told the superintendent the reasons as to why there is no snow plow vendor (non-payment) and asked him to keep the information confidential. Then it is considered insubordination - going against a directive. I think what you have here is a superintendent that talks to shareholders and who may have complained to him about lack of snow removal and who knows the reasons and shared the info, I would do 2 things:
1. Issue a letter to the shareholders or post a notice and explain to them the reasons as to why the snow plow vendor has refused service to your building and as you indicate, due to lack of payment and that you are working on it. Explain "why" you are unable to pay them (is there an underlying cause here?).
2. I would talk to the superintendent and let him know that when there are inquiries as to why a service is not being done, to refer shareholders to the board; let him know it's not his place to tell or share his opinion to shareholders financial problems or financial issues with a vendor. Document your discussion for his file.

I agree with Ned's comments, specifically #1 &2.

I notice that you are in Yonkers, NY, are the staff members of 32BJ? if so, there are specific guidelines to follow when the board or your management company need to reprimand.

Whether or not they are members of the union, due to a very similar experience, I recommend that the staff and all board members sign a confindentially agreement. It should be prepared by your attorney. Their signing the agreement provide the board and shareholders greater leverage, if needed, to reprimand.

We are located in Yonkers as well and will be pleased to discuss this matter with the board.

Good luck

I also agree with Ned. Very good advice.

What I would add is that you tell the super to refer complaints to the board instead of relying on the super to know what information he can and cannot give ou. He can simply say he doesn't know the reason and the shareholder should ask a board member. This gets your super out of the loop altogether.

I disagree. Unless the Superintendent attends Board meetings or is party to Board correspondence, they lack full knowledge of the situation. Their comment shows a lack of respect to the Board or to the Manager. If the Super needed to have said anything, it should have been to ask the Manager or Board member.

The Superintendent is an employee of the corporation and has to walk a fine line between Board, Manager and Owners. They failed in this regard. Does this deserve a reprimand? Probably not unless it is repetitive.

I agree however with the need to communicate. Don’t make your life more difficult (and put the Super in a bad spot) by relying on unofficial communication.

I agree with you Steve; supers walk a fine line and unless this has been clearly spelled out to them; written in their job description or employment contract, they may not realize this (or choose to ignore it). That's why I recommended point 2. Document it and put it in his file. That way you have written documentation that he aware of his responsibility to not comment on items pertaining to the operations that he may not have all the details to and to bring these to the attention of the Board or Manager.

I am going to say "yes" providing that as a board, you have all agreed to email communication / voting and that email decisions are documented in your minutes.
We do it all the time as we just too darn busy to meet constantly and a number of issues come up regularly that we require a fast decision on.

So first things first: have you all agreed that due to time constraints etc. email voting is acceptable? If yes, then you are go to go. If no, suggest to your president that you first agree as a board to use email for board voting.

When is the next annual meeting? Have you considered running for a seat on the board ?
Are there other shareholders who agree with your concerns? if so, do they represent a majority of shares?
Does the board have an attorney? Have you addressed your concerns with them? What do they recommend?
Do you know your management company and trust them?
How many units in the complex? Staff?
Have your Real Estate Taxes been appealed?
What is your source of heating, oil, gas?

Sorry to pose these questions to you, hope they will be of some help to you in pursuing the changes that you would like?

I am a seasoned professional manager and would be delighted to discuss your concerns.

Best wishes,
JFB

Do you received copies of the financial statements each year? You should, if not, contact the management company for a copy. It is supposed to be provided to all owners annually. Then read through them as best you understand, as well as the comments at the end. Does the accountant express any concerns? By law, you're also able to examine the board meeting minutes (minutes of meetings are required by law), but you may have to read them at the management company offices.
You are able to check out your building on the web at nyc.gov (finance, dept of buildings (DOB), EPA, and other sites. You can view sales, property deeds, certificate of occupancy, water and sewer charges, property taxes, property valuation, violations, inspections, property management/ownership registrations, etc. etc.
You can go to the NY State Dept of State website and check the registration for the corporation with the state to see if it's up to date. NYC.gov also has info for managed property registration.
Go on the web, find out what you can. If the board is all asleep, you will see all kinds of violations, penalties, out of date information, etc. That would be a clear sign of a poor board and/or management co.
Does anyone else run for the board at the annual meeting, or does the old board just get rubber-stamped? If there seem to be a lot of issues, you could summarize them and present them to the board at the annual meeting (or pass out copies to other residents prior) and either run for the board yourself or vote for someone else interested in fixing things.
There are upcoming 'trade' shows such as the COOP Expo in midtown Manhattan where you could attend for free and show the financials to an accountant who could explain them for you if you don't understand them. What kind of reserve fund does the building have? You can also subscribe to the Cooperator free newspaper and read a lot on the Habitat website for all kinds of useful information.
The answers to the questions posed by the respondent above (Joe B) would help evaluate whether the board is responding to new NYC laws and taking advantage of potential operating cost savings, to keep maintenance fees down.

I guess you would have to contact the State Attorney Generals office with that question. I would like to think that the shareholders would not vote for the person if they are aware that there are term limits and this person should not be running. On the other hand, having someone with experience on the board is an asset, unless that person is self-serving, showing favoritism to specific owners or residents, etc. I've only seen maybe a half dozen prospectuses and didn't see term limits in any of them, but that doesn't mean some plans exist that do have limits.

I agree with JG about contacting the AG's office and term limits in general. Contacting the AG, while a no-cost option, could take months to get any results. A better option (but one with a cost) would be to consult with an attorney who specializes in Co-op and Condo law. Do not ask the board's attorney because they work for the board and not for you so their response can be biased in favor of the board.

Which document specifies the term limits? Proprietary Lease, Bylaws, House Rules, other? Do you know if they were they in the original document or added as an amendment? I'm asking because I also find having term limits to be a non-standard condition. It's often difficult enough to get shareholders to serve on the board, let alone limit how long they can serve for.

Term limits were established several years ago with an amendment to the by-laws. Last year a mailing by a slate solicited proxies. One csndidate was ineligible and he ultimately withdrew, but no notification was given to shareholders until it became obvious at the Annual Meeting. Thus, proxies were solicited under false pretenses.

So, the situation came up last year and the candidate withdrew. I doubt that the AG or anyone would take any action at this time. It would be a different story if the person was elected and is serving a term now.
What would happen if there were 5 positions on the board and only 4 candidates (excluding the ineligible candidate)? Would the board function with only 4 members until the next election?

The By Laws permit a minimum of three Directors. My post is in anticipation of the next Annual Meeting in March.

Do you know others in the building that share your concerns and are like minded? (2 others as you mention that you need 3 Directors). If you do, solicit their help and simply do a petition. You need to canvass the building and explain to people why you are petitioning for a new board to be put in place; no financials, elderly board members who don't understand what is going on, concern for all of your investments etc. You may be surprised at how many signatures you will obtain. Then simply present it, via a letter to the board a couple of days before the meeting or even at the meeting. If you get the majority signing; their out, you and your team is in. It takes work and effort, but it can be done.

I don't think that petitions supersede shareholder share votes. Wouldn't obtaining proxies be the legal way to go?

If a group of shareholders want to re-elect someone who term has ended and the majority of them vote for this person, then I'm certain the person would get in regardless of the house rule or by-laws. On the other hand if you can get support of shareholders for a new board by canvassing, at the same time you canvass, ask for their proxy. I do not believe that there is a law against petitions. You may want to follow some of the guidelines here http://www.dos.ny.gov/lg/publications/CitizenGuidetoPetitions.pdf