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Super & Porter gets OT pay working at 40hrs - POTP Jun 17, 2009


My Bronx 45-unit building recently went coop. We have 1 super and 1 porter. We just received the payroll report from our managing company, and notice the following pattern: Each week an employee call out sick. If the Super or Porter calls out sick or leave early due to sickness, the one that is still working, is paid that amount of hours in OT at time and a half. This employee is not working extra hours, they work their standard 8 hour day, and the one that went out sick is paid his sick pay. Isn't this double dipping?

The management company insist this is what 32bj contracted for their union members. Unless I'm misreading this contract, I have not located such nonsense.

I'm a union member, our has been in arbitration for 6 months, if 32bj Executives was able to negotiate a contract like that, my union needs them.


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If the porter calls in sick and the Superintendent has to perform his duties during the same time of work, he should not get OT. Same goes for the porter.
If the porter calls in sick say on a Sat. when the Superintendent is off and he performs the work then he is entitled to OT.

Resident Manager in Manhattan.

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This is trickery. If employees are alternatively calling in "sick" and you picked up on their pattern to gain OT pay. The co-op should have the right to fire.

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Chubby
Thanks for your response. The board is dealing with the chronic sick pattern between the two employees.
The management company will be responsible for creating this mess.

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Trick is to have a porter in a near by building who would like some extra pay at (regular salary of course). Some times a porter is looking for extra work, on his days off, if your porter calls in sick you may be able to call him.

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Pigeons - CDT Jun 16, 2009


Despite copious amounts of Bird-B-Gone anti-pigeon spikes on our windowsills, we're still getting complaints from shareholders about pigeon droppings. How have other buildings dealt with this problem? Is there some person or some company you would recommend as a consultant? We're interested in talking with a specialist who doesn't have a vested interest in selling us $5000 mechanical falcons with scare tactics that make pigeon droppings sound like nuclear waste. And at what point do you draw the line and say that you've done everything you plan to do about the problem?

By the way, our attorney has informed us that the Board has no legal obligation whatsoever to do anything about pigeons. They are outside the building and outside the Board's responsibility.

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CDT: We're in Manhattan but we also have an apt in a high-rise NJ condo. Every apt has a terrace and we've had trouble with pigeons landing on and messing up the terraces for years. We finally solved the problem!

We hired a company that put a dish of corn kernels injected with a chemical on every terrace. It doesn't kill or poison pigeons and it wears off. It disorients them so they decide (however they do that!) not to return to where they got the corn kernels. That was in spring 2008. We haven't had one pigeon on or even flying anywhere near any terrace in the building since then.

The company is Bird Doctor, Inc. (subsidiary of a large company called Bug Doctor, Inc.) They're in NJ but they work in the entire tri-state area. Their number is 201-599-1007 and their website is www.birddoctorinc.com. We tried many things but this is the only one that worked, and 100% effectively.

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BP, thanks for the enthusiastic response. Unfortunately, your description sounds like the bird-disorienting drug called Avitrol, which is no longer legal in New York, though it's fine in many other states.

Any other ideas? I'm very interested in hearing real-life war stories about how pigeon problems were handled, whether or not the results were successful. We'd love to banish pigeons from our building, but we don't want to throw away money on ineffective techniques.

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CDT:I don't know if Bird Doctor uses a product containing Avitrol. I was told they use various chemical and other things - mechanical systems, audio-visual devices, wire mesh, etc.

One coop installed small spikes 3" apart along the top of their terrace railings. It seems pigeons usually go on the railings before they go onto the terrace floor, and when their feet land on the spikes they don't like it and fly away. The coop told me this works much of the time but not all the time.

Another coop used "bird netting." It's taut and attached at the top of a terrace railing and at the edge of the terrace ceiling. It's sort of a screened-in porch effect. It's flexi-fiberglass and not a tight weave like wire mesh. The weave is wider but not enough for pigeons to squeeze in. It's clear color so it doesn't interfere with visibility or the look of the terrace, and it allows air to circulate freely.

This coop installed the netting from terrace floor to ceiling. I know people who live there. One has a dog and the other has two cats. They like the full-length netting because it creates an invisible blanket on all the railing posts as well as from the railing top up. They can let their dog and cats out onto their terraces without fear that they'd fall or jump off!

We tried scarecrows that look like hawks which go after pigeons. We tried a glue-y substance you squeeze along the top of the railing like toothpaste so pigeon feet stick to it. That worked briefly until the birds stopped landing there and went straight to the terrace floor. We tried windsocks, hanging plants. Someone suggested painting the railings a weird color to scare the pigeons. He owns 4 apts and tried lime green paint on his railings (without coop permission) which looked awful! The coop made him remove it. I don't even know if pigeons see colors, and if so maybe they like lime green because it seemed to attract even more of them.

As I said, I don't know if Bird Doctor uses Avitrol but if you have pigeon problems it may be worth contacting them for info. It's a large well-known company. "Bird netting" sounds like it might be worth checking to and I would think Bird Doctor would be familiar with it.

Hope something I wrote here is of some help. You should also tell residents not to throw any food/seed out windows or put it on window sills for pigeons or any birds. Some people like to feed the "dear little things" but once they territorialize your place it's very ifficult to get rid of them, and they can carry diseases.

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BP, thanks for all the additional details. In particular, the bird netting sounds less odious than anticipated. I'll talk with the rest of our Board about investigating this possibility. (And I promise we won't paint it lime green.)

By the way, although I've had no reports of our residents feeding the pigeons, we live next door to a hotel where pigeon feeding has been a problem in the past. Someone over there may be doing it again.

Thanks again.

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Pay Real Estate Tax Early? - Steve Jun 16, 2009


OK – I have a question for the forum;

From our annual Real Estate Tax notice (BBL 2171,012 Manhattan), it looks like we can save $2,596.16 on our property taxes if we pay in full on 7/1/2009 (or 1.5% of our Annual Property Tax of $173,078). This looks like a great opportunity for us as we can only purchase CD's at 3/6/9 months at .5%/.55%/1.0% annual rates from Vanguard. We would have earned approximately $500 in interest if we invested the amounts in these CDs (on three $43,270 quarterly payments) for a net gain of about $2,100.

Does anyone see any downside? We have ample reserves to cover and we would pay the monthly escrow payment to ourselves to replenish the reserves. NCB is our current mortgage holder.

Thanks!

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Steve, if you have the available cash, there is really no downside to paying early as long as you do not need to liquidate an investment paying a higher rate in order to do so. There is actually a sliding scale of savings - 1.5% if you pay in full by July 1, 1% if you pay the remaining due on October 1, and so on.

In our case we have not been able to take advantage of this discount because our quarterly taxes are over $600k and prepayment would require too large a cash outlay.

Go for it!

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renovations - AB Jun 16, 2009


Just wanted to know if any one can recommend a good, reliable, and affordable construction company that specalized in renovations for interiors of coop buildings. Our building is looking for some one good that will not cost more in the future because of poor workmanship. Please feel free to share

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This is a great question, and I'll be interested in the replies. It's a tough one!

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I know a solid contractor, I work as a resident manager and this contractor does everything by the book. he may take a little longer then your normal g/c, but this guys does it right the first time around he does it all contracting to woodworking. he's not the cheapest but by far not the most expensive.A true gem...

Nick (646) 315-4446

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Does this guy named Nick have a construction company name? Sure don't look to good for the Resident manager to recommend a contractor?

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Nick's Contracting is the name. Doesn't look good for a resident manager? That's pretty insinuating.

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Thanks for the input hopefully I can get a few more contractors to contact

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Combining Units - Anonymous Jun 15, 2009


I live in a condop, can I combine apartments? Would this require rewriting the lease stating that the bldg is a, let's say, 99 unit bldg instead of a 100 unit bldg?

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Sell - Wonder Jun 12, 2009


Why would someone offer to sell his place for $149,000 + $5,000 closing cost as opposed to just $144,000?

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If the seller is paying the buyer's closing costs, the seller may be trying to reduce the net gain for the purposes of calculating capital gains taxes.

If the seller thinks that by paying the buyer's closing costs that he will be able to deduct those costs, he will likely find out the hard way that he was wrong...they are only deductible by the buyer.

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Installation of air conditioners - David Phelan Jun 11, 2009


Our Coop board is preparing a memo regarding proper installation of window air conditioners. Since we have metal frames we do not allow drilling into them.

Does anyone have a good set of instructions on how to do this? Most of what I can find is based on drilling into frame, etc.

Thanks,
David

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There are universal bracket of at least two sizes, depending on how large and deep is your AC that may be used. However, I would say that drilling may be essential to maintain the bracket in place. For your info, it would be best to anchor the AC to a window than having an A/C fall on someone's head.

AdC

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There is a universal bracket for A/C's. It come in two sizes for use with different sizes of A/C's. However, I would say that drilling to the structure or the the frame may be essential to maintain the bracket in place.

AdC

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There is no other way to mount the Universal Bracket unless you drill into the window sill, if you have aluminum windows heres a tip, apply some caulk around the screws threads and then screw into the sill to make a tight weatherproof seal.

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Coop sublease agreements - Jack in Brooklyn Jun 10, 2009


do any of you that allow subleases require a specific sublease agreement?

Is that any reason not to allow a standard Blumburg sublease agreement form? Anything specific to look for in order to protect the coop?

TIA

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We use the standard agreement but one thing that we do put into place is a rider to the sublease which states:

This rider dated __________________ attached to and part of lease dated ______________ between ________________________ as landlord and __________________________ as subtenant in bldg # ____and Apt. # ______ at Cooperative or Condominium name in City, NY.

This agreement made part of lease dated _________________________ as follows;

In the event of bank foreclosure or if maintenance charges, etc. become delinquent on the unit _____ at Address, City , NY ZIP upon written notice from The Board of Directors or Managing Agent to subtenant, subtenant shall make all future monthly rental payments to The Board of Directors. Payments shall be payable in the following manner:

Cooperative or Condominium Name
C/O Excel Bradshaw Management Group, LLC
393 Old Country Road, Suite 204
Carle Place, NY 11514

The payment of the monthly rent to the Board and the acceptance of the rent by the Board shall not constitute a landlord/tenant relationship between the parties.

Upon resolution of all delinquent charges subtenant shall resume paying landlord, upon notice by The Board of Directors or Managing Agent.


___________________________________
OWNER:

___________________________________
TENANT:


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The Blumburg apartment sublease?

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Look at our sublease documents at:
http://www.thepinehurst.org/residents.htm

Scroll down to "Application forms" and then under "Sublet" you can download both the applicant's cover sheet and other forms.

The previous commenter's rider about the subtenant paying directly to the co-op in the case of delinquency or foreclosure is very interesting, but I wonder if it would hold up in court. Doesn't the mortgage holder have first dibs on being repayed?

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It has held up in court on the Condominium side, and we have luckily only used it on the Cooperative side thus far for delinquent Maintenance payments for the Cooperative. We have not had to deal with the Shareholder's mortgagor.

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Thanks -- the rider is certainly worth considering!

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All it does is protect the building. Nothing damaging in that. Good luck.

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No, the coop's claim to maintenance is senior to that of the lender. This is why often times a share loan for a coop has a higher rate of interest than a loan on real estate

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bedbugs - coop: who pays? - eddie Jun 09, 2009


in a coop with sponsor apartments - we understand that the landlord must pay for extermination of bed bugs in any given apt. - in otherwords, if a rent-controlled tenant has them, the sponsor pays for the exterminator. If a regular shareholder has them, the coop pays. Is this correct?

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I am planning on addressing this on my blog here on Habitat (I'm Mr. Manager). I have two separate cases of bed bugs in different Cooperatives now and they are handling the situation differently. In speaking with a colleague last night about this, he attended a NYC Bed Bugs seminar and the way that they spun it was that the Shareholder and the Cooperative Corporation should be splitting it. I'll tell you how we are handling it.

Building 1: Having inspected roughly half of the units in the building, we have found that approximately 35% or so of the building was infected and needed to be exterminated. Even though this may be considered a Shareholder issue (you can take legal action for payment against the person who brought them into the building if you can prove it), this Board decided that they would cover the cost of the exterminations because they needed 100% of the infected apartments to be treated. They would not take the chance of having 1 Shareholder refusing service and then continuing the spread to new and previously infected apartments. This building will be doing an assessment back to the Shareholders to cover the out of pocket expense for the Cooperative. So in essence, the individual Shareholders are paying for it, although a slightly lower percentage than if only those who were infected paid.

Building 2: We received reports of 2 apartments out of 130 or so that were infected in the apst few weeks. The building felt that it was prudent to get an inspection done ASAP and to cover the cost for that inspection. In both buildings we have used a trained dog, which is the only sure way to ensure 100% accuracy for infestations. The infestations are only approximately 10-15% of the building and because of this low number, the Board has decided that they will initially cover the cost of the exterminations to ensure that all of the work is taken care of and they will be this back to the individual Shareholders who are treated, and will not do it through a building-wide assessment.

I would check with your attorney to see if either of these methods will work for your building. The important thing is to make sure that you contain the spread as quickly as possible. Shoot them first and ask questions later.

Hope that helps.

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thank very much for the useful reply. but not how I heard it - the coop pays - it is in the lease- the lessor must be responsible for vermin . no grey area. no assessment - it is not a capitol improvement. sponsor-owned apartment = sponsor pays. if sponsor does not effectively treat the problem , then he pays for all effected apartments.

For one, this encouraged a coop - or a sponsor - not to be cheap and ti hire a high end extemrination company. you must have a very very bad situation if you have 35% of apt effected in a building. how is that possible??

you are right about the dog - it should also inspect laundry rooms, mailrooms and other public areas.

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Assessments in this economy - Liz Jun 07, 2009


We need to do some interior work, which will likely take an assessment to fund. We anticipate that those shareholders experiencing financial difficulties are going to be negatively impacted (and, possibly, may not be able to pay for it). It seems unwise to delay needed work, but we are also aware of the extremely poor economy. Are other Boards delaying work due to the economy? Any suggestions? What if we charge only a small amount per month and take 1 or 2 years to replenish the (already low) reserves?

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It's certainly never a good time to bring an assessment onto the Shareholders, no matter the state of the economy. I think that your answer depends on the amount in reserves that you currently have, the need for the work to be done (is it city or mortgage holder directed or is it a cosmetic facelift, etc.?) and also the time frame with which you have to work.

Does your building have a line of credit that it can tap into for work that needs to be done? This could ease the burden depending on the payoff schedule for the loan. Is this work that you can pass off as receiving a J-51 abatement so that you will see some of it again on the back end? Is it work that is needed to secure the safety of the residents?

I think that you'll have to make a choice of what work to do in the next 2 years as even if you contract for all of the work to be done, no contractor is going to wait two years to receive payment, which is the problem when you are depleting your reserves up front. If you have nothing left (and no line of credit to fall back on) your building is setting itself up for disaster in the case of an emergency down the line. Can you pass this along in a 6-month payout or so in order to ease the burden on the Shareholders and also get it in before heating season starts and the major bills begin piling in again?

It seems that there are too many variables in this equation to completely give you a good answer, but if you weigh all of the benefits to doing the work today versus putting some off and saving up with an assessment, the Board may come up with their answer.

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I agree with Mark's suggestions - while you cannot ignore work that must be done, if the work is considered discretionary you may want to postpone until you have an opportunity to put a line of credit in place.

Depending on the size of your building, another option is to leverage the co-op real estate tax rebate. We have no mortgage but we have funded some very large projects over the past several years entirely through reserves that are funded by a flip tax. After many years of faithfully returning the rebate to the shareholders, we recently decided to assess back an equivalent amount to the rebate in the same month so as to minimize impact to the shareholders. This money will be directed to our reserves and will provide us with the funds that we need for the next several years.

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My personal opinion is that if the work is a necessity, while tapping the line of credit is not optimal, it has to be done. However, it appears that you should also take a look at how to move your finances into a sustainable mode. I agree with Mark that there are many variables here to consider.

One thing I would recommend is taking a look at your finances not from the perspective of the individual shareholder but from the perspective of the corporation. If you take a look at the finances from the point of view of the individual shareholder, there will always be one shareholder (one special case) that limits what you can do in some way. However if you take a look at it from the perspective of the corporation, the best answer usually is more self evident. Yes, you might negatively impact a shareholder to whom emotional ties might otherwise prevent an action that is good for the whole corporation. This is life and can't be helped. In short, you can't run a successful corporation based on the lowest common element.

Your corporation simply needs more cash. It can either come from a maintenance increase (my favorite), assessments (my least favorite) or adjustments of debt/mortgage balances. You might want to consider a mid year increase.

Finally, the forum could offer more advice if you share your most recent audited financial statements.

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We needed to do some work. Rather than an assessment, we arranged a Line of Credit with National Cooperative Bank.
You ought to look into it.

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Wouldn't we have to raise maintenance to pay back a line of credit? Or is the tax deduction benefit so great that it would somewhat offset? thanks for any advice, of course I will also check with our accountant.

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Sometimes it can depend on the terms of your first mortgage. Perhaps you'd be able to only pay off interest on the line in the near future (which is minimal) and you'll be able to refinance your first mortgage while rolling both loans into the refinance. It really depends on the situation.

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