306 - 620 View Street, Victoria, B.C. V8W 1J6 General Office Email: [email protected] Office Telephone: (250) 920-0688 or 1-855-38VISOA (1-855-388-4762) Strata Support Team: 250-920-0222 or 1-877-33VISOA (1-877-338-4762) VISOA Web site: www.visoa.bc.ca Vancouver Island Strata Owners Association VISOA Bulletin - MAY 2018 Editor’s Angle David Grubb, Co-Editor our employees (and keeping Board amendment of SPA Regulation 6.9 On being officially “appointed” co- members in line). We owe a huge to accommodate specific groups of editor of the Bulletin, I recognized, “Bravo Zulu”, as the Navy says, to owners sharing expenses in preparation Latin having been inflicted on me from Sandy for her outstanding work. for Electric Vehicle charging stations. an early age (now mostly forgotten), So I will give my best shot at keeping Of particular interest is an that “co-“ is an abbreviation of “con”, the Bulletin rolling off the press every announcement from the BC Law signifying “with”. But “con” has many quarter, with the advice and help of Institute Committee regarding the secondary meanings. So am I editing Sandy, Georgia Ireland who formats release of their Consultation Paper with Sandy or have I been conned? each edition so creatively, and the on Governance Issues in Stratas. It is Realistically, I have been a copy other members of the Board who add a well written but detailed study with editor for some years, content to check their expertise as well. their recommendations of sections of punctuation, spelling and grammar, Sandy will maintain her President’s the Act dealing with how stratas should and rephrase some sentences for Report which will concentrate on the rule themselves, including potential clarity. But I have not dealt with activities of the Board and, with input effects on the Standard Bylaws and finding writers and articles, layout, from our members, represent VISOA probably individual stratas’ bylaws. It advertisements, lists of business in dealing with developments and is well worth all strata owners’ reading members, and all the small details that issues in the strata community about and we encourage feedback to the go into the production. Nonetheless, which strata owners are concerned. Committee: especially the long form. it is time someone lifted the burden In this issue, in addition to some (Deadline: June 15, 2018) from Sandy’s shoulders after 8 years ever-valuable information about bylaw As ever, we are always on the at the job. And that was in addition enforcement and common property look-out for articles which may be to becoming President, organizing usage (Pets & Parking! Again!), of interest to strata owners. So if you seminars and workshops, serving we have some solid advice from have something to share or would like on several provincial committees business member Cameron Carter to see some information about a topic, concerned with stratas, liaising about insurance and the replacement please do not hesitate to send us a note with other agencies, supervising cost of a condominium, and the latest at [email protected]. In this issue... BOARD OF DIRECTORS 2018 • Editor’s Angle David Grubb ...... 1 EXECUTIVE • You Asked: The More Things Change... Harvey Williams...... 3 President - Sandy Wagner • You Asked: Who is Responsible for Leak? David Grubb...... 3 Vice President - • The Importance of Insuring a Condominium to its Full Replacement Cost Cameron Carter...... 7 Paulette Marsollier • BCLI Seeks Your Input on Governance Issues for Strata Corporations Kevin Zakreski...... 11 Secretary - David Grubb • Introducing New Business Members...... 10 • Business Members Directory...... 12 Treasurer - Betty-Ann Rankin • But It Has Always Been My Unit’s Parking Space! David Grubb...... 15 DIRECTORS AT LARGE • Pet Problems Shawn M. Smith ...... 19 • Plugging Into User Fees Wendy Wall...... 22 Deborah Fraess, • President’s Report Sandy Wagner...... 24 Lynn Klein, Wendy Wall
“Assisting Strata Councils and Owners since 1973” VISOA Bulletin May 2018 • 1 The More Things Change... [The following “You Asked” article was written for the March, 2003, Bulletin by our veteran Helpline person, and sometime editor & president. It is reprinted here because it answers the same question the Strata Support Team still gets! And the answer has not substantially changed! Ed.]
only one person wants to serve on ers. Moreover, they are apt to be criti- the strata council? cized by fellow owners who disagree with their decisions. The strata council is the principal means by which strata owners partici- pate in the management of their strata Bulletin, March 2003 property. While the Strata Property Act (SPA) doesn’t require any par- YOU ASKED ticular owner to serve, it does require Harvey Williams the election of a strata council from Have a question about managing among owners or their designates. A. Difficulty in finding owners will- your strata corporation? Ask us. If we The parameters of the strata council ing to serve on the strata council is don’t know the answer, we’ll either are set out in Sections 25 and 26 of the a perennial problem in most strata find it for you or direct you to where SPA which read as follows: corporations. One reason for owner you can find the answer. Questions reluctance to serve on councils is may be rephrased to mask the identity 25 At each annual general meeting that the motivation for purchasing a of the questioner and to improve clar- the eligible voters who are present condo in the first place was to escape ity when necessary. We do not provide in person or by proxy at the meeting the burden of home management and legal advice and our answer should must elect a council. maintenance. It often comes as an un- not be construed as such. However, pleasant surprise to first-time condo we may, and often will, advise you 26 Subject to this Act, the regulations owners to discover that they are ex- that you need legal advice. and the bylaws, the council must ex- pected to serve on the strata council ercise the powers and perform the du- from time to time. Q. What happens when no one, or ties of the strata corporation, includ- It may seem to ing the enforcement of bylaws and them that they have rules. Finally! A Permanent, only exchanged one set of problems for Although the Act leaves the size of another even more Environmentally Friendly the council to the bylaws, not having complex set of prob- a council is not an option even though Asphalt Patch lems. In their single a strata corporation employs a man- family dwelling, agement firm. It is also left to the by- they made all the laws to define a quorum for council decisions and paid meetings. Although Section 9 of the all the costs. In a Standard Bylaws states that a council condominium, man- must have not less than 3 and up to agement decision Finally! A Permanent, 7 members, a strata corporation will are made collective- adopt a different number of members Environmentally Friendly ly and the costs are on the council if there are fewer than shared among the Asphalt Patch four units in the strata corporation. In owners. As a coun- that case all owners will be on coun- cil member, they are cil. called upon to make What happens when not enough decision in coop- owners are willing to serve on the 776 Cloverdale Ave at Oak St. for more info eration with and on 250-727-3545 [email protected] behalf of other own- Continued on page 5
VISOA Strata Support Team (250) 920-0222 • General information - [email protected] VISOA Bulletin May 2018 • 2 YOU ASKED By VISOA Strata Support Team Have a question about managing your strata corporation? Ask us, we’ve had a lot of experience helping strata corporations solve problems - perhaps we can help you. Questions may be rephrased to conceal the identity of the questioner and to improve clarity when necessary. We do not provide legal advice, and our answers should not be construed as such. However, we may, and often will, advise you to seek legal advice.
eons, then any leaks, etc. become unlikely to be the fault of the original the responsibility of the owner, contractor or plumber: pipes simply whether they be original owners or wear out and a minor disturbance might be just sufficient to open up a pinhole leak or a crack. Nor is the “fault” necessarily that of the plumber who was working in the unit to replace the fixtures. I am WHO IS RESPONSIBLE FOR sure that most plumbers can tell you about occasions where they have LEAKS? replaced some fixtures, or did some not, having bought the faults along relatively minor work, but their with all the other trappings that By David Grubb work was just enough to trigger such come with ownership in a Strata. a small leak (shake the pipe, cause Anyway, should I be calling in the it to vibrate just enough) but the Q. An apartment owner in our strata’s insurance company to look result might not show up for a while building doing due diligence had a at this whole mess? Should it be the because it started as a slow drip (or plumber in to make repairs to their strata’s problem in the first place? it might be more forceful but not be bathroom drains and shower taps What happens if the repairs cost less noticed for a while especially if the etc. In doing this there was some than our deductible? original job didn’t involve opening damage that has caused a leaking the wall up). pipe. The plumber returned to the A. Greater Victoria’s water is noted building to correct that damage. Indeed it is always prudent to let as “soft”, so it is high in oxygen and However, we now have a hole in my the strata’s insurance company know carbon dioxide. It readily absorbs bathroom ceiling (under the original and ask them to have an adjuster copper, lead, and other minerals unit) and water damage to the main inspect the damage. If the council from plumbing which wears down floor carpeted hallway. In addition, decides not to pursue a claim (i.e. the pipes over time. A “high level we have an owner on the main pay from strata funds) then it will estimate” of copper pipe life by floor who is worried about possible not affect the strata’s standing with many in the construction industry mould in his apartment wall due to the insurance company. is approximately 30 years in the this leak. But that, of course, doesn’t answer lower Vancouver Island area, after My feeling is that the whole your essential question: Who is which time owners should consider responsibility lies with the plumber, responsible for payment? So, I will replacing the pipes -- especially the but he said that the fault lies with try to answer some of your concerns hot water pipes in buildings which the original contractor who built about how the “system” works. have a central hot water system with the building – therefore the cost Although, once in a while, a recirculating pump that is going of repair belongs with the Strata inspection reveals a builder who all the time. Corporation. used cheap copper, or a plumber who One strata I am aware of always I do not feel that the plumber’s installed it in a particularly sloppy includes $9,000 in the annual opinion that the Strata Corporation fashion, under most circumstances, operating budget in anticipation is responsible in perpetuity for when leaks start to happen fairly of three leaks a year. These will building errors is correct. I thought regularly in older buildings it is that once a building has existed for Continued on page 4
“Assisting Strata Councils and Owners since 1973” VISOA Bulletin May 2018 • 3 You Asked: Who is responsible for leaks? Continued from page 3
likely be either pinhole leaks or corporation, and all owners, tenants which generally has meant that the leaks where the solder at a joint has or regular occupants “named strata has to pay for the repairs. become loose, and most often the insureds” on the strata’s policy, Many stratas are now correcting cost of repairs for the plumber and and they all have the right to this imbalance by passing a bylaw the restoration process of air movers make the claim (through the strata that if the repair is less than the (dryers), wall replacement, paint, corporation) to the strata’s insurance deductible, and the owner is held etc., come to less than or maybe company for the repairs. responsible, then the owner is very slightly over the deductible. So In doing so, however, if the owner required to pay the full amount. making a claim against the strata’s is found to be “responsible”, the Here is a sample of one such bylaw: insurance is not practical. And too strata is entitled to sue the owner for many claims tends to increase the the deductible under SPA s.158(2): (a) An owner will indemnify and deductible and possibly the annual save harmless the strata corporation premium. The norm today seems Insurance deductible from all expenses for any to be $5,000 for smaller stratas but maintenance, repair or replacement it does not take much to boost it to 158 (1) Subject to the regulations, rendered necessary to the common $10,000. And there are much larger the payment of an insurance property, limited common property, stratas which have had problems deductible in respect of a claim on common assets or a strata lot if such that they now face deductibles the strata corporation’s insurance is the owner or the tenant, occupant, of $25,000, $50,000 and perhaps a common expense to be contributed contractor, agent, guest or invitee even $100,000. (Of course, the to by means of strata fees calculated of the owner is responsible for the strata should have included in their in accordance with section 99 (2) or loss or damage to the extent that Major Asset Management Plan, 100 (1). the loss is not covered by the strata an appropriate time and cost for (2) Subsection (1) does not limit the corporation’s insurance. replacing the copper lines.) capacity of the strata corporation to With your particular incident, sue an owner in order to recover the (b) In the event that loss or however, first, let us deal with deductible portion of an insurance damage occurs to common property, limited common property, common the owner concerned about mold. claim if the owner is responsible for assets or any strata lot that gives Assuming that no other damage the loss or damage that gave rise to rise to a valid claim under the strata occurred to the original unit, if the claim. corporation’s insurance policy the the areas between the walls and (3) Despite any other section owner shall reimburse the strata between floor and ceiling below of this Act or the regulations, corporation for the deductible have been properly dried out before strata corporation approval is not portion of the insurance claim if the re-enclosing them, there should not required for a special levy or for an owner is responsible for the loss or be any major problem. Mold can expenditure from the contingency damage that gave rise to the claim. only thrive if there is no warm, dry reserve fund to cover an insurance air circulating through the area, so deductible required to be paid by if it has been thoroughly dried out, the strata corporation to repair or Responsible the likelihood of mold developing is replace damaged property, unless minimal. the strata corporation has decided Many struggle with the difficulty Second, what you are now not to repair or replace under of what “responsible” means, concerned about is whether the section 159. because it is not defined in the owner or the strata is responsible There is a catch here, however, SPA, and thus has been the subject for paying for the leak repair and because this is only applicable if the of several court cases and now the damage to the strata lots and the insurance claim is actually made. CRT. common property. If the damage repair is less than The courts have specified that Section 155 of the Strata Property the deductible, the SPA is silent on “responsible” does not mean “at Act (SPA s.155) makes the strata how the strata can recover the costs Continued on page 5
VISOA Strata Support Team (250) 920-0222 • General information - [email protected] VISOA Bulletin May 2018 • 4 You Asked: Who is responsible for leaks? Continued from page 4
fault” or “negligent”, even though The courts have determined, that not been accepted in court. The that is one of the definitions. Rather, if a leak occurs in a pipe which fact is that no one can predict such it is to be interpreted in its other supplies water for the sole use of an event, regardless of where and common use as “having charge of”, one strata lot -- as in the connection when the incident may happen. The as in “Who is responsible for (in from the point it leaves a common situation can be compared to a single charge of) booking the auditorium?” supply to the end point of its use family dwelling where an owner is or “Who is responsible for (in charge (sink, shower, bath tub, toilet, etc.) completely responsible, even if they of; looking after) the equipment and -- it is the “responsibility” of the did not predict the leak either. Their furniture in this room?” strata lot owner. In that case, the house; their responsibility. That is why it is inadvisable strata can sue the owner for the If, however, the leak occurs in a to use words such as “at fault” deductible in an insurance case, or, pipe which connects throughout the or “negligent” in bylaws since it if a bylaw exists, for any amount building to many strata lots and the can be very difficult to prove that less than the deductible no matter common property, or even which someone “did” do something, or where the damage occurs (locally, can be shared just between two or “failed” to do something, and is or involving common property and more strata lots, it is considered to be therefore blamable, whereas, it is other strata lots). common property as specified in the not so difficult to prove that, with The argument that an owner “definitions” of SPA s.1. Therefore, the appropriate definition, someone cannot predict when a pipe, covered the strata is “responsible” for the was “in charge of” an, action, item up in a wall, will burst and therefore deductible or the cost of the repair or area. the owner is not responsible has if less.
The More Things Change... YOU ASKED Continued from page 2 strata council? The SPA is not explicit (c) order that the administrator ex- duty unless that approval has been on this point and only a lawyer should ercise or perform some or all of the obtained. speak with authority on the matter. powers and duties of the strata corpo- lf the court were to appoint an ad- But it appears to be a case in which ration, and ministrator for a strata corporation, Section 174 of the SPA could be in- (d) relieve the strata corporation of owners could, in effect, lose complete voked. Section 174 reads as follows: some or all of its powers and duties. control of their property until such (4) The remuneration and expenses time as the court deemed them willing Appointment of administrator of the administrator must be paid by and able to assume that responsibility 174 (1) The strata corporation, or the strata corporation. again. The corporation would be ad- an owner, tenant, mortgagee or other (5) The administrator may delegate ministered by a person selected by person having an interest in a strata a power. the court at a salary the court deemed lot, may apply to the Supreme Court (6) On application of the adminis- suitable. for the appointment of an administra- trator or a person referred to in sub- A council elected from among the tor to exercise the powers and perform section (1), the court may remove or owners of a strata corporation seems the duties of the strata corporation. replace the administrator or vary an far preferable to a court-appointed ad- (2) The court may appoint an ad- order under this section. ministrator ruling by directive. In or- ministrator if, in the court’s opinion, (7) Unless the court otherwise or- der to avoid such a situation, all own- the appointment of an administrator ders, if, under this Act, a strata cor- ers should be willing to take their turn is in the best interests of the strata poration must, before exercising a on council. corporation. power or performing a duty, obtain An added caution, any owner wish- (3) The court may approval by a resolution passed by a ing to apply to the court for appoint- (a) appoint the administrator for an majority vote, 3/4 vote, 80% vote or ment of an administrator should first indefinite or set period, unanimous vote, an administrator ap- seek advice from a lawyer knowl- (b) set the administrator’s remu- pointed under this section must not edgeable in strata property law. neration, exercise that power or perform that
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VISOA Strata Support Team (250) 920-0222 • General information - [email protected] VISOA Bulletin May 2018 • 6 The Importance of Insuring a Condominium to its Full Replacement Cost By Cameron Carter, BCom, RI, CRp There is an responsible for any shortfall in the syndicate has an insurable important rea- coverage. interest in the condominium and son why many shall take out insurance against Canadian prov- Canadian Provincial Codes ordinary risks in an amount that inces require The BC Strata Property Act is equal to the replacement cost condominium specifies in section 149.1 that of the condominium. and strata cor- the strata corporation must ob- The common theme across porations to tain and maintain property in- Canada is that building owners have full replacement cost in- surance for the full replacement must insure the common assets surance on their buildings. This value. of their property to full replace- is to ensure owners are pro- In Ontario, the Condominium ment cost. The fact is that with- tected from major perils where Act states that the corporation out sufficient coverage, owners the property is deemed a total shall obtain and maintain insur- may be left dealing with signifi- loss. The most common cause ance on behalf of the owners for cant expenses, lawsuits, or in the of a total loss is fire, but other damage caused by major peril, worst-case scenario, bankruptcy. causes can include earthquakes, including fire, lightning, smoke flooding, or if a building is con- and more, and the insurance Annual Updates to Appraisal demned and deemed unsafe to shall cover the total replacement Amount live in. cost. It is equally important to ob- The full replacement cost, also In Alberta, the condo corpo- tain annual updates on the known as the Total Insurable ration is required to insure the amount to be insured. The costs Value, should include the build- common property and units Continued on page 8 ing structure, all common fa- (not includ- cilities and assets, building code ing improve- and bylaw upgrades, and any ments made insurable improvements. This to the units by would not include any better- the owners) ments made to individual homes against loss by owners, so it is recommended resulting from that owners insure their renova- destruction or tions and updates through per- damage caused sonal property insurance cover- by any peril, age. and that this Each Condominium Act or insurance must Strata Property Act across Can- be equal to the ada has a similar bylaw man- replacement dating that condominium and cost of the con- strata corporations insure their dominium as property adequately. The codes described. are set up to protect home own- In Quebec, ers. Many corporations who do section 1073 of not comply with their provin- the Civil Code cial codes may be at significant of Quebec risk of being underinsured and stipulates that
“Assisting Strata Councils and Owners since 1973” VISOA Bulletin May 2018 • 7 The Importance of Insuring a Condominium to its Full Replacement Cost Continued from page 7
of construction and materials total loss after a fire destroyed syndicate to ensure the build- are constantly fluctuating, so the building. The syndicate filed ing in an amount equal to the owners must keep an up-to-date a claim for the common prop- full replacement cost, includ- value that reflects these chang- erty and the owners filed for ing demolition, taxes, and other es. For example, due to a greater their personal portions. For the professional fees. Therefore, the demand for labour and materi- common property, there was a syndicate was found partially li- als in 2017, construction costs $454,938 shortfall. The cost of able. Additionally, the property increased across Canada by be- the rebuild was not completely manager was also found partial- tween 2% and 7% dependent covered due to the syndicate’s ly liable because he had person- upon location. To put these fluc- insufficient insurance coverage ally estimated the replacement tuations in a historical perspec- and the owners were responsi- cost too low. As it was the condo tive, we have observed over the ble for the difference, at a cost manager’s decision to not ob- past 20 years a range of annual of $6,119 per unit. tain an appraisal, he did not en- cost changes of between -18% While many of the owners had sure that the property would be to +15%. Annual updates ensure additional insurance to cover a adequately covered for the full that properties are sufficiently shortfall, two owners did not. replacement cost, thus not meet- covered, but also saves the own- As a result, these owners were ing the Civil Code requirements. ers in insurance premiums when initially deemed responsible for there is a dip in construction paying the special assessment Alberta Manufacturer Fire costs. themselves. These owners sub- In 2007, a massive fire -de It is also important to maintain mitted a claim against the syndi- stroyed one of the main build- annual updates for phased de- cate and property management, ings of a manufacturing plant in velopments throughout the con- faulting them for not securing Alberta. A year prior to the fire, struction period. Ensuring Total sufficient replacement cost- in the owners of the plant had ob-
Insurable Value is updated upon surance for the building. They tained an insurance appraisal for the completion of each phase is maintained that, according to critical to protecting the devel- the declaration Continued on page 9 opment. of co-ownership and section 1073 Case Studies of the Civil Code Our people make the Difference! To emphasize the importance of Quebec, it was of an accurate and up-to-date in- the responsibility surance appraisal, here are two of the syndicate Commercial & Residential examples of properties that ex- to provide insur- perienced a total loss. In the first ance coverage for Strata Management case, the condominium was not an amount equal Sectioned & Mixed Use Specialists adequately covered by their in- to the building’s replacement cost. surance. In the second example, Locally Owned & Operated It was deter- the business had secured suffi- cient insurance in the amount of mined in court Serving: that the two own- the total replacement cost. The Greater Victoria outcomes were strikingly differ- ers were not re- ent. sponsible for South Van. Island their portion of & the Gulf Islands Quebec Condominium Fire the shortfall. Le- gally, it was the 201 – 1537 Hillside Ave. Victoria BC V8T 2C1 In 2008, a residential syndi- Phone 250.388.9920 Fax 250.388.9945 obligation of the cate in Quebec was deemed a www.richmondproperty.ca
VISOA Strata Support Team (250) 920-0222 • General information - [email protected] VISOA Bulletin May 2018 • 8 The Importance of Insuring a Condominium to its Full Replacement Cost Continued from page 8 the first time. Before requesting Important Points to Remember material fluctuations, and other the appraisal, the company had The examples above demon- professional costs. been estimating their replace- strate the value of obtaining a These true-life case studies un- ment costs, but had not been proper insurance appraisal. This derline the importance of always updating them on a regular ba- service can save owners mil- obtaining a current insurance sis. The insurance appraisal es- lions of dollars and can help a appraisal from a company that timated the replacement cost to business to continue to operate specializes in this profession. be $13,000,000 higher than the after a total loss. Furthermore, Disasters do happen, so make previous estimate. working with an experienced sure that your assets are prop- Due to the updated appraisal, appraiser can save owners and erly appraised and protected. the client was able to completely boards from significant conflict replace their structure through and protect a condo board from Cameron Carter is the founder their insurance. Despite this being held liable for a portion of and President of Normac. Normac is major interruption to their busi- replacement costs. Canada’s premier provider of insur- ance appraisals, reserve fund studies ness, they were able to make it The most secure way to pro- and depreciation reports, and build- through the fire and rebuild and tect owners is to obtain an ac- are currently thriving because ing science services such as warranty curate replacement cost for the reviews and condition assessments. their coverage was sufficient. property annually. Only a pro- Cameron has significant knowledge Obtaining an insurance appraisal fessional insurance appraiser and experience with construction from a reputable provider meant can effectively determine the costs, demolition costs, and the effect the owners of the manufacturing replacement value, which must of building codes and city bylaws on plant were properly insured for include demolition and removal reconstruction projects. An accredit- the full replacement cost and it expenses, current building codes ed member of the Real Estate Institute saved their business. and technological improve- of BC, and the Real Estate Institute of ments, local bylaw require- Canada, Cameron is also a Certified ments, construction labour and Reserve Fund Planner (CRP).
BULLETIN SUBSCRIPTIONS
306 - 620 View Street, Victoria, B.C. V8W 1J6 VISOA provides General Office Email: [email protected] Office Telephone: (250) 920-0688 or 1-855-38VISOA (1-855-388-4762) Vancouver VIsland Strata Owners Association ISOA Helpline: 250-920-0222 or 1-877-33VISOA (1-877-338-4762) Web site: www.visoa.bc.ca 4 information- VISOA Bulletin - Licensed and Insured General Contractor / IICRC Certified Firm Must a Strata Admit Census Takers? MAY 2016 By Sandy Wagner Census time is upon us again, and we receive many packed bulletins questions every five years (like clockwork) asking whether a strata must admit census takers to their building to “front door” of the unit, and if the census worker is not complete the survey. With more and more citizens filling able to reach the occupant on a given day, then they must in their Canada Census forms online, thankfully there will keep trying and may never actually reach anyone in that be fewer “in person” visits to your strata for this purpose. residence. The strata corporation has no obligation to give WINMAR® Victoria each year. From the point of view of the census interviewers, their entry to the building. You may wish to do so, and might job is to contact each address on their list. Having done wish to accompany the census worker as they slip reminder this job myself in the past I can attest to the difficulty of notices under unit doors, but you must not accompany the getting into secure buildings to fulfill those duties! Some worker while they complete the census form – that private buildings have restricted elevator access, so that guests information is protected by law. can only enter the floor which they have been buzzed in On the other hand, some census workers are both to; while others have no unit numbers on the entercom persistent and creative, and have been known to walk the system, making it difficult to know how to contact a given halls knocking on doors after having been admitted by unit. one owner and completing their census. Or they may buzz The Statistics Act says that participation in the Census up to random units and ask to be allowed in to attempt of Population is mandatory – all Canadian Households contact of other occupants. They are just doing their job • Corporate membership fees must complete a Census of Population questionnaire. All and whether the strata council asks them to leave the Census interviewers wear photo identification and if there premises depends on the building. Is it a 20-story tower is any doubt about their identity, anyone can call Statistics with 300 occupants? If so, the presence of a single stranger Canada at 1-866-445-4323 for verification. could go unnoticed, or could cause a security concern. If include emailed bulletins But – all that being said – does a strata have to admit it’s a 2-floor walkup with only 8 suites, chances are that census takers? the owners are all known to each other – but do they want The simple answer is No. The entercom is the public a stranger in their halls? The strata corporation is within their rights to ask a census taker to leave common property to up to 4 council members. unless invited into a unit by a specific occupant. • Must a Strata Admit Census Takers? In this issue... • Pilot Program for Electric Vehicle ChargingSandy Saanich/Victoria Wagner ...... • Service Dogs and Strata Corporations BOARD OF DIRECTORS 2016 • Individual membership • Courtenay-Area Members: Workshop andShawn Seminar M. Smith Coming yourWendy Way Wall ...... 1 ...... • Introducing New Business Members 2 EXECUTIVE • You Asked ...... 3 David Grubb ...... President - Sandy Wagner • Common Property Registration in the Land Title Office 6 Vice President - John Webb • Money Down the Drain fees include emailed 7 Secretary - David Grubb Doug Leathem • Introducing New VISOA BoardWendy Directors Wall ...... 8 Treasurer - Marv Ferg • How to Communicate with your Residents: ...... Best Practices, Tips and Strategies 10 • Business Member Directory 12 DIRECTORS AT LARGE • President’s Report ...... 15 bulletins. Sandy Wagner Josh Duvauchelle Tony Davis, Deborah Fraess, ...... 16 Lynn Klein, Martina McComb, ..18 “Assisting Strata Councils and Owners since 1973” Laurie McKay, Wendy Wall, 20 • Postal mailed bulletins Francis Zeni VISOA Bulletin May 2016 • 1 are available to members for $15 annually per address. • Non- members may subscribe to these bulletins at the following rates: Helping Owners, and Strata Members reach their goals to end property damage distress. By email: $15.00 per year and by postal mail $25.00 per year Call us at (250)-386-6000 www.winmarvictoria.ca 0J8 “Assisting Strata Councils and Owners since 1973” VISOA Bulletin May 2018 • 9 INTRODUCING NEW BUSINESS MEMBERS VISOA is pleased to welcome these new Business Members. See our website for more details on all our Business Members ACCESS LAW GROUP strives to show a different side GETMYKIT.CA supports communities and their resi- of the legal profession. They are a friendly group dents by assisting them with emergency prepared- of lawyers and paralegal staff working together to ness. They will help you create a plan and have the provide a high level of service in an efficient and proper kit for you and your family. They carry 10 affordable manner. Access is able to provide legal different kinds of Emergency Kits to best suit your assistance and representation in order to assist strata family size and lifestyle to ensure maximum pre- corporations and strata lot owners with a wide va- paredness for every member of your family. They riety of issues, including the resolution of disputes recommend the Deluxe Emergency Kits because through mediation, arbitration, or legal proceed- they come equipped with cooking and heating ele- ings, bylaw drafting and bylaw enforcement, strata ments, as well as extra comfort items. council governance and management, collection of No one is innately born with the ability to survive maintenance assessments and special levies, water disasters. Do you have the equipment needed? Do penetration problems and advice regarding the ap- you have the skills? Do you have the knowledge? plication and interpretation of the Strata Property Act and its regulations. They can provide prompt Contact Chad McGillivary, President/Owner at and professional advice to strata corporations and 250-821-1222 or [email protected] strata lot owners and address, through one or more of the dispute resolution processes available, for NEW PROSPECTS DISPUTE RESOLUTION provides the issues with which stratas are faced. mediation to manage and resolve your strata and co-op housing disputes. Founder of New Prospects Contact Sylvano Todesco, Lawyer at 604-689- Dispute Resolution, Maria Constantinescu is a me- 8000 or [email protected] diator, trainer, facilitator, and conflict coach who uses her decades of legal and alternative dispute resolution experience to help you achieve a confi- Need help with simplified payments dential and cost-effective solution to your housing and cash management solutions? disputes. Certified in Mediation and Conflict Reso-
Our dedicated team of strata and property management lution from the Justice Institute, Maria also holds a experts are here to help. Through our years of experience foreign law degree and has been a member of the we are happy to lend a hand, whether you’re from a small Attorney General’s Mediation roster since 2016. strata, large multi-property management company or anywhere in-between. With strong expertise in the field, She can help you get past what’s right and what’s and a suite of specially tailored products and services, wrong … to what is possible. we’ve got you covered.
Just contact Zara or Nicole, they’d love to help. Contact Maria at 250-884-3747 or maria@new- prospectsdisputeresolution.com Zara Toor | 604.288.3350 [email protected] These businesses have chosen to support our member Nicole Gervais | 250.483.8710 [email protected] strata corporations and owners by joining VISOA’s growing group of Business Members. We encourage coastcapitalsavings.com/CashManagement all our members to return the support we receive from the business group by including these businesses in their consideration for provision of services for their corporation.
VISOA Strata Support Team (250) 920-0222 • General information - [email protected] VISOA Bulletin May 2018 • 10 BCLI Seeks Your Input on Governance Issues for Strata Corporations By Kevin Zakreski, Staff Lawyer, British Columbia Law Institute The British ABOUT STRATA-CORPORATION tools that strata corporations have Columbia Law GOVERNANCE to enforce their decisions. Its Institute wants Governance is the method proposals are intended to fine-tune your take on or system of an organization’s the law in these areas. its proposals management. The hallmark of to change the good governance is found in an AN OVERVIEW OF THE CONSULTA- law governing organization’s ability to make TION PAPER’S TENTATIVE RECOM- British timely, effective, and enforceable MENDATIONS Columbia’s strata corporations. decisions. Laws on governance are Strata governance is a vast, With the publication of its with intended to foster these goals. potentially never-ending topic. In Consultation Paper on Governance The popular conception of the committee’s view, the following Issues for Stratas, BCLI has made decision-making in property law areas of the law, in particular, 83 tentative recommendations to emphasizes the sovereignty of call for reform: (1) bylaws and reform the Strata Property Act, the individual owners. It’s reflected in rules; (2) statutory definitions; Strata Property Regulation, and the saying, “my home, my castle.” (3) general meetings and strata- the standard bylaws applicable to But it’s been clear since strata council meetings; (4) finances; and strata corporations. These tentative properties arrived on the scene (5) notices and communications. recommendations are open for that this approach wouldn’t work Each of these areas forms a chapter public comment until 15 June for them. Giving every owner a in the consultation paper. 2018. veto over every decision would make it next to impossible for BYLAWS AND RULES ABOUT THE STRATA PROPERTY LAW the collective to manage common This is the consultation paper’s PROJECT—PHASE TWO property and to ensure harmonious longest chapter, containing 38 Since 2013, BCLI has been at living in a multi-unit building. tentative recommendations for work on the Strata Property Law So strata governance has been reform. The chapter opens with a Project—Phase Two. The goal of based on the corporate model. It brief discussion of the current law the project is to recommend changes provides for majority rule on most on bylaws and rules. Then it moves to the law necessary to support the decisions, with some important, into a consideration of each of the next generation of strata-property far-reaching decisions calling for sections currently found in the legislation in British Columbia. greater-than-majority support. Schedule of Standard Bylaws to the In carrying out the project, In the consultation paper, the Strata Property Act. The goal of this BCLI has the benefit of assistance committee doesn’t take issue review is to consider whether any from an expert project committee. with this basic premise of strata of the bylaws should be relocated The committee is made up of 13 governance. But it is open to from the schedule to the main body members who are leaders in the question whether the act, the of the act. The effect of such a strata-property field. Committee regulation, and standard bylaws move is that it would place the text members are drawn from the are doing enough to support of the (former) bylaw beyond the ranks of the legal, notarial, real- strata corporations in making reach of amendment by the strata estate, and strata-management effective decisions. The committee corporation. In the committee’s professions, public officials, and sees considerable room for view, 11 standard bylaws (or parts owners’ organizations. improvement in selected areas, of a standard bylaw) should be The project is supported by nine including the procedures governing given this treatment. funding organizations, including meetings, the process of electing The remainder of this chapter VISOA. strata-council members, and the Continued on page 14
“Assisting Strata Councils and Owners since 1973” VISOA Bulletin May 2018 • 11 BUILDING SUPPLIES RDH BUILDING SCIENCE INC WAYPOINT INSURANCE Building Envelope Engineering Consultants Previously Vancouver Island Insurance Centre COMMERCIAL LIGHTING PRODUCTS Victoria 250-479-1110 Commercial Insurance Specialist Lighting Wholesale [email protected] 250-751-2966 • Fax 250-751-2965 250-385-8816 • Fax 250-385-8817 Courtenay 250-703-4753 [email protected] [email protected] [email protected] • www.rdh.com www.waypointinsurance.ca www.comlight.com UNITY SERVICES CORPORATION MAINTENANCE & PROJECT CONTRACTORS INDUSTRIAL PLASTICS AND PAINT Consulting Services for Depreciation Reports Building/Maintenance Products and Maintenance Planning BLAST OFF PRESSURE WASHING 250-727-3545 ext. 105 250-893-3445 • [email protected] Cleaning Service [email protected] www.unityservices.ca 250-474-4715 www.goindustrial.ca [email protected] Wm S. JACKSON AND ASSOCIATES LTD www.blastoffvictoria.com RETRO TECK WINDOWS Insurance Appraisals, Depreciation Reports Window and Door Manufacturing 250-338-7323 • 1-877-888-4316 CBS MASONRY 250-381-0599 [email protected] Masonry, Concrete, Stone, Brick, Pavers, [email protected] www.comoxvalleyappraisers.com Flagstones [email protected] 250-589-9942 • [email protected] FINANCIAL www.cbsmasonry.com DEPRECIATION REPORTS COAST CAPITAL SAVINGS CREDIT UNION CENTRA WINDOWS LTD. BELL APPRAISALS Strata Account Pricing Program Windows, Doors, Siding, Renovations, Replacement Cost New Insurance Reports 250-483-8710 • Fax 250-483-8716 Multi-Family & Depreciation Reports [email protected] 250-412-2525 • Fax 250-412-9605 [email protected] www.coastcapitalsavings.com [email protected] • www.centrawindows.com 250-514-3486 • www.bell-appraisals.ca CWB MAXIUM FINANCIAL COBRA POWER CLEANING D R COELL & ASSOCIATES INC Financial Services for Stratas AN ABNEY VENTURES LTD COMPANY Depreciation Reports & Insurance Appraisals 604-562-5403 Pressure Washing 250-585-0828 250-388-6242 [email protected] [email protected] [email protected] www.cwbmaxium.com [email protected] www.drcoell.com ISLAND SAVINGS A DIVISION OF COSTA VERDE CONTRACTING INC MORRISON HERSHFIELD LTD FIRST WEST CREDIT UNION Landscaping and Maintenance Consulting Engineers Special Accounts for Strata Corporations & Owners 250-514-7391 • [email protected] 250-361-1215 250-414-4193 • Fax 250-360-1461 www.costa-verde.ca [email protected] [email protected] • www.islandsavings.ca [email protected] CREATIVE BRUSHWORKS www.morrisonhershfield.com INSURANCE & RELATED SERVICES Painting Contractor 250-896-4266 [email protected] BUSINESS MEMBERS BUSINESS NORMAC BFL CANADA INSURANCE SERVICES INC. Insurance Appraisals, Depreciation Reports International Insurance Brokers and Consultants DRI-WAY CARPET & UPHOLSTERY CARE & Building Science 1-866-669-9602 • Fax 604-683-9316 Cleaning Service 1-888-887-0002 • Fax 604-224-1445 www.BFLCanada.ca 250-475-2468 • nathan@dri-way. [email protected] • www.normac.ca www.dri-way.ca PALMER APPRAISALS LTD PACIFIC RIM APPRAISALS LTD Insurance and Residential Appraisals ENERHEAT RENOVATIONS Depreciation Reports & Insurance Appraisals 250-388-9102 • Fax 250-384-0150 Replacement Windows and Renovations 250-477-7090 • 250-754-3710 [email protected] 250-382-1224 • Fax 250-592-1377 [email protected] palmerappraisals.com [email protected] • www.enerheatrenos.com www.pacificrimappraisals.com SEAFIRST INSURANCE BROKERS EMPRESS PAINTING READ JONES CHRISTOFFERSEN LTD Shawn Fehr & Doug Guedes Commercial & Residential Consulting Engineers - Reserve Fund Studies 250-478-9110 or 778-678-5821 250-383-5224 • Fax 250-383-0222 250-386-7794 • Fax 250-381-7900 [email protected] [email protected] [email protected] • www.rjc.ca www.seafirstinsurance.com www.empresspainting.ca
VISOA Strata Support Team (250) 920-0222 • General information - [email protected] VISOA Bulletin May 2018 • 12 HOMEWISE PLUMBING & DRAINAGE LTD PROPERTY MANAGEMENT PROSHOP MUSIC CENTRE SOUND & LIGHTING Plumbing & Drainage Sound Systems for General Meeting’s 250-883-7270 • [email protected] BAYVIEW STRATA SERVICES 250-361-1711 www.homewiseplumbing.ca Strata & Property Management [email protected] 250-586-1100 • Fax 250-586-1102 www.proshopmusic.com ISLAND BASEMENT SYSTEMS INC. [email protected] • www.thekerrgroup.ca Air Leakage, Moisture Control Services & STRATACOMMONS Consulting GATEWAY PROPERTY MANAGEMENT CORP. Strata Software Development 250-385-2768 • 1-877-379-2768 Property Management Courtney, BC • 250-871-4537 [email protected] • www.ibsg.ca 250-412-0713 • Fax 250-412-0729 [email protected] [email protected] • www.gatewaypm.com MODERN PURAIR STRATAPRESS Furnace / Duct Cleaning & Dryer Vent Cleaning GRACE POINT STRATA MANAGEMENT INC. Online Communication Tools & Document 250-208-2550 Strata Management Services • 250-802-5124 Archiving for Strata Corporations [email protected] [email protected] • www.GPstrata.com 250-588-2469 victoria.modernpurair.com [email protected] • www.stratapress.com OAKWOOD PROPERTY MANAGEMENT LTD. OLIVER’S POWER VACUUM & CHIMNEY SWEEP Manager for Stratas, Co-ops & Rentals WINMAR VICTORIA Heating Systems Cleaning, Chimney Service 250-704-4391 • Fax 250-704-4440 Property Restoration Specialists Toll Free 1-866-734-6056 [email protected] 250-386-6000 • Fax 250-386-6002 [email protected] www.oakwoodproperties.ca [email protected] • www. winmar.ca www.oliverspowervac.ca RICHMOND PROPERTY GROUP LTD. LEGAL SERVICES PRO DECK LTD Strata Management Exterior Renovations 250-388-9920 • 250-388-9945 ACCESS LAW GROUP NEW 250-883-2261 • Fax 250-592-1622 [email protected] Law Group [email protected] www.prodeck.org www.richmondproperty.ca 604-689-8000 • Fax 604-689-8835 [email protected] STERLING FIRE & ASSOCIATES INC. STRATA COUNCIL RESOURCES www.accesslaw.ca Fire Alarm Upgrades - All Aspects 250-661-9931 ADEDIA STRATA WEBSITE DESIGN SHAWN M. SMITH, STRATA LAWYER [email protected] Websites Developed and Customized to Partner at Cleveland Doan LLP www.sterlingfire.vicbc.com Meet Strata Needs • 250-514-2208 604-536-5002 • Fax 604-536-7002 [email protected] • www.eStrata.ca [email protected] TOP COAT PAINTING www.clevelanddoan.com Commercial & Residential Painting GETMYKIT.CA NEW 250-385-0478 Emergency Preparedness REAL ESTATE [email protected] 250-821-1222 • [email protected] www.topcoatpainting.ca getmykit.ca BC APPRAISAL INSTITUTE OF CANADA Leading Real Property Valuation Association TSS CLEANING SERVICES HYTEC WATER MANAGEMENT LTD. 604-284-5515 • Fax 604-284-5514 Dryer Duct Cleaning Services for Vancouver Water Management and Water Treatment [email protected] BUSINESS MEMBERS BUSINESS Island Stratas • 1-866-447-0099 604-628-2421 • Fax 866-690-5854 www.appraisal.bc.ca/britishcolumbia [email protected] [email protected] • www.hytecwater.com www.cleandryerducts.com NEW PROSPECTS DISPUTE RESOLUTION VICTORIA DRAIN SERVICES LTD. Mediation & Conflict Resolution Drainage & Plumbing 250-884-3747 maria@ NEW 250-818-1609 • Fax: 250-388-6484 newprospectsdisputeresolution.com [email protected] • www.victoriadrains.com www.newprospectsdisputeresolution.com
WE PAINT Paint Contractor • 250-888-5385 [email protected] • www.wepaintinc.com For more information regarding Business Memberships please contact us at 1-877-338-4762 or [email protected] (Please note that VISOA does not guarantee or warranty the goods, services, or products of our business members).
“Assisting Strata Councils and Owners since 1973” VISOA Bulletin May 2018 • 13 BCLI seeks your input on governance issues for strata corporations Continued from page 11
examines the tools strata of the person making the payment. that person’s proxy. The committee corporations have under the The committee proposes to stamp also gives extended consideration act to enforce their bylaws. out this practice. to limiting the number of proxy The committee considers—but appointments that one person ultimately doesn’t tentatively STATUTORY DEFINITIONS may hold for a general meeting, recommend—expanding the reach This short chapter examines ultimately deciding not to propose of the strata corporation’s lien to the addition of specific statutory a limit. In the committee’s view, it encompass defaults in the payment definitions to the Strata Property would be difficult to formulate a of fines. The committee also looks Act, as a way to clarify important clear limit that would respect the at and doesn’t endorse the creation concepts or to aid a strata democratic process and work for of a new statutory penalty or corporation in the administration all kinds of strata corporations in offence provision applicable to a of its obligations under the act. British Columbia. contravention of a bylaw or rule. In the committee’s view, the The chapter also contains a wide Finally, the committee does terms continuing contravention range of tentative recommendations propose a new statutory provision and rent should be defined in the on meeting procedures and aimed at bylaws that adopt the rule legislation. The committee also voting. The committee proposes in Clayton’s Case. Under the rule considered, but didn’t endorse, clarifying that election to the set out in this case, when someone proposed definitions of strata strata council entails commanding pays money to a creditor the law manager, residential strata lot, and a majority of the ballots cast, a presumes that the money goes first nonresidential strata lot. measure it intends to clarify the to discharge the oldest part of the election process and enhance the debt. The rule is often summarized GENERAL MEETINGS AND STRATA- accountability of strata councils. as providing “first in, first out.” Its COUNCIL MEETINGS The committee also proposes a significance for strata corporations The chapter on general meetings clear rule that quorum for a general has to do primarily with fines, and strata-council meetings is meeting must only be present at strata fees, and the scope of the another lengthy chapter, containing the start of the meeting, alleviating strata corporation’s statutory 21 tentative recommendations. It some uncertainty on this point. It lien. Say a person owes money focusses on the following subjects: proposes establishing statutory to a strata corporation on account (1) proxies; (2) conduct of criteria for council members of a fine. The fine might remain meetings; (3) quorum; (4) voting; modelled on the provisions of the outstanding while the person (5) strata-council elections; and (6) new Societies Act, again as a means disputes its validity. Under the act, agenda and meeting minutes. to enhance the accountability the strata corporation can’t rely on The committee is particularly of strata councils. Finally, the its lien to enforce a fine. But on the interested in comments on committee proposes clarifying the first of the next month, strata fees proxies, which have proved to be a order of agenda items for annual come due, which the person pays fraught issue in strata-corporation and special general meetings, as a in full. Some strata corporations, governance. On this topic, the way to enhance the effectiveness relying on the rule in Clayton’s committee has proposed taking of general meetings. Case, will allocate this payment a measured approach to combat first to the outstanding fine (the abuse of the proxy system. The FINANCES older part of the debt) and then committee tentatively recommends While this chapter doesn’t the remainder to strata fees. So the that a mandatory, standard form present a comprehensive survey of person will now appear to be in of proxy appointment come into all the financial issues that affect a default of paying strata fees, a debt use in British Columbia. This strata corporation, it does examine that is within reach of the strata mandatory form will help to some fundamental issues and make corporation’s lien. But this also clarify the nature and scope of the 13 tentative recommendations appears to defy the expectations relationship between the eligible voter in the strata corporation and Continued on page 18
VISOA Strata Support Team (250) 920-0222 • General information - [email protected] VISOA Bulletin May 2018 • 14 But It Has Always Been My Unit’s Parking Space! By David Grubb Recently the CRT passed judge- concentrate on the legal vagueness tion to, common assets or common ment on a dispute over the assign- of the assignment of parking spaces property that is not designated as ment of common property storage and storage lockers as specific parts limited common property. lockers to individuals. (See Hales of the common property. (2) A permission or privilege un- Owners, Strata Plan NW 2924, 2018 Lacking any other method for der subsection (1) may be given for BCCRT 91) In reading it, one of the assigning parking spaces and stor- a period of not more than one year, issues struck me as being, and may be made subject in parts, equally applicable to conditions. to common property park- (3) The strata corpora- ing spaces which can often tion may renew the per- be more contentious. mission or privilege and There are three ways a on renewal may change strata can deal with com- the period or conditions. mon property: leave it as (4) The permission or common property (gardens, roads, age lockers but trying to ensure a privilege given under subsection (1) hallways,etc.); designate specific means of having some sort of order, may be cancelled by the strata cor- parts as Limited Common Property conscientious stratas will annually poration giving the owner or tenant under SPA s.73 and s.74; and permit confer the “exclusive use” of those reasonable notice of the cancella- the “short term exclusive use” of a common areas to specific strata lots tion. specific part of the common- prop in accordance with SPA s.76 which However, there are a great many erty, if applied for under SPA s.76, states: stratas which do not do so. It may for no more than a year, but subject Short term exclusive use be that the owners are not aware of to renewal. 76 (1) Subject to section 71, the the requirement, or because they I will not deal with the common strata corporation may give an own- have assumed that the designation property in general nor with LCP, er or tenant permission to exclusive- of parking and lockers has always since they are not issues here. I will ly use, or a special privilege in rela- Continued on page 16 Strata Management Done Right! Ask us about our • Self managed and struggling to keep up with the changing legislation? Experience • Suffering from strata council “fatigue”? • Current management fees have gone sky high? Series • Small strata (under 25 units) can’t find management for a reasonable fee? Window • We service every size strata. Choosing Centra Windows could save your Strata over a million dollars over the life of your windows in installation and Sound familiar? maintenance costs. Let us show you the di erence. We can provide customized, Visit centra.ca or call us today to book a strata presentation. reliable service at an affordable price. DESIGN BUILD Vancouver Island Owned & Operated. WINDOWS Manufactured in BC. BUILDERS CHOICE 2013 2132 North eld Rd., Nanaimo 250.756.3010 [email protected] 250-704-4391 945 Alston St., Victoria 250.412.2525 [email protected]
“Assisting Strata Councils and Owners since 1973” VISOA Bulletin May 2018 • 15 But It Has Always Been My Unit’s Parking Space! Continued from page 15
been that way and no one has had [storage locker(s)] allocated to the providing some other section in the any complaints for years. Others strata lot? SPA to deal with common property may point out that if these designa- which is in between LCP and Ex- tions show up on the Form B Infor- & Q no c yes clusive Use, to allow governance of mation Certificate as assigned to the (n) (i) If no, complete the following the issues such as “Long Term Ex- strata lot, they are legally binding on by checking the correct box. clusive Use” of parking spaces and the strata and the buyer/owner as of lockers which would still allow the the time it was signed by the council c No [parking stall] [storage strata council some flexibility for members, and are therefore perma- locker] is available their proper management. nent assignments. This is where the judgment of the In fact, anyone who challenged Q No [parking stall] [storage CRT Hales Owners case seems to the enforceability of the owners’ ac- locker] is allocated to the strata lot point to another avenue whereby the ceptance of either assumption could but parking stall(s) within common strata can actually assign a parking cause chaos. property might be available. space or a storage locker to a strata So owners should not be so com- lot. placent. Quite obviously “ignorance So aside from the issue of a new Sub-sections (m)(iii) and (n)(iii) of the law is no excuse” when it owner and Form B, the problem re- of Form B (condensed here) cover comes to assuming that designation mains especially for stratas which the two instances of common prop- from historical custom is legal. It have too few parking spaces, forcing erty being allocated by the strata isn’t. people to park on the street, or stra- council: On Form B, except for designa- tas which have parking spaces, some c [Parking stall(s)][Storage locker] tions as being part of, or LCP for, of which are better located – such as number(s) ...... is/are allocated a strata lot, the issue of confirming a covered space, or one closer to the with strata council approval* the assignment of common property entrance – and therefore more desir- c [Parking stall(s)][Storage locker] parking spaces and storage lockers able. Some stratas maintain a wait- number(s) ...... is/are allocated to a strata lot on Form B seems to ing list. with strata council approval and contravene the SPA. Moreover, there is an important rented at $ ...... per month* The only way to designate parking by-product even if the assignment Critically, after both (m) and (n), a spaces or storage lockers is through of the parking spaces and storage notice * is written under these choic- SPA s.76 which assigns the “exclu- lockers is faithfully renewed each es in bold (underline is mine): sive use” to an “owner” or “tenant”, year: they must be properly noted *Note: The allocation of a [park- not to the “strata lot”. So when the in the council minutes as being as- ing stall] [storage locker] that is current person stops using a storage signed for the use of the actual per- common property may be limited locker or parking space, the assign- son, not the strata lot. If the strata lot as short term exclusive use subject ment ceases automatically, making is a rental unit, that could also frus- to section 76 of the Strata Prop- it possible for the council to reas- trate landlord owners, their agents erty Act, or otherwise, and may sign the parking space or storage and the tenants when a new rental therefore be subject to change in locker to another resident before the contract is to be signed, since very the future. new resident could apply for either often the rental contract will contain It is the “or otherwise” and “subject of them because the buyer is not yet a statement of which parking space to change” which are of significance. the owner. and storage locker may be used. Ev- The Tribunal Member in Hales That means that it would make it ery time one tenant moves out and Owners pointed out that the council illegal for the strata council to fill another moves in there would have is required by the Act under SPA s.4 in any parts on Form B except the to be a new application to council. to exercise the powers and perform second “checkbox” under sections If the strata lot has a high turnover the duties of the strata corporation as (m)(i) and (n)(i). The following is a there may be considerable frustra- detailed in SPA s.3: composite since they are otherwise tion. identical in wording : Quite obviously there have been unanticipated consequences by not (m) Are there any [parking stall(s)] Continued on page 17
VISOA Strata Support Team (250) 920-0222 • General information - [email protected] VISOA Bulletin May 2018 • 16 But It Has Always Been My Unit’s Parking Space! Continued from page 16
Responsibilities of strata corpora- details, for example: own, or have designated LCP, tion parking spaces or storage lock- 3 Except as otherwise provided in Parking and Storage Lockers ers are not entitled to an alloca- this Act, the strata corporation is (1) Pursuant to Sections 3 and tion under Section (2) of this responsible for managing and main- 4 of the Strata Property Act bylaw. taining the common property and all parking spaces and storage It may be more convenient to deal common assets of the strata corpo- lockers in the strata plan, other with storage lockers in a separate ration for the benefit of the owners. than those which are a strata lot, bylaw since they seldom pose as Strata corporation functions part of a strata lot or designated many difficulties as parking spaces through council as LCP, are common property, and there may be additional clauses 4 The powers and duties of the strata and are therefore the responsi- about parking such as not permit- corporation must be exercised and bility of the Strata Council to ting RVs to be parked anywhere performed by a council, unless this manage, subject to the condi- on the property and restrictions re- Act, the regulations or the bylaws tions hereunder. garding the use of visitors parking provide otherwise. (2) ONE (1) parking space and spaces. But that would be a separate Under this mandate, therefore the one storage locker must be al- issue. strata council has the authority to located for the use of each strata Creating such bylaws would manage the allocation of common lot at no charge but such assign- seem to be a circuitous route to take property parking spaces and storage ment must be at the discretion to allow a strata to assign parking lockers for the benefit of the owners of the Strata Council. Council spaces and lockers on a more per- including their assignment to either must not normally change the manent basis to a strata lot rather an owner or tenant, or to a “strata allocation of any parking space than a specific owner or tenant. But lot”, for such periods of time and or storage locker without the it would provide a means whereby under such conditions as is deemed consent of the owner of the as- the council can maintain control of fitting. signed strata lot, except where the use of those areas while being This being the case, a bylaw could there is a legal or extraordinary relieved of the easily overlooked be created which would specify the requirement to do so. chore of remembering to reassign (3) Owners and them annually to each owner or ten- tenants cannot ant under SPA s.76. Moreover, the DEPRECIATION REPORTS & rent out any LCP Tribunal Member would not have INSURANCE APPRAISALS or assigned park- even suggested this route if it con- ing spaces or travened the SPA, and it will suf- Experience You Can Trust. Accuracy You Can Value. storage lockers fice until an new designation such to anyone. as “Long Term Exclusive Use” is (4) Those who added to the Act. Let D.R. Coell & Associates help you and your Strata Property owners in British Columbia understand the process of undertaking a Depreciation Report, the benefits of a well planned out Small Business & Strata Bookkeeping Contingency Reserve Fund, and the risks associated with an inadequate Services & Administration Capital Plan. • Over 20 years experience • Computerized Accounting Over 300 YEARS of • Spreadsheets & Word Processing • Produce Financial Statements Combined Experience. • Year End Budgeting • Assessment Formulation
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“Assisting Strata Councils and Owners since 1973” VISOA Bulletin May 2018 • 17 BCLI seeks your input on governance issues for strata corporations Continued from page 14
concerning them. The committee to the strata corporation differ focussed experience, a summary largely confirms that the existing fundamentally from other kinds of consultation paper featuring three framework for a strata corporation’s debts, such as those that may result highlighted proposals is also operating fund, budgets, and in a typical lending transaction. available for download. financial statements should The committee will take remain as is. The committee does NOTICES AND COMMUNICATIONS submissions it has received tentatively recommend updating a This brief chapter examines before 15 June 2018 into number of regulatory provisions a handful of anomalous notice account in formulating its final concerning the maximum amounts provisions and periods and recommendations on governance of fines and fees. recommends some updates in light issues for stratas. The chapter concludes with an of practice issues. examination of a pressing issue for collection of money owing to the HOW TO HAVE YOUR SAY Seminar sound system strata corporation—the application You can download a copy of the of a two-year limitation period consultation paper from
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VISOA Strata Support Team (250) 920-0222 • General information - [email protected] VISOA Bulletin May 2018 • 18 Pet Problems By Shawn M. Smith, Cleveland Doan LLP
Two recent allowed the council to decide whether in the evidence or submissions that Civil Resolution or not to allow a particular animal as the ferrets caused damage, odour, or Tribunal (“CRT”) a pet. The strata council could have noise. While it is possible that other decisions act as a allowed the ferrets if it wanted to. residents objected to them, there is no reminder of some 3. It was significantly unfair under evidence or submissions before me to of the hard to nav- s.164 of the SPA for the strata coun- support that conclusion. igate issues faced cil to deny permission to keep the fer- This decision illustrates the dan- by strata corpora- rets. ger of bylaws which grant the strata tions when it comes to pet bylaws. council discretion to allow or disal- In Maslek et al v. The Owners, Stra- low certain things. Many strata coun- ta Plan LMS 2778, 2018 BCCRT 106 cils view bylaws of this nature as a the owners acquired four pet ferrets. blanket prohibition against a particu- At the time they did, the bylaws al- lar thing with the ability to allow an lowed owners to keep 1 dog or 1 cat exception on the odd occasion they or any other pet(s) approved in writ- might be inclined to allow an excep- In reaching its decision the CRT ing by the strata council. The owners tion. Based on the decision in Maslek, made the following observations: never requested permission to keep that is clearly not the case. Discre- 21 I find that the owners’ -expec the ferrets. The strata corporation tionary bylaws require a reason to tation that the strata council would eventually found out that the owners justify a refusal to give permission. allow them to keep their ferrets was had them and, of course, took the po- If a reason cannot be articulated then objectively reasonable. They apolo- sition that the owners were in breach there is no basis to refuse permission. gized in writing, explained their re- of the bylaws by not having received This decision, like other CRT deci- quest, and offered a compromise permission for their ferrets. The own- sions such as Doig et al v. The Own- ers apologized for their mistake and solution such as payment of extra immediately sought permission to fees. Because the strata council did Continued on page 20 - keep the ferrets. The strata council not provide any ex planation for why denied their request, stating that it the owners’ re- could not approve the ferrets. The by- laws were then amended to prohibit quest was denied - all pets except cats and dogs. (other than the in correct assertion The issue before the CRT was that they could not whether the owners could keep their grant permission), ferrets notwithstanding their breach I cannot find that of the bylaws. In the end, the CRT their decision to ruled they could because: deny the owners’ 1. The ferrets were acquired be- fore the change in the pet bylaw was request was made passed and were thus exempt under on reasonable - s.123(1) of the Strata Property Act grounds. There ap pear to have been (SPA) from the provisions of the new no grounds for the bylaw prohibiting all pets except decision, other dogs and cats; than an inaccurate 2. The strata corporation was incor- rect in its view that it could not ap- interpretation of prove the ferrets. The bylaw in effect the January 2002 at the time the ferrets were acquired pet bylaw. There is no suggestion
“Assisting Strata Councils and Owners since 1973” VISOA Bulletin May 2018 • 19 Pet Problems Continued from page 19 ers, Strata Plan VR 1712, 2017 BC- deny relief under s.164). positive impact on NK’s emotional CRT 36, emphasizes the need for the The decision in N.K. v. The Owners, state, and that since NK has had the strata council to record its reasons at Strata Plan LMS YYYY, 2018 BCCRT dog, he had shown significant -im the time of its decision. It also em- 108 dealt with whether or not the stra- provement and stability. phasizes that decisions cannot be ta corporation was required to grant In considering whether NK should based on conjecture and speculation. an exemption on medical grounds to keep the dog, the CRT decided that There must be something verifiable its bylaw restricting pets. The strata the strata corporation was not bound to support them. corporation had a bylaw that restrict- by the erroneous information pro- Another interesting aspect of the ed the weight of dogs to 25 kg. NK vided by the strata manager. This decision is that despite a failure to bought the dog and then asked his was because NK had acquired the comply with the bylaw and seek per- landlord, the owner of the strata lot, dog before the strata manager was mission before acquiring the pets, whether it was alright to have a dog. asked about the bylaws. More impor- the owners were found to have a rea- The owner asked the strata manager tantly, the CRT held that the tenant sonable expectation under s.164 of if there were any restrictions on dogs. had signed a Form K acknowledging the SPA that their request would be The strata manager mistakenly said receipt of the bylaws. He was thus objectively assessed and determined there were no restrictions. Based on deemed to have known of the weight without reference to their failure to that, the owner told NK he could keep limitation. comply with the bylaws. In other the dog. NK apparently acquired the The bigger issue facing the strata words, denial of the request as a form dog because he suffered from depres- corporation was whether it was obli- of punishment was not an appropri- sion. When confronted with the fact gated under s.8 of the Human Rights ate response. (A slightly different de- that the dog violated the bylaws he Code to accommodate NK’s disabil- cision was reached in Getzlaf v. The claimed the dog was necessary for ity (being his depression) and allow Owners, Strata Plan VR 159, 2015 his ability to cope with his depression him to keep the oversized dog. At BCSC 452 where the court cited a and asked for an exemption from the paragraph 39 of its decision, the CRT failure to comply with the bylaws as bylaw. He even obtained a letter from identified the two issues that it must one of the grounds on which it could his doctor stating that the dog had a Continued on page 21
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VISOA Strata Support Team (250) 920-0222 • General information - [email protected] VISOA Bulletin May 2018 • 20 BFL CANADA_VISOA_JAN2017.indd 1 1/10/2017 9:59:36 AM Pet Problems Continued from page 20
consider in that regard: First, whether the strata’s bylaws. In other words, I hardship – one that is fairly easy to living with his dog was a necessary have no evidence before me that the meet. accommodation for NK’s depression tenant could not obtain beneficial pet These two cases illustrate not only (being his disability). Second, wheth- therapy by having a pet in the strata how complex these situations can be er the strata was reasonably justified that complies with the strata’s by- but that there are different areas for in refusing that accommodation (i.e. laws. I find that keeping a dog that concern for the strata corporation and not allowing him to keep the over- exceeds 25 pounds in the strata is not the owners when it comes to pet by- sized dog). necessary to accommodate the ten- laws. For strata councils, it is know- With respect to the first issue, it is ant’s disability. ing and understanding their bylaws necessary for an owner requesting Just as in Judd, the medical evi- and how to properly apply them. For to keep a pet for medical reasons to dence didn’t identify a nexus between owners, it is that when seeking ex- prove there is a nexus between their the requested accommodation and the emptions under the Code, it is to be disability and the need for the pet – disability. There was nothing to sup- prepared to establish a nexus between Judd v. Strata Plan LMS 737, 2010 port NK’s argument that he needed the pet and their disability. In both BCHRT 276. In other words, is it ab- that particular pet. cases, proper advice early on can solutely essential to the treatment of What was most surprising about the save a lot of time and effort. the owner’s condition that they have decision in NK was the finding that the pet? In most cases that question the concerns of a large number of This article is intended for information can only be answered through a medi- owners, expressed through a petition, purposes only and should not be taken as cal report which provides a treatment about the dog were enough to form a the provision of legal advice. Shawn M. recommendation beyond simply that reasonable justification to refuse the Smith is lawyer whose practice focuses on it would nice or beneficial to have a accommodation. The CRT held that strata property law. He frequently writes and lectures for strata associations. He is pet. “keeping a dog that clearly violates a a partner with the law firm of Cleveland The test adopted in Judd was re- mandatory bylaw that pets must not Doan LLP and can be reached at (604)536- laxed somewhat is BH obo CH v. exceed 25 pounds… would cause the 5002 or [email protected]. Creekside Estates Strata KAS1707 strata undue hardship”. That decision and another, 2016 BCHRT 100 where sets the bar fairly the Tribunal held that “in the case of a low with respect to person who requires a pet for reasons what undue hard- related to addiction, a complainant ship is. It essential- must show that not having a pet could ly allows the will put the individual at significant risk of the owners to Protect Your Investment of a relapse.” override the duty We have been assisting Stratas and Property Owners for over This same analytical framework to accommodate – 20 years in British Columbia and over 30 years across Canada in developing their Reserve Fund Studies (Depreciation Reports) and was applied by the CRT to NK’s situ- something which in the maintenance of their buildings. ation. The CRT accepted that NK had the Human Rights formed a positive bond with the dog Tribunal has not but held that was not enough to war- found in its deci- rant an accommodation. It reached sions. Strata corpo- the following conclusion in that re- rations are routine- Depreciation Reports Fall Protection Engineering gard: ly required to relax Building Envelope Engineering Structural Engineering Roofing and Waterproofing Thermal Performance 41. Further, and more significantly, their bylaws to ac- there is no evidence before me as to commodate own- Contact Us: why the tenant must keep this partic- ers under the Code. Nanaimo: Jennifer McAskill, AScT, CCCA, PMP (250) 716-1550 ular oversized dog in the strata lot or The CRT seems to Victoria: Terry Bergen, CTech, CCCA (250) 386-7794 why he could not form a similar bond be setting a new rjc.ca with another pet that complied with standard for undue
“Assisting Strata Councils and Owners since 1973” VISOA Bulletin May 2018 • 21 Plugging into User Fees By Wendy Wall VISOA mem- (c) the number of users; regulation only permitted a flat bers often ex- (d) the duration of use. monthly fee for charging, the cost press their wish- was the same for a driver charging es that the Strata What is a User Fee? Common user their vehicle once a month or every Property Act fees could be the selling price for day. and Regulations building keys and fobs, the cost to be amended to operate common area laundry ma- How does the new regulation ef- meet the chang- chines or a fee for use of recreation fect EV charging in stratas? Now ing needs of strata corporations and facilities. Other examples of user under the updated Regulation 6.9, owners. So, I dance a little jig every fees could include rental of a club- a strata corporation has more flex- time the legislation or regulations house room, guest suite or parking ibility in the way they wish to cal- undergo even the smallest of tweaks stall. As Mike Mangan explains in culate a user fee. You might find the if I think it is an improvement that Electric Vehicle drivers living in will benefit the strata community. your strata doing that little jig. For example, instead of a monthly flat On March 7, 2018, the Lieuten- fee for each driver, the strata could ant Governor announced a change $ have a meter measuring the elec- to Regulation 6.9 User fees for the tricity used that month for charging, use of common property or com- calculate that cost, add in any over- mon assets by adding a new section head such as a monthly fee from a (2). The complete regulation now service provider and split the total reads: for that month by the “number of users”. If the charging equipment 6.9 (1) For the purposes of section has a data collection feature, the 110 of the Act, a strata corporation The Condominium Manual: Except monthly cost to the strata could be may impose user fees for the use of as set out in the regulations, a strata split by the percentage of use. This common property or common as- corporation must not impose user is particularly attractive if some EV sets only if all of the following re- fees for the use of common property drivers are often out of town and quirements are met: or common assets by owners, ten- not using the charging equipment (a) the amount of the fee is rea- ants, occupants, or their visitors. every month. sonable; The regulations provide that user Similarly the data could be used (b) the fee is set out fees may be imposed for the use of to calculate the monthly fee based (i) in a bylaw, or common property or common as- on the “duration of use” such as (ii) in a rule and the rule has sets if the fee is reasonable and is an hourly rate. However, EV driv- been ratified under section 125 (6) set out in a bylaw or in a rule that ers would point out that different of the Act. has been ratified at a general meet- electric vehicles charge at different ing. rates, drawing different amounts of (2) A user fee imposed by a Strata power per hour. corporation may be a fixed amount So what’s the big deal? After Jan- or an amount based on a reasonable uary 1, 2002 and prior to March Can a strata charge by the kWh? determination, including, but not 7, 2018, the regulation contained Section (2)(a) opens the door to limited to, the following: section (1) only and was generally billing based on the “user’s rate (a) the user’s rate of consump- interpreted to mean that a user fee of consumption”. If the charging tion; was a flat fee. One issue that- sur equipment has a data collection (b) the recovery of operating or faced in the last few years has been feature, a monthly report could be maintenance costs by the strata cor- a perceived unfairness to Electric generated showing the actual us- poration; Vehicle charging in stratas. If the Continued on page 23
VISOA Strata Support Team (250) 920-0222 • General information - [email protected] VISOA Bulletin May 2018 • 22 You Asked: Proxies for Council Meetings Continued from page 22
age of each driver. However it is penses such as service or manage- your Bylaws as well. You may wish important to know that currently, ment fees, if any. to consult a strata lawyer for assis- BC Hydro and the BC Utilities Stratas may also wish to clarify tance. Commission do not permit a strata the definition of an electric vehicle corporation to “resell” electricity. to include other So technically speaking, the strata types of “vehicles” cannot currently charge a user an such as electric amount per kWh. But this restric- bicycles, motor- tion may change. The BC Utilities cycles, mopeds, MODERN Commission currently has an inqui- scooters, mobility ry underway: Regulation of Electric scooters and pow-
Vehicle Charging Service ~ Project ered wheelchairs as INDOOR AIR QUALITY EXPERTS No.1598941. Some EV drivers and some strata corpo- strata corporations have suggested rations have expe- that there be a Class Exemption for rienced perceived BC Hydro customers which are reg- unfairness when istered Strata Corporations to Re- residents wish to sell Electricity for the purposes of charge these types Electric Vehicle Charging. An ex- of vehicles using emption of this nature would then common electric- allow strata corporations to make ity. full use of Regulation 6.9(2)(a) by Remember to up- permitting calculation of user fees date your Rules by the kWh. A strata could com- before charging bine that actual consumption with a user fees. This may MODERNPURAIR.COM formula to charge for overhead ex- require a change to ® TM Trademarks of AIR MILES International Trading B.V. Used under license by LoyaltyOne, Inc. and Modern PurAir™
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“Assisting Strata Councils and Owners since 1973” VISOA Bulletin May 2018 • 23 President’s Report As you can see Tammi, but I know she’d like to your “empty” condo apartment by the Director’s hear from any of you she’s helped is empty so that it’s there for you list on the first over the years. to enjoy as a vacation home. You page, I have been Housing has been in the news have no need or intent to rent it out elected President so much lately, particularly rental and are not hanging on to it as an of your Board housing (or should I say the lack investment vehicle. If you have again. It has been of rental housing?) Strata owners strong thoughts on this, I encour- my privilege to serve and I am have been vocal in their thoughts age you to write to your MLA or proud to do so again. on rentals in stratas – and the to the Honorable Selina Robinson, At our AGM in late February, all views are quite entrenched with Minister of Municipal Affairs and those Board members eligible for few able to see the other side. On Housing. re-election were elected by those the one hand are the strata com- I also encourage you to read and in attendance. We said goodbye to munities who see “absentee own- comment on the BC Law Insti- John Webb as he retired from the ers” as not contributing their share tute’s (BCLI) consultation paper board, and we have not filled his of volunteer equity; the other side on recommended amendments to vacant slot. His shoes will be filled says “my home, my castle, my the Strata Property Act. The con- by Paulette Marsollier who agreed choice to rent it out”. The major- sultation is open until Mid-June, to serve as Vice President and lead ity of stratas built since 2010 have and I know that a good many of our website working group (in ad- all the strata lots marked by the you have already commented. This dition to her previous role as mem- developer as being rentable until a is your chance to influence future bership chair); and by Wendy Wall specific date some of which have legislation. See the article on page who now leads the publications been set at 50 years or more into 11 and the link on VISOA’s home team along with continuing as so- the future. The strata corporation page for more details. I’m count- cial media lead. Your Board can cannot amend these fixed dates by ing on you to let the BCLI’s Strata appoint up to 4 more directors dur- bylaw to restrict or prohibit rent- Law Reform Project Committee ing the year. If you are interested als, should they want to, without members know whether we’ve got in volunteering for this, let’s talk. the consent of the developer who it right. I say “we” as I am part of We also say goodbye to our Of- is the only one who can alter the that committee – I am your voice, fice Administrator, Evelyn, who Rental Disclosure Statement. representing the views of strata has been with us for five years What are your thoughts? councils and owners. and is now retiring. Evelyn es- Another facet of the rental hous- We are currently planning our sentially created the job from the ing shortage is the provincial gov- fall workshop series and if you start, and has been a great strength ernment’s proposed extra tax on have ideas or suggestions for to the Board and all our members. “non-owner-occupied” housing in new full-day workshops, please We are sad to say goodbye! By many parts of the province – also email me. Our most popular and the time you read this, Evelyn will known as the “speculator tax”. We almost always sold out sessions be busy training her replacement, have heard from many of you that are: Best Practices for Treasurers; Best Practices for Strata Secretar- Bulletin formatted for ies; For New Strata Councilors; ~ DISCLAIMER ~ The material in this publication is intended publication by Georgia Ireland and Strata Maintenance Planning. for informational purposes only and • Business Cards • Newsletters We’d love to add more to our se- cannot replace consultation with qualified • Brochures & More ries and I hope to hear from you. As always, you can contact me at professionals. Legal advice or other expert www.georgiasdesignstudio.ca assistance should be sought as appropriate. [email protected]
VISOA Strata Support Team (250) 920-0222 • General information - [email protected] VISOA Bulletin May 2018 • 24