Condo News - Spring 2020

VOL. 16, NO.4 | SUMMER 2012

DIGITIZED

Condo News

Golden Horseshoe Chapter of the Canadian Condominium Institute VOL. 4 • SPRING 2020

Feature Condo:

Coronavirus (COVID-19) and Condos – Meetings, Messaging and Maintenance Is Your Condominium Ready for the New Construction Act? The Differences and Risks between Open and Closed Irrigation Systems and Regularly Reviewed Systems CONDOMINIUM INSURANCE: Market Crisis or Market Correction?

Spring Condo Walkabout Spring Clean Up - A Landscaper’s Perspective Preparing for the Annual Audit of Your Condominium’s Financial Statements Valuable Lessons from Amlani et al v.

York Condo. Corp. No. 473

GARTH TRAILS THE VILLAGE

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G O L D E N H O R SESHOE CHAPTER OF THE CANADIA N CO N D O MI N I U M I NSTI TUTE

From the President In honour of the very successful CCI GHC Condominium Conference held last week this President’s Message was written by Tania Krysa and Stephanie Sutherland, the CoChairs of the Conference Committee. Thank you to Tania and Stephanie, the Committee and to everyone that helped make the Condominium Conference a huge success!

- Maria Durdan

Maria Durdan, B.A., LL.B., ACCI GHC President

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n Friday, March 6th, we held our annual CCI GH Conference at the Burlington Convention Centre. The conference theme: Finding Common Ground: Creating a Positive Community Culture in Condos was a concept that really spoke to all of us on the conference committee. No matter our age, background, or profession, we all have the need to be heard, to be treated with respect, to connect and to belong.

After a long day out in the world, the place where we need this the most is at our home.

Keeping in line with this theme, we wanted this year’s conference to be intimate and interactive. We focused our sessions on working together, mental health resources, how to navigate transitions, and how to communicate effectively. Our new one-day format brought together Property Managers and Directors to engage in roundtable discussions to share their experiences from different perspectives.

The day started off on a lively note with our keynote speaker, Meg Soper. She set the tone and gave us tips to become more resilient. We invited industry experts in Mental Health from Summit Housing Outreach Program and Indwell to share their experience on how to work through tricky scenarios and the external resources available. Along with our other panelists of property managers, directors, lawyers and engineers, a balanced perspective was provided with several tips and best practices. To top it all off, thanks to generous gifts from our donors, many people walked away with prizes, including Raptors tickets, a new TV, baskets of wine and chocolate and so much more!

We would like to thank all of the sponsoring organizations and exhibitors for providing their generous financial support. Lastly, we would like to thank all of the conference participants. As Board members and Property Managers, your efforts may not always get recognized, but the impact of your work is long-lasting in your Condo community. This is something for which you should be proud. Thank you for attending and we hope that you enjoyed this year’s conference!

- Tania Krysa and Stephanie Sutherland

Condo News – SPRI N G 2020

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Communications Committee Update

Condo News Colin Ogg Chair

Carol Booth Board Liaison

Karen Coulter Secretary

is produced 4 times per year

Summer Issue (July) Deadline – June 30th

Fall Issue (September) Deadline – August 1st

Winter (January) Deadline – November 1st

Spring (May) Deadline – March 1st

Bill Clark

Elaine Edwards

Ed Keenleyside

Hello Golden Horseshoe Chapter Members!

This issue of the "Condo News" features articles related to spring and the GHC-CCI Conference and Trade Show.

You will find pictures and a write up summarizing the GHCCCI Conference and Trade Show, which was held on Friday, March 6th. The conference theme "Finding Common Ground: Creating a Positive Community Culture in Condos" was woven throughout the day – starting with the keynote speaker, continuing with each of the four sessions.

As well, this issue has a Feature Condo, articles on insurance and the law, plus our regular contributions – the President's Message, a CCI-National Update, meet a Board member, new members and upcoming events.

Articles of interest to condominium owners and directors are welcome.

See details for submissions on page 40.

To advertise contact: Golden Horseshoe Chapter of the Canadian Condominium Institute Box 37, Burlington, Ontario L7R 3X8 Tel: 905-631-0124 | 1-844-631-0124 Fax: 416-491-1670 Email: admin@cci-ghc.ca The authors, the Canadian Condominium Institute and its representatives will not be held liable in any respect whatsoever for any statement or advice contained herein. Articles should not be relied upon as a professional opinion or as an authoritative or comprehensive answer in any case. Professional advice should be obtained after discussing all particulars applicable in the specific circumstances in order to obtain an opinion or report capable of absolving condominium directors from liability [under s. 37 (3) (b) of the Condominium Act, 1998]. Authors’ views expressed in any article are not necessarily those of the Canadian Condominium Institute. All contributors are deemed to have consented to publication of any information provided by them, including business or personal contact information.

Advertisements are paid advertising and do not imply endorsement of or any liability whatsoever on the part of CCI with respect to any product, service or statement.

Advertisements are paid advertising and do not imply endorsement of or any liability whatsoever on the part of CCI with respect to any product, service or statement.

#LifeIsGolden

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G O L D E N H O R SESHOE CHAPTER OF THE CANADIA N CO N D O MI N I U M I NSTI TUTE

SimpsonWigle LAW LLP

Features 7

Feature Condo: Garth Trails - The Village

9

Coronavirus (COVID-19) and Condos – Meetings, Messaging and Maintenance

12

Is Your Condominium Ready for the New Construction Act?

14

The Differences and Risks between Open and Closed Irrigation Systems and Regularly Reviewed Systems

26

Condominium Insurance: Market Crisis or Market Correction?

28 31

Spring Condo Walkabout

33

Preparing for the Annual Audit of Your Condominium’s Financial Statements

35

Spring Clean Up - A Landscapers Perspective

Valuable Lessons from Amlani et a v. York Condo. Corp. No. 473

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OUR BUSINESS IS CONDOMINIUM Over thirty years of helping our clients with all aspects of condominium law including: t "EWJTJOH #PBSET PG %JSFDUPST t %FWFMPQNFOU t $POTUSVDUJPO $MBJNT t 1SPKFDU 'JOBODJOH t .FEJBUJPO BOE "SCJUSBUJPO t -JUJHBUJPO t &NQMPZNFOU

OUR CONDOMINIUM LAWYERS .BSJB %VSEBO, ACCI +PIO . 8JHMF

CCI News & Events 16

Highlights of the 2020 Annual Conference

25 39

Upcoming Events

40 41

Welcome to our Newest Members

44

Advertisers Index

Getting to Know the Golden Horseshoe Board: Gail Cote

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New Member Profile - Select Sprinklers

Condo News – SPRI N G 2020

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Property Management Guild Inc.

Golden Horseshoe Chapter of the Canadian Condominium Institute Box 37, Burlington, Ontario L7R 3X8 Tel: 905-631-0124 | Toll Free 1-844-631-0124 Fax: 416-491-1670 | Email: admin@cci-ghc.ca Website: Website: www.cci-ghc.ca

2019-2020 Board of Directors PRESIDENT Maria Durdan, B.A., LL.B., ACCI (Member Finance Committee, Member Ron Danks Award Committee)

PAST-PRESIDENT Nathan Helder, B.Sc. (Member Ron Danks Award Committee)

VICE-PRESIDENT Sandy Foulds, RCM, BA TREASURER Tony Gatto, CPA, CA (Chair Finance Committee)

SECRETARY Gail Cote, RCM (Board Liaison Membership/Marketing/Social Media Committee, Member Professional & Business Partners Committee)

BOARD OF DIRECTORS Carole Booth, B.Ed., M.A. (Board Liaison Communications Committee, Member Education Committee, Member External Relations Committee, Member Governance/Policy Committee)

Richard Elia, B.Comm., LL.B, LL.M (ADR) ACCI (Board Liaison Education Committee)

Joseph (Joe) Gaetan, B.G.S. (Chair External Relations Committee, Member Governance/Policy Committee)

Tom Gallinger, BBA, FCIP Laurie Hebblethwaite, QAO, CD Ed Keenleyside, B.A., (CCI) DSA (Board Liaison/Chair Governance/Policy Committee, Member Education Committee, External Relations Committee)

Kevin Shaw, B.Tech (Arch. Sc) (Board Liaison Professional & Business Partners’ Committee)

Stephanie Sutherland, BAS (Hons), LL.B., ACCI (Co-Chair Conference Committee, Member Professional & Business Partners Committee) 6

G O L D E N H O R SESHOE CHAPTER OF THE CANADIA N CO N D O MI N I U M I NSTI TUTE

Canadian Owned and Operated

FEATURE CONDO

Feature Condo: Garth Trails - The Village

GARTH TRAILS – THE VILLAGE

Garth Trails is an adult living community that includes three registered condominium corporations: W.C.C. 375, 408, and 439. The complex is comprised of 444 homes - single, bungalow and bungaloft residences. It is located at Garth Street and Twenty Road in Hamilton.

O

ur homes surround a beautiful Clubhouse that is the focal point of the Community. It consists of a multi-purpose room, library, billiards room, pool, sauna, exercise room, and an arts & crafts room.

Although each of the Corporations operate separately, they communicate regularly and co-ordinate contract negotiations to ensure best service for minimum expense. As a result, the corporations have some of the lowest maintenance fees in the area. The Clubhouse itself is operated by a Shared Facility Committee that consists of two members of each corporation and is supported by maintenance fees of all the residences.

What really makes this complex desirable is the wide variety of activities offering something for everyone. An extremely active Social Committee organizes monthly dances, evenings of entertainment, pot luck dinners with bingo, a pancake breakfast,

Happy Hours, a cross-country road tour, and a Luau Dinner Dance.

December is a great time at Garth Trails. Activities include a Grandchildren Christmas Party, a Wine & Cheese Tree-Trimming Party, and a New Year’s Eve Dinner Dance.

Other activity groups organize line dancing, a wide variety of card activities, darts, a book club, and exercise programs both in the multi-purpose room and the pool. Residents entertain us through our choir, “The Garth Trails Singers”, and Trail Mix, our resident band.

And these are just the indoor activities. Outside the Clubhouse are two bocce courts with a mixed bocce league of 48 teams, plus separate women’s and men’s leagues. Tennis, pickle ball, and shuffleboard courts broaden the variety of sports activities available. Plus, as a bonus, Garth Trails has its own pond with a walking trail around it.

Condo News – SPRI N G 2020

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Featured Condo - GARTH TRAILS – THE VILLAGE Off-site activities include golf and bowling. Garth Trails hosts an annual Golf Tournament, plus a Men’s Breakfast Club and a Woman’s Gourmet Dinner Club.

But what really brings the community together are the residents themselves. Residents do not hesitate to support Clubhouse projects such as raising money to put up a flag pole, or to purchase bike racks and new tables for the multi-purpose room and patio. Most of all, though, it is the support they give

Library “I’m proud to live here.”

“Living in Garth Trails is like living in a small town but with big city conveniences.”

“This is a great community, where bonding is able to flourish but privacy is abundant when needed.”

“To me, this is the best place in Ontario to be retired.”

Multi-purpose Room each other, such as driving residents to medical appointments, emergencies, or lending a helping hand in times of personal sorrow.

The demand to live here is so high that local real estate agents have waiting lists of clients who want to move in. Why do they want to move here? Garth Trails is close to hospitals, has easy highway access, and has proximity to shopping and the GTA. The homes have a modern upscale look while still being affordable.

Garth Trails - The Village: Come and join us and bring your FUN!

When asked why they moved here, residents said…

“A lot less work and fun times and friends.”

“Our residents are fun-loving and so supportive of one another.”

Billiards Room Pool

Exercise Room 8

Sauna

G O L D E N H O R SESHOE CHAPTER OF THE CANADIA N CO N D O MI N I U M I NSTI TUTE

FEATURE

Nancy Houle Davidson Houle Allen LLP Condominium Law

Coronavirus (COVID-19) and Condos – Meetings, Messaging and Maintenance

Coronavirus (COVID-19) and Condos – Meetings, Messaging and Maintenance Concerns about coronavirus (also known as “COVID-19”) are, of course, in the forefronts of all of our minds. As the number of cases of coronavirus increase across the country, and with cases now confirmed in Eastern Ontario, we are receiving questions from our clients about what this means for the condominium industry. Questions include: • Does the Corporation have a duty to ban gatherings in party rooms?

• Should we proceed with our Annual General Meeting?

• Do we have an obligation to provide hand sanitizers in the common areas?

For many residential condominium owners, their condominium unit is both their primary investment and more importantly, their home. So, these concerns are being expressed not only in relation to the functioning of the condominium community, but also to the potential impact on the personal comfort and safety of owners in their homes. Many condominiums are close communities, with frequent contacts between members of the community. Also, condominium communities hold meetings (and in fact are legally required to meet!). The point is

Condo News – SPRI N G 2020

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Messaging: Communications to Owners

that the potential sharing of infectious agents is a key concern for all condominium communities and their Directors and Managers. They have a key role to play in this (now recognized) pandemic.

As a result, we need to turn our minds to certain key issues which will impact the day to day lives of those living in, and servicing, the condominium community.

In times such as these, effective and timely communication within the community can help to provide comfort to owners that the Board of Directors (and Management) are giving these matters proper attention. Boards can consider sending an initial notice to residents along the following lines:

Meetings: Formal and Informal Gatherings We are now seeing gatherings, meetings and sporting events being cancelled to limit the spread of infection. As a result, some of our clients are struggling with whether to permit or postpone various types of gatherings onsite, such as aquafit classes, private parties or formal or social meetings of owners.

Furthermore, with AGM season upon us, questions are also arising as to whether it makes sense to postpone annual general meetings, or to consider alternative methods of conducting meetings of owners.

The Public Health Agency of Canada recently issued a guideline for risk-informed decision-making in relation to mass gatherings during the Covid-19 outbreak (read it here). While all of the criteria set out in the guideline may not be relevant to condominium corporations, the document does contain very useful information on what factors a community should consider in relation to the cancellation or postponement of a gathering. Each condominium community will need to consider whether there are risk factors which would lend themselves to a cancellation or a postponement of an AGM, such as: • The presence of confirmed or presumptive cases of coronavirus in the community; • The ability to arrange for social distancing in the venue of choice; • The expected volume of attendees at the AGM; etc.

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In the greater likelihood that the AGM proceeds, the document also includes risk mitigation strategies, including: • Providing handwashing or sanitizing stations; • Ensuring a venue that allows for social distancing; • Allowing for virtual or live-stream attendance (in the case of condominiums, this includes participation by proxy); • Avoiding serving refreshments via buffet; • Staggering arrivals (i.e. at registration or voting areas), etc.

While Section 45(2) of the Condominium Act, 1998 requires that an AGM be held within 6 months of the end of the fiscal year, circumstances may arise – particularly in these challenging times – which make this impractical, unadvisable or even impossible. In such a case, we encourage Boards and management to consult with legal counsel on next steps.

G O L D E N H O R SESHOE CHAPTER OF THE CANADIA N CO N D O MI N I U M I NSTI TUTE

Your Board of Directors (and Management) is making every effort to stay apprised of the ongoing evolution of the coronavirus situation in our local and/or larger community, and its potential impact on our condominium corporation.

We are keeping apprised of any cases, or possible cases, of coronavirus in the larger community, and will do the same should any cases or possible cases develop in our condominium community. We will make every effort to keep owners apprised of all developments, of which we become aware, which may impact our community.

We will also be taking all reasonable precautions in relation to maintenance, cleaning and sanitization of the common elements to reduce the risk of infection on the premises.

In the meantime, we encourage all residents to stay apprised of general information about coronavirus, including symptoms, treatment, reporting, and general health and well-being, to refer to updated federal, provincial or municipal public health agency advisories, and to follow all recommended protocols as established by the various agencies.

We repeat the concerns and recommendations that have been expressed by so many other organizations: •

Be sure to frequently and thoroughly wash your hands.

• Where possible, try to avoid large gatherings of people.

• Avoid handshakes. Elbow and fore-

arm “bumps”, when desired, are a better idea.

• If you aren’t feeling well, by all means stay home.

And, when it comes to meetings, send a proxy in your stead (when you are feeling at all unwell).

The Board will also be considering what all of this means for upcoming meetings of the owners, and will send out a notice about those issues in advance of any potential meetings.

As events in the community unfold, and particularly as meetings of owners arise, ongoing situation specific messaging will assist in providing owners and residents with some comfort that the condominium corporation is actively engaged in taking all reasonable steps to deal with this evolving situation.

Maintenance While the condominium corporation cannot, of course, guarantee the prevention of the spread of infection, the corporation can take certain steps to mitigate the potential for the spread of infection on the common element areas.

Such steps may include: • Increasing the availability of hand sanitizers or soap in common elements (bathrooms, gym, etc), where possible; • Increased, and/or additional, cleaning and disinfecting of areas, etc; • Installation of signage on the common element areas with reminders to owners of the steps which owners can take to assist in mitigating the spread of infection (i.e. the reminders set out above).

By working with owners and residents, condominium corporations can play a helpful role in trying to limit the negative effects of this virus in their communities.

Additional Note on Employment Issues Like any other employer, condominium corporations must consider their employment obligations, including occupational health and safety obligations, towards workers onsite. Given the intricacies of the employer/employment relationship, each situation must be considered on a caseby-case basis, should the need arise.

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FEATURE

Mark Giavedoni

Is Your Condominium Ready for the New Construction Act?

Is Your Condominium Ready for the New Construction Act?

Gowling WLG (Canada) LLP

Y

ou may have heard the rumblings over the last 18 months: the Construction Lien Act has been reframed and rebranded as the Construction Act and completely overhauls the construction process for all types of construction projects—big or small.

On July 1, 2018, a number of modernization amendments took effect and extended some critical timeframes for participants in a construction project to register their liens.

The Act also clarified certain definitions, confirmed the holdback and trust obligations, and modified other processes for construction projects that commenced on or after July 1, 2018.

On October 1, 2019, the second phase of the changes came into effect, which fundamentally changed the way that construction contracts are administered, payments made, and disputes adjudicated. While there are some rules about which legislation applies to certain projects based on their start date, for the most part, these changes will begin on October 1 and significantly change the way construction disputes are handled. continued‌

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Prompt Payment The essence of a new prompt payment regime is that once a contractor submits a proper invoice for work performed (there is a new definition of what constitutes a Proper Invoice), the owner has 28 days to pay the invoice, subject to the mandatory 10% statutory holdback.

If the owner disputes any portion of that invoice, it has only 14 days to issue a notice of non-payment in the correct form.

Any party down the construction chain who disputes that has seven days to file a notice of adjudication with whom they have a contract. That triggers the commencement of the adjudication process to hear a dispute.

Adjudication The adjudication regime is a dispute resolution forum whereby an independent adjudicator is appointed from a panel of qualified adjudicators from the nominating authority (ADR Chambers in Toronto) to quickly hear and adjudicate disputes relating to the construction contract. This could be anything from the amount owed, the work performed, the interpretation of the contract. The adjudicators have broad powers to hear disputes in a variety of forms, including teleconference, written submissions, or in-person hearings. They are expected to be like informal arbitrations; however, the decision of the adjudicator is final. The costs and time involved in these adjudications will definitely need to be considered, budgeted, and administered.

Implication for Condominiums The main changes to the Construction Act that came into force October 1, 2019 will have challenges for condominium corporations in being nimble enough to respond to the tight timeframes of the prompt payment regime or if there are any disputes where the amount is contested. A failure to respond to a notice of adjudication or to issue a notice of

non-payment could make the condominium corporation liable for costs it was otherwise prepared to dispute, together with interest at the rate stipulated in the contract, which could be significant.

Triggering an adjudication can have significant implications for condominium corporations who may not be prepared to deal with the process, costs, schedule, and amassing evidence to respond to a surprise hearing. Budgets for construction projects should factor in contingencies for these costs, as condominium corporations often do not have revenue outside of common expenses and reserve funds to deal with these costs.

“

The first few projects after October 1, 2019 should be conducted with advice to ensure timing, disputes, and processes are handled properly, and to make sure rights or obligations are not getting missed.

”

Directors and property managers should be aware of these changes when entering into contracts for repairs and replacements and get legal advice as to whether the type of improvement is captured under the old or new laws. The first few projects after October 1, 2019 should be conducted with advice to ensure timing, disputes, and processes are handled properly, and to make sure rights or obligations are not getting missed.

Lien rights are still available to contractors and subcontractors who don’t get paid. Particular attention should be

paid how these lien claimants enforce their liens. The lien must be registered within 60 days (no longer 45 days) after the last supply or the substantial performance of that contract. The new adjudications are meant to be heard and resolved before the 60-day period ends but lien claimants may still register anyway. Careful!

Lien claimants must not register against units if the work was on common elements only and provided there are separate parcel identification numbers (PINs) for those common elements. Improper registration may expose unit holders to damages and the condominium corporation will be left to sort out who is responsible for that. There is a prescribed form of notice (Form 13) that a contractor must give to condominium corporations and unit owners if they are claiming a lien against condominium property.

Because condominium corporations are usually run by volunteer directors who have other jobs, commitments, and schedules, it will be very easy to miss these new obligations and deadlines. Directors should be vigilant and ask questions of their managers and legal counsel to establish prudent processes and communication and response controls to ensure construction projects run smoothly, and to be ready to deal with issues under this new reality.

Mark Giavedoni is a Partner at Gowling WLG (Canada) LLP’s Hamilton Office and assists corporations, owners, directors and property managers in all aspects of condominium governance, development and dispute resolution.

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The Differences and Risks between Open and Closed Irrigation Systems and Regularly Reviewed Systems

FEATURE

Rick Malda, CLIA, CIT, WSIP

President, Arizona Outdoor Solutions

The Differences and Risks between Open and Closed Irrigation Systems and Regularly Reviewed Systems Note: City of Hamilton raises water rates 4.11% in 2020

I

n the irrigation business, until about 10 years ago it was standard to offer out contract services to simply open and close sprinkler systems. While it has begun to turn around in the last number of years it is still a fairly common practice.

Open/Close Contract: Spring Opening - The water main is secured, sprinklers are tested, and control panels set and ready to go for the watering months.

Fall Closing - This portion involves the removal of water with compressed air in the main line, zone lateral lines, valves and sprinklers to ensure a safe dormant period during the harsh northern winter months.

Simply put, with the opening and closing - the system gets turned on, and then turned offon contract.

This type of contract leaves much to be desired in terms of the effectiveness of nearly any irrigation system. The trouble with it being the time of year that these systems are opened. Typically, mid April to late May, no matter what company you are, this time is a frenzy. Every available technician and truck are utilized and organized to visit every site, ensuring they are all

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G O L D E N H O R SESHOE CHAPTER OF THE CANADIA N CO N D O MI N I U M I NSTI TUTE

opened and ready to go as soon as the annuals are planted.

Sprinklers are repaired, leaks are fixed, non-functioning control panels and rain sensors are replaced in a timely manner, before a hurried visit to the next property where the mission is repeated.

This is good service. This is the expectation.

However, if this is the only visit the property will see before it is closed again 6-7 months later, it falls short of most property’s needs.

Because the months from April to September will see an incredible change

For example, a single leak as small as half an inch can cause, at the very least, 6.5 gallons per minute(gpm) or 1.48 cubic meters per hour of water to escape.

This leak may very well, and often does, go unnoticed all season long. That is 75,000 Litres of water just from one single relatively small leak!

With the City of Hamilton’s current water rates increased by 4.11%, that small leak comes at a cost of $269/yr., not to mention the possible loss of plant material and infrastructure damage that it may cause. Multiply that small leak by 10 or 20 and we begin to see the severity

spring plant material begins to show itself – sprinkler adjustments are made, and the control panel is set to run at 80% watering capacity.

July visit – once the summer has come into full swing and the temperatures begin to rise, the control panel can be set to the seasonal demands, 100-120% depending on the weather.

August visit – This visit the focus is on cause and effect – this is the best visit to evaluate the irrigation system and the resulting health of plant material. Adjustments may be required on sprinklers, as well as the control panel watering per-

in landscape growth and watering needs as the season ebbs and flows, the ‘set it and forget it’ approach can be very costly. In April and May, plant material may be barely visible, if at all. Moreover, the annual plantings likely have not yet taken place. This means the demand for the year’s plant selection is not yet fully understood, as well as the high potential for pipes to be punctured while planting.

At the centre of all of this is the total amount of treated water wasted down the drain on a property that has chosen the most frugal irrigation maintenance program.

A single damaged sprinkler or irrigation water line may not seem like a big deal, but it has some pretty staggering numbers tied to it.

of this issue.

That may be one leak of many leaks in a system not being maintained year over year. Imagine a property with multiple leaks and many of them larger leaks than the example. The numbers can be astounding.

centages, either up or down, depending on the seasonal demands.

September visit – An opportunity to reduce the scheduling significantly and save on watering as the season begins to cool off and cooler evenings and dews return. System is given a final review for the last stretch of the season.

Multi visit contract: Spring opening – system is maintained after a long and harsh winter – minor repairs are performed; major issues are brought to the attention of the Condominium Board or PM. System is set to run but timers are left in off position as watering at this stage would be unnecessary and a waste.

Late May/early June – system is reviewed after all annuals are planted and

Fall Closing – System is winterized.

When a well-maintained sprinkler system is coupled with water sipping product innovations and technologies, such as smart controllers and flow sensors it really is amazing just how much water and resources can be saved and how many dollars can be put back into the condominium’s control.

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And that’s a wrap……………… Thank you to everyone that participated in this year’s conference Finding Common Ground – Creating a Positive Community Culture in Condos. With over 250 people making their way to Burlington through sleet and snow, the day turned out to be a resounding success. You can find the full photo gallery of the event on the Golden Horseshoe website under our past events.

A special Thank you to SimpsonWigle LAW LLP for their partnership in this event.

We started the day with Meg Soper, a motivational humorist who works throughout North America inspiring audiences to shift their perspective by sharing insights and ideas for self-improvement, healthy living and using humor to melt stress and strengthen relationships.

Meg had members off their chairs and warmed up for the day ahead.

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G O L D E N H O R SESHOE CHAPTER OF THE CANADIA N CO N D O MI N I U M I NSTI TUTE

A big thank you to all our speakers for their support and dedication to the Golden Horseshoe Chapter of CCI. • Marc Bhalla, Condo Mediators • Carole Booth, Halton Condo Corp 0116 • Gail Cote • Maria DesForges, J&W Condominium Management • Marilyn Dion, President, Board WCC#160 • Sally-Anne Dooman, Wilson Blanchard Management • Patricia Elia, Elia Associates PC • Patrick Greco, Shibley Righton LLP • Christopher J. Jaglowitz, Common Ground Condo Law • Michelle Kelly, Robson Carpenter LLP • Will MacKay, CIBC Wood Gundy • Malcolm John MacLeod, Key Property Management • Craig McMillan, Maple Ridge Community Management • Robert Mullin, SmithValeriote Law Firm LLP • Steven Rolfe, Indwell • Erik Savas, SimpsonWigle LAW LLP • Bianca Stella, SimpsonWigle LAW LLP • Stephanie Sutherland, Cohen Highley LLP • Jason Truman, Edison Engineers • Rohan Williams, Manager, Community Housing,

Summit Housing and Outreach Program The conference wouldn’t be possible without our team of volunteers, so thank you to the following 2020 Conference Committee: Co-Chairs: Tania Krysa, MTE Consultants Inc. & Stephanie Sutherland, Cohen Highley LLP Committee Members: • Carole Booth, HCC 116 Board of Directors • Maria Durdan, SimpsonWigle LAW • Patrick Greco, Shibley Righton LLP • Ryan Griffiths, CWB Maximum Financial • Michelle Joy, Wilson Blanchard Management • Will MacKay, CIBC Wood Gundy • Bianca Stella, SimpsonWigle LAW Following is a list of all the sponsors and exhibitors that participated in this year’s event. Thank You for your dedication and support to the Golden Horseshoe Chapter of the Canadian Condominium Institute.

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Thank you to our 2020 Conference Sponsors Without the support of all these companies we would not be able to provide this caliber of event for our members.

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G O L D E N H O R SESHOE CHAPTER OF THE CANADIA N CO N D O MI N I U M I NSTI TUTE

Thank you to our 2020 Conference Exhibitors Arizona Outdoor Solutions Inc. PO Box 136, Lynden, ON L0R-1T0

arizonaoutdoorsolutions.ca Arizona Outdoor Solutions Inc is a full service irrigation company focusing on the Condominium Industry. We are fully certified with WSIP, CLIA and OWWA Irrigation Backflow Testing. - With a keen eye to reducing water waste & improving the overall health of the landscape all while delivering A+ service

Atrens-Counsel Insurance Brokers 7111 Syntex Drive, Mississauga, ON L5N 8C3

www.atrens-counsel.com Atrens-Counsel Insurance Brokers, Part of Arthur J Gallagher Canada Limited is an independent insurance brokerage representing many of the major insurance companies operating across Canada. As the insurance advisor to over 4,000 condominium corporations in Ontario, Atrens-Counsel is committed to the development, education and management of insurance programs specifically tailored for condominium corporations, property managers, and unit owners.

Belanger Engineering 1060 Britannia Road East, Unit 23, Mississauga, ON L4W 4T1

belangerengineering.ca Belanger Engineering is a consulting engineering firm that specializes in Building Sciences in the residential and commercial condominium market in the Greater Toronto and surrounding area. Belanger Engineering provides consulting services in the Structural, Mechanical and Electrical disciplines. We provide reliable financial planning tools that promote sustainable homeownership and are active participants in technical and social industry associations.

Condominium Authority of Ontario P.O. Box 69038, RPO St. Clair Centre, Toronto, Ont. M4T 3A1

www.condoauthorityontario.ca The Condominium Authority of Ontario (CAO) is a not-for-profit organization created under the Condominium Act, 1998, and operates under an administrative agreement with the Ontario government. The mandate of the CAO is to support consumer protection for condominium communities and to provide resources and services for condominium buyers, owners, residents and directors across Ontario.

Cion Coulter Corp.

920 Brant Street, Suite 22, Burlington, ON L7R 4J1

cioncoulter.com Cion|Coulter is a multi-disciplined consulting firm with a primary goal of providing engineering and consulting services to the Condominium/Property Management industry.

Cohen Highley LLP 255 Queens Avenue, 11th Floor, London, ON N6A 5R8

cohenhighley.com Cohen Highley Lawyers. We're listening‌ The Right Team. Dedicated To Your Success.

With offices in London, Kitchener, Chatham, Sarnia and Stratford, our law firm is a full service firm, providing services to individual and corporate clients throughout Ontario.

Our condominium team encompasses all aspects of condominium development and management, as well as litigation matters, We act for developers, condominium corporations, condominium boards, property managers and individual unit owners.

Our team provides a broad range of legal services relative to residential and commercial condominiums, from condominium development and conversions, through enforcement of liens, court enforcement proceedings and the purchase and sale of individual condominium units.

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Cowan Insurance Group Ltd. 705 Fountain St N Cambridge, ON N1R 5T2

www.cowangroup.ca Cowan Insurance Group is a leading Canadian owned and operated insurance brokerage and consulting firm. We offer risk management and insurance solutions for condominium corporations, unit owners, industry professionals, suppliers and builders.

Criterium-Jansen Engineers 25 First Street Orangeville, ON L9W 2C8

www.criterium-jansen.com Criterium-Jansen Engineers is an engineering firm that specializes in all aspects of building evaluation services for commercial, residential, and condominium properties. Our goal is to complete projects with integrity, honesty, and thoroughness, and we vow to deliver professional service and support that is unmatched in our industry.

CWB Maxium Financial 30 Vogell Road, Suite 1, Richmond Hill, ON L4B 3K6

www.cwbmaxium.com CWB Maxium Financial offers creative structured financing to meet your unique needs. With more than 35,000 customers and a financial portfolio exceeding $1 billion, we’ve earned our reputation for innovative lending solutions coupled with an unparalleled ability to build long-term relationships.

DC Restoration 456-420 Main St. E., Milton, ON L9T 5G3

www.dcrestore.ca DC Restoration is a 24/7 disaster emergency services company with two decades of experience in the condominium community.

We strive to build lasting relationships with our customers- our goal to exceed every expectation and gain your trust through exceptional service. Fire, flood, trauma scene clean-up, mould and asbestos abatement services. IICRC certified.

Edison Engineers Inc. 17 Ogilvie Street, Dundas, ON L9H 2S1

www.edisonengineers.ca Edison is a communication focused professional engineering and project management firm specializing in the repair and restoration of existing buildings. Over half of our clients are condominiums just like yours! Come ask our team how we can support you in your reserve fund studies, structural restoration projects (balconies, garages), building envelope projects (windows, walls, roofs) and mechanical system projects!

Elia Associates 5141 Steeles Avenue West, Toronto, ON M9L 1R5

elia.org We are a unique law firm that focuses primarily on providing a full range of legal services to condominium corporations throughout Ontario, including common expense collection, Condominium Act (Ontario) interpretation, appropriate dispute resolution, civil litigation, Tarion warranty claims and day-to-day operation issues, such as rules, policy and procedure development and implementation.

Gelderman Landscape Services 831 Centre Road, PO Box 82120, Waterdown, ON L0R 2M0

gelderman.com Specializing in condominiums for over 40 years Gelderman Landscape Services provides a full suite of services including landscape maintenance, property enhancements, turf care and snow removal.

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Globe Solar Energy Inc. | Globe LED Lighting Inc 3520 Pharmacy Ave Unit 10, Toronto, ON M1W 2T8

www.globesolarenergy.com | www.globeledlighting.com GLL is a Toronto-based LED company that designs, manufactures and installs smart T8 LED lighting products with built in sensors. When there is no vehicle or human motion, these lights change to eco mode (3W, 6W or 9W) automatically instead of becoming completely dark. The eco mode still provides enough brightness for monitoring purposes, which fulfills building code requirements. The power of the eco mode can be remote controlled also. The maintenance cost can be further reduced by the repairable feature. The products are specially designed for underground parking, stairwells and corridors in the Canadian market.

Globe LED Lighting Inc has successfully developed GLL-T8D24 and the products were certified by CSA and DLC. These products were widely installed in the GTA. A Globe LED light saves 80% more electricity than a regular T8 fluorescence light bulb. It also has a conventional repairable design and it saves maintenance costs as well.

Indoor Air Maintenance & Service 130 Matheson Blvd E, Suite 3, Mississauga, ON L4Z 1Y6

indoorairtech.ca Indoor Air Maintenance and Service specializes in condo HVAC fan coil maintenance, repair and installation. We not only service heating and cooling units in condos, but clean and maintain residential and commercial duct systems, including bathroom and dryer vents, dryer interiors and make-up air cleaning and balancing. We also proudly carry and install Inner-Cool Systems’ CSA certified and innovative custom fan coil units and products.

IRC Building Sciences Group 2121 Argentia Road, 4th Floor Mississauga, ON L5N 2X4

www.ircgroup.com IRC provides engineering services in every province in Canada.

We have over 500 national customers and manage approximately 110,000,000 ft² of roof inventory across the country. Our expertise includes Building Envelope Engineering, Structural Engineering, Roof Consulting and most recently, Pavement Engineering. Our mandate of providing quality work, on time and within budget has helped us earn the confidence of our continuously growing list of clients across Canada.

Lint Check 7 Cityview Crescent, Stoney Creek, ON L8J3V1

lintcheck.com Lint Check is an award-winning Dryer Fire Prevention Company providing services across the Golden Horseshoe. WINNER OF THE 2016 CHCH Gold Business Excellence Awards, 2017 PLATINUM WINNER and 2018 DIAMOND WINNER of THE HAMILTON SPECTATOR Readers’ Choice Award, 2020 Consumers Choice Award.

LEaC Shield® Ltd. 123 Consortium Crt., London, ON N6E 2S8

leacshield.com LEaC Shield® stops pinhole leaks in water pipes quickly & economically! Continue to use your existing water pipes for the life of your building, while preserving your Capital Reserve Funds. We use an environmentally friendly, HEALTH Canada - approved food additive. Plastic epoxy or phosphates are never used.

McIntosh Perry 6240 Hwy 7, Suite 200, Woodbridge, ON L4H 4G3

www.mcintoshperry.com McIntosh provides a full range of engineering and project management services, including reserve fund studies, performance audits, condition assessments and project management for building envelope repairs.

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Morrison Hershfield 1005 Skyview Drive, suite 175, Burlington, ON L7P 5B1

morrisonhershfield.com MH is an employee-owned engineering firm with offices throughout Canada and the U.S. We provide engineering services for major building repair projects, as well as Reserve Fund Studies.

MTE Consultants 1016 Sutton Drive, Unit A, Burlington, ON L7L 6B8

www.mte85.com MTE Consultants is a multidisciplinary engineering firm providing solutions in civil and structural engineering, building and environmental science, toxicology and land surveying. Founded in 1985 in Southern Ontario, we’re proud to have helped shape the regions in which we work and live for over three decades, aligning with our clients to improve the communities of our friends, our families, and our neighbours.

Pinchin Ltd 2470 Milltower Court, Mississauga, ON L5N 7W5

www.pinchin.com Pinchin Ltd. is an environmental consulting firm established in 1981. We provide services in building science, environmental due diligence, emissions reduction, indoor environmental quality, hazardous materials, laboratory services, and training.

Naylor Building Partnerships Inc. 455 North Service Road East, Oakville, ON L6H 1A5

www.naylorbp.com When you choose Naylor as your single-source commercial hvac & refrigeration, electrical, plumbing, and compressed air partner, you will be working with one of Ontario’s largest and most reputable providers of dependable maintenance, service and installation solutions. Established in 1968, Naylor now employs a highly qualified team of consultants and managers, and over 150 qualified technicians servicing over 2000 customers including educational institutions, commercial buildings, government facilities, industrial plants, and high-rise condominium buildings.

Pretium Engineering Inc. 4903 Thomas Alton Blvd., Suite 201, Burlington, ON L7M 0W8

www.pretiumanderson.com A specialist building science and structural consulting engineering firm with 25+ years' experience serving the condominium market. Services: Investigations, design & specifications, project management, performance audits and reserve fund studies.

Select Sprinklers 932 Brant Street, Burlington ON L7R 2J7

www.selectsprinklers.com Select Sprinklers has been family-owned and operated providing irrigation and landscape lighting services to homes and businesses since 1990. Creating lush, beautiful lawns and gardens, while helping people spend less time on their care, has always been our mission. We are located in Burlington On and are proud to service all of the surrounding area.

ServiceMaster of Oakville Restore 2600 Bristol Circle, Oakville, ON L6H 6Z7

svmrestore-oakville.ca ServiceMaster Restore of Oakville is a IICRC certified full service disaster restoration company specializing in the Condominium Marketplace. We provide 24 hour, 7 day a week service.

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Shiftsuite 15 Toronto, Suite 501, Toronto, ON M5C 2E3

shiftsuite.com Shiftsuite is the most powerful and innovative condominium management software platform in Canada.

Offering a single cloud-based accounting, property management, community websites, vendor vetting, online proxy, and CONDUIT software.

Skyline Contracting 53223 Winger Rd, Hamilton, ON L8S1A2

skylinecontracting.ca Serving the industry since 2004, We are exterior contractors that pride ourselves in efficient, quality work. Specializing in roofing, maintenance, unparalleled service and committed to truly making it better.

SimpsonWigle LAW LLP 1 Hunter Street East, Suite 200, Hamilton, ON L8N 3W1

www.simpsonwigle.com SimpsonWigle LAW LLP offers a Condominium Group comprised of a number of lawyers that provide condominium services to developers, condominium corporations, property management firms and unit owners. SimpsonWigle LAW LLP proudly acts for over 650 condominium corporations in Ontario and has over thirty years' experience in advising clients on condominium related issues. Our firm's depth of knowledge and high-end service is highly regarded throughout the condominium community.

SV Law 105 Silvercreek Parkway North, Suite 100, Guelph, ON N1H 6S4

www.svlaw.ca The SV Law Condominium Practice Group proudly offers the complete range of specialized legal services ensuring that your needs are met by our team of lawyers. The complex rules that govern condominiums can create a challenge for Boards and property managers. Specialized legal advice is essential in this intricate environment. We are proven condo specialists dedicated to working with clients to meet their condominium legal needs.

Wilson Blanchard Management 101 - 701 Main St. West, Hamilton, ON L8S1A2

www.wilsonblanchard.com Wilson, Blanchard is a full service management company with a single vision – to be the most trusted name in condominium management. We strive to give our clients the confidence and security that comes from dealing with one of the largest and most respected condo management firms in Canada.

Wilkinson Chutes 23 Racine Road, Toronto, ON M5W 2Z4

wilkinsonchutes.ca Manufacturers of garbage chutes, installation and repair services, we provide new construction sites and retro fit aged condo tower sites.

In addition we manufacture and install linen chutes.

We also manufacture and install sorters and compactors including roll out garbage bins and totes.

We provide full service to all existing sites.

WSP Canada Inc. 4 Hughson Street South, Suite 300, Hamilton, ON L8N 3Z1

www.wsp.com WSP is a world-leading engineering company with offices across Canada including Hamilton, Kitchener, Windsor and Toronto. Our services for condominiums include performance audits, reserve fund studies and restoration project management.

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Upcoming Events

Fall Back to School: Enhanced Directors’ Course Four Nights: Monday, September 14, 2020 Tuesday, September 15, 2020 Monday, September 21, 2020 Thursday, September 22, 2020

Four Day Course: • Monday, September 14, 2020 • Tuesday, September 15, 2020 • Monday, September 21, 2020 • Thursday, September 22, 2020 Art Gallery of Burlington 1333 Lakeshore Rd., Burlington, ON L7S 1A9 Course Time: 6:00 – 10:00 pm (Includes a 15-minute refreshment break)

Sponsorship for this event is available for $500.00 Includes logo on all material (printed and web), logos on all e-blasts, one table-top display and one complimentary registration to course.

Table-Top Display for this event is available for $250.00 Includes one reserved table with the opportunity to provide promotional material on that table, and one complimentary registration to course.

For more information and to register online:

https://cci-ghc.ca/enhanced-directors-course-registration

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Condominium Insurance: Market Crisis or Market Correction?

FEATURE

CONDOMINIUM INSURANCE:

Market Crisis or Market Correction?

Tom Gallinger, BBA, FCIP Vice President Atrens-Counsel Insurance Brokers part of Arthur J. Gallagher (Canada) Limited

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I

f you live in a condo, sit on your condominium board, or are employed as a professional condominium property manager in the Province of Ontario, then you have likely heard the noise over the past twelve months regarding condominium insurance, especially as it relates to increased premiums and increased deductibles.

There is no doubt that condominium corporation insurance has been impacted in the area of pricing and deductibles right across the country. Depending on which province you live in, the impact can fluctuate significantly. While there are some commonalities, the differing condominium legislation, construction practices, weather patterns, and catastrophe exposures can pose vastly different challenges for condominium consumers across the country when purchasing their mandatory insurance coverage. For the purposes of this article, my comments are contained to the Ontario marketplace where I practice as a condominium insurance broker.

The impact to the corporation’s insurance program at the time of renewal can vary considerably depending on construction details, location, historical pricing level, claims history, and other risk factors underwritten by the major insurance companies. The obvious question heard from condominium boards upon receiving their renewal is “Why is this happening?” The simplified answer is that the general insurance marketplace is entering a “hard market” cycle. This kind of market cycle has happened in the past and usually occurs following a prolonged period of intense competition among insurers. When insurance company pricing is too low for too long

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it can threaten their profitability. In this instance, the low pricing coupled with an unanticipated increase in the frequency of natural catastrophes (windstorms, flooding, extreme weather, etc.) has led the majority of Insurers to experience consistently poor loss ratios that are ultimately unacceptable to their shareholders.

Everyone knows that insurance companies are in business to make a profit.

When an insurance company does not make a profit, they need to fix the problem, and this is exactly what we are currently experiencing.

Insurance companies have selected and recognized Condominiums as just one of their most unprofitable “classes of business” and are either raising prices, raising deductibles, restricting coverage, or in some cases making the decision to no longer write that class of business altogether. Condominiums have generally been an unprofitable segment for most insurers for a number of years – meaning that for every premium dollar Insurers collect from condominium clients, they are paying out more than a dollar in claims and underwriting expenses. Unfortunately, all condominiums are guilty by association and are seeing some sort of increased pricing to account for the increased general risk factors to which all condominiums are exposed. We have, however, observed that condominiums with previous claims, or with risk factors that make them more likely to suffer a claim, are seeing far greater increases than the rest.

Not unlike previous “hard markets”, the insurance industry needs to correct itself by establishing a better premiumcollected-to-losses-paid ratio. Unfortunately, because of the competitive nature of condominium insurance in the past, we are now in a state of correction. Believe it or not, if we were to compare an Ontario condominium unit owner’s insurance payments to that of a freehold homeowner with similar insurance limits, we would see a considerable premium advantage for the condominium unit owner. For example, if you own a freehold townhouse (not a condominium), you would purchase one policy, which provides coverage for all of your property including the structure, interior finishes, betterments, additional living expenses, and all your personal moveable property.

If you compare that same townhouse, registered as part of a residential condominium, there are two policies in place: one covering the corporation and the units (up to standard unit definition) with the premiums being contributed by the owners through their common element fees; the other is purchased and paid for by individual unit owners to cover betterments, additional living costs, and personal property. On average, the costs of a condominium unit owner to maintain the two policies (corporation and unit owner’s) is approximately 30 – 40% less than the cost that the freehold townhouse owner would pay to insure his dwelling. While this number can fluctu-

ate based on claims experience and other factors pertaining to the insured individual, all things being equal, the condominium unit owner still enjoys a significantly lower premium than a “noncondo” homeowner, even after some market correction in 2019.

What can your condominium community do in order to be what the industry refers to as “best in class”? First and foremost, start by engaging in meaningful discussion with your professional property management looking at preventative loss measures, maintenance issues, bylaw structure, and procedures in the event of a loss. Talk to your insurance broker about options, but be very careful about reducing important coverage for the sake of premium. Update appraisals in compliance with your declarations. In the event of a property loss, work with your broker to consider the impact before actually filing the claim. Unfortunately, this may be the new reality and it may be for some time. Budget accordingly and benefit from being “best in class”.

Tom Gallinger is the Vice President of Atrens-Counsel Insurance Brokers, a brokerage that specializes in managing insurance programs for condominiums, unit owners and property management professionals. Tom has been in the insurance industry for over 15 years in various underwriting, brokering and management roles. As a specialist in Condominium insurance, Tom strives to deliver a high level of service by managing the long-term insurance needs of his clients.

Millards Chartered Professional Accountants

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Spring Condo Walkabout

FEATURE

Spring Condo Walkabout

By Bill Clark WCC #439

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E

very year as the snow melts, Condo Board members start to look at the damage that the winter has done to their complex. As part of their ongoing due diligence, the Board should schedule a walkabout with the Property Manager, and, if available, the landscape contractor.

The questions that the Board should consider are: What needs to be done now? What can wait until later in the season? What can be planned as a future capital expense? And finally, what funds are available?

Each item to be addressed should be given a score of 1 through 5, with 1 being “do it NOW” and 5 being “not this year, keep it on the list”. A chart or checklist can be developed using the following components: •

Roads and sidewalks: – Cracks/holes – length, depth, size, etc.

•

Sewers: – Are they level?

– Do they pose a danger to cars?

– Are there drainage concerns?

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•

Curbs: – Winter damage (who’s responsible? e.g. snowplows) – Cracks

•

Roofs/Eaves siding: – Splits in eaves – Tiles off roofs

•

Lawns: – Damage by snow and plows

•

Driveways: – Cracks – Rising and/or lowering of areas that could create drainage problems

•

General: – Cleaning up (e.g. dirt from melted snow)

The Boards should be aware of common elements that they are responsible for (such as front doors, garage doors, windows, and painting) and adapt the list accordingly.

The list can be made relevant for both high-rises and town house complexes, and the bottom line is: Let’s make our community a place we’re proud to live in!

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Spring Clean Up - A Landscapers Perspective

FEATURE

Spring Clean Up A Landscaper’s Perspective Jeff Smith Lynden Lawn Care Inc.

N

ow that we are finally through the darkest days of winter, we know the warm sunny days of spring are just around the corner. Spring is a fantastic time to start planning for a successful landscaping season. Whether you're a larger suburban condominium or innercity low rise with just a courtyard or tree well, the lawn, trees and flowers around your landscape need regular spring maintenance to stay healthy and vibrant all season long.

Once the snow melts and the temperatures start to rise its time to have a look over the property for any surprises winter may have left behind. A spring meeting can be a great place to meet with board members to review the property and discuss the season ahead. This is also a good time to discuss any changes or improvements they would like to make so a plan can be put in place early.

The first order of business during a spring walkaround is always to address any damage caused by winter maintenance operations. Some things you may look for: • Scraped up or damaged turf along driveways or sidewalks • Chipped or damaged curb lines • Loosened asphalt • Salt damage along hard surfaces These are all common and often unavoidable consequences of a busy winter. These items are easily repaired and when done early do not affect the curb appeal of the property later in the season.

Landscapers often strive to provide a full and thorough cleanup in the fall however, this is often interrupted by early season snow or stubborn trees that retain leaves late into the winter.

This makes the first order of business a thorough spring “cleaning” to remove accumulated

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winter debris and lay the foundation of a successful landscaping season. Special attention should be directed toward window wells, culverts, drains and any other area where debris can affect drainage systems around the property. During winters of heavy precipitation snow mold may often reveal itself as snow melts which can be remedied as part of spring cleanup. Removal of down branches, sticks and leaves from all turf areas prepare the lawn for spring treatments such as fertilizer, dethatching and aeration all of which provide a healthy jump start for any turf areas around the property.

Garden beds are another landscape element that benefit from proper spring maintenance. Once the ground has firmed up following snowmelt its important to inspect gardens for any plant material that may have perished over the winter. Removing expired perennials and debris will make way for the new growth to emerge without issue. Removing any decaying organic matter also helps reduce the likelihood of any pests or fungi that may have found refuge over winter.

A deep cultivation of soil garden beds helps alleviate compaction from winter precipitation and allows oxygen and water to easily nourish plants and shrubs.

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“

An important item that is often overlooked during spring planning is the splitting, thinning and moving of overgrown or misplaced perennials.

”

Mulched garden beds benefit from a thorough raking and fluff which freshens the upper layers and alleviates any compaction. Spring is a great time to top up mulch which provides a clean look but also seals in moisture and keeps ground temperatures cool during the hot summer days.

An important item that is often overlooked during spring planning is the splitting, thinning and moving of overgrown or misplaced perennials. When new growth is emerging from the ground it is easier to see what you are doing and locate the specific perennial you intend to relocate. With smaller leaves and shoots there is also less damage caused to the plant during the spring season. Some perennials such as spring blooming varieties benefit from fall splitting and trans-

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planting so it is best to follow your landscape contractor’s advice for the specific perennials you’re looking to tend to.

Once the gardens have been cleaned of debris and properly cultivated a nice sharp edge puts a clean definition between garden and turf. This provides a durable edge which is easy to maintain all season long. Spring is also an excellent time to pay special attention to hard surface edging. Often turf overgrows hard surfaces such as driveways, sidewalks and patios which is quickly cleaned up by a hard surface edge.

Spring is a beautiful time of year when days grow longer, temperatures are on the rise and our landscapes come to life.

Discussing a landscape plan with your contractor for the seasons to follow will make sure your property is on the right track to thrive all year long.

Jeff Smith is the President of the landscape maintenance firm Lynden Lawn Care Inc. He is currently an active board member of Landscape Ontario (Golden Horseshoe chapter) and past President from 2014 – 2017. Jeff founded Lynden Lawn Care Inc in 2008 and has been in the landscaping industry for over 15 years.

Preparing for the Annual Audit of Your Condominium’s Financial Statements

FEATURE

Vicki Wilson, CPA, CA

Preparing for the Annual Audit of Your Condominium’s Financial Statements

BLR, LLP

T

he Condominium Act of Ontario requires that all condominiums have an independent auditor perform an annual audit of their financial statements, with one exception: Condominiums with less than 25 units are exempt from this requirement if all of the owners consent in writing to waive the audit each year.

If an audit is required, the condominium corporation must appoint an auditor at the AGM. Once this has occurred, it is the condominium’s responsibility to compile the year-end package for the auditor. The auditor’s role is to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, in addition to ensuring compliance with Canadian accounting standards for not-for-profit organizations (ASNPO). The Board of Directors is responsible for the preparation and fair presentation of the financial statements in accordance with ASNPO. The auditor will require documentation for the full fiscal year and subsequent to year end, up to the date of the auditor’s report. This report will note any significant items that the auditor feels are necessary to bring to the attention of the users of the financial statements. The auditor’s report is dated when the Board of Directors provides written approval to the auditor and therefore, part of the audit requires a review of documentation subsequent to year end. Be prepared to tell your auditor when you require draft financial statements and provide the required infor-

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mation (noted below) with sufficient time to allow for their completion of the audit.

Here is a list of items that can help you prepare for the annual audit: • Board of Directors meeting minutes from the current year, including the AGM minutes and up to the date of the audit report • Budget for the fiscal year • Most recent reserve fund study – Notice of Future Funding • Most recent status certificate • Support for the condominium fees for the current year (e.g. letter to unit owners)

bilities, including contracts for services (e.g. property management, property maintenance, cable, etc.) that have been entered into during the year and subsequent to year end • Supporting documents for transactions (e.g. invoices) during the year and subsequent to year end In addition to the above, the auditor is required to understand controls in place at the condominium, so they will inquire with the Board/management about the processes, security, fraud, outstanding legal matters, etc.

Once the auditor has completed the audit of your condominium, they will pro-

• Trial balance, balance sheet, income statement, and general ledger for the fiscal year • Bank statements and reconciliations, all cancelled cheques and deposit books for the full fiscal year and subsequent to year end for all of the condominium’s bank accounts (operating and reserve) • Investment statements for the fiscal year, in addition to details on any purchases or sales during the year • Accounts receivable listing at year end, which should be reconciled to the general ledger • Details of any units with liens on them at year end • Prepaid expenses as at year end, which represents items paid for in the current fiscal, but which relate to an expense of a future year (e.g. insurance, utility deposits) • Accounts payable listing at year end which should be reconciled to the general ledger, segregating operating and reserve fund payables • Accrued liabilities listing, and support for those items • Agreements for loans, mortgages, notes payable, or other long-term lia34

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vide draft financial statements to the Board of Directors for review and approval. In addition to this, there will be further inquiry with the Board about items that have occurred subsequent to year end that could impact the audited financial statements. As soon as the above is addressed, the auditor will release the final version of the audited financial statements, and you’re relieved until the next year’s audit commences.

Vicki Wilson, CPA, CA is a partner at BLR, LLP. Vicki enjoys all aspects of her work as a licensed practitioner and has over 13 years of audit experience with not-forprofit organizations.

Valuable Lessons from Amlani et a v. York Condo. Corp. No. 473

FEATURE

SimpsonWigle Law LLP Condominium Practice Group

Valuable Lessons from Amlani et al v. York Condo.

Corp. No. 473

C

ondominium corporations, owners, property managers and legal counsel should take note of the recent Ontario Superior Court of Justice decision, Amlani et al v. York Condominium Corporation No. 473. This is a case that supports our Condominium Practice Group’s understanding of the ability of a corporation to charge back legal fees for seeking compliance with a corporation’s constating documents, specifically, that a corporation cannot charge back its legal fees unless an indemnification provision, that is contained in the corporation’s declaration, clearly authorizes the charge back.

Summary of the Facts In this case, Mr. Amlani had been a smoker for 56 years. Prior to purchasing his unit in 2013, he verified through his lawyer that there were no condominium rules that prohibited him from smoking in his unit.

In 2015, the Corporation received complaints from other residents within the Corporation about smoke filtering into their units and creating a nuisance which interfered with their use or

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enjoyment of the property. The Corporation hired a contractor to seal certain openings in the unit to prevent the smell from escaping. Despite the work, in March of 2017, the Corporation received further complaints from unit owners about smoke filtering into their units from Mr. Amlani’s unit.

The Corporation sent a compliance letter to Mr. Amlani requesting that he cease smoking in the unit. In response, Mr. Amlani restricted his smoking to what he believed to be a sealed sunroom wherein he installed an air filter. Despite his efforts, the next correspondence he received was from the Corporation’s lawyers, stating that he must cease and desist from smoking in the unit, and further warning that he will be liable for the Corporation’s legal costs for enforcing compliance.

Consequently, on September 7, 2017, Mr. Amlani temporarily moved out of his unit and leased it out to a tenant until this matter was resolved. Prior to moving out, Mr. Amlani hired a company to propose inexpensive solutions to remedy the issue.

However, on September 22, 2017, the Corporation’s lawyer sent Mr. Amlani another compliance letter insisting that he cease smoking. Mr. Amlani had already moved out of his unit by this time and requested a mediation to resolve the dispute. The mediation failed when the lawyer for the Corporation and the board member who appeared for the mediation, walked out after a brief attempt at a negotiated settlement. The Corporation sought to impose the entire mediation cost on Mr. Amlani even though the Corporation’s by-laws provided that the mediation costs should be shared.

In March of 2018, the Corporation served the Amlanis with a Notice of Intention to Enforce Security. The Notice stated that the Amlanis owed the Corporation $25,108.77, and a lien had been placed on the unit, which the Corporation would enforce by selling the Am36

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… it can be safely concluded that before charging back compliance costs to an owner’s common expenses, a corporation should first carefully review with its legal counsel the corporation’s declaration to ensure that the declaration authorizes such charge backs in the circumstances.

”

lani’s unit. The debt claimed by the Corporation was comprised entirely of legal costs incurred by the Corporation to cause Mr. Almani to stop smoking in his unit.

The Court’s Decision The Court approached the enforceability of the lien by considering sections 85 and 134 of the Condominium Act, 1998 (the “Act”). Section 85 of the Act states that if an owner defaults in the obligation to contribute to the common expenses payable for the owner’s unit, the corporation has a lien against the owner’s unit for the unpaid amount with interests and reasonable legal costs and reasonable expenses. Section 134 of the Act on the other hand, allows the corporation to apply to the Superior Court of Justice for an order enforcing compliance with any provision of the Act, the corporation’s declaration, by-laws or rules and recover the costs of doing so.

The Corporation’s position was that the lien amounts fell within section 85 of the Act and were automatically enforceable. The Corporation also argued that the indemnity provision within its declaration allowed the Corporation to charge

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back the legal costs incurred for obtaining compliance.

However, the Court took the view that the Corporation’s interpretation of its indemnity provision was unreasonable. The Court interpreted the Corporation’s indemnity provision to only apply with respect to costs the corporation incurs arising out of “…the acts by owners to or with respect to the common elements and/or all other units…”. The Court found that there was no act of Mr. Amlani that related to or concerned the common elements or to all other units.

The Court then considered whether the lien amounts were recoverable under section 134. In looking at the amounts charged back, the Court did not consider the amounts charged back to be traditionally in the nature of common expenses. Instead, the Court characterized the amounts charged back as the costs of seeking the owner’s compliance.

Under section 134(5), these costs can be charged back to a unit owner’s common expenses, but only where authorized by a court order for compliance. In this case, the Corporation had never obtained a court order for compliance before charging the costs to the owner’s common expenses.

The court also held that the Corporation acted oppressively in the circumstances towards Mr. Amlani in refusing to discuss and negotiate the issue in good faith with a view to resolve the matter.

As a result of the foregoing findings, the Court ordered that lien be discharged immediately and sale proceedings be stayed. Furthermore, all legal costs and expenses of the Corporation claimed through the lien were ordered to be not directly or indirectly payable by Mr. Amlani except to the extent that the same may become part of expenses of the Corporation and are paid via the collection of common expenses in their proportionate share by Mr. Amlani. Mr. Amlani was allowed to continue to smoke in his unit subject to taking such steps required to

reduce the dissipation of the smell of smoke to other units to a level that does not disturb other owners.

Valuable Lessons from the Case While there is an active debate among condominium lawyers about the limits of the case where it concerns charge backs for compliance matters, it appears that it can be safely concluded that before charging back compliance costs to an owner’s common expenses, a corporation should first carefully review with its legal counsel the corporation’s declaration to ensure that the declaration authorizes such charge backs in the circumstances.

A corporation should also carefully review with its legal counsel the factual background and ensure that reasonable, bona fide efforts are made to resolve the compliance dispute with the owner and his or her legal counsel.

If a corporation can demonstrate to a reviewing court that the language of the declaration clearly authorizes the charge back and that the corporation has failed to obtain the owner’s compliance despite reasonable, good faith efforts on the part of the corporation, the Court will likely support the charge backs and validate any lien registered to secure payment by the owner (even in the absence of previous a court order authorizing the charge backs).

This article was written by the SimpsonWigle LAW LLP Condominium Practice Group, which is comprised of lawyers that provide condominium services to developers, condominium corporations, property management firms and unit owners. SimpsonWigle LAW LLP proudly acts for over 650 condominium corporations in Ontario and has over thirty years experience in advising clients on condominium related issues. Our firm’s depth of knowledge and high-end service is highly regarded throughout the condominium community. For more information please visit our website at https://www.simpsonwigle.com/.

CONDO OF THE YEAR It’s Easy to Enter!

CONTEST!

TO ENTER, send an article (approximately 750-1000 words) answering the following: H What are the unique qualities and features of your condominium?

H Are there any outstanding accomplishments of your corporation?

H Were there any unusual and/or difficult problems encountered and resolved?

H What is the overall environment of the condominium?

H What makes residents proud to live there?

Each entry will be featured in an upcoming issue of the Condo News magazine.

The winner will be selected by the GHC-CCI Communications Committee and will be presented with a prize valued at $500 at the Annual General Meeting.

Submit your article to: Golden Horseshoe Chapter of the Canadian Condominium Institute Mail: PO Box 37 Burlington, ON L7R 3X8 or email your contact information to: admin@cci-ghc.ca

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Getting to Know the Golden Horseshoe Board: Gail Cote

Getting to Know the Golden Horseshoe Board Gail Cote, RCM Q – What is the most interesting aspect of working in the condominium industry?

A – Each day is unique, even if a situation repeats it is different than the last, and you meet a lot of amazing and interesting people. I love being able to resolve or work on large issues for Condominium Corporations and make a difference.

Q – How did you first get involved in CCI? A – I first became involved as a member, years ago, looking to find more quality information about Condominium Management and upcoming situations that Condominiums may be facing.

This was my “one stop” shop for educating myself and making connections that would support my clients.

Q – What is the best advice you’ve ever received?

A – Wherever the road leads you – find a mentor and do what they are doing.

Q – What is one sound you love to hear most?

A – My children’s laughter.

Q – Last movie you saw in theatres?

A – Jumanji: The Next Level.

Q – What’s the last country you visited?

A – USA - Florida.

Q – Are you a spring, summer, fall, or winter? Please share why.

A – Summer – the sounds of wildlife around and the full growth of plants just brightens my day.

Q – What advice would you give your younger self?

A – Hahaha, there is not enough room to write that here.

Q – What person living or dead, would you most want to have dinner with?

A – Walt Disney – if he started all THAT with a mouse – I need some solid advice!

Q – What was your first job?

A – Produce and bakery worker at a grocery store.

Q – Is there a charitable cause you support? Why? A – Carpenters Hospice in Burlington – they not only support those who are terminal but provide a home for their family members as well until the very end. Everyone deserves to have something like this where they can spend their last moments together. They recently underwent severe water loss damages and have not been able to support community members in full capacity – they have provided help to so many in the community – its time they receive some back.

Q – What are you most grateful for?

A – A place of employment that I look forward to going to each day and seeing everyone– they are like extended family.

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Welcome to our Newest Members

to our Newest Members: INDIVIDUAL MEMBER Rob Baxter (Niagara Falls) CONDOMINIUM CORPORATION HSCC #708 (Oakville) PROFESSIONAL MEMBER Jennifer Malchuk, Fine & Deo (Vaughan)

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PROFESSIONAL MEMBER – ASSOCIATE William Dejong, Lumon Canada Inc. (Stoney Creek) BUSINESS MEMBERS Warren Amog, KONE Inc. (Ancaster) Smith & Smith Management (Georgetown)

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New Member PROFILE

S

elect Sprinklers is a family owned and operated company conveniently located in Burlington that has been proudly serving our customers for over 30 years. Whether your irrigation needs are big or small we have the solutions for you, from our highly trained and talented installation crews to our customer driven

New Member Profileand - Select service department we always have your efficientSprinklers always keeping the lines best interest in mind. We are the ticket of communication flowing, saving to green and lush lawns and gardens all condos both time and money! season long that will be the envy of the Well known throughout the area neighborhood. for our high quality and reliable and We have industry leading technology friendly service, contact our office and a dedicated customer service team today to see how we can make your that makes working with both condo irrigation dreams come true! boards and property managers alike easy

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Cowan

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Do you have an article for the Condo News?

• • • • • •

Send a high-resolution headshot and a brief bio of three or four lines.

Include your credentials next to your name.

Confirm article subject approval before writing.

750-1000 word limit.

Email article in Word format.

Write for an audience that includes condominium owners and directors. Avoid technical language.

• If using pictures or graphs within the article, limit to three or fewer.

• No self-promoting content within article.

• Editors will approach authors about any major edits, but may insert minor changes (e.g. grammar, spelling, etc.) without notice.

• Cite any content taken from another source.

• Email to admin@cci-ghc.ca CCI - Golden Horseshoe Chapter Box 37 Burlington, ON Canada L7R 3X8 Tel: 905-631-0124 or 1-844-631-0124 • Fax 416-491-1670

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Advertisers Index ADVERTISERS INDEX

T hank you

J&W Condominium Management Ltd

to our Advertiser’s!

Without you, this publication would not be possible!

A DVE R T I S E

Atrens-Counsel Insurance Brokers . . . . . . . . . . .2 Brown & Beattie . . . . . . . . . . . . . . . . . . . . . . .41

In the new Condo News Digital Edition!

Chown Property Management Inc. . . . . . . . . . .27 Cion|Coulter . . . . . . . . . . . . . . . . . . . . . . . . . .11 Condomediators.ca . . . . . . . . . . . . . . . . . . . . .30 Cowan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .42 Garden Grove Landscaping . . . . . . . . . . . . . . .38 Gelderman Landscape Services . . . . . . . . . . . .42 J&W Condominium Management Ltd . . . . . . . .45 Key Property Management & Consultants Ltd. .29 McIntosh Perry . . . . . . . . . . . . . . . . . . . . . . . .38 Millards Chartered Professional Accountants . .27 Precision Management Services Inc. . . . . . . . . .42 Pretium Consulting Engineers . . . . . . . . . . . . .34 Property Management Guild Inc. . . . . . . . . . . . .6 SimpsonWigle LAW LLP . . . . . . . . . . . . . . . . . . .5 TAG Management . . . . . . . . . . . . . . . . . . . . . .39 Water Matrix . . . . . . . . . . . . . . . . . . . . . . . . . .24 Wilson Blanchard Management . . . . . . . . . . . .40

To Advertise please visit www.cci-ghc.ca or contact admin@cci-ghc.ca 44

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Golden Horseshoe Chapter

GOLDEN HORSESHOE CHAPTER OF THE CANADIAN CONDOMINIUM INSTITUTE Box 37, Burlington, Ontario L7R 3X8 Tel: 905-631-0124 • Toll Free 1-844-631-0124 • Fax: 416-491-1670 Email: admin@cci-ghc.ca

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