Wednesday, December 24, 2008

In a fix over condo unit titles

From STAR METRO: http://www.thestar.com.my/metro/story.asp?file=/2008/12/25/central/2690592&sec=central

By PRIYA MENON
priya@thestar.com.my


RESIDENTS of Heritage Condominium in Jalan Pahang, Kuala Lumpur, are bedevilled by a host of problems.

Apart from lack of maintenance and security, they are also facing difficulty in obtaining individual titles for their units.


Kirpal Singh: Questions the lack of security at the condo.
Chairman of the residents’ pro tem committee Khong Kin Hai said when the developer of the condominium was declared insolvent, the court hired a liquidator who is demanding a 2% fee of the purchase price to produce titles for the property owners.

“Before the liquidator was appointed by the court, we had collected money and managed to get the titles on our own but they were left at the land office.

“Why must we pay so much for something we have already managed to get? Is it so difficult to get the titles from the land office?” asked Khong.

To add salt to the wound, their condominium is in a sad state of disrepair. There are three blocks of condominiums and each has four lifts. However, only one out of four lifts is working.

“It is dangerous for us to use the condo facilities. We have complained before but no action has been taken, The condo does not even have a certificate of fitness,” he said.

Another resident Fatimah Reynolds, a retired teacher said: “The buttons in the lifts are also missing and we are afraid of being electrocuted every time we stick our finger into the button hole,” she said.


Ugly: The tennis court looks far from inviting.

She said the management office had been turning a blind eye to the problems even though it was still collecting maintenance fees every month.

“The squash court is termite infested; the pool needs tending to and the tennis court flooring has to be replaced,” said Reynolds.

Evidently even security is lacking as two men managed to walk into a sundry shop and robbed it on Nov 25.

“Packets of cigarettes worth RM1,500 were stolen and we lost RM1,300 in cash. How can this happen when we have guards and a checkpoint,” asked another resident, Major (Rtd) Kirpal Singh.


Press at your own risk: The cover of the lifts’ buttons are also missing.

All these residents want now is to have their titles returned to them without having to pay an exorbitant fee.

“We hope the problem will be resolved quickly and we definitely want to elect our own management committee to ensure that we do not have maintenance problems in the future,” added Khong.

The developer, however, dec-lined to comment on the issue for the time being.

Season's Greetings

Here's wishing all a BLESSED CHRISTMAS
Remember the True Meaning of CHRISTMAS.....that of love and care and giving...

Tuesday, December 23, 2008

Tenant Control....Yr Condo turning into a Hostel?

Mr Chan wrote:



I'm in the JMB-Ken Damansara III and thankfully, it has been fairly smooth going on the management of the condominium.

I have a question on what I would term as "Tenant control". I have heard that some condos have set in place a policy to discourage owner-investors from renting out their units to certain groups of people. I'm interested to know how this is implemented effectively and within the law.

Is it enough that the JMB calls for an EGM in order that the owner-residents vote on this new rule to be included in the House Rules? What sort of majority vote are we looking at? 51% of owners?

As there is a new shopping mall coming up next door (anchor tenant possibly is GIANT) and Carrefour opening soon at Tropicana Mall nearby, the owner-residents are quite worried that some units in the condo may end-up as workers' hostel.

Presently, we have units which are rented out as hostels to students from nearby colleges and 1 unit as workers' hostel for Carrefour. It's clear that we need to nip this problem in the bud before it gets out of control.

Appreciate advise and comments on this matter.

Friday, December 19, 2008

ACT 663 - The Voice of the JMBs

The All Petaling Jaya Residents' Association Coalition (APAC) in collaboration with the Majlis Bandaraya Petaling Jaya (MBPJ) is organising a forum titled:
AKTA 663 - Suara JMB

at the MBPJ Auditorium, Petaling Jaya
on Tuesday 23rd December 2008
time: 5:00pm to 7:00pm

All Residents Associations and JMB/MC's (especially in PJ) are invited to send representatives to the forum and be heard!

3 Working papers will be presented:
The Roles of Residents Association in High Rise properties under LA21

The Roles of JMB - COB

JMC - Management Problems...

For further information and confirmation please contact:
YM Tengku Nazaruddin - 012 284 9146
or
Mr Liew Wei Beng - 019 332 2073
or
Mr Peter Chong - 012 905 9948

Please also inform your neighbouring properties.

Thank you

Thursday, December 11, 2008

Some Useful INFORMATION - SOP

Nicholas wrote:

I was just browsing through the archives and one issue caught my interest – SOP. I would like to share our experiences and our ideas that may help other JMCs or MCs.



Last year, there were many complaints by some owners regards the conduct of the MC in Kiara Green Townhouses (KGT) pertaining to approvals of expenditures and external renovations.

We then secured 25% petitions from owners and the CoB’s directive to that MC to convene an EGM. The result – I became the Chairman of the new MC and one of our tasks was the formulation and implementation of SOP as a check and balance as well as guide future council members as to their functions, responsibilities and effective management of KGT. By the way, we could have sued the previous members for certain irregularities but we realized that most of them were just ignorant and unaware and thus we let the matter be.



Our is probably a unique structure whereby the council members appointed at the EGM and future AGMs are separated into the Executive Committee(Exco) and an Oversight Committee (OS). The Exco is responsible for the day to day operations while the OS acts as the watchdog. All minutes and decisions will be forwarded to OS for their information. We also allow any owner/resident to attend any council meeting as observer, provided sufficient notice is given. Major issues, like expenditures over RM10,000 or critical decisions will trigger the OS to sit in and deliberate. If all are in agreement, the decisions are finalized there and then. If there is no unanimous decision, an EGM will be convened to decide the issues.





The SOP have served us well and we also insisted that the appointed property manager adheres to our procedures. By the way, any amendments to the SOP will firstly require the agreement of the OS and any other serious amendments will require the approval of all owners either at AGM or EGM. Our next AGM is around the corner and I have no qualms about handing over to others.



I hope you will find this worthwhile sharing with others.

Monday, December 1, 2008

Calling all parcel proprietors in the State of Selangor.

FORUM TO DISCUSS POSSIBLE SOLUTIONS TO PROBLEMS RE: ACT 663

DATE : 7th DECEMBER 2008

TIME : 2 pm

VENUE : P J CLUB, (next to A & W )

There will be guest speakers & VIP observers, to enlighten and share ideas and experiences.

COME, PARTICIPATE, SUPPORT

SPREAD THE MESSAGE

WE MUST EMPOWER THE AUTHORITIES TO ACT FIRMLY & URGENTLY.

Note : Please confirm your interest to attend to Jimmy Teo (jimmytwt@gmail.com) before 5th Dec. 2008.
( For proper planning on seating, food & drinks )

Tuesday, November 25, 2008

A JMB Committee needs your assistance...comments?

Hi Everyone, I need some information from you guys especially those of you who have formed the JMB and have taken over from the previous Management Corp. If you are not in the JMB, appreciate if you could help to find out from your respective JMB: I need your help on the following:- 1. Lift - under comprehensive maintenance, some spare parts are not covered under comrprehensive agreement. Do you ask and are given the discount on these spare parts when they are replaced? If so, what is the discount rate given to you? 2. Do you go for comprehensive or the general maintenance agreement? What are your rationale for the selection? I need the information by, like yesterday, as we need to finalise the negotiation with the vendor for the maintenance agreement to be signed. Therefore, I would appreciate if you could respond as soon as you can before the end of today. Million thanks for your help and I apologise for having to rush you in this matter. Best regards Jenny

Tuesday, November 18, 2008

THANK YOU - Press Conference 14th November

Firstly, APAC would like to thank all of you who took the trouble to attend the press conference held on the 14 nov 2008 Friday. Please read through the points i have raised below and try to append your proposals in blue. My current list is not complete so guys help me to prepare the memo. As agreed, we will submit a 'Memorandum' to YB Iskandar and COB MBPJ as soon as possible with regard to the following issues:
Lembaga Perumahan - YB Iskandar
Uniform interpretation of Act 663 to cover all 12 PBTs in Selangor

A. CLAUSE 5 – Duty of developer to convene meeting



Proxy votes if allowed must be scrutinized by COB to ensure transparency and prevent manupulation



B. CLAUSE 6 – First meeting of Joint Management Body

C. CLAUSE 10- Extraordinary general meeting

D. CLAUSE 33- Recovery of arrears of charges

E. CLAUSE 34- Failure or refusal to pay charges


Should ensure and fastrack the establishment of a Secretariat or Department at PBT level specifically to address all Condos and Apartments Issues staffed by
a. a Panel of Senior or experienced Lawyers b. a Panel of Accountants to review accounts submitted by developers and JMCs c. Enforcement officers to act against errant developers and JMCs d. a Budget allocated to finance the setting up of the Secretariat. All these must be fastracked at PBTs level as problems are piling up as we speak
COB - MBPJ
a. databank on all condominium and apartments to be maintained into 3 categories - high-end condos - medium cost Condos - Low cost Apartments b. to fastrack the establishment of a Secretariat without further delay c. enforcement officers
Problems faced by all Condo and Apartment Owners
formation of JMBs and JMCs
First JMB meeting - preferably to be scrutinized by COB
to conduct workshops to train JMCs to hold meetings and manage the buildings
errant developers
accounts and various documents not given to JMCs such as owners listings
building drawings - structural & M&E drawings
sinking funds

Sunday, November 16, 2008

HAVE YOUR SAY!

Condominium and apartment residents in Petaling Jaya have called for the abolition of the proxy system.

They made this call in a meeting organised by the All-Petaling Jaya Selangor Residents Association Coalition (APAC) and the Condominium, Apartments and Highrise Committee (CAHC) on Friday (Nov 14) at Taman Mayang public hall.

The condominum and apartment residents were invited to the meeting to share their concerns, suggestions and experiences with regards to clauses under the Building and Common Property (Maintenance and Management) Act 2007 or Act 663 and the Commissioner of Buildings (CoB).

Chairing the meeting were APAC chairman Liew Wei Beng, CAHC chairman Tengku Nazaruddin Zainudin, Subang MP R. Sivarasa’s aide Aloysius Francis Pinto, lawyer Eddy Chung and Bukit Gasing Joint Action Committee member Gary Yeoh.


Speaking out: Owners sharing their thoughts on the issue during the meeting.

They were questioning the logic behind Sec 6(5) of the act, which reads: “Notwithstanding subsection (4), joint purchasers shall not be entitled to vote except by way of a jointly appointed proxy”.

“We do not understand why neither one of the purchasers can vote and they have to appoint a proxy,” some said.

They added that the proxy system was subject to abuse.

“We had no opportunity to verify if the proxies present at annual general meetings were really appointed by the owners or were sent by the developer,” resident Gary Wong said.

Andrew Tan highlighted that the clauses were interpreted differently by all 12 local councils in the state due to loopholes and ambiguities that actually benefited the developers.

“The developer told us that according to the act, we could not appoint our spouses as proxies,” he said.

Other clauses of the Act deemed to have created grey areas are Sec 6 (2), which deals with the quorum for the meetings, and Sec 5(2) that deals with the issue of notice of the meeting.

“Sec 6 (2) requires purchasers to settle maintenance charges to be eligible for the meeting but it does not stipulate the deadline, is it on the day of the meeting or a period prior to that?” Liew asked.

He added that even though Sec 5 (2) required the developer to give a written notice 14 days earlier, it did not stop them from limiting the time for purchasers to appoint their proxies or prevent them from holding the meeting on a weekday to minimise attendance.

He said the two associations would send a memorandum to Selangor Housing, Building Management and Squatters committee chairman Iskandar Abdul Samad and Petaling Jaya mayor Datuk Mohamad Roslan Sakiman, urging them to look into the points raised.

“We will also urge them to draft guidelines on how to convene the first meeting and to come out with a common interpretation of the act for all local councils,” he said.

Pinto proposed that the CoB operate as an independent body under the state government instead of the local council to prevent favouritism and that scrutineers should be present during the appointment of the joint management committees to ensure fairness

Tuesday, November 11, 2008

Anyone with comments on this?

Hi CAHC

1. This is an excellent site, however I had to do a lot of searching before locating the email address to send this mail. I would suggest a prominent 'contact' logo on the CAHC header or perhaps a standard 'Contact CAHC' appended to all letters published. You will probably see a lot more mail.

2. I have some questions, firstly... can Condos be renovated (specifically PJ) such that the outer facade of the condo looks different from the others? Eg, glass up or wall up an open balcony, or perhaps enclose the entire open frontage of a balcony with grills? Personally I think this distorts the aesthetics of the building.

3. Can condo owners stick drainage pipes from the side of their condos, to resolve water drainage problems within their units? Such pipes ofcourse would end up shooting water to unsuspecting people below. This may sound a silly question, but there are such cases in the place I live. Are there local council laws that govern such modifications?

4. On water leakage issues from one condo to the unit below, causing large unsightly damp moldy patches on the ceiling arising from a defective pipe (either incoming water supply or drainage from bath area) - are there applicable local council laws that require the party whose pipe is leaking to repair such? What can be done if the party refuses to carry out the required repairs?

Would appreciate your feedback on these matters.

Monday, November 3, 2008

Statistics Needed

As we approach the end of the year, it is time to re evaluate and prepare for the new year. As part of an on going effort towards Good Governance, Transparency and Accountability, I would like to tabulate some facts and figures.

I would hope to have all interested parties to provide information on the following so that I can tabulate and share out with everybody. In this way, we can all at least have a guide to what we are paying for utilities, services etc........it also helps us to show to the owners if need to increase maintenance fees etc because I am sure rising costs will hit all of us soon..

1. Your Apartment / Condo Name - no of units / local council
2. Month Maintenance Fee / RM per Sq ft
3. What facilities: club house / pool / tennis etc etc
4. Security company - your current fees
5. Mgmt Company - fees and number of staff
6. Other Contractors - Services - Fee ie cleaners, landscaping, pool maintenance
7. Parking Rental

any other information

Please email your response to pet_luc2002@yahoo.com


I hope to be able to tabulate all these by the end of november, and be able to have and share out and average cost for each services etc that may be useful to all of us by the end of december. The more numbers we have, I am sure the more accurate the figures will be....

Thank you, guys

Peter CHONG

Your Views and Comments Solicited......

Hi All,

JMB Maxwell Towers is in the process for selecting Property Management Services (PMS) agent to assist with the running of maintenances as well as improvement projects from Jan 2009. At this stage, we have short listed a number of potential companies.

Our approach is to have a certain number of people from the PMS agent based at the condo, e.g. property manager, billings/accounts/admin clerk, technician and handyman. We would engage service providers to perform the major ongoing tasks. Clearly, the extend we would add to on-site staff would depend on JMB willingness to commit to improvements in maintenance and enhancement projects. All these will be highly influenced by effordability.

To assist our considerations on PMS agent, we would welcome comments on two companies, Izrin & Tan and Global Property Services. We are interested to know if anyone of you have comments on their performance as follows:

Ability to take over/start up operations: setting up contracts with Services Providers, billings & collections and appointment of competent on-site personnel
Track record in delivering good value
Track record in monitoring and managing service providers to deliver promised services
General ability to maintain capable staff and efficient "standard operating procedures"
Please do provide your comments directly to me if you wish to maintain a level of confidentiality as well as to avoid any of your comments being taken out of context.

I hope we can share our experiences with PMS agents and services providers.

Many thanks and regards
Gary Yeoh
JMC Maxwell Towers

Wednesday, October 29, 2008

Positive Thinking for the way ahead.....

http://www.nst.com.my/Current_News/NST/Wednesday/National/2387566/Article/index_html

Paying to lift up low-cost flats


Email to friend Print article



Deputy Minister in the Prime Minister's Department T. Murugiah will hand in his report on Friday.


KUALA LUMPUR: The government may take over the maintenance of lifts in low-cost flats nationwide.


Federal Territories Deputy Minister Datuk M. Saravanan says Murugiah should not shoot his mouth off.

Deputy Minister in the Prime Minister's Department T. Murugiah said Prime Minister Datuk Seri Abdullah Ahmad Badawi had tasked him with investigating public complaints about run-down lifts in low-cost flats, especially after an incident in Sentul on Sunday where a resident's body had to be carried down from the 10th floor.

"The prime minister was shocked by what happened and told me to investigate."

Murugiah said he was expected to submit the report to Abdullah on Friday at the post-cabinet meeting.

He said one of the solutions was for the government to either fully or partially subsidise the maintenance of lifts at low-cost flats.

"There are two types of low-cost flats: those maintained by the local councils and those by private companies.

"The problem with flats managed by private corporations is that it would only conduct repairs when sufficient funds are collected from the residents."

Murugiah said many lifts and flat facilities were left in poor condition for years because the residents could not afford the maintenance fees.

"I have heard of cases where residents owe the management up to RM1.2 million in fees and the management say nothing can be done until the backdated payments are made."

Tuesday, October 28, 2008

Property Management – Life after JMB / MC

Education
Malaysia has moved forward in terms of community living within jointly owned (strata titled) properties. Many of such properties are now owner managed, as a result of the Act 663, 2007.
However, there is still much to be learnt by owners in terms ofcommon property management. Most would have little or no experiences and thus rely very much on their own intuition as well as sharing and learning from each other. Even government agencies and even NGOs, are struggling along though they may have the best intent.
So, with such limitations, we have little choice but to learn and observe from those with more of such experiences. Hong Kong, Macao, China and nearer to home, Singapore are good places to start.
From my own personal experiences and observations in these countries, one major issue strikes home loud and clear. It is the level of collection of the monthly management fee. In these communities, owners find it to be their responsibility to pay their monthly fees on time, every month; and they do so. Collections are generally over the 80% levels; with very few defaulters. Thus maintenance of these places remains healthy even though many of these properrties are very very old.
I believe that even in Malaysia, this is very true. If we look at the better managed properties, we would note that their collections are indeed high.
Therefore, one of the major steps that we need to take is to “educate” the owners and residents of these properties. We must teach all of us, the importance and necessity of prompt and regular payment of Maintenance Fees. Education cannot be done overnight, but it must start and be continuous.
These education programmes must be done jointly by the local JMB / MC as well as the local councils and on a larger scale even by the Ministry of Housing, perhaps through the Mass Media.
Why must the government be involved in these private properties? If these properties are not properly managed, they would in the not too long distance, turn into eye-sores and become a social burden. We do not need to wait until such a time to act. Prevention is always better than cure.
As part of the education process, all owners and residents must be aware of the costs of running and maintaining their property. JMB /MC must be transparent in showing costs details; and perhaps even to explain what happens if and when certain jobs cannot be done due to lack of funds. It is through these frank and open information, that we can all learn and be made to realise the importance of our roles and responsibilities.
JMB / MC cannot wait for the governemnt to take the first step. I believe it is their responsibility to start these education programmes; and what better time than now! Meanwhile, local councils and the Ministry must begin to budget for these educational programmes and perhaps even start conducting training and education road-shows. The training includes interpretation of accounts, office and account management and even simple things like how to conduct meetings for JMB / MC as well as communication skills.
As we face the realities of a worldwide economic slowdown and recession, there cannot be a better time than now to begin this long journey. Most people would probably have more time to spend at home due either to lack of work or for reasons of costs savings. Thus, this is the best time to communicate to and educate your fellow owners and neighbours. JMB / MC, take that first step now.
Therefore, I highly recommend JMB / MC to start giving this matter serious consideration. I would like to take this opportunity to remind all of us that the success of running and maintaining our common properties can only come about guided by transparency, responsibility and accountability.
Education is of course only one area. On the next article, I will discuss other areas that we need to look at in order to move forward in Common Property Management.
I welcome comments and suggestions on other areas and issues that can be covered.

Wednesday, October 22, 2008

Poor and unsustainable water management....

Water shortage crisis looms over Malaysia


PUTRAJAYA: Many parts of Malaysia face a lack of water although the country has renewable water that is five times per head higher than that in many regions in the world.

And poor water management is the culprit, said Natural Resources and Environment Minister Datuk Douglas Unggah Embas.

The country's per capita renewable water was about 5,000 cubic metres per year compared to many regions in the world that had less than 1,000 cubic metres, he said when opening the Third Water and Environment Partnership in Asia (WEPA) International Forum on Water Environmental Governance on Wednesday.

Obviously, this problem was attributed to unsustainable management of water resources rather than to the quantity of water available for domestic, industrial and agricultural uses, he said.

His speech was delivered by his deputy, Datuk Maznah Mazlan. Douglas said that, for example, a recent study indicated that only 40 per cent of the country's lakes and reservoirs were in good condition.

"As these water bodies hold large volumes of water that can be utilised during droughts, the management of water quality has become increasingly critical," he said.

He said water quality issues in Malaysia were expected to become increasingly important as the population continued to grow.

The government, among others, would place greater emphasis on water quality programmes to improve the surface water, he said.

WEPA, a programme initiated under the Japanese Ministry of Environment following the 3rd World Water Forum in Kyoto, Japan, in 2003 has chosen Malaysia to hold the two-day forum beginning Wednesday. Bernama

Monday, October 6, 2008

Is this the beginning of ACTION?

AGM to form condominium’s management corporation illegal
By TAN KARR WEI


RESIDENTS of Palm Spring@Damansara in Petaling Jaya have foiled an attempt by the developer to set up the condominium’s management corporation (MC).

Under the Strata Titles Act, a developer is required to submit strata title applications for at least 25% of the total number of condominium units before calling for an annual general meeting (AGM) to form an MC.

The Palm Spring joint management body (JMB) conducted a check with the land office and discovered that developer Muafakat Kekal Sdn Bhd had not fulfilled that requirement. The development comprises more than 2,000 units.

MBPJ councillor Mak Khuin Weng, who was representing the Petaling Jaya Commisioner of Buildings, said it was unlawful for the developer to call for an AGM before that requirement was fulfilled.

Employees of the developer who were present at the AGM registration desk kept mum when questioned by Mak and the residents.

“The person in charge is still on Hari Raya leave,” answered an employee.

Mak said they could not proceed with the AGM until the developer had applied for strata titles for at least 25% of the units and the employees then voluntarily took their belongings and left the premises.

According to Palm Spring JMB secretary Richard Wong, 44, residents had received an invitation dated Sept 19 from the developer to attend an annual general meeting to form the MC for the condominium.

However, residents only received the letter a few days later, which did not comply with the minimum 14 days notice required by the act.

Some residents also voiced their dissatisfaction over the developer’s decision to conduct the meeting on Oct 4 when many Muslim owners were still away for the Hari Raya break.

“We just want things done according to the proper procedure,” said an irate resident, who declined to be named.

Mak said the council would continue to monitor condominium issues relating to joint management bodies and management corporations.

The MBPJ has come up with its own guidelines on how it interprets the Building and Common Property (Maintenance and Management) Act 2007.

The guidelines apply only to cases under the council’s jurisdiction and copies are available at the MBPJ Commissioner of Buildings secretariat.

It also has a set of guidelines for the operations and conduct of the JMB and joint management committee (JMC).

Monday, September 29, 2008

SELAMAT HARI RAYA

Guys, here's wishing every Malaysian HAPPY HOLIDAYS and to all Muslims, we celebrate with you the end of another Holy Month, celebrating your patience and determination in conquering hunger and the call of your religion.

Whilst we celebrate, may I humbly ask that we all remember our fellow Malaysians in custody due to misuse of authority in our country. Our prayers must be with all of them and their families.

Peace to all!

And incidentally, in CHINA (MACAU) we also have holidays on Wednesday and Thursday, celebrating the NATIONAL DAY Celebrations of the Peoples Republic of China.

Let;s celebrate together!

Wednesday, September 24, 2008

More on Security - Pros and Cons

It is about time that someone did initiate a networking system amongst the JMCs. The security problems that BP is facing is somewhat similar to what Armanee Damansara Damai (ADD) is facing. At ADD, we are using a security company called East West Security Services. We have 21 guards during the night and 22 guards during the day. Basically, the guards have 4 locations to man.1. Guardhouse at main entrance2. Clubhouse3. Block A4. Block B5. Block CThis excludes the podium and general compound. We have door and barrier gate access systems and CCTV. When we took vacant possession, we applied for the Residents Card but until now, it has not taken effect. Coming to your questions :- Access Card SystemIt is quite costly even to maintain. Storms usually paralyse the system - lightning strike and water exposure. You will not only have to deal with this but to also also train the guards. At ADD, the guards have a habit of manually operating the boom gates and door access. Yes, we have 2 guards, day and night, based at the respective residential blocks. No matter how many times I have tried to explain to them that they must now operate the system manually, they just never listen. Yes, it is a good system but it has to be properly planned and executed. Do not save on the protection system; lightning arrestors and surge protectors. We learnt a very expensive mistake ! Our boom gate access card system is presently on a monthly rental basis. CCTVCCTV's are a great security tool but again, are expensive to maintain. This is again a system that is sensitive to the weather. CCTV's are only good if you have a responsible guard to man the system. At ADD, our system is from the dinosaur ages - using VHS (now using hard disc) and another system is non-recordable. Our monitors are B&W. I learnt from friends that you need to be careful when selecting systems because many are light sensitive. In the night, your recordings are nothing more than patches of blured images. Access Card to ResidencesPerfect. This is what we were looking into. Again, there are pros and cons. Security is enhanced but each time a resident has a visitor, the resident will be inconvenienced because he/she will actually have to collect the visitor from the lobby. That's unless you have an intercom system with a "bypass" switch that you can activate from your unit. One-Way Door Access at Emergency ExitsIn my personal opinion, this is something dangerous in the event of a fire. If residents are caught in the emergency exits between floors, they too will not be able to access the "safe" floors - Not just burglars ! These are just some light opinions that I thought I'd share with all of you. Looking forward to more input. Regards,Valery

ON SECURITY - Pros and Cons

Hi everyone First, please let me do the introduction and then the purpose of this e-mail. I am Jock Chew, an elected member of Bayu Puteri (BP) Apartments JMC located in PJ Tropicana. I have met some of you while have been in touch with the rest via phone or emails previously. CM Chong is from ShangVilla condo, Kelana JayaRobert Foong, Anthony Goh & SC Lim are from Pelangi Damansara AptsValery is from Armanee Damansara Damai CondoWC Wong is from Sri Pinang CondoHY Lin is from Sri Intan 2 CondoS Venkat is from Bunga RayaAnthony is from Kenanga Condo, PuchongChua is from Akasia Apts, Puchong Before that, I must apologise as I have not sought your permission to reveal your email addresses. The purpose of this e-mail is to establish a contact with representatives of other high rise buildings to form a network of supports and sharing of information and experiences.
It is hoped that by so doing, all of us are enriched and be able to bring about positive changes to our respective JMB or MC. In this e-mail, I would like to discuss and hopefully you could also share with the rest, your own experiences on the issue on SECURITY. Presently, BP has retained the security firm, BERTAM Security Services, but is looking for a better alternative. Bertam has a mix of local and foreign guards but the security officers are local. Due to relatively low paying at between RM4.50 - 5.00/hr, these guards are more used for guarding than security. Because of occassional complaints on breakins, vandalism, car thefts, the guards are often blamed rather than the lack of over-sight by the property manager. In addition, rather than improving supervision or getting more quality and well paying guards, BP is proposing to: - introduce an electronic touch card system as resident ID cards for all residents - install more CCTVs at lift lobbies, inside lifts and other strategic area- install access control via pass cards into all tower lifts- install one way access door locks at emergency staircase exits These proposals are being opposed by some residents as premature, impractical or "putting the cart before the horse". My questions to you are: 1. Do you have a resident ID card system? If so, what type? Who manages it? How effective? Costs, etc? 2. Do you in favour of more CCTVs and more security gadgets? What are the downsides? 3. How are you currently managing security issues in your own buildings? You may share your views with all the rest of us. JOCK CHEW

Something INTERESTING and USEFUL..read on

The following is an excerpt from email correspondence with CAHC.....these are common issues that may be useful for all...please feel free to add your comments....

These JMC decisions portend to potentially serious lapses of good governance, transparency and accountability. 1. Closed Door Meeting For the first time, this 6th JMC meeting was declared as closed to non-JMC owners. The reason to keep out non-JMC members was not given prior to the meeting which was deliberately postponed by a week to emphasise the need for a closed meeeting. Under ACT 663 First Schedule [Subsection 11(4)] Committee may invite others to meetings - JMC can conduct closed door meetings - this may not be healthy but they reserve the right and if they exercise it we can't simply imply they have something to hide unless we have evidence. Transparency can be interpreted in many ways. Allowing you to attend does not mean transparency. Disclosing all Notice of meetings, agenda, attendees and minutes of meeting is transparency! Anyway if you are invited to JMC meetings you are not allowed to speak unless the chairman allows you and you definitely cannot vote on a decision! There should be greater transparency and care given by JMC when choosing to declare their deliberations within CLOSED DOOR meetings in the future. 2. No Meeting Agenda Although not the first time, the meeting was specifically informed that there was no agenda for the meeting despite some JMC members who had earlier sent in their items for inclusion as the agenda. However, the chair did have an agenda of his own which was used as the meeting progressed. In other words, agendas are being used to promote certain ideas or personal goals at the exclusion of others. All meetings must have Notice of Meeting which must contain date, time, venue and agenda of meeting. Any meetings conducted without a clear documented agenda is not a properly convened meeting. JMC members can refuse to attend the meeting hence the lack of quorum shall render the meeting void. Attendees can choose to walk out of the meeting if they found out the meeting has strayed from its original agenda or it is not addressing the agenda of the meeting and demand that the secretary minute the breach or violation. Without proper quorum the meeting cannot continue. The Chairman cannot on its own volition introduce agenda as the meeting proceeds. The JMC members can ask the Chairman to cease whatever he is doing and demand he adheres to the agenda stated in the notice of meeting. If he remains recalcitrant the JMC members can demand the secretary to minute it and then walk out the meeting! 3. Adoptions of Past Minutes of Meetings Minutes for meetings Nos. 4 & 5 were presented for adoption despite serious flaws regarding their accuracies discovered a month before. After a lengthy debate stretching for almost an hour, the meeting finally decided to send back the minutes to the secretary for re-drafting. At the time of writing, the re-drafted versions are still unavailable. If there are discrepancies in the recording of the minutes of meeting, the JMC committee members during the meeting can highlight or bring to the notice of the JMC members the errors and correct the error via a proposer and a seconder. The Secretary must record the proceedings. There is no need to send the recorded minutes for redrafting by the secretary as it could be done immediately during the meeting where correction can be done in situ!The corrected minutes will then tabled in the next meeting. All JMC members can record the corrections and make sure the minutes are recorded accordingly. 4. Disciplinary Action Against A JMC Member The meeting took an unusual step to censor the member for fowarding an email, which was relevant to the larger interests of owners, to the forum, by way of a proposed warning letter. This was done without prior notice and without a written set of internal disciplinary guidelines to back up such a decision. In addition, in a completely unrelated move, the adjudged member was further to have his portfolio on EXPENSES & COLLECTIONS unceremoniously and arbitrarily taken away and thus further isolating him as an effective voice in providing the necessary checks and balance within JMC. That is why we have always stressed that the JMCs come up with a SOPs (Standard Operating Procedures) and House Rules for the JMB to govern the JMC members in conduct, discipline and decision making. If no SOP is in existence the adjudge member can file in a complaint with the COB or even instigate legal action against the JMB. Was he even given a show cause letter for that matter? Was he given a chance to explain his case before a properly convened enquiry panel or board? Were there also properly spelt out penalties for offences mentioned? An if so who were the parties to that decision? Who gave the JMC members the right to remove him from his current portfolio? Was a meeting properly convened with the agenda clearly spelt out to remove him? 5. Purchases During the meeting, two proposed purchases were pushed through for endorsement without giving JMC prior opportunity to fully review all aspects of the proposals prior to the meeting, so as to clearly ascertain and satisfy themselves the cost vs benefits of the excercise. These are: 1. A chip-based photo-embossed resident access card system2. Phase One - CCTVs system No details as regards to the specifications, invited bidders, evaluation criteria, etc, have been made available to us to date despite 2 reminders. More worrying is the fact that no one quite knows what Phase Two is and how much it is going to cost! us !!! The combined proposals are estimated at more than RM30,000.00. The intended purchases have raised very serious questions begging for urgent answers, surrounding such issues as: 1. What are the under-lying justifications? 2. How would these proposals benefit the residents in a tangible way? 3. Were there a comprehensively written concept proposal presented to JMC AND the owners to seek their views and acceptance? 4. Who are the bidders? Are they qualified in their areas of expertise? 5. What are the evaluation criteria? 6. Is there a pre-approved budget agreed to by JMC? Or worse, are they based on an "open", no limit budget?! 7. Does JMC or the person(s) approving the purachses have the financial authority to commit JMB without first consulting the owners? 8. If not, has there being any written or built-in checks and balance mechanism in place to guard against: - ill-conceived purchases (which is later proven as unworkable) - financial inpropriety, etc In the event of having over-looked or ignored the inherent defects, deliberate or otherwise, to the basic proposal concept, do the owners have the right to seek - recourse to person(s) who made such purchases such as seeking compensation? See my comments on Q4 on SOPs and House Rules. As i have said if there were SOPs where 'checks and balances' are in placed than the JMC need not always have to consult the JMB OR residents. Our questions revert to whether the JMC has the authority to decide on the purchase to the tune or RM30,000. If SOPs says all expenditure less than RM40,000 for example then they are exempt from consulting the JMB or residents. BUT they still have to go through proper process of getting a minimum of 3 tenders (recommended by COB) for the project. The tenders must be explicit, well documented, name of company and shareholders, specifications, contracts etc. After a decision has been taken by the JMC, they will have to document their reasons for accepting that particular tender. Any member of the JMC who may have any vested interest must recuse himself from the decision making. All documents pertaining to the approval must be properly filed and minuted for the perusal of the JMB and COB. Failing to do all this invites future lawsuits from any complainant in the JMB if poper procedure are not complied and practiced.. Lastly, all minutes must be signed by the decision makers of the JMC; JMC members who object to the tender may choose not to sign the minutes of approval OR meeting thus abstaining them from future lawsuits. So all these places the JMC members to perform their duties with utmost care.If the RM30,000 is above the amount stated in the SOPs then JMC cannot make a decision on the tender. They will have to convene an EGM under section 10(2) C to put to the members to decide on the acceptance of the tenders. Actually i would recommend all major decisions to be taken by members during an EGM and this would completely absolved the JMC from future lawsuits instituted by its members. However, i believe most JMCs prefer not to consult its members during an EGM because

Sunday, September 21, 2008

We are with you!

Puncak Nusa Kelana folk up in arms over mall plan
By TAN KARR WEI


RESIDENTS of Puncak Nusa Kelana in Ara Damansara, Petaling Jaya, are going all out to save the lake in the area.

About 30 residents showed up at the lake to object to the development of a strip mall at the site.


Coming down: Pumping equipment has already been set up to drain the lake. The condominium can be seen in the background.

“We noticed that they had set up equipment to drain the water from the lake about a week ago but there was no notice put up regarding the development,” Puncak Nusa Kelana Owners and Residents Association (PNKORA) chairman Sudesh Ratnarajah said.

He said even though the lake was not a natural lake, residents were concerned that the draining would affect the soil around it and compromise the safety of their homes.

“We have not been given the traffic and social impact assessment reports.

“There is a school near the lake and it is not viable to have a strip mall there,” Sudesh said.


Help us out: Residents protesting the development at the man-made lake.

Many residents also said the traffic congestion was getting from bad to worse in the area and another commercial development would add to their woes, especially with the issue of the Taman Megah Mas tunnels still unresolved.

According to Kota Damansara assemblyman Dr Nasir Hashim, he had chaired a monthly meeting with the Petaling Jaya City Council (MBPJ) on Sept 19 and has requested for another meeting between all the parties concerned, including the developers and residents.

“We’re hoping to have the meeting by next week to clear the air,” he said.


Signature campaign: Sudesh said a signature campaign would be organised to save the lake.
Residents were unhappy with a previous meeting with the developers because their concerns were not addressed and the development would still take place despite their protests.

Sudesh said residents would start a signature campaign against the development.

Residents were peeved that MBPJ councillor Mohd Halil Haji Harun, who was in charge of their area, was not present despite having been informed of the event.

Puncak Dana Sdn Bhd had earlier explained to the residents that the area was not originally a lake and that approval was received in 1998 to build an 18-storey commercial building that was scaled down to a four-storey community shopping centre.

Subang MP Sivarasa Rasiah was also present at the protest.

Thursday, September 18, 2008

Pelangi Utama Condo residents in a dilemma

Anyone else with similar problems?

By OH ING YEEN
IMAGINE waking up in the morning to find a parking summons on your car’s windshield and this happens three or four times in a month, almost once a week.
That is what some residents and tenants of Pelangi Utama Condominium in Petaling Jaya have been experiencing lately.
Parking woes: Due to limited parking space, some of the Pelangi condo residents have no choice but to park along the road.
Damon Khaw moved in to the condo in July but has already received three summonses in August.
“My condo is not facing the road so I don’t know when the officers will come to issue summonses. One was even issued at 10.30pm on the eve of Merdeka,” he said.
“It sets us back about RM400 per month, which is almost 10% of our income.
“This has a big impact on our lives, especially with the high cost of almost everything since the petrol price increase,” he said.
Khaw and his wife each own a car but they were only allocated one parking lot.
“I bought the condo unit through a sub-sale. Thus, I would have to go through the first owner to apply for another parking lot,” he said.
“To apply for another parking lot will cost RM150 per month and it is subject to a drawing of lots since there are only 10 units left,” he said.
Khaw said he had raised this issue at the joint management body (JMB) committee meetings.
Aside from the summonses, safety is also one of his concerns.
“Sometimes, we park at the nearby shops and walk to the condo. I’m worried for my wife’s safety when she comes back from work late,” he said.
“It is also troublesome as we are not able to renew our road tax due to the summonses,” he said.
Pricey burden: Khaw holding up one of the summonses he received last month
Khaw hopes that the Petaling Jaya City Council (MBPJ) can allocate proper parking spaces for the condo residents.
His neighbour, who wanted to be only known as Epey, said other residents also faced the same problem.
“There should be some parking space for rent. I am so fed up that I want to move out. Why do we have to face this problem?” she asked.
Student Johnson Chua finds it difficult to fork out RM150 per month for a parking lot.
“I have moved in for less than a year and so far, I have received three summonses,” he said.
“I take turns with my housemate to park at the allocated parking lot.
“Sometimes, I park at the nearby shops but the space there is limited,” Chua said.
“It’s troublesome for me to travel all the way to pay my summonses, especially since I’m not local,” said the 20-year-old student from Malacca.
“I hope that the MBPJ will allocate a certain period of time, such as from night to dawn, for us to park for free,” Chua said.

Tuesday, September 16, 2008

Assessment cut for highrise units next year

Finally Some Good News?

By TAN KARR WEI
CONDOMINIUMS and highrise unit owners in Petaling Jaya will see a reduction in assessment rates next year.
Mayor Datuk Mohamad Roslan Sakiman announced that in the draft Petaling Jaya City Council (MBPJ) 2009 budget, assessment rates for flats, apartments and condominiums would be reduced from 8% to 6% (except those in Sri Damansara, Mayang Mas and Megah Mas, which remains at 5%).
Rates for service apartments would be reduced from 8.8% to 6.6%
Absorbed: Representatives from residents associations and Rukun Tetangga at the MBPJ 2009 Budget briefing.
Assessment rates for low-cost flats will remain at 5% while assessment for other properties will not be increased.
About 60 representatives from residents associations (RA) and Rukun Tetangga (RT) attended a briefing on the 2009 budget at the MBPJ headquarters in Jalan Yong Shook Lin.
The income deficit would be offset by an estimated RM6.48mil from rental of billboard sites.
A representative from Section 8 RT said there should be funds allocated for activities carried out by RTs and RAs.
Taman Mayang RT chairman Chan Chow Wang said the RM5mil increase to RM52mil in allocation for Alam Flora services was not justified.
“The service provided is not satisfactory. I raised the issue five years ago about the garbage trucks. When the trash is compacted, dirty water leaks from the trucks and dirty our roads,” said Chan.
The RM52mil makes up more than 20% of MBPJ’s total expenditure.
Petaling Jaya Selangor Residents Association (APAC) chairman Liew Wei Beng was upset that the various representatives could not obtain a copy of the draft budget before they attended the meeting.
“We need time to go through the draft to analyse it instead of rushing through it during the briefing,” said Liew.
He also said the numbers for the 2008 budget was an estimation and the actual amount spent up so far was not given and so it was difficult to compare the numbers with the 2009 budget.
“How would we know if there’s a surplus or deficit in the 2008 budget?” asked Liew.
One of the objectives of the budget was to make PJ a knowledge city and RM3.495mil has been allocated for items like Internet connection, computer equipment rental, handheld equipment rental and computer maintenance.
However, one RA representative commented that since the handheld equipment were for enforcement officers and the computers for councillors, it did not contribute to that objective.
Bukit Gasing assemblyman Edward Lee said the presentation of the budget could be improved.
“The council’s accounts for the previous years should also be given so that we will know if the budget provided for those years were sufficient and the budget for 2009 should reflect that,” said Lee, who was formerly the pro tem chairman of the All Petaling Jaya Pro-Action Committee, as APAC was then known.
He also noted that the budget did not address another pressing problem in the city — flooding.
“Flooding is a big problem in PJ and nothing much has been done to alleviate it. It is disheartening to know that there is a decrease in funds for drainage system and drain maintenance,” said Lee.

Wednesday, September 10, 2008

SECURITY ALERT and suggestion....

We had a community Policing meeting at Section 14 and I met your assistant. We were informed of a gang of 3 foreigner operation in PJ doing house breaking. They drive a Perdana silver colour . Modus operandi consists of a female ring door bell to check whether a house is empty before her two male companion strike.

It may be useful if all condominiums can be notified of this gang who may be renting in our condo. Ask the guard to note if some western looking group with a silver Perdana live in our property. If so inform the Police to investigate further.

It may be useful is we want to form a legal fully support Condominium central organization if you can write to all chairman of JMB or MC inviting their to become a registered paying member of your organization. Individuals cannot make such decision without Council or General meeting agreement as required by the Strata Titles Act

Just something for your consideration.

Sunday, September 7, 2008

PJS1 flats riddled with problems

http://thestar.com.my/metro/story.asp?file=/2008/9/8/central/1883839&sec=central

By JADE CHANjade@thestar.com.my
RESIDENTS at the Petaling Utama Flats in PJS1, Petaling Jaya, are unhappy with many issues at their low-cost flats, which they said stems from an irresponsible developer who does not provide satisfactory services.
“Our problems include irregular and dirty water supply, shoddy maintenance work at our flats, lifts that don’t function well, and not having a playground, field and community hall even though they were supposed to be provided by the developer,” said Petaling Utama PJS1 Residents Association (RA) assistant secretary M. Sugumaran.
“We aren’t given any prior notice when our water supply is cut off. The situation is so bad that once our water supply was cut off for three days, and a disabled person slipped and died when he was carrying water up to his flat.
Not fit for consump tion: The dirty water supply at the Petaling Utama Flats in PJS1, Petaling Jaya.
“According to a letter dated Aug 1, 2006, that was sent to the then Selangor Mentri Besar, the developer promised to refund 28 ground floor flat owners RM7,000 each in two portions but they have yet to do so.”
Sugumaran explained: “Each ground floor unit, measuring 650 sq feet in size, was supposed to be sold at RM35,000 (per unit).
“But the developer sold it at RM42,000 (per unit), which is the price for the first to 11th floor units that measure 700 sq feet in size. Hence the RM7,000 refund.”
He said that some residents are so upset that they have ceased paying bills owed to the developer.
“The developer has been using their cronies to call for meetings and handle residents’ issues, even though our RA represents the 627 units at Blocks C and D of the Petaling Utama Flats,” claimed Sugumaran.
“We pay our water bills to the developer, but they don’t forward our payments to Syabas. “Our water meters are checked at odd hours and the charges vary every month.
“The developer shouldn’t charge interests for delayed payments as most residents can’t afford the high payment.”
On the water supply and charges which are managed by the developer, he said that the residents want those to be taken over by Syabas.
“We want the new state government to uphold their promise to take care of the low income group and provide us the first 20 cubic metres of water free. We also want them to take action against the developer.”
Sugumaran said that they have highlighted their problems with the developer to the Petaling Jaya City Council (MBPJ) and their local assemblyman and MP (from both the previous and current government), but have yet to receive any feedback.
The committee members are also upset that they are not invited or updated about any meetings held between the developer, MBPJ and their local representatives.
Taman Medan assemblyman Haniza Talha said that the water supply was cut off because residents did not pay their water bills and that there is a community hall in PJS1.
“However, if the developer is at fault, then the MBPJ must take the developer to task.
“It’s a long process but we are working on resolving the issues,” said Haniza.
“The residents cannot expect seven years of problems to be gone in five months.”

Wednesday, September 3, 2008

We Stand By You

http://www.thestar.com.my/metro/story.asp?file=/2008/9/4/central/1944192&sec=central

Condo residents in a bind
ILLEGAL food peddlers hawking on pedestrian walkways, road kerbs and public parking bays in front of the Vista Komanwel B Condo-minium at Bukit Jalil National Stadium are making life miserable for the residents living there.
The hawkers, who hail from different parts of the city, have chosen the spot because of the lucrative business in the area.
The area in front of the condominium, which is located opposite the International Medical University (IMU), has become a sort of food paradise for students from the university.
According to residents interviewed by the StarMetro, stalls have sprung up like mushrooms along pedestrian walkways and road kerbs and they operate in the mornings and evenings.
They’re everywhere: Illegal hawkers set up tables and chairs on pedestrian walkways in Bukit Jalil.
“All these are happening along a busy four-lane road, which has been reduced to two lanes by illegal hawkers and customers who double park to buy food from them,’’ said Vista Komanwel resident Michelle Tan.
“Pedestrians are forced to walk on the road, thus exposing themselves to danger from incoming traffic. It is also unhygienic and with neither proper toilets nor fresh water facilities,’’ said Tan, adding that waste is just thrown down the drain.
Residents are worried that apart from mosquitoes, rats would soon be making an appearance in their once serene neighbourhood.
The Joint Management Committee of the Vista Komanwel B had on numerous occasions written to DBKL to complain about the illegal hawking going on in the area but apart from sending some enforcement staff to check out the situation, nothing was done to solve the problem.
In their own world: Pedestrians have to walk on the road as the walkway has been taken up by these hawkers.
“Our quality of life has dropped. The situation has caused us all much distress. Apart from the hygiene and smoke emission from the open cooking, the value of our properties have depreciated,’’ said resident Jason Ong.
When StarMetro visited the area recently, many mobile stalls were visible in the area. One particular stall had placed at least 30 tables and chairs right on top of pedestrian walkways.
The stall operates from noon until midnight every day except Sundays. What’s interesting is the fact that the stall operator has even erected a makeshift toilet built over a metal grille covering of a drain.
At other spots, stall operators have placed their food containers and utensils on planter boxes, damaging the plants.
One stall owner even upgraded his ‘service’ by carpeting a stretch of the pedestrian walkway!
“It is not fair that as ratepayers we are denied the right to live in a clean and tranquil manner,” Ong said, adding that something must be done about the matter.

Sunday, August 24, 2008

Anyone Can Offer Any Comments?

As the Treasurer of this JMB, I have encountered two financial doubts with the Developer which we are in the process of final Handover.

1. They have been charging a certian sum as Management Fees every month and over these 10 years, the sum could sum up to RM1.32M - is this sum charged by them legal and acceptable?

2. In addition, they have also been taking Directors Fees of varing sum, about 50k to 99k per annum over the years - this again is this fees justifiable and acceptable?

As developer pending handover to the JMB, isnt it their obligation to manage the project until the strata title is issued. At the point of writing, our strata title is still pending.

Tuesday, August 12, 2008

CoB appointments on councils should be full time – by Goh Ban Lee

The SUN Tuesday 12 Aug 2008

Petaling Jaya mayor Datuk Mohamad Roslan Sakimin recently urged that local council presidents and mayors be relieved of the Commissioner of Buildings (CoB) appointment. This was supported by Subang Jaya Municipal Council president Datuk Adnan Md Ikhsan qnd Kajang Municipal Council president Datuk Hassan Nawawi Abd Rahman ( The Star Aug 5,2008 ).

This public appeal was not only rare, but also out of character of local council presidents or mayors. Indeed, some might see this as inappropriate since the appointment of local council chiefs to be CoB was the brain-child of the federal government and implemented by the state governments.

On the contrary, they should be commended for speaking out. Although they are seconded from the civil service, as heads of governments, albeit the lowest tier, they should voice out their opinion if something is not working effectively.

More importantly, their appeal should be considered seriously. The post of CoB is a very recent creation following the enactment of the Building and Common Property ( Maintenance and Management ) Act 2007 (BCPMM Act ) to institute a systematic procedure in the maintenance and management of properties with strata land titles. This is the result of numerous complaints about very poor management, including cheating by property developers which used to manage their projects long after completing them.

CoB is to implement the BCPMM Act and Parts Vl and Vll of the Strata Title Act. This basically involves ensuring that entities that manage strata titled-properties, be they Joint Management Bodies (JMB) or Management Corporations (MC), function according to the law and maintain proper accounts and property owners fulfill their obligations. For instance CoB has authority to institute actions against errant office bearers of JMB and MC and property owners who refuse to pay maintenance fees.

In other words, CoB plays a very important role in the quality of life of millions of people living and working in multi-storied apartments, shopping centers and most gated communities. The interests of the owners of such properties are also involved.

As such, the Ministry of Housing and Local Government should be commended for the enactment of BCPMM Act. However, while there might be legitimate reasons to appoint presidents or mayors of local authorities to be CoB, it is now clear that this is ill advised.
Even though the functions of local authorities have diminished since the last decade or so and about to be reduced further with the implementation of the Solid waste and Public Cleansing Management Act and the Solid Waste and Public Cleansing Corporation Act, there are still a lot on their plates. More significantly, they are still not able to handle

Monday, August 11, 2008

Condo officials ignorant of their rights

http://thestar.com.my/metro/story.asp?file=/2008/8/12/central/1766226&sec=central

By LIM CHIA YING
MANY officials of joint management bodies (JMBs) of high-rise apartments and condominiums have no idea about the provisions of the Building and Common Property (Management and Maintenance) Act 2007 and are often unclear about their rights under the act, according to Subang Jaya assemblyman Hannah Yeoh.
Yeoh said she observed this when dealing with the JMBs in the Subang Jaya municipality, who had come to seek her advice on management problems.
“When it comes to high-density units, the JMBs have no experience managing the building,” she said.
“Despite attending training sessions organised by the Subang Jaya Municipal Council (MPSJ), many JMB officials still do not fully understand the rules and regulations involved,” she said.
“The JMB officials are still vague over their powers and there have been cases where their water and electricity supply are cut due to unpaid arrears by developers,” Yeoh said.
She said this was why she had conducted the recent JMB session in Bahasa Malaysia for the JMB representatives of Angsana Apartments in USJ 1 at the nearby Tabika Kemas to help them understand.
For the session, Yeoh also took along Mak Khuin Weng and Tengku Nazaruddin Zainudin who are familiar with issues related to condomiums and high-rise living.
“Mak and Nazaruddin have been giving talks and advising people in the Klang Valley on the JMBs. Hence, I asked their help to look into the JMBs woes of Angsana Apartments,” she said.
According to Angsana JMB Block C and E chairman Hazlan Omar, he only has a photocopy of the certificate of establishment issued by the MPSJ in March.
Mak said a photocopy was not good enough and the original certificate was required for the JMB to open a bank account.
“You need to either get the original certificate from the MPSJ or the developer,” he told the JMB committee.
“After that, you will need to write a letter to the developer to obtain the current set of accounts, and then get a list of house owners. Without the list, you won’t be able to do your maintenance collection later on as you would not know who has paid and who has not,” Mak said.
The Angsana has eight blocks of apartments managed by four JMBs.
Currently, each apartment pays RM35 a month to the developer as maintenance fee.
Mak suggested that the JMB officials buy a copy of Building and Common Property Act guidebook, which costs only RM15 each, to read up on building management.
According to Yeoh, the original certificate is issued by the commissioner of building (CoB). The MPSJ president and all other local council presidents and city mayors are the de facto CoBs of their respective municipalities.
“I will raise the JMB issue at the next state assembly sitting so that the people will know where to go when faced with problems,” she said.
Yeoh said at the Angsana. there were many tenants, including foreigners and it was difficult to trace the owners of these rented units.
“Moreover, their public hall has been occupied by a political party so they have no place to meet,” she said.

Monday, August 4, 2008

Woes related to high-rise living

http://thestar.com.my/metro/story.asp?file=/2008/8/5/central/1688343&sec=central

By GEETHA KRISHNAN and TAN KARR WEI
THE high-rise pressure-cooker lifestyle is causing temperatures to rise among residents of apartments and condominium units, resulting in constant confrontation and conflicts between them and their joint management committees (JMCs).
Feuds, veiled threats, aggressive actions and even run-ins with the law are common features of the high-rise dwelling culture.
The common grouses include the usual disputes over sinking funds, maintenance charges, insurance, house rules and parking bays.
Iskandar: The state government was aware of problematic JMBs.
The more serious cases involve accusations of cronyism and covert dealings have also been hurled.
Under the Building and Common Property (Management and Maintenance) Act 2007, a developer is required to form a joint management body (JMB) to oversee the management and operation of the common areas at its high-rise projects.
The developer is given 12 months from the date of vacant possession to set up a JMB before strata titles can be issued.
The committee should comprise two representatives from the developer and eight to 12 owners of apartment or condominium units.
The Building and Common Property (Management and Maintenance) Act 2007 is meant to protect buyers and complements the Strata Titles Act.
National House Buyers Association secretary-general Chang Kim Loong, however, feels that it is still a long process for strata titles.
“The Building and Common Property (Management and Maintenance) Act 2007 is new. Hence, there are teething problems,” he said.
“The Federal Government, especially the Housing and Local Government Ministry, must be pro-active in educating both developers and buyers through means like proper guidelines, a hotline or even conducting brief courses,” Chang said.
Hasan Nawawi: It is hard for local authorities to concentrate on JMBs.
“One reason there is feuding and uncertainty is because the act is there but the regulations are not in place. Another reason is with power lumbered over to buyers. Everyone seems to have a personal agenda and think the JMB is a gold mine,” he said.
“The residents associations and the Rukun Tetangga are powerless in raising and articulating issues because of legal restraints as the JMB, as a corporate body, can sue and be sued. Hence, although the residents associations can be consulted for checks-and-balances, they are hesitant to address the real issues,” Chang said.
The authority in this matter is the Commissioner of Buildings (CoB).
As a legal adviser, the CoB must determine the service charge of a property, ensure the building is insured, audit the building management fund, enforce house rules and advise on late payment interest for maintenance and service charges.
According to Chang, the Selangor Housing and Real Property Board (LPHS) previously performed the functions of the CoB but the Federal Government, through the Building and Common Property (Management and Maintenance) Act 2007, felt that local authorities should be entrusted with the job.
Chang feels that the board should continue to have control over the JMBs and delegate its tasks through sub-CoBs, which should comprise individuals familiar with housing and local government issues while having the necessary skills and qualifications to resolve disputes.
According to Selangor Housing, Building Management and Squatters Committee chairman Iskandar Abdul Samad, the state is aware of problematic JMCs and has plans to take over inefficient committees through local councils.
Not too smooth: In some cases, problems have arisen between residents and the JMBs.
Iskandar said the housing board would serve as mediator when deemed necessary.
Residents of apartments and condominium units want to be informed and educated about their rights, according to S. C. Lim, the adviser of the Pelangi Damansara Blocks G-K joint management committee (JMC).
Residents association chairman Anthony Goh, meanwhile, said there were members with various types of expertise and this was a great help in the selection of personnel for the formation of the JMC.
Damansara Sutera JMC chairman Jeffrey Chan said residents should find common grounds when dealing with developers so issues could be raised and amicably settled.
However, for residents of the Palm Court Apartments in Brickfields, it has not been smooth sailing. There are frequent disputes between the tenants, owners and the JMC.
All mayors and local council presidents are de facto Commissioners of Buildings (CoB).
Petaling Jaya mayor Datuk Mohamad Roslan Sakiman, however, feels that there should be an independent body to handle the formation of joint management bodies (JMBs).
At present, the CoB functions through the Petaling Jaya City Council (MBPJ) property management and assessment department.
“The responsibility should not be placed in the hands of the local authorities. We need employees who are trained in this issue to handle the workload,” Roslan said.
Adnan: We have to re-deploy employees to deal with JMB issues.
For example, he said the council accounting team would have to audit the accounts of the condominium before a certificate for a JMB is issued.
“Our legal team also has to work on it on top of the other council related matters that they have to attend to,” Roslan said.
Subang Jaya Municipal Council (MPSJ) president Datuk Adnan Md Ikshan said so far, there were 212 condominiums with strata titles and 80 JMBs in the municipality with 36 cases still pending.
“We don’t have a special department to handle the JMB issues. We have to re-deploy employees to work on it,” Adnan said.
However, there is one accounting personnel from the federal government helping the MPSJ employees.
Kajang Municipal Council (MPKj) president Datuk Hasan Nawawi Abd Rahman agreed that there should be an independent body appointed as the CoB.
“There are many problems relating to the formation of the JMBs and it is hard for the local authorities to concentrate on them because we have other issues that we should be working on,” Hasan said.
Meanwhile, Local Government, Research and Studies Committee chairman Ronnie Liu said the state government was still studying the proposal to relieve the local authorities of the responsibilities of the CoB.
Getting to grips with high-rise living
RESIDENTS of apartments and condominium units want to be informed and educated about their rights, according to S. C. Lim, the adviser of the Pelangi Damansara Blocks G-K joint management committee (JMC).
Residents association chairman Anthony Goh, meanwhile, said there were members with various types of expertise and this was a great help in the selection of personnel for the formation of the JMC.
Damansara Sutera JMC chairman Jeffrey Chan said residents should find common grounds when dealing with developers so issues could be raised and amicably settled.
However, for residents of the Palm Court Apartments in Brickfields, it has not been smooth sailing . There are frequent disputes between the tenants, owners and the JMC.

Local councils prefer independent body to handle JMBs

http://thestar.com.my/metro/story.asp?file=/2008/8/5/central/20080804215449&sec=central

ALL mayors and local council presidents are de facto Commissioners of Buildings (CoB).
Petaling Jaya mayor Datuk Mohamad Roslan Sakiman, however, feels that there should be an independent body to handle the formation of joint management bodies (JMBs).
At present, the CoB functions through the Petaling Jaya City Council (MBPJ) property management and assessment department.
“The responsibility should not be placed in the hands of the local authorities. We need employees who are trained in this issue to handle the workload,” Roslan said.
For example, he said the council accounting team would have to audit the accounts of the condominium before a certificate for a JMB is issued.
“Our legal team also has to work on it on top of the other council related matters that they have to attend to,” Roslan said.
Subang Jaya Municipal Council (MPSJ) president Datuk Adnan Md Ikshan said so far, there were 212 condominiums with strata titles and 80 JMBs in the municipality with 36 cases still pending.
“We don’t have a special department to handle the JMB issues. We have to re-deploy employees to work on it,” Adnan said.
However, there is one accounting personnel from the federal government helping the MPSJ employees.
Kajang Municipal Council (MPKj) president Datuk Hasan Nawawi Abd Rahman agreed that there should be an independent body appointed as the CoB.
“There are many problems relating to the formation of the JMBs and it is hard for the local authorities to concentrate on them because we have other issues that we should be working on,” Hasan said.
Meanwhile, Local Government, Research and Studies Committee chairman Ronnie Liu said the state government was still studying the proposal to relieve the local authorities of the responsibilities of the CoB.

Sunday, August 3, 2008

When Your Management Does Not Form The JMC

http://www.nst.com.my/Current_News/NST/Monday/Frontpage/2311090/Article/index_html

Taking matters into their own handsBy R. Anbustreets@nstp.com.my


KLANG: Owners and residents of Prima Bayu Apartments in Bayu Perdana here took charge and formed a joint management body to address problems on maintenance following the developer's failure to respond to the set up.
Residents' Association chairman P. R. Rajah said the body had to be formed, although under the law the management body should comprise the developer and residents. He said a letter was sent to the developer urging it to set up the management body, but there was no response."Following which residents lodged a complaint with the Commissioner of Buildings, which is under the Klang Municipal Council."The council appointed an agent to help us form the joint management body which was supposed to comprise the residents and the developer. But the developer did not turn up."This is the first meeting where an agent has been appointed to help us form the body," he said at the meeting recently.
In the absence of developer Palm Grove Sdn. Bhd, the meeting was conducted by Peter Chong, the agent appointed by the council. Rajah was elected as chairman of the joint management body, Albert Yeow as deputy chairman, V. Gunaseelan as secretary and V. Kalaisilvan as treasurer.Prima Bayu comprises 672 apartments with 3,000 residents. Not all are owners, some companies have rented the flats to house their workers.Rajah said the residents have had various problems especially on maintenance and security.Klang MP Charles Santiago, who was present at the meeting, advised developers in Klang to work closely with residents to work out complaints and problems."Many complaints from residents of apartments have been about the lack of maintenance and the developers' lackadaisical attitude."

Thursday, July 31, 2008

Sinkhole - ??

http://thestar.com.my/metro/story.asp?file=/2008/7/31/central/1686709&sec=central
A SINKHOLE about 2m wide along the banks of Sungai Kayu Ara has caused fears among residents of the Puncak Damansara Condominiums in Kg Kayu Ara, Petaling Jaya.
Joint management body (JMB) secretary Mohd Rafi Ganesan said they discovered the seriousness of the problem when the joint management committee (JMC) took over the management from the developers.
Puncak Damansara Owners and Residents Association (PUNDORA) Leonard Nathan said they even cordoned off a stretch of covered parking by the river banks for fear of a landslide.
Worrisome: Puncak Damansara Condominiums senior security manager Capt (rtd) Kumaravel Veerappan inspecting the sinkhole by the condo walls.
Representatives from the Petaling district Drainage and Irrigation Department (JPS) and the Petaling Jaya City Council (MBPJ) visited the site with residents and Condominimum, Apartments and Highrise Committee (CAHC) chairman Tengku Nazaruddin Zainudin.
An MBPJ engineer said the earth along the whole stretch had settled further after the condominium was built and the drainage pipes were not done properly, causing erosion along the banks.
A JPS engineer said residents would first have to rectify the whole drainage system within the condominium that was along the river bank.
Mohd Rafi said they had appointed a contractor and work would start by this week.
After submitting a report, JPS would conduct earth strengthening work along the bank once enough funds were available, a process that would take about six months.

Wednesday, July 30, 2008

something from the mail....

Any comments for these issues?

Presently there are a number of issues regarding our JMB which must also becommon to most other new JMBs.

Top of which is on how to ensure an efficient and integral management ofJMB.such as:

- JMB constitution - do we need one?

- standard operating procedures particularly those relating to limit of
financial authority to enter contracts, approve and disburse funds, etc- office bearers and their respective roles and responsibilities.

- relationship and requirements expected for property manager and otherservice providers,- contacts with other JMBs

Wednesday, July 9, 2008

Have you got a similar problem?

I had a bad experience, i.e. somebody not unit owner being voted into the JMC and his name submitted to the COB by the developer. This in itself could be grounds to declare the first AGM faulty and the whole elections suspect, since the developer had failed miserably to determine the voting rights of attendees (I honestly could not tally the count and I, chairman of the AGM and elected to the JMC is supposed to be absent according to the attendance listing!).

I am sure most of us do not know the secret background of our fellow committee members if they have any. For this reason, I have drafted a "Declaration of Eligibility to Hold Office" which I want all my JMC members to sign. It is attached herewith. Please be frank and direct with your comments and opinions if any. I might raise this matter at the forum if time permits.

Monday, July 7, 2008

When The Law Is Enforced

Prima Bayu Appt in Klang had problems with their developer. So what's new! The developer refuses to call for the meeting to form the JMB despite advices from the COB. They kept claiming that the MC had already been formed, therefore no need JMB; but the fact remains that not enough owners have signed the register at Land Office and a MC meeting had never been called.

The Klang COB, took the initiative to appoint an Agent to call for the first meeting of the JMB. The Agent worked together with the Residents' Association to organise the meeting.

On the 6th of July, the JMB of Prima Bayu was officially formed despite having no cooperation from the developer.

Well done to Majlis Perbandaran Klang for their pro-active action and to the residents of Prima Bayu.

We wish you well!

Anyone can help out?

The following questions were asked by a member from PJ.....

1. What law (state or federal) specifically prohibits cutting water supply to apt residents? - pls cite
2. How is Syabas empowered to cut water supply for non payment of water dues? Have they got special powers? - pls cite
3. Is it illegal to specify the cutting of water supply to an apt (in the House Rules) even if it is not practised?
4. Is reducing water pressure to an apt an illegal act? Are there laws that can be cited?
5. Are there laws on the right of entry and exit to an apt via common areas (for fee defaulters)? - pls cite
6. Can defaulters (item 6) be denied lift service and be made to use the stairway?
On pets in condos
7. Are there state / federal laws that prohibit keeping of pets in high rise? - pls cite
8. If no to above (item 6), are there laws that prohibit keeping more than one pet?
9. Are there laws regarding breeding animals in condos? Can 2 or more pets be construed as breeding?
On developer
10. Can a developer claim unsold apts and car parks in a developement project, and ownership to such?
11. If yes (item 9) would the developer have to pay the Maintenance fees?
12. What about unsold car parks - these do not attract any maintenance charges at Maxwell. Do such units default as common area, and if so after what period after the building CF is issued?

Saturday, June 28, 2008

You are not alone!

http://www.nst.com.my/Current_News/Streets/Saturday/Stories/2279152/Article/index_html

Complaints aplenty from Menara City One residents

Nuradzimmah Daim

KUALA LUMPUR: Many would give an arm and a leg to live in the heart of the city, but the residents of Menara City One Condominium feel they don't have much to boast about.

They have numerous complaints about the management of the building in Jalan Munshi Abdullah, near Jalan Masjid India, which also houses 49 shoplots on the ground floor.

Lack of maintenance, poor lighting in the carpark, cracks in the building, noise, air pollution and open burning near the entrance to the car park are just part of the long list.

Another problem, says senior bank manager Pang Teng Lee, is that he and other owners are still waiting for their strata titles.

He said the 10-year-old building was initially maintained by developer City One Sdn Bhd, but was handed over to City Hall in 2003.

"City Hall has done nothing about our titles.

"And we have been paying our monthly maintenance fees but we have no access to the accounts.

"We hope the joint management committee formed in April will help and be more transparent about what is happening."

He said nothing was accomplished at the first meeting between City Hall and the committee because the audited accounts were not given to the residents.

Irene Tan said she was concerned about the safety of the residents as any vehicle can access the car park.

"And because of the condition of the building and the fact that we don't have strata titles, the market price of our units has actually dropped from the original RM200 per square foot."

The exasperated residents have asked Bukit Bintang MP Fong Kui Lun to help.

He visited the building and arranged a meeting with the joint management committee.

Committee chairman M. Ramanathan said the maintenance and running of the 502-unit building was being done properly.

"We are doing our best. But the residents are close to RM6 million in arrears on their maintenance.

"If the residents don't pay, how can we maintain the building?

"We check all contracts with service providers and welcome suggestions and feedback on service providers from residents. We have nothing to hide as we are also residents here.

"We have applied for the strata titles, but there is a caveat that needs to be removed before we can proceed," he said.

Thursday, June 26, 2008

RA representation in MBPJ

http://thestar.com.my/metro/story.asp?file=/2008/6/26/central/21649859&sec=central

Thursday June 26, 2008

PJ folks rue ‘incomplete’ list


FRUSTRATED and furious – this aptly described what Petaling Jaya residents felt about the list of councillors for their city.

“The Pakatan Rakyat promised that there would be residents represented in the councils but looks like it's not to be. We were hoping that at least one councillor would be a Residents Association (RA) representative but they are merely following the earlier government by having political appointees,” said All Petaling Jaya, Selangor, Residents' Association Coalition (APAC) committee member Mohamad Umar Peer Mohamad.

Mohamad Umar: ‘Residents’ needs would be brushed aside.’

APAC secretary Liew Wei Beng was unhappy because despite all the hard work they had put in fighting for the residents' cause, they were once again sidelined.

Condominimum, Apartments and Highrise Committee (CAHC) chairman Tengku Nazaruddin Zainudin said he received many calls from residents, questioning why there was no RA or Rukun Tetangga (RT) representation in the council.

“We question the political appointees because none of them have been actively involved with the council or with residents.

“Have they even attended a full board meeting before? Have they ever gone to the ground to see what residents are facing?” commented Nazaruddin, who has been staying in PJ for about 40 years.

Tengku Nazaruddin: Received many calls from residents who voiced their dissatisfaction.

“It's ironic because the council runs on the assessment paid by residents but in the end, the political parties decide who should represent us,” said Liew, also a PJ resident for about 40 years.

“We want people who can solve issues. We will continue to be the watchdogs and make sure PJ residents are taken care of,” said Nazaruddin.

“The NGO appointees would be more interested in policy-making issues, not our drainage or traffic problems,” said Liew, who is also Taman Mayang Jaya residents association chairman.

Umar said that like before, residents' needs would be brushed aside.

“There won't be much change and we would continue to see developments taking place around PJ. Before this, we have been termed as opposition when we fought for our rights and sadly, we're still going to be an opposition,” said Umar.

As the list is yet to be finalised, he hoped that the state government would reconsider their list.

Liew: Very disappointed with the list of councillors.

Should the councillor list remain as it is, Umar said they would carefully monitor the councillors throughout the first year.

SS4C and SS4D Residents Association (RA) chairman Ravinder Singh said politicians should be concentrating on politics and interests of the nation on a larger scale.

“Why are they meddling around in our local councils? Politicians are just here for a temporary period while we're staying here. We need a long-term representation in the council be involved with the developments that take place in our neighbourhoods,” said Ravinder.

Commenting on the disagreement between Pakatan Rakyat parties and even within the parties itself regarding the councillor lists, Ravinder said: “After 100 days in office, they are still complaining about their needs. What about our needs?”

SS20 RT chairman Eileen Thong said it was a wise decision not to have RA and RT representatives in the council.

She said that residents still had a voice through monthly MBPJ meetings between MBPJ heads of departments, councillors and resident representatives that were chaired by an assemblyman.

“It would have been hard to pick RA or RT heads to sit in the council because there are so many in PJ itself. How are you going to pick one to represent all residents? There would be a sudden surge of people who would want to get into the post with personal agendas. This would have been an unhealthy situation,” she said.

Kelana Jaya MP Loh Gwo Burne said he did receive complaints that there were no RA representatives in the council.

“They should have some sort of representation because they make up the majority of people in Petaling Jaya,” he said.

Wednesday, June 25, 2008

Protection for JMC

as published in http://www.sun2surf.com/article.cfm?id=23483

Give condominium panel members more protection

WITH
the implementation of the "Building and Common Property (Maintenance and Management) Act 2007" last year, owners of apartments, condominiums and other buildings are required to form their own management bodies.

The Management Body then appoints a Joint Management Committee (JMC) to carry out the functions of the body, namely the management and maintenance of the building and common property as provided under the Act. While the Act seeks to protect JMC members from criminal liability for offences which may be committed by them, it does not protect them from any civil suit brought by the owners/occupiers for damage or loss.

Members of the JMC are placed in a posi-tion of trust to carry out of their duties and responsibilities to the owners and can thus be sued and be made liable to owners or other occupiers for any loss or damage due to negligence or oversight on their part. The circumstances under which such a suit for negligence (even if done in good faith), arising from the maintenance and management of the building and common property, can be brought are numerous and varied. As the tasks undertaken by JMC members are largely voluntary in nature and carried out in their spare time, the Act should accord them some degree of immunity from civil action.

A logical safeguard would be for the JMC to take out a separate insurance of indemnity to protect itself against potential negligence suits. There is no reason why the premium should be paid by JMC members from their own pocket; hence the question is whether it can be lawfully paid out of the Building Management Fund.

None of the provisions of Section 22 (3) of the Act – which sets out the purposes for which money in the fund can be utilised – seem to allow for such payment. As this premium may impact heavily on the fund and thus impose an additional financial burden on the owners, it would perhaps be best to accord JMC members legal immunity from civil suits.

This protection would then encourage more owners to serve on the JMC, without which it would be difficult to imagine owners readily willing to do so.

Ajit Singh Gill
Kuala Lumpur

Sunday, June 22, 2008

Sounds Familiar? - The problem is everywhere!

Residents tired of shoddy maintenance
REENA RAJ and SITI FATIMAH MD SAAD

THE repairs to the lifts servicing the Taman Miharja Phase Two apartments are entirely in the hands of the residents. A spokesman for Hokawai & Associates, which manages the 15-storey buildings, said if the residents want the lifts to be repaired, they should settle outstanding maintenance fees.

He said Hokawai was the sixth company to manage the place in the past 15 years.

Phase two comprises 10 blocks and poor maintenance had resulted in only one working lift in each block.

“And when the remaining lift breaks down as well, there will not be anything left. And that’s not all.

We have outstanding payments with Syabas and TNB, again because of the indifference of the residents.

Two weeks ago, a joint management committee was set up to discuss how best to address the problems.

A resident, Puah Kim Lai, said his latest bill reflected an outstanding charge of RM110, despite him having paid all his bills promptly.

He showed Malay Mail receipts of his previous payments until April.

“I never received the bill for May.

The next thing I knew, I got a bill for June and in it was an outstanding charge,” he said.

Another resident, who only wished to be known as Lim, said that the management office’s operating hours makes it difficult for them to pay the bills.

“They open from 9 to 5 while I work from 8am to 6pm. As such, I always miss the office hours.

“However, when I asked the management to open their office on weekends, they refused,” he said.

Residents also voiced their displeasure on other issues such as the indiscriminate parking of motor- cycles in front of the ground floor unit apartments, the presence of rats due to uncollected garbage, the poor quality of water, leaky water tanks and overall poor maintenance of the surrounding area.

Meanwhile, Cheras MP Tan Kok Wai, adviser to the joint committee, said: “I’m sure if we all work together, an amicable solution can be found,” said Tan.

“The problem is most of the residents are tenants and the unit-owners are the ones who have not been paying the maintenance fees.”

Friday, June 13, 2008

Apartment Owners in a Limbo

Pitfalls await unwary apartment owners now that they are starting to manage their own common properties, writes LEE SIEW LIAN of NST online - columns dated 2008/05/04

APARTMENT owners are trapped in the middle of a roiling dispute over who should control the lucrative business of property management.

With an estimated RM600 million in annual fees at stake, the long-standing battle has left owners in a bind over who to appoint to help run and maintain their communal properties once they take over from developers.

While the two groups of property players slug it out, state governments are dithering over who to appoint as building commissioners, the officials who should be best placed to decide on the issue.

This leaves the country's 1.2 million apartment owners with little guidance over what to do and few safety nets to catch them if they make a mistake.
Because regulation of this industry is inadequate and dotted with loopholes, apartment owners are now exposed to major risks, including financial disaster.

"It's a daunting and confusing task," says Veronica Gan, president of the Bangsar Heights Residents Association, which will soon form their own management corporation.

"What we need are some guidelines on the best practices to adopt or how to negotiate. The only material we have is from the House Buyers Association, but it's not really enough."

"There are many pitfalls during this transition period," says Chang Kim Loong, honorary secretary-general of the national HBA, "But no one's looking out for the consumers."

Thousands of joint management bodies (JMBs) were supposed to have been set up this year, giving owners of flats, apartments and condominiums a say, together with developers, in how subdivided properties are run.

JMBs are interim bodies for the years before strata titles are issued and owners' management corporations (MCs) set up to take over from developers.

One of their biggest responsibilities will be to appoint someone to manage their common property, from the grounds and lifts to corridor lighting and swimming pools.

Almost overnight, a huge and lucrative industry has opened up.

"If unit owners paid an average of RM50 in monthly maintenance charges, it would mean RM50 million a month, RM600 million a year," says Kumar Tharmalingam, secretary-general of the International Real Estate Federation (Fiabci), in Asia Pacific.

The Board of Valuers, a statutory regulator, says owners should appoint only property managers that it has registered. But a lobby group, the VAEA Joint Action Group, insists that there is no such restriction.

The VAEA refers to the Valuers, Appraisers and Estate Agents Act 1981, the statute that governs the board.

The Joint Action Group has players from different industries as members, ranging from the Real Estate and Housing Developers Association (Rehda) to apartment management corporations and the Associated Chinese Chamber of Commerce and Industry (ACCCIM). Fiabci Malaysia, which Tharmalingam used to head, is also part of the group.

The group reads the law differently and asserts that by definition under two other Acts, the owner bodies and corporations escape the effects of the Valuers Act.

They claim the two Acts -- the Strata Titles Act 1985 and the Building and Common Property (Maintenance and Management) Act 2007 -- allow owners' committees to appoint what they call managing agents.

"Anyone with the right experience and ability can be a managing agent. JMBs and MCs can appoint any one they see fit to manage their properties," says Datuk Teo Chiang Kok, See Hoy Chan director.

Their problem with the Valuers Act is that it effectively allows only registered valuers to become property managers. They say this makes the property management industry a monopoly for just a few hundred registered valuers.

"But it is the free market that should decide," Teo says.

Board of Valuers president Datuk Abdullah Thalith Md Thani says anyone involved in managing and maintaining property should be properly regulated and well-qualified.

"I want to open up registration to anyone who is interested. It's a misunderstanding."

He says he had proposed to amend the Valuers Act, but intense resistance from developers and other property players forced him to drop the matter. Thalith is president by virtue of his post of director-general of the Valuation Department under the Ministry of Finance.

Thalith agrees with most industry players that the Act's provisions for regulating property managers are inadequate, and enforcement patchy.

But he worries that those who appoint the so-called managing agents could be courting financial disaster arising from mistakes, negligence and dishonesty. Those registered under the Act would be required to obtain professional indemnity insurance, he points out.

The HBA, a voluntary organisation which represents home owners, agrees owners are exposed even if these unregistered managing agents had adequate indemnity insurance.

Chang, who is honorary secretary, argues that the insurer could repudiate liability and refuse to pay up since the managing agent is not a legitimate property manager registered with the Board of Valuers.

Indeed, the same could happen to owner bodies themselves, the JMBs and MCs, he says.

"The relevant statutory provisions do include prosecutions and the right to sue, but this is hardly any protection at all to owners. There are too few preventive measures." The HBA favours tighter regulation and compulsory licensing of property managers. "Lives and properties are entrusted to their care, control and management," Chang says.

He also urges the board to grant amnesty to competent but unregistered property managers, to encourage them to register.

"It's similar to the drive that was extended to unlicensed real estate agents some years ago."

Fiabci's Tharmalingam agrees, saying the board has, by inaction, allowed unlicensed property managers to flourish for 20 years: "They now have the right to exist."

A valuer by profession, he goes even further to say the JMBs and MCs should also be registered. Registering these owner bodies would offer a safety net to individual unit owners, he explains: "Those who serve in the (executive) committees have a responsibility for the (financial) performance of the JMBs and MCs. If the board is prepared to regulate property managers, then it should take responsibility for the JMBs and MCs too."

The problem is the laws governing stratified properties have been drafted and amended piecemeal, leaving loopholes that expose apartment owners, Tharmalingam claims.

"It's a solvable problem, but cooler heads must prevail."