Changes are Coming – Changes by Condo

change.jpgAs you may know, section 97 of the Condominium Act, 1998 (the “Act”) addresses changes made to the common elements, assets, and services of the condominium. In the amendments to the Act, section 97 will be removed and replaced with a new section 97.

What’s changing?

The awkward language “addition, alteration, or improvement” will be replaced with “modification” (although the three words will form part of the definition of modification). Section 97 will also add a requirement that the board must conduct an assessment of the cost of any proposed modification where it is required to give notice to the owners.

Apart from the language, there are some other big changes coming to section 97. Continue reading

Changes to the common elements, assets or services

One area that almost always causes confusion or outrage among the owners is additions, alterations or improvements (“changes”) made to the common elements, assets or services by the condominium. Section 97 of the Condominium Act, 1998, sets out the obligations a condominium must satisfy before making certain changes to the common elements, assets or services. Section 98 of the Act deals with changes made by an owner. I will address that issue in a later post.

There are a few of important points to note about section 97. First, it applies to changes to the common elements, but also assets owned by the condominium or services provided by the condominium. This is often forgotten. This section should be consulted if a condominium wishes to sell any assets it owns, such as parking units, or change a service that it currently provides to the owners, such as bulk television services. Second, you cannot read a particular subsection in isolation. A contract for work may exceed the 10% threshold for a substantial change, but it may not even require notice to the owners if one of the previous subsections applies. Third, even though notice may not be required by the Act, it is usually a good idea to notify the owners of important projects that are planned in advance so they are not surprised by the sight of construction when they arrive home from work one day.

I hope this diagram helps you when you are considering any change to the common elements, assets or services. Do I need approval?