Home › COFSAB Forum › Repairs and Maintenance › Repairs etc, not to be construed as Capital Improvements. Act, Section 28 › Reply To: Repairs etc, not to be construed as Capital Improvements. Act, Section 28
MemberMarch 4, 2023 at 4:04 pm
You can have capital improvements listed in the reserve fund study.
Not that I’m an expert, but that wording that you quoted creates clarity around how to administer work that is described in the reserve fund study. Because there are restrictions in legislation regarding capital improvements, so this wording is just saying not to apply capital improvement restrictions to any work that is listed in the reserve fund study. Hope that makes sense.
It’s a pretty well known ‘loophole’ that if the corporation wants to carry out capital improvements, for example replacing wood siding with hardie board siding, that the condo board should list this capital improvement in the reserve fund study. Because otherwise there are administrative hurdles in legislation that makes it really difficult for corporations to raise funds to carry out capital improvements.