Suggested Roadmap For Take Over

ROADMAP FOR TAKE OVER OF MAINTENANCE – 1st draft For the Kind Attn. Of: Mr. Kapoor Dear Sir, Sub: Suggested Roadmap For Takeover of Maintenance This document is an effort to crystallize our thoughts generated over time & interaction in the past. Taking over the maintenance is like taking charge of a running enterprise or a functioning company or business. I request you to kindly review this document and give your valuable suggestions & views, some points may need elaboration, some may need to be added or deleted or rescheduled. Some of the issues may have been totally left out. This exercise in Brainstorming should give us a clear roadmap to proceed. I also request that the suggestions be given on a separate sheet or can be emailed to the undersigned; best within 2-3 days. We must keep in mind an important aspect that the builder may say that he will only give his staff for 6 months & after that he will withdraw his staff and we will have to arrange our own. Also Point No. C-7 requires a careful thought. The points to work on are as follows: A. COMPETENCE OF AARWA – The 1st Step in Hand Over AARWA is a registered body and a valid representative of the residents. To make it more effective for the handover the following needs to be done. 1. 2. 3. 4.

Recover membership from all, even if visiting people is required. Audit of accounts. Obtaining PAN CARD/PAN NUMBER. Apprise the flat owners of the building who are not staying here through mail & letter and ask for their membership, outlining the need for membership and the activities being carried out. 5. Recover the membership from ‘Flat Owner’ & ‘Tenant’ both as expense on Capital Expenditure benefits the ‘Flat Owner’ whereas expense on day-to-day activities like sports, cultural functions etc. benefits the ‘Tenants’. The concept of Member & Associate Member exists in the By-Law and a consensus on this might be required in the General Body.

B. RECEIVEABLES - Maintenance realized monthly, @ Re.1/- sq. ft. To Work out/find/calculate…. 1. Amount to be realized monthly as per the total area of different flats in the building. 2. Amount that is realized in actual per month. 3. Current shortfalls keeping in mind the current expenditure. 4. The amount of outstanding at different slabs – 2, 4, 6, months. 5. The number of defaulters, I suggest over 2 months unpaid is a defaulter. 6. To find out and record are the defaulters residents, or their houses are on rent or the houses are closed permanently. 7. We should know the frequency of payment of the flat owners whose houses are closed permanently. 8. One suggestion is to make a dossier on the payment pattern of maintenance amount for each flat. This will help in identifying people with lax attitude in this building. It will also give an idea as to whom to counsel more, though we already have some information on some defaulters. 9. Defaulters need to be identified and counseled individually in a congenial manner. Some might be facing a genuine problem. 10. Analyze & suggest changes in the system of maintenance receivables so that at any given time the outstanding liabilities are minimum C. EXPENDITURE 1. Prepare a list of different Head’s of Expenditure based on payment schedule daily, weekly, bi-monthly, monthly, quarterly, bi-annual, annual, unforeseen/contingency – this is important to assess the working capital requirement which will further determine the amount of money to be available in the maintenance account at different times. This will further determine the amount of outstanding that we can survive with. 2. Daily checking of the day-to-day expense to understand the operations. 3. Prepare an estimate of expense required on Generator, Lifts, Motors for pumping drinking & ground water, Motor for working Fire Hydrants, Fire Alarms, Power Panels, Fire Hydrant & Sprinkler Systems, Building Upkeep, Shaft Upkeep, Condition of plumbing, drainage, storage tanks, exterior finish & General Civil Upkeep. Ideally this assessment should be done after an audit of these utilities by competent authorities. 4. An audit of items mentioned in No.2 will also give us an idea of the time when heavy expenditure on these may occur. By this we will get an idea of the level/amount of sinking/contingency fund to be prepared to meet any eventualities.

5. The estimate prepared in No.2 will also act as a bargaining point for collecting some money from the builder for the upkeep of these items and can/will form an initial corpus of the sinking fund. 6. Since our current level of maintenance & service is poor, to improve it to our desired levels we may have to increase expenditure on some utilities & services. For example – change of security agency, an increase in the number of guards, sweepers etc. we need to work out the increase in expenditure and can this increase be sustained by the current receivables. 7. Also the moment ‘MAINTENANCE HANDOVER’ takes place there is a possibility that the existing staff may ask for an increase in their salaries, if not immediately but after 2-3 months. Also I foresee that since all maintenance contracts will be done a fresh with AARWA the service providers will quote a higher price from the existing. We need to decide the course of action. Which can be – (1). Find out alternative agencies for every service and get quotes from them and compare with the existing. Appoint the best quote, but we won’t know about his service capabilities. We can ask other societies for the contact numbers of their service providers. (2). We can come to an understanding with the existing service providers that the existing contract will be valid & continue till it expires, and new contract will come up in the normal course. This will give us time to assess the service provider and tighten him as required. It will also give him assurance about us. We can compare his services with the past record and take appropriate action as and when required. Can also bargain with him on the level of service provided in the past. Also help us in assessing if we need a change. (3). For the “Staff” we need to be on the lookout for replacements. (4). Look for an agency, which can take care of the entire day-to-day services & maintenance. D. DOCUMENTS THAT ARE REQUIRED FROM THE BUILDER & WHICH NEED TO BE IN ORDER 1. 2. 3. 4.

Certified True Copy of the ‘Sale Deed’ of the plot between GDA & Builder. Terms of agreement of sale between the two. Document underlining the Title/Ownership & its status of the plot. Certified True Copy of the Detailed Layout of the building duly approved by GDA. 5. Certified True Copy of ‘Sale Agreement’ between builder & flat owner for each flat. 6. An undertaking from the builder that responsibility of any damage to the building structure will lie with him even after maintenance handover. 7. An undertaking from the builder that he will be liable to pay any dues that the civic authorities may charge/levy for the period before the handover.

8. An undertaking on ‘No Outstanding Dues’ of any Government/Civic body/department. 9. FD’s of the Security Deposits of all the flats. 10. Fire Certificate 11. Certificate on Structural Safety. E. OTHER ISSUES 1. A study needs to be done on the structural safety of the building. 2. A study needs to be done on the existing level of maintenance for each utility/service department. 3. The systems & procedures that should be followed in case of breakdown of any service/utility. 4. Assess the existing level of response and suggest systems, provide any equipment/training to the staff responsible for the maintenance. This will include all the services & utilities. 5. Study the admin procedures and spruce up where required. 6. Assessment of ‘Service Record Books’ to know the break-own & preventive maintenance done for each utility item. F. GOVERNANCE & MAINTENANCE AFTER HANDOVER 1. Lay down ‘Standard Operating Procedures’ for each utility & service, running, breakdown & preventive. 2. Lay down a system of Do’s & Don’ts for the residents & tenants. 3. Establish a system of receivables & expenses. 4. Establish separate fund for cultural activities. 5. Separate fund for upkeep & addition of sports activities. 6. Separate fund for temple. 7. Separate fund for Gym & Aerobics. 8. System for sale of flats & entry of tenants. 9. Revenue generation for AARWA 10. System for amicable settlement of disputes amongst residents, between residents & service providers like maids, car cleaner, electrician etc. 11. Clear-cut defined policy on use of Common Area such as Baraat Ghar etc. Its rental charge etc. Thanks & regards, Jaideep Mathur M-9810220959, 0120-4158432 Email – [email protected] **********End of 1st Draft**********

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