ASHWINI APARTMENT OWNER’S ASSOCIATION

Minutes of the meeting held on 29th July 2007

The objective of the association to call for the meeting was broadly to update
all members on the first quarter happenings and also to vote on certain policy
matters as explained below of the proceedings.

Mr. Raj Gopal, President of the association welcomed the gathering and set the
agenda with reference to the previous meeting in March where we had
decided to consider alternatives for the maintenance, security, lift issues and
overall cost reduction objectives we had embarked upon. He conveyed that
the same in the order of maintenance, security & parking would be discussed
and identify voting points and have voting done during the meeting. He
requested the finance update to be provided by Mr. Rakesh, Treasurer of the
association who is managing the accounts to provide status update in terms of
funds, collection, costs etc. Maintenance update to be provided by Mr. Anand
S K, Vice President of the association who led the maintenance & security
evaluation of both the existing and new agencies and later on the security
committee would provide update on the initiatives they have taken up for
policy recommendation and implementation upon voting of the same. Mr.
Prabhu would provide the parking guidelines which has been revised also had
to be reviewed and certain voting points he has identified was to be discussed
during the meeting.

Financial update – Mr. Rakesh, Treasurer

Mr. Rakesh circulated the statement of accounts to all members present and
provided the update as in the statement on corpus transfer from ACS to
association bank account, collections and receivables and requested for any
questions on the same. There were no specific questions related to the same,
however he has requested that if any of them have any questions on the same
can directly approach him for clarifications on the same. He had the following
concerns and hence was identified as voting points as below.

1. The builder has incurred an expense of approximately Rs. 1.38 per sft
against the contracted One rupee per sft for the first two years. He
requested us to accommodate the same since they have worked with no
intention of making money but to satisfy the apartment owners and
shared the costing sheet explaining the same. The committee requested
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otherwise and hence the builder reverted back absorbing some costs
and reduced the overall costs to around Rs. 1.2 per sft and is requesting
that we atleast accommodate additional cost of 20 paise per sft for the
26 months of their maintenance. This would impact the residents since the
additional expense of Re0.20 has been met by dipping into the Corpus
Fund and as a result the transfer of Corpus Fund to the AAOA has been
lower to the extent of Rs.5.44 lacs . This was a voting point and in the
meeting it was decided that the association makes another request with
the builder to transfer Rs.5.44 lacs since we had no control on costs or
even perhaps the builder could have taken certain cost control measures
or atleast could have kept us informed on the same. Hence the
association would write to the builder requesting him to transfer Rs.5.44
lacs since the same was decided unanimously in the general body
meeting held by the AAOA. .
2. The treasurer brought up concerns on delayed maintenance contributions
and the same would have an impact on our operations since we seem to
be operating at Rs. 1.5 per sft based more on assumptions rather than
actual data to a certain extent. He also expressed that the collection of
the same annually would be lot better since one time effort to make the
collections can be made and that would make the operations smoother.
Hence it was decided upon voting in the meeting that we will operate on
the current mode of quarterly collection mode and introduce a penalty
of 2% per month for delayed payments and review the same maybe
during the next meeting.
3. The treasurer also had concerns on the gas collections not happening
time and requested residents to pay up the gas bills that are minor in
nature so that the same need to be funded by the association until such
time for collections. It was decided during the meeting upon voting that
before 3rd of every month the gas meter readings will be taken and the
residents are required to pay the gas dues by 10th of every month failing
which Rs.50/- fine would be levied.

Maintenance & security agency review

Mr. Anand conveyed that 5 agencies were evaluated and shortlisted 3 possible
alternatives. Upon further evaluation, the management committee keeping in
mind that in the past there was no major issues with ACS as maintenance
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agency decided to grant them the first choice of refusal. He also mentioned
Mr. Nithyananda Shetty’s involvement in facilitating a decision from ACS in the
interest of the association that would make ACS depute the team to continue
working in the apartment wherein the Association would pay them directly to
avoid service tax and ESI and other costs involved and also ACS did not expect
to make any profits in the entire operation while they would continue to provide
support as and when required. With this the management committee was
inclined to consider them since they are the existing service providers.

With the security identified already as weak and non efficient, the committee
explored the possibility of using alternative agency services. With some
suggestions given that they may be given a warning and a chance before we
change, we met with Mr. Uday Shetty the security service provider and
conveyed the concerns and problems and requested his intervention in setting
it right failing which we may have to discontinue with them. Mr. Shetty has
promised all support and a close inspection of the security staff while on duty.
Hence the committee has recommended that we continue till then and have
requested the security committee members Mr. Satyanath and Mr. Prashanth to
recommend a suitable policy that upon voting needs to be implemented
effectively.

Lifts has been a problem ever since we have occupied the building and Mr.
Anand and Mr. Prabhu who have been talking to the lift vendors updated the
members that the lift vendor did approach the association for an Annual
Maintenance contract for the lifts. During the meeting it was conveyed to them
that the lifts are not acceptable and an AMC can be considered only after
acceptance since we have almost daily problems with the same. There was an
understanding arrived after discussions with them that they would set right the
lifts to a certain extent and ensure that the same would operate at an
acceptable level of failures that is around 4-5 calls per lift in a month. Upon
achieving this, the association promised to look into the AMC renewal and also
recommend the builder to release the money held by them against the lift
vendor. The vendor promised to get the work done in a month but however
took almost 3 months to execute his work and has been pressing for the renewal
of AMC or to release pending payment towards purchase of lifts for them to talk
further, failing which they would want to walk out on this.
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Although the work done by them is not up to the mark and since we continue to
face more than acceptable levels of problems, it was decided in the meeting
that we shall recommend the builder to release the money held up against the
purchase of the lifts so that we do not disturb the relationship while we explore
and identify what would solve the problems of the lifts and it was also decided
that together with the builder and the vendor identify what needs to be done to
make it function effectively and what would it cost and possibly arrive at
possibly sharing the cost equally between the three parties instead of
considering any legal options which may hamper our immediate service needs.

One of the members brought up the matter of support staff cleaning cars or
attending to house hold work to be allowed or not and upon voting it was
decided that the support staff would not engage in any such activity during the
working hours in the building and that they can do so before or after the
working hours and instructed Mr. Mohan Shetty, Manager to implement the
same immediately. It was also brought to the notice of the exit gate that is kept
open in the morning continuously for 2 – 3 hours may not be safe. Mr. Mohan
Shetty responded that the same was done during morning peak time between
7am and 10 am since lot of vehicles would drive out of the building and
frequent operation of the gates had made the motor go bad and hence the
practice. He however suggested that he would make sure one of the security
staff would stand near the exit gate and monitor vehicle movement and it was
decided that the gates can be at least closed by 9am instead of 10am since
most of them would left by then.

One of them also suggested right of use of lifts to be maintained so that the
support staff uses the service lifts while the residents and guests use the
passenger lifts. In the meeting it was also discussed in one of the cost reduction
measures that the association was suggesting to switch off lifts during non peak
time and it was decided in the meeting that we shall not discriminate the right
of use of lifts. It was also further decided that we operate all the 3 lifts in the
peak time between 6.30 am and 10 am. Between 10am and 5pm only one
passenger lifts to be ON along with the service lift. Between 5pm and 8pm all the
3 lifts to be ON. After 8pm the service lift will be switched OFF. After 10.30pm only
one passenger lift would be operational. This would be implemented with
immediate effect subject to proper functioning of the lifts. In the event of a lift
failure, appropriate measures for availability of lift would be considered.
However in the event of a medical emergency or in the event of a resident
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shifting, upon request the service lift will be made available for the purpose and
switched off subsequently. It was decided that we explore the possibility of
automating all the 3 lifts so that upon request, one of the closest available lift
would arrive at the requested floor against the current practice by some of
them to physically request all the 3 lifts.

It was also suggested that we operate only 6 lights against the current 9 lights
after 10.30pm in the night. The same upon voting has been decided to
implement the same.

It was also decided in the meeting that we levy a fee of Rs.1000/- to a resident
while shifting IN or OUT since it has been observed that the process has resulted
in some damages and scratches to common area and lifts and also additional
cleaning etc. The residents to note the same and owners are responsible
towards the association to pay the same every time a tenant moves in or moves
out. This is applicable to the owners as well whenever similar movement is made.

It was also decided that in the event of any request of sale campaign, we
charge the vendor Rs.1000/- per day to prevent non serious, spurious elements
from using the apartment captive customers. It was also emphasized that the
vendors would not be allowed to make a door to door campaign and they
would be allowed to make a call from the security booth and upon permission
would be allowed.

It was also decided during the meeting that we introduce identity cards to all
the support staff of both the association and working staff of residents like
drivers, maids, cook etc so that they are easily identified by the residents. The
support staff would be required not to hang around in the apartment premises
after their work and in case they need to wait, they can do so around the
building campus but not within the building premises. This also serves as a
security need in the event of an unlikely event. It was further decided that the
association would arrange for the ID cards and photographing the existing staff
currently, however in future the residents are requested to provide a passport
photo along with an application to the association to get an identity card.

Security & parking

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Mr. Prashanth started to provide the highlights of the security measures being
taken by the committee and requested co-operation from all the residents to
co-operate with the same. Some of the members were not prepared to discuss
them for voting since they have not got a copy of the same though the QT and
hence it was decided that a physical copy of the same would be circulated of
the above before taking up any voting points in this regard.

It was also conveyed the car identification stickers have been printed and that
distribution would happen the moment the above is circulated. The association
will circulate the drafts and keep the residents informed on the next meeting.

Due to lack of time, Mr. Prabhu could not present the rationale behind the
modified parking guidelines he and Mr. Mahadevan have drawn up and it was
decided to defer this issue to another meeting to be held in a month’s time to
specifically discuss this issue.

It was also decided during the meeting that the kids will not be allowed to play
in the lobby or the front arch or lobbies at all floors. Parents are requested to
advise their children on the same. It has been brought to the notice by some
members about their cars being damaged and also the apartment Manager
has complained on glass panes being broken in common areas due to certain
games being played by some children. While we know the children will be
playful, parents are requested to impress upon their children from playing within
the clubhouse areas and near cars or glass windows from such games that
could be capable of causing damage. Parents are requested to co-operate in
the matter.

In general, it was the opinion of most members that while we keep cost in mind,
we will also keep certain luxury in mind as well since one of the reasons they
have chosen the apartment is to have access to certain minimum lifestyle and
cost cutting cannot be the sole objective. It was also broadly agreed that while
we check on unnecessary costs, we shall not compromise on lifestyle needs.

The association while trying to facilitate various measures as above and those in
the future, requested all the members/residents to co-operate and refrain from
instructing or arguing with the support staff and to bring up the matter to one of
the association members or the concerned sub committee member or to the
Manager. If you are reporting to the Manager, insist on making an entry in the
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register available with the Manager or the security. In the event of a suggestion
or a complaint, please provide for some time for review and response since all
decision making process requires a meeting amongst the management
committee and if required may have meetings with all residents or the
concerned residents.

All members/residents are requested to co-operate for smooth and better

functioning of the support system.