3rd AGM for Badan Pengurusan Bersama Dwi Mutiara Apt (Horizon Residence) has concluded

First of all, thanks to all the eligible voters who have attended.

Our MA rep, David Gan has started the Annual general meeting at 10.30am and was adjourned at 12.30pm.

We had a fruitful session with the addition of new faces to our HR JMB 17/18 term.

Kindly click on the following link to download the presentation slides with the updates.

https://www.dropbox.com/s/67jg6m6n1wz8khr/3rd%20AGM%20HR%20revA.pdf?dl=0

Appreciate and grateful for your attention and support.

3rd AGM HR revA

10 thoughts on “3rd AGM for Badan Pengurusan Bersama Dwi Mutiara Apt (Horizon Residence) has concluded”

  1. I have a query about the sinking fund. The sinking fund is a reserve fund, this is for emergencies and future major capital works on common property. A well-managed strata building will have a long-term (5 to 10 years) ‘sinking fund plan’ or ‘maintenance plan’.
    As per account, total amount billed during the financial year of 2016 & 2017 is RM320523 (as per financial report the balance as at 30 June 2017 is RM449397). The account balance show in your financial report only have RM128669.
    **Can you able to list out the expenditure detail for the amount of RM191854 and show it to all owners?
    **sinking fund expenditure is for emergencies & for major works out?
    **May I know whether a plan has been developed for our building?

    1. As stated in the financial report or the slides summary;
      (a) Sinking fund Acc cash balance : RM128,669.
      (b) Fixed Deposits : RM145,475.
      (c) Net assets acquired using SF & receivable of SF : RM175,354.
      Total sinking fund : RM449,397

      Hence, (a) + (b) is our real cash in hand which is RM274,144.

      For sinking fund matters, since you are so interested in, please refer to Strata Act 757 under section 24(2).
      All explanations should be there.

      1. Thanks for your reply.

        The explanations from Strata Act 757 is not clarify the actual amount use of the fund for our Horizon Residence. May I know as the owner can we have a clarification of the detail of expenditure?
        The expenditure from 2015 to 2017 is keep increasing (24% higher form yr 2016 to 2017), as surplus for this year only RM59537. The sinking fund amount of RM111346 have been used up for this one year period.
        Increasing of income of 11% but the surplus decrease about 72%. It is very scary percentage.

        As what I was concern is the long term maintenance for our building such as
        *Elevator – apart from monthly maintenance, after few year may need a fund for replacement of part or modernization or other major repair where not cover by monthly maintenance. For those cost may higher as RM100k or more per lift.
        *Painting – your budget for painting from level 3 to level 22 internally already cost about RM100k. How about the paint job for the outlook of the building? I think it may cost 2 to 3 times of RM100k.
        And so on…..
        With current cash in hand of RM274144 & the decreasing of surplus, is it enough to cover for future?

        May I know what have your deems necessary for those expenditure, Is it a must or a need of the residents? I think most of resident here are facing the main problem of the raining water splash in & water ponding cause a slippery floor problem. Did any fund allocated or solution to solve this problem for our building?

        1. Janine
          Thanks for your reply.
          The explanations from Strata Act 757 is not clarify the actual amount use of the fund for our Horizon Residence. May I know as the owner can we have a clarification of the detail of expenditure?
          The expenditure from 2015 to 2017 is keep increasing (24% higher form yr 2016 to 2017), as surplus for this year only RM59537. The sinking fund amount of RM111346 have been used up for this one year period.
          Increasing of income of 11% but the surplus decrease about 72%. It is very scary percentage.

          JMB
          REPLY :
          (1) Surplus is referring to Maintenance Account Surplus. Not related to Sinking Fund. We do not blame you for not having a good understanding because we also had the same experience. Hence, we need to go through item by item with the auditor to really understand it.

          (2) If you refer back to the audited account of Jan 2015- July 2015(developer) and June2015 – June 2016, you will notice that the sinking fund amount(RM143,626) was transferred from developer to 1st JMB which comprise of fixed assets(RM132,570) and cash (RM11,056).
          To summarize, we have only received RM11,056 of cash from developer for the sinking fund.
          From June’15 to June’17, we have managed to build our cash reserve for sinking fund from RM11,056 to RM274,144.

          These are all factual and can be retrieved from the audited financial reports but we took the effort to summarize again.

          (3) Fortunately, we are still operating in surplus mode. With the GST% implementation and annual inflation rate, we are still able to maintain our maintenance fees charges. Should we enter into deficit mode (which might happen in the near future), the increase of the maintenance fees is inevitable.

          Janine
          As what I was concern is the long term maintenance for our building such as
          *Elevator – apart from monthly maintenance, after few year may need a fund for replacement of part or modernization or other major repair where not cover by monthly maintenance. For those cost may higher as RM100k or more per lift.

          JMB
          REPLY :
          (1) For any major disaster due to nature(lightning strike, etc), we will be covered by our insurance.
          (2) With our annual contract with Antah-Shindler, we are being covered by all repairs & maintenance except for the interior of the carriage(elevator) and the change of the rope(about 10 years once).

          Janine
          *Painting – your budget for painting from level 3 to level 22 internally already cost about RM100k. How about the paint job for the outlook of the building? I think it may cost 2 to 3 times of RM100k.
          And so on…..
          With current cash in hand of RM274144 & the decreasing of surplus, is it enough to cover for future?

          JMB
          REPLY :
          (1) For the paint job for the outlook of the building, it will definitely cost more than RM1,000,000+. With the current rate, we should be able to achieve the figure in 7 more years, estimating about RM 120k+ allocation annually for sinking fund.

          Janine
          May I know what have your deems necessary for those expenditure, Is it a must or a need of the residents? I think most of resident here are facing the main problem of the raining water splash in & water ponding cause a slippery floor problem. Did any fund allocated or solution to solve this problem for our building?

          JMB
          REPLY :
          (1) In our JMB meeting, we have always debate on matters related to MUST HAVE, WANT TO HAVE, GOOD TO HAVE and taking cost into accounts. Any major spending which is more than RM50k, we will call for an EGM(MUST HAVE) or put it in as a motion in AGM.
          (2) If you compare the situation back in 2015 before developer’s rectification, it was a MUST HAVE item due to the ponding and flooding on the corridor. After the developer’s solution in 2016(having proper drainage for clearing the ponding), the item was dropped to WANT TO HAVE.
          (3) Management did issue a notice to residents on the application for windows installation at the louvre as certain units were badly affected by the splashing of rain water into the unit directly.

      1. Thanks for your emphasize strongly on TRANSPARENCY. I think that you will be happily to show up to all owners in detail for all of expenditure. Hope your have develop a long-term (5 to 10 years) ‘sinking fund plan’ or ‘maintenance plan’ for our building & share with us.

        1. JMB
          REPLY :
          (1) Breakdown of the expenditure can be easily accessed from the audited report. We do not have a 5 to 10 years plan as the JMB is running on annual term basis. Our AGM happens every year and we are not running a country which the term lapse after 5 years.
          (2) Annual budget is a must for us to operate efficiently.

          1. As a owner can request to have a look into the detail of the breakdown of the expenditure?? Conclusion…. can or can not?

  2. Under SMA 757, Second Schedule Sub section 7.(6)(b), you are eligible to write in to management to make the books of accounts available for inspection during office hours for a fee of RM50. Therefore, this answer your question and enquiry.

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