We maintain two types of funds in two different accounts. One is the BMF ( Building Management Fund ) account and the other is the Sinking Fund account. The maintenance fees that you pay will go into the BMF account and 10% of the maintenance fee that you pay will go into the Sinking fund. We shall also open a fixed deposit account for the sinking fund and any surplus fund from the BMF in the near future.
Building Management Fund is utilized to pay for day to day expenditures incurred to maintain our condo. The money is used :
1 to pay for electricity to run the lifts and to lighten up the common area.
2. to pay for security services.
3. to pay for routine maintenance on the lifts.
3. to pay for management fee for appointing PVDPMSB.
4. to pay administration staff engaged by PVDPMSB
5. to pay for routine maintenance on the gen-set, water pumps , swimming pool and others.
5. to pay for cleaning services.
6. to pay for repair jobs and minor upgrading jobs.
7. to pay for water at the common areas.
The sinking fund is utilized for major upgrading job like a repainting job, replacement of the lifts and other major repair jobs that incur a high cost.
The JMC shall be prudent in the utilization of the funds. We are well aware that these funds belong to all the owners of PV10 and we are only trustee to the fund. The JMC’s main objective is build up a strong reserve for the future. The JMC is also well aware that in 5 to 10 years time, there shall be wear and tear to the lifts and other equipments. The paint job may have deteriorated to the extent that it may look like a run down flat. We may need to carry out a repainting job which incur a high cost. That is the time when we need to use the sinking fund. We shall not use any of the fund for things that do not benefit the residents.
The sinking fund will only be utilized after obtaining the consent of majority of the owners in an E.G.M. or in an A.G.M.
Goodnight and have a nice day.
Filed under: PV 10