Contingency fund study

The Act 16 is a major reform adopted in Quebec in December 2019, aimed at modernizing the management of condominiums. It imposes a number of obligations :

• The realization of a study of provident fund
• The creation of a maintenance book
• The strengthening of the transparency to the owners
• The best legal protection of the co-owners

It is intended to ensure professional management, sustainable and secure apartment buildings.

A study of provident fund is a technical and financial evaluation, which allows to anticipate the needs of major repairs and replacements over 25 years. It ensures the financial stability of the co-ownership without calls or unexpected.

The Act 16 imposes a duty to anticipate the financial needs of condominiums, avoid crisis situations, and to protect the owners against any unexpected expenses high.

The study of pension fund of Gestion Habitats includes :

• A full report of the general condition of the building
• The impairment evaluation and prioritization of interventions
• Financial projections for the next 25 years
• A maintenance book digital updated in real-time
• Strategic coaching for presentation to the owners

The maintenance book is a document that lists the history of the work carried out and planned interviews in the future. Home Gestion Habitatsit is digital, accessible to all co-owners and updated in real-time to ensure proactive management.

The Act 16 is in force since January 10, 2020. Condominiums have 36 months from the date of publication of the regulations to comply with the new obligations.

All condos currency of Quebec, regardless of their size or their age, must carry out a study of provident fund and keep a maintenance log-compliant.

Only experts specialized in building services engineering and management of co-ownership, such as those of Gestion Habitats, are qualified to perform these studies in accordance with the regulations.

From the publication of the official rules, the trade unions of condominiums were a period of 36 months to produce their first study on provident fund.

The price depends on several factors :

• The size of the building
• The complexity of the infrastructure
• The desired level of detail

Gestion Habitats offers quote tailored to each community.

The main risks are :

• Legal sanctions for non-compliance
• Calls for emergency funds to large for the co-owners
• Premature deterioration of the building
• The decrease in the value of the resale of the units

The report includes :

• A detailed, visual inspection of the building
• The identification of deficiencies and signs of deterioration
• A prioritization of repairs and interventions
• A plan of work over 5 years and 25 years

The balance sheet of the state general analysis of the current physical condition of the building, while thestudy of provident fund use this balance sheet to provide financially for major repairs and plan for future contributions.

Yes, regardless of the size of the building, the service book is mandatory according to the Act 16 to ensure strict monitoring of the maintenance of the building.

Although the precise regulation remain to be finalised, it is recommended to update the study every 5 years or after major work in the building.

Gestion Habitats provides :

• A personalized follow-up post-study
• Assistance during the presentation to the owners
• Advice for the optimization of the provident fund
• Regular updates of the maintenance book digital

Act quickly allows you to :

• To comply with the Law, 16 and avoid penalties
• To preserve the value of your condominium
• To anticipate the financial needs and to avoid the calls to fund unforeseen
• Improving transparency and internal management of the union