FOR INFORMATION:
Hillgrove Owners are are very fortunate to have elected a VOC that has members who brought the skills and the determination (and gave some time) to look after their “pockets”.
In this case you will see scrutiny of the Hillgrove accounts (which will be available on the website)
We are doubly fortunate to have two members who take special interest in the Hillgrove and the City Accounts (At the City Owners Committee’s Financial Sub Committee). John Antweiler : Nigel Reid.
There can never be too many people looking at the accounts and we need to foresee that natural turnover of VOC members will occur so the Chairman encourages new people to join
—– Original Message —– From: John Antweiler [mailto:jantweil@mac.com] To: “Natalie SM Lo” <Natalie.SM.Lo@dbsml.com> Cc: VOC Chairman <chairman@hillgrovevillage.com>, janicekpf <janicekpf@yahoo.com>, edmundfan <edmundfan@gmail.com>, Dominic Ho at Yahoo <dominic_vewan@yahoo.com.hk>, connielo1967 <connielo1967@gmail.com>, Michael McGuire <mcguirem@netvigator.com>, Nicolawepener@netvigator.com, Nigel Reid <njhreid@yahoo.com>, sol76789 <sol76789@gmail.com>, leslieyiu <leslieyiu@gmail.com>, kuenkuenwong <kuenkuenwong@yahoo.com.hk>, jmirfm <jmirfm@gmail.com>, Martyn Keen <martyn@the-keens.com>, Ricky Kong <Ricky.Kong@dbsml.com>, Wilson Chu <wilson.chu@dbsml.com>, Alice Wong <alice.wong@dbsml.com> Sent: Sun, 1 May 2022 15:07:42 +0800 Subject: Re: Quarterly Account as at 31 March 2022 – Hillgrove
Hi, Natalie. Thank you for the quarterly accounts. As always, I have a number of questions, enumerated below:
1. From the top, please explain why the Management Fees Actual and YTD budget exactly match. We know that we have at least two owners (BC-9F and BC-7F) who are seriously delinquent in Management Fees, Interest Due, and Renovation Fees. The accounts paint the situation as if everything is current — nothing is “accrued but not paid,” nothing is “doubtful,” and nothing is shown as “more than 90 days delinquent.” VOC members know this is not an accurate rendering of the financial status of the Village Accounts. 2. Why is “Interest Income” 50% lower than the budgeted amount? 3. What is included in “Sundry Income”? In the past, GH stated that most of this amount relates to the forfeiture by owners of the deposits on renovation or remodelling of their flats. I note that Sundry Income is becoming a more serious income item than interest income… 4. Please explain the unfavourable variance in “Staff Salaries & Allowance.” We know that Ringo was supposed to be 100% dedicated to Hillgrove, but he resigned. Wilson has assumed some of Ringo’s responsibilities, but is also working for other villages, and Ricky’s time is spread even thinner. It seems Hillgrove is obtaining less CM attention and support for a higher price…. Kindly correct my observations if they are in error. 5. What explains the 17% rise in our electricity bill? With LED lighting and the air conditioning moderator in the lobbies of our buildings, our use of electricity should be falling. I do not recall a huge increase in electricity rates the electric companies. 6. Why are “Outsider Repair and Maintenance” expenses 45% higher than budget? Most of the elements of repair and maintenance the Village has requested — the unmatched tile colours in the corridors, the fencing, the windows in the stairwells, the paving, etc. remain undone — very little, if any, progress has been made. Has the Village pre-paid contractors for much of this work? 7. I note that the “In House Repair and Maintenance” expenses are showing a 26% positive variance. Normally, I would be happy — but I thought the plan was to transition away from the expensive “Outsider Repair and Maintenance” services and start using internal staff for much of the repair/maintenance work. Kindly explain. 8. I note that the “Miscellaneous Expenses” have ballooned by more than 185% of budget. What is included in the the Miscellaneous Expenses and why should we not be alarmed at such a large unbudgeted increase? 9. The Village is experiencing a YTD deficit of over $500,000, which I note is understated when we realise that unpaid management fees, renovation fees, and past due interest are not properly reflected in the accounts. GH reported last week that the two large delinquencies alone amount to nearly $240,000 in unpaid management fees, a further $450,000 in unpaid renovation fees, and, depending on how interest is calculated, over $150,000 of unpaid interest (according to CM’s lower calculations). I am thinking that Hillgrove’s cash deficit is over $1,350,000. Please tell me why I should not be feeling a bit of panic. 10. I note that the reconciliation of the Renovation Budget to YTD actuals (page 6) again assumes that all renovation fees will be paid. Thus, “Residents’ Contribution” is overstated since some owners have not paid. Does this Reconciliation account for the fact that the contractor failed to complete the paving work in front of the Village according to the terms of the contract. If so, where can we observe the refund or the reserve for unpaid renovation work credits?
Many thanks, John
Hillgrove Owners are are very fortunate to have elected a VOC that has members who brought the skills and the determination (and gave some time) to look after their “pockets”.
In this case you will see scrutiny of the Hillgrove accounts (which will be available on the website)
We are doubly fortunate to have two members who take special interest in the Hillgrove and the City Accounts (At the City Owners Committee’s Financial Sub Committee). John Antweiler : Nigel Reid.
There can never be too many people looking at the accounts and we need to foresee that natural turnover of VOC members will occur so the Chairman encourages new people to join
—– Original Message —– From: John Antweiler [mailto:jantweil@mac.com] To: “Natalie SM Lo” <Natalie.SM.Lo@dbsml.com> Cc: VOC Chairman <chairman@hillgrovevillage.com>, janicekpf <janicekpf@yahoo.com>, edmundfan <edmundfan@gmail.com>, Dominic Ho at Yahoo <dominic_vewan@yahoo.com.hk>, connielo1967 <connielo1967@gmail.com>, Michael McGuire <mcguirem@netvigator.com>, Nicolawepener@netvigator.com, Nigel Reid <njhreid@yahoo.com>, sol76789 <sol76789@gmail.com>, leslieyiu <leslieyiu@gmail.com>, kuenkuenwong <kuenkuenwong@yahoo.com.hk>, jmirfm <jmirfm@gmail.com>, Martyn Keen <martyn@the-keens.com>, Ricky Kong <Ricky.Kong@dbsml.com>, Wilson Chu <wilson.chu@dbsml.com>, Alice Wong <alice.wong@dbsml.com> Sent: Sun, 1 May 2022 15:07:42 +0800 Subject: Re: Quarterly Account as at 31 March 2022 – Hillgrove
Hi, Natalie. Thank you for the quarterly accounts. As always, I have a number of questions, enumerated below:
1. From the top, please explain why the Management Fees Actual and YTD budget exactly match. We know that we have at least two owners (BC-9F and BC-7F) who are seriously delinquent in Management Fees, Interest Due, and Renovation Fees. The accounts paint the situation as if everything is current — nothing is “accrued but not paid,” nothing is “doubtful,” and nothing is shown as “more than 90 days delinquent.” VOC members know this is not an accurate rendering of the financial status of the Village Accounts. 2. Why is “Interest Income” 50% lower than the budgeted amount? 3. What is included in “Sundry Income”? In the past, GH stated that most of this amount relates to the forfeiture by owners of the deposits on renovation or remodelling of their flats. I note that Sundry Income is becoming a more serious income item than interest income… 4. Please explain the unfavourable variance in “Staff Salaries & Allowance.” We know that Ringo was supposed to be 100% dedicated to Hillgrove, but he resigned. Wilson has assumed some of Ringo’s responsibilities, but is also working for other villages, and Ricky’s time is spread even thinner. It seems Hillgrove is obtaining less CM attention and support for a higher price…. Kindly correct my observations if they are in error. 5. What explains the 17% rise in our electricity bill? With LED lighting and the air conditioning moderator in the lobbies of our buildings, our use of electricity should be falling. I do not recall a huge increase in electricity rates the electric companies. 6. Why are “Outsider Repair and Maintenance” expenses 45% higher than budget? Most of the elements of repair and maintenance the Village has requested — the unmatched tile colours in the corridors, the fencing, the windows in the stairwells, the paving, etc. remain undone — very little, if any, progress has been made. Has the Village pre-paid contractors for much of this work? 7. I note that the “In House Repair and Maintenance” expenses are showing a 26% positive variance. Normally, I would be happy — but I thought the plan was to transition away from the expensive “Outsider Repair and Maintenance” services and start using internal staff for much of the repair/maintenance work. Kindly explain. 8. I note that the “Miscellaneous Expenses” have ballooned by more than 185% of budget. What is included in the the Miscellaneous Expenses and why should we not be alarmed at such a large unbudgeted increase? 9. The Village is experiencing a YTD deficit of over $500,000, which I note is understated when we realise that unpaid management fees, renovation fees, and past due interest are not properly reflected in the accounts. GH reported last week that the two large delinquencies alone amount to nearly $240,000 in unpaid management fees, a further $450,000 in unpaid renovation fees, and, depending on how interest is calculated, over $150,000 of unpaid interest (according to CM’s lower calculations). I am thinking that Hillgrove’s cash deficit is over $1,350,000. Please tell me why I should not be feeling a bit of panic. 10. I note that the reconciliation of the Renovation Budget to YTD actuals (page 6) again assumes that all renovation fees will be paid. Thus, “Residents’ Contribution” is overstated since some owners have not paid. Does this Reconciliation account for the fact that the contractor failed to complete the paving work in front of the Village according to the terms of the contract. If so, where can we observe the refund or the reserve for unpaid renovation work credits?
Many thanks, John