Board Meeting no. (20/2020) on October 18, 2020

The Board of Directors held its meeting No. (20) for the year 2020 on Sunday, October 18, 2020 at 5:30 pm at the Riffa Views headquarters, and issued the following decisions:

1- Approval of the meeting minutes No. (19), that was held on September 13, 2020

Meeting minutes have been approved. 

2- Decisions and Subjects Follow-up Table 

The Board reviewed the decisions and subjects follow-up table, and decided on the following: 

• Clause "Manual of Authorities in the Riffa Views Owners Association": The Association Manager has been tasked with completing the manual to comply with the provisions of Resolution (1) of 2020 issued by the Real Estate Regulatory Authority (RERA), and submitting it to the Board Vice Chairman no later than 22 October 2020.

• Clause “Closing the Foundation Account”: The Board Treasurer was assigned to complete the remaining procedures to close the Foundation’s account and transfer the funds to the Association’s account during the current week.

• Clause "Gas Smell and Oil drops in Riffa Views": The Association Manager stated that a representative of the Supreme Council for Environment had inspected visit to all Riffa Views Estates, where a report will be submitted to the Supreme Council for Environment in this regard.

3- homeowners’ comments and complaints

The Board reviewed the homeowner’s comments and complaints and decided the following: 

• The Board reviewed a homeowner’s comments regarding the transfer of ownership of the common areas to the Association, and the Board Chairman stated that these comments were answered on September 28, 2020.

• The Board reviewed a homeowner’s comment regarding the General Assembly meeting decisions and the Board of Director’s meetings; a response has been prepared in this regard. 

4- Association Manager Progress Report for September 2020

The Board reviewed the Association Manger progress report for September 2020 presented by the Board Treasurer and decided to assign the Association Manger to finalize the Association’s accounting records. 

The Board decided to assign the Association Manager to prepare a list of homeowners who have failed to pay the service charge since the beginning of the year 2020, who also failed to fulfill their obligations before the year 2020, and to take legal measures according to the legislation and decisions in force to fulfill their obligations towards the Association.

5- Adjusting the conditions of RVOA in accordance with Resolution (1) of 2020 issued by the Real Estate Regulatory Authority (RERA):

The Board of Directors reviewed Article (90) of Resolution No. (1) of 2020 issued by the Real Estate Regulatory Authority (RERA), regarding the reconciliation of owners’ Association in accordance with the provisions of the resolution within a period of six months from the date of the decision’s implementation. After discussion, the Board decided the following:

• Unanimous election of Mr. Akram Al Haj as the Vice Chairman of the Board of Directors.

• Assigning the Association Manger to update the certificate of the Board of Directors at the Real Estate Regulatory Authority (RERA).

• Assigning the Association Manager to prepare a draft amendment to the Articles of Association of the Riffa Views Owners Association in accordance with the changes made in Resolution (1) of 2020 issued by the Real Estate Regulatory Authority, and present the draft to the Board of Directors at the next meeting for revision. 

6- Review of the Master Transfer Agreement:

The Board of Directors reviewed the comments received from Charles Russell Speechlys in its capacity as the legal representative of the Association and the responses received by Trowers & Hamlins as the legal representative of the Developer. After discussion, the Board decided the following:

• Approval of the disbursement of Charles Russell Speechlys office expenses.

• Assigning the Board Vice Chairman, Board Treasurer and the Association Manager to attend a joint meeting between Charles Russell Speechlys and Trowers & Hamlins; that is scheduled to occur this week. 

7- Recommendations of Board member Reem Akbari’s report on reviewing the procedures for architectural changes and landscaping

The Board reviewed the comments received from the Association Manager regarding the recommendations listed in Board member Mrs. Reem Akbari’s report regarding reviewing the procedures for architectural changes and landscaping. After discussion the Board decided to approve a number of recommendations, and assign the Association Manager to implement them in accordance with the procedures and provisions of Law No. (27) of 2017 and Resolution No. (1) of 2020 issued by the Real Estate Regulatory Authority (RERA).

8- The court ruling regarding the sale of the Developer additional land to a number of homeowners in Riffa Views:

The Board of Directors reviewed a letter received from the Riffa Views Company (the Developer) regarding the issuance of judicial decisions in the civil lawsuit filed by several homeowners, from the Second High Civil Court in its session held on March 26, 2020, and from the Third Civil Supreme Court of Appeal in its session held on August 27, 2020. After discussion, the Board decided to discuss the scheme of the Riffa Views Master Plan during the next meeting.

9- Calculation of value-added tax (VAT) on service charge: 

The Board discussed the procedures currently applied in calculating value-added tax (VAT) on invoices issued regarding service charge for units in Riffa Views; which aim to cover the total value of service providers' invoices in Riffa Views, that include VAT.

The Board Treasurer indicated that the general budget for the Association’s expenditures that are covered by service charge due on units in Riffa Views did not include calculating the increase caused by the value-added tax, and that this tax aimed to cover the increase in expenditures and expenses.

After discussion, the Board decided the following: 

• Assigning the Board Treasurer and Association Manager to cover the increase in service providers’ invoices due to the calculation of value added tax (VAT), within the prescribed share of service charge, commencing with the 2021 budget. And the inclusion of this item in the next General Assembly meeting agenda to be voted on it in the event of a change in the amount of the annual service charge, in line with the provisions of the Real Estate Regulatory Authority (RERA).

• Assigning the Association’s Manager to circulate to homeowners a clarification on the issue of Value Added Tax (VAT) that aims to cover the total value of the service providers' invoices in Riffa Views, which include VAT.

10- Approval of a draft proposal for publishing the board meetings on the website:

The Board reviewed and approved the final draft proposal for the Board of Directors meeting minutes to be published on the Association’s official website; from meeting No. (1/2019) to No. (17/2020). The Board assigned the Association Manager to draft meeting minutes for each of the Boards meetings on a regular basis and presenting it to the Board Treasurer and Secretary for approval. 

11- Further Work

The Board discussed the following: 

• The legal advice regarding homeowners who failed to sign the sale and purchase agreements with the Developer: The Board reviewed the legal recommendation regarding a number of homeowners refusing to pay their share of service charge under the pretext of not signing sale and purchase contracts with the Developer, where according to what is stipulated in the Riffa Views title deeds of the existence of reciprocal easement rights that the homeowners are bound by, which are rights arising from each property that is incurred on it, regardless of whether the ownership of the property moves or is rolled over, and they are rights that the new homeowner must abide by. Accordingly, the Board decided to assign the Association Manager to respond to all owners who defaulted on payment for these reasons, and to clarify the legal perspective.

• Procedures for convening the second General Assembly: The Board decided to form the Subcommittee to organize the second General Assembly meeting of the Association, headed by the Board Secretary, Mr. Abdulhameed Juma and the membership of each of the Board Treasurer, Mr. Abdulla Kamal, the Board vice chairman, Mr. Akram Al-Haj, and the Association Manager. The committee aims to organize the second General Assembly meeting of the Riffa Views Owners Association. 

• Assigning Association Manager to prepare a report that includes the procedures to be followed for convening the General Assembly meeting according to the decisions and circulars issued by the Real Estate Regulatory Authority (RERA), and sending the report to the Subcommittee, no later than Thursday, October 22, 2020

The meeting concluded at 8:20 pm, and the next meeting was scheduled to take place on Sunday 25 October 2020 at the Riffa Views headquarters.