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Lagoon Heights OA AGM First Call 15 February 2026 at 16h00 - Meeting Recording
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Lagoon Heights OA AGM First Call 15 February 2026 at 16h00 - Meeting Recording

Meeting Overview and Initial Discussions

Audio Connection Issues

  • The meeting begins with audio connection issues, as participants confirm their ability to hear each other.
  • Mr. Sultan joins the call, indicating that there may have been initial technical difficulties.

Attendance and Engagement

  • Dr. Muhammad Hamza acknowledges a good turnout, noting that the number of attendees has already exceeded previous meetings within just five minutes.
  • The host expresses optimism about the high attendance, viewing it as a positive sign for the meeting's engagement.

Quorum Requirements and Informal Discussions

Quorum Confirmation

  • The host states that they will wait 60 minutes to achieve quorum, which is set at 50% of unit owners; if not met, the meeting will be rescheduled.

Opening Informal Discussion

  • Participants are encouraged to engage in informal discussions while waiting for quorum confirmation.
  • Mr. William suggests discussing relevant topics rather than remaining silent during this time.

Concerns About Security and Reception

Security Issues Raised

  • Mr. William raises concerns regarding security and reception when no staff are present at the front desk during the day.

Front Door Access Control

  • He argues that without proper staffing, the front door should remain closed to ensure safety and control over who enters the building.

Receptionist Performance Critique

Past Experiences with Receptionists

  • Mr. William shares negative experiences with past receptionists, describing them as unprofessional or incompetent.

Value of Current Receptionist Role

  • He questions whether residents should continue paying for a receptionist who does not effectively manage security or assist residents adequately.

Delivery Driver Concerns

Issues with Deliveries

  • There are complaints about delivery drivers entering without supervision, leading to confusion regarding deliveries meant for different units.

Proposal for Future Consideration

  • Mr. William suggests reconsidering open access policies due to these issues and proposes further discussion on this topic in future meetings.

Security Concerns in Residential Buildings

Delivery Driver Incident

  • The speaker recounts an unsettling experience with delivery drivers in a lift, highlighting one driver’s suspicious behavior of searching for a key under doormats at two different apartments.
  • The driver was unaccompanied and had no deliveries, raising concerns about security protocols within the building.

Importance of Building Security

  • Emphasizes that security is crucial, especially given the presence of small children in the building who may be vulnerable to potential threats.
  • Raises alarm over the possibility of serious incidents occurring if security measures are not improved, particularly regarding young girls playing unsupervised.

Current Security Practices

  • Discusses how individuals can enter the building without proper checks when reception is unattended, leading to unauthorized access.
  • Notes that some buildings are moving towards contactless entry systems as a modern solution to enhance security.

Future Considerations for Security

  • Suggests that contactless entry could become necessary in the future as part of evolving security measures in residential buildings.
  • Invites others to share their thoughts on improving security while waiting for additional participants in the discussion.

Financial Transparency and Management

Inquiry About Financial Statements

  • The speaker requests clarity on financial management and payment records from other owners, emphasizing transparency regarding contributions to shared expenses.

AGM Purpose and Urgency

  • Highlights the importance of holding an Annual General Meeting (AGM), primarily to elect board members and discuss financial documents required by regulations.

Concerns Over Fee Increases

  • Expresses frustration over unexpected increases in fees without clear communication about their justification, specifically questioning unpaid invoices affecting costs.

Financial Accountability and Budgeting in the Association

Concerns Over Payment Tracking

  • A member expresses concern about the lack of transparency regarding payments made since 2020, emphasizing the need for comprehensive tracking from the beginning of the building's operation.
  • The speaker acknowledges that some owners have multiple apartments, which could significantly impact the overall budget if they are not paying their dues.

Budget Distribution and Collection Issues

  • It is explained that budgets are distributed based on ownership percentage, and there is a request to review how much money has been collected versus what was invoiced.
  • The distinction between invoices issued and actual payments received is highlighted, indicating that just because an invoice exists does not mean payment was made.

Historical Context of Payment Resistance

  • Discussion reveals that for several years (2022-2024), many owners resisted paying due to unexpected charges imposed by management, leading to financial strain on associations.
  • Clarification is provided that while members were paying for association fees, additional central fees were introduced later in 2023.

Payment Plans and Collection Rates

  • The speaker notes that it’s rare for associations in Bahrain to achieve full collection rates; thus, installment plans were created to ease financial burdens on owners.
  • Some parts of dues remain unpaid despite efforts to collect through planned installments over several years.

Clarifying Payment Channels

  • A member questions whether all apartment dues have been collected as promised. There’s confusion about where payments are directed—whether to Impact or directly to the association.
  • It is clarified that payments go into an account under the association's name rather than Impact's account, addressing concerns about misallocation of funds.

Upcoming Meetings and Budget Approval Process

  • The discussion transitions towards upcoming meetings aimed at electing board members who will sign off on budgets approved during previous meetings.
  • Members are informed about past AGMs held throughout the year and complications faced in registering elected board members with RERA due to procedural delays.

AGM Discussion on Budget and Payment Issues

Approval of Budgets

  • The budget for 2025 was approved, but invoicing has not occurred due to lack of signatures from registered board members.
  • The AGM aims to approve two budgets: one for the already discussed period of April 2025 to March 2026, and another for the upcoming financial year from April 2026 to March 2027.

Financial Situation Clarification

  • Concerns were raised about previous payments and why the association is in a difficult financial situation. Members seek clarity on past dues, especially from flat owners.
  • It was noted that non-payment by certain owners contributed significantly to the current financial difficulties.

Actions Against Defaulters

  • There has been no action taken against those who have failed to pay their dues. A process involving issuing orders and hiring private executors is required for enforcement.
  • Owners are given a grace period of 60 days to settle their dues before further actions can be initiated.

Proxy Representation Issues

  • A member representing another owner was informed they need a proxy to attend meetings on behalf of that owner. This highlights the importance of proper representation in decision-making processes.

Transparency in Financial Reporting

  • While specific identities of defaulters cannot be disclosed due to privacy concerns, general information about unpaid flats can be shared with members.
  • Discussions emphasized the right of members to access financial information while balancing legal constraints regarding personal data sharing.

Discussion on Payment Issues and Board Responsibilities

Concerns Over Non-Payment by Residents

  • A board member expresses concern about residents not paying their dues, emphasizing the need for transparency among board members regarding payments.
  • Questions arise about why actions were not taken sooner to address non-payment issues, highlighting a lack of initiative in previous meetings.

Legal Framework and Changes

  • The introduction of a new law in 2022 allows associations to execute payment collections without lengthy legal proceedings, which was previously a barrier due to high costs.
  • The new law simplifies the process but still requires associations to pay an execution fee of 10% on collected amounts, making it more feasible for them to pursue delinquent payments.

Historical Context and Accountability

  • Despite the law being introduced in 2022, many associations only began applying it recently (late 2024), indicating delays in action against non-paying members.
  • There is frustration over the previous board's failure to hire a private executor or take necessary actions against delinquent accounts, raising questions about accountability.

Discussion on Previous Board's Inaction

  • A call for reviewing past decisions made by the previous board is made, suggesting that they may have neglected their duties leading to financial losses for the association.
  • It is argued that former board members could be held personally liable due to their lack of action regarding outstanding debts from residents.

Current Actions and Future Plans

  • A lawyer has been engaged with a contract ready for collection efforts, signaling progress towards addressing outstanding dues effectively.
  • Plans are discussed for issuing invoices covering two budget years immediately after the AGM, including accumulated unpaid amounts from prior years. This approach aims to streamline collections and reduce execution costs.

Discussion on Association Fees and Financial Management

Concerns Over Increased Fees

  • The speaker expresses frustration about filing execution cases against members who have not paid their dues, indicating a lack of motivation to pursue those who are unlikely to pay by 2024.
  • It is noted that fees for the current year have increased due to non-payment from some members, leading to higher costs for those who consistently pay their shares.

Justification for Continued Payments

  • A member questions why they should continue paying higher fees when others do not contribute, highlighting a potential divide between paying and non-paying members.
  • The response clarifies that paying members are not covering the costs of non-payers but rather ensuring operational continuity with available funds.

Budgeting and Financial Planning

  • There is an emphasis on careful budgeting practices, with line-by-line reviews conducted to ensure all maintenance contracts are accounted for in the budget.
  • The speaker warns that increasing fees will be driven by demands from the margin association rather than internal budget increases.

Revenue Generation Strategies

  • Suggestions are made to generate revenue through association properties and amenities (e.g., gym, kids' room), which could help reduce overall payments for all members.
  • The discussion includes plans to engage cashback companies that can provide financial benefits back to the association through services like cleaning.

Future Plans and Considerations

  • The speaker intends to share a detailed plan outlining strategies for improving financial health, even if they are not part of the board moving forward.
  • A cautionary note is raised regarding budgeting assumptions; it’s important to account for expected fee increases from external associations in future budgets.

Anticipated Changes in Costs

  • New tariffs imposed starting January 2026 will impact municipal charges, which may lead to further cost adjustments within the association's budget.
  • Members will be presented with comparisons of past budgets during upcoming meetings, aiming to clarify reasons behind fee increases over time.

Discussion on Budget Increases and Association Fees

Reasons for Budget Increases

  • The increase in budget may stem from various factors, including prior miscalculations in budgeted amounts from 2020 or earlier years, which have led to deficits in some associations.
  • A significant contributor to the budget increase was identified as an "ammo invoice," indicating that specific expenses are driving financial changes.

Payment Installments and Board Registration

  • Shireen, head of the Ammoage team, explained that they signed an installment plan with the central association but cannot submit checks due to a lack of a registered board for authorization.
  • Payments have been made until 2024 partially, with three installments pending for that year and all payments for 2025 still outstanding.

Financial Commitments and Challenges

  • The central association understands the challenges faced by individual associations regarding fee collection while maintaining monthly commitments such as utility bills and staff salaries.
  • Post-dated checks (PDCs) are accepted by the central association but require confirmation before being deposited, ensuring proper management oversight.

Service Provision Concerns

  • There is concern about service provision if some members fail to pay their fees; this could lead to insufficient funds for essential services like electricity.
  • A suggestion was made to restrict access to facilities like elevators based on payment status; however, legal implications prevent charging owners for using common amenities.

Legal Considerations Regarding Facility Access

  • While access to certain facilities can be restricted based on payment status, stopping residents from using elevators poses health risks and is generally not permissible under current regulations.
  • Past practices of restricting elevator use were halted due to potential health issues affecting residents with medical conditions.

Tenant Responsibilities and Management Decisions

Tenant Payment Obligations

  • The speaker emphasizes that tenants should fulfill their payment obligations to ensure both their income and the health of others are maintained.
  • It is mentioned that management can stop access to services like lifts if payments are not made, but this action may not be legally justified without proper directives.

Legal Framework and Enforcement

  • A lack of written directives from RAR (Regulatory Authority) means that existing laws must be followed as they are currently written.
  • The discussion highlights the legal consequences for non-payment, including potential execution against delinquent accounts as per RA law.

Execution Process for Non-Payment

  • If a tenant fails to pay, they will have 60 days to settle before further actions are taken, which could include blocking bank accounts.
  • The execution process is outlined, indicating it takes an additional 41 days after the initial 60-day period for enforcement actions to occur.

Financial Overview of Delinquent Accounts

  • As of the end of the financial year, there is a significant amount owed by delinquent owners totaling approximately 26,686 BD.
  • After processing checks, this amount may decrease to around 24,000 BD due to some payments being cleared.

Meeting Attendance and Future Actions

  • The meeting sees a notable attendance compared to previous AGMs, indicating increased owner engagement in discussions about financial matters.
  • Despite challenges in achieving quorum during this meeting, plans for another AGM next week are confirmed where unresolved issues will continue to be addressed.

Financial Management and Operational Improvements

Overview of Budget Allocation

  • The speaker discusses the significance of a $25,000 budget allocation, which is intended to enhance the syncing fund. This amount represents nearly a full year's budget.
  • Historically, only $3,000 to $4,000 has been allocated annually for a reserve account, which has not been achieved. This lack of reserves has led to operational struggles.

Steps for Future Operations

  • Emphasis is placed on the importance of a successful Annual General Meeting (AGM), including electing and registering the board and ensuring proper documentation for operations.
  • The speaker outlines that improvements around the building are linked to these steps and expresses confidence in their execution.

Communication with Stakeholders

  • A suggestion is made regarding communication strategies; stakeholders should be informed about measures taken without disclosing personal details. This transparency could encourage timely payments from owners.
  • Assurance is given that updates will be shared during presentations and meeting minutes to keep all parties informed about actions being taken.

Execution Plans and Owner Engagement

  • The speaker acknowledges concerns about accountability if board members change in the future. They commit to clear communication regarding actions taken by previous boards.
  • An update reveals that there are 10 owners responsible for 18 units contributing significantly to financial issues, indicating that resolving this matter may not be overly complex.

Invoicing Process Clarification

  • The discussion highlights plans for sending invoices via email and WhatsApp but notes that no invoices have yet been sent out for the current year.
  • Some owners have paid in advance despite not receiving invoices, demonstrating community support which has allowed certain services like security to resume.

This structured summary captures key discussions from the transcript while providing timestamps for easy reference.

AGM Discussion on Security and Financial Contributions

Overview of Financial Obligations

  • The speaker discusses the necessity of payments for annual maintenance contracts (AMCs), particularly focusing on security services to ensure safety in the building.
  • Emphasizes that contributions from other members are welcome, indicating a collaborative approach to funding these essential services.

Upcoming Budget Approval

  • Mentions an upcoming Annual General Meeting (AGM) where the budget will be presented for approval, which is crucial for managing future invoices related to security and maintenance.
  • Indicates that Mr. M will receive invoices post-budget approval, highlighting the structured financial process in place.

Coordination and Communication

  • Ahmed is tasked with coordinating contact details to facilitate updates regarding any necessary changes or information related to the AGM outcomes.

Conclusion of AGM

  • The meeting wraps up with gratitude expressed towards attendees, acknowledging their contributions and participation in making the AGM successful.
  • Acknowledges specific individuals who contributed significantly during the meeting, reinforcing community engagement and appreciation.