For many new condominium owners, or even those who have owned for years, the dreaded AGM (Annual General Meeting) can often go unnoticed, and in recent history, unattended.
Your property management company will put together with the assistance of the board, a full package that must be sent out well in advance of the actual date.
The Condominium Act of Ontario states that a quorum for a meeting of owners at an Annual General Meeting, who in person or by proxy, represent at least 25 percent of the units. (Some corporations have passed a special by-law to change that percentage to 33 1/3 percent).
A proxy does count towards quorum. Each unit has only one vote, irrelevant of the amount of people who occupy the unit or are registered owners.
An AGM is called within 6 months of the end of each fiscal year of the corporation, where notice is given at least 15 days before it is held.
Owners should make every effort possible to attend, as important information is discussed and voted on.
Owners who participate in the AGM are also given the responsibility of selecting the corporation’s auditor. At an AGM, the auditor reports to owners about the financial health and operations of the condo corporation.
In advance of an AGM, the auditor must issue a report on the corporation’s financial statements. The financial statements and auditor’s report must be included in the meeting notice package for the AGM.
Do keep in mind, that an Annual General Meeting that does not meet quorum, needs to be reconvened. This translates into additional costs that can run into the thousands of dollars.
If you cannot attend, be sure to give someone your proxy so your vote is counted.