Leaseholders, Repairs

Reactive Repairs for Councils Housing Stock

All the leaseholders have received the following letter from the Camden Council concerning the Contract for Day To Day Repairs for the Council’s Housing Stock. If you want to see the original letter click here.

Date: 7th August 2008
Your reference: XXXXX

Our reference: Reactive Repairs
Enquiries to: Regan Cossill 020 7974 x3573 x1854 x4452 x2813 x3624

The Leaseholder(s)/Freeholder(s)

Dear Sir/Madam,

Notice of Intention To enter Into Qualifying Long Term Agreements – Measured Term Contract for Day-To-Day Repairs for the Councils Housing Stock.

Please find enclosed our first stage Notice of Intent to enter into five long-term agreements with contractors for the provision of day-to-day repairs to the Councils housing stock. We ask that you take some time to read this letter and its enclosures as they contain important information for you.

How will this Proposal Affect Me?

We are proposing to enter into five 18-month agreements (with the option of extending them to 36 months), with contractors who can provide day-to-day repairs to the Councils housing stock. The contracts are in standard form but will cover different areas. There will be one for each district within the London Borough of Camden.

The pricing basis of the contracts is percentage adjustments tendered against a pre-priced schedule of rates, together with a daily rate for a mobile repairs operative and day work rates.

Those contracts are long term qualifying agreements for the purposes of sections 20 and 20ZA of the Landlord and Tenant Act 1985. The notice is served in accordance with the consultation requirements of Schedule 2 to The Service Charges (Consultation Requirements) (England) Regulations 2003.

You will observe that the Notice does not concern the carrying out of specific works. Where the long-term agreement includes provision for the carrying out of works to the property or estate and these works will result in a charge to any leaseholder of more than £250, then a separate consultation must be carried out under the provisions of Schedule 3.

For example, contractors may be asked to undertake works to your block such as the repair of a leak in the roof. The contractor will be asked to repair the leak and you will be charged a fair apportionment of the cost of this repair in your annual service charge invoice.

However, if the repair is substantial and your resulting contribution under the service charge is estimated to be above £250.00, then, in accordance with the above-mentioned housing legislation, we will give you a Section 3 notice. In summary this will normally detail the nature of the repair, state the reason why we think the repair is necessary and your estimated contribution towards the estimated cost and ask for your observations.

An exception to this will be emergency works when dispensation will be sought from the Leasehold Valuation Tribunal.

Why you do not have the right to nominate a contractor?

We have estimated that the total value of each individual contract is above the amount set out in the European Union Guidelines and therefore we must publish our intentions in the Official Journal of the European Union. In these cases the legislation states that Leaseholders and Recognised Tenants’ Associations do not have the right to nominate a contractor.

What Happens Next?

Once the Notice of Intent 30 day observation period has ended on 10th September 2008; we will consider all of the observations, respond to each one in writing, make any agreed amendments to the proposal, and then seek tenders for the contracts. Once we have received and assessed the tenders we will issue you with our second notice under Schedule 2 of the regulations. In summary that second notice will set out a proposal in accordance with the requirements of paragraph 4 of the Regulations. The notice will include, for example, the identity of the contractors with whom the Council proposes to contract having considered the tenders received.

Charges

Once we have agreed the contracts you will not be charged for any work unless it is work covered by your service charge and carried out to the block or estate you live in.
Should you have any questions regarding this letter, please do not hesitate in contacting the Capital Service Charges Team on one of the above telephone numbers.

Yours sincerely,

Regan Cossill
Acting Senior Capital Service Charges Officer
Enclosures:
Statutory Notice of Intent
Observation / Comments Form

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