Repairs and Maintenance Funds
Creation of the Repairs and Maintenance Fund by the Society
- The repairs and Maintenance Fund, at the rate fixed at the general body from time to time, subject to the minimum of 0.75 per cent per annum of the construction cost of each flat for meeting expenses of normal recurring repairs.
Creation of the Sinking Fund by the Society
- Major repairs fund, as and when required and decided by the General Body- the rate is fixed on area basis.
- The Sinking Fund, at the rate decided at the meeting of the general body, subject to the minimum of 0.25 per cent per annum of the construction cost of each flat, excluding the proportionate cost of the land.
Utilisation of Funds...
Utilisation of Repairs & maintenance Fund...
Utilisation of Sinking Fund...
Utilisation of Funds by the Society
Reserve Funds: - The reserve fund of the society may be utilised for the expenditure on repairs, maintenance and renewals of the society's property.
Utilisation of Repairs & Maintenance Fund
The Repairs and Maintenance fund may be utilised by the Committee for meeting the expenditure on maintenance of the society's property and repairs and renewals thereof.
On the resolution passed at the meeting of the general body of the society and with the prior permission of the Registering Authority, the Sinking Fund may be used by the society for reconstruction of its building/buildings or for carrying out such structural addition or alteration to the building/buildings, as the society's architect deems necessary to strengthen it/them or for carrying out such heavy repairs as may certified by the Architect and on approval of the General Body.
As in the case of the rented premises, here too, there are certain practical difficulties on the successful implementation of these provisions. The sinking fund and the building repair fund is normally insufficient. Thus, the provisions, though incorporated in law, hardly make any difference to the situation.
Conclusions :
Thus in conclusion we can infer, that though the laws have made provisions for redevelopment yet they are not sufficiently stringent, and there is no authority either to keep a check over the implementation of the provisions.
In case of rented premises, a duty has been cast on the landlord to keep the premises in good condition, but since the income that he incurs from the property is very meagre, especially in the case old chawls etc. hence he is not bothered to repair it. Rather they are waiting for these buildings to collapse so that a builder will buy the space and he will get his share. Even if he has to increase the rent, the rent can increased only to the extent of permitted increase as allowed by the MRC Act 1999. On the other hand though the tenant is residing in the premises he is hardly bothered to carry on repairs, thus the buildings go on dilapidating till they collapse. The Rent control Act should be amended and a provision for compulsory eviction from a dangerous premises should be made.
In case of ownership flats in cooperative societies most members are reluctant to pay for the sinking fund. Also the amount is so meagre that it does not facilitate the purpose of redevelopment. Generally there disputes between the members over redevelopment issues.
Whenever the BMC officials come for survey and serve a notice upon the residents to vacate the premises, they never conduct a proper follow up of the situation. A criminal liability should be cast upon such defaulting officials, in case of failure to get the premises vacated. The problem of a good residence is so acute that the residents cannot be blamed either for not vacating the premises, thus, making the task of BMC difficult.
Several suggestions have been put before the civic & planning authorities to review the existing provisions, now it is only for the state government to amend existing laws and make dream of Shanghai in Mumbai come true.