Board Meeting no. (2/2019) on December 23, 2019

The Board of Directors held its meeting no. (2) for the year 2019 on Monday, December 23, 2019 at 5:30 pm at the headquarters of the Riffa Views Company, and issued its decisions according to the items below:

1- Follow up on the implementation of the resolutions of the previous meeting

The Board reviewed the previous decisions follow-up and decided the following:

• Sending a circular to homeowners to inform them of the commencement of the meetings of the Board of Directors, the appointments of administrative positions that resulted from the meeting, and the most prominent issues and developments that the Board of Directors is discussing in the coming period.
• Sending a Circular to homeowners to obtain the homeowners’ remarks on the Master Transfer Agreement.
• Sending a circular to the homeowners regarding granting a 5% discount on the Annual Subscriptions (Service Charge) for the year 2020, which are paid in advance in no later than 31 January 2020.
• Sending a letter to the head of the Sunni Endowments Board, including a request to transfer the affiliation of the Riffa Views’ Masjids to the Sunni Endowments Directorate.

2- The status of the Annual Subscriptions (Service Charge)

The Board decided to stop taking any new legal measures against those who refrain from paying their Annual Subscriptions (Service Charge) until further notice.

Also, the Board approved the adoption of a form (payment order) that will be sent to the homeowners who refrain from paying their shares of Annual Subscriptions (Service Charge), after the Association Manager makes it compatible with the legal legislations that regulate this.

Furthermore, the Board decided to assign the Association Manager to prepare a letter issued by the Board of Directors to be sent to the homeowners, which encourages them to take the initiative in paying their shares of the Annual Subscriptions (Service Charge) because of its impact on maintaining the quality of the services provided and contributing to their development.

3- The contract of the Association Manager of Riffa Views Owners Association (RV Real Estate)

The Board emphasized the necessity of finalizing the signing of the contract of Association Manager of the Riffa Views Owners Association before the end of this year.

4- Identifying a mechanism for communication between the Association and the homeowners

The Board approved the creation of a website for the Association.

5- The Foundation Account for RV Real Estate at Kuwait Finance House

The Board approved the closing of the Foundation Account and the transfer of the sums to the account of RV Real Estate at Kuwait Finance House until the Association’s accounts are open ed.

6- The Board of Directors priorities during the coming period

The Board agreed to define a list of priorities for the work of the Board of Directors during the coming period, and to follow them up on an ongoing basis.

7- Increase Annual Subscription (Service Charge)

The Board of Directors discussed the report of the Association Manager regarding the necessity of calculating an increase in Annual Subscriptions (Service Charge) by 5%, in order to cover the possible increase in the expenses of service providers' invoices in Riffa Views, which will include the calculation of the value-added tax (VAT), due to the fact that the general budget for the Association’s expenditures for the year 2020, which were approved by the General Assembly in its last meeting held on December 7, 2019, did not include VAT.

The Board of Directors reviewed the powers granted to it in the Association’s By-laws (item 2.3.1), which permitted the power to impose the owners ’contribution to Annual Subscriptions through (the emergency amount), provided that it does not exceed 5% of the established service charge.

Accordingly, the Board decided the following:

• Approval of increasing Annual Subscriptions by 5% for the year 2020, in order to cover the difference in the invoices due to service providers in Riffa Views resulting from their calculation of (VAT), and assigning the Association Manager to approve sending invoices for the year 2020, including the increase.
  
• Assigning the Board Treasurer to coordinate with the Association Manager to communicate with the National Bureau for Revenue (NBR) regarding calculating the tax, and preparing accounting books in accordance with the approved procedures for calculating the VAT.

The meeting concluded at 7:30 pm, and the next meeting was scheduled to take place on Sunday 5 January 2020 at 5:30 pm at the Riffa Views headquarters.