Board Meeting no. (4/3/2024) on July 30, 2024

The Board of Directors held its meeting no. (4/3/2024) on Tuesday, July 30, 2024 at 5:00 pm at the headquarters of the Riffa Views Company, and issued its decisions according to the items below:

1. Approval of the Minutes of Meeting No. 3/3/2024 Held on June 25, 2024 

The Board reviewed and confirmed the minutes of the previous meeting, which had already been approved by circulation.

2. Real Estate Regulatory Authority's (RERA) Comments on Issuing the Certificate of Board Members 

The Association Manager informed the Board that RERA had responded to the request for issuing a certificate of the Association Board members via email on June 29, 2024. RERA requested the following amendments:

1. Include a declaration and confirmation from the current Board of the accuracy of the minutes of the General Assembly meetings and the attendance forms for the Association members who participated in the first and second meetings held on April 20 and April 27, 2024. 

2. Provide RERA with the signed forms of all participants in the General Assembly meetings. 

3. Submit a copy of the documented sales and purchase contract for the Vice-Chairman. 

4. Provide RERA with the ownership document and commercial registration for Amlak Company.

Regarding the Association Manager's contract, signed on April 30, 2024, for three years, RERA clarified that Resolution No. (1) of 2020 on the regulation of owners' associations in joint properties stipulates that Boards of Directors should not contract for a period exceeding two years as per Article (68). Additionally, the appointment decision should be made by the General Assembly, not by the Board, as per Article (70).

The Association Manager also noted that RERA recommended the following to the Board:

1. Cancel the new contract of the Association Manager as it is invalid. 

2. Regularize the status of the Association Manager in line with the regulations and decisions.

The Association Manager provided the following recommendation:

1. Cancel the signed contract and instead extend the previous contract for one year with a 1% increase (for now). 

2. Re-submit the request for issuing the certificate without mentioning the Association Manager (for now) until the next General Assembly meeting, where approval for the appointment of the Association Manager can be obtained.

After discussion, the Board approved the Association Manager’s recommendation.

3. Monthly Report of the Association Manager for June 2024 

The Board reviewed the Association Manager’s monthly report for June 2024. The Association Manager mentioned that the report had been sent via email to the Board members on July 11, 2024, and the queries from the members were addressed. The Chairman instructed the members to send their inquiries directly to the Association Manager, and any significant remarks would be raised during the regular Board meetings.

4. Approval of the Board’s Strategy and Work Plan for the Third Term (2024-2026)

The Board reviewed the strategy and work plan for the third term (2024-2026), prepared by the Board members. After discussion, the Board tasked the Association Manager with incorporating the comments from the members and revising the draft strategy and work plan in coordination with the Secretary, to be discussed again at the next meeting.

5. Approval of the Table of Financial Transaction Procedures and Authorities for the Association 

The Board listened to a proposal from the Association Manager to amend the table of financial transaction procedures and authorities for the Association. The Association Manager emphasized the importance of updating these procedures, highlighting the following points:

1. Set a minimum threshold for price quotations for purchasing goods and services. 

2. Define the authority to sign purchase orders (POs) based on amounts.

Regarding the signing authority for contracts, agreements, and disbursement documents (whether checks or bank transfers), the Association Manager noted that these authorities are defined in Ministerial Decision No. (1) of 2020 issued by RERA, which requires the presence of the Association Manager and two Board members for signing.

After discussion, the Board tasked the Association Manager with the following, and agreed to revisit this item at the next meeting:

1. Add the procedures for the following transactions:

- Issuing periodic invoices for service charges (annual subscriptions). 

- Issuing orders to pay, whether for service charges or other financial obligations and penalties. 

- Procedures for financial deposits. 

- Procedures for funding the Association’s reserve account. 

2. Prepare a statistical report on financial purchases over the past 12 months to define purchase related authorities.

6. Report on Revenue from the Sale of Additional Lands Belonging to the Association 

The Board listened to a report from the Association Manager regarding the revenue from the sale of additional lands for units in Riffa Views as of the end of July 2024.

After discussion, the Board tasked the Association Manager with preparing a report on the procedures required to transfer the revenue from the sale of additional lands to the Association’s account, and this item will be discussed again at the next meeting.

7. Activation of Deferred Credit Card Payments for Service charges 

The Board reviewed the Association Manager’s report on the offers submitted for activating the deferred credit card payment service for the Association’s service charges.

After discussion, the Board tasked the Association Manager with obtaining additional information regarding the interest rates offered by National Bank of Bahrain and Eazy Financial Services, and this item will be revisited at the next meeting.

8. Extension of the Infrastructure and Facilities Maintenance Contract with ENOVA Until the End of 2024 

Given the expiration of the current contract with ENOVA for infrastructure and facilities maintenance on June 30, 2024, the Board approved the extension of the current contract until the end of the year 2024.

9. Any Other Business 

Under this item, the Board discussed the following topics:

1. Requests from Association Members for Board Review 

The Board reviewed requests from several Association members regarding their overdue service charges for their units in Riffa Views.

2. Updates on the Approval of the Riffa Views Master Plan 

The Association Manager reported that the approval of the Riffa Views master plan is still under review by the Urban Planning and Development Authority. The Board emphasized the importance of finalizing the approval of the master plan, as it is crucial for the transfer of ownership of common areas from the developer to the Association and the transfer of additional lands to eligible unit owners. After discussion, the Board decided to contact the CEO of the Authority to request a meeting to discuss the latest developments.

3. The Association’s Investment Deposits 

The Association Manager presented the current investment deposit accounts held by the Association with Kuwait Finance House.

After discussion, the Board tasked the Association Manager with opening additional deposit accounts with Bahrain Islamic Bank and Ahli United Bank and negotiating for the best deposit offers.

4. Association Manager’s Proposal to Provide Two Vehicles 

The Association Manager presented a proposal to provide two vehicles for the use of the Technical Inspection Office (TIO) staff and the Agricultural Department staff. These vehicles would facilitate inspection and supervision of construction and landscaping work in the units and allow for routine inspections of common areas and green spaces. After discussion, the Board tasked the Vice-Chairman with reviewing the proposal and providing feedback.

The meeting ended at 7:55 p.m.