Condo Smarts: Don’t overlook heat pump maintenance obligations

Dear Tony:

Our strata of 48 units has permitted 10 heat pump installations since 2018. We have an alteration agreement with each unit, but it did not address the issue of maintenance and repair and how to manage issues if an owner failed to meet their obligations.

Now we have one system that is very noisy and several adjacent owners are complaining. We have asked the owner to hire someone to inspect and maintain the unit and they have not responded.

Beyond stepping in and paying for the service call, are there other options? Perhaps an additional bylaw that addresses all the heat pumps?

Thanks for all your columns.

— Melissa E.

Dear Melissa:

With the growing demand, rebates and government programs for heat pumps, there also comes a significant rise in confusion and conflicts over the management of alterations. Strata corporations can’t simply grant permission for heat pump installations and then remove themselves from the implications. This is an excellent opportunity for strata corporations to get their bylaws and alteration agreements set up to address present conditions of the alteration and installation and future liabilities, such as responsibility to maintain and repair, whose insurance covers the systems, what happens if a strata lot sells and the consequences if an owner fails to maintain and repair a heat pump.

Strata corporations have two options for the future maintenance repair. They may leave the responsibility with each owner to manage their individual heat pumps, or a strata corporation may adopt a types bylaw where the strata corporation takes responsibility for annual maintenance and inspections, while the annual operating cost is allocated to only those units with heat pumps. Either option is viable with the appropriate bylaws and agreements in place.

Historic practice has taught us that owners generally do not maintain their equipment. Your experience has validated the assumption. If a strata corporation leaves the obligation of maintenance and repair to owners, that requirement should be clearly set out as part of the bylaws and the alteration agreement. They should also include consequences, for example: “In the event an owner does not maintain a heat pump system resulting in failure, nuisance or damages to common property or neighbouring units, the strata corporation is authorized, at the cost of the owner, to access the unit and perform the necessary service requirements.”

If there is a types bylaw, it must identify only the maintenance and inspection activities required as part of the annual service, with the associated costs allocated to the applicable units under the types bylaw. In addition, the bylaw and the agreement must clearly specify who is responsible for any repairs or damage associated with the heat pump.

Alteration agreements are contracts between a strata corporation and owners. A formatted agreement that applies equally to all owners is the best option to avoid the pitfalls.

Tony Gioventu is executive director of the Condominium Home Owners Association. Email tony@choa.bc.ca.