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"Scugog's Community Newspaper of Choice" THE PORT PERRY STAR - Tuesday, April 24, 2001 - 11 "Now people are offering to pay up to $100 a month over their housing charges, and they should be given the chance to do so," he said. The man who used to oversee Borelia said that rent arrears have long been a prob- lem at the co-op. "...over the last year, we'd been getting a little tougher on them, they were all warned, and they had a number of warnings that things were going to be coming | down really hard." - Martin Slobodnick said in a telephone interview that during his five-year tenure at the co-op - he left in February of this year - he saw numerous residents fall behind in their rent, and that he tried to help them arrive at schedules of repayment they could manage. "You take into consideration the problems that arise with members there," said Mr. Slobodnik. Those problems could include periods of unemployment, during which money in households is tight, he said. "You try: ' to be sympathetic." When asked if the co-op's system of per- formance ' agreements for those in arrears worked, he replied, "for the most part, yes, but there were some complications." Most residents strove to make payments, but there were instances of deliberate negligence, said Mr. Slobodnik. In those instances, the board of directors would be alerted, and debts were occasionally pursued in small claims court. - Members were apprised of the co-ops financial status regularly, and have been receiving warnings that arrears were climbing, said Mr. Slobodnik. "Over the last year, we'd been getting a lit- tle tougher on them," he said. "They were all wamed, and they had a number of warnings that things were going to be coming down really hard." And he does not quibble with the actions being taken by the current board and proper- ty management company to clean up armrears. "Iwould say. they (Sterling) are reputable, and they probably do a good job," said Mr. Slobodnik, who lives in Oshawa. "I cannot honestly say the management company there now is doing anything differently from what I'd do if were still there." The underlying motive behind the gud- den action to balance the books at Borelia is an issue of contention. Some feel the move is being undertaken by a ministry preparing to download the co-op to the region. Others argue that downloading has nothing to do withit,. One ss 'The Star that the ministry of the co-op's board of directors, said - agement dropped the ball," said Mr. moved in to address the co-op's dire financial straits. when it was declared a Project In Decling = "After their audit, based on the percentage of arrears, they were in danger of bankruptcy," the source said of the co-op. "The region is not going to take over projects in decline." And Mr. Slobodnik ventured to speculate along the same lines: "The municipalities don't want co-ops running deficits, so around $2,000. They say they have acted in good faith, attempting to pay back what they owe so they can continue to live in a commu- nity they enjoy. "Yes, we made a mistake, but now we're cleaning it up," said the man, who asked that his name not be used to save his family in town embarrassment. He said he's even offered to hand over income tax refunds, and last fall, when she landed a job and the fami- ly's income level changed. She says she reported the change in status to the co-op office, as it would necessitate an adjustment in her family's geared-to-income rent. But no adjustment notice came, she said. What even- tually did arrive was a Form 1, informing her that she and her family were facing eviction. Kirsty stood her ground when her time to meet with the board came, and even- they're cleaning things up," he said. Scugog Regional Councillor Ken Carruthers declined comment for this article, explaining that he is not familiar with the situation at the Borelia co-op. Larry O'Connor, a Brock regional council- lor and chair of the region's social servic- es committee, was out of town and could not be reached for comment. But Jamie Donaldson, turrent president there is no rush to clean up the books before the complex becomes the respon- sibility of the region. "The downloading's not an issue," he said in a brief telephone interview. "It's a process we're always trying to follow. We always try to keep our arrears to a mini- mum." And Durham MPP John O'Toole said he's doubtful the move to act on arrears is attributable to downloading. "I think it's a case where the local man- O'Toole. "I think the ministry has the ulti- mate responsibility to ensure (the co-op) is operating on the same basis as any other co-op." 'To that end, Ms McBumie has been assigned the task of setting the co-op in the right direction, said Mr. O'Toole. "The downloading discussion has been talked about for a long time; this is not an announcement from the last week or two," said Mr. O'Toole. Whatever the case, the action being taken to pursue those who owe back rent is sending shock waves through the Borelia neighbourhood. At a contentious meeting in the co-op meeting hall last Thursday, residents voted by a narrow p! PRESENTATIVE BOREL A CO-OP NOTICE TO APPEAR (Form 1) To Member: 1 Conaleabia 1 mth nbleny Unit g@BBorelia Crescent Port Perry, Ontario LOL 114 The Board of Directors is going to consider evicting you (ending your membership and occupancy rights) at a board meeting. The board meeting will be on March 26, 2001, in the Meeting Hall in the Community Centre at 10 Borelia Crescent, Port Peiry, Ontario. The board meeting will start at 7:00 P.M., but you do not have to arrive before 7:45 P.M. The proposed date for evicting you (ending your membership and occupancy rights) is April 21, 2001, The board may set a later date if the board decides to evict you. You may appear and speak at the meeting You may present written material. You may have a lawyer or other representative speak for you. You may appeal the board decision to a general members meeting. You do not have to vacate your unit. However, if the board decides 10 evict you and you do nol vacate your unit, the Co-operative may obtain a Writ of Possession (eviction order) from a court. The Co-operative will also seek a court order that you pay its legal costs Before the board meeting, you are required to remedy your default, if it can be remedied, and you are required to make compgpgation in money for your default, if money can compensate for BORELIA CO-OPERATIVE HOMES INC. 10 BORELIA CRESCENT. PORT PERRY; ONTARIO LOL 1H4 TEL (905) 985-0423 FAX (908) 985-7329 The Grounds for evicting you are: 1.0 You are in arrears in the amount of $2,515.55, as of March 8, 2001. This is ground for your eviction because of paragraph 8.02 (a) of the Occupancy By-law (By-law #2). 2.0 You have repeatedly paid your housing charges late. This is a ground for your eviction because of paragraph 8.02 (a) of the Occupancy By-law (By-law #2). BORELIA CO-OPERATIVE HOMES, INC. [RES 1 DEA) 7 tually agreed to sign the performance agreement, even though she and her family will probably pack up and leave the co-op soon. It means relo- cating from a community the family enjoys, and giving up her néw-found job. But Kirsty said the atmosphere in the co-op has been soured by the campaign to track down those in arrears. "Nobody's being given a chance," she said. "It's just, Get out." The couple have agreed to pay an additional $150 a month to address their arrears. "I understand if we're in arrears, Kirsty. But she says she questions the urged other residents facing eviction to fight to keep their homes. "Nothing makes sense," she said. "Nothing equals anything in this. We are being held accountable." When Sue and her husband appealed to members to have their eviction overturned last week, they failed; residents voted to back the board. Like others interviewed by The Star, she said that financial cir- cumstances led to her falling' behind in rent payments, but that she hoped, over time, to pay them off. "I'm not blame-free in this: I'm not claiming to be blame-free in this," she said. "Irealize my arrears are big. But I was buried in debt and I had tunnel vision. So the co-op was the POSITION March 9, 2001. last tunnel I looked down, because | could (delay paying rent)." Sue is uncertain about her next margin to allow one family which had been served with an eviction notice to stay, overtuming the decision of the board. But residents backed the board in its decision to evict another couple. The process has been bewildering for the man who saw his eviction overturned last week. He and his wife, both 38, have lived in the co-op since 1992; they currently share a three-bedroom unit with two teenaged daughters. Several years ago they fell into a deep financial hole, and accumulated around $6,000 in arrears, But they say they entered into a performance agreement with the pan, SP and over the years have "whittled. that. amount € at one point told co-op management to gar- nish his wages if they considered it necessary. "It's not like we're not paying it off." After receiving a Form | letter in March, the man and his wife attended a meeting with the Board at which they offered to pay $1,100 a month for their unit, which he says would have seen their arrears wiped out completely with- in nine months. They were stunned when, four days later, they received notice from the board that they were being evicted. "We're doing the best with what we've got," the resident said. "I said to them, 'If you kick me out with a wife and two kids, I've got 0 go." ared eviction was Kirsty, who lives in th her husband and three small ' "begat: en, She says her house- course of action. She said, though; that attention must be paid to what's going on in the co-op: "There's a lot of crap going on," she said. The response by Borelia's board of direc- tors to inquiries from the media has been, largely, silence. Directors contacted have refused to comment, citing confidentiality guidelines. And last Thursday, a week after sending a list of 17 questions to the board, The Star received a brief reply by fax: "The Board of Directors of Borelia Co-Operative will respect their rights of all our members whether they are in good standing or not, all information is to remain private and confi- dential," said the statement, which is attrib- uted to president James Donaldson. "Therefore we are not prepared to disclose any information regarding our membership or the operation of our Co-Operative. We are act- ng.un guidance of the Ministry of irs'and Housing, Co-Operative we're expected to pay arrears," said - methods being employed, and has