They normally just issue a bill detailing the actual costs. But they are obliged in law to provide a break down if requested.

the man, the place

The last couple of years I have requested a breakdown and successfully challenged some of the costs.

Last year, there were a lot of extra charges to do with fire doors. It took over three months to resolve. I don’t think they ever found the receipts for the work carried out.

This year there was a new process in place. Things are supposed to have improved. It’s started out badly.

I asked for the breakdown on 29th September and I was told that they had been “inundated with queries regarding the actuals.” I eventually received the breakdown on October 23rd.

The latest “repair” bill includes over £3000 for responses to fire alarms. This is a considerable increase on last year.

As far as I am aware there were no fires in the block, so all these alarms were either false alarms or the results of faults in the system.

I raised the following questions:

• Why there is such large increase over last years costs.
• Why there are sometimes multiple invoices for the same incident.
• Why one incident cost £1043.93, when the usual cost is between £80 – £280

I have received a reply, saying my enquiry has been passed on to the manager, Michael Olawepo.

He’s the guy who wants to increase our management fee by 700%.

Hi Tim

As mentioned at the last meeting, the charge of £1177.41 is going to be removed from all leaseholders (pro rata) repairs charge. I am currently waiting for my manager to advise me with regard to the cost of the fire door to the electrical cupboard (£2428). He is investigating the cost of the door for me.

The removal of the first item will result in a credit of approx £26 to each leaseholders service charge account. Hopefully I will receive information relating to the second item under query before I go on annual leave next Wednesday. However if I am not in a position to give a final amount to credit to your account, it would be acceptable for you to withhold at least £26 from the amount due on the understanding that this will be resolved during April.

As you can see I’ve copied Angelina Romano from income maximisation in to this email so that she is aware of the situation and will not chase leaseholders if they withhold some of their service charges as stated above.

I will be in touch as soon as I receive my manager’s comments.

Regards
Anne Hensley

So that is probably £52 back from the extra money levied. Which is just over half.

The thing I found most surprising about this is that the procurement department could not justify these costs. I am pretty sure if we went to a tribunal they would have to do so, or we could refuse to pay anything.

It all sounds a bit chaotic at Stevenage Homes / Borough Council at the moment.

At least we can withhold payment until April, at least according to one part of Stevenage Homes we can.

Previous in this series

In December I queried several of the items listed by Stevenage Homes as repairs on The Towers, but have yet to here anything useful back.

When I was at the leaseholders’ meeting on Feb. 18, I had a word with Anne Hensley.

She apologised very nicely about not answering my email, and not getting back to me sooner. Stevenage homes are undergoing some kind of external audit, which is taking up a lot of time.

Anne did tell me that one of the items on the list was a mistake and so will be removed.

She finally managed to get a receipt from the procurement department which showed that they did indeed paid £2500 for the door. But as they only appear to be paying £500 for fire doors elsewhere and no one seems able to justify the extra cost, maybe the cost will not be passed onto us.

I suggested that I could get an external quote for a fire door, but she did not think that was necessary.

I still have not heard back from Stevenage Homes notifying me of the amount the service charge has been reduced by. The account is supposed to be settled at the end of this month.

I will have to email Anne again to see where this is going.

Previous in this series
Update

But the actual cost of repairs usually exceeds this estimate. This year I queried several of the items listed.

I have been getting no where fast with this, no one else in the block appears to care too much about these large repair bills. Perhaps they have given up trying to do something about it.

The story so far

gold plated?

October 2008
I receive the certificate of actual costs for the service charge on my flat. As usual, the actual cost for repairs (£281.46) is significantly greater than the estimated cost (£201.88).

That corresponds to an annual repair bill for the block of £14073 instead of £10094. Over 40 percent out, and you have got to admit, those figures look suspiciously rounded.

On Oct. 27, 2008, I phone and ask for a breakdown of the “repairs”, which are sent to me on Oct. 29.

November 2008
On Nov. 4 I receive a letter telling me how I am expected to pay the extra costs incurred. The want the matter all sorted out by the end of this financial year.

December 2008
I try to match items on the list to work carried out in the block. I query some of the costs in an email to Anne Hensley on Dec. 7.

I received a reply from Anne on Dec. 9 saying:

Hi Tim

Thank you for your email. I will try to obtain further information on the items you have listed and come back to you.

Regards
Anne Hensley

January 2009
I receive a statement of account and a note reminding me that if I do not settle the account by Mar. 31, 2009 it could result in me losing my home. It gives a number to call if I want to, “discuss my account in more detail” with the Income Maximisation Team.

Not having heard back from Anne, I sent a follow up email on Jan. 19, 2009 saying:

Hi Ann,

Is there any further information on these doors?

Regards
Tim

So far no reply.

February 2009
I tried to contact other leaseholders in the block to see if they have been doing anything about any of this.

I get one response, from Denys. He is chasing other issues at the moment. There are quite a few it must be said. I will blog about them in due course.

Next week I will phone Stevenage Homes to see where we are with these doors.

I will also contact the Income Maximisation Team, as they sound so helpful.

Previous in this series
Update

Stevenage Homes Limited is the landlord of The Towers. Each year they estimates the repair costs for the block and add this amount to the service charge levied to leaseholders.

Each year I ask for the breakdown and go through the list of repairs and try to spot where the work has been carried out.

This year the list includes the following:

• Supply and install fire door to electrical cupboard to provide 60 min fire rating £2,428
• Install ½ hour check service duct door £3334.11
• Renew 3x ½ hour Fire Check Doors £1177.41
• Apply one coat of stain, 1 base coat and one coat of gloss finish to 13 No doors at the above address. 12 No Refuse doors, one store door. £626

I have had a chat with the caretakers who have nothing to do with repairs. I asked them to show me the £2,428 fire door. I expected the door to be at least metal – probably gold plated. But no, this is it as far as I can tell. It is wood with a mat coat of paint (single I think).

This is one of the 12 ½ hour check service duct doors. £3334.11 for 12 doors works out at £277.84 a door.Again it is wood with a single mat coat of paint.

I do not know where the doors that were renewed are but they cost £377.67 each to renew – what ever that is.

The description for the painting is a bit confused. I think it refers to a total 13 doors. That is another £200 a door on top of the fitting costs just to paint them.

So, I sent an email to Anne Hensley of Stevenage Homes querying these costs. I have also got a few telephone numbers of other leaseholders in the block.

I must see what they have to say about paying £2,500 for a fire door, then an extra £200 to paint it.

Update