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«    April 2017    »

Which of the capital property management companies will gamble by operating without licenses?

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Which of the capital property management companies will gamble by operating without licenses?

As we know, to function as a property management company it is necessary to pass the licensing procedure.

The process of receiving licenses is to be completed by the 1st of May. The Deputy Head of the Moscow Housing Inspectors, Igor Bolotov, told our magazine about the situation with the licensing of Moscow property management companies.
Five companies have already been found at fault
- Mr. Bolotov, what are the first results of the property management companies’ licensing?
— The third sitting of the Committee on property management business licensing took place on the 18th of March. The issuing of licenses to 90 property management companies was considered. As a result, the Committee decided to issue licenses to 86 management companies. Four companies were denied a license. These companies still have the opportunity to rectify their breaches and get a license in the terms defined by law.
In total, by the 18th of March, almost 400 claims had been made by applicants for the right to provide the “Licensing of property management business” state service in Moscow.
— As we know, the qualification exams are going on now. What are the first results? How many companies won’t get access to the licensing procedure according to the exams results?
The first qualification exam took place on the 26th of January. And by the 19th of March we had certified 851 applicants. 154 didn’t pass the exam, but I must say that the number of attempts to pass the qualification exam is not restricted by law.
— Why, from your point of view, do residents often make a choice in favor of state companies, but not private property management companies? Isn’t there a risk of monopolizing the utilities market and raising tariffs?
—There is no statistical data about common choices in favor of state management companies. But in reality I can say that the work of state management organizations is more stable. Such organizations do not overcharge in delivering their services. That’s why residents choose them.
— What documents must the head of the property management company present to get a license?
—Many, and the list of documents is strictly defined by law. It includes a claim for the license, a document of identification, a notarized copy of the constituent documents, and the registration of the attached documents.
— If the head of a management company is disqualified, can he return to “managing” after some time?
— According to law, he is disqualified by the court for a term of six months up to three years. After the term of disqualification, settled by a court resolution, a person may return to their property management business as the director of it.
— What will happen to a house left without a management company (ie. if it was abandoned without a license)?
— First of all I must say that before a house is “left without” a management company, all concerned parties, including the residents, will be informed about it according to the law. After that, the proprietors, at their meeting, will take a decision on the choice of another management company or on the changing their means of management. If the meeting is not organized, the local authorities will have to organize an open tendering procedure to choose the management organization. Thus, Moscow’s blocks of flats cannot remain without a management organization.
— Where can people complain about bad management companies?
— On introducing the property management business licensing, Moscow Housing Inspectors obtained the right both to check an applicant and to control his activity in property management. So the citizens should address Moscow Housing Inspectors regarding the problems they have with the management company’s work.
Nobody will be able to pull the competitors’ chestnuts out of the fire
— Does the licensing procedure include anti-corruption measures? What if some representatives of the housing inspectors will try “not to see” the drawbacks in a management company’s work for a kind of pay-off?
— The licensing procedure is absolutely fragrant, and one cannot say that the requirements for the applicants are not very strict. On getting the license, a management company will be monitored: the main principle is that the management company must fulfil its duties properly, acquired on the basis of agreements with the house dwellers (proprietors), and solve any problems in good time.
— And vice versa: what if some management companies decide to cook their competitor's goose with the help of housing inspectors? That is, how public will the mechanisms of taking away licenses be?
— The law outlines the license abolition to be made only on the basis of a court resolution. The decision to apply to the court about license abolition will be taken by the Licensing Committee. So, the whole mechanism of the property management business licensing starts from the submission of the documents and is absolutely clear and is based on law.

Elena Matseiko

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