monday 28 th september 2015 thames ditton island (maintenance & services) ltd annual general...

Monday 28th September 2015

Thames Ditton Island (Maintenance & Services) Ltd

Annual General Meeting

TDI (M&S) LTD AGM 28TH SEPTEMBER 2015

Agenda for 2015 AGM

1. Approve last year’s minutes

2. Sign-off 2014/15 accounts + Directors’ report

3. Bridge update

4. A Newcomer’s Perspective of Life on the Island

5. Board’s Proposal to move to Proactive Management + 5 year plan and necessary increase in Annual Maintenance

6. AOB


TDI (M&S) LTD EGM 1TH JUNE 2014

Section 11. Approval of last year’s minutes2. Sign-off 2014/15 accounts +

Directors’ report


Section 21. Bridge update


Bridge Condition Survey Update▪ The non-intrusive condition survey was undertaken on the 28th

August 2015

▪ Currently the report is about half way through to completion

▪ Initial findings show us:

– With the exception of the cables and anchorages, the bridge is in remarkably good condition for its age.

– There is minimal corrosion of the steel, except where paint has peeled off, but nothing of immediate concern

– The recommendation is that at some stage in the future all of the old paint is removed to allow treatment and repainting, to prevent further flaking of the brittle paintwork

– The load capacity of the bridge is still being assessed, which will have a bearing on the calculations necessary to undertake the cable replacement project.


Section 31. A Newcomer’s Perspective of Life on the

Island


A newcomer’s perspective of life on the Island

▪ When you first walk over the bridge, you think – WOW!

▪ A look around the communal gardens, and you think, this space could be great with a bit of work.

▪ A walk down the path…. Pretty drab, a bit unkempt, damp puddles, tide marks from the flood, broken fence posts.

▪ But what’s behind these walls????

▪ Only the prettiest place to live, from every outlook!


What’s special about the Island?

▪ We are a totally eclectic bunch of people – different backgrounds, incomes, personalities and talents

▪ We share a love of water and boats!

▪ We put up with flooding, carrying our shopping over the bridge in the rain, not having parking spaces, the nightmare of deliveries, just for the privilege of living here

▪ People talk to each other!

▪ Where else can you live on your own peaceful island and still be only 30 minutes from London!We are a community and look out for each other


What can we all do to improve the path?

▪ There are many attractive fences on the island, and in particular, the gardens that are open and visible really enhance the path and stop it looking like a long corridor.

▪ Have a look at what this Californian community did to improve their alley >How much more welcoming and interesting

▪ With all the unique tastes and talents on the island, wouldn’t it be great if we can reflect this in our pathway – with every house bringing some personality to their entrance

▪ Why don’t we work together and get creative, to give us a path to bring a smile to every one!


Let’s turn the path from drab to fab!


Section 41. Board’s Proposal to move to Proactive

Management + 5 year plan and necessary increase in Annual Maintenance

Our Maintenance Charge: 2 key components


Wa-ter = 27%

Maintenance =

73%

Only 66% (on average) of Maintenance Charge goes on maintenance

Water = £154

Main-tenance Charge £416p.a.

Real cost of maintenance charge (BASED ON £570PA)

Our Maintenance Charge: how does it compare?

The Island has managed its costs very well in comparison: How much do we pay?

▪ 34 households take advantage of the 5% discount and pay £570 per year (equivalent of £47.50 per month)

▪ 14 households pay £50 on a monthly standing order (£600 per year)

▪ Boyle Farm Island pays 33% for future access to utilities

Other Islands:▪ Sunbury Court Island approx.

£140/month

▪ Taggs Island: changes according to need between £70-£130/month


2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

0.00%

5.00%

10.00%

15.00%

Inflation has risen faster than Maintenance Charge over last 10

years

Increases in Maintenance Charge

UK Inflation

AveragesUK Inflation = 2.7%Maintenance Charge Increase = 2.1%

Other Shared Residents ‘Costs

▪ ARMA (the Association of Residential Managing Agents) estimates the average service charge bill in London at around £1,800 to £2,000 a year;

– We don’t have windows to replace but most do not have pump houses and bridges!

The Board are seeking Shareholder Approval for: 1. The Board wish to seek approval from shareholders to move from

a break/fix approach to a proactive management approach in the management of the shared infrastructure and facilities of Thames Ditton Island including a number of key initiatives with the following benefits:

1. Improved predictability of costs (reduce ‘lumpiness’)

2. Proactive maintenance rather than wait until something breaks

1. Reduce risk of major catastrophe (e.g. pump house/sewage has only a 4 day ‘capacity’ before the island stops)

3. Outsource responsibility to maintenance contracts rather than 48 houses relying on the goodwill and time of the very few

4. Improve future quality of infrastructure and shared facilities wherever possible

5. Create sinking fund


The Board has identified 10 x Focus Areas


Improve Internal & External Communications i.e. web site

Ensure costs are minimized e.g. cancel external admin support





“6170”



•Annual preventative maintenance contract

•24 hour call out contract

•Full health & safety compliance

•Video invest. & jetting of sewer

PUMP HOUSE & SEWAGE

BRIDGE MAINTENANCE

•Rolling 5 year condition survey benchmarked against the 2015 survey

•Rolling 7 year painting programme

•Find long term solution to lingering, deep puddles (soakaways, drainage, paving etc)

•Find low level, non-intrusive lighting solution

PATHWAY (as negative aspect of island estate agents mention most)

Continued gradual increase in licence fees (just increased from £75-£100/150pm)

•Reinstate 3 lost moorings

•Dredging as required

•Fix water tap

MOORINGS

(as revenue generator)

•Pre-planned pollarding & shrub pruning

•Arrest decline created by the current minimal maintenance contract + zero investment

•Ensure garden reflects the pride we all feel for the island

GARDENS



Reinstate 3 x moorings



•Annual preventative maintenance contract

•24 hour call out contract

•Full health & safety compliance

•Video invest. & jetting of sewer

PUMP HOUSE & SEWAGE

BRIDGE MAINTENANCE

•Rolling 5 year condition survey benchmarked against the 2015 survey

•Rolling 7 year painting programme

•Find long term solution to lingering, deep puddles (soakaways, drainage, paving etc)

•Find low level, non-intrusive lighting solution

PATHWAY (as negative aspect of island estate agents mention most)

Continued gradual increase in licence fees (just increased from £75-£100/150pm)

•Reinstate 3 lost moorings

•Dredging as required

•Fix water tap

MOORINGS

(as revenue generator)

•Pre-planned pollarding & shrub pruning

•Arrest decline created by the current minimal maintenance contract + zero investment

•Ensure garden reflects the pride we all feel for the island

GARDENS



Improve Internal & External Communications i.e. web siteARTICLES OF ASSOC.

+ COVENANTSDEVELOP 5 YEAR PLAN + SINKING FUND

•Review & updateto protect islanders

•Develop financial plan and report to islanders on progress each year

• Aim is to build up a rainy day fund for unforeseeable major capital items

• Need to be realistic how much we can hope to put aside

SINKING FUND (for future capital items)

Proactive Management – forward financial planning


2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027$0

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

$35,000

CREATING A ROLLING FIVE YEAR FINANCIAL PLAN SMOOTHES OUT THE EXTRAORDINARY COSTS

+ ENSURES USE IS PAYG

Water Electricity Moorings InsuranceAccountancy, legal, admin etc Tidy up days Garden & Trees PathBridge Pump House & Sewage General Maintenance

Change in Profile of Expenditure (using 4 year averages)


Water; 12257.25; 27%

Electricity; 460; 1%

Moorings; 1055.25; 2%

Insurance; 2748.75; 6%

Accountancy, legal, admin etc;

1218.75; 3%

Tidy up days; 794; 2%

Garden, Trees + Slipway; 3693; 8% Path, Lighting & Water Main;

2508.25; 6%

Bridge; 16971.75; 38%

Pump House & Sewage Pipe; 1853.5; 4%

General Maintenance3%

2010Looking Backward

Change in Profile of Expenditure (using 4 year averages)


Water; 12875; 28%


Moorings; 3750; 8%

Insurance; 3500; 8%

Accountancy, legal, admin etc; 1525; 3% Tidy up days; 1200; 3%

Garden, Trees + Slipway; 3825; 8%

Path, Lighting & Water Main;

3000; 6%

Bridge; 5000; 11%

Pump House & Sewage Pipe;

3750; 8%General Main-tenance; 2750;

6%Sinking Fund; 5000; 11%

2017

Water; 12257.25; 27%


Moorings; 1055.25; 2%

Insurance; 2748.75; 6%

Accountancy, legal, admin etc;

1218.75; 3%

Tidy up days; 794; 2%

Garden, Trees + Slipway; 3693; 8% Path, Lighting & Water Main;

2508.25; 6%

Bridge; 16971.75; 38%

Pump House & Sewage Pipe; 1853.5; 4%

General Maintenance3%

2010Looking Backward Looking Forward

Proactive Management – forward financial planning using the bridge as an example


2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027

Water £11,913 £15,538 £4,607 £11,920 £15,407 £9,702 12000 12500 12500 13000 13500 13500 13500 14000 14000 14000 14000 14000

Electricity £318 £322 £304 £362 £677 £351 450 400 400 400 400 500 500 500 550 550 600 600

Moorings £12,950 £1,411 £729 £1,031 £972 £1,018 1200 6000 3000 3000 3000 3100 3100 3200 3200 3200 3200 3200

Insurance £2,379 £2,480 £2,607 £2,402 £2,507 £2,586 3500 3500 3500 3500 3500 3500 3600 3600 3700 3700 3700 3800

Accountancy, legal, admin etc £762 £1,163 £1,002 £1,090 £1,179 £1,106 1500 2500 1200 1200 1200 1300 1300 1400 1400 1400 1500 1500

Tidy up days £270 £200 £420 £400 £300 £1,278 1200 1200 1200 1200 1200 1250 1250 1300 1300 1300 1400 1400

Garden & Trees £777 £785 £756 £857 £1,565 £1,500 4800 1800 6000 5000 2500 2500 3000 3000 3000 3250 3250 3250

Path £90 £0 £90 £3,086 £3,917 £0 1500 6000 2000 2000 2000 2000 2000 2000 2000 2200 2200 2200

Bridge £5,038 £0 £0 £19,532 £808 £29,956 18000 5000 5000 5000 5000 5000 5000 5000 5000 5000 5000 6000Pump House & Sewage £2,310 £210 £415 £881 £533 £0 6000 5500 3000 3000 3500 3500 3750 3750 3750 3750 3750 3750

General Maintenance £5,374 £0 £2,302 £602 £1,846 £6,390 2500 2500 2500 3000 3000 3200 3200 3200 3500 3500 3500 3600

Sinking Fund for catastrophes @ £5k pa 5000 5000 5000 5000 5000 5000 5000 5000 5000 5000 5000

Already allowed -18000

EXPEN TOTALS £55,902 £36,666 £53,917 £47,318 £47,319 £45,820 £46,371 £47,222 £47,973 £48,424 £48,875 £49,126 £50,327

INCOME MOORINGS £10,000 £12,000 £15,600 £15,600 £16,000 £16,500 £16,500 £17,000 £17,000 £17,500 £17,500 £17,500

INCOME MAINTENANCE £27,976 £39,780 £39,780 £39,780 £44,460 £44,460 £44,460 £44,460 £44,460 £44,460 £44,460 £44,460

P&L £1,310 -£2,137 £8,062 £8,061 £14,640 £14,589 £13,738 £13,487 £13,036 £13,085 £12,834 £11,633

per house £582.83 £828.75 £828.75 £828.75 £926.25 £926.25 £926.25 £926.25 £926.25 £926.25 £926.25 £926.25

pm £49 £69 £69 £69 £77 £77 £77 £77 £77 £77 £77 £77

5 year Survey 5 year SurveyMajor Paint

A fund of £35k has been built up over previous 7 years to contribute toward a £35k repaint + £5k

survey

Bridge project complete +

painted (financed separately)

Proactive Management – forward financial planningMaintenance cost per monthAssumes discount for annual prepayment is reduced from 5% to 2.5% from April FY2016/17


2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027

£48

£69 £69 £69

£77 £77 £77 £77 £77 £77 £77 £77

Maintenance Cost per month

VOTE: The Board are seeking Shareholder Approval for: 1. Develop a detailed rolling 5-year plan

2. Move to proactive management approach to remove ‘lumpiness’ in expenditure and to allow Board to manage finances

3. Increase Maintenance Charge from current rate of £600 pa to £850 from 1st April 2016 and then to £950 from 1st April 2019 (all before 2.5% prepayment discount)

4. To proactively manage the infrastructure and facilities as suggested in this document



Section 51. Any Other Business

AOB1. Bag ‘dumping’ and understanding what can

and can’t go in a rubbish bag and glass recycling bins

2. Dog fouling

3. Using river as a dump for garden waste


Annual General MeetingMonday 28th September 2015, Guides Hut, Church Walk Thames Ditton.

Thames Ditton Island (Maintenance & Services) Ltd

Thank you


monday 28 th september 2015 thames ditton island (maintenance & services) ltd annual general...

Documents

island tdi ms

bridge update tdi ms

completiontdi ms

annual maintenance tdi

annual maintenanceaobtdi

peaceful island

necessary increase

calculations necessary