CARLETON CONDOMINIUM CORPORATION NO.

419
c/o P.O. BOX 8287 STATION “T”
OTTAWA, ONTARIO
KIG 3H7
Tel. (613) 738-9700
Fax. (613) 738-0070

March 10, 2009

Dear Owners:

The Board of Directors approved the budget 2009/10. There is no increase in condo fees. The
budget 2009/10 was maintained at the same level as the previous year’s budget.

Our Corporation is ending the fiscal year in a good financial position, with a small surplus in the
operating accounts and an improved balance in the reserve fund (about $80,000). This creates
the right conditions to undertake a major renovation project (hallways renovation) while continuing
to build up our reserve fund.

The budget was finalized after a review of our condo expenditures over the past three years and
meets three major needs identified by the Board. First, the need to provide quality and cost-
efficient services; second, the need to maintain a relatively high contribution to the reserve fund,
to re-build our reserves and invest in our building; third, the need to realign our condo fees with
those prevailing on the market for comparable condominiums.

What are the main changes in the new Budget? The Board and the Manager worked together
to improve the efficiency of our repair and maintenance expenditures, which resulted in a 5.6%
reduction of this budget line; over this fiscal year a specific attention will be paid to quality and
cost of repairs and maintenance contracts. Similarly, administration costs were reduced by 3%;
with a main reduction for legal and professional fees. For these budget lines, the goal was to
realign them to the actual expenditures recorded over the previous years.

The main increase in our budget lines is due to utilities (9%), i.e. water and electivity. Potential
savings should be sought in this area. In this fiscal year, the corporation will update its Reserve
Fund Study and the Board is considering including an energy audit in this study; this can help us
to identify economically and technically feasible ways to reduce utility costs and improve our
energy efficiency. Feedback from owners will also be actively sought by the Board.

What are the main changes in support of the new Budget? First, the Board remains
committed to strengthening the record keeping for maintenance and repairs expenditures. More
generally, the Board will keep working to strengthen communication among all stakeholders in the
Corporation. Feedback on the repair and maintenance service received by your unit is of specific
importance to the Board. Second, over this fiscal year the Board will continue a review of the
existing maintenance and service contracts to ensure that the corporation will continue to benefit
of quality service at the most efficient prices.

Should you have any comment or question, please do not hesitate to contact the Board or the
Manager.

______________________ ______________________ ______________________

Maria Lo Alessandro Alasia Jim Mchugh
Treasurer President Manager
Email: mlo.ccc419@hotmail.com Email: aalasia@sympatico.ca Email: jmchugh@axiamanagement.com

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 Carleton Condominium Corporation No. 419
BUDGET 2009/2010
A B C D E F
BUDGET LINE Actual Actual Budget Projected Budget % Note
2006/07 2007/08 2008/09 year-end 2009/10 change
E-over-C
REVENUE
3015 Condominium Fees 417,966 475,683 492,683 492,683 492,683 0.00 #1
3016 Special Assessment 168,615 0.00 0.00
3873 Administration & Parking 3,480 1,196 2,577 2,875 2,875

Total Revenue 590,061 476,879 495,260 495,558 495,558

EXPENSES
Repairs & Maintenance
4102 Elevator Repairs/Contract 10,059 11,557 11,250 10,800 11,250
4205 Garage/Parking Repairs 3,175 3,100 3,000 2,775 3,000
4218 General Maintenance 40,074 28,837 40,000 33,000 36,000
4302 HVAC Repairs & Maintenance 12,295 12,265 14,000 13,750 14,000
5202 Window Cleaning 1,690 3,651 3,650 3,650 3,000
5203 Waste Removal 3,677 4,219 3,675 3,970 4,000
5206 Cleaning Supplies 1,910 2,354 1,200 1,100 1,200
Total Rep. & Maintenance 72,880 65,983 76,775 69,045 72,450 -5.63

Administration
5001 Office Supplies & Services 2,360 2,453 2,200 1,800 1,800
5003 Telecommunication 3,021 2,570 2,750 2,508 2,750
5010 Management Fees 18,447 18,534 19,480 19,476 19,480
5011 Legal & Professional Fees 6,371 9,598 5,000 7,367 2,000 #2
5012 Audit Fees 3,273 2,847 1,850 2,940 2,500
5301 Insurance 10,485 9,758 9,055 8,000 8,100 #3
5501 Building Maintenance/Wages 31,621 35,106 35,263 35,263 35,263 #4
5507 Worker's Compensation 911 911 1,100 1,000 1,100
5512 Employee's Benefits 2,579 2,690 2,900 2,700 2,900
5520 Employee's Apartment Benefit 1,087 1,581 1,300 1,300 1,300
5601 Intrusion & Fire Security 5,517 9,568 7,500 8,374 8,500
Total Administration 85,672 95,616 88,398 90,728 85,693 -3.06

Utilities
5701 Electricity 91,642 86,387 90,500 97,500 99,000
5704 Water 22,299 22,093 25,000 24,500 27,000
Total Utilities 113,941 108,480 115,500 122,000 126,000 9.09 #5

Total Operating Costs 272,493 270,079 280,673 281,773 284,143

8901 Reserve Contribution 328,615 200,000 210,000 210,000 210,000 #6
Total Expenses 601,108 470,079 490,673 491,773 494,143
Excess Revenue(Expenditure) -11,047 6,800 4,587 3,785 1,415

See next page for notes.

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Notes:

1. No Increase because we have built up the reserve fund to a level that can be sustained if we do not have any major
emergencies.

2. Decrease is based on not having any current legal issues pending.

3. Minor increase this year although rates have been going down because of our good claims record.

4. Superintendent salary will remain the same as we gave him an increase last fiscal year.

5. Increases based on the notices received from the utilities of their proposed increases over the next fiscal year.

6. Reserve contributions have increased substantially over the years and we are now at a level that can sustain the
projected repairs. The Board is commissioning a new study that should be available in the fall of 2009.