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August 2011 Newsletter

Although it is not long ago we sent an update regarding the 2011 budget negotiations we felt a further update might be appreciated .

Below you will find a detailed report from David Curtis, chairman of your Fiscal Board. I have little to add to David’s comprehensive report, other than the following: –

As you are aware the QDM Committee were instrumental in the setting up of an ad hoc Committee of the Chairmen of all the Vigia Owner’s Associations. Whilst differing issues do affect different Associations, this forum has proved very valuable enabling a unified response to those proposals from Vigia common to all groups to be discussed and a unified approach adopted.

For example, we are aware that Vigia have been providing services during 2011. As a result your committee offered to make an interim payment to Vigia based upon the 2010 pending successful conclusion of negotiations. We are aware other OA’s made a similar offer. Recent exchanges of correspondence confirm that neither QDM Committee or any other Committee have received anything other than confirmation of receipt of this offer.

Bearing in mind Vigia’s self-confessed cash flow problems we all find this lack of response astonishing. As a result, whilst Vigia remain our 1st choice to continue to provide management and services to QDM the committee continue, without making any commitments, to investigate the possibility of switching to an alternative manager should no solution be found.

On this note, it is important that QDMOA have reserve funds available should they be required to cover legal fees etc. At the AGM in November you will recollect it was proposed by one owner (not a member of the Committee) and agreed unanimously, by all attending that an annual subscription of E20 per property should be charged. These funds are held in a QDMOA account with Credito Agricola Bank.

David Curtis has advised that collections have been slow and your assistance in making any outstanding payments would be appreciated as soon as possible. David may be contacted by email on Alternatively payment can be made as outlined below.

Thanks for your patience and support. As soon as we have more definite information to share we will be in contact again.

Best regards

Nigel Chairman QDM Executive Committee.

C & U Budget Negotiations: Update from David Curtis – Chairman of the Fiscal Board

To date Vigia have presented two budgets. The first appropriately titled “First Approach” envisaged a completely gated community with a cost of approximately two and a half times our 2010 budget. This budget proposed a fully staffed 24 hour reception throughout the year, a gated community security service, all roads and landscaping maintenance costs, infrastructure maintenance, site managers and fifty percent of the golf course costs to be spread across all developments.

Vigia’s justification for such a significant increase in “Owners” costs were that historically the true cost of running and maintaining the resort (PdF including all developments) had not been reflected in the C & U budgets. That part of the cost had been subsidised by the profits generated from the sale of new properties and that they now had to bring everything under proper financial control.

Our feedback was as follows:

That the “Owners Committee” has worked with Vigia on behalf of the “Owners” in adherence to the “QDM Community Services Agreement” and the “Urbanisation and Property Management Services Agreement”. These agreements define what the agreed standards of maintenance will be; “Owners” and “Vigia’s” responsibilities; and how the costs to maintain these standards will be allocated.

Past cooperation has ensured that the agreements were adhered to and that both parties have taken a fair and reasonable approach to resolve any issues. As a result, the standard of QDM has over the last few years significantly improved making it attractive both for owners and for guests.

Your Committee raised the following concerns to the new proposals

We objected to paying anything towards the “Golf Course” as the ongoing costs of this should be covered by the golf premium paid when we purchased our properties.

Proposed reception staffing appeared excessive and we requested clarification of other costs being allocated to this.

In the case of the “Roads”, “Infrastructure Maintenance” and the “Green Areas” outside the confines of QDM our objections were that they had firstly not accounted for these correctly. Secondly that in the same way that we maintain our immediate environment, the other developments and Vigia commercial enterprises (Golf, Bars, Restaurants and Spa) should maintain the “Roads”, “Infrastructure Maintenance” and the “Green Areas” within their immediate environment.

Finally we believe that “Site Managers” are a luxury we cannot afford at this time unless they are cost neutral (that is our admin costs are reduced by the same amount).

On considering all the feedback received Vigia issued a “Revised Proposal”. This proposal removed the cost of the “Golf Course”, reduced both the cost of “Reception” and “Security” by a third and a small reduction for “Site Managers”. Vigia also requested that we meet to discuss and agree this proposal by 1st August 2011.

This revised proposal would increase our costs to just over double 2010.

Our response has been to restate our case and request clarification of both the accounting for and proportioning of the “Revised Proposal” prior to any meeting. This request was made on the 19th July 2011 with a follow up request on the 25th July 2011. To date, these have not been replied to or even acknowledged.

On every occasion we have stated that we do not wish to frustrate our current agreement and are willing to recommend a budget inline with 2010 to the “Owners”

Note: To vary the current agreements in the way proposed by Vigia would require the written approval of two thirds of the owners.

Update on A22 tolls

With only weeks to go before the Government goes ahead with its plan to charge tolls on the Algarve’s A22 (Via do Infante), interest groups and opposition political parties are still fighting to put a stop to tolls on the region’s only motorway – as they have been doing since former Prime Minister Pedro Santana Lopes announced their introduction almost seven years ago.

The Commission of Via do Infante road users has pledged to “toughen” their stance and have prepared an injunction which they will file with the courts if and when the proposed tolls are published in the Government Gazette.

The Commission has also announced explained that they are planning another protest on the EN-125 road in the peak holiday month of August, promising to bring traffic to a standstill thus illustrating that the EN-125 is not a viable alternative to the A22.

The legal argument against toll charging is that most of the motorway was built using EU funds and that Lisbon is not therefore entitled to tax the people of the Algarve to use it.

Source: Portugal News

QDM Swimming Pool Update

Pool heater pump

This has failed due to corrosion; quotations for repair are currently being obtained. Hopefully as we are in mid summer this will not inconvenience too many Owners and guests.

Pool Pagoda

On a lighter note, in April we asked for a quotation for the repainting of the Pagoda posts and framework. However on inspection it was found that one of the support poles was badly rotten. Not to be outdone, Committee members Martyn Uttley and Jim Lorimer were able to source a replacement in Lagos at a very reasonable price. This has now been fitted, by them. Unfortunately the pole was too long to fit in either Jim or Martyn’s cars. With typical ingenuity, they found a solution as illustrated below. QDM Owners’ initiative knows no bounds!!!

Repainting of town houses

Jim Lorimer has kindly taken on the role of coordinating the repainting of QDM. This has not been an easy task but work is now about to start. Here is Jim’s update.

The painting contractor, Jason Craddock is in the process of finalising the start dates for painting on site and expects to conclude this week. Please note that the web site of the contractor can be seen at

He expects to commence work in early September on those properties available to him. As per the contract specification the contractor will require 40% up front before starting, 50% upon completion and the remaining 10% 3 months after completion when all snags should have been fixed. The committee will forward to you details of the bank account to be used to the transmission of the monies. Please note that this bank account is that of the contractor and NOT the committee. The contractor will contact you 2 weeks before he starts the painting so please be ready to send the money to allow for an on time schedule.

 2011/12 Membership Fees

Membership fees are now overdue for the Owners Association of Quinta do Montinho. If you have not yet subscribed, payment of €20 per household (or €5 per quartershare) should be made to David Curtis as follows:

  • €20 by post to David Curtis, 13 Black Down Mead, Cheddar, Somerset, BS27 3XW
  • or left at PDF reception for the attention of David Curtis
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