Ontario became the leader in Canada with legislation requiring condominiums to get reserve fund studies done, along with regular reserve fund study updates. Prior to May, 2000, reserve fund studies were optional and many condominium corporations experienced frightful special assignments because of under funded reserve funds.
Ontario also enacted Regulation 48/01 to the Condominium Act, which outlined more detail on what a reserve fund study must contain (the bare minimum), and the types and frequency of reserve fund study updates.
Furthermore, Regulation 48/01 lists those prescribed individuals who are authorized to conduct reserve fund studies and reserve fund updates, as well as those who are not allowed.
By recognizing the myth that only engineers are qualified to conduct reserve fund studies and reserve fund updates, Ontario leads the pack in North America for its foresight with reserve fund study laws and regulations.
To download either the Condominium Act and Regulation 48/01 click the link below.
Still, there are some serious shortcoming with the legislation. There is no central registry or enforcement mechanism to ensure that reserve fund studies and reserve fund updates are done as required. Perhaps worse yet, there is no reserve fund standard, so it's still a bit of the "wild west" as to what Ontario condominium boards and property managers are receiving when they get a reserve fund study or reserve fund update.
For more frightening information about reserve funds and reserve fund updates, click on the link below and read the article published by the Real Estate Institute of Canada on the subject.