B.C. Reg. 360/2004, deposited July 23, 2004, pursuant to the HOMEOWNER PROTECTION ACT [Sections 21 and 32] and the INSURANCE ACT [Section 192]. Order in Council 771/2004, approved and ordered July  22, 2004.

On the recommendation of the undersigned, the Administrator, by and with the advice and consent of the Executive Council, orders that, effective July 28, 2004,

(a) the Homeowner Protection Act Regulation, B.C. Reg. 29/99, is amended as set out in Schedule A to this order, and

(b) the Building Envelope Renovation Regulation, B.C. Reg. 240/2000, is amended as set out in Schedule B to this order.

— M. COELL, Minister of Community, Aboriginal and Women's Services; J. van DONGEN, Presiding Member of the Executive Council.

Schedule A

1 Section 2 (2) and (3) of the Homeowner Protection Act Regulation, B.C. Reg. 29/99, is repealed and the following substituted:

(2) A multi-unit building that is constructed for rental purposes and is

(a) owned under a single legal title, or

(b) strata-titled with all the dwelling units held under one ownership

is exempt from sections 22 and 26 of the Act provided that a restrictive covenant is registered on the title restricting the sale or other disposition of any dwelling unit for 10 years from the date of first occupancy of a dwelling unit in the building.

2 Section 11 is renumberd as section 11 (1) and the following subsection is added:

(2) Subsection (1) (i) includes bodily injury, or damage to personal property, caused by mold.

Schedule B

1 Section 3 (1) (b) of the Building Envelope Renovation Regulation, B.C. Reg. 240/2000, is amended

(a) in subparagraph (vii) by deleting "building, no part of which was built under a federal or provincial social housing program," and substituting "building", and

(b) by adding the following subparagraph:

(viii) a multi-unit building in which the first occupancy of a dwelling unit occurred 25 or more years before the commencement of the building envelope renovation or, if applicable, the issuance of a building permit for the building envelope renovation, whichever is earlier, .

2 Section 10 is repealed and the following substituted:

Circumstances in which materials and labour
warranty insurance must be provided

10 The building envelope renovator must provide, for the benefit of the holder, materials and labour warranty insurance on the building envelope renovation for a period of at least 2 years after the date on which the building envelope renovation was substantially completed if

(a) the total cost of the building envelope renovation is greater than or equal to the greater of

(i) $10 000, and

(ii) $2 000 for each self contained dwelling unit within the residential building, and

(b) the building envelope renovation includes the replacement of 60% or more of the cladding surface of

(i) the residential building, or

(ii) a face of the residential building.

3 Section 11 is amended

(a) by repealing subsection (1) and substituting the following:

(1) If a building envelope renovator is required to provide materials and labour warranty insurance under section 10, the building envelope renovator must also provide, for the benefit of the holder, water penetration warranty insurance on the building envelope renovation for a period of at least 5 years after the date on which the building envelope renovation was substantially completed. , and

(b) by adding the following subsection:

(1.1) Despite subsection (1), the water penetration warranty insurance need not be made applicable to damage to the parts of the cladding surface that are not part of the building envelope renovation.

4 Section 14 is renumbered as section 14 (1) and the following subsection is added:

(2) Subsection (1) (f) includes bodily injury, or damage to personal property, caused by mold.

5 Section 16 is amended by adding the following subsection:

(1.1) Subsection (1) (b) does not apply to a window that

(a) is a component of a building envelope,

(b) is removed from the building envelope for the purpose of a building envelope renovation,

(c) is re-installed as part of the building envelope renovation, and

(d) causes damage by unintended water penetration to the building.

6 The following section is added:

Deductions allowed for re-installed windows

16.1 (1) If section 16 (1.1) applies to windows re-installed as part of a building envelope renovation, a warranty provider may require the holder to pay a deductible of up to $500 for each re-installed window that caused unintended water penetration.

(2) The maximum amount of the deductible under subsection (1) for each dwelling unit is $1 000.

Copyright © 2004: Queen's Printer, Victoria, British Columbia, Canada