Dear Owners,
We would like to update you on several important topics concerning Sunset Resort, including security charges, ongoing legal proceedings, and our progress with the new electricity connection project.
1. Security Costs Request from Manol Manolov
Our caretaker manager, Manol Manolov, recently requested payments for security costs. Please note that these charges, as discussed in previous AGMs, are currently under appeal in court, with a decision still pending. We will keep you informed of any updates on this matter.
It appears that only owners who paid last year’s security fees directly to Mr. Manolov received this recent request for charges. For owners in Phase 2, payment of these charges has been requested since no appeals were lodged on their behalf. This was due to limited resources and the SRIOC not having contact details for all Phase 2 owners.
During our recent visit to Sunset, several owners mentioned they did not observe any security personnel on-site. We will continue to monitor this situation and keep you updated.
2. Legal Proceedings Update
There have been recent developments in the court cases related to these charges:
- The Pomorie Court initially halted the execution of security charges, pending the outcome of the main case.
- However, the other side appealed to the Burgas Court, which subsequently reversed this suspension, allowing the possibility for charges to be collected.
While this technically permits collection, any formal collection would require another court action, especially as the core case remains unresolved. This could make immediate collection challenging in practice.
3. Pending High Court Administrative Case Concerning Building Eta
Additionally, there is a pending case in the Administrative High Court of Bulgaria specifically regarding Building Eta. Recently, a favourable ruling was achieved by a fellow owner in Eta in the Administrative Court of Sofia, which continues a trend of rulings that Building Eta must be immediately connected using the existing infrastructure without any additional work or procedure.
Previously, a case addressing similar issues was dismissed on procedural grounds, as the court claimed lack of jurisdiction due to the presence of a private contract. In the current case, however, no such private contract has been signed. Unfortunately, the State Energy Commission has appealed the decision, and the case is still pending in the High Administrative Court. We will keep you informed as it progresses.
4. Progress on New Electricity Connection Project
The SRIOC will be meeting this Wednesday with representatives from the main owners’ group to discuss progress and finalize plans. This initiative is gaining significant support from the EU, EVN, and the Pomorie municipality, marking a major step forward.
We are pleased to report that our solicitor has spoken with Mr. Boyan Bonev, who has agreed in principle to proceed with the direct connection project. However, ownership rights of way to EVN can only be transferred by Mr. Bonev once EVN has approved the electrical plan and all required procedures are in place.
5. Legal Findings and Strategic Considerations
Our legal team has reviewed the cost requirements associated with the new connection infrastructure and found that these costs for additional connections are legally questionable. EU law mandates the efficient use of existing infrastructure rather than necessitating entirely new construction. However, the backup EVN’s position is that the existing underground power lines present safety concerns, citing potential risk due to lack of maintenance and flood-related hazards, which they argue could lead to catastrophic failures.
In terms of strategy, our legal team advises that owners who contribute financially to the planning and construction of this new infrastructure will have grounds to seek reimbursement from EVN should they wish to do so. In the event of future litigation, these documented expenses could significantly strengthen claims for compensation, as courts would have precise figures to refer to, simplifying the calculation of indemnities. Without these clear figures, compensation calculations would be more challenging and speculative.
If successful, the resort would benefit from new independent infrastructure: one segment owned and maintained by EVN after obtaining the necessary rights of way, and a private line with a separate electricity contract directly linked to the owner, complete with modern transformers. On the downside, the extended distance from each apartment to the new connection points does result in increased electrical losses over the longer cable length.
6. Next Steps – Funding and Planning
Our immediate goal is to secure funding for the project. Once funds are available, we will proceed with an engineering company to develop detailed plans, which will then be submitted for approval by the Chief Architect and Engineer of Pomorie municipality.
We have shortlisted two engineering firms, and once we have consensus from all parties, we will provide you with a detailed project plan, including cost estimates.
7. Required 50% Majority for New Connection
It’s important to note that establishing a new electricity connection will require a 50% majority approval at an AGM. This underscores the need for a broad consensus among owners to move forward with the project. We encourage all owners to stay engaged and consider supporting this essential infrastructure improvement.
We appreciate your attention to these matters and will continue to provide updates as we progress. Should you have any questions or need further clarification, please feel free to reach out.
Warm regards,
SRIOC
Owners working for owners – Owners fighting for owners.