No matter what type of building you live in, there are certain crucial items the board must address when creating an alteration policy.

INSURANCE. The alteration agreement should require that each contractor delivers certificates of insurance naming all the affected parties as additional entities covered. According to attorney Ed Braverman, these certificates should be reviewed by the co-op's attorney before work begins. Neighboring apartments should receive copies of written notifications containing the indemnification.

ARCHITECT'S DRAWINGS. Each application for a major structural alteration should include an architect's drawings and specifications. Then an independent architect or engineer – paid for by the owner requesting the changes – should review them. "The building should have an architect whom they have a relationship with," attorney C. Jaye Berger says. "Not all buildings do. Buildings that don't do structural alterations that often should consider that they need to have such a person and have that relationship in place when something comes up. He should be familiar with your building and can therefore review any plans quickly and thoroughly."

SCHEDULING. For major work, such as wall removal, your policy can require that the owner's architect / engineer provide a schedule of when the work is to be completed, with as many specifics as possible regarding type of work to be performed, amount of time for each element, and length of time for the overall project.

As for timing, some properties only permit major construction during the summer months when many owners are away. Others allow construction year-round. Many limit daily work to the weekday hours of 10 A.M. to 4 P.M. Few allow construction at night.

MONITORING. A major alteration can take three to six months, and you need to have periodic inspections. Require that the managing agent and / or superintendent monitor the progress of the work to see that everything is going smoothly. The alteration agreement should allow the board to stop the job at any time and correct anything that fails to follow previously approved specifications. Remember that there are certain items the owner should never touch, such as major gas lines and central air-conditioning system.

SETTING LIMITS. Without agreeing to a timetable in advance, boards can face difficulties. Alterations can expand beyond the original plans, and frequently take longer than planned. Sometimes, too, work is not being performed in accordance with specifications. Impose time limits geared to the extent of the renovation; minor repairs and gut renovations have widely differing time frames. And don't pick an arbitrary figure — talk to your engineer or architect and devise an appropriate limit tailored to the specific alteration.

FEES AND FINES. Fees are expected for some reviews: The owner doing the work should probably pay for the architect / engineer review and, possibly, for extra work by the managing agent. Fines are another matter. Work that takes a long time can disrupt the building and the neighbors. Fines, tied to each day that the owner works beyond the fixed date, are one way of keeping work on track. Experts say this is an effective way to get an owner's attention, but be reasonable if you want them enforceable in court.

"If the amount is so outrageous that it is not consonant with the extra costs a delay would incur, then it's going to be stricken," Braverman notes. "I have a building that was charging $2,000 a day, [which] was outrageous... You can't just pick a number out of the air – it must be tied to reality.... Charging $200, $300 a day may be more reasonable."

SIGNING OFF. Any alteration policy for major structural work should require that the owner obtain municipal sign-offs at its conclusion, and, if applicable, an amended certificate of occupancy . The building code requires filings for changes in walls, exposure of the internal structural frame, and nearly everything else except painting or hanging new kitchen cabinets.

Adapted from Habitat January 2008. For the complete article and more, join our Archive >>