Would you hire an accountant without checking that they are a CPA, or a contractor without asking for proof of insurance? Condominium boards hand their manager the corporation's bank accounts, records and contractors, yet many never check the one credential the law requires: a licence from the Condominium Management Regulatory Authority of Ontario (CMRAO).

Checking takes a few minutes. Here is how to do it, and why it matters for boards and owners.

What the CMRAO is

The CMRAO is the regulator for condominium management in Ontario under the Condominium Management Services Act, 2015. Since November 1, 2017, people who provide condominium management services in Ontario, and the companies that employ them, have needed a CMRAO licence. The regulator sets education requirements, enforces a code of ethics, handles complaints and can discipline licensees.

Two kinds of licence: the manager and the firm

There are two things to check, not one.

· The management company holds a condominium management provider licence. This is the firm your corporation signs its management agreement with.
· The individual manager who works on your corporation holds a personal licence.

Individual managers hold either a general licence or a limited licence. A general licensee can provide condominium management services without supervision. A limited licensee is typically newer to the profession, works under the supervision of a general licensee and has restrictions on what they can do on their own. A limited licence is not a warning sign in itself, since every manager starts somewhere, but the board should know who is supervising its manager.

How to check a licence, step by step

1. Go to cmrao.ca and open the public register of licensees.
2. Search for the management company by name, then for each manager who would work on your corporation.
3. Check that each licence is active.
4. Note the licence class (general or limited) and whether any conditions are attached.
5. Look for any disciplinary decisions or compliance actions listed against the firm or the manager.
6. Confirm that the manager is connected to the firm that is proposing to manage your corporation.

Do this when you compare proposals, and again whenever a new manager is assigned to your building.

What to look for

Most of the time the register simply confirms what you expect. Pay closer attention if:

· The company or manager does not appear on the register at all.
· A licence is suspended, expired or carries conditions.
· The assigned manager holds a limited licence and the proposal does not explain who supervises them.
· There are disciplinary findings. Read the decision and ask the firm about it; the context matters.

If something looks wrong, ask the firm to explain before you sign. If you have concerns about a manager's conduct, the CMRAO website explains how to make a complaint.

Why it matters for your corporation

A licence tells you the manager has met the education requirements and is accountable to a regulator and a code of ethics. For the board, it is basic due diligence. Directors have a duty to act honestly and in good faith and to use reasonable care when they hire and oversee service providers, and confirming that a manager is licensed is one of the simplest ways to show that care.

For owners, a licensed manager is part of the assurance that the corporation's money and records are in professional hands. Owners can check the register too, and some ask about it at the AGM.

Questions to ask a management firm

· Who will be our day-to-day manager, and what class of licence do they hold?
· If our manager holds a limited licence, who supervises them, and how?
· Who covers for our manager during holidays and after hours, and are they licensed too?
· How do you keep your managers' licences and education current?

A good firm will answer these questions without hesitation and put the answers in its proposal.

Licences and certifications are not the same thing

A CMRAO licence is the legal minimum. Industry certifications go further. ACMO 2000 is a certification for management firms from the Association of Condominium Managers of Ontario, awarded to companies that meet its standards for how they operate. Membership in organizations such as the Canadian Condominium Institute shows a commitment to ongoing education. When you compare firms, ask about both.

Enfield's credentials

The Enfield Group Inc. is a CMRAO-licensed condominium management provider and has been ACMO 2000 certified since 2012. We are members of the Canadian Condominium Institute's Golden Horseshoe and Grand River chapters, the Ontario Non-Profit Housing Association and the Co-operative Housing Federation of Canada. See our certifications and memberships, and look us up on the CMRAO public register any time.

Learn more about our condominium management services, or how we serve boards across Peel Region and the rest of the Golden Horseshoe. To talk about your corporation, call 905-689-7341 or request a proposal.

This article is general information, not legal advice. Licensing rules can change; check the CMRAO website for current requirements.