More than 90 changes to Strata Title Legislation have now commenced. These changes will affect all stakeholders that own, live in, manage or operate a business from a Strata Title Property.

The most significant changes that will affect administration of your strata scheme sit around the conduct of General Meetings within the Owners Corporation, including;

• Tenant participation
  • All tenants must be invited to attend the meetings, but are not entitled to vote or address the meeting.
  • Tenants may also be asked to leave when financial matters are being discussed.
• Tenant representatives
  • A ‘Tenant Representative’ may be nominated when the Owners Corporation has been notified that more than 50 per cent of the scheme is occupied by tenants.
• Committee nominations
  • Seven days prior to the AGM, there must be a call for nominations to the committee.
  • The names of all nominees must be included in the notice of the AGM and owners may still nominate for the committee at the AGM.
• Inclusion of additional motions
  • A 300 word explanation must be provided by owners wishing to submit additional motions for the following AGM.
• Limitations on proxies
  • Proxies may be limited to the following circumstances
    • If the scheme has 20 lots of less, 1 proxy
    • If the scheme has more than 20 lots, 5 per cent of the total number of lots.
• Alternate means of voting
  • Owners corporations can adopt alternative means of voting at a general meaning, including;
    • Tele or video conferencing, email or electronic communications
    • Pre-meeting voting via electronic means such as email.
• Quorum provisions
  • If a quorum is not achieved within 30 minutes of the commencement of the meeting, the chairperson may either adjourn the meeting for seven days or proceed with the number of owners present.
• New statutory motions
  • New statutory motions that must be considered by the Owners Corporation at the AGM include;
    • A motion to consider how to deal with owners in arrears
    • A motion to review the 10 year capital works fund
    • A motion to consider the annual fire safety statement
    • A motion to consider building defects
    • A motion to consider the strata managers report into third party commissions and training services.

For further information on the changes to Strata Title Legislation and how it may affect you, contact CPS Finance today.

Posted in Property investment on 23rd January, 2017 | No Comments »