Body Corporate News Archive

Having obtained your defects inspection report, ensure that you get a rectification scope of works from your defects inspector.  That scope should then be used

The agenda for a committee meeting must state the substance of the issues to be considered at the meeting.  The committee can however consider issues

Any building contractor will tell you that preventative maintenance is better than the cure.  Replacing window seals or silicone is a lot more cost effective

When owners are being called on to vote on major spending, normally they are supposed to receive at least 2 quotations.  Often times those quotations

The upfront costs of new utility infrastructure, like solar PV or central gas hot water, can be very difficult to get owner approval for. How

While your body corporate manager is expected to be familiar with the Act and Regulation modules, they’re not lawyers.  There’s a difference between (say) asking

Before releasing anything sensitive to anyone, consider whether the record is privileged.  That is, legally privileged and not for example “private” under the privacy legislation. 

When you receive notice of defects, when you receive a defects inspection report, when you have acted on emergency defects – keep your insurer up-to-date.

Preparation and circulation of the general meeting agenda is required under the Act.  It’s normal practice to follow the agenda.  While the order of motions

Don’t assume that all buyers of a lot in your community titles scheme are competently represented in their purchase.  If you become aware of a

After years of cyclones and floods some bodies corporate have found it impossible to discharge their statutory insurance obligations.  Under the Body Corporate and Community

If your sinking fund is looking low compared to your sinking fund forecast then you must top it up.  If the gap is a big

Every body corporate will have a relevant limit for major spending.  The default limit applies unless another limit has been set at a general meeting. 

Solar PV, combined heat and power, demand management systems, variable speed pumps and greywater irrigation; there are more and more ways to make utilities greener

As any engineer will tell you some of the most stable structures are based on triangles. In the case of a body corporate that means

Too many cooks spoil the broth.  One caretaker receiving instructions from seven committee members will spoil that relationship.  Most modern caretaking agreements will contain a

Once the time limit for keeping a body corporate record is up destroy the record as soon as you can.  Practically you’ll keep the office

While in most cases you have to provide the developer/builder an opportunity to minimise their losses by fixing the defects, that does not mean that

There are different rules for attendees at committee meetings and general meetings. Before you consider the rules apply some common sense.  If an owner wishes

By-laws bind all people bound by the community management statement. That typically includes all owners and occupiers for the purposes of the Act.  While tenants

Theoretically any insurer. Insurers carrying on business in Australia must be authorised by, or registered with, the Australian Prudential Regulation Authority (APRA).  Check the quotes

Every fixed asset will have an economic lifespan and a design life span. Your sinking fund is not just about maintenance, it’s also for capital

Utilities contracts are subject to body corporate rules too. If the body corporate is going to commit to a supply contract then it needs to

Whether it’s a pay per charge electric vehicle charging station, or a coin operated laundry in a body corporate store room, consider common facilities for

It’s a well known fact that most body corporate managers are paid insurance commissions. There is a statutory form of disclosure by your Body Corporate

The object is improved performance; not World War III. Sometimes that means formal changes to the agreements, and other times just a change in expectations

Forever – (no matter how old it is) – a contract that is in force for longer than 6 years and any notice that contains

If you obtain your own defects report you then have a sound basis to seize the initiative. To retain it, set a proactive agenda including

Sometimes it’s more important to know who wasn’t at the meeting than who was! Accordingly, you must give scrupulous attention to the meeting preliminaries.  Starting

Because owners interact with them all the time, there are often disputes about by-laws. Most commonly whether a given by-law is valid or not. Accordingly,

The Act requires bodies corporate to take out the following policies: Common property and body corporate assets – for damage and reinstatement; Building including lots

The sinking fund contributions (levies) are based on your sinking fund forecast. That forecast covers the next 10 years.  That is, what capital works will

Committee and body corporate spending limits exist for good policy reasons. For example, to trigger the need to obtain at least two quotations or to

It’s a law of economics as fundamental as the law of gravity is to physics. If you buy more of something then you’ll get it

Body Corporate managers need to make a living too. Don’t begrudge your body corporate manager an extra $20 or $30 per lot per annum on

If your community titles scheme is a management rights complex then embrace it and use the system to your advantage. Likewise if your scheme clearly

Members of the committee, including non-voting members, have “as of right” access to body corporate records without charge. So if a committee member wants the

Builder’s defects don’t usually start on the common property and stop at the door to an owner’s lot. The body corporate does have the power

Every meeting needs a chairperson. In Queensland the position is so important that in most schemes the chairperson is elected directly by the owners and

Prohibition is not regulation – by-laws are allowed to regulate activities but not to prohibit them (with very limited exceptions). Accordingly, “blanket bans” on certain

How much? – one of the policies required under the statute is building replacement. If you don’t know what the building would cost to replace

You’re only cheating yourself – if the sinking fund budget is kept artificially low then you’re only deferring the inevitable. The best method is to

Have you included a contingency? – If you are going to approve a painting contract based on a $10,000 quote then why not approve acceptance

Get individual meters –whether its water, electricity, gas or any other utility service, nothing heads off disputes about consumption better than individual meters. While there

1 year or 3 years – depending on the regulation module governing your scheme it will be common for you to have to choose between

A caretaker is a contractor, not an employee – it is incredibly rare for a caretaker to be an employee of the body corporate. Being

Keep a record of inspections – your body corporate manager will control access to the records on inspection. They should keep a record of who

Get a report – a report investigating whether there is an issue, the likely cause of the issue and an appropriate fix is the starting

Quorum – funny word, simple idea. If you don’t have enough of the right people to conduct a meeting then you can’t! Whether it’s a

There is no such thing as house rules –A committee or the owners in general meeting do not and cannot have the power to make

It’s the law! – The Body Corporate and Community Management Act 1997 mandates that bodies corporate must take out certain policies of insurance.  If you

Capital expenses only! – Your sinking fund is not for recurrent expenses like cleaning fees or legal bills.

A budget doesn’t authorise expenditure – your annual budget estimates what you will be spending during the year. Just because you passed the budget doesn’t

Get out of the dark ages – there is no excuse these days for continuously burning lights on common property (unless you have a security

Your professional secretary – modern body corporate managers offer a wide variety of services but their most important service continues to be to help the

Read your agreements – every management rights business will have a Caretaking and/or Letting Agreement. Before you do anything, read the agreements and make sure

What are body corporate records? – Read the definitions in the Act, and understand the scope is wider than you think. Sometimes even emails between

Don’t delay – a stitch in time saves 9. This is equally true of your building as it is for your favourite pants.

There is no such thing as an informal meeting – you’re either meeting under the Act/Regulation Module or you’re not. Owners discussing body corporate business