Rental First
2 out of 4 series
THE OWNER CORPORATION
All lot owners in a strata scheme are automatically part of the owners corporation (previously the ‘body corporate’) and have a right to take part in the decision making. The owners corporation should hold regular meetings for the owners to decide on issues affecting the strata scheme.
It is responsible for overall management of the scheme, including:
- Financial management
- Insurance
- Record keeping
- Repairs and maintenance of common property
- By-laws
- Employing a strata managing agent and/or a building manager (if they choose to do so)
- Keeping up to date with and following all relevant laws.
Apart from strata laws, this includes planning, building, fire and safety inspections, and work, health and safety laws.
AMONG THE SPECIFIC RESPONSIBILITIES OF THE OWNERS CORPORATION ARE:
- Issuing a notice to comply with a by-law to someone who has breached a by-law. This could only happen once the owners corporation or its strata committee had resolved that a by-law has been breached by that person.
- Arranging for inspections of the strata scheme’s records.
- Responding to written requests for a Section 184 Certificate from prospective purchasers of property in the strata scheme. The Certificate provides certain strata scheme information and must be provided within 14 days.
- Where agenda items for a meeting involve a priority vote, those holding a priority vote must be notified in writing at least 2 days in advance. These agenda items include matters relating to insurance, budgeting, expenses over a certain amount ($1,000 times the number of lots in the strata scheme), setting the contributions to be levied on (paid by) the owners and matters that require a special resolution (75% of the owners who are at a meeting agreeing) or unanimous agreement (all the owners who are at a meeting agreeing).
- Ensuring access to all parts of the scheme for necessary fire safety inspections.
- Notifying of a pesticide treatment 5 days before it is carried out. The notice must be given to all residents and can be done in person, in writing, or be put up on noticeboards and near the main building entrance.
- The owners corporation may delegate a number of responsibilities to a strata managing agent. However, there are several responsibilities and powers that cannot be delegated, including:
- The power to dismiss some or all of the strata committee members.
- The power to grant use of the common property to a lot owner for a ‘once only’ purpose or on an ongoing basis (which would require a special resolution vote of the owners corporation) that can only be made by the owners corporation under NSW strata laws.
- Certain other decisions that can only be made by the owners corporation under NSW strata laws.
Contact Rental First on 0452 383 677 or enquire online http://www.rentalfirst.com.au/for-owners/.
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To be continued (2 out of 4 series)