There are currently over 85,000 active Owners Corporations in Victoria, covering more than 772,000 individual lots. Navigating community living in Victoria involves understanding the roles and responsibilities of an Owners Corporation.
An Owners Corporation plays a crucial role, as outlined by legislation, with the Committee acting as the driving force, making decisions that benefit all members. In this article, we look at the core functions of the Owners Corporation, the Committee’s role, and the contributions of the Owners Corporations Manager and Building Manager. Understanding these roles is not just about ensuring the community runs smoothly. It is also about giving residents the knowledge and power to actively shape the management of their shared spaces. Promoting a sense of harmony and collaborative community spirit.
The Owners Corporation
The Owners Corporation consists of all the owners within a strata scheme. Upon purchasing property in a strata scheme, you as an owner, automatically become a part of the Owners Corporation. Thus when you sell the property you own, you will then cease to be a part of the Owners Corporation.
An Owner’s Corporation is responsible for decision-making and overseeing the overall management of the scheme. Including matters such as:
1. Managing finances.
2. Handling insurance matters.
3. Maintaining comprehensive records.
4. Conducting repairs and maintenance on common property.
5. Enforcing Strata Rules.
6. Organising and conducting strata meetings.
7. Appointing a strata manager.
8. Appointing a building manager.
9. Complying with all relevant laws regarding planning, building, safety, and workers’ rights.
Each of these responsibilities is governed by specific laws and procedures.
The Committee
The Committee consists of dedicated volunteer owners or representatives from the Owners Corporation. A Committee serves as the executive branch of the Owners Corporation with its primary duty to execute the lawful decisions made under the strata title. This group is entrusted with decision-making authority to address matters that arise within the Owners Corporation throughout the year. The Committee is elected annually at the annual general meeting.
The responsibilities of Committee Members include:
1. Attending all committee meetings held throughout the year, which are called as needed and typically occur quarterly.
2. Reviewing meeting notices before attending.
3. Tending to various tasks, such as obtaining quotations for painting or gardening.
Clients of SSKB can streamline these duties by utilising the SSKB app for enhanced efficiency.
The Owners Corporation Manager
An Owners Corporation Manager’s role is to assist Strata communities in fulfilling their legislative and administrative obligations associated with running an Owners Corporation.
Specific duties may vary depending on the size, complexity, and involvement of the Owners Corporation Committee within each community. These duties are typically outlined in the management agreement, and an Owners Corporation Manager can only take instructions from the Committee.
The Owners Corporation has the discretion to assign various tasks to an Owners Corporation Manager, which may include:
1. Coordinating and conducting meetings.
2. Collecting levies, as well as procuring insurance.
3. Providing advice on asset management.
4. Maintaining the financial records of the scheme.
It is important to clarify that the Owners Corporation Manager is not a real estate agent, property manager, nor letting agent. They do not set levies or make decisions on the operations of a strata community; these responsibilities rest with the owners and are overseen by the Committee. While Owners Corporation Managers can’t offer legal advice, they play a crucial role in guiding Committees towards relevant sections of legislation to assist in decision-making. Thus, this distinction underscores their supportive, yet non-decisional, role in the strata community.
The Building Manager
The Building Manager’s role and services are defined in the agreement between the Building Manager and the Owners Corporation. Typically, the Building Manager is responsible for overseeing tasks such as garden maintenance, lawn mowing, cleaning elevators and lobbies, changing light bulbs, and waste collection.
Building Manager’s presence ensures that the building is repaired and maintained in accordance with the terms and conditions specified in their agreement.
For further information regarding the roles and responsibilities of the Owners Corporation in Victoria, please do not hesitate to contact your Strata Manager.
Disclaimer: At the time of writing, all care and due diligence have been exercised to ensure that the content presented is accurate and up-to-date. However, the specifics of regulations, guidelines, and circumstances can vary significantly from one location to another and may change over time. We strongly recommend consulting with your Owners Corporation Manager or the relevant Owners Corporation to understand how this information applies to your specific building and situation. The information provided here is for general guidance only and should not be considered as professional advice.
