All Topics / Legal & Accounting / South Australia – Invitation to comment Statutes Amendment (Community and Strata Titles) Bill 2010 aka Strata Management

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    FYI fellow owners with property  South Australia,

    The South Australian Attorney General,  has requested public comment responses by Dec 24, 2010 to "Statutes Amendment (Community and Strata Titles) Bill 2010".

    If you have owned property or been a tenant I am sure you have all had a gripe regarding the Strata management at some time. I agree with some of the efforts in the proposed amendments but also wish to ensure that the "good guys" are not punished for the rogue actions of a few in the professional arena.

    Submit your own responses to the following email:   [email protected]

    Background:

    In early 2009 public consultation was undertaken on a draft Bill to amend the Community Titles Act 1996 and the Strata Titles Act 1998.

    This consultation resulted in a number of significant changes being made to the draft Bill.

    The Attorney-General intends to introduce the resulting draft Bill when Parliament resumes in early 2011. Before the Bill is introduced, interested parties are invited to have their say.

    View the Attorney-General's media release.

    Happy that my comments submitted are viewed below.

     
    From John Rau's "Statutes Amendment (Community and Strata Titles) Bill 2010" Introduction and invitation to comment
    "This Bill does not take community and strata title disputes out of the Magistrates Court. However, I am separately considering the issue of appropriate dispute resolution fora in South Australia. Any comment on this issue is welcomed."

    Suggest
    :
     
    Many investors / owners are familiar with the operation of the Residential Tenancies Tribunal. A suitable fora would then be an extension of the terms of operation to enable the Residential Tenancies Tribunal panel members to also hear disputes in relation to Strata regardless of the dispute being related to a tenancy.
     
    benefits:

    Far less onerous than a full court process
    Enables elderly or young owners to raise an issue and be heard by a single member rather than the formal nature of a court action. This will balance out some of the pressure / heavy handed nature of the larger Strata managers that may have thousands of strata under their management against a single unit owner.
    The back log in the Tenancies tribunal may be reduced if they are granted the extra duties AND resourced appropriately.

    Opportunity for an owner/ manager to lodge a dispute with the assistance of an officer within the Tribunal / OCBA would be welcomed with a reduced ambit scope rather than some of the pain we go through currently with a lodgement with the Residential Tenancies tribunal under the tenancies Act.

    Register of owners – cll 34, 60 (CTA s135, STA s39A)
    The corporation will be required to keep a list of the contact details of the unit owners and make these available to other unit owners on request. This will help a unit owner who is trying to convene a general meeting.

    Suggest amending clause to ensure Privacy laws are supported.  Contact details to be only supplied to the listed postal address, fax or email of another owner within the strata.
    Should not be accessible to tenants in a complex who make contact to the strata and are able to supply utility receipts for a unit address within the strata complex.
     
     
    Access to records – cll 16, 36, 49 (CTA ss78C(5),(7), 139(1a),STA ss27C(5),(7), 41(1a))
    Second, the corporation will be required to send copies of the bank statements of the corporation each quarter to any owner who asks:
    cll 36, 61 (CTA s139(1a), STA s41(1a)). If a body corporate manager is handling the corporation’s money, the manager will be required to send a quarterly financial statement to an owner on request: cll 16, 49 (CTAs78C(5), STA s27C(5)).

    Great concept assuming a new strata / manager with owners being concerned with transition or start up phase OR a manager being put on notice regarding performance.

    Suggest
    the Strata must have the right to charge extra administration costs to an owner if such requests are deemed as "trivial" by vote at an AGM or other meeting of the strata.

    A strata member who holds an office such as Treasurer would be exempt from the "trivial" clause
    Any member would be exempt for a maximum 4 quarterly statements before other members or the manager could charge admin costs under the "trivial clause"due the statements being non-essential and adding unnecessary admin burdens to the Corporation's own interests.
     
     
    Corporation funds: Sinking fund budget – cll 31, 55 (CTA s113,STA s33A)
     
    Suggest the Strata manager and also the Strata do not have the authority to:
    defer action to an individual unit owner in any area that is "common" to all or affects another owner such as a dividing property fence.

    I have purchased a townhouse in a 30 year old complex where owners have been able to "do their own thing" with regards to outside improvements. This may be fine for permitting a new shade or pergola but it is not viable when we have dividing fences made of timber that are rotten and held upright by plants!  
    My enquiry to the strata manager when investigating white ant damaging the complex was that the owners had decided to "leave the fences" a few years ago.
    The AGM notice has just come out and if I want to raise anything that involves costs then I am to furnish a written quote to the manager prior to the Agenda being published with 30 days notice!!   
     A dividing fence is a strata issue and not a judgement call. As a new owner how can I secure a quote for trad work when I have no authority to engage or pay?
     
     
     
     
    Deposits for off-the-plan sales to be held in trust – cl 39 (CTA s142A)

    Suggest more definition required to ensure developer's rights are also covered. Must not be seen as a hindrance to the engagement of services and trade related to the actual construction.
    i.e. deposit monies may be accessed for specific activities as required by the project such as listed stages of the project.
    Initial site works including soil tests and foundation build
    – not to be released for costs associated with Development Approval, Architectural design, sub division etc.

    Anyway that's my 10 cents worth for the democratic process 
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