FAQs

Strata managers play a crucial role in the management of strata schemes. Their primary responsibilities include;

1. Administration: Strata managers handle administrative tasks related to the management of the strata scheme. This includes convening and attending meetings, maintaining records, and ensuring compliance with relevant legislation and regulations.
2. Financial Management: They are responsible for managing the financial aspects of the strata scheme. This includes preparing budgets, collecting levies from owners, paying bills and invoices, maintaining financial records, and providing financial reports to the owners corporation and strata committee.
3. Maintenance & Repairs: Strata managers oversee the maintenance and repair of common property within the strata scheme. This involves arranging work orders and general maintenance services, obtaining quotes for repairs, and working with the strata committee to ensure the common property is kept in good condition.
4. Insurance: They assist the owners corporation in obtaining appropriate insurance coverage for the strata scheme. This includes arranging insurance policies, processing insurance claims, and ensuring compliance with insurance requirements under the law.
5. Dispute Resolution: Strata managers may also play a role in resolving disputes within the strata scheme. This could involve informally raising concerns with residents, issuing by-law breach letters, providing information on dispute resolution processes, and liaising with relevant authorities or mediators as necessary.
6. Compliance:They ensure that the strata scheme complies with relevant legislation, regulations, and by-laws. This includes keeping up-to-date with changes in strata laws and regulations and advising the owners corporation on compliance matters.
7. Communication: Strata managers act as a point of contact between the owners corporation, individual owners, and external parties such as contractors, service providers, and government authorities. They facilitate communication and ensure that relevant information is disseminated to all stakeholders.

Overall, the role of a strata manager is multifaceted, involving administrative, financial, maintenance, legal, and communication duties aimed at effectively managing the affairs of a strata scheme and ensuring a well maintained and harmonious environment for residents and owners.

The strata committee plays a crucial role in the day to day management of a strata scheme, representing the interests of the Owners Corporation and ensuring the effective operation of the scheme.

The committee works together to provide instructions to the strata manager to ensure that the Owners Corporation effectively manages its repair and maintenance needs, finances, insurance, compliance, communications, dispute resolution and by-law enforcement.

The committee is elected at each annual general meeting (AGM) and consists of the number of persons determined by the owners corporation (being not more than 9 people).

The following people are eligible for election to the strata committee:

• An individual who is an owner
• An individual who is a co-owner (only one co-owner of a lot can be a member at the same time
• A company nominee of a corporation that is an owner
• An individual who is not an owner but who is nominated for election by an owner who is not already a strata committee member or candidate

The following people are not eligible for election to the strata committee:

• A building manager
• A property manager or leasing agent
• An owner who is unfinancial at the time of the notice and who has not paid the amount owing prior to the AGM.

Owners planning to install hard flooring in their unit generally require approval from either the owners corporation or the strata committee. Before purchasing new flooring it is important to consult with your strata manager and seek guidance on the necessary procedures.

Many strata schemes have specific by-laws regarding hard flooring. These by-laws may detail who is authorised to approve a hard flooring application, the type of underlay required, the acoustic standards the new flooring must meet, and whether an acoustic engineer’s report is needed before or after installation.

The most crucial aspect to consider when changing your flooring is your legal responsibility as an owner in a strata property. This requires you to ensure there is adequate underlay or other floor covering to prevent noise transference from your unit. This is essential to maintain the peaceful enjoyment of your neighbours.

Whether or not you need approval to renovate your strata unit depends on the type of renovation you are planning. Renovations are generally categorised into three types: cosmetic, minor, and major. The requirements for each type are outlined in the Strata Schemes Management Act 2015 and its regulations.

1. Cosmetic Changes: For cosmetic changes, you typically do not need to seek approval from the owners corporation. Cosmetic work includes things like painting, installing hooks for picture frames, or laying carpet. These changes are considered minor and don’t impact the structure or external appearance of the building.
2. Minor Renovations: For minor renovations, you usually need to seek approval from the owners corporation, but this approval cannot be unreasonably withheld. Minor renovations might include installing or replacing wood or other hard floors, changing internal walls (without affecting the structure), installing air-conditioning or renovating a kitchen. The required approval is typically obtained through a general resolution at a general meeting of the owners corporation, however in some strata schemes the owners corporation may have passed a by-law allowing the strata committee to approve minor renovation applications.
3. Major Renovations: Major renovations will definitely require approval from the owners corporation, and this process is more involved. Major renovations include changes that affect the external appearance of the building, structural changes, or anything that might affect the waterproofing.  Approval for major renovations require a special resolution at a general meeting, and you may also need to consent to the passing of an exclusive use by-law for the work.

It’s important to note that specific strata schemes might have additional requirements or by-laws that affect what you can and cannot do regarding renovations. Therefore, it’s always advisable to:

• Check your strata scheme’s by-laws.
• Consult with your strata manager before starting any renovation work.
• Provide your strata manager with full details of your renovation works including plans, quotes, licence and insurance details for your trades and if necessary an engineers report.
• If required, seek approval formally and in writing to ensure there is no misunderstanding.

Remember, the goal of these rules is to ensure that renovations don’t negatively impact the building’s structural integrity, the safety and comfort of other residents, or the building’s overall appearance.

In August 2021, the Strata Schemes Management Act 2015 was amended to include Section 137B. This legislation prohibits an Owners Corporation from refusing to allow the keeping of an animal in a strata scheme.  The only exception is if the animal unreasonably interferes with another resident’s use and enjoyment of their lot or the common property.

Under the Act examples of unreasonable interference include behaviours such as attacking residents, pets or visitors; excessive barking; frequent damage to common property; or causing persistent odours or infestations that endanger the health of another occupant.

Many strata schemes require residents to seek permission from the owners corporation before having a pet, while others allow pets on the condition that the owners corporation is notified within 14 days of the pet’s arrival.  Regardless of permission requirements, the owners corporation can’t unreasonably refuse a pet and pet owners must comply with conditions to prevent disturbance. These conditions might included the pet being kept within the unit, leashed or in a carry cage on common property, and owners cleaning up after their pets.

Assistance animals, like guide dogs, are usually exempt from restrictions on pet ownership under the Disability Discrimination Act. However it is important that owners still responsibly manage their pets, keeping them under control and cleaning up after them.

To avoid any issues, residents should review the specific by-laws of their strata scheme and follow any pet ownership procedures or requirements.. Failure to adhere to these by-laws can result in disputes or actions by the owners corporation.

If you need to make a complaint or report a concern to the strata committee, follow these steps:

1. Identify the Issue: Clearly state the problem, whether it’s about repairs and maintenance, noise, rubbish collection, parking, or any other matter affecting the strata property.
2. Contact the Strata Manager: Reach out to your strata manager and submit your complaint or concern in writing. Provide a detailed summary of what has occurred, including specific dates, times, and locations. If it relates to maintenance, consider attaching a photo of the issue for clarity.
3. Assessment by the Strata Manager: The strata manager will assess the issue and attempt to resolve it if possible. If not, they will escalate it to the strata committee along with a recommended course of action and a request for permission to proceed.

The strata committee is responsible for addressing and resolving various issues, including common property maintenance, by-law enforcement and other matters affecting the strata scheme. Timely communication and cooperation with the strata committee are essential for efficient problem resolution.

If the concern remains unresolved, mediation or dispute resolution through authorities like the NSW Civil and Administrative Tribunal (NCAT) may be considered. Adhering to the strata scheme’s by-laws and maintaining transparent communication will help ensure effective resolution of your concern.

By-laws are rules and regulations that govern how the strata scheme operates and how owners, tenants, and visitors must conduct themselves within the property. These by-laws are established by the owners corporation and are legally binding on all owners, residents, and occupants of the strata scheme.

By-laws cover a wide range of issues, including but not limited to:

1. Use of common property: By-laws may regulate how common property, such as   gardens, parking areas, and recreational facilities, can be used by residents and visitors.
2. Behaviour of occupants: By-laws may set standards for noise levels, pet ownership, smoking, and other behaviours that could potentially disturb other residents or affect the enjoyment of the property.
3. Renovations and alterations: By-laws may outline procedures and restrictions for owners who wish to renovate or make alterations to their individual lots or to common property.
4. Parking and vehicle-related matters: By-laws may specify rules regarding parking spaces, visitor parking, and the use of vehicles within the property.
5. Waste management: By-laws may include regulations for garbage disposal, recycling, bulky goods removal and other waste management practices within the strata scheme.

By-laws can vary from one strata scheme to another, so it’s essential for strata owners to familiarise themselves with the specific by-laws that apply to their property. As a strata owner, you are legally obligated to comply with the by-laws of your strata scheme. Failure to adhere to these by-laws can result in penalties, fines, or legal action by the owners corporation.

By-laws also play a role in maintaining harmonious living within the strata community by providing a framework for resolving disputes and addressing issues that may arise between residents. They help ensure that all occupants can enjoy their rights to use and enjoy the property while respecting the rights and interests of others.

It’s advisable for strata owners to review the by-laws of their strata scheme regularly and seek clarification from the strata manager or a legal professional if they have any questions or concerns about their rights and obligations under the by-laws.

Disputes between strata owners are typically resolved through a process governed by the Strata Schemes Management Act 2015. The first step in resolving a dispute is usually internal to the scheme. Owners or residents involved in a dispute should attempt to resolve it directly with each other or by seeking advice from the strata manager. 

Depending on what the dispute relates to, the strata manager may consult with the committee and if appropriate issue a by-law breach letter to the offending owner or resident. The breach letter will outline the relevant by-law and the expectation in regard to future behaviour.

If the internal dispute process fails then the next step is mediation. This involves engaging a neutral third party, such as the NSW Department of Fair Trading’s free mediation service for strata owners and residents.  Mediation is voluntary, and all parties must agree to participate.

Should mediation prove unsuccessful or not be pursued, the matter may proceed to the NSW Civil and Administrative Tribunal (NCAT) where an adjudicator will review the evidence and make a legally binding decision to resolve the dispute.

Regular quarterly strata levies are proposed and agreed at each Annual General Meeting (AGM).  They cover various expenses related to the maintenance, management, and administration of the common property and shared facilities. These expenses typically include:

1. Maintenance and Repairs: The general ongoing maintenance and repair of common property areas such as stairwells, driveways, gardens, and building exteriors. This may include work such as painting, cleaning, gardening, pest control, security, electrical and plumbing repairs.
2. Utilities and Services: The cost of utilities such as water, electricity, and gas for common areas or shared services.
3. Insurance: Building insurance for common property and shared facilities. This insurance typically covers the structure of the building, common property fixtures, legal defence, office bearer cover and public liability insurance.
4. Compliance Costs: Costs associated with complying with local council and regulatory requirements such as fire safety inspections or building code compliance.
5. Administration and Management: Administrative costs associated with managing the strata scheme. This includes expenses related to holding meetings, preparing financial statements, issuing notices, and engaging professional services such as strata managers, auditors or legal advisors.
6. Capital Fund Contributions: It is a requirement of the Strata Schemes Management Act 2015 that all strata schemes have a capital works fund together with a ten year plan. Levies paid to this fund cover future major expenses such as capital improvements, major repairs and replacement of shared assets and services.

Additionally, special levies may be raised for one-time expenses or unexpected costs that are not covered by the regular quarterly levies.

It’s important for strata owners to review the budget and financial statements provided by the owners corporation at each Annual General Meeting to understand how levies are allocated and ensure transparency in the management of funds.

The amount of strata levies is based on the projected expenses outlined in the annual budget. This budget is prepared by the strata manager in consultation with the elected strata committee.  It covers various costs such as maintenance, repairs, insurance, utilities, management fees and a contribution to the capital works fund.  All owners have the opportunity to discuss the budget and vote to approve it or suggest an amendment at the Annual General Meeting (AGM).

Once the budget is approved, levies are calculated and distributed among owners according to their unit entitlements, which reflect the size and value of their individual lots within the strata scheme.

Owners receive a quarterly notice of levies with a minimum of 31 days notice to make payment of their contribution to the owners corporation trust account.

As a strata owner, you’re responsible for maintaining and repairing fixtures and fittings within your strata lot. This includes internal walls, floor coverings, window furnishings, paint bathroom fittings and kitchen appliances.  The owners’ corporation is responsible for maintaining and repairing common property, such as the building structure, roof, external or common walls, bathroom waterproofing attached to the floor or common walls, external windows and in most cases, the balcony doors, tiles and balustrades.

 Your strata manager can assist you in identifying which part of your strata property is the responsibility of the owners’ corporation and what belongs to you. You can also check the strata plan and by-laws for clarification on maintenance responsibilities.

Strata insurance typically covers the building structure, common property, and fixed fittings, such as unit bathrooms and kitchens, against risks such as fire, storm damage, theft, and public liability. However, it does not cover certain fixtures, fittings, and personal belongings within individual strata lots, such as carpets, window furnishings, personal air-conditioning and public liability within your unit or car space.

As a strata owner, it is recommended that you arrange additional insurance (contents insurance) to protect your personal possessions and any improvements or renovations to your lot, as well public liability insurance.

A copy of the strata insurance certificate of currency and product disclosure statement should be available from your strata manager. 

It is important that each owner review their owners corporation insurance policy to understand what’s covered versus what is required to be covered under the unit owner’s personal insurance. It is recommended that all owners consult with an insurance professional to ensure that they  have adequate coverage tailored to your needs.

If you have a matter that you want discussed and voted on at a strata committee meeting, contact the strata committee secretary or strata manager. Inform them of your intention to submit a motion for consideration at the next meeting.

When submitted your motion must be in writing and include a 1-2 sentence summary, your name, a supporting explanation of up to 300 words and any relevant attachments.  

The strata committee will then consider your motion at their next meeting. They’ll deal with the matter directly if they have the authority, or refer it to the next general meeting if its beyond their powers.

A motion can be rejected by the strata committee if proper notice is not given, or it would conflict with an existing law or scheme’s by-laws.

Voting rights within a strata scheme are typically allocated either based on one vote per lot (for an ordinary resolution) or unit entitlements (for special resolutions).

Every property in a strata scheme has a unit entitlement, representing the proportional share of ownership or value of each individual lot.

When a strata scheme is registered, each individual lot (apartment, unit, or townhouse) is assigned a unit entitlement. Factors such as the size, location, and amenities determine this entitlement. The sum of all unit entitlements in the scheme equals 100%. 

Owners with larger unit entitlements have more voting power for special resolutions than those with smaller entitlements.  However, for ordinary resolutions, all owners, regardless of lot size, have equal voting power.