Re: Remedial Contract- Strata Committee

Well I tried but there was an outcry by our Chairperson that we really need to get this done asap because the quotes won’t hold for much longer and we’ve taken too long already. I printed out my request very respectfully and had in hand the written tender from the remedial company I called that day. It was very professional and while slightly cheaper the argument from our secretary was that unless it was a lot cheaper there was no point in looking at it even though they recommended different approaches and types of paint on various surfaces compared to the company on the agenda. 

The Secretary also declared out loud they had plenty of time to get the quote in and hadn’t. The information day was on the 12 April and I said the Principal would not return until a week later then I expect he would look at the Scope of works and make visit to our complex afterwards which would mean realistically the first week of May. The Strata Manager who chaired the EGM gave Notice of the EGM on 4 May. He also led the information day meeting. There was no way I could have presented the OC with the alternate company in time. Hence the company listed on the agenda was accepted. The motion was to accept the quote for company XXX to undertake the remedial work and …..”furthermore the Strata Committee will consider the contract” not the OC. I wrote and amendment because the committee is restricted to forming resolutions for amounts of $3000 or less.Also under the resolution regarding restrictions for the SC there is an additional paragraph which states …..”Furthermore a resolution authorising works at an estimated or quoted cost also authorises the resultant cost(invoice)” Hence the Strata Manager stated the SC could resolve to accept the contract. I argued the word “consider’ means just that and cannot have any other outcome than a resolution that the contract was considered. My amendment passed as I also argued there is a higher law governing the rights of consumers who are entitled to have full disclosure of all of the financial facts available so the OC by right should also consider the contract. 

The numbers were against the few  who are struggling to meet the levy. Of the 12 Units 2 are under a 99 year lease. One of these leaseholders never pays his levy on time and is the original property developer. He was in arrears at the EGM so his vote wasn’t counted leaving 11 votes.

The other leaseholder was in hospital and I had her proxy which directed me to vote NO on the remedial works going ahead. One owner was overseas and two others not in attendance but all gave proxies. There were 3 SC members in attendance but with the proxies given to the Strata Manager they had 5 votes.Two of the SC wives held the other two proxies so the numbers were in their favour which they used to push through everything they wanted. I find the attitude of those who chose not to attend and did not direct on their proxy how they wished to vote on each motion is appalling. Also they do not hear the amendments I proposed so the proxy holders who support the SC especially the wives voted down my amendment to delay the $65,000 rendering work until a later date because they argued it will cost us more . I had a quote from a rendering company which I gave to the Secretary for $39,000. He ridiculed it at the EGM. All of these works are cosmetic.

What happens now? Do we have to call a meeting to impose a levy? This will pass as they will have the numbers again. If I receive a Levy notice for $15,000 can I refuse to pay it as I don’t have it. I have 2 possibly 3 others who will be in a similar situation so that will be $45,000 short. Can the OC enter into a contract if the money is “not in the bank” What are the ramifications here? Is there anything  else we can try?