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Hi, I’m a first home buyer owner occupier of a unit in NSW. I joined the committee at my first AGM and started asking questions about finances that didn’t add up.
Both strata manager and at least some of the committee are being very evasive, don’t seem to want to discuss or do anything about it. One outright told me to stop.
Strata manager still won’t provide a correct financial statement with matching receipts (5 months of asking so far) and produced a fake 3 year contract in response to my queries (lucky I had a copy of the original 12 month one that was voted on).
We don’t have a fire safety report or evacuation plan or even smoke alarms and I’m worried this invalidates our insurance. Strata manager told me we don’t need one but the insurance policy PDS seems to say different.
And that money is not being spent on building maintenance, and that we will be fined. It is a 60 year old building. I don’t want to get everyone off side, but may have already.
And I feel stuck between a rock and hard place and not sure what to do. Am I the annoying new person on the committee creating unneccessary stress and disharmony? Or am I doing the right thing? I’m trying to follow the law, do the right thing, and protect myself and owners.
– Since writing this I’ve read on here that Pre 1988 buildings don’t require an Annual fire safety report for compliance (but fire safety is still a good idea). Thank you for providing this forum, it’s very helpful.
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The reality of strata living is that many established buildings just trundle along, with no one able to explain why they do things a certain way except for “we’ve always done it that way”. That doesn’t make it wrong – just hard for new residents to grasp and their neighbours to explain.
You are right to want to know what your scheme’s responsibilities are but there is probably a better way forward than challenging everything that doesn’t seem right.
The fire safety question is a typical issue. Owners in older strata schemes live in fear of a fire safety inspection, in case the local council comes along and orders them to undertake expensive upgrades. However, we tend to forget that there are fire safety measures in place to protect us from the consequences of fires.
Locked fire doors, disconnected automatic door closures, disabled smoke detectors and blocked exits don’t matter until they do – and then they matter a lot.
As for being fined for some failure to abide by strata law – that’s not going to happen. There are no StrataKops prowling around looking for flaws and failures.
The worst that could happen is that an owner or tenant complains about some lapse, takes it to Fair Trading for mediation, then the tribunal (NCAT) where they have orders issued and the committee decides not to obey the orders.
THEN you get fined but there are so many steps along the way at which the committee or owners corporation could put things right that it’s easily avoided.
My advice to you would be not to stop, as a fellow committee member has asked, but dial it down a bit, get more focussed and do it from a position of knowledge rather than challenging everything you don’t understand. Pick an issue, research it as best you can and then, if need be, ask the questions.
You might consider joining the Owners Corporation Network (ocn.org.au) which has a terrific reservoir of accumulated knowledge and where you can directly contact other owners who’ve been through the same issues as you.
Right now, you are challenging people who may have no better idea of what’s going on than you do, and that will scare them.
Be a problem solver rather than a trouble-maker but be aware that identifying a problem where others think none exists puts you from the first category into the second.
I strongly believe there are no strata schemes in Australia that are fully compliant with all their strata laws and regulations. But strata is an organism that evolves to meet the needs of its residents and the community as a whole.
Your first challenge is to get your fellow committee members back onside. I find chocolate muffins and a quiet concession that you may have overstepped the mark work a treat.
Then you can start addressing issues in order of their importance and legal requirements, especially with the new strata Hub coming into effect at the end of next month.
The first cab off the rank could be the 10-year maintenance programme. You should have one but, the way the law works, you don’t even need to set aside funds for the work. That last part should calm a few nerves.
The opinions offered in these Forum posts and replies are not intended to be taken as legal advice. Readers with serious issues should consult experienced strata lawyers.
newb, I have found in these cicumstances it is best to hold informal talks with other owners. Point out your concerns and see how much support you have.
Good on you! Let us know how it all pans out.
The opinions offered in these Forum posts and replies are not intended to be taken as legal advice. Readers with serious issues should consult experienced strata lawyers.
I totally empathise with you newb – and this was from someone who had six years of strata under their belt to move into a complex multi-strata development with issues up to its eyeballs. I appreciate and admire your enthusiasm and conscientiousness.
I agree though with Jimmy and others. Unfortunately, I too ruffled feathers through letter writing about finances, insurance and the upkeep of common property which got me nowhere fast. There were $100K+ in overdue levies that were not being followed up by the strata manager. Illicit drug transactions on common property. All sorts of things.
What it took was some patience. Firstly, once I realised I had gone in guns blazing, I sat back and kept myself to myself. These things have a habit of settling down if you go silent for a while, a few months at least. You have ruffled feathers but maybe, just maybe, some on the committee have heard your messages and some of it will sink in over time. Say hello to them as you see them, make small talk, be interested in their dogs, whatever it takes. Just become known as someone constructive who is not out to make trouble. Help them realise that you are someone they want on the committee.
Once you have established some rep, then you can begin to dial things up in a respectful manner. Baby steps at first. Just pick one or two issues and build up your knowledge, make some phone calls yourself to get quotes, go out take pictures of other complexes as might help (I did this when looking at new security systems and signage). No more letter writing or emails or badgering the committee over everything. For the finances, the best way I found to address it was to ask politely at the AGM for a financial auditor to review the accounts (as often as recommended by your SM). It is a pretty weak control to be honest, but it could cause your committee and SM to reflect on their actions. It is a subtle way to bring finances into the fore.
Then you can also volunteer to help the committee with various things that take almost zero effort. For example, if a tradesperson is coming early one morning, you could volunteer to let them into the building or show them where work is required. You become someone they can trust and rely upon. Then over time catalogue issues in the place, things you have found in your travels, and raise them informally with some suggestions. Form a bit of a working group to work through the list and prioritise. It may be some things are on a maintenance plan eventually. But other things might be small potatoes that you can sort out yourselves.
In short, I wish you the very best of luck. Subtlety is key. Once you make your inroads, then you can start to respectfully disrupt things. You will then be seen as a trusted, reliable and constructive community member.
That is great to hear – you did it all without chocolate muffins too! Keep plugging away!
I improved my relationship with our strata manager and hopefully showed the committee I can be useful.
And you added value to your personal/professional brand, make sure you gently remind your fellow owners when you renominate for the committee.
Oh, and if you want to move to my block I would love to have you working along side me to make the place better. As the chief cook and bottle washer; i.e. responsible for everything, I would love a fellow owner to step up and support me rather than just complain and then step back.
Once a year you have the chance to put a Motion up for voting on at your Annual General meeting. Doing so in a simple, concise, actionable Motion will give the other owners a chance to support, or not, the thing you find wanting improvement on.
If that gets passed it must then get done regardless of what the committee has planned and lets owners have their say to the other owners not just the few on the committee. Sometimes committees are just busy and don’t see the things annoying others and a Motion brings everyone’s attention to it.
Sometimes if committee members don’t want to seem exposed I’ve found they fix the issue before it gets to a vote and if so your issue is addressed and your Motion no longer required. Happy days.
If you can’t wait that long, you can write a Motion and put it to the elected committee to vote on whenever they have their next meeting.
Feel confident to do that even though you are on the committee as a way to get the issue raised and for you to own the issue and get quotes and write it up concisely to decide a yes or a no on taking action.
If it’s a no to the Motion you can raise it again with additional information or overcoming what was it’s objectional bit of some/enough other committee members to get it approved and done.
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