An Owners’ Corporation generally has the following functions:
- manage and administer the common property
- repair and maintain the common property, fixtures and services
- take out and maintain required insurance
- raise fees from the lot owners to meet financial obligations
- prepare financial statements and keep financial records
- provide Owners’ Corporation certificates when requested
- keep an Owners’ Corporation register
- establish a grievance procedure
An Owners’ Corporation maintenance plan must cover:
- major capital items requiring repair or replacement over the next 10 years
- the present condition of those items
- when the items or components will need to be repaired or replaced
- the estimated cost of their repair and replacement
- the expected life of those items or components once repaired or replaced.
Only prescribed Owners’ Corporations must have a maintenance plan and maintenance fund. We recommend that as part of responsible asset management, all Owners’ Corporations have a maintenance plan.
If an Owners’ Corporation has a maintenance plan, then it must have a maintenance fund to cover the cost of works in the plan.
The Owners’ Corporation is required to report on implementation of its maintenance plan, if it has one, at each Annual General Meeting.
For further information or enquiry on the above, please contact us.