SA: Q&A How to Conduct a Meeting and Communicate Effectively

These questions are about effective communication in a SA strata scheme – how to conduct meetings, instruction contractors, recording minutes.

Table of Contents:

• QUESTION: I chose to attend the AGM personally rather than online. I was told the AGM will be held at the strata manager’s office. My understanding of the bylaws is that meetings should be located in an area suited to the client. Is this correct?


• QUESTION: Why does our strata manager include information in the AGM minutes that was not discussed in the meeting? Can we record the meeting for accuracy?


• QUESTION: As an owner, I’ve has requested permission to observe a Management community meeting. The request has not been approved. What can I do?


• QUESTION: Many of the owners in our scheme are absentee landlords. One of our resident owners has been extremely abusive towards our caretaker gardener, causing him to quit. How should this situation be handled?


• QUESTION: How soon after an AGM should you receive the minutes from a strata manager?


• QUESTION: AGM minutes were recorded with many inaccuracies. How do we ensure our Strata Manager is taking adequate minutes in the future?


• QUESTION: As AGM minutes only need to be accepted at the next general meeting, how do you ensure accuracy 12 months after the event?


• QUESTION: Is there anything official in SA, a law or rules, that directs a strata manager on how to conduct meetings or business?

Question: I chose to attend the AGM personally rather than online. I was told the AGM will be held at the strata manager’s office. My understanding of the bylaws is that meetings should be located in an area suited to the client. Is this correct?

Answer: The Acts state state that the day time and place of the meeting should be reasonable convenient for the majority of members.

The Community Titles Act Section 81 (3) and Strata Titles Act Section 33 (3a) states that the day time and place of the meeting should be reasonable convenient for the majority of members. With the use of online meetings, many Strata Companies, including Horner Management, have the facilities to hold online meetings in their boardroom to allow all owners to interact with ease via the online method.

If the majority of unit owners are electing to attend the meeting online as opposed to in person, it is likely that the set up in the Manager’s office would be the best for this occasion to ensure that all owners can interact easily with each other as opposed to relying on portal equipment to connect all units owners on line.

If the majority of owners wish to meet in person and agree that onsite would be most convenient, your manager should work with owners on this, however, you should check your management agreement as some companies do charge for attending onsite meetings, especially if they are not within the metropolitan area.

Carrie McInerney Horner Management E: carrie@hornermanagement.com.au P: 08 8234 5777

This post appears in Strata News #614.

Question: Why does our strata manager include information in the AGM minutes that was not discussed in the meeting? Can we record the meeting for accuracy?

As a lot owner attending a meeting, how can I exert pressure to ensure accurate AGM minutes are kept?

Our Strata Manager has inserted information that was not mentioned or agreed to at the AGM. When corrections were circulated to owners and agreed, the Strata Manager became belligerent.

Is it legal to tape these meetings in the interest of accuracy?

Answer: If owners believe that the minutes are not recorded in an accurate manner they should contact their Strata Manager to highlight the areas they believe have been recorded incorrectly.

Minutes are usually distributed to Unit owners after each meeting. If owners believe that the minutes are not recorded in an accurate manner they should contact their Strata Manager to highlight the areas they believe have been recorded incorrectly. It is important to remember that other unit owners may have a different recollection of the meeting. If this is the case, I recommend your Strata Manager circulate the requested amendments to other owners before inserting them into the official minutes as these will form part of your Corporations records.

Some companies also insert information in the minutes to highlight important information to current unit owners and potential new owners, as purchasers receive a copy of the last 2 years of minutes. If you feel that this information should not be recorded in the actual minutes, you can ask that they be included as an attachment to the minutes. For example, this information may relate to insurance, limitations on what the presiding officer can do.

When recording minutes, some people like to record each and every conversation that takes place, while others prefer to record just the motions. It may be a good idea to include a brief outline of any discussions that have a bearing on decisions made at the meeting.

It is a Strata Managers role to assist the Presiding Officer in chairing the meeting, as well as assisting the secretary in recording the minutes, however owners can elect to record their meetings themselves if they believe they can record the minutes in a more accurate manner.

Regarding whether the meeting can be recorded on a device. This is not addressed in the Act. If you are looking to record the meeting electronically, you should first check that everyone at the meeting is comfortable being recorded and only proceed if everyone agrees.

Carrie McInerney Horner Management E: carrie@hornermanagement.com.au P: 08 8234 5777

This post appears in Strata News #553.

Question: As an owner, I’ve has requested permission to observe a Management community meeting. The request has not been approved. What can I do?

As an owner, I’ve has requested permission from the Presiding Officer to attend a Management community meeting to observe only.

Our by-laws state that this decision should be voted on by the members of the Committee and the request is only valid if the owner wants to submit an issue. The Presiding office has approved my request to attend, but the rest of the committee won’t agree. What can be done about this?

Answer: You should send a formal request in writing and request it be raised at the next Committee Meeting or request that a decision be made outside of a meeting.

The Bylaws of your Corporation are rules that are specific to your Corporation and are to be read in conjunction with the Community Titles Act. The by-laws cannot be inconsistent with the Act, however, in the case of Management Committee Meetings, the Act is silent on who can or cannot attend. As the Act does not answer the question we need to rely on the by-laws.

Has the request to attend the Committee been submitted to the Committee to vote on? You should send a formal request in writing and request it be raised at the next Committee Meeting or request that a decision be made outside of a meeting in accordance with Section 94 (6). I would also request reasoning why. If the Committee continues to ignore your request you could speak to your Strata Manager about options for you to present your request or explain why you want to observe the meeting.

Carrie McInerney Horner Management E: carrie@hornermanagement.com.au P: 08 8234 5777

This post appears in Strata News #539.

Question: Many of the owners in our scheme are absentee landlords. One of our resident owners has been extremely abusive towards our caretaker gardener, causing him to quit. How should this situation be handled?

Answer: Your question is more about how to deal with people and less about the management of the corporation.

It appears your question is more about how to deal with people and less about the management of the corporation.

The fact that you have many absentee landlords could be a reason (if you don’t already) to employ a professional manager and let the Strata Manager liaise and deal with any contractors and other corporation matters.

For your case right now, it may be best to select another committee member or owner to speak with the gardener and win him back or choose another gardener. I would suggest in the future, to minimise the owner with an abusive nature to represent the corporation on matters.

Failing that, maybe on the next agenda for the corporation, a little light reading. As a prerequisite, suggest all owners read “How to win friends and influence people” by Dale Carnegie.

Tyson D’Sylva Ace Body Corporate Management E: tyson.d@acebodycorp.com.au P: 08 8342 1544

This post appears in Strata News #539.

Question: How soon after an AGM should you receive the minutes from a strata manager?

Answer: There is no mention in the Strata Titles Act or Community Titles Act as to how soon minutes should be sent out to owners after the Annual General Meeting.

There is no mention in the Strata Titles Act or Community Titles Act as to how soon minutes should be sent out to owners after the Annual General Meeting. As the minutes do form a record of your Corporation and need to be kept for up to 30 years, it is important that they are accurately recorded.

To ensure that the minutes are accurately recorded they should be sent to owners within a timely manner so any discrepancies can be corrected. It is for this reason that many professional Strata Management Companies strive to send the minutes to all owners in a timely manner.

Carrie McInerney Horner Management E: carrie@hornermanagement.com.au T: 08 8234 5777

This post appears in Strata News #452.

Question: AGM minutes were recorded with many inaccuracies. How do we ensure our Strata Manager is taking adequate minutes in the future?

AGM minutes were recorded with many inaccuracies i.e. number of attendees, there were insertions which were never mentioned nor voted on, etc.

How do we ensure our Strata Manager is taking adequate minutes in the future?

If they continue to take inadequate minutes, how do we ensure they will upload our corrections to our portal so all lot owners are provided with the correct information?

Answer: The responsibility to Act as Secretary of the Strata Complex is voted upon at the AGM

The responsibility to Act as Secretary of the Strata Complex is voted upon at the AGM, and assigned to an Owner. However as with almost all Corporations under management, most of these secretarial skills as well as the role are then included with-in the management role of the Company that you have engaged (and their Managers/nominee).

If you are finding that the minute taking is inadequate or completely incorrect, you could:

1. Cancel the services of the Management Company and engage another


2. Speak to the Manager/CEO of your existing Strata Manager and ask to be moved to another Strata Managers portfolio or simply enquire if there are any issues and raise the concern


3. Advise the Strata Manager that as the group do appoint a Secretary at each meeting, they shall be the minute keeper for future meetings

If the issue is a one off, perhaps you give the Strata Manager the benefit of the doubt, to see whether perhaps this was an unusual occurrence.

If the matter continues to be an issue into the future, and the Company is unprepared to assist you, guide you or make adjustments on behalf of the group, then I feel the only option would be to make a management shift. However, you could raise a concern with SCA if the Company you have engaged is a Member of Strata Community Association.

The minutes of course are a record of what transpired at the meeting, so if you have the support of the Owners that the version you have recorded is the accurate reflection and the originally presented version is not, then I can not see how the current Manager could deny the group from having these new and correct minutes circulated and uploaded. Remember that the Minutes of this meeting are not moved as a correct record until the next meeting, so it would be better to have them accurate now, rather than the Manager attempt to correct them significantly down the track.

It may be that the version you provided, doesn’t match the template that the Company uses. If this is the case, the adjustments you recorded (assuming agreed to by the group) could be made to the Company template to reflect the correct minutes.

Tony Johnson Stratarama SCA (SA) Strata Community Manager of the Year 2018, 2017 & 2016 E: Tony@stratarama.com.au

This post appears in Strata News #440.

Question: As AGM minutes only need to be accepted at the next general meeting, how do you ensure accuracy 12 months after the event?

I’m concerned about minutes of an AGM. I recognise an AGM is just an ANNUAL general meeting. From my reading of the 1988 Strata Titles Act of SA, these AGM minutes should be accepted at the next general meeting.

The problem here lies in the fact that this acceptance may be 12mths down the track. People’s memories fade. We, as unit owners are trying to address this by circulating corrections to the minutes as soon as possible after the meeting and requesting input from other owners. In the meantime, our strata manager has published the non-certified and inaccurate minutes on the portal.

What action should we be taking as a unit owner? AND what is the legal position should a prospective unit purchaser be given inaccurate and not accepted minutes?

Answer: It would be considered common practice for a Strata management company to send a set of minutes based on their recording of the minutes soon after the meeting was held.

This is a great question. The minutes of your meeting are vital, not only for current Members, but for those who may consider purchasing, to know what the directions of the group are.

The only reference to approving the minutes of the meeting in the Strata Titles Act 1988 relates to having a motion to approve the minutes at the next AGM on the Agenda for that meeting. See STRATA TITLES ACT 1988:

33 — Holding of general meetings

4. The agenda must include—
   
   2. a motion confirming the minutes of the previous general meeting;

The problem with this is of course that this is an Annual General meeting and in some instances, the timeframe for holding this meeting could draw out up to 15 months.

It would be considered common practice for a Strata management company to send a set of minutes based on their recording of the minutes soon after the meeting was held. This will ensure matters are still fresh in the minds of those who attended.

Unfortunately your Strata Manager can not wait until the next meeting is officially held to upload or make available the set of minutes that had been recorded, as a unit may become listed for sale or other matters may eventuate. We certainly understand that there is a necessity to have the minutes accurate and for them to then be made available. It should be considered that a professional strata manager should be recording the minutes of your meeting accurately to avoid major issues.

Clearly there will from time to time be some minor human error may take place, where perhaps a name is recorded incorrectly or the like, but the basis of the minutes in terms of the outcomes achieved should be accurate, and these minor adjustments when raised, rectified by your Manager. If the group is receiving minutes that are wildly varied from the discussions and decisions that took place (as agreed by multiple unit Owners who were in attendance), then an alternative secretary or manager may need to be considered.

All Owners should be encouraged to make sure that they both receive a set of the minutes taken shortly after the meeting, and they are read to ensure accuracy so that any adjustments that need to be made, can be done so promptly and so that at the AGM the following year, the minutes can be accepted. Whilst only owners who attended the meeting will know whether the discussions and decisions recorded are accurate, it is vital that all other Owners also read through the minutes promptly so they are aware of any changes and decisions that are to be implemented, from small decisions like minor adjustments to the Corporation contributions to major decisions based on resolutions that were on the Agenda.

Tony Johnson Stratarama SCA (SA) Strata Community Manager of the Year 2018, 2017 & 2016 E: Tony@stratarama.com.au

These articles are not intended to be personal advice and you should not rely on it as a substitute for any form of advice.

This post appears in Strata News #375.

Question: Is there anything official in SA, a law or rules, that directs a strata manager on how to conduct meetings or business?

Prior to our last AGM, the strata manager did not send out any financial statements or budget suggestions. Also at this AGM, a quorum was not present. The strata manager decided to go ahead with the meeting.

1. Is there anything official in SA, a law or rules, that directs a strata manager on how to conduct meetings or business?


2. Should the strata manager have adjourned the meeting and organised a meeting for a later date? Are there any rules on this?


3. Should the strata manager send out financial statements, budget and agenda before the meeting? What sort of time frame is acceptable?

Answer: The notice convening a meeting must have an agenda and 14 days written notice must be given to all unit owners.

I am not sure if your corporation is governed by Strata Tiles Act 1988 or Community Titles Act 1996.

However, the notice convening a meeting must have an agenda and 14 days written notice must be given to all unit owners.

The agenda MUST include the following financial information (in addition to other agenda items like appointments/ resolutions/ confirmation of previous minutes etc.)

• Income and Expenditure statement- Financial report of the accounts for the previous financial period


• Proposed budget- Contributions to be paid by members for the current financial period and levy schedule


• Copies of insurance policies


• Auditing reports etc.

Under the Strata Titles Act, it is necessary to have 50% of owners represented at any meeting, in person or by proxy. Under the Community Titles Act, a quorum is determined by dividing the number of persons entitled to attend and vote at the meeting by two, disregarding any fraction and adding one.

If a quorum is not formed within half an hour of the time appointed, the meeting is adjourned for at least 7 days, but no more than 14 days.

When a quorum is not formed at the appointed date and time for the first meeting, the manager can advise the inquorate meeting owners that the numbers in attendance do not constitute a quorum and a general discussion in accordance with the agenda can be held. This inquorate meeting does not have the power to make decisions, it can hold discussions and make recommendations and any business that emerges during this meeting has to be referred to the reconvened meeting to be held within 14 days.

The manager should circulate the inquorate minutes (subject to ratification at a reconvened meeting) inviting them to attend the reconvened meeting. If a quorum is not formed at the reconvened meeting within half an hour of the relevant time, the persons who are present/ proxy and entitled to vote constitute a quorum.

If your manager has not convened the reconvened meeting within 14 days, this is a breach under both the Acts. The Body corporate manager has to adhere to the Strata Titles Act or Community Titles Act legislation for legal compliance ensuring they are keeping the corporation compliant and act in the best interests of the corporation.

We would suggest you raise this with your manager and always ensure you use a Strata Community Association (SCA) member.

Flavia Ger Ace Body Corporate Management T: 08 8342 1544 E: flavia@acebod.com

These articles are not intended to be personal advice and you should not rely on it as a substitute for any form of advice.

This post appears in Strata News #252.

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