This article about reforms to WA strata legislation has been supplied by Andrew Chambers, Chambers Franklyn Strata Management.
Please note: this article was provided prior to the proclamation of the new strata title amendments.
As a lot owner or resident in a strata titled property you may or may not realise that you are part of a small community which is governed by state legislation called the Strata Titles Act 1985. As the date suggests, the current legislation was enacted in 1985 and yes, that’s 34 years ago!
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A lot of changes have happened since 1985, buildings have got bigger and more complex, and there are often multi purposes to new buildings with residents sharing their buildings with commercial activities such as offices, cafes etc.
Advances in technology mean that a lot of correspondence is done electronically, sustainability infrastructure such as solar panels are becoming more popular and as buildings age, the cost of maintenance is increasing with no current mandatory reserve funds.
All stakeholders have been lobbying the governments over the past years to review the legislation and after a long consultative process, the Strata Titles Amendment Bill 2018 was finally passed on 1 November 2018. The exact date when the reforms to WA strata legislation will come into force has yet to be determined as the regulations are now being drafted, however it is anticipated this will occur in the 3rd quarter of 2019.
Should Lot Owners Care About the Reforms to WA Strata Legislation?
As a lot Owner, should you care about the WA Reforms? Absolutely! Yes, as these changes will have an impact on everyone involved in strata title properties from lot owners, tenants, Strata Managers to developers, insurers and anyone else who has an interest in strata titles.
What is changing in the WA Reforms?
The amendments bill is some 397 pages whilst the new act will be 286 pages so you can imagine there are significant changes. The new act has been printed in a much easier more user-friendly way with the consolidation of relevant sections and the modernising of the language. Over the coming months, we will look in more detail at the major changes to affect lot owners & residents. To start with, we have summarised some of the changes that will affect day to day management. Keep an eye out for more in-depth analysis in upcoming articles.
- Strata Managers – at present, there are no regulations or minimum educational requirements in regards to strata managers. This will change with a whole new section (Part 9) dedicated to Strata Managers.
- Dispute resolution – The State Administrative Tribunal’s jurisdiction will be expanded and powers increased to resolve disputes faster and more effectively.
- By-laws – these have been reworded and rearranged to provide better clarity and easier enforcement
- Communication – the use of electronic communication has been introduced with electronic voting for meetings and the ability to keep and send notices electronically.
- Reserve Funds – the introduction of compulsory reserve funds and maintenance plans.
- Terminations of schemes – this is a whole new section and replaces the previous unanimous resolution requirements
- Sustainability – the approval process required to install items on common property such as solar panels has been changed to make it easier for lot owners.
- Council of Owners – Standards of strata councils are being raised with new provisions relating to conflict of interest and better protections for volunteer council members.
- Meetings – updated requirements for quorums, new proxy provisions, voting outside of meetings.
- Financial management – a new section specifying what the strata company must do in relation to financial reporting and budgets.
As you can see after 34 years there are a lot of changes to understand and hopefully, we can help by explaining the reforms to WA strata legislation in plain English via upcoming articles.
Do you have a question about the coming reforms to WA strata legislation or something to add to the article? Leave a comment below.
This post appears in Strata News #226.
Andrew Chambers
Chambers Franklyn Strata Management
E: andrew@chambersfranklyn.com.au
P: 08 9440 6222
Please note: this article was provided prior to the proclamation of the new strata title amendments.
Read next:
- WA: What Effect Does the New Strata Titles Legislation have on our Council of Owners?
- Landgate: Making strata better – An overview of the changes
- ABC Radio Perth: Strata property rules are changing – what does it mean for you? [PODCAST]
1 May 2020 Update:
The amended Strata Titles Act 1985 took effect in Western Australia on 1 May 2020. It includes grace periods for some new requirements to ensure those affected have adequate time to meet them. This information has been taken from Landgate: Timelines for Change.
Improving strata management and by-laws: Modernising how schemes are being run
| What’s new? | Timeline for change | Who needs to know? |
| The running of strata schemes will better reflect modern strata management needs. For example, electronic options are being introduced for scheme communications, voting and meeting attendance. | Started 1 May 2020. |
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With Owners/Tenants is there any obligation Insurance be in place for the lot they occupy from the point of Public Liability cover.As an example “Common Property” such as a Garden/BBQ area where use is readily available an invitee is injured following say a scuffle or argument the Owner /Tenant has no insurance and they are sued for damages.The use is granted by the COO/SM where do the other Owners stand? Understand no obligation for COO/SM to request such information from all Owners and Tenants.Realise all comes down to a question of a “legal liability to pay” however if need to defend because the BC is named in an action where do they stand from a legal perspective? In addition if an injury sustained within Private Lot no insurance bit different regardless why cannot this be compulsory?
Believe a degree of comfort as at least aware insurance in place where some people are prudent others not why cannot COO or SM request such? Simple to do however nothing I believe in the Act about this.Would appreciate comments.Thanks
Hi John
I have responded to your comment within this article: WA: Q&A Strata insurance requirements – What do I need?
We have a basement area with allocated parking bays. Are there any restrictions on what may be kept in your allocated lot. Eg could we keep a surf ski in our allocated parking lot.
Also are there restrictions what may be stored on your balcony.
Thanks
Hi Beverley
Take a look at the registered by-laws and the Management Statement (if any) for your scheme. This will be where you may find restrictions on what a balcony or car bay can be used for.
Cheers.
We are co-owners of a build strata with 2 lots on it. Our neighbours want to make significant structural changes to their property as well as convert and build on common property. Our local council says they can do it based on planning legislation. If they do submit their plans to the local council and they are approved. How are we protected as co-owners in a build strata to stop it from happening?
Hi Carol
This Q&A should assist:
WA: Q&A Applying For Unit Renovations
We have a unit where there are 3 on the council of owners and 2 of the members are making all of the decisions including the colour of the new paint work and one of the members has taken it upon himself to be be doing the maintenance and repairs at the property. We recently had a tree fall in our yard during a storm, the tree was on the common grounds and is now posing a hazard. We have asked the Platinum Strata Management to have the tree removed using insurance however they were supposedly quoted $300 and the excess is $550 so they decided not to claim. We have now had this HUGE tree branch lying in our yard with our 5 year old having to go around it and its dangerous. We just want it moved and after making a complaint to strata one of the council members has said he will come and remove the branch. I cant understand why they wouldn’t hire someone to professional remove the hazard and lop the tree? And is there anything in the bylaws that can help us with this? We would also like to change the strata company and Chairperson as she has been a problem since we bought the house. Please help.
A question about 14 (6) of Schedule 1 of the Strata Titles Act 1985. Votes of Proprietors.
The clause speaks of “contributions payable in respect of his lot” and “other monies recoverable”
My Strata manager tells me this clause applies only to Strata Fees. The wording however suggests that it applies to other collectible monies.
Would outstanding invoices for a Lot’s proportion of Ground Keeping fees render the Lot owner unable to vote at an EGM?
I own a unit which is freestanding and is part of a complex of 7. We are keen to add a small second story, which will obviously have to conform to all building regulations etc. My question is, do I need unanimous approval of all owners before I can proceed to put a building application to the council, etc? Will the new regulations impact the Strata approval process?
Hi Stephen
Andrew Chambers has responded to this question here: WA: Q&A Do I Need Unanimous Approval For Renovations?
Chairperson who is also on council of owners is consistently blocking reasonable and safe access to my property and I am planning to go to SAT.
Should I wait until new rules apply in 2020?
Hi Lynne
We have received the following response from Andrew Chambers, Chambers Franklyn Strata Management:
It’s a bit hard to answer as there is not much explanation as to why this would occur.
However, I can’t see any reason why you should wait. The Chairperson is obviously breaching the bylaws and you should take whatever action you feel to resolve the issue.
We are a 12 unit self managed complex with 3 residents volunteering as the Council of Owners. The person currently holding the position of both treasure & secretary has given notice of resigning. We are looking into going with a Strata manager because the resigning person said the treasurer/ secretary must have an accounting qualification. Is this a requirement. Thanks
Hi Heather
We have received the following reply from Andrew Chambers, Chambers Franklyn Strata Management:
There are no requirements for any council member to have any qualifications.
I believe that when there are only two dwellings on a block of land that each owner should be able to insure their property separately.
We are only two dwellings one at the front ie street frontage and one at the back.
Hi Charmaine
Thanks for your question. This article should assist:
WA: Q&A Strata Insurance for common driveway