Roles and Responsibilities
Many people have found themselves confused about what duties fall under the responsibility of the body corporate versus the body corporate manager.
Misconceptions about the duties of a body corporate manager
The body corporate manager is not the body corporate.
Body corporate levies are paid into the body corporate bank account and do not go to the body corporate manager.
The body corporate manager has no authority to carry out the functions of the body corporate (unless there is no committee and the body corporate manager has been engaged to carry out all the functions of the body corporate under Chapter 5 of the Act).
The body corporate manager cannot approve owners’ requests as these must be approved by the committee or by owners at a general meeting (depending on the nature of the request).
Compliance items such as work health and safety, fire safety, insurance valuation, sinking fund forecasts and asbestos reports are imposed by various legislative requirements, they are not strata manager requirements.
Disclaimer: This information is general information only and does not constitute legal advice. These bullet points do not intend to over all responsibilities of a body corporate manager or a body corporate. The contractual arrangement between a body corporate manager and a body corporate would normally disclose the duties of a body corporate manager. This may or may not include all of the following duties detailed here. The contract should be the primary reference to determine the responsibilities of a body corporate manager engaged by a body corporate.
The body corporate
The body corporate manager (BCM)
Maintains, manages, and controls the common property for the benefit of all lot owners.
Carries out the duties contained within the administration agreement with the body corporate.
Set the budgets, the amounts to be paid by the owners to make sure the body corporate has sufficient funds to meet expenses.
Prepares draft budgets and financial statements for the committee to consider, approve and submit to all owners for consideration at the annual general meeting.
Makes decisions (committee or general meeting), enforces the by-laws (the rules that apply to owners and occupiers to help regulate the use of common property and lots at each scheme).
Has no decision-making power and can only act on the instruction of the committee (including, for example, by assisting the committee to prepare the required paperwork for the enforcement of by-laws).
Insures the common property and buildings (and also insures against public risk) as required by the legislation.
Arranges the insurance and pays the premiums on behalf of and at the instruction of the body corporate.
Manages and maintains body corporate assets and approves related expenditure from body corporate funds.
Maintains the body corporate records in accordance with the legislative requirements; conducts banking under the instructions of the committee.
Keeps records for body corporate, including meeting minutes, roll of owners' details, financial accounts, registers of assets, improvements to common property by owners, and a contracts register.
Distributes correspondence, meeting agendas and minutes of meetings.
Approves the agenda and meeting material before it is distributed (other than owner motions, which must be included without change).
Prepares meeting material and minutes of the meetings at the direction of the committee. Does not have authority to submit or amend a motion or to add an item to a meeting agenda.
Chairperson chairs all meetings at which they are present; if not present, the persons present and entitled to vote decide who chairs the meeting (doesn't have to be the BCM or another committee member).
Cannot chair meeting if chairperson is present; if chairperson not present, the persons present and entitled to vote decide who chairs the meeting (does not have to be BCM or another committee member).
Licensing and Accreditation
Advocating for some form of licensing or registration in Queensland has been a major focus for SCA (Qld) since inception. However, in December 2013, the Council of Australian Governments decided to no longer pursue a licensing regime for the strata sector.
Consequently, in the absence of any government initiative, SCA (Qld) implemented a self-regulatory accreditation pathway to provide a profile for body corporate managers and standards on which consumers may rely. This pathway offers an accredited and a certified strata community manager level, which reflect the degree of professional development managers have undertaken.