The council of owners approved replacing bollard lighting costing over $16,000 without informing owners — what can owners do?

WA
Committee & Governance
question
Lookupstrata community member

Our council of owners is authorised (CoO) to spend up to $500 per lot without consulting owners for our 24 lot scheme. They approved replacing bollard lighting, costing over $16,000 without informing owners. We only have $15,000 in our sinking fund. What can owners do?

answer
Rick Blampey
Rick Blampey SVN | Strata Management

While the council generally has some discretion over maintenance and repairs, decisions of this scale should typically involve broader consultation.

The CoO may have exceeded their spending authority by approving a $13,000+ work order without consulting other owners, especially given the financial impact on the strata company’s available funds. While the council generally has some discretion over maintenance and repairs, decisions of this scale should typically involve broader consultation.

Next Steps

  1. Seek Immediate Clarification – Request a breakdown of costs and the basis for approval from the CoO.
  2. Request a Meeting or Extraordinary General Meeting (EGM) 
     
    • If there are significant concerns about financial management, owners can formally request an EGM to discuss the expenditure and future financial planning.
    • If enough owners (typically 50% or more) support the request, the meeting must be convened.


Seek to Pause or Renegotiate the Work 

  • The CoO may be open to revisiting the decision if the contractor has not commenced work.
  • Consider seeking alternative quotations to ensure value for money.


Implement a Transparency & Approval Process Moving Forward 

  • Encourage more frequent financial updates from the CoO to ensure owners are informed.


Seek Mediation or Legal Advice

  • If the decision-making process appears to breach the Strata Titles Act 1985 or the scheme’s by-laws, owners may consider mediation through the strata titles dispute resolution process via the State Administrative Tribunal (SAT).
  • Legal advice could clarify whether the expenditure is challengeable.

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