Question: Can strata levies be revised partway through the year with retrospective application? Do we call an EGM with a motion to revise the standard levies?
Can strata levies be revised partway through the year, before the next AGM and the next year’s budget? If so, can they be revised with retrospective application?
Obviously, it’s standard to set levies once a year and then raise special levies as required. This is not about special levies. We are interested in revising (increasing) standard levies for the current period, hopefully with retrospective application (that is, for the entire current period, from the beginning).
All lots in the strata scheme are owned by one person, so there would be no issues with votes or objections.
I presume we could call an EGM with a motion to revise the standard levies (or to revise the budget and the standard levies) and for those levies to be retrospectively applied (or for the remaining installments to be larger to top up the total to the newly revised amount). Would this be valid?
Answer: Yes, this is possible.
Yes, they can be revised. I suggest you do the following:
- Hold an EGM to vote on this item. Passing levies must be done at a General Meeting. The strata committee is not able to vote on this matter. It must go to all owners
- The agenda should have a motion to rescind the future levies that you want to amend.
- The agenda should then have a motion to vote on the updated levies with the updated amounts.
This post appears in the July 2024 edition of The NSW Strata Magazine.
Rod Smith The Strata Collective E: rsmith@thestratacollective.com.au P: 02 9879 3547