Is there a legislative requirement for when an AGM must be held in relation to the financial year end?
The end of the financial year for my building is 30 June. The AGM date for this year is 14 October, which is three and a half months after the end of the building's financial year. I thought an AGM should be held within two months of the scheme's financial year end.
Is there a legislative requirement under the Strata Schemes Management Act 2015 (the Act) for the timing of the AGM in relation to the building's financial year end?
No, there is no specific legislative requirement for when an AGM must be held relative to the financial year end in NSW.
While it is considered practical accounting best practice to hold the Annual General Meeting before the closure of the first quarter of a new financial year (i.e. within the first three months), there is not actually a specific legislative requirement for this in the Act.
Part 2, Division 3, section 18 of the Act only stipulates that an owners corporation must hold an annual general meeting once in each financial year of the corporation.
The two month requirement contained within the legislation applies to the First Annual General Meeting (FAGM) and, as there is an overlapping obligation for an owners corporation to submit an annual return online via the NSW Strata Hub within three months of holding their Annual General Meeting, both of which contribute to the confusion around this item.
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During her tenure as a Licensed Strata Manager, Megan played an integral part of the strata industry since 2017 when commencing with an Industry Leader and was recognised for her dedication in the awarding of the 2019 SCA NSW Rising Star Award and 2020 SCA Australasia Rising Star Award.
Equipped with a Class 2 Strata Management Licence and Certificate 4 in Strata Management, she possesses a strong foundation of knowledge and expertise with respect to the multi-faceted management requirements of Owners Corporations, Building Management Committees, and all forms of Registered Associations, including but not limited to, Asset Management, Trust Account Management, Compliance Management, and complex Meeting Management with internal and external stakeholders.
Through the combination of all aspects of her professional experience, business management skills and passion for achieving success on behalf of her client base, Megan has been drawn to co-founding Tender Advisory to help Owners Corporation’s re-gain their confidence and control over the management of their properties and their trust accounts.
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