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QLD: Levy Increases – As Lot Owners, Can We Refuse?

Surplus funds refunded

Question: Our body corporate is raising a special levy now for repairs to my roof in mid 2025. Can they demand this payment if the work is not due to commence for another eight months?

Our strata scheme is under the CTS/standard format plan. The body corporate (BC) is raising a one-off special levy of $19,000 for repairs to my roof. The work will not commence until June 2025. The BC requests full payment within 60 days of the notice, which they will send next week. Can they demand this payment if the work is not due to commence for eight months? Most building contract payments are due as the work progresses.

Answer: You are asked to pay the levy a few months before you need to, but at least you know the works will be done if the motion is approved.

From the information provided, it sounds like there is nothing technically wrong with the process.

Yes, you might usually expect the time periods for the raising of the money and the initiation of the works to be closer, but this is not a requirement and perhaps there were other considerations in play when the timelines were set.

Have you raised the issue with the committee? It might be worth asking them about the rationale behind the process. Perhaps, from the committee’s perspective, they might want to send out a communication about this to clarify matters for owners. This might be in the meeting notes.

Maybe the committee is ensuring everything is in place early to prevent delays. There may be concerns that owners will not pay on time if they wait until closer to the work’s start date.

Otherwise, all owners have the option of voting against the motions presented. Perhaps you could advise you would vote yes if the money were to be raised in March rather than November.

Alternatively, if you couldn’t pay straight away, you might be able to negotiate to pay the levy in the new year. Contact the committee and see if they agree.

From your perspective, the levy is for presumably necessary works on your lot. It sounds like the committee is taking action to rectify these and ensure sufficient funds are available. You’ve been asked to pay the levy a few months before you absolutely need to, but at least you know the works will be done if the motion is approved.

This post appears in the November 2024 edition of The QLD Strata Magazine.

William Marquand Tower Body Corporate E: willmarquand@towerbodycorporate.com.au P: 07 5609 4924

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