WA: Q&A What are the Strata Manager’s Duties and Do We Really Need One?

WA lot owners are wondering what the Strata Managers’ duties are since the reforms. What should be expected from your strata manager and what authority do they have to act on behalf of the strata company?

Table of contents:

• QUESTION: To be able to perform their role satisfactorily, should the strata manager attend the scheme? Should the strata manager oversee works to ensure the job has been completed?
• QUESTION: Our strata management company charges a consultancy fee to prepare and email a notice of breach of bylaws to owners of a lot when their tenants are in breach. Is this reasonable. Wouldn’t sending out notices be part of their role as strata manager?
• QUESTION: In WA, can a strata manager sub-contract out scheme functions to another strata management company, or not?
• QUESTION: Can a contracted strata manager sub-contract scheme functions out to another strata manager?
• QUESTION: If a strata manager fails to provide information in the required time when requested by an owner and is subsequently fined $3000, who the liable to pay the fine? Is it the strata management company or the strata?
• QUESTION: Can strata have an extraordinary meeting without involving the strata manager? We wish to discuss concerns about our current strata manager without them being present.
• QUESTION: Our strata roll is outdated. Our strata manager’s agreement states they maintain the roll. The manager refuses to carry out this task. Is this part of their duties as our strata manager?
• QUESTION: Does the COO have the power to stop all communication between lot owners and the Strata Manager, with no exceptions?
• QUESTION: In Western Australia under the amended Strata Titles Act of 1985 how much can a strata manager spend on maintenance per lot without the strata company’s approval?
• QUESTION: The role of the council of owners vs the role of the strata manager. Who really runs the show?
• QUESTION: When reporting required maintenance, what is the minimum communication standard an owner can expect from a Strata Manager?
• QUESTION: Our committee instructed the strata manager to conduct additional services not specified in their contract. Should the manager have refused the request?
• QUESTION: With the new WA legislation, can a complex of 6 lots still self managing or are there specific legislation or other laws that require us to appoint a strata manager?
• QUESTION: How do I find out the contact details of the company that manages my strata?
• QUESTION: What happens when figures presented by the Strata Manager do not balance/reconcile?
• QUESTION: We are a 95 site strata-titled caravan village. The Landgate site says the amended STA does not require us to employ a strata manager. Do we need to have a volunteer strata manager? I assume this would have to be an owner?
• QUESTION: The strata manager for our new building was appointed by the developer and is located in the eastern states. He has no idea of the needs of the building. Surely this is not ideal.

Question: To be able to perform their role satisfactorily, should the strata manager attend the scheme? Should the strata manager oversee works to ensure the job has been completed?

To gain a full understanding of our scheme, is our strata manager required to visit the property to be able to manage it, or can their role be done remotely via email, etc?

Our strata is undergoing major repairs/maintenance to the roof. The strata manager organised quotes and specifications for the work, and we are finally getting underway. They have informed me that the strata owner is not responsible for ensuring the work is carried out as per the quote, etc. Is this correct, or should the strata manager ensure the work has been completed satisfactorily as per the quote?

Answer: The strata manager’s role is best described as administrative and can, therefore, be done via email, subject to the general obligations imposed on strata managers in the Act.

There is no requirement in the Act or Regulations for a strata manager to visit a property they manage. Rather, their role is best described as administrative in nature and can, therefore, be done via email, subject to the general obligations imposed on strata managers in the Act. The contract between the strata manager and the strata company may impose additional obligations on a strata manager, but it is not usual for those to include an obligation to visit the property.

For the same reasons as noted above, a strata manager is not required to make sure that the work has been completed satisfactorily, unless that is something specifically required in the contract between the strata company and the strata manager.

Carolyn Meighan
Bugden Allen Graham Lawyers
E: [email protected]
P: 08 9254 6304

This post appears in Strata News #693.

Question: Our strata management company charges a consultancy fee to prepare and email a notice of breach of bylaws to owners of a lot when their tenants are in breach. Is this reasonable. Wouldn’t sending out notices be part of their role as strata manager?

Answer: Issuing breach notices is generally not a standard service and additional charges can be noted in the agreement.

The contract between a strata company and a strata manger varies, you need to review your strata management contract for what is included in your strata management agreement and what is additional. In relation to breach notices, they are generally not standard and additional charges can be noted in the agreement for these. Usually this cost is passed onto the breaching lot owner / tenant.

Jamie Horner
Empire Estate Agents
E: [email protected]
P: (08) 9262 0400

This post appears in Strata News #664.

Question: In WA, can a strata manager sub-contract out scheme functions to another strata management company, or not?

Answer: Some strata management companies may engage the services of another strata manager from a different company to chair a general meeting.

I have been asked to weigh in on this question and the subsequent answer given.

To start with I feel that both parties are correct but, there hasn’t been sufficient information given about the situation and there has possibly been some misinterpretation on the application of section 143 (5)(c).

In my experience, some strata management companies may engage the services of another strata manager from a different company to chair a general meeting.

This is not subcontracting out the management of the strata scheme.

This may occur when there is a challenging general meeting to be dealt with and the combined skills of the strata managers are necessary to keep the meeting on track, both with the agenda and the motions that are made or voted on.

Surely this can only be seen as working in the best interests of all owners to ensure that proper meeting protocols and outcomes are managed.

Let’s deal with this question and answer in bite-sized chunks.

My take on section 143(5)(c) –

This section deals with the “Authorisation of Functions of Strata Manager”.

The first couple of subsections (1) and (2) deal with the authorisation of “a person” who may be “a strata manager” to perform specified scheme functions.

The authorisation is subject to any conditions specified and may be varied or revoked by the strata company.

Subsection (3) specifies the different resolutions that may be required to approve some functions such as Unanimous, Resolution Without Dissent, Special or Ordinary resolutions. The strata manager may perform such functions subject to the motion and resolution being passed.

Subsection (5) details the functions that a strata manager “cannot” be authorised to perform.

Sec.143(5)(c)

5. A strata manager cannot be authorised to perform any of the following functions —
   
   1. authorising a person to perform a scheme function other than as an agent, employee or contractor of the strata manager;
   2. determining contributions;
   3. entering into a contract with another strata manager, varying, extending or terminating such a contract or making a decision relating to such a contract or the meaning of such a contract;
   4. terminating a contract for services or amenities under section 115;
   5. commencing proceedings on behalf of the strata company in the Tribunal or in a court or other tribunal;
   6. authorising the strata company’s common seal to be applied to a document;
   7. authorising a person to sign documents on behalf of the strata company or on behalf of the council or an officer of the strata company;
   8. a scheme function declared by the regulations to be a scheme function that may not be performed by a strata manager.

From the scant details that I have been provided, I cannot see any breach of section 143(5)(c) has occurred.

There is no indication that the contract has been varied, extended, or terminated.

It is important that when you read the Act, the sections are read in their entirety and not misconstrued.

I agree with the answers previously given by Jamie Horner from Empire Estate Agents. I suggest that if you still have questions, consult a Lawyer and pay for the advice.

The answers given to the questions asked are given with the best interests of the person asking the question in mind and given at no cost.

Shane White
Strata Title Consult
E: [email protected]

This post appears in Strata News #647.

Question: Can a contracted strata manager sub-contract scheme functions out to another strata manager?

Answer: Many standard strata management agreements include a statement allowing this.

Yes. Many standard strata management agreements include the following:

“The Strata Company authorises the Strata Manager to, on behalf of the Strata Company, authorise, employ or engage a third party agent, employee, contractor to supervise or carry out specialist work or repair or maintenance work, and if the Strata Manager wants to authorise or engage a third party agent or contractor to perform a Scheme Function the conditions under which they can do so”.

It’s, therefore, important to review your strata management contract to see if this provision has been provided to the strata manager.

Jamie Horner
Empire Estate Agents
E: [email protected]
P: (08) 9262 0400

The lot owner replied to Jamie Horner’s response with the following:

I had a look at the Strata Titles Act and I believe the response to my first question may not be correct. Section 143 Authorisation of functions of strata manager 5(c) clearly states that a Strata Manager cannot enter into a contract with another strata manager. The strata council has never authorised the strata manager to enter into a contract with another strata manager.

Please see here for further clarification on this matter.

This post appears in Strata News #643.

Question: If a strata manager fails to provide information in the required time when requested by an owner and is subsequently fined $3000, who the liable to pay the fine? Is it the strata management company or the strata?

Answer: We would expect that the strata manager would be liable for the fine, provided that they are managing this information on behalf of the strata and have failed to meet their obligations to provide it.

Depending on the information being sought, this may influence my response.

Without first reviewing the management contract between the strata and the manager, the fine would be applicable to the strata directly. However, we would expect that the strata manager would be liable for the fine, provided that they are managing this information on behalf of the strata and have failed to meet their obligations to provide it.

If the information is being requested under section 107, then there are certain time frames of which the information is to be provided and the fine may be applicable if this is not met. Please note that an application under section 107 is not considered to be made to a strata company until the fee (if any) charged by the strata company for the application has been paid.

Contact information

Section 108: A request to provide the name and address of servicer for a Council member or officer of the Strata Company. Period of 14 days to provide.

Inspection of material

Section 109:

1. The Strata company needs to make the information available for inspection by the applicant at a place and time —
   
   1. agreed between the strata company and the person; or
   2. if an agreement is not reached within 3 days after the strata company is given the application, specified in a written notice given by the strata company to the person.
2. The time specified in a notice under subsection (1)(b) must be between 9am and 5pm on a day not more than 10 days after the strata company is given the application.

Certificates

Section 110: An application under section 110 or a request to provide a certificate under section 110. Period of 14 days to provide.

Rick Blampey
SVN Perth
E: [email protected]
P: 08 9427 7955

This post appears in Strata News #640.

Question: Can a strata have an extraordinary meeting without involving the strata manager? We wish to discuss concerns about our current strata manager without them being present.

Answer: The Act does not require the Strata Manager to be present.

Yes! A strata scheme can hold an extra-ordinary meeting without the strata manager being present.

Section 128 of the Strata Titles Act does not require the Strata Manager to be present. It is imperative though that if an EGM is being called by the council of owners or at the request of more than 25% of owners based on unit entitlement that the meeting is called as per the requirements of the Act e.g. minimum 14 days’ notice and it’s sent to all owners and the proposed motions are clear, attendance, proxies, a quorum and accurate minutes are taken.

Alternatively, you request your strata manager send out the notice but not attend the meeting or only excuse themselves from this motion of the meeting.

Jamie Horner
Empire Estate Agents
E: [email protected]
P: (08) 9262 0400

This post appears in Strata News #638.

Question: Our strata roll is outdated. Our strata manager’s agreement states they maintain the roll. The manager refuses to carry out this task. Is this part of their duties as our strata manager?

Our Strata Roll has not been updated for several years. A lot of the information is no longer correct. As the Secretary of the CoO, I directed the Strata Manager to email all owners asking for their updated contact information, including tenant details if applicable.

The strata manager replied it was not their responsibility to get updated information or check for changes in details. The management agreement states under the “Agreed Services” that the strata manager will “Maintain strata roll and minute book”.

All further inquiries by the CoO to update the roll are ignored. The WA STA 1985 is fairly silent on maintaining the Strata Roll (one sentence). What are the requirements?

Answer: The strata manager should request updated contact details as per the instruction of the Council of Owners and ensure that it is updated when they are made aware of any changes.

There are some important facts to be reminded of in relation to this query:

1. The Strata Titles Act 1985 Section 105 states that the strata roll is to be prepared and maintained by the strata company;
2. A Strata Company has the right to authorise a strata manager to perform scheme functions (STA Section 143);
3. Maintenance of the strata roll is not listed in the STA (Section 143(5)) as a function that the strata manager cannot carry out on behalf of the scheme
4. Maintenance of the strata roll is listed as part of the agreed services in the Management Agreement.

Based on this, the strata manager should request updated contact details as per the instruction of the Council of Owners and ensure that it is updated when they are made aware of any changes. Maintaining an up-to-date strata roll is essential to the operational management of your scheme.

Rick Blampey
SVN Perth
E: [email protected]
P: 08 9427 7955

This post appears in the March 2023 edition of The WA Strata Magazine.

Question: Does the COO have the power to stop all communication between lot owners and the Strata Manager, with no exceptions?

Does the COO have the power to stop all communication between lot Owners and the Strata Manager, with no exceptions? Our newly elected COO announced at the AGM that they had decided that all communication, with no exceptions, had to go through the COO first before reaching the Strata Manager. Their justification is that our former strata manager quit as she was unable to handle the unpleasant communication received from lot owners, so they want to protect the new strata manager. This decision has not been discussed with the new Strata Manager yet.

The problem is that the current COO is not well versed in matters regarding the STA Act, Amendments and regulations. Having run this 20 lot strata in the past without a budget for many years, I expect corrections to the way they operate will not be welcome, and from time to time, flagging issues with the Strata Manager will be needed.

The New Strata Manager is a member of the SCA. Is there anything in the SCA management contract template that protects the rights of lot owners to approach a strata manager directly for issues where there is a conflict with the COO’s interpretation of the legislation?

Answer: The COO’s decision suggests a level of trust, respect and understanding of the role each plays in the management of your scheme.

I applaud the Council of your Strata Company for supporting your Strata Manager. It suggests a level of trust, respect and understanding of the role each plays in the management of your scheme.

Role clarity is extremely important for owners to understand. Further to amendments to the Act in 2020, greater restrictions have been placed on both the Council and the Strata Manager.

Section 135 Functions and Constitution of Councils

1. The functions of a strata company, subject to this Act and to any restriction imposed or direction given by ordinary resolution, are to be performed by the council of the strata company.

What a Strata Manager is permitted to do is outlined in Section 143 of the Strata Titles Act; Authorisation of functions of strata manager

143. Authorisation of functions of strata manager

1. A strata company may, subject to this Part, authorise a person (a strata manager) to perform a specified scheme function.

In essence, the Council may authorise the assistance of the Strata Manager to carry out tasks on their behalf. The terms of this assistance should be made clear in the Strata Management Agreement. A competent Strata Manager should bring items of concern to the attention of their Council and the Council determines how to proceed.

The Strata Community Australia (WA) works in conjunction with reputable strata management companies to ensure that the requirements of the Strata Titles Act and Regulations are abided by.

Should an owner have grave concerns that their elected Council is not adhering to their legal requirements, they have the freedom to seek independent legal advice and progress the matter through the State Administrative Tribunal.

ESM Strata
E: [email protected]
P: 08 9362 1166

This post appears in Strata News #596.

Question: In Western Australia under the amended Strata Titles Act of 1985 how much can a strata manager spend on maintenance per lot without the strata company’s approval?

Answer: The strata manager can only spend what the strata council have approved for payment.

The question raised is an interesting one because some strata companies do authorise the strata manager to make payments on various or all expenditure items. Such conditions would need to be written up in the Management Contract.

Otherwise, you are allowing someone “Carte Blanche” spending on the Admin and Reserve Accounts.

My standard answer would be that the strata manager can only spend what the strata council have approved for payment and within the approved budget amounts for each line item of expenditure.

Many strata management companies don’t want the liability of approving any expenditure that comes along.

So the big take on this is – be sure you know what services you are signing for in the Management Contract.

Shane White
Strata Title Consult
E: [email protected]

This post appears in Strata News #561.

Question: The role of the council of owners vs the role of the strata manager. Who really runs the show?

Answer: The Strata Manager is a contracted service supplied to the Strata Company, and Strata Managers need that direction from the Council with regards to most of the duties undertaken on behalf of the Strata Company.

In the end, Section 135 talks about the functions and the Constitution of the Council and ultimately, the role of the Office of the Council is to perform all the duties of the Strata Company. The Strata Manager is a contracted service supplied to the Strata Company, and Strata Managers need that direction from the Council with regard to most of the duties undertaken on behalf of the Strata Company.

As long as the Strata Manager informs the council, provides expertise around the legislation and helps in keeping them informed on the bylaws that also govern the scheme, it then falls to the Council of Owners as to whether they want to take on that advice, or want to instruct the strata manager differently.

Ultimately, as long as the Strata Manager feels it is not going to cause significant detriment to the scheme and by and large as long as we inform the Council along the way, we generally tend to do what the council asks us to do.

Scott Bellerby
B Strata
E: [email protected]
P: 08 9382 7700

This post appears in Strata News #499.

Question: When reporting required maintenance, what is the minimum communication standard an owner can expect from a Strata Manager?

What is the expectation of return communication from a Strata Manager when reporting common property issues such as a remote electronic gate not working properly? I sometimes don’t even get an acknowledgment of receipt of the email and often do not receive any indication of who they are contacting and when they expect someone onsite. This had led to major delays, as the strata manager has not let the owner know that the contractor they contacted has not been able to turn up.

Surely it is professional to let all owners know when a problem is reported and when the fix is expected to take place. We don’t even get to know if it is fixed or not. What is the minimum requirement an owner can expect from a Strata Manager regarding communication? 

Answer: The Strata Manager may have to obtain approval from council members to action maintenance, and this can take time depending on the individual availabilities of those council members.

Issues such as the electronic gate not working should be treated as a priority issue by the Strata Manager, and it would be expected that when reporting such an issue, return confirmation of action taken would be received that day. That being said, it is also important for owners to understand that if they deem any common property maintenance issue as urgent, their email is flagged accordingly. It is also recommended that customers call the Strata Manager to alert them to the issue.

In some circumstances, the Strata Manager then has to obtain approval from council members to action maintenance, and this can take time depending on the individual availabilities of those council members. We strive to action all urgent maintenance items as quickly as possible, however, this is not always achievable as we do require the express authority of the Council of the Strata Company prior to actioning any works. It is not always reasonable or practical to notify all owners after we receive a report of common property maintenance and its time frame for being repaired. It is really up to the Council as to whether or not all owners/residents would need to be notified, and that would likely depend on the nature of the repairs, the associated time frame, and their specific instructions.

We encourage communication with the owner who reported the matter. Also, when a contractor is assigned with an urgent work request, we call them to ensure they can attend as quickly as possible. The contractor is asked to directly contact the owner who reported the matter to arrange a mutually convenient time to attend the site and rectify this issue.

ESM Strata Team
ESM Strata
E: [email protected]
P: 08 9362 1166

This post appears in the November 2021 edition of The WA Strata Magazine.

Question: Our committee instructed the strata manager to conduct additional services not specified in their contract. Should the manager have refused the request?

Division of Common-area work and exclusive-use area work

Our committee instructed the strata manager to include exclusive use area work with work in the common area and sent a “miscellaneous invoice” to all owners when the work was not requested or needed by every owner.

The additional service for exclusive use areas is not specified in our contract with the strata manager. Should the manager have refused the request? Are the actions of the committee in contravention of the act?

Answer: It’s not generally the Strata Manager’s position to refuse the direction of the Council.

It would be very beneficial to know what the exclusive use bylaw says around the maintenance of exclusive use areas. It’s generally anticipated that the maintenance within this exclusive use area would generally fall onto the owner saying that sometimes they do put the onus on the strata company to maintain. So that is a little bit difficult to answer.

Assuming the exclusive use bylaw puts the onus on the owners, I guess there are a couple of steps that should have been followed. In the end, the strata company, via the Strata Manager, should give notice to the owners about the need to potentially undertake maintenance within their exclusive use area. Then the Strata Company may reserve the right to step in and make those repairs.

I don’t know what has been undertaken from this inquiry, so it’s hard to really talk to it further. Should the Strata Manager have refused the request from the Council of Owners? As long as the Strata Manager was informing the council around where the boundaries of maintenance and exclusive use areas are and the council’s being happy to instruct otherwise, it’s not generally the Strata Manager’s position to refuse the direction of the Council.

Are the actions of the committee in contravention of the Act? There has been precedent set that suggests that the Strata Company shouldn’t be maintaining exclusive use areas where the bylaw details that but again, without actually knowing and being able to read the bylaw around exclusive use, I’m not willing to suggest that they have contravened the act.

Scott Bellerby
B Strata
E: [email protected]
P: 08 9382 7700

This post appears in the September 2021 edition of The WA Strata Magazine.

Question: With the new WA legislation, can a complex of 6 lots still self managing or are there specific legislation or other laws that require us to appoint a strata manager?

I am a lot owner in a group of six townhouses in WA. I bought the townhouse around 20 years ago and we have been running as a self managed strata scheme. 

With all the new WA legislation, I was wondering if self managing our complex is still OK or are there specific legislation or other laws that pertain to our complex that require us to change? I have seen some articles that specifically talk about ‘five’ units or less being able to be self managed but unsure of our group of six?

Answer: We would always recommend that the Strata Company engage a qualified professional Strata Manager to ensure that the requirements in the legislation are met.

We would always recommend that the Strata Company engage a qualified professional Strata Manager to ensure that the requirements in the legislation are met.

In relation to your specific query, there is nothing within the new updated legislation that specifies requirements for a 6 lot site. The Act has previously contained exemptions for 2 to 5 lot schemes however there have been no additions specific to a 6 lot scheme.

The updated legislation does now provide for Strata Managers, including volunteer managers. The volunteer managers are provided exemptions under the new legislation also, as per Sections 144, 145 and 155, and Section 143 provides some clarification on the authority of the Strata Manager, volunteer or professional.

The requirements of Section 144 do require that there is a volunteer agreement in place between the Volunteer manager and the Strata Company.

The Definition is now in the Act as:

Strata manager means a strata manager of a strata company who —

1. is the owner of a lot in the strata titles scheme; and
2. does not receive any fee, reward or benefit for work performed as a strata manager other than an honorary fee or reward not exceeding, if an amount is fixed by the regulations, that amount; and
3. personally performs the work of the strata manager;

Under Regulation 79 they define a designated Strata Company in relation to the new requirement for a 10 Year Plan.

The new legislation requires any scheme, 10 lots or over, to complete a 10 year plan – however, there is an exception.

If a Strata Company is under 10 lots and has a building replacement value of more than $5,000,000, they are required to do a 10 Year plan. So a 6 lot plan may be impacted however they would need to refer to their insurance cover/valuation to determine.

Shelley Fitzgerald
Emerson Raine
E: [email protected]
P: 9330 3959

This post appears in Strata News #484.

Question: How do I find out the contact details of the strata management company that manages my strata?

Answer: There is currently no register available to look up Strata Managers for a complex so you will need to do some detective work

Without having any specific details on this particular question, we can only offer an old fashioned type of answer.

Are you a new owner? If you are then you can maybe track the Strata Company via the documents provided at the settlement of your property? Were you provided minutes from the AGM? The contact, and/or their details may be included in the minutes? Maybe the AGM was held at the offices of your Strata Manager and this will be documented in the minutes. Have you received any other documents from your Strata Company? Where do your levies come from or how do you pay them?

If you have been at the complex for some time you will need to track back on your previous communications to find out who the Strata Manager is or their contact details – look for phone numbers, or postal addresses or email addresses on any of the Communications you have received.

There is currently no register available to look up Strata Managers for a complex so you will need to do some detective work.

Shelley Fitzgerald
Emerson Raine
E: [email protected]
P: 9330 3959

This post appears in the May 2021 edition of The WA Strata Magazine.

Question: What happens when figures presented by the Strata Manager do not balance/reconcile? 

At our AGM, the Statement of Financial Position (Balance sheet) did not balance. The Chairperson stated there was no requirement in the STA for it to be adopted and tabled. Sect 101 says the Strata Company must keep proper records. What happens when figures presented by the Strata Manager do not balance/reconcile?  

Answer: Whilst the Act does not specifically state that the financials should balance, it would not be considered a proper record of accounts without it balancing.

There is a requirement under section 101 of the Strata Titles Act for the Strata Company to prepare a statement of accounts for each financial year showing the assets, liabilities income and expenditure. This same section requires that the strata company keep a proper record of accounts.

Section 127 requires the statement be presented to the annual general meeting for consideration.

Whilst the Act does not specifically state that the financials should balance, it would not be considered a proper record of accounts without it balancing.

My recommendation to any annual general meeting that is not completely satisfied by the financial reports being presented is not to accept them. Perhaps a counter motion that the council of owners be authorised to accept the financial statement once all concerns have been satisfied and they are confident that the statement represents a true and correct record of the Strata Companies financials.

101. Accounting records and statement of accounts

1. A strata company must keep proper accounting records of its income and expenditure.
2. A strata company must prepare a statement of accounts for each financial year showing —
   1. the assets and liabilities of the strata company at the end of the financial year; and
   2. the income and expenditure of the strata company for the financial year.

Luke Downie
Realmark
E: [email protected]
P: 08 9328 0999

This post appears in the March 2021 edition of The WA Strata Magazine.

Question: We are a 95 site strata-titled caravan village. The Landgate site says the amended STA does not require us to employ a strata manager. Do we need to have a volunteer strata manager? I assume this would have to be an owner?

The Landgate site says the amended STA does not require us to employ a strata manager. Do we need to have a volunteer strata manager, who I assume would have to be an owner?

Answer: A 95 Lot Caravan Park strata scheme has its own unique problems and operating requirements.

Answer 1: A 95 Lot Caravan Park strata scheme has its own unique problems and operating requirements.

Under the new changes to the Act, Strata Managers are required to have a good understanding of the Act.

Strata Managers should attend regular training to keep up to speed with the new version of the Act and how things are implemented.

It is a decision to be made by the strata company if you want to be managed by a strata management company as opposed to self-managed.

You would have to weigh up whether you wish to run on a shoestring or pay the real cost to be managed by a strata manager.

Answer 2: You are left to your own devices if you are self-managed. There is no requirement for self-managed schemes to undertake educational courses but “ignorance of the law is no excuse”.

For a large scheme such as yours it may be of some comfort to the owners that the bookkeeper has a Criminal Record check done to satisfy any enquiry. It is not required to be supplied to everyone but would be of some assurance if there are requirements to deal with money.

Shane White
Strata Title Consult
E: [email protected]

This post appears in Strata News #382.

Question: The strata manager for our new building was appointed by the developer and is located in the eastern states. He has no idea of the needs of the building. Surely this is not ideal.

I am a lot owner and resident in a new building (12 months old) and the strata manager is based somewhere in the eastern states. He has appeared once for the first AGM and never been seen since. The strata manager was chosen by the building developer, also based in the eastern states.

He has no idea of the building or the problems associated with a new building. He asks for photos to be sent to him of problems and has no idea of suitable providers of services eg gardeners.

Is it considered suitable to have a strata manager based in another state?

Answer: There is nothing that requires the Strata Manager to be in the same area or state as the property they are managing.

Please note: this response was provided prior to the proclamation of the new strata title amendments.

There is nothing that requires the Strata Manager to be in the same area or state as the property they are managing.

I would note however that the WA Strata Legislation is not the same as the Eastern States so it would beg the question as to what legislation they are using in relation to the management of your particular Strata Company.

It would be worth reviewing your bylaws to determine how long this Strata Manager has been appointed, or if there is a contract in place. It may also be worth contacting the elected Council Members and discussing the concerns you have. Any changes will require the support and consent of other owners in the complex and the Councillors should be fully informed of any specific arrangements in place with the Strata Manager.

It would seem that there would be issues around appointing local contractors, liaising with contractors, and obtaining keys to access the site to carry out repairs and maintenance. The Elected Council Members should be the informed parties on these types of matters for the site.

If there are any future building defect matters to be attended to you may find that your Strata Manager has a conflict of interest in pursuing the builder, causing delays and further complications.

You have noted that the Strata Manager asks for photos of any reported problems and this would be the case with local service providers also. It is always best to try and quantify what the matter is before allocating work/investigation to a tradesperson. The difference with a local Strata Manager is that they would have knowledge of the local qualified professionals to arrange to attend and investigate.

We strongly recommend that you gather your information and conduct your discussions now to put your mind at rest, rather than leaving it until a problem arises.

Shelley Fitzgerald
Emerson Raine
E: [email protected]
P: 9330 3959

This post appears in Strata News #314.

Read next:

• WA: Resolving Strata Disputes Under the Strata Title Act Amendments
• WA: Q&A Where can I make strata manager complaints in WA?

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