Summary
When you purchase a property which is strata titled, you become part of the Strata Company for that scheme. There are responsibilities which come with being a Strata Company member including; abiding by scheme by-laws, making levy contributions and then, there's the Annual General Meeting (AGM). We have put together this article to answer some of the queries which owners frequently have.
What's the point of the AGM?
Strata legislation states that a Strata Company must hold an AGM every 12 months with not more than 15 months between each. This is the forum at which some standard items are discussed and agreed upon – for example, election of Council members, consideration of accounts and Strata insurance.
We have amended our by-laws so that we don't have to have an AGM each year, is this still valid?
No. It was acceptable prior to the introduction of the Amended STA 1985, which came into force in May 2020. However, the AGM requirements, which were previously set out in the Schedule 1 by-laws have now moved into the Act. All schemes have to comply with requirements set out in the Act and this cannot be varied using by-laws.
How long does an AGM take?
Standard AGMs generally take no more than an hour. However, it’s important to remember that the AGM is a good opportunity for owners to raise any concerns or bring new ideas to the table, and we would always support this level of involvement.
Any other business?
So, this is the time at the end of the meeting where owners can raise anything they like in relation to the scheme. If your meeting runs over the usual one hour, it is usually because there's a lot of "any other business?"
Owners can start discussions and request certain actions e.g. "Can a letter be sent to the owner of lot 10 to remove the olive tree on the fence line in their part lot, as the roots are causing my patio to become uneven?"
However, items requiring a formal Strata Company decision (motion) cannot be tacked onto the meeting in the any other business section. e.g. "Can the owners approve the installation of my screen door to lot 34?" These types of requests must be added to the meeting notice and agenda and sent to all owners. See below, "How do we add special items to the agenda?"
How do we add special items (a motion) to the agenda?
The AGM agenda includes standard items that must be agreed upon such as electing a Strata Council and decisions about strata insurance. However, the agenda can be extended to include specific matters for discussion. Owners are encouraged to put forward their specific request well before the meeting date, along with any supporting documentation.
At the point in the agenda then the special item is raised, the Chair can provide the opportunity for the owner to give some background on the motion and answer any questions prior to the vote.
I want to add a motion to the AGM agenda, how do I word it?
A motion needs to be a statement which owners can vote for or against (or abstain). So to provide an example:
Motion Under Notice
That the Strata Company approve the installation of a shade sail over the patio area of lot 45 (as set out in Appendix 1), and if the approval is given, it is bound by the terms as set out in Appendix 2.
Can we attend remotely?
Electronic Attendance via Zoom may be available for your meeting. Should you wish to attend remotely, please email us advising so admin@abodestrata.com.au
Owners can also lodge their votes electronically via the link in the email invitation.