registration (strata titles) act 2009 presenter: ainsworth ... · registration (strata titles) act...

25
REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth Norton Girls Guide Auditorium March 17, 2016

Upload: others

Post on 29-Jul-2020

10 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

REGISTRATION (STRATA TITLES) ACT 2009

Presenter: Ainsworth Norton

Girls Guide Auditorium

March 17, 2016

Page 2: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

Registration (Strata Titles) Act 1969 had structural weaknesses which lead to its amendment in 2009

did not facilitate the effective running of strata corporations as established

Page 3: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

Failure to have general meetings

Failure to elect responsible officers

Approve by-laws

Failure to enforce maintenance collections

Page 4: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

Established on January 1 - amendment of the

1969 Act

Monitor, regulate and supervise strata

corporations

Page 5: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

Purpose of the 09’ Amendments

Establish reporting mechanisms by the corporations

to the Commission

Establish the Strata Appeals Tribunal to hear

matters by a proprietor aggrieved by a decision of the

Corporation or Commission

Page 6: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

Purpose of the 09’ Amendments (Cont’d)

Give the Commission the mandate to enforce by-laws

Establish dispute resolution mechanisms accessible

to both proprietor and corporation

Page 7: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

The Primary Assessment Tools

of the Commission

The level of compliance in the filing of

annual returns

Effectiveness of granting POS certificates

Audit of Strata Corporations

Enforcement of Bylaws

Requirement for Insurance

Page 8: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

The Primary Assessment Tools of the

Commission (Cont’d)

The level of compliance in the filing of

annual returns

1373 1331

1277

179 205 108 122 125 84

0

200

400

600

800

1000

1200

1400

1600

Apr - Dec 2014 2013-2014 2012-2013

Annual Returns Submissions

Registered previous yr

Total Submissions

Current YearSubmissions

Page 9: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

The Primary Assessment Tools

of the Commission (cont’d)

The effectiveness of the granting of Power

of Sale certificates

The audit of strata corporations

Page 10: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

The Primary Assessment Tools of

the Commission (cont’d) - Audits

50%

75%

75%

50%

38%

38%

0%

50%

13%

88%

13%

38%

13%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Failure to pay fees to the Commission

Failure to file Annual Returns

Failure to Convene AGM & Issue Proper Notice

Failure to prepare budget for approval

Failure to compute contributions based on unit entitlement

Failure to insure corporation or ratify resolution

Unable to verify quorum

Failure to prepare bank reconcilliation

Unable to verify eligibility to vote

Physical breaches

failure to provide resolution to rent common area

General accounting failures

Failure to prepare PM/personnel contract

Common Audit Findings 2014/2015

Page 11: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

Audits - Major Failures of Strata

Corporations

Failure to file annual returns – Section 4 (7)

Failure to convene AGM and issue proper notice

- First Schedule No 5 – 8A

Failure to prepare budget for approval – Section

4(7)(b)(iii)

Page 12: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

Major Failures of Strata Corporations

(Cont’d)

Failure to compute contributions on unit

entitlement – Section 7 (4)

Failure to insure corporation or to ratify

resolution not to insure – Section 5(1)(a)

Page 13: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

Major Failures of Strata Corporations

(Cont’d)

Failure to verify quorum – First Schedule No. 10

Failure to verify eligibility to vote – First

Schedule No 30

Physical breaches

Page 14: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

The Primary Assessment Tools

of the Commission (cont’d)

Requirement for insurance coverage

Enforcement of by-laws

Page 15: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

Inspections - Enforcement of By-laws

2015-2016

69%

41%

24%

7%

9%

9%

14%

0% 10% 20% 30% 40% 50% 60% 70% 80%

Air conditioning units mounted in common area

No receptacle for receipt of mail

Changes to Windows

Rear of strata lot enclosed

Piping for cooking gas in common area

Change of external doors

Ad Hoc painting of external walls

Inspection findings 2015/2016

Page 16: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

Enforcement of By-laws 2015-2016

(Cont’d)

Sixty-nine percent (69%) of those inspected had

air-conditioning units extending into the common

area.

Forty-one percent (41%) of the corporations were

without a mail receptacle for the receipt of mail.

Twenty-four percent (24%) had changes to the

windows.

Page 17: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

Enforcement of By-laws 2015-2016

(Cont’d)

Seven percent (7%) enclosed the rear of the strata

lot.

Nine percent (9%) had cooking gas cylinders for

individual strata lots, located in common areas

Nine percent (9%) changed doors

Fourteen percent (14%) had ad hoc painting to

common area walls

Page 18: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

Negative occurrences linked to ineffective management of strata corporations

Limitations of the Act in addressing some of the issues

The proposed amendments to strengthen the development/management structure

Need for Amendment

Page 19: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

Define actions aimed at fostering increased statutory compliance

Address initial structural deficiencies

Need for Amendment (Cont’d)

Page 20: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

Proposed Amendments

The Act is to be amended to:-

1. Facilitate phased development of strata corporations

2. Amendment to calling an Extraordinary General Meeting

3. Institute penalty for not filing Annual Returns

4. Institute penalty for late Annual Registration

Page 21: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

Proposed Amendments (Cont’d)

5. Place limitation on party to appeal a decision of the

Corporation

6. Provide for an independent Secretariat for SAT

7. Provide for electronic attendance at meetings

8. Define Voting Rights

9. Establish guidelines for entering to carry out works

10. Provide for a Register of Owners by strata corporations

Page 22: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

Proposed Amendments (Cont’d)

11. Applicable interest on arrears

12. Establish eligibility to sit on executive committee

13. Election of a Chairman

14. Restorative actions for breach of by-laws

Page 23: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

Proposed Amendments (Cont’d)

Breach of By-Laws

I. Order of Reinstatement

II. Order to Remedy Breach of By-law

III. Permission for alteration in common area

Page 24: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

Proposed Amendments (Cont’d)

15. Service of documents/summons on the PSP

16. Payment of Annual Fees

Page 25: REGISTRATION (STRATA TITLES) ACT 2009 Presenter: Ainsworth ... · Registration (Strata Titles) Act 1969 had ... 50%Failure to pay fees to the Commission 75% 75% 50%Failure to prepare

COMMENTS