Owners Corporation Committees:
The following information is provided by Consumer Affairs Victoria.
Your owners corporation can elect a committee to take responsibility for day to day business, including:
- financial management (for example, preparing the budget)
- property management (for example, directing repairs and maintenance)
- monitoring of activities and issues
- enforcing rules
- convening meetings
- communication (for example, responding to correspondence), and
- complaint handling.
The owners corporation is required to consider whether it will elect a committee and the powers delegated to the committee at every annual general meeting. Most owners corporations will rely heavily on a voluntary committee between annual general meetings.
Is a committee mandatory?
Your owners corporation must elect a committee if it has more than 13 lots. A committee is optional for owners corporations with less than 13 lots.
A committee must have between three and 12 members. They must be lot owners or hold a proxy for a lot owner. Committee members are elected at the annual general meeting and hold office until a new committee is elected. There must be no more than one committee member from any one lot.
As a lot owner, you or your proxy can nominate for election before or at the annual general meeting.
Alternatively, you can nominate another lot owner or a lot owner’s proxy.
The owners corporation may, at an annual general meeting or a special general meeting, add or remove a committee member, or replace or remove the whole committee. The committee can invite owners corporation members to fill a vacancy on the committee.
Electing your committee
If there are less than 12 nominations, all people nominated can form the committee. If there are more than 12 nominations for the committee then a ballot should be held to elect the committee.
Your committee may appoint sub-committees, or invite lot owners or their proxies to help carry out its functions.
A sub-committee should have a specific function or terms of reference, set out in the owners corporation rules. It must have a chairperson and secretary, keep minutes and make those minutes available for inspection. Sub-committees and invited members of the committee do not have voting rights.
Committee members’ duties
If you are a member of an owners corporation committee or sub-committee, you must:
- act on the committee’s directions
- act on the owners corporation’s directions
- act honestly and in good faith
- exercise due care and diligence
- not make improper use of your position as a member to gain, directly or indirectly, an advantage for yourself or any other person.
- report to the owners corporation at each annual general meeting, and
- make sure your fees are not in arrears while you are a committee member.