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New South Wales
Strata Legislation Amendment Bill 2023
Contents
Page
1 Name of Act 2
2 Commencement 2
Schedule 1 Amendment of Strata Schemes Development Act 2015 No 51 3
Schedule 2 Amendment of Community Land Development Act 2021 No 6 7
Schedule 3 Amendment of Strata Schemes Management Act 2015 No 50 8
Schedule 4 Amendment of Community Land Management Act 2021 No 7 17
Schedule 5 Amendment of other legislation 26
I certify that this PUBLIC BILL, which originated in the LEGISLATIVE COUNCIL, has finally
passed the LEGISLATIVE COUNCIL and the LEGISLATIVE ASSEMBLY of NEW SOUTH WALES.
Clerk of the Parliaments
egislative Council
2023
New South Wales
Strata Legislation Amendment Bill 2023
Act No , 2023
An Act to amend the Strata Schemes Development Act 2015 and the Strata Schemes Management
Act 2015 to implement various recommendations arising from the statutory review of the Acts; to
make related amendments to the Community Land Development Act 2021, the Community Land
Management Act 2021 and other legislation; and for other purposes.
Strata Legislation Amendment Bill 2023 [NSW]
The Legislature of New South Wales enacts--
1 Name of Act
This Act is the Strata Legislation Amendment Act 2023.
2 Commencement
This Act commences as follows--
(a) for Schedule 3[28] and Schedule 4[23] and [35]--on a day or days to be
appointed by proclamation,
(b) otherwise--on the date of assent to this Act.
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Strata Legislation Amendment Bill 2023 [NSW]
Schedule 1 Amendment of Strata Schemes Development Act 2015 No 51
Schedule 1 Amendment of Strata Schemes Development Act
2015 No 51
[1] Section 142 Application to Registrar-General for termination of strata scheme
Omit section 142(2). Insert instead--
(2) A person who proposes to make an application under this section must give
public notice of the following--
(a) details of the strata scheme that is proposed to be terminated,
(b) a statement of intention to make the application.
(2A) The notice must be given--
(a) at least 14 days, but not more than 6 months, before the application is
made, and
(b) in a way the Registrar-General considers appropriate to ensure notice of
the application comes to the attention of the public.
(2B) Public notice is not required if the Registrar-General agrees it is not required.
[2] Section 154 Definitions
Insert in alphabetical order--
relevant interest--see section 154A.
[3] Section 154A
Insert after section 154--
154A Meaning of "relevant interest"
(1) In this part, relevant interest means a direct or indirect pecuniary interest or
other interest a person has in the proposed collective sale or redevelopment of
a strata scheme.
(2) Without limiting subsection (1), a person has a direct or indirect pecuniary
interest if the person--
(a) is a member of, or employed by--
(i) the proposed purchaser for a collective sale, or
(ii) the proposed developer for a redevelopment, or
(iii) a related entity of the proposed purchaser or developer, or
(b) is a member of, or employed by, a prospective purchaser or developer
who has made a competing offer to purchase the parcel or redevelop the
scheme, or a related entity, or
(c) has entered into an agreement, including an agreement conferring an
option, with a proposed or prospective purchaser or developer, or
(d) owns, or is a member of, or employed by, an entity that owns, land
that--
(i) is not part of the parcel, and
(ii) may be impacted by the proposed collective sale or
redevelopment.
(3) An owner of a lot does not have a direct or indirect pecuniary interest merely
because the owner will--
(a) receive an apportioned amount for the sale of the lots and common
property in a collective sale, or
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Strata Legislation Amendment Bill 2023 [NSW]
Schedule 1 Amendment of Strata Schemes Development Act 2015 No 51
(b) benefit from a redevelopment in the same way other owners will
generally benefit from the redevelopment.
(4) In this section--
option means a call option or put option within the meaning of the Duties Act
1997, Chapter 3, Part 2.
related entity has the same meaning as in the Corporations Act 2001 of the
Commonwealth, section 9.
[4] Section 161 Election of members
Omit section 161(2).
[5] Section 165
Omit the section. Insert instead--
165 Disclosures of conflicts of interest
(1) A person nominated for election as a member of the strata renewal committee
must disclose the nature of a conflict of interest the person has--
(a) to the secretary of the owners corporation, and
(b) before the election is held.
(2) A member of the strata renewal committee must disclose the nature of a
conflict of interest the member has--
(a) to the secretary of the owners corporation, and
(b) as soon as practicable after the member becomes aware of the conflict
of interest.
(3) The person or member has a conflict of interest if--
(a) the person or member has a relevant interest, and
(b) the interest appears to raise a conflict with the proper performance of the
strata renewal committee's function.
(4) At a general meeting at which the members of a strata renewal committee are
elected, the owners corporation must consider--
(a) the nature of a conflict of interest disclosed under subsection (1), and
(b) whether the nominee who disclosed the conflict should be elected to the
committee, and
(c) if the nominee is elected as a member--whether the member should be
subject to a requirement that, for a matter relating to the member's
interest, the member--
(i) not be present during a deliberation about the matter, or
(ii) take part in a decision of the committee about the matter.
(5) The secretary of the owners corporation must, as soon as practicable after
receiving a disclosure under subsection (2), convene a general meeting of the
owners corporation to decide whether to--
(a) remove the member from the strata renewal committee, or
(b) allow the member to remain on the committee subject to a requirement
that, for a matter relating to the member's interest, the member--
(i) not be present during a deliberation about the matter, or
(ii) take part in a decision of the committee about the matter, or
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Strata Legislation Amendment Bill 2023 [NSW]
Schedule 1 Amendment of Strata Schemes Development Act 2015 No 51
(c) take no further action in relation to the matter and allow the member to
remain on the committee with no restriction on participating in
deliberations and decisions of the committee.
(6) A person who has made a disclosure under subsection (1) is not required to
make a subsequent disclosure of the same conflict of interest if the person is
elected as a member of the strata renewal committee.
[6] Section 166 Period of operation of committee
Omit "1 year" from section 166(a). Insert instead "2 years".
[7] Section 182 Decision of court
Insert after section 182(4)--
(4A) The court may be satisfied of the matters referred to in subsection (1)(b) and
(c) despite a defect or irregularity if the court is satisfied that the defect or
irregularity has not caused and is not likely to cause substantial injustice.
(4B) In considering an objection to the application for the order, the court must
consider whether the person who filed the objection did not file the objection
in good faith, including because of a conflict of interest.
[8] Sections 187A and 188
Omit section 188. Insert instead--
187A Disclosures of pecuniary or other interests
(1) A member of the strata committee must disclose the nature of a relevant
interest the member has at a meeting of the strata committee held under section
157.
(2) An owner of a lot must disclose the nature of a relevant interest the owner has
at a general meeting of the owners corporation convened under section 158,
172 or 178.
(3) A member of the strata committee who has made a disclosure under subsection
(1) must not, unless the committee otherwise decides--
(a) be present during a deliberation about the strata renewal proposal, or
(b) take part in a decision of the committee about the strata renewal
proposal.
(4) The member must not--
(a) be present during a deliberation about the making of a decision under
subsection (3), or
(b) take part in the decision.
(5) Particulars of a disclosure made under this section must be recorded in the
minutes of the relevant meeting.
(6) A contravention of this section does not invalidate a decision of the strata
committee or the owners corporation.
(7) The Strata Schemes Management Act 2015, Schedule 2, clause 18 does not
apply in relation to a meeting held under section 157, 158, 172 or 178.
188 Costs of proceedings
(1) Unless the court otherwise orders--
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Schedule 1 Amendment of Strata Schemes Development Act 2015 No 51
(a) the owners corporation must pay the reasonable costs of proceedings for
an application for an order to give effect to a strata renewal plan
incurred by a dissenting owner, and
(b) the owners corporation must not levy a contribution for a part of the
costs of the proceedings on a dissenting owner.
(2) If the court is satisfied a dissenting owner has a conflict of interest that makes
it inappropriate, in the court's opinion, for the owners corporation to pay the
owner's costs, the court must make an order requiring the owner to pay--
(a) the owner's costs, and
(b) any contribution for a part of the costs of the proceedings levied on the
owner.
(3) The court may make a costs order against a dissenting owner if the court
considers it appropriate to do so, including if the court considers the owner has
not acted in good faith in failing to give, or withdrawing, a support notice.
(4) The court may order that costs be assessed on the ordinary basis or an
indemnity basis.
(5) The regulations may prescribe other matters relating to the costs of
proceedings for an application for an order to give effect to a strata renewal
plan.
[9] Schedule 2 Requirements for schedules of unit entitlement
Insert at the end of clause 4--
(2) For subclause 1(b)(i), each lot in the parcel that is not a subject of the proposed
subdivision is not required to be valued if, in the qualified valuer's opinion--
(a) the proposed subdivision involves only minor changes to common
property, and
(b) the unit entitlement of each lot will not change as a result of the
proposed subdivision.
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Strata Legislation Amendment Bill 2023 [NSW]
Schedule 2 Amendment of Community Land Development Act 2021 No 6
Schedule 2 Amendment of Community Land Development
Act 2021 No 6
[1] Section 69 Making application for termination
Insert ", but not more than 6 months," after "days" in section 69(1).
[2] Section 69(1)(a)
Omit "proposed termination". Insert instead "scheme that is proposed to be terminated".
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Strata Legislation Amendment Bill 2023 [NSW]
Schedule 3 Amendment of Strata Schemes Management Act 2015 No 50
Schedule 3 Amendment of Strata Schemes Management Act
2015 No 50
[1] Section 4 Definitions
Insert in alphabetical order in section 4(1)--
assistance animal has the same meaning as in the Disability Discrimination
Act 1992 of the Commonwealth, section 9(2).
connected, in relation to 2 or more persons--see section 7.
real estate agent has the same meaning as in the Property and Stock Agents
Act 2002.
[2] Section 4(1), definition of "connected person"
Omit the definition.
[3] Section 5 Resolutions of owners corporations
Omit section 5(2). Insert instead--
(2) In determining a special resolution, the value of a vote for a lot is equal to the
unit entitlement of the lot, subject to subsection (2A).
(2A) The value of a vote cast by an original owner of a strata scheme must be
reduced by two-thirds if--
(a) the total unit entitlement of lots for which the original owner is entitled
to a vote is at least half of the aggregate unit entitlement of the lots in
the scheme, and
(b) the scheme comprises more than 2 lots.
[4] Section 16 Documents and records to be provided to owners corporation at first
AGM
Omit ", not later than 48 hours before its first annual general meeting, deliver to the owners
corporation the following" from section 16(1).
Insert instead "deliver the following to the owners corporation at least 14 days before the
first annual general meeting of the owners corporation".
[5] Section 26 Restrictions on powers of owners corporation during initial period
Omit section 26(1)(c). Insert instead--
(c) appoint for a period extending beyond the date of the first annual
general meeting of the owners corporation--
(i) a strata managing agent, or
(ii) a building manager, or
(iii) another person to assist with the management, maintenance or
repair of common property.
[6] Section 29 Owners corporation to appoint strata committee
Omit section 29(3).
[7] Section 30 Members of strata committee
Omit section 30(4). Insert instead--
(4) The members of a strata committee--
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Schedule 3 Amendment of Strata Schemes Management Act 2015 No 50
(a) must be elected at each annual general meeting of the owners
corporation, and
(b) may be elected at another general meeting called to elect members of
the committee.
[8] Section 30(5) and (6)
Omit the subsections.
[9] Section 32 Persons who are not eligible to be appointed or elected to strata
committee
Omit "to a strata committee or to act as members of a strata committee unless they are also
the owners of lots in the strata scheme" from section 32(1).
Insert instead "as a member of a strata committee, unless the person owns a lot in the strata
scheme".
[10] Section 32(1)(b)
Omit the paragraph. Insert instead--
(b) a real estate agent carrying out functions in connection with the leasing
of a lot in the strata scheme,
[11] Section 32(1)(c)
Omit "to act".
[12] Section 32(5)
Insert after section 32(4)--
(5) If the office of a member is vacated under section 35(1)(e), the person is not
eligible for appointment or election as a member for the period of 12 months
commencing on the day the resolution is passed.
[13] Section 35 Vacation of office of elected member of strata committee
Omit "in accordance with a special resolution" from section 35(1)(e).
Insert instead "by resolution at a general meeting".
[14] Section 35(3)
Omit "special resolution that determines". Insert instead "resolution".
[15] Section 50 Term of appointment of strata managing agents
Insert ", but not more than 6 months," after "3 months" in section 50(6)(a).
[16] Section 76
Omit the section. Insert instead--
76 Use of administrative fund or capital works fund for purposes of other fund
(1) This section applies if the owners corporation of a strata scheme comprising
more than 2 lots--
(a) transfers money from the administrative fund or capital works fund to
the other fund, or
(b) pays money from the administrative fund or capital works fund for
expenditure that should have been paid from the other fund.
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Schedule 3 Amendment of Strata Schemes Management Act 2015 No 50
(2) The owners corporation must, within 3 months of the transfer or payment,
determine, by resolution at a general meeting--
(a) whether the money, or part of the money, should be reimbursed to the
fund from which it was transferred or paid, and
(b) if the owners corporation determines that part or all of the money should
be reimbursed--the amount to be--
(i) transferred from the administrative fund or capital works fund to
the fund from which the transfer or payment was made, or
(ii) levied as a contribution to the fund from which the transfer or
payment was made.
(3) Section 81(3) and (5) apply to a contribution determined under subsection
(2)(b)(ii).
[17] Section 83 Levying of contributions
Omit section 83(3). Insert instead--
(3) A contribution levied by an owners corporation becomes due and payable to
the owners corporation on the date set out in the notice of the contribution.
(3A) The date set out in the notice must be--
(a) for a contribution levied for the purpose of carrying out emergency
repairs--at least 14 days after the day the notice is given, or
(b) otherwise--at least 30 days after the day the notice is given.
[18] Section 83(5)
Insert after section 83(4)--
(5) In this section--
emergency repairs means urgent repairs to a building in the strata scheme that
are necessary to mitigate a serious and imminent threat to the health or safety
of the occupants.
[19] Section 102
Omit the section. Insert instead--
102 Limits on spending by owners corporation
(1) An owners corporation must obtain at least 2 independent quotations for
proposed expenditure for an item or matter that is more than the amount
prescribed by the regulations for this section.
(2) If the owners corporation is not able to comply with subsection (1), the
secretary of the owners corporation must add an item to the agenda of the next
general meeting of the owners corporation to note--
(a) the item or matter for which the quotations were required, and
(b) the reasons the owners corporation was unable to obtain the quotations.
(3) An owners corporation for a large strata scheme must not spend more on an
item or matter than the amount specified for the item or matter in the estimates
prepared at an annual general meeting, plus 10%.
(4) The owners corporation may, by resolution at a general meeting, remove the
limitation imposed by subsection (3) generally or in relation to a single item
or matter.
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Schedule 3 Amendment of Strata Schemes Management Act 2015 No 50
(5) This section does not apply to expenditure for emergency purposes, including
in relation to the following--
(a) burst or blocked water or sewerage pipes,
(b) serious damage caused by a storm, fire or another natural disaster,
(c) unexpected electrical or security system failures,
(d) glass breakages that affect the security of a building in the strata scheme
or could result in damage to the inside of the building.
(6) In this section--
independent quotations means quotations from persons who are not
connected with each other.
[20] Section 105A
Insert after section 105--
105A Bonds or fees relating to keeping of animals not payable
An owners corporation must not require an owner or occupier of a lot to--
(a) pay a bond or fee relating to the keeping of an animal on the lot, or
(b) obtain insurance for an animal kept on the lot.
[21] Section 139 Restrictions on by-laws
Omit section 139(5) and (6).
[22] Section 139A
Insert after section 139--
139A Restrictions on by-laws--assistance animals
(1) A by-law has no force or effect to the extent it would--
(a) prohibit or restrict the keeping on a lot of an assistance animal used by
an owner or occupier of the lot, or
(b) restrict, or impose an unreasonable burden on a person in relation to, the
use of an assistance animal on a lot or common property.
(2) A by-law may require a person who keeps an assistance animal on a lot to
show the animal is an assistance animal by providing one of the following to
the owners corporation--
(a) evidence the animal holds an accreditation referred to in the Disability
Discrimination Act 1992 of the Commonwealth, section 9(2)(a) or (b),
(b) a statutory declaration verifying the animal has received the training
referred to in the Disability Discrimination Act 1992 of the
Commonwealth, section 9(2)(c),
(c) other evidence prescribed by the regulations.
[23] Section 141
Omit the section. Insert instead--
141 Changes to and consolidation of by-laws
(1) An owners corporation may, by special resolution, change the by-laws for the
strata scheme.
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Schedule 3 Amendment of Strata Schemes Management Act 2015 No 50
Note-- If the special resolution is a sustainability infrastructure resolution, fewer votes
are needed to pass it. See section 5(1)(b).
(2) The change to the by-laws has no effect until--
(a) the owners corporation lodges a notice, in the approved form, with the
Registrar-General, and
(b) the Registrar-General makes an appropriate recording of the notice in
the folio of the Register for the common property for the scheme.
(3) The owners corporation must lodge the notice within 6 months of the day the
special resolution is passed.
(4) An owners corporation may, by special resolution, consolidate the by-laws for
the scheme, whether or not a by-law is amended, repealed or added.
(5) The written consent of the owners on whom a common property rights by-law
confers rights or special privileges is not required to consolidate the by-laws
for the scheme, if the consolidation does not involve the amendment, repeal or
addition of a common property rights by-law.
(6) The secretary of the owners corporation must keep a consolidated up-to-date
copy of the by-laws for the scheme.
[24] Section 146 Notice by owners corporation to owner or occupier
Omit section 146(4). Insert instead--
(4) Subsection (3) does not apply--
(a) to a strata scheme comprising 2 lots, or
(b) if the notice is given by a strata managing agent to whom that function
has been delegated in accordance with this Act.
[25] Section 176
Omit the section. Insert instead--
176 Form of records
(1) The strata roll and other records required to be made or kept by an owners
corporation must be made or kept in electronic form.
(2) Subsection (1) does not--
(a) apply to a record made or kept before the day that is 6 months after the
commencement of the Strata Legislation Amendment Act 2023, or
(b) require a record made or kept before that day in a form other than
electronic form to be reproduced in electronic form, or
(c) prevent an owners corporation from keeping duplicate records in a form
other than electronic form.
[26] Section 186
Omit the section. Insert instead--
186 Strata scheme information to be given to lessee
(1) A person who leases a lot or common property in a strata scheme (the tenant)
must be given a copy of the following within 14 days after the tenant becomes
entitled to possession--
(a) the by-laws for the strata scheme,
(b) a strata management statement affecting the lot or common property.
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Strata Legislation Amendment Bill 2023 [NSW]
Schedule 3 Amendment of Strata Schemes Management Act 2015 No 50
Maximum penalty--5 penalty units.
(2) Subsection (1)(a) does not apply if the tenant has already been given a copy of
the by-laws under the Residential Tenancies Act 2010, section 26(2A).
(3) If a document referred to in subsection (1)(a) or (b) is changed, the tenant must
be given a copy of the changed document within 14 days after the change takes
effect.
(4) A document required to be given to a tenant under this section must be given
by--
(a) if the lessor leasing the lot or common property to the tenant is
represented by a real estate agent in relation to the lease--the real estate
agent, or
(b) otherwise--the lessor.
(5) This section does not apply to a strata scheme that is part of a community
scheme.
(6) In this section--
lease includes a sublease.
[27] Section 237 Orders for appointment of strata managing agent
Omit "Secretary or other" from section 237(4)(b). Insert instead "secretary or another".
[28] Section 237(8)(e)
Insert after section 237(8)(d)--
(e) the Secretary.
[29] Section 258, heading
Omit "of leases or subleases".
[30] Section 258(1)
Omit "lessor". Insert instead "relevant person".
[31] Section 258(1) and (3)
Omit ", in accordance with this section," wherever occurring.
[32] Section 258(2)
Omit the subsection. Insert instead--
(2) If the relevant person fails to comply with subsection (1), the tenant may give
notice of the lease to the owners corporation.
[33] Section 258(3) and (4)(b)
Omit "or sublease" wherever occurring.
[34] Section 258(4)(c)
Omit the paragraph. Insert instead--
(c) the name of the real estate agent managing the lease, if applicable.
[35] Section 258(7) and (8)
Insert after section 258(6)--
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Strata Legislation Amendment Bill 2023 [NSW]
Schedule 3 Amendment of Strata Schemes Management Act 2015 No 50
(7) The regulations may prescribe the documents or other evidence a tenant must
provide in giving notice of a lease under this section.
(8) In this section--
lease includes a sublease.
relevant person means--
(a) if the lessor leasing the lot to the tenant is represented by a real estate
agent in relation to the lease--the real estate agent, or
(b) otherwise--the lessor.
[36] Section 261 Address for service
Insert "electronic address, including an" before "email".
[37] Section 262 Service of documents on an owners corporation
Omit section 262(2)(c). Insert instead--
(c) by sending it by electronic transmission to an address or location
nominated for the service of documents by--
(i) the chairperson or secretary of the owners corporation, or
(ii) a member of the strata committee.
[38] Section 263 Service of documents by owners corporation and others
Insert "or location" after "address" wherever occurring in section 263(2)(c).
[39] Section 263(3)(c)
Omit the paragraph. Insert instead--
(c) by sending it by electronic transmission to an address or location
nominated by the person for the service of documents.
[40] Section 263(4)(ca)
Insert "or location" after "address" wherever occurring.
[41] Section 264 Service of documents
Omit section 264(1)(a)(iii). Insert instead--
(iii) sending it by electronic transmission to an address or location
nominated by the person for the service of documents, or
[42] Section 264(1)(b)(ii)
Omit the subparagraph. Insert instead--
(ii) sending it by electronic transmission to an address or location
nominated by the body corporate for the service of documents.
[43] Section 271 Regulations
Omit section 271(2)(m). Insert instead--
(m) the service of documents, including by prescribing additional methods
of service for documents that are authorised or required by this Act or
the regulations to be given to a person,
[44] Schedule 1 Meeting procedures of owners corporation
Omit clause 5. Insert instead--
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Strata Legislation Amendment Bill 2023 [NSW]
Schedule 3 Amendment of Strata Schemes Management Act 2015 No 50
5 Nomination of strata committee candidates for election at meeting
(1) The written notice of an annual general meeting, or a general meeting called
to elect members of a strata committee, must include a call for nominations for
members of the strata committee.
(2) The following persons may nominate a person for election as a member of the
strata committee--
(a) an owner,
(b) a person entitled to vote at a general meeting of the owners corporation.
(3) A person referred to in subclause (2)(a) or (b) may make a nomination even if
the person cannot vote because the person or another person is an unfinancial
owner.
(4) A person must not be nominated for election without the person's consent.
(5) A nomination may be made--
(a) in writing before the election is held, or
(b) orally at the meeting at which the election is held.
(6) A written nomination must be given to--
(a) if the election is held at the first annual general meeting--the convenor
of the meeting, or
(b) otherwise--the secretary of the owners corporation.
(7) A written nomination must state--
(a) the name of the person nominated, and
(b) the name of the person making the nomination, and
(c) that the person nominated consents to the nomination.
(8) The convenor or secretary must--
(a) include all nominations already made in the notice of the meeting at
which the election is held, and
(b) give notice of subsequent nominations at the meeting.
[45] Schedule 1, clause 7(2)-(4)
Omit the subclauses. Insert instead--
(2) Written notice of a meeting must be given to--
(a) each owner, and
(b) each person entitled to cast a priority vote in relation to an item on the
agenda.
Note-- A priority vote may be cast in the circumstances set out in clause 24.
(3) The notice must be given--
(a) if the meeting is an annual general meeting--at least 14 days before the
meeting, or
(b) otherwise--at least 7 days before the meeting.
(4) If the giver and receiver of a notice would be the same person, the notice is not
required to be given to the person under this part.
[46] Schedule 1, clause 11(1)
Omit the subclause. Insert instead--
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Strata Legislation Amendment Bill 2023 [NSW]
Schedule 3 Amendment of Strata Schemes Management Act 2015 No 50
(1) A copy of the agenda for a meeting must, within the relevant period specified
in clause 7(3) for the giving of a notice--
(a) be given to each tenant who has been notified to the owners corporation
as a tenant of a lot in accordance with this Act, or
(b) be put on prominent display on a notice board required to be maintained
on a part of the common property under the by-laws.
[47] Schedule 1, clause 14
Omit "if the total unit entitlement of lots of the original owner is not less than half of the
aggregate unit entitlement, the value of the vote in respect of the lots held by the original
owner is taken to be reduced by two-thirds (ignoring any fraction)" from clause 14(2).
Insert instead "the value of a vote cast by an original owner must be calculated in the same
way as for a special resolution".
[48] Schedule 1, clause 25A
Insert after clause 25--
25A Voting limits for company nominees and persons acting under power of
attorney
(1) Either of the following may exercise voting rights at a general meeting of the
owners corporation on behalf of the owner of a lot--
(a) for an owner that is a corporation--a company nominee,
(b) a person acting under a power of attorney, if authorised by the power of
attorney.
(2) A company nominee, or a person acting under a power of attorney, may
exercise voting rights on behalf of not more than--
(a) if the strata scheme has not more than 20 lots--1 owner, or
(b) if the strata scheme has more than 20 lots--5% of the total number of
lot owners.
(3) For subclause (2), a power of attorney authorising a person to exercise voting
rights on behalf of an owner who is a member of the person's family must not
be taken into account.
[49] Schedule 2 Meeting procedures of strata committees
Omit ", unless the strata committee otherwise determines" from clause 18(4).
[50] Schedule 2, clause 18(5)
Omit the subclause.
[51] Schedule 3 Savings, transitional and other provisions
Omit clause 4(2). Insert instead--
(2) A by-law continued in force by this Act is taken to be a valid by-law if--
(a) the by-law was a valid by-law immediately before this clause
commenced, and
(b) the by-law does not contravene this Act.
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Schedule 4 Amendment of Community Land Management
Act 2021 No 7
[1] Section 14 Documents and records to be provided to association at first AGM
Omit "to the association at its first annual general meeting, or not later than 3 years after the
date of registration of the scheme, whichever occurs first, the following" from section
14(1).
Insert instead "the following to the association at least 14 days before the first annual
general meeting of the association, or within 3 years after the scheme is registered,
whichever is earlier".
[2] Section 25 Restriction on powers of associations during initial period
Insert after section 25(d)--
(e) appoint for a period extending beyond the date of the first annual
general meeting of the association--
(i) a managing agent, or
(ii) a facilities manager, or
(iii) another person to assist with the management, maintenance or
repair of association property.
[3] Section 30 Association to appoint committee
Insert "annual" after "first" in section 30(2).
[4] Section 31 Committee for association with 3 members or fewer
Omit section 31(4).
[5] Section 32 Committee for association with more than 3 members
Omit "corporation" from section 32(1). Insert instead "association".
[6] Section 32(1)(b)
Omit "exceed 9". Insert instead "be more than 15".
[7] Section 32(2)
Omit the subsection. Insert instead--
(2) The members of the association committee--
(a) must be elected at--
(i) the first annual general meeting of the association, and
(ii) each subsequent annual general meeting, and
(b) may be elected at another general meeting called to elect members of
the committee.
[8] Section 32(3)
Omit "special general meeting called for the purpose".
Insert instead "general meeting called to elect members".
[9] Section 32(4) and (5)
Omit the subsections.
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Schedule 4 Amendment of Community Land Management Act 2021 No 7
[10] Section 35 Persons who are not eligible to be elected to association committee
Omit section 35(1)(c). Insert instead--
(c) a real estate agent carrying out functions in connection with the leasing
of a lot in the association scheme or a subsidiary scheme,
[11] Section 35(5)
Insert after section 35(4)--
(5) If the office of a member is vacated under section 38(1)(h) or 39(1)(f), the
person is not eligible for appointment, nomination or election as a member for
the period of 12 months commencing on the day the resolution is passed.
[12] Section 38 Vacation of office of elected member of community committee or precinct
committee
Omit "in accordance with a special resolution" from section 38(1)(h).
Insert instead "by resolution at a general meeting".
[13] Section 38(4)
Omit "special resolution that determines". Insert instead "resolution".
[14] Section 39 Vacation of office of elected member of neighbourhood committee
Omit "in accordance with a special resolution" from section 39(1)(f).
Insert instead "by resolution at a general meeting".
[15] Section 39(4)
Omit "special resolution that determines". Insert instead "resolution".
[16] Section 54 Term of appointment of managing agents
Insert ", but not more than 6 months," after "3 months" in section 54(6)(a).
[17] Section 80
Omit the section. Insert instead--
80 Use of administrative fund or capital works fund for purposes of other fund
(1) This section applies if an association--
(a) transfers money from the administrative fund or capital works fund to
the other fund, or
(b) pays money from the administrative fund or capital works fund for
expenditure that should have been paid from the other fund.
(2) The association must, within 3 months of the transfer or payment, determine,
by resolution at a general meeting--
(a) whether the money, or part of the money, should be reimbursed to the
fund from which it was transferred or paid, and
(b) if the association determines that part or all of the money should be
reimbursed--the amount to be--
(i) transferred from the administrative fund or capital works fund to
the fund from which the transfer or payment was made, or
(ii) levied as a contribution to the fund from which the transfer or
payment was made.
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Schedule 4 Amendment of Community Land Management Act 2021 No 7
(3) Section 84(3) and (5) apply to a contribution determined under subsection
(2)(b)(ii).
[18] Section 88 Levying of contributions
Omit section 88(3). Insert instead--
(3) The date set out in the notice must be--
(a) for a contribution levied for the purpose of carrying out emergency
repairs--at least 14 days after the day the notice is given, or
(b) otherwise--at least 30 days after the day the notice is given.
[19] Section 88(6)
Insert after section 88(5)--
(6) In this section--
emergency repairs means urgent repairs to a building on association property
that are necessary to mitigate a serious and imminent threat to the health or
safety of the occupants.
[20] Section 90 Interests, discounts on contributions and payment plans
Omit "owners corporation" from section 90(6). Insert instead "association".
[21] Section 105A
Insert after section 105--
105A Limits on spending by association
(1) An association must obtain at least 2 independent quotations for proposed
expenditure for an item or matter that is more than the amount prescribed by
the regulations for this section.
(2) If the association is not able to comply with subsection (1), the secretary of the
association must add an item to the agenda of the next general meeting of the
association to note--
(a) the item or matter the quotations were required for, and
(b) the reasons the association was unable to obtain more than 1 quotation.
(3) This section does not apply to expenditure for emergency purposes, including
in relation to the following--
(a) burst or blocked water or sewerage pipes,
(b) serious damage caused by a storm, fire or another natural disaster,
(c) unexpected electrical or security system failures,
(d) glass breakages that affect the security of a building on association
property or could result in damage to the inside of the building.
(4) In this section--
independent quotations means quotations from persons who are not
connected with each other.
[22] Section 108A
Insert after section 108--
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Schedule 4 Amendment of Community Land Management Act 2021 No 7
108A Bonds or fees relating to keeping of animals not payable
An association must not require an owner or occupier of a lot in the scheme
to--
(a) pay a bond or fee relating to the keeping of an animal on the lot, or
(b) obtain insurance for an animal kept on the lot.
[23] Section 129A
Insert after section 129--
129A Keeping of animals
(1) Each of the following has no force or effect to the extent it would unreasonably
prohibit the keeping of an animal on a lot in the scheme--
(a) a by-law,
(b) a decision of an association made under a by-law.
(2) It is taken to be reasonable to keep an animal on a lot unless the keeping of the
animal unreasonably interferes with another occupant's use and enjoyment of
the occupant's lot or association property.
(3) The regulations may specify circumstances in which the keeping of an animal
unreasonably interferes with another occupant's use and enjoyment of the
occupant's lot or association property.
(4) A by-law prohibiting the keeping of an animal on a lot is not harsh,
unconscionable or oppressive if it does not unreasonably prohibit the keeping
of an animal on a lot.
Note-- Section 140(2) provides that the Tribunal may revoke part of a management
statement if the Tribunal is of the opinion that it contains a by-law that is harsh,
unconscionable or oppressive.
(5) An association is taken to have given permission for the keeping of an animal
on a lot if--
(a) the association made a decision about the keeping of the animal in
contravention of subsection (1)(b), or
(b) a decision of the association is required before the animal may be kept
on the lot and the association failed to make a decision within a
reasonable time.
[24] Section 130 Restrictions on by-laws for association schemes
Omit section 130(6) and (7).
[25] Section 130A
Insert after section 130--
130A Restrictions on by-laws--assistance animals
(1) A by-law of an association scheme has no force or effect to the extent it
would--
(a) prohibit or restrict the keeping on a lot of an assistance animal used by
an owner or occupier of the lot, or
(b) restrict, or impose an unreasonable burden on a person in relation to, the
use of an assistance animal on a lot or association property.
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Schedule 4 Amendment of Community Land Management Act 2021 No 7
(2) A by-law of an association scheme may require a person who keeps an
assistance animal on a lot to show the animal is an assistance animal by
providing one of the following to the association--
(a) evidence the animal holds an accreditation referred to in the Disability
Discrimination Act 1992 of the Commonwealth, section 9(2)(a) or (b),
(b) a statutory declaration verifying the animal has received the training
referred to in the Disability Discrimination Act 1992 of the
Commonwealth, section 9(2)(c),
(c) other evidence prescribed by the regulations.
(3) In this section--
assistance animal has the same meaning as in the Disability Discrimination
Act 1992 of the Commonwealth, section 9(2).
[26] Section 131 Procedure for amending management statement
Omit "common" from section 131(3)(b). Insert instead "association".
[27] Section 133, heading
Omit the heading. Insert instead--
133 Management statement to be given to lessee
[28] Section 133(2)
Omit "A lessor of land must ensure the copy of the lease submitted for execution by the
lessor".
Insert instead "The relevant person must ensure the copy of the lease submitted for
execution by the lessee".
[29] Section 133(3)
Omit "lessor". Insert instead "relevant person".
[30] Section 133(6), definition of "relevant person"
Insert in alphabetical order--
relevant person means--
(a) if the lessor leasing the land to the tenant is represented by a real estate
agent in relation to the lease--the real estate agent, or
(b) otherwise--the lessor.
[31] Section 164
Omit the section. Insert instead--
164 Form of records
(1) The association roll and other records required to be made or kept by an
association must be made or kept in electronic form.
(2) Subsection (1) does not--
(a) apply to a record made or kept before the day that is 6 months after the
commencement of the Strata Legislation Amendment Act 2023, or
(b) require a record made or kept before that day in a form other than
electronic form to be reproduced in electronic form, or
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Strata Legislation Amendment Bill 2023 [NSW]
Schedule 4 Amendment of Community Land Management Act 2021 No 7
(c) prevent an association from keeping duplicate records in a form other
than electronic form.
[32] Section 166, heading
Omit "for community associations and precinct associations".
[33] Section 166
Omit "Australian" wherever occurring in section 166(2)(a) and (c) and (3)(b).
[34] Section 196 Orders for appointment of managing agent
Omit "Secretary, an" from section 196(4)(b). Insert instead "secretary or another".
[35] Section 196(8)(e)
Insert at the end of section 196(8)(d)--
, or
(e) the Secretary.
[36] Section 219, heading
Insert "to association" after "given".
[37] Section 219(1)
Omit "lessor". Insert instead "relevant person".
[38] Section 219(1) and (3)
Omit ", in accordance with this section," wherever occurring.
[39] Section 219(2)
Omit the subsection. Insert instead--
(2) If the relevant person fails to comply with subsection (1), the tenant may give
notice of the lease to the association.
[40] Section 219(3) and (4)(b)
Omit "or sublease" wherever occurring.
[41] Section 219(4)(c)
Omit the paragraph. Insert instead--
(c) the name of the real estate agent managing the lease, if applicable.
[42] Section 219(6) and (7)
Insert after section 219(5)--
(6) The regulations may prescribe the documents or other evidence a tenant must
provide in giving notice of a lease under this section.
(7) In this section--
lease includes a sublease.
relevant person means--
(a) if the lessor leasing the lot to the tenant is represented by a real estate
agent in relation to the lease--the real estate agent, or
(b) otherwise--the lessor.
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Schedule 4 Amendment of Community Land Management Act 2021 No 7
[43] Section 224 Address for service
Insert "electronic address, including an" before "email" in section 224(2).
[44] Section 225 Service of documents on association
Omit section 225(2)(c). Insert instead--
(c) by sending it by electronic transmission to an address or location
nominated for the service of documents by--
(i) the chairperson or secretary of the association, or
(ii) a member of the association committee.
[45] Section 226 Service of documents by certain persons
Insert "or location" after "address" wherever occurring in section 226(2)(c).
[46] Section 226(3)(b)
Omit the paragraph. Insert instead--
(b) by sending it by electronic transmission to an address or location
nominated by the person for the service of documents.
[47] Section 226(4)(ca)
Insert "or location" after "address" wherever occurring.
[48] Section 227 Service of documents
Omit section 227(1)(a)(iii). Insert instead--
(iii) sending it by electronic transmission to an address or location
nominated by the person for the service of documents, or
[49] Section 227(1)(b)(ii)
Omit the subparagraph. Insert instead--
(ii) sending it by electronic transmission to an address or location
nominated by the body corporate for the service of documents.
[50] Section 233 Regulations
Omit section 233(2)(h). Insert instead--
(h) the service of documents, including by prescribing additional methods
of service for documents that are authorised or required by this Act or
the regulations to be given to a person,
[51] Schedule 1 Meeting procedures of associations
Omit clause 4. Insert instead--
4 Nomination of association committee candidates for election at meeting
(1) The written notice of an annual general meeting, or a general meeting called
to elect members of an association committee, must include a call for
nominations for members of the association committee.
(2) The following persons may nominate a person for election as a member of the
association committee--
(a) a member,
(b) a person entitled to vote at a general meeting of the association.
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Schedule 4 Amendment of Community Land Management Act 2021 No 7
(3) A person referred to in subclause (2)(a) or (b) may make a nomination even if
the person cannot vote because the person or another person is an unfinancial
member.
(4) A person must not be nominated for election without the person's consent.
(5) A nomination may be made--
(a) in writing before the election is held, or
(b) orally at the meeting at which the election is held.
(6) A written nomination must be given to--
(a) if the election is held at the first annual general meeting--the convenor
of the meeting, or
(b) otherwise--the secretary of the association.
(7) A written nomination must state--
(a) the name of the person nominated, and
(b) the name of the person making the nomination, and
(c) that the person nominated consents to the nomination.
(8) The convenor or secretary must--
(a) include all nominations already made in the notice of the meeting at
which the election is held, and
(b) give notice of subsequent nominations at the meeting.
[52] Schedule 1, clause 6(3)
Omit the subclause. Insert instead--
(3) The notice of a general meeting of the association must be given--
(a) for a community association that includes a precinct scheme--at least
21 days before the meeting, or
(b) for other community associations or a precinct association--at least 14
days before the meeting, or
(c) for a neighbourhood association--
(i) for an annual general meeting--at least 14 days before the
meeting, or
(ii) for a general meeting that is not an annual general meeting--at
least 7 days before the meeting.
[53] Schedule 1, clause 6(5)
Omit the subclause. Insert instead--
(5) If the giver and receiver of a notice would be the same person, the notice is not
required to be given to the person under this part.
[54] Schedule 1, clause 10(1)
Omit the subclause. Insert instead--
(1) A copy of the agenda for a meeting must be given to each tenant who has been
notified to the association as a tenant of a lot in accordance with this Act within
the relevant period specified in clause 6(3) for the giving of a notice.
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Schedule 4 Amendment of Community Land Management Act 2021 No 7
[55] Schedule 1, clause 24A
Insert after clause 24--
24A Voting limits for company nominees and persons acting under power of
attorney
(1) Either of the following may exercise voting rights at a general meeting of the
association on behalf of the owner of one or more development lots or
neighbourhood lots--
(a) in the case of an owner that is a corporation--a company nominee,
(b) a person acting under a power of attorney, if authorised by the power of
attorney.
(2) A company nominee, or a person acting under a power of attorney, may
exercise voting rights on behalf of not more than--
(a) if the scheme has not more than 20 development lots or neighbourhood
lots--1 owner, or
(b) if the scheme has more than 20 development lots or neighbourhood
lots--5% of the total number of lot owners.
(3) For subclause (2), a power of attorney that authorises a person to exercise
voting rights on behalf of an owner who is a member of the person's family is
not to be taken into account.
[56] Schedule 2 Meeting procedures of association committees
Omit ", unless the association committee otherwise determines" from clause 16(4).
[57] Schedule 2, clause 16(5)
Omit the subclause.
[58] Schedule 3 Savings, transitional and other provisions
Omit clause 4(2). Insert instead--
(2) A by-law continued in force by this Act is taken to be a valid by-law if--
(a) the by-law was a valid by-law immediately before section 128
commenced, and
(b) the by-law does not contravene this Act.
[59] Dictionary
Omit the definition of connected person. Insert in alphabetical order--
connected, in relation to 2 or more persons--see section 6.
real estate agent has the same meaning as in the Property and Stock Agents
Act 2002.
Page 25
Strata Legislation Amendment Bill 2023 [NSW]
Schedule 5 Amendment of other legislation
Schedule 5 Amendment of other legislation
5.1 Strata Schemes Management Regulation 2016
[1] Clause 25
Omit the clause. Insert instead--
25 Limits on spending by owners corporations
For the Act, section 102(1), the prescribed amount is $30,000.
[2] Clause 68A Service of documents or information--the Act, s 271(2)(m)
Omit the clause.
[3] Schedule 5 Penalty notice offences
Insert in appropriate order under the heading "Offences under the Act"--
Section 186(1) and (2) $110 for an individual or $220 for a corporation
[4] Schedule 5
Omit "Section 258" from Column 1. Insert instead "Section 258(1), (2) and (3)".
5.2 Community Land Management Regulation 2021
[1] Section 23A
Insert after section 23--
23A Limits on spending by associations
For the Act, section 105A(1), the prescribed amount is $30,000.
[2] Schedule 2 Penalty notice offences
Omit "$220" from the matters relating to section 148 and section 209(4), Column 2.
Insert instead "-".
Page 26
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