(1) A residence
contract must include the financial provisions or matters listed in the Table.
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Item
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Financial provision or matter
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1.
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A provision setting out any premium payable by the resident in relation to a
right to occupy residential premises in the retirement village including a
description of any amenities forming part of, or provided or made available
with, the residential premises that are covered by the premium.
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2.
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A provision setting out the right of the resident to repayment of any premium
on the termination of the residence contract including —
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(a) the method of calculation used to determine
the repayment; and
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(b) when and how the repayment is to be made; and
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(c) any exit fee, commission or other charges for
which the resident may be liable before the premium is repaid and if relevant,
the method of calculation used to determine the amount of the exit fee,
commission or charge; and
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(d) an explanation of the purpose of each exit
fee, commission or charge referred to in paragraph (c) including a
description of any services or amenities to which the exit fee, commission or
charge relates; and
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(e) when and how the exit fee, commission or
charge is payable by the resident; and
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(f) a reference to Note 3.
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3.
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A provision setting out payments to be made by the resident on a recurrent
basis towards the operating costs or expenses of the village
including —
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(a) a description of any amenities or services to
which the operating costs or expenses relate; and
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(b) the basis for the determination of the current
and future amounts of any payments; and
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(c) details of when the payments are to be made;
and
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(d) whether the resident will be liable for any of
the payments if the resident permanently vacates the residential premises and
another person has not been admitted to occupation of the premises under the
retirement village scheme and if so, how long the resident will be liable for
the payment; and
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(e) a reference to Note 2.
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4.
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A provision setting out any payments to be made by the resident on a recurrent
basis that are not payments referred to in item 3 including —
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(a) a description of the purpose of the payments;
and
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(b) the basis for the determination of the current
and future amounts of the payments; and
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(c) details of when the payments are to be made;
and
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(d) whether the resident will be liable for any of
the payments if the resident permanently vacates the residential premises and
another person has not been admitted to occupation of the premises under the
retirement village scheme and if so, how long the resident will be liable for
the payment; and
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(e) a reference to Note 2.
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5.
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A provision setting out the details of any reserve fund operating in respect
of the retirement village, including the following —
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(a) the purpose of the fund;
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(b) any payment the resident is required to make
to the fund in the form of —
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(i)
recurrent charges; or
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(ii)
an amount to be deducted from the premium repayable to
the resident after the resident permanently vacates the premises;
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(c) any payment the administering body is required
to make to the reserve fund under section 23(5) of the Act;
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(d) the amount and source of any other income used
to meet expenditure from the reserve fund;
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(e) the method of calculation used to determine
the payments or amounts referred to in paragraphs (b) to (d);
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(f) a reference to Note 2.
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6.
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If the costs of carrying out maintenance, repair, renovation or replacement
work in respect of buildings, structures, fixtures, chattels and other capital
items in the village are not paid out of a reserve fund operating in respect
of the retirement village, a provision setting out —
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(a) the contributions to be made by the resident
and by the administering body to those costs; and
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(b) the method of calculation used to determine
the contributions to the costs; and
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(c) how any contribution to the costs by the
resident is to be paid.
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7.
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A provision setting out —
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(a) who is responsible for the cost of any
independent audit of the annual financial statements of the retirement village
carried out in accordance with the Code; and
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(b) if the cost is to be shared between the
administering body and the residents, how such costs are to be apportioned
between the administering body and the residents.
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(2) However, the
provisions or matters listed in items 1, 2, 5(b)(ii), 6 and 7 of the
Table to subregulation (1) do not apply to a residence contract if the
residence contract is a short‑term residence contract.
Western Australian Current Regulations