Body corporate decision making: What is a motion and how do owners submit one?

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Body corporate motions are governed by the Body Corporate and Community Management Act 1997 (BCCM Act) and its associated regulations. The legislation outlines the process for submitting motions for both general meetings and committee meetings, ensuring that lot owners have the right to participate in body corporate decision-making.

A motion is a formal proposal put forward for discussion and decision-making by members of a body corporate. It represents an action, change, or proposal that requires approval.

Motions can range from simple decisions, like approving the previous meeting minutes, to more significant matters, such as changing by-laws or approving major financial expenditures.

Motions are voted on during committee meetings or at general meetings (annual or extraordinary general meetings AGM/EGM). The type of motion being considered and what restrictions are in place determine whether a committee vote or a vote by owners is required.

Types of general meeting resolutions

There are different types of motions, and the process for their approval varies. Here are the main ones:

1. Ordinary Resolution

What it’s for: Routine decisions, such as approval of meeting minutes, budgets and levies, insurance or selection of service providers for maintenance or repairs.

Voting requirement: for the motion to be carried/passed, the motion must have more ‘yes’ votes than ‘no’ votes. Any lot owner who owes a debt to the body corporate cannot vote on a motion decided by ordinary resolution. 

2. Special Resolution

What it’s for: For more significant decisions with a greater impact, such as changes to by-laws (excluding exclusive use by-laws), an improvement to common property exceeding $2,000 per lot, or the audit motion or a motion to engage a body corporate manager to act in place of a committee.

Voting requirement: A special resolution only passes if at least two-thirds of the votes cast are in favour, with no more than 25% of votes and contribution schedule lot entitlements opposing. Abstentions are excluded from the count. Any lot owner who owes a debt to the body corporate cannot vote on a motion decided by special resolution. 

3. Resolution Without Dissent

What it’s for: Critical decisions that require the full support of lot owners, such as changes to exclusive use by-laws, changes to lot entitlements, or to sell or dispose of a part of common property. Any lot owner who owes a debt to the body corporate can vote on a motion with a resolution without dissent.

Voting requirement: for the motion to be carried/passed, the motion shall not have any ‘no’ votes recorded against the motion – all owners must either vote in favour or abstain.

4. Majority Resolution

What it’s for: Rare but significant decisions such as economic reasons resolutions or termination resolutions (i.e. terminating or dissolving a body corporate scheme). Votes must be in writing and proxies aren’t allowed.

Voting requirement: for the motion to be carried/passed, more than 50% of eligible voters must vote in favour of the motion.

For a more in-depth look at the types of general meeting resolutions, check out our article voting in a body corporate: general meeting resolutions.

Key requirements for submitting a motion

General Meeting Motions

  • Any lot owner can submit a motion to the body corporate for consideration at an AGM or EGM.
  • Motions must be submitted in writing, clearly worded, not exceeding 300 words, and include relevant supporting documents – for example quotations, reports or explanatory material.
  • Motions must be enforceable – it must propose an action or decision that can be practically carried out by the body corporate and cannot be in contradiction to any other law or regulation.
  • There are specific deadlines for submission
    • Annual General Meeting: Motions must be submitted prior to the close of the financial year of the body corporate.
    • Extraordinary General Meeting (EGM): motions can be submitted at any time throughout the body corporate’s financial year and the motion must be included on the agenda for the next general meeting. The motion must be submitted in enough time for the committee to include in on the agenda. For example, the notice period for a general meeting is 21 days so the motion must be received prior to the notice period.
  • The owner submitting the motion(s) must not owe a debt to the body corporate at the time of submission. 
  • Once a year motions – some motions cannot be considered more than once in a body corporate’s financial year, such as changes to the regulation module, changes to payments to service contractors, and variations to caretaking and letting agreements where the motion seeks an extension to the contract term.

Committee Motions (Recent Change)

  • Recent amendments allow owners to submit formal motions directly to the body corporate committee for a decision, not just discussion.
  • The committee has 6 weeks after the day the motion has been submitted to make a decision but should make decisions as soon as practicable. If the motion is not approved within 6 weeks the motion is considered to be defeated.
  • The decision-making period does not apply to motions considering an animal request
  • The committee does not have to make a decision if the motion submitted is about the same issue, or the owner has submitted 6 or more motions within the same 12 months.
  • The committee must not decide on motions if:
    • it is a restricted issue of the committee,
    • conflicts with the Act, regulations or any other law,
    • conflicts with a motion already voted on at the meeting or
    • is unlawful or unenforceable in any way.

Your body corporate manager only acts as a facilitator – forwarding the motion as written to the committee without deciding on its outcome.

BCsystems provides an online form for committee and general meeting motions for submission.

Including motions on the agenda (committee/AGM/EGM)

When an owner submits a motion, it must be included on the meeting agenda and voting paper exactly as written, without any changes to its wording. This ensures that the owner’s intentions are preserved and fairly presented to other lot owners.

However, while the body corporate cannot refuse to include a motion (other than if the motion submitter owes a debt to the body corporate), there are instances where a motion may be ruled ‘out of order.’ The chairperson at the general meeting has the authority to declare a motion out of order if it is:

  • Unlawful
  • Unenforceable
  • In conflict with the Body Corporate and Community Management Act 1997 or relevant regulations

If a motion is ruled out of order, it will not be voted on, even if it appears on the agenda. Owners should carefully review the legislation and seek advice if they are unsure whether their motion complies with the law.

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