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The role of The Body Corporate Committee

The body corporate committee

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A body corporate committee is an essential component of managing community living arrangements, particularly within properties governed by a community management statement (CMS).

This article looks at the role of the body corporate committee and why it is necessary, its election process, and the responsibilities of its members.

Why is a body corporate committee necessary?

In Queensland, the establishment of a body corporate committee is mandated by law under the Body Corporate and Community Management Act 1997 (BCCM Act). The committee is responsible for the day-to-day management and administration of the body corporate, ensuring that the community operates smoothly and in compliance with relevant by-laws and regulations.

Without a committee, the body corporate would lack the necessary structure to make decisions, maintain common property, and manage funds effectively.

How the committee is formed?

The committee is elected annually at the Annual General Meeting (AGM) of the body corporate. A valid committee must consist of a minimum of three and a maximum of seven members, including at least a chairperson, secretary, and treasurer. For schemes under the Small Schemes Module, only a secretary and treasurer are required.

Roles and responsibilities of the body corporate committee

Administrative and day-to-day management

The primary function of the body corporate committee is to oversee the administrative and day-to-day operations of the body corporate. This includes:

  • Managing and maintaining common property: Ensuring that all common areas, such as gardens, pools, and communal facilities, are well-maintained and in good repair.
  • Enforcing by-laws: Making sure all residents adhere to the scheme’s by-laws, covering aspects like noise control, pet ownership, parking, and use of common areas.
  • Financial management: Overseeing the administrative and sinking funds, ensuring there are sufficient resources to cover ongoing maintenance and future capital works.

Decision-making

The committee is empowered to make decisions on behalf of the body corporate. These decisions can be made during committee meetings or through voting outside of formal meetings.

These decisions must be in the best interests of the property, owners, and the body corporate, and align with the current legislation and spending limits. The committee must also act reasonably in its decision-making.

Executive committee members

The committee typically includes three executive positions:

Chairperson: Presides over meetings, ensures the committee functions smoothly, and represents the body corporate in official matters.

Secretary: Handles administrative tasks, including maintaining records, issuing notices for meetings, and keeping minutes.

Treasurer: Manages the financial affairs of the body corporate, including preparing budgets, keeping financial records, and ensuring that funds are properly allocated and spent.

In most schemes, the body corporate will engage a body corporate manager who performs most of these delegated duties.

Legal framework

The operation and responsibilities of the body corporate committee are guided by the BCCM Act and the relevant regulation modules the scheme is registered under – accommodation, standard, commercial, small schemes, specified 2 lot scheme.

These legislative frameworks provide detailed guidelines on the formation, election, and duties of the committee, ensuring transparency and accountability.

Collaboration with body corporate manager and onsite manager

The body corporate committee often works closely with a body corporate manager and, where applicable, an onsite manager, to ensure effective management of the property within the legislative framework.

The body corporate manager provides professional administrative support, assisting with tasks such as preparing financial statements, coordinating meetings, and ensuring compliance with legal requirements. This professional expertise helps streamline operations and ensures that the committee’s decisions are implemented correctly and efficiently.

The onsite manager, who is typically responsible for the daily physical upkeep of the property, works directly with the committee to address maintenance issues, supervise contractors, and handle resident concerns.

This collaboration ensures that both administrative and operational aspects of the body corporate are managed effectively, contributing to a well-maintained and smoothly functioning community.

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