What does an Owners Corporation Committee do?

Ah, the Committee!  A commonly misunderstood entity in the Owners Corporation space that plays a vital role in the management of your property and its affairs.  Let us first elaborate on their arrangement before getting into the nitty-gritty of what they do. 

An Owners Corporation with 13 or more Lots must elect a Committee at each Annual General Meeting.  Owners Corporations with less than 13 Lots may elect a Committee, but it is not mandatory. Also, a Committee must have a minimum of 3 and no more than 12 Members. 

To nominate for the Committee, one must be a (financial) Lot Owner or hold a proxy for a (financial) Lot Owner.  Once elected, Members must hold office until a new Committee is elected.  At its first meeting, the Committee will elect a Chairperson and a Secretary, the details of which can be found on the Consumer Affairs Victoria website. 

The Committee is required to act honestly and in good faith in managing the Owners Corporation’s affairs.  Members of the Committee can expect to perform an array of tasks, not limited to:

  • Attend and vote on matters at Meetings,
  • Direct the Owners Corporation Manager in their duties,
  • Submit items to be included on the Agenda for discussion and/or resolving,
  • Review contracts and services and appoint or change providers,
  • Attend onsite inspections with the Owners Corporation Manager,
  • Handle complaints and attend to the dispute resolution process,
  • Formulate various processes i.e. invoice approval, reviewing Minutes etc.
  • Oversee requests and give decisions on behalf of the Owners Corporation,
  • Prepare a report to the Annual General Meeting along with a proposed Budget,
  • Discuss possible solutions to various problems,
  • Perform research, obtain quotes, and provide recommendations to full Committee,
  • Review the financial performance of the Owners Corporation.

Bearing in mind Committee Members are volunteering their time, you can start to understand why some issues may take a little longer than you would like ideally.  It is worth also noting Owners Corporation Managers have no decision-making ability and act solely at the direction of the Committee on behalf of the Owners Corporation. 

Becoming a Committee Member can be a highly rewarding experience where you get to have a hands-on role steering your Owners Corporation in the right direction.  You gain valuable soft skills in attending meetings and cooperating with other stakeholders and learn a lot about what goes on behind the scenes at your property. 

We hope this provided a little insight as to how Committees work and what they do.  Our Owners Corporation Managers are Members of Committees themselves and understand first-hand the unique requirements of each one.  If you are on a Committee and require assistance in managing your OC’s affairs, we’d be delighted to have a conversation as to how we could assist.