(Updated 2023-05-18) Strata Charged $400+ for Aircon Installation Approval

Update at 2023-05-18:

I replied I'd like to wait until AGM and confirmed again if there's $165 required to add my aircon approval to next AGM discussion.

Here's the strata reply:

Thanks for your email, yes as per the management Agreement there is an admin charge of $165 to review the application, prepare the motion on the AGM agenda and finalise the paperwork and save on the building file.

Currently I raised a complaint on the strata's website. I texted our Committee chairman yesterday and there's no reply yet. Will wait and see.

Thanks for your all advices and encouraging words! Thanks for letting me know it's something out of ordinary and unfair. It gives me courage to action.

=======Update at 2023-05-17=======

The strata manager send the by-laws, claimed that there's legal requirement to hold a strata committee meeting for aircon installation.

I read the by-laws, and point out there's no word saying that the meeting is necessary.

Here's strata's reply:

Please seek your own independent legal advice, I have provided you the correct guidance, approval is required at a Stata Committee Meeting for your renovation or alternatively at an AGM.

A charge of $165 for Admin will be charged to add your Minor Renovation approval to the AGM.

I don't really mind to hold my application until AGM, however it seems out of reason to charge another $165 admin fees just for bring my topic to the meeting.

Is it legal for a strata to do so? I have already in touch with the committee and currently waiting for response. Is there other thing I can do?

====== Original post ======

So recently I want to install an aircon in my living room. I obtained license from aircon contractor, prepared illustration of installation, filled the approval documents, etc. I have done that before for my bedroom, and the last time my application was approved by 4 committee members without any additional meeting and charges.

This time, after I send my documents to the strata, it says I need to pay $132 for the meeting and $280.00 for the issuing of notices and minutes for the meeting approval.

Fllowed by my further enquiry, here's the strata's reply:

A Strata Committee meeting is required to approve your minor renovation. As the meeting is required by you only, the for the approval of your renovation the meeting is charged to your lot $132.00. The postage of notices and minutes on the meeting are also at your cost, normally these are $16.50 per lot as the meeting is to be by electronic voting, I can adjust this down to $2.50 per lot for the Agenda and Minutes $280.00.

At this time, I have not charged for any admin in processing your application and communication with you. This is normally charged at $165 per hour min 1 hour charge.

I'd like to understand, is it reasonable to hold a strata committee meeting just for an aircon installation? There's nothing special to my aircon installation (outdoor unit is on my balcony), and the last time the strata just send my application to the 4 committee members and then it was approved.

Also, is it reasonable to call for $165 per hour 'communication fees' just for my application emails?

I'm in Sydney and now kind of at a loss. Any tips and advice will be appreciated.

Comments

  • +2

    Please seek your own independent legal advice, I have provided you the correct guidance, approval is required at a Stata Committee Meeting for your renovation or alternatively at an AGM.

    Now they are going to refuse to approve your aircon. Imagine having to bow down to some goose to do something in your own home.

  • +8

    Attend the next AGM. Move a motion to change the Strata Management company

    • He's got no voting rights and raising a motion to change SM will only escalate the situation.

  • +3

    I need to pay $132 for the meeting

    $132 for cakes, sandwich and coffee.

    It is dumb, the committee members are also owners and they dont want to pay such fees themselves if they ever need to also do the same installation. Ask for an email circular approval and if strata manager doesnt play ball, do it without permission. End of the day, the strata manager can be fired.

  • It is odd that they are asking for admin fee to have notion. As others have pointed out usually it is done via two ways:

    A. Ask via email and strata committee votes
    B. Or via AGM

    I haven't heard of paying any fees. If fees, they should charge the general building and not individual.

    Probably worthwhile joining committee next time. You can vote on your own things.

    How big is your building? How many people in committee?

    Another option you have is:
    - Ask manager to give you strata roll. They are legally obligated to provide that to an owner. That will contain contact email to all owners. You can send email or ask to join whatsapp group.
    Can tell you problem and see if anyone is sympathetic. This will atleast start some chain reaction if people feel they need new strata manager

    • It's an old building with 50+ units, and 6 committee members.
      I will see how to join the committee before next ATM happen.

      • 'I will see how to join the committee before next ATM happen'

        unlikely - the committee is normally formed by votes at each ATM

        not sure about otherwise - e.g. if one member resigns, whether someone else can step in

  • +2
    1. Ditch the strata company
    2. Get on the committee
    3. The admin fee is bullshit. You pay the strata manager to put shit on the agenda. That's there job. There isn't an "admin fee" on top.
    4. Air con often requires a bylaw. But that doesn't need an AGM. You should be able to get in passed just from the committee members.
  • +2

    Outrageous. Plain and simple. Install it. Another reason to avoid body corporate housing at all costs.

    • Or just self-manage. Not sure why so many Australians are not considering this.

  • +1

    I had an AC and Solar approved via my body corp without fees. They send around a “voting outside of committee meetings” notice and the members voted on that. Took like 3 weeks for the AC, a month or so for the Solar. Being charged sounds unfair. You already pay fees. Doing their job should be included in those fees.

  • +1

    Strata is run by business not the charity so nothing is free and if you really want free stuff or pay only what you think is the right amount then run strata by your own society/ unit owners as it is possible to self run it by members but I guarantee that it will be hard to convince people to run the show themselves unless everyone living below poverty line … !

    Changing strata company to cheaper alternative is also possible… But don't waste everyone time trying to discuss dumb stuff … !

  • +1

    They’re just trying to scam you out of fees. Absolute pricks

  • Hey OP - have just read your updates. Just wondering how many total dwellings in your strata?

    • +1

      It's an old building with 50+ units, and 6 committee members

  • +4

    Thanks for the updates OP, you're a legend. Hope you get the result you want.

  • +1

    I am the chairman of our strata and we never charged anyone for the minor request. We generally do a committee meeting either in person or via video call and make decisions and then inform our SM as to the outcome of the meeting.

    I will highly recommend that to look after your own investment, you should join the committee - the excuses that we are too busy that we often hear from residents are very lousy tbh.

  • -6

    The amount of time spent arguing is already 165 bucks. Pay and move on and consider not living in strata when you move next.

  • -2

    Which building in Pyrmont you live in?

    • Never give out personal info on the internet.

  • That strata life for you. I’d never get involved in something that I’m held to ransoms over.

    • totally agree - in retrospect I never would have done all of those stupid things I now regret ;-)

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