Fees
Setting fees
Owners corporation can set:
• annual fees to cover general administration, maintenance, insurance and other ongoing costs. If the owners corporation is required to have a maintenance fund, the annual fees must include contributions to the fund. The owners corporation can decide the fee amount, how they are paid and when payment is due.
• special fees or charges to cover extraordinary or unexpected expenditure eg for urgent repairs. A special resolution is required if the amount of the proposed special fees is more than double the amount of the owners corporation’s annual fees.
Lot owners must pay their share of annual and special fees according to lot liability and in line with the budget.
Invoices for fees issued by the owners corporation must be in the approved forms and be sent out at least 30 days in advance.
Late payment of fees and charges
A lot owner who has not paid their fee, cannot vote on ordinary resolutions. They can attend owners corporation meetings but can only vote on special or unanimous resolutions.
An owners corporation can: charge penalty interest on money owing; take action to recover debts; levy annual fees to recover recurrent and extraordinary expenses; charge penalty interest on overdue fees.
An owners corporation or its manager cannot charge a lot owner any other fees or charges, such as an ‘administration fee’, for overdue owners corporation fees.
