The Queensland Government has introduced a Bill to undo those
parts of the April 2011 amendment to the Body Corporate &
Community Management Act that relate to the contribution
entitlements for existing Community Titles Schemes.
Owners in schemes that have had adjustment order contribution
entitlements reversed will be able to apply to have the
entitlements reinstated. This means that where the Tribunal has
made a determination as to what is fair and equitable in relation
to contribution entitlements; that determination can now be
The other effect is that contribution entitlements in a
Community Titles Schemes can again be reviewed and adjusted to
maintain an equitable allocation of the costs of operating the
Community Titles Schemes rather than being locked into the original
entitlements that may no longer be appropriate.
Body Corporate Committees and Managers need to be aware of the
process required as there are strict timelines and penalties of up
to $11,000 for non-compliance. Once an owner makes an application,
the Committee only has 60 days to:
identify the last adjustment order entitlements for the
consider any amalgamations or subdivisions of lots or any other
material changes to the scheme and put together a proposed
contribution entitlement schedule;
write to all owners informing them an application has been
made, giving them a copy of the last adjustment order entitlements
and informing all owners of the Committee's proposed
contribution entitlements schedule; and
inviting owners to make submissions within a submission period
of no less than 28 days.
Once a submission period is closed, the Committee must review
the submissions, consider if any modifications are required and
make a decision.
The Committee must notify all owners of the decision within
seven days and lodge the new CMS for registration within 90
A well informed Committee must also be prepared to deal with
objections by owners. The grounds for objection are limited to
circumstances where the entitlements proposed by the committee do
not reflect the last adjustment order entitlement modified to deal
with lot subdivisions or amalgamations or other material
Thynne & Macartney's property team has extensive
experience in supporting Body Corporate Committees and Managers in
navigating these emotive provisions and would be pleased to assist
Committees and owners in relation to these issues.
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
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