NSW Strata Schemes Face New Reporting Requirements

As of 1 May 2022, new regulations under the Strata Schemes Management Act 2015, made via the Strata Schemes Management Amendment (Information) Regulation 2021, will come into force. These amendments will impose new reporting requirements on strata schemes, with some details being made publicly available.

What is changing?

From 1 May 2022, strata schemes will need to lodge an annual return with Fair Trading and pay a $3 administration fee per lot, which will be used towards the running cost of the Strata Hub. (For larger strata schemes, this can quickly add up to a substantial amount.) This annual return also needs to be lodged within three months of each AGM. However, for strata schemes that run their first AGM on or before 1 May 2022, this timeframe extends to 1 August 2022.

The Strata Hub, which first went live on 31 July 2021, currently allows the Strata Building Bond and Inspections Scheme (SBBIS) functions to be dealt with through this portal. As of 1 May 2022, this annual reporting scheme will also be easily accessible by strata managing agents, lot owners, residents and the general public as a source for reliable information. Some of this information is detailed, so it is expected to be pre-populated using data already held by NSW Fair Trading to help speed up this data entry process.

Any changes to information already provided will also be required to be updated or corrected within 28 days after the secretary or managing agent becomes aware of circumstances requiring this action. Those that do not provide these updates will face fines of up to $2,200.

What information will the annual report contain?

The annual report is pretty detailed, with some information allowed to be disclosed publicly. The report is split into the following sections.

Basic information about the strata scheme: items (a) – (g)

1. the strata plan number for the strata scheme
2. the date that the strata scheme’s plan was originally registered
3. for strata schemes that are part of a larger community scheme, the registration date for the community scheme and its plan number
4. for strata schemes that are part of a precinct scheme, the registration date for the precinct scheme and its plan number
5. the address of the strata scheme
6. the total number of lots that are in the strata scheme
7. how many lots are used:
   1. as residences (like townhouses and apartments, but excluding retirement villages)
   2. for a retirement village or commercial activity (such as an office or shop)
   3. for any other purpose

Building and safety information: items (h) – (l)

8. if the scheme has any NABERS ratings – the ratings that are assigned to the strata scheme
9. the date that the strata scheme’s interim and final occupation certificates were issued, if the scheme received these certificates
10. the date of the most recent annual fire safety statement, for buildings that must have one
11. for any class 2 buildings in the scheme, how many storeys the building has above ground
12. the insured replacement value for the strata scheme or – if the strata scheme is only a part of a larger building – the replacement value for the part of the building that holds the scheme

Management of the scheme: items (m) – (r)

13. the contact details for the secretary of the owners corporation: 
    1. name
    2. phone number
    3. email address
14. the contact details for the strata managing agent (if there is one):
    4. name
    5. phone number
    6. email address
    7. licence number
15. the contact details for the building manager (if there is one):
    8. name
    9. phone number
    10. email address
16. the date of the most recent AGM
17. the balance of the scheme’s capital works fund, as reported in its most recent financial statement
18. whether the strata scheme has formed a strata renewal committee

What information will be made publicly available?

The details from the annual return, which will be made public on the NSW Fair Trading website, will include the following:

• the strata plan number, address and date of registration
• the number and purpose of lots in the scheme
• whether the strata scheme is part of a parent community or precinct scheme
• the number of storeys above ground (for apartment buildings), and
• the date of the most recent AGM

Get in touch

To learn more about these upcoming changes, contact the friendly team at The Strata Collective today.