POWERS AND DUTIES OF A STRATA
CORPORATION & THE ROLE OF THE
STRATA COUNCIL
Presented by:
Sean Ingraham - FirstService Residential
Jamie Bleay - Access Law Group
Introduction
Awareness of powers and duties, roles and
responsibilities and what can and should be
delegated is essential to avoid internal and
external challenges to decision-making,
including financial and non-financial decisions.
Agenda – Duties and Responsibilities
1.
2.
3.
4.
5.
6.
Strata Corporation and the Strata Property Act
Strata Council and the Strata Corp. Bylaws
Strata Management Company’s role
Onsite functions
Bringing it all together
Questions and answer
Strata Corporation
What exactly is a Strata Corporation?
• A Strata Corporation is a legal entity that comes
into existence when the strata plan is filed in the
land title office which allows for the subdivision
of a parcel of land “into separate components,
called strata lots, individually owned along with
common components, called common property,
owned by all owners.” (section 2 & guide # 3Province of British Columbia – Role and
Responsibilities of Strata Corporations)
Strata Corporation Power and Duties
A Strata Corporation’s general responsibility is
created through the Strata Property Act in Part 2
Section 3 which states:
A Strata Corporation is responsible for managing
and maintaining the common property and
common assets of the Strata Corporation for the
benefit of the owners.
Powers & Duties of a
Strata Corporation
Powers and duties under the Act include:
• Preparing and keeping records - Section 35
• Entering into contracts – Section 38
• Holding annual and special general meetings –
Sections 40 and 42
• A Strata Corporation is required to have an
annual budget for annual operating expenses
Part 6 – Finances
Powers & Duties of a
Strata Corporation
• Duty to repair and maintain common property –
Section 72
• Power to borrow money – Section 111
• A Strata Corporation can sue (and be sued) as a
representative of the owners – Part 10 – Legal
proceedings and arbitration
• Power to sue an owner for monies owing – sections
112 to 118
• Power to make bylaws and rules – Part 7 – Bylaws and
rules
• Power to enforce bylaws and rules - Section 26
Strata Corporation and
the Strata Property Act
Under the bylaws:
• Considerable decision-making powers and
dispute resolver– see bylaws 3, 5, 6, for example
• Debt collector – bylaw 1
• Refinement of repair and maintenance
obligations – bylaw 9
• Spending/spending restrictions – bylaw 21
• Fines – bylaw 23
Strata Corporation and
the Strata Property Act
• The Strata Corporation therefore has a wide
variety of duties and responsibilities.
Who will exercise the power and duties of the
Strata Corporation?
Strata Council and the
Strata Property Act
Strata Councils!
Part 4 of the Strata Property Act
• The eligible voters (ownership) must elect a
Council.
• The Council must exercise the powers and
perform the duties of the Strata Corporation.
Strata Council and the Strata
Corporation Bylaws
Clarifying the Strata Council Role.
Bylaws outline important information:
• Council make up and size
• Officer positions
• Ability to delegate
• Meeting guidelines
• More duties and responsibilities
Duties and Responsibilities:
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Obtain quotes for landscaping, carpet cleaning, powerwashing of parkade/sidewalks/window
washing etc.
Guide strata through major building repairs
Obtain engineers report / depreciation report
Maintain and coordinate schedule for maintenance of quarterly, semi and annual building
items i.e in-suite fire inspections, alarm monitoring, elevator(s), winterization, emergency
generator etc.,
Educate owners on various issues i.e. security in and around strata, bylaw infractions,
importance payment of strata fees, insurance
Send correspondence on behalf of strata council- letters, building notices, meeting minutes,
etc.
Maintain and provide financial records, insurance, appraisal and all strata records
Issue Form F and Form B’s for realtors/lawyers for sale of units
Attend and record council meeting minutes and provide agenda and necessary attachments.
Ensure Annual General Meetings are held and if necessary Special General Meetings.
Provide knowledge/interpretation of Strata Property Act
Liaise with onsite staff and contractors when necessary
Facilitate key fob, parking, locker, security audits, if necessary
Ensures owner’s requests for in-suite renovations are directed to strata council and relay
strata council’s response to owner.
Provide interpretation of strata corporation bylaws and when necessary register Form I –
Bylaw Amendments.
Provide warranty updates if necessary
And so much more
Strata Management
The Strata Council can delegate many of the
duties to a Strata Management company.
The Strata Management company works for the
Strata Corporation but takes direction from the
Strata Council.
Strata Management
Tasks that cannot be delegated using the
standard bylaws:
• Bylaw contraventions and fines
• Denying access to amenities
• Spending funds without a Strata Council
resolution
Strata Management
Tasks that cannot be delegated regardless of
bylaw:
• Be a proxy holder
• Hold hardship hearings in regards to rentals
• Hold hearings in regards to bylaw
contraventions
Onsite Functions
Onsite Building Functions
a. Providing access to trades
b. Posting notices
c. Monitoring the building and residence
d. Security
Powers & Duties of
the Strata Corporation
Typical Scenario
Noise complaint from an owner.
a. Strata Manager receives correspondence (delegated)
b. Strata Council directs a violation letter be sent to the alleged
(duty)
c. Strata Manager send letter. (delegated)
d. Strata Manager receives response requesting hearing.
(delegated)
e. Council holds hearing and meets alleged. (duty)
f. Council directs $25 fine be issued. (duty)
g. Strata Manager issues violation fine. (delegated)
Powers & Duties of
the Strata Corporation
Streamlining operation tips:
• Read the bylaws – 1st annual council meeting
• Authorize the Strata Manager a maximum
limit on general spending. Example $2000
• Committees – Harness passions
• Point person on Council
• Lock boxes for small Strata Corporations
Strata Corporation and
the Strata Property Act
Important considerations to keep in mind:
1. Take the role seriously;
2. Avoid pursuing your own agenda or risk
significant consequences;
3. Know when it is time to step down; and
4. Know when to seek outside help when things
go wrong and let someone else be the condo
cops!
www.youtube.com/watch?v=-RLGMjWv48Q
POWERS AND DUTIES OF A STRATA
CORPORATION & THE ROLE OF THE
STRATA COUNCIL
Questions?
POWERS AND DUTIES OF A STRATA
CORPORATION & THE ROLE OF THE
STRATA COUNCIL
Presented by:
Sean Ingraham - FirstService Residential
Jamie Bleay - Access Law Group