When the Sectional Titles Schemes Management Act no 8 of 2011 was promulgated in October 2016, many trustees and owners in sectional title schemes were under the impression that special levies were now a thing of the past. What lead to this impression was the obligatory requirement for a maintenance, repair and replacement plan (MRRP), compelling schemes to save for...
Each new year presents its own challenges for a body corporate. Body corporate planning allows unresolved matters from the previous year to be attended to and for all the role players to reset for the year ahead. What pro-active planning can be done? Every year body corporate trustees must ensure that they deal with legislative requirements that make their scheme compliant. The trustees,...
There are very few bodies corporate that function effectively without a managing agent. The responsibilities placed on trustees can be onerous, requiring dedication as well as knowledge of sectional title legislation. To make matters worse, trustees are not paid for their time and often not appreciated. The impact of low fees on service delivery The appointment of a managing agent is contractual of...
The income from levies is what enables a body corporate to pay for services provided and maintenance of the common property. As members in the scheme are proportionately responsible for their share of levies, it is essential that they pay their levies timeously. When members do not pay their levies, it can quickly result in financial distress for the body...
While many schemes have their financial year-end in February or June, it will vary from scheme to scheme. Regardless of the month in which the financial year falls, a body corporate must prepare an administrative budget for submission at the annual general meeting (AGM). To do this, the trustees must plan to allow themselves the time to put together an...