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SCA Report
Changes to BUGTA
Queensland is perhaps the only jurisdiction in Australia with multiple, complex pieces of strata legislation. Many readers of Resort News will know and love (or not) the Body Corporate and Community Management Act 1997.
But there are almost 600 schemes across the state regulated by much older, and in some instances their own special piece of legislation. These are the Building Units and Group Titles Act 1980 (BUGTA) and the Mixed-Use Development Act 1993 (MUDA). There are also a select few scheme specifi c Acts such as the Sanctuary Cove Resort Act 1985 which have some interplay. Following signifi cant issues being found and widely circulated, the Queensland Government chose to act.
The Building Units and Group Titles and other Legislation Amendment Bill 2022 is currently before the Legal Aff airs and Safety Committ ee for review. This Bill will amend the Building Units and Group Titles Act 1980 (BUGTA) and the Mixed-Use Development Act 1993 (MUDA). These Acts regulate several complex, layered resort style schemes that were not moved across to the Body Corporate and Community Management Act (1997) aft er the passage of that legislation through parliament. These changes were brought about by signifi cant issues at the Couran Cove development on South Stradbroke Island.
Kristi Kinast,
President, SCA (QLD)
These changes, despite being prompted by a single scheme will impact more widely on many people who live and work in BUGTA and MUDA schemes.
It is important to understand that the BUGTA regulates large, complicated schemes and these communities are oft en reliant on their body corporate to deliver many of the services most of us ordinarily expect to be delivered by our local council. This includes services such as rubbish removal.
The changes are extensive and will aff ect about 580 schemes which are still governed by the BUGTA and other associated Acts in Queensland. SCA (Qld) has been involved in consultation and development of this Act for several months now and we are mostly pleased with the fi nal product. Recently members of the advocacy team, including myself, appeared at a public hearing into the Bill. We advocated strongly for important protections for bodies corporate constituted under the BUGTA and for the rights of proprietors in schemes to participate in body corporate decision-making. The Bill as it stands is a signifi cant improvement on the exposure draft , and much of the credit for this re-draft ing can go to the SCA (Qld) Board and specifi cally the advocacy directors. This is a direct win for strata which SCA (Qld) can chalk up as its own. It shows just how much energy and impact the sector has, when we work as a unit together. Positive reform to the strata sector requires all stakeholders, including managers, lot owners and service providers to work together to balance competing interests and deliver equity and fairness. We believe the Bill as it stands mostly achieves this. The major changes that are afoot include a requirement for BUGTA bodies corporate to act reasonably; obligations to recover unpaid levies aft er two years and two months; very strict requirements around who can be a member of a committ ee; the ability for a referee to make costs orders in very specifi c circumstances; and new information and education services for BUGTA regulated schemes. Beyond the specifi cs of the Bill, the changes to the BUGTA indicate something much bigger - the state government is listening to, and acting on, the concerns of the strata sector. SCA (Qld) gett ing a seat at the table for Queensland strata is a win in and of itself. With strata reform on the horizon, SCA (Qld) will not let the opportunity go to waste. We are here to be the collective voice of the 1.2 million Queenslanders who live or work in strata title properties.
SCA(Qld) will work with members and aff ected schemes upon the passage of this legislation to ensure that they understand their obligations and see that they are able to improve their Governance and help ensure a smooth transition.
SCA (Qld) I am quickly fi nding is an advocate for the whole sector working for the benefi t of the entire strata community. Our successes are shared, and we will continue to push for best practice to deliver for the whole strata sector. The time to bring Queensland strata law into the 21st century is long overdue, but fi nally, it seems to be here.