Management Rights Reform FAQ’s
Enacting change to long-standing practices in any industry is difficult. Even when there is widespread support for sensible reforms, there will always be pockets of resistance. Often this is based on a misunderstanding of what is being proposed, and then misinformation is repeated and amplified by opponents to try to derail a reform process. That’s sadly what we are seeing within our industry right now in relation to the reform agenda for Management Rights.
This is a discussion that has been ongoing in Queensland for at least a decade, and Strata Community Association (SCA) QLD expects it to lead to concrete reforms in 2023. As a result, there is a lot of misinformation being shared around the industry about what is being proposed and what it might mean.
Read on for more details on the current state of play and access to SCA (QLD) FAQs on its reform views.
SCA (Qld) has consulted extensively with members prior to forming a policy position on this matter, including at our “Hackathon” on June 10 this year, to which all principals of member businesses were invited. We’ve also discussed the need for reform at length at SCA (Qld) conferences and events. The Board is very confident that the policy position they have adopted truly reflects the majority view of members.
Of course, in any policy reform discussion, there will be differing views held even by people and groups with similar interests. This is true of the strata management industry. SCA (Qld) certainly respects that not every industry member will endorse our position on this issue. However, an industry association must act in the best interests of the majority of its members in the first instance, and also in the interests of the industry as a whole. We are confidence our position achieves this balance.
To ensure SCA (Qld) members can get the full facts on our position and why we support reform, we have created a page on our website with detailed answers to the most common questions we receive. We will continue to expand this information as the debate proceeds in coming months. This site will be your point of truth in relation to SCA (Qld)’s views on the matter, and for new information as it emerges. Please feel free to contact us with any other questions you would like addressed on the site.
This article was contributed by Strata Community Association QLD
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Perhaps with Smart Strata’s permission, SCA(Qld) could (re)publish the SCA(Qld) position, or the questions and answers, on Smart Strata? I am sure Smart Strata readers would have views on both…
From the perspective of owners (who provide nearly all the capital invested into the industry), it’s impossible to argue against the SCA’s stance. The only industry players who disagree are those who are enriching themselves at the expense of owners. Ultra-long-term contracts for management rights are anti-competitive and result in a misalignment of interests between owner and caretaker. That’s why they’re not permitted in some other states. It’s time for the Qld government to ignore the lobbyists and step in to protect owners by cleaning the industry up.
This article basically states that there is a reform, and that not everyone understands the facts.
It does not list any of those facts though.
It then just says that some people have different opinions.
And… that’s it! Article over.
Oh, there is a website link at the bottom of the article…
This links contains everything that should have been written above.
For those readers who would like to know the SCA’s current position and some Q&A, please slide up to the article above and click on the link in the last paragraph (the red words “page on our website”). Pretty simple.
As for the article itself, I could not agree more. Queensland is still somewhat muddle-headed in its approach to body corporate legislation/regulation in particular and in property law generally, despite several attempts at getting up to speed over the last twenty years. Nobody in government – and I mean politicians as well as bureaucracy – seems to give a hoot really. It’s a case of “Hey, look over there. A squirrel!” and then they go back to their form guide or the Queensland Club.
I am a retired Qld & NSW registered valuer of 25 years, and former licensed owner and manager of a real estate agency in Queensland.
I suppose I could be classed as a cynic……