Queensland Body Corporate Regulation Changes from 1 March 2021

Queensland’s body corporate regulation modules were remade and commenced on 1 March 2021. The changes modernised meeting, voting and committee procedures and strengthened the information available to owners.

The Body Corporate and Community Management Regulation 2020 modules apply according to the regulation module recorded for your scheme. The rules differ between schemes, so check the applicable module before relying on a particular process.

What changed in Queensland body corporate regulations from 1 March 2021?

The reforms introduced more flexible ways to attend meetings, cast votes and exchange body corporate information. They also changed committee eligibility, committee decision-making, proxies, disclosure arrangements and administrative requirements.

Electronic participation is now part of the permanent meeting framework. It should be considered separately from temporary measures that may have applied during the COVID-19 period.

These changes can make it easier for owners to participate in decisions, particularly when an owner cannot attend a meeting in person. They can also support more informed decision-making through clearer meeting papers, records and information.

The practical effect depends on the module applying to your scheme. For example, committee arrangements differ between the Standard, Accommodation, Commercial and Small Schemes modules. The Queensland Government also states that there is no committee for a scheme under the Specified Two-lot Schemes Module.

How can owners attend and vote at body corporate meetings?

Owners can attend general meetings personally, by proxy or through approved electronic voting arrangements. A body corporate may decide by ordinary resolution that voters can cast electronic votes on open motions. A separate ordinary resolution is required for electronic voting on a secret ballot, and the electronic system must protect the voting process.

Electronic attendance can also be used at a general meeting when the body corporate has decided by ordinary resolution that a voter is present personally if they can cast a vote electronically at the meeting. Teleconferencing and videoconferencing are examples of electronic means.

Online participation does not remove the requirement to provide a physical meeting venue. A general meeting must be held at a place within 15 kilometres of the scheme land, subject to the regulation’s process for a venue further away.

A meeting should therefore not be treated as online-only simply because electronic attendance or voting is available. Check the meeting notice for the physical location, attendance instructions and voting method.

Electronic communication can be used to provide body corporate documents and information. Depending on the provision being used, documents may be given personally, by post or by electronic communication that complies with the Electronic Transactions (Queensland) Act 2001.

Quorum requirements also changed. Under the Standard Module, a body corporate may use a special resolution to set the minimum percentage of voters for a general-meeting quorum at no less than 10% and no more than 25%. The regulation also provides for the number of voters who must be present personally. A special resolution may decide that only one voter needs to be present where there are at least 3 voters.

Check the meeting notice for:

  • the physical venue
  • whether electronic attendance is authorised
  • how electronic votes are cast
  • whether the motion requires an open or secret ballot
  • the quorum that applies to the meeting.

Owners can also submit motions for inclusion at the first annual general meeting if it is practicable to include them.

For more information about meeting processes, see our guide to body corporate decision-making timeframes.

What changed for body corporate committees?

The reforms changed who may be eligible for committee membership and how committee elections are managed. The applicable module is important because eligibility rules differ between schemes.

Under the Standard and Accommodation modules, the secretary must invite owners to nominate committee members before the annual general meeting. The invitation must be given at least 3 weeks, but no more than 6 weeks, before the end of the scheme’s financial year. Nominations must be given to the secretary by the end of that financial year.

A lot owner may nominate an eligible person, subject to the nomination rules. Owners who hold more than one lot may be able to nominate more than one person, depending on the number of lots they own and the size of the scheme.

Co-owners of the same lot are generally restricted from both being voting committee members on the basis of that lot at the same time. Co-owners who own separate lots may both be eligible, subject to the applicable module and the other eligibility requirements.

A person is not eligible to be a voting committee member in circumstances including where they are a body corporate manager, service contractor, letting agent, certain associates, or an owner who owes a body corporate debt when the committee is chosen.

Owners can submit motions for consideration by the committee. Under the Standard Module, the committee must decide a motion as soon as reasonably practicable and within 6 weeks after it is submitted, subject to the restrictions in the regulation.

A committee member can also vote outside a committee meeting. Votes must generally be given within 21 days after notice of the motion is given. The motion is decided when the required votes are received. It is taken not to have been agreed to if a decision cannot be made within the relevant period.

These processes give committees a clearer way to deal with owner motions and decisions between meetings. Owners should keep a copy of any motion submitted and note when the decision period starts.

What are the current rules for powers of attorney and committee votes?

A person acting under a power of attorney or another representative authority must provide evidence of that authority and the required address details to the secretary. A representative generally cannot act for more than one lot owner unless an exception applies, such as where the owners are the same person or the representative is a family member of each owner.

At a general meeting, a proxy holder may vote for the owner they represent, subject to restrictions applying to particular motions and voting methods. The body corporate may also use a special resolution to prohibit proxies for particular matters or altogether.

The number of proxies a person may hold is also restricted. In a scheme with 20 or more lots, a person cannot hold proxies greater in number than 5% of the lots. In a scheme with fewer than 20 lots, a person cannot hold more than one proxy.

A committee member may appoint another voting committee member as a proxy for a committee meeting. The proxy is generally limited to one voting committee member for that meeting.

Committee members who owe a body corporate debt cannot vote at a committee meeting or on a motion outside a committee meeting. Their presence still counts when deciding whether there is a quorum.

A committee member must also disclose a direct or indirect interest in an issue where that interest could conflict with the proper performance of their duties. A voting member who has disclosed such an interest cannot vote on the relevant motion.

For a practical explanation of proxy arrangements, read proxy votes explained.

What benefits and documents must be disclosed?

The rules address benefits that committee members may receive from caretaking service contractors or service contractors. A committee member may only receive a direct or indirect benefit in the circumstances allowed by the regulation, including where the benefit is an authorised service or has been approved by ordinary resolution.

This is relevant when a committee is considering contractors, services or arrangements that could create a personal benefit. Any potential conflict should be raised before the decision is made and recorded appropriately.

New schemes also have document requirements at the first annual general meeting. The original owner must give the body corporate documents including, where applicable, development approval, plans and specifications, the community management statement, insurance documents, the body corporate roll, records and contracts.

The original owner must provide the documents in hard copy and electronic form. Documents that come into the original owner’s possession after the first annual general meeting must be given to the secretary at the earliest practicable opportunity.

Owners can submit motions before the first annual general meeting, and the motion must be included on the agenda if it is practicable to do so. This gives owners an opportunity to raise issues while the scheme’s records, contracts and arrangements are first being reviewed.

If you are involved in a new scheme, check that the first annual general meeting papers identify the documents that have been provided. Missing plans, approvals or contracts may make it harder for owners to understand the scheme’s obligations and assets.

What should owners check on the body corporate roll?

Owners must give written notice to the body corporate within 1 month after specified events. These include becoming the owner of a lot, entering into or ending a qualifying lease, engaging or ending the engagement of a letting agent, and a mortgagee entering into possession.

The information supplied should include the relevant name, residential or business address and address for service. For a lease or letting arrangement, the notice must also provide the details required for the tenant, lessee or letting agent.

The body corporate must record information required for the roll within 14 days after receiving it.

Owners and letting agents should keep tenant and contact details up to date. This helps the body corporate send notices, voting papers, levy information and other documents to the right person.

When buying or managing a lot, check that:

  • your name and address are recorded correctly
  • your address for service is current
  • an email address has been nominated if you want to receive documents electronically
  • lease and letting arrangements have been notified
  • changes to a letting agent or mortgagee possession have been recorded
  • the body corporate roll reflects any recent ownership change.

Check the applicable regulation module before acting on any specific rule. Direct scheme-specific questions to your body corporate manager, particularly where the scheme may be governed by different legislation or a different module.

The 1 March 2021 reforms continue to affect meetings, committees, voting, disclosures and body corporate records, so checking your scheme’s module is the best starting point. If you need help with a scheme-specific question, contact your Body Corporate Manager.

How Can We Help You?

Call us on 07 3435 5300 and one of our friendly consultants will help