Author: Liam Kerr

These changes, which impact building owners, strata managers, developers, and the fire safety industry, will now be phased in over the next two years, with key requirements expected to come into effect in 13 February 2026 and February 2027.

The reforms were introduced through the Environmental Planning and Assessment (Development Certification and Fire Safety) Regulation 2021 and were designed to reduce fire safety risks, minimise property damage, and lower the incidence of fire safety defects in both new and existing buildings. 

What’s Changing?

The new laws will require strata managing agents to provide more detailed information to owners corporations about their services and relationships.

Key Changes to Disclosure Obligations

Here’s a summary of the key changes that you need to know:

1. Before Your Appointment

You will now be required to disclose more information to an owners corporation before you are hired. This includes:

• Disclosing any relationships you have with suppliers you regularly work with, along with details of the relationship.
• If you have advised a building’s developer about strata plans or community land schemes in the last two years, you will need to disclose this.

2. During Your Appointment

Once you are appointed as a strata managing agent, there are additional disclosure requirements, including:

Commissions and Training Services Approval

• If you receive any commissions and/or training services that are not already included in your agency agreement, you will need to submit a motion at an owners corporation’s general meeting.
• You will also need to include a written explanation on why these services are in the best interest of the owners corporation, including commission details.
• If the owners do not approve, you will not be able to receive the commission or training service.

Upfront Disclosures

• As soon as you become aware of any new connections or interests relating to the strata scheme—such as working with new service providers or buying property within the scheme—you must inform the owners corporation in writing.

Disclosures at AGMs

• At AGMs, you will need to provide detailed information about your connections with suppliers or the building’s developers (whether past or current) and disclose any commissions or training services you have received or expect to receive. If not previously approved, these must be approved by the owners corporation before you can accept them.

Insurance Requirements

• You will need to provide clearly itemised insurance quotes, including commissions and broker fees.
• If the owners corporation arranges its own insurance independently, you will no longer be able to receive a commission for this.

Penalties for Non-Compliance

Failure to comply with these new disclosure requirements could result in significant penalties:

• Up to $55,000 for corporations

• Up to $11,000 for individuals
• If you fail to comply with the rules of conduct under the Property and Stock Agents Act, fines of up to $110,000 for corporations could be applied.

What Should You Do?

To prepare for the upcoming changes, you should review your current practices to ensure full compliance with the new requirements before they take effect on 3 February 2025.

For further details, visit the NSW Fair Trading website.

For the past 37 years John has been an integral part of Express Glass becoming a respected pillar of the Strata industry known for his integrity, expertise and kindness.

“Over the years, John has been not only a colleague and mentor, but, most importantly, a great mate,” says Mark Jennings, Express Glass Commercial Manager. “He’s left an indelible mark on everyone he’s worked with, not just in terms of his incredible work ethic, but also his ability to be a respected team player who’s been approachable and always willing to help.”

John began his career as a high school history teacher in the 1980s before a chance encounter with Express Glass founder Keith Grocott changed the trajectory of his career. Keith offered John a 12-month sabbatical from teaching to try his hand in the glass industry, leading to a diverse role that saw John doing everything from handling payroll to business development.

John eventually took on the role of General Manager at Express Glass, and it was there that his natural leadership and business acumen began to shine. In the two decades that followed, John focused on business development, a role in which he excelled. His contributions fuelled Express Glass’s growth and cemented its reputation as a trusted industry leader, particularly in the Strata sector, where he built solid business relationships spanning over 30 years.

John’s respect and highly regarded reputation in the industry was recognised in 2004 when he won the prestigious Max Dunn Award, an honour that celebrates friendship and harmony in the Strata industry – an industry where John has been a valued mentor to many over the years.

As well as pioneering and organising the SCA NSW Golf Day for over 20 years, John has dedicated his time to various committees and subcommittees of the association. Whilst his love for history and industry made him the perfect candidate for authoring ‘From the Ground Up” the definitive history fo strata in NSW.

Who Can Initiate a Complaint?

The complaint management process is available to all SCA Members and can be initiated by:

• Individuals – Members or consumers with concerns.
• Organisations – Bodies that are part of the strata community.
• SCA Board – Complaints raised by the Board itself.
• PSMBAG – Professional Standards and Membership Advisory Group.

It’s important to note that this process does not replace any legal remedies available under legislation.

How to Submit a Complaint

To start the complaint process, individuals must submit a completed Complaint Application Form, which should include:

• A clear outline of the alleged breach.
• The parties involved in the complaint.
• Any evidence that supports the claim.

Once submitted, a senior executive will acknowledge receipt of the complaint promptly.

Lodging the Complaint

Once the complaint is lodged, the application will be reviewed. If the complaint is found to be insufficient, it will be dismissed. However, valid complaints will move forward for further review and the subject member will be given 14 days to respond.

The Investigation Process

SCA has a structured 60-day timeframe to investigate complaints. During this period:

• Responses and evidence from both parties are collated and analysed.
• If the complaint lacks substance, it will be dismissed.
• If valid, it will be reviewed further and potentially tabled at the next PSMBAG meeting.

Review

PSMBAG (Professional Standards and Membership Advisory Group) plays an important role in reviewing complaints. The group examines all evidence carefully and the possible outcomes of their review are:

• Dismissal or Further Investigation – The complaint may be dismissed if found to be unsubstantiated, or it may be investigated further.
• Reminder or Warning – The member may be issued a reminder or warning if the complaint is minor.
• Mandatory Training – The member may be required to undertake specific training.
• Suspension or Expulsion – In more severe cases, suspension or expulsion may be recommended.

All parties involved are notified of the outcome.

Appealing a Decision

If a party disagrees with the outcome of a complaint, they have the right to appeal. The appeal must be lodged within 28 days, and possible outcomes include:

• Dismissal of Appeal – If the appeal lacks merit, it may be dismissed.
• Upholding the Appeal – The complaint may be remitted back to PSMBAG with directions for reconsideration.
• Substitute Determination – The appeal may result in a new decision.

The reasons for the decision will be clearly communicated to all involved parties.

Confidentiality

All complaint files are securely stored and all involved parties are expected to handle the information with discretion. The SCA Board and Chapter Boards are involved in overseeing the process, but strict confidentiality is maintained at all times.

To help owners who are struggling, NSW Fair Trading has launched a new campaign with resources to support them in managing unpaid levies.  This includes a helpful video that explains the different options available to owners and how they can get the help they need to get back on track.

These resources were developed with input from the Strata Debt Recovery Working Group, which includes representatives from SCA (NSW) and other key organisations. The aim is to provide clear advice for owners and the strata sector on how to deal with unpaid levies.

Strata managing agents and committees play an important role in helping owners who are having trouble. Reaching out early and guiding owners through their options can help them access support and find a solution.

For more information, including helpful advice and upcoming resources (some in different languages), visit NSW Fair Trading – Help with Unpaid Strata Levies.

Here’s what you can expect from the upcoming Strata Hub updates: 

1. A New Transfer Feature 

Managing transitions between strata managers can often be a complex and time-consuming process. The new transfer strata manager feature will simplify this, making it easier to move schemes between strata managers. This feature will be available to the involved strata managers or any user with access to the scheme’s reporting information. 

2. Vacant Positions 

Strata schemes will now be able to report vacant positions for key roles, such as the Secretary or Chairperson, directly through the Strata Hub. This new functionality will require the entry of a date and reason for the vacancy, making it easier for schemes to maintain up-to-date records and improve governance. 

3. A Library of Key Resources 

A new library of key resources will be added to the Strata Hub. This initial library will include important strata forms and will be continuously expanded over time. Accessible to any registered user of the Strata Hub, it provides valuable tools for strata managers and other stakeholders. 

4. Public ‘Strata Search’ Enhancement 

The Public ‘Strata Search’ function will now show expanded results, including the strata manager’s name and their licence number. This data will be accessible both when logged into the Hub and through the public strata search, improving transparency and access to important information for the public. 

 5. Pull in Reported Information 

A new software integration feature will allow strata managers to pull reported data directly from the Strata Hub for the schemes they manage. This integration will streamline reporting and help ensure that strata managers have accurate and up-to-date information at their fingertips. 

6. Integration with Local Councils 

The Strata Hub will integrate with local council systems, allowing councils to access certain strata data directly within their own systems. This will help improve coordination and make it easier for councils to obtain the necessary information from strata schemes. 

7. Data Validation for Improved Compliance 

To encourage better compliance with reporting requirements, expanded data validations will be introduced. These validations will appear in various fields, helping ensure that strata schemes meet the necessary regulatory standards. 

The guide is an easy-to-use reference point and a must-read for anyone looking to own or live in strata for the first time.

You can download the guide here – Strata Living Guide

The guide covers topics including:

• The basics of strata
• Common property and the property you own
• Key people and roles in managing strata
• Financial obligations 
• How by-laws work
• Meetings and reporting 
• Repairs and maintenance of the building
• Renovating your property
• Resolving disputes 

A complementary resource to the Strata Living Guide is SCA (NSW)’s ‘Who’s Responsible Guide’, a guide to common property in strata. Which is available for download here – SCA (NSW) Who’s Responsible guide.

The Guide provides a comprehensive list of items found within a building that could generally be considered common property. It aims to give some guidance on who usually would be responsible for giving that item attention.

Understanding the 3G Network Shutdown and Why It Matters 

The shutdown of 3G networks is part of a broader move across Australia to make room for faster, more reliable 4G and 5G networks. As of 2024, major providers have begun turning off 3G services, meaning devices reliant on this network will no longer be able to connect. Among these devices are emergency lift phones, which play a vital role in building safety by allowing lift passengers to contact emergency responders in situations such as power failures, mechanical issues or medical emergencies. 

If these emergency phones are not upgraded, they could become unusable, leaving lift passengers without a way to call for help in urgent situations. Furthermore, failing to update these communication systems could put buildings out of compliance with safety regulations, leaving owners corporations at risk for non-compliance penalties. 

Why Upgrading Emergency Phones is Important? 

1. Safety in Emergencies 

Lift emergency phones provide critical communication in case of entrapment or malfunction. If these phones stop working, the people inside may be unable to call for assistance, posing a direct risk to safety. Ensuring these systems are operational is a fundamental aspect of maintaining building safety standards. 

2. Regulatory Compliance 

Australian building codes require that lifts have functional communication systems for emergency use. Once 3G networks are phased out, any emergency phones reliant on 3G could be deemed non-compliant. Strata managers must act now to align with these regulations and avoid potential fines or penalties. 

3. Preventing Increased Maintenance Costs 

As 3G technology becomes obsolete, repair and maintenance costs for 3G-only devices are expected to rise. Upgrading to 4G or 5G solutions now can save on long-term costs, with newer models offering more sustainable technology and longer service life. 

What Do I Need to Do to Prepare for the 3G Shutdown 

To ensure the lift phones remain functional and compliant beyond the 3G network shutdown, you should: 

1. Assess Current Emergency Phone Systems 

Begin by confirming whether the emergency phones in your lifts rely on 3G. Lift technicians or service providers can help identify the network these phones currently use. In some cases, you may find that certain 4G devices, if they lack VoLTE (Voice over LTE) capabilities, will also need attention. 

2. Engage Owners Corporations for Budget Approval 

In many cases, upgrading lift phones may require a budget allocation. It is essential to inform owners corporations about the importance of this upgrade, as well as the potential risks of non-compliance, and get their approval for the associated expenses. 

3. Plan Upgrades to 4G or 5G Systems 

Contact lift maintenance providers for guidance on upgrading to 4G or 5G solutions. These providers can assess your current systems, recommend upgrades and install new communication technology in your lifts.  

4. Understand Your Options 

In some cases, updating 3G systems may only require a firmware upgrade to support 4G, costing less than a full replacement. However, for older systems, a full replacement with newer models may be more practical and cost-effective.  

5. Communicate and Document 

Keep thorough records of all actions taken to upgrade emergency phone systems, including budget approvals, service agreements and maintenance reports. Communicate with tenants and owners to inform them about the changes being made to improve building safety. 

Key Drivers Shaping Strata Development in NSW 

Strata living is on the rise, and there are four main factors shaping development in NSW: 

• Interest Rates – These continue to affect the cost of development and property affordability. 
• Immigration – Growing population numbers mean increased demand for housing. 
• Population Growth – The state’s population of 8.1 million is expected to continue growing current in the coming years. 
• Urban Planning – Government policies around zoning and land use are influencing where and how development takes place. 

In fact, the NSW Government estimates that 377,000 new dwellings will be created by June 2029. This growth will have a direct impact on the strata sector, requiring a higher supply of strata managers. 

Why Should You Engage with Developers Early? 

As a strata manager, engaging with developers early in the process is important to ensure the smooth operation of the strata scheme once the development is completed. Here are three reasons why early engagement is important: 

1. Understand the Developer’s Vision 

• What is the developer trying to achieve with this project? 

• Is the development being delivered in stages, and what does each stage entail? 

• Request sales contracts, marketing materials and other relevant documentation to understand the scope of the development. 

2. Engage with the Developer  

• Review plans and assess critical aspects such as asset management, access control systems, CCTV, waste management and site operational planning. 

• Have a clear understanding of the defects process and how it will be managed once the building is completed. 

3. Ensure Accurate and Ethical Budgeting 

• Tender all services to ensure you are getting competitive pricing. Do not simply accept what the developer suggests—use your expertise to demonstrate better alternatives. 

• Budget for operational costs from the outset, ensuring that nothing is left out, including provisions for the defects liability period. 

How Can I Ensure Everything Runs Smoothly for New Developments? 

There are several key steps to take to ensure that everything runs smoothly from construction to handover. 

1. Review Documentation Early 

Work with the developer to ensure key documents are in place, including: 

• By-laws 

• Strata management statement 

• Shared facility schedules 

• Easements 

• Strata plans 

2. Site Setup 

Before the building is ready for occupancy, make sure the site is prepared. This includes: 

• Ensuring bins and bin rooms are set up with appropriate signage. 

• Installing lift blankets to protect lifts during the move-in process. 

• Establishing guidelines for move-ins and move-outs. 

• Securing insurance quotations for ongoing maintenance and essential services. 

3. Administrative Setup 

You will need to set up systems for managing the new scheme. This includes: 

• Organising the inaugural general meeting (IGM). 

• Creating an initial budget and determining the levies. 

• Addressing essential services, such as cleaning and fire safety, before the first AGM. 

• Preparing to transfer utilities from the original owner to the scheme. 

First AGM – What to Include in the Agenda 

The first AGM is a critical event for any new strata scheme. When planning the agenda, ensure the following items are included: 

• Statutory Motions – These are required by law and must be addressed during the AGM. 

• Annual Budget – Finalise the annual budget. 

• Preventative Maintenance Quotations – Include any quotations for ongoing maintenance services, such as cleaning, fire safety and security systems. 

• Annexures – Ensure that all required documentation is attached to the agenda. 

4. Managing Defects  

It is important to establish a clear process for identifying, reporting and addressing defects as they arise. Here’s how you can stay on top of this: 

A. Establish a Defects Management Pathway 

• Map out the process for reporting defects, who is responsible for addressing them, and how to track progress. 

B. Communication Channels 

• Maintain clear lines of communication between all parties, including the builder, developer, owners and strata manager. 

C. Defects Register 

• Keep a detailed register of all reported defects to ensure that nothing is overlooked. This will also help when it is time to claim under the defects liability period. 

D. Regular Meetings with the Builder 

• Schedule regular meetings with the builder to ensure that any issues are promptly addressed and resolved. 

All SCA (NSW) professional standards scheme members can access the webinar via the SCA (NSW) Education Centre – you’ll find it in the catalogue.

New President Elected

SCA (NSW) is pleased to welcome back Life Member Robert Anderson to the SCA (NSW) board, as well as congratulate him for agreeing to take on the role as President for SCA (NSW).

A previous President’s Award winner in 2006, Robert Anderson brings 30 years of strata experience to the board.  Robert previously served as President of SCA (NSW), then known as the ISTM, from October 2000 through to early 2003. Overseeing the pivotal first few years post-merger between the ISTM and SCIA associations. 

Step 1: What do you want to achieve with this project?

Create a Project Brief with the Committee. This document is designed to assist Committees or Strata Managers in identifying important information regarding the security upgrade planned for their building. It also enables discussion and an informed decision on whether to proceed with the installation after considering the Legal aspects and costs involved in the Project.

Step 2: Apples for Apples. How to get three similar quotes.

Create a Scope of Work for your Contractors: On agreement that the security system will be installed, the information in the Project Brief can be easily exported to a Scope of Works document that can be issued to the three preferred suppliers, enabling them to quote accurately and equally for the work.

Step 3: Who’s the right contractor for the Project?

Compare quotes and contractors with an easy-to-use checklist. Make sure your contractor has the right experience and is the right company size for the work they are taking on. Where can you see previous installations? Product warranty should also be included in the comparison. Price is important, but lifetime value is key.

Step 4: Ensuring a smooth installation

Ask your contractor for an implementation plan. When will the work be done, and when must residents be home? This includes fob and garage remote allocation sheets.

Step 5: What happens next? The important bit.

Passwords and warranty. It’s easy to heave a sigh of relief once the system is installed and invoices have been paid. But this shouldn’t be the end of the process; you’re missing the really important bit: passwords and warranty.

You must record vital information about the new systems that will allow you to manage them in the future. Most modern security systems are password protected; without these passwords, no one can access the system to add new fobs or replace cameras or faulty equipment.

Quatrix Security is a leading Strata Security Company based in Sydney. With over 15 years in Strata and over 30,000 units upgraded, they have the skills and experience to service and upgrade your building.

Their dedicated Project Manager has managed complex Access Control, Intercom and CCTV projects across Sydney and Europewide projects. Your upgrade Projects are in safe hands.

Please contact us on info@quatrix.com.au for Project templates for your upcoming work.