12 September 2024

Liberals to establish Strata and Building Commissioner

| Ian Bushnell
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Rows of high density housing

About 40 per cent of Canberrans are now living in residential apartments and townhouses. Photo: Michelle Kroll.

A Strata and Building Commissioner that would be a single point of contact for people living in apartment and townhouse complexes will be established under a Liberal Government, Opposition Leader Elizabeth Lee announced last night at an election forum.

Speaking at a Public Forum on Strata Matters organised by the Strata Community Association ACT and the Owners Corporation Network, Ms Lee said the Commissioner would assist people facing challenges and issues in strata living, including defects and building quality.

“This would include but not be limited to legislative changes that improve how strata corporations work or how they interact with ACAT, as well as changes to the design of government programs to ensure they are accessible and useful to owners and tenants,” Ms Lee said.

“Over the last decade, we’ve seen the ACT Government pushing more Canberrans into strata properties by not offering genuine choice when it comes to housing options, but we have not seen the same level of enthusiasm for ensuring that the concerns of strata owners and residents are heard and resolved.”

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Shadow Minister for Sustainable Building and Construction Mark Parton said that Canberrans had been raising concerns about government inaction in many areas of strata living.

Mr Parton said one of the first priorities of a new Commissioner would be to better support the take-up of shared energy infrastructure in apartment buildings and townhouse complexes.

“We hear of too many examples where there’s broad support in a complex for rooftop solar, EV charging, or other initiatives, but nothing happens,” he said.

“We need to do a lot better at identifying and removing these obstacles.”

Ms Lee said a Commissioner would be an agent for change and play a significant role in determining practical steps to address the growing concerns within the strata community, as well as improving building quality in Canberra.

Independent Fiona Carrick and Gary Petherbridge: no single place in government to address the requirements of strata living and legislation. Photo: Fiona Carrick Independents.

The announcement comes after Independent Fiona Carrick called for such an office this week, backed by Owners Corporation Network president Gary Petherbridge.

Mr Petherbridge said the issues facing apartment, townhouse and duplex homeowners and residents were new and considerable, with almost 40 per cent of homes strata titled.

“There is currently no single place in government to address the requirements of strata living and legislation is often unclear, causing many disputes going to ACAT for adjudication,” he said.

“A Strata Commissioner or a Division within a Housing Commission could help solve this problem”.

Ms Carrick said a Commissioner would cover rental issues, strata management, retirement villages and building quality.

“The Commissioner would support residents and owners by providing education, reducing disputes, providing regulatory services and delivering reports to the Legislative Assembly recommending fair practices in the housing sector,” she said.

The Strata Community Association (ACT) has also been lobbying for a Commissioner, with president Chris Miller saying the step was crucial for preparing the ACT for its future growth.

“With 70 per cent of the ACT’s future housing supply expected to be strata-titled properties, it is essential that we have a strong framework in place to safeguard the interests of strata stakeholders, ensuring effective management and a harmonious community living environment for all,” he said.

Mr Miller urged the other parties to also support the creation of a Commissioner.

He said the Strata Commissioner’s Office would serve as a central authority for strata community oversight, regulation, and dispute resolution, delivering essential support to strata owners, residents, managers and service providers.

It would also play a pivotal role in offering the education, resources, and dedicated attention necessary to ensure that strata residents and owners fully understood their rights and obligations as members of a strata community.

“Establishing this office will empower strata owners and managers with the tools they urgently need, and bring Canberra in line with other jurisdictions that have successfully implemented similar models,” Mr Miller said.

This week the ABC’s 4 Corners program shone a light on some of the more questionable practices within the strata sector, in particular alleged hidden or opaque fees, overcharging and kickbacks.

Industry body the Strata Community Association Australasia (SCA) said these practices were the actions of a few rogue operators and should be condemned.

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SCA said it had continuously advocated for significant professional and consumer-focused changes in the strata sector across Australia.

This included measures to raise minimum education standards for strata professionals, increase funding for or establish strata commissioners, introduce co-regulation models, initiate or contribute to progressive legislative reform, provide additional consumer support materials and implement improvements to building quality and defect management.

SCA said it had created a Best Practice Disclosure Guide, appointed a new Independent Chair of Complaints and Conduct and would review strata business practices.

“We welcome the strengthening of measures and protections that further professionalise our sector and deliver better outcomes for consumers and continue to work collaboratively with our members, governments and regulators,” SCA said.

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An independent strata commissioner with proper enforcement powers (regulations) is a good starting point. Currently the only form of redress under the legislation (Unit Titles Management Act 2011 – UTMA) is ACAT, with applicants having to bear the (sometimes hefty legal) cost themselves. The UTMA proscribes heave fines for breaches, but there is no ACT Government agency charged with regulatory jurisdiction over the Act. When questioned, Access Canberra said enforcement of the UTMA was usually a ‘police’ matter.

At last a proposal from the Libs I can support. Strata managers are a law unto themselves and owners and tenants have had nowhere to get help.

The ABC report only scratched the surface of what’s going on. They identified problems in every state and territory spanning many years, so trying to blame the ACT government is just meaningless. It is an industry where self regulation just hasn’t worked and a big stick is needed.

The comment in this article “Industry body the Strata Community Association Australasia (SCA) said these practices were the actions of a few rogue operators” just shows how much in denial they are in.

The Liberals want a Strata Commissioner. The Greens want a Rental Commissioner. It seems like Fiona Carrick is the only one that’s thought this through properly and realised that we need both!

I was at last night’s meeting and the one person that made the most sense was Independents for Canberra Leanne Foresti.

good idea, monday’s four corners revealed a lot of interesting behaviour in the strata industry, a commissioner would reel them in

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