Each Act also sets out the capacity of the committees and how the committees should operate and provides different obligations making volunteering to be on the by retired ‘committee’ residents very problematic. Especially when significant penalties for breaches of the relevant legislation may apply! Some of the differences in the regulatory obligations for committees are set out in the table below: Table 3: Summary of legislative obligations for committees that may exist in Retirement Villages General provisions relating to Associations committees where a Retirement Villages Owners Corporations Incorporation Act Residents Act 1986 (RVA) Act 2006 (OCA) 1981 (AIA) Association is required in the residence documents Committee Must have committee May have a Must have a Not required if there are 13 or committee committee more units Status Not a legal entity and Delegate of the Controls and manages Is a legal entity and therefore cannot open Owners the association for not can act on behalf of bank account or sign and can act as a legal for profit purposes. the residents documents entity Can act as a association for the entity for not for profit village purposes Approve a Manages the common Controls and manages Controls and manages Purpose maintenance charge property (but not lots) the association for not the village and that is greater than for not for profit for profit purposes communal facilities the purposes (and arguably for not adjusted maintenance for profit purposes) charge; be a mediator for disputes between residents but not between manager and resident Not stated 3 days days Not stated Notice for committee meetings All resident members Up to 12 members At least 6. Usually limited 3 to 10 Composition of committee who must be lot members owners Up to 3 must be representatives of the operator (non residents) Up to 7 can be resident members Quorum for Not stated 50 % of the members 4 3 (one must be a committee of the committee permanent member)
Each Act also sets out the capacity of the committees and how the committees should operate and provides different obligations making volunteering to be on the ‘committee’ by retired residents very problematic. Especially when significant penalties for breaches of the relevant legislation may apply! Some of the differences in the regulatory obligations for committees are set out in the table below: Table 3: Summary of legislative obligations for committees that may exist in Retirement Villages Retirement Villages Act 1986 (RVA) Owners Corporations Act 2006 (OCA) Associations Incorporation Act 1981 (AIA) General provisions relating to committees where a Residents Association is required in the residence documents Committee Not required Must have committee if there are 13 or more units Must have a committee May have a committee Status Not a legal entity and therefore cannot open bank account or sign documents Delegate of the Owners and can act as a legal entity Controls and manages the association for not for profit purposes. Can act as a entity for not for profit purposes Is a legal entity and can act on behalf of the residents association for the village Purpose Approve a maintenance charge that is greater than the adjusted maintenance charge; be a mediator for disputes between residents but not between manager and resident Manages the common property (but not lots) for not for profit purposes Controls and manages the association for not for profit purposes Controls and manages the village and communal facilities (and arguably for not for profit purposes) Notice for committee meetings Not stated 3 days days Not stated Composition of committee All resident members Up to 12 members who must be lot owners At least 6. Usually limited 3 to 10 members Up to 3 must be representatives of the operator (non residents) Up to 7 can be resident members Quorum for committee Not stated 50 % of the members of the committee 4 3 (one must be a permanent member)