2014 SCA Inside Strata December

DECEMBER 2014 | safety

prepare for stormy times ahead PAGE 20

• fire protection PAGE 14 • how to make your pool safer • preparing for the NBN roll-out

PAGE 28 PAGE 32

Exclusively Strata, it’s our policy.

Strata Insurance Specialist Call us today 1300 361 263 or visit www.chu.com.au J5356

contents Reports President’s report CEO’s report How body corporates can minimise risks Focus on the people not the penalties Beware of dodgy operators Significant milestone for NQ residential strata resilience project Energy initiative set to deliver big savings for strata communities High Court rules no duty of care for builders

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SPECIAL FEATURES

Chief Executive Office Kim Henshaw Ph: 02 9492 8252 E: kim.henshaw@stratacommunity.org.au SCA National Office Level 1, Suites 101 & 102 845 Pacific Highway Chatswood, NSW 2067

Safety Fire protection accreditation scheme offers peace of mind for strata managers Retirees are failing to fund property upkeep Strata scheme residents urged to prepare for stormy times ahead Think safety: Do not buy domestic grade gym equipment Exercising made safer Electrical safety: Get ready for summer How to make your pool safer

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Technology Preparing for the NBN roll-out What does it take to develop software: A behind the scenes look at software development

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Lifestyle.

Eat your way to a healthier brain

ABN: 57 074 729 007 Contact: PO Box 824 Surfers Paradise QLD 4217 Phone: 1800 222 757 Fax: 1800 063 151 Email: publications@crowtherblayne.com.au Website: www.crowtherblayne.com.au

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State Pages New South Wales 40 Queensland 46 Victoria 50 Western Australia 54 South Australia 58 Tasmania 59 ACT 60

Editor: Kate McIntosh Production Controller: Yvonne Okseniuk National Sales and Marketing Manager: Trish Riley Sales Manager: Peter Bunn Sales Team: Liam Daly, Tim Evans and Andra Muller Studio Manager: Byron Bailey Design Team: Amanda Bennett and Carol Taylor Printed By: Newstyle Print

national sponsors

business supporters

REPORTS president’s report

changing of the guard at SCA A SERIES OF NEW APPOINTMENTS AT THE SCA AND ONGOING EFFORTS TO CENTRALISE THE ORGANISATION’S FUNCTIONS AND BOOST EFFICIENCY BODES WELL FOR THE YEAR AHEAD.

It is with great pride and honour that I have agreed to become the SCA’S National President.

Mathew Amber admirably performed this role for many years, steering our organisation from NCTI to the highly professional body that it is today.

Mathew spent countless hours travelling the country, ensuring that things were on track for our membership base, as well as exploring opportunities for the sector.

On behalf of our organisation I would like to thank Mathew for his dedication and hard work. Mathew is now planning to spend more time with his young family, in between his role as SA President and sitting on a number of Board Committees.

I’d also like to extend a warm welcome to our new Board Member, Stuart Mellington. As Director of Select OwnersCorp Management, Stuart has extensive hands-on experience in the building and construction sector. Stuart has operated the strata management company for over 15 years, providing advice and support for clients who live in strata developments. It will be great to have new blood, and some new ideas at Board level.

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I am very grateful to be supported by our new CEO, Kim Henshaw, who is extending the great work undertaken by Mark Lever. Kim and our Board have now met a number of times and we have already resolved to complete tasks that have been in progress for the past year. Our over-arching goal – to create one single national body with State chapters – remains one of our main strategic initiatives. We are now looking at a centralised membership system that is easily used by members and staff.

We are also aiming to progress things further by centralising functions in order to achieve cost savings and efficiencies without compromising existing member services and benefits. It’s hoped this will also allow us to provide more services to our members. Standardisation of membership categories and fees will also remain a priority.

A working group with State representation will continue to progress this to achieve a positive outcome for all members. We are also tendering for our member communication, media and branding to a provider that works at both a state and national level.

The Board is also very happy with the resigning of our major sponsors at national and state level, and we are currently in negotiations with other sponsors who wish to support our sector.

Education and training remains a very important component of how the public views our professionalism and competence, and extensive progress is being made on courses that build skills at the primary level.

I look forward to the year ahead and expect us to further establish ourselves as a well-regarded and flourishing organisation, as well as boost our financial stability in order to create greater member benefits.

Erik Adriaanse FCPA SCA President Strata Community Australia

ceo’s report REPORTS

“Insanity: doing the same thing over and over again and expecting different results“ Albert Einstein

changing perceptions A NUMBER OF EXCITING NEW INITIATIVES ARE BEING ROLLED OUT AT SCA, WITH MEMBERS URGED TO EMBRACE AND ACCEPT CHANGE AS THE ORGANISATION MOVES FORWARD.

Hi, I’m Kim Henshaw your new CEO and I’m not insane. Well, at least not by Einstein’s definition.

I joined SCA in early August of 2014 and soon discovered that, like all organisations, this one had suffered its fair share of problems in its past.

One of the things I have heard most is the perception that there had been too much talking and planning over the past few years and not enough actually being done. My goal is to change that perception.

To achieve that goal I’m going to need the help of everyone involved.

That includes members, State and national boards and committees, sponsors, and of course SCA’s greatest resource, our staff.

At certain times we all need to accept and embrace change. We are all going to have to live and work very much in the present. We can’t alter the past and the future does not yet exist. However, the most exciting aspect of this is that the future is ours to mould by our attitudes and actions in the present.

With that in mind, we’ve embarked on a series of initiatives that are designed to increase both the effectiveness and efficiency of SCA, which I have outlined below: ww We have moved the office from North Sydney to new premises at 845 Pacific Highway, Chatswood. The rent is more affordable and the fit out is more appropriate given the co-location of the national and NSW offices ww A working group involving members from all State organisations and chapters has completed a project to define a new membership management and information system. A formal Project Requirements document has been sent to selected vendors seeking proposals. I expect to be able to report further progress on this exciting initiative in the next issue of Inside Strata ww In principle agreement has been reached for all States and the national office to pool their individual public relations budgets into a single national contract that will deliver increased media presence and consistency of branding and messaging ww This national publication has been relaunched, and a printed edition reintroduced by outsourcing its production to specialist media organisation Crowther Blayne I am delighted to be contributing to SCA’s journey and trust that you will perceive a shift in momentum over the next 12 months towards positive and tangible outcomes.

In the meantime I’d like to wish you all a happy and safe Christmas and a wonderful New Year.

Kim Henshaw Chief Executive Officer Strata Community Australia

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REPORTS minimise risk

“In all situations there is a process of approval for doing anything in a body corporate.”

how body corporates can minimise risks IN THIS ARTICLE WE WILL LOOK AT MY SIX MAIN AREAS OF RISKS ASSOCIATED WITH RUNNING A BODY CORPORATE FROM BOTH THE EXECUTIVE AND THE MANAGER’S VIEWPOINT. THE TOPICS BELOW HIGHLIGHT SOME OF THE ISSUES THAT ARISE AND PROVIDE TIPS IN DEALING WITH THEM.

THE APPROVAL PROCESS In all situations there is a process of approval for doing anything in a body corporate. These approval processes can be at a general meeting, executive meeting or by delegated authority to the manager.

The first risk is that the process has not been followed correctly. In all jurisdictions the relevant Courts and Tribunals have the power to review and overturn any decisions made, so it is important to ensure that the process is followed strictly: ww Ensure that the motions are drafted properly ww Ensure that all documents, contracts, quotes etc are sent or available (where relevant) ww Ensure legislative timeframes are adhered to (notice etc) ww Ensure decisions are documented properly ww Ensure that the person making the decision has the power or authority to do so.

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minimise risk REPORTS

CONTRACTS Contracts are legally binding, so you need to make sure that all the terms are acceptable and that what you think you are getting is actually what you are getting. For larger projects it is worthwhile to have a project manager/superintendent who is independent from the contractor to ensure that the work is completed to the proper standard and that each payment claim is approved.

Things to consider in contracts: ww Ask around – check their credentials ww Be clear in the work that is to be undertaken (i.e “fix pipe or manage our building” isn’t good enough) ww Make sure that the contractor is properly licensed and insured, including warranty insurance if relevant ww Have specific and detailed specifications ww Discuss and finalise warranties and conditions – document everything ww Obtain the proper permits and approvals ww Ensure there is a process for certifying the work (or agreeing it has been finished to the relevant standard) ww Ensure there is a system if anything goes wrong into the future ww Have the terms of the contract checked. Keep in mind a contract provided by a contractor will generally be drafted to their benefit and not yours.

LICENSING/LEGISLATIVE RESPONSIBILITIES In all areas there are various licencing and legislative regimes. Bodies Corporate must ensure that they follow these otherwise they may face prosecution or be forced to undo what has already been done. These are some areas to consider: ww Council requirements, including planning laws and fire risks ww Using non-licenced persons may void Body Corporate insurances ww Incorrect decisions may lead to prosecution for non-compliance

EXCEEDING AUTHORITY OR NOT FOLLOWING INSTRUCTIONS One of the biggest risks for executive committees and managing agents is exceeding their authority. While generally the main the purpose is to protect, beautify or manage the complex properly, acting outside of your authority can lead to liability – and in some areas like Work Health and Safety – personal liability.

Therefore, executives and managers should ensure that they are fully conversant with their legislative and contractual obligations. The following are things you need to consider: ww Any limits on spending? (legislative or by meeting restriction) ww Any contractual limits? (what does the contract actually state) ww What was the decision of the general meeting? (follow it) ww What does the legislation say? (is it only a general meeting decision)

COMMON PROPERTY MAINTENANCE This is a topic that on its own can fill books. A Body Corporate must repair and maintain the common property. Repair and maintenance also involves having a system in place to avoid the common property falling into disrepair rather than simply waiting for something to go wrong.

Every instance needs to be considered on its merits. Some factors that should be taken into account are: ww Is the common property required to be upgraded as a matter of law? ww If not, what is the level of risk that damage or injury could occur to others? ww If the risk eventuated, what would be the likely extent of damage or injury? ww What is the cost of doing the upgrade or taking the preventative measure?

Doing nothing can be a legitimate decision, but only after reasonable investigation and consideration given to the problem.

BODY CORPORATE INSURANCE Insurance is frequently the last item thought about when it frequently should be the first, especially when it comes to risk management.

The topic has been placed last in this article deliberately for dramatic effect.

No two insurance policies are the same and price should not be the only factor in a decision. Some useful tips: ww Check what each insurer is covering, including the amount of cover. Insurers are meant to provide you with a financial services guide containing some basic information about their policy ww Check the product disclosure statement to see for what events you are covered and what exclusions apply ww Make sure you disclose to the insurer significant information that may influence whether the insurer will offer you a policy and if so for what price. This obligation continues after taking out the policy and on renewing the policy. Failing to comply with this obligation can result in the insurance policy being voided ww Make sure you understand your obligations about when and how to make claims. Many types of cover have time limits on when you have to lodge a claim. Failing to lodge a claim within time can result in an otherwise good claim being denied. Accordingly, if something goes wrong and it is covered make sure to lodge the claim as soon as possible ww Ensure you understand your obligation about when to notify the insurer of a potential claim. This can sometimes be the difference between a claim being accepted or denied

CONCLUSIONS The following are some tips to get you through: 1. Be clear in what is required and ensure you have access to proper specifications/plans 2. Ensure that contractors are properly licensed and insured 3. Have a proper contract with terms included 4. Get proper approvals 5. Ensure that work is checked before final payments 6. Put together a specialised team if required 7. Be well informed before making decisions about the common property 8. Do not forget about insurance

A more difficult question is what happens when there is nothing wrong with the common property per se, but the Body Corporate is informed that the common property can be upgraded or a preventative measure taken. An example is where a building code is updated.

There is no absolute rule requiring the common property to be upgraded simply because it can be or because if it was built now it would be require to adhere to a more stringent standard.

THIS ARTICLE WAS KINDLY SUPPLIED BY GRACE LAWYERS december 2014

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REPORTS managing safety

focus on the people not the penalties THE CORE ELEMENTS OF THE WORK HEALTH AND SAFETY ACT 2011 CAN BE DISTILLED INTO A SINGLE SENTENCE: “PROACTIVELY IDENTIFY AND MANAGE POTENTIAL SAFETY HAZARDS TO PREVENT PEOPLE BEING HARMED”.

process. In fact, in most instances it is assumed that the best people to carry out the review will be the ones that directly live or work with the area, equipment or process being reviewed.

However, if the scheme does not have a committee member or lot owner experienced in hazard assessment that is willing to volunteer, using an external expert to assist with the process may be advisable.

External experts generally have a good knowledge of formal safety Codes and Standards, as well as a wide range of historic experience from other schemes. During the inspection process they are often they able to identify issues that were not evident to lot owners.

PUTTING THEORY INTO PRACTICE Risk management is an ongoing process. Many usage or maintenance-based hazards can develop at short notice. Even if the scheme engages an expert to inspect the common property on an annual or biannual basis, its members should undertake their own inspections at more regular intervals.

The rest of the administrative compliance, investigative and penalty provisions follow on from here and are designed to facilitate this process.

In the current drive to educate lot owners about their legal responsibilities and liabilities there is a risk that they will lose focus on the big picture.

Protection from legal liability is an important, but secondary product of a properly implemented safety system.

KNOWLEDGE IS POWER Many so-called ‘accidents’ could have been prevented with forethought and a timely response.

The most important thing you can do to ensure the physical safety of users of your scheme is to carry out regular, formal, hazard-identification inspections. Knowing what the potential hazards are is a prerequisite for being able to assess the associated risks – both physical and legal – and take appropriate remedial action.

Here are some tips that may assist you in the process. ww Look at the scheme as if you were a first time visitor. Move from area to area slowly and make a conscious effort to focus on all the elements in the area ww Take the time to consider all the people who may use the area and how they interact with the area. Don’t assume that everyone will be fully fit or focused. The common property should be safe for reasonably foreseeable use. This includes for visitors, children, the elderly, the mildly intoxicated and the phone distracted ww Try to include a variety of people in the inspection process to benefit from their different experiences and perspectives. Teachers or parents of young children can be a particularly useful addition ww The common property should be safe for both residents and visitors, as well as tradespeople and employees ww Don’t assume that everyone, particularly children, will comply with all signage and behave in rational, risk-averse ways. Even if a resulting accident is legally ruled to be that person’s fault, preventing a reasonably foreseeable incident avoids emotional and financial stress for all parties, as well as bad publicity ww Don’t limit your review to items that breach a formal code or safety standard. You don’t need a regulation to tell you that leaving a banana skin on a marble floor is not safe. Nor is the absence of an official regulation controlling the placement of banana skins a good reason for leaving it there ww Remember, the frequency with which a hazard may cause harm and/or the severity of that harm (assuming it is sufficient to require at least first aid treatment) are factors to be considered during the next stage of the risk-management process. They do not determine whether or not the hazard physically exists. One of the most common misconceptions we encounter is that you don’t need to record a hazard unless it could cause a major or fatal injury ww Don’t assume that because a hazard has been considered or actioned in the past you no longer need to include it in your inspection. Even if hazard-warning signs/instructions have been displayed or there are safety line markings you still need to check if the risk has actually been controlled. Relying on people to consciously see and act on such warnings should be a measure of last resort when there are no practical options to remove or reduce the hazard ww Finally, it is important to identify and record all potential hazards.

Even if you believe it will not be possible for you take remedial action, you still need to demonstrate that you are aware of the hazard and document how you reach that conclusion

MAXIMISE YOUR KNOWLEDGE POOL The Work Health and Safety Regulation 2011 sets out the hazardidentification, assessment and management process that lot owners must follow. It does not require an expert to be engaged to undertake this

THIS ARTICLE WAS KINDLY SUPPLIED BY LEARY & PARTNERS

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scam watch REPORTS

beware of dodgy operators WITH AN INCREASING NUMBER OF DODGY OPERATORS AND FRAUDULENT METHODS BEING USED, LEARN HOW TO RECOGNISE AND PROTECT YOURSELF AGAINST COMMON SCAMS, SO YOU DON’T BECOME THE NEXT VICTIM.

Li, who traded under the name Sydney Bathrooms & Kitchens at Waterloo, was convicted for breaches of the Home Building Act 1989, including unlicensed contracting of residential building work. He was ordered to pay fines and costs in the amount of $17,370.

NSW Fair Trading has called on all home builders and tradespeople to ensure they have a valid licence.

NSW Fair Trading has been undertaking a series of on-site inspections to ensure traders and builders are operating within the applicable legislation, with those found in violation facing prosecution or disciplinary action.

About 670 complaints were investigated to check for compliance with the Home Building Act 1989 in the past financial year and a further 1,147 home building inspections took place during compliance campaigns.

NSW Fair Trading successfully prosecuted 22 licensed builders and tradespeople in the past financial year for 166 offences, resulting in courts imposing fines totalling more than $500,000.

In addition, 222 defendants were fined for 375 offences, resulting in fines of $364,000. Current maximum penalties for seeking or doing unlicensed work are $110,000 for a corporation or $11,000 for an individual.

BE AWARE OF SHONKY TRADESPEOPLE Storm-affected property owners and building managers should always check the credentials of tradespeople before going ahead with repairs.

The work of unlicensed tradies is often substandard and are only interested in making a quick buck.“Quite often, these people quickly leave the area as soon as they have been paid, leaving the consumer with no form of redress.”

If you have premises covered by an insurance policy, it is also a good idea to contact your insurer before commencing repairs, since a number of companies have preferred contractor schemes for this work.

Storm damage can be a major issue for landlords, tenants and real estate agents when a rental property is damaged.

“Fair Trading can provide advice on rights and obligations with regard to urgent repairs and compensation,” he said.

PRISON SENTENCE FOR STRATA FRAUDSTER A Parramatta court sentenced Rachael Kwawegen to 15 months imprisonment for defrauding more than $1 million from Strata Agency Pty Ltd.

Fair Trading can help storm affected residents by:providing information on how to choose suitable tradespeople to carry out repairs providing information about deposits and contracts advising people in rented accommodation and their landlords about their rights and obligations providing referrals to other service providers, including legal and financial specialists.

Magistrate Bruce Williams convicted Kwawegen on 17 September for misappropriation of funds under the Property, Stock and Business Agents Act 2002.

DO YOUR HOMEWORK BEFORE SIGNING UP TO BROADBAND

The defendant was sentenced to a nine-month non-parole period, and ordered her to pay compensation and costs in the amount of $103,000.

Strata owners, residents and managing agents are being urged to do their homework before choosing a service provider to install broadband in their strata schemes.

Between August 2010 and February 2013, Kwawegen, who was the sole director and licensee in charge of The Strata Agency Ltd, transferred funds from numerous strata trust accounts to general accounts, which she then accessed for her own personal use.

Kwawegen is among three real estate agents who have been convicted this year of trust account offences, and ordered to repay a total of $530,651.65 to the Property Services Compensation Fund.

UNLICENSED BUILDERS AND TRADIES PUT ON NOTICE Rogue operators in the building industry have been put on notice following the successful prosecution of unlicensed builder Xin Li at Parramatta Local Court.

The National Broadband Network (NBN) presents a new era in broadband internet options, but owners corporations need to look closely at any service agreement before signing on the dotted line.

NSW Fair Trading warned that agreements are legally binding and can have significant implications for owners and residents of your strata scheme.

Service providers may request that an entire strata scheme sign up to them and if this occurs the contract may prohibit individual unit owners from signing up to their preferred provider, so it’s important to always check the terms and conditions.

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REPORTS building resilience project

significant milestone for NQ residential strata resilience project THE STRATA UNIT UNDERWRITERS (SUU) STRATA BUILDING RESILIENCE PROJECT HAS REACHED A SIGNIFICANT MILESTONE HAVING NOW COMPLETED THE FIRST 100 ASSESSMENTS FOR THEIR NORTH QUEENSLAND CUSTOMERS.

This initiative is focused on improving resilience to severe weather so that customers can receive sustainable premium reductions. So far, over 3000 lot owners have benefited from the assessments with an average saving of 11 per cent with policy renewal, or through a credit if the customer’s policy has been renewed since the project commenced in April.

SUU are funding building risk assessments in order to make recommendations to strata property owners and managers on repairs that could be made to improve the property’s resilience and risk rating, enabling the properties to potentially be re-rated so that customers receive sustainable premium discounts.

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WHAT IS IT? The North Queensland Residential Strata Resilience Project is a groundbreaking initiative led by Strata Unit Underwriters to address insurance affordability in the North Queensland region (coastal regions north of Rockhampton).

The project focuses on improving the resilience of residential strata buildings to severe weather so that our customers can receive sustainable insurance premium reductions when they insure these properties.

HOW BIG WILL PREMIUM REDUCTIONS BE?

We launched this initiative in March and expect it will take eight months to complete with our existing customers.

It is still early days, but early indications are that premiums could fall by up to 25 per cent.

WHY HAVE YOU EMBARKED ON IT? The rising cost of insurance in North Queensland is a major community issue, particularly in the residential strata sector. SUU, together with its parent company CGU Insurance, saw an opportunity to help alleviate this. SUU insures a large number of residential strata properties in the region.

Both CGU and SUU are committed to the North Queensland region and are working to support the communities we serve.

building resilience project REPORTS

HOW DOES IT WORK? SUU is paying for a series of residential strata building resilience assessments of its customers’ properties, by specialist building consultant Sergon. These assessments are being offered to all residential strata buildings insured by CGU and SUU in North Queensland.

Following completion of each assessment, CGU and SUU will reconsider its pricing to determine if: ww There is an opportunity to provide immediate insurance premium relief – reduce the insurance premium – in instances where the building’s risks can be rated more favourably than initially assessed ww There is a further opportunity to sustainably reduce premiums should the building’s body corporate choose to make the repairs, improvements and other works in accordance with the resilience assessment

HOW WILL INSURANCE COST REDUCE WITH BUILDING REMEDIATION?

Should the body corporate proceed, it can engage its preferred trades directly. Alternatively SUU will help the body corporate to get a detailed quote for this work using either the building manager’s preferred trades people or other local businesses.

DO YOU ASSIST WITH THE COST OF THIS WORK? Indirectly, yes. We give the body corporate an indication of how far insurance premiums will fall once the work has been completed and will apply half this reduction immediately the body corporate starts this work.

We are also negotiating with a major financial institution to facilitate access to finance for body corporates, to help offset any potential funding challenges they may have in undertaking this work.

For further information contact: Ryan Houston – State Manager QLD/WA/NT (07) 3291 5004 or 0411 011 199.

Lindsay Cherry – National Underwriting Manager (07) 3291 5003 or 0409 056 588

Following the resilience assessment, Sergon will provide the strata property owner and manager with recommendations on repairs, improvements and other works that will improve the property’s resilience and risk rating.

SUU will share with the body corporate the current day insurance premium reduction if the body corporate proceeds with our recommendations. If the body corporate chooses to proceed, half of this premium reduction (50 per cent) will be applied immediately. The balance will be made available on completion of our recommendations.

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REPORTS melbourne energy initiative

energy initiative set to deliver big savings for strata communities WITH STRATA COMMUNITIES ON THE RISE ACROSS AUSTRALIA, AWARD-WINNING ENERGY-SAVING INITIATIVE, SMART BLOCKS, IS TAKING UP THE CHALLENGE OF ACHIEVING MORE SUSTAINABLE AND ENERGY-EFFICIENT BUILDINGS.

Strata and community title owners across Australia are being urged to adopt an award-winning energy-saving initiative, recently recognised with Melbourne’s highest accolade for its achievements in the area of sustainability.

Smart Blocks received the Melbourne Award for Contribution to Sustainability by a Community Organisation at a gala ceremony on 15 November in recognition of its groundbreaking program that is helping apartment owners and strata managers to improve the energy efficiency of their buildings. Now in its 12th year, the Melbourne Awards celebrate the outstanding achievements of organisations and individuals who contribute to the social, economic and sustainable benefit of the city.

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On average, residents of high and medium density blocks use 25 per cent more energy than those in detached dwellings, with up to 50 per cent of this energy use coming from common areas like hallways, car parks and swimming pools.

MEETING THE CHALLENGE Making common property more sustainable is a challenging process.

While private residential and commercial buildings have benefited from a smorgasbord of schemes and incentives to make energy-efficiency improvements, the complexities of common property meant the options were limited in residential apartment blocks.

Strata Community Australia CEO Kim Henshaw said the Smart Blocks initiative helps address some of these ongoing issues.

“It can often be hard to make energy-efficient changes in residential strata buildings for many reasons such as the frustration of trying to retrofit an old building with new power-saving technologies, the difficulties of collective decision-making and the complexity of navigating codes and by-laws,” he said.

“Smart Blocks takes care of these challenges, providing a clear and easy way for owners and managers to create a more sustainable and energy-efficient building.”

Smart Blocks provides an online toolkit that equips owners and managers with tools to work collaboratively to implement projects in the common areas of their building.

The online project management toolkit guides participants through each step of the process, allowing users to register their building, identify relevant projects, build a business case and prepare a case for implementation. The various projects include lighting upgrades, heating and cooling, ventilation, as well as solar options.

melbourne energy initiative REPORTS

Mr Evans said this will give managers the ability to easily audit buildings and develop energy-saving strategies, a move he thinks will make his organisation a cut above the rest.

Like The Knight Alliance, boutique property manager Alvin Diamond from Property Professionals sees introducing energy-saving measures as a no-brainer. In fact, all of his buildings are on the path to becoming Smart Blocks.

Mr Diamond, who manages a diverse portfolio of residential buildings in Melbourne, spearheaded the switch to LED globes in several of his strata buildings after noticing the energy savings in his own home.

Alvin believes focusing on initiatives like Smart Blocks adds enormous value to his strata management offering Smart Blocks National Program Manager Sarah Johnson and Strata Community Australia CEO Kim Henshaw at the Melbourne Awards.

REDUCING ENVIRONMENTAL IMPACTS

Smart Blocks also connects buildings to rebates and incentives, so projects are cost-effective and have impressive financial benefits.

“Strata communities are fast becoming the way of the future, with 24.2 per cent of Australian households currently living in strata dwellings, and this figure is increasing every year,” he said.

PROGRAM TAKES OFF With 500 buildings signed up across Australia so far, the program is becoming an integral part of the strata landscape. Strata managers, in particular, are increasingly turning to the program’s free tools, templates and advice to achieve energy savings across their building portfolios.

One of those is Gregor Evans, the Director of property management group The Knight Alliance.

The company is currently looking into working with Smart Blocks to provide training for all of their property managers.

Mr Henshaw predicts Smart Blocks is set to have a significant impact on Australia’s changing residential landscape.

“It is vital that we meet this trend with appropriate mechanisms to reduce the impact that this will have on the environment.”

“What is particularly special about this project is that it has the ability to really impact apartment buildings and strata communities nationwide.

Smart Blocks provides individuals and owners corporations with specific advice, tailored to each state or territory to help strata communities achieve smarter and more effective outcomes for their buildings and community areas.”

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REPORTS duty of care

high court rules no duty of care for builders THE LANDMARK DECISION COULD HAVE FAR-REACHING IMPLICATIONS FOR BUILDERS, DEVELOPERS, BODY CORPORATES AND OWNERS.

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duty of care REPORTS

The High Court has ruled that builders of an apartment complex were not liable to an owners corporation for building defects later found in the property’s common areas.

The decision referred to the matter of Brookfield Multiplex Limited v Owners Corporation Strata Plan 61288 [2014] HCA 36.

The High Court overruled the Court of Appeal’s finding that Brookfield did owe a duty of care to avoid loss resulting from latent defects.

The case concerned a 22-storey apartment complex built under a D&C contract between the appellant, Brookfield Multiplex, and property developer Chelsea Apartments.

Following the building’s completion, the Owners Corporation discovered a number of defects in the common property and in 2012 commenced legal action in the Supreme Court of NSW against the builder in a bid to recover damages, including the cost of repairs.

The Owners Corporation claimed that Brookfield had breached a duty under the common law to take reasonable care to avoid reasonably foreseeable economic loss to the Owners Corporation in relation to defects caused by the building’s defective design or construction or both.

Justice McDougall initially held that Brookfield did not owe a duty of care to the Owners Corporation, finding that the owners had not established that Brookfield owed and had breached a duty of care under the common law.

The Court reasoned that as the builder and developer had entered into a carefully negotiated agreement, it was not considered that the builder owed an additional duty of care and that consequently no such duty of care was therefore owed to a successor in title, such as the Owners Corporation.

DECISION OVERTURNED ON APPEAL The NSW Court of Appeal later overturned Justice McDougall’s decision on the basis the owner was in a sufficiently vulnerable position to the builder so as to warrant a duty of care – albeit a narrower duty to avoid causing loss resulting from latent defects which were structural and dangerous or which made the serviced apartments uninhabitable.

Brookfield challenged the finding of the Court of Appeal and sought special leave to appeal to the High Court. Under the standard form contract for sale entered into between Chelsea and the subsequent owners, the Owners Corporation was entitled to notify Chelsea of any defects in the property caused by faulty workmanship or materials for a period of seven months after the date of registration of the strata plan.

Upon receipt of such notification Chelsea was required to rectify the defects at its own expense.

However, the defects were only discovered five years after registration of the strata plans.

Brookfield argued that the parties had negotiated detailed provisions in their D&C contract dealing with defects and limiting liability and that the contract of sale for the apartments conferred specific rights against the developer only in relation to defects for a specified period.

HIGH COURT FINDS AGAINST OWNERS CORPORATION In a unanimous decision handed down on 8 October, the High Court found that in these circumstances the seminal case of Bryan v Maloney (1995) 182 CLR 609, which recognised the potential vulnerability of owners for defects in a domestic home and held that a builder did owe a duty of care to subsequent owners, did not apply here.

The court made the distinction that in Bryan v Maloney the prior owner had placed reliance upon the builder, whereas the same duty did not extend to purchasers of commercial properties, particularly in circumstances where the parties have had the opportunity to protect their interests against defective work when negotiating contracts.

It also noted that provisions contained in the contract relating to the defects liability period and Chelsea’s entitlement to superintendence over the construction demonstrate that Chelsea was not vulnerable to Brookfield and not reliant upon it.

Edward Hock of Moray & Agnew Lawyers said it should be noted that in circumstances where a prior owner can prove reliance upon the builder, and the subsequent purchaser was in a position of vulnerability, the principle in Bryan v Maloney continues to apply and a builder may owe a duty of care to the subsequent purchaser in that situation.

“The High Court’s decision essentially determines that a builder does not owe a subsequent purchaser a duty of care for latent defects,” Mr Hock said.

“However, the decision is predicated upon the basis that there is a level protection provided in the contracts for purchase. The High Court declined to offer the protection of a common law duty of care for what it said amounted to a failure by the purchasers to negotiate a suitable bargain.”

TAKE ACTION While there has been some relaxation of the commencement date of the home-building amendments, owners corporations may wish to consider the following measures in order to help preserve existing rights:. ww Engage experts to carry out a building defect audit to ensure that any latent defects, such as fire and life-safety system defects are identified ww Commence proceedings for breach of statutory warranty to preserve the existing six-year statutory warranty rights for building defect claims and to avoid a court or a tribunal having regard to the principle that rectification of defective work by the responsible party is the preferred outcome as opposed to awarding damages ww Lodge any home warranty insurance claims where a builder has become insolvent, died or disappeared to preserve existing rights under the policy of insurance, and consider whether the home warranty insurance policy contains other applicable triggers for claims such as the builder becoming unlicensed ww Give consideration to entering into any rectification building work contracts being negotiated with a builder as a priority ww Check that independent experts such as architects, surveyors and engineers have professional indemnity insurance and that the terms of their engagement do not unreasonably limit their liability ww Make a home warranty insurance claim if the builder has ‘disappeared’ interstate, as under the new definition a builder has to have left Australia. Note: the amendment will not affect home warranty insurance claims that are made prior to the legislative amendment being proclaimed

THIS ARTICLE WAS KINDLY SUPPLIED BY DAVID BANNERMAN AND BEN ROBERTSON OF BANNERMANS LAWYERS december 2014

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SAFETY fire protection

fire protection

accreditation scheme offers peace of mind for strata managers DESPITE THE RISKS, NON-COMPLIANCE OF FIRE-PROTECTION MEASURES IN AUSTRALIA IS RIFE, WITH PROPER ACCREDITATION NOW A VITAL SAFETY ISSUE.

We all expect minimum standards of professionalism and competency in our daily lives. When visiting the doctor, hiring a builder or taking our tax affairs to an accountant, there is an expectation that these individuals have undergone a level of training in order to practice their occupation, and have then attained the relevant licences that reflect that training.

The development of the scheme was a response to several high-profile fires where tragic fatalities occurred. The disturbing fact is that, despite the obvious dangers, non-compliance of fire-protection measures in Australia is rife. Leading field-data management company Verified has identified that, of 40,000 buildings surveyed, less than 40 per cent achieved compliance to fire protection standard AS 1851.

Efforts to professionalize industry extends from household plumbers and hairdressers, right through to the highest paid barristers and company directors. However, until recently there has been little or no such rigour applied to those individuals inspecting and testing lifesaving fireprotection systems and equipment in Australia.

This non-compliance related to frequency of maintenance and defects in essential fire safety measures, including fire sprinklers, alarm systems, portable fire extinguishers and fire hydrants.

The lack of clarity with regard to validating skills and competence of fire-protection professionals has posed significant problems for building owners and managers who utilise these services, often in large complexes such as apartments, where life safety is a critical priority.

On 1 July 2013, Fire Protection Association Australia (FPA Australia) began accepting applications into its landmark voluntary Fire Protection Accreditation Scheme (FPAS).

Almost two years in development, FPAS provides formal, nationally harmonised recognition of the skills and competencies of appropriately trained technicians who inspect and test fire-protection systems and equipment.

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FPA Australia CEO Scott Williams said he believed compliance levels today to be lower than 40 per cent and accreditation was now a vital safety issue.

“Most people would be horrified to learn that many critical infrastructure buildings like hospitals, residential apartments, schools and nursing homes have fire safety systems that are not being tested or maintained correctly, but this is what the evidence shows,” he said.

“Until now there has been a very limited framework to validate the competency of individuals working on these systems. As highlighted by the data, this poses a significant risk to community safety and could lead to fire-protection measures failing to operate correctly when they are needed most.”

Your One Stop Fire & Essential Safety Measures Partner Linkfire is proudly an FPAS Recognised Business. We are among the first companies to gain recognition under the FPA Australia Fire Protection Accreditation Scheme.

1300 669 439 Services Include: • • • • • • • •

Programmed maintenance of all ESM;

24-hour emergency call out service; Annual Essential Safety Measures Reports; Fire indicator panel, alarms & evac systems; Exit & emergency lighting; Passive fire & resistances; Paths of travel including exit, fire & smoke doors; Portable fire equipment;

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System upgrades and repairs; Evacuation diagrams; Fire sprinklers & pumps; Stair pressurisation systems; Sump pump cleaning & maintenance; Mechanical ventilation; OH&S reports; Training services;

IS YOUR TECHNICIAN ACCREDITED?

BY SELECTING AN FPAS RECOGNISED BUSINESS YOU CAN BE CONFIDENT THAT THE SERVICE PROVIDER: Employs accredited, trained & competent fire protection technicians

Holds relevant insurances including public & product liability insurance

Has signed the FPA Australia Code of Practice

The Fire Protection Accreditation Scheme (FPAS) is the only national accreditation scheme that recognises the skills, knowledge and competencies of fire protection technicians.

For more information visit www.fpaa.com.au/fpas or call 1300 731 922

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SAFETY fire protection

A fire safety technician carrying out a routine inspection and testing on-site.

Mr Williams said the accreditation requirements were rigorous but fair.

“To gain Qualified Status under the scheme individual technicians must demonstrate they have achieved competency in every area for which they undertake work,” he said.

Savvy property managers are already taking advantage of the Scheme to ensure safety and peace of mind at their properties. Director of Victoria’s Knight Alliance management Gregor Evans said the scheme made it simple to choose trained and competent providers of fireprotection services.

Chartered Fire Safety Engineer of RED Fire Engineers Jonathan Barnett said that complex fire safety systems in many modern buildings made the need to use trained and competent technicians even more pressing.

“A good example here in Victoria is an apartment building in Prahran that consists of three tall towers on a shared pedestal and includes a myriad of complex fire-protection issues addressed by a sophisticated alternative solution,” he said. “This includes the use of lifts for emergency evacuation, extended travel distances and a single, fire-isolated stair in the high-rise towers.

“As Owners Corporation managers of large-scale residential buildings throughout Melbourne we are aware of how complex and comprehensive building fire-protection systems can be,” he said.

“Due to these customised alternative solution arrangements, the maintenance requirements in this building are a nightmare of sophistication, complexity and expense. Only trained technicians are able to understand how all of these system work together and FPAS is the only current tool to validate their competence.”

“Resident safety is of the highest priority and therefore it is critical to select a fire-protection organisation that employs trained and competent technicians who can be easily identified by their accreditation card.

FPA Australia is encouraging all building owners and property managers – both residential and commercial – to use FPAS-accredited technicians for the inspection and testing of their fire-protection systems and equipment wherever possible.

“One of our chosen providers, Linkfire, was one of the first businesses to take up FPAS and we are confident that when we utilise their services, the fire-protection systems in our buildings will be well maintained and operational at all times.”

To find a regonised Fire Protection Accreditation Scheme (FPAS) business, to search for individual accredited technicians or to learn more about the Scheme, please visit www. fpaa.com.au/fpas or call 1300 731 922.

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ABN lift consultants Elevation by Design.

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SAFETY building maintenance

retirees are failing to fund property upkeep AS RETIREES STRUGGLE TO FIND THE FUNDS TO PAY FOR THEIR SHARE OF BUILDING MAINTENANCE AND UPKEEP COSTS, MANY RESIDENTIAL APARTMENTS ARE SIMPLY FALLING INTO DISREPAIR.

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building maintenance SAFETY

Cash-strapped retirees unable to pay their share of upkeep costs is behind a decline in the maintenance of common property in apartment blocks, new research suggests.

“Not only does this way of thinking devalue the property but it’s unfair on the new owners who come in and are forced to pay for years of neglect,” Mr Haywood said.

Data provided by a research project by the City Futures Research Centre at the University of New South Wales, and funded in part by SCA (NSW), indicates that almost one in three owners surveyed are concerned that budgeting for repairs and maintenance in their strata scheme is inadequate.

Under current strata laws, the owners corporation is liable to keep the building in good repair. Failure to do so can result in legal action and fines being imposed.

SCA (NSW) President Greg Haywood, said it was well known in the strata industry that many residential apartment buildings were falling into disrepair because older residents were struggling to find the funds to pay their share of the common property upkeep costs.

“Understandably most retired owners are on fixed incomes, which leaves very little in the pot for extra expenses such as contributing to the upkeep of their homes, but this means in some cases buildings that repairs are deteriorating further adding to the cost,” Mr Haywood said.

The data also showed that 39 per cent had difficulty in coming to an agreement relating to major expenditure.

One survey respondent said that some older neighbours simply didn’t see the value in maintaining the property in the longer-term.

“And as a result they wanted to keep those fees (maintenance costs) as low as possible and once they died or moved on to some other retirement living then the next person could sort it all out,” the respondent told researchers.

Poor building maintenance also raises concerns around safety issues and liability should injury or loss of life occur in an accident on common property.

As a result of this neglect, some things are changing, but in a way that is not creating harmonious living.

Ongoing issues around who should bear the cost of building maintenance and upkeep costs has led to discord in some strata properties.

“Before the most recent [annual general meeting] a few younger owners in the building got together informally and agreed to vote each other in, [but] we have been able to out vote many of the older owners who will not spend any money on maintaining the building,” another survey respondent said.

SCA (NSW) advises retirees or elderly people on a fixed income to do their homework if they are considering moving into a strata property and ensure they are aware of their financial obligations and ongoing costs.

“Having some rainy-day funds set aside will ultimately pay owners back when the time comes to sell if they have invested into the care and upkeep of the property,” Mr Haywood said.

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SAFETY planning ahead

strata scheme residents urged to prepare for stormy times ahead PLANNING AHEAD THIS STORM SEASON WILL HELP MINIMISE THE RISK OF PROPERTY DAMAGE IN THE EVENT OF DESTRUCTIVE WEATHER CONDITIONS.

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planning ahead SAFETY

GET STORM READY ww ww ww ww ww ww

Trim any trees and branches close to the property Secure loose items in the garden and perimeter areas Clear gutters, downpipes and drains Get your roof checked for any damage or corrosion Make sure all shades, sails and awnings are properly fitted Ensure your insurance policy is up-to-date

Unit owners are being asked to take the necessary precautions in what could be a potentially tumultuous storm season ahead.

flooding, landslides, or personal injury,” Mr Barnard said.

“It’s also important for residents to remember that strata scheme policies do not cover your contents and personal items.”

“Bodies Corporate need to ensure that things such as the condition of rooves are checked and that gutters and drain pipes are kept clear,” said SCA (Qld) President Simon Barnard.

PLANNING AHEAD

“Tree branches close to units and apartments should be removed and loose items around the property need to be secured. It’s also very important for Bodies Corporate to review their property’s storm insurance to make sure they are fully covered.”

NO ROOM FOR COMPLACENCY The Bureau of Meteorology outlook suggests a below-average season for Australia’s north-west, with near-average activity expected for the country’s west, north and east.

Although forecasts are more subdued in previous years, families are property owners are still being urged to have an emergency plan in place should potentially destructive weather hit.

“Residents throughout Queensland should be doing everything they can to prepare for possible heavy storms and cyclones. This includes determining where you and your family will go if forced to evacuate and ensuring you have enough food, water and supplies to last at least three days.”

Mr Barnard said.

Community Recovery and Resilience Minister David Crisafulli also issued a warning ahead of the storm season, saying early preparation is crucial.

“Storms can strike hard and often with little warning in Queensland, damaging homes and property, as well as livelihoods and the broader economy,” Mr Crisafulli said.

“We are urging householders to prepare their homes and to do an insurance health check as once a storm hits, it’s too late.”

RISE IN STRATA DEVELOPMENTS New statistics released by the Queensland Department of Justice and Attorney-General show a three per cent growth over the past year in strata-titled lots across the state.

Reflecting this surge in high-density development, there are now more than 43,000 community titles schemes, with 409,000 community-titled lots in Queensland.

Mr Barnard said he is confident that strata-titled properties across Queensland will be well prepared for possible damage or destruction that may be caused this storm season.

The Australian tropical cyclone season typically runs from 1 November to 30 April.

A North Queensland strata building resilience project has also completed the first 100 assessments in North Queensland.

The Bureau of Meteorology has indicated that around four cyclones will form this storm season and at least one could cross the coast. Severe storms have also been predicted along with flooding in some parts of the state.

Mr Barnard said the initiative is focused on improving resilience to severe weather so that customers can receive sustainable premium reductions.

“Just because a property is insured for storm damage, it doesn’t necessarily mean it is also covered for related incidents such as

“So far, over 3,000 lot owners have benefited from the assessments, with an average saving of 11 per cent with policy renewal, or through a credit if the customer’s policy has been renewed since the project commenced in April,” he said.

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SAFETY gym equipment

think safety: do not buy domestic grade equipment WHAT YOU NEED TO KNOW BEFORE YOU BUY

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gym equipment SAFETY

One of the biggest battles faced by purchasing gym equipment in Australia is that there are currently no standards issued by the federal government.

This means potential purchasers are faced with the task of sifting through companies to find the best solution/outcome for their needs.

The following check list will help potential purchasers work through the task of purchasing new gym equipment and outline the things they need to consider.

DEALING DIRECTLY WITH THE SOURCE, NOT A RESELLER If you are looking for the best value for money and future servicing, then dealing directly with the importer of the goods is vital.

The majority of the Australian fitness suppliers are not the importer, but third party resellers!

Ultimately, you are buying the product at a ‘premium’ and almost certainly will be looking to other sources for future servicing.

COMMERCIAL GYM EQUIPMENT Most residential properties feature nothing more than domestic-grade equipment, which can present a number of issues:

A. LIABILITY – this equipment is not rated for corporate/ and or commercial applications, thus can cause major issues if anyone injures themselves.

B. RELIABILITY – This equipment is designed for one-hour a day usage, not for use in corporate/and or commercial applications.

DESIGN/CONSULTATION SERVICE When purchasing new equipment, it is vital the company tendering offers you a floor design service. This will allow you to establish what works correctly in the room and what power configurations are required.

REFERENCES When asking a company to quote, ensure to ask for a reference list of properties they have dealt with in the past.

Ultimately you want references that are at least two to three years old, once the warranty period has passed. Like most mechanical items the first one to two years is the honeymoon period, but you want to know what happens once the equipment has aged.

GUARANTEED SERVICE LEAD-TIMES Speak to anyone that has purchased gym equipment before and you’ll often hear many horror stories about after sales support.

When purchasing ensure to check the company’s infrastructure – If they can’t show you service vans, spare parts holdings etc, you’ll more than likely have issues down the track.

Ask the company you are dealing with to put guaranteed service leadtimes in writing and ensure penalties are applied if they don’t meet these expectations.

MAINTENANCE SERVICING It is also very important to have a preventative maintenance schedule in place and a definitive servicing regime.

You will find that building liability insurance providers will require some sort of servicing regime in order to honour the policy.

It might appear cheap at the time of purchase, but once you take in to account future servicing costs, it usually works out dearer than buying the correct “commercial” equipment in the first place.

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SAFETY gym safety

exercising made safer EXERCISING SAFELY IS IMPORTANT IF YOU WANT TO REAP THE FULL REWARDS FROM WORKING OUT IN THE GYM. HERE ARE A FEW IMPORTANT TIPS TO KEEP YOU POWERING ALONG AND FREE FROM INJURY.

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gym safety SAFETY

AS SIMPLE AS BREATHING

FOLLOW THE INSTRUCTIONS

As a general rule, the most important thing to remember when exercising, especially when lifting weights, is don’t hold your breath!

Make sure you know how to perform all the exercises in your program properly and if you’re in any doubt, make sure you ask a qualified instructor for assistance. Incorrect technique or use of equipment can place you at an increased risk of injury.

Holding your breath while exercising can cause a buildup of inner ribcage pressure, which can reduce the amount of blood to your heart.

Although very experienced weight lifters will sometimes hold their breath to help stabilise and support their spine when lifting very heavy weights, even well-trained individuals shouldn’t hold their breath for more than one to two seconds during a lift. However, for the great majority of us, breath-holding during a lift is not recommended at all.

The simple breathing rule to follow during weight training is to exhale through the most difficult part of the exercise and to inhale during the least stressful part. For example, exhale while lifting the bar through the difficult part of the exercise, and then inhale as the bar is lowered to the starting position.

Correct breathing can help prevent your blood pressure rising to dangerous levels while you exercise and reduce your chance of developing headaches, dizziness, disorientation and fainting.

KEEP CONTROL Always control the speed at which you lift weights. If you drop a weight, it can place excessive forces on your joints, ligaments and tendons, potentially leading to injury. Keep bouncing and explosive movements to a minimum, especially when you’re just starting out.

There are specialised forms of training, like plyometrics, that involve controlled bounds and ballistic movements, but these should only be introduced after you’ve achieved a solid training base and you’re free from injury.

PLAN YOUR SUCCESS – STEP BY SENSIBLE STEP If you’re new to exercise or you’re starting a new program, it’s important to be realistic about the fitness base you are starting from. Write down what you want to achieve, and make adjustments as required. Your goals should be challenging, but they also need to be achievable.

No matter how experienced you are, you always need to keep correct technique in mind. If you’re not feeling your best or you’re fatigued, there’s a high likelihood that exercising too hard could make you feel worse. Take it easy, concentrate on your technique and don’t put yourself at unnecessary risk.

KNOW YOUR GYM AND CLEAR UP CLUTTER If you’re exercising at a health club or gymnasium, know the facility’s emergency plans and where the first aid equipment is located. Being prepared for such events takes all the guesswork out of what you need to do if and when an emergency or an accident should happen. Look around the facility for the locations of exits and know how to get to them wherever you’re exercising.

Keep your exercise area free of clutter and rack the dumbbells, barbells and weight plates you’re not using, so as to remove any trip hazards for yourself and other people.

PREPARE YOUR BODY FOR EXERCISE AND LISTEN TO WHAT IT IS SAYING! Always warm up properly before you workout. Do warm-up exercises that raise the body’s temperature to help prepare the body for the stresses of exercise.

Be aware for any signals that you’re overdoing it such as sharp pains, nausea and dizziness. If you’re still fatigued after the usual rest between workouts, it might be an idea to take another rest day before you train again. Overtraining can lead to illness and injury, so monitor things carefully.

While it is important to try and meet the challenges set during an exercise session in order to make gains in your fitness, this need to do be done sensibly. Ignoring simple warning signs can lead to injuries and long-term absences from training.

Above all, avoid doing too much too soon and allow your body to adapt to the demands placed upon it before advancing to the next level.

THIS ARTICLE WAS KINDLY SUPPLIED BY MEDIBANK HEALTH

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SAFETY electrical hazards

electrical safety: get ready for summer TAKING SOME SIMPLE SAFETY PRECAUTIONS AND FOLLOWING PROPER GUIDELINES CAN HELP PREVENT ELECTRICAL HAZARDS AND ACCIDENTS OCCURRING ON THE PROPERTY.

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electrical hazards SAFETY

Property managers are responsible for ensuring the safe working and proper maintenance of all electrical appliances on the premises.

With a long, hot summer ahead, the National Electrical and Communications Association (NECA) is advising property owners and managers to take care when buying and installing fans, air conditioners and other electrical products.

NECA, the peak industry body representing the interests of electrical and communications contractors Australia-wide, has also issued a timely reminder for people to check their existing appliances are in good working order before using them.

“Safety is the key driver of our association and we encourage everyone to check any appliance that has been stored away before reusing it,” said Suresh Manickam, NECA CEO. “And if you see anything that doesn’t look quite right – like a damaged or even just slightly frayed cord, let a qualified electrician check it properly before you use it.”

Taking a DIY approach in order to save money, rather than having electrical equipment checked and/or serviced regularly by a qualified professional can be a risky decision that often has tragic results.

“It just isn’t worth the risk when you see how badly it can turn out,” said Mr Manickam.

NECA RECOMMENDS TAKING FOUR KEY SAFETY PRECAUTIONS AROUND THE HOME:

THE FOLLOWING ELECTRICAL SAFETY CHECKS ARE ALSO RECOMMENDED: ww If you are buying new fans or any other electrical products, only buy Australian-compliant products. If in doubt, ask for verification ww Only buy electrical products from reputable stores and check for the compliance mark or approval number. Products can be checked online at: www.doesitcomply.com.au/recognise_ compliant_product.php ww Be particularly vigilant when buying products manufactured overseas as they may not meet Australian standards, which means they may be unsafe for use ww Remember that if you are buying anything online, it may not be compatible with Australian products. This can increase the risk of electric shocks and also pose a fire hazard ww Check any equipment that has not been used for some months.

If you notice any exposed or damaged wiring, contact your local licensed electrician – don’t try to fix it yourself ww If you are using appliances that you have been purchased abroad always have them checked to be sure they are compatible. ww Take a few minutes to explain electrical safety to children, so that they understand not to play with electrical items such as plug boards ww Never modify or attempt to repair any lighting equipment yourself – always get a qualified electrician to do the work ww Have safety switches installed on all electrical circuits on the property. These are an important additional safety measure that can prevent electrocution

ww Have electrical equipment checked at least once a year ww Don’t let children sleep with an electric fan switched on in case there is any liquid spillage – which could cause a nasty electric shock, or worse ww Ensure a fan is working properly before leaving it on overnight ww Always switch off lights that are not being used

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SAFETY

pool safety

how to make your pool safer SADLY, MANY DROWNING INCIDENTS IN AUSTRALIA OCCUR WITHIN BACKYARD OR COMPLEX SWIMMING POOLS. STRATA POOLS POSE AN INCREASED RISK OF DROWNING DUE TO THE HIGH NUMBER OF CHILDREN WHO CAN ACCESS THEM.

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pool safety SAFETY

There were 266 drowning deaths in Australian waterways between 1 July 2013 and 30 June 2014. Of these, 39 (15%) occurred in swimming pools.

Ultimately it is the responsibility of body corporate to provide safety notices for swimming pools.

Laws introduced in Queensland on 1 December 2010 mean that regulated pools need to comply with the pool safety standard by 30 November 2015, or earlier if the property is sold or leased. Regulated pools include pools on properties where there is a house, townhouse, unit, hotel, motel, backpacker hostel or caravan park.

The Queensland Building and Construction Commission recommends some simple and cost-effective guidelines to make your pool safer and help you comply with the pool safety standard laws. These can be done by the homeowner or a pool safety inspector with an unconditional licence.

SURROUNDING GARDEN BEDS AND GROUND LEVELS A pool barrier must be a minimum 1200 millimetres above the ground level. The ground level or garden beds surrounding the barrier may reduce this height if they have been raised or grown over time. ww Remove surrounding garden beds ww Reduce the height of surrounding ground levels and garden beds ww Raise the barrier height to at least 1200 millimetres above the finished ground level

POOL GATES Non-compliant pool gates can give a child access to a pool area. ww Adjust the gate to make it swing outwards away from the pool area ww Install a striker or latch to make the gate self-latching ww Adjust the self-closing mechanism or replace the hinges to make the gate self- closing ww Tighten the hinges to ensure they are capable of holding the gate ww Oil the hinges if the gate is not closing properly ww Ensure the gate is regularly maintained

FIXED, CLIMBABLE OBJECTS

WINDOWS THAT ACCESS THE POOL AREA A building with windows that open more than 100 millimetres and directly into a pool area can provide a child with access to the pool. Installing window locks is not acceptable as they can be easily left unlocked. ww Fix a rivet or screw in the tracks of the window to stop it opening more than 100 millimetres ww Insert a permanent window chock to stop the window opening more than 100 millimetres ww Install permanently fixed security screens on windows that open into the pool area.

CLIMBABLE POOL BARRIER The pool barrier itself may be climbable. For example, fencing material, lattice or nearby vegetation may provide foot or hand holds for a child to access the pool area. ww Fix a wedge fillet (minimum 60 degree angle) along the horizontal rails of the barrier ww Shield any lattice or other climbable material with a non-climbable material such as flat polycarbonate sheeting or vertical palings ww Trim any climbable vegetation on the barrier.

DAMAGED POOL BARRIER A pool barrier in disrepair or with missing, loose or damaged palings can provide a gap of more than 100 millimetres or reduce the height of the barrier, giving children easy access into a pool area. ww Repair, replace or adjust fence palings ww Add non-climbable bracing to the barrier to provide greater stability.

MOVEABLE, CLIMBABLE OBJECTS A child can use moveable, climbable objects such as pot plants and outdoor furniture to gain access to a pool area. ww Remove all climbable objects within 900 millimetres of the pool barrier ww Secure all moveable objects near the pool area.

For more information, visit www.qbcc.qld.gov.au

Fixed, climbable objects include taps, light fittings, low-hanging branches or shrubs, as well as bracing on a deck near the pool area ww Shield any climbable objects with a non- climbable material such as flat polycarbonate sheeting, vertical palings or ww A shield that has an angle of 60 degrees or more ww Trim any branches within 900 millimetres of the pool barrier – if there are branches overhanging from an adjacent property, you may need to negotiate with your neighbour to remove them

In order to address and respond to the level of risk associated with aquatic amenities in the body corporate area, the Royal Life Saving Society Australia (RLSSA) has produced the Guidelines for Water Safety – Body Corporate Pools.

These guidelines have been specifically written for operators of body corporate pools. The guidelines are based on the RLSSA guidelines for safe pool operation and contain detailed information on supervision and water safety.

The guidelines also offer direction and assistance in the areas of injury prevention and superior best practice management, while raising awareness of what is aquatic best practice to both body corporate managers and tenants.

a body corporate. The guidelines provide generic advice and may be applied to a wide range of activities and operations of any body corporate aquatic environment.

The guidelines are directed at approximately 1.6 million Australians who are members of a body corporate or who live in a property run by a body corporate. They apply to aquatic amenities such as residential units, apartment blocks, high-rise-style apartments and retirement villages. Copies of the guidelines can be purchased at www. royallifesaving.com.au/shop.

The Guidelines for Water Safety – Body Corporate Pools is relevant for any swimming pool and spa facility that unit owners and occupiers can enjoy as common property under the governance of

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TECHNOLOGY NBN roll-out

preparing for the NBN roll-out THE NATIONAL BROADBAND NETWORK (NBN) IS AN AUSTRALIA-WIDE PROJECT TO UPGRADE THE EXISTING FIXED LINE PHONE AND INTERNET NETWORK INFRASTRUCTURE. IT IS ESSENTIAL FOR AUSTRALIA’S TRANSITION TO A DIGITAL FUTURE, AND IS ROLLING OUT ACROSS THE COUNTRY NOW.

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NBN roll-out TECHNOLOGY

As the company building the National Broadband Network, NBN Co will provide the infrastructure, including the actual cables in the ground and new telecommunication boxes in the building, while phone and internet connections will be provided by a range of retail providers.

Telecommunications legislation allows NBN Co to gain access to buildings in roll-out areas by serving land access and activity notices.

When you receive a notice from NBN Co, it’s important to work with NBN Co’s construction partners to provide access to your building. If strata buildings fail to provide access, NBN Co will be unable to provide infrastructure to the property.

After the NBN has been made active in an area and the NBN fibre becomes available, the existing copper telecommunications network will be disconnected. This means that existing connections will eventually stop working when they are switched off and new landline connections must use the NBN (or another broadband alternative).

Beyond just the phone and internet services for residents of strata buildings, you also need to consider the common building services, such as emergency lift phones, fire indicator panels and monitored security alarms. Currently most of these services run over the copper network, so it is essential you organise moving these services well before the disconnection date in your area.

EMERGENCY LIFT PHONES AND FIRE INDICATOR PANELS To safely connect your lift phone or fire indicator panel to the NBN, the cabling must meet current industry standards, in particular AS/CA S009.

We strongly recommend that you engage a registered cabling provider to assess your lift phone or fire indicator panel lines to ensure they meet these standards before ordering NBN services.

If the cabling does not meet these standards, talk to your registered cabling provider about solutions to ensure compatibility. For example, it may be possible to install a surge protector as close to the NBN connection box as possible. Your cable provider should refer to the options for surge protectors in AS/CA S009, Section 10.

Once any required rectification work is complete, please contact your preferred phone company or internet provider to order services for, and arrange connection of, your lift phone or fire indicator panel to the NBN.

OTHER DEVICES USING THE COPPER NETWORK For other devices such as monitored security alarms, ATM’s, monitored vending machines and faxes you will need to call your device provider first. Ask whether they will work with an NBN plan and which phone companies provide suitable plans. You should also ask what in-building wiring changes are required and if any charges apply.

After checking with your provider, contact your preferred phone or internet company and let them know what kind of device you have and your requirements.

COMMUNICATIONS ROOM If your building has a common communications room, you will also need to contact your preferred phone or internet service provider to order a service over the NBN for your comms room.

You will need to give your provider clear instructions on the location of the room, especially if there is more than one communications room in the building. You will also require a registered cabler to complete any cabling changes required inside your building from the common communications room to the actual common property device.

REGISTER YOUR BUILDING In collaboration with NBN Co, Strata Community Australia is helping streamline installation in apartment complexes, townhouses and villas.

Managers of owners’ corporations/bodies corporate of apartments and townhouses can securely register their contact details at: www.stratacommunity.org.au Although it’s not compulsory to register, it will help streamline installation. The last thing anyone wants is for multi-unit dwellings to miss out on the benefits of the NBN simply because no-one could be contacted to assist with building access.

For more information, contact the NBN on 1800 687 626 or visit nbnco.com.au

If your cabling does not meet these specifications or you don’t install a surge protector, then voltage surges could cause undetected damage to the NBN connection box. In the case of an emergency, your lift phone and/or fire indicator panel may fail and as a result potentially cause serious injury or loss of life.

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TECHNOLOGY software

what does it take to develop

software?

A BEHIND THE SCENES LOOK AT SOFTWARE DEVELOPMENT.

THIS ARTICLE WAS KINDLY SUPPLIED BY THE STRATAMAX DEVELOPMENT TEAM

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software TECHNOLOGY

We have all seen examples of relatively simple apps that have made some people very rich such as Angry Birds, Draw Something and Instagram just to name a few. I’m sure we have also had good ideas from time to time and thought – I should build that.

So how do you actually build software and what’s involved?

Very broadly, to build software you go through the following stages: Analyse – Design – Code – Test – Fix – Release For the DIY hobbyist the same person would perform all these steps, but for a software development company this process requires a team of professionals who are all pivotal in a successfully released software product or feature.

MEET THE TEAM: The Project Manager: The Project Manager coordinates all the various elements and resources across the life of the development cycle. They are responsible for making sure the project adheres to its scope, objectives and time frames. This involves communicating with stakeholders, tracking and reporting the status, driving execution and removing any barriers that will prevent the team from delivering to specification on time.

The Business Analyst (Analyse): The Business Analyst analyses the underlying business needs and identifies the business processes associated with those needs. They talk to business users and if possible, observe work in progress to fully understand the problem that needs to be addressed or the process that needs to be improved. They translate the business needs to the programmers in a highly structured way in order to provide sufficient information to support solution design. As a by-product of the analysis process, they document the business and functional requirements and map the business processes. They also confirm why you are building something and what it is supposed to achieve and solve. Having conveyed this information to the programmers, they participate in the technical design processes, providing input throughout this phase to ensure that it remains true to the original needs. They also assist the developers in documenting the design.

The Analyst Programmer (Design and Code): The Analyst Programmer works with the Business Analyst to design and document a technical solution to achieve the desired outcome. These efforts include architectural design to ensure that the solution is efficient, secure, maintainable and compatible with the target environment. It also includes user experience design to ensure that the screens (user interfaces) and any embedded processes are intuitive and easy to

use. Having validated that the technical design will meet the business needs, the Analyst Programmer then writes code to translate the requirements into a tangible solution that can be used in the real world.

They develop automated tests to verify that their code works. They perform code reviews of other analyst programmers’ work to add a layer of quality to the code being developed. They are also responsible for correcting any bugs that are identified through the testing phase.

The Test Analyst (Test and Fix): The Test Analyst’s job is to identify, design and implement tests to verify that the product or features work correctly as specified and that their introduction does not adversely affect the operation of any existing systems. The Test Analyst will analyse the risks and potential outcomes that could occur if the code does not work correctly and considers the potential impact upon existing environments/systems that the new code could adversely affect. They manage test environments designed to emulate the user’s technical environment and create test data in those environments that will enable them to run representative tests across the new solution. They design and execute tests to ensure that all possible outcomes are tested and they cross check the functionality of the delivered solution back to the business requirements to validate that it does meet the business needs.

The Release Manager (Release): The Release Manager plans the roll out of new software or features to the market. This process includes coordinating with training and support areas to make sure that the features are appropriately documented and the required level of competence is attained within those teams to support the product moving forward.

While there are plenty of examples of companies that may not employ this much rigor to their software development, you need to ask – does your software deliver?

At StrataMax our team of developers are solely dedicated to the development of strata management software. We are supported by trainers, a support team and relationship managers who all work to ensure the end-user experience exceeds all expectations for the life of its use. Just as new software is constantly being developed and released, StrataMax is constantly analysing the strata market to determine future needs. This ensures that future software development continues to meet the needs of the strata management industry now and into the future.

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LIFESTYLE reduce the effects of dementia

eat your way to a healthier brain A NEW STUDY REVEALS THAT A HEALTHY DIET AND LIFESTYLE MAY HELP STEM DECLINE IN BRAIN FUNCTION, THEREFORE HELPING TO REDUCE THE RISK OF DEMENTIA AND OTHER DISEASES.

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reduce the effects of dementia LIFESTYLE

“These findings are particularly important in offering new insights into an ageing population.”

Brain decline, a key feature of dementia, may be more directly associated with what we eat and drink than previously thought, a recent study suggests.

Researchers from the Australasian Research Institute in collaboration with the Bupa Health Foundation indicated a potential marker of brain decline, or oxidative stress, could be linked to a series of modifiable lifestyle and dietary choices.

Oxidative stress occurs when ‘free radicals’, a reactive by-product of chemical reactions, causes damage to cells and DNA. The body produces antioxidants to combat these free radicals.

Oxidative damage is thought to be involved in ageing, as well as diseases, including cancer and Alzheimers.

Findings from the study provided evidence to suggest oxidative stress and inflammation increases with age, and that its presence is associated with a decrease in the levels of chemicals, including NAD(H), needed for cell and DNA stability and repair.

Australasian Research Institute Study Lead Dr Ross Grant said this decrease in NAD(H) within the ageing brain may indicate susceptibility to degenerative disease, with the study suggesting this may be linked to diet and nutrition.

“Given oxidative damage increases as we get older and plays a part in many of the leading causes of death in Australia, these findings are particularly important in offering new insight into an ageing population and advice on how to maintain good health for as long as possible,” said Dr Grant.

The study found eating a variety of different coloured fruits and vegetables, containing antioxidants, carotenoids, polyphenols and other nutrients, may have the potential to reduce oxidative stress, cell

damage, and possibly decline in brain function. In contrast, regular alcohol consumption and high sugar intake were associated with increased oxidative stress in the brain, supporting the suggestion that certain lifestyle choices may affect cellular ageing.

Bupa Health Foundation spokesperson Dr Paul Bates said the research provided Australians with information to make smarter and more informed health choices.

“One of the positive findings of this study is that it suggests you can apply common health advice to brain health,” he said.

Lowering sugar alcohol intake, eating well, exercising regularly, as well as incorporating plenty of red, orange and purple fruit and vegetables into your diet are all factors that can influence brain health and function, researchers said.

“Dementia is one of the most feared diseases in Australia, and with its prevalence projected to increase almost fourfold by 2050, this research may help people find tangible ways to help prevent brain function decline early on,” said Dr Bates.

The study tested the samples of brain fluids from otherwise healthy patients to identify chemicals that might indicate oxidative stress and a type of inflammation in the brain. Researchers have flagged the possibility of a blood test in the future that may be able to monitor oxidative stress and inflammation markers in the brain, but cautioned that further follow-up of participants was required.

Recipes incorporating different coloured foods to support better brain health can be found on the Bupa Australia Blog.

For further information visit: blog.bupa.com.au.

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LIFESTYLE reduce the effects of dementia

BAKED VEGERABLE SLICE INGREDIENTS ww ww ww ww ww ww ww ww ww ww ww ww ww ww ww ww

ASIAN SLAW INGREDIENTS

2 tablespoons (30ml) olive oil 3 sprigs rosemary, chopped finely ½ Spanish onion, diced 1 small (~300g) sweet potato (skin on), ½ large eggplant, 1cm cubes 1cm cubes 200g pumpkin (skin off), 1cm cubes 6 eggs 1 cup low-fat milk ¾ cup wholemeal flour ¾ cup or 180g of low-fat ricotta cheese 1 medium beetroot, grated* 1 cup spinach or rocket leaves ½ punnet (125g) cherry tomatoes 4 cloves garlic, diced ¼ cup fresh basil, chopped Pepper

ww ww ww ww ww ww ww ww ww ww ww ww ww

DRESSING ww ww ww ww ww ww

METHOD 1. Pre-heat oven to 180°C (fan forced).

2. Heat oil in frypan.

3. Add garlic, onion, eggplant, sweet potato and pumpkin.

Stir fry for 10 minutes.

4. Whisk eggs, milk and flour in a large mixing bowl, once smooth stir through ricotta.

5. Add all ingredients (veggies from frypan, tomatoes, spinach/rocket leaves, herbs and pepper) to the bowl and mix.

6. Pour mixture into a large non-stick baking dish (30cm x 25cm) and bake for 30-35 minutes.

SERVING SUGGESTIONS: 1. A meal on its own (serves 4-6) 2. A meal accompanied with baked salmon (serves 6-8) 3. A side dish (serves 8+) *The beetroot colours this slice an intense pink, you can substitute with a grated zucchini if you want to avoid this.

250g skinless chicken breast (fat trimmed)* 1 medium carrot, ribboned (or cut into thin match sticks) ½ Spanish onion, thinly sliced 6 small radishes, cut in half & thinly sliced ½ cup rice wine vinegar (approx) 3 stalks celery, chopped 1 cups bean shoots 1 red capsicum, cut into match sticks 1 pomegranate, seeds only 1.5 cups purple cabbage, thinly sliced ½ cup fresh coriander, chopped ¼ cup Vietnamese mint leaves, chopped ½ cup crushed walnuts (or other nut)

2 tablespoons lime juice Juice of 1 orange 1 tablespoon fish sauce 2 teaspoon crushed garlic 1 red chilli (optional) ¼ cup water

METHOD 1. Bring water to the boil in a medium saucepan 2. Place chicken in saucepan and bring to the boil again.

Leave to simmer on reduced heat for about 12 minutes. Then turn heat off and leave in water for another 10-15 minutes.

3. Meanwhile add onions, carrots, radish to vinegar and let stand for approximately 10 minutes, mixing occasionally.

4. Combine dressing ingredients.

5. Once chicken is cooked through remove from water, let cool to touch, then shred.

6. Drain the pickled vegetables (onion, carrots and radishes) and discard liquid.

7. Place all vegetables, chicken, mint, coriander and chilli (optional) in bowl.

8. Pour dressing over coleslaw and toss gently.

9. Garnish with walnuts.

SERVING SUGGESTIONS:

Rebecca Hall (Bupa, Accredited Practising Dietitian) For more information, please visit: bupa.com/foundation

1. An entree served in a lettuce cup (serves 8) 2. A side salad (serves 8) 3. A light meal wrapped in rice paper rolls (serves 4-6) 4. A meal served in a wholemeal burrito/mountain bread (serves 3-4) 5. An easy lunch served on a baked sweet potato, cook sweet potato in microwave for 5 minutes (serves 6) *Tofu can be used in this recipe as an alternative to chicken.

THIS ARTICLE WAS KINDLY SUPPLIED BY BUPA HEALTH FOUNDATION

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STATE new south wales

NSW president‘s message AS 2014 WINDS DOWN, THE NSW PRESIDENT REMINDS US WHAT IS STILL AHEAD FOR THE STRATA SECTOR IN NSW.

Strata Community Australia (NSW) has achieved a lot this year – from participation in the strata law review to the launch of the Whitbread Strata Community Awards. Let’s take a look back before we go on to what next year might look like for the strata industry.

In the space of three months we had three Ministers for Fair Trading.

Firstly, our longest-serving Minister of recent times, the Honourable Anthony Roberts, MP, was promoted in a Cabinet reshuffle and the Honourable Stuart Ayers, MP, became Minister. He picked up from where Minister Roberts left off and SCA (NSW) worked successfully with him on the introduction of the new strata legislation. However, this was subsequently delayed with the replacement of the Minister with the Honourable Matthew Mason-Cox, MLC. The new strata laws are now not expected to reach NSW parliament until after the March 2015 election and are unlikely to take effect before early 2016. This is somewhat frustrating as the strata sector in NSW has been working towards change since 2011 and a five-year delay in implementing new laws is a little extraordinary.

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Nevertheless, SCA (NSW) is currently reviewing a government position paper on proposed changes to the community title laws.

While no formal deadline, indeed no formal submissions have been called, SCA (NSW) policy and legislation committee is committed to producing a paper to go to the government. This paper will outline any concerns the strata sector has in relation to proposed changes to the laws, while recognising there will be a need for change to bring community title laws in line with the new strata laws.

Not everything has been about the government and we have been working to get other things done for our members. The Secretariat team have been working on events and we held a very successful convention in late October at the Hilton Hotel, Sydney.

With the theme ‘Onwards and upwards’ resonating throughout the convention, we heard from some excellent speakers on a range of topics. The standout was keynote speaker Alissa Camplin, who many of you will know is a gold medal-winning Winter Olympic aerial skier.

She had us laughing and crying as she recounted her journey to becoming a gold medallist and what she has been involved with

new south wales STATE

NSW SPONSORS

Platinum

Gold

Silver

Bronze

since. If any one person was an inspiration it is without a doubt Ms Camplin. I have heard a number of people since state how much they liked her presentation and many others are now wishing they had been there.

The second day of the convention was our strata owners day, with both members and non-members attending the various sessions, including the ever-popular Flat Chat live with well-known newspaper columnist Jimmy Thomson.

Let me also take this opportunity to thank my colleagues on the NSW Board for their support and encouragement this year and to thank the NSW staff for their hard work and dedication.

I’d like to wish you all a Merry Christmas and happy New Year – 2015 is looking like it will be a good one.

Greg Haywood President SCA (NSW)

A selection of images from the event are featured across the following pages so please enjoy, and if you didn’t come to the 2014 convention, then please do consider booking your place for 2015. Details will be announced early next year.

SCA (NSW) membership and education teams have also been working hard to provide improved services to members. For the 2015 membership renewals we have decided to leave fees at the 2014 levels. I hope you all renew and encourage non-members to join. We have a lot to do next year and want to have you all on board.

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STATE new south wales

NSW 2014 SCA convention The 2014 SCA (NSW) Convention was held at the Hilton Hotel over two days from 24 to 25 October under the theme ‘Onwards and Upwards’.

Each day we welcomed around 300 delegates and the Gala Dinner attracted over 400 attendees. With over 30 trade exhibitors and a full complement of convention sponsors, the event was full of energy and engagement.

The program was developed with plenty of information-gathering, education and networking opportunities for strata managers, strata services and strata owners.

The event kicked off with an update on new strata legislation by Minister for Fair Trading Matthew Mason-Cox, and featured some engaging and insightful addresses by keynote speakers Winter Olympian Alisa Camplin and Robyn Moore.

The first day focused on practical tools and resources, with sessions on growth through better conversations, outsourcing to enhance productivity, levies, budgets, communications, managing your clients, interesting developments in strata and leadership lessons.

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The final day was strongly focused on the strata industry and included a Q&A panel on the new Strata Schemes Bill, comprising of NSW Board members and a NSW Fair Trading representative.

Other sessions included new developments, the role of retirees in strata, managing disputes, the next generation and risk management.

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1300661182 | enquiries@cleangreenstrata.com.au

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new south wales STATE

convention

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STATE new south wales

gala dinner

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new south wales STATE

trade exhibition

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45

STATE queensland

QLD president‘s report

The year-long legislation review in Queensland is further moving into 2015 and we couldn’t be happier to be involved on such a high level.

Throughout the year we have met a few times with the QUT property law review panel, which has taken our critical advice on board, submitting very reasonable issues papers to the Attorney-General. There are two more stages in the review and we are committed to keeping up the member brainstorming sessions we have commenced this year.

Reflecting our solid Government relationships, we were honoured to have the Attorney-General, Jarrod Bleijie, Acting Commissioner Ingrid Rosemann and the QUT Property Law Review panel chair, Prof Bill Duncan attend our office reopening. This important milestone opens new avenues for our education pathway offerings and of course – expansion. The strata title sector is growing rapidly with 409,000 lots in Queensland.

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We were very honoured when the Attorney-General, Jarrod Bleijie, officially opened our new office space on 14 October. Among our guests were the Acting Commissioner, Ingrid Rosemann, and Professor William Duncan, a member of the QUT Property Law Review Panel, life member of SCA (Qld) and our first President in 1984. The Attorney-General took the opportunity to brief SCA members on legislative achievements over the past year and how these have cut 20 per cent of property-related legislation. The Attorney also confirmed that after the first stage, which explored legislation around current seller disclosure regimes and lot entitlements, the second stage at the end of the year will examine the Property Law Act 1974 and body corporate governance in community titles schemes.

At SCA (Qld) we are prepared to continue the work on the property law review in 2015. The strata title industry has been called a recession-proof industry and this is even more evident in the forecast of 43.3% of all new housing to be in strata-titled schemes. The

queensland STATE

The SCA qld office Re-opening on 14 October 2014

Attorney-General the Hon Jarrod Bleijie and sca qld)president simon barnard

move into a larger office will enable us to provide for that growth in membership. I’m wishing all our members a wonderful summer and I am looking forward to continuing our successful path in 2015.

BUILDER’S DUTY OF CARE From time to time various jurisdictions in Australia make decisions that impact dramatically on strata living – not always in a favourable way. Just recently, a NSW High Court appeal found that builders don’t have a duty of care in the construction of a building to the extent to avoid the body corporate suffering loss resulting from latent defects in the common property. This means there is no common law recourse (and only limited statutory rights) against builders who have failed to adequately construct buildings at their schemes.

Queensland members are encouraged to ensure that bodies corporate make a complaint to the Queensland Building and Construction Commission (QBCC) about defects within the

Attorney-General, Acting Commissioner Ingrid Rosemann and Prof Bill Duncan

timeframe. Bodies corporate should obtain a comprehensive building report, identifying all defects by a licensed contractor prior to the expiration of the time limits. They should then notify the QBCC and the building contractor responsible for the development of all defects identified in the building report – or brought to the attention of the body corporate in any other way – prior to the expiration of the time limits.

By taking these steps the QBCC may issue a direction to rectify to the building contractor. Should the contractor fail to comply then the body corporate may have rights under the statutory insurance scheme administered by the QBCC. Simon Barnard President SCA (QLD)

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STATE queensland

G20 DOMINATES BRISBANE CITY In November, Brisbane welcomed 20 world leaders along with their 4,000-strong entourage for the two-day G20 Summit that dominated all major news for weeks before the event. SCA (Qld)’s media work during that time has dramatically increased awareness in the public of our organisation, what we do, who we are and how important the proper management of strata schemes is to maintain safety.

We released around a dozen media statements and were quoted well over 30 times in relation to the G20, worth an estimated $120,000 in advertising costs. We took the lead on advising schemes about terrorism insurance exclusions, which ran in various print media from the Adelaide Advertiser to the Herald Sun, with Channel 7, ABC Radio, SBS Radio and 4BC also reporting on the issue. The coverage around the G20 has no doubt increased SCA (Qld)’s influence and profile, and we are now being referred to as the leading property industry body (Courier Mail, 7 November).

The 2014 SCA (Qld) has hosted another successful Leadership Forum. Twenty-seven strata managers from 18 Body Corporate

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Management firms attended 14 sessions during the two-day event.

With quite big shoes to fill and high expectations from those who attended the 2013 Queenstown Leadership Forum, McCrindle Next Gen expert Claire Madden and our stellar line-up of expert presenters took delegates on an interactive and thought-provoking journey that had them truly understanding generational leadership and the implications that diversity in generations and cultures bring.

VINAKA TO THE LEADERS WHO ADDRESSED THE HASHTAG GENERATION The 2014 SCA (Qld) has hosted another successful Leadership Forum. Twenty-seven strata managers from 18 Body Corporate Management firms attended 14 sessions during the two-day event.

With quite big shoes to fill and high expectations from those who attended the 2013 Queenstown Leadership Forum, McCrindle Next Gen expert Claire Madden and our stellar line-up of expert presenters took delegates on an interactive and thought-provoking journey that had them truly understanding generational leadership and the implications that diversity in generations and cultures bring.

queensland STATE

2015 events calendar FEBRUARY 19

High Court Decision – Workshop Breakfast 7:30am – 9am Masterclass: Caretaker’s Agreements 9:30am – 4pm

MARCH 12-14

2015 SCA (Qld) Conference, Marriott, Surfers Paradise

APRIL 16

Triangle of Management – The AGM 9am – 1pm

MAY 05 07 14 21 22

Masterclass: New Developments 9am – 4pm Strata Starter - Sunshine Coast Masterclass: New Developments 9am – 4pm - Gold Coast Get up to Speed – Best of Last 6 months - Cairns Get up to Speed – Best of Last 6 months - Townsville

JUNE 31 May-02 June 09

30

SCA National – Canberra Masterclass: Principle Body Corporate (PBC) and Building Management Statements (BMS) CPD Seminar 9am – 4pm

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STATE victoria

VIC state of the state ww Melbourne continues to soar to new heights. It is being transformed into a city of giants, with more than 20 new skyscrapers above 200 metres being constructed or planned ww Apparently low-density dwellings are bad for the heart. According to a study by the Heart Foundation, people who live in low-density housing in Melbourne’s outer suburbs are at risk of developing heart disease and becoming obese due to a lack of exercise ww In terms of strata disputes, in the 2013-14 year there were 2,944 Victorian Civil and Administrative Tribunal (VCAT) applications, a 9 per cent decrease from 2012-13, which recorded 3,246.

Almost all applications were for fee recovery, with 87 per cent of all applications for claims less than $10,000. The VCAT owners corporation list is wholly funded by Consumer Affairs Victoria via the Victorian Property Fund, a trust fund established under the Estate Agents Act 1980. It stood at $1.82 million in 2013-14, an increase of 39 per cent from the previous year

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ww There is a continued focus on ethical standards. Recently SCA (Vic) made two separate referrals to the regulators. These related to not being a registered strata manager or having professional indemnity insurance ww A new member-only resource has been added to the scores of Practice Guidelines and will guide you through Essential Safety Measures ww As a thank you for your continued support, all SCA (Vic) members are warmly invited to our free networking Christmas evening on 12 December ww At the time of printing, Victoria will have held its State election.

So it’s worth remembering that Australian pollies love their properties. The State’s 128 MPs own an average of 1.8 properties each. Parliament’s rental kingpin and property doyen owns six rental properties, while one owns a block of flats and another owns an island

victoria STATE

legislative changes WITH A NUMBER OF VICTORIAN STRATA LEGISLATIVE CHANGES HAPPENING, SCA (VIC) CONTINUES TO RAISE ITS VOICE AND PROFILE AS THE PEAK BODY THROUGH ADVOCACY AND LOBBYING.

The Bill is yet to be formally passed by Parliament, and there are no more Parliamentary sitting dates listed for 2014. The expected commencement date is due to be proclaimed by 1 April 2015 at the latest.

The Bill deals with owners corporations that are retirement villages, clarifying the interaction between these two Acts and obligations of managers, as well as removing anomalies and improving terminology.

Another significant strata legislative change relates to fees for OC Certificates, and copies of the register and records.

All things considered, this change to the fees for OC Certificates is a reasonable outcome that indexes fees annually, legitimises industry practices (i.e. urgent priority fees) and puts appropriate quantum’s on fees.

Commencement of the new regulations, and the Sale of Land Amendment Act was on 1 October.

With a number of Victorian strata legislative changes happening, SCA (Vic) continues to raise its voice and profile as the peak body through advocacy and lobbying.

A review of the regulation of strata managers resulted in the Consumer Affairs Legislation Further Amendment Bill 2014 being introduced to the Victorian Parliament. All things considered, the regulation reforms of Victorian strata managers are a good outcome.

Under the new reforms the Contract of Appointment (CoA) length will be limited to a maximum three-year term, with automatic rollover limited to monthly and pooled bank accounts prohibited. It also requires managers to undergo a criminal record check and the disclosure of beneficial relationships with suppliers, while the CoA cannot quarantine revocation to a general meeting decision. Assignment and commissions are OK with transparent disclosure.

Although it must be said that 1 October also marked a sad day for vendor disclosure, as it was the start of the rise of the State of inactive owners corporations and of OC Certificates no longer being mandatory.

As a result of these changes, there is now a new consolidated Owners Corporations Regulations 2007 – version 3.

RECOVERY OF STRATA FEES After years of lobbying, the problem of recovering owners corporation fees from overseas lot owners has been resolved by the Courts Legislation Miscellaneous Amendments Act 2014, expanding VCAT’s rule-making power, which has now commenced, to make rules for service outside Australia.

Recovering strata fees from overseas lot owners has been a significant ongoing problem, particularly so in large, inner-city owners corporations.

We have been lobbying about this issue for a number of years.

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STATE victoria

wrap up of major events An excerpt of the second reading speech, in talking about VCAT, states: “The Bill expands the tribunal’s rule-making power, empowering the tribunal to make rules for service outside of Australia. Currently, tribunal applications cannot be served outside Australia. This creates difficulties for parties who wish to enforce their rights under legislation. It has been a particular problem in certain lists, for example, in relation to matters arising under the Owners Corporation Act 2006. Owners corporations must currently commence proceedings in the Supreme Court to recover unpaid fees from owners residing overseas, but can recover the same fees from owners who reside within Australia in the tribunal.”

PROPERTY DEFECTS A government review was undertaken over the past few years after the current Victorian legislative system was finally identified as inadequate.

This culminated in the Building Legislation Amendment Bill 2014 being introduced to Parliament, which proposes the most significant changes to the Victorian building industry in the past 20 years. The outcome of Parliamentary deliberations is not yet known. To ensure the government doesn’t back away from key building reforms, we wanted to publicise the issue that common property defects remain a significant problem in the strata sector.

But to do so, we first had to quantify the extent of the issue. So, we asked members to give us specific examples, with the amounts involved, and how it was resolved. Our submission included the responses of 14 members, who provided examples of common property defects, as well as 57 owners corporations, comprising of 2,776 lots, with a combined cost of $29 million in defects.

We have also reiterated that it’s inequitable that warranty insurance is exempted for high-rise apartments of more than three storeys. There is no reason there should be a difference between a stand-alone home versus apartments.

2014 CHU SCA (VIC) SYMPOSIUM The 2014 CHU SCA (Vic) Symposium was attended by 333 delegates, comprising mainly strata managers.

The one-day event covered the ‘practice’ of strata management and was held under the theme ‘Regulatory Change’, with a focus on the various legislation impacting owners corporations.

The Minister for Consumer Affairs opened a pre-eminent line-up of guests that also included strata managers, strata lawyers, an economic consultant and a bullying specialist.

This year’s Awards for Excellence was also held in conjunction with the Symposium. The annual awards recognise individuals and companies that provide exceptional strata services. SCA (Vic) congratulates the winners on stamping their professional credibility. An advertisement was placed in The Sunday Age Domain.

LOOK OUT IF YOU DON’T MEET CPD REQUIREMENTS The SCA (Vic) Contract of Appointment (CoA) has always dealt with assignment. The ability to effect an assignment of the CoA directly affects the ability to sell an owners corporation management business or a portfolio of properties, and in the past opinions have differed on whether assignment was allowed or not. This is a critically important issue that affects the value and viability of many businesses.

One of the changes as part of the regulation of strata managers, if passed and when it commences, is that it will now regulate assignment. An owners corporation must have the ability to reasonably refuse a proposed assignee.

However, it will be prima facie unreasonable for an owners corporation to refuse the assignment of the strata management if the assignee is a full member of an approved body. The regulations do not yet specifically prescribe any such bodies.

Note, that SCA (Vic) members who do not satisfy their annual Continuing Professional Development (CPD) requirements, and hence are no longer full members but rather Provisional members, will not have this automatic safeguard.

Aside from the many other reasons to maintain your CPD, it is now even more imperative if you are considering purchasing a portfolio or strata management business.

PRINCIPALS RETREAT Fifty strata industry leaders attended the inaugural Principals Retreat, held from 16 to 19 October at Hamilton Island. The exclusive event was open to SCA (Vic) members only and all attendees were senior personnel of an Owners Corporation Management business.

Facilitated discussions were held to support members’ strategic planning and focused on a range of targeted areas, including enhancing business practices, staff appraisal and identifying opportunities for business growth. Attendees were also able to take advantage of some of Hamilton Island’s many leisure activities.

Feedback from participants has been very positive and those unable to attend this year are encouraged to join the 2015 event.

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victoria STATE Principals Retreat

an expert in your pocket An exciting new resource is now available through SCA (Vic). An expert and authoritative commentary on owners corporation laws titled The VCAT Owners Corporation Service has been published by ANSTAT to help Victorian Civil and Administrative Tribunal (VCAT) users. It’s written by VCAT members Alan Vassie, Ian Lulham and Bernadette Steele.

Managing owners corporations can be fraught with difficulties and legal complications. It’s essential for people working in this industry to understand their legal rights and obligations. This new publications is a critical tool for strata managers, providing information on the key requirements and practical operations of the Victorian strata laws.

It contains expert commentary on the: ww Owners Corporations Act 2006; and ww Part 5 of the Subdivisions Act 1988 The commentary explains the provisions of those Acts and of related legislation, regulations and rules, which have the most significance for the jurisdiction of the VCAT Owners Corporations List.

The key features and benefits of the service are: ww All the relevant legislation at your fingertips, including the Owners Corporations Regulations 2007 and the Subdivision (Registrar’s Requirements) Regulations 2011 ww Updated commentary throughout the year ww Email alerts detailing legislative changes ww Practice notes and forms also included, which will assist if you are required to go through VCAT for dispute resolution SCA (Vic) is offering this to members at the following prices (GST inclusive): ww $275.00 annual subscription ww $214.50 for subsequent year’s annual subscriptions. Typically there are about two updates per year.

The subscription includes: ww Establishment fee ww Annual renewal fee for updates ww Email alerts on changes and updates to legislation ww Access via print or CD-ROM ww Frequent updates To place your order visit www.stratacommunity.org.au

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STATE western australia

WA president‘s report IT IS A GREAT HONOUR TO NOW OFFICIALLY HOLD THE POSITION OF PRESIDENT OF STRATA COMMUNITY AUSTRALIA (WA) INC. I AM GRATEFUL FOR THE OPPORTUNITY TO LEAD THE ASSOCIATION IN 2014/2015 AND EXCITED ABOUT THE THINGS WE HOPE TO ACHIEVE IN THIS PERIOD.

On a personal note, I would like to thank the many members who have expressed their support for me over the past few months. Most recently at our Christmas Gala event at Rendezvous on 14 November, many of you shared with me your thoughts and wisdom concerning our Association and gave me great encouragement. That is a wonderful springboard for the new Council year. It is the essence of what it means to be an association with community at its centre.

Council has now appointed the office bearers and committee convenors who will be charged with the important tasks of achieving service delivery, improving professionalism and achieving membership growth. It is worth reminding ourselves that under our Constitution, Committees appointed by Council operate with all the powers of the Council within the scope of the Committee’s Terms of Reference.

This means that our Committees can be instrumental and extremely influential in the Association’s activities. So with this in mind, anyone who

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wishes to make a positive contribution to the Association should make themselves known to myself, Suellen or any of the Council members.

Being involved on a Committee is a great way to contribute and be the change or innovation you want to see.

I’m pleased to announce the continuation of the following committees and the appointment of their convenors: ww Sponsorship – Kristy Ward ww Education – Leonie Milonas ww Professional Standards – Ida Smithwick ww Best Practice – Marietta Metzger ww Legal Affairs and Public Policy – Ida Smithwick At its November meeting Council also resolved to establish two Special Interest Groups (SIG) to assist the Association to achieve its strategic objectives by giving a focus to membership, particularly benefits for members. A Membership SIG will be headed by

western australia STATE

MEMBERSHIP UPDATE Owner Members

Strata Company Members

Beryl Diedricks Nicholas Del Monaco Trish Wallace

Bel Aire Place, Yokine Guadi Way, Clarkson David Brown Sharon Hertel

Warren Kiddle, charged with the task of consulting with members and SCA nationally on membership categories, pricing and services. A Principals SIG will be headed by Andrew Chambers to create opportunities for collaboration, networking and business development for business owners. Again, if you believe you have something to contribute to these important initiatives, Warren and Andrew would love to hear from you.

I would also like to congratulate and thank the following Councillors for continuing or taking up the roles of: ww Treasurer – Phil Geary ww Secretary – Marietta Metzger ww Vice-President – Janine Chapman

STRATA TITLES ACT REFORM Those who attended the November State Conference heard from Landgate’s Alison Fleming about the extensive list of proposed reforms to the Strata Titles Act. Many of those proposed reforms have resulted from the work over many years of the CTAC and Tenure Committees, to which our members Mark Atkinson, Jake Kneebone, Paul Keet and Robert Kronberger have been regular contributors.

Many of the reforms are overdue and are welcomed, as is the willingness of the Minister for Lands to progress the reforms without undue delay.

However, as always, there is some devil in the detail, some concerning gaps and some changes proposed that have crept in and surprised us. Inevitably, the reforms will have a significant impact on our members and we see the Association as having a crucial role in influencing the final form of the reforms. Landgate has released a discussion paper on Landgate’s website about the reforms and has asked for feedback by 16 January 2015. The timeframe is tight, but I encourage all members to read the discussion paper and have their say.

SCA (WA) will be compiling a detailed submission thanks to the work of the Legal Affairs and Public Policy Committee (Ida Smithwick, Paul Keet, Jake Kneebone, Henry Van Es, Mark Atkinson and myself). A forum to discuss the proposed changes and gauge member’s sentiments, concerns and support was also held on 3 December. Please read the discussion paper and if you were unable to make the forum, please feel free to contact any of the committee members or the SCA (WA) office to let your views be known.

Rachel Cosentino President SCA (WA)

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STATE western australia

WA state conference SCA Western Australia enjoyed a successful all-day conference followed

by A Night in Paris Gala Dinner. The conference was opened by SCA (WA) President Rachel Cosentino, who introduced the Federal Member for Perth, Alannah MacTiernan, who talked about the benefits of green areas in urban living and particularly the strata sector. This was followed by an informative update on Landgate’s Strata Titles Act Reform document, which is one of the top priorities SCA (WA) in December.

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Also presenting were Natalie O’Sullivan and Domonic Thompson from Macquarie Bank, Vince Pelligra of Slater & Gordon Lawyers, Michael Hurley from Strata Care Australia, Ed Keay-Smith of Impact Online and Graham Harvey of Service IQ. Our strata manager panel discussed Strata Hot Topics and the conference was closed by the inspirational Shelley Taylor-Smith of Champion Mindset.

western australia STATE

WA State Conference

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STATE south australia

SA president‘s report THE SUBURBAN SHIFT

At the recent AGM of the South Australian Chapter considerable comment was made surrounding the number of suburban developments. The past couple of years has seen less development and lower numbers of properties being registered at the Lands Title Office.

Interestingly, South Australian managers have seen a strong shift in the number of properties that have been redeveloped from the existing acre block to townhouses or two-storey walk-ups.

The market has not been strong enough to deliver a high number of apartments, so the urban infill developments have been meeting the market’s demand. Similarly, at this time we are seeing higher enquiry from the self-managed groups, and not just small selfmanaged groups. We have also noticed a considerable change in the composition of management committees where a younger

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generation of property owners have elected to refer the property on to professional management. The self-managed market remains the bigger pool for new business for managers in South Australia, with approximately 40 per cent of all strata title properties remaining under self-management.

This pattern is consistent in all suburbs and not just limited to inner-city residential areas. While it has been a quieter year than most would have liked, opportunities have still presented themselves and the South Australian managed market has continued to move forward.

Matthew Amber President SCA (SA)

tasmania STATE

TAS ACCREDITATION A number of Tasmanian strata managers have embraced the move towards national licensing and have completed training to receive accreditation as Certified Strata Community Managers.

Tasmanian SCA Chapter Chairman Mike Steele in Launceston and Executive Member Nigel Burridge in Hobart are the first two managers to achieve this recognition.

mike steele

With ongoing training being undertaken by a number of front-line staff in the State there will hopefully more awards to follow.

SYMPOSIUM The Tasmanian Chapter is planning a State symposium in Autumn 2015, likely to be held in the north of the State on this occasion following a very successful event of this nature in the south two years ago.

ECONOMY Following several flat years the Tasmanian economy is now entering an upturn phase, on the back of the election of a majority Liberal Government in the State in March this year. Â

Nigel burridge

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STATE ACT

ACT celebrates its inaugural award winners SCA (ACT) celebrated its inaugural industry awards recently. The event was well supported by major sponsor Whitbread, as well CHU, Collection Corporation, Macquarie Bank, Inside Outside, Schindlers Marite, Jim’s Cleaning, RNB, Bing, Stratamax and Horizon Coatings. Thank you to all of our sponsors.

Professional Commitment to the Industry was deservedly won by Peta Ribbens for her contribution over an extensive period of time. Holly Letcher from McNamee and Partners won the Rising Star of the Year, with Samantha Kellow named Support Team Member of the Year and Jan Browne winning Strata Industry Leader of the Year.

Over 200 industry members and guests helped to support a great night, which recognised and rewarded those in our growing strata community.

This is the first year the ACT has operated as a chapter of the SCA, and the change has been for the better, with most of our back-room operations occurring through the national office.

SCA (ACT) represents over 90 per cent of the units under management in Canberra.

Congratulations to all of the ACT award winners. These included: Jennifer Lee from Independent Strata Management (ISM), who won the Student of the Year award. ISM, a finalist in the Strata Management Business of the Year, also took home the Innovation of the Year Award.

Civium Strata People won the Strata Management Business of the Year and our President, Tim Maley, won the Strata Manager of the Year Award.

We would like to thank Tim Maley for his two years at the helm as President and we look forward to seeing our Territory’s strata industry flourish in the years ahead.

I was delighted to be endorsed as the ACT nominee on the National Board once again, and as National President.

I look forward to promoting the ACT on the national stage.

Jan Browne and Erik Adriaanse National President (ACT)

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ACT STATE

Congratulations to all of the ACT award winners

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STATE ACT

Congratulations to all of the ACT award winners

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We bring together people who manage strata schemes, live in strata communities, or provide services for them