Last week Leverage published an article about the affect of new legislative reforms in the Property, Stock and Business Agent’s Act on real estate agents. We called the article “Salesman Vasectomy”. This is because the legislation will affect sales departments in every real estate agency. The legislation will still have a certificate of registration category for strata management trainees. As the holder of a certificate of registration, a trainee is currently able to do all functions of an owner’s corporation with the supervision of a licensee.
They are able to do such functions as:
- Call meetings;
- Conduct meetings;
- Take minutes;
- Sign minutes;
- Affix the common seal;
- Undertake maintenance and repairs;
- Arrange for finance;
- Arrange for insurance;
- Instruct solicitors etc.
The new legislation will require that all certificate holders, within four years, obtain a license. Strata managers may need to think about this four-year period a bit more clearly! The legislation is going to limit the functions of a certificate holder. The legislation is going to turn the certificate into a traineeship and take away the authority to do the functions above. The strata managers will be able to act in the background as personal assistants with no ability to undertake any of the work set out above.
If strata managers are involved with the work of a strata manager, they will need to have a license under the new regime. This may work for large organizations where personal assistants or property officers are used. It will not work in smaller organizations, where strata managers are given all the functions.
It is also worth remembering that, persons organising insurance or having the simple job of maintenance and repairs are carrying on the functions of an owner’s corporation. Hence, they will also need licenses under the new regime.
We have no idea when the laws will come in. all we know is that they are coming and at the date they commence, a strata manager will need to be licensed.