One of the biggest adjustments when moving from a house to an apartment is that you no longer make decisions about your building alone. In a strata scheme, decisions about maintenance, spending, rules, and major works are made collectively — and understanding how that process works will save you frustration (and money).
This is Part 3 of our Beginner's Guide to Strata. Parts 1 and 2 cover the basics of strata ownership and levies.
What Is the Strata Committee?
The strata committee (previously called the "executive committee") is a group of lot owners elected to manage the building's affairs between general meetings. They're essentially the board of directors.
In NSW, the strata committee can have up to 9 members, elected at the Annual General Meeting. Any lot owner (or their nominee, in some cases) can stand for election. Committee members serve voluntary, unpaid roles.
The committee's authority is limited by law. They can make decisions about day-to-day management and spending within the approved budget, but significant matters — like raising special levies, changing by-laws, or approving major works — must go to a general meeting of all owners.
Committee Roles
The committee must elect three office-bearers from among its members:
Chairperson — chairs committee meetings and general meetings. Acts as the primary point of contact between the committee and the strata manager. In practice, the chair often sets the tone for how the building is managed.
Secretary — responsible for correspondence, maintaining the strata roll (the register of owners), and ensuring notices and minutes are properly distributed. The secretary is the default contact for official correspondence if no strata manager is appointed. In many schemes, the strata manager handles these duties on behalf of the secretary.
Treasurer — oversees the financial records, levy collection, and fund balances. The treasurer should be reviewing bank statements, monitoring arrears, and ensuring the budget is on track. Again, the strata manager usually handles the mechanics, but the treasurer provides oversight.
One person can hold multiple roles (common in smaller schemes), and in a two-lot scheme, both owners are automatically on the committee. In very large buildings, you might also see sub-committees for specific issues like building works, landscaping, or by-law compliance.
Meetings: AGMs and EGMs
Strata schemes hold two types of general meetings:
Annual General Meeting (AGM) — held once per year. This is the main event. The AGM covers:
- Approving the budget and setting levies for the coming year
- Electing the strata committee
- Reviewing financial statements
- Appointing or renewing the strata manager
- Approving insurance arrangements
- Any motions put forward by owners
Every lot owner is entitled to attend and vote at the AGM. You'll receive at least 14 days' notice, and the agenda will list every motion to be voted on.
Extraordinary General Meeting (EGM) — called when something can't wait until the next AGM. Common triggers include urgent repairs, special levy proposals, by-law changes, or disputes that need owner input. Any owner (or group of owners holding at least 25% of unit entitlements) can requisition an EGM.
Committee meetings are separate from general meetings — they're for the elected committee members only. Owners can attend as observers but generally can't vote. Committee meetings handle the routine business between AGMs.
If you can't attend a meeting in person, you can submit a proxy vote or, for some motions, vote in writing before the meeting. NSW law also allows electronic attendance if the building's by-laws permit it.
Resolution Types: How Votes Work
Not all decisions are created equal. NSW strata law has four types of resolutions, each requiring a different level of agreement:
Ordinary resolution — a simple majority of votes cast at the meeting. Used for routine decisions like approving the budget, electing the committee, or appointing a strata manager. This is the default for most motions.
Special resolution — requires at least 75% of votes cast in favour, with no more than 25% against. Used for more significant matters like changing by-laws, approving special levies over a certain threshold, or granting exclusive use of common property. Importantly, votes not cast don't count as "against" — only actual "no" votes block a special resolution.
Unanimous resolution — every lot owner must agree. Required for things like adding to the common property, changing unit entitlements, or terminating the strata scheme. In practice, achieving unanimous agreement in a large building is extremely difficult.
Resolution without dissent — passes if nobody votes against it (abstentions and absences are fine). Used for some specific matters under the Act. It's a slightly lower bar than unanimous — you just need nobody to actively oppose it.
Strata Manager vs Committee: Who Does What?
This is a common source of confusion. Here's the simple version:
The strata manager (also called the managing agent) is a licensed professional hired by the owners corporation to handle administration. They:
- Issue levy notices and chase arrears
- Maintain financial records and bank accounts
- Organise and minute meetings
- Arrange insurance
- Coordinate maintenance and repairs
- Handle correspondence and compliance
- Prepare Section 184 certificates for property sales
The strata committee provides direction and oversight. They:
- Set priorities for the building
- Approve spending within the budget
- Make decisions on behalf of owners between meetings
- Review the strata manager's performance
- Propose motions for general meetings
Think of it this way: the strata manager executes, the committee decides, and the owners corporation (all owners) has the final say on major matters through general meeting votes.
Not every building has a strata manager — smaller schemes (especially 2–4 lots) often self-manage to save on fees. For larger buildings, professional management is almost essential. How to find out who manages a building.
What to Look for as a Buyer
Meeting minutes tell you a lot about how a building is governed. When reviewing a strata report, look for:
- Are meetings being held regularly? AGMs should happen every year. If they're late or skipped, governance is likely poor.
- Are there enough committee members? Buildings that struggle to fill the committee often have disengaged owners — or owners who've given up on the process.
- What's the tone of the minutes? Constructive discussions about maintenance priorities? Good sign. Heated arguments about pet noise recorded verbatim? Less ideal.
- How long has the strata manager been in place? Frequent changes in strata manager can indicate dissatisfaction or difficult relationships. More on changing strata managers.
- Are maintenance issues being addressed? Problems raised at one meeting should show progress at the next. If the same items keep appearing year after year, the building is deferring maintenance.
Next in the Series
In Part 4: Reading a Strata Report Before You Buy, we put it all together — a practical walkthrough of how to read and interpret a strata report so you can make an informed buying decision.
