A public inquiry is looking into strata management in the ACT, given about one in five Canberrans live in a strata community. Photo: Michelle Kroll.
CONTENT WARNING: This article includes reference to suicide.
Transparency concerns, economic ramifications, social and political consequences: these are some of the issues laid bare as part of the public inquiry into the management of strata properties.
But the toll on mental health was highlighted as a key concern by one group of individuals who fronted the public hearings.
Anne Cahill Lambert, Robin Eckermann and Marshall Blain all have varying levels of experience in being part of the strata management sector.
Mr Blain described the sector as being in crisis and that the mental toll should not be understated.
“I’ve seen and I’ve had people send me a text message that said ‘please look after my wife’ and that person disappeared, it was driven by strata issues,” he said.
“I know of a strata where strata issues were a factor in that person’s suicide.
“This is how bad it gets, in the way that if you have a strata person in the executive committee (EC) who has command and control, they can cause a lot of harm.”
The inquiry is investigating the application of the Unit Titles (Management) Act 2011 and its current performance, including the remit for a potential Strata Commissioner, the qualifications and licensing of strata managers (including conflicts of interest and fee models) and the responsibilities of executive committee members.
Ms Cahill Lambert described one situation where a strata manager wanted to ban dogs from urinating in an apartment complex quadrangle and a conversation the manager had with a resident.
The manager allegedly told the resident they would be fined for their pet urinating in the area, even though their own dog peed during their conversation.
“This is the stupidity of some of this stuff,” Ms Cahill Lambert said.
“These people are legends in their own lunchboxes … and they make people’s lives miserable as a result.”
All three gave their support for a Strata Commissioner to be established in the ACT but said it needed to go further.
Ms Cahill Lambert believes three part-time commissioners should be appointed, supported by a full-time secretariat, which would allow for people with a variety of backgrounds to be monitoring the strata management space.
“At the moment the sector is so fraught with self-interest, incompetence and a range of other interests that don’t allow for good governance,” she said.
Mr Blain took issue that the proposed Strata Commissioner role was slated to be an APS-6 funded position, for what he described as a “middle-ranking public servant”.
“Having known and worked with and dealt with all the strata firm heads … they are tough, they are shrewd business people,” he said.
“They will eat an APS-6 for breakfast.”
Diversity of body corporates, lack of transparency around commissions from fees and potential training for strata managers and EC members were also discussed.
Ms Cahill Lambert suggested a course be developed for EC members, as she felt some couldn’t care about the laws and regulations, had “unchecked power” and there was “no real accountability”.
“They operate with pure impunity,” she stated.
“Executive committees are hit and miss. There are some who say because they’re volunteers they should be given leeway – and we agree with that up to a point – but … we don’t volunteer for things we can’t do.
“In the real world, everyone is required to be prepared and qualified, whatever the volunteer role is.”
Mr Blain put forward a certification process for body corporates which could be renewed every five years to ensure the governance processes were appropriate.
Mr Eckermann stated many issues facing body corporations could be traced back to development and planning processes.
He gave one example where a hotel was located on part of an apartment complex, but there was no separation between resident and guest parking.
“Someone of nefarious intent could book a hotel room for a couple hundred dollars and at 3 am have access to 300 or 400 vehicles,” Mr Eckermann said.
“We’ve had that situation … we have had occasions of theft.”
Hearings are continuing throughout the week.
If this story has raised issues for you, contact Lifeline on 13 11 14. Contact Triple Zero (000) in an emergency.
