Annual General Meeting (AGM) of a Body Corporate
ANNUAL GENERAL MEETING
Your body corporate must hold a meeting of all lot owners (called the annual general meeting) if it receives or pays out money during the financial year. The time between the annual general meetings is 12 months.
The annual general meeting is the main opportunity for lot owners to discuss issues relating to their property and elect the committee and office bearers for the next year. The meeting will cover:
- Income and expenditure of the body corporate during the past financial year
- Assets and liabilities of the body corporate at the end of the past financial year
- Maintenance works and the maintenance plan
- A report from the committee
- A report from the body corporate manager, and
- Complaints and emerging issues.
Notice of Meeting
The notice of the annual general meeting must be in writing and either handed or sent to lot owners 21 days prior to the date of the meeting. The notice must include:
- the date, time and location of the meeting
- the general nature of business and any resolutions to be discussed at the meeting (the agenda)
- the text of any special or unanimous resolutions to be decided
- the financial statements
- the proposed budget, and
- a statement that lot owners have a right to appoint a proxy.
What is a Quorum?
A ‘quorum’ is the minimum number of members needed to transact business at a meeting. The minimum number is 25% of lot owners and proxies. If a quorum is not met, then the meeting is held again in 7 days at the same time and place.
Body corporate members or their proxies can vote at a meeting or by a ballot. At a meeting, voting is usually by a show of hands, with one vote for each lot. However, in some developments one lot may be entitled to more than one vote. Any lot owner may require before or after a vote by a show of hands, that voting be based on lot entitlements. If an owner is not financial they may not vote.
Electing a committee
By law, a body corporate may elect a committee at each annual general meeting.