Governance

What are strata committee responsibilities in NSW?

From finances and maintenance to insurance, records, meetings and the 2025 member duties — every responsibility a NSW strata committee carries, in plain English.

OneStrata Guides11 min readFor small to medium size NSW strata schemes

In NSW, the strata committee is the small group of owners elected to make the day-to-day decisions for everyone. With that role comes real responsibility — and, since the 2025 reforms, clearer legal duties for individual members. Here is exactly what a committee is on the hook for, in plain English.

Owners corporation vs strata committee — who does what

Every owner in a scheme is automatically part of the owners corporation — the body that collectively owns and is responsible for the common property. The strata committee is a smaller group, elected by the owners at each annual general meeting, that acts on the owners corporation's behalf between general meetings. Think of the owners corporation as the shareholders and the committee as the board.

The committee handles the day-to-day; the bigger decisions (adopting the budget, setting levies, major expenditure, changing by-laws) are made by all owners at a general meeting. A decision properly made by the committee is treated as a decision of the owners corporation.

How the committee is formed

  • Size: between 1 and 9 members, decided by ordinary resolution at each AGM. Schemes with more than 100 lots must have at least 3 members. In a two-lot scheme, both owners are members.
  • Who is eligible: owners, and certain nominees of owners (and company nominees for corporate owners). Members generally must be financial — that is, their levies are up to date.
  • Office bearers: at its first meeting after being elected, the committee must appoint a chairperson, secretary and treasurer. One person can hold more than one of these roles, though sharing them is usually wiser.

The duties you owe

Recent reforms sharpened the duties that individual committee members owe. In broad terms, a member must exercise their functions:

  • honestly and in good faith, for the benefit of the owners corporation as a whole;
  • with due care and diligence; and
  • while disclosing conflicts of interest and not using the position for improper personal advantage.

These are not heavy burdens for a conscientious volunteer, but they do mean decisions should be made on the merits, recorded, and able to withstand scrutiny. That is much easier when there is a clear record of what was decided, by whom, and why — which is precisely what a proper audit trail provides.

Chairperson, secretary and treasurer

Chairperson

Runs meetings: confirms there is a quorum, keeps to the agenda, manages discussion fairly, puts motions to a vote and declares the result. The chair sets the tone for orderly, constructive meetings.

Secretary

The administrative engine: preparing and sending meeting notices and agendas, taking and distributing minutes, maintaining the strata roll, handling correspondence, and keeping records accessible. Much of the secretary's load is exactly what software can automate.

Treasurer

Looks after the money: notifying owners of and collecting levies, banking and accounting for receipts, paying expenses, keeping the financial records, and preparing the financial statements. In a small to medium size strata scheme this is the role most exposed if the books are not in order — and the role that benefits most from reconciliation that ties out automatically.

One dashboard for every committee role

OneStrata gives the chair, secretary and treasurer a single shared system — finances, levies, maintenance, notices, meetings and an immutable audit trail — instead of scattered spreadsheets and inboxes.

The six responsibility areas

1. Financial management

Maintain the two legally required funds — the administrative fund (day-to-day running costs) and the capital works fund (major, infrequent expenses) — keep them separate, set budgets, strike levies by unit entitlement, and keep the books reconciled. Schemes must maintain a 10-year capital works fund plan and keep financial records for at least seven years.

2. Maintenance and repair of common property

The owners corporation has a positive duty to properly maintain and keep the common property in a state of good and serviceable repair. That means acting on issues, engaging suitable contractors, and keeping a record of the work.

3. Insurance

Hold the required insurance — building insurance based on a current replacement valuation, and public liability cover of at least $20 million — and renew it on time. (Some two-lot schemes can be exempt from building insurance in specific circumstances.)

4. Records and transparency

Keep the strata roll, minutes, financial records, by-laws, insurance details and key documents — increasingly required to be held electronically — and make them available to owners. Minutes should be distributed within 14 days of a meeting, and documents produced promptly when requested.

5. Meetings and reporting

Hold the AGM each year with proper notice and quorum, run committee meetings as needed, and lodge the scheme's annual report on the NSW Strata Hub within three months of the AGM.

6. By-laws and disputes

Apply the scheme's by-laws consistently and fairly, and work to resolve disputes — escalating to mediation or NCAT only where necessary.

Personal liability — and protecting yourself

Committee members who act honestly, carefully and in good faith are generally protected for things done in that capacity. The exposure comes from the opposite: decisions with no record, money that cannot be accounted for, obligations that were missed. The practical defence is unglamorous but powerful — keep good records, make decisions transparently, and be able to show your work.

This is where an audit-grade system earns its keep. When every levy, edit, approval and payment is logged with who did it and when, and every owner can see where the money goes, a challenged decision is answered with evidence rather than memory.

How OneStrata maps to each responsibility

Committee responsibilityHow OneStrata helps
Financial managementSeparate admin & capital works funds, budget vs actual, reconciliation with automatic drift detection.
LeviesContributions by unit entitlement, itemised notices, paid/overdue tracking, arrears follow-up.
MaintenanceLog requests, assign contractors, track jobs from reported to resolved — on the record throughout.
Records & transparencyElectronic document library, the strata roll, and an owner portal where every owner sees their levy itemised.
MeetingsNotices, agendas, AGMs, voting and minutes in one place.
AccountabilityAn immutable audit trail — who did what, when — so decisions hold up to scrutiny.

This guide is general information for NSW strata committees, not legal, financial or tax advice. Strata law changes — the Strata Schemes Management Act 2015, its Regulation and recent amendments are the authoritative source, alongside NSW Fair Trading (nsw.gov.au). Always confirm current requirements for your scheme, and seek professional advice on anything significant. OneStrata is record-keeping and management software for small to medium size strata schemes; it is not a licensed strata managing agent and never holds your funds.

Frequently asked questions

Can one person be chairperson, secretary and treasurer?

Yes, the law allows one person to hold all three office-bearer roles, which is common in very small schemes. Spreading the roles across members is usually healthier, because it shares the workload and provides natural checks.

Do committee members get paid?

Generally no — committee members are volunteers. Reasonable out-of-pocket expenses may be reimbursed by the owners corporation, but the role is not a paid one.

What if a committee member does not pay their levies?

Members generally need to be financial (levies up to date) to hold their position and to vote. Persistent arrears can affect eligibility, so it is in everyone's interest to keep contributions current.

Are committee members personally liable?

Members acting honestly, with due care and in good faith are generally protected for acts in that capacity. The risk rises sharply where records are poor or duties are neglected — which is why transparent, well-documented decision-making is the best protection.

Meet every responsibility from one place

Finances, levies, maintenance, records, meetings and an immutable audit trail — OneStrata maps to the committee's duties so nothing slips through the cracks.

From $8 per lot / month · owners free · 7-day free trial, no card, no lock-in