Once a year, every strata scheme in New South Wales holds its annual general meeting. It is the meeting that matters most. The money for the year is set, the budget is approved, and the committee is elected. Get the AGM right and the scheme runs smoothly for twelve months. Get it wrong and decisions can be challenged or invalid.
If you are on the committee, or thinking about joining, knowing how an AGM runs takes the mystery out of it. Here is the process, step by step. Keep in mind that exact figures, notice periods and quorum rules are set in the Strata Schemes Management Act 2015 and can change, so always confirm the current detail with NSW Fair Trading or your strata managing agent.
Step 1: prepare and issue notice
Every owner must be given proper written notice of the AGM ahead of time. The notice includes the agenda (the list of what will be decided) and the supporting papers, such as the financial statements and the proposed budget. Owners need this information in advance so they can come ready to vote.
Many schemes have their strata managing agent prepare and send the notice. The notice has to go out within the timeframe set by the Act, and getting that timeframe wrong can put the meeting at risk, so confirm the current notice period with NSW Fair Trading or your strata managing agent before sending it.
Step 2: set a clear agenda
The agenda is the backbone of the meeting. It lists every motion that will be put to the owners, in order. A typical strata AGM agenda covers the financial statements, the budgets and levies, the election of the committee, insurance, and any special motions such as a by-law change. Only matters on the agenda can usually be decided, so anything important needs to be on it.
Step 3: review the financials
The meeting reviews the scheme finances for the past year, the income and spending across both funds. This is where owners see how their levies were used and whether the scheme is on a sound footing. Clear, accurate financial statements make this part straightforward. Patchy records make it painful, which is one reason good record-keeping matters so much.
Step 4: approve the budget and levies
Next, the owners approve the budget for the year ahead and the levies needed to fund it. Remember that levies feed two separate funds: the administrative fund for day-to-day costs and the capital works fund for major future works. The owners vote to set the levies based on the proposed budget. Our guide to the administrative fund and capital works fund explains the split, which is worth reading before the meeting if you are new.
Step 5: elect the committee
The AGM is where the strata committee is elected for the coming year. Owners (or their nominees) put themselves forward, and the meeting votes them in. The number of positions and how the election runs follow the Act, so confirm the current rules with NSW Fair Trading or your strata managing agent. If you are stepping into the role for the first time, our guide to what new committee members need to know is the friendly orientation.
Step 6: handle motions and voting
The meeting works through the motions on the agenda one by one. Most decisions pass on an ordinary majority. Some bigger ones, such as changing a by-law, need a special resolution, a higher level of agreement. Owners may be able to vote by proxy or by other means allowed under the Act if they cannot attend in person, so check what your scheme permits. The chair keeps the meeting to the agenda, and a quorum (the minimum participation for valid decisions) must be present for the votes to count.
Step 7: record and distribute the minutes
After the meeting, the decisions are recorded in the minutes and distributed to owners within the required timeframe. The minutes are the official record of what was decided. They protect the committee if a decision is ever questioned, and they tell owners who could not attend what happened. Specific, clearly written minutes are part of good governance, which we cover in our guide to good strata governance and common mistakes.
The committee role at the AGM
If you are on the committee, the AGM is where a lot of your year comes together. You help prepare the budget, you present or support the financials, and you may stand for re-election. Walking in knowing how the meeting runs, what needs a special resolution, and why notice and quorum matter, makes you a steadier, more useful member. Our pillar guide to strata committee members in NSW sets the whole role in context.
Get ready before your next AGM
The best-run AGMs are the ones where the committee understands the process before the meeting, not during it. Archer Institute Strata Members CPD covers meetings, motions, the funds and the duties of a committee in plain English, online and self-paced. It is a quick way to walk into your AGM knowing exactly what is going on.
Browse the Strata Members CPD course or call our Australian-based team on 1800 069 273, and remember to confirm the current notice periods and quorum rules with NSW Fair Trading or your strata managing agent.
