How much does it cost to hold an EGM?

EGM charges

Summary

Occasionally, owners may require an Extraordinary General Meeting (EGM) to be convened to discuss a matter which cannot hold over until the next AGM. Where this is necessary, additional charges apply, which are set out in our contract.


More Information

To prepare, draft and distribute EGM documentation, we charge $220.00 This covers the cost to prepare the notice and agenda and supporting information, and provide a copy to the Council of the Strata for Approval. Depending on the number of lots, and the number of owners who favour a paper delivery method (as opposed to email), there may be additional Australia post charges.

The Strata Manager's time to attend the meeting is charged at $200 per hour + GST (or part thereof).

An EGM can be called at any time by the Council of the Strata Company, or it can be requisitioned by a group of owners who collectively hold a minimum of 25% of the total unit entitlement.

When it is agreed that an EGM is to be convened, the exact wording of the motions must be submitted to enable the preparation of the notice and agenda.

An EGM can take place without the Strata Manager being present. If Council of the Strata Company have the knowledge and confidence that they will meet all the criteria as set out in the Act, they can arrange and run the EGM themselves. ESM would then require a copy of the minutes for record keeping purposes.


Excerpt from the Act

128. Extraordinary general meetings of strata company

(1) An extraordinary general meeting of a strata company is a general meeting of the strata company other than an annual general meeting.

(2) An extraordinary general meeting of a strata company —
    (a) may be convened by the council of the strata company as the council thinks fit; and
    (b) must be convened by the council of the strata company on the written request of owners entitled to     25% or more of the unit entitlements of the lots in the strata titles scheme.


Example Case

Michael lived in a complex of 8 units in South Perth. He had recently purchased the unit and was keen to have some renovations carried out.

He wanted to make some alterations to the unit which included changing the floor tiling to an external area, adding some glass balustrade and installing bi-fold doors. As the alterations would be deemed structural, he needed approval via a resolution without dissent (under section 7 of the STA 1985). The AGM had only just occurred two months prior and Michael did not want to wait another 10 months before commencing the renovations. He requested that the CoSC convene an EGM to have the matter resolved. 

Michael's request was agreed to on the basis that the costs associated with the EGM were paid by him and not the Strata Company. He provided the secretary of the council the motion and all the associated information relating to the proposed changes. This was sent out to all owners along with the notice and agenda paperwork.

The meeting was convened, and all concerns and questions raised by other owners, were addressed. The motion was passed, and the Council arranged for the approval letter to be forwarded to the owner. Michael was then free to proceed with the works as set out in his application.