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Queensland Body Corporate and Community Management Commissioner - Adjudicators Orders |
Last Updated: 19 May 2008
REFERENCE: 0355-2008
ORDER OF AN ADJUDICATOR
MADE UNDER PART 9 OF CHAPTER 6
BODY CORPORATE AND COMMUNITY MANAGEMENT ACT 1997
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Number of Scheme:
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2029
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Name of Scheme:
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Dockside Mooloolaba
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Address of Scheme:
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Cnr Burnett Street & Foote Street MOOLOOLABA QLD 4557
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TAKE NOTICE that pursuant to an application made under the abovementioned Act by
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I hereby authorise the committee of the body corporate for Dockside
Mooloolaba to spend up to $25,000 to complete pressure grouting beneath the ramp
to the basement car park, replace the stormwater drainage system in the basement
car park, and obtain associated expert advice.
This is provided that the
committee first considers at least two quotations for the performance of the
pressure grouting and the
replacement of the stormwater drainage system.
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STATEMENT OF ADJUDICATOR’S REASONS FOR DECISION - REF 0355-2008
“Dockside Mooloolaba” CTS 2029
Application
Dockside Mooloolaba Community Titles Scheme (Dockside Mooloolaba) is an 18 lot scheme under the Body Corporate and Community Management Act 1997 (Act) and the Act’s Accommodation Module Regulation (Accommodation Module).
This application is by the body corporate for Dockside Mooloolaba seeking authorisation for emergency expenditure.
Submissions
Submissions by the committee on behalf of the body corporate were to the effect that they have received a report from a hydraulic and structural engineer expressing concerns about seepage into the basement car park and of the structural integrity of the driveway ramp. The committee therefore seeks authorisation for emergency expenditure for performance of pressure grouting beneath the driveway ramp at a cost of $8,360, replacement of the stormwater drainage system in the basement at a cost of up to $10,000, and engagement of engineers at a combined cost of $4,730.
All owners have been given a short period to provide any objections to the proposed orders sought. No objections have been received.
Decision
Applicable law
The legislation includes provisions that limit the amount a committee can spend on any single project but allow an adjudicator to authorise additional spending if satisfied that the spending is required to meet an emergency (Accommodation Module, 101).
Emergency works
Dockside Mooloolaba has 18 lots, which means the relevant limit for committee spending is $2,250, or up to $8,100 if previously authorised by a resolution of owners.
I have been provided with a copy of a report from Construction Hydraulic Building Service Engineers. This report referred to several reported incidents of major flooding in the basement and "a massive and constant inflow of ground water into the basement which carries extraordinary volumes of sediment" and has caused the failure of the pumps and pipe system. This report recommends the engagement of a specialist in the field of basement waterproofing to address the cause of the problem by "chemical and/or cement based grouting methods" and expresses concern about the structural integrity of the ramp.
The committee has obtained some further advice from BarlowGreg VDM Consulting Engineers and has obtained quotations for performance of some of the work that is considered necessary.
In the circumstances, I am satisfied that it is appropriate to authorise emergency spending for the works in question, particularly given some uncertainty about the possibility that part of the ramp may collapse. Based on the figures and quotations provided by the committee I am prepared to authorise the committee to spend up to $25,000 to address the concerns. This amount is based upon estimates and quotations provided by the committee and allows also for the possibility of some additional unforeseen expenses associated with the repairs. I will, however, make the authorisation subject to the committee first considering at least two quotations for the performance of the main components of the proposed works.
Presumably the body corporate has funds available to pay for the work in question. If not, it will be necessary for owners to raise a special levy or make other suitable arrangements to raise the funds.
Order
For these reasons, I consider it is appropriate to authorise emergency expenditure as above.
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URL: http://www.austlii.edu.au/au/cases/qld/QBCCMCmr/2008/157.html