River Springs Flushing Meadows [2009] QBCCMCmr 388 (9 October 2009)

Last Updated: 13 November 2009

REFERENCE: 0937-2009

ORDER OF AN ADJUDICATOR

MADE UNDER PART 9 OF CHAPTER 6

BODY CORPORATE AND COMMUNITY MANAGEMENT ACT 1997

Number of Scheme:	31460
Name of Scheme:	River Springs Flushing Meadows
Address of Scheme:	64 Gilston Road NERANG QLD 4211

TAKE NOTICE that pursuant to an application made under the abovementioned Act by the Body Corporate for River Springs Flushing Meadows

I hereby order that for the purposes of the Body Corporate and Community Management Act 1997 (“the Act”), and pursuant to section 283 of the Act, the next financial year end date of the Body Corporate for River Springs Fushing Meadows Community Titles Scheme 31460 shall be 31 October 2010, in place of the previous financial year end date. I further order that, thereafter, each successive financial year for the Body Corporate for River Springs Fushing Meadows Community Titles Scheme 31460 shall commence on 1 November and end on 31 October.

STATEMENT OF ADJUDICATOR’S REASONS FOR DECISION - REF 0937-2009

“River Springs Flushing Meadows” CTS 31460

River Springs Fushing Meadows Community Titles Scheme 31460 (RSFM) consists of 128 lots and common property. The scheme’s community management statement indicates the Body Corporate and Community Management (Accommodation Module) Regulation 2008 (Accommodation Module) applies to the scheme.

APPLICATION

This application was made under the Body Corporate and Community Management Act 1997 (Act) by the Body Corporate for RSFM (applicant) on 1 October 2009, and seeks the following declaratory order:

To change the financial year end date to 31 October in line with other subsidiary schemes.

The application is made pursuant to Resolution 3 at an Annual General Meeting (AGM) of the Body Corporate on 7 September 2009, which was passed with 21 votes in favour, 2 against and 3 abstentions

JURISDICTION

I am satisfied that this is a matter which falls within the legislative dispute resolution provisions.[1]

Section 276(1) of the Act provides that an adjudicator may make an order that is just and equitable in the circumstances (including a declaratory order) to resolve a dispute, in the context of a community titles scheme, about a claimed or anticipated contravention of the Act or the community management statement, or the exercise of rights or powers, or the performance of duties, under the Act or the community management statement. An adjudicator's order may contain ancillary and consequential provisions the adjudicator considers necessary or appropriate (section 284(1)).

Section 283 of the Act specifically provides that, with the consent of the body corporate, the order of the adjudicator may include a change of a body corporate’s financial year and of the dates when later financial years will begin.

DETERMINATION

RSFM is part of a layered scheme arrangement. The application seeking a change of financial year to bring the financial year for the scheme in line with other subsidiary schemes. I understand that the previous financial year end date for the scheme was 31 May.

In the circumstances, I am satisfied that the Body Corporate has properly consented to the proposed change of the Body Corporate’s financial year and that it is appropriate to make an order changing the financial year end date to 31 October in each year.

This order results in the Body Corporate having an abnormal length financial year for one year. The Body Corporate should be cognisant of this fact when managing its financial affairs.

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[1] See sections 227, 228, 276 and Schedule 5 of the Act