Builders Jamaica April-July 2021

OPINIONS
Roles and Responsibilities for
Effective Strata Management
By Real Estate Board
12
Being responsible for a piece of real estate is a big deal.
Strata properties can be complicated to manage, so
it’s not unusual to employ experienced professionals
to handle the everyday logistics for the comfort of all
residents. In this article, the Real Estate Board Inspectorate
explains why proper strata management is important and
the roles and responsibilities of those put in charge.
The day-to-day management of a strata is the responsibility
of what is called an executive committee. While not
explicitly stated or legally mandated, best practice suggests
that the executive committee members should be honest,
communicate well, have some level of administrative
competence and experience, possess adequate financial
management aptitude, and most importantly, have the wellbeing
of the proprietors at heart. The executive committee
is elected at an annual general meeting (AGM) and consists
of at least three proprietors and may have a maximum of
nine members.
The executive committee is responsible for managing
and administering the common areas for the benefit
of all proprietors. The committee is also charged with
keeping minutes of meetings, keeping proper accounting
records, presenting accounting records at AGMs of monies
collected, and facilitating the inspection of the accounts
by a proprietor or any other authorised person/entity,
including the Commission of Strata Corporations.
The execute committee is also responsible for the filing of
annual returns to the Commission within 120 days of the
end of a financial year. Annual returns include presenting
to the Commission audited financial statements or a copy
of the accounts prepared in accordance with generally
accepted accounting principles for the entire financial
period just ended, minutes of general meetings, and
proof of insurance coverage or a unanimous decision not
to insure. The Commission may also be contacted where
needed to provide guidance in the various areas of strata
management.