Body Corporate Decisions: Where You Can Decide

One of the most common sources of confusion (and sometimes frustration) in a Body Corporate is this simple question:

“Can the committee approve that?”

Knowing when committees decide and when owners can have their say promotes efficiency and transparency for everyone involved.

What Committees Can Approve

Committees exist to manage the ordinary business of the Body Corporate between general meetings. In practical terms, this means they can make decisions that are routine, operational and within approved limits.

Common committee approvals include:

• Spending within the committee spending limit
• Engaging contractors for routine repairs and maintenance
• Minor improvements to common property (within the Committee spending limit)
• Enforcing bylaws and issuing contravention notices (or instructing the Body Corporate Manager to issue on behalf of the Body Corporate)

These powers allow committees to act without calling all owners together for every decision.

Where Owners Have Their Say

The committee’s authority has clear boundaries. Certain decisions are considered too significant, risky or costly to be made without owner input. When committees step beyond their powers, decisions may be challenged and overturned.

Committees generally cannot approve:

• Spending above the committee spending limit
• Major improvements to common property
• Changes to budgets approved at the AGM
• Changes to community statements or bylaws
• Decisions affecting entitlements or owner rights

These require approval at a general meeting to ensure owners retain control over major decisions.

Why Spending Limits Matter

Committee spending limits are not just a formality. They balance efficiency with accountability and vary based on the size and type of scheme.

Ignoring these limits, even with good intentions, exposes the committee and the Body Corporate to risk, including disputes and potential liability.

Understanding approval boundaries creates confidence, protects volunteers, and keeps decision making transparent. When everyone knows where the lines are drawn, your Body Corporate can run more smoothly and with far less conflict.

If you are unsure of your Body Corporate’s committee spending limit or would like to find out more about what decisions you can approve, please reach out to your Body Corporate Manager.