What happens if the operating budget does not pass at the annual general meeting?
Section 104 requires the Strata Corporation to prepare a new budget and to hold a special general meeting within 30 days of the annual general meeting to vote on the new budget.
Can the owners request a special general meeting?
Yes. Under section 43 of the Strata Property Act, persons holding at least 20% of the strata corporation’s votes can require the strata corporation to hold a special general meeting to consider a resolution or other matter set out in a written demand.
Can a resident caretaker hold a proxy for general meeting?
No. Section 56(3)(a) provides that an employee of the strata corporation can only act as a proxy if permitted by regulation. To date, no regulations have been passed permitting an employee to act as a proxy.
Our strata corporation has a painting that was provided by the developer as per the disclosure statement. We have had the painting appraised and found out it is worth $60,000. The strata council wants to sell it and use the money for future expenses of the strata corporation. Is this allowed?
Yes, but before the painting is sold, the strata corporation must approve the sale by a resolution passed by a 3/4 vote at an annual or special general meeting if the painting’s market value is more than the amount set out in the bylaws or $1,000, if the bylaws are silent as to the amount.
At a special general meeting held recently, the council announced that the Annual General Meeting would be moved from February to September. Is there anything that may be done to stop this?
Pursuant to section 40 of the Strata Property Act, the Annual General Meeting of a strata corporation must be held no later than 2 months after the fiscal year end. The council may not be aware of this, so advising the council is the first step. Since the council putting the strata corporation in contravention of the Act, 25% of the strata corporation’s votes may, by written demand, require the council to call a special general meeting. The council must call the meeting within 4 weeks of the date of the demand. If the council fails to call the special general meeting, the owners who signed the demand may call and hold the special general meeting. At the meeting, the owners could insist on an explanation for the change in date for the AGM; remove council members; vote to direct council to hold the AGM pursuant to the provisions of the Act, etc.
Our strata corporation has a bylaw that says: if there is a tie vote at an annual or special general meeting, the president may break the tie by casting a second, deciding vote. Does this bylaw apply to a resolution that must be passed by a 3/4 vote?
No. A “tie” means an equal number of yes and no votes. If a 3/4 vote resolution gets an equal number of yes and no votes, a second vote by the president will not be enough to pass the resolution because the second vote would be only a majority plus one vote.
What is the threshold required for a vote to amend the budget presented at an annual general meeting?
The budget presented at an annual general meeting is amended by a majority vote. A majority vote is a vote in favour of a resolution by more than ½ of the votes cast by eligible voters who are present in person or by proxy at the time the vote is taken and who have not abstained from voting.