In Queensland, the committee handles the day-to-day running of the scheme. As long as the issue is not a restricted issue (more on that below), the committee can make binding decisions on behalf of the body corporate. Committee decisions require a simple majority:  

• More votes in favour than against – the motion passes.
• A tie results in the motion failing (also known as a hung vote).

Limitations – In Queensland, committees cannot decide on restricted issues, such as:

• Changing levies
• Changing by-laws
• High-value spending above spending limits
• Most legal proceedings
• Decisions affecting owners’ rights.

In New South Wales, the committee performs a similar role but operates slightly differently. Committee decisions require a simple majority:

• More votes in favour than against – the motion passes.
• The Chairperson may exercise a casting vote if the vote is tied, unless the scheme has decided otherwise.

Limitations – In NSW, the owners corporation must make certain decisions at a general meeting, and the committee cannot decide on those matters.

In both states, some decisions are too important for the committee to make alone. Owners must decide these matters at a general meeting, either an Annual General Meeting (AGM) or an Extraordinary General Meeting (EGM).

At a general meeting, all owners have the opportunity to vote on matters such as:

• Setting budgets and levies
• Changing a CMS or by-laws
• Approving major expenditure
• Taking legal action (in most cases)
• Changing common property rights

If a committee decides a restricted issue, it may create serious complications, particularly when others rely on that decision.

• A simple majority applies – more votes in favour than against.
• Only votes actually cast count towards the result.
• Both Queensland and New South Wales use this voting method.

This means a motion can pass with relatively few votes in a large scheme if owner participation is low.

Schemes use a special resolution for more significant decisions, such as changing by-laws.

In Queensland, a motion must satisfy all three of the following requirements to pass as a special resolution:

• At least two-thirds of votes cast support the motion.
• No more than 25% of all lots vote against the motion.
• No more than 25% of contribution entitlements vote against the motion.

In New South Wales, a motion passes as a special resolution if owners holding no more than 25% of unit entitlements vote against it.

This is one of the strictest voting requirements and applies to some of the most significant decisions within a strata scheme. Examples include implementing or removing exclusive use rights, changing lot entitlements, or selling common property.

In Queensland, a resolution without dissent requires:

• Every owner who votes must vote in favour of the motion.
• No owner may vote against the motion.

Not every owner needs to vote, but no one can oppose the motion. If even one owner votes ‘No’, the motion fails. Owners who are unfinancial can also vote, and the legislation counts their votes as valid.

In New South Wales,the equivalent voting method is a unanimous resolution. To achieve this:

• No owner may vote against the motion.
• In some circumstances, all owners must agree.

Yes. Even when the committee has the authority to make a decision, it can choose to refer the matter to a general meeting.

The committee may do this when:

• The issue is controversial.
• Owners should have a direct say.
• The committee wants broader support.

In short, committees manage day-to-day matters, while owners decide larger or restricted issues. No individual can make decisions on behalf of a scheme unless the legislation or the body corporate has properly authorised them.

If you’re unsure whether the correct process is being followed, check before taking action. Correcting an invalid decision later is often far more complicated than following the proper process from the outset.