What to look for in AGM

March 20, 2018by Super Admin

Normally before the Annual General Meeting (AGM), your Managing Agent would prepare and send out a package of materials called the Notice for AGM. While the list of items could be endless, there are a few main items to look for in this package.

Firstly the package should give 2 weeks notice to owners if no special resolutions are presented. However, if there are special resolutons, 3 weeks notice is required by law. This is to give the owners enough time to read through, digest and prepare for the issues at hand.

Take note of the dates for last payment of Maintenance and Sinking Fund. Those in arrears cannot be nominated to be Council members. Also, note the requirements to be proxy for the actual owner of a unit.

Apart from the above, some of the usual resolutions would include:-

  1. determination of interest payable for late payments;
  2. determination of insurance to purchase for the estate;
  3. powers to Management Corporation to recover legal fees from owners for defaults;
  4. determination of the number of members for Council and nomination of Council members;
  5. appointment of auditor;
  6. appointment of managing agent;
  7. budget for coming year;
  8. special resolutions including by-laws addition, amendment or removal.

 

The special resolutions would normally cover one-off projects like painting of estate, water-proofing works, resurfacing of tennis courts, replacement of old switchgear / electricals etc. These are normally large outlays of expenditure from the Sinking Fund and need the AGM to approve these expenditures.

Sometimes the special resolutions cover actions to be taken by the MCST eg action against an owner for persistenly flouting the by-laws and the need to park aside funds for the legal action.