The Leading Experts in the Provision of Sinking Fund Forecasts & Maintenance Plans
Leary & Partners pioneered the provision of sinking fund studies as a management tool for strata buildings using the company's understanding of the needs of community dwellers. We coined the term Sinking Fund Forecast. The company first developed its sinking fund forecasting service early in 1990 and was the first company in most states to offer this service. Since the introduction of our service, the strata management industry has embraced the concept of asset management through the use of professionally prepared sinking fund studies. The Queensland Government in particular has responded to the point that it is now law in Queensland that bodies corporate must prepare a sinking fund forecast as the basis for providing for future maintenance expenses.
The Body Corporate and Community Management Bill 1997 became law in Queensland on 13 July 1997. This legislation makes it mandatory for every body corporate to prepare a sinking fund forecast as a basis for their annual sinking fund budget. The forecast must be for a minimum of ten years. It means that all Queensland strata title buildings will now have sufficient funds for good maintenance management.
Since February 2005 the NSW Strata Schemes Management Act has been progressively making it mandatory for all strata schemes to prepare the same type of 10-year sinking fund forecasts.
In Victoria, The Owners Corporation Act 2006 also requires certain prescribed owners corporations to prepare 10 year maintenance plans.
In practice, all schemes will benefit from using a sinking fund forecast to comply with their legislative responsibility to budget for expected future expenditure such as painting and replacing equipment.
