Unit of competency

Modification History

Application

This unit of competency specifies the skills and knowledge required to coordinate the annual budget for a strata community. It includes gathering budget information, identifying projected income and expenditure, overseeing preparation of the budget and presenting the budget to the strata community.

This unit is suitable for strata community managers who apply a broad range of skills and knowledge to complete routine and non-routine tasks and deal with predictable and sometimes unpredictable problems. Strata community managers may also be known as strata managers, owners’ corporation managers or body corporate managers depending on the jurisdiction of operation.

Licensing, legislative, regulatory or certification requirements apply to strata community management in some states and territories. For further information, check with the relevant regulatory authority.

Pre-requisite Unit

Nil.

Unit Sector

Strata Community Management.

Elements and Performance Criteria

Foundation Skills

Foundation skills essential to performance are explicit in the performance criteria of this unit of competency.

Unit Mapping Information

Supersedes and is equivalent to CPPDSM4086 Oversee preparation of strata community budgets.

Links

Companion volumes to this training package are available at the VETNet website - https://vetnet.gov.au/Pages/TrainingDocs.aspx?q=6f3f9672-30e8-4835-b348-205dfcf13d9b

Assessment requirements

Modification History

Performance Evidence

To demonstrate competency, a candidate must meet the elements and performance criteria of this unit to coordinate the preparation of two strata community budgets:

• one annual budget for an off-the-plan sales contract
• one annual budget for a strata community.

Knowledge Evidence

To be competent in this unit, a candidate must demonstrate knowledge of:

• cash flow requirements with regard to levy issue dates
• components of a typical annual budget for a strata community
• compliance requirements of legislation and regulations relevant to the preparation of annual budgets for strata communities in the jurisdiction of operation:

• environmental protection (sustainability)
• fair trading and consumer protection
• privacy
• provisions of legislation and funding body requirements that affect how finances and assets can be used by strata communities

• concept of, and procedures for, financial contingency planning
• concept of strata community control and how it applies to budgetary decision making
• differences between mutual and non-mutual income and requirements for lot owners and strata companies to declare income in tax returns
• historical and zero budgeting methods
• interpersonal communication strategies and techniques used to effectively relate to people from a range of social, cultural and ethnic backgrounds and with a range of physical and cognitive abilities
• legislative requirements for raising, issuing and collecting levies in the jurisdiction of operation
• limitations of own work role, responsibilities and abilities
• previous year’s income and expenditure statements
• roles and responsibilities of strata community managers in assisting professional financial advisers to prepare strata community annual budgets
• situations requiring the raising of additional or one-off levies for strata communities
• sources of strata community expenditure:

• administrative
• building
• grounds
• long-term maintenance planning
• utilities

• sources of strata community income:

• contribution levies
• embedded network
• interest: bank and investments
• penalty interest
• recovered fees or costs
• rental income

• standard budgeting procedures, including methods for bringing budgets into balance when expenditure is greater than income
• workplace requirements for coordinating the preparation of strata community budgets:

• systems for storing information and documentation.

Assessment Conditions

Assessors must meet the requirements for assessors contained in the Standards for Registered Training Organisations.

Assessment must be conducted in the workplace or a simulated workplace using realistic conditions, materials, activities, responsibilities, procedures, safety requirements and environmental considerations.

Candidates must have access to documentation, information and technologies required to achieve the performance criteria and performance evidence.

Links

Companion volumes to this training package are available at the VETNet website - https://vetnet.gov.au/Pages/TrainingDocs.aspx?q=6f3f9672-30e8-4835-b348-205dfcf13d9b