Why an Admin Fund?
The Administrative Fund is one of two funds(the other is the Sinking Fund)that are a statutory requirement for a Body Corporate to not only have established, but to then operate strictly in accordance with the legislative requirements under the Body Corporate and Community Management Act (BCCMA) and the particular Module Regulations applicable to the Scheme. The Admin Fund is used to pay the Body Corporate’s expenses which are of a non-capital nature such as Insurance, any Resident Manager’s salary, Body Corporate manager’s fees, gardening and other grounds and minor or recurring building maintenance. Generally everything other than expenditure on major improvements, and significant non-recurring plant and building maintenance are funded from the Admin Fund. The Body Corporate has a statutory requirement to ensure that Owners are levied to an extent sufficient to supply the Admin Fund with the resources necessary to fulfill its obligations under the Act.
