What is the administration fund?

The administration fund (also known as the general fund or operating fund) is used by an owners corporation to handle monies received and expended in relation to routine repairs, maintenance and administrative costs.

Every year at the AGM the owners corporation must present to the owners a budget, which is an estimate of what costs the owners corporation is likely to incur for the year. This estimate should be based on things like contracts in place, quotes, repair history, and prior year performance. Depending on the financial health of the owners corporation, this budget should also set the basis for owners corporation fees issued to owners.