QLD Body Corporate Committee Spending Limit Calculator

How the committee spending limit works

In Queensland, body corporate committees under the Standard Module, Accommodation Module and Small Schemes Module have a spending limit—the maximum they can spend without a general meeting resolution. This helps committees handle day-to-day maintenance while keeping larger decisions with the owners.

The default committee spending limit is $200 multiplied by the number of lots in your scheme. A 10-lot scheme has a $2,000 committee limit; a 50-lot scheme has $10,000.

The body corporate can change this limit by ordinary resolution at a general meeting. There is no minimum or maximum set by law—the owners decide what works for their building.

The major spending limit and two-quote rule

The major spending limit does not restrict how much can be spent. Instead, it determines when two quotes are required. Spending above the major spending limit requires at least two quotations to be obtained and considered—whether the decision is made by the committee or at a general meeting.

The default major spending limit is the lesser of:

• $1,100 multiplied by the number of lots, or
• $10,000

For example, a 5-lot scheme has a major spending limit of $5,500. An 11-lot scheme is capped at $10,000 (since 11 × $1,100 = $12,100 exceeds the cap).

The body corporate can set a different major spending limit by ordinary resolution. There is no minimum or maximum prescribed.

Worked examples

Exceptions for committee spending

A committee may spend above its limit without a general meeting resolution only in specific circumstances:

• Ordinary resolution: The body corporate has already authorised the spending at a general meeting
• Written consent: All lot owners have given written consent
• Adjudicator emergency order: An adjudicator has authorised the spending to meet an emergency
• Compliance: The spending is required to comply with a statutory order, adjudicator's order, or court judgment
• Insurance: Putting in place or renewing a relevant policy of insurance (if not a restricted issue)

The committee cannot self-authorise emergency spending. An adjudicator application is required, and the adjudicator must be satisfied the work is so urgent that the body corporate cannot wait for a general meeting (which can be called with 21 days notice).

Single project rule

The legislation prevents splitting a single project into smaller amounts to stay under the limits. If a series of proposals forms a single project, the cost of the whole project determines whether the spending limit or two-quote threshold applies.

For example, if a building exterior repaint costs $25,000 in total, the body corporate cannot split it into five $5,000 contracts to avoid the general meeting requirement or the two-quote rule.

Budget provision

Even if spending is within the committee limit, the committee should check that there is adequate provision in the budget for the expense. If not, a general meeting may be needed to amend the budget or raise a special levy—regardless of the spending limit.

Commercial and two-lot schemes

The rules above apply to the Standard Module, Accommodation Module and Small Schemes Module. Two other modules work differently:

Commercial Module: The committee has no spending limit and can spend as much as needed, properly authorised at a committee meeting or by a vote outside a committee meeting. There is no statutory two-quote requirement.

Specified Two-lot Schemes Module: There is no committee. The two lot owners make decisions by lot owner agreement. There are no statutory spending limits or quote requirements. Each owner pays their share according to their contribution schedule lot entitlement.

Important notes

GST-inclusive amounts: The committee spending limit and major spending limit are GST-inclusive figures. When comparing a quoted price to the limits, use the total price including GST.

Layered schemes:For layered (tiered) community titles schemes, the number of lots is the scheme's own lots—including any layered lots within that scheme.

Accommodation Module: This module applies to schemes where lots are mainly accommodation or hotel lots (s 3, Accommodation Module Regulation 2020).

Small Schemes Module: This module applies only to a basic scheme with no letting agent, 6 or fewer lots, and a community management statement that names this module (s 3, Small Schemes Module Regulation 2020).