2025–26 budget

Our approach

The committee’s approach to this year’s budget was guided by a simple principle. We wanted to be honest about what things may cost, plan for what’s coming, and not leave owners exposed to surprise levies. In previous years, budgets – and therefore levies – were lower than the actual cost of running the scheme, with the shortfall covered by special contributions when the money ran out.

That approach kept headline levies down on paper but left the scheme underfunded, reactive, and unable to address important maintenance and other issues when needed. The significant legal costs arising from the dispute with the former caretaker compounded this problem – those costs, together with earlier special contributions to fund it, meant that owners were repeatedly asked to make up shortfalls that planning may have avoided.

This year, with those legacy matters now behind us, the committee has taken a different approach. We have prioritised stability, transparency, and getting ahead of problems rather than waiting for them to become urgent. We wanted to give owners as much certainty about how much they are up for this financial year as we possibly could. In practice, that meant:

Maintaining levies as close as possible to recent years, because while it would be great to have reduced levies, the reality is that significant expenditure on legal expenses in previous years meant other important areas like maintenance and repairs were not always addressed.

We also wanted to provide as much clarity to owners about what their levies for the whole year were going to be, without getting the surprise of a special contribution. So unless something every unexpected happens, a special contribution this financial year is very unlikely.

We obviously can’t guarantee it, but we are pretty confident that the $8,400 ($2,100 already paid) is the total amount for this financial year.

Achieving a level of certainty meant that some contingency has been built into the budget. This is not something that has been considered or realistically possible in the last few years. But it is the responsible way to build in some stability in levies.

The other thing we wanted to do was be able to get some of the required work underway this year, but also start saving for the point in the not too distant future where more significant maintenance may be required. More about this in the sinking fund section, that’s the community’s savings account, so it is the right place to talk about setting us up for future needs.

Good things to know

You should also read the specific FAQ about how the discount works in the budget here.

A quick refresher on what each fund is for is above the budget tables. Remember, similar items might appear in both the administrative and sinking fund budgets, but they are for different but related expenditure.

We were conscious of delaying the AGM any more, so BC Systems have tried to make the budget template from Hartley’s work as much as possible for this financial year. We have tried to point out the main things that may be confusing, but ask if anything still is.

A budget is a forecast and like the weather, they are not set in stone. In addition, body corporate budgets can be extra ‘forecasty’ though, as they are often adopted (not approved or confirmed) by the body corporate AFTER the new financial year has already started. That’s ok, the legislation even acknowledges it.

There are protocols in place for what owners need to approve and what the committee can spend without owner approval. It also includes how those things are decided and recorded. We are always happy to chat about it if you’re interested. Oh, and we always seek expert advice if the protocols are not clear.

A brief note on GST – there are negative GST lines in both funds. The body corporate is registered for GST, it is collected on levies, and we claim credits on expenses. The net is remitted to the ATO via the BAS.

Tips when reading the budget

Ask us if you have questions about any line items. While we have tried to provide some detail and explanation in the comments column, we also didn’t want to give everyone an essay to read!

The ‘Comments’ column might also say to refer to Note x. Notes provide additional information that was too much for the table or involves more than one line item.

‘Income’ dollar amounts in red, in brackets and with a minus sign are not additional income for the body corporate.

‘Expenditure’ dollar amounts in red, in brackets and with a minus sign are credit amounts. e.g. -$(248.78) for Electricity is funds we have available from government energy rebates. We just haven’t used them to pay the electricity bill yet!

Actuals column

The actual column is for the financial year from 01–Aug–2025 to when the AGM notice was prepared, which is 16–Mar–2026. That’s 228 days if you’re counting.

The amounts in the actual column have already been spent, but they may not be the total cost for the full financial year.

Some of the amounts in the actual column include transactions from when Hartley’s was still the manager. The information for some of these is not very detailed, but BC Systems have checked the amounts.

Budget column

Budgeted amounts are just that: budgeted. It does not necessarily mean that more or less will be spent on any item, or that budgeted funds can’t be used elsewhere if needed.

Some budgeted amounts are based on the previous budget developed with Hartley’s. So they may be more, less or the same than the expected spend for that item. There are no critical shortfalls and that is because of the contingency built in through the responsible approach.

Administrative fund

The Administrative fund covers Northmarque’s day-to-day running costs including, but not limited to:

Body corporate manager fees (BC Systems)

Caretaking service contractor (Aspire Facility Services)

Insurance premiums (building, public liability)

Common property maintenance such as garden upkeep, cleaning, and minor repairs (e.g. replacing a damaged courtyard door or repainting line-markings)

Utility costs for common areas (electricity, water)

				01–Aug–2025 to 16–Mar–2026	01–Aug–2025 to 31–Jul–2026
№		Item		Actual (228d)	Budget	Comments

Income: Administrative fund
I	01	Levies	$102,000.27	$439,620.00	Total of administrative fund levy contributions from all 68 lots (680 entitlements × $646.50). This is the main funding source for day-to-day scheme operations. ▸ Learn more about the levies.
I	02	Discount	-$(14,625.24)	-$(61,200.00)	Discount offered to owners for payment of levies before the due date.
I	03	Special contributions	$72,360.13	$0.00	No special contribution is budgeted this year. Last year's $120,600 special contribution (approved at the Sep 2025 EGM) was a one-off to replenish funds depleted by the QCAT ordered settlement for costs award against the body corporate payable to the former caretaker.
I	04	Interest on overdue levies	$14.85	$0.00
I	05	GST on income	-$(14,522.79)	-$(34,401.82)	GST component of levy income. This is collected and remitted to the ATO – it is not additional income for the body corporate.
		Administrative fund: Total income	$145,227.22	$344,018.18

Expenses: Administrative fund
	Indicates no GST →		⌀
Audit and taxation costs
E	01	Independent Audit Fee		$1,342.00	$2,000.00	Fee for external financial audit. The committee recommends no audit this year (see Motion 3) as BCsystems reviewed the accounts during handover. This would be for an audit of the 2025-26 financical year (the one we are currently in, not last year) accounts.
E	02	Independent Audit File Prep		$748.00	$0.00	Preparation of records for the auditor. Budgeted at $0 this year as the committee recommends no audit.
E	03	BAS Lodgement		$902.00	$1,600.00	Quarterly Business Activity Statement lodgement with the ATO.
E	04	Income Tax Return		$0.00	$250.00	Annual income tax return preparation and lodgement by the BC Manager.
Bank and financial charges
E	06	Bank Charges		$4.40	$350.00	Bank account fees.
E	07	Bank Charges – nil GST	⌀	$10.00	$0.00	Bank charges on transactions not subject to GST.
E	08	StrataPay Transaction Fee		$1.90	$500.00	Transaction fees for StrataPay, the online payment platform owners use to pay levies.
Utilities
E	09	Electricity: common property		-$(248.78)	$1,500.00	Electricity for common areas (street lights, park). The negative amount to date reflects a government energy rebate credit received.
E	10	Water: common property	⌀	$961.30	$2,500.00	Water supply for common property (gardens, shared facilities). GST-free. Estimated based on previous usage.
Insurance
E	11	Premium: Building insurance		$68,032.80	$70,700.00	Building insurance premium with Longitude Insurance (policy LNG-STR-20292153). Covers the building for $33.1M replacement value. Renewal due 27 Aug 2026 and a request for quotes will be issued through the BC Manager as usual practice. [See note 01]
E	12	Stamp Duty: Building insurance	⌀	$6,075.44	$7,100.00	Government stamp duty payable on the building insurance premium. This is a statutory charge and cannot be avoided.
E	13	Insurance excess provision		$0.00	$30,000.00	Reserve to cover insurance excess payments if a claim is needed. Excess amounts range from $5,000 (basic) to $25,000 (storm/water damage).
E	14	Premium: WorkCover		$190.48	$200.00	Workers compensation insurance for any contractors working on common property. Required by law.
E	15	Stamp Duty: WorkCover	⌀	$9.52	$0.00	Stamp duty on the WorkCover premium. Budgeted at $0 as it is included in the premium line (E11).
Caretaking Service Contractor
E	16	Remuneration		$71,817.22	$110,000.00	Caretaking service contract with Aspire Facility Services (who replaced Duo Perfect). This is a contractual obligation with the amount set out in the contract. [See note 02]
Professional advice and fees
E	17	Legal Advice/Fees		-$(6,306.64)	$45,000.00	Budgeted amount provides for future updates to scheme documents (e.g. by-laws, caretaking agreement) and some contingency for any other legal matters.
E	18	Legal Advice/Fees – nil GST	⌀	$124,090.47	$0.00	Settlement payment to Duo Perfect Pty Ltd as directed by QCAT for their costs. This is finalised.
E	19	Land titles/Search fees		$0.00	$85.00	Fees for property title searches and land registry enquiries as needed.
E	20	Additional advice: Strata		$2,059.20	$2,500.00	Specialist strata or regulatory advice beyond standard fees. Covers ad-hoc queries to strata advisors.
E	21	Engineers/Building consultants		$0.00	$3,500.00	Fees for building engineers or consultants for structural assessments, defect reports, or compliance inspections.
Licences and permits
E	22	Council Rates: Waste	⌀	$0.00	$120.00	Council waste collection rates for common property bins. GST-free.
E	23	Software & Records storage		$1,559.71	$1,900.00	Body corporate records management software and secure document storage fees. This is part of the agreement with BC Systems.
E	24	Other Council Documentation	⌀	$49.18	$500.00	Miscellaneous council documentation, searches, or compliance certificates. GST-free.
Cleaning
E	25	Materials		$0.00	$500.00	Cleaning supplies and materials for common areas.
Pest control
E	26	Pest Control Treatment		$0.00	$4,000.00	Annual termite inspection. Note, this is the line item used by BC Systems for this activity. The amount spent against this budget item is below (E27).
E	27	Annual Termite Inspection		$3,740.00	$0.00	Annual termite inspection. Note, this is the line item used by HBCM for this activity. The amount budgeted for this item is above (E26).
Electrical
E	28	General: Repair & maintenance		$0.00	$3,000.00	General electrical repairs and maintenance for common areas (e.g. street light bulbs).
Plumbing
E	29	Plumbing General		$0.00	$6,000.00	General plumbing repairs and maintenance for common areas.
Building
E	30	R&M – Building General		$2,882.00	$1,120.00	General building maintenance not captured under other specific trades.
E	31	R&M – Roof/Gutters		$0.00	$20,000.00	Scheduled preventative maintenance program for gutters. [See note 03]
Gardens and Grounds
E	32	R&M – Grounds General		$68.46	$3,000.00	General gardens and grounds maintenance for common areas (small tools, fuel, equipment servicing, materials).
E	33	R&M – Plants		$0.00	$1,000.00	General plant replacement and maintenance for common areas.
IT/Communication
E	34	Telephone Line		$0.00	$1,020.00	Charged by the previous BC manager per lot for phone calls (68 x $15). Retained to contribute towards BC management and avoid shortfall.
E	35	Internet Connection		$0.00	$2,000.00	Subscription Google workspace, arranged by previous committee (since 2022). [See note 04]
Body Corporate Management
E	36	Management Time – Fixed cost		$6,732.00	$10,891.00	BC Systems fixed fee for professional services.
E	37	Disbursements – Fixed		$2,244.00	$0.00	BC Systems fixed fee for agreed services disbursements. Note, this line item should have a budget of $2,000 (as shown below in E38). This happened due to the way the budget was templated.
E	38	Disbursements – Variable		$80.64	$2,000.00	Variable disbursements charged by previous BC manager. Note, this line item should have a budget of $0 (as shown above in E37). This happened due to the way the budget was templated.
Miscellaneous
E	39	Sundry Expenses		$0.00	$750.00	Small contingency account for any items which do not fall into any other available account line item.
E	40	Prior Year Adjustment		-$(3,626.00)	$0.00	Likely due to a change in account which occurred after the end of the last financial year (2024-25). There is limited visibility for this line item due to a lack of information from HBCM. Note, as this is a negative figure it is benefical (i.e. expenses not charged).
Prior managers charges (Hartley's Body Corporate Management)
E	41	Prev Mgr – Admin Costs		$3,864.70	$0.00	Previous BC manager fees and charges.
E	42	Prev Mgr – Additional Services		$1,906.15	$0.00	Previous BC manager fees and charges.
E	43	Prev Mgr – PPST		$2,856.29	$0.00	Previous BC manager fees and charges.
GST
E	44	GST on Expenses		-$(16,058.68)	-$(26,843.76)	GST credits for admin fund expenditure. Offset against GST collected.
		Administrative fund: Total expenditure		$275,987.76	$308,742.24
		Surplus /deficit		-$(130,760.54)	$35,275.94
		Administrative fund: Opening balance		$65,728.45	$65,728.45
		Administrative fund: Balance		-$(65,032.09)	$101,004.39

Additional information – Administrative fund

01. Insurance

Building insurance is the single largest line item in the administrative fund. Like many body corporate schemes in Queensland, Northmarque faces a challenging insurance market – premiums have been rising across the sector and our options at renewal were limited. Due to the scheme’s claims history, only one underwriter offered terms at the most recent renewal. The committee is actively working to improve the scheme’s risk profile, including establishing a preventative maintenance program for the first time, with the goal of reducing both the premium and excess over time and attracting competitive quotes from other insurers.

02. Caretaker remuneration

The caretaking remuneration is a contractual obligation set out in the registered caretaking agreement – it is not a discretionary expense the committee can adjust. When Aspire Facility Services acquired the management rights, they purchased the agreement on its existing terms. Some owners may have been given the impression that this cost could be renegotiated following the change of contractor, but that is not the case – the agreement transferred to the new contractor on the same terms. The remuneration increases annually in line with CPI, as provided for in the agreement. The committee is working closely with Aspire to establish a clear service schedule and ensure the scheme gets the best possible value from the arrangement.

03. Repairs authorised on Aspire Facility Services quote QU-0098

The committee has authorised a package of repair works across multiple units to address water ingress and storm damage issues for $9,776.24 (inc. GST). This includes roof and gutter repairs, window leak remediation, deck repairs, flood testing and investigation of unresolved leaks, and a gutter and valley clean-out for units 60–68 requiring a boom lift. These are reactive repairs to common property – they address damage that has already occurred and needs to be fixed, which means they are funded from the administrative fund, rather than the sinking fund. The work covers units across the complex and is being coordinated as a single scope to reduce mobilisation costs, particularly the boom lift hire which services multiple units in one visit. The committee understands that owners affected by these issues have been waiting for resolution, and in some cases the damage predates the current committee – getting these repairs completed is a priority.

04. Google workspace and digital services

The previous committee established a Google Workspace subscription in 2022 for body corporate email and document storage. The annual cost has risen from $1,668 to $2,091 in just two years — a 25% increase — with the rate of increase accelerating (6% in the first year, 18% in the second). The scheme currently uses 61 GB of the 16 TB included in the plan, which is less than 0.4% of the available storage. The committee has identified this as an area where significant savings can be made without any loss of functionality. We are migrating to more appropriate platforms at less than $500 per year — a saving of over $1,500 annually — which will also provide enhanced functionality including a dedicated owner information website, improved maintenance request tracking, and better communication options. This is part of the committee’s broader effort to find efficiencies across the scheme’s operating costs and improve transparency for owners.

Unfortunately, the Google Workspace subscription renewed before it could be cancelled and migrated. Being financially responsible, the committee has left the amount in the budget. We are currently migrating to the new services (this website is one of them!) and then we will be able to cancel Google Workspace.

Sinking fund

The Sinking fund covers major capital expenses and long-term maintenance of common property including, but not limited to:

Roof repairs or replacement

Replacement of common property (fencing, gates, street lighting)

Specialist or major tree and landscaping works

				01–Aug–2025 to 16–Mar–2026	01–Aug–2025 to 31–Jul–2026
№		Item		Actual (228d)	Budget	Comments

Income: Sinking fund
I	01	Levies	$40,799.66	$131,580.00	Total sinking fund levy contributions from all 68 lots (680 entitlements × $193.50). This fund is used for major long-term expenses. ▸ Learn more about the levies.
I	02	Discount	-$(5850.13)	-$(18156.00)	Discount offered to owners for payment of levies before the due date.
I	03	Special contributions	$48,239.60	$0.00	No special contribution is budgeted this year. Last year's $120,600 special contribution (approved at the Sep 2025 EGM) was a one-off to replenish funds depleted by the QCAT ordered settlement for costs award against the body corporate payable to the former caretaker.
I	04	Interest on overdue levies	$9.90	$0.00
I	05	GST on income	-$(7563.55)	-$(10311.27)	GST component of levy income. This is collected and remitted to the ATO – it is not additional income for the body corporate.
		Sinking fund: Total income	$75,635.48	$103,112.73

Expenses: Sinking fund
Electrical
E	01	Electrical – General	$0.00	$5,500.00	Major electrical work on common property. These are larger jobs beyond routine repairs (which come from the admin fund).
Building
E	02	Building – General	$0.00	$80,000.00	Covers major building repairs and capital works. The budgeted amount reflects the anticipated maintenance needs. [See note 05]
Gardens/Grounds
E	03	Grounds – General	$0.00	$5,000.00	Landscaping or grounds work beyond routine maintenance (which comes from the admin fund). [See note 06]
E	04	Fencing/Gates	$0.00	$6,000.00	Fencing work beyond routine maintenance (which comes from the admin fund). [See note 07]
E	05	Gardens – Tree Work	$0.00	$5,000.00	Garden and tree works beyond routine maintenance (which comes from the admin fund). Includes engagement of specialist services (e.g. arborists, stump grinders). [See note 06]
GST
E	06	GST on Expenses	$0.00	-$9,227.29)	GST credits for sinking fund expenditure. Offset against GST collected.
		Sinkingfund: Total expenditure	$0.00	$92,272.71
		Surplus /deficit	$75,635.48	$10,840.02
		Sinking fund: Opening balance	$29,798.05	$29,798.05
		Sinking fund: Balance	$105,433.53	$40,638.07

Additional information – Sinking fund

05. Building – General (Sinking fund: $80,000)

This is the largest single line item (just over 85%) in the sinking fund budget. It provides for three categories of work: outstanding structural repairs to at least two pillars affected by subsidence, capital works to finalise remaining building defects that have not yet been rectified, and a contingency for anticipated maintenance needs as the building ages. Some of these works have been outstanding for longer than they should have been – the scheme’s financial capacity to address them was significantly reduced by the legal costs incurred in prior years. The subsidence repairs are a priority and the committee will be obtaining engineering advice to scope the works properly before committing to the resolution. These are exactly the kinds of major, non-recurrent expenses the sinking fund exists to cover – they protect the long-term structural integrity of the buildings and, by extension, the value of every lot. Now that those legacy financial pressures have been resolved, the committee is in a position to direct funds where they have always been needed.

06. Gardens and tree work (Sinking fund [E03/E05]: $10,000)

The grounds and tree work allowances ($5,000 each) are to address significant issues with large trees on common property that require specialist assessment and intervention — these are beyond the scope of routine garden maintenance funded from the administrative fund.

05. Fencing/Gates (Sinking fund: $6,000)

This allowance is to repair or replace damaged or failing fencing and gates across the complex. Responsibility for fencing is shared – some sections are body corporate common property, some are the responsibility of individual lot owners and some adjoin council land. The committee will work through the ownership and cost-sharing for each section before committing to works to ensure the body corporate only funds what it is obligated to maintain and gives owners notice where they may have shared expense to repair. We will work with owners to schedule appropriately and in consideration of individual budgets.