143Capital works fund

143 Capital works fund (1) This section applies if an approved annual budget for a retirement village provides for the setting aside of any part of the recurrent charges for funding capital maintenance in a period that extends beyond the end of the financial year to which the budget relates. (2) The operator of the village must establish and maintain a capital works fund. (3) However, this section does not require that a separate fund be established for each financial year. (4) A capital works fund must be held in an account with an authorised deposit-taking institution or as otherwise prescribed by regulation.

(5) The operator must pay the following into the capital works fund: (a) an amount of the recurrent charges as may be needed under an approved annual budget; (b) any interest received from the investment of the whole, or part of, the capital works fund.