37Notice accompanying proposed annual budget—Act,

37 Notice accompanying proposed annual budget—Act, s 159 (6) (d) The notice accompanying a proposed annual budget must include the following statements: (a) the operator must provide the information in relation to the proposed expenditure that the residents committee or, if there is no residents committee, a resident reasonably requests; (b) the operator must not spend money received by way of recurrent charges otherwise than in accordance with the approved annual budget, except in a way that would be only— (i) a minor amendment of the approved annual budget; or (ii) an amendment between items in the approved annual budget if the amendment does not reduce the level of services provided and does not cause total expenditure to be exceeded; (c) it is a requirement of the Act, section 159 (Proposed annual budget) that the operator of the village give each resident a copy of the proposed annual budget for the financial year for the village— (i) on a day, at least 30 days before the beginning of the financial year to which the budget relates, agreed to by the operator and the residents; or (ii) if no day is agreed—at least 60 days before the beginning of the financial year to which the budget relates;

Financial management Part 6 Annual accounts Division 6.4 Section 38 R12 01/11/25 Retirement Villages Regulation 2013 Effective: 01/11/25 page 27 Authorised by the ACT Parliamentary Counsel—also accessible at www.legislation.act.gov.au (d) it is a requirement of the Act, section 162 (Residents’ consent to spending) that the residents— (i) tell the operator whether they consent or do not consent to the proposed budget; and (ii) if the residents do not consent to the proposed budget— state which item in the proposed budget they object to; (e) if the operator is not told whether the residents consent or do not consent to the proposed budget, the residents are taken to have refused consent; (f) consent by residents to an amendment of recurrent charges under the village contract is not consent to spending stated in the proposed budget. 38 Limit on contingencies in annual budget—Act, s 164 The maximum amount that may be allocated is— (a) for an annual budget of $200 000 or less—$1 000; and (b) for an annual budget that exceeds $200 000—0.5% of the total amount of the annual budget. Division 6.4 Annual accounts