27Information to accompany proposed annual budget—the Act, s 112(4)(e)

27 Information to accompany proposed annual budget—the Act, s 112(4)(e)

27 Information to accompany proposed annual budget—the Act, s 112(4)(e)

(1) The notice accompanying a proposed annual budget must state that—

(a) the operator must provide information reasonably requested by the Residents Committee or, if there is no Residents Committee, a resident about proposed expenditure within 10 business days after the information is requested, and

(b) the operator must not spend money received as recurrent charges unless provided for in the approved annual budget, except for—

(i) minor variations, and

(ii) other variations between items in the approved annual budget that do not reduce the level of services or increase total expenditure.

(2) If recurrent charges have increased since the previous annual budget and the Act, section 106 applies to the increase, the notice accompanying a proposed annual budget must also state that—

(a) the Act, section 112 requires the operator of the village to give each resident a proposed annual budget not less than 60 days before the commencement of the financial year, and

(b) the Act, section 114 requires the residents to—

(i) meet, consider and vote on the proposed annual budget, and

(ii) advise the operator whether or not they consent to the proposed budget, and

(iii) if the residents do not consent—specify the items in the proposed budget to which they object, and

(c) unless the operator is advised of the residents’ consent to the proposed annual budget, the residents are taken to have refused consent.

(3) If recurrent charges have not increased since the previous annual budget, the notice accompanying a proposed annual budget must state that the residents are taken to have consented to the proposed budget as the recurrent charges have not been increased since the previous annual budget.

(4) If recurrent charges have increased since the previous annual budget and the Act, section 106 does not apply because the increase is in accordance with a fixed formula in the village contract, the notice accompanying a proposed annual budget must state that the residents are taken to have consented to the proposed budget as the increase in the recurrent charges is in accordance with the formula in the village contract.