Dáil Éireann Debate, Tuesday - 18 April 2023
1078. Deputy Patrick Costello asked the Minister for Justice if he will amend the Multi-Unit Developments Act 2011 to ensure that owners are limited to one vote regardless of the number of units they own to ensure individuals have an equal say to large corporate landlords who may own multiple units; and if he will make a statement on the matter. [16740/23]
View answerThe Multi-Unit Developments Act 2011 was enacted with the primary purposes of reforming the law relating to the ownership and management of common areas of multi-unit developments and facilitating the fair, efficient and effective management of owners' management companies (OMCs).
The Programme for Government contains a commitment to conduct a review of the existing management company legislation, to ensure that it is fit for purpose and that it acts in the best interests of residents. This is referring to the Multi-Unit Developments Act 2011. It is not proposed to make any amendments to this legislation at this time, and until this review has been completed. The Deputy should note that the changes he has suggested would give rise to significant legal and potentially constitutional difficulties.
Well-functioning OMCs are key to maintaining and sustaining higher-density residential developments, such as apartments. Housing for All - a New Housing Plan for Ireland is the government’s housing plan to 2030. Housing for All will support effective management and oversight of multi-unit developments by legislating for necessary changes. In this regard, my Department will work in close co-operation with the Department of Housing, Local Government and Heritage.
To ensure that OMCs are financially sustainable, my Department, in collaboration with the Department of Housing, Local Government, and Heritage will make regulations under subsection 17 of section 18 of the Multi-Unit Developments Act 2011, prescribing the class or classes of items of expenditure which may be the subject of annual service charges; the procedures to be followed in setting such charges; matters to be taken into account in the setting of such charges; and arrangements for the levying and payment of such charges.
Regulations will also be made in collaboration with the Department of Housing, Local Government, and Heritage under subsection 9 of section 19 of the MUD Act to ensure that OMCs provide for expenditure of a non-recurring nature (i.e. sinking fund expenditure) and it will also examine the introduction of a non-statutory dispute resolution process. This process would determine disputes in relation to provisions of the MUD Act and in relation to covenants of head/main leases to which OMCs are party.
