Dáil Éireann Debate, Wednesday - 29 September 2010
1177 Deputy Róisín Shortall asked the Minister for Justice and Law Reform, in relation to the Multi-Unit Development Bill, the actions he proposes to take for the regulation of existing management companies; if he will ensure that measures are adopted with regard to the regulation of fee structures, which are often opaque and lack supporting documentation; and if he will set in place a requirement for a sinking fund. [33876/10]
Amharc ar fhreagraThe purpose of the Multi-Unit Developments Bill 2009 is to amend the law relating to the ownership and management of the common areas of multi-unit developments and to facilitate the fair, efficient and effective management of bodies responsible for the management of those common areas.
As regards existing multi-unit developments, section 2(5) of the Bill provides that except where otherwise provided, its provisions will, when enacted, apply to every multi-unit development. Sections 3 and 14 will apply only to future developments but all other sections will apply to existing developments, including section 16 which will require transparency and fairness in the calculation of service charges. As regards the establishment of a sinking fund, section 17(6) provides that the obligation to establish such a fund arises either 3 years after the sale of the first residential unit in the development, or 18 months after commencement of section 17, whichever is the later. It is likely that the 18 month deadline will apply to most existing multi-unit developments without a sinking fund.
