November 1 2023 – New CRF Requirements
In January 2023, the Provincial cabinet produced Order in Council No. 32 which amended portions of the Strata Property Act relating to the minimum contributions to the Contingency Reserve Fund (CRF).
A phased approach was taken at the time, allowing Strata Corporations to amend their budgets accordingly. That phased window is now closed, as November 1st brings the Order into effect for all Strata Corporations.
Going forward, every Strata Corporation (regardless of their current CRF Balance) must contribute 10% of their Operating fund (in the Order it notes “contributions”, ie. the Strata Fee portion) to the Contingency Reserve Fund.
In other words, if your Strata anticipates $1,000,000 in Strata Fees to be collected in your budget, then you must allocate at least $100,000 to the CRF. The previous provision, allowing Strata Corporations with a pre-set minimum balance in their CRF to opt out of a contribution has been removed.
Our friends at CHOA have put together a helpful article on this subject which you can find here if you’d like to read more: https://choa.bc.ca/wp-content/uploads/700-020-CRF-contributions-increase-Nov-1-2023.pdf