Service Alberta Statutes Amendment Act, 2024*

Summary#

• Bill 30 updates condo law and construction payment rules in Alberta. It also creates a new tribunal to handle condo disputes and adds “prompt payment” timelines for public works projects.

• The goals are faster dispute resolution, clearer condo governance, and quicker payment to contractors and subcontractors on government projects.

• Creates a Condominium Dispute Resolution Tribunal. Tribunal decisions are binding and enforceable, with limited appeal and judicial review timelines.

• Changes condo voting and fee rules. Boards can levy “chargebacks” for owner-caused damage (capped at the lesser of actual cost or the corporation’s insurance deductible). Contributions can include reasonable admin/legal costs. Clearer rules for when owner-votes vs unit-factor votes apply.

• Requires developers to pay condo contributions on any “substantially completed” units once a unit in the plan is first sold. Adds an owner representative on the interim board (non-voting) early in a new development.

• Updates what developers must disclose for conversion condos (replacing “building assessment report” with a “converted property study” and adding possible “technical analysis”).

• Overhauls condo termination (wind-up) steps. Allows court applications or unanimous owner votes, with clearer direction on transfers/sales and how to distribute money.

• For public works, sets “proper invoice” rules and payment deadlines: Crown pays contractors in 28 days; contractors pay subs in 35 days; subs pay their subs in 42 days; interest applies after 45 days. Adds fast-track adjudication for payment disputes, with limits.

• Changes tender practices on public works. Government must disclose who bid and the winning price, but not read out all bid prices.

What it means for you#

• Condominium owners

  • Faster, lower-cost way to resolve many condo disputes through the new Tribunal instead of court.
  • Clearer voting rules at meetings. One vote per owner for “owner votes,” and votes by unit factors for “unit factor votes,” with a right to demand a unit-factor vote before results are announced.
  • Your condo board can bill you for damage caused by you, your tenant, or a guest. The chargeback is limited to the lesser of the actual cost or the condo’s insurance deductible.
  • Certificates that show what you owe (estoppel certificates) must include fees due, payment frequency, arrears, and interest, and are conclusive as of the date issued.
  • In older condos, who owns doors and windows is clarified in certain cases, which can affect who pays for repairs.

• Condo boards and property managers

  • Can include reasonable admin and legal costs in condo contributions (but not bylaw fines).
  • New processes for chargebacks and for disputing them (details to come by regulation). Keep bylaws up to date so chargebacks are allowed.
  • File board member notices with the Registrar of Corporations instead of the Land Titles Office.
  • New Tribunal may publish decisions. Expect to supply information to government and possibly pay fees to support the Tribunal.
  • Clearer, more structured steps to terminate a condo, either by court or unanimous owner vote.

• Developers

  • Must add an owner (non-voting) to the interim board within 90 days after titles for 25% of unit factors are issued to buyers.
  • Must start paying condo contributions on all “substantially completed” units you still own once any unit in the plan is first transferred to a purchaser.
  • New/updated disclosure for conversion projects: provide a “converted property study” and, where required, a “technical analysis,” to buyers and then to the corporation.

• Buyers of conversion condos

  • You should receive clearer technical information about the building through the converted property study and any required technical analysis.

• Contractors and subcontractors on public works

  • Must issue “proper invoices” with basic details at least every 31 days after work starts.
  • Payment timelines: Crown pays in 28 days; contractors pay subs in 35 days; subs pay their subs in 42 days. Interest starts after 45 days from receipt if unpaid.
  • Can use fast-track adjudication for payment disputes (generally limited to money claims up to the small-claims limit unless you permanently abandon the excess).
  • Some issues cannot be adjudicated (for example, contract termination validity, schedule changes, milestones, or force majeure). Court or arbitration may still be needed.
  • Special public-private or upkeep contracts are excluded from these payment and adjudication rules; you must be notified if your contract is excluded.

• Taxpayers and the public

  • Tender openings for public works will disclose who bid and the winning amount, but not all bid prices. This may reduce “bid shopping” risk but offers less immediate price transparency.

Expenses#

No publicly available information.

• Government will have start-up and operating costs to set up and run the Condominium Dispute Resolution Tribunal. Regulations allow recovering some costs through fees paid by condo corporations.
• Condo corporations may face modest admin costs to adjust bylaws, filings, and processes (e.g., chargebacks, reporting, possible Tribunal fees).
• Developers may pay condo contributions sooner on unsold units, affecting cash flow.
• For public works, agencies may need new invoice, payment, and dispute procedures; contractors and subs will adjust billing systems to meet “proper invoice” rules.

Proponents' View#

• Quicker, cheaper condo dispute resolutions will reduce stress and legal bills for owners and boards.
• Clearer voting and fee rules make condo governance fairer and easier to run. Chargebacks protect other owners from paying for damage caused by a few.
• Requiring developers to pay contributions earlier shifts carrying costs away from owners and improves condo finances during build-out.
• Better technical disclosure for conversion condos helps buyers understand building condition.
• Prompt payment on public works improves cash flow for small and medium trades, helping them stay afloat and reduce financing costs.
• Public works adjudication offers a fast, practical way to resolve payment disputes without long court delays.

Opponents' View#

• A new Tribunal adds another layer and may bring new fees for condo corporations and, ultimately, owners.
• Chargebacks up to the insurance deductible could be large for individual owners and may be disputed often.
• Tight voting and proxy limits may frustrate some co-owners and reduce flexibility at meetings.
• Developers say earlier contribution payments raise their costs and could be passed on in prices.
• Limiting public opening details for tenders reduces transparency for bidders and the public.
• Public works adjudication is narrow (mostly payment only, capped amounts). Complex disputes still go to court or arbitration, and abandoning claim amounts to fit the cap may pressure small firms.
• Excluding certain public-private or upkeep contracts leaves many big projects outside prompt payment protections.