NSW strata law has been moving through a steady period of reform. Late last year, we looked at how proposed changes could influence strata insurance renewals and the way committees prepare for future costs.
Two months after the 1 April 2026 reforms commenced, one part of the changes is becoming especially important for established schemes: the new standard form for 10-year capital works fund plans.
This article is not legal advice. It is practical guidance for strata committees, owners corporations and lot owners who want to understand what the April changes mean in day-to-day strata management.
The short version is this: the new form has not changed the basic purpose of a capital works plan. Owners corporations still need to plan for major repairs, maintenance and replacement of common property over a 10-year period. What has changed is the level of structure expected in how that planning is recorded.
For many committees, the real challenge is not knowing that a standard form exists. It is making sure the plan reflects the actual condition, age and needs of the building.
The 1 April 2026 tranche of NSW strata reforms introduced several document and disclosure changes. These changes are part of a broader reform program designed to improve transparency, consistency and accountability across NSW strata schemes.
The NSW Government guide to strata law changes outlines three key changes that started on 1 April 2026.
The first is the new standard form for 10-year capital works fund plans. New and revised plans now need to use the standard form. These plans help owners corporations identify and budget for major future works paid from the capital works fund.
The second is the standard form for initial maintenance schedules. An initial maintenance schedule, often called an IMS, is prepared for a new strata scheme and gives the owners corporation maintenance and inspection information for common property after handover.
The third is the update to Section 184 strata information certificates. These certificates are commonly requested during the sale of a strata lot. They now include more information about the scheme, including certain compliance and supply network details.
These changes sit alongside earlier reforms that commenced on 27 October 2025, which also focused on clearer records, stronger communication and improved transparency for owners.
The new standard form gives owners corporations a more consistent way to prepare their 10-year capital works fund plan. The plan should set out anticipated major expenditure, the timing of that expenditure, expected costs and how those costs may be funded.
The NSW Government’s Capital Works Fund Planner has been developed to help schemes create a plan that complies with the standard form requirement.
In plain English, a useful plan should help a committee answer four practical questions.
This is where the new form becomes more than a compliance document. A strong capital works plan helps committees explain why certain levies may be needed, why some works should be prioritised and why delaying maintenance can create higher costs later.
A weak plan does the opposite. If the plan is vague, outdated or disconnected from the building, it becomes harder to justify future spending decisions. That can create difficult conversations at meetings, especially when owners are asked to approve increased contributions.
The April reforms include more than one change, but the capital works plan update is the one many established schemes are most likely to feel in everyday management.
New schemes will deal more directly with the IMS requirements. Buyers and sellers will notice the Section 184 certificate changes during sale processes. Established schemes, however, are constantly dealing with questions about repairs, maintenance, future costs and levy planning.
That makes the 10-year capital works fund plan a practical governance tool, not just a document kept on file.
A clear plan helps committees answer questions such as:
These questions are especially important for older buildings. Many established schemes have expensive common property items that need careful planning, including roofs, lifts, fire systems, waterproofing, windows, driveways, external painting and plant equipment.
If those items are not properly reflected in the plan, the committee may struggle to budget with confidence. The plan may still exist, but it may not support good decisions.
This also connects closely with how strata levies work in NSW, because a clear capital works plan gives committees a stronger basis for explaining why contributions are needed and how those funds relate to future works.
Not necessarily. Existing strata schemes do not need to replace a current 10-year capital works fund plan simply because the 1 April 2026 reforms commenced. NSW Government guidance explains that owners corporations need to use the standard form when they are revising an existing 10-year plan or preparing a new plan to replace one that has already been in place for 10 years.
That distinction matters. A current plan may remain in place until the owners corporation reviews, revises or replaces it. However, owners corporations still need to review their 10-year capital works fund plan at least every five years and consider it at each annual general meeting.
Committees should avoid treating the reform as an immediate panic item. They should also avoid ignoring it altogether. A better question is:
Committees with clear asset information, recent reports and a realistic view of the building’s condition will generally be better placed to prepare or review a useful plan. Committees with older records, incomplete maintenance history or limited supporting information may find the process more difficult.
The form itself is not usually the hard part. The harder part is the information behind it. A committee may know that external painting is due at some point, but not have a reliable estimate. It may know there have been waterproofing problems, but not have a clear record of previous repairs. It may know a lift is ageing, but not have updated advice on expected replacement costs.
These gaps matter because the capital works plan should support future funding decisions. If the inputs are weak, the plan may look complete while still offering limited practical value.
For committees, this is a good time to gather the material that makes a plan useful. This may include maintenance history, contractor reports, defect reports, insurance documents, recent quotes, previous AGM papers and records of major works.
Asset-level planning sounds more technical than it needs to be. It simply means looking at the key parts of the building separately rather than treating future maintenance as one broad cost.
A committee might need to think about the roof, external walls, lifts, fire safety systems, windows, waterproofing, driveways, common area surfaces, plant equipment and major shared fixtures.
Each item may have a different life span, risk level and cost. A useful 10-year capital works plan reflects that reality.
This helps committees move away from broad statements like “allow for future repairs” and toward more practical planning. If owners can see that certain works are expected in certain years, levy discussions become easier to understand.
This does not mean every committee needs to become a building expert. Larger or more complex schemes may need input from specialists such as quantity surveyors, engineers or building consultants. Smaller schemes may use a simpler process, provided the plan is still accurate enough to guide decision-making.
An initial maintenance schedule is a document prepared for a new strata scheme. It gives the owners corporation maintenance and inspection information for common property after handover.
From 1 April 2026, initial maintenance schedules must be prepared using a standard form.
For multi-storey schemes, there are also stronger review and certification requirements. The original owner must arrange for the IMS to be reviewed and certified by an independent surveyor before the first annual general meeting. Initial levy estimates for the administrative fund and capital works fund also require review and certification.
For newer schemes, this is significant. The first few years of a building’s life are often when committees discover whether handover documents properly match the reality of the building. A clearer IMS can help the owners corporation understand maintenance responsibilities earlier.
It can also matter later if defects or damage arise. The NSW Government has noted that an initial maintenance schedule may be considered in proceedings when assessing whether a defect or damage could have been avoided by carrying out specified maintenance or inspection.
For newer schemes, the initial maintenance schedule can also become relevant when committees are identifying and reporting strata defects after handover.
A Section 184 strata information certificate gives important information about a lot and the strata scheme. It is often requested during the sale of a strata lot so a buyer can understand financial and scheme-related matters before purchase.
The NSW Government guide to strata law changes explains the additional information now included in Section 184 strata information certificates.
From 1 April 2026, these certificates include details about exclusive supply networks, often called embedded networks, where they apply. These networks may supply electricity, gas, hot and cold water, internet or other utilities.
The certificate must also include certain information about orders and compliance action involving the owners corporation, as well as meetings held in the past year and upcoming meetings.
For committees, this reinforces the importance of accurate records. A sales process can expose gaps in documentation quickly. If meeting information, compliance history or supply network details are unclear, preparing the certificate becomes harder and may create unnecessary questions for owners or buyers.
This is another reason the April reforms should be viewed together. Capital works plans, initial maintenance schedules and Section 184 certificates all rely on the same underlying discipline: good records.
Committees do not need to panic or rush into unnecessary changes. A measured review is more useful.
Start by checking when the current 10-year capital works fund plan was prepared and when it is due for review. If the plan is old, vague or clearly out of step with the building, the committee should consider whether it needs to be updated using the standard form.
Next, review the quality of the information behind the plan. A capital works plan is only as useful as the records that support it. Gather maintenance reports, contractor advice, prior quotes, defect records, insurance documents and recent meeting papers.
Committees should also think about how the plan is explained to owners. If levies need to increase, the plan can help show why. Owners are more likely to understand contributions when they can see the future works those contributions are intended to fund.
For newer schemes, committees should pay close attention to the IMS and handover documents. If the documents appear incomplete or unclear, raise questions early and record the committee’s concerns.
For schemes involved in sales activity, make sure the information needed for Section 184 certificates is current. This includes embedded network details, meeting information and any relevant compliance action.
The 1 April 2026 changes are not the end of the reform program. The NSW Government has indicated that further changes are still to come, including mandatory strata committee training and requirements relating to embedded network disclosure in off-the-plan contracts. The details and commencement dates should be confirmed before committees rely on them for decision-making.
For now, the best approach is to stay informed, keep records current and ensure key decisions are properly documented. The appointment of the NSW Strata and Property Services Commissioner also forms part of the broader shift toward clearer standards and stronger oversight across the sector.
For committees, the April changes reinforce the value of clear records and practical guidance. A capital works plan is only useful if it reflects the building and helps owners understand future costs.
Progressive Strata works with NSW owners corporations to support meeting processes, record-keeping, levy discussions and long-term planning. As reforms continue, our role is to help committees understand what has changed, what needs attention and what can be managed through existing governance processes.
The aim is not to overcomplicate the process. It is to help committees stay organised, make informed decisions and keep owners properly informed.
Two months after the April 2026 strata reforms commenced, the main lesson is clear: the new capital works plan form is not just an administrative change. It is a prompt for committees to take long-term planning seriously.
Existing schemes do not necessarily need to replace a current plan immediately. But when a plan is reviewed, revised or replaced, the standard form matters. More importantly, the quality of the plan depends on the quality of the information behind it.
For committees, the best response is practical. Review the current plan. Check the records. Understand the building. Communicate clearly with owners.
That is what good strata governance increasingly requires.