NSW Fair Trading has confirmed that it will be carrying out audits of retirement villages in the coming months to test compliance with several requirements under the Retirement Villages Act 1999, including obligations to have a comprehensive Asset Management Plan (AMP) in place.
The AMP scheme requires operators to produce a 10-year record of all assets, worth more than $1,000, held by the village and their expected maintenance needs for the next 10 years.
The AMPs, which were recommended by an Inquiry into the sector chaired by Kathryn Greiner AO, must be presented to residents for approval once it has been reviewed and signed off by an independent auditor or quantity surveyor.
The SOURCE revealed last Tuesday that it will be the first audits conducted in person by NSW Fair Trading for “many years”.
“The offence provisions relate to failure to have a plan in place. These provisions commence 1 July 2022,” said a spokesperson for NSW Fair Trading.
NSW Fair Trading has twice pushed back the timetable for providers to submit their AMPs.
