Singapore legislation

Section 16

of Building Maintenance and Strata Management Act 2004

Section 16

Developer to establish maintenance funds

Amended by35/201748/2018

(1)

The owner developer of a development to which this Division applies must establish one or more maintenance funds in accordance with this section at any time on or after —

(a)

the date the first temporary occupation permit is issued in respect of any lot or proposed lot in the development; or

(b)

a subsequent date when this Division applies to the development,whichever is the later.

Amended by35/2017

(2)

The owner developer of every such development must establish a general maintenance fund, which must be used for the following purposes only:

(a)

to pay for the expenses incurred on or after the establishment of the general maintenance fund in providing —

(i)

cleaning services for the common property;

(ii)

security services and amenities for the occupiers of the lots or proposed lots in that development; and

(iii)

any other services necessary for maintaining the common property in a state of good repair;

(b)

to maintain, repair and renew fixtures and fittings (including lifts) in that development, not being fixtures and fittings installed in a lot or proposed lot sold or intended for sale to a purchaser;

(c)

to maintain, repair and renew sewers, pipes, wires, cables and ducts used or capable of being used in connection with the enjoyment of 2 or more lots or proposed lots in, or the common property of, that development;

(d)

to pay any premium for the insurance of that development against damage by fire and other risks;

(e)

to pay rent and rates, if any;

(f)

to pay any fee for the auditing of the maintenance fund;

(fa)to pay any connection charge payable under section 31M, and any tariff payable under section 31N, of the Environmental Public Health Act 1987;

(g)

to pay all charges reasonably incurred for the administration of the maintenance fund and the common property of that development.

Amended by48/2018

(3)

Where any such development comprises any limited common property, the owner developer must, in addition, establish a separate special maintenance fund, which must be used for the following purposes only:

(a)

to pay for the expenses incurred on or after the establishment of the special maintenance fund in providing —

(i)

cleaning services for that limited common property;

(ii)

security services and amenities for the occupiers of the lots or proposed lots in that development for whose exclusive benefit that limited common property has been designated under the sale and purchase agreement with the owner developer; and

(iii)

any other services necessary for maintaining that limited common property in a state of good repair;

(b)

to maintain, repair and renew fixtures and fittings (including lifts) in that development comprised within that limited common property, not being fixtures and fittings installed in a lot or proposed lot sold or intended for sale to a purchaser;

(c)

to maintain, repair and renew sewers, pipes, wires, cables and ducts used or capable of being used in connection with the enjoyment —

(i)

of that limited common property; or

(ii)

of 2 or more lots or proposed lots in that development for whose exclusive benefit that limited common property has been designated under the sale and purchase agreement with the owner developer;

(d)

to pay rent and rates (if any) connected with the limited common property;

(e)

to pay any fee for the auditing of the special maintenance fund;

(f)

to pay all charges reasonably incurred for the administration of the special maintenance fund and the limited common property of that development.

(4)

Any owner developer who contravenes subsection (1) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $10,000 and, in the case of a continuing offence, to a further fine not exceeding $100 for every day or part of a day during which the offence continues after conviction.

Section 16 — Building Maintenance and Strata Management Act 2004