How much can a strata council spend without owner approval?
Council controls the cheque book, but the owners control the budget. Knowing exactly where one ends and the other begins keeps council out of the most common kind of trouble.
Last reviewed November 10, 2026, against the current Strata Property Act, Strata Property Regulation and Standard Bylaws on BC Laws.
The short answer
A BC strata council may spend what the owners approved in the budget. For anything not in the budget, section 98 of the Strata Property Act allows spending from the operating fund only if the total of all unapproved expenditures in that fiscal year is less than the amount set in the bylaws, or, if the bylaws are silent, less than $2,000 or 5% of the total contribution to the operating fund, whichever is less. Emergencies are a separate exception. Everything else needs a vote of the owners.
The four sources of spending authority
| Source | What it covers | Section |
|---|---|---|
| The approved budget | Operating expenses in the categories and amounts owners approved | 97, 103 |
| An owners' resolution | A specific expenditure approved at a general meeting | 96, 97 |
| Section 98(2) | Small unapproved operating expenditures, within the limit | 98 |
| Section 98(3) | Emergencies: safety or preventing significant loss or damage | 98 |
If a proposed expenditure does not fit one of the four, council cannot make it.
Spending within the budget
The budget authorizes spending from the operating fund by category. Council may spend up to the amounts shown without going back to owners. The Act does not expressly address moving money between budget lines. The cautious view is that overspending a category is an unapproved expenditure to the extent of the overrun, so significant overruns should be covered by section 98 or taken to the owners. A budget with a modest contingency line gives council room for surprises.
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The section 98 limit for unapproved spending
Where an expenditure was not put forward for approval in the budget or at a general meeting, section 98(2) allows it from the operating fund if the expenditure, together with all other unapproved expenditures made in the same fiscal year, is:
- less than the amount set out in the bylaws, or
- if the bylaws are silent, less than $2,000 or 5% of the total contribution to the operating fund for the current year, whichever is less.
Three things are often missed.
- It is cumulative. The limit is for the whole year, not per purchase.
- Whichever is less. A strata with an $80,000 operating contribution has a $2,000 limit. A small strata with a $20,000 contribution has a $1,000 limit.
- Operating fund only. Section 98(2) does not open the contingency reserve fund.
| Annual operating contribution | 5% | Limit if bylaws are silent |
|---|---|---|
| $15,000 | $750 | $750 |
| $30,000 | $1,500 | $1,500 |
| $40,000 | $2,000 | $2,000 |
| $250,000 | $12,500 | $2,000 |
Many stratas adopt a bylaw setting a higher amount, which may also set conditions (section 98(4)). Unapproved expenditures must be reported in the financial statement sent with the AGM notice (Regulation 6.7).
Emergencies
Section 98(3) allows spending from the operating fund or the contingency reserve fund without prior approval if there are reasonable grounds to believe an immediate expenditure is necessary to ensure safety or prevent significant loss or damage, whether physical or otherwise. The amount must not exceed the minimum needed, and owners must be informed as soon as feasible. Obtaining and maintaining required insurance is expressly included. See emergency repairs.
The contingency reserve fund
Council has no general authority to spend from the reserve fund. Apart from emergencies, each expenditure must first be approved by the owners: by majority vote for depreciation reports, repairs recommended in the most current depreciation report, electrical planning reports and EV charging infrastructure, and by 3/4 vote for anything else (section 96). See reserve fund spending rules.
Delegating spending inside council
Under Standard Bylaw 21, a person may not spend the strata's money unless delegated the power to do so. Standard Bylaw 20 lets council delegate spending authority by resolution, either for a specific amount and purpose, or as a general authority with a maximum amount and stated purposes or conditions. A council member may also spend to repair or replace common property if immediately required to ensure safety or prevent significant loss or damage.
Sample minute wording: MOVED and SECONDED that council delegate to the strata manager the authority to approve repair and maintenance invoices within the approved budget up to $1,000 per invoice, and to the president and treasurer jointly up to $5,000 per invoice, with all such expenditures reported at the next council meeting. CARRIED (5 in favour, 0 opposed).
When council needs more
- Call a special general meeting for approval by a 3/4 vote of an operating expenditure not in the budget (section 97), or a special levy.
- Wait for the AGM and put it in the next budget.
- Adopt a bylaw raising the section 98 amount for future years.
A subscription such as a minute-preparation service is a small operating expense that council can usually approve under section 98 mid-year and then include in the next budget. Our free council approval kit has a draft motion.
Questions councils and owners ask
How much can a strata council spend without a vote in BC?
Within the budget, up to the budgeted amounts. Outside it, less than the amount in the bylaws, or if the bylaws are silent, less than $2,000 or 5% of the annual operating contribution, whichever is less, counted across the whole fiscal year.
Is the $2,000 limit per purchase?
No. It applies to all unapproved expenditures in the fiscal year added together.
Can council use the contingency reserve fund without a vote?
Only for an emergency under section 98(3), and only for the minimum needed.
Can a single council member approve spending?
Only with authority delegated by council, or for repairs immediately required for safety or to prevent significant loss or damage.
Do unapproved expenditures have to be reported?
Yes. The financial statement must give details of unapproved expenditures under section 98.
Every expenditure, properly recorded
Council's protection is a motion and a vote for each spending decision. StrataMinutes prepares minutes that record the amount, the contractor and the fund every time.
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For a 30-lot strata, that is under $1 a lot each month. Have the strata pay: free council approval kit.
This page is general information for BC strata corporations, not legal advice. Your strata's own filed bylaws may differ from the Standard Bylaws. See the current text of the Strata Property Act and the Strata Property Regulation on BC Laws.
Related guides
Emergency Repairs
Reserve Fund Spending Rules
Annual Budget
Council Approval Kit
Hiring Contractors
Budget Not Approved