For all of you out there who abide by the rules – here’s something you should spend some time reading. And, if you care about the state of Home Warranty Insurance in NSW, it’s time to act. The NSW Government has given all of you until 15th August to have your say.
NSW Fair Trading invites you to have your say on a new draft Home Building Regulation.
To take part in this public consultation:
- read this information, and view the draft Home Building Regulation 2014 and supporting documents (links below)
- submit comments to policy@finance.nsw.gov.au until Friday, 15 August 2014.
What’s happening?
The Home Building Amendment Act 2014
The Home Building Amendment Act 2014, containing more than 50 amendments to the Home Building Act 1989, was passed by the NSW Parliament in May 2014. This followed an extensive consultation from July 2012, including a broad range of stakeholders.
The amendments include:
- clarifying the definition for major defects
- requiring progress payment schedules in contracts for work over $20,000
- increasing the maximum deposit for work over $20,000 to 10 per cent
- consolidating licensing provisions (including standard licensing conditions that will inform decisions such as when someone faces licensing restrictions)
- streamlining and rationalising home building contract requirements
- establishing a public register of home warranty insurance certificates
- renaming the home warranty insurance scheme to better reflect its purpose and how it operates
Access a copy of the Home Building Amendment Act 2014
Consultation on the draft Home Building Regulation 2014
The Home Building Regulation 2004 is being remade to incorporate the amendments made by the Home Building Amendment Act 2014. It will also implement other reforms to:
- implement some outcomes of the Review of the Home Building Act 1989 that were not included in the Amendment Act
- fast-track some key recommendations made by the Independent Pricing Regulatory Tribunal in its draft report, Reforming Licensing in NSW
- implement some other insurance, licensing, fee changes and general updates to the law.
A consultation draft of the Regulation has been released, with a Regulatory Impact Statement (RIS) explaining the Regulation’s key proposed changes:
- Regulatory Impact Statement – Home Building Regulation 2014 (PDF size: 455kb)
- Public consultation draft – Home Building Regulation 2014 (PDF size: 487kb)
Interested organisations and individuals may comment on the RIS or the Draft Regulation. Please make submissions in writing by Friday, 15 August 2014 and send to:
- policy@finance.nsw.gov.au or
- Post to:
Home Building Regulation 2014
Policy & Strategy
NSW Fair Trading
PO Box 972
PARRAMATTA NSW 2124
Next steps
All submissions will be considered and assessed. A report will then be prepared for the Minister detailing the issues raised and whether the Draft Regulation should be amended. After, a final version of the Regulation will be submitted to the Governor for approval. Once approved, the Regulation will be published on the NSW legislation website.
Important documents
Regulatory Impact Statement – Home Building Regulation 2014 (PDF size: 455kb)
Public consultation draft – Home Building Regulation 2014 (PDF size: 487kb)
Review of the Home Building Act 1989 Position Paper (PDF size: 563kb)
Reform of the Home Building Act 1989 issues paper (PDF size: 839kb)
There are suggestions in the proposal to increase initial payments over $20,000 to 10% compared to the existing 5% and other worthwhile amendments. However there are (and you wouldn’t expect anything less) some draconian changes. Take the time to read and respond. This is your industry and you must have your say!
Copy and paste this link for more:
http://www.fairtrading.nsw.gov.au/ftw/About_us/Have_your_say/Review_of_home_building_legislation.page?DCSext.ref=HomePageClick:Haveyoursay
