Strata Special Levies in BC: When They're Allowed and How They Work

A strata special levy in BC is the financial event most owners fear: a one-time charge, sometimes five-figures per door, due on a specific date, to fund a major repair that the strata's contingency reserve fund (CRF) can't cover. The good news is that special levies are not arbitrary. They follow a strict legal process under Strata Property Act s. 108, require a 3/4 vote of all owners voting at a general meeting, and must be allocated proportionally to unit entitlement. The better news is that with the right planning and a healthy CRF, many BC stratas avoid special levies entirely. This guide walks through how they're approved, how they're allocated, when they're paid, and what happens if you can't pay yours.

What is a special levy?

A special levy is a one-time assessment on owners, separate from regular monthly strata fees, used to fund a specific project that the operating fund and CRF together cannot cover. The most common triggers are:

• Major repair or replacement projects where the CRF is underfunded
• Emergency repairs (water damage, structural issues, safety-related work) where the CRF is insufficient
• Litigation costs, including Civil Resolution Tribunal awards against the corporation
• Insurance deductible payments after a major claim
• Capital improvements that aren't replacement work (e.g., adding EV chargers, new amenities)

Each special levy is tied to a specific resolution at a general meeting. The resolution states the purpose, the total amount to raise, the allocation method, the payment due date(s), and any allowed installment plan. Once the 3/4 vote passes, every owner is bound, including owners who voted against and owners who couldn't attend.

The legal process: SPA section 108

Under SPA s. 108, a special levy must be approved at a properly called general meeting (AGM or SGM) by a 3/4 vote, that means at least 75% of the votes cast at the meeting must be in favour. Note that this is 75% of votes cast, not 75% of all owners. If 60% of owners attend and 80% of them vote yes, the levy passes even though only 48% of all owners voted in favour.

The resolution itself must clearly state:

1. The purpose of the levy, what project or expense it funds
2. The total amount to be raised across all owners
3. The allocation method, almost always unit entitlement
4. The payment date(s), single due date or installment schedule
5. What happens if any portion is unspent, typically refunded to owners by unit entitlement

Once passed, the levy is enforceable. Owners must pay by the deadline. If they don't, the strata corporation has the same collection tools available for unpaid strata fees, including a statutory lien under s. 116.

How a special levy is allocated

The default allocation method under SPA s. 108 is by unit entitlement, the same number used to allocate monthly strata fees and operating expenses. If your unit's unit entitlement is 2.5% of the building total, your share of any special levy is 2.5% of the total amount.

A worked example: a Sea-to-Sky strata passes a special levy for envelope renewal. Each owner's share equals the total levy multiplied by their unit entitlement divided by the building total. Higher entitlement units pay more; smaller units pay less. The math is the same as monthly fees, see our strata fees calculation guide, just applied once to a lump sum instead of annually to a budget.

In rare cases, owners can vote by unanimous resolution to allocate a special levy by a different formula (for example, only owners with balconies pay for balcony work). This requires 100% of all owners to agree, which in practice almost never happens. Default unit entitlement is the operating reality.

Payment timelines

The resolution sets the payment terms, but typical BC special-levy structures look like this:

The right structure depends on how soon the strata needs the money, a roof replacement starting in 90 days doesn't allow for a long payment plan unless the strata takes on bridge financing. Many BC stratas now use strata-corporation loans (sometimes through specialty lenders) to fund large projects, with the loan serviced by levy installments. This spreads owner pain over years and is worth considering for the largest projects.

What happens if an owner can't pay

Special levies are legally enforceable debts. If an owner cannot pay by the deadline, the strata corporation has several escalating tools:

1. Demand letter. Standard first step. Most strata managers send a written reminder 7-14 days after the due date.
2. Late fees and interest. If authorized in the bylaws, the corporation can charge interest on unpaid levies. The bylaw must be in force at the time of the levy.
3. Statutory lien. Under SPA s. 116, the corporation can register a lien against the owner's strata lot for the unpaid amount plus reasonable costs. The lien takes priority over most other claims.
4. Force sale. As a last resort under s. 117, the corporation can apply to the court to force the sale of the strata lot to satisfy the lien. This is rare but it does happen.

If you're an owner facing a levy you can't pay, the worst thing you can do is ignore it. The best thing is to call your council immediately and ask in writing for a payment plan. Our what to do if you can't pay your strata fees post covers the owner side in detail.

How to avoid special levies (mostly)

Special levies are not unavoidable. Stratas with adequate CRF funding, current depreciation reports, and disciplined long-term planning often go a decade or longer without a single one. The recipe:

1. Get a depreciation report on the schedule set by BC law for stratas of 5+ units. It tells you what to fund and when.
2. Set CRF contributions at the level the report recommends, not the legal minimum. Most reports for older buildings recommend a CRF contribution well above the floor.
3. Transfer operating surplus to CRF every year. Don't let surplus sit in operating.
4. Phase large projects where possible, replace a roof one wing at a time, replace envelope by elevation.
5. Don't underspend on inspections. A routine annual roof inspection is a fraction of the cost of an emergency replacement triggered by a missed leak.

The CRT has addressed special-levy refunds in cases where a strata raised funds for a major project and later discovered some or all of the work was covered by warranty or insurance. The tribunal has ordered stratas to refund the unused portion by unit entitlement, exactly as SPA s. 108 requires.

What if the levy is wrong?

Sometimes owners think a levy is improperly approved, bad math, bad scope, council bias, or procedural error. The remedies, in order:

1. Raise it at the meeting. Before the vote. Ask council to clarify the math, the scope, or the resolution wording.
2. Vote no. Your no vote counts.
3. CRT application. If you believe the levy was approved in violation of the SPA (e.g., didn't have a real 3/4 majority, improper notice, illegal allocation), you can file a Civil Resolution Tribunal claim. The CRT regularly hears special-levy disputes. We've watched procedural challenges, for example, a notice that didn't include the full text of the resolution, strike down a levy and force a re-vote, delaying the underlying project by months.

Tight procedure matters. Councils that follow the s. 45 notice rules and write clear resolutions almost never lose at the CRT.

Special levies vs other funding tools

It's worth knowing where special levies sit relative to other funding options:

• Operating fund (s. 92), annual recurring expenses only. Cannot fund a special-levy-class project legally.
• CRF spending, major repairs that align with the depreciation report can be paid from CRF by majority vote. Doesn't require a special levy at all.
• Special levy (s. 108), one-time, project-specific, 3/4 vote, allocated by unit entitlement.
• Strata-corporation loan, borrowed money repaid over time, often funded by a special-levy-style installment plan.
• Insurance recovery, claims against the strata's policy where applicable.

The right tool depends on the project size, urgency, CRF balance, and council strategy. A well-managed strata uses all of them at different times.

Final word

Special levies are the most visible, and most disliked, financial event in a BC strata. But they're not arbitrary, they're not avoidable in every case, and they follow a legal process designed to protect owners. The councils that manage them best are transparent: clear resolutions, real contractor quotes, owner Q&A sessions, payment plans for owners who can't pay lump sums. The councils that struggle are the ones that surprise owners.

If your Sea-to-Sky strata is staring down a major capital project and wondering whether a levy or a CRF spend is the right path, send us your most recent depreciation report and CRF balance, we'll walk through the options at no charge.

For more on the underlying numbers, see our strata fees calculation guide and our CRF minimum contributions post.