This section considers the CCH model rules available and seeks to provide pointers towards which rules might be applicable for each set of circumstances. The table below sets out the five model rules available with some of their features.
Some issues that housing co-operatives need to consider in choosing the right set of rules include:
- what is, or will be, the tenure of the housing co-operatives’ homes? Are the homes to be leased, rented, shared ownership, mutual home ownership or a mixture?
- does, or will, the housing co-operative own its homes; does, or will, it lease them from another organisation; or does, or will, it manage them on behalf of another organisation?
- is, or will, the housing co-operative be a Registered Provider (ie registered with the Regulator of Social Housing) – a requirement if the society is receiving public grant for low income rental homes?
- does, or will, the housing co-operative make all its decisions through General Meeting (ie meetings which all members may attend and vote at) or will the society elect a Management Committee to make governance decisions?
- is, or will, the housing co-operative be fully mutual? Fully mutual means that all members are tenants or prospective tenants of the co-op and vice versa; otherwise if membership is optional then the housing co-operative is non fully mutual. The mutual status of a housing co-operative will impact on its tax treatment and its contractual relationship with its members. CCH advises that housing co-operatives seek tax and legal advice on these matters.
