- What is a cooperative housing society?
- Why is cooperative housing society management important?
- Significant segments of cooperative housing society management
- Who manages these segments?
- Rules of cooperative housing society management
If you are planning to buy a house, a Cooperative Housing Society is one of the best options to go for in India. It is one of the major topics that have to be understood before you decide to be a part of it. This article will help in understanding every aspect of housing society management.
What is a cooperative housing society?
A cooperative housing society, meaning a legal entity that is members-based, consists of one or multiple residential buildings. When you buy shares in a cooperative society, you become a part of it and are privileged to live in one of the society’s housing units. If you want to buy a home in a cooperative society, it is vital to understand what a housing society is in depth. We have discussed all you need to know about cooperative housing societies in India in a separate article.
Why is cooperative housing society management important?
The primary goal of cooperative housing society management is to address the needs of the members and the neighborhood. Usually, a housing society means an organization where people who share similar interests come together and form a legal entity. This is basically to enhance the living circumstances and meet the requirements of the residents. One of the distinguishing characteristics of a cooperative society is democratic control, which includes regular meetings and elections of the members of the management committee. As a member of society, everyone makes financial contributions monthly, quarterly, or annually and works together on various aspects and issues. There are rules and regulations outlined in the respective state’s bylaws that regulate all the cooperative housing societies in the state. Therefore, society management plays an important role in making sure everything goes transparently and smoothly, following all rules and regulations.
Significant segments of cooperative housing society management
A cooperative housing society has many sections to be taken care, of and managing all of these segments manually is quite a difficult task. Nowadays, there are tools like MyGate which helps to run these processes seamlessly. Let’s understand the various segments of a housing society management:
A cooperative housing society, meaning a non-profit organization, is where the majority of its income comes from the maintenance amount paid by the society residents. Therefore, finance is an integral part of housing society management. Finance, however, is more than just collecting maintenance; it also involves maintaining accurate records of all expenditures and transactions, tax payments, presenting annual reports, conducting timely audits and creating budgets.
2. Infrastructure and maintenance
This is another section of the management that needs major attention. Regular maintenance, repair and required constructions within the complex are essential to ensure that all amenities are operating efficiently, and that residents of the society are not facing any inconvenience.
3. Staff and vendor Management
This section helps in the smooth facilitation of staff and vendor who provide services like delivery, deep cleaning, pest control, plumbing, etc., and also tracks and manages the entry, departure and other formalities. These are usually managed by external service providers or individuals. These services may occasionally be requested by the society under a contract or outsourced to companies and individuals outside the society.
In an ideal housing society management system, the safety and security of the community are always given primary importance. Nowadays, most cooperative societies are gated, and the main gate security plays the most important role here. Apart from that, there are security guards and CCTV cameras within the complex. This entire system requires a lot of resources and time management, which are quite difficult tasks.
This segment is responsible for taking care of all the cultural activities like festivals, celebrations, events or workshops that happen within the complex. In India, socio-cultural activities play an important part, and these activities bring a sense of community.
6. Property management
Members of a management committee are responsible for numerous buildings and apartments. Apartment-related activities, including renting, selling or buying, necessitate their division under housing society management.
Who manages these segments?
There is a society management committee in each cooperative housing society that manages these segments. Usually, the management committee is elected by the members through a voting system on an annual basis.
The management committee in a housing society is headed by the president. He or she represents society and is accountable to the relevant authorities regarding legal issues. The final decision on all choices and issues rests with the president. The president presides over all meetings of the society and makes sure that the society’s objectives are achieved periodically, its requirements are supplied and all challenges are overcome.
The general management system of the housing society is driven by the secretary of the society management. All meetings of the management committee and the general body are planned and executed by this person. Meeting agendas are set by secretaries, who also record minutes and distribute them to participants. The secretary is also responsible for handling resident complaints and concerns and presenting them to the management committee. The welfare of the society’s members is also overseen by the secretary, with the help of the treasurer and the executive committee.
The treasurer is responsible for handling all finance-related activities. The society’s annual budget is presented by the treasurer, who also creates savings strategies. He or she is required to keep meticulous records of all financial outlays and transactions. A treasurer’s other responsibilities include keeping in touch with the society’s assigned auditor and keeping an eye on all amounts and debts.
4. Society manager
The society manager handles maintenance and carries out all welfare tasks. Usually, the instructions for such tasks are provided by the society secretary. Additionally, he or she manages staff and vendors and assists the management committee in overseeing the properties.
5. Security manager
The security officer or security manager is the person who oversees all the security arrangements. One of the main duties of a security manager is to maintain track of all the vendors and staff as well as provide instruction to the security guards. Security officers also keep an eye on CCTV cameras and manage other security tools.
6. Executive committee
The management committee also consists of executive committee members who assist in carrying out day-to-day operations and implementing welfare programs of the society.
Rules of cooperative housing society management
The members and tenants of every housing society are required to abide by the rules and regulations set forth by the management. All societies in India abide by the bylaws that the State Government has put in place and which form the framework for an orderly management system. The bylaws are adaptable and may occasionally be changed. A few common rules and regulations are:
- As a resident of a cooperative housing society, one has the right to speak with the management team and request access to the account book. The committee cannot withhold the annual financial sheet from the public as per the law.
- Each member (both owners and renters) is responsible for maintaining the cleanliness of the area around his or her flat.
- Every member is allowed to renovate or modify his/her apartment; however, there should be prior approval taken from the committee.
- Members must also permit the secretary and committee members to check and inspect the housing unit to make any necessary repairs or work to be done at the society’s expense.
- The society management has the right to reject membership if a background check reveals that a particular person has a criminal record. However, the committee does not have the right to refuse anyone based on gender, race, nationality, caste or religion.
Cooperative housing society management is quite a challenging task with so many aspects and issues to look into on a daily basis. However, with advanced technology, nowadays, there are various tools and platforms like MyGate, which have made housing society management relatively easy and less time-consuming.