CREADO Society is an old CHS with 18 members in Andheri West, Mumbai. We are shortly going to undertake Major Repairs of Rs 12 to 13 lacs for the Society. Bldg
We have different flats from one room, one BHK, 2BHK and 3BHK Flats. How are the charges for Repairs to be distributed among members and are there any guidelines in the Model Bye Laws and Maharashtra State Coop Act.
Some years back in 2014 we had charged Rs 10 per sq foot of the Carpet Area
Please tell me what are the Right and Equitable way to levy these Repair charges to members?
I C Naik
As you have not mentioned name of the State and Registration Number it is difficult to say what is the provision in your Society’s registered bye laws about contribution to major repair.
However for Normal Building Repairs a fund is to be established by members contributing not less than 3/4% of the Original Cost of the flat every month. The Members in GBM can fix higher than 3/4% also. This basis can be used to fix appropriate % of cost of flat to collect funds for major Repair Fund also.