1. Levy of Service Charges - Recovered Equally from Each Member

The service charges of the society referred to in sub-rule (1), above shall include the namely :— 

 (a) Salaries of the office staff, lift men, watchmen, mali’s, and any other employees of the society ; 

(b) Where the society has an independent office, the property taxes, electricity charges, water charges, etc., for the same ; 

(c) Printing, stationery and postage ;

(d) Travelling allowance and conveyance charges to the staff and the members of the committee of the society ; 

(e) Sitting fees paid to the members of the committee of the society ; 

(f) Annual subscription of the housing federation and any other cooperative institution to which the society is affiliated ; 

(g) Entrance fees for affiliation to the housing federation and any other cooperative institution; 

(h) Audit fees for internal, statutory, re-audit, and test audit, if any ; 

(i) Expenses incurred at meetings of the general body, the committee, and the subcommittees, if any ; 

(j) Retainer fees, legal charges and territory enquiry fees ; 

(k) Common electricity charges.

2. Rationalisation of Water Charges

Water charges are now linked to the number of taps or water connections available within individual units as per approved Plan. 

3. Restriction on Non-Occupancy Charges

The Rules continue the policy of restricting societies from imposing excessive non-occupancy charges. Such charges may not exceed 10% of the service charges payable by the member.

This amendment protects property owners who lease or licence their premises while ensuring societies recover only reasonable administrative costs.

4. Reduction in Interest on Delayed Payments

The ceiling on interest recoverable for delayed maintenance payments has been substantially reduced from 21% per annum to 12% per annum. The amendment reflects the principle that recovery mechanisms should remain compensatory rather than punitive.

Societies should amend their bye-laws and maintenance demand notices accordingly.

5. Democratic Allocation of Parking Spaces

Parking allocation has often generated significant litigation before Co-operative Courts and Consumer Forums. The amended Rules clarify that parking allotment should be determined by the General Body, thereby reinforcing collective decision-making and reducing arbitrary allocation by managing committees.

6. Financial Controls on Annual Maintenance Expenditure

For the first time, expenditure ceilings have been prescribed based on the size of the society. These thresholds introduce stronger fiscal discipline and ensure that significant expenditure remains subject