Curation Team
PUNE: State govt plans to notify a new set of draft rules for cooperative housing societies in two weeks, cooperation department officials confirmed on Monday.
The proposed changes aim to reduce conflict, simplify redevelopment, and bring more transparency to society operations across the state, said officials.
A key feature of the draft is the reduction in interest on maintenance dues from 21% to 12%, which residents say is long overdue. The rules also pave the way for hybrid AGMs and mandatory video recording of redevelopment meetings, as well as permit societies to raise redevelopment loans up to the land’s assessed value, allowing for greater autonomy in self-redevelopment.
Kiran Sonawane, deputy registrar of cooperative housing societies and one of the lead drafters of the rules, said, “The draft received a positive response and is likely to be cleared within two weeks. The law and judiciary department will clear it.”
He added, “Penalties should be a deterrent — not a source of income for societies. Besides reducing the interest rate from 21% to 12%, we’ve included key reforms like hybrid AGMs for redevelopment and giving societies the freedom to raise funds based on their land’s potential.”
In Pune, where thousands of cooperative societies operate, residents have expressed relief at the proposed interest rate cap. “This 21% penalty was almost predatory, especially for older residents like me living on pensions,” said Anjali Deshmukh, a retired teacher from Kothrud, adding, “The proposed 12% cap is a sensible and fair solution.”
Ravi Mehta, a Baner resident, said the move would ease financial pressure on middle-class families. “Even a brief delay in payments could spiral into a major burden. This change shows that govt understands our realities.”
Pooja Kulkarni, a single mother from Wakad, said, “I’ve lived with the anxiety of mounting dues. Now, a lower interest rate gives me a chance to catch up without being penalised harshly.”
The rules also include formal recognition of commercial establishments within societies as “premises societies”, ensuring their rightful inclusion during redevelopment. A new category of provisional members has been introduced, allowing nominees to participate in society affairs, including voting, until legal title is transferred.
Sonawane noted that many of these measures were earlier part of society by-laws but are now being given legal sanctity. “Once notified, societies will be required to amend their by-laws accordingly,” he said, adding, “The aim is to reduce ambiguity, minimise govt intervention, and empower societies to function more independently.”
Advocate Shreeprasad Parab, expert director of the Maharashtra State Cooperative Housing Federation, told TOI that the newly proposed amendments to the Maharashtra Cooperative Societies (MCS) Rules, 1961, are the result of comprehensive consultations steered by the commissioner for cooperation in collaboration with the directors of the federation. “These deliberations, enriched by extensive feedback from stakeholders across the state, have culminated in a forward-looking legislative proposal designed to address critical gaps,” he said.
With over 1.25 lakh cooperative housing societies and more than two crore members in Maharashtra — 70% of them located in the Pune and Mumbai Metropolitan Region collectively — the new rules are expected to bring sweeping changes in how housing societies function, added housing federation officials who have helped in drafting the rules.
The draft rules also propose:
Allowing societies to raise loans up to 10 times the govt-assessed land value for self-redevelopment
Enabling hybrid AGMs, with a quorum of either 20 members or two-thirds of the total strength, whichever is lower
Permitting reconvened AGMs without quorum if the original meeting is dissolved due to lack of attendance
Mandatory video recording of redevelopment-related meetings
Equal division of common service charges, with water charges based on the number of taps per flat
Annual collection of sinking fund (minimum 0.25%) and repair and maintenance fund (minimum 0.75%), based on construction cost
