Section 125.1499b - Mutual housing association; requirementsA mutual housing association shall meet all of the following requirements:
(a) At least 75% of its voting members or shareholders shall be residents of housing owned or operated by it.(b) A major purpose of the mutual housing association shall be to provide high quality, long-term housing to low and moderate income persons who have no equity or ownership interest in the housing except through membership in the mutual housing association, and who shall have the following rights:(i) A right to become a member of the mutual housing association.(ii) A right to participate in the ongoing operation and management of the housing.(iii) A right to continue to reside in the housing for as long as the member complies with the terms of the occupancy agreement and rules and regulations of the mutual housing association, and meets any health requirements that the mutual housing association establishes as a condition of continued occupancy.(c) Any profit or surplus earned by the mutual housing association is used, as determined by its board of directors, for 1 or more of the following purposes:(i) To establish reserves.(iii) To make physical improvements to the housing.(iv) To develop or acquire new affordable housing.Add. 1989, Act 220, Imd. Eff. 12/11/1989.