Minnesota Cooperative Housing Act Summary

• Creates a new Minnesota Statutes chapter 308C to establish a comprehensive legal framework for cooperative housing organizations providing residential dwelling units to member-owners on a nonprofit cooperative basis.

• Requires cooperatives to have articles of incorporation, bylaws, board of directors with at least three members, and annual member meetings; establishes governance procedures including voting rights, election of directors, and member inspection of records.

• Defines membership interests as personal property combining a membership certificate and occupancy agreement rights; prohibits proxy voting and establishes one vote per membership regardless of multiple owners.

• Permits cooperatives to operate as limited equity cooperatives that restrict appreciation and transfer values of membership interests; allows developers temporary control of the board that terminates at first annual meeting after certificate of occupancy.

• Establishes procedures for dissolution, including voluntary dissolution by member vote, court-supervised dissolution, and asset distribution; provides lien rights for unpaid assessments with 90-day notice before foreclosure.