Bill > SB927

This bill establishes a framework for converting Maryland nonstock corporations into Cooperative Limited Equity Housing Corporations, which are nonprofit organizations that provide affordable housing for low-income households. The bill outlines a detailed process for conversion, including requirements for voting, notification, and documentation. Key provisions include requiring an affirmative vote of at least two-thirds of total members to convert, mandating that cooperative interests can only be sold to low-income households, and limiting the appreciation and resale of cooperative interests to the initial cost plus inflation and approved improvements. The bill also provides protections for existing residents, such as requiring the cooperative to offer membership to current households and providing reimbursement for moving expenses (between $375 and $751) for low-income households that must vacate. Additionally, the bill gives special consideration to disabled persons and senior citizens, allowing them to remain in their units for up to 12 months after receiving a notice to vacate if they meet certain criteria. The legislation aims to create a structured pathway for transforming residential rental facilities into cooperative housing models that prioritize affordability and community ownership.

Justice, Transportation and Infrastructure

https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/SB0927?ys=2025RS