How the maintenance charge should be fixed for the members of the society depends on the bye-laws of each society itself. It has to be decided by the society itself. There can basically be three types of methods:
- Per Square Feet charge: In this method, each flat owner pays maintenance on the basis of per square feet. So, an owner having flat with larger area will pay more. This method may not be acceptable to owners of larger apartments since there are many facilities which are used equally by all residents such as Lifts, Gardens, etc., irrespective of the flat size.
- Equal maintenance charge: In this method, each flat owner pays the same maintenance charge irrespective of the flat size. This method may be unfair to small flat owners if the sizes of the flats in the society vary drastically.
- Hybrid method: In this method, certain charges are to paid equally (for example, lift, garden or other common facilities which are equally enjoyed by everyone irrespective of the flat size) while certain other charges are paid on the basis of per square feet basis. This may be a better alternative since it is a middle path and perhaps more equitable.
It is pertinent to point out that Maharashtra is one of those rare states which has model bye-laws for housing societies. These model bye-laws are not binding but they may be adapted by societies with their own modifications as deemed fit by them. For example, see these model bye-laws. See Bye-law No. 70(a) where it is shown how the maintenance charges or service charges from society members may be calculated under various heads to ensure an equitable contribution by all members. You may notice that some of these heads charge equal fee from all members while some other heads are based on cost basis (i.e., per square feet basis). For example, when it is mentioned “minimum of 0.75 percent per annum of the construction cost of each flat”, it implies charges based on per square feet basis, since if the flats are of different sizes then their cost would also be different. Therefore, these model bye-laws offer a hybrid method.
All said and done, as I mentioned above, it is ultimately up to the society to decide (in a democratic manner) how and on what basis the maintenance charges are to be collected: whether equal for all flats, or on per square feet basis, or on hybrid basis. Generally speaking, the laws do not lay down a hard and fast rule. You have to decide on your own. If your society members are not agreeable on a common formula, the better course would be to have a hybrid method, i.e., have a breakdown of various expenses / charges and some of the charges which are enjoyed equally by all should be equal, while certain other charges may be per square feet basis, and then a total may be arrived at for each flat on the basis of such formula.
Dr. Ashok Dhamija is a New Delhi based Supreme Court Advocate and author of law books. Read more about him by clicking here. List of his Forum Replies. List of his other articles. List of his Quora Answers. List of his YouTube Videos.
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