Confusion over the difference between the corporate Bylaws, Community Rules and Policies & Procedures often exists among cooperative Boards of Directors, as well as Members. In order to effectively manage all phases of ROC business, it is important to understand the distinction between the three.

Bylaws are the supreme governing document of the organization and tell you what is required to make the corporation work. Bylaws outline the fundamental  principles of the cooperative and govern the internal management of the  organization. Bylaws may only be changed through a vote of the Membership.
 

Community Rules are the established written guidelines for behavior of Members and residents while residing in the community. Failure of Members to follow Community Rules may be grounds for eviction. Note that Community Rules are governed by RCW 59.20, and as such, it is important to have all Community Rules amendments reviewed by an attorney, prior to implementing them.

Policies and Procedures are written guidelines that the Board of Directors and Members follow to manage the day-to-day operations of the cooperative. It is important to note that policies and procedures do not set up fines or fees, which may only be set by the Membership, usually as part of the Community Rules, Occupancy Agreement or Bylaws. Policies and Procedures are established, approved and amended by the Board of Directors.

Why have policies and procedures?
❒ So that everyone knows what is required and expected of them;
❒ To provide clarity and guidelines for conducting business;
❒ To ensure that Community Rules are enforced equally and fairly;
❒ To ensure that local, federal and state regulations are followed regarding ADA, Fair Housing, Fair Credit, etc.
 

Policies, Procedures & Consequences must:
❒ Be established and approved by the Board
❒ Be in writing
❒ Available to the Membership
 

If Members disagree with a policy or procedure established by the Board, they may request to be put on the agenda of a Board Meeting for consideration.

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