499A.104  Sweat equity housing cooperative association.
  1.  The local housing authority may form one or more sweat equity housing cooperative associations under this chapter. A sweat equity housing cooperative association shall operate as a multiple housing cooperative association under subchapter I, except as specifically provided otherwise under this subchapter.
  2.  A sweat equity housing cooperative association shall meet the following additional conditions:
  a.  A sweat equity partners’ committee shall be established, with each partner entitled to one vote on the committee.
  b.  The sweat equity committee shall hold twenty-five percent of the stock of the association upon incorporation of the association.
  c.  An advisory committee shall be established, made up of equity investors, skill contributors, and other community representatives including, but not limited to:
  (1)  Tradesperson volunteers.
  (2)  Community college trade representatives and business educators.
  (3)  Financial and legal advisors to association management.
  d.  The advisory committee shall hold seventy-five percent of the stock of the association upon incorporation of the association.
  3.  The association shall be controlled by the board of directors, with representation of partners and advisors on the board proportional to each group’s equity interest at the time of the last election of directors to the board.
  4.  An association shall do all of the following:
  a.  Acquire existing housing or small business building stock in need of rehabilitation.
  b.  Establish a rehabilitation plan, which shall include, but not be limited to, all of the following elements:
  (1)  Statement of purpose.
  (2)  Financial plan.
  (3)  Construction timetable.
  (4)  Materials schedule.
  (5)  Construction training program schedule for partners. If a contract is executed with a person to perform skilled labor or to supervise skilled work, the person must be certified by an organization recognized as representing a membership of persons with common skills.
  (6)  Financial and managerial training program for partners.
  (7)  Bylaws of the association.
  (8)  A contract between the partners and advisors including the terms of transfer of stock from the advisory committee to the partners’ committee.
  c.  Establish a program to ensure that partners are equipped with skills necessary for full participation in society.
  d.  Encourage participation by partners in the activities of the community.
90 Acts, ch 1120, §4; 2001 Acts, ch 61, §17