17B:27A-25.5. Bylaws, contents
5.The board shall adopt by-laws for the operation of the purchasing alliance, which shall be effective upon ratification by a two-thirds majority of the members. The by-laws shall include, but not be limited to:
a.The establishment of procedures for the organization and administration of the alliance.
b.Procedures for the qualifications and admission of the members of the alliance. The bases for denial of membership shall include, but not be limited to:
(1)Performance of an act or practice that constitutes fraud or intentional misrepresentation of material fact;
(2)Previous denial of membership in the alliance; or
(3)Previous expulsion from the alliance.
c.Procedures for the withdrawal of members from the alliance.
d.Procedures for the expulsion of members from the alliance. The bases for expulsion shall include, but not be limited to:
(1)Failure to pay membership or other fees required by the purchasing alliance;
(2)Failure to pay premiums in accordance with the terms of the health benefits plan or the terms of the joint contract; or
(3)Performance of an act or practice that constitutes fraud or intentional misrepresentation of material fact.
e.Procedures for the termination of the alliance.
L.2001,c.225,s.5.
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Last modified: October 11, 2016