Tenant management organisations (TMOs) are organisations set up under United Kingdom law which allow residents of council housing or housing association homes in the UK to take over responsibility for the running of their homes.
A TMO is created when residents, tenants and leaseholders, in a defined area of council or housing association homes create a corporate body and, typically, elect a management committee to run the body. This body then enters into a formal legal contract with the landlord of the home, known as the management agreement.
The management agreement details precisely which services are managed by the TMO on behalf of the landlord. The extent of the devolution in service can vary enormously, particularly between small and large TMOs, but may typically include day-to-day repairs, allocations and lettings, tenancy management, cleaning and caretaking, and rent collection. The TMO’s operations are mainly funded by the management fees payable by the landlord under the agreement.
The TMO can take a number of legal forms. Registered TMOs may be a co-operative, or set up under corporate law.
TMOs have a track record of delivering better resident services than councils. Some ‘guide TMOs’ provide support to community groups interested in the concept (Friday Hill TMO and Millbank Estate TMO are two examples in London). The work of a TMO may touch and overlap with that of an Arms Length Management Organisation (ALMO).
This description and explanation of Tenant Management Organisations has been taken from Wikipedia.