Bills Affecting Community Associations in the 101st General Assembly Introduced in 2019
BY – PATRICK T. COSTELLO
This document provides a general synopsis of various bills that affect community associations. This list is by no means complete. Further, the information contained herein can change throughout the legislative process. Bills can be amended, and language originally proposed can be deleted. In order to assure you have the most accurate information about any given bill, please go to www.ilga.gov and review not only the synopsis but the actual language of the bill and any relevant amendments. This information is provided as March 5, 2019.
HB 29 (Rep. Thapedi) LIMITATION ON UNITS OF LOCAL GOVERNMENT. This bill amends both the Common Interest Community Association Act and the Illinois Condominium Property Act to create two new sections 1-95 and 18.11, respectively. The bill would prohibit any local government unit, including a home rule unit, from regulating any actions inconsistent with the provision of P.A. 100-292 (formerly HB189) which passed into law in 2017. Effectively municipal governments would be prohibited from passing an ordinance “inconsistent” with the changes in P.A. 100-292 to the Condo Act and CICAA. On February 1, 2019 this bill passed Judiciary - Civil Committee in the House and was moved to a vote of the full House.
HB50 (Rep. Thapedi) WRITTEN CONTRACT REQUIREMENTS FOR ASSOCIATIONS. This bill amends Section 18.7 “Standards for community association managers” of the Illinois Condominium Property Act. The bill creates a new Section (h) of 18.7 and applies to all “community associations” as defined in Section 18.7 (a). The bill provides that contracts entered into by a community association for maintenance or management are only enforceable if: services are specified; reimbursable costs are specified; minimum number of personnel is specified; developer’s financial interest (if any) in the contracting party is disclosed; and a board member’s financial interest (if any) is disclosed. Additionally, the bill provides that if any such contracting party fails to provide the specified services the association can obtain those services from another party and collect any fees or charges paid for such service. The bill states that the specifications are not required for certain vendors. Further, the bill provides that a contracting party may not purchase a unit at a foreclosure sale. Finally, the bill states that if 50% of more of the units are owned by the party providing contracting services, the remaining unit owners (by majority vote) can cancel the contract. On January 29, 2019 this bill was assigned to Judiciary - Civil Committee in the House.
http://www.ilga.gov/legislation/billstatus.asp?DocNum=50&GAID=15&GA=101&DocTypeID=HB&LegID=113856&SessionID=108HB 1466 (Rep. Harris) AMENDING TAX PERCENTAGES FOR CONDOMINIUMS. This bill creates a new Section 10 (d) of the Illinois Condominium Property Act. The bill would authorize the Board of Directors to reallocate the percentages of ownership in a condominium association, solely for the purposes of real estate taxes, based upon the square footage of each individual unit. The authorization could come from either two-thirds of the Board of Directors or a majority of the unit owners. The bill allows an association’s governing documents to set a higher voting threshold. Finally, the bill provides that the reallocation for taxes shall not otherwise change of affect percentage of ownership for purposes of assessments, special assessments or voting rights. On February 28, 2019 this bill was assigned to the Property Tax Subcommittee of the Revenue & Finance Committee in the House.
HB 2260 (Rep. Feigenholtz) STAFFING FOR OMBUDSPERSON. This bill amends Section 20 of the Condominium and Common Interest Community Ombudsperson Act to provide that, subject to appropriations, the Ombudsperson can hire a staff member. On February 19, 2019 this bill was assigned to State Government Administration Committee in the House.
http://www.ilga.gov/legislation/BillStatus.asp?DocNum=2260&GAID=15&DocTypeID=HB&LegID=118066&SessionID=108&GA=101&SpecSess=0
HB 2598 (Rep. Durkin) PROPERTY MANAGER INSURANCE. This bill amends Section 12 of the Illinois Condominium Property Act to add a new subsection (m). The bill provides that if the property manager maintains insurance for a property in the name of the management company, the manager has an obligation to provide the condominium owners with 90 days’ notice prior to termination of the insurance coverage. If the manager fails to comply with this provision the manager is liable for claims on the building and guilty of a class B misdemeanor. On February 26, 2019 this bill was assigned to Judiciary – Civil Committee in the House.
http://www.ilga.gov/legislation/billstatus.asp?DocNum=2598&GAID=15&GA=101&DocTypeID=HB&LegID=118731&SessionID=108
HB 2721 (Rep. Gong-Gershowitz) RESEVRE STUDIES TO BE INCLUDED WITH RESALE DOCUMENTS. The bill amends Sections 18.5 (g) (4) and 22.1 of the Illinois Condominium Property Act and Section 1-35 (d) (4) of the Common Interest Community Association Act. The bill has the same language added to all three sections. The bill would require, in the event of a resale of a unit or home, from someone other than the developer, upon demand a prospective buyer can request and inspect a copy of the most recent reserve study, or provide a statement that the association has not obtained a study in the past seven (7) years. This provision would only apply to associations with 30 unit or more. On February 26, 2019 this bill was assigned to Judiciary – Civil Committee in the House.
http://www.ilga.gov/legislation/billstatus.asp?DocNum=2721&GAID=15&GA=101&DocTypeID=HB&LegID=118955&SessionID=108
HB 2844 (Rep. Wheeler) CAP ON FEES FOR CONDOMINIUM RESALE DOCUMENTS. The bill amends Section 22.1 of the Illinois Condominium Property Act. This bill amends Section 22.1 (b) and the final unnumbered paragraph of Section 22.1. The bill provides that the “reasonable fee” for providing the documents under this section cannot exceed $100.00. Additionally, the bill reduces the number of days the association has to furnish the information from 30 days to 5 business days. On February 26, 2019 this bill was assigned to Judiciary – Civil Committee in the House.
http://www.ilga.gov/legislation/billstatus.asp?DocNum=2844&GAID=15&GA=101&DocTypeID=HB&LegID=119138&SessionID=108
HB 2919 (Rep. Zalewski) RESTRICTIONS ON SHORT TERM RENTAL ORDINANCES. The bill creates the Short-Term Rental Act. The new Act would prohibit local governments from enforcing or enacting regulations which prohibit short-term rentals, restrict short term rental or regulate short-term rental. The new Act would permit local government regulations only if: (a) the regulation was necessary for safety; (b) were related to certain crimes or commercial purposes; or (c) applies the same tax rate as other lodging. Additionally the new Act would require the short-term platforms to “apply, calculate, collect and remit” any taxes imposed on the owner of the short-term rental. On February 26, 2019 this bill was assigned to Executive Committee in the House.http://www.ilga.gov/legislation/billstatus.asp?DocNum=2919&GAID=15&GA=101&DocTypeID=HB&LegID=119231&SessionID=108
HB 3416 (Rep. Andrade) This bill amends Section 18 (a) of the Illinois Condominium Property Act. It creates a new Section 18(a)(16.1) which provides that certain disclosures must be given to the Board concerning “commission” and makes such information available to the owners. On March 5, 2019 this bill was assigned to Judiciary – Civil Committee in the House.http://www.ilga.gov/legislation/billstatus.asp?DocNum=3416&GAID=15&GA=101&DocTypeID=HB&LegID=120008&SessionID=108
HB 3601 (Rep. Yingling) This bill amends section 1-5 and 1-45 of the Common Interest Community Association Act. The bill includes a definition of a “retirement community” as a community for occupancy of persons 55 or older with at least 80% of the units occupied by at least one person over 55. The bill then provides that real estate taxes within a retirement community on a unit shall be paid by the unit owner and not be included as part of the owner’s assessments. Additionally, the bill provides that a community association must provide a detailed breakdown of all costs in an assessment including a breakdown of real estate taxes being paid. On March 5, 2019 this bill was assigned to Revenue & Finance Committee in the House.http://www.ilga.gov/legislation/billstatus.asp?DocNum=3601&GAID=15&GA=101&DocTypeID=HB&LegID=120288&SessionID=108
HB 3671 (Rep. Thapedi) This bill creates the Assistance and Service Animal Integrity Act. The bill provides certain instructions and protection for landlords in dealing with requests for service and assistance animals. The bill references the Fair Housing Act and housing providers, which may include associations. The bill provides state (not federal) requirements for submission of certain verifiable information regarding disability, the animal and a requirement of certification from a medical professional. On March 5, 2019 this bill was assigned to Judiciary – Civil Committee in the House.http://www.ilga.gov/legislation/billstatus.asp?DocNum=3671&GAID=15&GA=101&DocTypeID=HB&LegID=120390&SessionID=108
SB 77 (Sen. Van Pelt) AMENDMENT TO EVICTION ACT REGARDING TENANT’S NAMES. This bill amends Section 9-102.4 of the Eviction Act “Condominiums: demand, notice, termination of lease, and eviction,” by adding a new subsection (b-1). The bill states that any tenant named in an eviction action by an association may have his or her name “permanently suppressed” by order of court. On January 23, 2019 this bill was assigned to Senate Judiciary.
SB 220 (Sen. Murphy) REQUIRED NOTICE AND HEARING BEFFORE INSTITUTING FINES. The bill amends Sections 9, 9.2, 18 and 18.4 of the Illinois Condominium Property Act. This bill imposes several pre-collection mandates on associations:
(a) The bill amends Sec. 9 (g)(1) of the Act and states that before unpaid fines becomes a statutory lien against a unit, the unit owner must be given written notice and an opportunity to be heard in accordance with Section 18.4 (l);
(b) The bill amends Section 9.2 (a) of the Act and states that before the association can avail itself of rights and remedies to collect unpaid fines, the unit owner must be given notice and an opportunity for a hearing in accordance with Section 18.4 (l);
(c) The bill creates a new Section 18 (r) of the Act and states that an association has no authority to communicate adverse information to a credit reporting agency regarding unpaid fines, unless the board first grants the owner notice and an opportunity for hearing on the fine; and
(d) The bill amends Section 18.4 (l) of the Act to clarify that the Board only has authority to issue a fine after first providing the owner with a minimum of 20 days “written” notice and an opportunity to be heard.
On February 20, 2019 this bill passed the Senate Judiciary Committee.
http://www.ilga.gov/legislation/billstatus.asp?DocNum=220&GAID=15&GA=101&DocTypeID=SB&LegID=116106&SessionID=108IN ORDER TO DETERMINE THE MOST UP-TO-DATE INFORMATION ON ANY PENDING LEGISLATION PLEASE FOLLOW THE ASSOCIATED LINKS. LEGISLATION CAN BE AMENDED OR MODIFIED AT ANY TIME PRIOR TO PASSAGE. FURTHER NEW LEGISLATION MAY BE INTRODUCED.