End of
LEGISLATIVE SESSION By ILAC Co-Chairs Brian Butler and Kris Kasten
On April 9, 2022, the Illinois General Assembly adjourned until the fall veto session. Five bills affecting community associations and community association managers passed both Houses during the Spring legislative session. The General Assembly has 30 days after the date the bill passes both Houses to send it to the Governor. The Governor then has 60 days to sign the bill into law or veto the bill (including an “amendatory veto” or “item veto”). If the Governor does nothing during that 60-day period, then the bill becomes law.
ILAC, through the tireless efforts of its phenomenal lobbyist Jeff Dixon and ILAC’s dedicated volunteer members, successfully amended several of the bills with language drafted by the ILAC team and worked with the sponsors to pass the bills through both Houses of the General Assembly. ILAC participated in numerous Zoom meetings and conference calls with legislators, their staff, and other stakeholders. ILAC also hosted two separate virtual meetings (via Zoom) with Senate and House members to educate them about the community association industry and to discuss key bills pending before the Illinois legislature. In addition, ILAC members, along with Jeff Dixon testified before House and Senate committees on important bills that affect community associations and their service providers.
The bills that have passed both Houses and are expected to go to the Governor are as follows:
HB 4158 HB 4158 was introduced by Representative Margaret Croke. As introduced, the bill amended the Common Interest Community Association Act (Section 1-30) and the Condominium Property Act (Section 19). The bill clarifies that if an association obtains a reserve study, that reserve study is part of the association’s books and records, and therefore, owners have a right to examine and copy that reserve study. The bill does not mandate that an association obtain a reserve study. Assuming it becomes law, the bill will become effective upon becoming law.
The bill was amended in the Senate by Senator Sara Feigenholtz. That amendment did not change any of the bill as it was introduced. Instead, the amendment made changes to the Common Interest Community Association Act, the Condominium Property Act, and the Condominium and Common Interest Community Ombudsperson Act (“Ombudsperson Act”) to extend the repeal date of the Ombudsperson Act to January 1, 2024, which was set to be repealed on July 1, 2022.
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ILAC worked with Representative Croke and Senator Feigenholtz and supported the bill.
HB 5167
HB 5167 was introduced by Representative Kathleen Willis. As introduced, the bill amended numerous statutes involving areas over which the Illinois Department of Financial and Professional Regulation (“IDFPR”) has regulatory authority. One of those statutes is the Community Association Manager Licensing and Disciplinary Act (“CAM Act”). The bill was amended in the House, which amendment made changes to the language amending the CAM Act. Assuming it becomes law, the bill will become effective upon becoming law with respect to changes to the CAM Act.
The bill makes changes to Sections 10, 25, 55, 60, and 65 of the CAM Act. Some of those changes were non-substantive. For example, replacing “his or her” with “the” or replacing “his or her” with “the broker’s”. The substantive changes include: (a) providing the members of the Community Association Manager Licensing and Disciplinary Board immunity from a lawsuit involving disciplinary proceedings; (b) requiring community association managers to provide associations with a copy of a certificate of fidelity insurance withing 10 days after a request for such certificate when the fidelity insurance is not secured and paid for by the association; (c) requiring community association managers to provide associations with a copy of a certificate of general liability and errors and omissions insurance withing 10 days after a request for such certificate when the fidelity insurance is not secured and paid for by the association; and (d) eliminating the Community Association Manager and Licensing and Disciplinary Fund and directing licensing fees and other money received by IDFPR under the CAM Act go to the Division of Real Estate General Fund.
ILAC worked closely with IDFPR on drafting the language amending the CAM Act and supported the bill.
HB 5246 HB 5246 was introduced by Representative Keith Wheeler. As introduced, the bill amended Section 22.1 of the Condominium Property Act to reduce the time an association has to respond to a request under Section 22.1 and imposed a cap on the fee that an association may charge for providing the information enumerated in Section 22.1. The bill was amended in the House, which amendment reflects negotiated language providing for more reasonable changes. Assuming it becomes law, the bill will become effective January 1, 2023.
• Summer 2022 • A Publication of CAI-Illinois Chapter
Update (Spring 2022)
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