Illinois
LEGISLATIVE ACTION COMMITTEE 2022 Year-end Legislative Update By ILAC Co-Chairs Brian Butler and Kris Kasten
In 2022, we saw numerous bills introduced in the Illinois General Assembly affecting community associations and the community association industry (i.e., those that provide goods and services to community associations). A few of those bills passed out of the General Assembly and became public acts when signed into law by the Governor. Those public acts, which are described in more detail below, made some changes to the statutes that affect community associations and the community association industry.
At the time this article is published, the fall veto session will be over. However, when written, the veto session had not occurred. Although ILAC does not expect any significant legislation affecting community associations or the community association industry to be introduced or to move during the fall veto session, one can never be certain about the mysterious working of Springfield. ILAC will actively monitor the veto session. If anything does happen, be on the lookout for updates in early 2023.
Public Act 102-0970 (HB 5167)
As introduced, HB5167 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.
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 within 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 within 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.
44 | COMMON INTEREST®
HB5167 was signed into law as Public Act 102-0970 and, with respect to changes to the CAM Act, became effective May 27, 2022.
ILAC worked closely with IDFPR on drafting the language amending the CAM Act and supported the bill.
Public Act 102-0976 (HB 5246)
As introduced, HB5246 amended Section 22.1 of the Condominium Property Act to reduce the time an association must 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 providing an association ten business days to respond to a Section 22.1 request and that the fee charged by an association cannot exceed $375.
HB5246 was signed into law as Public Act 102-0976 and will become effective January 1, 2023.
The bill, in the form passed by both Houses, was the result of much discussion between ILAC and the bill sponsors.
• Winter 2022 • A Publication of CAI-Illinois Chapter
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