102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB2470
 
Introduced 2/19/2021, by Rep. Deanne M. Mazzochi
 
SYNOPSIS AS INTRODUCED:
 

 
765 ILCS 705/17 new

     Amends the Landlord and Tenant Act. Provides that if a tenant has failed to comply with the payment terms of the lease for a period of 30 days, and no eviction proceedings can be commenced, performed, or completed because of obligations imposed by a State, county, or local public health order, the lessor has an immediate cause of action against the unit of State, county, or local government that issued the order or ordinance for instituting a taking of private property for a public purpose, impairment of property, and diminution. Provides that a landlord may perfect his or her right to recover by filing documentation with the unit of government as specified. Provides that if payment of lost rent as a consequence of the order or ordinance is not made within 30 days of providing notice, from that day forward, the lessor shall have against the unit of government an automatic lien, or right of setoff, at the lessor's option, as follows: (A) For an order imposed by the State, a tax credit against income to the State of an amount equal to 85% of residential or 65% of commercial rental income lost as a consequence of the public health order. (B) For an order imposed by a county or unit of local government, a tax credit against property tax levies equal to 85% of residential or 65% of commercial rental income lost as a consequence of the public health order or ordinance. Allows the unit of government to recoup any lost revenue from the nonpaying tenant under certain circumstances. Includes applicability language.
  


LRB102 14751 LNS 20104 b

 
 
A BILL FOR
 

  
HB2470LRB102 14751 LNS 20104 b


  
1    AN ACT concerning civil law.
  
 
2    Be it enacted by the People of the State of Illinois,
 
3represented in the General Assembly:
  
 
 
4    Section 5. The Landlord and Tenant Act is amended  by 
5adding Section 17 as follows:
 
6    (765 ILCS 705/17 new)
7    Sec. 17. Eviction moratorium; public taking.
8    (a) Notwithstanding any other provisions of law, if a 
9residential tenant has failed to comply with the payment terms 
10of his or her lease for a period of 30 days, and no eviction 
11proceedings can be commenced, performed, or completed because 
12of obligations imposed by a State, county, or local public 
13health order or ordinance, the lessor has an immediate cause 
14of action against the unit of State, county, or local 
15government that issued the order or ordinance for instituting 
16a taking of private property for a public purpose, impairment 
17of property, and diminution.
18        (1) To perfect the claim, the lessor shall provide a 
19    copy of the lease, calculation of rental income lost, and 
20    projected rental income lost for the upcoming quarter as 
21    follows:
22            (A)  For an order imposed by the State, a copy of 
23        the lease for the unit to the Attorney General and the 
 
 
HB2470- 2 -LRB102 14751 LNS 20104 b

1        Department of Revenue.
2            (B)  For an order imposed by  a unit of county or 
3        township government, to the office of the State's 
4        Attorney office encompassing that county or township.
5            (C)  For an order imposed by a municipal 
6        government, to the mayor or village president.
7        (2) If payment of lost rent as a consequence of the 
8    order or ordinance is not made within 30 days of providing 
9    notice, from that day forward, the lessor shall have 
10    against the unit of government an automatic lien, or right 
11    of setoff, at the lessor's option, as follows:
12            (A) For an order imposed by the State, a tax credit 
13        against income to the State of an amount equal to 85% 
14        of rental income lost as a consequence of the public 
15        health order.
16            (B) For an order imposed by a county or unit of 
17        local government, a tax credit against property tax 
18        levies equal to 85% of rental income lost as a 
19        consequence of the public health order or ordinance.
20    (b) Notwithstanding any other provisions of law, if a 
21commercial tenant has failed to comply with the payment terms 
22of his or her lease for a period of 30 days, and no eviction 
23proceedings can be commenced, performed, or completed because 
24of obligations associated with COVID-19 imposed by a State, 
25county, or local unit of government, the lessor has an 
26immediate cause of action against the unit of State, county, 
 
 
HB2470- 3 -LRB102 14751 LNS 20104 b

1or local government that issued the order or ordinance for 
2instituting a taking of private property for public purpose, 
3impairment of property, and diminution.
4        (1) To perfect the claim, the lessor shall provide a 
5    copy of the lease, calculation of rental income lost, and 
6    projected rental income lost for the upcoming quarter, as 
7    follows:
8            (A)  For an order imposed by the State, a copy of 
9        the lease for the unit to the Attorney General and the 
10        Department of Revenue.
11            (B)  For an order imposed by  a unit of county or 
12        township government, to the office of the State's 
13        Attorney office encompassing that county or township.
14            (C)  For an order imposed by a municipal 
15        government, to the mayor or village president.
16        (2) If payment of lost rent as a consequence of the 
17    order or ordinance is not completed by the unit of 
18    government within 30 days of providing notice, from that 
19    day forward, the lessor shall have against the unit of 
20    government an automatic lien, or right of setoff, at 
21    lessor's option, as follows:
22            (A) For an order imposed by the State, a tax credit 
23        against income to the State of an amount equal to 65% 
24        of rental income lost as a consequence of the public 
25        health order.
26            (B) For an order imposed by a county or unit of 
 
 
HB2470- 4 -LRB102 14751 LNS 20104 b

1        local government, a tax credit against property tax 
2        levies equal to 65% of rental income lost as a 
3        consequence of the public health order or ordinance.
4    (c) If the State or a unit of local government makes 
5payment to a lessor under this Section, it has a right of 
6subrogation against the lessee to recover from the lessee the 
7amounts of rental income the State or unit of local government 
8had to pay, or provide setoff amounts for, if the State or unit 
9of local government proves, by a preponderance of the 
10evidence, that the lessee had the financial ability to pay 
11rent at the time it was due. This claim shall be filed within 2 
12years from the date of last payment to the lessor. If the 
13lessee does not contest at the time of filing the rental 
14amounts due and lessee's ability to pay, the amounts claimed 
15shall be reduced by 25%. If the lessee vacates the premises 
16before more than 90 days of unpaid rent accrues, or can 
17establish that the lessee's ability to pay rental amounts owed 
18was caused in whole or in part by public health orders or 
19ordinances of the State or unit of local government, no amount 
20shall be due to the State or unit of local government.
21    (d) This Section applies only to local government orders 
22or ordinances leading to nonpayment of rent taking effect 
23after the effective date of this amendatory Act of the 102nd 
24General Assembly, or March 31, 2021, whichever is earlier. 
25This Section applies to any State order or law resulting in the 
26nonpayment of rent taking effect on or after March 1, 2020.