99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
HB5812

 

Introduced , by Rep. Peter Breen

 

SYNOPSIS AS INTRODUCED:
 
765 ILCS 615/15
765 ILCS 615/20
765 ILCS 615/25
765 ILCS 615/30
765 ILCS 615/35
765 ILCS 615/40
765 ILCS 615/45
765 ILCS 615/50
765 ILCS 615/55 rep.

    Amends the Condominium and Common Interest Community Ombudsperson Act. Makes numerous technical and substantive changes in provisions concerning: definitions; the Office of the Condominium and Common Interest Community Ombudsperson; the Office's website; the written policy for receiving complaints; requests for assistance; dispute resolution; confidentiality; and reporting requirements. Repeals a Section concerning registration. Effective July 1, 2016.


LRB099 15972 HEP 40289 b

FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB5812LRB099 15972 HEP 40289 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 Condominium and Common Interest Community
5Ombudsperson Act is amended by changing Sections 15, 20, 25,
630, 35, 40, 45, and 50 as follows:
 
7    (765 ILCS 615/15)
8    (This Section may contain text from a Public Act with a
9delayed effective date)
10    (Section scheduled to be repealed on July 1, 2021)
11    Sec. 15. Definitions. As used in this Act:
12    "Association" means a condominium association or common
13interest community association as defined in this Act.
14    "Board of managers" or "board of directors" means:
15        (1) a common interest community association's board of
16    managers or board of directors, whichever is applicable; or
17        (2) a condominium association's board of managers or
18    board or directors, whichever is applicable.
19    "Common interest community" means a property governed by
20the Common Interest Community Association Act.
21    "Common interest community association" has the meaning
22ascribed to it in Section 1-5 of the Common Interest Community
23Association Act.

 

 

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1    "Condominium" means a property governed by the Condominium
2Property Act.
3    "Condominium association" means an association in which
4membership is a condition of ownership or shareholder interest
5of a unit in a condominium, cooperative, townhouse, villa, or
6other residential unit which is part of a residential
7development plan and that is authorized to impose an
8assessment, rents, or other costs that may become a lien on the
9unit or lot, and includes a unit owners' association as defined
10in subsection (o) of Section 2 of the Condominium Property Act
11or and a master association as defined in subsection (u) of
12Section 2 of the Condominium Property Act.
13    "Declaration" has the meaning ascribed to it in:
14        (1) Section 1-5 of the Common Interest Community
15    Association Act; or
16        (2) Section 2 of the Condominium Property Act.
17    "Department" means the Department of Financial and
18Professional Regulation.
19    "Director" means the Director of the Division of Real
20Estate Professional Regulation.
21    "Division" means the Division of Real Estate Professional
22Regulation within the Department of Financial and Professional
23Regulation.
24    "Office" means the Office of the Condominium and Common
25Interest Community Ombudsperson established under Section 20
26of this Act.

 

 

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1    "Ombudsperson" means the Condominium and Common Interest
2Community Ombudsperson named employed under Section 20 of this
3Act.
4    "Person" includes a natural person, firm, association,
5organization, partnership, business trust, corporation,
6limited liability company, or public entity.
7    "Secretary" means the Secretary of the Department of
8Financial and Professional Regulation.
9    "Unit" means a part of the condominium property or common
10interest community property designed and intended for any type
11of independent use.
12    "Unit owner" has the meaning ascribed to it in:
13        (1) subsection (g) of Section 2 of the Condominium
14    Property Act; or
15        (2) Section 1-5 of the Common Interest Community
16    Association Act.
17(Source: P.A. 98-1135, eff. 7-1-16.)
 
18    (765 ILCS 615/20)
19    (This Section may contain text from a Public Act with a
20delayed effective date)
21    (Section scheduled to be repealed on July 1, 2021)
22    Sec. 20. Office of the Condominium and Common Interest
23Community Ombudsperson.
24    (a) There is created in the Division of Real Estate
25Professional Regulation within the Department of Financial and

 

 

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1Professional Regulation, under the supervision and control of
2the Secretary, the Office of the Condominium and Common
3Interest Community Ombudsperson.
4    (b) The Department shall name employ an Ombudsperson and
5other persons as necessary to discharge the requirements of
6this Act. The Ombudsperson shall have the powers delegated to
7him or her by the Department, in addition to the powers set
8forth in this Act.
9    (c) Neither the Ombudsperson nor the Department shall have
10any authority to consider matters that may constitute grounds
11for charges or complaints under the Illinois Human Rights Act
12or that are properly brought before the Department of Human
13Rights or the Illinois Human Rights Commission.
14    (d) (c) Information and advice provided by the Ombudsperson
15has no binding legal effect and is not subject to the
16rulemaking provisions of the Illinois Administrative Procedure
17Act.
18(Source: P.A. 98-1135, eff. 7-1-16.)
 
19    (765 ILCS 615/25)
20    (This Section may contain text from a Public Act with a
21delayed effective date)
22    (Section scheduled to be repealed on July 1, 2021)
23    Sec. 25. Training and education. On or before July 1,
242018, the Ombudsperson shall offer training, outreach, and
25educational materials, and may arrange for the offering of

 

 

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1courses to unit owners, associations, boards of managers, and
2boards of directors in subjects relevant to: (i) the operation
3and management of condominiums and common interest
4communities; and (ii) the Condominium Property Act and the
5Common Interest Community Association Act.
6(Source: P.A. 98-1135, eff. 7-1-16.)
 
7    (765 ILCS 615/30)
8    (This Section may contain text from a Public Act with a
9delayed effective date)
10    (Section scheduled to be repealed on July 1, 2021)
11    Sec. 30. Website; toll-free number.
12    (a) The Office shall maintain on the Department's website
13the following information:
14        (1) the text of this Act, the Condominium Property Act,
15    the Common Community Interest Community Association Act,
16    and any other statute, administrative rule, or regulation
17    that the Ombudsperson determines is relevant to the
18    operation and management of a condominium association or
19    common interest community association;
20        (2) information concerning non-judicial nonjudicial
21    resolution of disputes that may arise within a condominium
22    or common interest community, including, but not limited
23    to, alternative dispute resolution programs and contacts
24    for locally-available dispute resolution programs;
25        (3) a description of the services provided by the

 

 

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1    Ombudsperson and information on how to contact the
2    Ombudsperson for assistance; and
3        (4) any other information that the Ombudsperson
4    determines is useful to unit owners, associations, boards
5    of managers, and boards of directors.
6    (b) The Office may make available during regular business
7hours a statewide toll-free telephone number to provide
8information and resources on matters relating to condominium
9property and common interest community property The Office
10shall make the information described in subsection (a) of this
11Section available in printed form.
12(Source: P.A. 98-1135, eff. 7-1-16.)
 
13    (765 ILCS 615/35)
14    (This Section may contain text from a Public Act with a
15delayed effective date)
16    (Section scheduled to be repealed on July 1, 2021)
17    Sec. 35. Written policy for resolving complaints.
18    (a) Each association, except for those outlined in
19subsection (d) Section (b) of this Section, shall adopt a
20written policy for resolving complaints made by unit owners.
21The association shall make the policy available to all unit
22owners upon request. The policy must include:
23        (1) a sample form on which a unit owner may make a
24    complaint to the association;
25        (2) a description of the process by which complaints

 

 

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1    shall be delivered to the association;
2        (3) the association's timeline and manner of making
3    final determinations in response to a unit owner's
4    complaint; and
5        (4) a requirement that the final determination made by
6    the association in response to a unit owner's complaint be:
7            (i) made in writing;
8            (ii) made within 90 days a reasonable time after
9        the association received the unit owner's original
10        complaint; and
11            (iii) marked clearly and conspicuously as "final".
12    (b) Common interest community associations exempt from the
13Common Interest Community Association Act are not required to
14have a written policy for resolving complaints.
15    (b) (c) No later than 180 days after the effective date of
16this Act, associations existing on the effective date of this
17Act, except for those identified in subsection (d) (b) of this
18Section, must establish and adopt the policy required under
19this Section.
20    (c) (d) Associations first created after the effective date
21of this Act, except for those identified in subsection (d) (b)
22of this Section, must establish and adopt the policy required
23under this Section within 180 days following creation of the
24association at the time of initial registration as required by
25Section 65 of this Act.
26    (d) Common interest community associations exempt from the

 

 

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1Common Interest Community Association Act are not required to
2have a written policy for resolving complaints as required by
3this Section.
4    (e) A unit owner may not bring a request for assistance
5under Section 40 of this Act for an association's lack of or
6inadequacy of a written policy to resolve complaints, but may
7notify the Department in writing of the association's lack of
8or inadequacy of a written policy. An association that fails to
9comply with this Section is subject to subsection (g) of
10Section 65 of this Act.
11(Source: P.A. 98-1135, eff. 7-1-16.)
 
12    (765 ILCS 615/40)
13    (This Section may contain text from a Public Act with a
14delayed effective date)
15    (Section scheduled to be repealed on July 1, 2021)
16    Sec. 40. Dispute resolution Requests for assistance.
17    (a) Beginning on July 1, 2019, the declaration or bylaws of
18a condominium association or common interest community
19association shall require mediation or arbitration of
20disputes: (1) in which the matter in controversy has either no
21specific monetary value or a value of $10,000 or less,
22excluding disputes involving the levying and collection of
23assessments; or (2) that arise out of violations of the
24declaration, bylaws, or rules and regulations of the
25condominium or common interest community association. A

 

 

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1dispute that is not required to be mediated or arbitrated by an
2association pursuant to this Section, but that is submitted to
3mediation or arbitration by agreement of the disputants, is
4also subject to this Section.
5    (b) The Uniform Arbitration Act shall govern all
6arbitration proceedings under this Section.
7    (c) The Uniform Mediation Act shall govern all mediation
8proceedings under this Section.
9    (d) The disputants shall share equally in the costs of
10mediation or arbitration.
11    (e) A unit owner shall initiate the mediation or
12arbitration process within 30 days after receiving the
13association's final adverse decision. unit owners meeting the
14requirements of this Section may make a written request, as
15outlined in subsection (f) of this Section, to the Ombudsperson
16for assistance in resolving a dispute between a unit owner and
17an association that involves a violation of the Condominium
18Property Act or the Common Interest Community Property Act.
19    (b) The Ombudsperson shall not accept requests for
20resolutions of disputes with community association managers,
21supervising community association managers, or community
22association management firms, as defined in the Community
23Association Manager Licensing and Disciplinary Act.
24    (c) The Ombudsperson shall not accept requests for
25resolutions of disputes for which there is a pending complaint
26filed in any court or administrative tribunal in any

 

 

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1jurisdiction or for which arbitration or alternative dispute
2resolution is scheduled to occur or has previously occurred.
3    (f) Prior to submitting a dispute to mediation or
4arbitration, a (d) The assistance described in subsection (a)
5of this Section is available only to unit owners. In order for
6a unit owner to receive the assistance from the Ombudsperson
7described in subsection (a) of this Section, the unit owner
8must:
9        (1) owe no outstanding assessments, fees, or funds to
10    the association, unless the assessments, fees, or funds are
11    central to the dispute;
12        (2) allege a dispute that was initiated, or initially
13    occurred, within the past 2 calendar years preceding of the
14    date of the request;
15        (3) have made a written complaint pursuant to the unit
16    owner's association's complaint policy, as outlined in
17    Section 35, which alleged alleges violations of the
18    Condominium Property Act or the Common Interest Community
19    Association Act; and
20        (4) have received a final and adverse decision from the
21    association. and attach a copy of the association's final
22    adverse decision marked "final" to the request to the
23    Ombudsperson; and
24        (5) have filed the request within 30 days after the
25    receipt of the association's final adverse decision.
26    (e) A unit owner who has not received a response, marked

 

 

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1"final", to his or her complaint from the association within a
2reasonable time may request assistance from the Ombudsperson
3pursuant to subsection (a) of this Section if the unit owner
4meets the requirements of items (1), (2), and (3) of subsection
5(d) of this Section. A unit owner may not request assistance
6from the Ombudsperson until at least 90 days after the initial
7written complaint was submitted to the association. The
8Ombudsperson may decline a unit owner's request for assistance
9on the basis that a reasonable time has not yet passed.
10    (f) The request for assistance shall be in writing, on
11forms provided by the Office, and include the following:
12        (1) the name, address, and contact information of the
13    unit owner;
14        (2) the name, address, and contact information of the
15    association;
16        (3) the applicable association governing documents
17    unless the absence of governing documents is central to the
18    dispute;
19        (4) the date of the final adverse decision by the
20    association;
21        (5) a copy of the association's written complaint
22    policy required under Section 35 of this Act;
23        (6) a copy of the unit owner's complaint to the
24    association with a specific reference to the alleged
25    violations of the Condominium Property Act or the Common
26    Interest Community Association Act;

 

 

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1        (7) documentation verifying the unit owner's ownership
2    of a unit, such as a copy of a recorded deed or other
3    document conferring title; and
4        (8) a copy of the association's adverse decision marked
5    "final", if applicable.
6    (g) On receipt of a unit owner's request for assistance
7that the Department determines meets the requirements of this
8Section, the Ombudsperson shall, within the limits of the
9available resources, confer with the interested parties and
10assist in efforts to resolve the dispute by mutual agreement of
11the parties.
12    (h) The Ombudsperson shall assist only opposing parties who
13mutually agree to participate in dispute resolution.
14    (i) A unit owner is limited to one request for assistance
15per dispute. The meaning of dispute is to be broadly
16interpreted by the Department.
17    (j) The Department has the authority to determine whether
18or not a final decision is adverse under paragraph (4) of
19subsection (d) of this Section.
20    (k) The Department shall establish rules describing the
21time limit, method, and manner for dispute resolution.
22    (l) A request under the Freedom of Information Act for
23information does not constitute a request for assistance under
24this Section.
25(Source: P.A. 98-1135, eff. 7-1-16.)
 

 

 

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1    (765 ILCS 615/45)
2    (This Section may contain text from a Public Act with a
3delayed effective date)
4    (Section scheduled to be repealed on July 1, 2021)
5    Sec. 45. Confidentiality.
6    (a) All information collected by the Department in the
7course of addressing a request for information assistance
8pursuant to this Act Section 40 shall be maintained for the
9confidential use of the Department and shall not be disclosed.
10The Department shall not disclose the information to anyone
11other than law enforcement officials or regulatory agencies
12that have an appropriate regulatory interest as determined by
13the Secretary. Information and documents disclosed to a
14federal, State, county, or local law enforcement agency shall
15not be disclosed by that agency for any purpose to any other
16agency or person.
17    (b) A request for information made to the Department or the
18Ombudsperson under this Act does not constitute a request under
19the Freedom of Information Act.
20(Source: P.A. 98-1135, eff. 7-1-16.)
 
21    (765 ILCS 615/50)
22    (This Section may contain text from a Public Act with a
23delayed effective date)
24    (Section scheduled to be repealed on July 1, 2021)
25    Sec. 50. Reports.

 

 

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1    (a) The Department shall submit an annual written report on
2the activities of the Office to the General Assembly, no later
3than October 1 of each year, with the initial report being due
4October 1, 2020. The report shall include all of the following:
5        (1) annual workload and performance data, including
6    (i) the number of requests for information; (ii) training,
7    education, or other information provided; (iii) assistance
8    received, the manner in which education and training was
9    conducted; requests were or were not resolved and (iv) the
10    staff time required to provide the training, education, or
11    other information resolve the requests. For each category
12    of data, the report shall provide subtotals based on the
13    type of question or dispute involved in the request; and
14        (2) where relevant information is available, analysis
15    of the most common and serious types of concerns disputes
16    within condominiums and common interest communities, along
17    with any recommendations for statutory reform to reduce the
18    frequency or severity of those disputes.
19(Source: P.A. 98-1135, eff. 7-1-16.)
 
20    (765 ILCS 615/55 rep.)
21    Section 10. The Condominium and Common Interest Community
22Ombudsperson Act is amended by repealing Section 55.
 
23    Section 99. Effective date. This Act takes effect July 1,
242016.