Full Text of HB4158 102nd General Assembly
HB4158eng 102ND GENERAL ASSEMBLY |
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| 1 | | AN ACT concerning civil law.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Common Interest Community Association Act | 5 | | is amended by changing Section 1-30 as follows: | 6 | | (765 ILCS 160/1-30)
| 7 | | Sec. 1-30. Board duties and obligations; records. | 8 | | (a) The board shall meet at least 4 times annually. | 9 | | (b) A common interest community association may not enter | 10 | | into a contract with a current board member, or with a | 11 | | corporation, limited liability company, or partnership in | 12 | | which a board member or a member of his or her immediate family | 13 | | has 25% or more interest, unless notice of intent to enter into | 14 | | the contract is given to members within 20 days after a | 15 | | decision is made to enter into the contract and the members are | 16 | | afforded an opportunity by filing a petition, signed by 20% of | 17 | | the membership, for an election to approve or disapprove the | 18 | | contract; such petition shall be filed within 20 days after | 19 | | such notice and such election shall be held within 30 days | 20 | | after filing the petition. For purposes of this subsection, a | 21 | | board member's immediate family means the board member's | 22 | | spouse, parents, siblings, and children. | 23 | | (c) The bylaws or operating agreement shall provide for |
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| 1 | | the maintenance, repair, and replacement of the common areas | 2 | | and payments therefor, including the method of approving | 3 | | payment vouchers. | 4 | | (d) (Blank). | 5 | | (e) The association may engage the services of a manager | 6 | | or management company. | 7 | | (f) The association shall have one class of membership | 8 | | unless the declaration, bylaws, or operating agreement provide | 9 | | otherwise; however, this subsection (f) shall not be construed | 10 | | to limit the operation of subsection (c) of Section 1-20 of | 11 | | this Act. | 12 | | (g) The board shall have the power, after notice and an | 13 | | opportunity to be heard, to levy and collect reasonable fines | 14 | | from members or unit owners for violations of the declaration, | 15 | | bylaws, operating agreement, and rules and regulations of the | 16 | | common interest community association. | 17 | | (h) Other than attorney's fees and court or arbitration | 18 | | costs, no fees pertaining to the collection of a member's or | 19 | | unit owner's financial obligation to the association, | 20 | | including fees charged by a manager or managing agent, shall | 21 | | be added to and deemed a part of a member's or unit owner's | 22 | | respective share of the common expenses unless: (i) the | 23 | | managing agent fees relate to the costs to collect common | 24 | | expenses for the association; (ii) the fees are set forth in a | 25 | | contract between the managing agent and the association; and | 26 | | (iii) the authority to add the management fees to a member's or |
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| 1 | | unit owner's respective share of the common expenses is | 2 | | specifically stated in the declaration, bylaws, or operating | 3 | | agreement of the association. | 4 | | (i) Board records. | 5 | | (1) The board shall maintain the following records of | 6 | | the association and make them available for examination | 7 | | and copying at convenient hours of weekdays by any member | 8 | | or unit owner in a common interest community subject to | 9 | | the authority of the board, their mortgagees, and their | 10 | | duly authorized agents or attorneys: | 11 | | (i) Copies of the recorded declaration, other | 12 | | community instruments, other duly recorded covenants | 13 | | and bylaws and any amendments, articles of | 14 | | incorporation, articles of organization, annual | 15 | | reports, and any rules and regulations adopted by the | 16 | | board shall be available. Prior to the organization of | 17 | | the board, the developer shall maintain and make | 18 | | available the records set forth in this paragraph (i) | 19 | | for examination and copying. | 20 | | (ii) Detailed and accurate records in | 21 | | chronological order of the receipts and expenditures | 22 | | affecting the common areas, specifying and itemizing | 23 | | the maintenance and repair expenses of the common | 24 | | areas and any other expenses incurred, and copies of | 25 | | all contracts, leases, or other agreements entered | 26 | | into by the board shall be maintained. |
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| 1 | | (iii) The minutes of all meetings of the board | 2 | | which shall be maintained for not less than 7 years. | 3 | | (iv) With a written statement of a proper purpose, | 4 | | ballots and proxies related thereto, if any, for any | 5 | | election held for the board and for any other matters | 6 | | voted on by the members, which shall be maintained for | 7 | | not less than one year. | 8 | | (v) With a written statement of a proper purpose, | 9 | | such other records of the board as are available for | 10 | | inspection by members of a not-for-profit corporation | 11 | | pursuant to Section 107.75 of the General Not For | 12 | | Profit Corporation Act of 1986 shall be maintained. | 13 | | (vi) With respect to units owned by a land trust, a | 14 | | living trust, or other legal entity, the trustee, | 15 | | officer, or manager of the entity may designate, in | 16 | | writing, a person to cast votes on behalf of the member | 17 | | or unit owner and a designation shall remain in effect | 18 | | until a subsequent document is filed with the | 19 | | association. | 20 | | (vii) Any reserve study. | 21 | | (2) Where a request for records under this subsection | 22 | | is made in writing to the board or its agent, failure to | 23 | | provide the requested record or to respond within 30 days | 24 | | shall be deemed a denial by the board. | 25 | | (3) A reasonable fee may be charged by the board for | 26 | | the cost of retrieving and copying records properly |
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| 1 | | requested. | 2 | | (4) If the board fails to provide records properly | 3 | | requested under paragraph (1) of this subsection (i) | 4 | | within the time period provided in that paragraph (1), the | 5 | | member may seek appropriate relief and shall be entitled | 6 | | to an award of reasonable attorney's fees and costs if the | 7 | | member prevails and the court finds that such failure is | 8 | | due to the acts or omissions of the board of managers or | 9 | | the board of directors. | 10 | | (j) The board shall have standing and capacity to act in a | 11 | | representative capacity in relation to matters involving the | 12 | | common areas or more than one unit, on behalf of the members or | 13 | | unit owners as their interests may appear.
| 14 | | (Source: P.A. 98-232, eff. 1-1-14; 98-241, eff. 8-9-13; | 15 | | 98-756, eff. 7-16-14; 99-41, eff. 7-14-15.) | 16 | | Section 10. The Condominium Property Act is amended by | 17 | | changing Section 19 as follows:
| 18 | | (765 ILCS 605/19) (from Ch. 30, par. 319)
| 19 | | Sec. 19. Records of the association; availability for | 20 | | examination.
| 21 | | (a) The board of managers of every association shall keep | 22 | | and maintain the
following records, or true and complete | 23 | | copies of these records, at the
association's principal | 24 | | office:
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| 1 | | (1) the association's declaration, bylaws, and plats | 2 | | of survey, and all
amendments of these;
| 3 | | (2) the rules and regulations of the association, if | 4 | | any;
| 5 | | (3) if the association is incorporated as a | 6 | | corporation, the articles
of incorporation of the | 7 | | association and all amendments to the articles of
| 8 | | incorporation;
| 9 | | (4) minutes of all meetings of the association and its | 10 | | board of managers
for the immediately preceding 7 years;
| 11 | | (5) all current policies of insurance of the | 12 | | association;
| 13 | | (6) all contracts, leases, and other agreements then | 14 | | in effect to which
the association is a party or under | 15 | | which the association or the unit owners
have obligations | 16 | | or liabilities;
| 17 | | (7) a current listing of the names, addresses, email | 18 | | addresses, telephone numbers, and weighted vote of all
| 19 | | members entitled to vote;
| 20 | | (8) ballots and proxies related to ballots for all | 21 | | matters voted on by
the members of the association during | 22 | | the immediately preceding 12 months,
including, but not | 23 | | limited to, the election of members of the board of | 24 | | managers;
and
| 25 | | (9) the books and records for the association's | 26 | | current and 10
immediately preceding fiscal years, |
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| 1 | | including, but not limited to, itemized and
detailed | 2 | | records of all receipts, expenditures, and accounts ; and | 3 | | (10) any reserve study .
| 4 | | (b) Any member of an association shall have the right to | 5 | | inspect, examine,
and make copies of the records described in | 6 | | subdivisions (1), (2), (3), (4),
(5), (6), and (9) , and (10) of | 7 | | subsection (a) of this Section, in person or by agent, at any
| 8 | | reasonable time or times, at the association's principal | 9 | | office. In order
to exercise this right, a member must submit a | 10 | | written request to the
association's board of managers or its | 11 | | authorized agent, stating with
particularity the records | 12 | | sought to be examined. Failure of an association's
board of | 13 | | managers to make available all records so requested within 10 | 14 | | business days of
receipt of the member's written request shall | 15 | | be deemed a denial.
| 16 | | Any member who prevails in an enforcement action to compel | 17 | | examination of
records described in subdivisions (1), (2), | 18 | | (3), (4), (5), (6), and (9) , and (10) of subsection (a)
of this | 19 | | Section shall be entitled to recover reasonable attorney's | 20 | | fees and
costs from the association.
| 21 | | (c) (Blank).
| 22 | | (d) (Blank).
| 23 | | (d-5) As used in this Section, "commercial purpose" means | 24 | | the use of any part of a record or records described in | 25 | | subdivisions (7) and (8) of subsection (a) of this Section, or | 26 | | information derived from such records, in any form for sale, |
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| 1 | | resale, or solicitation or advertisement for sales or | 2 | | services. | 3 | | (e) Except as otherwise provided in subsection (g) of this
| 4 | | Section, any member of an association shall have the right to | 5 | | inspect, examine,
and make copies of the records described in | 6 | | subdivisions (7) and (8) of subsection (a) of this Section, in | 7 | | person or by agent, at any reasonable
time or times but only | 8 | | for a purpose that relates to the association, at the | 9 | | association's principal
office. In order to exercise this | 10 | | right, a member must submit a written
request, to the | 11 | | association's board of managers or its authorized agent,
| 12 | | stating with particularity the records sought to be examined. | 13 | | As a condition for exercising this right, the board of | 14 | | managers or authorized agent of the association may require | 15 | | the member to certify in writing that the information | 16 | | contained in the records obtained by the member will not be | 17 | | used by the member for any commercial purpose or for any | 18 | | purpose that does not relate to the association. The board of | 19 | | managers of the association may impose a fine in accordance | 20 | | with item (l) of Section 18.4 upon any person who makes a false | 21 | | certification. Subject to the provisions of subsection (g) of | 22 | | this Section, failure of an association's board of managers to | 23 | | make
available all records so requested within 10 business | 24 | | days of receipt of the
member's written request shall be | 25 | | deemed a denial; provided, however, that the
board of managers | 26 | | of an association that has adopted a secret ballot election
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| 1 | | process as provided in Section 18 of this Act shall not be | 2 | | deemed to have
denied a member's request for records described | 3 | | in subdivision (8) of
subsection (a) of this Section if voting | 4 | | ballots, without identifying unit
numbers, are made available | 5 | | to the requesting member within 10 business days of receipt
of | 6 | | the member's written request.
| 7 | | Any member who prevails in an enforcement action to compel
| 8 | | examination of records described in subdivision (7) or (8) of
| 9 | | subsection (a) of this Section shall be entitled to recover | 10 | | reasonable
attorney's fees and costs from the association only | 11 | | if the court finds that
the board of directors acted in bad | 12 | | faith in denying the member's request.
| 13 | | (f) The actual cost to the association of retrieving and | 14 | | making requested
records available for inspection and | 15 | | examination under this Section may be
charged by the | 16 | | association to the requesting member. If a member requests
| 17 | | copies of records requested under this Section, the actual | 18 | | costs to the
association of reproducing the records may also | 19 | | be charged by the association
to the requesting member.
| 20 | | (g) Notwithstanding the provisions of subsection (e) of | 21 | | this Section, unless
otherwise directed by court order, an | 22 | | association need not make the following
records available for | 23 | | inspection, examination, or copying by its members:
| 24 | | (1) documents relating to appointment, employment, | 25 | | discipline, or
dismissal of association employees;
| 26 | | (2) documents relating to actions pending against or |
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| 1 | | on behalf of the
association or its board of managers in a | 2 | | court or administrative tribunal;
| 3 | | (3) documents relating to actions threatened against, | 4 | | or likely to be
asserted on behalf of, the association or | 5 | | its board of managers in a court or
administrative | 6 | | tribunal;
| 7 | | (4) documents relating to common expenses or other | 8 | | charges owed by a
member other than the requesting member; | 9 | | and
| 10 | | (5) documents provided to an association in connection | 11 | | with the lease,
sale, or other transfer of a unit by a | 12 | | member other than the requesting member.
| 13 | | (h) The provisions of this Section are applicable to all | 14 | | condominium
instruments recorded under this Act. Any portion | 15 | | of a condominium instrument
that contains provisions contrary | 16 | | to these provisions shall be void as against
public policy and | 17 | | ineffective. Any condominium instrument that fails to
contain | 18 | | the provisions required by this Section shall be deemed to | 19 | | incorporate
the provisions by operation of law.
| 20 | | (Source: P.A. 100-292, eff. 1-1-18; 100-863, eff. 8-14-18.)
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