Illinois 2023-2024 Regular Session

Illinois Senate Bill SB3715 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 SB3715 Introduced 2/9/2024, by Sen. Ram Villivalam SYNOPSIS AS INTRODUCED: See Index Amends the Condominium Property Act. Prohibits directors from voting by proxy or by secret ballot at board meetings with the exception that secret ballots may be used in the election of officers. Prohibits voting by proxy or by secret ballot at any meeting or special meeting if a final decision may be made affecting (i) the expenditure of association funds; and (ii) architectural decisions affecting a unit owner's residential property. Requires removal from the board members who have been charged with a number of crimes including but not limited to (i) forgery of a ballot envelope or voting certificate used in a homeowners' association election; (ii) theft or embezzlement involving the association's funds or property; and destruction of or the refusal to allow inspection or copying of an official record of a homeowners' association which is accessible to parcel owners within the time periods required by law in furtherance of any crime. Provides that if charges are resolved without a finding of guilt or without acceptance of a plea of guilty or nolo contendere, the member of the board shall be reinstated for any remainder of their term. Requires members of the board who are appointed by the developer to disclose to the association their relationship to the developer each calendar year in which they serve on the board. Requires members appointed by the developer must disclose any other activity that may reasonably be construed to be a conflict of interest. Provides that members of the board must disclose any activity that may be reasonably construed to be a conflict of interest at least 14 days before voting on an issue or entering into a contract that is the subject of the conflict. Imposes a fine of not more than $2,500 if the board fails to provide documents to any member of the association as provided in this Act. Requires that the declaration or bylaws of a condominium association require mediation or arbitration of disputes in which the matter in controversy has either no specific monetary value or a value of $10,000 or less, other than the levying and collection of assessments, or that arises out of violations of the declaration, bylaws, or rules and regulations of the condominium association. Provides that the declaration or bylaws of a condominium association may require mediation or arbitration of disputes for all other disputes. LRB103 38640 JRC 68777 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 SB3715 Introduced 2/9/2024, by Sen. Ram Villivalam SYNOPSIS AS INTRODUCED: See Index See Index Amends the Condominium Property Act. Prohibits directors from voting by proxy or by secret ballot at board meetings with the exception that secret ballots may be used in the election of officers. Prohibits voting by proxy or by secret ballot at any meeting or special meeting if a final decision may be made affecting (i) the expenditure of association funds; and (ii) architectural decisions affecting a unit owner's residential property. Requires removal from the board members who have been charged with a number of crimes including but not limited to (i) forgery of a ballot envelope or voting certificate used in a homeowners' association election; (ii) theft or embezzlement involving the association's funds or property; and destruction of or the refusal to allow inspection or copying of an official record of a homeowners' association which is accessible to parcel owners within the time periods required by law in furtherance of any crime. Provides that if charges are resolved without a finding of guilt or without acceptance of a plea of guilty or nolo contendere, the member of the board shall be reinstated for any remainder of their term. Requires members of the board who are appointed by the developer to disclose to the association their relationship to the developer each calendar year in which they serve on the board. Requires members appointed by the developer must disclose any other activity that may reasonably be construed to be a conflict of interest. Provides that members of the board must disclose any activity that may be reasonably construed to be a conflict of interest at least 14 days before voting on an issue or entering into a contract that is the subject of the conflict. Imposes a fine of not more than $2,500 if the board fails to provide documents to any member of the association as provided in this Act. Requires that the declaration or bylaws of a condominium association require mediation or arbitration of disputes in which the matter in controversy has either no specific monetary value or a value of $10,000 or less, other than the levying and collection of assessments, or that arises out of violations of the declaration, bylaws, or rules and regulations of the condominium association. Provides that the declaration or bylaws of a condominium association may require mediation or arbitration of disputes for all other disputes. LRB103 38640 JRC 68777 b LRB103 38640 JRC 68777 b A BILL FOR
2	2	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 SB3715 Introduced 2/9/2024, by Sen. Ram Villivalam SYNOPSIS AS INTRODUCED:
3	3	See Index See Index
4	4	See Index
5	5	Amends the Condominium Property Act. Prohibits directors from voting by proxy or by secret ballot at board meetings with the exception that secret ballots may be used in the election of officers. Prohibits voting by proxy or by secret ballot at any meeting or special meeting if a final decision may be made affecting (i) the expenditure of association funds; and (ii) architectural decisions affecting a unit owner's residential property. Requires removal from the board members who have been charged with a number of crimes including but not limited to (i) forgery of a ballot envelope or voting certificate used in a homeowners' association election; (ii) theft or embezzlement involving the association's funds or property; and destruction of or the refusal to allow inspection or copying of an official record of a homeowners' association which is accessible to parcel owners within the time periods required by law in furtherance of any crime. Provides that if charges are resolved without a finding of guilt or without acceptance of a plea of guilty or nolo contendere, the member of the board shall be reinstated for any remainder of their term. Requires members of the board who are appointed by the developer to disclose to the association their relationship to the developer each calendar year in which they serve on the board. Requires members appointed by the developer must disclose any other activity that may reasonably be construed to be a conflict of interest. Provides that members of the board must disclose any activity that may be reasonably construed to be a conflict of interest at least 14 days before voting on an issue or entering into a contract that is the subject of the conflict. Imposes a fine of not more than $2,500 if the board fails to provide documents to any member of the association as provided in this Act. Requires that the declaration or bylaws of a condominium association require mediation or arbitration of disputes in which the matter in controversy has either no specific monetary value or a value of $10,000 or less, other than the levying and collection of assessments, or that arises out of violations of the declaration, bylaws, or rules and regulations of the condominium association. Provides that the declaration or bylaws of a condominium association may require mediation or arbitration of disputes for all other disputes.
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8	8	A BILL FOR
9	9	SB3715LRB103 38640 JRC 68777 b SB3715 LRB103 38640 JRC 68777 b
10	10	SB3715 LRB103 38640 JRC 68777 b
11	11	1 AN ACT concerning property.
12	12	2 Be it enacted by the People of the State of Illinois,
13	13	3 represented in the General Assembly:
14	14	4 Section 5. The Condominium Property Act is amended by
15	15	5 changing Sections 18, 18.4, 19, and 32 as follows:
16	16	6 (765 ILCS 605/18) (from Ch. 30, par. 318)
17	17	7 Sec. 18. Contents of bylaws. The bylaws shall provide for
18	18	8 at least the following:
19	19	9 (a)(1) The election from among the unit owners of a
20	20	10 board of managers, the number of persons constituting such
21	21	11 board, and that the terms of at least one-third of the
22	22	12 members of the board shall expire annually and that all
23	23	13 members of the board shall be elected at large; if there
24	24	14 are multiple owners of a single unit, only one of the
25	25	15 multiple owners shall be eligible to serve as a member of
26	26	16 the board at any one time. A declaration first submitting
27	27	17 property to the provisions of this Act, in accordance with
28	28	18 Section 3 after the effective date of this amendatory Act
29	29	19 of the 102nd General Assembly, or an amendment to the
30	30	20 condominium instruments adopted in accordance with Section
31	31	21 27 after the effective date of this amendatory Act of the
32	32	22 102nd General Assembly, may provide that a majority of the
33	33	23 board of managers, or such lesser number as may be
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37	37	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 SB3715 Introduced 2/9/2024, by Sen. Ram Villivalam SYNOPSIS AS INTRODUCED:
38	38	See Index See Index
39	39	See Index
40	40	Amends the Condominium Property Act. Prohibits directors from voting by proxy or by secret ballot at board meetings with the exception that secret ballots may be used in the election of officers. Prohibits voting by proxy or by secret ballot at any meeting or special meeting if a final decision may be made affecting (i) the expenditure of association funds; and (ii) architectural decisions affecting a unit owner's residential property. Requires removal from the board members who have been charged with a number of crimes including but not limited to (i) forgery of a ballot envelope or voting certificate used in a homeowners' association election; (ii) theft or embezzlement involving the association's funds or property; and destruction of or the refusal to allow inspection or copying of an official record of a homeowners' association which is accessible to parcel owners within the time periods required by law in furtherance of any crime. Provides that if charges are resolved without a finding of guilt or without acceptance of a plea of guilty or nolo contendere, the member of the board shall be reinstated for any remainder of their term. Requires members of the board who are appointed by the developer to disclose to the association their relationship to the developer each calendar year in which they serve on the board. Requires members appointed by the developer must disclose any other activity that may reasonably be construed to be a conflict of interest. Provides that members of the board must disclose any activity that may be reasonably construed to be a conflict of interest at least 14 days before voting on an issue or entering into a contract that is the subject of the conflict. Imposes a fine of not more than $2,500 if the board fails to provide documents to any member of the association as provided in this Act. Requires that the declaration or bylaws of a condominium association require mediation or arbitration of disputes in which the matter in controversy has either no specific monetary value or a value of $10,000 or less, other than the levying and collection of assessments, or that arises out of violations of the declaration, bylaws, or rules and regulations of the condominium association. Provides that the declaration or bylaws of a condominium association may require mediation or arbitration of disputes for all other disputes.
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43	43	A BILL FOR
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68	68	1 specified in the declaration, must be comprised of unit
69	69	2 owners occupying their unit as their primary residence;
70	70	3 provided that the condominium instruments may not require
71	71	4 that more than a majority of the board shall be comprised
72	72	5 of unit owners who occupy their unit as their principal
73	73	6 residence;
74	74	7 (2) the powers and duties of the board;
75	75	8 (3) the compensation, if any, of the members of the
76	76	9 board;
77	77	10 (4) the method of removal from office of members of
78	78	11 the board;
79	79	12 (5) that the board may engage the services of a
80	80	13 manager or managing agent;
81	81	14 (6) that each unit owner shall receive, at least 25
82	82	15 days prior to the adoption thereof by the board of
83	83	16 managers, a copy of the proposed annual budget together
84	84	17 with an indication of which portions are intended for
85	85	18 reserves, capital expenditures or repairs or payment of
86	86	19 real estate taxes;
87	87	20 (7) that the board of managers shall annually supply
88	88	21 to all unit owners an itemized accounting of the common
89	89	22 expenses for the preceding year actually incurred or paid,
90	90	23 together with an indication of which portions were for
91	91	24 reserves, capital expenditures or repairs or payment of
92	92	25 real estate taxes and with a tabulation of the amounts
93	93	26 collected pursuant to the budget or assessment, and
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104	104	1 showing the net excess or deficit of income over
105	105	2 expenditures plus reserves;
106	106	3 (8)(i) that each unit owner shall receive notice, in
107	107	4 the same manner as is provided in this Act for membership
108	108	5 meetings, of any meeting of the board of managers
109	109	6 concerning the adoption of the proposed annual budget and
110	110	7 regular assessments pursuant thereto or to adopt a
111	111	8 separate (special) assessment, (ii) that except as
112	112	9 provided in subsection (iv) below, if an adopted budget or
113	113	10 any separate assessment adopted by the board would result
114	114	11 in the sum of all regular and separate assessments payable
115	115	12 in the current fiscal year exceeding 115% of the sum of all
116	116	13 regular and separate assessments payable during the
117	117	14 preceding fiscal year, the board of managers, upon written
118	118	15 petition by unit owners with 20 percent of the votes of the
119	119	16 association delivered to the board within 21 days of the
120	120	17 board action, shall call a meeting of the unit owners
121	121	18 within 30 days of the date of delivery of the petition to
122	122	19 consider the budget or separate assessment; unless a
123	123	20 majority of the total votes of the unit owners are cast at
124	124	21 the meeting to reject the budget or separate assessment,
125	125	22 it is ratified, (iii) that any common expense not set
126	126	23 forth in the budget or any increase in assessments over
127	127	24 the amount adopted in the budget shall be separately
128	128	25 assessed against all unit owners, (iv) that separate
129	129	26 assessments for expenditures relating to emergencies or
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140	140	1 mandated by law may be adopted by the board of managers
141	141	2 without being subject to unit owner approval or the
142	142	3 provisions of item (ii) above or item (v) below. As used
143	143	4 herein, "emergency" means an immediate danger to the
144	144	5 structural integrity of the common elements or to the
145	145	6 life, health, safety or property of the unit owners, (v)
146	146	7 that assessments for additions and alterations to the
147	147	8 common elements or to association-owned property not
148	148	9 included in the adopted annual budget, shall be separately
149	149	10 assessed and are subject to approval of two-thirds of the
150	150	11 total votes of all unit owners, (vi) that the board of
151	151	12 managers may adopt separate assessments payable over more
152	152	13 than one fiscal year. With respect to multi-year
153	153	14 assessments not governed by items (iv) and (v), the entire
154	154	15 amount of the multi-year assessment shall be deemed
155	155	16 considered and authorized in the first fiscal year in
156	156	17 which the assessment is approved;
157	157	18 (9)(A) that every meeting of the board of managers
158	158	19 shall be open to any unit owner, except that the board may
159	159	20 close any portion of a noticed meeting or meet separately
160	160	21 from a noticed meeting to: (i) discuss litigation when an
161	161	22 action against or on behalf of the particular association
162	162	23 has been filed and is pending in a court or administrative
163	163	24 tribunal, or when the board of managers finds that such an
164	164	25 action is probable or imminent, (ii) discuss the
165	165	26 appointment, employment, engagement, or dismissal of an
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176	176	1 employee, independent contractor, agent, or other provider
177	177	2 of goods and services, (iii) interview a potential
178	178	3 employee, independent contractor, agent, or other provider
179	179	4 of goods and services, (iv) discuss violations of rules
180	180	5 and regulations of the association, (v) discuss a unit
181	181	6 owner's unpaid share of common expenses, or (vi) consult
182	182	7 with the association's legal counsel; that any vote on
183	183	8 these matters shall take place at a meeting of the board of
184	184	9 managers or portion thereof open to any unit owner;
185	185	10 (B) that board members may participate in and act at
186	186	11 any meeting of the board of managers in person, by
187	187	12 telephonic means, or by use of any acceptable
188	188	13 technological means whereby all persons participating in
189	189	14 the meeting can communicate with each other; that
190	190	15 participation constitutes attendance and presence in
191	191	16 person at the meeting;
192	192	17 (C) that any unit owner may record the proceedings at
193	193	18 meetings of the board of managers or portions thereof
194	194	19 required to be open by this Act by tape, film or other
195	195	20 means, and that the board may prescribe reasonable rules
196	196	21 and regulations to govern the right to make such
197	197	22 recordings;
198	198	23 (D) that notice of every meeting of the board of
199	199	24 managers shall be given to every board member at least 48
200	200	25 hours prior thereto, unless the board member waives notice
201	201	26 of the meeting pursuant to subsection (a) of Section 18.8;
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212	212	1 and
213	213	2 (E) that notice of every meeting of the board of
214	214	3 managers shall be posted in entranceways, elevators, or
215	215	4 other conspicuous places in the condominium at least 48
216	216	5 hours prior to the meeting of the board of managers except
217	217	6 where there is no common entranceway for 7 or more units,
218	218	7 the board of managers may designate one or more locations
219	219	8 in the proximity of these units where the notices of
220	220	9 meetings shall be posted; that notice of every meeting of
221	221	10 the board of managers shall also be given at least 48 hours
222	222	11 prior to the meeting, or such longer notice as this Act may
223	223	12 separately require, to: (i) each unit owner who has
224	224	13 provided the association with written authorization to
225	225	14 conduct business by acceptable technological means, and
226	226	15 (ii) to the extent that the condominium instruments of an
227	227	16 association require, to each other unit owner, as required
228	228	17 by subsection (f) of Section 18.8, by mail or delivery,
229	229	18 and that no other notice of a meeting of the board of
230	230	19 managers need be given to any unit owner;
231	231	20 (10) that the board shall meet at least 4 times
232	232	21 annually;
233	233	22 (11) that no member of the board or officer shall be
234	234	23 elected for a term of more than 2 years, but that officers
235	235	24 and board members may succeed themselves;
236	236	25 (12) the designation of an officer to mail and receive
237	237	26 all notices and execute amendments to condominium
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248	248	1 instruments as provided for in this Act and in the
249	249	2 condominium instruments;
250	250	3 (13) the method of filling vacancies on the board
251	251	4 which shall include authority for the remaining members of
252	252	5 the board to fill the vacancy by two-thirds vote until the
253	253	6 next annual meeting of unit owners or for a period
254	254	7 terminating no later than 30 days following the filing of
255	255	8 a petition signed by unit owners holding 20% of the votes
256	256	9 of the association requesting a meeting of the unit owners
257	257	10 to fill the vacancy for the balance of the term, and that a
258	258	11 meeting of the unit owners shall be called for purposes of
259	259	12 filling a vacancy on the board no later than 30 days
260	260	13 following the filing of a petition signed by unit owners
261	261	14 holding 20% of the votes of the association requesting
262	262	15 such a meeting, and the method of filling vacancies among
263	263	16 the officers that shall include the authority for the
264	264	17 members of the board to fill the vacancy for the unexpired
265	265	18 portion of the term;
266	266	19 (14) what percentage of the board of managers, if
267	267	20 other than a majority, shall constitute a quorum;
268	268	21 (15) provisions concerning notice of board meetings to
269	269	22 members of the board;
270	270	23 (16) the board of managers may not enter into a
271	271	24 contract with a current board member or with a corporation
272	272	25 or partnership in which a board member or a member of the
273	273	26 board member's immediate family has 25% or more interest,
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284	284	1 unless notice of intent to enter the contract is given to
285	285	2 unit owners within 20 days after a decision is made to
286	286	3 enter into the contract and the unit owners are afforded
287	287	4 an opportunity by filing a petition, signed by 20% of the
288	288	5 unit owners, for an election to approve or disapprove the
289	289	6 contract; such petition shall be filed within 30 days
290	290	7 after such notice and such election shall be held within
291	291	8 30 days after filing the petition; for purposes of this
292	292	9 subsection, a board member's immediate family means the
293	293	10 board member's spouse, parents, and children;
294	294	11 (17) that the board of managers may disseminate to
295	295	12 unit owners biographical and background information about
296	296	13 candidates for election to the board if (i) reasonable
297	297	14 efforts to identify all candidates are made and all
298	298	15 candidates are given an opportunity to include
299	299	16 biographical and background information in the information
300	300	17 to be disseminated; and (ii) the board does not express a
301	301	18 preference in favor of any candidate;
302	302	19 (18) any proxy distributed for board elections by the
303	303	20 board of managers gives unit owners the opportunity to
304	304	21 designate any person as the proxy holder, and gives the
305	305	22 unit owner the opportunity to express a preference for any
306	306	23 of the known candidates for the board or to write in a
307	307	24 name;
308	308	25 (19) that special meetings of the board of managers
309	309	26 can be called by the president or 25% of the members of the
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320	320	1 board;
321	321	2 (20) that the board of managers may establish and
322	322	3 maintain a system of master metering of public utility
323	323	4 services and collect payments in connection therewith,
324	324	5 subject to the requirements of the Tenant Utility Payment
325	325	6 Disclosure Act; and
326	326	7 (21) that the board may ratify and confirm actions of
327	327	8 the members of the board taken in response to an
328	328	9 emergency, as that term is defined in subdivision
329	329	10 (a)(8)(iv) of this Section; that the board shall give
330	330	11 notice to the unit owners of: (i) the occurrence of the
331	331	12 emergency event within 7 business days after the emergency
332	332	13 event, and (ii) the general description of the actions
333	333	14 taken to address the event within 7 days after the
334	334	15 emergency event.
335	335	16 The intent of the provisions of Public Act 99-472
336	336	17 adding this paragraph (21) is to empower and support
337	337	18 boards to act in emergencies.
338	338	19 (b)(1) What percentage of the unit owners, if other
339	339	20 than 20%, shall constitute a quorum provided that, for
340	340	21 condominiums with 20 or more units, the percentage of unit
341	341	22 owners constituting a quorum shall be 20% unless the unit
342	342	23 owners holding a majority of the percentage interest in
343	343	24 the association provide for a higher percentage, provided
344	344	25 that in voting on amendments to the association's bylaws,
345	345	26 a unit owner who is in arrears on the unit owner's regular
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356	356	1 or separate assessments for 60 days or more, shall not be
357	357	2 counted for purposes of determining if a quorum is
358	358	3 present, but that unit owner retains the right to vote on
359	359	4 amendments to the association's bylaws;
360	360	5 (2) that the association shall have one class of
361	361	6 membership;
362	362	7 (3) that the members shall hold an annual meeting, one
363	363	8 of the purposes of which shall be to elect members of the
364	364	9 board of managers;
365	365	10 (4) the method of calling meetings of the unit owners;
366	366	11 (5) that special meetings of the members can be called
367	367	12 by the president, board of managers, or by 20% of unit
368	368	13 owners;
369	369	14 (6) that written notice of any membership meeting
370	370	15 shall be mailed or delivered giving members no less than
371	371	16 10 and no more than 30 days notice of the time, place and
372	372	17 purpose of such meeting except that notice may be sent, to
373	373	18 the extent the condominium instruments or rules adopted
374	374	19 thereunder expressly so provide, by electronic
375	375	20 transmission consented to by the unit owner to whom the
376	376	21 notice is given, provided the director and officer or his
377	377	22 agent certifies in writing to the delivery by electronic
378	378	23 transmission;
379	379	24 (7) that voting shall be on a percentage basis, and
380	380	25 that the percentage vote to which each unit is entitled is
381	381	26 the percentage interest of the undivided ownership of the
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392	392	1 common elements appurtenant thereto, provided that the
393	393	2 bylaws may provide for approval by unit owners in
394	394	3 connection with matters where the requisite approval on a
395	395	4 percentage basis is not specified in this Act, on the
396	396	5 basis of one vote per unit;
397	397	6 (8) that, where there is more than one owner of a unit,
398	398	7 if only one of the multiple owners is present at a meeting
399	399	8 of the association, he is entitled to cast all the votes
400	400	9 allocated to that unit, if more than one of the multiple
401	401	10 owners are present, the votes allocated to that unit may
402	402	11 be cast only in accordance with the agreement of a
403	403	12 majority in interest of the multiple owners, unless the
404	404	13 declaration expressly provides otherwise, that there is
405	405	14 majority agreement if any one of the multiple owners cast
406	406	15 the votes allocated to that unit without protest being
407	407	16 made promptly to the person presiding over the meeting by
408	408	17 any of the other owners of the unit;
409	409	18 (9)(A) except as provided in subparagraph (B) of this
410	410	19 paragraph (9) in connection with board elections, that a
411	411	20 unit owner may vote by proxy executed in writing by the
412	412	21 unit owner or by his duly authorized attorney in fact;
413	413	22 that the proxy must bear the date of execution and, unless
414	414	23 the condominium instruments or the written proxy itself
415	415	24 provide otherwise, is invalid after 11 months from the
416	416	25 date of its execution; to the extent the condominium
417	417	26 instruments or rules adopted thereunder expressly so
418	418
419	419
420	420
421	421
422	422
423	423	SB3715 - 11 - LRB103 38640 JRC 68777 b
424	424
425	425
426	426	SB3715- 12 -LRB103 38640 JRC 68777 b SB3715 - 12 - LRB103 38640 JRC 68777 b
427	427	SB3715 - 12 - LRB103 38640 JRC 68777 b
428	428	1 provide, a vote or proxy may be submitted by electronic
429	429	2 transmission, provided that any such electronic
430	430	3 transmission shall either set forth or be submitted with
431	431	4 information from which it can be determined that the
432	432	5 electronic transmission was authorized by the unit owner
433	433	6 or the unit owner's proxy;
434	434	7 (B) that if a rule adopted at least 120 days before a
435	435	8 board election or the declaration or bylaws provide for
436	436	9 balloting as set forth in this subsection, unit owners may
437	437	10 not vote by proxy in board elections, but may vote only (i)
438	438	11 by submitting an association-issued ballot in person at
439	439	12 the election meeting or (ii) by submitting an
440	440	13 association-issued ballot to the association or its
441	441	14 designated agent by mail or other means of delivery
442	442	15 specified in the declaration, bylaws, or rule; that the
443	443	16 ballots shall be mailed or otherwise distributed to unit
444	444	17 owners not less than 10 and not more than 30 days before
445	445	18 the election meeting, and the board shall give unit owners
446	446	19 not less than 21 days' prior written notice of the
447	447	20 deadline for inclusion of a candidate's name on the
448	448	21 ballots; that the deadline shall be no more than 7 days
449	449	22 before the ballots are mailed or otherwise distributed to
450	450	23 unit owners; that every such ballot must include the names
451	451	24 of all candidates who have given the board or its
452	452	25 authorized agent timely written notice of their candidacy
453	453	26 and must give the person casting the ballot the
454	454
455	455
456	456
457	457
458	458
459	459	SB3715 - 12 - LRB103 38640 JRC 68777 b
460	460
461	461
462	462	SB3715- 13 -LRB103 38640 JRC 68777 b SB3715 - 13 - LRB103 38640 JRC 68777 b
463	463	SB3715 - 13 - LRB103 38640 JRC 68777 b
464	464	1 opportunity to cast votes for candidates whose names do
465	465	2 not appear on the ballot; that a ballot received by the
466	466	3 association or its designated agent after the close of
467	467	4 voting shall not be counted; that a unit owner who submits
468	468	5 a ballot by mail or other means of delivery specified in
469	469	6 the declaration, bylaws, or rule may request and cast a
470	470	7 ballot in person at the election meeting, and thereby void
471	471	8 any ballot previously submitted by that unit owner;
472	472	9 (B-5) that if a rule adopted at least 120 days before a
473	473	10 board election or the declaration or bylaws provide for
474	474	11 balloting as set forth in this subparagraph, unit owners
475	475	12 may not vote by proxy in board elections, but may vote only
476	476	13 (i) by submitting an association-issued ballot in person
477	477	14 at the election meeting; or (ii) by any acceptable
478	478	15 technological means as defined in Section 2 of this Act;
479	479	16 instructions regarding the use of electronic means for
480	480	17 voting shall be distributed to all unit owners not less
481	481	18 than 10 and not more than 30 days before the election
482	482	19 meeting, and the board shall give unit owners not less
483	483	20 than 21 days' prior written notice of the deadline for
484	484	21 inclusion of a candidate's name on the ballots; the
485	485	22 deadline shall be no more than 7 days before the
486	486	23 instructions for voting using electronic or acceptable
487	487	24 technological means is distributed to unit owners; every
488	488	25 instruction notice must include the names of all
489	489	26 candidates who have given the board or its authorized
490	490
491	491
492	492
493	493
494	494
495	495	SB3715 - 13 - LRB103 38640 JRC 68777 b
496	496
497	497
498	498	SB3715- 14 -LRB103 38640 JRC 68777 b SB3715 - 14 - LRB103 38640 JRC 68777 b
499	499	SB3715 - 14 - LRB103 38640 JRC 68777 b
500	500	1 agent timely written notice of their candidacy and must
501	501	2 give the person voting through electronic or acceptable
502	502	3 technological means the opportunity to cast votes for
503	503	4 candidates whose names do not appear on the ballot; a unit
504	504	5 owner who submits a vote using electronic or acceptable
505	505	6 technological means may request and cast a ballot in
506	506	7 person at the election meeting, thereby voiding any vote
507	507	8 previously submitted by that unit owner;
508	508	9 (B-10) that directors may not vote by proxy or by
509	509	10 secret ballot at board meetings with the exception that
510	510	11 secret ballots may be used in the election of officers.
511	511	12 This prohibition against voting by proxy or by secret
512	512	13 ballot also applies to any meeting or special meeting if a
513	513	14 final decision may be made affecting (i) the expenditure
514	514	15 of association funds; and (ii) architectural decisions
515	515	16 affecting a unit owner's residential property;
516	516	17 (C) that if a written petition by unit owners with at
517	517	18 least 20% of the votes of the association is delivered to
518	518	19 the board within 30 days after the board's approval of a
519	519	20 rule adopted pursuant to subparagraph (B) or subparagraph
520	520	21 (B-5) of this paragraph (9), the board shall call a
521	521	22 meeting of the unit owners within 30 days after the date of
522	522	23 delivery of the petition; that unless a majority of the
523	523	24 total votes of the unit owners are cast at the meeting to
524	524	25 reject the rule, the rule is ratified;
525	525	26 (D) that votes cast by ballot under subparagraph (B)
526	526
527	527
528	528
529	529
530	530
531	531	SB3715 - 14 - LRB103 38640 JRC 68777 b
532	532
533	533
534	534	SB3715- 15 -LRB103 38640 JRC 68777 b SB3715 - 15 - LRB103 38640 JRC 68777 b
535	535	SB3715 - 15 - LRB103 38640 JRC 68777 b
536	536	1 or electronic or acceptable technological means under
537	537	2 subparagraph (B-5) of this paragraph (9) are valid for the
538	538	3 purpose of establishing a quorum;
539	539	4 (10) that the association may, upon adoption of the
540	540	5 appropriate rules by the board of managers, conduct
541	541	6 elections by secret ballot whereby the voting ballot is
542	542	7 marked only with the percentage interest for the unit and
543	543	8 the vote itself, provided that the board further adopt
544	544	9 rules to verify the status of the unit owner issuing a
545	545	10 proxy or casting a ballot; and further, that a candidate
546	546	11 for election to the board of managers or such candidate's
547	547	12 representative shall have the right to be present at the
548	548	13 counting of ballots at such election;
549	549	14 (11) that in the event of a resale of a condominium
550	550	15 unit the purchaser of a unit from a seller other than the
551	551	16 developer pursuant to an installment sales contract for
552	552	17 purchase shall during such times as he or she resides in
553	553	18 the unit be counted toward a quorum for purposes of
554	554	19 election of members of the board of managers at any
555	555	20 meeting of the unit owners called for purposes of electing
556	556	21 members of the board, shall have the right to vote for the
557	557	22 election of members of the board of managers and to be
558	558	23 elected to and serve on the board of managers unless the
559	559	24 seller expressly retains in writing any or all of such
560	560	25 rights. In no event may the seller and purchaser both be
561	561	26 counted toward a quorum, be permitted to vote for a
562	562
563	563
564	564
565	565
566	566
567	567	SB3715 - 15 - LRB103 38640 JRC 68777 b
568	568
569	569
570	570	SB3715- 16 -LRB103 38640 JRC 68777 b SB3715 - 16 - LRB103 38640 JRC 68777 b
571	571	SB3715 - 16 - LRB103 38640 JRC 68777 b
572	572	1 particular office or be elected and serve on the board.
573	573	2 Satisfactory evidence of the installment sales contract
574	574	3 shall be made available to the association or its agents.
575	575	4 For purposes of this subsection, "installment sales
576	576	5 contract" shall have the same meaning as set forth in
577	577	6 Section 5 of the Installment Sales Contract Act and
578	578	7 Section 1(e) of the Dwelling Unit Installment Contract
579	579	8 Act;
580	580	9 (12) the method by which matters subject to the
581	581	10 approval of unit owners set forth in this Act, or in the
582	582	11 condominium instruments, will be submitted to the unit
583	583	12 owners at special membership meetings called for such
584	584	13 purposes; and
585	585	14 (13) that matters subject to the affirmative vote of
586	586	15 not less than 2/3 of the votes of unit owners at a meeting
587	587	16 duly called for that purpose, shall include, but not be
588	588	17 limited to:
589	589	18 (i) merger or consolidation of the association;
590	590	19 (ii) sale, lease, exchange, or other disposition
591	591	20 (excluding the mortgage or pledge) of all, or
592	592	21 substantially all of the property and assets of the
593	593	22 association; and
594	594	23 (iii) the purchase or sale of land or of units on
595	595	24 behalf of all unit owners.
596	596	25 (c) Election of a president from among the board of
597	597	26 managers, who shall preside over the meetings of the board
598	598
599	599
600	600
601	601
602	602
603	603	SB3715 - 16 - LRB103 38640 JRC 68777 b
604	604
605	605
606	606	SB3715- 17 -LRB103 38640 JRC 68777 b SB3715 - 17 - LRB103 38640 JRC 68777 b
607	607	SB3715 - 17 - LRB103 38640 JRC 68777 b
608	608	1 of managers and of the unit owners.
609	609	2 (d) Election of a secretary from among the board of
610	610	3 managers, who shall keep the minutes of all meetings of
611	611	4 the board of managers and of the unit owners and who shall,
612	612	5 in general, perform all the duties incident to the office
613	613	6 of secretary.
614	614	7 (e) Election of a treasurer from among the board of
615	615	8 managers, who shall keep the financial records and books
616	616	9 of account.
617	617	10 (f) Maintenance, repair and replacement of the common
618	618	11 elements and payments therefor, including the method of
619	619	12 approving payment vouchers.
620	620	13 (g) An association with 30 or more units shall obtain
621	621	14 and maintain fidelity insurance covering persons who
622	622	15 control or disburse funds of the association for the
623	623	16 maximum amount of coverage available to protect funds in
624	624	17 the custody or control of the association plus the
625	625	18 association reserve fund. All management companies which
626	626	19 are responsible for the funds held or administered by the
627	627	20 association shall maintain and furnish to the association
628	628	21 a fidelity bond for the maximum amount of coverage
629	629	22 available to protect funds in the custody of the
630	630	23 management company at any time. The association shall bear
631	631	24 the cost of the fidelity insurance and fidelity bond,
632	632	25 unless otherwise provided by contract between the
633	633	26 association and a management company. The association
634	634
635	635
636	636
637	637
638	638
639	639	SB3715 - 17 - LRB103 38640 JRC 68777 b
640	640
641	641
642	642	SB3715- 18 -LRB103 38640 JRC 68777 b SB3715 - 18 - LRB103 38640 JRC 68777 b
643	643	SB3715 - 18 - LRB103 38640 JRC 68777 b
644	644	1 shall be the direct obligee of any such fidelity bond. A
645	645	2 management company holding reserve funds of an association
646	646	3 shall at all times maintain a separate account for each
647	647	4 association, provided, however, that for investment
648	648	5 purposes, the Board of Managers of an association may
649	649	6 authorize a management company to maintain the
650	650	7 association's reserve funds in a single interest bearing
651	651	8 account with similar funds of other associations. The
652	652	9 management company shall at all times maintain records
653	653	10 identifying all moneys of each association in such
654	654	11 investment account. The management company may hold all
655	655	12 operating funds of associations which it manages in a
656	656	13 single operating account but shall at all times maintain
657	657	14 records identifying all moneys of each association in such
658	658	15 operating account. Such operating and reserve funds held
659	659	16 by the management company for the association shall not be
660	660	17 subject to attachment by any creditor of the management
661	661	18 company.
662	662	19 For the purpose of this subsection, a management
663	663	20 company shall be defined as a person, partnership,
664	664	21 corporation, or other legal entity entitled to transact
665	665	22 business on behalf of others, acting on behalf of or as an
666	666	23 agent for a unit owner, unit owners or association of unit
667	667	24 owners for the purpose of carrying out the duties,
668	668	25 responsibilities, and other obligations necessary for the
669	669	26 day to day operation and management of any property
670	670
671	671
672	672
673	673
674	674
675	675	SB3715 - 18 - LRB103 38640 JRC 68777 b
676	676
677	677
678	678	SB3715- 19 -LRB103 38640 JRC 68777 b SB3715 - 19 - LRB103 38640 JRC 68777 b
679	679	SB3715 - 19 - LRB103 38640 JRC 68777 b
680	680	1 subject to this Act. For purposes of this subsection, the
681	681	2 term "fiduciary insurance coverage" shall be defined as
682	682	3 both a fidelity bond and directors and officers liability
683	683	4 coverage, the fidelity bond in the full amount of
684	684	5 association funds and association reserves that will be in
685	685	6 the custody of the association, and the directors and
686	686	7 officers liability coverage at a level as shall be
687	687	8 determined to be reasonable by the board of managers, if
688	688	9 not otherwise established by the declaration or by laws.
689	689	10 Until one year after September 21, 1985 (the effective
690	690	11 date of Public Act 84-722), if a condominium association
691	691	12 has reserves plus assessments in excess of $250,000 and
692	692	13 cannot reasonably obtain 100% fidelity bond coverage for
693	693	14 such amount, then it must obtain a fidelity bond coverage
694	694	15 of $250,000.
695	695	16 (h) Method of estimating the amount of the annual
696	696	17 budget, and the manner of assessing and collecting from
697	697	18 the unit owners their respective shares of such estimated
698	698	19 expenses, and of any other expenses lawfully agreed upon.
699	699	20 (i) That upon 10 days notice to the manager or board of
700	700	21 managers and payment of a reasonable fee, any unit owner
701	701	22 shall be furnished a statement of his account setting
702	702	23 forth the amount of any unpaid assessments or other
703	703	24 charges due and owing from such owner.
704	704	25 (j) Designation and removal of personnel necessary for
705	705	26 the maintenance, repair and replacement of the common
706	706
707	707
708	708
709	709
710	710
711	711	SB3715 - 19 - LRB103 38640 JRC 68777 b
712	712
713	713
714	714	SB3715- 20 -LRB103 38640 JRC 68777 b SB3715 - 20 - LRB103 38640 JRC 68777 b
715	715	SB3715 - 20 - LRB103 38640 JRC 68777 b
716	716	1 elements.
717	717	2 (k) Such restrictions on and requirements respecting
718	718	3 the use and maintenance of the units and the use of the
719	719	4 common elements, not set forth in the declaration, as are
720	720	5 designed to prevent unreasonable interference with the use
721	721	6 of their respective units and of the common elements by
722	722	7 the several unit owners.
723	723	8 (l) Method of adopting and of amending administrative
724	724	9 rules and regulations governing the operation and use of
725	725	10 the common elements.
726	726	11 (m) The percentage of votes required to modify or
727	727	12 amend the bylaws, but each one of the particulars set
728	728	13 forth in this section shall always be embodied in the
729	729	14 bylaws.
730	730	15 (n)(i) The provisions of this Act, the declaration,
731	731	16 bylaws, other condominium instruments, and rules and
732	732	17 regulations that relate to the use of the individual unit
733	733	18 or the common elements shall be applicable to any person
734	734	19 leasing a unit and shall be deemed to be incorporated in
735	735	20 any lease executed or renewed on or after August 30, 1984
736	736	21 (the effective date of Public Act 83-1271).
737	737	22 (ii) With regard to any lease entered into subsequent
738	738	23 to July 1, 1990 (the effective date of Public Act 86-991),
739	739	24 the unit owner leasing the unit shall deliver a copy of the
740	740	25 signed lease to the board or if the lease is oral, a
741	741	26 memorandum of the lease, not later than the date of
742	742
743	743
744	744
745	745
746	746
747	747	SB3715 - 20 - LRB103 38640 JRC 68777 b
748	748
749	749
750	750	SB3715- 21 -LRB103 38640 JRC 68777 b SB3715 - 21 - LRB103 38640 JRC 68777 b
751	751	SB3715 - 21 - LRB103 38640 JRC 68777 b
752	752	1 occupancy or 10 days after the lease is signed, whichever
753	753	2 occurs first. In addition to any other remedies, by filing
754	754	3 an action jointly against the tenant and the unit owner,
755	755	4 an association may seek to enjoin a tenant from occupying
756	756	5 a unit or seek to evict a tenant under the provisions of
757	757	6 Article IX of the Code of Civil Procedure for failure of
758	758	7 the lessor-owner to comply with the leasing requirements
759	759	8 prescribed by this Section or by the declaration, bylaws,
760	760	9 and rules and regulations. The board of managers may
761	761	10 proceed directly against a tenant, at law or in equity, or
762	762	11 under the provisions of Article IX of the Code of Civil
763	763	12 Procedure, for any other breach by tenant of any
764	764	13 covenants, rules, regulations or bylaws.
765	765	14 (o) The association shall have no authority to forbear
766	766	15 the payment of assessments by any unit owner.
767	767	16 (p) That when 30% or fewer of the units, by number,
768	768	17 possess over 50% in the aggregate of the votes in the
769	769	18 association, any percentage vote of members specified
770	770	19 herein or in the condominium instruments shall require the
771	771	20 specified percentage by number of units rather than by
772	772	21 percentage of interest in the common elements allocated to
773	773	22 units that would otherwise be applicable and garage units
774	774	23 or storage units, or both, shall have, in total, no more
775	775	24 votes than their aggregate percentage of ownership in the
776	776	25 common elements; this shall mean that if garage units or
777	777	26 storage units, or both, are to be given a vote, or portion
778	778
779	779
780	780
781	781
782	782
783	783	SB3715 - 21 - LRB103 38640 JRC 68777 b
784	784
785	785
786	786	SB3715- 22 -LRB103 38640 JRC 68777 b SB3715 - 22 - LRB103 38640 JRC 68777 b
787	787	SB3715 - 22 - LRB103 38640 JRC 68777 b
788	788	1 of a vote, that the association must add the total number
789	789	2 of votes cast of garage units, storage units, or both, and
790	790	3 divide the total by the number of garage units, storage
791	791	4 units, or both, and multiply by the aggregate percentage
792	792	5 of ownership of garage units and storage units to
793	793	6 determine the vote, or portion of a vote, that garage
794	794	7 units or storage units, or both, have. For purposes of
795	795	8 this subsection (p), when making a determination of
796	796	9 whether 30% or fewer of the units, by number, possess over
797	797	10 50% in the aggregate of the votes in the association, a
798	798	11 unit shall not include a garage unit or a storage unit.
799	799	12 (q) That a unit owner may not assign, delegate,
800	800	13 transfer, surrender, or avoid the duties,
801	801	14 responsibilities, and liabilities of a unit owner under
802	802	15 this Act, the condominium instruments, or the rules and
803	803	16 regulations of the Association; and that such an attempted
804	804	17 assignment, delegation, transfer, surrender, or avoidance
805	805	18 shall be deemed void.
806	806	19 The provisions of this Section are applicable to all
807	807	20 condominium instruments recorded under this Act. Any portion
808	808	21 of a condominium instrument which contains provisions contrary
809	809	22 to these provisions shall be void as against public policy and
810	810	23 ineffective. Any such instrument which fails to contain the
811	811	24 provisions required by this Section shall be deemed to
812	812	25 incorporate such provisions by operation of law.
813	813	26 (Source: P.A. 102-162, eff. 1-1-22.)
814	814
815	815
816	816
817	817
818	818
819	819	SB3715 - 22 - LRB103 38640 JRC 68777 b
820	820
821	821
822	822	SB3715- 23 -LRB103 38640 JRC 68777 b SB3715 - 23 - LRB103 38640 JRC 68777 b
823	823	SB3715 - 23 - LRB103 38640 JRC 68777 b
824	824	1 (765 ILCS 605/18.4) (from Ch. 30, par. 318.4)
825	825	2 Sec. 18.4. Board Powers and duties of board of managers.
826	826	3 (A) The board of managers shall exercise for the
827	827	4 association all powers, duties and authority vested in the
828	828	5 association by law or the condominium instruments except for
829	829	6 such powers, duties and authority reserved by law to the
830	830	7 members of the association. The powers and duties of the board
831	831	8 of managers shall include, but shall not be limited to, the
832	832	9 following:
833	833	10 (a) To provide for the operation, care, upkeep,
834	834	11 maintenance, replacement and improvement of the common
835	835	12 elements. Nothing in this subsection (a) shall be deemed
836	836	13 to invalidate any provision in a condominium instrument
837	837	14 placing limits on expenditures for the common elements,
838	838	15 provided, that such limits shall not be applicable to
839	839	16 expenditures for repair, replacement, or restoration of
840	840	17 existing portions of the common elements. The term
841	841	18 "repair, replacement or restoration" means expenditures to
842	842	19 deteriorated or damaged portions of the property related
843	843	20 to the existing decorating, facilities, or structural or
844	844	21 mechanical components, interior or exterior surfaces, or
845	845	22 energy systems and equipment with the functional
846	846	23 equivalent of the original portions of such areas.
847	847	24 Replacement of the common elements may result in an
848	848	25 improvement over the original quality of such elements or
849	849
850	850
851	851
852	852
853	853
854	854	SB3715 - 23 - LRB103 38640 JRC 68777 b
855	855
856	856
857	857	SB3715- 24 -LRB103 38640 JRC 68777 b SB3715 - 24 - LRB103 38640 JRC 68777 b
858	858	SB3715 - 24 - LRB103 38640 JRC 68777 b
859	859	1 facilities; provided that, unless the improvement is
860	860	2 mandated by law or is an emergency as defined in item (iv)
861	861	3 of subparagraph (8) of paragraph (a) of Section 18, if the
862	862	4 improvement results in a proposed expenditure exceeding 5%
863	863	5 of the annual budget, the board of managers, upon written
864	864	6 petition by unit owners with 20% of the votes of the
865	865	7 association delivered to the board within 21 days of the
866	866	8 board action to approve the expenditure, shall call a
867	867	9 meeting of the unit owners within 30 days of the date of
868	868	10 delivery of the petition to consider the expenditure.
869	869	11 Unless a majority of the total votes of the unit owners are
870	870	12 cast at the meeting to reject the expenditure, it is
871	871	13 ratified.
872	872	14 (b) To prepare, adopt and distribute the annual budget
873	873	15 for the property.
874	874	16 (c) To levy and expend assessments.
875	875	17 (d) To collect assessments from unit owners.
876	876	18 (e) To provide for the employment and dismissal of the
877	877	19 personnel necessary or advisable for the maintenance and
878	878	20 operation of the common elements.
879	879	21 (f) To obtain adequate and appropriate kinds of
880	880	22 insurance.
881	881	23 (g) To own, convey, encumber, lease, and otherwise
882	882	24 deal with units conveyed to or purchased by it.
883	883	25 (h) To adopt and amend rules and regulations covering
884	884	26 the details of the operation and use of the property,
885	885
886	886
887	887
888	888
889	889
890	890	SB3715 - 24 - LRB103 38640 JRC 68777 b
891	891
892	892
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894	894	SB3715 - 25 - LRB103 38640 JRC 68777 b
895	895	1 after a meeting of the unit owners called for the specific
896	896	2 purpose of discussing the proposed rules and regulations.
897	897	3 Notice of the meeting shall contain the full text of the
898	898	4 proposed rules and regulations, and the meeting shall
899	899	5 conform to the requirements of Section 18(b) of this Act,
900	900	6 except that no quorum is required at the meeting of the
901	901	7 unit owners unless the declaration, bylaws or other
902	902	8 condominium instrument expressly provides to the contrary.
903	903	9 However, no rule or regulation may impair any rights
904	904	10 guaranteed by the First Amendment to the Constitution of
905	905	11 the United States or Section 4 of Article I of the Illinois
906	906	12 Constitution including, but not limited to, the free
907	907	13 exercise of religion, nor may any rules or regulations
908	908	14 conflict with the provisions of this Act or the
909	909	15 condominium instruments. No rule or regulation shall
910	910	16 prohibit any reasonable accommodation for religious
911	911	17 practices, including the attachment of religiously
912	912	18 mandated objects to the front-door area of a condominium
913	913	19 unit.
914	914	20 (i) To keep detailed, accurate records of the receipts
915	915	21 and expenditures affecting the use and operation of the
916	916	22 property.
917	917	23 (j) To have access to each unit from time to time as
918	918	24 may be necessary for the maintenance, repair or
919	919	25 replacement of any common elements or for making emergency
920	920	26 repairs necessary to prevent damage to the common elements
921	921
922	922
923	923
924	924
925	925
926	926	SB3715 - 25 - LRB103 38640 JRC 68777 b
927	927
928	928
929	929	SB3715- 26 -LRB103 38640 JRC 68777 b SB3715 - 26 - LRB103 38640 JRC 68777 b
930	930	SB3715 - 26 - LRB103 38640 JRC 68777 b
931	931	1 or to other units.
932	932	2 (k) To pay real property taxes, special assessments,
933	933	3 and any other special taxes or charges of the State of
934	934	4 Illinois or of any political subdivision thereof, or other
935	935	5 lawful taxing or assessing body, which are authorized by
936	936	6 law to be assessed and levied upon the real property of the
937	937	7 condominium.
938	938	8 (l) To impose charges for late payment of a unit
939	939	9 owner's proportionate share of the common expenses, or any
940	940	10 other expenses lawfully agreed upon, and after notice and
941	941	11 an opportunity to be heard, to levy reasonable fines for
942	942	12 violation of the declaration, by-laws, and rules and
943	943	13 regulations of the association.
944	944	14 (m) By a majority vote of the entire board of
945	945	15 managers, to assign the right of the association to future
946	946	16 income from common expenses or other sources, and to
947	947	17 mortgage or pledge substantially all of the remaining
948	948	18 assets of the association.
949	949	19 (n) To record the dedication of a portion of the
950	950	20 common elements to a public body for use as, or in
951	951	21 connection with, a street or utility where authorized by
952	952	22 the unit owners under the provisions of Section 14.2.
953	953	23 (o) To record the granting of an easement for the
954	954	24 laying of cable television or high speed Internet cable
955	955	25 where authorized by the unit owners under the provisions
956	956	26 of Section 14.3; to obtain, if available and determined by
957	957
958	958
959	959
960	960
961	961
962	962	SB3715 - 26 - LRB103 38640 JRC 68777 b
963	963
964	964
965	965	SB3715- 27 -LRB103 38640 JRC 68777 b SB3715 - 27 - LRB103 38640 JRC 68777 b
966	966	SB3715 - 27 - LRB103 38640 JRC 68777 b
967	967	1 the board to be in the best interests of the association,
968	968	2 cable television or bulk high speed Internet service for
969	969	3 all of the units of the condominium on a bulk identical
970	970	4 service and equal cost per unit basis; and to assess and
971	971	5 recover the expense as a common expense and, if so
972	972	6 determined by the board, to assess each and every unit on
973	973	7 the same equal cost per unit basis.
974	974	8 (p) To seek relief on behalf of all unit owners when
975	975	9 authorized pursuant to subsection (c) of Section 10 from
976	976	10 or in connection with the assessment or levying of real
977	977	11 property taxes, special assessments, and any other special
978	978	12 taxes or charges of the State of Illinois or of any
979	979	13 political subdivision thereof or of any lawful taxing or
980	980	14 assessing body.
981	981	15 (q) To reasonably accommodate the needs of a unit
982	982	16 owner who is a person with a disability as required by the
983	983	17 federal Civil Rights Act of 1968, the Human Rights Act and
984	984	18 any applicable local ordinances in the exercise of its
985	985	19 powers with respect to the use of common elements or
986	986	20 approval of modifications in an individual unit.
987	987	21 (r) To accept service of a notice of claim for
988	988	22 purposes of the Mechanics Lien Act on behalf of each
989	989	23 respective member of the Unit Owners' Association with
990	990	24 respect to improvements performed pursuant to any contract
991	991	25 entered into by the Board of Managers or any contract
992	992	26 entered into prior to the recording of the condominium
993	993
994	994
995	995
996	996
997	997
998	998	SB3715 - 27 - LRB103 38640 JRC 68777 b
999	999
1000	1000
1001	1001	SB3715- 28 -LRB103 38640 JRC 68777 b SB3715 - 28 - LRB103 38640 JRC 68777 b
1002	1002	SB3715 - 28 - LRB103 38640 JRC 68777 b
1003	1003	1 declaration pursuant to this Act, for a property
1004	1004	2 containing more than 8 units, and to distribute the notice
1005	1005	3 to the unit owners within 7 days of the acceptance of the
1006	1006	4 service by the Board of Managers. The service shall be
1007	1007	5 effective as if each individual unit owner had been served
1008	1008	6 individually with notice.
1009	1009	7 (s) To adopt and amend rules and regulations (l)
1010	1010	8 authorizing electronic delivery of notices and other
1011	1011	9 communications required or contemplated by this Act to
1012	1012	10 each unit owner who provides the association with written
1013	1013	11 authorization for electronic delivery and an electronic
1014	1014	12 address to which such communications are to be
1015	1015	13 electronically transmitted; and (2) authorizing each unit
1016	1016	14 owner to designate an electronic address or a U.S. Postal
1017	1017	15 Service address, or both, as the unit owner's address on
1018	1018	16 any list of members or unit owners which an association is
1019	1019	17 required to provide upon request pursuant to any provision
1020	1020	18 of this Act or any condominium instrument.
1021	1021	19 In the performance of their duties, the officers and
1022	1022	20 members of the board, whether appointed by the developer or
1023	1023	21 elected by the unit owners, shall exercise the care required
1024	1024	22 of a fiduciary of the unit owners.
1025	1025	23 The collection of assessments from unit owners by an
1026	1026	24 association, board of managers or their duly authorized agents
1027	1027	25 shall not be considered acts constituting a collection agency
1028	1028	26 for purposes of the Collection Agency Act.
1029	1029
1030	1030
1031	1031
1032	1032
1033	1033
1034	1034	SB3715 - 28 - LRB103 38640 JRC 68777 b
1035	1035
1036	1036
1037	1037	SB3715- 29 -LRB103 38640 JRC 68777 b SB3715 - 29 - LRB103 38640 JRC 68777 b
1038	1038	SB3715 - 29 - LRB103 38640 JRC 68777 b
1039	1039	1 (B) A member of the board charged by information or
1040	1040	2 indictment with any of the following crimes shall be removed
1041	1041	3 from office:
1042	1042	4 (a) Forgery of a ballot envelope or voting certificate
1043	1043	5 used in a homeowners' association election;
1044	1044	6 (b) Theft or embezzlement involving the association's
1045	1045	7 funds or property;
1046	1046	8 (c) Destruction of or the refusal to allow inspection
1047	1047	9 or copying of an official record of a homeowners'
1048	1048	10 association which is accessible to parcel owners within
1049	1049	11 the time periods required by general law, in furtherance
1050	1050	12 of any crime;
1051	1051	13 (d) Any fraudulent voting activity relating to
1052	1052	14 association elections including:
1053	1053	15 (i) Willfully and falsely swearing to or affirming
1054	1054	16 an oath or affirmation, or willfully procuring another
1055	1055	17 person to falsely swear to or affirm an oath or
1056	1056	18 affirmation, in connection with or arising out of
1057	1057	19 voting activities.
1058	1058	20 (ii) Perpetrating or attempting to perpetrate, or
1059	1059	21 aiding in the perpetration of, fraud in connection
1060	1060	22 with a vote cast, to be cast, or attempted to be cast.
1061	1061	23 (iii) Preventing a member from voting or
1062	1062	24 preventing a member from voting as he or she intended
1063	1063	25 by fraudulently changing or attempting to change a
1064	1064	26 ballot, ballot envelope, vote, or voting certificate
1065	1065
1066	1066
1067	1067
1068	1068
1069	1069
1070	1070	SB3715 - 29 - LRB103 38640 JRC 68777 b
1071	1071
1072	1072
1073	1073	SB3715- 30 -LRB103 38640 JRC 68777 b SB3715 - 30 - LRB103 38640 JRC 68777 b
1074	1074	SB3715 - 30 - LRB103 38640 JRC 68777 b
1075	1075	1 of the member.
1076	1076	2 (iv) Menacing, threatening, or using bribery or
1077	1077	3 any other corruption to attempt, directly or
1078	1078	4 indirectly, to influence, deceive, or deter a member
1079	1079	5 when the member is voting.
1080	1080	6 (v) Giving or promising, directly or indirectly,
1081	1081	7 anything of value to another member with the intent to
1082	1082	8 buy the vote of that member or another member or to
1083	1083	9 corruptly influence that member or another member in
1084	1084	10 casting his or her vote. This subsection does not
1085	1085	11 apply to any food served which is to be consumed at an
1086	1086	12 election rally or a meeting or to any item of nominal
1087	1087	13 value which is used as an election advertisement,
1088	1088	14 including a campaign message designed to be worn by a
1089	1089	15 member.
1090	1090	16 (vi) Using or threatening to use, directly or
1091	1091	17 indirectly, force, violence, or intimidation or any
1092	1092	18 tactic of coercion or intimidation to induce or compel
1093	1093	19 a member to vote or refrain from voting in an election
1094	1094	20 or on a particular ballot measure.
1095	1095	21 The board shall fill vacancies in accordance with Section
1096	1096	22 18(a)(13). If such criminal charge is pending against the
1097	1097	23 officer or director, he or she may not be appointed or elected
1098	1098	24 to a position on the board of directors of any association and
1099	1099	25 may not have access to the official records of any
1100	1100	26 association, except by court order. If charges are resolved
1101	1101
1102	1102
1103	1103
1104	1104
1105	1105
1106	1106	SB3715 - 30 - LRB103 38640 JRC 68777 b
1107	1107
1108	1108
1109	1109	SB3715- 31 -LRB103 38640 JRC 68777 b SB3715 - 31 - LRB103 38640 JRC 68777 b
1110	1110	SB3715 - 31 - LRB103 38640 JRC 68777 b
1111	1111	1 without a finding of guilt or without acceptance of a plea of
1112	1112	2 guilty or nolo contendere, the member of the board shall be
1113	1113	3 reinstated for any remainder of their term.
1114	1114	4 (C) Members of the board who are appointed by the
1115	1115	5 developer must disclose to the association their relationship
1116	1116	6 to the developer each calendar year in which they serve on the
1117	1117	7 board. Members appointed by the developer must disclose any
1118	1118	8 other activity that may reasonably be construed to be a
1119	1119	9 conflict of interest.
1120	1120	10 (D) Members of the board must disclose any activity that
1121	1121	11 may be reasonably construed to be a conflict of interest at
1122	1122	12 least 14 days before voting on an issue or entering into a
1123	1123	13 contract that is the subject of the conflict. A rebuttable
1124	1124	14 presumption of a conflict of interest exists if any of the
1125	1125	15 following acts occur without prior disclosure to the
1126	1126	16 association:
1127	1127	17 (i) A member of the board or their relative enters
1128	1128	18 into a contract for goods or services with the
1129	1129	19 association.
1130	1130	20 (ii) A member of the board or their relative holds an
1131	1131	21 interest in a corporation, limited liability company,
1132	1132	22 partnership, limited liability partnership, or other
1133	1133	23 business entity that conducts business with the
1134	1134	24 association or proposes to enter into a contract or other
1135	1135	25 transaction with the associations.
1136	1136	26 The provisions of this Section are applicable to all
1137	1137
1138	1138
1139	1139
1140	1140
1141	1141
1142	1142	SB3715 - 31 - LRB103 38640 JRC 68777 b
1143	1143
1144	1144
1145	1145	SB3715- 32 -LRB103 38640 JRC 68777 b SB3715 - 32 - LRB103 38640 JRC 68777 b
1146	1146	SB3715 - 32 - LRB103 38640 JRC 68777 b
1147	1147	1 condominium instruments recorded under this Act. Any portion
1148	1148	2 of a condominium instrument which contains provisions contrary
1149	1149	3 to these provisions shall be void as against public policy and
1150	1150	4 ineffective. Any such instrument that fails to contain the
1151	1151	5 provisions required by this Section shall be deemed to
1152	1152	6 incorporate such provisions by operation of law.
1153	1153	7 (Source: P.A. 99-143, eff. 7-27-15; 99-849, eff. 1-1-17;
1154	1154	8 100-292, eff. 1-1-18.)
1155	1155	9 (765 ILCS 605/19) (from Ch. 30, par. 319)
1156	1156	10 Sec. 19. Records of the association; availability for
1157	1157	11 examination.
1158	1158	12 (a) The board of managers of every association shall keep
1159	1159	13 and maintain the following records, or true and complete
1160	1160	14 copies of these records, at the association's principal
1161	1161	15 office:
1162	1162	16 (1) the association's declaration, bylaws, and plats
1163	1163	17 of survey, and all amendments of these;
1164	1164	18 (2) the rules and regulations of the association, if
1165	1165	19 any;
1166	1166	20 (3) if the association is incorporated as a
1167	1167	21 corporation, the articles of incorporation of the
1168	1168	22 association and all amendments to the articles of
1169	1169	23 incorporation;
1170	1170	24 (4) minutes of all meetings of the association and its
1171	1171	25 board of managers for the immediately preceding 7 years;
1172	1172
1173	1173
1174	1174
1175	1175
1176	1176
1177	1177	SB3715 - 32 - LRB103 38640 JRC 68777 b
1178	1178
1179	1179
1180	1180	SB3715- 33 -LRB103 38640 JRC 68777 b SB3715 - 33 - LRB103 38640 JRC 68777 b
1181	1181	SB3715 - 33 - LRB103 38640 JRC 68777 b
1182	1182	1 (5) all current policies of insurance of the
1183	1183	2 association;
1184	1184	3 (6) all contracts, leases, and other agreements then
1185	1185	4 in effect to which the association is a party or under
1186	1186	5 which the association or the unit owners have obligations
1187	1187	6 or liabilities;
1188	1188	7 (7) a current listing of the names, addresses, email
1189	1189	8 addresses, telephone numbers, and weighted vote of all
1190	1190	9 members entitled to vote;
1191	1191	10 (8) ballots and proxies related to ballots for all
1192	1192	11 matters voted on by the members of the association during
1193	1193	12 the immediately preceding 12 months, including, but not
1194	1194	13 limited to, the election of members of the board of
1195	1195	14 managers;
1196	1196	15 (9) the books and records for the association's
1197	1197	16 current and 10 immediately preceding fiscal years,
1198	1198	17 including, but not limited to, itemized and detailed
1199	1199	18 records of all receipts, expenditures, and accounts; and
1200	1200	19 (10) any reserve study.
1201	1201	20 (b) Any member of an association shall have the right to
1202	1202	21 inspect, examine, and make copies of the records described in
1203	1203	22 subdivisions (1), (2), (3), (4), (5), (6), (9), and (10) of
1204	1204	23 subsection (a) of this Section, in person or by agent, at any
1205	1205	24 reasonable time or times, at the association's principal
1206	1206	25 office. In order to exercise this right, a member must submit a
1207	1207	26 written request to the association's board of managers or its
1208	1208
1209	1209
1210	1210
1211	1211
1212	1212
1213	1213	SB3715 - 33 - LRB103 38640 JRC 68777 b
1214	1214
1215	1215
1216	1216	SB3715- 34 -LRB103 38640 JRC 68777 b SB3715 - 34 - LRB103 38640 JRC 68777 b
1217	1217	SB3715 - 34 - LRB103 38640 JRC 68777 b
1218	1218	1 authorized agent, stating with particularity the records
1219	1219	2 sought to be examined. Failure of an association's board of
1220	1220	3 managers to make available all records so requested within 10
1221	1221	4 business days of receipt of the member's written request shall
1222	1222	5 be deemed a denial.
1223	1223	6 Any member who prevails in an enforcement action to compel
1224	1224	7 examination of records described in subdivisions (1), (2),
1225	1225	8 (3), (4), (5), (6), (9), and (10) of subsection (a) of this
1226	1226	9 Section shall be entitled to recover reasonable attorney's
1227	1227	10 fees and costs from the association.
1228	1228	11 (c) (Blank).
1229	1229	12 (d) (Blank).
1230	1230	13 (d-5) As used in this Section, "commercial purpose" means
1231	1231	14 the use of any part of a record or records described in
1232	1232	15 subdivisions (7) and (8) of subsection (a) of this Section, or
1233	1233	16 information derived from such records, in any form for sale,
1234	1234	17 resale, or solicitation or advertisement for sales or
1235	1235	18 services.
1236	1236	19 (e) Except as otherwise provided in subsection (g) of this
1237	1237	20 Section, any member of an association shall have the right to
1238	1238	21 inspect, examine, and make copies of the records described in
1239	1239	22 subdivisions (7) and (8) of subsection (a) of this Section, in
1240	1240	23 person or by agent, at any reasonable time or times but only
1241	1241	24 for a purpose that relates to the association, at the
1242	1242	25 association's principal office. In order to exercise this
1243	1243	26 right, a member must submit a written request, to the
1244	1244
1245	1245
1246	1246
1247	1247
1248	1248
1249	1249	SB3715 - 34 - LRB103 38640 JRC 68777 b
1250	1250
1251	1251
1252	1252	SB3715- 35 -LRB103 38640 JRC 68777 b SB3715 - 35 - LRB103 38640 JRC 68777 b
1253	1253	SB3715 - 35 - LRB103 38640 JRC 68777 b
1254	1254	1 association's board of managers or its authorized agent,
1255	1255	2 stating with particularity the records sought to be examined.
1256	1256	3 As a condition for exercising this right, the board of
1257	1257	4 managers or authorized agent of the association may require
1258	1258	5 the member to certify in writing that the information
1259	1259	6 contained in the records obtained by the member will not be
1260	1260	7 used by the member for any commercial purpose or for any
1261	1261	8 purpose that does not relate to the association. The board of
1262	1262	9 managers of the association may impose a fine in accordance
1263	1263	10 with item (l) of Section 18.4 upon any person who makes a false
1264	1264	11 certification. Subject to the provisions of subsection (g) of
1265	1265	12 this Section, failure of an association's board of managers to
1266	1266	13 make available all records so requested within 10 business
1267	1267	14 days of receipt of the member's written request shall be
1268	1268	15 deemed a denial; provided, however, that the board of managers
1269	1269	16 of an association that has adopted a secret ballot election
1270	1270	17 process as provided in Section 18 of this Act shall not be
1271	1271	18 deemed to have denied a member's request for records described
1272	1272	19 in subdivision (8) of subsection (a) of this Section if voting
1273	1273	20 ballots, without identifying unit numbers, are made available
1274	1274	21 to the requesting member within 10 business days of receipt of
1275	1275	22 the member's written request.
1276	1276	23 Any member who prevails in an enforcement action to compel
1277	1277	24 examination of records described in subdivision (7) or (8) of
1278	1278	25 subsection (a) of this Section shall be entitled to recover
1279	1279	26 reasonable attorney's fees and costs from the association only
1280	1280
1281	1281
1282	1282
1283	1283
1284	1284
1285	1285	SB3715 - 35 - LRB103 38640 JRC 68777 b
1286	1286
1287	1287
1288	1288	SB3715- 36 -LRB103 38640 JRC 68777 b SB3715 - 36 - LRB103 38640 JRC 68777 b
1289	1289	SB3715 - 36 - LRB103 38640 JRC 68777 b
1290	1290	1 if the court finds that the board of directors acted in bad
1291	1291	2 faith in denying the member's request.
1292	1292	3 (f) The actual cost to the association of retrieving and
1293	1293	4 making requested records available for inspection and
1294	1294	5 examination under this Section may be charged by the
1295	1295	6 association to the requesting member. If a member requests
1296	1296	7 copies of records requested under this Section, the actual
1297	1297	8 costs to the association of reproducing the records may also
1298	1298	9 be charged by the association to the requesting member.
1299	1299	10 (g) Notwithstanding the provisions of subsection (e) of
1300	1300	11 this Section, unless otherwise directed by court order, an
1301	1301	12 association need not make the following records available for
1302	1302	13 inspection, examination, or copying by its members:
1303	1303	14 (1) documents relating to appointment, employment,
1304	1304	15 discipline, or dismissal of association employees;
1305	1305	16 (2) documents relating to actions pending against or
1306	1306	17 on behalf of the association or its board of managers in a
1307	1307	18 court or administrative tribunal;
1308	1308	19 (3) documents relating to actions threatened against,
1309	1309	20 or likely to be asserted on behalf of, the association or
1310	1310	21 its board of managers in a court or administrative
1311	1311	22 tribunal;
1312	1312	23 (4) documents relating to common expenses or other
1313	1313	24 charges owed by a member other than the requesting member;
1314	1314	25 and
1315	1315	26 (5) documents provided to an association in connection
1316	1316
1317	1317
1318	1318
1319	1319
1320	1320
1321	1321	SB3715 - 36 - LRB103 38640 JRC 68777 b
1322	1322
1323	1323
1324	1324	SB3715- 37 -LRB103 38640 JRC 68777 b SB3715 - 37 - LRB103 38640 JRC 68777 b
1325	1325	SB3715 - 37 - LRB103 38640 JRC 68777 b
1326	1326	1 with the lease, sale, or other transfer of a unit by a
1327	1327	2 member other than the requesting member.
1328	1328	3 (h) The provisions of this Section are applicable to all
1329	1329	4 condominium instruments recorded under this Act. Any portion
1330	1330	5 of a condominium instrument that contains provisions contrary
1331	1331	6 to these provisions shall be void as against public policy and
1332	1332	7 ineffective. Any condominium instrument that fails to contain
1333	1333	8 the provisions required by this Section shall be deemed to
1334	1334	9 incorporate the provisions by operation of law.
1335	1335	10 (i) Failure to provide the requested documents within the
1336	1336	11 prescribed timeframe shall result in a fine of not more than
1337	1337	12 $2,500.
1338	1338	13 (Source: P.A. 102-921, eff. 5-27-22.)
1339	1339	14 (765 ILCS 605/32)
1340	1340	15 Sec. 32. Alternate dispute resolution; mediation;
1341	1341	16 arbitration.
1342	1342	17 (a) The declaration or bylaws of a condominium association
1343	1343	18 shall may require mediation or arbitration of disputes in
1344	1344	19 which the matter in controversy has either no specific
1345	1345	20 monetary value or a value of $10,000 or less, other than the
1346	1346	21 levying and collection of assessments, or that arises out of
1347	1347	22 violations of the declaration, bylaws, or rules and
1348	1348	23 regulations of the condominium association. The declaration or
1349	1349	24 bylaws of a condominium association may require mediation or
1350	1350	25 arbitration of disputes for all other disputes. A dispute not
1351	1351
1352	1352
1353	1353
1354	1354
1355	1355
1356	1356	SB3715 - 37 - LRB103 38640 JRC 68777 b
1357	1357
1358	1358
1359	1359	SB3715- 38 -LRB103 38640 JRC 68777 b SB3715 - 38 - LRB103 38640 JRC 68777 b
1360	1360	SB3715 - 38 - LRB103 38640 JRC 68777 b
1361	1361	1 required to be mediated or arbitrated by an association
1362	1362	2 pursuant to its powers under this Section, that is submitted
1363	1363	3 to mediation or arbitration by the agreement of the
1364	1364	4 disputants, is also subject to this Section.
1365	1365	5 (b) The Illinois Uniform Arbitration Act shall govern all
1366	1366	6 arbitrations proceeding under this Section.
1367	1367	7 (b-5) The Uniform Mediation Act shall govern all
1368	1368	8 mediations proceeding under this Section.
1369	1369	9 (c) The association may require the disputants to bear the
1370	1370	10 costs of mediation or arbitration.
1371	1371	11 (Source: P.A. 93-399, eff. 1-1-04.)
1372	1372	SB3715- 39 -LRB103 38640 JRC 68777 b 1 INDEX 2 Statutes amended in order of appearance SB3715- 39 -LRB103 38640 JRC 68777 b SB3715 - 39 - LRB103 38640 JRC 68777 b 1 INDEX 2 Statutes amended in order of appearance
1373	1373	SB3715- 39 -LRB103 38640 JRC 68777 b SB3715 - 39 - LRB103 38640 JRC 68777 b
1374	1374	SB3715 - 39 - LRB103 38640 JRC 68777 b
1375	1375	1 INDEX
1376	1376	2 Statutes amended in order of appearance
1377	1377
1378	1378
1379	1379
1380	1380
1381	1381
1382	1382	SB3715 - 38 - LRB103 38640 JRC 68777 b
1383	1383
1384	1384
1385	1385
1386	1386	SB3715- 39 -LRB103 38640 JRC 68777 b SB3715 - 39 - LRB103 38640 JRC 68777 b
1387	1387	SB3715 - 39 - LRB103 38640 JRC 68777 b
1388	1388	1 INDEX
1389	1389	2 Statutes amended in order of appearance
1390	1390
1391	1391
1392	1392
1393	1393
1394	1394
1395	1395	SB3715 - 39 - LRB103 38640 JRC 68777 b