Legislation

Legislative Update – New Laws and Regulations Enacted in 2023

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During the legislative session that began in January of this year, numerous bills impacting community associations and the community association industry were filed by various legislators in the House and Senate.  The Illinois Legislative Action Committee (ILAC) reviewed those bills and engaged sponsors and other stakeholders as necessary to protect community associations and the community association industry.  Below are the most significant new laws enacted in 2023 impacting community associations.

Public Act 103-0296 (Effective July 28, 2023)

Public Act 103-0296 (formerly HB2174) amends the Homeowners’ Energy Policy Statement Act (HEPSA).  These changes follow the changes to HEPSA in 2021.  HB2174 was introduced at the request of members of the solar panel industry to address issues their customers have allegedly run into with homeowner associations since those 2021 changes.  The bill presented several issues concerning ILAC because they would adversely impact associations administratively, financially, and could increase the likelihood of litigation.  For example, language in the bill as introduced was broad and could have limited an association’s ability to regulate when, where, and how construction equipment and materials could be stored.  ILAC successfully amended that language to ensure that equipment and materials cannot be stored on common area or other owner’s property.  Also, ILAC successfully worked with those parties to amend the bill and ensure that associations have an opportunity to cure before an owner can simply install solar panels without permission.  ILAC successfully addressed other issues that shaped the bill as enacted.  The bill was signed into law on July 28, 2023 becoming Public Act 103-0296 and became effective July 28, 2023.

For more information and to review the actual text of the Public Act, please visit the Illinois General Assembly website (www.ilga.gov).

Public Act 103-0161 (Effective January 1, 2024)

Public Act 103-0161 (formerly HB2562) amends the Condominium Property Act (CPA), the Common Interest Community Association Act (CICAA), and the Landlord and Tenant Act.  With respect to the CPA and CICAA, the Act creates new similar sections in each statute.  Those new sections establish minimum heating and cooling requirements applicable to associations in which their respective declarations limit ownership, rental, or occupancy of a unit to a person 55 years of age or older.

Generally, buildings that have a central cooling system serving all units must ensure that it operates when the heat index exceeds 80 degrees Fahrenheit.  Buildings with a central heating system serving all units must maintain specified minimum temperatures during cold months (at least 68 degrees Fahrenheit during waking hours; at least 62 degrees during sleeping hours). A building that does not have a central cooling system serving all units should provide at least one indoor common gathering space in which a cooling system operates when the heat index exceeds 80 degrees Fahrenheit.

The bill as introduced was problematic to community associations because it would have imposed requirements that were administratively and financially burdensome.  ILAC successfully worked closely with the sponsor to narrow the scope of the bill and to ensure that it was more along the lines of similar legislation and ordinances.  The bill was signed into law June 30, 2023 becoming Public Act 103-0161 and will become effective January 1, 2024.

For more information and to review the actual text of the Public Act, please visit the Illinois General Assembly website (www.ilga.gov). 

Public Act 103-0053 (Effective January 1, 2024)

Public Act 103-0053 (formerly SB40) creates the Electric Vehicle Charging Act, an new statute.  As introduced, this bill was similar to bills introduced in previous legislative sessions.  This time around, more interested parties become involved in shaping the bill.  The bill impacted several industries, not just community associations.  As was the case with previous similar bills, ILAC worked closely with the sponsor and proponents to have the bill amended as it pertains to community associations.  One significant issue involved language in the bill that could have a significant adverse financial impact on an association.  As introduced, the bill would have imposed requirements related to electric vehicle changing stations applicable to a community association if that association embarked on a project that would have fallen under the term “renovate” (as that term was defined in the bill).  ILAC was successful in removing that problematic language.  In its amended form, the bill provided that an association cannot prohibit electric vehicle charging stations.  It also sets forth procedures and requirements to be followed when an individual owner desires to install an electric vehicle charging station for their personal use.  The bill was signed into law on June 9, 2023 becoming Public Act 103-0053 and will become effective January 1, 2024.

For more information and to review the actual text of the Public Act, please visit the Illinois General Assembly website (www.ilga.gov).

Public Act 103-0486 (Effective January 1, 2024)

Public Act 103-0486 (formerly SB1460) amends CICAA by adding a new subsection (k) to Section 1-30.  Among other things, Section 1-30 sets forth duties and obligations of the board of managers/directors.  The new subsection (k) expressly grants the board the authority to contract with the highway commissioner to furnish maintenance and repair to roads situated in the association.  That authority is limited to situations when the association comprises 50% or more of the population of the township or road district in which it is located.  The bill was signed into law on August 4, 2023 becoming Public Act 103-0486 and will become effective January 1, 2024.

For more information and to review the actual text of the Public Act, please visit the Illinois General Assembly website (www.ilga.gov).

Administrative Rules (Effective June 2, 2023)

On June 2, 2023, changes to the Illinois Administrative Code Part 1445 governing community association managers became effective (68 Ill. Adm. Code 1445). These new administrative rules were prepared by the Illinois Department of Financial and Professional Regulation to supplement recent changes to the Community Association Manager Licensing and Disciplinary Act.  There are several important changes in the rules for community association managers to be aware of.  One of the most significant is the requirement the community association management firms now must be licensed.  CAI-IL Chapter and ILAC have published information to assist community association managers in understanding these changes to the administrative rules. 

For more information, please visit the Illinois Department of Financial and Professional Regulation website (https://idfpr.illinois.gov/profs/cam.html).

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Kristofer Kasten

Kristofer D. Kasten is a principal and founding member of Bartzen Rosenlund Kasten LLC (“BRK”). BRK is a boutique law firm focusing on the representation of...

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