Updated Statutory Disclosure Requirements for Illinois Condominium and Community Associations
April 18, 2022
The Illinois legislature recently approved two pieces of legislation that amend the Illinois Condominium Property Act (“ICPA”) and Common Interest Community Association Act (“CICAA”) and update the disclosure requirements for condominium and community associations. If these pieces of legislation are either signed by the Governor or are not vetoed by the Governor by June 6, 2022 (which they are not expected to be), these changes to ICPA and CICAA will be effective as of January 1, 2023 and are summarized below.
House Bill No. 4158
House Bill No. 4158 (“HB 4158”) adds “any reserve study” to the list of documents required to be made available to unit owners for inspection under Section 19 of ICPA or Section 1-30(l) of CICAA. As such, beginning on January 1, 2023, Illinois condominium associations and community associations that are subject to CICAA must make a copy of the reserve study available to requesting unit owners.
In addition, HB 4158 extends the requirement for associations to comply with the Condominium and Common Interest Community Ombudsperson Act to January 1, 2024. Click here for our article on the Condominium and Common Interest Ombudsperson Act. Text of HB 4158 is available here.
House Bill No. 5246
House Bill No. 5246 (“HB 5246”) reduces the timeframe for condominium associations to provide certain disclosures under Section 22.1 of ICPA (unit resales) from 30 days to 10 business days. HB 5246 also caps the fees for the production of documents under Section 22.1 of ICPA at $375 (with annual adjustments based on the “Consumer price index-u”) and allows for an additional $100 charge “for rush service completed within 72 hours”. As noted above, this change to ICPA takes effect as of January 1, 2023. Text of HB 5246 is available here.
Condominium and community associations should be mindful of the above changes to ICPA and CICAA to ensure compliance with the updated disclosure requirements that take effect starting in 2023.
LP is committed to keeping our community association clients informed of, and prepared to proactively and successfully navigate, any changes in the law. For questions regarding required statutory disclosures or other issues facing your condominium or community association, please contact Howard Dakoff, Laura Marinelli, Adam Kahn, or Molly Mackey of LP’s Community Association Group.