February 11, 2022 State Capitol Report

Senate in Springfield; House Holds Virtual Committees

Senators returned to Springfield this week for scheduled session days as the House convened only virtually for committee hearings. Thursday was the deadline for Senate bills to make it out of committee for this spring session and with very little floor action from the Senate, all substantive legislative action was conducted in committees. Below is recap of a few bills that were heard in committee this week, but also several Active Bills of Interest that the Illinois REALTORS® Legislative Team are engaged in and will be discussed as early as next week.

This Week in Springfield

This Week in Committee

SB 3789 (Rep. Morrison, D-29th, Highwood) – The bill creates the Decennial Committees on Local Government Consolidation and Efficiency Act.  At least once every 10 years each unit of local government may form a committee to study and provide a report for possible consolidation.  The Illinois REALTORS® applaud the efforts of this bill as consolidation of government will reduce the tax burden throughout the state. SB 3789 passed through the Senate Executive Committee with a 16-0-0 vote

SB 3894 (Sen. Munoz, D-1st, Chicago) Amends the Department of Revenue Law of the Civil Administrative Code of Illinois and requires the Department of Revenue to conduct a property tax assessment process study. Also, the bill amends the Property Tax code, limiting increases in the assessment of any commercial or residential property to 15% over the assessed value in the previous tax year and 40% in any 3-year period. Provides that in Cook County, whenever the chief county assessment officer of the county substantively changes the procedure by which he or she assesses properties, the chief county assessment officer shall hold a 60-day public comment period to receive input from members of the public before the change takes effect. SB 3894 is limited to Cook County but may apply in other counties by ordinance or resolution of the county board. SB 3894 passed through the Senate Revenue Committee by 11-0-0 vote.

Active Bills of Interest

HB 4322 (Rep. Tarver, D-25th, Chicago) The Residential Real Property Seller Disclosure Act provides that if a seller is involved in specified types of transfers, the seller is exempt from the Act, regardless of whether a disclosure report is delivered. Provides that the seller shall deliver to the prospective buyer the written disclosure report before the signing of a contract (rather than before the signing of a written agreement by the seller and prospective buyer that would require the prospective buyer to accept a transfer of the residential real property). Provides that if, prior to closing, any seller becomes aware (rather than has actual knowledge) of an error, inaccuracy, or omission in any prior disclosure report or supplement after delivery of that disclosure report or supplement to a prospective buyer, that seller shall supplement the prior disclosure report. The Illinois REALTORS® Legislative and Legal team met with the bill sponsor, staff and stakeholders on their proposal that would update the Residential Real Property Disclosure Act within the seller disclosure law. The parties had a productive meeting and collaboratively came up with a revised draft of the bill that Illinois REALTORS® can SUPPORT. We expect the amended version of the bill to be heard in House Judiciary – Civil Committee next week.

HB 4374 (Rep. Didech, D – 59th, Buffalo Grove) The Vacancy Fraud Act would allow a taxing body to file a vacancy fraud complaint if a property is receiving vacancy relief and the property owner is not actively attempting to sell the property. After a very productive meeting with other stakeholders and staff, the Illinois REALTORS® Legislative Team are highly anticipating an amended version that would narrow the scope of the bill to addressing concerns within a Cook County assessment valuation reduction program. In current form, HB 4374 would address all vacant properties throughout the state. The Illinois REALTORS® would continue to OPPOSE any version that does not specially address the Cook County program. We expect the amended version to be heard in the House Revenue and Finance Property Tax Subcommittee next week.

Recently appointed State Representative and REALTOR® Sandra Hamilton has introduced the Eviction Moratorium Clarification Act. HB 5415 (Rep. Hamilton, R – 99th, Springfield) provides that in any eviction moratorium issued by the Governor through Executive order or legislation and is passed by the General Assembly, the moratorium shall not prohibit the eviction of specified individuals. The Act also provides that evictions may be filed, commenced, and enforced against the specified individuals, along with any individuals who otherwise fail to meet the state requirements of an eviction moratorium. HB 5415 also provides that in a rental or lease agreement in which utility payments are included in the rent payment, the landlord or property manager shall not be responsible for a tenant’s portion of a monthly utility payment for a tenant not paying rent who is protected by an eviction moratorium if the utility charges for that tenant are for more than 20% higher usage than any month in the previous year. The Illinois REALTORS® strongly SUPPORT HB 5415 and are looking forward to the bill being discussed in next week’s House Housing Committee.

HB 4482 (Rep. Conroy, D-46th, Villa Park) Creates the Water Heater Safety Valve Act. Provides that a manufacturer or supplier of a hot water heater for use in a residential home or facility must supply or attach a temperature mixing valve or other safety valve to the hot water heater or tank that prevents water with a temperature above 120 degrees Fahrenheit from coming from any bathtub faucet, shower faucet, sink faucet, or any other source of water into direct contact with a person. HB 4482 also amends the Illinois Plumbing License Law to provide that a person engaged in plumbing who installs a water heater or tank for use in a residence or residential facility located in Illinois must supply or attach a temperature mixing valve or other safety valve to the water heater or tank that prevents water with a temperature above 120 degrees Fahrenheit from coming from any bathtub faucet, shower faucet, sink faucet, or any other source of water into direct contact with a person. The Illinois REALTORS® Legislative Team continue to have our eye on any legislation that would potentially require water temperature safety valves in all residential dwellings. As HB 4482 is currently written the bill would essentially require plumbers to install safety valve during the time of installation of water heaters. We will continue to monitor this legislation and we expect it to be heard next week in the House Labor and Commerce Committee.

At A Glance

Next week promises to be an extremely busy week with several bills posted for hearings that we will be in opposition to, currently amending and supporting. Bills that we will be actively engage in include provisions for mold inspections, extending the eviction sealing sunset provision, denying landlords access to their property, expanding property disclosures, land title changes, allowing condo HOAs to charge fees for copying records for real estate transactions, and many many more. Turn in next week for further updates.

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