Market Conduct Reforms

Market conduct issues in the Illinois title insurance industry were highlighted through legislative hearings in 2016, and were the focus of various regulatory actions over the course of 2017 and 2018, with additional cease and desist actions this year.

In order to address some of the issues that have been raised by the Illinois General Assembly, the Illinois Department of Financial and Professional Regulation, and members of the title insurance community, the Illinois Land Title Association is proposing a comprehensive package of market conduct reforms that involve:

  • Rate regulation through a rating bureau with a file and approve requirement;
  • Title agent entity licensing structured to utilize the current registration process; and
  • Specific prohibited acts to address improper inducements and referrals.

Click here for the legislation. Click here to download a PDF summary of these proposals.

Additional Background on Illinois Market Conduct Reform Legislation

Numerous stakeholders have been engaged regarding the Illinois Land Title Association market conduct legislation, including underwriter and agent members of the association, Illinois State Bar Association, Chicago Bar Association, Illinois Real Estate Lawyers Association, Illinois Bankers Association, Illinois Community Bankers Association, Illinois Credit Union League, Corporate Fiduciaries Association of Illinois, Illinois Realtors, and Illinois Department of Financial and Professional Regulation.

Each portion of the proposed legislation is intended be part of a comprehensive package that offers an opportunity for compromise in order to avoid more onerous "corrections" that the Illinois General Assembly and state regulators may force on title industry in the future. As language continues to be reviewed regarding this comprehensive legislation, it is important to consult current state and federal laws, as well as initiatives in other states:

Rate Regulation Considerations

The lack of rate regulation in Illinois was of particular focus during legislative hearings in 2016, and rate transparency has continued to be the focus of various regulatory actions over the course of 2017 and 2018, with additional cease and desist actions this year.

In the review of other state rate regulation structures, promulgated rates dictated through a state agency appears to create a burdensome regulatory structure that dictates rates and risks not having sufficient interaction with the industry, while file and use rate structures risk unchecked market conduct.

Ultimately, rate regulation through the authorization of a rating organization, otherwise referred to as a rating bureau, allows for better interaction between the state and the industry, while ensuring greater compliance. Under the authority and oversight of the Illinois Department of Financial and Professional Regulation (IDFPR), all rates to be charged to parties to a transaction must be filed and approved. This filing may be done by a rating organization on behalf of title insurance companies that subscribe to the organization, or an individual title company can take on the cost of obtaining approval of fees it proposes to use.

In creating a statutory framework that authorizes a rating organization, which is encompassed in Section 18.2 of the legislation, it is important to include language that ensures interaction and approval by the state regulator in order to avoid anti-trust issues as much as possible. Numerous other states currently authorize rating organizations, which are noted below along with citations to cases that involved anti-trust issues:

  • Arizona, rating organization authorization continues but certain industry activity led to an anti-trust suit upheld in US v. Title Ins. Rating Bureau of Arizona, 517 F. Supp. 1053 (D. Ariz. 1981)
  • Delaware, anti-trust suit denied in McCray v. Fid. Nat'l Title Ins. Co., 682 F.3d 229 (3d Cir. 2012), certiorari denied, McCray v. Fid. Nat'l Title Ins. Co., 568 U.S. 1186, 133 S. Ct. 1242 (2013)
  • Indiana
  • Louisiana
  • New Jersey, anti-trust suit denied in conjunction with McCray v. Fid. Nat'l Title Ins. Co., 682 F.3d 229 (3d Cir. 2012)
  • New York
  • North Carolina
  • Ohio
  • Pennsylvania, anti-trust suit denied in In re Pa. Title Ins. Antitrust Litig., No. 08cv1202-WY, 2010 U.S. Dist. LEXIS 127098, at *35-40 (E.D. Pa. Nov. 30, 2010), citing Ticor I & II
  • Washington

Title Agent Entity Licensing

The Illinois Title Insurance Act currently requires IDFPR to go through a title underwriter to examine the actions of a title insurance agent, 215 ILCS 155/12(b), and also relies on a title agent “registration” application that is submitted by title underwriters, 215 ILCS 155/16.

Title agent regulation through entity licensing and the authorization of more direct examination of title agents allows IDFPR to better assess market conduct while also balancing against burdensome individual licensing requirements that are seen in other states. The entity licensing proposals encompassed in Sections 3, 12, and 16 of the legislation attempt to provide IDFPR a reasonable platform for enforcement, with statutory codification of specific prohibited acts to provide a clearer framework for both title industry actors as well as the state regulator, as explained more below. Additionally, entity licensing as opposed to individual licensing is more consistent with the current entity registration structure in Illinois; entity licensing also does not open title agents to unnecessary qualifications, continuing education, and licensing of lower level staff as is required in other states.

Specific Prohibited Acts to Address Improper Inducements and Referrals

In promoting market conduct reforms, current state and federal laws as well as related regulatory guidance form the basis of additions being proposed to Section 21 of the Illinois Title Insurance Act. Nearly all of the proposed additions in the legislation regarding improper inducements and referrals are currently contained in federal law or state regulations, and statutory codification provides a clearer framework for both title industry actors as well as the state regulator:

For more information regarding real estate transactions, including volume and prices throughout the state, see the Illinois Realtors' archived databased:

Issues with Blockchain & Distributed Ledgers in Real Estate

The Illinois Land Title Association supports several state legislative recommendations made by the Illinois Blockchain and Distributed Ledger Task Force, including consideration of the Uniform Electronic Transactions Act and modernization of notary-related statutes. Blockchain may assure the security of electronic filings and provide an abstract of information from governmental entities; however, blockchain does not insure the effect or validity of recorded documents or provide constructive notice of those documents.

For a one-page white paper of ILTA's position regarding blockchain and distributed ledgers in real estate, click here.

A senior ILTA individual and long-time contributor, who is also an active member of the Illinois State Bar Association, Paul Peterson, published an article on the subject in the Illinois Bar Journal in February 2019. Click here for his article, Problems Blockchain Doesn't Solve.

The industry will also of course continue preparing for the development and use of blockchain as individuals and companies begin using distributed ledgers throughout the country, including some initial use in the real estate market.

Remote Online Notarization

In 2017, the Illinois General Assembly created the Notarization Task Force on Best Practices and Verification Standards to Implement Electronic Notarization through Public Act 100-440 (Sen. Holmes D-42, Aurora; Rep. Kifowit D-84, Aurora). As noted in the title, the task force is authorized to review and report on national standards and best practices in relation to electronic notarization, including security concerns and fraud prevention. The task force is required to meet no less than five times before December 31, 2019 for their report due by June 30, 2020, and the Illinois Land Title Association is participating in the task force discussions.

RFI Electronic Notary Technology (release 03-14-19).pdf

On March 14, 2019, the Secretary of State's office release a request for information from "qualified vendors for the purchase of Electronic Notary Technology," and clarified that "This is a preliminary fact-finding process for the purpose of obtaining information of new and innovative services and/or products."

(click here for mobile access to the Request for Information)

Beyond potential vendor information, of particular importance to the task force is the development of laws in other states such as Texas, Nevada, and Indiana.

As these and other states have developed their state laws, the American Land Title Association coordinated with the Mortgage Bankers Association to develop model legislation and other guidance.

Title Industry Laws to Note for the Start of 2019

Many pieces of legislation signed into law become effective by default on January 1st, 2019 pursuant to Article IV, Section 10 of the Illinois Constitution. For the Illinois Land Title Association, this default effective date and a specific provision of legislation passed last year results in a few laws worth noting to start the new year.

Predictable Recording Fees

House Bill 4765 / Public Act 100-1034 (Rep. Turner D-9, Chicago; Sen. Aquino D-2, Chicago) is a trailer to legislation passed last year (Public Act 100-271, implementation deadline January 1, 2019) authorizing predictable fees in every county other than Cook County when filing real estate related documents with a county recorder. While not all counties have confirmed the implementation of a predictable fee schedule, ILTA is reaching out to county and recorder associations and will continue to post updates here.

Effective January 1, 2019, House Bill 4765 (Public Act 100-1034) expressly authorizes Cook County to enact these predictable fees. Similar to the predictable fee law passed last year for all other counties, the legislation establishes predictable recording fees for standard category documents and eliminates fees based upon page number or other surcharges in Cook County. Standard category documents fall into five classifications, which cover nearly all of the most common document recordings. If the recording does not fall into one of the five classifications, then the recording and accompanying fee would be processed in the same manner as before the legislation. Predictable fees are to be set by county ordinance, and as a result will be known to all parties involved in a property transaction.

Cook County Recorder Legislation

House Bill 5201 / Public Act 100-1061 (Rep. Ford D-8, Chicago; Sen. Castro D-22, Elgin) as filed created a mechanics lien demand and referral pilot program for purposes of the Cook County Recorder to move the adjudication of invalid and expired mechanics liens. ILTA raised opposition to the legislation and after extensive negotiations, the program was limited to only expired liens when the contractor does not respond to a demand to file suit pursuant to Section 34 of the Illinois Mechanics Lien Act, 770 ILCS 60. As a result, the legislation will provide additional documentation in the chain-of-title regarding expired liens that are not disputed by a contractor. With the amendments, ILTA became neutral on the legislation, which passed both chambers and was signed into law with an effective date of January 1, 2019.

ILTA Legislative & Administrative Rule Positions

* legislation being held in either the House Rules Committee or Senate Assignments Committee

HB 00028*

Rep. André Thapedi

Watch

Amends the Abandoned Housing Rehabilitation Act. Permits any organization exempt from taxation under Section 501(c)(3) of the Internal Revenue Code that files a petition for temporary possession of property to also request a court order waiving or extinguishing any county property tax lien or unpaid property taxes existing on the property if the property has been vacant for at least 3 years. Requires the petitioner to provide notice of any order waiving or extinguishing the tax lien or unpaid property taxes to the office of the county collector or county treasurer of the county in which the property is located. Requires any petition to waive or extinguish a tax lien or unpaid property taxes to be filed by the petitioner within 90 days of commencing the action, unless such time is extended by the court for good cause. Provides that a hearing on the organization's petition need not occur immediately, but must be held prior to the closure of the case and that the order waiving or extinguishing the tax lien or unpaid property taxes shall only exist for the benefit of the organization that files a petition, and shall not inure to, pass to, or benefit any other party in interest of the property.

Comment: Watch for impact on how property taxes will be marked

HB 0133 (HFA 0001)

Rep. Art Turner

Watch

Replaces everything after the enacting clause. Amends the Department of Professional Regulation Law of the Civil Administrative Code of Illinois. Provides that the Division of Professional Regulation of the Department of Financial and Professional Regulation must exchange information with the Department of Human Rights regarding recommendations received regarding a licensee or candidate for licensure who has committed a civil rights violation that may lead to the refusal, suspension, or revocation of a license from the Division of Professional Regulation. Effective immediately.

Comment: Watch regarding application to entity licensing

HB 00189*

Rep. La Shawn Ford

Oppose

Creates the Blight Mitigation Act. Provides that a property owner that lives within one-fourth of a mile of and on the same street as residential real property that has been abandoned may, after the property has been continuously abandoned for 12 months, petition the court for title to the land. Provides that the court shall order that title to the real property be transferred to the petitioner if the petitioner presents clear and convincing evidence that: (1) the property is abandoned; (2) the owner of the property has been made a party to the action in accordance with the Code of Civil Procedure and court rules; and (3) the property is not: listed for sale on a multiple listing service; being maintained in receivership status; or under contract for sale.

Comment: Compare Oppose HB5199 (100th GA) valid purpose but significant unaddressed issues (e.g. interests of lien holders of record, interest of tax sale buyers; potential fraud in declaration of abandonment)

HB 00306*

Rep. David McSweeney

Oppose

Amends the Counties Code. Provides that a county board may, by ordinance, assume control over county recorder fees. Provides that, upon the adoption of such an ordinance, the county board may reduce any fee charged by the county recorder of deeds to a figure selected by the county board and transfer all or part of a county recorder of deed's budget surplus to the county general fund. Provides that county board actions under these provisions have precedence over other formulas or fee schedules used to calculate county recorder fees and any other use of a county recorder of deed's budget surplus. Effective immediately.

Comment: Oppose confusion of authority regarding the main purpose of Public Acts 100-271 & 100-1034 providing for predictable fees with county boards already being granted fee-setting authority under Public Acts

HB 00321*

Rep. David McSweeney

Watch

Repeals the State Tax Lien Registration Act and the Revised Uniform Unclaimed Property Act. Reenacts the Uniform Disposition of Unclaimed Property Act. Changes various Acts by restoring language deleted by Public Act 100-22 and deleting language added by Public Act 100-22. Effective immediately.

Comment: Repeal Tax Lien Registry & many other 2017-2018 budget provisions

HB 00700

Rep. Michael J. Madigan

Watch

Amends the Conveyances Act. Makes a technical change to a Section concerning deeds, mortgages, and other instruments.

HB 00701

Rep. Michael J. Madigan

Watch

Amends the Conveyances Act. Makes a technical change in a Section concerning a conveyor not in possession of the lands conveyed.

HB 00702

Rep. Michael J. Madigan

Watch

Amends the Conveyances Act. Makes a technical change in the Section relating to the effect of the transfer of land.

HB 00703

Rep. Michael J. Madigan

Watch

Amends the Conveyances Act. Makes a technical change in a Section concerning the Act's short title.

HB 00705

Rep. Michael J. Madigan

Watch

Amends the Trusts and Trustees Act. Makes a technical change in a Section concerning small trust termination.

HB 00706

Rep. Michael J. Madigan

Watch

Amends the Trusts and Trustees Act. Makes a technical change in a Section concerning a trustee's powers.

HB 00707

Rep. Michael J. Madigan

Watch

Amends the Trusts and Trustees Act. Makes a technical change in a Section concerning definitions.

HB 00708

Rep. Michael J. Madigan

Watch

Amends the Trusts and Trustees Act. Makes a technical change in a Section concerning the Act's short title.

HB 00734

Rep. Michael J. Madigan

Watch

Amends the Illinois Trust and Payable on Death Accounts Act. Makes a technical change to the short title Section.

HB 00735

Rep. Michael J. Madigan

Watch

Amends the Corporate Fiduciary Act. Makes a technical change in the Section concerning the short title of the Act.

HB 00832*

Rep. Robert Martwick

Watch

Creates the Vacancy Fraud Act. Allows a taxing body or representative of a taxing body to file a vacancy fraud complaint with the county board of review if property is receiving vacancy relief and the property owner is not actively attempting to lease, sell, or alter the property. Sets forth factors in determining whether or not vacancy fraud has occurred. Sets forth penalties. Effective immediately.

Comment: Watch for impact on the creation of liens on property; filed in 100th General Assembly (HB 2517) to encourage the movement of real estate

HB 00842*

Rep. Jehan Gordon-Booth

Watch

Creates a new Division in the Counties Code. Creates the Peoria County Land Bank Authority pilot program with the purpose to use available resources to facilitate the return of vacant, abandoned, and tax-delinquent properties to productive use in order to combat community deterioration, create economic growth, and stabilizing the housing and job market. Provides that the Authority is an agency of and funded by Peoria County and that the Authority's Board of Directors are accountable to the Peoria County Board. Contains provisions relating to the appointment of members to the Authority's Board of Directors and operation of the Authority. Allows the hiring of an Executive Director and other staff. Provides that Peoria County shall defend and indemnify the Authority's Board of Directors under specified circumstances. Requires Peoria County to yearly report to the General Assembly of the Authority's effectiveness in meeting the Authority's purposes. Repeals the Division 3 years after the effective date of the amendatory Act.

Comment: Watch land bank and vacancy legislation

HB 01012

Rep. Michael J. Madigan

Watch

Amends the Counties Code. Makes a technical change to a Section concerning the county clerk as recorder and election of recorder.

Comment: Watch for changes to Cook County Recorder authority

HB 01471

Rep. Ann M. Williams

(Sen. John Mulroe)

Support

Creates the Illinois Trust Code. Provides that the Code applies to express trusts, charitable or noncharitable, and trusts created pursuant to a statute, judgment, or decree that requires the trust to be administered in the manner of an express trust. Defines terms. Adds provisions governing: judicial proceedings; representation; creation, validity, modification, and termination of trusts; creditor's claims; spendthrift and discretionary trusts; revocable trusts; the office of trustee; duties and powers of the trustee; the Illinois Prudent Investor Law; life insurance; affiliated investments; liability of trustees and rights of persons dealing with a trustee; total return trusts; trust decanting; the Uniform Powers of Appointment Law; perpetuities; and application of the Code to existing trusts. Repeals the Trusts and Trustees Act, the Trusts and Dissolutions of Marriage Act, the Uniform Powers of Appointment Act (added by Public Act 100-1044), the Statute Concerning Perpetuities, the Perpetuities Vesting Act, and the Trust Accumulation Act. Makes corresponding changes in the Public Use Trust Act, the Township Code, the Corporate Fiduciary Act, the Community-Integrated Living Arrangements Licensure and Certification Act, the Title Insurance Act, the Illinois Funeral or Burial Funds Act, the Mental Health and Developmental Disabilities Code, the Illinois Marriage and Dissolution of Marriage Act, the Probate Act of 1975, the Illinois Power of Attorney Act, the Common Trust Fund Act, the Religious Corporation Act, and the Illinois Pre-Need Cemetery Sales Act. Effective January 1, 2020.

Comment: Support, but for trailer legislation, consider impact on real property interests when there’s a lack of notice in the creation or modification of a trust (see also SB 221 companion bill)

HB 01585*

Rep. Sara Feigenholtz

Watch

Amends the Condominium Property Act. Makes a technical change in a Section concerning the sale of property.

Comment: Watch for changes to unit thresholds and notice requirements

HB 01604*

Rep. Ann M. Williams

Neutral

Amends the Title Insurance Act. In provisions concerning choice of title insurance company, provides that it is the public policy of the State that parties to a contract for the sale of residential real property who are obligated to pay for certain products and services related to title insurance (rather than title insurance) have the right to also choose the independent escrowee that will provide those products and services. Makes conforming changes. Provides that for a county with a population not less than 500,000, a transaction for the sale and purchase or residential real property, the title insurance company issuing the owner's title insurance policy shall issue the lender's title insurance policy for that transaction if the policy is required by the lender. Provides an exception to that if the buyer and seller agree otherwise or the buyer or seller is offered a discount of fees as an inducement to split the title insurance policies, unless the title insurance company issuing the owner's policy agrees to offer the same discount of fees.

Comment: Neutral on re-filing of Senate Bill 65 from the 100th General Assembly regarding bifurcation, with the language addressing ILTA concerns on issues of regional differences and consideration of RESPA

HB 01910

Rep. Jim Durkin

Watch

Amends the Trusts and Trustees Act. Makes technical changes in a Section concerning the Act's short title.

HB 01911

Rep. Jim Durkin

Watch

Amends the Conveyances Act. Makes a technical change in a Section concerning the Act's short title.

HB 02090*

Rep. Kelly M. Burke

Watch

Amends the Condominium Property Act. Makes a technical change in a Section concerning the applicability of the Act.

Comment: Watch for Section 15 changes or other impacts on the sale of condominium property

HB 02091*

Rep. Kelly M. Burke

Watch

Amends the Condominium Property Act. Makes a technical change in a Section concerning the short title.

Comment: Watch for Section 15 changes or other impacts on the sale of condominium property

HB 02127*

Rep. Michelle Mussman

Watch

Amends the Illinois Procurement Code. Provides that any contract entered into between a governmental entity and a contractor for the provision of professional or technical services in excess of $100,000 shall require a contractor to use software to verify that hours billed for work under the contract for services performed on a computer are legitimate. Provides that the contract shall specify that the governmental entity will not pay for hours worked on a computer, unless those hours are verifiable by the software or by data collected by the software. Provides for the required functions of the software to be used. Requires a contractor to store data collected by the software for 7 years, and to retrieve and make available that data to a governmental entity upon request. Provides that a contractor shall not charge the governmental entity, or an auditor of the entity, for access to or use of the work verification software, or for access to or retrievals of data collected by the software. Provides that the verification software shall be procured by the contractor from an independent entity. Provides that these provisions shall apply to all applicable contracts entered into on and after the effective date of this amendatory Act. Defines "governmental entity".

Comment: Watch for blockchain or distributed ledger implications and use by potential bill proponents, KMGi Group and TransparentBusiness (see also companion SB 1326)

HB 02133

Rep. Keith R. Wheeler

(Sen. Brian Stewart)

Watch

Amends the Criminal Code of 2012. Expands the definition of "computer" to include equipment of cloud-based networks of remote servers hosted on the Internet to store, manage, and process data. Makes the definition of "computer" apply to multiple provisions under the computer fraud subdivision of the Code.

Comment: Watch for cybersecurity-related issues

HB 02176

Rep. Celina Villanueva

Watch

Amends the Illinois Notary Public Act. Modifies the required disavowal of legal representation notice. Provides that the failure of a notary public to follow specified notice requirements shall result in a fine of $1,500 (currently, $1,000) for each written violation. Provides that a second (rather than third) violation shall result in permanent revocation of the commission of notary public (currently, a second violation results in suspension of notary authorization). Provides that prior to rendering notary public services to a person seeking such services, a notary public shall, in addition to any written or electronic notice, also give a verbal disavowal of legal representation that is substantially the same as the statement required for written and electronic advertisements of notary services. Provides that upon providing the verbal disavowal of legal representation, the person seeking notary services shall be provided with an acknowledgment form reciting the disavowal of legal representation, and be required to sign such form acknowledging that he or she has been advised and understands that the notary public is not a licensed attorney and is not otherwise authorized to provide legal advice or services. Provides that the acknowledgment form shall be prescribed by the Secretary of State and be made available in English and in the non-English language in which notary services were solicited.

House Committee Amendment No. 1: Requires every notary public who is not an attorney or an accredited immigration representative to, prior to rendering notary services, provide any person seeking notary services with a written acknowledgment. Provides for the contents of the written acknowledgment. Provides that the provision shall not apply to notary services related to documents prepared or produced in accordance with the Illinois Election Code. Removes provisions concerning a verbal disavowal of legal representation and the production of an acknowledgment form reciting the disavowal of legal representation to be signed by the person seeking notary services.

House Floor Amendment No. 2: Provides that every notary public who is subject to specified provisions and who is not an attorney or an accredited immigration representative (currently, who is not an attorney or an accredited immigration representative only) shall, prior to rendering notary services, provide any person seeking notary services with a written acknowledgment. Provides that the acknowledgment shall be signed by the recipient of notary services before notary services are rendered, and the notary shall retain copies of all signed acknowledgments throughout their present commission and for 2 years thereafter. Provides that notaries shall provide recipients of notary services with a copy of their signed acknowledgment at the time services are rendered.

Comment: Watch for any impact regarding E-Notary Task Force proposals

HB 02540

Rep. Sonya M. Harper

Watch

Creates the Blockchain Business Development Act. Provides for the creation and regulation of personal information protection companies. Provides for the creation and regulation of blockchain-based limited liability companies as businesses that utilize blockchain technology for a material portion of their business activities. Provides for a public record blockchain study and report. Provides for a blockchain insurance and banking study and report. Requires the Department of Commerce and Economic Opportunity to incorporate into one or more of its economic development marketing and business support programs, events, and activities topics concerning blockchain technology and financial technology. Defines terms.

House Committee Amendment No. 1: Removes provisions concerning the creation and regulation of personal information protection companies. In provisions concerning a public record blockchain study and report, provides that the Secretary of State shall recommend legislation, including uniform laws, necessary to support the possible use of blockchain technology for public records (currently, support the possible use of blockchain technology for the recording of land records and for other public records). Provides for the blockchain banking study (currently, blockchain insurance and banking study). Makes conforming changes.

House Floor Amendment No. 2: Modifies the definition of "blockchain" to mean an electronic record created by the use of a decentralized method by multiple parties to verify and store a digital record of transactions which is secured by the use of a cryptographic hash of previous transaction information (as introduced, "blockchain" is defined as a cryptographically secured, chronological, and decentralized consensus ledger or consensus database maintained via Internet, peer-to-peer network, or other interaction).

Comment: the Secretary of State’s Office and sponsor were engaged regarding Section 30(2) requirement that SOS “recommend legislation, including uniform laws, necessary to support the possible use of blockchain technology for the recording of land records and for other public records,” and scope of authority for a “Personal information protection company” resulting in removal of recommendations for blockchain with land records and “Personal information protection company” statutory definitions/authorizations

HB2601

Rep. Bob Morgan

(Sen. Melinda Bush)

Watch

Amends the Real Property Conservation Rights Act. Provides that a conservation right may be amended or modified from time to time only by a written instrument executed by the grantor and grantee and recorded with the office of the recorder of deeds of the county in which the land is located. Provides that either party may, in the absolute discretion of the party, withhold consent to any amendment or modification requested by the other party. Provides that an amendment or modification shall not materially and adversely affect the conservation purposes of the conservation right or facilitate the extinguishment of the conservation right. Provides that the consent of any party other than the grantor and grantee is not required for amendment or modification, even if the other party is entitled to enforce an easement. Provides that the conservation right may contain other requirements for amendment or modification, and such other requirements shall control. Provides that a unit of local government has the authority to grant a conservation right on property that it owns to another unit of government or to a not-for-profit corporation or trust that meets certain criteria. Provides that an action to enforce a conservation right may be brought by any party entitled to enforce the conservation right against a nonowner who is violating the terms of the conservation right. Provides that a notice of violation may be recorded by the holder of the conservation right against any property that the holder of the conservation right reasonably determines is in violation of the conservation right. Provides that a conservation right shall not be extinguished by adverse possession, a claim of abandonment, or merger, and may be extinguished only by such procedure as may be set forth in the conservation right or by a release of the conservation right in accordance with the terms of the conservation right. Provides that no prescriptive easement shall be established that adversely impacts the conservation values protected by the conservation right. Effective immediately.

Comment: Watch regarding conservation rights as a “right, whether stated in the form of a restriction, easement, covenant or condition”; initiative to address IRS amendment requests

HB 02699

Rep. Mark L. Walker

(Sen. Laura Murphy)

Watch

Amends the Mortgage Act. Adds a person authorized by the mortgagor, grantor, heir, legal representative, or assign to the list of those who may request that the mortgagee of real property shall make, execute, and deliver an instrument in writing releasing a mortgage or deed of trust. Provides that if any mortgagee or trustee shall not, within 30 days (rather than "one month") after the payment of the debt secured by the mortgage or trust deed complies with specific requirements, then he or she shall be liable for the sum of $200 to the aggrieved party. Provides that the successor in interest to the mortgagee or trustee shall not be liable for the $200 penalty if he or she complies with specific requirements within 30 days (rather than "one month") after succeeding to the interest.

Comment: Watch technical correction from “30 days” to “one month” for written release of mortgage or deed of trust (see companion SB 1657)

HB 2705 (HCA 0001)

Rep. Robert Rita

Under Review

Replaces everything after the enacting clause. Amends the Regulatory Sunset Act. Extends the repeal date of the Real Estate License Act of 2000 from January 1, 2020 to January 1, 2030. Amends the Real Estate License Act of 2000. Creates a broker associate license and requires a person to be licensed as a broker associate for at least 2 years to be eligible for a broker license. Changes references to "managing broker" to "managing broker licensee". Creates a named managing broker to mean a managing broker licensee who has supervisory responsibilities for licensees in his or her office and who has been appointed by the sponsoring broker. Requires the Department of Financial and Professional Regulation to create an online license information portal. Allows the Department to create a commission to study the creation and use of a mandatory, statewide real estate purchase contract form. Provides duties and responsibilities to the Director of Real Estate. Makes changes to provisions concerning applications and requirements for licensure as a leasing agent, broker, and managing broker licensee; the necessity of a license and owner restrictions; exemptions from licensure; examinations; sponsorship; change of address; offices; expiration and renewal of licenses; licensure in another state; continuing education; payment of compensation; employment agreements; advertising; licensees' relationships with consumers and customers; dual agency; unlicensed practice; grounds for discipline; investigations notice and hearing; surrender of license; recovery and collection from the Real Estate Recovery Fund; the Real Estate Coordinator; the Real Estate Research and Education Fund; and licensing of education providers and instructors. Repeals provisions concerning the Real Estate Audit Fund. Makes other changes. Effective immediately.

HB 02829*

Rep. Anne Stava-Murray

Watch

Creates the Financial Institution Cybersecurity Act. Provides that persons and entities operating under the authority of the Secretary of Financial and Professional Regulation under the Illinois Banking Act, the Illinois Insurance Code, the Savings Bank Act, the Illinois Credit Union Act, the Corporate Fiduciary Act, and the Residential Mortgage License Act of 1987 must maintain a cybersecurity program to protect the confidentiality of their information systems. Requires the implementation and maintenance of written policies to protect information systems. Makes provisions for testing, risk assessment, audit trails, and third-party service provider policies. Provides for supervision by the Secretary of Financial and Professional Regulation. Requires annual certifications beginning November 1, 2020. Effective January 1, 2020.

Comment: Watch for potential additions applying cybersecurity requirements to the Title Insurance Act

HB 02838

Rep. Jennifer Gong-Gershowitz

(Sen. Laura Fine)

Watch

Amends the Illinois Wage Payment and Collection Act. Provides that, for contracts entered into on or after July 1, 2019, a direct contractor making or taking a contract in the State for the erection, construction, alteration, or repair of a building, structure, or other private work shall assume, and is liable for, any debt owed to a wage claimant or third party on the wage claimant's behalf, incurred by a subcontractor at any tier acting under, by, or for the direct contractor for the wage claimant's performance of labor included in the subject of the contract between the direct contractor and the owner. Provides for enforcement by the Department of Labor. Provides authorization for third parties owed fringe or other benefits or a joint labor-management cooperation committee to bring a civil action to enforce liability against a direct contractor. Provides exemptions for work done by an employee of the State or any political subdivision of the State. Provides requirements and guidelines for notice, awards, filing, and records retention. Provides that the new provisions are severable, and that the obligations and remedies provided are in addition to any obligations and remedies otherwise provided by law. Provides that nothing the Section shall alter specified obligations and penalties set forth in the State Prompt Payment Act. Effective immediately.

Comment: Watch Chicago Regional Council of Carpenters' initiative for notification and reporting requirements, or expansion to liens on real property

HB 02916*

Rep. Luis Arroyo

Watch

Amends the Contractor Prompt Payment Act. Provides that a retainage of 10% of the payment may be withheld from a payment under a construction contract prior to the completion of 50% of the contract. Provides that after 50% of the contract is completed, the amount of retainage for any subsequent payment may not exceed 5%. Effective immediately.

Comment: Watch for any clarification of trigger language for 50% work competition or process for reducing retainage as well as consideration of language that “Notwithstanding this Section, retainage withheld by the owner may be increased to the extent necessary to satisfy Section 27 of the Illinois Mechanics Lien Act” (see companion SB 1636)

HB 03058*

Rep. Sonya M. Harper

Watch

Creates the Abandoned Residential Property Act. Imposes requirements on first lien mortgage holders concerning the inspecting, securing, and maintaining of abandoned residential property. Provides exceptions. Provides that the Department of Financial and Professional Regulation shall maintain a statewide abandoned property registry electronic database. Provides that the Department shall establish and maintain a toll-free hotline that neighbors of residential property that is, or appears to be, abandoned may use to report hazards, blights, or other concerns related to the property. Provides that violations of the provisions may be heard before a hearing officer or a court of competent jurisdiction and that the violations may be enforced by the Secretary of the Department or the municipality where the residential property is located. Provides that if the mortgagee violates the provisions, a civil penalty may be issued in the amount of up to $500 per day per property for each day the violation persisted. Provides rulemaking powers to the Division of Banking of the Department to implement the provisions. Limits home rule powers. Makes conforming changes.

Comment: Watch for impact on lienholder rights

HB 03575

Rep. Keith R. Wheeler

Watch

Creates the Blockchain Technology Act. Provides for the permitted uses of blockchain technology in transactions and proceedings. Provides limitations to the use of blockchain technology. Prohibits units of local government from implementing specified restrictions on the use of blockchain technology. Defines terms.

Comment: Watch for integration of current Illinois electronic records laws and authorization in real estate transactions

HB 03577*

Rep. Keith R. Wheeler

Watch

Creates the Blockchain Technology Act. Contains only a short title provision.

Comment: Watch for integration of current Illinois electronic records laws and authorization in real estate transactions

SB 00062

Sen. Cristina Castro

(Rep. Terra Costa Howard)

Support

Amends the Recorder Division of the Counties Code. Modifies how a county recorder determines if a lien is an expired lien under a county's demand and referral program by providing that a lien is expired if a suit to enforce the lien has not been commenced or a counterclaim has not been filed by the lienholder within 2 years after the completion date of the contract as specified in the recorded mechanics lien. Provides that the 2-year period shall be increased to the extent that an automatic stay under specified provisions of the United States Bankruptcy Code stays a suit or counterclaim to foreclose the lien or, if a work completion date is not specified in the recorded lien, then the work completion date is the date of recording of the mechanics lien. Effective immediately.

Comment: Support corrections to Cook County demand/referral pilot program already in place

SB 00108*

Sen. Linda Holmes

Watch

Amends the Illinois Notary Public Act. Makes a technical change in a Section concerning the short title.

Comment: Watch place holder for potential notary task force legislation

SB 00138

Sen. Jacqueline Y. Collins

(Rep. Curtis Tarver)

Watch

Amends the Mortgage Foreclosure Article of the Code of Civil Procedure in relation to short sales of property. Provides that, if an offer to purchase either a mortgage or residential property is made by an entity with a tax-exempt filing status under Section 501(c)(3) of the Internal Revenue Code for the purpose of reselling that mortgage or residential property to the mortgagor, and financing for the repurchase will be provided by a certified community development financial institution, an affidavit, statement, agreement, or addendum limiting ownership or occupancy of the residential property by the mortgagor shall not provide a basis to avoid a sale or transfer, nor is it enforceable against the acquiring entity or any real estate broker, mortgagor, or settlement agent named in the affidavit, statement, agreement, or addendum. Provides that, at the time of an offer, specified disclosures shall be made to the mortgagee in connection with any purchase of a sale. Provides that, upon request by the mortgagee, a certified community development financial institution shall provide documentation evidencing its current certification status. Effective immediately.

Senate Committee Amendment No. 1

Provides that "residential property" is limited to the primary (rather than the principal) residence of a person. Provides that specified disclosures shall be made to the mortgagee by the mortgagor. Provides that nothing in the new provisions shall impair, abrogate, or abridge in any manner the rights of the mortgagee to accept or reject an offer to purchase either a mortgage or residential property, nor shall it give rise to a cause of action.

Comment: Watch initiative of Housing Action Illinois with support from the Association of Foreclosure Defense Attorneys

SB 00169

Sen. John G. Mulroe

(Rep. Art Turner)

Watch

Amends the Code of Civil Procedure. Provides that the failure to send a copy of the notice of foreclosure to the alderman or to file an affidavit as required results in a fine of $500 payable to the ward in which the property is located (instead of resulting in the dismissal without prejudice of the complaint or counterclaim on a motion of a party or the court). Deletes language regarding the requirements a party must comply with if the party refiles the complaint or counterclaim. Effective immediately.

Senate Committee Amendment No. 2: Replaces everything after the enacting clause with the provisions of the introduced bill and makes the following changes: Deletes language providing that the failure to send a copy of the notice to the alderman or to file an affidavit as required results in a fine of $500 payable to the ward in which the property is located. Provides instead that the failure to send a copy of the notice to the alderman or to file an affidavit as required shall result in a stay of the foreclosure action on a motion of a party or the court; if the foreclosure action has been stayed by an order of the court, the plaintiff shall send the notice by certified mail or by private carrier that provides proof of delivery; and after proof of delivery is tendered to the court, the court shall lift the stay of the foreclosure action. Effective immediately.

SB 00195

Sen. Michael E. Hastings

Neutral

Amends the Title Insurance Act. Provides that the definition of "good funds" includes a check drawn on the fiduciary trust account of an independent escrowee.

SB 00215*

Sen. John G. Mulroe

Watch

Amends the Title Insurance Act. Provides for enforcement of the Act by the Department of Insurance (rather than the Department of Financial and Professional Regulation). Provides that all powers, duties, rights, and responsibilities of the Department of Financial and Professional Regulation and the Secretary of Financial and Professional Regulation under the Act are transferred to the Department of Insurance and Director of Insurance, respectively. Provides for the transfer of books, records, papers, documents, property, contracts, causes of action, pending business, and certain funds from the Department of Financial and Professional Regulation to the Department of Insurance. Provides that rules and proposed rules by the Department of Financial and Professional Regulation under the Act shall become rules and proposed rules of the Department of Insurance. Provides that all moneys received by the Department of Insurance under the Act shall be deposited into the Insurance Financial Regulation Fund (rather than the Financial Institution Fund). Makes conforming and grammatical changes throughout the Act and in the State Finance Act.

Comment: Watch for potential impact on reform initiatives through SB 1317

SB 00221*

Sen. John G. Mulroe

Support

Creates the Illinois Trust Code. Provides that the Code applies to express trusts, charitable or noncharitable, and trusts created pursuant to a statute, judgment, or decree that requires the trust to be administered in the manner of an express trust. Defines terms. Adds provisions governing: judicial proceedings; representation; creation, validity, modification, and termination of trusts; creditor's claims; spendthrift and discretionary trusts; revocable trusts; the office of trustee; duties and powers of the trustee; the Illinois Prudent Investor Law; life insurance; affiliated investments; liability of trustees and rights of persons dealing with a trustee; total return trusts; trust decanting; the Uniform Powers of Appointment Law; perpetuities; and application of the Code to existing trusts. Repeals the Trusts and Trustees Act, the Trusts and Dissolutions of Marriage Act, the Uniform Powers of Appointment Act (added by Public Act 100-1044), the Statute Concerning Perpetuities, the Perpetuities Vesting Act, and the Trust Accumulation Act. Makes corresponding changes in the Public Use Trust Act, the Township Code, the Corporate Fiduciary Act, the Community-Integrated Living Arrangements Licensure and Certification Act, the Title Insurance Act, the Illinois Funeral or Burial Funds Act, the Mental Health and Developmental Disabilities Code, the Illinois Marriage and Dissolution of Marriage Act, the Probate Act of 1975, the Illinois Power of Attorney Act, the Common Trust Fund Act, the Religious Corporation Act, and the Illinois Pre-Need Cemetery Sales Act. Effective January 1, 2020.

Comment: Support, but for trailer legislation, consider impact on real property interests when there’s a lack of notice in the creation or modification of a trust (see also HB 1471 companion bill)

SB 00404

Sen. John J. Cullerton

Watch

Amends the Illinois Residential Real Property Transfer on Death Instrument Act. Makes a technical change in a Section concerning the short title.

SB 00408

Sen. John J. Cullerton

Watch

Amends the Conveyances Act. Makes a technical change in a Section concerning the Act's short title.

SB 01114

Sen. Melinda Bush

Watch

Amends the Counties Code. Provides that if a county finds that an imminent hazard to the public health or safety exists arising from an unfit condition which requires immediate action to protect the public health or safety, it may bring an action, without bond, for immediate injunctive relief, including causing the removal of unhealthy or unsafe accumulations or concentrations of the following: garbage; organic materials in an active state of decomposition, including, but not limited to, carcasses, food waste, or other spoiled or rotting materials; human or animal waste; debris; or other hazardous, noxious, or unhealthy substances or materials from a structure or property. Provides that a county may file a notice of lien for the cost and expense of actions taken.

Comment: Watch for any change to bill as introduced, which utilizes the lien notice under current law in 55 ILCS 5/5-1121(a)

SB 1134 (SCA 0001)

Sen. Don Harmon

Watch

Amends the Mortgage Foreclosure Article of the Code of Civil Procedure. Provides that if any defendant cannot be personally served with a summons and complaint but is served by publication, it is the duty of the plaintiff or his or her representative to mail to each defendant listed on the filed Affidavit for Service by Publication a copy of the published notice by first-class mail, addressed to each defendant whose place of residence is stated on the affidavit. Provides that an affidavit of the plaintiff or his or her representative stating that he or she has mailed the copy of the notice is evidence that he or she has done so.

Senate Floor Amendment No. 2: Replaces everything after the enacting clause. Amends the Code of Civil Procedure. Provides that if, in any action brought under the Judicial Foreclosure Article, a plaintiff files an affidavit showing that the defendant resides outside of or has left the State, or on due inquiry cannot be found, or is concealed within the State so that process cannot be served upon him or her, and stating the place of residence of the defendant or that the place of residence of the defendant cannot be ascertained, the plaintiff shall cause publication to be made in some newspaper published in the county in which the action is pending or, under certain circumstances, in a newspaper published in an adjoining county. Provides that the plaintiff shall, within 10 days of the first publication of the notice, send a copy by mail, addressed to each defendant whose place of residence is stated in the affidavit.

Comment: Watch for changes to service by publication requirements that impact post-foreclosure challenges, see Public Act 100-1048

SB 1317 (SCA 0001)

Sen. Don Harmon

Support

Amends the Title Insurance Act. Authorizes rate regulation through a rating bureau with a file and approve requirement. Authorizes title agent entity licensing structured to utilize the current registration process. Adds specific prohibited acts to regarding improper inducements and referrals. Makes corresponding changes to the Act.

Senate Floor Amendment No. 2: Provides that the Secretary of Financial and Professional Regulation or the Secretary's authorized representative shall have power and authority to compel an independent escrowee's compliance with specified provisions of the Title Insurance Act. Requires every title insurance company and independent escrowee to file with the Secretary the specification of services and schedule of fees for each fee intended to be charged to the parties to a transaction pursuant to specified provisions of the Act. In provisions concerning regulatory action, makes changes in provisions concerning referrals. Makes various changes to correct grammatical and typographical errors.

Comment: Support ILTA’s market conduct reform initiative

SB 01326*

Sen. Laura M. Murphy

Watch

Amends the Illinois Procurement Code. Provides that any contract entered into between a governmental entity and a contractor for the provision of professional or technical services in excess of $100,000 shall require a contractor to use software to verify that hours billed for work under the contract for services performed on a computer are legitimate. Provides that the contract shall specify that the governmental entity will not pay for hours worked on a computer, unless those hours are verifiable by the software or by data collected by the software. Provides for the required functions of the software to be used. Requires a contractor to store data collected by the software for 7 years, and to retrieve and make available that data to a governmental entity upon request. Provides that a contractor shall not charge the governmental entity, or an auditor of the entity, for access to or use of the work verification software, or for access to or retrievals of data collected by the software. Provides that the verification software shall be procured by the contractor from an independent entity. Provides that these provisions shall apply to all applicable contracts entered into on and after the effective date of this amendatory Act. Defines "governmental entity".

Comment: Watch for blockchain or distributed ledger implications and use by potential bill proponents, KMGi Group and TransparentBusiness (see also companion HB 2127)

SB 01636

Sen. John G. Mulroe

(Rep. Luis Arroyo)

Watch

Amends the Contractor Prompt Payment Act. Provides that a retainage of 10% of the payment may be withheld from a payment under a construction contract prior to the completion of 50% of the contract. Provides that after 50% of the contract is completed, the amount of retainage for any subsequent payment may not exceed 5%. Effective immediately.

Comment: Watch for any clarification of trigger language for 50% work competition or process for reducing retainage as well as consideration of language that “Notwithstanding this Section, retainage withheld by the owner may be increased to the extent necessary to satisfy Section 27 of the Illinois Mechanics Lien Act” (see companion HB 2916)

SB 01657

Sen. Laura M. Murphy

(Rep. Mark Walker)

Watch

Amends the Mortgage Act. Adds a person authorized by the mortgagor, grantor, heir, legal representative, or assign to the list of those who may request that the mortgagee of real property shall make, execute, and deliver an instrument in writing releasing a mortgage or deed of trust. Provides that if any mortgagee or trustee shall not, within 30 days (rather than "one month") after the payment of the debt secured by the mortgage or trust deed complies with specific requirements, then he or she shall be liable for the sum of $200 to the aggrieved party. Provides that the successor in interest to the mortgagee or trustee shall not be liable for the $200 penalty if he or she complies with specific requirements within 30 days (rather than "one month") after succeeding to the interest.

Comment: Watch technical correction from “30 days” to “one month” for written release of mortgage or deed of trust (see companion HB 2699)

SB 01780

Sen. Rachelle Crowe

Watch

Creates the Uniform Partition of Heirs Property Act. Defines terms. Provides for: applicability; relation to other law; service; notice by posting; commissioners; determination of value; cotenant buyout; partition alternatives; considerations for partition in kind; open-market sale, sealed bids, or auction; and report of open-market sale. Makes conforming changes in the Code of Civil Procedure. Effective immediately.

Senate Floor Amendment No. 1: Replaces everything after the enacting clause with the provisions of the introduced bill, and makes the following changes: Changes the definition of "heirs property" and "partition by sale". Defines "fair market value". Provides that if the court determines that the evidentiary value of an appraisal is outweighed by the cost of the appraisal, the court shall order the plaintiff to send notice (rather than the court shall send notice) to the parties of the fair market value of the property. Provides that if an appraisal is conducted, not later than 10 days after the appraisal is filed, the court shall order the plaintiff to send notice (rather than the court shall send notice) to each party with a known address. Provides that after a hearing to determine the fair market value of the property, the court shall order the plaintiff to send notice to all of the parties of the value and a cotenant's buyout rights (rather than the court shall send notice to the parties of the value). Provides that after the determination of the value, the court shall order the plaintiff to send notice (rather than the court shall send notice) to the parties that any cotenant may buy all the interests of the cotenants that requested partition by sale. Provides that after the expiration period, if no cotenant elects to buy all the interests of the cotenants that requested partition by sale, the court shall order the plaintiff to send notice (rather than the court shall send notice) to all the parties of that fact and resolve the partition. Provides that cotenants must pay their apportioned price to the clerk of court or as otherwise ordered by the court (rather than into the court). Provides that if one or more, but not all, of the electing cotenants fail to pay their apportioned price on time, the court shall order the plaintiff to give notice (rather than the court shall give notice) to the electing cotenants that paid their apportioned price of the interest remaining and the price for all that interest. Provides that the court, in determining whether partition in kind would result in manifest prejudice to the cotenants as a group, shall consider the tax consequences. Provides that if the court orders partition in kind, the court shall allocate to the cotenants that are unknown, unlocatable, or the subject of a default judgment, if their interests were not brought, a party of the property representing the combined interests of those cotenants as determined by the court. Provides that the court shall apportion the costs of the proceedings for the partition of heirs property among the parties in interest in the action, as the court deems just and equitable. Effective immediately.

Comment: Watch Farm Bureau priority legislation for inclusion of notice options (e.g. lis pendens)

SB 01840*

Sen. Jason Plummer

Watch

Amends the Department of Professional Regulation Law of the Civil Administrative Code of Illinois. Requires the Department of Financial and Professional Regulation to conduct a survey, through an official mailing from the Department, of persons licensed or registered, or both, under a regulatory Act subject to be repealed under the Regulatory Sunset Act and to compile the results of that survey in a report that the Department must submit to the Governor and the General Assembly at least 12 months before the scheduled repeal of the regulatory Act. Provides that the survey must include questions concerning the licensees' or registrants' views on: how the requirements of the Act help to protect the health and safety of Illinois citizens; how the Act protects the profession from bad actors; what suggested changes to the regulatory Act would improve the profession; and how effective the continuing education requirements are.

Comment: Watch for impact on licensed and registered entities under the Title Insurance Act

SB 02036*

Sen. Napoleon Harris, III

Watch

Creates the Big Empties Site Act. Provides that property located in the State consisting of one or more PINs but under common ownership at the time of the application, that contains at least one vacant and unused building of specified square footage, is qualified to be designated as a Big Empties Site. Provides that a county or municipality that has adopted an ordinance designating a qualified site as a Big Empties Site shall make written application to the Department of Commerce and Economic Opportunity to have that site certified by the Department as a Big Empties Site. Contains procedures for certification by the Department of Commerce and Economic Opportunity. Amends the Illinois Income Tax Act, the Use Tax Act, the Service Use Tax Act, and the Public Utilities Act to provide certain tax incentives for Big Empties Sites. Amends the Property Tax Code to provide that a taxing district may issue an abatement. Effective immediately.

Comment: Watch for impact on lienholder rights

SB 02037

Sen. Rachelle Crowe

Watch

Amends the Illinois Notary Public Act. Provides that every company, corporation, association, organization, or person that remits notary public applications to the Secretary of State on behalf of applicants for appointment and commission as a notary public, for compensation or otherwise, shall comply with standards to qualify for licensure as a notary public remittance agent. Provides standards to qualify for licensure as a notary public remittance agent.

Senate Floor Amendment No. 1

Provides that specified provisions concerning notary public remittance agents do not apply to units of local government.

Comment: Watch for any impact regarding E-Notary Task Force proposals

SB 02052

Sen. Steve Stadelman

Watch

Amends the Local Government Property Transfer Act. Provides that a municipality must convey property to specified public agencies subject to an intergovernmental agreement. Amends the Illinois Municipal Code. Provides that a municipality or specified public agency (rather than only the corporate authorities of a municipality) may take specified actions against blighted buildings and properties, including petitioning a circuit court to have property declared abandoned, or dangerous or unsafe. Provides that liens for removal of dangerous or unsafe buildings are superior to tax liens. Requires notice to a municipality before a public agency may apply for an order related to blighted buildings or petition to have property declared abandoned. Modifies the requirements for property to be declared abandoned. In provisions concerning removal or repair of blighted buildings or property, expands the costs recoverable in a lien by a municipality. Defines terms. Modifies various notice provisions. Makes other changes. Amends the Criminal Code of 2012. Expands aggravated criminal housing management to include injury or death (currently, only death).

Senate Floor Amendment No. 2: Replaces everything after the enacting clause. Reinserts the provisions of the introduced bill with the following changes: Removes provisions allowing a specified public agency to take specified actions against blighted buildings and properties, except that a municipality may petition a court to issue a judicial deed for abandoned property to a public agency. Removes language providing that liens for removal of dangerous or unsafe buildings are superior to tax liens. Removes examples of impairments to public health, safety, or welfare from requirements for property to be declared abandoned. In provisions allowing any person with a legal or equitable interest in a property to request a hearing in the court that has ordered demolition, repair, enclosure, or removal of garbage, debris, or other substances from the property, removes language providing that no hearing may be brought after the municipality commences any demolition, repair, or enclosure of the structure or causes the removal of garbage, debris, or noxious material. Removes an expansion to aggravated criminal housing management to include injury or death in the Criminal Code of 2012.

Comment: Watch for lien priority designations and notice requirements

SB 02092*

Sen. Omar Aquino

Watch

Amends the Counties Code. Changes the Rental Housing Support Program State surcharge a county recorder must collect on each real-estate related document from $9 to $18. Makes conforming changes.

Comment: Watch for impact on Public Acts 100-271 & 100-1034 re: predictable fees, which utilized $21 threshold based on minimum $9 rental housing program fee and separate $12 state fee

Illinois Register, Volume 43, Issue 2

(January 11, 2019)

Page 1148

Regulatory Agenda


Watch

Amend Title Insurance Act Rules (50 Ill. Adm. Code 8100)

Updates will be made to the rules especially in the Section regarding definitions by adding the definition of "Full service title agent" and a new section with additional definitions of title insurance terms and services. There are also plans to add new sections to fully define "Non-Escrow Title agents".

Date Agency anticipates First Notice: April 2019

Comment: ILTA will engage IDFPR to participate in any new rule drafting

Illinois Register, Vol. 43, Issue 6

(February 8, 2019) Page 1975

Final Notice, Adopted Rule

Watch

The Department of Financial and Professional Regulation adopted amendments to the Part titled Real Estate License Act of 2000 (68 IAC 1450; 42 Ill Reg 16804), effective 1/25/19, implementing Public Act 100-188. The rulemaking consolidates the licenses for providers of pre-license education and continuing education into a single education provider license, effective 7/1/19; update various pre-license and continuing education requirements; permit pre-license and continuing education to be delivered via webinars and other alternate means, in addition to inperson classes; and establish a process for reviewing applications from persons with prior criminal convictions. Current pre-license and continuing education licenses will continue in effect through 6/30/19. Changes since 1st Notice state that certain documents and information may be submitted electronically (originally, “in a manner established by the Department”) and clarify the dates for certain transitional provisions. Real estate brokers and providers of pre-license and continuing education for real estate agents and brokers are affected.


* legislation being held in either the House Rules Committee or Senate Assignments Committee
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