The 2011 Illinois General Assembly has been in Session for nearly a full month already, and over 6,000 legislative bills (6231 House and Senate Bills, to be exact) have been introduced.  Home Builders Association of Illinois has been busy from the start; introducing 2 initiatives and taking opposition to over 20 legislative measures.  HBAI has seen near immediate success, however, it has taken substantial immediate work.

HBAI initiated SB 2225, sponsored by Senator A.J. Wilhelmi (D-Joliet), legislation to clarify and expand the Developers Exemption to the Property Tax Code.  Land developers all over Illinois have experienced complications with local assessors in removing the "vacant lot" assessment as land has been transferred or sold.  HBAI is quickly gaining favorable interest from Senate Members.  Call or write your State Senator and ask them to support SB 2225.

HBAI also initiated legislation to address confusion and misapplication of prevailing wage laws on developments within Tax Increment Finance Districts.  Within one week of Representative Pat Verschoore (D-Milan) introducing HB 3439, the Illinois Department of Labor contacted HBAI to issue a binding, written opinion on the applicability of prevailing wage if and when a project is partially funded with TIF Funds.  HBAI is hopeful to receive this opinion, in lieu of HB 3439.

Otherwise, HBAI has been extremely busy opposing several legislative measures that would inhibit housing affordability.  These bills include, but are not limited to:

• HB 262 (Chapa La Via) would enable units of local government to mandate that a developer post either a cash bond, letter of credit, or surety bond to guarantee the completion of infrastructure improvements in new developments.  Further eliminates a developer's ability to employ a 3rd party, independent engineer to certify a project complete.  HBAI has been negotiating this legislation with the Sponsor, the Illinois Municipal League, and North Aurora.  HBAI will be participating in continued negotiations on this legislation on Tuesday, March 8 in Springfield.
• HB 1082 (Tryon) would enable Counties to raise property tax funds for the purchase of development easements from farmland.  HBAI has furiously opposed this legislation aimed specifically at preventing housing development.  HBAI has secured "NO" votes from 5 of the 7 members of the "Counties and Townships Committee", however, the sponsor is yet to call the bill before the committee for consideration.
• SB 1232 (Lightford) would provide for the licensure of and mandate for interior designers on every remodeling project in the State.  HBAI joined substantial opposition to SB 1232 in meeting with the measures sponsor, Senator Lightford, this week.  The Senator was surprised to hear of the substantial deleterious effects that the legislation would have .HBAI is hopeful that this initiative will not be pursued.
• HB 1382 (Dunkin) would eliminate the time period within which a structural defect would have caused an injury in order for a condominium developer to still be liable for injury to a condominium owner.  HBAI has vigorously opposed this legislation and has gained substantial support from members of the House Judiciary – Civil Law Committee.  This would greatly expand a condominium developer's liability, if allowed to become law.
• HB 2090 (Barickman) would apply local subdivision ordinances to property less than 5 acres despite the property being exempt from Illinois Plat Act.  HBAI has met with the sponsor of the legislation who has been extremely receptive to our opposition and has concerns about the impact the legislation on small developments and family owned property.
• HBAI has met with Lobbyists from the Insurance Industry and Representative Ann Williams to address concerns with HB 3034.  In addition to prohibiting a contractor from communicating with an insurance adjustor regarding an insurance claim, the legislation provides insurance companies with various ways to cancel contracts between a consumer and a residential contractor when the contract involved the exchange of goods or services in exchange for payment from proceeds provided by an insurance claim.  HBAI opposes HB 3034 in its introduced form, but has committed to working on a solution addressing unscrupulous contractors that take advantage of storm damaged property owners.
• HBAI is also opposed to HB 1321 (Schmitz) legislation that would mandate that a contractor provide a payment bond to ensure payment to a subcontractor for work performed on infrastructure improvements that are intended to be deeded to a unit of government.  The initiative of the Underground Contractors Association is an effort to address subcontractors that unfortunately were not paid for work performed on behalf of residential contractors that went bankrupt.  The affected subcontractors, however, failed to appropriately execute lien wavers.  HBAI has met with the sponsor and representatives of the proponents, however maintains opposition to this policy initiative.
• HBAI diligently negotiated with Peoria County on HB 1909 (Gordon), legislation that would strip property owners of due process and grant police powers to county building code officials to issue warrants and notices to appear.  HBAI negotiated that county building code ordinance violations be stricken and restrict the legislation to property maintenance ordinance violations.  HBAI is awaiting legislative language reflecting the verbal agreement before removing opposition to HB 1909.
• HBAI is adamantly opposing SB 2195 (Hutchison) and HB 3372 (Fortner), substantially similar language that would impose taxes and fees on property owners for failure to comply with county stormwater management – green infrastructure programs.  These programs would regulate rainwater runoff, rainwater harvesting, lawn maintenance and gardening on personal property owners.  Under the legislation, the taxes and fees would be instantly assessed on property owners and could be reduced or eliminated via compliance.

Legislators have 2 more weeks to pass legislation through appropriate Committees.  Until then, none of these initiatives can be declared "defeated".  However, HBAI feels confident that it has been successful in communicating to the General Assembly how damaging these bills would be to housing in Illinois.

In the meantime, please reach out to your legislator to say "Hi" and remind them that these potential laws affect your life and your business.  Watch your email for Votervoice call-to-action on specific legislation and please take the few minutes necessary to forward the message on to the appropriate Representative or Senator.

Otherwise, Do well and be good.

Bill and Chris