Illinois General Assembly - Full Text of SB3066
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Full Text of SB3066  101st General Assembly


Rep. Delia C. Ramirez

Filed: 5/21/2020





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2    AMENDMENT NO. ______. Amend Senate Bill 3066 by replacing
3everything after the enacting clause with the following:
4    "Section 1. Short title. This Act may be cited as the
5COVID-19 Emergency and Economic Recovery Renter and Homeowner
6Protection Act.
7    Section 5. Purpose and findings. The purpose of this Act is
8to protect renters, homeowners, and persons in need of housing,
9based upon the following findings:
10    International, national, state, and local governments and
11health authorities are responding to an outbreak of a disease
12caused by the novel coronavirus referred to as COVID-19.
13    African American and Latino households in the State of
14Illinois are at disproportionate risk of exposure to and the
15contraction of COVID-19 and to economic effects of this



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1    On March 9, 2020, the Governor of the State of Illinois
2issued a disaster declaration proclamation in Illinois because
3of the threat of COVID-19.
4    On March 26, 2020, the President of the United States
5declared that a major disaster exists in the State of Illinois
6and ordered Federal assistance to supplement State, tribal, and
7local recovery efforts in the areas affected by the COVID-19
8pandemic beginning on January 20, 2020 and continuing.
9    On April 1, 2020, the Governor of the State of Illinois
10issued a second disaster declaration proclamation in Illinois
11because of the threat of COVID-19.
12    On April 30, 2020, the Governor of the State of Illinois
13issued a third disaster declaration proclamation in Illinois
14because of the threat of COVID-19.
15    The Centers for Disease Control and Prevention and the
16Illinois Department of Public Health have issued
17recommendations including, but not limited to, social
18distancing, staying home if sick, shutting down all
19nonessential businesses, canceling or postponing large group
20events, working from home, and other precautions to protect
21public health and prevent transmission of this communicable
23    Experts predict a vaccine will not be approved for at least
24a year, and the World Health Organization has stated, "There is
25currently no evidence that people who have recovered from
26COVID-19 and have antibodies are protected from a second



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2    Because of the public health emergency and the precautions
3recommended by health authorities, many residents and
4businesses in the State of Illinois have experienced or expect
5soon to experience sudden and unexpected income loss.
6    A quarter of this State's workforce is employed in
7industries directly impacted by the closure of nonessential
8services as recommended by health authorities, and
9unemployment claims in this State are exceeding levels from the
102008 Great Recession.
11    Further long-term economic impacts are anticipated, with
12reliable forecasts of 30% unemployment rate in the second
13quarter of 2020, leaving residential and commercial tenants
14vulnerable to eviction and homeowners vulnerable to
16    The Governor of the State of Illinois has stated that
17individuals exposed to COVID-19 may be temporarily unable to
18report to work due to illness caused by COVID-19 or quarantines
19related to COVID-19 and individuals directly affected by
20COVID-19 may experience potential loss of income, health care
21and medical coverage, and ability to pay for housing and basic
22needs, thereby placing increased demands on already strained
23regional and local health and safety resources, including
24shelters and food banks.
25    Before COVID-19, over half of Illinois low-income renters
26were already rent-burdened, and the rate of underwater



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1mortgages in Illinois was one of the highest in the nation.
2    31% of adults in a nationally representative sample taken
3during the pandemic report that they are worried that they
4cannot pay rent, a mortgage, or utilities.
5    During this emergency and in the interest of protecting the
6public health and preventing transmission of COVID-19, it is
7essential to avoid unnecessary housing displacement to prevent
8housed individuals from falling into homelessness.
9    On March 20, 2020, the Governor issued Executive Order
102020-10, which instructed authorities to cease enforcement of
11orders for residential evictions.
12    On March 18, 2020, the Illinois Commerce Commission
13required all private water, electric, and natural gas utilities
14in Illinois to suspend service disconnections, waive
15late-payment penalties, and implement temporary flexible
16credit and payment procedures to ensure all customers remain
17connected to essential utility service.
18    On April 23, 2020, the Governor issued Executive Order
192020-30, which further prohibited persons and entities from
20commencing residential eviction actions in most cases and
21ceasing the enforcement of eviction orders for most
22nonresidential premises.
23    Unpaid rent, late fees, and court costs are currently
24accruing against residential and commercial tenants and will be
25demanded by landlords after the expiration of the emergency



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1    Public health is endangered if tenants will face immediate
2demand for the entire sum after the emergency period expires,
3the courts are clogged with thousands of additional eviction
4court filings, tenants leave their homes and enter into
5homelessness in order to avoid an eviction filing, resulting in
6a chaotic displacement process.
7    Involuntary displacement caused by an eviction interrupts
8a child's education, causing the child to have lower school
9achievement and delayed literacy skills and be more likely to
10be truant, threatens the child's social and emotional security,
11and adversely impacts families in the form of stress and
12exposure to substandard housing with environmental hazards.
13    The State of Illinois needs to ensure that returning
14citizens have fair and equitable access to housing, that
15persons who have or who are perceived to have COVID-19 are
16protected from housing discrimination, and that renters and
17homeowners cannot be discriminated against for relying upon
18third-party sources of financial support to pay their rent and
20    The State of Illinois deems it necessary to protect public
21health, life, and property during this declared state of
22emergency by protecting small business commercial and
23residential tenants and homeowners from certain evictions and
24foreclosures and other hardships during this public health and
25economic crisis.



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1    Section 10. Definitions. Unless the context clearly
2indicates otherwise, as used in this Act:
3    "COVID-19 emergency and economic recovery period" means
4the period beginning on March 9, 2020, when the Governor issued
5the first disaster proclamation for the State of Illinois to
6address the circumstances related to COVID-19, and ending on
7the first day of the month following a month in which both the
8published statewide unemployment rate is no more than 1.5
9percentage points higher than the statewide unemployment rate
10for February 2020, and the published statewide unemployment
11rate has decreased in 2 of the previous 3 months. However, if a
12gubernatorial disaster proclamation issued to address
13circumstances related to COVID-19 is still in effect on that
14date, the COVID-19 emergency and economic recovery period
15expires 45 days after that proclamation expires.
16    "COVID-19 related hardship" means any negative financial
17impact on an individual or household because of COVID-19 and
18associated governmental orders, including: loss of income,
19furlough, hour reduction or other interruption to employment
20due to workplace, school, and other facility closures; or
21increased household, child care, health care, or other
23    "Dwelling unit" means a building, structure, or part of a
24building or structure or land appurtenant to a building or
25structure, a unit or lot of a manufactured home as defined in
26Section 3 of the Mobile Home Landlord and Tenant Rights Act, or



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1other residential real estate used or held out for human
2habitation, together with all common areas and storage areas
3held out for use by the resident.
4    "Eviction" or "to evict" means using any judicial or
5nonjudicial means to involuntarily remove a resident or small
6business commercial tenant from a dwelling unit or a small
7business commercial premises, including, but not limited to:
8         (1) issuing an eviction notice or other notice to
9    terminate a tenancy;
10         (2) filing, serving, or other otherwise initiating a
11    judicial eviction action;
12         (3) prosecuting a pending eviction action, other than
13    as necessary to request a continuance or suspension of the
14    matter or to comply with an order of the tribunal; or
15         (4) seeking or causing any order for the physical
16    eviction of a resident or small business commercial tenant
17    to be executed.
18    "Eviction action" means any judicial or administrative
19proceeding that seeks recovery of possession of a dwelling unit
20or small business commercial premises from a resident or small
21business commercial tenant.
22    "Eviction order" means any order entered in an eviction
23action that directs or authorizes the removal of a resident or
24small business commercial tenant from a dwelling unit or a
25small business commercial premises. "Eviction order" does not
26include an order entered to remove a resident who is the



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1perpetrator of violence in order to protect another resident or
2tenant from domestic violence, sexual violence, dating
3violence, or stalking. "Eviction order" does not include an
4order restoring a resident to possession of the dwelling unit
5entered under subsection (h) of Section 15.
6    "Eviction notice" means any notice directing a resident or
7small business commercial tenant to vacate the dwelling unit or
8small business commercial premises or otherwise purporting to
9terminate a tenancy.
10    "Fund" means the Residential Housing Relief Fund created
11under Section 20.
12    "IDHS" means the Illinois Department of Human Services.
13    "IHDA" or "Department" means the Illinois Housing
14Development Authority.
15    "Landlord" means an owner of record, agent, lessor,
16sublessor, court-appointed receiver or master, mortgagee in
17possession, or the successor in interest of any of them of a
18dwelling unit or the building of which it is a part and any
19person authorized to exercise any aspect of the management of
20the premises. "Landlord" includes any person who directly or
21indirectly receives rents and has no obligation to deliver the
22whole of the receipts to another person. "Landlord" also
23includes the owner of a mobile home park.
24    "Premises" means the dwelling unit and the building or
25structure of which it is a part, facilities and appurtenances
26therein, and grounds, areas, and facilities held out for the



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1use of residents.
2    "Rental agreement" means every letting or lease, whether by
3written or verbal agreement, of a dwelling unit or small
4business commercial premises.
5    "Residential landlord" means an owner of record, agent,
6lessor, sublessor, court-appointed receiver or master,
7mortgagee in possession, or the successor in interest of any of
8them of a dwelling unit or the building of which it is a part,
9and any person authorized to exercise any aspect of the
10management of the premises. "Residential landlord" includes
11any person who directly or indirectly receives rents and has no
12obligation to deliver the whole of the receipts to another
13person. "Residential landlord" also includes the owner of a
14mobile home park.
15    "Residential tenant" or "tenant" means a person entitled by
16written or verbal agreement, subtenancy approved by the
17landlord, or by sufferance to occupy a dwelling unit to the
18exclusion of others. "Residential tenant" includes members of a
19tenant's household occupying the dwelling unit.
20    "Small business commercial premises" means any parcel of
21real property that is developed and used either in part or in
22whole for commercial purposes by a business that is not a part
23of a multinational corporation, has less than 25 employees, and
24where the average income per employee is $50,000 or less.
25    "Small business commercial tenant" means a commercial
26tenant that is not a part of a multinational corporation, has



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1less than 25 employees, and the average income per employee is
2$50,000 or less.
3    Section 15. Moratorium on residential and small business
4commercial premises eviction.
5    (a) There is hereby declared a moratorium on evictions from
6residential and small business commercial premises in this
7State that shall remain in effect for 60 days after the
8effective date of this Act.
9    (b) Except as provided in subsection (f), during the
11        (1) No person or entity shall evict or attempt to evict
12    a residential tenant or small business commercial tenant
13    from a dwelling unit or small business commercial premises.
14        (2) No court shall accept any filing, including a
15    complaint, summons, or motion, other than those authorized
16    under subsection (f), in an eviction action, or hear or
17    decide any matter, or enter a judgment in favor of the
18    plaintiff for eviction, rent, or other remedies that may
19    have otherwise been permitted by law.
20        (3) No sheriff, local law enforcement officer, or any
21    other person or entity may serve process or attempt to
22    serve process for an eviction action.
23    (c) Any eviction notice issued during the moratorium is
24invalid and shall not be deemed to have terminated the
25residential or small business commercial tenancy. Any eviction



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1notice issued prior to the moratorium for which no case was
2filed as of the effective date of this Act shall also be
3invalid and shall not be deemed to have terminated the tenancy.
4    (d) Any process served during the moratorium is
5insufficient service of process and will not confer
6jurisdiction on the court.
7    (e) Any deadline or period for action by a party to an
8eviction action commenced before the effective date of this
9Act, including the time to appeal a judgment, is tolled during
10the moratorium.
11    (f) This moratorium does not prevent a residential landlord
12from taking any legal action to protect other residential
13tenants by evicting or otherwise barring from the premises any
14person who poses a credible threat of violence to other
15residential tenants at the premises.
16    (g) This Act shall not be interpreted as restricting or
17eliminating a residential tenant's ability to file and a
18court's ability to hold a hearing and issue a ruling on a
19motion to seal under Section 25.
20    (h) Any residential or small business commercial tenant
21dispossessed of a dwelling unit or small business commercial
22premises in violation of subsection (b) may bring an action in
23a court of competent jurisdiction to regain possession of the
24dwelling unit or small business commercial premises. Such a
25claim shall constitute an emergency and shall be scheduled by
26the court for a hearing as soon as practicable.



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1    (i) In any action pending or commenced after expiration of
2the moratorium, a residential landlord may not maintain any
3eviction action based on the nonpayment of rent that first
4became due on or after March 9, 2020 through the expiration of
5the moratorium, late fees, or any other fee or cost associated
6with such nonpayment, nor may any residential landlord issue an
7eviction notice demanding such rent or fees.
8    (j) Nothing in this Section prohibits:
9        (1) a residential or small business commercial tenant
10    from terminating a rental agreement in a manner otherwise
11    prescribed by contract or law;
12        (2) the termination of a residential or small business
13    commercial rental agreement by mutual agreement; or
14        (3) a landlord from bringing a claim for rent due in
15    the manner described in Illinois Supreme Court Rules 281
16    through 289.
17    Section 20. Residential Relief Fund.
18    (a) Within 30 days of this Act becoming law, the Illinois
19Housing Development Authority, in cooperation with the
20Illinois Department of Human Services, shall establish a
21Residential Housing Relief Fund, to provide assistance to:
22        (1) Residential landlords and residential tenants in
23    order to preserve the tenancy by covering certain rental
24    amounts due from residential tenants unable to pay rent
25    because they are experiencing a COVID-19 related hardship



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1    and are at risk of homelessness.
2        (2) Residential tenants experiencing a COVID-19
3    related hardship who need to move and have demonstrated a
4    financial need for funds to cover expenses, including, but
5    not limited to, the first month's rent or a security
6    deposit, or both.
7        (3) Homeowners who have demonstrated that they are
8    unable to make mortgage payments, after exhausting all
9    forbearance options available.
10    (b) IHDA, in cooperation with IDHS, shall allocate
11available funds to local administering agencies for
12distribution to homeowners, residential landlords, and
13residential tenants and establish further administrative
14requirements on the application for and the distribution of
15these funds as is necessary.
16    (c) In accordance with existing eligibility and other
17funding requirements, available funds shall be prioritized as
19        (1) qualified residential tenants at 50% or below of
20    the median family income for the area of the local
21    administering agency unable to make rental payments;
22        (2) qualified residential tenants who are not eligible
23    for federal funds and who are unable to make rental
24    payments;
25        (3) qualified residential tenants at imminent risk of
26    or who are experiencing homelessness because they are



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1    unable to make rental payments;
2        (4) where the residential property is in a zip code
3    experiencing higher rates of poverty when compared to the
4    State as a whole and the residential tenants are unable to
5    make rental payments; and
6        (5) homeowners who are unable to make mortgage
7    payments, after exhausting all forbearance options
8    available.
9    (d) Application for residential housing relief funds.
10        (1) A landlord, tenant, or homeowner may apply for such
11    funds in accordance with the application requirements
12    established by IHDA and IDHS. The funds shall go to the
13    landlord or the mortgagee.
14        (2) A landlord must apply for funds under this Section
15    before bringing a claim for rent, including under Illinois
16    Supreme Court Rules 281 through 289. Once an application
17    for funds is completed, the landlord may not bring a claim
18    for rental debt owed during the moratorium for the tenant's
19    use and occupancy of the dwelling unit pursuant to Illinois
20    Supreme Court Rules 281 through 289 until the application
21    is denied.
22    (e) Receipt of residential housing relief funds.
23        (1) Landlords who receive such funds cannot charge or
24    otherwise collect rent or other fees to residential tenants
25    due during the term of the moratorium or report residential
26    tenants to a debt collector.



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1        (2) Landlords must in good faith cooperate with and
2    complete all requirements established by IHDA, including
3    any agreements to maintain the residential tenant's
4    tenancy.
5        (3) Landlords cannot refuse to accept funds from or on
6    behalf of tenants from the Residential Housing Relief Fund
7    on the basis that the tenants' funds come from the
8    Residential Housing Relief Fund.
9        (4) Landlords who violate paragraph (1), (2), or (3) of
10    this subsection (e) may be subject to recapture of any
11    received Residential Housing Relief Fund dollars by IHDA,
12    IDHS, or the local administering agency, without penalty to
13    the residential tenant.
14    (f) The Residential Housing Relief Fund is created as a
15special fund in the State treasury. Subject to appropriation,
16all money in the fund shall be distributed to the Department to
17carry out the purposes of this Act. Any repayments, interest,
18or new appropriations shall be deposited into the fund. Money
19in the fund shall not be subject to transfer to the General
20Revenue Fund or to any other fund. Federal funds made available
21to the states as a result of the COVID-19 pandemic may be
22deposited into the fund. It is the intent of the General
23Assembly to prioritize the use of available federal funds
24before using General Revenue funds.
25    (g) This Section is subject to appropriation.



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1    Section 25. Eviction case sealing.
2    (a) The court file shall be sealed upon the commencement of
3any residential eviction action during the COVID-19 emergency
4and economic recovery period. If a residential eviction action
5commenced during the COVID-19 emergency and economic recovery
6period is pending on the effective date of this Act and is not
7sealed, the court shall, upon the motion of either party or its
8own motion, order the sealing of the court file.
9    (b) The court may, upon the motion of the either party or
10its own motion, order the sealing of any court file in a
11residential eviction action commenced before the COVID-19
12emergency and economic recovery period, if the court finds:
13        (1) the residential tenant has established an
14    affirmative defense to the eviction action;
15        (2) the defendant has experienced a COVID-19 related
16    hardship; or
17        (3) the interests of justice in sealing the court file
18    outweigh the public interest in maintaining a public
19    record.
20    (c) Upon motion and order of the court, a sealed court file
21may be made available for scholarly, educational,
22journalistic, or governmental purposes only, balancing the
23interests of the parties and the public in nondisclosure with
24the interests of the requesting party. Identifying information
25of the parties shall remain sealed, unless the court determines
26that release of the information is necessary to fulfill the



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1purpose of the request. Nothing in this subsection shall permit
2the release of a sealed court file or the information contained
3therein for a commercial purpose.
4    Section 30. Eviction provisions preempted. For the
5duration of the COVID-19 emergency and economic recovery
6period, Article IX of the Code of Civil Procedure is preempted
7only to the extent that any of its provisions conflict with any
8provision of this Act.
9    Section 35. Conflict with federal law. Nothing with respect
10to this Act conflicts with or is intended to conflict with
11federal law.
12    Section 40. Repeal. This Act is repealed at the end of the
13COVID-19 emergency and economic recovery period.
14    Section 90. The State Finance Act is amended by adding
15Section 5.930 as follows:
16    (30 ILCS 105/5.930 new)
17    Sec. 5.930. The Residential Housing Relief Fund.
18    Section 99. Effective date. This Act takes effect upon
19becoming law.".