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


Rep. Delia C. Ramirez

Filed: 5/22/2020





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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 related hardship" means any negative financial
4impact on an individual or household because of COVID-19 and
5associated governmental orders, including: loss of income,
6furlough, hour reduction or other interruption to employment
7due to workplace, school, and other facility closures; or
8increased household, child care, health care, or other
10    "Dwelling unit" means a building, structure, or part of a
11building or structure or land appurtenant to a building or
12structure, a unit or lot of a manufactured home as defined in
13Section 3 of the Mobile Home Landlord and Tenant Rights Act, or
14other residential real estate used or held out for human
15habitation, together with all common areas and storage areas
16held out for use by the resident.
17    "Eviction" or "to evict" means using any judicial or
18nonjudicial means to involuntarily remove a resident or small
19business commercial tenant from a dwelling unit or a small
20business commercial premises, including, but not limited to:
21         (1) issuing an eviction notice or other notice to
22    terminate a tenancy;
23         (2) filing, serving, or other otherwise initiating a
24    judicial eviction action;
25         (3) prosecuting a pending eviction action, other than
26    as necessary to request a continuance or suspension of the



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1    matter or to comply with an order of the tribunal; or
2         (4) seeking or causing any order for the physical
3    eviction of a resident or small business commercial tenant
4    to be executed.
5    "Eviction action" means any judicial or administrative
6proceeding that seeks recovery of possession of a dwelling unit
7or small business commercial premises from a resident or small
8business commercial tenant.
9    "Eviction order" means any order entered in an eviction
10action that directs or authorizes the removal of a resident or
11small business commercial tenant from a dwelling unit or a
12small business commercial premises. "Eviction order" does not
13include an order entered to remove a resident who is the
14perpetrator of violence in order to protect another resident or
15tenant from domestic violence, sexual violence, dating
16violence, or stalking. "Eviction order" does not include an
17order restoring a resident to possession of the dwelling unit
18entered under subsection (h) of Section 15.
19    "Eviction notice" means any notice directing a resident or
20small business commercial tenant to vacate the dwelling unit or
21small business commercial premises or otherwise purporting to
22terminate a tenancy.
23    "Fund" means the Residential Housing Relief Fund created
24under Section 20.
25    "IHDA" or "Department" means the Illinois Housing
26Development Authority.



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1    "Landlord" means an owner of record, agent, lessor,
2sublessor, court-appointed receiver or master, mortgagee in
3possession, or the successor in interest of any of them of a
4dwelling unit or the building of which it is a part and any
5person authorized to exercise any aspect of the management of
6the premises. "Landlord" includes any person who directly or
7indirectly receives rents and has no obligation to deliver the
8whole of the receipts to another person. "Landlord" also
9includes the owner of a mobile home park.
10    "Premises" means the dwelling unit and the building or
11structure of which it is a part, facilities and appurtenances
12therein, and grounds, areas, and facilities held out for the
13use of residents.
14    "Rental agreement" means every letting or lease, whether by
15written or verbal agreement, of a dwelling unit or small
16business commercial premises.
17    "Residential landlord" means an owner of record, agent,
18lessor, sublessor, court-appointed receiver or master,
19mortgagee in possession, or the successor in interest of any of
20them of a dwelling unit or the building of which it is a part,
21and any person authorized to exercise any aspect of the
22management of the premises. "Residential landlord" includes
23any person who directly or indirectly receives rents and has no
24obligation to deliver the whole of the receipts to another
25person. "Residential landlord" also includes the owner of a
26mobile home park.



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1    "Residential tenant" or "tenant" means a person entitled by
2written or verbal agreement, subtenancy approved by the
3landlord, or by sufferance to occupy a dwelling unit to the
4exclusion of others. "Residential tenant" includes members of a
5tenant's household occupying the dwelling unit.
6    "Small business commercial premises" means any parcel of
7real property that is developed and used either in part or in
8whole for commercial purposes by a business that is not a part
9of a multinational corporation and that has less than 25
11    "Small business commercial tenant" means a commercial
12tenant that is not a part of a multinational corporation and
13that has less than 25 employees.
14    Section 15. Moratorium on residential and small business
15commercial premises eviction.
16    (a) There is hereby declared a moratorium on evictions from
17residential and small business commercial premises in this
18State that shall remain in effect for 60 days after the
19effective date of this Act.
20    (b) Except as provided in subsection (f), during the
22        (1) No person or entity shall evict or attempt to evict
23    a residential tenant or small business commercial tenant
24    from a dwelling unit or small business commercial premises.
25        (2) No court shall accept any filing, including a



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1    complaint, summons, or motion, other than those authorized
2    under subsection (f), in an eviction action, or hear or
3    decide any matter, or enter a judgment in favor of the
4    plaintiff for eviction, rent, or other remedies that may
5    have otherwise been permitted by law.
6        (3) No sheriff, local law enforcement officer, or any
7    other person or entity may serve process or attempt to
8    serve process for an eviction action.
9    (c) Any eviction notice issued on or after March 9, 2020
10through the date on which the moratorium expires is invalid and
11shall not be deemed to have terminated the residential or small
12business commercial tenancy, except in an action commenced
13under subsection (f) or in a pending eviction actions filed on
14or before April 22, 2020.
15    (d) (Blank).
16    (e) Any deadline or period for action by a party to an
17eviction action commenced before the effective date of this
18Act, including the time to appeal a judgment, is tolled during
19the moratorium.
20    (f) This moratorium does not prevent a residential landlord
21from taking any legal action to protect other residential
22tenants by evicting or otherwise barring from the premises any
23person who poses a credible threat of violence to other
24residential tenants at the premises.
25    (g) (Blank).
26    (h) Any residential or small business commercial tenant



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1dispossessed of a dwelling unit or small business commercial
2premises in violation of subsection (b) may bring an action in
3a court of competent jurisdiction to regain possession of the
4dwelling unit or small business commercial premises. Such a
5claim shall constitute an emergency and shall be scheduled by
6the court for a hearing as soon as practicable.
7    (i) In any action pending or commenced after expiration of
8the moratorium, a residential landlord may not maintain any
9eviction action based on the nonpayment of rent that first
10became due on or after March 9, 2020 through the expiration of
11the moratorium, late fees, or any other fee or cost associated
12with such nonpayment, nor may any residential landlord issue an
13eviction notice demanding such rent or fees.
14    (j) Nothing in this Section prohibits:
15        (1) a residential or small business commercial tenant
16    from terminating a rental agreement in a manner otherwise
17    prescribed by contract or law;
18        (2) the termination of a residential or small business
19    commercial rental agreement by mutual agreement; or
20        (3) a landlord from bringing a claim for rent due in
21    the manner described in Illinois Supreme Court Rules 281
22    through 289.
23    (k) Any eviction action may be sealed if the tenant shows a
24COVID-19 related hardship or the interests of justice outweigh
25the interests of the public in viewing the court file.
26    (l) Any eviction proceeding against a tenant who applies



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1for relief under Section 20 of this Act shall be stayed from
2the date that his or her application is submitted, for the time
3that his or her application is pending and being considered by
4the Department.
5    Section 20. Residential Housing Relief Fund.
6    (a) Within 30 days of this Act becoming law, the Illinois
7Housing Development Authority shall establish a Residential
8Housing Relief Fund, to provide assistance to:
9        (1) Residential landlords and residential tenants in
10    order to preserve the tenancy by covering certain rental
11    amounts due from residential tenants unable to pay rent
12    because they are experiencing a COVID-19 related hardship
13    and are at risk of homelessness.
14        (2) Residential tenants experiencing a COVID-19
15    related hardship who need to move and have demonstrated a
16    financial need for funds to cover expenses, including, but
17    not limited to, the first month's rent or a security
18    deposit, or both.
19        (3) Homeowners who have demonstrated that they are
20    unable to make mortgage payments, after exhausting all
21    forbearance options available.
22    (b) IHDA shall allocate available funds to homeowners,
23residential landlords, and residential tenants and establish
24further administrative requirements on the application for and
25the distribution of these funds as is necessary.



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1    (c) In accordance with existing eligibility and other
2funding requirements, available funds shall be prioritized as
4        (1) qualified residential tenants at 50% or below of
5    the median family income for the area of the local
6    administering agency unable to make rental payments;
7        (2) qualified residential tenants who are not eligible
8    for federal funds and who are unable to make rental
9    payments;
10        (3) qualified residential tenants at imminent risk of
11    or who are experiencing homelessness because they are
12    unable to make rental payments; and
13        (4) homeowners who are unable to make mortgage
14    payments, after exhausting all forbearance options
15    available.
16    (d) Application for residential housing relief funds.
17        (1) A landlord, tenant, or homeowner may apply for such
18    funds in accordance with the application requirements
19    established by IHDA. The funds shall go to the landlord or
20    the mortgagee.
21        (2) A landlord must apply for funds under this Section
22    before bringing a claim for rent, including under Illinois
23    Supreme Court Rules 281 through 289. Once an application
24    for funds is completed, the landlord may not bring a claim
25    for rental debt owed during the moratorium for the tenant's
26    use and occupancy of the dwelling unit pursuant to Illinois



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1    Supreme Court Rules 281 through 289 until the application
2    is denied.
3    (e) Receipt of residential housing relief funds.
4        (1) Landlords who receive such funds cannot charge or
5    otherwise collect rent or other fees to residential tenants
6    due during the term of the moratorium or report residential
7    tenants to a debt collector.
8        (2) Landlords must in good faith cooperate with and
9    complete all requirements established by IHDA, including
10    any agreements to maintain the residential tenant's
11    tenancy.
12        (3) Landlords cannot refuse to accept funds from or on
13    behalf of tenants from the Residential Housing Relief Fund
14    on the basis that the tenants' funds come from the
15    Residential Housing Relief Fund.
16        (4) Landlords who violate paragraph (1), (2), or (3) of
17    this subsection (e) may be subject to recapture of any
18    received Residential Housing Relief Fund dollars by IHDA
19    without penalty to the residential tenant.
20    (f) The Residential Housing Relief Fund is created as a
21special fund in the State treasury. Subject to appropriation,
22all money in the fund shall be distributed to the Department to
23carry out the purposes of this Act. Any repayments, interest,
24or new appropriations shall be deposited into the fund. Money
25in the fund shall not be subject to transfer to the General
26Revenue Fund or to any other fund. Federal funds made available



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1to the states as a result of the COVID-19 pandemic may be
2deposited into the fund. It is the intent of the General
3Assembly to prioritize the use of available federal funds
4before using General Revenue funds.
5    (g) This Section is subject to appropriation.
6    Section 25. Eviction provisions preempted. For the
7duration of this Act, Article IX of the Code of Civil Procedure
8is preempted only to the extent that any of its provisions
9conflict with any provision of this Act.
10    Section 30. Conflict with federal law. Nothing with respect
11to this Act conflicts with or is intended to conflict with
12federal law.
13    Section 35. Repeal. Sections 5, 10, 15, 25, and 30 are
14repealed on January 1, 2021.
15    Section 90. The State Finance Act is amended by adding
16Section 5.930 as follows:
17    (30 ILCS 105/5.930 new)
18    Sec. 5.930. The Residential Housing Relief Fund.
19    Section 99. Effective date. This Act takes effect upon
20becoming law.".