Illinois General Assembly - Full Text of SB1579
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Full Text of SB1579  96th General Assembly



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1     AN ACT concerning professions and occupations.
2     Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4     Section 1. Short title. This Act may be cited as the
5 Community Association Manager Licensing and Disciplinary Act.
6     Section 5. Legislative intent. It is the intent of the
7 General Assembly that this Act provide for the regulation of
8 managers of community associations, ensure that those who hold
9 themselves out as possessing professional qualifications to
10 engage in the provision of community association management
11 services are, in fact, qualified to render management services
12 of a professional nature, and provide for the maintenance of
13 high standards of professional conduct by those licensed as
14 community association managers.
15     Section 10. Definitions. As used in this Act:
16     "Address of record" means the designated address recorded
17 by the Department in the applicant's or licensee's application
18 file or license file maintained by the Department's licensure
19 maintenance unit. It is the duty of the applicant or licensee
20 to inform the Department of any change of address, and such
21 changes must be made either through the Department's website or
22 by contacting the Department's licensure maintenance unit.



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1     "Advertise" means, but is not limited to, issuing or
2 causing to be distributed any card, sign or device to any
3 person; or causing, permitting or allowing any sign or marking
4 on or in any building, structure, newspaper, magazine or
5 directory, or on radio or television; or advertising by any
6 other means designed to secure public attention.
7     "Board" means the Illinois Community Association Manager
8 Licensing and Disciplinary Board.
9     "Community association" means an association in which
10 membership is a condition of ownership or shareholder interest
11 of a unit in a condominium, cooperative, townhouse, villa, or
12 other residential unit which is part of a residential
13 development plan and that is authorized to impose an
14 assessment, rents, or other costs that may become a lien on the
15 unit or lot.
16     "Community Association Management Agency" means a company,
17 firm, corporation, limited liability company, or other entity
18 that engages in the community association management business
19 and employs, in addition to the licensee-in-charge, at least
20 one other person in conducting such business.
21     "Community association manager" means an individual who
22 administers for remuneration the financial, administrative,
23 maintenance, or other duties for the community association,
24 including the following services: (A) collecting, controlling
25 or disbursing funds of the community association or having the
26 authority to do so; (B) preparing budgets or other financial



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1 documents for the community association; (C) assisting in the
2 conduct of community association meetings; (D) maintaining
3 association records; and (E) administrating association
4 contracts, as stated in the declaration, bylaws, proprietary
5 lease, declaration of covenants, or other governing document of
6 the community association. "Community association manager"
7 does not mean support staff, including, but not limited to
8 bookkeepers, administrative assistants, secretaries, property
9 inspectors, or customer service representatives.
10     "Department" means the Department of Financial and
11 Professional Regulation.
12     "License" means the license issued to a person to act as a
13 community association manager under this Act or other authority
14 to practice issued under this Act.
15     "Person" means any individual, firm, corporation,
16 partnership, organization, or body politic.
17     "Licensee-in-charge" means a person licensed as a
18 community association manager who has been designated by a
19 Community Association Management Agency as the full-time
20 management employee or owner who assumes sole responsibility
21 for maintaining all records required by this Act and who
22 assumes sole responsibility for assuring the licensed agency's
23 compliance with its responsibilities as stated in the Act.
24     "Secretary" means the Secretary of Financial and
25 Professional Regulation.



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1     Section 15. License required. Beginning 12 months after
2 the adoption of rules providing for the licensure of a
3 community association manager in Illinois under this Act, it
4 shall be unlawful for any person, entity, or other business to
5 provide community association management services or provide
6 services as community association manager to any community
7 association in this State, unless he or she holds a current and
8 valid license issued licensed by the Department or is otherwise
9 exempt from licensure under this Act.
10     Section 20. Exemptions.
11     (a) This Act does not apply to any of the following:
12         (1) Any director, officer, or member of a community
13     association providing one or more of the services of a
14     community association manager without compensation for
15     such services to the association.
16         (2) Any person providing one or more of the services of
17     a community association manager to a community association
18     of 10 units or less.
19         (3) A licensed attorney acting solely as an incident to
20     the practice of law.
21         (4) A person acting as a receiver, trustee in
22     bankruptcy, administrator, executor, or guardian acting
23     under a court order or under the authority of a will or of
24     a trust instrument.
25         (5) A person licensed in this State under any other Act



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1     from engaging the practice for which he or she is licensed.
2     (b) A licensed community association manager may not
3 perform or engage in any activities for which a real estate
4 broker or real estate salesperson's license is required under
5 the Real Estate License Act of 2000, unless he or she also
6 possesses a current license under the Real Estate License Act
7 of 2000 and is providing those services as provided for in the
8 Act and the applicable rules.
9     (c) A person may act as, or provide services as, a
10 community association manager without being licensed under
11 this Act if the person (i) is a community association manager
12 regulated under the laws of another state or territory of the
13 United States or another country and (ii) has applied in
14 writing to the Department, on forms prepared and furnished by
15 the Department, for licensure under this Act, but only until
16 the expiration of 6 months after the filing of his or her
17 written application to the Department, his or her withdrawal of
18 the application, he or she has received a notice of intent to
19 deny the application from the Department, or the denial of the
20 application by the Department.
21     Section 25. Community Association Manager Licensing and
22 Disciplinary Board.
23     (a) There is hereby created the Community Association
24 Manager Board, which shall consist of 7 members appointed by
25 the Secretary. All members must be residents of the State and



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1 must have resided in the State for at least 5 years immediately
2 preceding the date of appointment. Five members of the Board
3 must be licensees under this Act, except that, initially, these
4 members must meet the qualifications for licensure and have
5 obtained a license within 6 months after the effective date of
6 this Act. Two members of the Board shall be owners or
7 shareholders of a unit in a community association at the time
8 of appointment who are not licensees under this Act and have no
9 direct affiliation or work experience with the community
10 association manager. This Board shall act in an advisory
11 capacity to the Department.
12     (b) Board members shall serve for terms of 5 years, except
13 that, initially, 4 members shall serve for 5 years and 3
14 members shall serve for 4 years. All members shall serve until
15 his or her successor is appointed and qualified. All vacancies
16 shall be filled in like manner for the unexpired term. No
17 member shall serve for more than 2 successive terms. The
18 Secretary shall remove from the Board any member whose license
19 has become void or has been revoked or suspended and may remove
20 any member of the Board for neglect of duty, misconduct, or
21 incompetence. A member subject to formal disciplinary
22 proceedings shall disqualify himself or herself from all Board
23 business until the charge is resolved. A member also shall
24 disqualify himself or herself from any matter on which the
25 member cannot act objectively.
26     (c) Four Board members shall constitute a quorum. A quorum



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1 is required for all Board decisions.
2     (d) The Board may elect a chairperson and vice chairperson.
3     (e) Each member shall receive reimbursement as set by the
4 Governor's Travel Control Board for expenses incurred in
5 carrying out the duties as a Board member. The Board shall be
6 compensated as determined by the Secretary.
7     (f) The Board may recommend policies, procedures, and rules
8 relevant to the administration and enforcement of this Act.
9     Section 27. Immunity from Liability. Any member of the
10 Board, any attorney providing advice to the Board or
11 Department, any person acting as a consultant to the Board or
12 Department, and any witness testifying in a proceeding
13 authorized under this Act, excluding the party making the
14 complaint, shall be immune from liability in any civil action
15 brought against him or her for acts occurring while acting in
16 his or her capacity as a Board member, consultant, or witness,
17 respectively, unless the conduct that gave rise to the action
18 was willful or wanton misconduct.
19     Section 30. Powers and duties of the Department. The
20 Department may exercise the following functions, powers and
21 duties:
22     (a) formulate rules for the administration and enforcement
23 of this Act;
24     (b) prescribe forms to be issued for the administration and



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1 enforcement of this Act;
2     (c) conduct hearings or proceedings to refuse to issue,
3 renew, suspend, revoke, place on probation, reprimand, or take
4 disciplinary or non-disciplinary action as the Department may
5 deem appropriate under this Act;
6     (d) maintain a roster of the names and addresses of all
7 licensees in a manner as deemed appropriate by the Department;
8 and
9     (e) seek the advice and expert knowledge of the Board on
10 any matter relating to the administration and enforcement of
11 this Act.
12     Section 32. Social Security Number on license application.
13 In addition to any other information required to be contained
14 in the application, every application for an original, renewal,
15 or restored license under this Act shall include the
16 applicant's Social Security Number.
17     Section 35. Functions and powers of the Board. Subject to
18 the provisions of this Act, the Board shall exercise, in an
19 advisory capacity, the following functions and powers:
20         (1) make recommendations regarding rules for the
21     administration and enforcement of this Act, including, but
22     not limited to, experience, education, licensure,
23     disciplinary standards and procedures, renewal and
24     restoration requirements;



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1         (2) make recommendations regarding subjects, topics
2     and areas needed for the examination in order to fairly
3     ascertain the fitness and qualifications of applicants for
4     licensure; and
5         (3) make recommendations regarding discipline as
6     provided for in this Act.
7     Section 40. Qualifications for licensure as a community
8 association manager.
9     (a) No person shall be qualified for licensure under this
10 Act, unless he or she has applied in writing on the prescribed
11 forms and has paid the required, nonrefundable fees and meets
12 all of the following qualifications:
13         (1) He or she is at least 21 years of age.
14         (2) He or she provides satisfactory evidence of having
15     completed at least 20 classroom hours in community
16     association management courses approved by the Board.
17         (3) He or she has passed an examination authorized by
18     the Department.
19         (4) He or she has not committed an act or acts, in this
20     or any other jurisdiction, that would be a violation of
21     this Act.
22         (5) He or she is of good moral character. Good moral
23     character is a continuing requirement of licensure.
24     Conviction of crimes other than felonies may be used in
25     determining moral character, but shall not constitute an



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1     absolute bar to licensure.
2         (6) He or she has not been declared by any court of
3     competent jurisdiction to be incompetent by reason of
4     mental or physical defect or disease, unless a court has
5     subsequently declared him or her to be competent.
6         (7) He or she complies with any additional
7     qualifications for licensure as determined by rule of the
8     Department.
9     (b) The education requirement set forth in item (2) of
10 subsection (a) of this Section shall not apply to persons
11 holding a real estate broker or real estate salesperson license
12 in good standing issued under the Real Estate License Act of
13 2000.
14     (c) The examination and initial education requirement of
15 items (2) and (3) of subsection (a) of this Section shall not
16 apply to any person who within 6 months from the effective date
17 of the requirement for licensure, as set forth in Section 170
18 of this Act, applies for a license by providing satisfactory
19 evidence to the Department of qualifying experience or
20 education, as may be set forth by rule, including without
21 limitation evidence that he or she has (i) practiced community
22 association management for a period of 5 years or (ii) achieved
23 a designation awarded by recognized community association
24 management organizations in the State.
25     (d) Applicants have 3 years from the date of application to
26 complete the application process. If the process has not been



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1 completed within the 3 years, the application shall be denied,
2 the fee shall be forfeited, and the applicant must reapply and
3 meet the requirements in effect at the time of re-application.
4     Section 45. Examinations.
5     (a) The Department shall authorize examinations of
6 applicants for licensure as a community association manager at
7 such times and places as it may determine. The examination of
8 applicants shall be of a character to give a fair test of the
9 qualifications of the applicant to practice as a community
10 association manager.
11     (b) Applicants for examination shall be required to pay,
12 either to the Department or the designated testing service, a
13 fee covering the cost of providing the examination.
14     (c) The Department may employ consultants for the purpose
15 of preparing and conducting examinations.
16     (d) An applicant shall be eligible to take the examination
17 only after successfully completing the education requirements
18 set forth in this Act and attaining the minimum age required
19 under this Act.
20     (e) The examination approved by the Department should
21 utilize the basic principles of professional testing standards
22 utilizing psychometric measurement. The examination shall use
23 standards set forth by the National Organization for Competency
24 Assurances and shall be approved by the Department.



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1     Section 50. Community Association Management Agency.
2     (a) No firm, corporation, limited liability company, or
3 other legal entity shall provide or offer to provide community
4 association management services, unless such services are
5 provided through:
6         (1) an employee or independent contractor who is
7     licensed under this Act;
8         (2) a natural person who is acting under the direct
9     supervision of an employee of such firm, corporation,
10     limited liability company, or other legal entity that is
11     licensed under this Act; or
12         (3) a natural person who is legally authorized to
13     provide such services.
14     (b) Any firm, corporation, limited liability company, or
15 other legal entity that is providing, or offering to provide,
16 community association management services and is not in
17 compliance with Section 50 and the provisions of this Act shall
18 be subject to the fines, injunctions, cease and desist
19 provisions, and penalties provided for in Sections 90, 92, and
20 155 of this Act.
21     (c) No community association manager may be the
22 licensee-in-charge for more than one firm, corporation,
23 limited liability company, or other legal entity.
24     Section 55. Fidelity insurance; segregation of accounts.
25     (a) A community association manager or the Community



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1 Association Management Agency with which he or she is employed
2 shall not have access to and disburse funds of a community
3 association unless each of the following conditions occur:
4         (1) There is fidelity insurance in place to insure
5     against loss for theft of community association funds.
6         (2) The fidelity insurance is not less than all moneys
7     under the control of the community association manager or
8     the employing Community Association Management Agency for
9     the association.
10         (3) The fidelity insurance covers the community
11     association manager and all partners, officers, and
12     employees of the Community Association Management Agency
13     with whom he or she is employed during the term of the
14     insurance coverage, as well as the association officers,
15     directors, and employees.
16         (4) The insurance company issuing the fidelity
17     insurance may not cancel or refuse to renew the bond
18     without giving at least 10 days' prior written notice.
19         (5) Unless an agreement between the community
20     association and the community association manager or the
21     Community Association Management Agency provides to the
22     contrary, the Association secures and pays for the fidelity
23     insurance. The community association manager and the
24     Community Association Management Agency must be named as
25     additional insured parties on the association policy.
26     (b) A community association manager or Community



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1 Association Management Agency that provides community
2 association management services for more than one community
3 association shall maintain separate, segregated accounts for
4 each community association or, with the consent of the
5 association, combine the accounts of one or more associations,
6 but in that event, separately account for the funds of each
7 association. The funds shall not, in any event, be commingled
8 with the community association manager's or Community
9 Association Management Agency's funds. The maintenance of such
10 accounts shall be custodial, and such accounts shall be in the
11 name of the respective community association or community
12 association manager or Community Association Management Agency
13 as the agent for the association.
14     (c) The community association manager or Community
15 Association Management Agency shall obtain the appropriate
16 general liability and errors and omissions insurance, as
17 determined by the Department, to cover any losses or claims
18 against community association clients.
19     (d) The Department shall have authority to promulgate
20 additional rules regarding insurance, fidelity insurance and
21 all accounts maintained and to be maintained by a community
22 association manager or Community Association Management
23 Agency.
24     Section 60. Licenses; renewals; restoration; person in
25 military service.



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1     (a) The expiration date and renewal period for each license
2 issued under this Act shall be set by rule. The Department may
3 promulgate rules requiring continuing education and set all
4 necessary requirements for such, including but not limited to
5 fees, approved coursework, number of hours, and waivers of
6 continuing education.
7     (b) Any licensee who has permitted his or her license to
8 expire may have the license restored by making application to
9 the Department and filing proof acceptable to the Department of
10 fitness to have his or her license restored, by which may
11 include sworn evidence certifying to active practice in another
12 jurisdiction satisfactory to the Department, complying with
13 any continuing education requirements, and paying the required
14 restoration fee.
15     (c) If the person has not maintained an active practice in
16 another jurisdiction satisfactory to the Department, the
17 Department shall determine, by an evaluation program
18 established by rule, the person's fitness to resume active
19 status and may require the person to complete a period of
20 evaluated clinical experience and successful completion of a
21 practical examination. However, any person whose license
22 expired while (i) in federal service on active duty with the
23 Armed Forces of the United States or called into service or
24 training with the State Militia or (ii) in training or
25 education under the supervision of the United States
26 preliminary to induction into the military service may have his



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1 or her license renewed or restored without paying any lapsed
2 renewal fees if, within 2 years after honorable termination of
3 the service, training or education, except under condition
4 other than honorable, he or she furnishes the Department with
5 satisfactory evidence to the effect that he or she has been so
6 engaged and that the service, training, or education has been
7 so terminated.
8     (d) A community association manager who notifies the
9 Department, in writing on forms prescribed by the Department,
10 may place his or her license on inactive status and shall be
11 excused from the payment of renewal fees until the person
12 notifies the Department in writing of the intention to resume
13 active practice.
14     (e) A community association manager requesting his or her
15 license be changed from inactive to active status shall be
16 required to pay the current renewal fee and shall also
17 demonstrate compliance with the continuing education
18 requirements.
19     (f) Any license nonrenewed or on inactive status shall
20 provide community association management services or provide
21 services as community association manager as set forth in this
22 Act.
23     (g) Any person violating subsection (f) of this Section
24 shall be considered to be practicing without a license and will
25 be subject to the disciplinary provisions of this Act.



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1     Section 65. Fees; Community Association Manager Licensing
2 and Disciplinary Fund.
3     (a) The fees for the administration and enforcement of this
4 Act, including, but not limited to, initial licensure, renewal,
5 and restoration, shall be set by rule of the Department. The
6 fees shall be nonrefundable.
7     (b) In addition to the application fee, applicants for the
8 examination are required to pay, either to the Department or
9 the designated testing service, a fee covering the cost of
10 determining an applicant's eligibility and providing the
11 examination. Failure to appear for the examination on the
12 scheduled date, at the time and place specified, after the
13 applicant's application and fee for examination have been
14 received and acknowledged by the Department or the designated
15 testing service, shall result in the forfeiture of the fee.
16     (c) To support the costs of administering this Act, all
17 community associations that have 10 or more units and are
18 registered in this State as not-for-profit corporations shall
19 pay to the Department an annual fee of $50 plus an additional
20 $1 per unit. The Department may establish forms and promulgate
21 any rules for the effective collection of such fees under this
22 subsection (c).
23     Any not-for-profit corporation in this State that fails to
24 pay in full to the Department all fees owed under this
25 subsection (c) shall be subject to the penalties and procedures
26 provided for under Section 92 of this Act.



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1     (d) All fees, fines, penalties, or other monies received or
2 collected pursuant to this Act shall be deposited in the
3 Community Association Manager Licensing and Disciplinary Fund.
4     Section 70. Penalty for insufficient funds; payments. Any
5 person who delivers a check or other payment to the Department
6 that is returned to the Department unpaid by the financial
7 institution upon which it is drawn shall pay to the Department,
8 in addition to the amount already owed to the Department, a
9 fine of $50. The Department shall notify the person that
10 payment of fees and fines shall be paid to the Department by
11 certified check or money order within 30 calendar days after
12 notification. If, after the expiration of 30 days from the date
13 of the notification, the person has failed to submit the
14 necessary remittance, the Department shall automatically
15 terminate the license or deny the application, without hearing.
16 If, after termination or denial, the person seeks a license, he
17 or she shall apply to the Department for restoration or
18 issuance of the license and pay all fees and fines due to the
19 Department. The Department may establish a fee for the
20 processing of an application for restoration of a license to
21 pay all expenses of processing this application. The Secretary
22 may waive the fines due under this Section in individual cases
23 where the Secretary finds that the fines would be unreasonable
24 or unnecessarily burdensome.



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1     Section 75. Endorsement. The Department may issue a
2 license as a licensed community association manager, without
3 the required examination, to an applicant licensed under the
4 laws of another state if the requirements for licensure in that
5 state are, on the date of licensure, substantially equal to the
6 requirements of this Act or to a person who, at the time of his
7 or her application for licensure, possessed individual
8 qualifications that were substantially equivalent to the
9 requirements then in force in this State. An applicant under
10 this Section shall pay all of the required fees.
11     Applicants have 3 years from the date of application to
12 complete the application process. If the process has not been
13 completed within the 3 years, the application shall be denied,
14 the fee shall be forfeited, and the applicant must reapply and
15 meet the requirements in effect at the time of reapplication.
16     Section 80. Roster. The Department shall maintain a roster
17 of names and addresses of all persons who hold valid licenses
18 and all persons whose licenses have been suspended, revoked or
19 otherwise disciplined. This roster shall be available upon
20 request and payment of the required fee as determined by the
21 Department.
22     Section 85. Grounds for discipline; refusal, revocation,
23 or suspension.
24     (a) The Department may refuse to issue or renew, or may



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1 revoke a license, or may suspend, place on probation, fine, or
2 take any disciplinary or non-disciplinary action as the
3 Department may deem proper, including fines not to exceed
4 $10,000 for each violation, with regard to any licensee for any
5 one or combination of the following causes:
6         (1) Material misstatement in furnishing information to
7     the Department.
8         (2) Violations of this Act or its rules.
9         (3) Conviction of or entry of a plea of guilty or nolo
10     contendere to any crime that is a felony under the laws of
11     the United States or any state or territory thereof or a
12     misdemeanor of which an essential element is dishonesty or
13     that is directly related to the practice of the profession.
14         (4) Making any misrepresentation for the purpose of
15     obtaining a license or violating any provision of this Act
16     or its rules.
17         (5) Professional incompetence.
18         (6) Gross negligence.
19         (7) Aiding or assisting another person in violating any
20     provision of this Act or its rules.
21         (8) Failing, within 30 days, to provide information in
22     response to a request made by the Department.
23         (9) Engaging in dishonorable, unethical, or
24     unprofessional conduct of a character likely to deceive,
25     defraud or harm the public as defined by the rules of the
26     Department, or violating the rules of professional conduct



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1     adopted by the Department.
2         (10) Habitual or excessive use or addiction to alcohol,
3     narcotics, stimulants, or any other chemical agent or drug
4     that results in the inability to practice with reasonable
5     judgment, skill, or safety.
6         (11) Discipline by another state, territory, or
7     country if at least one of the grounds for the discipline
8     is the same or substantially equivalent to those set forth
9     in this Act.
10         (12) Directly or indirectly giving to or receiving from
11     any person, firm, corporation, partnership or association
12     any fee, commission, rebate, or other form of compensation
13     for any professional services not actually or personally
14     rendered.
15         (13) A finding by the Department that the licensee,
16     after having his or her license placed on probationary
17     status, has violated the terms of probation.
18         (14) Willfully making or filing false records or
19     reports relating to a licensee's practice, including but
20     not limited to false records filed any State or federal
21     agencies or departments.
22         (15) Being named as a perpetrator in an indicated
23     report by the Department of Children and Family Services
24     under the Abused and Neglected Child Reporting Act and upon
25     proof by clear and convincing evidence that the licensee
26     has caused a child to be an abused child or neglected child



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1     as defined in the Abused and Neglected Child Reporting Act.
2         (16) Physical illness or mental illness or impairment,
3     including, but not limited to, deterioration through the
4     aging process or loss of motor skill that results in the
5     inability to practice the profession with reasonable
6     judgment, skill, or safety.
7         (17) Solicitation of professional services by using
8     false or misleading advertising.
9         (18) A finding that licensure has been applied for or
10     obtained by fraudulent means.
11         (19) Practicing or attempting to practice under a name
12     other than the full name as shown on the license or any
13     other legally authorized name.
14         (20) Gross overcharging for professional services
15     including, but not limited to, (i) collection of fees or
16     moneys for services that are not rendered; and (ii)
17     charging for services that are not in accordance with the
18     contract between the licensee and the community
19     association.
20         (21) Improper commingling of personal and client funds
21     in violation of this Act or any rules promulgated thereto.
22         (22) Failing to account for or remit any moneys or
23     documents coming into the licensee's possession that
24     belong to another person or entity.
25         (23) Giving differential treatment to a person that is
26     to that person's detriment because of race, color, creed,



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1     sex, religion, or national origin.
2         (24) Performing and charging for services without
3     reasonable authorization to do so from the person or entity
4     for whom service is being provided.
5         (25) Failing to make available to the Department, upon
6     request, any books, records, or forms required by this Act.
7         (26) Purporting to be a licensee-in-charge of an agency
8     without active participation in the agency.
9         (27) Failing to make available to the Department at the
10     time of the request any indicia of licensure or
11     registration issued under this Act.
12     (b) In accordance with subdivision (a)(5) of Section 15 of
13 the Department of Professional Regulation Law of the Civil
14 Administrative Code of Illinois (20 ILCS 2105/2105-15), the
15 Department shall deny a license or renewal authorized by this
16 Act to a person who has defaulted on an educational loan or
17 scholarship provided or guaranteed by the Illinois Student
18 Assistance Commission or any governmental agency of this State.
19     (c) The determination by a circuit court that a licensee is
20 subject to involuntary admission or judicial admission, as
21 provided in the Mental Health and Developmental Disabilities
22 Code, operates as an automatic suspension. The suspension will
23 terminate only upon a finding by a court that the patient is no
24 longer subject to involuntary admission or judicial admission
25 and the issuance of an order so finding and discharging the
26 patient, and upon the recommendation of the Board to the



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1 Secretary that the licensee be allowed to resume his or her
2 practice as a licensed community association manager.
3     (d) In accordance with subsection (g) of Section 15 of the
4 Department of Professional Regulation Law of the Civil
5 Administrative Code of Illinois (20 ILCS 2105/2105-15), the
6 Department may refuse to issue or renew or may suspend the
7 license of any person who fails to file a return, to pay the
8 tax, penalty, or interest shown in a filed return, or to pay
9 any final assessment of tax, penalty, or interest, as required
10 by any tax Act administered by the Department of Revenue, until
11 such time as the requirements of that tax Act are satisfied.
12     (e) In accordance with subdivision (a)(5) of Section 15 of
13 the Department of Professional Regulation Law of the Civil
14 Administrative Code of Illinois (20 ILCS 2105/2105-15) and in
15 cases where the Department of Healthcare and Family Services
16 (formerly Department of Public Aid) has previously determined
17 that a licensee or a potential licensee is more than 30 days
18 delinquent in the payment of child support and has subsequently
19 certified the delinquency to the Department may refuse to issue
20 or renew or may revoke or suspend that person's license or may
21 take other disciplinary action against that person based solely
22 upon the certification of delinquency made by the Department of
23 Healthcare and Family Services.
24     (f) In enforcing this Section, the Department or Board upon
25 a showing of a possible violation may compel an individual
26 licensed to practice under this Act, or who has applied for



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1 licensure under this Act, to submit to a mental or physical
2 examination, or both, as required by and at the expense of the
3 Department. The Department or Board may order the examining
4 physician to present testimony concerning the mental or
5 physical examination of the licensee or applicant. No
6 information shall be excluded by reason of any common law or
7 statutory privilege relating to communications between the
8 licensee or applicant and the examining physician. The
9 examining physicians shall be specifically designated by the
10 Board or Department. The individual to be examined may have, at
11 his or her own expense, another physician of his or her choice
12 present during all aspects of this examination. Failure of an
13 individual to submit to a mental or physical examination, when
14 directed, shall be grounds for suspension of his or her license
15 or denial of his or her application or renewal until the
16 individual submits to the examination if the Department finds,
17 after notice and hearing, that the refusal to submit to the
18 examination was without reasonable cause.
19     If the Department or Board finds an individual unable to
20 practice because of the reasons set forth in this Section, the
21 Department or Board may require that individual to submit to
22 care, counseling, or treatment by physicians approved or
23 designated by the Department or Board, as a condition, term, or
24 restriction for continued, reinstated, or renewed licensure to
25 practice; or, in lieu of care, counseling, or treatment, the
26 Department may file, or the Board may recommend to the



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1 Department to file, a complaint to immediately suspend, revoke,
2 deny, or otherwise discipline the license of the individual. An
3 individual whose license was granted, continued, reinstated,
4 renewed, disciplined or supervised subject to such terms,
5 conditions, or restrictions, and who fails to comply with such
6 terms, conditions, or restrictions, shall be referred to the
7 Secretary for a determination as to whether the individual
8 shall have his or her license suspended immediately, pending a
9 hearing by the Department.
10     In instances in which the Secretary immediately suspends a
11 person's license under this Section, a hearing on that person's
12 license must be convened by the Department within 30 days after
13 the suspension and completed without appreciable delay. The
14 Department and Board shall have the authority to review the
15 subject individual's record of treatment and counseling
16 regarding the impairment to the extent permitted by applicable
17 federal statutes and regulations safeguarding the
18 confidentiality of medical records.
19     An individual licensed under this Act and affected under
20 this Section shall be afforded an opportunity to demonstrate to
21 the Department or Board that he or she can resume practice in
22 compliance with acceptable and prevailing standards under the
23 provisions of his or her license.
24     Section 87. Suspension of license for failure to pay
25 restitution. The Department, without further process or



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1 hearing, shall suspend the license or other authorization to
2 practice of any person issued under this Act who has been
3 certified by court order as not having paid restitution to a
4 person under Section 8A-3.5 of the Illinois Public Aid Code or
5 under Section 46-1 of the Criminal Code of 1961. A person whose
6 license or other authorization to practice is suspended under
7 this Section is prohibited from practicing until the
8 restitution is made in full.
9     Section 90. Violations; injunctions; cease and desist
10 orders.
11     (a) If any person violates a provision of this Act, the
12 Secretary may, in the name of the People of the State of
13 Illinois, through the Attorney General of the State of
14 Illinois, petition for an order enjoining the violation or for
15 an order enforcing compliance with this Act. Upon the filing of
16 a verified petition in court, the court may issue a temporary
17 restraining order, without notice or bond, and may
18 preliminarily and permanently enjoin the violation. If it is
19 established that the person has violated or is violating the
20 injunction, the Court may punish the offender for contempt of
21 court. Proceedings under this Section are in addition to, and
22 not in lieu of, all other remedies and penalties provided by
23 this Act.
24     (b) If any person, entity or other business may provide
25 community association management services or provide services



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1 as community association manager to any community association
2 in this State without having a valid license under this Act,
3 then any licensee, any interested party or any person injured
4 thereby may, in addition to the Secretary, petition for relief
5 as provided in subsection (a) of this Section.
6     (c) Whenever in the opinion of the Department any person,
7 entity or other business violates any provision of this Act,
8 the Department may issue a rule to show cause why an order to
9 cease and desist should not be entered against such person,
10 firm or other entity. The rule shall clearly set forth the
11 grounds relied upon by the Department and shall provide a
12 period of at least 7 days from the date of the rule to file an
13 answer to the satisfaction of the Department. If the person,
14 firm or other entity fails to file an answer satisfactory to
15 the Department, the matter shall be considered as a default and
16 the Department may cause an order to cease and desist to be
17 issued immediately.
18     Section 92. Unlicensed practice; violation; civil penalty.
19     (a) Any person, entity or other business who practices,
20 offers to practice, attempts to practice, or holds himself,
21 herself or itself out to practice as a community association
22 management service or provide services as community
23 association manager to any community association in this State
24 without being licensed under this Act shall, in addition to any
25 other penalty provided by law, pay a civil penalty to the



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1 Department in an amount not to exceed $10,000 for each offense,
2 as determined by the Department. The civil penalty shall be
3 assessed by the Department after a hearing is held in
4 accordance with the provisions set forth in this Act regarding
5 the provision of a hearing for the discipline of a licensee.
6     (b) The Department may investigate any and all unlicensed
7 activity.
8     (c) The civil penalty shall be paid within 60 days after
9 the effective date of the order imposing the civil penalty. The
10 order shall constitute a judgment and may be filed and
11 execution had thereon in the same manner as any judgment from
12 any court of record.
13     Section 95. Investigation; notice and hearing. The
14 Department may investigate the actions or qualifications of a
15 person, entity or other business holding or claiming to hold a
16 license. Before suspending, revoking, placing on probationary
17 status, or taking any other disciplinary action as the
18 Department may deem proper with regard to any license, at least
19 30 days before the date set for the hearing, the Department
20 shall (i) notify the accused in writing of any charges made and
21 the time and place for a hearing on the charges before the
22 Board, (ii) direct the individual or entity to file a written
23 answer to the charges with the Board under oath within 20 days
24 after the service on him or her of such notice, and (iii)
25 inform the person, entity or other business that if the person,



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1 entity, or other business fails to file an answer, default will
2 be taken against such person, entity, or other business and the
3 license of such person, entity, or other business may be
4 suspended, revoked, placed on probationary status, or other
5 disciplinary action taken with regard to the license, including
6 limiting the scope, nature, or extent of his or her practice,
7 as the Department may deem proper. In case the person, after
8 receiving notice, fails to file an answer, his or her license
9 may, in the discretion of the Department, be suspended,
10 revoked, placed on probationary status, or the Department may
11 take whatever disciplinary action deemed proper, including
12 limiting the scope, nature, or extent of the person's practice
13 or the imposition of a fine, without a hearing, if the act or
14 acts charged constitute sufficient grounds for such action
15 under this Act. Written notice may be served by personal
16 delivery or by registered or certified mail to the applicant or
17 licensee at his or her last address of record with the
18 Department. In case the person fails to file an answer after
19 receiving notice, his or her license may, in the discretion of
20 the Department, be suspended, revoked, or placed on
21 probationary status, or the Department may take whatever
22 disciplinary action deemed proper, including limiting the
23 scope, nature, or extent of the person's practice or the
24 imposition of a fine, without a hearing, if the act or acts
25 charged constitute sufficient grounds for such action under
26 this Act. The written answer shall be served by personal



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1 delivery, certified delivery, or certified or registered mail
2 to the Department. At the time and place fixed in the notice,
3 the Department shall proceed to hear the charges and the
4 parties or their counsel shall be accorded ample opportunity to
5 present such statements, testimony, evidence, and argument as
6 may be pertinent to the charges or to the defense thereto. The
7 Department may continue such hearing from time to time. At the
8 discretion of the Secretary after having first received the
9 recommendation of the Board, the accused person's license may
10 be suspended or revoked, if the evidence constitutes sufficient
11 grounds for such action under this Act.
12     Section 100. Record of proceeding. The Department, at its
13 expense, shall preserve a record of all proceedings at the
14 formal hearing of any case involving the refusal to restore,
15 issue or renew a license, or the discipline of a licensee. The
16 notice of hearing, complaint and all other documents in the
17 nature of pleadings and written motions filed in the
18 proceedings, the transcript of testimony, the report of the
19 Board and the orders of the Department shall be the record of
20 the proceedings.
21     Section 105. Subpoenas; oaths; attendance of witnesses.
22 The Department has the power to subpoena documents, books,
23 records, or other materials and to bring before it any person
24 and to take testimony either orally, by deposition, by written



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1 interrogatory, or any combination thereof, with the same fees
2 and mileage and in the same manner as prescribed in civil cases
3 in the courts of this State.
4     The Secretary, the designated hearing officer, and every
5 member of the Board has the power to administer oaths to
6 witnesses at any hearing that the Department is authorized to
7 conduct and any other oaths authorized in any Act administered
8 by the Department.
9     Any circuit court may, upon application of the Department
10 or its designee, or of the applicant or licensee against whom
11 proceedings under this Act are pending, enter an order
12 requiring the attendance of witnesses and their testimony, and
13 the production of documents, papers, files, books, records or
14 testimony in connection with any hearing or investigation. The
15 court may compel obedience to its order by proceedings for
16 contempt.
17     Section 110. Recommendations for disciplinary action. At
18 the conclusion of the hearing, the Board shall present to the
19 Secretary a written report of its findings and recommendations.
20 The report shall contain a finding whether or not the accused
21 person violated this Act or failed to comply with the
22 conditions required in this Act. The Board shall specify the
23 nature of the violation or failure to comply, and shall make
24 its recommendations to the Secretary.
25     The report of findings and recommendations of the Board



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1 shall be the basis for the Department's order for refusal or
2 for the granting of a license, or for any disciplinary action,
3 unless the Secretary shall determine that the Board's report is
4 contrary to the manifest weight of the evidence, in which case
5 the Secretary may issue an order in contravention of the
6 Board's report. The finding is not admissible in evidence
7 against the person in a criminal prosecution brought for the
8 violation of this Act, but the hearing and finding are not a
9 bar to a criminal prosecution brought for the violation of this
10 Act.
11     Section 115. Rehearing. In any hearing involving
12 disciplinary action against a licensee, a copy of the Board's
13 report shall be served upon the respondent by the Department,
14 either personally or as provided in this Act for the service of
15 the notice of hearing. Within 20 calendar days after service,
16 the respondent may present to the Department a motion in
17 writing for a rehearing that shall specify the particular
18 grounds for rehearing. If no motion for rehearing is filed,
19 then upon the expiration of the time specified for filing a
20 motion, or if a motion for rehearing is denied, then upon
21 denial, the Secretary may enter an order in accordance with
22 recommendations of the Board, except as provided in this Act.
23 If the respondent orders from the reporting service, and pays
24 for, a transcript of the record within the time for filing a
25 motion for rehearing, the 20 calendar day period within which a



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1 motion may be filed shall commence upon the delivery of the
2 transcript to the respondent.
3     Section 120. Appointment of a hearing officer. The
4 Secretary has the authority to appoint any attorney duly
5 licensed to practice law in the State of Illinois to serve as
6 the hearing officer in any action for refusal to issue or renew
7 a license, or to discipline a licensee. The hearing officer has
8 full authority to conduct the hearing. The hearing officer
9 shall report his findings and recommendations to the Board and
10 the Secretary. The Board has 60 calendar days from receipt of
11 the report to review the report of the hearing officer and
12 present its findings of fact, conclusions of law and
13 recommendations to the Secretary.
14     If the Board fails to present its report within the 60
15 calendar day period, the respondent may request in writing a
16 direct appeal to the Secretary, in which case the Secretary
17 shall, within 7 calendar days after the request, issue an order
18 directing the Board to issue its findings of fact, conclusions
19 of law, and recommendations to the Secretary within 30 calendar
20 days after such order.
21     If the Board fails to issue its findings of fact,
22 conclusions of law, and recommendations within that time frame
23 to the Secretary after the entry of such order, the Secretary
24 shall, within 30 calendar days thereafter, issue an order based
25 upon the report of the hearing officer and the record of the



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1 proceedings or issue an order remanding the matter back to the
2 hearing officer for additional proceedings in accordance with
3 the order.
4     If (i) a direct appeal is requested, (ii) the Board fails
5 to issue its findings of fact, conclusions of law, and
6 recommendations within the 30-day mandate from the Secretary or
7 the Secretary fails to order the Board to do so, and (iii) the
8 Secretary fails to issue an order within 30 calendar days
9 thereafter, then the hearing officer's report is deemed
10 accepted and a final decision of the Secretary.
11     Notwithstanding any other provision of this Section, if the
12 Secretary, upon review, determines that substantial justice
13 has not been done in the revocation, suspension, or refusal to
14 issue or renew a license or other disciplinary action taken as
15 the result of the entry of the hearing officer's report, the
16 Secretary may order a rehearing by the same or other examiners.
17 If the Secretary disagrees with the recommendation of the Board
18 or the hearing officer, the Secretary may issue an order in
19 contravention of either recommendation.
20     Section 125. Order; certified copy. An order or a
21 certified copy thereof, over the seal of the Department and
22 purporting to be signed by the Secretary, shall be prima facie
23 proof:
24     (a) that the signature is the genuine signature of the
25 Secretary;



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1     (b) that the Secretary is duly appointed and qualified; and
2     (c) that the Board and its members are qualified to act.
3     Section 130. Restoration of suspended or revoked license.
4 At any time after the successful completion of a term of
5 suspension or revocation of a license, the Department may
6 restore it to the licensee, upon the written recommendation of
7 the Board, unless after an investigation and a hearing the
8 Board determines that restoration is not in the public
9 interest.
10     Section 135. License surrender. Upon the revocation or
11 suspension of any license, the licensee shall immediately
12 surrender the license or licenses to the Department. If the
13 licensee fails to do so, the Department has the right to seize
14 the license or licenses.
15     Section 140. Summary suspension. The Secretary may
16 summarily suspend a license without a hearing, simultaneously
17 with the institution of proceedings for a hearing provided for
18 in this Act, if the Secretary finds that evidence in his or her
19 possession indicates that a continuation in practice would
20 constitute an imminent danger to the public. In the event that
21 the Secretary summarily suspends a license without a hearing, a
22 hearing by the Department must be held within 30 calendar days
23 after the suspension has occurred.



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1     Section 145. Judicial review. All final administrative
2 decisions of the Department are subject to judicial review
3 under the Administrative Review Law and its rules. The term
4 "administrative decision" is defined as in Section 3-101 of the
5 Code of Civil Procedure. Proceedings for judicial review shall
6 be commenced in the circuit court of the county in which the
7 party applying for review resides; but if the party is not a
8 resident of this State, the venue shall be in Sangamon County.
9     Section 150. Certification of records. The Department
10 shall not be required to certify any record to the Court or
11 file any answer in court or otherwise appear in any court in a
12 judicial review proceeding, unless there is filed in the court,
13 with the complaint, a receipt from the Department acknowledging
14 payment of the costs of furnishing and certifying the record.
15 Failure on the part of the plaintiff to file such receipt in
16 Court shall be grounds for dismissal of the action.
17     Section 155. Violations; penalties.
18     (a) A person who violates any of the following provisions
19 shall be guilty of a Class A misdemeanor; a person who commits
20 a second or subsequent violation of these provisions is guilty
21 of a Class 4 felony:
22         (1) The practice of or attempted practice of or holding
23     out as available to practice as a community association



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1     manager without a license.
2         (2) Operation of or attempt to operate a Community
3     Association Management Agency without an agency license.
4         (3) The obtaining of or the attempt to obtain any
5     license or authorization issued under this Act by
6     fraudulent misrepresentation.
7     (b) Whenever a licensee is convicted of a felony related to
8 the violations set forth in this Section, the clerk of the
9 court in any jurisdiction shall promptly report the conviction
10 to the Department and the Department shall immediately revoke
11 any license as a community association manager held by that
12 licensee. The individual shall not be eligible for licensure
13 under this Act until at least 10 years have elapsed since the
14 time of full discharge from any sentence imposed for a felony
15 conviction. If any person in making any oath or affidavit
16 required by this Act swears falsely, the person is guilty of
17 perjury and may be punished accordingly.
18     Section 160. Illinois Administrative Procedure Act. The
19 Illinois Administrative Procedure Act is expressly adopted and
20 incorporated in this Act as if all of the provisions of that
21 Act were included in this Act, except that the provision of
22 paragraph (d) of Section 10-65 of the Illinois Administrative
23 Procedure Act, which provides that at hearings the license
24 holder has the right to show compliance with all lawful
25 requirements for retention, continuation or renewal of the



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1 certificate, is specifically excluded. For the purpose of this
2 Act the notice required under Section 10-25 of the Illinois
3 Administrative Procedure Act is deemed sufficient when mailed
4 to the last known address of record maintained for a party by
5 the Department.
6     Section 165. Home rule. The regulation and licensing of
7 community association managers and Community Association
8 Management Agencies are exclusive powers and functions of the
9 State. A home rule unit may not regulate or license community
10 association managers and Community Association Management
11 Agencies. This Section is a denial and limitation of home rule
12 powers and functions under subsection (h) of Section 6 of
13 Article VII of the Illinois Constitution.
14     Section 170. Enforcement. The licensure requirements of
15 this Act shall not be enforced until 12 months after the
16 adoption of final administrative rules for this Act.
17     Section 900. The Regulatory Sunset Act is amended by adding
18 Section 4.30 as follows:
19     (5 ILCS 80/4.30 new)
20     Sec. 4.30. Act repealed on January 1, 2020. The following
21 Act is repealed on January 1, 2020:
22     The Community Association Manager Licensing and



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1 Disciplinary Act.
2     Section 950. The State Finance Act is amended by adding
3 Section 5.719 as follows:
4     (30 ILCS 105/5.719 new)
5     Sec. 5.719. The Community Association Manager Licensing
6 and Disciplinary Fund.
7     Section 999. Effective date. This Act takes effect July 1,
8 2010.