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92_HB1805enr HB1805 Enrolled LRB9205853LBmg 1 AN ACT in relation to home inspectors. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 ARTICLE 1. GENERAL PROVISIONS 5 Section 1-1. Short title. This Act may be cited as the 6 Home Inspector License Act. 7 Section 1-5. Legislative intent. The intent of the 8 General Assembly in enacting this Act is to evaluate the 9 competency of persons, including any entity, engaged in the 10 home inspection business and to regulate and license those 11 persons engaged in this business for the protection of the 12 public. 13 Section 1-10. Definitions. As used in this Act, unless 14 the context otherwise requires: 15 "Applicant" means a person who applies to OBRE for a 16 license under this Act. 17 "Board" means the Home Inspector Advisory Board. 18 "Client" means a person who engages or seeks to engage 19 the services of a home inspector for an inspection 20 assignment. 21 "Commissioner" means the Commissioner of the Office of 22 Banks and Real Estate or his or her designee. 23 "Home inspection" means the examination and evaluation of 24 the exterior and interior components of residential real 25 property, which includes the inspection of any 2 or more of 26 the following components of residential real property in 27 connection with or to facilitate the sale, lease, or other 28 conveyance of, or the proposed sale, lease or other 29 conveyance of, residential real property: HB1805 Enrolled -2- LRB9205853LBmg 1 (1) heating, ventilation, and air conditioning 2 system; 3 (2) plumbing system; 4 (3) electrical system; 5 (4) structural composition; 6 (5) foundation; 7 (6) roof; 8 (7) masonry structure; or 9 (8) any other residential real property component 10 as established by rule. 11 "Home inspector" means a person who, for another and for 12 compensation either direct or indirect, performs home 13 inspections. 14 "Home inspection report" or "inspection report" means a 15 written evaluation prepared and issued by a home inspector 16 upon completion of a home inspection, which meets the 17 standards of practice as established by OBRE. 18 "Inspection assignment" means an engagement for which a 19 home inspector is employed or retained to conduct a home 20 inspection and prepare a home inspection report. 21 "OBRE" means the Office of Banks and Real Estate. 22 "Person" means individuals, entities, corporations, 23 limited liability companies, registered limited liability 24 partnerships, and partnerships, foreign or domestic, except 25 that when the context otherwise requires, the term may refer 26 to a single individual or other described entity. 27 "Residential real property" means real property that is 28 used or intended to be used as a residence by one or more 29 individuals. 30 "Standards of practice" means recognized standards and 31 codes to be used in a home inspection, as determined by OBRE 32 and established by rule. 33 ARTICLE 5. LICENSING PROVISIONS HB1805 Enrolled -3- LRB9205853LBmg 1 Section 5-5. Necessity of license; use of title; 2 exemptions. 3 (a) Beginning January 1, 2003, it is unlawful for any 4 person, including any entity, to act or assume to act as a 5 home inspector, to engage in the business of home inspection, 6 to develop a home inspection report, to practice as a home 7 inspector, or to advertise or hold himself, herself, or 8 itself out to be a home inspector without a home inspector 9 license issued under this Act. A person who violates this 10 subsection is guilty of a Class A misdemeanor. 11 (b) Beginning January 1, 2003, it is unlawful for any 12 person, other than a person who holds a valid home inspector 13 license issued pursuant to this Act, to use the title "home 14 inspector" or any other title, designation, or abbreviation 15 likely to create the impression that the person is licensed 16 as a home inspector pursuant to this Act. A person who 17 violates this subsection is guilty of a Class A misdemeanor. 18 (c) The licensing requirements of this Article do not 19 apply to: 20 (1) any person who is employed as a code 21 enforcement official by the State of Illinois or any unit 22 of local government, while acting within the scope of 23 that government employment; 24 (2) any person licensed by the State of Illinois 25 while acting within the scope of his or her license; or 26 (3) any person engaged by the owner or lessor of 27 residential real property for the purpose of preparing a 28 bid or estimate as to the work necessary or the costs 29 associated with performing home construction, home 30 remodeling, or home repair work on the residential real 31 property, provided such person does not hold himself or 32 herself out, or advertise himself or herself, as being 33 engaged in business as a home inspector. HB1805 Enrolled -4- LRB9205853LBmg 1 Section 5-10. Application for Home Inspector license. 2 Every natural person who desires to obtain a home inspector 3 license shall: 4 (1) apply to OBRE on forms provided by OBRE 5 accompanied by the required fee; 6 (2) be at least 21 years of age; 7 (3) provide evidence of having attained a high 8 school diploma or completed an equivalent course of study 9 as determined by an examination conducted by the Illinois 10 State Board of Education; 11 (4) personally take and pass an examination 12 authorized by OBRE; and 13 (5) prior to taking the examination, provide 14 evidence to OBRE that he or she has successfully 15 completed the prerequisite classroom hours of instruction 16 in home inspection, as established by rule. 17 Section 5-12. Application for home inspector license; 18 entity. Every entity that is not a natural person that 19 desires to obtain a home inspector license shall apply to 20 OBRE on forms provided by OBRE and accompanied by the 21 required fee. 22 Section 5-15. Practice prior to this Act. A person who 23 has actively and lawfully practiced as a home inspector in 24 the State of Illinois prior to the effective date of this Act 25 may take the examination required by subsection (4) of 26 Section 5-10 without having successfully completed the 27 classroom hours required under subsection (5) of Section 28 5-10, provided that he or she: 29 (1) is a resident of the State of Illinois; 30 (2) makes application to OBRE on forms provided by 31 OBRE within 6 months after the effective date of this 32 Act; HB1805 Enrolled -5- LRB9205853LBmg 1 (3) verifies that he or she has practiced as a home 2 inspector for a period of at least 2 years prior to the 3 effective date of this Act; and 4 (4) verifies that he or she has conducted a minimum 5 of 200 home inspections that meet the standards 6 established by rule within the 2 years prior to the 7 effective date of this Act. 8 Section 5-16. Renewal of license. 9 (a) The expiration date and renewal period for a home 10 inspector license issued under this Act shall be set by rule. 11 Except as otherwise provided in subsections (b) and (c) of 12 this Section, the holder of a license may renew the license 13 within 90 days preceding the expiration date by: 14 (1) completing and submitting to OBRE a renewal 15 application form as provided by OBRE; 16 (2) paying the required fees; and 17 (3) providing evidence of successful completion of 18 the continuing education requirements through courses 19 approved by OBRE given by education providers licensed by 20 OBRE, as established by rule. 21 (b) A home inspector whose license under this Act has 22 expired may renew the license for a period of 2 years 23 following the expiration date by complying with the 24 requirements of subparagraphs (1), (2), and (3) of subsection 25 (a) of this Section and paying any late penalties established 26 by rule. 27 (c) Notwithstanding subsection (b), a home inspector 28 whose license under this Act has expired may renew the 29 license without paying any lapsed renewal fees or late 30 penalties if (i) the license expired while the home inspector 31 was on active duty with the United States Armed Services, 32 (ii) application for renewal is made within 2 years following 33 the termination of the military service or related education, HB1805 Enrolled -6- LRB9205853LBmg 1 training, or employment, and (iii) the applicant furnishes to 2 OBRE an affidavit that he or she was so engaged. 3 (d) OBRE shall provide reasonable care and due diligence 4 to ensure that each licensee under this Act is provided a 5 renewal application at least 90 days prior to the expiration 6 date, but it is the responsibility of each licensee to renew 7 his or her license prior to its expiration date. 8 Section 5-17. Renewal of home inspector license; entity. 9 (a) The expiration date and renewal period for a home 10 inspector license for an entity that is not a natural person 11 shall be set by rule. The holder of a license may renew the 12 license within 90 days preceding the expiration date by 13 completing and submitting to OBRE a renewal application form 14 as provided by OBRE and paying the required fees. 15 (b) An entity that is not a natural person whose license 16 under this Act has expired may renew the license for a period 17 of 2 years following the expiration date by complying with 18 the requirements of subsection (a) of this Section and paying 19 any late penalties established by rule. 20 Section 5-20. Reciprocity; consent to jurisdiction. 21 (a) A nonresident who holds a valid home inspector 22 license issued to him or her by the proper licensing 23 authority of a state, territory, possession of the United 24 States, or the District of Columbia that has licensing 25 requirements equal to or substantially equivalent to the 26 requirements of the State of Illinois and otherwise meets the 27 requirements for licensure may obtain a license without 28 examination, provided that: 29 (1) OBRE has entered into a valid reciprocal 30 agreement with the proper licensing authority of the 31 state, territory, or possession of the United States or 32 the District of Columbia; HB1805 Enrolled -7- LRB9205853LBmg 1 (2) the applicant provides OBRE with a certificate 2 of good standing from the applicant's licensing 3 authority; 4 (3) the applicant completes and submits an 5 application provided by OBRE; and 6 (4) the applicant pays all applicable fees required 7 under this Act. 8 (b) A nonresident applicant shall file an irrevocable 9 consent form with OBRE authorizing that actions may be 10 commenced against the applicant or nonresident licensee in a 11 court of competent jurisdiction in the State of Illinois by 12 the service of summons, process, or other pleading authorized 13 by law upon the Commissioner. The consent shall stipulate 14 and agree that service of the summons, process, or pleading 15 upon the Commissioner shall be taken and held in all courts 16 to be valid and binding as if actual service had been made 17 upon the nonresident licensee in Illinois. If a summons, 18 process, or other pleading is served upon the Commissioner, 19 it shall be by duplicate copies, one of which shall be 20 retained by OBRE and the other shall be immediately forwarded 21 by certified or registered mail to the last known address of 22 the nonresident licensee against whom the summons, process, 23 or other pleading is directed. 24 Section 5-25. Pre-license education requirements. The 25 prerequisite classroom hours necessary for a person to be 26 approved to sit for the examination for a home inspector 27 shall be established by rule. 28 Section 5-30. Continuing education renewal requirements. 29 The continuing education requirements for a person to renew a 30 license as a home inspector shall be established by rule. 31 Section 5-45. Fees. OBRE shall establish rules for fees HB1805 Enrolled -8- LRB9205853LBmg 1 to be paid by applicants and licensees to cover the 2 reasonable costs of OBRE in administering and enforcing the 3 provisions of this Act. OBRE may also establish rules for 4 general fees to cover the reasonable expenses of carrying out 5 other functions and responsibilities under this Act. 6 ARTICLE 10. BUSINESS PRACTICE PROVISIONS 7 Section 10-5. Standards of practice. All persons 8 licensed under this Act must comply with standards of 9 professional home inspection adopted by OBRE and established 10 by rule. OBRE shall consider nationally recognized standards 11 and codes prior to adopting the rules for the standards of 12 practice. 13 Section 10-10. Retention of records. A person licensed 14 under this Act shall retain the original or a true and exact 15 copy of all written contracts engaging his or her services as 16 a home inspector and all home inspection reports, including 17 any supporting data used to develop the home inspection 18 report, for a period of 5 years or 2 years after the final 19 disposition of any judicial proceeding in which testimony was 20 given, whichever is longer. 21 ARTICLE 15. DISCIPLINARY PROVISIONS 22 Section 15-5. Unlicensed practice; civil penalty; 23 injunctive relief. 24 (a) Any person who violates Section 5-5 of this Act 25 shall, in addition to any other penalty provided by law, pay 26 a civil penalty to OBRE in an amount not to exceed $10,000 27 for each violation as determined by the Commissioner. The 28 civil penalty shall be assessed by the Commissioner after a 29 hearing in accordance with the provisions of this Act. HB1805 Enrolled -9- LRB9205853LBmg 1 (b) OBRE has the authority to investigate any activity 2 that may violate this Act or the rules adopted under this 3 Act. 4 (c) A civil penalty shall be paid within 60 days after 5 the effective date of the order imposing the civil penalty. 6 The OBRE may petition the circuit court for a judgment to 7 enforce the collection of the penalty. Any civil penalties 8 collected under this Act shall be made payable to the Office 9 of Banks and Real Estate and deposited into the Home 10 Inspector Administration Fund. In addition to or in lieu of 11 the imposition of a civil penalty, OBRE may report a 12 violation of this Act or the failure or refusal to comply 13 with an order of OBRE to the Attorney General or the 14 appropriate State's Attorney. 15 (d) Practicing as a home inspector without holding a 16 valid license as required under this Act is declared to be 17 adverse to the public welfare, to constitute a public 18 nuisance, and to cause irreparable harm to the public 19 welfare. The Commissioner, the Attorney General, or the 20 State's Attorney of any county in the State may maintain an 21 action for injunctive relief in the name of the People of the 22 State of Illinois in any circuit court to enjoin any person 23 from engaging in such practice. 24 Upon the filing of a verified petition in a circuit 25 court, the court, if satisfied by affidavit or otherwise that 26 a person has been engaged in the practice of home inspections 27 without a valid license, may enter a temporary restraining 28 order without notice or bond enjoining the defendant from 29 further practice. The showing of non-licensure, by affidavit 30 or otherwise, is sufficient for the issuance of a temporary 31 injunction. A copy of the verified complaint shall be served 32 upon the defendant and the proceeding shall be conducted as 33 in other civil cases except as modified by this Section. If 34 it is established that the defendant has been or is engaged HB1805 Enrolled -10- LRB9205853LBmg 1 in unlawful practice, the court may enter an order or 2 judgment perpetually enjoining the defendant from further 3 unlawful practice. In all proceedings under this Section, 4 the court, in its discretion, may apportion the costs among 5 the parties interested in the action, including the cost of 6 filing the complaint, service of process, witness fees and 7 expenses, court reporter charges, and reasonable attorneys' 8 fees. These injunction proceedings shall be in addition to, 9 and not in lieu of, all penalties and other remedies provided 10 in this Act. 11 Section 15-10. Grounds for disciplinary action. 12 (a) The Office of Banks and Real Estate may suspend, 13 revoke, or refuse to issue or renew a license, and may 14 reprimand, place on probation or administrative supervision, 15 or otherwise discipline a licensee, including imposing 16 conditions limiting the scope, nature, or extent of the home 17 inspection practice of a licensee and may impose a civil 18 penalty not to exceed $10,000 upon a licensee, for one or any 19 combination of the following: 20 (1) Procuring or attempting to procure a license by 21 knowingly making a false statement, submitting false 22 information, making any form of fraud or 23 misrepresentation, or refusing to provide complete 24 information in response to a question in an application 25 for licensure. 26 (2) Failing to meet the minimum qualifications for 27 licensure as a home inspector established by this Act. 28 (3) Paying money, other than for the fees provided 29 for by this Act, or anything of value to a member of the 30 Board or an employee of the Office of Banks and Real 31 Estate to procure licensure under this Act. 32 (4) Being convicted of a felony in any state or 33 federal court; of any crime, an essential element of HB1805 Enrolled -11- LRB9205853LBmg 1 which is dishonesty, fraud, theft, or embezzlement; of 2 obtaining money, property, or credit by false pretenses; 3 or of any other crime that is reasonably related to the 4 practice of home inspection. 5 (5) Committing an act or omission involving 6 dishonesty, fraud, or misrepresentation with the intent 7 to substantially benefit the licensee or another person 8 or with the intent to substantially injure another 9 person. 10 (6) Violating a provision or standard for the 11 development or communication of home inspections as 12 provided in Section 10-5 of this Act or as defined in the 13 rules. 14 (7) Failing or refusing without good cause to 15 exercise reasonable diligence in the development, 16 reporting, or communication of a home inspection report, 17 as defined by this Act or the rules. 18 (8) Violating a provision of this Act or the rules. 19 (9) Having been disciplined by another state, the 20 District of Columbia, a territory, a foreign nation, a 21 governmental agency, or any other entity authorized to 22 impose discipline if at least one of the grounds for that 23 discipline is the same as or the equivalent of one of the 24 grounds for which a licensee may be disciplined under 25 this Act. 26 (10) Engaging in dishonorable, unethical, or 27 unprofessional conduct of a character likely to deceive, 28 defraud, or harm the public. 29 (11) Accepting an inspection assignment when the 30 employment itself is contingent upon the home inspector 31 reporting a predetermined analysis or opinion, or when 32 the fee to be paid is contingent upon the analysis, 33 opinion, or conclusion reached or upon the consequences 34 resulting from the home inspection assignment. HB1805 Enrolled -12- LRB9205853LBmg 1 (12) Developing home inspection opinions or 2 conclusions based on the race, color, religion, sex, 3 national origin, ancestry, age, marital status, family 4 status, physical or mental handicap, or unfavorable 5 military discharge, as defined under the Illinois Human 6 Rights Act, of the prospective or present owners or 7 occupants of the area or property under home inspection. 8 (13) Being adjudicated liable in a civil proceeding 9 on grounds of fraud, misrepresentation, or deceit. In a 10 disciplinary proceeding based upon a finding of civil 11 liability, the home inspector shall be afforded an 12 opportunity to present mitigating and extenuating 13 circumstances, but may not collaterally attack the civil 14 adjudication. 15 (14) Being adjudicated liable in a civil proceeding 16 for violation of a State or federal fair housing law. 17 (15) Engaging in misleading or untruthful 18 advertising or using a trade name or insignia of 19 membership in a home inspection organization of which the 20 licensee is not a member. 21 (16) Failing to fully cooperate with an OBRE 22 investigation by knowingly making a false statement, 23 submitting false or misleading information, or refusing 24 to provide complete information in response to written 25 interrogatories or a written request for documentation 26 within 30 days of the request. 27 (17) Failing to include within the home inspection 28 report the home inspector's license number and the date 29 of expiration of the license. All home inspectors 30 providing significant contribution to the development and 31 reporting of a home inspection must be disclosed in the 32 home inspection report. It is a violation of this Act for 33 a home inspector to sign a home inspection report knowing 34 that a person providing a significant contribution to the HB1805 Enrolled -13- LRB9205853LBmg 1 report has not been disclosed in the home inspection 2 report. 3 (18) Advising a client as to whether the client 4 should or should not engage in a transaction regarding 5 the residential real property that is the subject of the 6 home inspection. 7 (19) Performing a home inspection in a manner that 8 damages or alters the residential real property that is 9 the subject of the home inspection without the consent of 10 the owner. 11 (20) Performing a home inspection when the home 12 inspector is providing or may also provide other services 13 in connection with the residential real property or 14 transaction, or has an interest in the residential real 15 property, without providing prior written notice of the 16 potential or actual conflict and obtaining the prior 17 consent of the client as provided by rule. 18 (b) The Office of Banks and Real Estate may suspend, 19 revoke, or refuse to issue or renew an education provider's 20 license, may reprimand, place on probation, or otherwise 21 discipline an education provider licensee, and may suspend or 22 revoke the course approval of any course offered by an 23 education provider, for any of the following: 24 (1) Procuring or attempting to procure licensure by 25 knowingly making a false statement, submitting false 26 information, making any form of fraud or 27 misrepresentation, or refusing to provide complete 28 information in response to a question in an application 29 for licensure. 30 (2) Failing to comply with the covenants certified 31 to on the application for licensure as an education 32 provider. 33 (3) Committing an act or omission involving 34 dishonesty, fraud, or misrepresentation or allowing any HB1805 Enrolled -14- LRB9205853LBmg 1 such act or omission by any employee or contractor under 2 the control of the education provider. 3 (4) Engaging in misleading or untruthful 4 advertising. 5 (5) Failing to retain competent instructors in 6 accordance with rules adopted under this Act. 7 (6) Failing to meet the topic or time requirements 8 for course approval as the provider of a pre-license 9 curriculum course or a continuing education course. 10 (7) Failing to administer an approved course using 11 the course materials, syllabus, and examinations 12 submitted as the basis of the course approval. 13 (8) Failing to provide an appropriate classroom 14 environment for presentation of courses, with 15 consideration for student comfort, acoustics, lighting, 16 seating, workspace, and visual aid material. 17 (9) Failing to maintain student records in 18 compliance with the rules adopted under this Act. 19 (10) Failing to provide a certificate, transcript, 20 or other student record to OBRE or to a student as may be 21 required by rule. 22 (11) Failing to fully cooperate with an OBRE 23 investigation by knowingly making a false statement, 24 submitting false or misleading information, or refusing 25 to provide complete information in response to written 26 interrogatories or a written request for documentation 27 within 30 days of the request. 28 (c) In appropriate cases, OBRE may resolve a complaint 29 against a licensee through the issuance of a Consent to 30 Administrative Supervision order. A licensee subject to a 31 Consent to Administrative Supervision order shall be 32 considered by OBRE as an active licensee in good standing. 33 This order shall not be reported as or considered by OBRE to 34 be a discipline of the licensee. The records regarding an HB1805 Enrolled -15- LRB9205853LBmg 1 investigation and a Consent to Administrative Supervision 2 order shall be considered confidential and shall not be 3 released by OBRE except as mandated by law. The complainant 4 shall be notified that his or her complaint has been resolved 5 by a Consent to Administrative Supervision order. 6 Section 15-15. Investigation; notice; hearing. 7 (a) Upon the request of the Office of Banks and Real 8 Estate or the Board, or upon a complaint in writing of a 9 person setting forth facts that, if proven, would constitute 10 grounds for suspension, revocation, or other disciplinary 11 action against a licensee or applicant for licensure, the 12 Office of Banks and Real Estate shall investigate the actions 13 of the licensee or applicant so accused. 14 (b) Formal disciplinary proceedings shall commence upon 15 the issuance of a written complaint detailing the charges 16 that are the basis of the disciplinary action and delivery of 17 the detailed complaint to the address of record of the 18 licensee or applicant. OBRE shall notify the licensee or 19 applicant to file a verified written answer within 20 days 20 after the service of the notice and complaint. The 21 notification shall inform the licensee or applicant that he 22 or she has a right to be heard in person or by legal counsel; 23 that the hearing will be afforded not sooner than 30 days 24 after receipt of the answer to the specific charges; that 25 failure to file an answer will result in a default being 26 entered against the licensee or applicant; and that the 27 license may be suspended, revoked, or placed on probationary 28 status and other disciplinary action may be taken pursuant to 29 this Act, including limiting the scope, nature, or extent of 30 the licensee's practice. If the licensee or applicant fails 31 to file an answer after receiving notice, his or her license 32 may, at the discretion of the Office of Banks and Real 33 Estate, be suspended, revoked, or placed on probationary HB1805 Enrolled -16- LRB9205853LBmg 1 status and the Office of Banks and Real Estate may take 2 whatever disciplinary action it deems proper, including 3 limiting the scope, nature, or extent of the person's 4 practice, without a hearing. 5 (c) At the time and place fixed in the notice, the Board 6 shall conduct a hearing of the charges, providing both the 7 accused person and the complainant ample opportunity to 8 present in person or by counsel such statements, testimony, 9 evidence, and arguments as may be pertinent to the charges or 10 to any defense thereto. 11 (d) The Board shall present to the Commissioner a 12 written report of its findings and recommendations. A copy of 13 the report shall be served upon the licensee or applicant, 14 either personally or by certified mail. Within 20 days after 15 the service, the licensee or applicant may present the 16 Commissioner with a motion in writing for either a rehearing, 17 a proposed finding of fact, a conclusion of law, or an 18 alternative sanction, and shall specify the particular 19 grounds for the request. If the accused shall order and pay 20 for a transcript of the record as provided in this Act, the 21 time elapsing thereafter and before the transcript is ready 22 for delivery to the accused shall not be counted as part of 23 the 20 days. If the Commissioner is not satisfied that 24 substantial justice has been done, the Commissioner may order 25 a rehearing by the Board or other special committee appointed 26 by the Commissioner, may remand the matter to the Board for 27 their reconsideration of the matter based on the pleadings 28 and evidence presented to the Board, or may enter a final 29 order in contravention of the Board's recommendation. In all 30 instances, under this Act, in which the Board has rendered a 31 recommendation to the Commissioner with respect to a 32 particular licensee or applicant, the Commissioner, if he or 33 she disagrees with the recommendation of the Board, shall 34 file with the Board and provide to the licensee or applicant HB1805 Enrolled -17- LRB9205853LBmg 1 the Commissioner's specific written reasons for disagreement 2 with the Board. The reasons shall be filed within 60 days of 3 the Board's recommendation to the Commissioner and prior to 4 any contrary action. At the expiration of the time specified 5 for filing a motion for a rehearing, the Commissioner shall 6 have the right to take any of the actions specified in this 7 paragraph. Upon the suspension or revocation of a license, 8 the licensee shall be required to surrender his or her 9 license to OBRE, and upon failure or refusal to do so, OBRE 10 shall have the right to seize the license. 11 (e) The Office of Banks and Real Estate has the power to 12 issue subpoenas and subpoenas duces tecum to bring before it 13 any person in this State, to take testimony, or to require 14 production of any records relevant to an inquiry or hearing 15 by the Board in the same manner as prescribed by law in 16 judicial proceedings in the courts of this State. In a case 17 of refusal of a witness to attend, testify, or to produce 18 books or papers concerning a matter upon which he or she 19 might be lawfully examined, the circuit court of the county 20 where the hearing is held, upon application of the Office of 21 Banks and Real Estate or any party to the proceeding, may 22 compel obedience by proceedings as for contempt of court. 23 (f) Any license that is suspended indefinitely or 24 revoked may not be restored for a minimum period of 2 years. 25 After the 2 year period, OBRE may restore the license without 26 examination, upon the written recommendation of the Board. 27 Section 15-20. Administrative Review Law; certification 28 fees; Administrative Procedure Act. 29 (a) All final administrative decisions of the 30 Commissioner under this Act are subject to judicial review 31 pursuant to the provisions of the Administrative Review Law 32 and the rules adopted pursuant thereto. The term 33 "administrative decision" has the meaning ascribed to it in HB1805 Enrolled -18- LRB9205853LBmg 1 Section 3-101 of the Administrative Review Law. 2 (b) OBRE shall not be required to certify any record, 3 file any answer, or otherwise appear unless the party filing 4 the administrative review complaint pays the certification 5 fee to OBRE as provided by rule. Failure on the part of the 6 plaintiff to make such a deposit shall be grounds for 7 dismissal of the action. 8 (c) The Administrative Procedure Act is hereby expressly 9 adopted and incorporated herein. In the event of a conflict 10 between this Act and the Administrative Procedure Act, this 11 Act shall control. 12 Section 15-25. Temporary suspension. The Commissioner 13 may temporarily suspend the license of a licensee without a 14 hearing, while instituting a proceeding for a hearing as 15 provided for in Section 15-15 of this Act, if the 16 Commissioner finds that the evidence indicates that the 17 public interest, safety, or welfare imperatively requires 18 emergency action. In the event that the Commissioner 19 temporarily suspends the license without a hearing before the 20 Board, a hearing shall be held within 30 days after the 21 suspension has occurred. The suspended licensee may seek a 22 continuance of the hearing during which the suspension shall 23 remain in effect. The proceeding shall be concluded without 24 appreciable delay. 25 Section 15-30. Statute of limitations. No action may be 26 taken under this Act against a person licensed under this Act 27 unless the action is commenced within 5 years after the 28 occurrence of the alleged violation. A continuing violation 29 is deemed to have occurred on the date when the circumstances 30 last existed that gave rise to the alleged continuing 31 violation. HB1805 Enrolled -19- LRB9205853LBmg 1 Section 15-35. Signature of the Commissioner. An order 2 of revocation or suspension or a certified copy of the order, 3 bearing the seal of OBRE and purporting to be signed by the 4 Commissioner, shall be prima facie proof that: 5 (1) the signature is the genuine signature of the 6 Commissioner; 7 (2) the Commissioner is duly appointed and 8 qualified; and 9 (3) the Board and its members are qualified. 10 This proof may be rebutted. 11 Section 15-40. Violation of tax Acts. OBRE may refuse 12 to issue or renew or may suspend the license of any person 13 who fails to file a return, pay the tax, penalty, or interest 14 shown in a filed return, or pay any final assessment of tax, 15 penalty, or interest, as required by any tax Act administered 16 by the Department of Revenue, until such time as the 17 requirements of that tax Act are satisfied. 18 Section 15-45. Disciplinary action for educational loan 19 defaults. OBRE shall deny a license or renewal authorized by 20 this Act to a person who has defaulted on an educational loan 21 or scholarship provided or guaranteed by the Illinois Student 22 Assistance Commission or any governmental agency of this 23 State. OBRE may issue a license or renewal if the person has 24 established a satisfactory repayment record as determined by 25 the Illinois Student Assistance Commission or other 26 appropriate governmental agency of this State. Additionally, 27 a license issued by OBRE may be suspended or revoked if the 28 Commissioner, after the opportunity for a hearing under this 29 Act, finds that the licensee has failed to make satisfactory 30 repayment to the Illinois Student Assistance Commission for a 31 delinquent or defaulted loan. HB1805 Enrolled -20- LRB9205853LBmg 1 Section 15-50. Nonpayment of child support. In cases 2 where the Department of Public Aid has previously determined 3 that a licensee or a potential licensee is more than 30 days 4 delinquent in the payment of child support and has 5 subsequently certified the delinquency to OBRE, OBRE may 6 refuse to issue or renew or may revoke or suspend that 7 person's license or may take other disciplinary action 8 against that person based solely upon the certification of 9 delinquency made by the Department of Public Aid. 10 Redetermination of the delinquency by OBRE shall not be 11 required. In cases regarding the renewal of a license, OBRE 12 shall not renew any license if the Department of Public Aid 13 has certified the licensee to be more than 30 days delinquent 14 in the payment of child support unless the licensee has 15 arranged for payment of past and current child support 16 obligations in a manner satisfactory to the Department of 17 Public Aid. OBRE may impose conditions, restrictions, or 18 disciplinary action upon that renewal. 19 Section 15-55. Returned checks; penalty fee; 20 termination. A person who delivers a check or other payment 21 to OBRE that is returned to OBRE unpaid by the financial 22 institution upon which it was drawn shall pay to OBRE, in 23 addition to the amount already owed, a penalty fee of $50. 24 OBRE shall notify the person, by certified mail return 25 receipt requested, that his or her check or payment was 26 returned and that the person shall pay to OBRE by certified 27 check or money order the amount of the returned check plus a 28 $50 penalty fee within 30 calendar days after the date of the 29 notification. If, after the expiration of 30 calendar days 30 of the notification, the person has failed to remit the 31 necessary funds and penalty, OBRE shall automatically 32 terminate the license or deny the application without 33 hearing. If the returned check or other payment was for HB1805 Enrolled -21- LRB9205853LBmg 1 issuance of a license under this Act and that person 2 practices as a home inspector, that person may be subject to 3 discipline for unlicensed practice as provided in this Act. 4 If, after termination or denial, the person seeks a license, 5 he or she shall petition OBRE for restoration and he or she 6 may be subject to additional discipline or fines. The 7 Commissioner may waive the penalties or fines due under this 8 Section in individual cases where the Commissioner finds that 9 the penalties or fines would be unreasonable or unnecessarily 10 burdensome. 11 Section 15-60. Cease and desist orders. OBRE may issue, 12 cease and desist orders to persons who engage in activities 13 prohibited by this Act. Any person in violation of a cease 14 and desist order issued by OBRE is subject to all of the 15 penalties provided by law. 16 ARTICLE 20. EDUCATION PROVISIONS 17 Section 20-5. Education provider. 18 (a) Beginning January 1, 2002, only education providers 19 licensed by OBRE may provide the pre-license and continuing 20 education courses required for licensure under this Act. 21 (b) A person or entity seeking to be licensed as an 22 education provider under this Act shall provide satisfactory 23 evidence of the following: 24 (1) a sound financial base for establishing, 25 promoting, and delivering the necessary courses; 26 (2) a sufficient number of qualified instructors; 27 (3) adequate support personnel to assist with 28 administrative matters and technical assistance; 29 (4) a written policy dealing with procedures for 30 management of grievances and fee refunds; 31 (5) a qualified school administrator, who is HB1805 Enrolled -22- LRB9205853LBmg 1 responsible for the administration of the school, 2 courses, and the actions of the instructors; and 3 (6) any other requirements provided by rule. 4 (c) All applicants for an education provider's license 5 shall make initial application to OBRE on forms provided by 6 OBRE and pay the appropriate fee as provided by rule. The 7 term, expiration date, and renewal of an education provider's 8 license shall be established by rule. 9 (d) An education provider shall provide each successful 10 course participant with a certificate of completion signed by 11 the school administrator. The format and content of the 12 certificate shall be specified by rule. 13 (e) All education providers shall provide to OBRE a 14 monthly roster of all successful course participants as 15 provided by rule. 16 Section 20-10. Course approval. 17 (a) Only courses that are approved by OBRE and offered 18 by licensed education providers shall be used to meet the 19 requirements of this Act and rules. 20 (b) An education provider licensed under this Act may 21 submit courses to OBRE for approval. The criteria, 22 requirements, and fees for courses shall be established by 23 rule. 24 (c) For each course approved, OBRE shall issue a 25 certificate of course approval to the education provider. 26 The term, expiration date, and renewal of a course approval 27 shall be established by rule. 28 ARTICLE 25. ADMINISTRATIVE PROVISIONS 29 Section 25-5. Home Inspector Administration Fund; 30 surcharge. 31 (a) The Home Inspector Administration Fund is created as HB1805 Enrolled -23- LRB9205853LBmg 1 a special fund in the State Treasury. All fees, fines, and 2 penalties received by OBRE under this Act shall be deposited 3 into the Home Inspector Administration Fund. All earnings 4 attributable to investment of funds in the Home Inspector 5 Administration Fund shall be credited to the Home Inspector 6 Administration Fund. Subject to appropriation, the moneys in 7 the Home Inspector Administration Fund shall be appropriated 8 to OBRE for the expenses incurred by OBRE and the Board in 9 the administration of this Act. 10 (b) The State Comptroller and State Treasurer shall 11 transfer $150,000 from the Real Estate License Administration 12 Fund to the Home Inspector Administration Fund on July 1, 13 2002. 14 The State Treasurer shall transfer $50,000 from the Home 15 Inspector Administration Fund to the Real Estate License 16 Administration Fund on July 1, 2003, July 1, 2004, and July 17 1, 2005; except that if there is a sufficient fund balance in 18 the Home Inspector Administration Fund, the Commissioner may 19 recommend the acceleration of any of these repayment 20 transfers to the State Comptroller and State Treasurer, who 21 may, in their discretion, accelerate the transfers in 22 accordance with the Commissioner's recommendation. 23 (c) Until a total of $150,000 has been transferred to 24 the Real Estate License Administration Fund from the Home 25 Inspector Administration Fund under subsection (b), each 26 initial applicant for a license under this Act shall pay to 27 OBRE a surcharge of $150 in addition to the license fees 28 otherwise required under this Act. 29 (d) Upon the completion of any audit of OBRE, as 30 prescribed by the Illinois State Auditing Act, that includes 31 an audit of the Home Inspector Administration Fund, OBRE 32 shall make the audit report open to inspection by any 33 interested person. HB1805 Enrolled -24- LRB9205853LBmg 1 Section 25-10. Home Inspector Advisory Board. 2 (a) There is hereby created the Home Inspector Advisory 3 Board. The Board shall be composed of 7 voting members 4 appointed by the Commissioner, plus the liaison under Section 5 25-15, who shall serve ex officio and without vote. Members 6 shall be appointed to the Board subject to the following 7 conditions: 8 (1) All appointed members shall have been residents 9 and citizens of this State for at least 5 years prior to 10 the date of appointment. 11 (2) The appointed membership of the Board should 12 reasonably reflect the geographic distribution of the 13 population of the State. 14 (3) Five appointed members shall be actively 15 engaged and currently licensed as home inspectors, except 16 that the initial appointees may be persons without a 17 license who have been actively engaged as home inspectors 18 for a period of 5 years immediately before the effective 19 date of this Act. Failure of an initial appointee under 20 this item (3) to obtain a license by January 1, 2003 21 shall constitute resignation from the Board. 22 (4) One appointed member shall hold a valid license 23 as a real estate broker and shall have been actively 24 engaged as a real estate broker for a period of not less 25 than 5 years. 26 (5) One appointed member shall represent the 27 interests of the general public. This member and the 28 member's spouse shall not be licensed under this Act, nor 29 be employed by nor have any interest in a home inspection 30 business or a real estate brokerage business. 31 In making appointments to the Board, the Commissioner 32 shall give due consideration to recommendations by members 33 and organizations representing the home inspection and real 34 estate industries. HB1805 Enrolled -25- LRB9205853LBmg 1 (b) The term for members of the Board shall be 4 years, 2 except for the initial appointees. Of the initial 3 appointees, 4 members shall be appointed for terms ending 4 January 1, 2007 and 3 members shall be appointed for terms 5 ending January 1, 2006. No member shall serve more than 10 6 years in a lifetime. 7 (c) The Commissioner may terminate the appointment of 8 any member for cause that, in the opinion of the 9 Commissioner, reasonably justifies the termination. Cause for 10 termination may include, without limitation, misconduct, 11 incapacity, neglect of duty, or missing 4 Board meetings 12 during any one calendar year. 13 (d) A majority of the voting members currently appointed 14 shall constitute a quorum. A vacancy in the membership of 15 the Board shall not impair the right of a quorum to exercise 16 all of the rights and perform all of the duties of the Board. 17 (e) The Board shall meet at least quarterly and may be 18 convened by the Chairperson or 3 members of the Board upon 10 19 days' written notice. 20 (g) The liaison appointed pursuant to Section 25-15 of 21 this Act shall serve, ex officio, as Chairperson of the 22 Board, without vote. 23 (h) The Board shall advise OBRE on matters of licensing 24 and education and shall make recommendations to OBRE on those 25 matters. OBRE shall give due consideration to all 26 recommendations presented by the Board. 27 (i) The Board shall hear and make recommendations to the 28 Commissioner on disciplinary matters that require a formal 29 evidentiary hearing. The Commissioner shall give due 30 consideration to the recommendations of the Board involving 31 discipline and questions about the standards of professional 32 conduct of licensees. 33 (j) The Board may make recommendations to OBRE 34 concerning the consistency of the rules with the provisions HB1805 Enrolled -26- LRB9205853LBmg 1 of this Act and the administration and enforcement of the 2 rules. OBRE shall give due consideration to the 3 recommendations of the Board prior to promulgating rules. 4 (k) The Board shall make recommendations to OBRE on the 5 approval of courses submitted to OBRE pursuant to this Act 6 and rules. OBRE shall give due consideration to the 7 recommendations of the Board prior to approving courses. 8 (l) Each voting member of the Board shall receive a per 9 diem stipend in an amount to be determined by the 10 Commissioner. Each voting member shall be paid his or her 11 necessary expenses while engaged in the performance of his or 12 her duties. 13 (m) Members of the Board shall be immune from suit in an 14 action based upon any disciplinary proceedings or other acts 15 performed in good faith as members of the Board. 16 Section 25-15. Liaison; duties. The Commissioner shall 17 appoint an employee of OBRE to: 18 (1) serve as a liaison to and as Chairperson of the 19 Home Inspector Advisory Board, without vote; 20 (2) be the direct liaison between OBRE, the 21 profession, home inspectors, and related industry 22 organizations and associations; and 23 (3) prepare and circulate to licensees such 24 educational and informational material as OBRE deems 25 necessary for providing guidance or assistance to 26 licensees. 27 Section 25-20. OBRE; powers and duties. The Office of 28 Banks and Real Estate shall exercise the powers and duties 29 prescribed by the Civil Administrative Code of Illinois for 30 the administration of licensing acts and shall exercise such 31 other powers and duties as are prescribed by this Act for the 32 administration of this Act. OBRE may contract with third HB1805 Enrolled -27- LRB9205853LBmg 1 parties for services necessary for the proper administration 2 of this Act, including, without limitation, investigators 3 with the proper knowledge, training, and skills to properly 4 investigate complaints against home inspectors. 5 Section 25-25. Rules. OBRE, after considering any 6 recommendations of the Board, shall adopt any rules that may 7 be necessary for the administration, implementation, and 8 enforcement of this Act. 9 Section 25-30. Exclusive State powers and functions; 10 municipal powers. It is declared to be the public policy of 11 this State, pursuant to paragraph (h) of Section 6 of Article 12 VII of the Illinois Constitution of 1970, that any power or 13 function set forth in this Act to be exercised by the State 14 is an exclusive State power or function. Such power and 15 function shall not be exercised concurrently, either directly 16 or indirectly, by any unit of local government, including 17 home rule units. 18 ARTICLE 950. AMENDATORY PROVISIONS 19 Section 950-5. The Regulatory Sunset Act is amended by 20 adding Section 4.22 as follows: 21 (5 ILCS 801/4.22 new) 22 Sec. 4.22. Act repealed on January 1, 2012. The 23 following Act is repealed on January 1, 2012. 24 The Home Inspector License Act. 25 Section 950-10. The State Finance Act is amended by 26 adding Section 5.545 as follows: 27 (30 ILCS 105/5.545 new) HB1805 Enrolled -28- LRB9205853LBmg 1 Sec. 5.545. The Home Inspector Administration Fund. 2 ARTICLE 999. EFFECTIVE DATE 3 Section 999-99. Effective date. This Act takes effect 4 upon becoming law.