http://www.legis.state.il.us/ilcs/ch310/ch310act60.htm
Illinois Compiled Statutes Housing Federally Subsidized Housing Preservation Act 310 ILCS 60/ (310 ILCS 60/1) Sec. 1. This Act shall be known and may be cited as the Federally Subsidized Housing Preservation Act. (Source: P.A. 86-810.) (310 ILCS 60/2) Sec. 2. It is the purpose of this Act to preserve and retain to the maximum extent possible, as housing affordable to low and moderate income families or persons, those privately owned dwelling units that were provided for such purposes with federal assistance, to protect the tenants of these units from displacement resulting from the loss of use restrictions attached to these units and to address the overall lack of affordable housing for low and moderate income families or persons in Illinois. (Source: P.A. 86-810.) (310 ILCS 60/3) Sec. 3. As used in this Act: (a) "IHDA" means the Illinois Housing Development Authority. (b) "FmHA" means the Farmers Home Administration or a local housing authority administering an FmHA program. (c) "HUD" means the United States Department of Housing and Urban Development, or the Federal Housing Administration or a local housing authority administering a HUD program. (d) "Owner" means the person, partnership, or corporation that is a party to a contract with HUD or FmHA providing for a mortgage, mortgage assistance, mortgage insurance, or rent subsidy; or any spouse, employee, agent, partner, master lessee, business affiliate or associate, or successor in interest of such person, partnership or corporation, that receives or demands rent for the subsidized housing. (e) "Subsidized housing" means any housing or unit of housing financed by a loan or mortgage insured or held by HUD as follows: (1) insured or held by HUD under Section 221(d)(3) of the National Housing Act and assisted under Section 101 of the Housing and Urban Development Act of 1965 or Section 8 of the United States Housing Act of 1937; (2) insured or held by HUD and bears interest at a rate determined under the proviso of Section 221(d)(3) of the National Housing Act; (3) insured, assisted or held by HUD under Section 236 of the National Housing Act; (4) insured or held by HUD under Section 514 or 515 of the Housing Act of 1949; or (5) held by HUD and formerly insured under a program listed in this subsection (e). (f) "Tenant" means a tenant, subtenant, lessee, sublessee or other person entitled to possession, occupancy or benefits of a rental unit within the subsidized housing. (g) "Tenant Association" means an association, corporation or other organization that represents at least a majority of the tenants in the subsidized housing building. (Source: P.A. 86-810.) (310 ILCS 60/4) Sec. 4. (a) An owner may not sell or otherwise dispose of subsidized housing unless, not less than 6 months before the sale or disposal, the owner submits to all tenants of the subsidized housing and IHDA a notice of intent to sell or otherwise dispose of the property. (b) Within 60 days after the date of the owner's notice pursuant to subsection (a), the tenants may notify the owner that they have formed a Tenant Association meeting the requirements of this Act and shall designate the name of its representative or representatives in the notice. (Source: P.A. 86-810; 86-1352.) (310 ILCS 60/5) Sec. 5. After the Tenant Association has complied with the requirements of Section 4, the owner shall, before selling, leasing or otherwise disposing of the property, provide to the Tenant Association a bona fide offer for sale of the property which shall contain the essential terms of the sale, including, at a minimum, the following: the sales price; the terms of seller financing, if any, including the amount, the interest rate, and amortization rate thereof; the terms of assumable financing, if any, including the amount, the interest rate, and the amortization rate thereof; and proposed improvements, if any, to the property to be made by the owner in connection with the sale. (Source: P.A. 86-810.) (310 ILCS 60/6) Sec. 6. (a) The Tenant Association shall notify the owner in writing, within 30 days after the receipt of the bona fide offer of sale, of its intent to purchase the subsidized housing. (b) The owner shall, after receiving a notice pursuant to subsection (a), comply with any reasonable request to make documents available to the Tenant Association, during normal business hours at the owner's principal place of business within 15 days of receiving such a request, including but not limited to: a floor plan of the development; itemized lists of monthly operating expenses, capital expenditures in each of the 2 preceding calendar years and deferred maintenance costs; the amount of project reserves; utility consumption rates; copies of financial and physical inspection reports filed with federal, State or local agencies; the most recent rent roll; a list of tenants; a list of vacant units; and a statement of the vacancy rate at the development for each of the 2 preceding calendar years. (Source: P.A. 86-810.) (310 ILCS 60/7) Sec. 7. (a) The Tenant Association shall, within 90 days after it notifies the owner of its intent to purchase, provide the owner with a bona fide offer to purchase evidenced by a purchase contract reflecting a sales price and terms agreed to by the parties or the sales price and terms determined pursuant to subsection (b) of this Section and an earnest money deposit equal to 5% of the bona fide offer to purchase. (b) If the parties are unable to agree to a sales price within the first 60 days of the 90 day period specified in subsection (a), the sale price of the subsidized housing shall be based upon its fair market value as determined by 2 independent appraisers qualified to perform multi-family housing appraisals. One appraiser shall be selected and paid by the owner and the other shall be selected and paid by the Tenant Association. If the appraisers fail to agree upon a fair market value, the owner and the Tenant Association shall either jointly select and pay a third appraiser whose appraisal shall be binding, or agree to take an average of the 2 appraisals. All appraisers shall be MAI certified. The determination of the sales price pursuant to this subsection shall be completed within the 90 day period specified in subsection (a) of this Section. (c) The Tenant Association shall agree to close on the sale within 90 days from the date the parties sign the contract to purchase. (Source: P.A. 86-810; 86-1352.) (310 ILCS 60/8) Sec. 8. The provisions of this Act shall not apply to any of the following: a government taking by eminent domain or negotiated purchase; a forced sale pursuant to a foreclosure; or a transfer by gift, devise or operation of law. (Source: P.A. 86-810.) (310 ILCS 60/9) Sec. 9. If the Tenant Association fails to provide notice to the owner pursuant to Sections 4 or 6 or fails to meet the requirements of Section 7, the owner is released from any and all requirements and obligations under this Act. (Source: P.A. 86-810.) (310 ILCS 60/10) Sec. 10. Any notice provided for in this Act shall be deemed given when a written notice is delivered in person or mailed by certified or registered mail, return receipt requested, to the party to whom notice is given. (Source: P.A. 86-810.) (310 ILCS 60/10.1) Sec. 10.1. The Tenant Association, or one or more tenants in the subsidized housing, may bring a civil action against an owner who has violated this Act. An owner found to have violated any provision of this Act shall, in addition to any other damages, pay a civil penalty to each tenant in the subsidized housing in the amount of $500 per tenant, and shall also pay the attorney's fees and costs incurred in bringing the action. (Source: P.A. 86-810; 86-1352)
|
