2025–2026 Illinois Condo & HOA Legislative Update
As the Illinois state legislature prepares to complete the 2025-2026 legislative session, Illinois community association boards must stay ahead of the evolving legal landscape. Illinois lawmakers are increasingly focused on improving community association governance, financial transparency, and individual rights within condominium associations and homeowners associations in Illinois. Below is a summary of key bills that affect Illinois condominium associations and Illinois homeowners associations.
HSB 2563/SB 1703 – Reserve Study
One of the most significant proposals this year was HSB 2563/SB 1703, legislation that would require periodic reserve studies for condominium and common interest communities. Under the bill’s text, associations would be required to conduct a reserve analysis at least every five years, with the study defining anticipated major maintenance, repairs, and replacements of common elements or areas. Notably, the bill also provides that a current reserve study must be made available upon request by prospective purchasers. Associations with 15 or fewer units would be exempt.
Although this bill did not become law during the 2025 session, it reflects a significant trend as policymakers are increasingly focused on financial transparency and long-term planning by community associations.
Bill Status: Re-referred to the Rules Committee.
HB 67/SB 1713 – Parking Rights for First Responders
HB 67 would have amended the Illinois Common Interest Community Association Act. HB 67 provided that Illinois community associations governed under the Illinois Common Interest Community Association Act may not prohibit an owner or tenant from parking their assigned law enforcement vehicle in areas within the community association where the owner or tenant had a right to park.
This legislation would have made it difficult for community associations to enforce their governing documents and parking rules and regulations against unit owners and tenants who are first responders.
Bill Status: Re-referred to the Rules Committee.
Meanwhile, SB 1713 would have amended both the Illinois Condominium Property Act and the Illinois Common Interest Community Association Act. SB 1713 would have prohibited Illinois community associations from (1) classifying authorized emergency vehicles as commercial vehicles and (2)restricting the parking of authorized emergency vehicles owned or under the control of a resident or unit owner or the tenant, guest, or invitee of a unit owner.
Similar to HB 67, the primary concern is that this legislation would have limited an Illinois community association’s ability to enforce parking rules with respect to authorized emergency vehicles, potentially reducing local control over parking standards and creating ambiguity about how those restrictions apply.
Bill Status: Re-referred to Assignments.
SB 1683 – Reasonable Home Renovations:
SB 1683 would have amended the Illinois Common Interest Community Association Act and the Illinois Condominium Property Act. SB 1683 provided that an Illinois community association may not prohibit any resident or owner from making reasonable renovations, modifications, or other changes to the inside or outside of their home if the change was made to accommodate the resident’s or owner’s health condition or disability, so long as the changes did not extend over certain boundaries.
The key concern for Illinois community associations with this legislation was that it would have limited their ability to enforce design standards and architectural controls by allowing owners to make interior or exterior modifications for health or disability reasons without association approval, even when such changes might conflict with existing rules.
Bill Status: Re-referred to Assignments.
HB 2648 – Document Inspection Fee Caps
HB 2648 would have amended the Illinois Common Interest Community Association Act. Under the Illinois Common Interest Community Association Act, owners and members are permitted to examine and copy certain records upon request. HB 2648 would put a cap on inspection and copying costs at $375, although it authorized boards to charge an additional rush fee of not more $100 if the records were needed within 72 hours of the request being made.
The issue for Illinois community associations is that the bill caps and regulates fees for records production in a way that may not cover actual administrative costs, especially for voluminous or complex requests.
Bill Status: Re-referred to the Rules Committee.
HB 3586 – Board Member Training:
HB 3586 sought to amend the Illinois Condominium Property Act and the Illinois Common Interest Community Association Act to require mandatory training for board members within 90 days of election. This training would be centered on the following subjects: (i) ethics to include the fiduciary responsibilities, conflict of interest, and communication between board members; (ii) roles and responsibilities for each officer of a board and a property management company; (iii) attributes of a property-managed association and self-run association; and (iv) information and direction about the complaint process against a board.
The issue for Illinois community associations is that this bill would have mandated statutorily required training for all board members, which likely would have created additional administrative burdens. Additionally, the bill included potential penalties for non-compliance. Board members for Illinois community associations are volunteers who dedicate their free time to ensuring their communities maintain property values and fostering a welcoming environment for all. Furthermore, many Illinois community associations are struggling to find volunteers for these board positions. Adding further administrative burdens would likely decrease participation in Illinois community associations even further.
Bill Status: Re-referred to the Rules Committee.
SB 1383 – Illinois Condominium Ombudsperson Sunset Repeal
A noteworthy success from this session is SB 1383, legislation that will repeal the sunset provision of the Condominium and Common Interest Community Ombudsperson Act, extending the Ombudsperson’s service beyond January 1, 2026. The Ombudsperson plays a valuable role in providing guidance and dispute-resolution services to associations and unit owners throughout Illinois.
Conclusion
As the 2025–2026 legislative session demonstrates, Illinois lawmakers continue to focus heavily on transparency, owner rights, and stronger oversight of community associations. While several major bills did not advance this session, they signal legislative priorities that will likely resurface in future sessions. Accordingly, Illinois community association boards should be proactive rather than reactive. Even without new statutory mandates, Illinois community association boards should consider:
- Reviewing and updating governing documents to ensure parking rules, architectural control provisions, and record-inspection policies are clear, defensible, and consistent with evolving legislative trends.
- Adopting or revising a formal reserve study policy so the association is prepared if reserve-study requirements are passed in a future session.
- Consulting legal counsel before enforcing restrictions involving first responders or disability-related modifications, since these are areas where legislators are seeking to expand owner protections.
- Implementing transparent records-request procedures, including timelines, fee schedules, and itemized invoices, to reduce disputes and ensure compliance if statutory fee caps are enacted.
Illinois community associations that take these steps now will be better equipped to navigate legislative change, reduce liability, and foster transparent, well-governed communities. If your association needs assistance reviewing or updating governing documents or implementing policy updates, the attorneys at Hirzel Law, PLC can provide tailored guidance and practical solutions.
