Illinois General Assembly - Full Text of SB1476
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Full Text of SB1476  103rd General Assembly




SB1476 EnrolledLRB103 25764 KTG 52113 b

1    AN ACT concerning housing.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 5. The Affordable Housing Planning and Appeal Act
5is amended by changing Sections 15, 25, 30, and 50 as follows:
6    (310 ILCS 67/15)
7    Sec. 15. Definitions. As used in this Act:
8    "Affordable housing" means housing that has a value or
9cost or rental amount that is within the means of a household
10that may occupy moderate-income or low-income housing. In the
11case of owner-occupied dwelling units, housing that is
12affordable means housing in which mortgage, amortization,
13taxes, insurance, and condominium or association fees, if any,
14constitute no more than 30% of the gross annual household
15income for a household of the size that may occupy the unit. In
16the case of dwelling units for rent, housing that is
17affordable means housing for which the rent, any required
18parking, maintenance, landlord-imposed fees, and utilities
19constitute no more than 30% of the gross annual household
20income for a household of the size that may occupy the unit. In
21the case of dwelling units for rent, the costs of any required
22parking, maintenance, or landlord-imposed fees are to be
23included in the calculation of affordable housing if available



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1from the U.S. Census Bureau.
2    "Affordable housing developer" means a nonprofit entity,
3limited equity cooperative or public agency, or private
4individual, firm, corporation, or other entity seeking to
5build an affordable housing development.
6    "Affordable housing development" means (i) any housing
7that is subsidized by the federal or State government or (ii)
8any housing in which at least 20% of the dwelling units are
9subject to covenants or restrictions that require that the
10dwelling units be sold or rented at prices that preserve them
11as affordable housing for a period of at least 15 years, in the
12case of owner-occupied housing, and at least 30 years, in the
13case of rental housing.
14    "Approving authority" means the governing body of the
15county or municipality.
16    "Area median household income" means the median household
17income adjusted for family size for applicable income limit
18areas as determined annually by the federal Department of
19Housing and Urban Development under Section 8 of the United
20States Housing Act of 1937.
21    "Community land trust" means a private, not-for-profit
22corporation organized exclusively for charitable, cultural,
23and other purposes and created to acquire and own land for the
24benefit of the local government, including the creation and
25preservation of affordable housing.
26    "Development" means any building, construction,



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1renovation, or excavation or any material change in any
2structure or land, or change in the use of such structure or
3land, that results in a net increase in the number of dwelling
4units in a structure or on a parcel of land by more than one
5dwelling unit.
6    "Exempt local government" means any local government in
7which at least 10% of its total year-round housing units are
8affordable, as determined by the Illinois Housing Development
9Authority in accordance with Section 20, or any municipality
10with a population under 1,000. "Exempt local government" means
11any local government in which at least 10% of its total
12year-round housing units are affordable, as determined by the
13Illinois Housing Development Authority pursuant to Section 20
14of this Act; or any municipality under 1,000 population.
15    "Household" means the person or persons occupying a
16dwelling unit.
17    "Housing organization" means a trade or industry group
18engaged in the construction or management of housing units, or
19a nonprofit organization whose mission includes providing or
20advocating for increased access to housing for low or
21moderate-income households.
22    "Housing trust fund" means a separate fund, either within
23a local government or between local governments pursuant to
24intergovernmental agreement, established solely for the
25purposes authorized in subsection (d) of Section 25,
26including, without limitation, the holding and disbursing of



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1financial resources to address the affordable housing needs of
2individuals or households that may occupy low-income or
3moderate-income housing.
4    "Local government" means a county or municipality.
5    "Low-income housing" means housing that is affordable,
6according to the federal Department of Housing and Urban
7Development, for either home ownership or rental, and that is
8occupied, reserved, or marketed for occupancy by households
9with a gross household income that does not exceed 50% of the
10area median household income.
11    "Moderate-income housing" means housing that is
12affordable, according to the federal Department of Housing and
13Urban Development, for either home ownership or rental, and
14that is occupied, reserved, or marketed for occupancy by
15households with a gross household income that is greater than
1650% but does not exceed 80% of the area median household
18    "Non-appealable local government requirements" means all
19essential requirements that protect the public health and
20safety, including any local building, electrical, fire, or
21plumbing code requirements or those requirements that are
22critical to the protection or preservation of the environment.
23(Source: P.A. 102-175, eff. 7-29-21.)
24    (310 ILCS 67/25)
25    Sec. 25. Affordable housing plan.



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1    (a) Prior to April 1, 2005, all non-exempt local
2governments must approve an affordable housing plan. Any local
3government that is determined by the Illinois Housing
4Development Authority under Section 20 to be non-exempt for
5the first time based on the recalculation of U.S. Census
6Bureau data after 2010 shall have 18 months from the date of
7notification of its non-exempt status to approve an affordable
8housing plan under this Act. On and after the effective date of
9this amendatory Act of the 102nd General Assembly, an
10affordable housing plan, or any revision thereof, shall not be
11adopted by a non-exempt local government until notice and
12opportunity for public hearing have first been afforded.
13    (b) For the purposes of this Act, the affordable housing
14plan shall consist of at least the following:
15        (i) a statement of the total number of affordable
16    housing units that are necessary to exempt the local
17    government from the operation of this Act as defined in
18    Section 15 and Section 20;
19        (ii) an identification of lands within the
20    jurisdiction that are most appropriate for the
21    construction of affordable housing and of existing
22    structures most appropriate for conversion to, or
23    rehabilitation for, affordable housing, including a
24    consideration of affordable housing for both
25    owner-occupied dwelling units and dwelling units for rent,
26    lands and structures of developers who have expressed a



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1    commitment to provide affordable housing, and lands and
2    structures that are publicly or semi-publicly owned;
3        (iii) incentives that local governments may provide
4    for the purpose of attracting affordable housing to their
5    jurisdiction; and
6        (iv) a description of any housing market conditions,
7    infrastructure limitations, local government ordinances,
8    including zoning and land use ordinances, local government
9    policies or practices that do not affirmatively further
10    fair housing as defined in the federal Fair Housing Act,
11    and other factors that may constrain the local
12    government's ability to create and preserve affordable
13    housing;
14        (v) a plan or potential strategies to eliminate or
15    mitigate these constraints identified in item (iv);
16        (vi) one or more of the following goals: (iv) a goal of
17    a minimum of 15% of all new development or redevelopment
18    within the local government that would be defined as
19    affordable housing in this Act; or a minimum of a 5 3
20    percentage point increase in the overall percentage of
21    affordable housing within its jurisdiction, as described
22    in subsection (b) of Section 20 of this Act; or a minimum
23    of a total of 10% affordable housing within its
24    jurisdiction as described in subsection (b) of Section 20
25    of this Act. These goals may be met, in whole or in part,
26    through the creation of affordable housing units under



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1    intergovernmental agreements as described in subsection
2    (e) of this Section; and .
3        (vii) proposed timelines to commence, within the first
4    24 months after the date upon which the affordable housing
5    plan was adopted, for actions to implement the components
6    of the affordable housing plan.
7    Local governments that have previously been determined as
8a non-exempt municipality and that have submitted an
9affordable housing plan shall also include a summary of
10actions taken to implement the previously submitted plan, as
11well as a summary of progress made toward achieving the goals
12of the plan.
13    To comply with the affordable housing plan requirements,
14no later than 4 years after adopting or updating an affordable
15housing plan the local government shall submit a report to the
16Illinois Housing Development Authority summarizing actions
17taken to implement the current plan.
18    (c) Within 60 days after the adoption of an affordable
19housing plan or revisions to its affordable housing plan, the
20local government must submit a copy of that plan to the
21Illinois Housing Development Authority.
22    (d) In order to promote the goals of this Act and to
23maximize the creation, establishment, or preservation of
24affordable housing throughout the State of Illinois, a local
25government, whether exempt or non-exempt under this Act, may
26adopt the following measures to address the need for



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1affordable housing:
2        (1) Local governments may individually or jointly
3    create or participate in a housing trust fund or otherwise
4    provide funding or support for the purpose of supporting
5    affordable housing, including, without limitation, to
6    support the following affordable housing activities:
7            (A) Housing production, including, without
8        limitation, new construction, rehabilitation, and
9        adaptive re-use.
10            (B) Acquisition, including, without limitation,
11        land, single-family homes, multi-unit buildings, and
12        other existing structures that may be used in whole or
13        in part for residential use.
14            (C) Rental payment assistance.
15            (D) Home-ownership purchase assistance.
16            (E) Preservation of existing affordable housing.
17            (F) Weatherization.
18            (G) Emergency repairs.
19            (H) Housing related support services, including
20        homeownership education and financial counseling.
21            (I) Grants or loans to not-for-profit
22        organizations engaged in addressing the affordable
23        housing needs of low-income and moderate-income
24        households.
25        Local governments may authorize housing trust funds to
26    accept and utilize funds, property, and other resources



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1    from all proper and lawful public and private sources so
2    long as those funds are used solely for addressing the
3    affordable housing needs of individuals or households that
4    may occupy low-income or moderate-income housing.
5        (2) A local government may create a community land
6    trust, which may: acquire developed or undeveloped
7    interests in real property and hold them for affordable
8    housing purposes; convey such interests under long-term
9    leases, including ground leases; convey such interests for
10    affordable housing purposes; and retain an option to
11    reacquire any such real property interests at a price
12    determined by a formula ensuring that such interests may
13    be utilized for affordable housing purposes.
14        (3) A local government may use its zoning powers to
15    require the creation and preservation of affordable
16    housing as authorized under Section 5-12001 of the
17    Counties Code and Section 11-13-1 of the Illinois
18    Municipal Code.
19        (4) A local government may accept donations of money
20    or land for the purpose of addressing the affordable
21    housing needs of individuals or households that may occupy
22    low-income or moderate-income housing. These donations may
23    include, without limitation, donations of money or land
24    from persons, as long as the donations are demonstrably
25    used to preserve, create, or subsidize low-income housing
26    or moderate-income housing within the jurisdiction.



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1    (e) In order to encourage regional cooperation and the
2maximum creation of affordable housing in areas lacking such
3housing in the State of Illinois, any non-exempt local
4government may enter into intergovernmental agreements under
5subsection (e) of Section 25 with local governments within 10
6miles of its corporate boundaries in order to create
7affordable housing units to meet the goals of this Act. A
8non-exempt local government may not enter into an
9intergovernmental agreement, however, with any local
10government that contains more than 25% affordable housing as
11determined under Section 20 of this Act. All intergovernmental
12agreements entered into to create affordable housing units to
13meet the goals of this Act must also specify the basis for
14determining how many of the affordable housing units created
15will be credited to each local government participating in the
16agreement for purposes of complying with this Act. All
17intergovernmental agreements entered into to create affordable
18housing units to meet the goals of this Act must also specify
19the anticipated number of newly created affordable housing
20units that are to be credited to each local government
21participating in the agreement for purposes of complying with
22this Act. In specifying how many affordable housing units will
23be credited to each local government, the same affordable
24housing unit may not be counted by more than one local
26    (f) To enforce compliance with the provisions of this



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1Section, and to encourage local governments to submit their
2affordable housing plans to the Illinois Housing Development
3Authority in a timely manner, the Illinois Housing Development
4Authority shall notify any local government and may notify the
5Office of the Attorney General that the local government is in
6violation of State law if the Illinois Housing Development
7Authority finds that the affordable housing plan submitted is
8not in substantial compliance with this Section or that the
9local government failed to submit an affordable housing plan.
10The Attorney General may enforce this provision of the Act by
11an action for mandamus or injunction or by means of other
12appropriate relief.
13    (g) The Illinois Housing Development Authority shall post
14each affordable housing plan submitted by a local government
15on the Illinois Housing Development Authority's website.
16(Source: P.A. 102-175, eff. 7-29-21.)
17    (310 ILCS 67/30)
18    Sec. 30. Appeal to State Housing Appeals Board.
19    (a) (Blank).
20    (b) (Blank). Beginning January 1, 2009, an affordable
21housing developer whose application is either denied or
22approved with conditions that in his or her judgment render
23the provision of affordable housing infeasible may, within 45
24days after the decision, appeal to the State Housing Appeals
25Board challenging that decision unless the municipality or



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1county that rendered the decision is exempt under Section 15
2of this Act. The developer must submit information regarding
3why the developer believes he or she was unfairly denied or
4unreasonable conditions were placed upon the tentative
5approval of the development. In the case of local governments
6that are determined by the Illinois Housing Development
7Authority under Section 20 to be non-exempt for the first time
8based on the recalculation of U.S. Census Bureau data after
9the effective date of this amendatory Act of the 98th General
10Assembly, no developer may appeal to the State Housing Appeals
11Board until 60 months after a local government has been
12notified of its non-exempt status.
13    (b-5) Beginning January 1, 2026, any of the following
14parties may file an appeal as an appellant to the State Housing
15Appeals Board against a non-exempt municipality if the
16proposed affordable housing development was denied by the
17municipality, or approved with conditions that in the
18appellant's judgment render the provision of affordable
19housing infeasible:
20        (1) the affordable housing developer of the proposed
21    affordable housing development;
22        (2) a person who would be eligible to apply for
23    residency in the proposed affordable housing development;
24    or
25        (3) a housing organization whose geographic focus area
26    includes the municipality, or county if in an



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1    unincorporated area, where the proposed affordable housing
2    development is located.
3    Appeals must be filed within 45 days after the decision by
4the municipality. The appellant must submit information
5regarding why the appellant believes the affordable housing
6development was unfairly denied or unreasonable conditions
7were placed upon the tentative approval of the development. In
8the case of local governments that are determined by the
9Illinois Housing Development Authority under Section 20 to be
10non-exempt for the first time based on the recalculation of
11U.S. Census Bureau data after the effective date of this
12amendatory Act of the 103rd General Assembly, no appellant may
13appeal to the State Housing Appeals Board until 6 months after
14a local government has been notified of its non-exempt status.
15    (c) Beginning on the effective date of this amendatory Act
16of the 98th General Assembly, the Board shall, whenever
17possible, render a decision on the appeal within 120 days
18after the appeal is filed. The Board may extend the time by
19which it will render a decision where circumstances outside
20the Board's control make it infeasible for the Board to render
21a decision within 120 days. In any proceeding before the
22Board, the appellant affordable housing developer bears the
23burden of demonstrating that the proposed affordable housing
24development (i) has been unfairly denied or (ii) has had
25unreasonable conditions placed upon it by the decision of the
26local government.



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1    (d) The Board shall dismiss any appeal if:
2        (i) the local government has adopted an affordable
3    housing plan as defined in Section 25 of this Act and
4    submitted that plan to the Illinois Housing Development
5    Authority within the time frame required by this Act; and
6        (ii) the local government has implemented its
7    affordable housing plan and has met its goal as
8    established in its affordable housing plan as defined in
9    Section 25 of this Act.
10    (e) The Board shall dismiss any appeal if the reason for
11denying the application or placing conditions upon the
12approval is a non-appealable local government requirement
13under Section 15 of this Act.
14    (f) The Board may affirm, reverse, or modify the
15conditions of, or add conditions to, a decision made by the
16approving authority. The decision of the Board constitutes an
17order directed to the approving authority and is binding on
18the local government.
19    (g) The appellate court has the exclusive jurisdiction to
20review decisions of the Board. Any appeal to the Appellate
21Court of a final ruling by the State Housing Appeals Board may
22be heard only in the Appellate Court for the District in which
23the local government involved in the appeal is located. The
24appellate court shall apply the "clearly erroneous" standard
25when reviewing such appeals. An appeal of a final ruling of the
26Board shall be filed within 35 days after the Board's decision



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1and in all respects shall be in accordance with Section 3-113
2of the Code of Civil Procedure.
3(Source: P.A. 98-287, eff. 8-9-13.)
4    (310 ILCS 67/50)
5    Sec. 50. Housing Appeals Board.
6    (a) On and after the effective date of this amendatory Act
7of the 103rd General Assembly, the Prior to January 1, 2008, a
8Housing Appeals Board consists shall be created consisting of
97 members appointed by the Governor as follows:
10        (1) a retired circuit judge, a or retired appellate
11    judge, a current or retired administrative law judge, or a
12    practicing or retired attorney with experience in the area
13    of land use law or related field, who shall act as
14    chairperson;
15        (2) 4 members selected from among the following
16    categories:
17            (A) county or municipal zoning board of appeals
18        members;
19            (B) county or municipal planning board members;
20            (C) a mayor or municipal council or board member;
21            (D) a county board member; a zoning board of
22        appeals member;
23        (3) an affordable housing developer; and a planning
24    board member;
25        (4) a mayor or municipal council or board member;



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1        (5) a county board member;
2        (6) an affordable housing developer; and
3        (4) (7) an affordable housing advocate.
4    In addition, the Chairman of the Illinois Housing
5Development Authority, ex officio, shall serve as a non-voting
6member. At least 2 of the appointments under paragraph (2)
7shall be from a local government that is non-exempt under this
8Act. No more than 4 of the appointed members may be from the
9same political party. Appointments under items (2), (3), and
10(4) shall be from local governments that are not exempt under
11this Act.
12    (b) Initial terms of 4 members designated by the Governor
13under this amendatory Act of the 103rd General Assembly shall
14be for 2 years. Initial terms of 3 members designated by the
15Governor under this amendatory Act of the 103rd General
16Assembly shall be for one year. Thereafter, members shall be
17appointed for terms of 2 years. After a member's term expires,
18the member shall continue to serve until a successor is
19appointed. There shall be no limit to the number of terms an
20appointee may serve. A member shall receive no compensation
21for his or her services, but shall be reimbursed by the State
22for all reasonable expenses actually and necessarily incurred
23in the performance of his or her official duties. The Board
24board shall hear all petitions for review filed under this Act
25and shall conduct all hearings in accordance with the rules
26and regulations established by the chairperson. The Illinois



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1Housing Development Authority shall provide space and clerical
2and other assistance that the Board may require.
3    (c) (Blank).
4    (d) To the extent possible, any vacancies in the Housing
5Appeals Board shall be filled within 90 days of the vacancy.
6    (e) The terms of members serving before the effective date
7of this amendatory Act of the 103rd General Assembly expire on
8the effective date of this amendatory Act of the 103rd General
10(Source: P.A. 102-175, eff. 7-29-21.)