Housing

Creates the Preventing Algorithmic Rent Fixing in the Rental Housing Market Act. Provides that a real estate lessor, or any agent or subcontractor of a real estate lessor, shall not subscribe to, contract with, or otherwise exchange anything of value in return for the services of a real estate service provider. Provides that a real estate service provider shall not facilitate an agreement to not compete between real estate lessors with respect to residential dwelling units. Provides that a violation of the provisions of the Act is an unlawful practice under the Consumer Fraud and Deceptive Business Practices Act. Provides for a private right of action. Amends the Consumer Fraud and Deceptive Business Practices Act to make a conforming change.

Creates the Build Illinois Homes Tax Credit Act. Provides that owners of qualified low-income housing developments are eligible for credits against the taxes imposed by the Illinois Income Tax Act or taxes, penalties, fees, charges, and payments imposed by the Illinois Insurance Code. Amends the Illinois Income Tax Act and the Illinois Insurance Code to make conforming changes. Effective immediately.

Amends the Affordable Housing Planning and Appeals Act. Permits the following persons to appeal a municipality's denial of a proposed supportive housing project, including a project to develop a permanent supportive housing apartment building or community integrated-living arrangement, for low-income persons with disabilities: (1) the affordable housing developer of the proposed project; (2) a person who would be eligible to apply for residency in the proposed project; and (3) the community group or supportive housing advocacy group advocating for the proposed project. Provides that if a municipality fails to respond to an appeal within 60 days of its receipt, the State Housing Appeals Board (Board) shall automatically reverse the municipality's decision to deny the proposed supportive housing project. Provides that if the municipality timely responds to the appeal, it must demonstrate by clear and convincing evidence that the proposed supportive housing project would be detrimental to the fair operation and interest of the municipality or would place an unreasonable and disproportionate financial burden on the municipality or on municipal services. Requires the Board to reverse the municipality's decision to deny the proposed supportive housing project if the Board determines that the municipality has not met this burden.

Creates the Local Accessory Dwelling Unit Act. Defines terms. Provides that a unit of local government may not prohibit the building or usage of accessory dwelling units in the unit of local government. Provides that a unit of local government may provide reasonable regulations relating to the size and location of accessory dwelling units similar to other accessory structures unless a regulation would have the effect of prohibiting accessory dwelling units. Limits home rule powers. Effective immediately.

SB 1260 (Rent Control Preemption Act) repeals the existing Rent Control Preemption Act in Illinois. This bill removes a state law that prevented local governments from enacting their own rent control policies. By repealing this preemption, the bill directly affects cities and counties, enabling them to implement local rent control measures for landlords and tenants within their jurisdictions. The legislation itself does not create new rent control rules but eliminates a barrier to local policy-making.

This bill proposes the nomination of Daniel Keith Hayes to serve as a Member of the Illinois Housing Development Authority. This action would appoint Mr. Hayes to a role within the state agency responsible for housing development initiatives.

Creates the Affordable Communities Act. Defines "zoning unit" as a county, municipality, or township that has adopted zoning regulations, and defines other terms. Provides that, on and after June 1, 2026, for a zoning unit with a population equal to or greater than 100,000, regulations may not prevent the development of any middle housing types permitted in the zoning unit through unreasonable costs, delay, or procedural requirements. Allows zoning units to regulate middle housing to comply with protective measures adopted under statewide land use planning goals. Requires adoption of zoning ordinances and zoning maps consistent with the Act by June 1, 2026 for zoning units with a population equal to or greater than 100,000. Provides that the Illinois Housing Development Authority shall develop a model middle housing ordinance that must be used if a zoning unit fails to adopt the required ordinance or zoning map. Allows the Authority to grant exceptions to compliance under specified situations. Requires the Authority to adopt rules regarding the form and substance of a zoning unit's application for an extension, and allows the Authority to adopt other rules relating an extension. Limits the concurrent exercise of home rule powers. Amends the Illinois Administrative Procedure Act. Grants the Authority emergency rulemaking authority to implement the Affordable Communities Act. Effective immediately.

Amends the Affordable Housing Planning and Appeal Act. In provisions requiring the Illinois Housing Development Authority to determine which local governments are exempt from the requirements of the Act, requires the Authority to collect data on owner-occupied and rental units for each local government as follows: (1) by totaling the number of owner-occupied housing units in each local government that are affordable to households with a gross household income that is less than 80% of the median household income and is between 80% and 140% of the median household income within the county or primary metropolitan statistical area; and (2) by totaling the number of rental units in each local government that are affordable to households with a gross household income that is less than 60% of the median household income and is between 80% and 140% of the median household income within the county or primary metropolitan statistical area. Provides that data collected for the 80% AMI to 140% AMI households is to be used for informational purposes and shall not factor into the determination of exempt local governments.

Amends the Landlord and Tenant Act. Prohibits a landlord or lessor from refusing to rent to, deny housing to, or impose conditions on a lessee or tenant based on the breed of a dog or dogs in residential housing that contains more than 3 units of housing. Provides that nothing in the Act affects the ability of a unit of local government to enforce provisions of the Animal Control Act regarding a dangerous dog or vicious dog. Provides that if a lessor or landlord violates these provisions, upon request of the affected lessee or tenant, the Illinois Housing Development Authority must investigate the matter. Provides that if the Authority finds that a lessor or landlord has violated the Act, it must commence an action or proceeding in the circuit court of the county in which the premises are situated to stop the violation either by mandamus or injunction. Provides that the amendatory Act applies to a renewal or modification of residential leases that contain more than 3 units of housing after the effective date of the Act and for new residential leases entered into after that date.

Creates the Housing Equity, Affordability, and Development Act. Provides that the Department of Revenue shall collect a fee from landlords with more than 5 units in an amount equal to 5% of the difference between their monthly rental income for a unit and $1,200, unless the rental income for the unit is less than $1,200, to be paid into the Housing Equity, Affordability, and Development Fund. The Illinois Housing Development Authority shall create a program under the Act to assist in home purchases for households whose tenant payments to the landlord have been more than 30% of their income for a period of 12 calendar months, and whose income is less than 3.33 times the median rent for their metropolitan area; or if the household does not live in a metropolitan area, 3.33 times the median rent in the closest metropolitan area. Provides that assistance shall be limited to $15,000 per household.