HB 1584 — CONDO-VOTING BY PROXY-BALLOTS

HB1584 EngrossedEnrolled LRB093 03887 DRJ 03922 b AN ACT in relation to property.

(7) that the board of managers shall annually supply to all unit owners an itemized accounting of the HB1584 EngrossedEnrolled -2- LRB093 03887 DRJ 03922 b common expenses for the preceding year actually incurred or paid, together with an indication of which portions were for reserves, capital expenditures or repairs or payment of real estate taxes and with a tabulation of the amounts collected pursuant to the budget or assessment, and showing the net excess or deficit of income over expenditures plus reserves;

unless a majority of the total votes of the unit owners are cast at the meeting to reject the budget or separate assessment, it is ratified, (iii) that any common expense not set forth in the budget or any increase in assessments over the amount adopted in the budget shall be separately assessed against all unit owners, (iv) that separate assessments for expenditures relating to emergencies or mandated by law may be adopted by the board of managers without being subject to unit owner approval or the provisions of item (ii) above or HB1584 EngrossedEnrolled -3- LRB093 03887 DRJ 03922 b item (v) below.

that the board may prescribe reasonable rules and regulations to govern the right to make such recordings, that notice of such meetings shall be mailed or delivered at least 48 hours prior thereto, unless a written waiver HB1584 EngrossedEnrolled -4- LRB093 03887 DRJ 03922 b of such notice is signed by the person or persons entitled to such notice pursuant to the declaration, bylaws, other condominium instrument, or provision of law other than this subsection before the meeting is convened, and that copies of notices of meetings of the board of managers shall be posted in entranceways, elevators, or other conspicuous places in the condominium at least 48 hours prior to the meeting of the board of managers except where there is no common entranceway for 7 or more units, the board of managers may designate one or more locations in the proximity of these units where the notices of meetings shall be posted;

(13) the method of filling vacancies on the board which shall include authority for the remaining members of the board to fill the vacancy by two-thirds vote until the next annual meeting of unit owners or for a period terminating no later than 30 days following the filing of a petition signed by unit owners holding 20% of the votes of the association requesting a meeting of the unit owners to fill the vacancy for the balance of the term, and that a meeting of the unit owners shall be called for purposes of filling a vacancy on the board no later than 30 days following the filing of a petition signed by unit owners holding 20% of the votes of the association requesting such a meeting, and the method of filling HB1584 EngrossedEnrolled -5- LRB093 03887 DRJ 03922 b vacancies among the officers that shall include the authority for the members of the board to fill the vacancy for the unexpired portion of the term;

(18) any proxy distributed for board elections by the board of managers gives unit owners the opportunity to designate any person as the proxy holder, and gives the unit owner the opportunity to express a preference HB1584 EngrossedEnrolled -6- LRB093 03887 DRJ 03922 b for any of the known candidates for the board or to write in a name;

(7) that voting shall be on a percentage basis, and that the percentage vote to which each unit is entitled is the percentage interest of the undivided ownership of the common elements appurtenant thereto, provided that HB1584 EngrossedEnrolled -7- LRB093 03887 DRJ 03922 b the bylaws may provide for approval by unit owners in connection with matters where the requisite approval on a percentage basis is not specified in this Act, on the basis of one vote per unit;

_________________l______________________0_____________ __b____________________e______________________s_____________ _a_____________________r______________________,_____________ _a_____________________i______________________u_____________ _n_____________________i______________________u_____________ _e______________________m_____________________u_____________ HB1584 EngrossedEnrolled -8- LRB093 03887 DRJ 03922 b _s_____________________l______________________t_____________ _e______________________m_____________________s_____________ _p_____________________r______________________e_____________ _a_____________________e______________________b_____________ _w_____________________0_______________________d____________ _h_____________________,______________________a_____________ _w_____________________1______________________n_____________ _e_______________________o____________________n_____________ _a_____________________a______________________e_____________ _e______________________m_____________________i_____________ _n_____________________y_______________________i____________ _a_____________________t_______________________b____________ _u_____________________y______________________e_____________ _n_____________________p_______________________b____________ _p_____________________v______________________h_____________ _o_____________________o______________________i_____________ _s_____________________d_______________________t____________ _o_____________________c______________________t_____________ _u_______________________m____________________s_____________ _p_____________________r______________________e_____________ _n_____________________e______________________m_____________ _h_____________________t_______________________b____________ _w_____ _________________r______________________t_____________ _t_____________________t_______________________i____________ _o______________________d_____________________s_____________ __r____________________n______________________(_____________ _a_____________________r______________________g_____________ _w_____________________s______________________l_____________ _e_____________________a______________________a_____________ _h_______________________c____________________t_____________ _u_____________________f_____ (10) that the association may, upon adoption of the appropriate rules by the board of managers, conduct HB1584 EngrossedEnrolled -9- LRB093 03887 DRJ 03922 b elections by secret ballot whereby the voting ballot is marked only with the percentage interest for the unit and the vote itself, provided that the board further adopt rules to verify the status of the unit owner issuing a proxy or casting a ballot;

and HB1584 EngrossedEnrolled -10- LRB093 03887 DRJ 03922 b (13) that matters subject to the affirmative vote of not less than 2/3 of the votes of unit owners at a meeting duly called for that purpose, shall include, but not be limited to:

All management companies which are responsible for the funds held or administered by the association shall maintain and furnish to the association a fidelity bond for the maximum HB1584 EngrossedEnrolled -11- LRB093 03887 DRJ 03922 b amount of coverage available to protect funds in the custody of the management company at any time.

For purposes of this subsection, the term "fiduciary insurance coverage" shall be defined as both a fidelity bond and directors and officers liability coverage, the fidelity bond in the full amount of association funds and association reserves that HB1584 EngrossedEnrolled -12- LRB093 03887 DRJ 03922 b will be in the custody of the association, and the directors and officers liability coverage at a level as shall be determined to be reasonable by the board of managers, if not otherwise established by the declaration or by laws.

HB1584 EngrossedEnrolled -13- LRB093 03887 DRJ 03922 b (n) (i) The provisions of this Act, the declaration, bylaws, other condominium instruments, and rules and regulations that relate to the use of the individual unit or the common elements shall be applicable to any person leasing a unit and shall be deemed to be incorporated in any lease executed or renewed on or after the effective date of this amendatory Act of 1984.

(q) That a unit owner may not assign, delegate, transfer, surrender, or avoid the duties, responsibilities, HB1584 EngrossedEnrolled -14- LRB093 03887 DRJ 03922 b and liabilities of a unit owner under this Act, the condominium instruments, or the rules and regulations of the Association;