HB2411 104TH GENERAL ASSEMBLY

LRB104 09765 LNS 19831 b

104TH GENERAL ASSEMBLY
State of Illinois
2025 and 2026
HB2411

Introduced 2/4/2025, by Rep. Joyce Mason

SYNOPSIS AS INTRODUCED:

New Act

Creates the Tiny Homes Act. Prohibits a person, firm, or corporation from establishing, maintaining, or operating a tiny home park without a license from the Illinois Housing Development Authority. Sets forth application and permit requirements. Provides that an annual license fee shall be $500, plus an additional $50 for each tiny home site in the tiny home park. Allows the Authority to revoke or suspend a license granted under the Act. Prohibits a person, firm, corporation, limited liability company, trust, or other business entity from constructing a tiny home park without first obtaining a permit to do so. Describes requirements concerning the maintenance and operation of a tiny home park, including: provisions requiring management of the tiny home park by a responsible individual; drainage and water supply requirements; setback requirements and limits on tiny home size; requirements concerning the provision of safe and sanitary water, sewage disposal service, garbage service, insect and rodent control services, and fire extinguishers; requirements concerning construction of auxiliary rooms; requirements concerning street maintenance; requirements concerning sanitary, electrical, and safety appliances; requirements concerning electrical outlets; and requirements concerning fire safety. Requires the Authority to maintain records of all tiny home parks. Allows counties or municipalities to provide for licensing of tiny homes within their corporate limits in a manner consistent with the Act. Preempts home rule powers. Allows the Authority to enforce the Act. Requires the Authority to inspect each tiny home park at least once a year. Allows the Authority to adopt rules to carry out the Act. Allows the Authority to assess civil penalties for violations of fire safety provisions in the amount of $500 per day. Sets forth hearing procedures for any person who is refused a permit to construct or license to operate a tiny home park or for any person who has had a permit to construct or a license to operate a tiny home park revoked or suspended.

A BILL FOR

AN ACT concerning regulation.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 1. Short title. This Act may be cited as the Tiny Homes Act.

Section 5. Findings. The General Assembly finds that:

(1) there is a serious housing shortage in this State;

(2) rising costs in the building construction field have seriously impeded the building of new housing, particularly for moderate-income and low-income citizens;

(3) the existing housing stock is continuously depleted through demolition resulting from aging buildings, urban renewal, highway construction, and other necessary public improvements;

(4) advances in the construction of tiny homes have significantly increased the importance of this mode of housing; and

(5) through proper regulation and licensing, tiny homes can contribute to the provision of quality housing for Illinois citizens.

Section 10. Definitions. As used in this Act:

"Administrative decision" has the meaning given in Section 3-101 of the Code of Civil Procedure.

"Applicable tiny home park fire protection standards" means: (i) in the case of a home rule unit, the fire protection standards ordinance of the municipality or fire protection district that has jurisdictional responsibility for responding to a fire call in that tiny home park; or (ii) if there is no ordinance or in the case of a non-home rule unit, the rules adopted by the Office of the State Fire Marshal for fire safety in tiny home parks.

"Authority" means the Illinois Housing Development Authority.

"Director" means the Executive Director of the Authority.

"Independent tiny home" means a tiny home which has (i) a self-contained toilet and (ii) bath or shower facilities.

"Maintain or operate a tiny home park" includes, but is not limited to, supplying or maintaining common water, sewer, or other utility supply or service, or the collection of rent directly or indirectly from 10 or more independent tiny homes.

"Permanent habitation" means habitation for a period of 6 or more months.

"Site" means the lot on which the tiny home is located for permanent habitation.

"Tiny home" means a factory-assembled, completely integrated structure that: (i) is designed for permanent habitation; (ii) is permanently constructed on a vehicle chassis; (iii) includes electrical, mechanical, or plumbing services that are fabricated, formed, or assembled at a location other than the site of the completed home; (iv) is not self-propelled; (v) has a square footage of 1,000 square feet or less; (vi) has a metal plate insignia installed under the kitchen sink by the Authority; (vii) is connected to utilities for year-round occupancy for use as a permanent habitation; and (viii) is designed and situated to permit its occupancy as a dwelling place for one or more persons. "Tiny home" does not include a camper or recreational vehicle or a mobile home or manufactured home, as defined under Section 2.1 of the Mobile Home Park Act.

"Tiny home park" means a tract of land or 2 or more contiguous tracts of land upon which there are sites with the necessary utilities for 10 or more independent tiny homes for permanent habitation. "Tiny home park" includes any building, structure, vehicle, or enclosure used or intended for use as a part of the equipment of the tiny home park. Separate ownership of contiguous tracts of land shall not preclude the tracts of land from common licensure as a tiny home park if they are maintained and operated jointly. "Tiny home park" does not include an immobilized mobile home or a motorized recreational vehicle.

Section 15. License to operate tiny home park required. No person, firm, or corporation shall establish, maintain, or operate a tiny home park without a license from the Authority. The license shall expire December 31 of each year, and a new license shall be issued upon proper application and payment of the annual license fee if the applicant is in substantial compliance with the rules of the Authority.

Section 20. Tiny home park permit application requirements. In order to obtain a permit to construct a new tiny home park, the applicant shall file with the Authority a written application and plan documents, including the following:

(1) The full name and address of the applicant or applicants, or names and addresses of the partners if the applicant is a partnership, the names and addresses of the officers if the applicant is a corporation, the names and addresses of the manager if the applicant is a limited liability company, or the name of the trustee if the applicant is a trust.

(2) The address, location, and legal description of the tract of land upon which it is proposed to construct, operate, and maintain a tiny home park.

(3) The name of the tiny home park.

(4) Detailed plans and specifications sealed by a registered engineer or architect licensed to practice in the State, which include a general plot plan of the tiny home park with all sites and structures shown, the water supply system, the sewage disposal system, the electrical system, the fuel supply system, the lighting system, the method of disposal of solid waste, all streets and sidewalks, swimming and bathing facilities, pickleball courts, fire hydrants, and details of all auxiliary structures.

(5) The number of tiny home sites proposed to be constructed or licensed.

(6) A statement of the firefighting facilities, public or private, that are available to the tiny home park.

(7) A plan review fee in the amount of $500, which is nonrefundable.

Section 25. Issuance of permits. Upon receipt of an application for a permit to construct or alter a tiny home park or an application for an original license to maintain and operate a tiny home park, the Authority shall, if the tiny home park is, or the proposed tiny home park will be, in conformity with this Act and the rules adopted by the Authority under this Act, issue a permit to construct or an original license. If the application for a permit to construct or an original license is declined, the Authority shall give the reasons for its decision in writing to the applicant, and if the objections can be corrected, the applicant may amend the application and resubmit it for approval.

If a permit to construct a tiny home park has been issued, the applicant shall notify the Authority of the completion of the tiny home park. The Authority shall then inspect the tiny home park and, if completed in accordance with the approved plans, shall issue a license for the number of approved sites after receipt of the required fee.

Within 10 days of receiving an application for a permit to construct a tiny home park or alter a licensed tiny home park, the Authority shall send a copy of the application, by certified mail, to the county or municipality in which the proposed or existing tiny home park is located. Construction for which the Authority has issued a permit shall not commence until the applicant has received any required municipal or county building and zoning approvals. No license to maintain and operate a tiny home park shall be issued by Authority if the Authority is notified, within 60 days of the mailing of the application to the municipality or county, by a written certification from the municipal or county zoning board or commission of any municipality or county that the tiny home park is in violation of any municipal or county zoning or other ordinances. Upon certification from the municipal or county zoning board that the tiny home park has complied with the municipal or county zoning or other ordinances and other requirements of this Act have been met, the license shall be issued. Within 10 days after the tiny home park has complied with the municipal or county zoning ordinance, the municipal or county zoning board or commission shall certify compliance to the Authority. Fees charged by the municipality or county for permits shall not exceed the usual charge for the services provided by the municipality or county in connection with the permits.

Section 30. License fees. In addition to the application fees provided for under this Act, the tiny home park operator shall pay to the Authority on or before December 31 of each year, an annual license fee. The annual license fee shall be $500 plus $50 for each tiny home site in the tiny home park. Each license fee shall be paid to the Authority and any license fee or any part of the license fee, once paid to and accepted by the Authority, shall not be refunded.

The Authority shall deposit all funds received under this Act into the Facility Licensing Fund. Subject to appropriation, moneys in the Fund shall be used for the enforcement of this Act.

Section 35. Revocation or suspension of license. Any license granted under this Act shall be subject to revocation or suspension by the Authority. However, the Authority shall first serve or cause to be served upon the tiny home park operator a written notice in which shall be specified the way or ways in which the tiny home park operator has failed to comply with this Act or any rules adopted by the Authority under this Act. The notice shall require the tiny home park operator to remove or abate the nuisance, insanitary, or objectionable condition, specified in the notice, within 5 days or within a longer period of time as may be allowed by the Authority. If the tiny home park operator fails to comply with the terms and conditions of the notice, within the time specified or an extended period of time, the Authority may revoke or suspend the tiny home park operator's license.

Section 40. Permit required to construct tiny home park. No person, firm, corporation, limited liability company, trust, or other business entity shall construct a tiny home park without first obtaining a permit to do so. All permits to construct and all licenses to operate shall be prominently displayed in the tiny home park office. All licenses issued under this Act shall be transferable only with the written consent of the Authority; however, the Authority may not withhold consent where the provisions of this Act have been met. The tiny home park operator shall provide to the Authority the information required in paragraphs (1), (3), and (5) of Section 20.

Section 45. Operation and maintenance of tiny home park. Each tiny home park licensed or to be constructed under the provisions of this Act shall be operated and maintained in accordance with the requirements of Sections 50 through 110.

Section 50. Management by responsible individual. Every tiny home park shall be managed by a responsible individual whose name, address, and telephone number shall be on file at all times with the Authority and whose duty it shall be to maintain the tiny home park, its facilities, and equipment in a clean, orderly, and sanitary condition, and that individual shall be responsible, with the tiny home park operator, for any violation of the provisions of this Act.

Section 55. Drainage and water supply. No tiny home park shall be located in a manner that causes the drainage of the tiny home park to endanger a water supply. All tiny home parks shall be well drained. No wastewater shall be deposited on the surface of the ground within the tiny home park.

Section 60. Tiny home size. Each site on which a tiny home is accommodated shall have a minimum area of 1,000 square feet.

No tiny home shall be parked closer than 50 feet to the side lot lines of a tiny home park, or closer than 50 feet to a public street, alley, or building. Each individual site shall abut or face on a private or public street. All streets shall have unobstructed access to a public street. There shall be an open space of at least 50 feet next to the sides of every tiny home and an open space of at least 50 feet next to the ends of every tiny home.

Section 65. Safe and sanitary water. An adequate supply of water of safe, sanitary quality, approved by the Authority, shall be furnished at each tiny home park. If water from other sources than that supplied by a city or village is proposed to be used, the source of the supply shall first be approved by the Authority. Each tiny home shall have a connection to a public water system, a semi-private water system, or a private water supply constructed in accordance with the requirements of the Illinois Water Well Construction Code or the Surface Source Water Treatment Code.

Section 70. Sewage disposal. All sewage and other water carried wastes shall be disposed of into a municipal sewerage system whenever the interceptor or sewer main of the system is next to the tiny home park. In a tiny home park in which the connections are not available, disposal shall be into a private system which includes a sanitary means of disposal, the operation of which creates neither a nuisance nor a menace to health.

Section 75. Garbage. A sufficient number of adequate flyproof and watertight containers in accordance with rules adopted by the Authority shall be supplied for the storage of garbage except where an adequate incinerator is provided.

Garbage containers shall be emptied at least once a week and shall not be filled to overflowing or allowed to become foul smelling or a breeding place for flies.

Garbage and rubbish shall be disposed of in a that creates neither a nuisance nor a menace to health and in a manner that is approved by the Authority.

Section 80. Insect and rodent control. Adequate insect and rodent control measures shall be employed. All buildings shall be fly proof and rodent proof, and rodent harborages shall not be permitted to exist in the tiny home park or pathways. All tiny homes shall be skirted to exclude rodents and provide protection to the homes' utilities from the weather.

Section 85. Fire extinguishers required. Each tiny home in a tiny home park shall be equipped with fire extinguishers in working order, one in each end of the tiny home.

Inspection of any equipment and enforcement of any rules adopted under this Act shall be the duty of the State Fire Marshal and local law enforcement agencies in the county or municipality where the tiny home park is located.

Section 90. Construction of auxiliary rooms. Porches, carports, garages, sheds, awnings, skirting, and auxiliary rooms shall be constructed of materials specified by rule.

Section 95. Street maintenance. All streets in every tiny home park must be maintained in a passable and reasonably dust-proof condition at all times.

Section 100. Sanitary, electrical, and safety appliances. The management of every tiny home park shall assume full responsibility for maintaining in good repair and condition all sanitary, electrical, and safety appliances in the tiny home park, and shall promptly bring an action as is necessary to prosecute or eject from the tiny home park any person who willfully or maliciously damages the appliances or any person who fails to comply with this Act or the rules adopted under this Act.

Section 105. Electrical outlets. Electrical outlets for each individual site shall be provided, and the installation of those outlets shall be in accordance with all State or local codes and ordinances.

Section 110. Fire safety. All private water supply systems and hydrants for fire safety purposes shall be maintained in operable condition and good repair as defined by the State Fire Marshal or tiny home park licensing agency. A tiny home park that does not have a private water supply system and hydrants shall have an agreement, approved by the State Fire Marshal or licensing agency in consultation with the municipal fire department or the local fire protection district, to provide an adequate and reliable water supply for fire mitigation needs. This agreement shall be signed and dated by the tiny home park operator and the local fire chief. Certification that this agreement exists shall be signed by the tiny home park operator and the local fire chief, and submitted with each application for original licensure or licensure renewal required under Section 30. A copy of this agreement shall be on file at the local fire department or fire protection district and posted in public view at the tiny home park site by the tiny home park operator, and shall be available for inspection.

The municipal fire department or fire protection district that has jurisdictional responsibility for responding to a fire call in a tiny home park shall annually inspect the tiny home park in accordance with the applicable tiny home park fire protection standards. If, upon inspection, the municipal fire department or fire protection district finds that a tiny home park does not meet the applicable fire protection standards, the municipal fire department or fire protection district shall give, within 5 working days of the inspection, a written notice of violation to the tiny home park operator and to the Department of Public Health describing any violation or required modification or repair. The tiny home park operator has 30 days after receipt of the written notice to correct the violation or make the required modification or repair. Not less than 30 days after the tiny home park operator's receipt of the notice, the municipal fire department or fire protection district shall reinspect the tiny home park and issue a written reinspection report to the tiny home park operator and to the Department of Public Health concerning the status of the tiny home park operator's compliance with the notice and whether any violation still exists. If the municipal fire department or fire protection district determines on reinspection that a tiny home park operator has made a good faith and substantial effort to comply with the notice but that compliance is not complete, the municipal fire department or fire protection district may grant the tiny home park operator an extension of time for compliance, as it deems fit, by a written notice of extension of time for compliance issued within 5 working days after the reinspection that identifies what remains to be corrected, modified, or repaired and provides a date by which compliance must be achieved. If an extension is granted, the municipal fire department or fire protection district shall make another inspection within 10 days after the date set for compliance and issue a final written report to the tiny home park operator and the Department of Public Health concerning the status of the tiny home park operator's compliance with the notice, written report, and written notice of extension of time for compliance and whether a violation still exists. If a tiny home park operator fails to cure the violation or comply with the requirements stated in the notice of violation, or if a written notice of extension of time for compliance is issued and the final written report states that a violation still exists, the municipal fire department or fire protection district shall notify the Department of Public Health of the tiny home park operator's failure to comply with the notice of violation and the written report and shall deliver to the Authority for purposes of enforcement under this Section copies of all written notices and reports concerning the violation.

Upon receipt of the written reports concerning the violation, the Authority shall issue to the tiny home park operator a notice of intent to assess civil penalties in the amount of $500 per day, per violation for noncompliance with the written notice of violation issued by the municipal fire department or fire protection district and shall provide the tiny home park operator with the opportunity for an administrative hearing under Section 145.

Notwithstanding any other provision of this Section, the enforcement of home rule ordinances and regulations shall be by the appropriate local authorities, including local public health departments, municipal attorneys, and State's Attorneys. A home rule unit may not regulate the legal rights, remedies, and obligations of a tiny home park operator under this Section in a manner less restrictive than the regulation by the State of fire safety in a tiny home park under this Section. This Section is a limitation under subsection (i) of Section 6 of Article VII of the Illinois Constitution on the concurrent exercise by home rule units of powers and function exercised by the State.

Section 115. Condition of supplied facilities and equipment. If community kitchens, dining rooms, laundries, or other facilities are provided, the facilities and equipment supplied must be maintained in a sanitary condition and kept in good repair, and subject to the rules adopted by the Authority.

Section 120. Retention of originals; notification to municipalities; forms for permits. If the Authority has approved an application for a permit to construct a tiny home park or appurtenances to a tiny home park or a license to maintain and operate a tiny home park, it shall retain the original and keep a file containing the application. The Authority shall notify the clerk of the municipality if the tiny home park is located within the limits of a municipality or the county clerk if the tiny home park is located outside the limits of a municipality of all approved applications for construction of tiny home parks or expansion of licensed tiny home parks.

The Authority shall draft and supply all forms and blanks and specify the number and detail necessary to obtain permits to construct or make alterations upon tiny home parks, and for a license to maintain and operate a tiny home park according to this Act.

Section 125. Records. The Authority shall keep a record of all tiny home parks. The records shall show the names and addresses of all tiny home parks, the names and addresses of the licensees, the number of tiny homes in each tiny home park, the source of water supply for the tiny home park, the system of sewage and garbage disposal for the tiny home park, and any other information desired by the Authority.

The Authority shall supply licensees of all tiny home parks with the health rules that pertain to the tiny home park and that have been adopted by the Authority, and any amendments that may be made from time to time to those rules. The rules shall be posted by the management of the tiny home park in a protected, conspicuous place within the tiny home park.

Section 130. Licensure by county or municipality. In addition to the license required under Section 15, any county or municipality in this State may provide for the licensing of a tiny home park within its corporate limits; however, the license shall not serve to exempt the tiny home park from the license and fee required under Section 15, and the county or municipality shall not charge a fee greater than $500 per calendar year for the municipal or county license.

Section 135. Enforcement. The Authority shall enforce the provisions of this Act and the rules adopted under this Act affecting health, sanitation, water supply, sewage, garbage, fire safety, and waste disposal, and the Authority shall inspect, at least once each year, each tiny home park and all its accommodations and facilities. The officials or officers are granted the power and authority to enter upon the premises of tiny home parks at any time for the purposes set forth in this Act.

The Authority may issue rules to carry out the provisions of this Act. The rules may contain provisions for the Authority to grant a waiver to a tiny home park, if the intent and purpose of the Act are met.

The Authority is empowered to assess civil penalties for violations of Section 110. Civil penalties in the amount of $500 per day, per violation shall be assessed for noncompliance with the written notice of violation issued by a municipal fire department or fire protection district. An additional civil penalty of $500 per day of violation shall be assessed against a tiny home park operator who knowingly rents or offers for rent a tiny home or tiny home site without taking appropriate corrective action to remedy a notice of violation issued by a municipal fire department or fire protection district. The first day of violation for purposes of assessing a fine shall be the date of the tiny home park operator's receipt of the written report following the reinspection, if the written report states that a violation still exists. If a written notice of extension of time for compliance is issued and the final written report states that a violation still exists, the first day of violation for purposes of assessing a fine shall be the date of the tiny home park operator's receipt of the final written report. The Authority shall deposit all fees and fines collected under this Act into the Facility Licensing Fund. Moneys in the Fund, subject to appropriation, shall be used for the enforcement of this Act.

In the administration and enforcement of this Act, the Authority may designate and use full-time city or county health departments as its agents in making inspections and investigations.

Section 140. Hearing. Any person refused a permit to construct or a license or any person whose license is suspended or revoked shall have the right to a hearing before the Authority. A written notice of a request for a hearing shall be served upon the Authority within 20 days of the refusal of a permit to construct or alter, the refusal of a license, or the suspension or revocation of a license. The Director shall give written notice of the decision, by registered mail, to the tiny home park operator or the applicant within 5 days of the refusal, suspension, or revocation.

The hearing shall be conducted by the Director or a duly qualified employee of the Authority designated in writing by the Director as a hearing officer.

The Director or hearing officer may compel by subpoena or subpoena duces tecum the attendance and testimony of witnesses and the production of books and papers, and administer oaths to witnesses. The hearing shall be conducted at a place as designated by the Authority. The Director shall give written notice of the time and place of hearing, by registered mail, to the tiny home park operator or license applicant at least 10 days before the hearing.

The Director or hearing officer shall permit the tiny home park operator or applicant to appear in person and to be represented by counsel at the hearing at which time the tiny home park operator or applicant shall be afforded an opportunity to present all relevant matter in support of the application for license or renewal of license or in resisting the revocation of a license.

If any party or the Authority is unable to procure the attendance of witnesses to give testimony or produce books and papers, a party or the Authority may take the deposition of witnesses in accordance with the law pertaining to the taking of depositions in civil cases in the circuit courts of this State. All testimony taken at a hearing shall be reduced to writing, and all testimony and other evidence introduced at the hearing shall constitute a part of the record of the hearing.

The Director shall make findings of fact in the hearing, and the Director shall render a decision within 30 days after the termination of the hearing, unless additional time is required by the Director for a proper disposition of the matter. When the hearing has been conducted by a hearing officer, the Director shall review the record before rendering a decision. It shall be the duty of the Director to forward a copy of the decision, by registered mail, to the tiny home park operator or applicant within 5 days of rendering the decision.

Technical errors in the proceeding before the Director or hearing officer or the failure of the Director or hearing officer to observe the technical rules of evidence shall not constitute grounds for the reversal of any administrative decision unless it appears to the court that the error or failure materially affects the rights of any party and results in substantial injustice to the party.

All subpoenas issued by the Director or hearing officer may be served as provided for in civil actions. The fees of witnesses for attendance and travel shall be the same as the fees for witnesses before the circuit court and shall be paid by the party to a proceeding at whose request the subpoena is issued. If a subpoena is issued at the request of the Authority, the witness fee shall be paid as an administrative expense.

In cases of refusal of a witness to attend or testify, or to produce books or papers, concerning any matter upon which the witness might be lawfully examined, the circuit court of the county where the hearing is held, upon application of any party to the proceeding, may compel obedience by proceeding for contempt as in cases of a like refusal to obey a similar order of the court.

The Authority shall not be required to certify any record or file any answer or otherwise appear in any proceeding for judicial review unless the party filing the complaint deposits with the clerk of the court the sum of $0.95 per page representing costs of the certification. Failure on the part of the plaintiff to make the deposit shall be grounds for dismissal of the action.

Section 145. Illinois Administrative Procedure Act. The provisions of the Illinois Administrative Procedure Act are hereby expressly adopted and shall apply to all administrative rules and procedures of the Department of Public Health under this Act, except that in case of conflict between the Illinois Administrative Procedure Act and this Act the provisions of this Act shall control, and except that Section 5-35 of the Illinois Administrative Procedure Act relating to procedures for rulemaking does not apply to the adoption of any rule required by federal law in connection with which the Authority is precluded by law from exercising any discretion.

Section 150. Administrative Review Law. The Administrative Review Law and the rules adopted pursuant to the Administrative Review Law shall apply to and govern all proceedings for judicial review of final administrative decisions of the Authority under this Act.

Section 155. Validity. If any one or more of the provisions of this Act is declared unconstitutional or the application thereof is held invalid, the validity of the remainder of the Act and the application of the provisions to other persons and circumstances shall not be affected thereby.