What Should Illinois HOAs Know About Special Assessments?

 Posted on August 06, 2026 in Condominium & Homeowner Association Law

Illinois HOAs need to know that special assessments are legal tools used to cover unexpected or large expenses beyond what regular dues can handle. They must be approved and issued following specific procedures to avoid legal challenges from homeowners. Getting the process right matters just as much as identifying the need for extra funds. If your association is considering a special assessment in 2026, our Cook County HOA lawyers can help make sure the process is handled correctly from start to finish.

What Is a Special Assessment in an Illinois HOA?

A special assessment is an additional fee charged to homeowners beyond their regular dues. It's typically used to cover costs that the association's reserve funds can't fully absorb. Common reasons for a special assessment include major repairs, unexpected legal expenses, or capital improvements that weren't budgeted for in advance.

Under the Illinois Common Interest Community Association Act, 765 ILCS 160, associations have the authority to levy special assessments. This authority isn't unlimited, though. The specific rules governing when and how an assessment can be issued usually come from the association's own governing documents, including its declaration and bylaws.

How Is a Special Assessment Different From Regular HOA Dues?

Regular dues are predictable, recurring payments that cover the ongoing costs of running the association. This includes things like landscaping, insurance, and routine maintenance.

A special assessment is a one-time or limited-time charge meant to address a specific need. That need falls outside normal operating expenses. Special assessments are less predictable, so they often catch homeowners off guard. This can lead to frustration if not communicated clearly.

What Steps Should an HOA Follow Before Issuing a Special Assessment?

Following the right process protects both the association and its board members from legal challenges down the road. Important steps typically include:

• Reviewing the association's governing documents for specific rules about special assessments
• Holding a proper board meeting with plenty of notice
• Obtaining the required vote, whether from the board alone or from the full membership
• Clearly documenting the reason for the assessment and how the funds will be used
• Providing written notice to all homeowners before the assessment takes effect

Skipping any of these steps can open the door to homeowners disputing the assessment, even if the underlying need for funds was legitimate.

Does an Illinois HOA Need Homeowner Approval for a Special Assessment?

Whether you need homeowner approval depends on the association's governing documents and the size of the assessment. Many declarations require board approval alone for smaller assessments. Larger assessments above a certain dollar threshold often require a vote of the full membership. Boards should review their specific declaration carefully. Assuming board approval is sufficient when membership approval is actually required can invalidate the entire assessment.

What Happens if the Proper Approval Process Isn't Followed?

If an association issues a special assessment without following the required approval process, homeowners may have grounds to challenge the assessment in court. This can delay urgently needed repairs and create costly legal disputes. This is why many associations choose to involve an attorney early when a significant assessment is being considered.

Can Homeowners Refuse to Pay an HOA Special Assessment?

As long as the assessment was properly authorized under the association's governing documents and Illinois law, homeowners generally have to pay. Once a special assessment is validly issued, it becomes a binding obligation.

Homeowners who refuse to pay may face late fees and interest charges. In some cases, a lien can be placed on their property. However, homeowners may have legal grounds to dispute the assessment if they believe it wasn't properly authorized. This is another reason why following the correct procedures is so important.

How Can an HOA Communicate a Special Assessment Effectively?

Clear communication can significantly reduce homeowner pushback. Associations should explain why the assessment is necessary and how the amount was calculated. They should also explain what will happen if the funds aren't collected. Offering a payment plan when possible can ease the financial burden on homeowners. This can also reduce the likelihood of non-payment or disputes.

Contact Our Arlington Heights, IL Condominium and Homeowner Association Law Attorneys

At Dickler, Kahn, Slowikowski & Zavell, Ltd., our attorneys have over 150 years of combined legal experience. We understand the unique challenges Illinois HOA boards face when navigating special assessments and other association matters. We work closely with boards and property managers to make sure every assessment is properly authorized, clearly documented, and legally sound from the start.

Contact Dickler, Kahn, Slowikowski & Zavell, Ltd. at 847-593-5595 to talk to our Cook County HOA lawyers today.