
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF ILLINOIS
UNITED STATES OF AMERICA,
Plaintiff,
v.
ORCHARD HILL BUILDING CO, INC.;
ORCHARD HILL CONSTRUCTION, LLC;
THE LINDEN GROUP, INC.;
and WILLIAM K. OLSON
ASSOCIATES,
Defendants.
__________________________________
CONSENT DECREE
The United States files this Consent Decree simultaneously
with its Complaint against Orchard Hill Building Co., Inc.
(OHBC), Orchard Hill Construction, LLC (Orchard Hill), The Linden
Group, Inc. (Linden), and William K. Olson Associates, L.L.C.
(Olson) (collectively referred to as defendants), alleging
violations of Section 804(f)(3)(C) of the Fair Housing Act, 42
U.S.C. § 3604(f)(3)(C), as amended by the Fair Housing Amendments
Act of 1988, 42 U.S.C. §§ 3601-3619 (the Act).
OHBC is the developer of Creekside of Spring Creek
(Creekside), a development consisting of, inter alia,
condominiums and "ranch style" (single level) townhomes, located
at 14008 Norwich Lane, Orland Park, Illinois 60462. OHBC is also
the developer of Covington Knolls, a development consisting,
inter alia, of ranch style townhomes, located north of 127th
Street, Lemont, Illinois. Linden is the architectural firm which
designed the condominiums at Creekside. Olson is the
architectural firm which designed the townhomes at Creekside and
Covington Knolls. Orchard Hill is now performing the home
building activities previously performed by OHBC.
The United States' Complaint alleges that the defendants
have engaged in a pattern or practice of discrimination against
persons with disabilities by failing to design and construct
Creekside and Covington Knolls with the features of accessible
and adaptable design set forth in 42 U.S.C. § 3604(f)(3)(C).
Creekside is a housing development that, when completed,
will be comprised of 367 dwelling units - 271 single family
dwellings, sixty condominium units, and thirty-six townhomes,
some of which are ranch style. The condominium units are located
in five, three-story elevator buildings. The townhomes are
located in eight separate buildings. Seventy-eight of the 367
units at Creekside (sixty condominium units and eighteen ranch
style towmhomes) are "covered" units within the meaning of the
Act 42 U.S.C. § 3604(f)(7)(A).
Covington Knolls is a housing development that, when
completed, will be comprised of 424 single family, detached homes
and seventy-four townhomes, some of which will be ranch style.
The first phase of the town home area at Covington Knolls
includes sixteen ranch style townhomes in three and four unit
clusters. Fourteen of the sixteen ranch style townhomes in phase
one of Covington Knolls are also "covered" units within the
meaning of the Act 42 U.S.C. § 3604(f)(7)(A).
In general, the Act requires that, for buildings with four
or more units, all units in elevator buildings and all ground
floor units in non-elevator buildings include certain basic
accessibility and adaptability design features intended to make
housing usable or adaptable by a person who is or who becomes
disabled.
The design requirements under the Act include: (a) public
use and common use areas that are readily accessible to and
usable by persons with disabilities; (b) doors designed to allow
passage into and within all premises that are sufficiently wide
to allow passage by persons in wheelchairs; (c) an accessible
route into and through the dwelling; (d) light switches,
electrical outlets, thermostats and environmental controls in
accessible locations; (e) reinforcements in bathroom walls to
allow later installation of grab bars; and (f) usable kitchens
and bathrooms such that an individual in a wheelchair can
maneuver about the space.
The United States alleges that as originally designed,
twenty-four of the sixty condominium units and ten of the
eighteen covered townhomes at Creekside, as well as six of the
fourteen covered townhomes in phase one at Covington Knolls did
not comply with the requirements of 42 U.S.C. § 3604(f)(3)(C) and
were constructed pursuant to the original designs. None of those
units, (a total of forty), as designed and constructed, comply
with the requirements of 42 U.S.C. § 3604(f)(3)(C).
For instance, the United States alleges in its Complaint
that, as originally designed and constructed: (1) the entrances
to the ranch style townhomes and most of the condominium
buildings are inaccessible; (2) most of the doors in the
individual condominium units and some of the doors in the ranch
style townhomes are not sufficiently wide to allow passage by
persons in wheelchairs; (3) the thermostats in the ranch style
townhomes are inaccessible; (4) no reinforcements are provided in
bathroom walls in the condominium units or ranch style townhomes
to allow later installation of grab bars; and (5) bathrooms and
kitchens in some of the condominium units are not usable such
that an individual in a wheelchair can maneuver about the space.
The parties agree that this Court has jurisdiction over the
subject matter of this case. Defendants do not admit that they
failed to design and construct the condominium units at Creekside
and the ranch style townhomes at Creekside and Covington Knolls
in compliance with the Act. The parties agree that the
controversy should be resolved without further proceedings and
without an evidentiary hearing. Therefore, the parties have
consented to the entry of this Consent Decree as indicated by the
signatures appearing below.
It is hereby ORDERED, ADJUDGED and DECREED:
Defendants, their officers, employees, agents, successors
and assigns and all other persons in active concert or
participation with any of them are permanently enjoined from
discriminating on the basis of disability as prohibited by the
Fair Housing Act, 42 U.S.C. § 3604(f)(3)(C), and as set forth in
the Fair Housing Accessibility Guidelines, 56 Fed. Reg. 9472
(1991) (the Guidelines).
- NON-DISCRIMINATION IN FUTURE DESIGN AND CONSTRUCTION
- Every year for four years from the date of entry of
this Consent Decree, defendant Orchard Hill shall, for the
covered, multi-family dwellings it intends to develop or build,
and for which zoning approval and issuance of building permits
for construction have been obtained, submit to counsel for the
United States the following information: (1) the name of the
architect and site engineer, (2) the name and address of the
project, (3) a description of the project and the individual
units, and (4) a statement by a licensed architect who knows the
requirements of § 3604(f)(3)(C) of the Act, which statement (a)
describes the architect's knowledge and training in the field of
accessible design, and (b) certifies that the architect has
reviewed the plans and ascertained that they appear to include
design specifications that fully comply with the requirements of
the Act to the best of the architect's knowledge and belief.
- Every year for four years from the date of entry of this
Consent Decree, defendant Linden shall, regarding any covered,
multi-family projects which defendant Linden has designed, submit
to counsel for the United States the following information: (1)
the name of the builder or developer, (2) the name and address
of the project, (3) a description of the project and the
individual units, and (4) a written certification that it has
reviewed the plans and that the plans include design
specifications that fully comply with the requirements of the Act
and the Guidelines.
- Every year for four years from the date of entry of this
Consent Decree, defendant Olson shall, regarding any covered,
multi-family projects which defendant Olson has designed, submit
to counsel for the United States the following information: (1)
the name of the builder or developer, (2) the name and address
of the project, (3) a description of the project and the
individual units, and (4) a written certification that it has
reviewed the plans and that the plans include design
specifications that fully comply with the requirements of the Act
and the Guidelines.
- MODIFICATION OF EXISTING NON-COMPLYING UNITS
- Defendant Orchard Hill shall, no later than 30 days
after the date of entry of this Consent Decree and then again two
years after, mail by certified mail, return receipt requested, to
the owners and/or occupants of the twenty-four allegedly non-complying condominium units and the ten allegedly non-complying
townhomes at Creekside, as well as to the owners of the six
allegedly non-complying townhomes at Covington Knolls, a letter,
as applicable, (attached as Appendices A and B), informing the
owner that he or she has 45 days to elect to have any of the
modifications specified therein made to his or her unit at
defendants' expense.
- Defendants shall complete the requested modifications
referred to in subparagraph A above no later than 90 days after
the owners' 45-day election period has expired.
- Defendants' total expenditures in making all
modifications under this section shall not exceed the following:
- As to the condominiums at Creekside, the cap on
expenditures shall be THIRTY THOUSAND DOLLARS
($30,000); and
- As to the townhomes, at Creekside and Covington
Knolls, the cap on the expenditures shall be
TWENTY THOUSAND DOLLARS ($20,000).
- DAMAGES TO IDENTIFIED VICTIMS OF DISCRIMINATION
- Defendant Orchard Hill shall, no later than 30 days
after the date of entry of this Consent Decree, give the United
States identifying information in its possession about 1) the
persons who, between July 1, 1996, and December 1, 1996, visited
a covered, multi-family unit or model, or inquired about covered,
multi-family dwellings at Creekside and Covington Knolls, and 2)
the persons who purchased a covered allegedly non-compliant unit.
- The United States may contact these persons by mailing
to them a letter (attached as Appendix C). No later than 90 days
after defendants have given the identifying information to the
United States, the United States shall give defendants a list of
the persons the United States has determined, pursuant to
subparagraph C below, to be aggrieved persons and indicating the
amount of compensation to be paid by defendants to each such
person. No later than ten (10) days after having received the
list of aggrieved persons, and fully executed releases and
declarations, defendants shall deliver to the United States
certified or cashier's checks payable to each aggrieved person in
the amount indicated. Before forwarding these checks to the
aggrieved persons, the United States shall obtain from each
aggrieved person a written release of all claims, legal or
equitable, that the aggrieved person might have against
defendants relating to the claims asserted in this lawsuit, and a
declaration under penalty of perjury attesting to the
discrimination the aggrieved person has allegedly suffered. No
person shall be paid any amount pursuant to this paragraph before
he or she has executed the release and declaration and the same
have been received by the United States. The United States shall
furnish the defendants with the releases and declarations
received from the aggrieved persons.
- The United States shall, using the following
guidelines, and in its sole and unreviewable discretion, identify
aggrieved persons:
- The aggrieved person was, at the time of his or
her expressed interest in Creekside or Covington Knolls,
able and willing to purchase a covered or allegedly covered
unit at Creekside or Covington Knolls and was discouraged
from doing so due to the lack of accessibility features
required under 42 U.S.C. § 3604(f)(3)(C); or
- The aggrieved person, at his or her own expense,
modified his or her dwelling at Creekside or Covington
Knolls to add one or more of the accessibility features
required under 42 U.S.C. § 3604(f)(3)(C), or otherwise
suffered injuries due to the lack of such accessibility
features at Creekside or Covington Knolls.
- No aggrieved person shall be entitled to receive more
than TWENTY-FIVE HUNDRED DOLLARS ($2,500), and the total
compensation for which defendants shall be liable under this
section shall not exceed TWENTY THOUSAND DOLLARS ($20,000).
- CONSTRUCTION OF NEW, COMPLIANT HOUSING
- To avoid future expense and litigation, compromise a
disputed claim, and provide additional dwellings that are usable
by and adaptable for persons with disabilities where none would
have been required under the Act, defendants shall, within the
term of this Consent Decree, construct forty dwelling units in
compliance with the requirements of 42 U.S.C. § 3604(f)(3)(C),
which units would not be considered "covered multifamily
dwellings" within the meaning of 42 U.S.C. § 3604(f)(7)
(replacement units). Up to 25% of the replacement units may be
multi-story dwellings that would not be "covered multifamily
dwellings," provided that their ground floors contain at least
one bedroom and one full bathroom. In such a case, only the
ground floors need comply with 42 U.S.C. § 3604(f)(3)(C).
- In the event that defendants are unable to construct
compensating units referred to in subparagraph A above within the
term of this Consent Decree, defendants shall place EIGHTY
THOUSAND DOLLARS ($80,000), proportionately reduced for each
compensating unit constructed, into a fund to be administered in
accordance with Appendix D.
No later than 60 days after the date of entry of this
Consent Decree, defendant Orchard Hill shall provide to all its
management and supervisory personnel involved in the design and
construction of multi-family dwellings covered by the Act a copy
of this Consent Decree and training on 1) its requirements, 2)
the requirements of the Act relating to design and construction,
and 3) the trainee's particular responsibilities and obligations
under the Decree and the Act. The training shall be conducted by
a qualified person or organization of defendant's choice
approved by the United States. Any expenses associated with this
training shall be borne by defendant. All new management or
supervisory personnel involved in the design and construction of
multi-family dwellings covered by the Act employed by defendant
during the term of this Decree must comply with the above
requirements no later than 30 days after the date he or she
commences employment. No later than 30 days after the completion
of the training, defendant Orchard Hill shall secure and retain a
signed statement from each such manager or supervisor attesting
that he or she has received, read, and understands this Decree
and has completed the training.
- NOTICE TO THE PUBLIC OF DEFENDANTS' NON-DISCRIMINATION POLICY
- No later than 10 days after the date of entry of this
Consent Decree, defendant Orchard Hill shall post and prominently
display in the sales or rental offices of all covered, multi-family housing units owned or operated by it, a sign no smaller
than 10 by 14 inches indicating that all dwellings are available
for sale or rental on a nondiscriminatory basis. Defendant
Orchard Hill shall also post such a sign in the sales or rental
office of any other covered, multi-family housing units developed
or acquired by it during the effective period of this Consent
Decree. A poster that comports with 24 C.F.R. Part 110 will
satisfy this requirement.
- For the duration of this Consent Decree, in all
advertising in newspapers, and on pamphlets, brochures, and other
promotional literature regarding any covered, multi-family
dwellings designed or constructed by defendants, defendants shall
place in a conspicuous location a statement indicating that the
dwelling units meet the accessibility features for persons with
disabilities required by the federal Fair Housing Act.
- REPORTING AND DOCUMENT RETENTION REQUIREMENTS
- No later than 60 days after the entry of this Consent
Decree, defendant Orchard Hill shall submit to counsel for the
United States initial reports containing the following:
- A certification listing the names and addresses of
the persons to whom letters have been sent and from whom
return receipts have been received pursuant to section III;
and
- Signed statements of current management and
supervisory personnel involved in the design and
construction of multi-family dwellings covered by the Act
who have completed the educational program pursuant to
section VI.
- Six months after the entry of this Consent Decree, and
every one year thereafter for the duration of this Consent
Decree, each defendant shall submit to counsel for the United
States reports containing information and certifications for new
construction pursuant to section II.
- In addition to the information required in subparagraph
B above, defendant Orchard Hill shall also submit the following:
- Signed statements of new management and
supervisory personnel involved in the design and
construction of multi-family dwellings covered by the Act
who have completed the educational program during the most
recent reporting period pursuant to section VI; and
- For the first report only, a list of the persons
who elected to have modifications made to their dwellings
pursuant to section III, itemizing for each the
modifications elected, the cost of each modification, and
including supporting documentation.
- Defendants shall advise counsel for the United States
in writing no later than 30 days after receipt of any written
administrative or legal complaint against them, or against any of
their employees or agents, regarding an alleged violation of 42
U.S.C. § 3604(f)(c)(3) relating to units designed and constructed
after the date of this Consent Decree. Defendants shall also
promptly provide the United States all information it may request
concerning any such complaints.
- For the term of this Consent Decree, defendants are
required to preserve all records related to this Consent Decree
for all properties designed, constructed, owned, operated, or
acquired by it. Upon reasonable notice, representatives of the
United States shall be permitted to inspect and copy any such
records related to any developments or residential units under
defendants' control covered by the Act bearing on compliance with
this Consent Decree at any and all reasonable times, provided,
however, that the United States shall endeavor to minimize any
inconvenience from such inspections.
- DURATION OF DECREE AND TERMINATION OF LEGAL ACTION
- This Consent Decree shall remain in effect for four
years after the date of its entry.
- The United States' Complaint shall be dismissed with
prejudice, but the Court shall retain the right, upon petition by
the United States or defendants at any time during the duration
of this Decree, to reopen the case for the purpose of enforcing
the Decree. The parties to this Consent Decree shall endeavor in
good faith to resolve informally any differences regarding
interpretation of and compliance with this Decree prior to
bringing such matters to the Court for resolution.
Any time limits for performance imposed by this Consent
Decree may be extended by the mutual agreement of the parties.
Each party to this litigation will bear its own costs and
attorney's fees associated with this litigation.
It is so ORDERED this________ day of ________________ 1999.
________________________________
United States District Judge
Agreed to by the parties as indicated by the signatures of counsel below:
FOR THE PLAINTIFF UNITED STATES:
_______________________________
JOAN MAGAGNA
Chief
BRIAN F. HEFFERNAN
Deputy Chief
SUNNY E. PIETRAFESA
Attorney
Housing and Civil Enforcement Section
Civil Rights Division
Department of Justice
P.O. Box 65998
Washington, D.C. 20035-5998
202-616-2217
Date:____________________
FOR DEFENDANTS ORCHARD HILL BUILDING CO., INC. and ORCHARD HILL
CONSTRUCTION, LLC:
_____________________________
KENNETH C. SHEPRO
F. JOHN MCGINNIS
Altheimer & Gray
10 South Wacker Drive
Chicago, IL 60606-7482
312-715-4630
Date:_____________________
FOR DEFENDANT THE LINDEN GROUP, INC.:
________________________________
JEFFREY KUBES
Quinlan and Crisham, Ltd.
30 North LaSalle Street
Chicago, Illinois 60602
312-917-8484
FOR DEFENDANT WILLIAM K. OLSON ASSOCIATES:
________________________________
KIRSTEN OLSON
Kirsh & Berman, Ltd.
10 S. LaSalle Street, Suite 2424
Chicago, IL 60603
312-782-3020
708-848-0700