97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
SB1583

 

Introduced 2/9/2011, by Sen. Mike Jacobs

 

SYNOPSIS AS INTRODUCED:
 
40 ILCS 5/9-169  from Ch. 108 1/2, par. 9-169

    Amends the Cook County Article of the Illinois Pension Code. Deletes a prohibition on the use of county funds, other than those funds raised by the tax levied by the county under that Article, in order to make the required contribution by the county. Provides that, in lieu of levying all or a portion of the required tax in any year, the county may deposit with the county treasurer no later than March 1 of that year for the benefit of the Cook County Employees' and Officers' Annuity and Benefit Fund an amount that, together with the levied tax for that year, is not less than the amount of the county's contribution for that year, as certified to the county board by the Board of Trustees of the Cook County Employees' and Officers' Annuity and Benefit Fund. Authorizes the deposit to be derived from any source legally available for that purpose, including, but not limited to, the proceeds of county borrowings. Provides that such a deposit shall, to the extent of the amounts so deposited, satisfy the requirement to levy a tax for that year. Limits the concurrent exercise of home rule powers. Effective immediately.


LRB097 07604 JDS 47715 b

FISCAL NOTE ACT MAY APPLY
HOME RULE NOTE ACT MAY APPLY
HOUSING AFFORDABILITY IMPACT NOTE ACT MAY APPLY
PENSION IMPACT NOTE ACT MAY APPLY

 

 

A BILL FOR

 

SB1583LRB097 07604 JDS 47715 b

1    AN ACT concerning public employee benefits.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Pension Code is amended by changing
5Section 9-169 as follows:
 
6    (40 ILCS 5/9-169)  (from Ch. 108 1/2, par. 9-169)
7    Sec. 9-169. Financing - Tax levy.
8    (a) The county board shall levy a tax annually upon all
9taxable property in the county at the rate that will produce a
10sum which, when added to the amounts deducted from the salaries
11of the employees or otherwise contributed by them is sufficient
12for the requirements of this Article.
13    For the years before 1962 the tax rate shall be as provided
14in "The 1925 Act". For the years 1962 and 1963 the tax rate
15shall be not more than .0200 per cent; for the years 1964 and
161965 the tax rate shall be not more than .0202 per cent; for
17the years 1966 and 1967 the tax rate shall be not more than
18.0207 per cent; for the year 1968 the tax rate shall be not
19more than .0220 per cent; for the year 1969 the tax rate shall
20be not more than .0233 per cent; for the year 1970 the tax rate
21shall be not more than .0255 per cent; for the year 1971 the
22tax rate shall be not more than .0268 per cent of the value, as
23equalized or assessed by the Department of Revenue upon all

 

 

SB1583- 2 -LRB097 07604 JDS 47715 b

1taxable property in the county. Beginning with the year 1972
2and for each year thereafter the county shall levy a tax
3annually at a rate on the dollar of the value, as equalized or
4assessed by the Department of Revenue of all taxable property
5within the county that will produce, when extended, not to
6exceed an amount equal to the total amount of contributions
7made by the employees to the fund in the calendar year 2 years
8prior to the year for which the annual applicable tax is levied
9multiplied by .8 for the years 1972 through 1976; by .8 for the
10year 1977; by .87 for the year 1978; by .94 for the year 1979;
11by 1.02 for the year 1980 and by 1.10 for the year 1981 and by
121.18 for the year 1982 and by 1.36 for the year 1983 and by 1.54
13for the year 1984 and for each year thereafter.
14    This tax shall be levied and collected in like manner with
15the general taxes of the county, and shall be in addition to
16all other taxes which the county is authorized to levy upon the
17aggregate valuation of all taxable property within the county
18and shall be exclusive of and in addition to the amount of tax
19the county is authorized to levy for general purposes under any
20laws which may limit the amount of tax which the county may
21levy for general purposes. The county clerk, in reducing tax
22levies under any Act concerning the levy and extension of
23taxes, shall not consider this tax as a part of the general tax
24levy for county purposes, and shall not include it within any
25limitation of the per cent of the assessed valuation upon which
26taxes are required to be extended for the county. It is lawful

 

 

SB1583- 3 -LRB097 07604 JDS 47715 b

1to extend this tax in addition to the general county rate fixed
2by statute, without being authorized as additional by a vote of
3the people of the county.
4    Revenues derived from this tax shall be paid to the
5treasurer of the county and held by him for the benefit of the
6fund.
7    If the payments on account of taxes are insufficient during
8any year to meet the requirements of this Article, the county
9may issue tax anticipation warrants against the current tax
10levy.
11    (b) By January 10, annually, the board shall notify the
12county board of the requirement of this Article that this tax
13shall be levied. The board shall make an annual determination
14of the required county contributions, and shall certify the
15results thereof to the county board.
16    (c) The various sums to be contributed by the county board
17and allocated for the purposes of this Article and any interest
18to be contributed by the county shall be taken from the revenue
19derived from this tax or as otherwise provided in this Section
20and no money of the county derived from any source other than
21the levy and collection of this tax or the sale of tax
22anticipation warrants, except state or federal funds
23contributed for annuity and benefit purposes for employees of a
24county department of public aid under "The Illinois Public Aid
25Code", approved April 11, 1967, as now or hereafter amended,
26may be used to provide revenue for the fund.

 

 

SB1583- 4 -LRB097 07604 JDS 47715 b

1    If it is not possible or practicable for the county to make
2contributions for age and service annuity and widow's annuity
3concurrently with the employee contributions made for such
4purposes, such county shall make such contributions as soon as
5possible and practicable thereafter with interest thereon at
6the effective rate until the time it shall be made.
7    (d) With respect to employees whose wages are funded as
8participants under the Comprehensive Employment and Training
9Act of 1973, as amended (P.L. 93-203, 87 Stat. 839, P.L.
1093-567, 88 Stat. 1845), hereinafter referred to as CETA,
11subsequent to October 1, 1978, and in instances where the board
12has elected to establish a manpower program reserve, the board
13shall compute the amounts necessary to be credited to the
14manpower program reserves established and maintained as herein
15provided, and shall make a periodic determination of the amount
16of required contributions from the County to the reserve to be
17reimbursed by the federal government in accordance with rules
18and regulations established by the Secretary of the United
19States Department of Labor or his designee, and certify the
20results thereof to the County Board. Any such amounts shall
21become a credit to the County and will be used to reduce the
22amount which the County would otherwise contribute during
23succeeding years for all employees.
24    (e) In lieu of establishing a manpower program reserve with
25respect to employees whose wages are funded as participants
26under the Comprehensive Employment and Training Act of 1973, as

 

 

SB1583- 5 -LRB097 07604 JDS 47715 b

1authorized by subsection (d), the board may elect to establish
2a special County contribution rate for all such employees. If
3this option is elected, the County shall contribute to the Fund
4from federal funds provided under the Comprehensive Employment
5and Training Act program at the special rate so established and
6such contributions shall become a credit to the County and be
7used to reduce the amount which the County would otherwise
8contribute during succeeding years for all employees.
9    (f) In lieu of levying all or a portion of the tax required
10under this Section in any year, the county may deposit with the
11county treasurer no later than March 1 of that year for the
12benefit of the fund, to be held in accordance with this
13Article, an amount that, together with the taxes levied under
14this Section for that year, is not less than the amount of the
15county contributions for that year as certified by the board to
16the county board. The deposit may be derived from any source
17legally available for that purpose, including, but not limited
18to, the proceeds of county borrowings. The making of a deposit
19shall satisfy fully the requirements of this Section for that
20year to the extent of the amounts so deposited. Amounts
21deposited under this subsection may be used by the fund for any
22of the purposes for which the proceeds of the tax levied under
23this Section may be used, including the payment of any amount
24that is otherwise required by this Article to be paid from the
25proceeds of that tax.
26    (g) A home rule unit, including a county, may not regulate

 

 

SB1583- 6 -LRB097 07604 JDS 47715 b

1the levy of a tax under this Section in a manner that is
2inconsistent with the regulation by the State of the levy of
3such a tax under this Section. This subsection (g) is a
4limitation under subsection (i) of Section 6 of Article VII of
5the Illinois Constitution on the concurrent exercise by home
6rule units of powers and functions exercised by the State.
7(Source: P.A. 95-369, eff. 8-23-07.)
 
8    Section 99. Effective date. This Act takes effect upon
9becoming law.