HB4691 EngrossedLRB098 17176 EFG 52264 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 7-210 as follows:
 
6    (40 ILCS 5/7-210)  (from Ch. 108 1/2, par. 7-210)
7    Sec. 7-210. Funds. (a) All money received by the board
8shall immediately be deposited with the State Treasurer for the
9account of the fund, or in the case of funds received under
10Section 7-199.1, in a separate account maintained for that
11purpose. All disbursements of funds held by the State Treasurer
12shall be made only upon warrants of the State Comptroller drawn
13upon the Treasurer as custodian of this fund upon vouchers
14signed by the person or persons designated for such purpose by
15resolution of the board. The Comptroller is authorized to draw
16such warrants upon vouchers so signed, including warrants
17payable to the Fund for deposit in a revolving account
18authorized by Section 7-195.1. The Treasurer shall accept all
19warrants so signed and shall be released from liability for all
20payments made thereon. Vouchers shall be drawn only upon proper
21authorization by the board as properly recorded in the official
22minute books of the meetings of the board.
23    (b) All securities of the fund when received shall be

 

 

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1deposited with the State Treasurer who shall provide adequate
2safe deposit facilities for their preservation and have custody
3of them.
4    (c) The assets of the fund shall be invested as one fund,
5and no particular person, municipality, or instrumentality
6thereof or participating instrumentality shall have any right
7in any specific security or in any item of cash other than an
8undivided interest in the whole.
9    (d) Except as provided in subsection (d-5), whenever
10Whenever any employees of a municipality or participating
11instrumentality have been or shall be excluded from
12participation in this fund by virtue of the application of
13paragraph b of Section 7-109 (2), the board shall issue a
14voucher authorizing the Comptroller to draw his warrant upon
15the Treasurer as custodian of this fund in an amount equal to
16the accumulated contributions of such employees. Such warrant
17shall be drawn in favor of the appropriate fund of the
18retirement fund in which such employees have or shall become
19participants. Such transfer shall terminate any further rights
20of such employees under this fund.
21    (d-5) Upon creation of a newly established Article 3 police
22pension fund by referendum under Section 3-145 or by census
23under Section 3-105, the following amounts shall be transferred
24from this Fund to the new police pension fund, within 30 days
25after an application therefor is received from the new pension
26fund:

 

 

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1        (1) the amounts actually contributed to this Fund as
2    employee contributions by or on behalf of the police
3    officers transferring to the new pension fund for their
4    service as police officers of the municipality that is
5    establishing the new pension fund, plus interest on those
6    amounts at the rate of 6% per year, compounded annually,
7    from the date of contribution to the date of transfer to
8    the new pension fund, and
9        (2) an amount representing employer contributions,
10    equal to the total amount determined under item (1).
11This transfer terminates any further rights of such police
12officers in this Fund arising out of their service as police
13officers of the municipality that is establishing the new
14pension fund.
15    (e) If a participating instrumentality terminates
16participation because it fails to meet the requirements of
17Section 7-108, it shall pay to the fund the amount equal to any
18net debit balance in its municipality reserve account and
19account receivable. Its successors, and assigns and
20transferees of its assets shall be obligated to make this
21payment to the extent of the value of assets transferred to
22them. The fund shall pay an amount equal to any net credit
23balance to the participating instrumentality, its successors
24or assigns. Any remaining net debit or credit balance not
25collectible or payable shall be transferred to the terminated
26municipality reserve account. The fund shall pay to each

 

 

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1employee of the participating instrumentality an amount equal
2to his credits in the employee reserves. The employees shall
3have no further rights to any benefits from the fund, except
4that annuities awarded prior to the date of termination shall
5continue to be paid.
6(Source: P.A. 84-812.)
 
7    Section 90. The State Mandates Act is amended by adding
8Section 8.38 as follows:
 
9    (30 ILCS 805/8.38 new)
10    Sec. 8.38. Exempt mandate. Notwithstanding Sections 6 and 8
11of this Act, no reimbursement by the State is required for the
12implementation of any mandate created by this amendatory Act of
13the 98th General Assembly.
 
14    Section 99. Effective date. This Act takes effect upon
15becoming law.