093_SB1151sam002

 










                                     LRB093 06789 LRD 13370 a

 1                    AMENDMENT TO SENATE BILL 1151

 2        AMENDMENT NO.     .  Amend Senate Bill 1151 by  replacing
 3    everything after the enacting clause with the following:

 4        "Section  5.  The  Illinois  Pension  Code  is amended by
 5    changing Section 17-122 as follows:

 6        (40 ILCS 5/17-122) (from Ch. 108 1/2, par. 17-122)
 7        Sec. 17-122. Survivor's and children's pensions - Amount.
 8    Upon the death of a teacher who has completed at least 1.5  1
 9    1/2  years  of  contributing service with either this Fund or
10    the State Universities Retirement  System  or  the  Teachers'
11    Retirement  System  of  the  State  of Illinois, provided his
12    death occurred while (a) in active  service  covered  by  the
13    Fund  or  during his first 18 months of continuous employment
14    without a break in  service  under  any  other  participating
15    system   as   defined  in  the  Illinois  Retirement  Systems
16    Reciprocal  Act  except  the  State  Universities  Retirement
17    System and the Teachers' Retirement System of  the  State  of
18    Illinois,  (b)  on  a  creditable  leave of absence, (c) on a
19    noncreditable leave of absence of no more than one  year,  or
20    (d)  a  pension  was deferred or pending provided the teacher
21    had at least 10 years of validated service  credit,  or  upon
22    the  death  of  a  pensioner  otherwise  qualified  for  such
 
                            -2-      LRB093 06789 LRD 13370 a
 1    benefit, the surviving spouse and unmarried minor children of
 2    the  deceased  teacher  under  age  18  shall  be entitled to
 3    pensions, under  the  conditions  stated  hereinafter.   Such
 4    survivor's  and  children's  pensions  shall  be based on the
 5    average of the 4 highest consecutive years of salary  in  the
 6    last  10  years of service or on the average salary for total
 7    service, if  total  service  has  been  less  than  4  years,
 8    according to the following percentages:
 9        30%  of  average  salary or 50% of the retirement pension
10    earned by the teacher, whichever is larger,  subject  to  the
11    prescribed  maximum  monthly  payment, for a surviving spouse
12    alone on attainment of age 50;
13        60%  of  average  salary  for  a  surviving  spouse   and
14    eligible minor children of the deceased teacher.
15        If  no  eligible spouse survives, or the surviving spouse
16    remarries, or the parent of  the  children  of  the  deceased
17    member  is  otherwise  ineligible for a survivor's pension, a
18    children's pension for eligible minor children under  age  18
19    shall  be  paid  to  their parent or legal guardian for their
20    benefit according to the following percentages:
21        30% of average salary for one child;
22        60% of average salary for 2 or more children.
23        On January  1,  1981,  any  survivor  or  child  who  was
24    receiving  a  survivor's  or  children's pension on or before
25    January 1, 1971, shall  have  his  survivor's  or  children's
26    pension  then  being  paid increased by 1% for each full year
27    which has elapsed from the date the pension began. On January
28    1, 1982, any survivor or  child  whose  pension  began  after
29    January  1,  1971, but before January 1, 1981, shall have his
30    survivor's or children's pension then being paid increased 1%
31    for each full year  which  has  elapsed  from  the  date  the
32    pension  began.  On  January  1,  1987, any survivor or child
33    whose pension began on or before January 1, 1977, shall  have
34    the  monthly survivor's or children's pension increased by $1
 
                            -3-      LRB093 06789 LRD 13370 a
 1    for each full year which has elapsed since the pension began.
 2        Beginning  January  1,   1990,   every   survivor's   and
 3    children's  pension  shall be increased (1) on each January 1
 4    occurring on or after the commencement of the pension if  the
 5    deceased  teacher  died while receiving a retirement pension,
 6    or (2) in other cases, on each  January  1  occurring  on  or
 7    after  the  first  anniversary  of  the  commencement  of the
 8    pension, by an amount equal to 3% of the  current  amount  of
 9    the pension, including all increases previously granted under
10    this Article, notwithstanding Section 17-157.  Such increases
11    shall  apply  without  regard to whether the deceased teacher
12    was in service  on  or  after  the  effective  date  of  this
13    amendatory  Act  of 1991, but shall not accrue for any period
14    prior to January 1, 1990.
15        Subject to the minimum  established  below,  the  maximum
16    amount  of  pension for a surviving spouse alone or one minor
17    child shall be $400  per  month,  and  the  maximum  combined
18    pensions  for a surviving spouse and children of the deceased
19    teacher shall be $600 per  month,  with  individual  pensions
20    adjusted  for all beneficiaries pro rata to conform with this
21    limitation.   If  proration  is   unnecessary   the   minimum
22    survivor's  and  children's  pensions shall be $40 per month.
23    The minimum total survivor's and children's  pension  payable
24    upon  the  death  of  a contributor or annuitant which occurs
25    after  December  31,  1986,  shall  be  50%  of  the   earned
26    retirement   pension   of   such  contributor  or  annuitant,
27    calculated without early retirement discount in the  case  of
28    death in service.
29        On  death  after  retirement,  the  total  survivor's and
30    children's pensions shall not exceed the  monthly  retirement
31    or   disability   pension  paid  to  the  deceased  retirant.
32    Survivor's and children's benefits described in this  Section
33    shall apply to all service and disability pensioners eligible
34    for a pension as of July 1, 1981.
 
                            -4-      LRB093 06789 LRD 13370 a
 1    (Source: P.A. 90-32, eff. 6-27-97; 90-566, eff. 1-2-98.)".