A person is not eligible for the benefits provided in this Section if the
person (i) elects to receive the alternative annuity for city officers
under Section 8-243.2, or (ii) elects to receive a retirement annuity
calculated under the alternative formula formerly set forth in Section
(a-5) To ensure that the efficient operation of employers under this Article
is not jeopardized by the simultaneous retirement of large numbers of critical
personnel, each employer may, for its critical employees, extend the February 29, 2004 deadline for terminating employment under this Article established in
subdivision (a)(4) of this Section to a date not later than May 31, 2004 by
notifying the Fund by January 31, 2004.
(b) An eligible employee may establish up to 5 years of creditable
service under this Section, in increments of one month, by making the
contributions specified in subsection (d). In addition, for each month of
creditable service established under this Section, a person's age at retirement
shall be deemed to be one month older than it actually is, except for
determination of eligibility for automatic annual increases under Sections
8-137 and 8-137.1. Furthermore, an eligible employee must establish at least
the amount of age and creditable service necessary to bring his or her age and
total creditable service, including service
in this Fund, service established under this Section, and service in any of the
systems under the Retirement Systems Reciprocal Act, to a minimum that will
requirements of Section 8-138.
The creditable service under this Section may be used for all
purposes under this Article and the Retirement Systems Reciprocal Act,
except for the computation of average annual salary and the determination
of salary, earnings, or compensation under this or any other Article of
(c) An eligible employee shall be entitled to have his or her retirement
annuity calculated in accordance with the formula provided in Section
8-138, except that the annuity shall not be subject to reduction because of
withdrawal or commencement of the annuity before attainment of age 60.
(d) For each month of creditable service established under this Section,
the employee must pay to the Fund an employee contribution, to be calculated
by the Fund, equal to 4.25% of the member's monthly salary rate
on October 15, 2003. The employee may elect to pay the entire contribution
retirement annuity commences, or to have it deducted from the annuity over
a period not longer than 24 months. If the retired employee dies before the
contribution has been paid in full, the unpaid installments may be deducted
from any annuity or other benefit payable to the employee's survivors.
All employee contributions paid under this Section shall not be deemed
contributions made by employees for annuity purposes under Section 8-173,
and shall be made and credited to a special reserve, without interest.
Employee contributions paid under this Section may be refunded under the
same terms and conditions as are applicable to other employee contributions
for retirement annuity.
(e) Notwithstanding Section 8-165, an annuitant who reenters service under
this Article after receiving a retirement annuity based on benefits provided
under this Section thereby forfeits the right to continue to receive those
benefits, and shall have his or her retirement annuity recalculated at the
appropriate time without the benefits provided in this Section.
(f) No employer action in declaring an employee to be a critical employee pursuant to subsection (a-5) shall be construed as an impairment of any pension benefit or entitlement. No early retirement option or resultant benefit conferred under this Section shall, in any manner, vest for any employee until the earlier date of the employer's decision to release the employee from service or May 31, 2004.
(Source: P.A. 93-654, eff. 1-16-04.)