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90_SB1909 40 ILCS 5/16-127 from Ch. 108 1/2, par. 16-127 Amends the Downstate Teacher Article of the Pension Code to increase the amount of out-of-State service that may be purchased by a teacher. Effective immediately. LRB9011512EGfg LRB9011512EGfg 1 AN ACT to amend the Illinois Pension Code by changing 2 Section 16-127. 3 Be it enacted by the People of the State of Illinois, 4 represented in the General Assembly: 5 Section 5. The Illinois Pension Code is amended by 6 changing Section 16-127 as follows: 7 (40 ILCS 5/16-127) (from Ch. 108 1/2, par. 16-127) 8 Sec. 16-127. Computation of creditable service. 9 (a) Each member shall receive regular credit for all 10 service as a teacher from the date membership begins, for 11 which satisfactory evidence is supplied and all contributions 12 have been paid. 13 (b) The following periods of service shall earn optional 14 credit and each member shall receive credit for all such 15 service for which satisfactory evidence is supplied and all 16 contributions have been paid as of the date specified: 17 (1) Prior service as a teacher. 18 (2) Service in a capacity essentially similar or 19 equivalent to that of a teacher, in the public common 20 schools in school districts in this State not included 21 within the provisions of this System, or of any other 22 State, territory, dependency or possession of the United 23 States, or in schools operated by or under the auspices 24 of the United States, or under the auspices of any agency 25 or department of any other State, and service during any 26 period of professional speech correction or special 27 education experience for a public agency within this 28 State or any other State, territory, dependency or 29 possession of the United States, and service prior to 30 February 1, 1951 as a recreation worker for the Illinois 31 Department of Public Safety, for a period not exceeding -2- LRB9011512EGfg 1 the lesser of
2/5 ofthe total number of years of 2 creditable service of the member at the time of 3 application or 15 10years. The maximum period of 4 service of 10 years which isallowable under this 5 paragraph shall be reduced by the service credit which is 6 validated by other retirement systems under paragraph (i) 7 of Section 15-113 and paragraph 1 of Section 17-133. 8 Credit granted under this paragraph may not be used in 9 determination of a retirement annuity or disability 10 benefits unless the member has at least 5 years of 11 creditable service earned subsequent to this employment 12 with one or more of the following systems: Teachers' 13 Retirement System of the State of Illinois, State 14 Universities Retirement System, and the Public School 15 Teachers' Pension and Retirement Fund of Chicago. 16 Whenever such service credit exceeds the maximum allowed 17 for all purposes of this Article, the first service 18 rendered in point of time shall be considered. The 19 changes to this subdivision (b)(2) made by Public Act 20 86-272 shall apply not only to persons who on or after 21 its effective date (August 23, 1989) are in service as a 22 teacher under the System, but also to persons whose 23 status as such a teacher terminated prior to such 24 effective date, whether or not such person is an 25 annuitant on that date. 26 (3) Any periods immediately following teaching 27 service, under this System or under Article 17, (or 28 immediately following service prior to February 1, 1951 29 as a recreation worker for the Illinois Department of 30 Public Safety) spent in active service with the military 31 forces of the United States; periods spent in educational 32 programs that prepare for return to teaching sponsored by 33 the federal government following such active military 34 service; if a teacher returns to teaching service within -3- LRB9011512EGfg 1 one calendar year after discharge or after the completion 2 of the educational program, a further period, not 3 exceeding one calendar year, between time spent in 4 military service or in such educational programs and the 5 return to employment as a teacher under this System; and 6 a period of up to 2 years of active military service not 7 immediately following employment as a teacher. 8 The changes to this Section and Section 16-128 9 relating to military service made by P.A. 87-794 shall 10 apply not only to persons who on or after its effective 11 date are in service as a teacher under the System, but 12 also to persons whose status as a teacher terminated 13 prior to that date, whether or not the person is an 14 annuitant on that date. In the case of an annuitant who 15 applies for credit allowable under this Section for a 16 period of military service that did not immediately 17 follow employment, and who has made the required 18 contributions for such credit, the annuity shall be 19 recalculated to include the additional service credit, 20 with the increase taking effect on the date the System 21 received written notification of the annuitant's intent 22 to purchase the credit, if payment of all the required 23 contributions is made within 60 days of such notice, or 24 else on the first annuity payment date following the date 25 of payment of the required contributions. In calculating 26 the automatic annual increase for an annuity that has 27 been recalculated under this Section, the increase 28 attributable to the additional service allowable under 29 P.A. 87-794 shall be included in the calculation of 30 automatic annual increases accruing after the effective 31 date of the recalculation. 32 Credit for military service shall be determined as 33 follows: if entry occurs during the months of July, 34 August, or September and the member was a teacher at the -4- LRB9011512EGfg 1 end of the immediately preceding school term, credit 2 shall be granted from July 1 of the year in which he or 3 she entered service; if entry occurs during the school 4 term and the teacher was in teaching service at the 5 beginning of the school term, credit shall be granted 6 from July 1 of such year. In all other cases where credit 7 for military service is allowed, credit shall be granted 8 from the date of entry into the service. 9 The total period of military service for which 10 credit is granted shall not exceed 5 years for any member 11 unless the service: (A) is validated before July 1, 12 1964, and (B) does not extend beyond July 1, 1963. 13 Credit for military service shall be granted under this 14 Section only if not more than 5 years of the military 15 service for which credit is granted under this Section is 16 used by the member to qualify for a military retirement 17 allotment from any branch of the armed forces of the 18 United States. The changes to this subdivision (b)(3) 19 made by Public Act 86-272 shall apply not only to persons 20 who on or after its effective date (August 23, 1989) are 21 in service as a teacher under the System, but also to 22 persons whose status as such a teacher terminated prior 23 to such effective date, whether or not such person is an 24 annuitant on that date. 25 (4) Any periods served as a member of the General 26 Assembly. 27 (5)(i) Any periods for which a teacher, as defined 28 in Section 16-106, is granted a leave of absence, 29 provided he or she returns to teaching service creditable 30 under this System or the State Universities Retirement 31 System following the leave; (ii) periods during which a 32 teacher is involuntarily laid off from teaching, provided 33 he or she returns to teaching following the lay-off; 34 (iii) periods prior to July 1, 1983 during which a -5- LRB9011512EGfg 1 teacher ceased covered employment due to pregnancy, 2 provided that the teacher returned to teaching service 3 creditable under this System or the State Universities 4 Retirement System following the pregnancy and submits 5 evidence satisfactory to the Board documenting that the 6 employment ceased due to pregnancy; and (iv) periods 7 prior to July 1, 1983 during which a teacher ceased 8 covered employment for the purpose of adopting an infant 9 under 3 years of age or caring for a newly adopted infant 10 under 3 years of age, provided that the teacher returned 11 to teaching service creditable under this System or the 12 State Universities Retirement System following the 13 adoption and submits evidence satisfactory to the Board 14 documenting that the employment ceased for the purpose of 15 adopting an infant under 3 years of age or caring for a 16 newly adopted infant under 3 years of age. However, 17 total credit under this paragraph (5) may not exceed 3 18 years. 19 Any qualified member or annuitant may apply for 20 credit under item (iii) or (iv) of this paragraph (5) 21 without regard to whether service was terminated before 22 the effective date of this amendatory Act of 1997. In 23 the case of an annuitant who establishes credit under 24 item (iii) or (iv), the annuity shall be recalculated to 25 include the additional service credit. The increase in 26 annuity shall take effect on the date the System receives 27 written notification of the annuitant's intent to 28 purchase the credit, if the required evidence is 29 submitted and the required contribution paid within 60 30 days of that notification, otherwise on the first annuity 31 payment date following the System's receipt of the 32 required evidence and contribution. The increase in an 33 annuity recalculated under this provision shall be 34 included in the calculation of automatic annual increases -6- LRB9011512EGfg 1 in the annuity accruing after the effective date of the 2 recalculation. 3 Optional credit may be purchased under this 4 subsection (b)(5) for periods during which a teacher has 5 been granted a leave of absence pursuant to Section 24-13 6 of the School Code. A teacher whose service under this 7 Article terminated prior to the effective date of P.A. 8 86-1488 shall be eligible to purchase such optional 9 credit. If a teacher who purchases this optional credit 10 is already receiving a retirement annuity under this 11 Article, the annuity shall be recalculated as if the 12 annuitant had applied for the leave of absence credit at 13 the time of retirement. The difference between the 14 entitled annuity and the actual annuity shall be credited 15 to the purchase of the optional credit. The remainder of 16 the purchase cost of the optional credit shall be paid on 17 or before April 1, 1992. 18 The change in this paragraph made by Public Act 19 86-273 shall be applicable to teachers who retire after 20 June 1, 1989, as well as to teachers who are in service 21 on that date. 22 (6) Any days of unused and uncompensated 23 accumulated sick leave earned by a teacher. The service 24 credit granted under this paragraph shall be the ratio of 25 the number of unused and uncompensated accumulated sick 26 leave days to 170 days, subject to a maximum of one year 27 of service credit. Prior to the member's retirement, 28 each former employer shall certify to the System the 29 number of unused and uncompensated accumulated sick leave 30 days credited to the member at the time of termination of 31 service. The period of unused sick leave shall not be 32 considered in determining the effective date of 33 retirement. A member is not required to make 34 contributions in order to obtain service credit for -7- LRB9011512EGfg 1 unused sick leave. 2 Credit for sick leave shall, at retirement, be 3 granted by the System for any retiring regional or 4 assistant regional superintendent of schools at the rate 5 of 6 days per year of creditable service or portion 6 thereof established while serving as such superintendent 7 or assistant superintendent. 8 (7) Periods prior to February 1, 1987 served as an 9 employee of the Illinois Mathematics and Science Academy 10 for which credit has not been terminated under Section 11 15-113.9 of this Code. 12 (8) Service as a substitute teacher for work 13 performed prior to July 1, 1990. 14 (9) Service as a part-time teacher for work 15 performed prior to July 1, 1990. 16 (10) Up to 2 years of employment with Southern 17 Illinois University - Carbondale from September 1, 1959 18 to August 31, 1961, or with Governors State University 19 from September 1, 1972 to August 31, 1974, for which the 20 teacher has no credit under Article 15. To receive 21 credit under this item (10), a teacher must apply in 22 writing to the Board and pay the required contributions 23 before May 1, 1993 and have at least 12 years of service 24 credit under this Article. 25 (c) The service credits specified in this Section shall 26 be granted only if: (1) such service credits are not used 27 for credit in any other statutory tax-supported public 28 employee retirement system other than the federal Social 29 Security program; and (2) the member makes the required 30 contributions as specified in Section 16-128. The service 31 credit shall be effective as of the date the required 32 contributions are completed. 33 Any service credits granted under this Section shall 34 terminate upon cessation of membership for any cause. -8- LRB9011512EGfg 1 Credit may not be granted under this Section covering any 2 period for which an age retirement or disability retirement 3 allowance has been paid. 4 (Source: P.A. 89-430, eff. 12-15-95; 90-32, eff. 6-27-97.) 5 Section 99. Effective date. This Act takes effect upon 6 becoming law.
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