102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
SB2149

 

Introduced 2/26/2021, by Sen. Craig Wilcox

 

SYNOPSIS AS INTRODUCED:
 
40 ILCS 5/16-127  from Ch. 108 1/2, par. 16-127

    Amends the Downstate Teacher Article of the Illinois Pension Code. Provides that the 5-year limitation on the amount of service credit that may be granted for certain military service does not apply to up to 30 days per calendar year of annual training or to time spent in involuntary service, drill or battle assembly, or other mandatory training. Effective immediately.


LRB102 13967 RPS 19319 b

FISCAL NOTE ACT MAY APPLY
PENSION IMPACT NOTE ACT MAY APPLY

 

 

A BILL FOR

 

SB2149LRB102 13967 RPS 19319 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
5changing Section 16-127 as follows:
 
6    (40 ILCS 5/16-127)  (from Ch. 108 1/2, par. 16-127)
7    Sec. 16-127. Computation of creditable service.
8    (a) Each member shall receive regular credit for all
9service as a teacher from the date membership begins, for
10which satisfactory evidence is supplied and all contributions
11have been paid.
12    (b) The following periods of service shall earn optional
13credit and each member shall receive credit for all such
14service for which satisfactory evidence is supplied and all
15contributions have been paid as of the date specified:
16        (1) Prior service as a teacher.
17        (2) Service in a capacity essentially similar or
18    equivalent to that of a teacher, in the public common
19    schools in school districts in this State not included
20    within the provisions of this System, or of any other
21    State, territory, dependency or possession of the United
22    States, or in schools operated by or under the auspices of
23    the United States, or under the auspices of any agency or

 

 

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1    department of any other State, and service during any
2    period of professional speech correction or special
3    education experience for a public agency within this State
4    or any other State, territory, dependency or possession of
5    the United States, and service prior to February 1, 1951
6    as a recreation worker for the Illinois Department of
7    Public Safety, for a period not exceeding the lesser of
8    2/5 of the total creditable service of the member or 10
9    years. The maximum service of 10 years which is allowable
10    under this paragraph shall be reduced by the service
11    credit which is validated by other retirement systems
12    under paragraph (i) of Section 15-113 and paragraph 1 of
13    Section 17-133. Credit granted under this paragraph may
14    not be used in determination of a retirement annuity or
15    disability benefits unless the member has at least 5 years
16    of creditable service earned subsequent to this employment
17    with one or more of the following systems: Teachers'
18    Retirement System of the State of Illinois, State
19    Universities Retirement System, and the Public School
20    Teachers' Pension and Retirement Fund of Chicago. Whenever
21    such service credit exceeds the maximum allowed for all
22    purposes of this Article, the first service rendered in
23    point of time shall be considered. The changes to this
24    subdivision (b)(2) made by Public Act 86-272 shall apply
25    not only to persons who on or after its effective date
26    (August 23, 1989) are in service as a teacher under the

 

 

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1    System, but also to persons whose status as such a teacher
2    terminated prior to such effective date, whether or not
3    such person is an annuitant on that date.
4        (3) Any periods immediately following teaching
5    service, under this System or under Article 17, (or
6    immediately following service prior to February 1, 1951 as
7    a recreation worker for the Illinois Department of Public
8    Safety) spent in active service with the military forces
9    of the United States; periods spent in educational
10    programs that prepare for return to teaching sponsored by
11    the federal government following such active military
12    service; if a teacher returns to teaching service within
13    one calendar year after discharge or after the completion
14    of the educational program, a further period, not
15    exceeding one calendar year, between time spent in
16    military service or in such educational programs and the
17    return to employment as a teacher under this System; and a
18    period of up to 2 years of active military service not
19    immediately following employment as a teacher.
20        The changes to this Section and Section 16-128
21    relating to military service made by P.A. 87-794 shall
22    apply not only to persons who on or after its effective
23    date are in service as a teacher under the System, but also
24    to persons whose status as a teacher terminated prior to
25    that date, whether or not the person is an annuitant on
26    that date. In the case of an annuitant who applies for

 

 

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1    credit allowable under this Section for a period of
2    military service that did not immediately follow
3    employment, and who has made the required contributions
4    for such credit, the annuity shall be recalculated to
5    include the additional service credit, with the increase
6    taking effect on the date the System received written
7    notification of the annuitant's intent to purchase the
8    credit, if payment of all the required contributions is
9    made within 60 days of such notice, or else on the first
10    annuity payment date following the date of payment of the
11    required contributions. In calculating the automatic
12    annual increase for an annuity that has been recalculated
13    under this Section, the increase attributable to the
14    additional service allowable under P.A. 87-794 shall be
15    included in the calculation of automatic annual increases
16    accruing after the effective date of the recalculation.
17        Credit for military service shall be determined as
18    follows: if entry occurs during the months of July,
19    August, or September and the member was a teacher at the
20    end of the immediately preceding school term, credit shall
21    be granted from July 1 of the year in which he or she
22    entered service; if entry occurs during the school term
23    and the teacher was in teaching service at the beginning
24    of the school term, credit shall be granted from July 1 of
25    such year. In all other cases where credit for military
26    service is allowed, credit shall be granted from the date

 

 

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1    of entry into the service.
2        The total period of military service for which credit
3    is granted shall not exceed 5 years for any member unless
4    the service: (A) is validated before July 1, 1964, and (B)
5    does not extend beyond July 1, 1963. Credit for military
6    service shall be granted under this Section only if not
7    more than 5 years of the military service for which credit
8    is granted under this Section is used by the member to
9    qualify for a military retirement allotment from any
10    branch of the armed forces of the United States. The
11    changes to this subdivision (b)(3) made by Public Act
12    86-272 shall apply not only to persons who on or after its
13    effective date (August 23, 1989) are in service as a
14    teacher under the System, but also to persons whose status
15    as such a teacher terminated prior to such effective date,
16    whether or not such person is an annuitant on that date.
17    However, the 5-year limitation under this paragraph does
18    not apply to up to 30 days per calendar year of annual
19    training or to time spent in involuntary service, drill or
20    battle assembly, or other mandatory training.
21        (4) Any periods served as a member of the General
22    Assembly.
23        (5)(i) Any periods for which a teacher, as defined in
24    Section 16-106, is granted a leave of absence, provided he
25    or she returns to teaching service creditable under this
26    System or the State Universities Retirement System

 

 

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1    following the leave; (ii) periods during which a teacher
2    is involuntarily laid off from teaching, provided he or
3    she returns to teaching following the lay-off; (iii)
4    periods prior to July 1, 1983 during which a teacher
5    ceased covered employment due to pregnancy, provided that
6    the teacher returned to teaching service creditable under
7    this System or the State Universities Retirement System
8    following the pregnancy and submits evidence satisfactory
9    to the Board documenting that the employment ceased due to
10    pregnancy; and (iv) periods prior to July 1, 1983 during
11    which a teacher ceased covered employment for the purpose
12    of adopting an infant under 3 years of age or caring for a
13    newly adopted infant under 3 years of age, provided that
14    the teacher returned to teaching service creditable under
15    this System or the State Universities Retirement System
16    following the adoption and submits evidence satisfactory
17    to the Board documenting that the employment ceased for
18    the purpose of adopting an infant under 3 years of age or
19    caring for a newly adopted infant under 3 years of age.
20    However, total credit under this paragraph (5) may not
21    exceed 3 years.
22        Any qualified member or annuitant may apply for credit
23    under item (iii) or (iv) of this paragraph (5) without
24    regard to whether service was terminated before the
25    effective date of this amendatory Act of 1997. In the case
26    of an annuitant who establishes credit under item (iii) or

 

 

SB2149- 7 -LRB102 13967 RPS 19319 b

1    (iv), the annuity shall be recalculated to include the
2    additional service credit. The increase in annuity shall
3    take effect on the date the System receives written
4    notification of the annuitant's intent to purchase the
5    credit, if the required evidence is submitted and the
6    required contribution paid within 60 days of that
7    notification, otherwise on the first annuity payment date
8    following the System's receipt of the required evidence
9    and contribution. The increase in an annuity recalculated
10    under this provision shall be included in the calculation
11    of automatic annual increases in the annuity accruing
12    after the effective date of the recalculation.
13        Optional credit may be purchased under this subsection
14    (b)(5) for periods during which a teacher has been granted
15    a leave of absence pursuant to Section 24-13 of the School
16    Code. A teacher whose service under this Article
17    terminated prior to the effective date of P.A. 86-1488
18    shall be eligible to purchase such optional credit. If a
19    teacher who purchases this optional credit is already
20    receiving a retirement annuity under this Article, the
21    annuity shall be recalculated as if the annuitant had
22    applied for the leave of absence credit at the time of
23    retirement. The difference between the entitled annuity
24    and the actual annuity shall be credited to the purchase
25    of the optional credit. The remainder of the purchase cost
26    of the optional credit shall be paid on or before April 1,

 

 

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1    1992.
2        The change in this paragraph made by Public Act 86-273
3    shall be applicable to teachers who retire after June 1,
4    1989, as well as to teachers who are in service on that
5    date.
6        (6) Any days of unused and uncompensated accumulated
7    sick leave earned by a teacher. The service credit granted
8    under this paragraph shall be the ratio of the number of
9    unused and uncompensated accumulated sick leave days to
10    170 days, subject to a maximum of 2 years of service
11    credit. Prior to the member's retirement, each former
12    employer shall certify to the System the number of unused
13    and uncompensated accumulated sick leave days credited to
14    the member at the time of termination of service. The
15    period of unused sick leave shall not be considered in
16    determining the effective date of retirement. A member is
17    not required to make contributions in order to obtain
18    service credit for unused sick leave.
19        Credit for sick leave shall, at retirement, be granted
20    by the System for any retiring regional or assistant
21    regional superintendent of schools at the rate of 6 days
22    per year of creditable service or portion thereof
23    established while serving as such superintendent or
24    assistant superintendent.
25        (7) Periods prior to February 1, 1987 served as an
26    employee of the Illinois Mathematics and Science Academy

 

 

SB2149- 9 -LRB102 13967 RPS 19319 b

1    for which credit has not been terminated under Section
2    15-113.9 of this Code.
3        (8) Service as a substitute teacher for work performed
4    prior to July 1, 1990.
5        (9) Service as a part-time teacher for work performed
6    prior to July 1, 1990.
7        (10) Up to 2 years of employment with Southern
8    Illinois University - Carbondale from September 1, 1959 to
9    August 31, 1961, or with Governors State University from
10    September 1, 1972 to August 31, 1974, for which the
11    teacher has no credit under Article 15. To receive credit
12    under this item (10), a teacher must apply in writing to
13    the Board and pay the required contributions before May 1,
14    1993 and have at least 12 years of service credit under
15    this Article.
16    (b-1) A member may establish optional credit for up to 2
17years of service as a teacher or administrator employed by a
18private school recognized by the Illinois State Board of
19Education, provided that the teacher (i) was certified under
20the law governing the certification of teachers at the time
21the service was rendered, (ii) applies in writing on or after
22August 1, 2009 and on or before August 1, 2012, (iii) supplies
23satisfactory evidence of the employment, (iv) completes at
24least 10 years of contributing service as a teacher as defined
25in Section 16-106, and (v) pays the contribution required in
26subsection (d-5) of Section 16-128. The member may apply for

 

 

SB2149- 10 -LRB102 13967 RPS 19319 b

1credit under this subsection and pay the required contribution
2before completing the 10 years of contributing service
3required under item (iv), but the credit may not be used until
4the item (iv) contributing service requirement has been met.
5    (c) The service credits specified in this Section shall be
6granted only if: (1) such service credits are not used for
7credit in any other statutory tax-supported public employee
8retirement system other than the federal Social Security
9program; and (2) the member makes the required contributions
10as specified in Section 16-128. Except as provided in
11subsection (b-1) of this Section, the service credit shall be
12effective as of the date the required contributions are
13completed.
14    Any service credits granted under this Section shall
15terminate upon cessation of membership for any cause.
16    Credit may not be granted under this Section covering any
17period for which an age retirement or disability retirement
18allowance has been paid.
19    Credit may not be granted under this Section for service
20as an employee of an entity that provides substitute teaching
21services under Section 2-3.173 of the School Code and is not a
22school district.
23(Source: P.A. 100-813, eff. 8-13-18.)
 
24    Section 99. Effective date. This Act takes effect upon
25becoming law.