HB3902 EnrolledLRB098 15461 RPS 50491 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 7-109 as follows:
 
6    (40 ILCS 5/7-109)  (from Ch. 108 1/2, par. 7-109)
7    (Text of Section before amendment by P.A. 98-599)
8    Sec. 7-109. Employee.
9    (1) "Employee" means any person who:
10        (a) 1. Receives earnings as payment for the performance
11        of personal services or official duties out of the
12        general fund of a municipality, or out of any special
13        fund or funds controlled by a municipality, or by an
14        instrumentality thereof, or a participating
15        instrumentality, including, in counties, the fees or
16        earnings of any county fee office; and
17            2. Under the usual common law rules applicable in
18        determining the employer-employee relationship, has
19        the status of an employee with a municipality, or any
20        instrumentality thereof, or a participating
21        instrumentality, including aldermen, county
22        supervisors and other persons (excepting those
23        employed as independent contractors) who are paid

 

 

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1        compensation, fees, allowances or other emolument for
2        official duties, and, in counties, the several county
3        fee offices.
4        (b) Serves as a township treasurer appointed under the
5    School Code, as heretofore or hereafter amended, and who
6    receives for such services regular compensation as
7    distinguished from per diem compensation, and any regular
8    employee in the office of any township treasurer whether or
9    not his earnings are paid from the income of the permanent
10    township fund or from funds subject to distribution to the
11    several school districts and parts of school districts as
12    provided in the School Code, or from both such sources; or
13    is the chief executive officer, chief educational officer,
14    chief fiscal officer, or other employee of a Financial
15    Oversight Panel established pursuant to Article 1H of the
16    School Code, other than a superintendent or certified
17    school business official, except that such person shall not
18    be treated as an employee under this Section if that person
19    has negotiated with the Financial Oversight Panel, in
20    conjunction with the school district, a contractual
21    agreement for exclusion from this Section.
22        (c) Holds an elective office in a municipality,
23    instrumentality thereof or participating instrumentality.
24    (2) "Employee" does not include persons who:
25        (a) Are eligible for inclusion under any of the
26    following laws:

 

 

HB3902 Enrolled- 3 -LRB098 15461 RPS 50491 b

1            1. "An Act in relation to an Illinois State
2        Teachers' Pension and Retirement Fund", approved May
3        27, 1915, as amended;
4            2. Articles 15 and 16 of this Code.
5        However, such persons shall be included as employees to
6    the extent of earnings that are not eligible for inclusion
7    under the foregoing laws for services not of an
8    instructional nature of any kind.
9        However, any member of the armed forces who is employed
10    as a teacher of subjects in the Reserve Officers Training
11    Corps of any school and who is not certified under the law
12    governing the certification of teachers shall be included
13    as an employee.
14        (b) Are designated by the governing body of a
15    municipality in which a pension fund is required by law to
16    be established for policemen or firemen, respectively, as
17    performing police or fire protection duties, except that
18    when such persons are the heads of the police or fire
19    department and are not eligible to be included within any
20    such pension fund, they shall be included within this
21    Article; provided, that such persons shall not be excluded
22    to the extent of concurrent service and earnings not
23    designated as being for police or fire protection duties.
24    However, (i) any head of a police department who was a
25    participant under this Article immediately before October
26    1, 1977 and did not elect, under Section 3-109 of this Act,

 

 

HB3902 Enrolled- 4 -LRB098 15461 RPS 50491 b

1    to participate in a police pension fund shall be an
2    "employee", and (ii) any chief of police who elects to
3    participate in this Fund under Section 3-109.1 of this
4    Code, regardless of whether such person continues to be
5    employed as chief of police or is employed in some other
6    rank or capacity within the police department, shall be an
7    employee under this Article for so long as such person is
8    employed to perform police duties by a participating
9    municipality and has not lawfully rescinded that election.
10        (c) Are After August 26, 2011 (the effective date of
11    Public Act 97-609), are contributors to or eligible to
12    contribute to a Taft-Hartley pension plan established on or
13    before June 1, 2011 and are employees of a theatre, arena,
14    or convention center that is located in a municipality
15    located in a county with a population greater than
16    5,000,000, and to which the participating municipality is
17    required to contribute as the person's employer based on
18    earnings from the municipality. Nothing in this paragraph
19    shall affect service credit or creditable service for any
20    period of service prior to the effective date of this
21    amendatory Act of the 98th General Assembly August 26,
22    2011, and this paragraph shall not apply to individuals who
23    are participating in the Fund prior to the effective date
24    of this amendatory Act of the 98th General Assembly August
25    26, 2011.
26    (3) All persons, including, without limitation, public

 

 

HB3902 Enrolled- 5 -LRB098 15461 RPS 50491 b

1defenders and probation officers, who receive earnings from
2general or special funds of a county for performance of
3personal services or official duties within the territorial
4limits of the county, are employees of the county (unless
5excluded by subsection (2) of this Section) notwithstanding
6that they may be appointed by and are subject to the direction
7of a person or persons other than a county board or a county
8officer. It is hereby established that an employer-employee
9relationship under the usual common law rules exists between
10such employees and the county paying their salaries by reason
11of the fact that the county boards fix their rates of
12compensation, appropriate funds for payment of their earnings
13and otherwise exercise control over them. This finding and this
14amendatory Act shall apply to all such employees from the date
15of appointment whether such date is prior to or after the
16effective date of this amendatory Act and is intended to
17clarify existing law pertaining to their status as
18participating employees in the Fund.
19(Source: P.A. 97-429, eff. 8-16-11; 97-609, eff. 8-26-11;
2097-813, eff. 7-13-12.)
 
21    (Text of Section after amendment by P.A. 98-599)
22    Sec. 7-109. Employee.
23    (1) "Employee" means any person who:
24        (a) 1. Receives earnings as payment for the performance
25        of personal services or official duties out of the

 

 

HB3902 Enrolled- 6 -LRB098 15461 RPS 50491 b

1        general fund of a municipality, or out of any special
2        fund or funds controlled by a municipality, or by an
3        instrumentality thereof, or a participating
4        instrumentality, including, in counties, the fees or
5        earnings of any county fee office; and
6            2. Under the usual common law rules applicable in
7        determining the employer-employee relationship, has
8        the status of an employee with a municipality, or any
9        instrumentality thereof, or a participating
10        instrumentality, including aldermen, county
11        supervisors and other persons (excepting those
12        employed as independent contractors) who are paid
13        compensation, fees, allowances or other emolument for
14        official duties, and, in counties, the several county
15        fee offices.
16        (b) Serves as a township treasurer appointed under the
17    School Code, as heretofore or hereafter amended, and who
18    receives for such services regular compensation as
19    distinguished from per diem compensation, and any regular
20    employee in the office of any township treasurer whether or
21    not his earnings are paid from the income of the permanent
22    township fund or from funds subject to distribution to the
23    several school districts and parts of school districts as
24    provided in the School Code, or from both such sources; or
25    is the chief executive officer, chief educational officer,
26    chief fiscal officer, or other employee of a Financial

 

 

HB3902 Enrolled- 7 -LRB098 15461 RPS 50491 b

1    Oversight Panel established pursuant to Article 1H of the
2    School Code, other than a superintendent or certified
3    school business official, except that such person shall not
4    be treated as an employee under this Section if that person
5    has negotiated with the Financial Oversight Panel, in
6    conjunction with the school district, a contractual
7    agreement for exclusion from this Section.
8        (c) Holds an elective office in a municipality,
9    instrumentality thereof or participating instrumentality.
10    (2) "Employee" does not include persons who:
11        (a) Are eligible for inclusion under any of the
12    following laws:
13            1. "An Act in relation to an Illinois State
14        Teachers' Pension and Retirement Fund", approved May
15        27, 1915, as amended;
16            2. Articles 15 and 16 of this Code.
17        However, such persons shall be included as employees to
18    the extent of earnings that are not eligible for inclusion
19    under the foregoing laws for services not of an
20    instructional nature of any kind.
21        However, any member of the armed forces who is employed
22    as a teacher of subjects in the Reserve Officers Training
23    Corps of any school and who is not certified under the law
24    governing the certification of teachers shall be included
25    as an employee.
26        (b) Are designated by the governing body of a

 

 

HB3902 Enrolled- 8 -LRB098 15461 RPS 50491 b

1    municipality in which a pension fund is required by law to
2    be established for policemen or firemen, respectively, as
3    performing police or fire protection duties, except that
4    when such persons are the heads of the police or fire
5    department and are not eligible to be included within any
6    such pension fund, they shall be included within this
7    Article; provided, that such persons shall not be excluded
8    to the extent of concurrent service and earnings not
9    designated as being for police or fire protection duties.
10    However, (i) any head of a police department who was a
11    participant under this Article immediately before October
12    1, 1977 and did not elect, under Section 3-109 of this Act,
13    to participate in a police pension fund shall be an
14    "employee", and (ii) any chief of police who elects to
15    participate in this Fund under Section 3-109.1 of this
16    Code, regardless of whether such person continues to be
17    employed as chief of police or is employed in some other
18    rank or capacity within the police department, shall be an
19    employee under this Article for so long as such person is
20    employed to perform police duties by a participating
21    municipality and has not lawfully rescinded that election.
22        (c) Are After August 26, 2011 (the effective date of
23    Public Act 97-609), are contributors to or eligible to
24    contribute to a Taft-Hartley pension plan established on or
25    before June 1, 2011 and are employees of a theatre, arena,
26    or convention center that is located in a municipality

 

 

HB3902 Enrolled- 9 -LRB098 15461 RPS 50491 b

1    located in a county with a population greater than
2    5,000,000, and to which the participating municipality is
3    required to contribute as the person's employer based on
4    earnings from the municipality. Nothing in this paragraph
5    shall affect service credit or creditable service for any
6    period of service prior to the effective date of this
7    amendatory Act of the 98th General Assembly August 26,
8    2011, and this paragraph shall not apply to individuals who
9    are participating in the Fund prior to the effective date
10    of this amendatory Act of the 98th General Assembly August
11    26, 2011.
12        (d) Become an employee of any of the following
13    participating instrumentalities on or after the effective
14    date of this amendatory Act of the 98th General Assembly:
15    the Illinois Municipal League; the Illinois Association of
16    Park Districts; the Illinois Supervisors, County
17    Commissioners and Superintendents of Highways Association;
18    an association, or not-for-profit corporation, membership
19    in which is authorized under Section 85-15 of the Township
20    Code; the United Counties Council; or the Will County
21    Governmental League.
22    (3) All persons, including, without limitation, public
23defenders and probation officers, who receive earnings from
24general or special funds of a county for performance of
25personal services or official duties within the territorial
26limits of the county, are employees of the county (unless

 

 

HB3902 Enrolled- 10 -LRB098 15461 RPS 50491 b

1excluded by subsection (2) of this Section) notwithstanding
2that they may be appointed by and are subject to the direction
3of a person or persons other than a county board or a county
4officer. It is hereby established that an employer-employee
5relationship under the usual common law rules exists between
6such employees and the county paying their salaries by reason
7of the fact that the county boards fix their rates of
8compensation, appropriate funds for payment of their earnings
9and otherwise exercise control over them. This finding and this
10amendatory Act shall apply to all such employees from the date
11of appointment whether such date is prior to or after the
12effective date of this amendatory Act and is intended to
13clarify existing law pertaining to their status as
14participating employees in the Fund.
15(Source: P.A. 97-429, eff. 8-16-11; 97-609, eff. 8-26-11;
1697-813, eff. 7-13-12; 98-599, eff. 6-1-14.)
 
17    Section 95. No acceleration or delay. Where this Act makes
18changes in a statute that is represented in this Act by text
19that is not yet or no longer in effect (for example, a Section
20represented by multiple versions), the use of that text does
21not accelerate or delay the taking effect of (i) the changes
22made by this Act or (ii) provisions derived from any other
23Public Act.
 
24    Section 99. Effective date. This Act takes effect upon
25becoming law.