98TH GENERAL ASSEMBLY
State of Illinois
2013 and 2014
SB3555

 

Introduced 2/14/2014, by Sen. Jim Oberweis

 

SYNOPSIS AS INTRODUCED:
 
40 ILCS 5/1-161 new
40 ILCS 5/2-124  from Ch. 108 1/2, par. 2-124
40 ILCS 5/14-131
40 ILCS 5/15-155  from Ch. 108 1/2, par. 15-155
40 ILCS 5/16-158  from Ch. 108 1/2, par. 16-158
40 ILCS 5/18-131  from Ch. 108 1/2, par. 18-131
30 ILCS 805/8.38 new

    Amends the Illinois Pension Code. Shifts the required State contributions under the State Universities and Downstate Teacher retirement systems to the actual employers, beginning in State fiscal year 2016. With respect to the 5 State-funded retirement systems: Provides a new funding formula for State and employer contributions, with a 100% funding goal through 2045 (determined using the projected unit credit actuarial cost method) and a 90% funding goal thereafter. Provides that no additional service credit may be accrued and no automatic increase in a retirement annuity shall be received. Provides that the pensionable salary of an active participant may not exceed that individual's pensionable salary as of the effective date. Provides that State-funded retirement systems shall establish self-directed retirement plans for all active participants and all employees hired on or after the effective date. Provides that all active participants shall have the option of participating in a self-directed retirement plan. Provides that these changes are controlling over any other law. Amends the State Mandates Act to require implementation without reimbursement. Includes a nonacceleration provision.


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FISCAL NOTE ACT MAY APPLY
PENSION IMPACT NOTE ACT MAY APPLY
STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT

 

 

A BILL FOR

 

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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
5Sections 2-124, 14-131, 15-155, 16-158, and 18-131 and by
6adding Section 1-161 as follows:
 
7    (40 ILCS 5/1-161 new)
8    Sec. 1-161. Pension benefits, end of service credit;
9self-directed retirement plans.
10    (a) For the purposes of this Section:
11        "Active participant" means a participant in a
12    State-funded retirement system who does not receive an
13    annuity from a State-funded retirement system.
14        "Annuitant" means a participant in a State-funded
15    retirement system who receives an annuity from a
16    State-funded retirement system.
17        "Automatic increase in retirement annuity" means an
18    automatic increase in retirement annuity granted under
19    Section 1-160 or Article 2, 14, 15, 16, or 18 of this Code.
20        "Consumer price index-u" means the index published by
21    the Bureau of Labor Statistics of the United States
22    Department of Labor that measures the average change in
23    prices of goods and services purchased by all urban

 

 

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1    consumers, United States city average, all items, 1982-84 =
2    100.
3        "Pensionable salary" means the amount of salary,
4    compensation, or earnings used by the applicable
5    State-funded retirement system to calculate the amount of
6    an individual's retirement annuity.
7        "State-funded retirement system" means a retirement
8    system established under Article 2, 14, 15, 16, or 18 of
9    this Code.
10    (b) No active participant may accrue service credit in a
11State-funded retirement system on or after the effective date
12of this amendatory Act of the 98th General Assembly.
13    (c) The pensionable salary of an active participant shall
14not exceed the pensionable salary of that participant as of the
15effective date of this amendatory Act of the 98th General
16Assembly.
17    (d) An annuitant shall not receive an automatic increase in
18retirement annuity on or after the effective date of this
19Section.
20    (e) The retirement age of active participants who are
21ineligible to retire as of the effective date of this
22amendatory Act of the 98th General Assembly shall be increased
23according to a schedule developed by the Public Pension
24Division of the Department of Insurance as soon as practicable
25after the effective date of this amendatory Act of the 98th
26General Assembly. The schedule of retirement ages adopted by

 

 

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1administrative rule of the Division shall, at a minimum, ensure
2(i) that persons who first become active participants on or
3after the effective date of this amendatory Act of the 98th
4General Assembly are not eligible to retire until reaching the
5Social Security Normal Retirement Age and (ii) that persons who
6are active participants but ineligible to retire as of the
7effective date of this amendatory Act of the 98th General
8Assembly remain ineligible to retire until reaching age 59. The
9Division's schedule shall also provide for the adjustment of
10retirement ages using a matrix that accounts for the current
11statutory retirement age for various classes of persons and
12service credit accrued by those persons as of the effective
13date of this amendatory Act of the 98th General Assembly.
14    (f) As soon as practicable after the effective date of this
15amendatory Act of the 98th General Assembly, each State-funded
16retirement system shall establish a self-directed retirement
17plan that allows individuals who are active participants and
18individuals who become active participants on or after the
19effective date of this amendatory Act of the 98th General
20Assembly the opportunity to accumulate assets for retirement
21through a combination of employee and employer contributions
22that may be invested in mutual funds, collective investment
23funds, or other investment products and used to purchase
24annuity contracts, either fixed or variable or a combination
25thereof. The plan must be qualified under the Internal Revenue
26Code of 1986. Participants in the retirement system established

 

 

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1under Article 15 may participate in the self-managed plan
2established under Section 15-158.2 in lieu of participating in
3a self-directed retirement plan created under this subsection
4(f).
5    (g) Each active participant in the retirement system
6established under Article 14 of this Code who is a noncovered
7employee and each active participant in a retirement system
8established under Article 15, 16, or 18 of this Code, except
9for a participant in the self-managed plan established under
10Section 15-158.2, shall participate in the self-directed
11retirement plan established under subsection (f) and
12contribute 8% of his or her salary, earnings, or compensation,
13whichever is applicable, to the plan. The employer of each of
14those active participants shall contribute 7% of salary,
15earnings, or compensation, whichever is applicable, to that
16plan on behalf of the participant.
17    Each active participant in the retirement system
18established under Article 14 who is a covered employee shall
19participate in the self-directed retirement plan established
20under subsection (f) and shall contribute 3% of compensation to
21the plan. The employer of each of those participants shall
22contribute 3% of compensation to the self-directed retirement
23plan on behalf of the participant.
24    Each active participant in the retirement system
25established under Article 2 of this Code shall have the option
26of participating in the self-directed retirement plan

 

 

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1established under subsection (f) and shall be entitled to
2contribute as much to the plan as is authorized by federal law.
3However, no employer contribution to the self-directed plan
4shall be made on behalf of active participants in the
5retirement system established under Article 2 of this Code.
6    For the purposes of this subsection (g), salary, earnings,
7or compensation shall not exceed $110,100. However, that amount
8shall be increased on January 1, 2016 and each January 1
9thereafter by the lesser of (i) 3% of that amount or (ii)
10one-half the annual unadjusted percentage increase (but not
11less than zero) in the consumer price index-u for the 12 months
12ending with the September preceding each November 1, as
13calculated by the Public Pension Division of the Department of
14Insurance and made available to the boards of the State-funded
15retirement systems by November 1, 2015 and each November 1
16thereafter.
17    (h) The provisions of this amendatory Act of the 98th
18General Assembly apply notwithstanding any other law,
19including Section 1-160 of this Code. If there is a conflict
20between the provisions of this amendatory Act of the 98th
21General Assembly and any other law, the provisions of this
22Section shall control.
 
23    (40 ILCS 5/2-124)  (from Ch. 108 1/2, par. 2-124)
24    (Text of Section after amendment by P.A. 98-599)
25    Sec. 2-124. Contributions by State.

 

 

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1    (a) The State shall make contributions to the System by
2appropriations of amounts which, together with the
3contributions of participants, interest earned on investments,
4and other income will meet the cost of maintaining and
5administering the System on a 90% 100% funded basis in
6accordance with actuarial recommendations by the end of State
7fiscal year 2044.
8    (b) The Board shall determine the amount of State
9contributions required for each fiscal year on the basis of the
10actuarial tables and other assumptions adopted by the Board and
11the prescribed rate of interest, using the formula in
12subsection (c).
13    (c) For State fiscal years 2016 through 2045, the minimum
14contribution to the System to be made by the State for each
15fiscal year shall be an amount determined by the System to be
16sufficient to bring the total assets of the System up to 100%
17of the total actuarial liabilities of the System by the end of
18State fiscal year 2045. In making these determinations, the
19required State contribution shall be calculated each year as a
20level dollar amount over the years remaining to and including
21fiscal year 2045 and shall be determined under the projected
22unit credit actuarial cost method.
23    For State fiscal years 2015 through 2044, the minimum
24contribution to the System to be made by the State for each
25fiscal year shall be an amount determined by the System to be
26equal to the sum of (1) the State's portion of the projected

 

 

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1normal cost for that fiscal year, plus (2) an amount sufficient
2to bring the total assets of the System up to 100% of the total
3actuarial liabilities of the System by the end of State fiscal
4year 2044. In making these determinations, the required State
5contribution shall be calculated each year as a level
6percentage of payroll over the years remaining to and including
7fiscal year 2044 and shall be determined under the projected
8unit cost method for fiscal year 2015 and under the entry age
9normal actuarial cost method for fiscal years 2016 through
102044.
11    For State fiscal years 2012 through 2015 2014, the minimum
12contribution to the System to be made by the State for each
13fiscal year shall be an amount determined by the System to be
14sufficient to bring the total assets of the System up to 90% of
15the total actuarial liabilities of the System by the end of
16State fiscal year 2045. In making these determinations, the
17required State contribution shall be calculated each year as a
18level percentage of payroll over the years remaining to and
19including fiscal year 2045 and shall be determined under the
20projected unit credit actuarial cost method.
21    For State fiscal years 1996 through 2005, the State
22contribution to the System, as a percentage of the applicable
23employee payroll, shall be increased in equal annual increments
24so that by State fiscal year 2011, the State is contributing at
25the rate required under this Section.
26    Notwithstanding any other provision of this Article, the

 

 

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1total required State contribution for State fiscal year 2006 is
2$4,157,000.
3    Notwithstanding any other provision of this Article, the
4total required State contribution for State fiscal year 2007 is
5$5,220,300.
6    For each of State fiscal years 2008 through 2009, the State
7contribution to the System, as a percentage of the applicable
8employee payroll, shall be increased in equal annual increments
9from the required State contribution for State fiscal year
102007, so that by State fiscal year 2011, the State is
11contributing at the rate otherwise required under this Section.
12    Notwithstanding any other provision of this Article, the
13total required State contribution for State fiscal year 2010 is
14$10,454,000 and shall be made from the proceeds of bonds sold
15in fiscal year 2010 pursuant to Section 7.2 of the General
16Obligation Bond Act, less (i) the pro rata share of bond sale
17expenses determined by the System's share of total bond
18proceeds, (ii) any amounts received from the General Revenue
19Fund in fiscal year 2010, and (iii) any reduction in bond
20proceeds due to the issuance of discounted bonds, if
21applicable.
22    Notwithstanding any other provision of this Article, the
23total required State contribution for State fiscal year 2011 is
24the amount recertified by the System on or before April 1, 2011
25pursuant to Section 2-134 and shall be made from the proceeds
26of bonds sold in fiscal year 2011 pursuant to Section 7.2 of

 

 

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1the General Obligation Bond Act, less (i) the pro rata share of
2bond sale expenses determined by the System's share of total
3bond proceeds, (ii) any amounts received from the General
4Revenue Fund in fiscal year 2011, and (iii) any reduction in
5bond proceeds due to the issuance of discounted bonds, if
6applicable.
7    Beginning in State fiscal year 2046, the minimum State
8contribution for each fiscal year shall be the amount needed to
9maintain the total assets of the System at 90% of the total
10actuarial liabilities of the System.
11    Beginning in State fiscal year 2045, the minimum State
12contribution for each fiscal year shall be the amount needed to
13maintain the total assets of the System at 100% of the total
14actuarial liabilities of the System.
15    Amounts received by the System pursuant to Section 25 of
16the Budget Stabilization Act or Section 8.12 of the State
17Finance Act in any fiscal year do not reduce and do not
18constitute payment of any portion of the minimum State
19contribution required under this Article in that fiscal year.
20Such amounts shall not reduce, and shall not be included in the
21calculation of, the required State contributions under this
22Article in any future year until the System has reached a
23funding ratio of at least 90% 100%. A reference in this Article
24to the "required State contribution" or any substantially
25similar term does not include or apply to any amounts payable
26to the System under Section 25 of the Budget Stabilization Act.

 

 

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1    Notwithstanding any other provision of this Section, the
2required State contribution for State fiscal year 2005 and for
3fiscal year 2008 and each fiscal year thereafter through State
4fiscal year 2014, as calculated under this Section and
5certified under Section 2-134, shall not exceed an amount equal
6to (i) the amount of the required State contribution that would
7have been calculated under this Section for that fiscal year if
8the System had not received any payments under subsection (d)
9of Section 7.2 of the General Obligation Bond Act, minus (ii)
10the portion of the State's total debt service payments for that
11fiscal year on the bonds issued in fiscal year 2003 for the
12purposes of that Section 7.2, as determined and certified by
13the Comptroller, that is the same as the System's portion of
14the total moneys distributed under subsection (d) of Section
157.2 of the General Obligation Bond Act. In determining this
16maximum for State fiscal years 2008 through 2010, however, the
17amount referred to in item (i) shall be increased, as a
18percentage of the applicable employee payroll, in equal
19increments calculated from the sum of the required State
20contribution for State fiscal year 2007 plus the applicable
21portion of the State's total debt service payments for fiscal
22year 2007 on the bonds issued in fiscal year 2003 for the
23purposes of Section 7.2 of the General Obligation Bond Act, so
24that, by State fiscal year 2011, the State is contributing at
25the rate otherwise required under this Section.
26    (d) For purposes of determining the required State

 

 

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1contribution to the System, the value of the System's assets
2shall be equal to the actuarial value of the System's assets,
3which shall be calculated as follows:
4    As of June 30, 2008, the actuarial value of the System's
5assets shall be equal to the market value of the assets as of
6that date. In determining the actuarial value of the System's
7assets for fiscal years after June 30, 2008, any actuarial
8gains or losses from investment return incurred in a fiscal
9year shall be recognized in equal annual amounts over the
105-year period following that fiscal year.
11    (e) For purposes of determining the required State
12contribution to the system for a particular year, the actuarial
13value of assets shall be assumed to earn a rate of return equal
14to the system's actuarially assumed rate of return.
15(Source: P.A. 97-813, eff. 7-13-12; 98-599, eff. 6-1-14.)
 
16    (40 ILCS 5/14-131)
17    (Text of Section after amendment by P.A. 98-599)
18    Sec. 14-131. Contributions by State.
19    (a) The State shall make contributions to the System by
20appropriations of amounts which, together with other employer
21contributions from trust, federal, and other funds, employee
22contributions, investment income, and other income, will be
23sufficient to meet the cost of maintaining and administering
24the System on a 90% 100% funded basis in accordance with
25actuarial recommendations by the end of State fiscal year 2044.

 

 

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1    For the purposes of this Section and Section 14-135.08,
2references to State contributions refer only to employer
3contributions and do not include employee contributions that
4are picked up or otherwise paid by the State or a department on
5behalf of the employee.
6    (b) The Board shall determine the total amount of State
7contributions required for each fiscal year on the basis of the
8actuarial tables and other assumptions adopted by the Board,
9using the formula in subsection (e).
10    The Board shall also determine a State contribution rate
11for each fiscal year, expressed as a percentage of payroll,
12based on the total required State contribution for that fiscal
13year (less the amount received by the System from
14appropriations under Section 8.12 of the State Finance Act and
15Section 1 of the State Pension Funds Continuing Appropriation
16Act, if any, for the fiscal year ending on the June 30
17immediately preceding the applicable November 15 certification
18deadline), the estimated payroll (including all forms of
19compensation) for personal services rendered by eligible
20employees, and the recommendations of the actuary.
21    For the purposes of this Section and Section 14.1 of the
22State Finance Act, the term "eligible employees" includes
23employees who participate in the System, persons who may elect
24to participate in the System but have not so elected, persons
25who are serving a qualifying period that is required for
26participation, and annuitants employed by a department as

 

 

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1described in subdivision (a)(1) or (a)(2) of Section 14-111.
2    (c) Contributions shall be made by the several departments
3for each pay period by warrants drawn by the State Comptroller
4against their respective funds or appropriations based upon
5vouchers stating the amount to be so contributed. These amounts
6shall be based on the full rate certified by the Board under
7Section 14-135.08 for that fiscal year. From the effective date
8of this amendatory Act of the 93rd General Assembly through the
9payment of the final payroll from fiscal year 2004
10appropriations, the several departments shall not make
11contributions for the remainder of fiscal year 2004 but shall
12instead make payments as required under subsection (a-1) of
13Section 14.1 of the State Finance Act. The several departments
14shall resume those contributions at the commencement of fiscal
15year 2005.
16    (c-1) Notwithstanding subsection (c) of this Section, for
17fiscal years 2010, 2012, 2013, and 2014 only, contributions by
18the several departments are not required to be made for General
19Revenue Funds payrolls processed by the Comptroller. Payrolls
20paid by the several departments from all other State funds must
21continue to be processed pursuant to subsection (c) of this
22Section.
23    (c-2) For State fiscal years 2010, 2012, 2013, and 2014
24only, on or as soon as possible after the 15th day of each
25month, the Board shall submit vouchers for payment of State
26contributions to the System, in a total monthly amount of

 

 

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1one-twelfth of the fiscal year General Revenue Fund
2contribution as certified by the System pursuant to Section
314-135.08 of the Illinois Pension Code.
4    (d) If an employee is paid from trust funds or federal
5funds, the department or other employer shall pay employer
6contributions from those funds to the System at the certified
7rate, unless the terms of the trust or the federal-State
8agreement preclude the use of the funds for that purpose, in
9which case the required employer contributions shall be paid by
10the State. From the effective date of this amendatory Act of
11the 93rd General Assembly through the payment of the final
12payroll from fiscal year 2004 appropriations, the department or
13other employer shall not pay contributions for the remainder of
14fiscal year 2004 but shall instead make payments as required
15under subsection (a-1) of Section 14.1 of the State Finance
16Act. The department or other employer shall resume payment of
17contributions at the commencement of fiscal year 2005.
18    (e) For State fiscal years 2016 through 2045, the minimum
19contribution to the System to be made by the State for each
20fiscal year shall be an amount determined by the System to be
21sufficient to bring the total assets of the System up to 100%
22of the total actuarial liabilities of the System by the end of
23State fiscal year 2045. In making these determinations, the
24required State contribution shall be calculated each year as a
25level dollar amount over the years remaining to and including
26fiscal year 2045 and shall be determined under the projected

 

 

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1unit credit actuarial cost method.
2    For State fiscal years 2015 through 2044, the minimum
3contribution to the System to be made by the State for each
4fiscal year shall be an amount determined by the System to be
5equal to the sum of (1) the State's portion of the projected
6normal cost for that fiscal year, plus (2) an amount sufficient
7to bring the total assets of the System up to 100% of the total
8actuarial liabilities of the System by the end of State fiscal
9year 2044. In making these determinations, the required State
10contribution shall be calculated each year as a level
11percentage of payroll over the years remaining to and including
12fiscal year 2044 and shall be determined under the projected
13unit cost method for fiscal year 2015 and under the entry age
14normal actuarial cost method for fiscal years 2016 through
152044.
16    For State fiscal years 2012 through 2015 2014, the minimum
17contribution to the System to be made by the State for each
18fiscal year shall be an amount determined by the System to be
19sufficient to bring the total assets of the System up to 90% of
20the total actuarial liabilities of the System by the end of
21State fiscal year 2045. In making these determinations, the
22required State contribution shall be calculated each year as a
23level percentage of payroll over the years remaining to and
24including fiscal year 2045 and shall be determined under the
25projected unit credit actuarial cost method.
26    For State fiscal years 1996 through 2005, the State

 

 

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1contribution to the System, as a percentage of the applicable
2employee payroll, shall be increased in equal annual increments
3so that by State fiscal year 2011, the State is contributing at
4the rate required under this Section; except that (i) for State
5fiscal year 1998, for all purposes of this Code and any other
6law of this State, the certified percentage of the applicable
7employee payroll shall be 5.052% for employees earning eligible
8creditable service under Section 14-110 and 6.500% for all
9other employees, notwithstanding any contrary certification
10made under Section 14-135.08 before the effective date of this
11amendatory Act of 1997, and (ii) in the following specified
12State fiscal years, the State contribution to the System shall
13not be less than the following indicated percentages of the
14applicable employee payroll, even if the indicated percentage
15will produce a State contribution in excess of the amount
16otherwise required under this subsection and subsection (a):
179.8% in FY 1999; 10.0% in FY 2000; 10.2% in FY 2001; 10.4% in FY
182002; 10.6% in FY 2003; and 10.8% in FY 2004.
19    Notwithstanding any other provision of this Article, the
20total required State contribution to the System for State
21fiscal year 2006 is $203,783,900.
22    Notwithstanding any other provision of this Article, the
23total required State contribution to the System for State
24fiscal year 2007 is $344,164,400.
25    For each of State fiscal years 2008 through 2009, the State
26contribution to the System, as a percentage of the applicable

 

 

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1employee payroll, shall be increased in equal annual increments
2from the required State contribution for State fiscal year
32007, so that by State fiscal year 2011, the State is
4contributing at the rate otherwise required under this Section.
5    Notwithstanding any other provision of this Article, the
6total required State General Revenue Fund contribution for
7State fiscal year 2010 is $723,703,100 and shall be made from
8the proceeds of bonds sold in fiscal year 2010 pursuant to
9Section 7.2 of the General Obligation Bond Act, less (i) the
10pro rata share of bond sale expenses determined by the System's
11share of total bond proceeds, (ii) any amounts received from
12the General Revenue Fund in fiscal year 2010, and (iii) any
13reduction in bond proceeds due to the issuance of discounted
14bonds, if applicable.
15    Notwithstanding any other provision of this Article, the
16total required State General Revenue Fund contribution for
17State fiscal year 2011 is the amount recertified by the System
18on or before April 1, 2011 pursuant to Section 14-135.08 and
19shall be made from the proceeds of bonds sold in fiscal year
202011 pursuant to Section 7.2 of the General Obligation Bond
21Act, less (i) the pro rata share of bond sale expenses
22determined by the System's share of total bond proceeds, (ii)
23any amounts received from the General Revenue Fund in fiscal
24year 2011, and (iii) any reduction in bond proceeds due to the
25issuance of discounted bonds, if applicable.
26    Beginning in State fiscal year 2046, the minimum State

 

 

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1contribution for each fiscal year shall be the amount needed to
2maintain the total assets of the System at 90% of the total
3actuarial liabilities of the System.
4    Beginning in State fiscal year 2045, the minimum State
5contribution for each fiscal year shall be the amount needed to
6maintain the total assets of the System at 100% of the total
7actuarial liabilities of the System.
8    Amounts received by the System pursuant to Section 25 of
9the Budget Stabilization Act or Section 8.12 of the State
10Finance Act in any fiscal year do not reduce and do not
11constitute payment of any portion of the minimum State
12contribution required under this Article in that fiscal year.
13Such amounts shall not reduce, and shall not be included in the
14calculation of, the required State contributions under this
15Article in any future year until the System has reached a
16funding ratio of at least 90% 100%. A reference in this Article
17to the "required State contribution" or any substantially
18similar term does not include or apply to any amounts payable
19to the System under Section 25 of the Budget Stabilization Act.
20    Notwithstanding any other provision of this Section, the
21required State contribution for State fiscal year 2005 and for
22fiscal year 2008 and each fiscal year thereafter through State
23fiscal year 2014, as calculated under this Section and
24certified under Section 14-135.08, shall not exceed an amount
25equal to (i) the amount of the required State contribution that
26would have been calculated under this Section for that fiscal

 

 

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1year if the System had not received any payments under
2subsection (d) of Section 7.2 of the General Obligation Bond
3Act, minus (ii) the portion of the State's total debt service
4payments for that fiscal year on the bonds issued in fiscal
5year 2003 for the purposes of that Section 7.2, as determined
6and certified by the Comptroller, that is the same as the
7System's portion of the total moneys distributed under
8subsection (d) of Section 7.2 of the General Obligation Bond
9Act. In determining this maximum for State fiscal years 2008
10through 2010, however, the amount referred to in item (i) shall
11be increased, as a percentage of the applicable employee
12payroll, in equal increments calculated from the sum of the
13required State contribution for State fiscal year 2007 plus the
14applicable portion of the State's total debt service payments
15for fiscal year 2007 on the bonds issued in fiscal year 2003
16for the purposes of Section 7.2 of the General Obligation Bond
17Act, so that, by State fiscal year 2011, the State is
18contributing at the rate otherwise required under this Section.
19    (f) After the submission of all payments for eligible
20employees from personal services line items in fiscal year 2004
21have been made, the Comptroller shall provide to the System a
22certification of the sum of all fiscal year 2004 expenditures
23for personal services that would have been covered by payments
24to the System under this Section if the provisions of this
25amendatory Act of the 93rd General Assembly had not been
26enacted. Upon receipt of the certification, the System shall

 

 

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1determine the amount due to the System based on the full rate
2certified by the Board under Section 14-135.08 for fiscal year
32004 in order to meet the State's obligation under this
4Section. The System shall compare this amount due to the amount
5received by the System in fiscal year 2004 through payments
6under this Section and under Section 6z-61 of the State Finance
7Act. If the amount due is more than the amount received, the
8difference shall be termed the "Fiscal Year 2004 Shortfall" for
9purposes of this Section, and the Fiscal Year 2004 Shortfall
10shall be satisfied under Section 1.2 of the State Pension Funds
11Continuing Appropriation Act. If the amount due is less than
12the amount received, the difference shall be termed the "Fiscal
13Year 2004 Overpayment" for purposes of this Section, and the
14Fiscal Year 2004 Overpayment shall be repaid by the System to
15the Pension Contribution Fund as soon as practicable after the
16certification.
17    (g) For purposes of determining the required State
18contribution to the System, the value of the System's assets
19shall be equal to the actuarial value of the System's assets,
20which shall be calculated as follows:
21    As of June 30, 2008, the actuarial value of the System's
22assets shall be equal to the market value of the assets as of
23that date. In determining the actuarial value of the System's
24assets for fiscal years after June 30, 2008, any actuarial
25gains or losses from investment return incurred in a fiscal
26year shall be recognized in equal annual amounts over the

 

 

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15-year period following that fiscal year.
2    (h) For purposes of determining the required State
3contribution to the System for a particular year, the actuarial
4value of assets shall be assumed to earn a rate of return equal
5to the System's actuarially assumed rate of return.
6    (i) After the submission of all payments for eligible
7employees from personal services line items paid from the
8General Revenue Fund in fiscal year 2010 have been made, the
9Comptroller shall provide to the System a certification of the
10sum of all fiscal year 2010 expenditures for personal services
11that would have been covered by payments to the System under
12this Section if the provisions of this amendatory Act of the
1396th General Assembly had not been enacted. Upon receipt of the
14certification, the System shall determine the amount due to the
15System based on the full rate certified by the Board under
16Section 14-135.08 for fiscal year 2010 in order to meet the
17State's obligation under this Section. The System shall compare
18this amount due to the amount received by the System in fiscal
19year 2010 through payments under this Section. If the amount
20due is more than the amount received, the difference shall be
21termed the "Fiscal Year 2010 Shortfall" for purposes of this
22Section, and the Fiscal Year 2010 Shortfall shall be satisfied
23under Section 1.2 of the State Pension Funds Continuing
24Appropriation Act. If the amount due is less than the amount
25received, the difference shall be termed the "Fiscal Year 2010
26Overpayment" for purposes of this Section, and the Fiscal Year

 

 

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12010 Overpayment shall be repaid by the System to the General
2Revenue Fund as soon as practicable after the certification.
3    (j) After the submission of all payments for eligible
4employees from personal services line items paid from the
5General Revenue Fund in fiscal year 2011 have been made, the
6Comptroller shall provide to the System a certification of the
7sum of all fiscal year 2011 expenditures for personal services
8that would have been covered by payments to the System under
9this Section if the provisions of this amendatory Act of the
1096th General Assembly had not been enacted. Upon receipt of the
11certification, the System shall determine the amount due to the
12System based on the full rate certified by the Board under
13Section 14-135.08 for fiscal year 2011 in order to meet the
14State's obligation under this Section. The System shall compare
15this amount due to the amount received by the System in fiscal
16year 2011 through payments under this Section. If the amount
17due is more than the amount received, the difference shall be
18termed the "Fiscal Year 2011 Shortfall" for purposes of this
19Section, and the Fiscal Year 2011 Shortfall shall be satisfied
20under Section 1.2 of the State Pension Funds Continuing
21Appropriation Act. If the amount due is less than the amount
22received, the difference shall be termed the "Fiscal Year 2011
23Overpayment" for purposes of this Section, and the Fiscal Year
242011 Overpayment shall be repaid by the System to the General
25Revenue Fund as soon as practicable after the certification.
26    (k) For fiscal years 2012 through 2014 only, after the

 

 

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1submission of all payments for eligible employees from personal
2services line items paid from the General Revenue Fund in the
3fiscal year have been made, the Comptroller shall provide to
4the System a certification of the sum of all expenditures in
5the fiscal year for personal services. Upon receipt of the
6certification, the System shall determine the amount due to the
7System based on the full rate certified by the Board under
8Section 14-135.08 for the fiscal year in order to meet the
9State's obligation under this Section. The System shall compare
10this amount due to the amount received by the System for the
11fiscal year. If the amount due is more than the amount
12received, the difference shall be termed the "Prior Fiscal Year
13Shortfall" for purposes of this Section, and the Prior Fiscal
14Year Shortfall shall be satisfied under Section 1.2 of the
15State Pension Funds Continuing Appropriation Act. If the amount
16due is less than the amount received, the difference shall be
17termed the "Prior Fiscal Year Overpayment" for purposes of this
18Section, and the Prior Fiscal Year Overpayment shall be repaid
19by the System to the General Revenue Fund as soon as
20practicable after the certification.
21(Source: P.A. 97-72, eff. 7-1-11; 97-732, eff. 6-30-12; 98-24,
22eff. 6-19-13; 98-599, eff. 6-1-14.)
 
23    (40 ILCS 5/15-155)  (from Ch. 108 1/2, par. 15-155)
24    (Text of Section after amendment by P.A. 98-599)
25    Sec. 15-155. Employer contributions.

 

 

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1    (a) Through State fiscal year 2015, the The State of
2Illinois shall make contributions by appropriations of amounts
3which, together with the other employer contributions from
4trust, federal, and other funds, employee contributions,
5income from investments, and other income of this System, will
6be sufficient to meet the cost of maintaining and administering
7the System on a 90% 100% funded basis in accordance with
8actuarial recommendations by the end of State fiscal year 2044.
9    Notwithstanding any other provision of this Article,
10beginning in State fiscal year 2016, the actual employers under
11this Article shall make contributions of amounts which,
12together with the other employer contributions from trust,
13federal, and other funds, employee contributions, income from
14investments, and other income of this System, will be
15sufficient to meet the cost of maintaining and administering
16the System on a 90% funded basis in accordance with actuarial
17recommendations.
18    The Board shall determine the amount of State and employer
19contributions required for each fiscal year on the basis of the
20actuarial tables and other assumptions adopted by the Board and
21the recommendations of the actuary, using the formula in
22subsection (a-1). Beginning with State fiscal year 2016, the
23required employer contributions shall be expressed as a
24percentage of payroll.
25    (a-1) For State fiscal years 2016 through 2045, the minimum
26total contribution to the System to be made by the employers

 

 

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1under this subsection for each fiscal year shall be an amount
2determined by the System to be sufficient to bring the total
3assets of the System up to 100% of the total actuarial
4liabilities of the System by the end of State fiscal year 2045.
5In making these determinations, the required State
6contribution shall be calculated each year as a level dollar
7amount over the years remaining to and including fiscal year
82045 and shall be determined under the projected unit credit
9actuarial cost method.
10    For State fiscal years 2015 through 2044, the minimum
11contribution to the System to be made by the State for each
12fiscal year shall be an amount determined by the System to be
13equal to the sum of (1) the State's portion of the projected
14normal cost for that fiscal year, plus (2) an amount sufficient
15to bring the total assets of the System up to 100% of the total
16actuarial liabilities of the System by the end of the State
17fiscal year 2044. In making these determinations, the required
18State contribution shall be calculated each year as a level
19percentage of payroll over the years remaining to and including
20fiscal year 2044 and shall be determined under the projected
21unit cost method for fiscal year 2015 and under the entry age
22normal actuarial cost method for fiscal years 2016 through
232044.
24    For State fiscal years 2012 through 2015 2014, the minimum
25contribution to the System to be made by the State for each
26fiscal year shall be an amount determined by the System to be

 

 

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1sufficient to bring the total assets of the System up to 90% of
2the total actuarial liabilities of the System by the end of
3State fiscal year 2045. In making these determinations, the
4required State contribution shall be calculated each year as a
5level percentage of payroll over the years remaining to and
6including fiscal year 2045 and shall be determined under the
7projected unit credit actuarial cost method.
8    For State fiscal years 1996 through 2005, the State
9contribution to the System, as a percentage of the applicable
10employee payroll, shall be increased in equal annual increments
11so that by State fiscal year 2011, the State is contributing at
12the rate required under this Section.
13    Notwithstanding any other provision of this Article, the
14total required State contribution for State fiscal year 2006 is
15$166,641,900.
16    Notwithstanding any other provision of this Article, the
17total required State contribution for State fiscal year 2007 is
18$252,064,100.
19    For each of State fiscal years 2008 through 2009, the State
20contribution to the System, as a percentage of the applicable
21employee payroll, shall be increased in equal annual increments
22from the required State contribution for State fiscal year
232007, so that by State fiscal year 2011, the State is
24contributing at the rate otherwise required under this Section.
25    Notwithstanding any other provision of this Article, the
26total required State contribution for State fiscal year 2010 is

 

 

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1$702,514,000 and shall be made from the State Pensions Fund and
2proceeds of bonds sold in fiscal year 2010 pursuant to Section
37.2 of the General Obligation Bond Act, less (i) the pro rata
4share of bond sale expenses determined by the System's share of
5total bond proceeds, (ii) any amounts received from the General
6Revenue Fund in fiscal year 2010, (iii) any reduction in bond
7proceeds due to the issuance of discounted bonds, if
8applicable.
9    Notwithstanding any other provision of this Article, the
10total required State contribution for State fiscal year 2011 is
11the amount recertified by the System on or before April 1, 2011
12pursuant to Section 15-165 and shall be made from the State
13Pensions Fund and proceeds of bonds sold in fiscal year 2011
14pursuant to Section 7.2 of the General Obligation Bond Act,
15less (i) the pro rata share of bond sale expenses determined by
16the System's share of total bond proceeds, (ii) any amounts
17received from the General Revenue Fund in fiscal year 2011, and
18(iii) any reduction in bond proceeds due to the issuance of
19discounted bonds, if applicable.
20    Beginning in State fiscal year 2046, the minimum total
21employer contribution under this subsection for each fiscal
22year shall be the amount needed to maintain the total assets of
23the System at 90% of the total actuarial liabilities of the
24System.
25    Beginning in State fiscal year 2045, the minimum
26contribution for each fiscal year shall be the amount needed to

 

 

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1maintain the total assets of the System at 100% of the total
2liabilities of the System.
3    Amounts received by the System pursuant to Section 25 of
4the Budget Stabilization Act or Section 8.12 of the State
5Finance Act in any fiscal year do not reduce and do not
6constitute payment of any portion of the minimum State
7contribution required under this Article in that fiscal year.
8Such amounts shall not reduce, and shall not be included in the
9calculation of, the required State contributions under this
10Article in any future year until the System has reached a
11funding ratio of at least 90% 100%. A reference in this Article
12to the "required State contribution" or any substantially
13similar term does not include or apply to any amounts payable
14to the System under Section 25 of the Budget Stabilization Act.
15    Notwithstanding any other provision of this Section, the
16required State contribution for State fiscal year 2005 and for
17fiscal year 2008 and each fiscal year thereafter through State
18fiscal year 2015 2014, as calculated under this Section and
19certified under Section 15-165, shall not exceed an amount
20equal to (i) the amount of the required State contribution that
21would have been calculated under this Section for that fiscal
22year if the System had not received any payments under
23subsection (d) of Section 7.2 of the General Obligation Bond
24Act, minus (ii) the portion of the State's total debt service
25payments for that fiscal year on the bonds issued in fiscal
26year 2003 for the purposes of that Section 7.2, as determined

 

 

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1and certified by the Comptroller, that is the same as the
2System's portion of the total moneys distributed under
3subsection (d) of Section 7.2 of the General Obligation Bond
4Act. In determining this maximum for State fiscal years 2008
5through 2010, however, the amount referred to in item (i) shall
6be increased, as a percentage of the applicable employee
7payroll, in equal increments calculated from the sum of the
8required State contribution for State fiscal year 2007 plus the
9applicable portion of the State's total debt service payments
10for fiscal year 2007 on the bonds issued in fiscal year 2003
11for the purposes of Section 7.2 of the General Obligation Bond
12Act, so that, by State fiscal year 2011, the State is
13contributing at the rate otherwise required under this Section.
14    (b) If an employee is paid from trust or federal funds, the
15employer shall pay to the Board contributions from those funds
16which are sufficient to cover the accruing normal costs on
17behalf of the employee. However, universities having employees
18who are compensated out of local auxiliary funds, income funds,
19or service enterprise funds are not required to pay such
20contributions on behalf of those employees. The local auxiliary
21funds, income funds, and service enterprise funds of
22universities shall not be considered trust funds for the
23purpose of this Article, but funds of alumni associations,
24foundations, and athletic associations which are affiliated
25with the universities included as employers under this Article
26and other employers which do not receive State appropriations

 

 

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1are considered to be trust funds for the purpose of this
2Article.
3    (b-1) The City of Urbana and the City of Champaign shall
4each make employer contributions to this System for their
5respective firefighter employees who participate in this
6System pursuant to subsection (h) of Section 15-107. The rate
7of contributions to be made by those municipalities shall be
8determined annually by the Board on the basis of the actuarial
9assumptions adopted by the Board and the recommendations of the
10actuary, and shall be expressed as a percentage of salary for
11each such employee. The Board shall certify the rate to the
12affected municipalities as soon as may be practical. The
13employer contributions required under this subsection shall be
14remitted by the municipality to the System at the same time and
15in the same manner as employee contributions.
16    (c) Through State fiscal year 1995: The total employer
17contribution shall be apportioned among the various funds of
18the State and other employers, whether trust, federal, or other
19funds, in accordance with actuarial procedures approved by the
20Board. State of Illinois contributions for employers receiving
21State appropriations for personal services shall be payable
22from appropriations made to the employers or to the System. The
23contributions for Class I community colleges covering earnings
24other than those paid from trust and federal funds, shall be
25payable solely from appropriations to the Illinois Community
26College Board or the System for employer contributions.

 

 

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1    (d) Beginning in State fiscal year 1996, the required State
2contributions to the System shall be appropriated directly to
3the System and shall be payable through vouchers issued in
4accordance with subsection (c) of Section 15-165, except as
5provided in subsection (g).
6    (e) The State Comptroller shall draw warrants payable to
7the System upon proper certification by the System or by the
8employer in accordance with the appropriation laws and this
9Code.
10    (f) Normal costs under this Section means liability for
11pensions and other benefits which accrues to the System because
12of the credits earned for service rendered by the participants
13during the fiscal year and expenses of administering the
14System, but shall not include the principal of or any
15redemption premium or interest on any bonds issued by the Board
16or any expenses incurred or deposits required in connection
17therewith.
18    (g) Contributions required under this subsection are in
19addition to the contributions required under subsection (a) of
20this Section.
21    If the amount of a participant's earnings for any academic
22year used to determine the final rate of earnings, determined
23on a full-time equivalent basis, exceeds the amount of his or
24her earnings with the same employer for the previous academic
25year, determined on a full-time equivalent basis, by more than
266%, the participant's employer shall pay to the System, in

 

 

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1addition to all other payments required under this Section and
2in accordance with guidelines established by the System, the
3present value of the increase in benefits resulting from the
4portion of the increase in earnings that is in excess of 6%.
5This present value shall be computed by the System on the basis
6of the actuarial assumptions and tables used in the most recent
7actuarial valuation of the System that is available at the time
8of the computation. The System may require the employer to
9provide any pertinent information or documentation.
10    Whenever it determines that a payment is or may be required
11under this subsection (g), the System shall calculate the
12amount of the payment and bill the employer for that amount.
13The bill shall specify the calculations used to determine the
14amount due. If the employer disputes the amount of the bill, it
15may, within 30 days after receipt of the bill, apply to the
16System in writing for a recalculation. The application must
17specify in detail the grounds of the dispute and, if the
18employer asserts that the calculation is subject to subsection
19(h) or (i) of this Section, must include an affidavit setting
20forth and attesting to all facts within the employer's
21knowledge that are pertinent to the applicability of subsection
22(h) or (i). Upon receiving a timely application for
23recalculation, the System shall review the application and, if
24appropriate, recalculate the amount due.
25    The employer contributions required under this subsection
26(g) may be paid in the form of a lump sum within 90 days after

 

 

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1receipt of the bill. If the employer contributions are not paid
2within 90 days after receipt of the bill, then interest will be
3charged at a rate equal to the System's annual actuarially
4assumed rate of return on investment compounded annually from
5the 91st day after receipt of the bill. Payments must be
6concluded within 3 years after the employer's receipt of the
7bill.
8    (h) This subsection (h) applies only to payments made or
9salary increases given on or after June 1, 2005 but before July
101, 2011. The changes made by Public Act 94-1057 shall not
11require the System to refund any payments received before July
1231, 2006 (the effective date of Public Act 94-1057).
13    When assessing payment for any amount due under subsection
14(g), the System shall exclude earnings increases paid to
15participants under contracts or collective bargaining
16agreements entered into, amended, or renewed before June 1,
172005.
18    When assessing payment for any amount due under subsection
19(g), the System shall exclude earnings increases paid to a
20participant at a time when the participant is 10 or more years
21from retirement eligibility under Section 15-135.
22    When assessing payment for any amount due under subsection
23(g), the System shall exclude earnings increases resulting from
24overload work, including a contract for summer teaching, or
25overtime when the employer has certified to the System, and the
26System has approved the certification, that: (i) in the case of

 

 

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1overloads (A) the overload work is for the sole purpose of
2academic instruction in excess of the standard number of
3instruction hours for a full-time employee occurring during the
4academic year that the overload is paid and (B) the earnings
5increases are equal to or less than the rate of pay for
6academic instruction computed using the participant's current
7salary rate and work schedule; and (ii) in the case of
8overtime, the overtime was necessary for the educational
9mission.
10    When assessing payment for any amount due under subsection
11(g), the System shall exclude any earnings increase resulting
12from (i) a promotion for which the employee moves from one
13classification to a higher classification under the State
14Universities Civil Service System, (ii) a promotion in academic
15rank for a tenured or tenure-track faculty position, or (iii) a
16promotion that the Illinois Community College Board has
17recommended in accordance with subsection (k) of this Section.
18These earnings increases shall be excluded only if the
19promotion is to a position that has existed and been filled by
20a member for no less than one complete academic year and the
21earnings increase as a result of the promotion is an increase
22that results in an amount no greater than the average salary
23paid for other similar positions.
24    (i) When assessing payment for any amount due under
25subsection (g), the System shall exclude any salary increase
26described in subsection (h) of this Section given on or after

 

 

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1July 1, 2011 but before July 1, 2014 under a contract or
2collective bargaining agreement entered into, amended, or
3renewed on or after June 1, 2005 but before July 1, 2011.
4Notwithstanding any other provision of this Section, any
5payments made or salary increases given after June 30, 2014
6shall be used in assessing payment for any amount due under
7subsection (g) of this Section.
8    (j) The System shall prepare a report and file copies of
9the report with the Governor and the General Assembly by
10January 1, 2007 that contains all of the following information:
11        (1) The number of recalculations required by the
12    changes made to this Section by Public Act 94-1057 for each
13    employer.
14        (2) The dollar amount by which each employer's
15    contribution to the System was changed due to
16    recalculations required by Public Act 94-1057.
17        (3) The total amount the System received from each
18    employer as a result of the changes made to this Section by
19    Public Act 94-4.
20        (4) The increase in the required State contribution
21    resulting from the changes made to this Section by Public
22    Act 94-1057.
23    (k) The Illinois Community College Board shall adopt rules
24for recommending lists of promotional positions submitted to
25the Board by community colleges and for reviewing the
26promotional lists on an annual basis. When recommending

 

 

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1promotional lists, the Board shall consider the similarity of
2the positions submitted to those positions recognized for State
3universities by the State Universities Civil Service System.
4The Illinois Community College Board shall file a copy of its
5findings with the System. The System shall consider the
6findings of the Illinois Community College Board when making
7determinations under this Section. The System shall not exclude
8any earnings increases resulting from a promotion when the
9promotion was not submitted by a community college. Nothing in
10this subsection (k) shall require any community college to
11submit any information to the Community College Board.
12    (l) For purposes of determining the required State or
13employer contribution to the System, the value of the System's
14assets shall be equal to the actuarial value of the System's
15assets, which shall be calculated as follows:
16    As of June 30, 2008, the actuarial value of the System's
17assets shall be equal to the market value of the assets as of
18that date. In determining the actuarial value of the System's
19assets for fiscal years after June 30, 2008, any actuarial
20gains or losses from investment return incurred in a fiscal
21year shall be recognized in equal annual amounts over the
225-year period following that fiscal year.
23    (m) For purposes of determining the required State or
24employer contribution to the system for a particular year, the
25actuarial value of assets shall be assumed to earn a rate of
26return equal to the system's actuarially assumed rate of

 

 

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1return.
2(Source: P.A. 97-813, eff. 7-13-12; 98-92, eff. 7-16-13;
398-463, eff. 8-16-13; 98-599, eff. 6-1-14.)
 
4    (40 ILCS 5/16-158)   (from Ch. 108 1/2, par. 16-158)
5    (Text of Section after amendment by P.A. 98-599)
6    Sec. 16-158. Contributions by State and other employing
7units.
8    (a) Through State fiscal year 2015, the The State shall
9make contributions to the System by means of appropriations
10from the Common School Fund and other State funds of amounts
11which, together with other employer contributions, employee
12contributions, investment income, and other income, will be
13sufficient to meet the cost of maintaining and administering
14the System on a 90% 100% funded basis in accordance with
15actuarial recommendations by the end of State fiscal year 2044.
16    Notwithstanding any other provision of this Article,
17beginning in State fiscal year 2016, the actual employers of
18teachers under this Article shall make contributions of amounts
19which, together with the other employer contributions from
20trust, federal, and other funds, employee contributions,
21income from investments, and other income of this System, will
22be sufficient to meet the cost of maintaining and administering
23the System on a 90% funded basis in accordance with actuarial
24recommendations.
25    The Board shall determine the amount of State and employer

 

 

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1contributions required for each fiscal year on the basis of the
2actuarial tables and other assumptions adopted by the Board and
3the recommendations of the actuary, using the formula in
4subsection (b-3). Beginning with State fiscal year 2016, the
5required employer contributions shall be expressed as a
6percentage of payroll.
7    (a-1) Annually, on or before November 15 through November
815, 2011, the Board shall certify to the Governor the amount of
9the required State contribution for the coming fiscal year. The
10certification under this subsection (a-1) shall include a copy
11of the actuarial recommendations upon which it is based.
12    On or before May 1, 2004, the Board shall recalculate and
13recertify to the Governor the amount of the required State
14contribution to the System for State fiscal year 2005, taking
15into account the amounts appropriated to and received by the
16System under subsection (d) of Section 7.2 of the General
17Obligation Bond Act.
18    On or before July 1, 2005, the Board shall recalculate and
19recertify to the Governor the amount of the required State
20contribution to the System for State fiscal year 2006, taking
21into account the changes in required State contributions made
22by this amendatory Act of the 94th General Assembly.
23    On or before April 1, 2011, the Board shall recalculate and
24recertify to the Governor the amount of the required State
25contribution to the System for State fiscal year 2011, applying
26the changes made by Public Act 96-889 to the System's assets

 

 

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1and liabilities as of June 30, 2009 as though Public Act 96-889
2was approved on that date.
3    (a-5) On or before November 1 of each year, beginning
4November 1, 2012, the Board shall submit to the State Actuary,
5the Governor, and the General Assembly a proposed certification
6of the amount of the required State contribution to the System
7for the next fiscal year, along with all of the actuarial
8assumptions, calculations, and data upon which that proposed
9certification is based. On or before January 1 of each year,
10beginning January 1, 2013, the State Actuary shall issue a
11preliminary report concerning the proposed certification and
12identifying, if necessary, recommended changes in actuarial
13assumptions that the Board must consider before finalizing its
14certification of the required State contributions.
15    On or before January 15, 2013 and each January 15
16thereafter, the Board shall certify to the Governor and the
17General Assembly the amount of the required State contribution
18for the next fiscal year. The certification shall include a
19copy of the actuarial recommendations upon which it is based
20and shall specifically identify the System's projected State
21normal cost for that fiscal year. The Board's certification
22must note any deviations from the State Actuary's recommended
23changes, the reason or reasons for not following the State
24Actuary's recommended changes, and the fiscal impact of not
25following the State Actuary's recommended changes on the
26required State contribution.

 

 

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1    (a-10) For purposes of Section (c-5) of Section 20 of the
2Budget Stabilization Act, on or before November 1 of each year
3beginning November 1, 2014, the Board shall determine the
4amount of the State contribution to the System that would have
5been required for the next fiscal year if this amendatory Act
6of the 98th General Assembly had not taken effect, using the
7best and most recent available data but based on the law in
8effect on May 31, 2014. The Board shall submit to the State
9Actuary, the Governor, and the General Assembly a proposed
10certification, along with the relevant law, actuarial
11assumptions, calculations, and data upon which that
12certification is based. On or before January 1, 2015 and every
13January 1 thereafter, the State Actuary shall issue a
14preliminary report concerning the proposed certification and
15identifying, if necessary, recommended changes in actuarial
16assumptions that the Board must consider before finalizing its
17certification. On or before January 15, 2015 and every January
181 thereafter, the Board shall certify to the Governor and the
19General Assembly the amount of the State contribution to the
20System that would have been required for the next fiscal year
21if this amendatory Act of the 98th General Assembly had not
22taken effect, using the best and most recent available data but
23based on the law in effect on May 31, 2014. The Board's
24certification must note any deviations from the State Actuary's
25recommended changes, the reason or reasons for not following
26the State Actuary's recommended changes, and the impact of not

 

 

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1following the State Actuary's recommended changes.
2    (b) Through State fiscal year 1995, the State contributions
3shall be paid to the System in accordance with Section 18-7 of
4the School Code.
5    (b-1) Beginning in State fiscal year 1996, on the 15th day
6of each month, or as soon thereafter as may be practicable, the
7Board shall submit vouchers for payment of State contributions
8to the System, in a total monthly amount of one-twelfth of the
9required annual State contribution certified under subsection
10(a-1). From the effective date of this amendatory Act of the
1193rd General Assembly through June 30, 2004, the Board shall
12not submit vouchers for the remainder of fiscal year 2004 in
13excess of the fiscal year 2004 certified contribution amount
14determined under this Section after taking into consideration
15the transfer to the System under subsection (a) of Section
166z-61 of the State Finance Act. These vouchers shall be paid by
17the State Comptroller and Treasurer by warrants drawn on the
18funds appropriated to the System for that fiscal year.
19    If in any month the amount remaining unexpended from all
20other appropriations to the System for the applicable fiscal
21year (including the appropriations to the System under Section
228.12 of the State Finance Act and Section 1 of the State
23Pension Funds Continuing Appropriation Act) is less than the
24amount lawfully vouchered under this subsection, the
25difference shall be paid from the Common School Fund under the
26continuing appropriation authority provided in Section 1.1 of

 

 

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1the State Pension Funds Continuing Appropriation Act.
2    (b-2) Allocations from the Common School Fund apportioned
3to school districts not coming under this System shall not be
4diminished or affected by the provisions of this Article.
5    (b-3) For State fiscal years 2016 through 2045, the minimum
6total contribution to the System to be made by the employers
7under this subsection for each fiscal year shall be an amount
8determined by the System to be sufficient to bring the total
9assets of the System up to 100% of the total actuarial
10liabilities of the System by the end of State fiscal year 2045.
11In making these determinations, the required State
12contribution shall be calculated each year as a level dollar
13amount over the years remaining to and including fiscal year
142045 and shall be determined under the projected unit credit
15actuarial cost method.
16    For State fiscal years 2015 through 2044, the minimum
17contribution to the System to be made by the State for each
18fiscal year shall be an amount determined by the System to be
19equal to the sum of (1) the State's portion of the projected
20normal cost for that fiscal year, plus (2) an amount sufficient
21to bring the total assets of the System up to 100% of the total
22actuarial liabilities of the System by the end of State fiscal
23year 2044. In making these determinations, the required State
24contribution shall be calculated each year as a level
25percentage of payroll over the years remaining to and including
26fiscal year 2044 and shall be determined under the projected

 

 

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1unit cost method for fiscal year 2015 and under the entry age
2normal actuarial cost method for fiscal years 2016 through
32044.
4    For State fiscal years 2012 through 2015 2014, the minimum
5contribution to the System to be made by the State for each
6fiscal year shall be an amount determined by the System to be
7sufficient to bring the total assets of the System up to 90% of
8the total actuarial liabilities of the System by the end of
9State fiscal year 2045. In making these determinations, the
10required State contribution shall be calculated each year as a
11level percentage of payroll over the years remaining to and
12including fiscal year 2045 and shall be determined under the
13projected unit credit actuarial cost method.
14    For State fiscal years 1996 through 2005, the State
15contribution to the System, as a percentage of the applicable
16employee payroll, shall be increased in equal annual increments
17so that by State fiscal year 2011, the State is contributing at
18the rate required under this Section; except that in the
19following specified State fiscal years, the State contribution
20to the System shall not be less than the following indicated
21percentages of the applicable employee payroll, even if the
22indicated percentage will produce a State contribution in
23excess of the amount otherwise required under this subsection
24and subsection (a), and notwithstanding any contrary
25certification made under subsection (a-1) before the effective
26date of this amendatory Act of 1998: 10.02% in FY 1999; 10.77%

 

 

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1in FY 2000; 11.47% in FY 2001; 12.16% in FY 2002; 12.86% in FY
22003; and 13.56% in FY 2004.
3    Notwithstanding any other provision of this Article, the
4total required State contribution for State fiscal year 2006 is
5$534,627,700.
6    Notwithstanding any other provision of this Article, the
7total required State contribution for State fiscal year 2007 is
8$738,014,500.
9    For each of State fiscal years 2008 through 2009, the State
10contribution to the System, as a percentage of the applicable
11employee payroll, shall be increased in equal annual increments
12from the required State contribution for State fiscal year
132007, so that by State fiscal year 2011, the State is
14contributing at the rate otherwise required under this Section.
15    Notwithstanding any other provision of this Article, the
16total required State contribution for State fiscal year 2010 is
17$2,089,268,000 and shall be made from the proceeds of bonds
18sold in fiscal year 2010 pursuant to Section 7.2 of the General
19Obligation Bond Act, less (i) the pro rata share of bond sale
20expenses determined by the System's share of total bond
21proceeds, (ii) any amounts received from the Common School Fund
22in fiscal year 2010, and (iii) any reduction in bond proceeds
23due to the issuance of discounted bonds, if applicable.
24    Notwithstanding any other provision of this Article, the
25total required State contribution for State fiscal year 2011 is
26the amount recertified by the System on or before April 1, 2011

 

 

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1pursuant to subsection (a-1) of this Section and shall be made
2from the proceeds of bonds sold in fiscal year 2011 pursuant to
3Section 7.2 of the General Obligation Bond Act, less (i) the
4pro rata share of bond sale expenses determined by the System's
5share of total bond proceeds, (ii) any amounts received from
6the Common School Fund in fiscal year 2011, and (iii) any
7reduction in bond proceeds due to the issuance of discounted
8bonds, if applicable. This amount shall include, in addition to
9the amount certified by the System, an amount necessary to meet
10employer contributions required by the State as an employer
11under paragraph (e) of this Section, which may also be used by
12the System for contributions required by paragraph (a) of
13Section 16-127.
14    Beginning in State fiscal year 2046, the minimum total
15employer contribution under this subsection for each fiscal
16year shall be the amount needed to maintain the total assets of
17the System at 90% of the total actuarial liabilities of the
18System.
19    Beginning in State fiscal year 2045, the minimum State
20contribution for each fiscal year shall be the amount needed to
21maintain the total assets of the System at 100% of the total
22actuarial liabilities of the System.
23    Amounts received by the System pursuant to Section 25 of
24the Budget Stabilization Act or Section 8.12 of the State
25Finance Act in any fiscal year do not reduce and do not
26constitute payment of any portion of the minimum State

 

 

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1contribution required under this Article in that fiscal year.
2Such amounts shall not reduce, and shall not be included in the
3calculation of, the required State contributions under this
4Article in any future year until the System has reached a
5funding ratio of at least 90% 100%. A reference in this Article
6to the "required State contribution" or any substantially
7similar term does not include or apply to any amounts payable
8to the System under Section 25 of the Budget Stabilization Act.
9    Notwithstanding any other provision of this Section, the
10required State contribution for State fiscal year 2005 and for
11fiscal year 2008 and each fiscal year thereafter through State
12fiscal year 2015 2014, as calculated under this Section and
13certified under subsection (a-1), shall not exceed an amount
14equal to (i) the amount of the required State contribution that
15would have been calculated under this Section for that fiscal
16year if the System had not received any payments under
17subsection (d) of Section 7.2 of the General Obligation Bond
18Act, minus (ii) the portion of the State's total debt service
19payments for that fiscal year on the bonds issued in fiscal
20year 2003 for the purposes of that Section 7.2, as determined
21and certified by the Comptroller, that is the same as the
22System's portion of the total moneys distributed under
23subsection (d) of Section 7.2 of the General Obligation Bond
24Act. In determining this maximum for State fiscal years 2008
25through 2010, however, the amount referred to in item (i) shall
26be increased, as a percentage of the applicable employee

 

 

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1payroll, in equal increments calculated from the sum of the
2required State contribution for State fiscal year 2007 plus the
3applicable portion of the State's total debt service payments
4for fiscal year 2007 on the bonds issued in fiscal year 2003
5for the purposes of Section 7.2 of the General Obligation Bond
6Act, so that, by State fiscal year 2011, the State is
7contributing at the rate otherwise required under this Section.
8    (c) Payment of the required State contributions and of all
9pensions, retirement annuities, death benefits, refunds, and
10other benefits granted under or assumed by this System, and all
11expenses in connection with the administration and operation
12thereof, are obligations of the State.
13    If members are paid from special trust or federal funds
14which are administered by the employing unit, whether school
15district or other unit, the employing unit shall pay to the
16System from such funds the full accruing retirement costs based
17upon that service, as determined by the System. Employer
18contributions, based on salary paid to members from federal
19funds, may be forwarded by the distributing agency of the State
20of Illinois to the System prior to allocation, in an amount
21determined in accordance with guidelines established by such
22agency and the System.
23    (d) Effective July 1, 1986, any employer of a teacher as
24defined in paragraph (8) of Section 16-106 shall pay the
25employer's normal cost of benefits based upon the teacher's
26service, in addition to employee contributions, as determined

 

 

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1by the System. Such employer contributions shall be forwarded
2monthly in accordance with guidelines established by the
3System.
4    However, with respect to benefits granted under Section
516-133.4 or 16-133.5 to a teacher as defined in paragraph (8)
6of Section 16-106, the employer's contribution shall be 12%
7(rather than 20%) of the member's highest annual salary rate
8for each year of creditable service granted, and the employer
9shall also pay the required employee contribution on behalf of
10the teacher. For the purposes of Sections 16-133.4 and
1116-133.5, a teacher as defined in paragraph (8) of Section
1216-106 who is serving in that capacity while on leave of
13absence from another employer under this Article shall not be
14considered an employee of the employer from which the teacher
15is on leave.
16    (e) Contributions required under this subsection are in
17addition to the contributions required under subsection (b-3)
18of this Section.
19    Beginning July 1, 1998, every employer of a teacher shall
20pay to the System an employer contribution computed as follows:
21        (1) Beginning July 1, 1998 through June 30, 1999, the
22    employer contribution shall be equal to 0.3% of each
23    teacher's salary.
24        (2) Beginning July 1, 1999 and thereafter, the employer
25    contribution shall be equal to 0.58% of each teacher's
26    salary.

 

 

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1The school district or other employing unit may pay these
2employer contributions out of any source of funding available
3for that purpose and shall forward the contributions to the
4System on the schedule established for the payment of member
5contributions.
6    These employer contributions are intended to offset a
7portion of the cost to the System of the increases in
8retirement benefits resulting from this amendatory Act of 1998.
9    Each employer of teachers is entitled to a credit against
10the contributions required under this subsection (e) with
11respect to salaries paid to teachers for the period January 1,
122002 through June 30, 2003, equal to the amount paid by that
13employer under subsection (a-5) of Section 6.6 of the State
14Employees Group Insurance Act of 1971 with respect to salaries
15paid to teachers for that period.
16    The additional 1% employee contribution required under
17Section 16-152 by this amendatory Act of 1998 is the
18responsibility of the teacher and not the teacher's employer,
19unless the employer agrees, through collective bargaining or
20otherwise, to make the contribution on behalf of the teacher.
21    If an employer is required by a contract in effect on May
221, 1998 between the employer and an employee organization to
23pay, on behalf of all its full-time employees covered by this
24Article, all mandatory employee contributions required under
25this Article, then the employer shall be excused from paying
26the employer contribution required under this subsection (e)

 

 

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1for the balance of the term of that contract. The employer and
2the employee organization shall jointly certify to the System
3the existence of the contractual requirement, in such form as
4the System may prescribe. This exclusion shall cease upon the
5termination, extension, or renewal of the contract at any time
6after May 1, 1998.
7    (f) Contributions required under this subsection are in
8addition to the contributions required under subsection (b-3)
9of this Section.
10    If the amount of a teacher's salary for any school year
11used to determine final average salary exceeds the member's
12annual full-time salary rate with the same employer for the
13previous school year by more than 6%, the teacher's employer
14shall pay to the System, in addition to all other payments
15required under this Section and in accordance with guidelines
16established by the System, the present value of the increase in
17benefits resulting from the portion of the increase in salary
18that is in excess of 6%. This present value shall be computed
19by the System on the basis of the actuarial assumptions and
20tables used in the most recent actuarial valuation of the
21System that is available at the time of the computation. If a
22teacher's salary for the 2005-2006 school year is used to
23determine final average salary under this subsection (f), then
24the changes made to this subsection (f) by Public Act 94-1057
25shall apply in calculating whether the increase in his or her
26salary is in excess of 6%. For the purposes of this Section,

 

 

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1change in employment under Section 10-21.12 of the School Code
2on or after June 1, 2005 shall constitute a change in employer.
3The System may require the employer to provide any pertinent
4information or documentation. The changes made to this
5subsection (f) by this amendatory Act of the 94th General
6Assembly apply without regard to whether the teacher was in
7service on or after its effective date.
8    Whenever it determines that a payment is or may be required
9under this subsection, the System shall calculate the amount of
10the payment and bill the employer for that amount. The bill
11shall specify the calculations used to determine the amount
12due. If the employer disputes the amount of the bill, it may,
13within 30 days after receipt of the bill, apply to the System
14in writing for a recalculation. The application must specify in
15detail the grounds of the dispute and, if the employer asserts
16that the calculation is subject to subsection (g) or (h) of
17this Section, must include an affidavit setting forth and
18attesting to all facts within the employer's knowledge that are
19pertinent to the applicability of that subsection. Upon
20receiving a timely application for recalculation, the System
21shall review the application and, if appropriate, recalculate
22the amount due.
23    The employer contributions required under this subsection
24(f) may be paid in the form of a lump sum within 90 days after
25receipt of the bill. If the employer contributions are not paid
26within 90 days after receipt of the bill, then interest will be

 

 

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1charged at a rate equal to the System's annual actuarially
2assumed rate of return on investment compounded annually from
3the 91st day after receipt of the bill. Payments must be
4concluded within 3 years after the employer's receipt of the
5bill.
6    (g) This subsection (g) applies only to payments made or
7salary increases given on or after June 1, 2005 but before July
81, 2011. The changes made by Public Act 94-1057 shall not
9require the System to refund any payments received before July
1031, 2006 (the effective date of Public Act 94-1057).
11    When assessing payment for any amount due under subsection
12(f), the System shall exclude salary increases paid to teachers
13under contracts or collective bargaining agreements entered
14into, amended, or renewed before June 1, 2005.
15    When assessing payment for any amount due under subsection
16(f), the System shall exclude salary increases paid to a
17teacher at a time when the teacher is 10 or more years from
18retirement eligibility under Section 16-132 or 16-133.2.
19    When assessing payment for any amount due under subsection
20(f), the System shall exclude salary increases resulting from
21overload work, including summer school, when the school
22district has certified to the System, and the System has
23approved the certification, that (i) the overload work is for
24the sole purpose of classroom instruction in excess of the
25standard number of classes for a full-time teacher in a school
26district during a school year and (ii) the salary increases are

 

 

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1equal to or less than the rate of pay for classroom instruction
2computed on the teacher's current salary and work schedule.
3    When assessing payment for any amount due under subsection
4(f), the System shall exclude a salary increase resulting from
5a promotion (i) for which the employee is required to hold a
6certificate or supervisory endorsement issued by the State
7Teacher Certification Board that is a different certification
8or supervisory endorsement than is required for the teacher's
9previous position and (ii) to a position that has existed and
10been filled by a member for no less than one complete academic
11year and the salary increase from the promotion is an increase
12that results in an amount no greater than the lesser of the
13average salary paid for other similar positions in the district
14requiring the same certification or the amount stipulated in
15the collective bargaining agreement for a similar position
16requiring the same certification.
17    When assessing payment for any amount due under subsection
18(f), the System shall exclude any payment to the teacher from
19the State of Illinois or the State Board of Education over
20which the employer does not have discretion, notwithstanding
21that the payment is included in the computation of final
22average salary.
23    (h) When assessing payment for any amount due under
24subsection (f), the System shall exclude any salary increase
25described in subsection (g) of this Section given on or after
26July 1, 2011 but before July 1, 2014 under a contract or

 

 

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1collective bargaining agreement entered into, amended, or
2renewed on or after June 1, 2005 but before July 1, 2011.
3Notwithstanding any other provision of this Section, any
4payments made or salary increases given after June 30, 2014
5shall be used in assessing payment for any amount due under
6subsection (f) of this Section.
7    (i) The System shall prepare a report and file copies of
8the report with the Governor and the General Assembly by
9January 1, 2007 that contains all of the following information:
10        (1) The number of recalculations required by the
11    changes made to this Section by Public Act 94-1057 for each
12    employer.
13        (2) The dollar amount by which each employer's
14    contribution to the System was changed due to
15    recalculations required by Public Act 94-1057.
16        (3) The total amount the System received from each
17    employer as a result of the changes made to this Section by
18    Public Act 94-4.
19        (4) The increase in the required State contribution
20    resulting from the changes made to this Section by Public
21    Act 94-1057.
22    (j) For purposes of determining the required State or
23employer contribution to the System, the value of the System's
24assets shall be equal to the actuarial value of the System's
25assets, which shall be calculated as follows:
26    As of June 30, 2008, the actuarial value of the System's

 

 

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1assets shall be equal to the market value of the assets as of
2that date. In determining the actuarial value of the System's
3assets for fiscal years after June 30, 2008, any actuarial
4gains or losses from investment return incurred in a fiscal
5year shall be recognized in equal annual amounts over the
65-year period following that fiscal year.
7    (k) For purposes of determining the required State or
8employer contribution to the system for a particular year, the
9actuarial value of assets shall be assumed to earn a rate of
10return equal to the system's actuarially assumed rate of
11return.
12(Source: P.A. 97-694, eff. 6-18-12; 97-813, eff. 7-13-12;
1398-599, eff. 6-1-14.)
 
14    (40 ILCS 5/18-131)  (from Ch. 108 1/2, par. 18-131)
15    Sec. 18-131. Financing; employer contributions.
16    (a) The State of Illinois shall make contributions to this
17System by appropriations of the amounts which, together with
18the contributions of participants, net earnings on
19investments, and other income, will meet the costs of
20maintaining and administering this System on a 90% funded basis
21in accordance with actuarial recommendations.
22    (b) The Board shall determine the amount of State
23contributions required for each fiscal year on the basis of the
24actuarial tables and other assumptions adopted by the Board and
25the prescribed rate of interest, using the formula in

 

 

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1subsection (c).
2    (c) For State fiscal years 2016 through 2045, the minimum
3contribution to the System to be made by the State for each
4fiscal year shall be an amount determined by the System to be
5sufficient to bring the total assets of the System up to 100%
6of the total actuarial liabilities of the System by the end of
7State fiscal year 2045. In making these determinations, the
8required State contribution shall be calculated each year as a
9level dollar amount over the years remaining to and including
10fiscal year 2045 and shall be determined under the projected
11unit credit actuarial cost method.
12    For State fiscal years 2012 through 2015 2045, the minimum
13contribution to the System to be made by the State for each
14fiscal year shall be an amount determined by the System to be
15sufficient to bring the total assets of the System up to 90% of
16the total actuarial liabilities of the System by the end of
17State fiscal year 2045. In making these determinations, the
18required State contribution shall be calculated each year as a
19level percentage of payroll over the years remaining to and
20including fiscal year 2045 and shall be determined under the
21projected unit credit actuarial cost method.
22    For State fiscal years 1996 through 2005, the State
23contribution to the System, as a percentage of the applicable
24employee payroll, shall be increased in equal annual increments
25so that by State fiscal year 2011, the State is contributing at
26the rate required under this Section.

 

 

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1    Notwithstanding any other provision of this Article, the
2total required State contribution for State fiscal year 2006 is
3$29,189,400.
4    Notwithstanding any other provision of this Article, the
5total required State contribution for State fiscal year 2007 is
6$35,236,800.
7    For each of State fiscal years 2008 through 2009, the State
8contribution to the System, as a percentage of the applicable
9employee payroll, shall be increased in equal annual increments
10from the required State contribution for State fiscal year
112007, so that by State fiscal year 2011, the State is
12contributing at the rate otherwise required under this Section.
13    Notwithstanding any other provision of this Article, the
14total required State contribution for State fiscal year 2010 is
15$78,832,000 and shall be made from the proceeds of bonds sold
16in fiscal year 2010 pursuant to Section 7.2 of the General
17Obligation Bond Act, less (i) the pro rata share of bond sale
18expenses determined by the System's share of total bond
19proceeds, (ii) any amounts received from the General Revenue
20Fund in fiscal year 2010, and (iii) any reduction in bond
21proceeds due to the issuance of discounted bonds, if
22applicable.
23    Notwithstanding any other provision of this Article, the
24total required State contribution for State fiscal year 2011 is
25the amount recertified by the System on or before April 1, 2011
26pursuant to Section 18-140 and shall be made from the proceeds

 

 

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1of bonds sold in fiscal year 2011 pursuant to Section 7.2 of
2the General Obligation Bond Act, less (i) the pro rata share of
3bond sale expenses determined by the System's share of total
4bond proceeds, (ii) any amounts received from the General
5Revenue Fund in fiscal year 2011, and (iii) any reduction in
6bond proceeds due to the issuance of discounted bonds, if
7applicable.
8    Beginning in State fiscal year 2046, the minimum State
9contribution for each fiscal year shall be the amount needed to
10maintain the total assets of the System at 90% of the total
11actuarial liabilities of the System.
12    Amounts received by the System pursuant to Section 25 of
13the Budget Stabilization Act or Section 8.12 of the State
14Finance Act in any fiscal year do not reduce and do not
15constitute payment of any portion of the minimum State
16contribution required under this Article in that fiscal year.
17Such amounts shall not reduce, and shall not be included in the
18calculation of, the required State contributions under this
19Article in any future year until the System has reached a
20funding ratio of at least 90%. A reference in this Article to
21the "required State contribution" or any substantially similar
22term does not include or apply to any amounts payable to the
23System under Section 25 of the Budget Stabilization Act.
24    Notwithstanding any other provision of this Section, the
25required State contribution for State fiscal year 2005 and for
26fiscal year 2008 and each fiscal year thereafter, as calculated

 

 

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1under this Section and certified under Section 18-140, shall
2not exceed an amount equal to (i) the amount of the required
3State contribution that would have been calculated under this
4Section for that fiscal year if the System had not received any
5payments under subsection (d) of Section 7.2 of the General
6Obligation Bond Act, minus (ii) the portion of the State's
7total debt service payments for that fiscal year on the bonds
8issued in fiscal year 2003 for the purposes of that Section
97.2, as determined and certified by the Comptroller, that is
10the same as the System's portion of the total moneys
11distributed under subsection (d) of Section 7.2 of the General
12Obligation Bond Act. In determining this maximum for State
13fiscal years 2008 through 2010, however, the amount referred to
14in item (i) shall be increased, as a percentage of the
15applicable employee payroll, in equal increments calculated
16from the sum of the required State contribution for State
17fiscal year 2007 plus the applicable portion of the State's
18total debt service payments for fiscal year 2007 on the bonds
19issued in fiscal year 2003 for the purposes of Section 7.2 of
20the General Obligation Bond Act, so that, by State fiscal year
212011, the State is contributing at the rate otherwise required
22under this Section.
23    (d) For purposes of determining the required State
24contribution to the System, the value of the System's assets
25shall be equal to the actuarial value of the System's assets,
26which shall be calculated as follows:

 

 

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1    As of June 30, 2008, the actuarial value of the System's
2assets shall be equal to the market value of the assets as of
3that date. In determining the actuarial value of the System's
4assets for fiscal years after June 30, 2008, any actuarial
5gains or losses from investment return incurred in a fiscal
6year shall be recognized in equal annual amounts over the
75-year period following that fiscal year.
8    (e) For purposes of determining the required State
9contribution to the system for a particular year, the actuarial
10value of assets shall be assumed to earn a rate of return equal
11to the system's actuarially assumed rate of return.
12(Source: P.A. 96-43, eff. 7-15-09; 96-1497, eff. 1-14-11;
1396-1511, eff. 1-27-11; 96-1554, eff. 3-18-11; 97-813, eff.
147-13-12.)
 
15    Section 90. The State Mandates Act is amended by adding
16Section 8.38 as follows:
 
17    (30 ILCS 805/8.38 new)
18    Sec. 8.38. Exempt mandate. Notwithstanding Sections 6 and 8
19of this Act, no reimbursement by the State is required for the
20implementation of any mandate created by this amendatory Act of
21the 98th General Assembly.
 
22    Section 95. No acceleration or delay. Where this Act makes
23changes in a statute that is represented in this Act by text

 

 

SB3555- 61 -LRB098 15798 RPM 50832 b

1that is not yet or no longer in effect (for example, a Section
2represented by multiple versions), the use of that text does
3not accelerate or delay the taking effect of (i) the changes
4made by this Act or (ii) provisions derived from any other
5Public Act.