Full Text of SB1831 97th General Assembly
SB1831eng 97TH GENERAL ASSEMBLY |
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| 1 | | AN ACT concerning public employee benefits.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Illinois Pension Code is amended by changing | 5 | | Sections 17-114, 17-131, and 17-132 as follows:
| 6 | | (40 ILCS 5/17-114) (from Ch. 108 1/2, par. 17-114)
| 7 | | Sec. 17-114. Computation of service. | 8 | | (a) When computing days of validated service, contributors | 9 | | shall receive one day of service credit for each day for which | 10 | | they are paid salary representing a partial or a full day of | 11 | | employment rendered to an Employer or the Board. | 12 | | (b) When computing months of validated service, 17 or more | 13 | | days of service rendered to an Employer or the Board in a | 14 | | calendar month shall entitle a contributor to one month of | 15 | | service credit for purposes of this Article. | 16 | | (c) When computing years of validated service rendered, 170 | 17 | | or more days of service in a fiscal year or 10 or more months of | 18 | | service in a fiscal year shall constitute one year of service | 19 | | credit. | 20 | | (d) Notwithstanding subsections (b) and (c) of this | 21 | | Section, validated service in any fiscal year shall be that | 22 | | fraction of a year equal to the ratio of the number of days of | 23 | | service to 170 days. |
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| 1 | | (e) For purposes of this Section, no contributor shall earn | 2 | | more than one year of service credit per fiscal year. | 3 | | When computing validated service, 10 months or more shall | 4 | | constitute one
year of service unless a lesser number of months | 5 | | is established as a school
year by an Employer. Salary | 6 | | representing 5 days'
or more
employment paid in a semi-monthly | 7 | | or bi-weekly payroll period, whichever
the case may be, shall | 8 | | be considered for the purpose of computing service
credit and | 9 | | shall entitle a contributor to 1/2 month of service. When
| 10 | | computing total service rendered, 3 to 10 days' employment in | 11 | | the final
total of such service shall entitle a contributor to | 12 | | 1/2 month of service.
| 13 | | (Source: P.A. 90-566, eff. 1-2-98.)
| 14 | | (40 ILCS 5/17-131) (from Ch. 108 1/2, par. 17-131)
| 15 | | Sec. 17-131. Administration of payroll deductions. | 16 | | (a) An Employer or the Board shall make pension deductions | 17 | | in each pay period on the basis of the salary earned in that | 18 | | period, exclusive of salaries for overtime, special services, | 19 | | or any employment on an optional basis, such as in summer | 20 | | school. | 21 | | (b) If a salary paid in a pay period includes adjustments | 22 | | on account of errors or omissions in prior pay periods, then | 23 | | salary amounts and related pension deductions shall be | 24 | | separately identified as to the adjusted pay period and | 25 | | deductions by the Employer or the Board shall be at rates in |
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| 1 | | force during the applicable adjusted pay period. | 2 | | (c) If members earn salaries for the school year, as | 3 | | established by an Employer, or if they earn annual salaries | 4 | | over more than a 10-calendar month period, or if they earn | 5 | | annual salaries over more than 170 calendar days, the required | 6 | | contribution amount shall be deducted by the Employer in | 7 | | installments on the basis of salary earned in each pay period. | 8 | | The total amounts for each pay period shall be deducted | 9 | | whenever salary payments represent a partial or whole day's | 10 | | pay. | 11 | | (d) If an Employer or the Board pays a salary to a member | 12 | | for vacation periods, then the salary shall be considered part | 13 | | of the member's pensionable salary, shall be subject to the | 14 | | standard deductions for pension contributions, and shall be | 15 | | considered to represent pay for the number of whole days of | 16 | | vacation. | 17 | | (e) If deductions from salaries result in amounts of less | 18 | | than one cent, the fractional sums shall be increased to the | 19 | | next higher cent. Any excess of these fractional increases over | 20 | | the prescribed annual contributions shall be credited to the | 21 | | members' accounts. | 22 | | (f) In the event that, pursuant to Section 17-130.1, | 23 | | employee contributions are picked up or made by the Board of | 24 | | Education on behalf of its employees, then the amount of the | 25 | | employee contributions which are picked up or made in that | 26 | | manner shall not be deducted from the salaries of such |
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| 1 | | employees. | 2 | | During any period in which salaries are paid, such deductions
| 3 | | by an Employer or the Board shall be made on
the basis of the | 4 | | full
salary rates, exclusive of salaries for overtime, special | 5 | | services or
any employment on an optional basis, such as in | 6 | | summer school. If
salaries represent adjustments on account of | 7 | | error, deductions
by the Employer or the Board shall be at | 8 | | rates in force
during the applicable
payroll period. If | 9 | | teachers receive salaries for the school year, as
established | 10 | | by an Employer, or if they receive
salaries for more
than 10 | 11 | | calendar months, the amount required for each year of service | 12 | | shall be
deducted by such Employer in installments. The
total | 13 | | amounts for
each semimonthly payroll period, or bi-weekly | 14 | | payroll period, as the case
may be, shall be deducted only when | 15 | | salary payments represent 5 days' pay
or more. If an Employer | 16 | | or the Board pays salaries to
members of
the teaching force for | 17 | | vacation periods, the salary shall be considered
part of the | 18 | | teacher's annual salary, shall be subject to the standard
| 19 | | deductions for pension contributions, and shall be
considered | 20 | | to represent
pay for 5 or more days' employment in a bi-weekly | 21 | | or semi-monthly payroll
period for purposes set forth in this | 22 | | Section. If deductions from salaries
result
in amounts of less | 23 | | than one cent, the fractional sums shall be increased
to the | 24 | | next higher cent. Any excess of these fractional increases over | 25 | | the
prescribed annual contributions shall be credited to the | 26 | | teachers' accounts.
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| 1 | | In the event that, pursuant to Section 17-130.1, employee
| 2 | | contributions
are picked up or made by the Board of Education | 3 | | on behalf of its employees
from the proceeds of the tax levied | 4 | | under
Section 34-60 of the School Code, then the amount of the | 5 | | employee
contributions which are picked up or made in that | 6 | | manner shall not be
deducted from the salaries of such | 7 | | employees.
| 8 | | (Source: P.A. 90-566, eff. 1-2-98.)
| 9 | | (40 ILCS 5/17-132) (from Ch. 108 1/2, par. 17-132)
| 10 | | Sec. 17-132. Payments and certification of salary | 11 | | deductions. | 12 | | (a) An Employer shall cause the Fund to receive all | 13 | | members' payroll records and pension contributions within 30 | 14 | | calendar days after each predesignated payday. For purposes of | 15 | | this Section, the predesignated payday shall be determined in | 16 | | accordance with each Employer's payroll schedule for | 17 | | contributions to the Fund. | 18 | | (b) Amounts not received by the 30th calendar day after the | 19 | | predesignated payday shall be deemed delinquent and subject to | 20 | | late interest penalty (calculated at the average short-term | 21 | | rate of interest earned by the Fund for the calendar month | 22 | | preceding the calendar month in which the delinquency occurs) | 23 | | starting from the predesignated payday and ending on the date | 24 | | payment is received. | 25 | | (c) The payroll records shall report (1) all pensionable |
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| 1 | | salary earned in that pay period, exclusive of salaries for | 2 | | overtime, special services, or any employment on an optional | 3 | | basis, such as in summer school; (2) adjustments to pensionable | 4 | | salary, exclusive of salaries for overtime, special services, | 5 | | or any employment on an optional basis, such as in summer | 6 | | school, made in a pay period for any prior pay periods; (3) | 7 | | pension contributions attributable to pensionable salary | 8 | | earned in the reported pay period or the adjusted pay period as | 9 | | required by subsection (b) of Section 17-131. | 10 | | (d) The appropriate officers of the Employer shall certify | 11 | | and submit the payroll records no later than 30 calendar days | 12 | | after each predesignated payday. The certification shall | 13 | | constitute a confirmation of the accuracy of such deductions | 14 | | according to the provisions of this Article. | 15 | | (e) The Board has the authority to conduct payroll audits | 16 | | of a charter school to determine the existence of any | 17 | | delinquencies in contributions to the Fund, and such charter | 18 | | school shall be required to provide such books and records and | 19 | | contribution information as the Board or its authorized | 20 | | representative may require. The Board is also authorized to | 21 | | collect delinquent contributions from charter schools and | 22 | | develop procedures for the collection of such delinquencies. | 23 | | Collection procedures may include legal proceedings in the | 24 | | courts of the State of Illinois. Expenses, including reasonable | 25 | | attorneys' fees, incurred in the collection of delinquent | 26 | | contributions may be assessed by the Board against the charter |
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| 1 | | school. | 2 | | An Employer
shall cause the Fund to receive all teachers' | 3 | | pension
contributions within 15 business days of the | 4 | | predesignated paydays. Amount
not received by the fifth day | 5 | | shall be deemed delinquent and subject to
late interest penalty | 6 | | (calculated at the average short-term rate of interest
earned | 7 | | by the Fund for the calendar month preceding the calendar month | 8 | | in
which the delinquency occurs) starting from the | 9 | | predesignated payday and
ending on the date payment is | 10 | | received.
The appropriate officers of the Employer shall
| 11 | | certify at least monthly to the Fund all amounts
deducted from
| 12 | | the salaries of contributors. The certification shall | 13 | | constitute a
confirmation of the accuracy of such deductions | 14 | | according to the
provisions of this Article. For the purpose of | 15 | | this Section the predesignated
payday shall be determined in | 16 | | accordance with each Employer's
payroll schedule for | 17 | | contributions to the Fund.
| 18 | | The Board has the authority to conduct payroll audits of a | 19 | | charter school
to determine the existence of any delinquencies | 20 | | in contributions to the Fund,
and such charter school shall be | 21 | | required to provide such books and records and
contribution | 22 | | information as the Board or its authorized representative may
| 23 | | require. The Board is also authorized to collect delinquent | 24 | | contributions from
charter schools and develop procedures for | 25 | | the collection of such
delinquencies. Collection procedures | 26 | | may include legal proceedings in the
courts of the State of |
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| 1 | | Illinois. Expenses, including reasonable attorneys'
fees, | 2 | | incurred in the collection of delinquent contributions may be | 3 | | assessed by
the Board against the charter school.
| 4 | | (Source: P.A. 90-566, eff. 1-2-98.)
| 5 | | Section 90. The State Mandates Act is amended by adding | 6 | | Section 8.35 as follows: | 7 | | (30 ILCS 805/8.35 new) | 8 | | Sec. 8.35. Exempt mandate. Notwithstanding Sections 6 and 8 | 9 | | of this Act, no reimbursement by the State is required for the | 10 | | implementation of any mandate created by this amendatory Act of | 11 | | the 97th General Assembly.
| 12 | | Section 99. Effective date. This Act takes effect July 1, | 13 | | 2011.
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