Full Text of SB0067 95th General Assembly
SB0067 95TH GENERAL ASSEMBLY
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95TH GENERAL ASSEMBLY
State of Illinois
2007 and 2008 SB0067
Introduced 1/31/2007, by Sen. Dale A. Righter SYNOPSIS AS INTRODUCED: |
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40 ILCS 5/7-137 |
from Ch. 108 1/2, par. 7-137 |
40 ILCS 5/7-144 |
from Ch. 108 1/2, par. 7-144 |
30 ILCS 805/8.31 new |
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Amends the Illinois Municipal Retirement Fund. Provides that an employee who was employed by a participating
municipality
or participating instrumentality that had not elected to exclude persons
employed in positions normally requiring performance of duty for less than 1,000
hours per year or was employed in a position normally requiring performance of
duty for 600 hours or more per year prior to such election by a
participating municipality or participating instrumentality that is not entitled to
receive earnings for employment in a position normally requiring
performance of duty for 600 hours or more per year for a participating
municipality and instrumentalities thereof and participating instrumentality receiving an annuity under the Article who is employed in a position that (i) requires performance of duty less than 1,000 hours per year and (ii) meets the definition of sheriff's law enforcement employee, other than the requirement of employment on a full-time basis. Provides that any such person shall not be disqualified from receiving a retirement annuity by reason of that employment. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately.
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FISCAL NOTE ACT MAY APPLY |
PENSION IMPACT NOTE ACT MAY APPLY |
STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT |
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A BILL FOR
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SB0067 |
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LRB095 05359 AMC 25444 b |
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| AN ACT concerning public employee benefits.
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| Be it enacted by the People of the State of Illinois,
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| represented in the General Assembly:
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| Section 5. The Illinois Pension Code is amended by changing | 5 |
| Sections 7-137 and 7-144 as follows:
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| (40 ILCS 5/7-137) (from Ch. 108 1/2, par. 7-137)
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| Sec. 7-137. Participating and covered employees.
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| (a) The persons described in this paragraph (a) shall be | 9 |
| included within
and be subject to this Article and eligible to | 10 |
| benefits from this fund,
beginning upon the dates hereinafter | 11 |
| specified:
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| 1. Except as to the employees specifically excluded | 13 |
| under the
provisions of this Article, all persons who are | 14 |
| employees of any
municipality (or instrumentality thereof) | 15 |
| or participating
instrumentality on the effective date of | 16 |
| participation of the
municipality or participating | 17 |
| instrumentality beginning upon such
effective date.
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| 2. Except as to the employees specifically excluded | 19 |
| under the
provisions of this Article, all persons, who | 20 |
| became employees of any
participating municipality (or | 21 |
| instrumentality thereof) or participating
instrumentality | 22 |
| after the effective date of participation of such
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| municipality or participating instrumentality, beginning |
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SB0067 |
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LRB095 05359 AMC 25444 b |
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| upon the date
such person becomes an employee.
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| 3. All persons who file notice with the board as | 3 |
| provided in
paragraph (b) 2 and 3 of this Section, | 4 |
| beginning upon the date of filing
such notice.
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| (b) The following described persons shall not be considered
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| participating employees eligible for benefits from this fund, | 7 |
| but shall
be included within and be subject to this Article | 8 |
| (each of the
descriptions is not exclusive but is cumulative):
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| 1. Any person who occupies an office or is employed in | 10 |
| a position
normally requiring performance of duty during | 11 |
| less than 600 hours a year
for a municipality (including | 12 |
| all instrumentalities thereof) or a
participating | 13 |
| instrumentality. If a school treasurer performs services
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| for more than one school district, the total number of | 15 |
| hours of service
normally required for the several school | 16 |
| districts shall be considered
to determine whether he | 17 |
| qualifies under this paragraph;
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| 2. Any person who holds elective office unless he has | 19 |
| elected while
in that office in a written notice on file | 20 |
| with the board to become a
participating employee;
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| 3. Any person working for a city hospital unless any | 22 |
| such person,
while in active employment, has elected in a | 23 |
| written notice on file with
the board to become a | 24 |
| participating employee and notification thereof is
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| received by the board;
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| 4. Any person who becomes an employee after June 30, |
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| 1979 as a public
service employment program participant | 2 |
| under the federal Comprehensive
Employment and Training | 3 |
| Act and whose wages or fringe benefits are paid in
whole or | 4 |
| in part by funds provided under such Act;
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| 5. Any person who is actively employed by a | 6 |
| municipality on its effective date of participation in the | 7 |
| Fund if that municipality (i) has at least 35 employees on | 8 |
| its effective date of participation; (ii) is located in a | 9 |
| county with at least 2,000,000 inhabitants; and (iii) | 10 |
| maintains an independent defined benefit pension plan for | 11 |
| the benefit of its eligible employees, unless the person | 12 |
| files with the board within 90 days after the | 13 |
| municipality's effective date of participation an | 14 |
| irrevocable election to participate.
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| 6. Any person described in item (i) of paragraph 2 of | 16 |
| subsection (a) of Section 7-141 receiving an annuity under | 17 |
| this Article who is employed in a position that (i) | 18 |
| requires performance of duty less than 1,000 hours per year | 19 |
| and (ii) meets the definition of sheriff's law enforcement | 20 |
| employee in Section 7-109.3, other than the requirement of | 21 |
| employment on a full-time basis.
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| (c) Any person electing to be a participating employee, | 23 |
| pursuant to
paragraph (b) of this Section may not change such | 24 |
| election,
except as provided in Section 7-137.1.
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| (d) Any employee who occupied the position of school nurse | 26 |
| in any
participating municipality on August 8, 1961 and |
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| continuously thereafter
until the effective date of the | 2 |
| exercise of the option authorized by
this subparagraph, who on | 3 |
| August 7, 1961 was a member of the Teachers'
Retirement System | 4 |
| of Illinois, by virtue of certification by the
Department of | 5 |
| Registration and Education as a public health nurse, may
elect | 6 |
| to terminate participation in this Fund in order to | 7 |
| re-establish
membership in such System. The election may be | 8 |
| exercised by filing
written notice thereof with the Board or | 9 |
| with the Board of Trustees of
said Teachers' Retirement System, | 10 |
| not later than September 30, 1963, and
shall be effective on | 11 |
| the first day of the calendar month next following
the month in | 12 |
| which the notice was filed. If the written notice is filed
with | 13 |
| such Teachers' Retirement System, that System shall | 14 |
| immediately
notify this Fund, but neither failure nor delay in | 15 |
| notification shall
affect the validity of the employee's | 16 |
| election. If the option is
exercised, the Fund shall notify | 17 |
| such Teachers' Retirement System of
such fact and transfer to | 18 |
| that system the amounts contributed by the
employee to this | 19 |
| Fund, including interest at 3% per annum, but excluding
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| contributions applicable to social security coverage during | 21 |
| the period
beginning August 8, 1961 to the effective date of | 22 |
| the employee's
election. Participation in this Fund as to any | 23 |
| credits on or after
August 8, 1961 and up to the effective date | 24 |
| of the employee's election
shall terminate on such effective | 25 |
| date.
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| (e) Any participating municipality or participating |
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| instrumentality,
other than a school district or special | 2 |
| education joint agreement created
under Section 10-22.31 of the | 3 |
| School Code, may, by a resolution or
ordinance duly adopted by | 4 |
| its governing body, elect to exclude from
participation and | 5 |
| eligibility for benefits all persons who are employed
after the | 6 |
| effective date of such resolution or ordinance and who occupy | 7 |
| an
office or are employed in a position normally requiring | 8 |
| performance of duty
for less than 1000 hours per year for the | 9 |
| participating municipality
(including all instrumentalities | 10 |
| thereof) or participating instrumentality
except for persons | 11 |
| employed in a position normally requiring performance of
duty | 12 |
| for 600 hours or more per year (i) by such participating | 13 |
| municipality
or participating instrumentality prior to the | 14 |
| effective date of the
resolution or ordinance, (ii) by any | 15 |
| participating municipality or
participating instrumentality | 16 |
| prior to January 1, 1982 and (iii) by a
participating | 17 |
| municipality or participating instrumentality, which had not
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| adopted such a resolution when the person was employed, and the | 19 |
| function
served by the employee's position is assumed by | 20 |
| another participating
municipality or participating | 21 |
| instrumentality. A participating municipality or
participating | 22 |
| instrumentality included in and subject to this Article after
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| January 1, 1982 may adopt such resolution or ordinance only | 24 |
| prior to the
date it becomes included in and subject to this | 25 |
| Article. Notwithstanding
the foregoing, a participating | 26 |
| municipality or participating
instrumentality which is formed |
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| solely to succeed to the functions of a
participating | 2 |
| municipality or participating instrumentality shall be
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| considered to have adopted any such resolution or ordinance | 4 |
| which may have
been applicable to the employees performing such | 5 |
| functions. The election
made by the resolution or ordinance | 6 |
| shall take effect at the time specified
in the resolution or | 7 |
| ordinance, and once effective shall be irrevocable.
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| (Source: P.A. 93-933, eff. 8-13-04.)
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| (40 ILCS 5/7-144) (from Ch. 108 1/2, par. 7-144)
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| Sec. 7-144. Retirement annuities-Suspended during | 11 |
| employment.
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| (a) (1) If any person described in clause (i) of subsection | 13 |
| (a)
2 of Section 7-141
receiving any annuity again becomes an | 14 |
| employee
and receives earnings from employment in a position | 15 |
| normally requiring
performance of duty during 600 hours or more | 16 |
| per year for any
participating municipality and | 17 |
| instrumentalities thereof or
participating instrumentality; or | 18 |
| (2) if any person described in
clause (ii) of subsection (a) 2 | 19 |
| of Section 7-141 receiving any annuity returns
to employment in | 20 |
| a position requiring him, or entitling him to elect, to
become | 21 |
| a participating employee; then the annuity payable to such | 22 |
| employee
shall be suspended as of the 1st day of the month | 23 |
| coincidental with or
next following the date upon which such | 24 |
| person becomes such an employee.
Upon proper qualification of | 25 |
| the participating employee payment of such
annuity may be |
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| resumed on the 1st day of the month following such
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| qualification and upon proper application therefor. The | 3 |
| participating
employee in such case shall be entitled to a | 4 |
| supplemental annuity
arising from service and credits earned | 5 |
| subsequent to such re-entry as a
participating employee.
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| (b) Supplemental annuities to persons who return to service | 7 |
| for less
than 48 months shall be computed under the provisions | 8 |
| of Sections 7-141,
7-142 and 7-143. In determining whether an | 9 |
| employee is eligible for an
annuity which requires a minimum | 10 |
| period of service, his entire period of
service shall be taken | 11 |
| into consideration but the supplemental annuity
shall be based | 12 |
| on earnings and service in the supplemental period only.
The | 13 |
| effective date of the suspended and supplemental annuity for | 14 |
| the
purpose of increases after retirement shall be considered | 15 |
| to be the
effective date of the suspended annuity.
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| (c) Supplemental annuities to persons who return to service | 17 |
| for 48
months or more shall be a monthly amount determined as | 18 |
| follows:
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| (1) An amount shall be computed under subparagraph b of | 20 |
| paragraph
(1) of subsection (a) of Section 7-142, | 21 |
| considering all of the service
credits of the employee;
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| (2) The actuarial value in monthly payments for life of | 23 |
| the annuity
payments made before suspension shall be | 24 |
| determined and subtracted from
the amount determined in (1) | 25 |
| above;
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| (3) The monthly amount of the suspended annuity, with |
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| any applicable
increases after retirement computed from | 2 |
| the effective date to the date
of reinstatement, shall be | 3 |
| subtracted from the amount determined in (2)
above and the | 4 |
| remainder shall be the amount of the supplemental annuity
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| provided that this amount shall not be less than the amount | 6 |
| computed under
subsection (b) of this Section.
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| (4) The suspended annuity shall be reinstated at an | 8 |
| amount including
any increases after retirement from the | 9 |
| effective date to date of
reinstatement.
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| (5) The effective date of the combined suspended and | 11 |
| supplemental
annuities for the purposes of increases after | 12 |
| retirement shall be
considered to be the effective date of | 13 |
| the supplemental annuity.
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| (d) Notwithstanding the provision of subsection (a) of this | 15 |
| Section, if any person described in item (i) of paragraph 2 of | 16 |
| subsection (a) of Section 7-141 receiving any annuity becomes | 17 |
| an employee in a position meeting the definition of sheriff's | 18 |
| law enforcement employee in Section 7-109.3, other than the | 19 |
| requirement of employment on a full-time basis, that requires | 20 |
| performance of duty less than 1,000 hours per year, that person | 21 |
| shall not be disqualified from receiving a retirement annuity | 22 |
| by reason of that employment.
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| (Source: P.A. 82-459 .)
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| Section 90. The State Mandates Act is amended by adding | 25 |
| Section 8.31 as follows: |
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LRB095 05359 AMC 25444 b |
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| (30 ILCS 805/8.31 new) | 2 |
| Sec. 8.31. Exempt mandate. Notwithstanding Sections 6 and 8 | 3 |
| of this Act, no reimbursement by the State is required for the | 4 |
| implementation of any mandate created by this amendatory Act of | 5 |
| the 95th General Assembly.
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| Section 99. Effective date. This Act takes effect upon | 7 |
| becoming law.
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