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90_SB0906
40 ILCS 5/14-104.10 new
Amends the Illinois Pension Code to allow State employees
to establish service credit for up to 8 years of certain
federal or out-of-state employment. Requires payment of both
employee and employer contributions, plus interest.
Effective immediately.
LRB9000955EGfg
LRB9000955EGfg
1 AN ACT to amend the Illinois Pension Code by adding
2 Section 14-104.10.
3 Be it enacted by the People of the State of Illinois,
4 represented in the General Assembly:
5 Section 5. The Illinois Pension Code is amended by adding
6 Section 14-104.10 as follows:
7 (40 ILCS 5/14-104.10 new)
8 Sec. 14-104.10. Federal or out-of-state employment. A
9 contributing employee may establish additional service credit
10 for periods of employment by the federal government or a unit
11 of state or local government located outside Illinois for
12 which he or she does not qualify for credit under any other
13 provision of this Article, provided that (i) the amount of
14 service credit established by a person under this Section
15 shall not exceed 8 years or 40% of his or her membership
16 service under this Article, whichever is less, (ii) the
17 amount of service credit established by a person under this
18 Section for federal employment, when added to the amount of
19 all military service credit granted to the person under this
20 Article, shall not exceed 8 years, and (iii) any credit
21 received for the federal or out-of-state employment in any
22 federal or other public employee pension fund or retirement
23 system has been terminated or relinquished.
24 In order to establish service credit under this Section,
25 the applicant must submit a written application to the System
26 by June 30, 1998, including documentation of the federal or
27 out-of-state employment satisfactory to the Board, and pay to
28 the System (1) employee contributions at the rates provided
29 in this Article based upon the person's salary on the last
30 day as a participating employee prior to the federal or
31 out-of-state employment, or on the first day as a
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1 participating employee after that employment, whichever is
2 greater, plus (2) an amount determined by the Board to be
3 equal to the employer's normal cost of the benefits accrued
4 for that employment, plus (3) regular interest on items (1)
5 and (2) from the date of conclusion of the employment to the
6 date of payment.
7 Section 99. Effective date. This Act takes effect upon
8 becoming law.