State of Illinois
91st General Assembly

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 1        AN  ACT  to  amend  the Illinois Pension Code by changing
 2    Section 17-134 and to amend the State Mandates Act.

 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
 6    changing Section 17-134 as follows:

 7        (40 ILCS 5/17-134) (from Ch. 108 1/2, par. 17-134)
 8        Sec.  17-134.   Contributions  for  leaves  of   absence;
 9    military  service;  computing  service.  In computing service
10    for pension purposes the following periods of  service  shall
11    stand  in  lieu of a like number of years of teaching service
12    upon payment therefor in the manner hereinafter provided: (a)
13    time spent on sabbatical leaves of absence,  sick  leaves  or
14    maternity  or  paternity  leaves; (b) service with teacher or
15    labor organizations based  upon  special  leaves  of  absence
16    therefor  granted  by  an  Employer; (c) a maximum of 5 years
17    spent in the military service of the United States, of  which
18    up  to  2  years  may  have  been  served outside the pension
19    period; (d) unused sick days at termination of service  to  a
20    maximum  of  315  244  days;  (e) time lost due to layoff and
21    curtailment of the school term from June 6 through  June  21,
22    1976;  and  (f) time spent after June 30, 1982 as a member of
23    the Board  of  Education,  if  required  to  resign  from  an
24    administrative or teaching  position in order to qualify as a
25    member of the Board of Education.
26             (1)  For time spent on or after September 6, 1948 on
27        sabbatical  leaves  of  absence or sick leaves, for which
28        salaries  are  paid,  an  Employer  shall  make   payroll
29        deductions  at the applicable rates in effect during such
30        periods.
31             (2)  For time spent on  sabbatical  or  sick  leaves
                            -2-                LRB9110072EGfg
 1        commencing  on  or  after September 1, 1961, and for time
 2        spent on maternity or  paternity  leaves,  for  which  no
 3        salaries  are  paid,  teachers  desiring  credit therefor
 4        shall pay the required  contributions  at  the  rates  in
 5        effect  during  such  periods  as  though  they  were  in
 6        teaching   service.   If  an  Employer  pays  salary  for
 7        vacations which occur during a teacher's  sick  leave  or
 8        maternity or paternity leave without salary, vacation pay
 9        for  which  the  teacher  would  have  qualified while in
10        active service shall be considered part of the  teacher's
11        total salary for pension purposes. No more than 12 months
12        of  sick leave or maternity or paternity leave credit may
13        be allowed any person during the entire term of  service.
14        Sabbatical  leave credit shall be limited to the time the
15        person on leave without salary under an Employer's  rules
16        is allowed to engage in an activity for which he receives
17        salary or compensation.
18             (3)  For  time  spent prior to September 6, 1948, on
19        sabbatical leaves of absence or  sick  leaves  for  which
20        salaries  were  paid,  teachers  desiring  service credit
21        therefor shall pay  the  required  contributions  at  the
22        maximum applicable rates in effect during such periods.
23             (4)  For service with teacher or labor organizations
24        authorized  by  special  leaves  of absence, for which no
25        payroll deductions are  made  by  an  Employer,  teachers
26        desiring  service credit therefor shall contribute to the
27        Fund upon the basis of the actual  salary  received  from
28        such  organizations  at  the  percentage  rates in effect
29        during such periods for  certified  positions  with  such
30        Employer.   To  the  extent the actual salary exceeds the
31        regular salary, which shall  be  defined  as  the  salary
32        rate,  as  calculated  by  the  Board,  in effect for the
33        teacher's  regular  position  in  teaching   service   on
34        September  1,  1983 or on the effective date of the leave
                            -3-                LRB9110072EGfg
 1        with  the   organization,   whichever   is   later,   the
 2        organization  shall pay to the Fund the employer's normal
 3        cost as set by the Board on the increment.
 4             (5)  For  time  spent  in  the   military   service,
 5        teachers  entitled  to and desiring credit therefor shall
 6        contribute the amount required for each year  of  service
 7        or fraction thereof at the rates in force (a) at the date
 8        oF appointment, or (b) on return to teaching service as a
 9        regularly certified teacher, as the case may be; provided
10        such  rates  shall  not  be  less  than  $450 per year of
11        service.  These conditions shall apply unless an Employer
12        elects to and does pay into the  Fund  the  amount  which
13        would have been due from such person had he been employed
14        as a teacher during such time.  In the case of credit for
15        military  service  not  during  the  pension  period, the
16        teacher must also pay to the Fund an amount determined by
17        the Board to be equal to the employer's  normal  cost  of
18        the  benefits  accrued  from  such service, plus interest
19        thereon at 5% per year,  compounded  annually,  from  the
20        date of appointment to the date of payment.
21             The  changes  to  this  Section  made  by Public Act
22        87-795 shall apply not only to persons who  on  or  after
23        its  effective  date  are  in service under the Fund, but
24        also to persons whose  status  as  a  teacher  terminated
25        prior  to  that  date,  whether  or  not the person is an
26        annuitant on that date.  In the case of an annuitant  who
27        applies  for  credit  allowable  under this Section for a
28        period of  military  service  that  did  not  immediately
29        follow   employment,   and  who  has  made  the  required
30        contributions for  such  credit,  the  annuity  shall  be
31        recalculated  to  include  the additional service credit,
32        with the increase taking effect  on  the  date  the  Fund
33        received  written  notification of the annuitant's intent
34        to purchase the credit, if payment of  all  the  required
                            -4-                LRB9110072EGfg
 1        contributions  is  made within 60 days of such notice, or
 2        else on the first annuity payment date following the date
 3        of payment of the required contributions.  In calculating
 4        the automatic annual increase for  an  annuity  that  has
 5        been   recalculated  under  this  Section,  the  increase
 6        attributable to the additional  service  allowable  under
 7        this  amendatory  Act  of  1991  shall be included in the
 8        calculation of automatic annual increases accruing  after
 9        the effective date of the recalculation.
10             The  total  credit  for  military  service shall not
11        exceed 5 years, except that any teacher who  on  July  1,
12        1963,  had  validated  credit  for  more  than 5 years of
13        military service shall be entitled to the total amount of
14        such credit.
15             (6)  A maximum of 315 244 unused sick days  credited
16        to  his account by an Employer on the date of termination
17        of employment.  Members, upon verification of unused sick
18        days, may add  this  service  time  to  total  creditable
19        service.
20             (7)  In  all  cases  where  time  spent  on leave is
21        creditable and no payroll deductions therefor are made by
22        an Employer, persons desiring service credit  shall  make
23        the required contributions directly to the Fund.
24             (8)  For  time  lost  without  pay due to layoff and
25        curtailment of the school term from June 6  through  June
26        21,  1976, as provided in item (e) of the first paragraph
27        of this Section, persons who  were  contributors  on  the
28        days  immediately  preceding  such  layoff  shall receive
29        credit upon paying to the Fund a  contribution  based  on
30        the  rates  of compensation and employee contributions in
31        effect at the time  of  such  layoff,  together  with  an
32        additional  amount  equal  to  12.2%  of the compensation
33        computed for such period of layoff, plus interest on  the
34        entire amount at 5% per annum from January 1, 1978 to the
                            -5-                LRB9110072EGfg
 1        date  of  payment.   If such contribution is paid, salary
 2        for pension purposes for any year in which such a  layoff
 3        occurred  shall  include  the compensation recognized for
 4        purposes of computing that contribution.
 5             (9)  For time  spent  after  June  30,  1982,  as  a
 6        nonsalaried member of the Board of Education, if required
 7        to  resign from an administrative or teaching position in
 8        order to qualify as a member of the Board  of  Education,
 9        an  administrator  or  teacher  desiring  credit therefor
10        shall pay the required contributions  at  the  rates  and
11        salaries  in  effect  during  such  periods as though the
12        member were in service.
13        Effective September 1, 1974,  the  interest  charged  for
14    validation of service described in paragraphs (2) through (5)
15    of  this Section shall be compounded annually at a rate of 5%
16    commencing one year after the termination  of  the  leave  or
17    return to service.
18    (Source: P.A. 90-32, eff. 6-27-97; 90-566, eff. 1-2-98.)

19        Section  90.  The State Mandates Act is amended by adding
20    Section 8.24 as follows:

21        (30 ILCS 805/8.24 new)
22        Sec. 8.24. Exempt mandate.   Notwithstanding  Sections  6
23    and  8 of this Act, no reimbursement by the State is required
24    for  the  implementation  of  any  mandate  created  by  this
25    amendatory Act of the 91st General Assembly.

26        Section 99. Effective date.  This Act takes  effect  upon
27    becoming law.

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