State of Illinois
92nd General Assembly
Legislation

   [ Search ]   [ PDF text ]   [ Legislation ]   
[ Home ]   [ Back ]   [ Bottom ]


[ Introduced ][ House Amendment 001 ][ House Amendment 004 ]


92_HB2662eng

 
HB2662 Engrossed                               LRB9202369EGmg

 1        AN ACT in relation to 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
 5    changing   Sections  17-106,  17-116.3,  17-116.4,  17-119.1,
 6    17-121, and 17-149 as follows:

 7        (40 ILCS 5/17-106) (from Ch. 108 1/2, par. 17-106)
 8        Sec.   17-106.   Contributor,    member    or    teacher.
 9    "Contributor",  "member"  or  "teacher":   All members of the
10    teaching force of the city, including  principals,  assistant
11    principals,  the  general  superintendent  of schools, deputy
12    superintendents  of  schools,  associate  superintendents  of
13    schools, assistant and district superintendents  of  schools,
14    members  of  the  Board of Examiners, all other persons whose
15    employment requires a teaching certificate issued  under  the
16    laws   governing   the   certification   of   teachers,   any
17    educational,  administrative,  professional,  or  other staff
18    employed in a charter school operating in compliance with the
19    Charter Schools Law who is certified under the law  governing
20    the  certification  of  teachers, and employees of the Board,
21    but excluding persons contributing concurrently to any  other
22    public  employee  pension  system  in  Illinois  for the same
23    employment or receiving  retirement  pensions  under  another
24    Article  of  this  Code  for  that  same  employment, persons
25    employed on an hourly basis, and persons  receiving  pensions
26    from the Fund who are employed temporarily by an Employer for
27    150  100 days or less in any school year and not on an annual
28    basis.
29        In the case of a person who has been making contributions
30    and  otherwise  participating  in  this  Fund  prior  to  the
31    effective date of this amendatory Act  of  the  91st  General
 
HB2662 Engrossed            -2-                LRB9202369EGmg
 1    Assembly,  and  whose  right  to  participate  in the Fund is
 2    established or confirmed by this amendatory Act,  such  prior
 3    participation   in  the  Fund,  including  all  contributions
 4    previously made and service credits previously earned by  the
 5    person, are hereby validated.
 6        The  changes  made  to this Section and Section 17-149 by
 7    this amendatory  Act  of  the  92nd  General  Assembly  apply
 8    without  regard  to  whether  the person was in service on or
 9    after  the   effective   date   of   this   amendatory   Act,
10    notwithstanding Sections 1-103.1 and 17-157.
11    (Source:  P.A.  90-32,  eff.  6-27-97;  90-566,  eff. 1-2-98;
12    91-887, eff. 7-6-00.)

13        (40 ILCS 5/17-116.3)
14        Sec. 17-116.3. Early retirement incentives.
15        (a)  A teacher who is covered by a collective  bargaining
16    agreement  shall  not  be  eligible  for the early retirement
17    incentives provided under this Section unless the  collective
18    bargaining agent and the Board of Education have entered into
19    an  agreement  under  which the agent agrees that any payment
20    for accumulated unused sick days to  which  the  employee  is
21    entitled  upon  withdrawal  from  service  may be paid by the
22    Board of Education in installments over a period of up  to  5
23    years,  and  a copy of this agreement has been filed with the
24    Board of the Fund.
25        To be eligible for the benefits provided in this Section,
26    a person must:
27             (1)  be a member of this Fund who, on or  after  May
28        1, 1993, is (i) in active payroll status as a teacher, or
29        (ii)  on  layoff status from such a position with a right
30        of re-employment or recall to service, or (iii) on  leave
31        of  absence  from such a position, but only if the member
32        on leave has not  been  receiving  a  disability  benefit
33        under  this Article for a continuous period of 2 years or
 
HB2662 Engrossed            -3-                LRB9202369EGmg
 1        more as of the date of application;
 2             (2)  have  not  previously  received  a   retirement
 3        pension under this Article;
 4             (3)  file with the Board and the Board of Education,
 5        before  August 15, 1993, a written application requesting
 6        the benefits provided in this Section  and  a  notice  of
 7        resignation  from employment, which resignation must take
 8        effect before September 1, 1993  unless  the  applicant's
 9        retirement is delayed under subsection (e), (f), or (f-5)
10        of this Section;
11             (4)  be  eligible  to  receive  a retirement pension
12        under this Article (for which purpose any age enhancement
13        or creditable service received under this Section may  be
14        used)   and  elect  to  receive  the  retirement  pension
15        beginning no earlier than June 1, 1993 and no later  than
16        September   1,   1993   or  the  date  established  under
17        subsection  (e),  (f),  or  (f-5)  of  this  Section,  if
18        applicable;
19             (5)  have attained age 50 (without the  use  of  any
20        age enhancement or creditable service received under this
21        Section) by the effective date of the retirement pension;
22             (6)  have  at  least  5  years of creditable service
23        under this Fund or any of the participating systems under
24        the Retirement Systems Reciprocal Act (without the use of
25        any creditable service received under  this  Section)  by
26        the effective date of the retirement pension.
27        (b)  An  eligible  person  may establish up to 5 years of
28    creditable service under this Section.  In addition, for each
29    period of creditable service established under this  Section,
30    a  person's age at retirement shall be deemed to be increased
31    by an equal period.
32        The creditable service established under this Section may
33    be  used  for  all  purposes  under  this  Article  and   the
34    Retirement Systems Reciprocal Act, except for the purposes of
 
HB2662 Engrossed            -4-                LRB9202369EGmg
 1    Section  17-116.1, and the determination of average salary or
 2    compensation under this or any other Article of this Code.
 3        The age enhancement established under this Section may be
 4    used  for  all  purposes  under   this   Article   (including
 5    calculation  of  a proportionate pension payable by this Fund
 6    under the Retirement  Systems  Reciprocal  Act),  except  for
 7    purposes  of  the  reversionary pension under Section 17-120,
 8    and distributions required by federal law on account of  age.
 9    However, age enhancement established under this Section shall
10    not  be  used  in  determining  benefits  payable under other
11    Articles of this Code under the Retirement Systems Reciprocal
12    Act.
13        (c)  For all creditable service  established  under  this
14    Section,  the  employer  must  pay  to  the  Fund an employer
15    contribution consisting of 12% of the member's highest annual
16    full-time rate of compensation for each  year  of  creditable
17    service granted under this Section.
18        The  employer  contribution  shall be paid to the Fund in
19    one of the following ways:  (i) in a single sum at  the  time
20    of   the   member's   retirement,  (ii)  in  equal  quarterly
21    installments over a period  of  5  years  from  the  date  of
22    retirement,  or (iii) subject to the approval of the Board of
23    the Fund, in unequal installments over a period  of  no  more
24    than  5  years  from the date of retirement, as provided in a
25    payment plan designed by the Fund to accommodate the needs of
26    the employer.  The employer's failure to  make  the  required
27    contributions in a timely manner shall not affect the payment
28    of the retirement pension.
29        For   all   creditable  service  established  under  this
30    Section, the employee  must  pay  to  the  Fund  an  employee
31    contribution  consisting of 4% of the member's highest annual
32    salary rate used  in  the  determination  of  the  retirement
33    pension  for  each  year  of creditable service granted under
34    this Section.  The employee contribution  shall  be  deducted
 
HB2662 Engrossed            -5-                LRB9202369EGmg
 1    from the retirement annuity in 24 monthly installments.
 2        (d)  An annuitant who has received any age enhancement or
 3    creditable  service  under  this Section and whose pension is
 4    suspended or cancelled under Section 17-149 or  17-150  shall
 5    thereby  forfeit  the age enhancement and creditable service.
 6    The forfeiture of creditable service  under  this  subsection
 7    shall  not  entitle  the employer to a refund of the employer
 8    contribution paid under this Section, nor to  forgiveness  of
 9    any  part  of  that  contribution  that  remains  unpaid. The
10    forfeiture of creditable service under this subsection  shall
11    not  entitle  the  employee  to  a  refund  of  the  employee
12    contribution paid under this Section.
13        (e)  If the number of employees of an employer that apply
14    for  early retirement under this Section exceeds 30% of those
15    eligible, the employer may require that, for any  or  all  of
16    the  number of applicants in excess of that 30%, the starting
17    date of the retirement pension enhanced under this Section be
18    no earlier than June 1, 1994 and no later than  September  1,
19    1994.   The right to have the retirement pension begin before
20    June 1, 1994 shall be allocated among the applicants  on  the
21    basis of seniority in the service of that employer.
22        This  delay  applies only to persons who are applying for
23    early retirement incentives under this Section, and does  not
24    prevent  a  person  whose  application  for  early retirement
25    incentives has been withdrawn from  beginning  to  receive  a
26    retirement pension on the earliest date upon which the person
27    is otherwise eligible under this Article.
28        (f)  For  a  member  who is notified after July 30, 1993,
29    but before November 29, 1993, that he or she  will  become  a
30    supernumerary  or  reserve  teacher  in  the 1993-1994 school
31    year:  (1)  the  August  15,  1993  application  deadline  in
32    subdivision (a)(3) of this Section is  extended  to  December
33    14,  1993,  (2) the September 1, 1993 deadline in subdivision
34    (a)(4) of this Section is extended to December 14, 1993,  and
 
HB2662 Engrossed            -6-                LRB9202369EGmg
 1    (3)  the  member  shall not be included in the calculation of
 2    the 30% under subsection (e) and is not subject to  delay  in
 3    retirement under that subsection.
 4        (f-5)  For  a  member  who  is  notified after January 1,
 5    1994, but before March 1, 1994, that he or she will become  a
 6    reserve  teacher in the 1993-1994 school year: (1) the August
 7    15, 1993 application deadline in subdivision (a)(3)  of  this
 8    Section  is  extended  to April 1, 1994; (2) the September 1,
 9    1993 deadline  in  subdivision  (a)(4)  of  this  Section  is
10    extended  to  April  1, 1994; and (3) the member shall not be
11    included in the calculation of the 30% under  subsection  (e)
12    and  is  not  subject  to  delay  in  retirement  under  that
13    subsection.
14        (g)  A member who receives any early retirement incentive
15    under  Section 17-116.4, 17-116.5 or 17-116.6 may not receive
16    any early retirement incentive under this Section.
17        (h)  The version of this Section included in  Public  Act
18    88-85  is  intended  to and shall control over the version of
19    this Section included in Public  Act  88-89,  notwithstanding
20    Section 6 of the Statute on Statutes.  All persons qualifying
21    for  early  retirement incentives under this Section shall be
22    subject to the limitations and restrictions provided  in  the
23    version  of  this  Section  included  in Public Act 88-85, as
24    amended by Public Act 88-511.
25        (i)  In addition to the benefits provided under the other
26    provisions of this Section, every person who  receives  early
27    retirement  benefits  under  this  Section is entitled to one
28    additional year of creditable  service  and  a  corresponding
29    year  of  additional age enhancement, for which no additional
30    contribution is required.  Every person  who  receives  early
31    retirement  benefits  under  this  Section  whose  retirement
32    annuity  has been calculated on the basis of a 4-year average
33    salary is also entitled to have the annuity  recalculated  on
34    the basis of the average salary for the 3 highest consecutive
 
HB2662 Engrossed            -7-                LRB9202369EGmg
 1    years within the last 10 years of service.
 2        The  additional  benefits provided by this subsection (i)
 3    shall begin to accrue on  the  date  the  retirement  annuity
 4    began,   notwithstanding  Section  17-157.   The  Fund  shall
 5    recalculate all annuities originally  calculated  under  this
 6    Section  to  reflect  the  additional benefits provided under
 7    this subsection and shall pay to the annuitant in a lump  sum
 8    the  difference  between the annuity payments paid before the
 9    date of the recalculation  and  the  recalculated  amount  of
10    those payments.
11    (Source: P.A. 88-85; 88-89; 88-511; 88-670, eff. 12-2-94.)

12        (40 ILCS 5/17-116.4)
13        Sec. 17-116.4. Early retirement incentives.
14        (a)  A  teacher who is covered by a collective bargaining
15    agreement shall not be  eligible  for  the  early  retirement
16    incentives  provided under this Section unless the collective
17    bargaining agent and the Board of Education have entered into
18    an agreement under which the agent agrees  that  any  payment
19    for  accumulated  unused  sick  days to which the employee is
20    entitled upon withdrawal from service  may  be  paid  by  the
21    Board  of  Education in installments over a period of up to 5
22    years, and a copy of this agreement has been filed  with  the
23    Board of the Fund.
24        To be eligible for the benefits provided in this Section,
25    a person must:
26             (1)  be  a  member of this Fund who, on or after May
27        1, 1994, is (i) in active payroll status as a teacher, or
28        (ii) on layoff status from such a position with  a  right
29        of  re-employment or recall to service, or (iii) on leave
30        of absence from such a position, but only if  the  member
31        on  leave  has  not  been  receiving a disability benefit
32        under this Article for a continuous period of 2 years  or
33        more as of the date of application;
 
HB2662 Engrossed            -8-                LRB9202369EGmg
 1             (2)  have   not  previously  received  a  retirement
 2        pension under this Article;
 3             (3)  file with the Board and the Board of Education,
 4        before March 1, 1994, a  written  application  requesting
 5        the  benefits  provided  in  this Section and a notice of
 6        resignation from employment, which resignation must  take
 7        effect  no  earlier  than  June 1, 1994 and no later than
 8        September 1, 1994 unless the  applicant's  retirement  is
 9        delayed under subsection (e) of this Section;
10             (4)  be  eligible  to  receive  a retirement pension
11        under this Article (for which purpose any age enhancement
12        or creditable service received under this Section may  be
13        used)   and  elect  to  receive  the  retirement  pension
14        beginning no earlier than June 1, 1994 and no later  than
15        September   1,   1994   or  the  date  established  under
16        subsection (e) of this Section, if applicable;
17             (5)  have attained age 50 (without the  use  of  any
18        age enhancement or creditable service received under this
19        Section)  after  September  1,  1993  and  no  later than
20        September 1, 1994;
21             (6)  have at least 5  years  of  creditable  service
22        under this Fund or any of the participating systems under
23        the Retirement Systems Reciprocal Act (without the use of
24        any  creditable  service  received under this Section) by
25        the effective date of the retirement pension.
26        (b)  An eligible person may establish up to  5  years  of
27    creditable service under this Section.  In addition, for each
28    period  of creditable service established under this Section,
29    a person's age at retirement shall be deemed to be  increased
30    by an equal period.
31        The creditable service established under this Section may
32    be   used  for  all  purposes  under  this  Article  and  the
33    Retirement Systems Reciprocal Act, except for the purposes of
34    Section 17-116.1, and the determination of average salary  or
 
HB2662 Engrossed            -9-                LRB9202369EGmg
 1    compensation under this or any other Article of this Code.
 2        The age enhancement established under this Section may be
 3    used   for   all   purposes  under  this  Article  (including
 4    calculation of a proportionate pension payable by  this  Fund
 5    under  the  Retirement  Systems  Reciprocal  Act), except for
 6    purposes of the reversionary pension  under  Section  17-120,
 7    and  distributions required by federal law on account of age.
 8    However, age enhancement established under this Section shall
 9    not be used  in  determining  benefits  payable  under  other
10    Articles of this Code under the Retirement Systems Reciprocal
11    Act.
12        (c)  For  all  creditable  service established under this
13    Section, the employer  must  pay  to  the  Fund  an  employer
14    contribution consisting of 12% of the member's highest annual
15    full-time  rate  of  compensation for each year of creditable
16    service granted under this Section.
17        The employer contribution shall be paid to  the  Fund  in
18    one  of  the following ways:  (i) in a single sum at the time
19    of  the  member's  retirement,  (ii)   in   equal   quarterly
20    installments  over  a  period  of  5  years  from the date of
21    retirement, or (iii) subject to the approval of the Board  of
22    the  Fund,  in  unequal installments over a period of no more
23    than 5 years from the date of retirement, as  provided  in  a
24    payment plan designed by the Fund to accommodate the needs of
25    the  employer.   The  employer's failure to make the required
26    contributions in a timely manner shall not affect the payment
27    of the retirement pension.
28        For  all  creditable  service  established   under   this
29    Section,  the  employee  must  pay  to  the  Fund an employee
30    contribution consisting of 4% of the member's highest  annual
31    salary  rate  used  in  the  determination  of the retirement
32    pension for each year of  creditable  service  granted  under
33    this  Section.   The  employee contribution shall be deducted
34    from the retirement annuity in 24 monthly installments.
 
HB2662 Engrossed            -10-               LRB9202369EGmg
 1        (d)  An annuitant who has received any age enhancement or
 2    creditable service under this Section and  whose  pension  is
 3    suspended  or  cancelled under Section 17-149 or 17-150 shall
 4    thereby forfeit the age enhancement and  creditable  service.
 5    The  forfeiture  of  creditable service under this subsection
 6    shall not entitle the employer to a refund  of  the  employer
 7    contribution  paid  under this Section, nor to forgiveness of
 8    any part  of  that  contribution  that  remains  unpaid.  The
 9    forfeiture  of creditable service under this subsection shall
10    not  entitle  the  employee  to  a  refund  of  the  employee
11    contribution paid under this Section.
12        (e)  If the number of employees of an employer that apply
13    for early retirement under this Section exceeds 30% of  those
14    eligible,  the  employer  may require that, for any or all of
15    the number of applicants in excess of that 30%, the  starting
16    date of the retirement pension enhanced under this Section be
17    no  earlier  than June 1, 1995 and no later than September 1,
18    1995.  The right to have the retirement pension begin  before
19    June  1,  1995 shall be allocated among the applicants on the
20    basis of seniority in the service of that employer.
21        This delay applies only to persons who are  applying  for
22    early  retirement incentives under this Section, and does not
23    prevent a  person  whose  application  for  early  retirement
24    incentives  has  been  withdrawn  from beginning to receive a
25    retirement pension on the earliest date upon which the person
26    is otherwise eligible under this Article.
27        (f)  A member who receives any early retirement incentive
28    under Section 17-116.3 may not receive any  early  retirement
29    incentive under this Section.
30        (g)  Notwithstanding  Section  17-157,  a  person  who is
31    receiving early retirement benefits under  this  Section  may
32    establish service credit for a period of up to 3 weeks during
33    the  month  of  January,  1968,  during  which the person was
34    prevented from working due  to  civil  unrest  or  a  wildcat
 
HB2662 Engrossed            -11-               LRB9202369EGmg
 1    strike.  A person wishing to establish this credit must apply
 2    in  writing  to  the Board within 30 days after the effective
 3    date of this amendatory Act of the 92nd General Assembly  and
 4    pay  to  the  Fund an employee contribution calculated at the
 5    rate and salary applicable to the employee at  the  time  for
 6    which  credit is being established, without interest.  When a
 7    person  establishes  additional  service  credit  under  this
 8    subsection, the Fund shall recalculate the annuity originally
 9    granted under this Section to reflect the  additional  credit
10    and  shall  pay to the annuitant in a lump sum the difference
11    between the annuity payments paid  before  the  date  of  the
12    recalculation and the recalculated amount of those payments.
13    (Source: P.A. 88-85.)

14        (40 ILCS 5/17-119.1)
15        Sec. 17-119.1.  Optional increase in retirement annuity.
16        (a)  A  member  of the Fund may qualify for the augmented
17    rate under subdivision (b)(3) of Section 17-116 for all years
18    of creditable service earned before July 1,  1998  by  making
19    the optional contribution specified in subsection (b); except
20    that  a  member  who retires on or after July 1, 1998 with at
21    least 30 years of creditable service at retirement  qualifies
22    for  the augmented rate without making any contribution under
23    subsection (b).  Any member who retires on or after  July  1,
24    1998  and before the effective date of this amendatory Act of
25    the  92nd  General  Assembly  with  at  least  30  years   of
26    creditable  service  shall  be  paid  a lump sum equal to the
27    amount he or she would have received under the augmented rate
28    minus the amount he or she actually received.  A  member  may
29    not  elect  to  qualify  for  the  augmented  rate for only a
30    portion of his or her creditable service earned  before  July
31    1, 1998.
32        (b)  The contribution shall be an amount equal to 1.0% of
33    the  member's highest salary rate in the 4 consecutive school
 
HB2662 Engrossed            -12-               LRB9202369EGmg
 1    years immediately prior to but not including the school  year
 2    in  which the application occurs, multiplied by the number of
 3    years of creditable service earned by the member before  July
 4    1, 1998 or 20, whichever is less.  This contribution shall be
 5    reduced by 1.0% of that salary rate for every 3 full years of
 6    creditable  service earned by the member after June 30, 1998.
 7    The contribution shall be further reduced at the rate of  25%
 8    of  the  contribution  (as reduced for service after June 30,
 9    1998) for each year of the member's total creditable  service
10    in  excess  of  34  years.  The contribution shall not in any
11    event exceed 20% of that salary rate.
12        The member shall pay  to  the  Fund  the  amount  of  the
13    contribution  as  calculated at the time of application under
14    this Section.  The  amount  of  the  contribution  determined
15    under  this  subsection  shall be recalculated at the time of
16    retirement, and if the Fund determines that the  amount  paid
17    by the member exceeds the recalculated amount, the Fund shall
18    refund  the  difference  to  the member with regular interest
19    from the date of payment to the date of refund.
20        The contribution required by  this  subsection  shall  be
21    paid  in one of the following ways or in a combination of the
22    following ways that does not extend over more than 5 years:
23             (i)  in  a  lump  sum  on  or  before  the  date  of
24        retirement;
25             (ii)  in substantially  equal  installments  over  a
26        period of time not to exceed 5 years, as a deduction from
27        salary in accordance with Section 17-130.2;
28             (iii)  if  the  member  becomes  an annuitant before
29        June   30,   2003,   in   substantially   equal   monthly
30        installments over a 24-month period, by a deduction  from
31        the annuitant's monthly benefit.
32        (c)  If  the  member  fails to make the full contribution
33    under this Section in a timely  fashion,  the  payments  made
34    under  this  Section shall be refunded to the member, without
 
HB2662 Engrossed            -13-               LRB9202369EGmg
 1    interest.   If  the  member  dies  before  making  the   full
 2    contribution,  the  payments made under this Section shall be
 3    refunded to the member's designated beneficiary.
 4        (d)  For purposes of this Section and subsection  (b)  of
 5    Section  17-116, optional creditable service established by a
 6    member shall be deemed to have been earned at the time of the
 7    employment or other qualifying event upon which  the  service
 8    is  based, rather than at the time the credit was established
 9    in this Fund.
10        (e)  The contributions required under  this  Section  are
11    the  responsibility  of  the  teacher  and  not the teacher's
12    employer.  However, an employer of teachers  3ay,  after  the
13    effective  date  of this amendatory Act of 1998, specifically
14    agree, through collective bargaining or  otherwise,  to  make
15    the contributions required by this Section on behalf of those
16    teachers.
17    (Source: P.A. 90-582, eff. 5-27-98; 91-17, eff. 6-4-99.)

18        (40 ILCS 5/17-121) (from Ch. 108 1/2, par. 17-121)
19        Sec.   17-121.   Survivor's  and  Children's  pensions  -
20    Eligibility.  A  surviving  spouse  of  a  teacher  shall  be
21    entitled  to  a  survivor's pension only if he was married to
22    the contributor for at least 1 1/2 years immediately prior to
23    his death or retirement, whichever first occurs, and also  on
24    the date of the last termination of his service.
25        If  the surviving spouse is under age 50 and there are no
26    eligible minor children born to or  legally  adopted  by  the
27    contributor   and   his  surviving  spouse,  payment  of  the
28    survivor's pension shall  begin  when  the  surviving  spouse
29    attains age 50.
30        Remarriage  of the surviving spouse prior to September 1,
31    1983  while  in  receipt  of  a  survivor's   pension   shall
32    permanently  terminate  payment  thereof,  regardless  of any
33    subsequent  change  in  marital  status;  however,  beginning
 
HB2662 Engrossed            -14-               LRB9202369EGmg
 1    September 1, 1983, remarriage of  a  surviving  spouse  after
 2    attainment  of  age  55  shall  not  terminate the survivor's
 3    pension.
 4        A surviving spouse whose pension  was  terminated  on  or
 5    after September 1, 1983 due to remarriage after attainment of
 6    age  55,  and  who  applies for reinstatement of that pension
 7    before January 1, 1990, shall be entitled to have the pension
 8    reinstated effective January 1, 1990.
 9        A surviving spouse of a member or  annuitant  under  this
10    Fund who is also a dependent beneficiary under the provisions
11    of  Section  16-140  is  eligible for a reciprocal survivor's
12    pension, provided  that  any  refund  of  survivor's  pension
13    contributions  is  repaid to the Fund and application is made
14    within 30 days after the effective date  of  this  amendatory
15    Act of the 92nd General Assembly.
16    (Source: P.A. 86-273.)

17        (40 ILCS 5/17-149) (from Ch. 108 1/2, par. 17-149)
18        Sec.  17-149.  Cancellation  of  pensions.  If any person
19    receiving a service or disability retirement pension from the
20    Fund is re-employed as a teacher by an Employer, the  pension
21    shall  be  cancelled on the date the re-employment begins, or
22    on the first day of a payroll period for which service credit
23    was validated,  whichever  is  earlier.   However,  beginning
24    August  23,  1989, the pension shall not be cancelled in case
25    of  a  service  retirement  pensioner  who   is   temporarily
26    re-employed  for not more than 150 100 days during any school
27    year or on an hourly basis, provided the pensioner  does  not
28    receive salary in any school year of an amount more than that
29    payable to a substitute teacher for 150 100 days' employment.
30    A service retirement pensioner who is temporarily re-employed
31    for  not  more than 150 100 days during any school year or on
32    an hourly basis shall be entitled, at the end of  the  school
33    year,  to  a  refund  of  any  contributions made to the Fund
 
HB2662 Engrossed            -15-               LRB9202369EGmg
 1    during that school year.
 2        If the pensioner does receive salary from an Employer  in
 3    any  school  year for more than 150 100 days' employment, the
 4    pensioner shall be deemed to have returned to service on  the
 5    first  day  of  employment  as  a  pensioner-substitute.  The
 6    pensioner shall  reimburse  the  Fund  for  pension  payments
 7    received  after  the  return  to service and shall pay to the
 8    Fund the participant's contributions  prescribed  in  Section
 9    17-130 of this Article.
10        If  the  date  of  re-employment  occurs  within 5 school
11    months after the date of previous  retirement,  exclusive  of
12    any  vacation period, the member shall be deemed to have been
13    out of service only temporarily and not permanently  retired.
14    Such  person  shall  be  entitled to pension payments for the
15    time he could have been employed as a  teacher  and  received
16    salary,  but  shall  not be entitled to pension for or during
17    the summer vacation prior to his return to service.
18        When the member again retires on  pension,  the  time  of
19    service and the money contributed by him during re-employment
20    shall  be  added  to  the time and money previously credited.
21    Such person must acquire 3 consecutive  years  of  additional
22    contributing  service before he may retire again on a pension
23    at a rate and under conditions other than those in  force  or
24    attained at the time of his previous retirement.
25        Notwithstanding  Sections 1-103.1 and 17-157, the changes
26    to this Section made by this amendatory  Act  of  1997  shall
27    apply  without  regard  to  whether  termination  of  service
28    occurred before the effective date of this amendatory Act and
29    shall apply retroactively to August 23, 1989.
30    (Source: P.A. 90-32, eff. 6-27-97; 90-566, eff. 1-2-98.)

31        Section  90.  The State Mandates Act is amended by adding
32    Section 8.25 as follows:
 
HB2662 Engrossed            -16-               LRB9202369EGmg
 1        (30 ILCS 805/8.25 new)
 2        Sec. 8.25. Exempt mandate.   Notwithstanding  Sections  6
 3    and  8 of this Act, no reimbursement by the State is required
 4    for  the  implementation  of  any  mandate  created  by  this
 5    amendatory Act of the 92nd General Assembly.

 6        Section 99.  Effective date.  This Act takes effect  upon
 7    becoming law.

[ Top ]