Illinois General Assembly - Full Text of Public Act 093-0320
Illinois General Assembly

Previous General Assemblies

Public Act 093-0320


 

Public Act 93-0320 of the 93rd General Assembly


Public Act 93-0320

SB195 Enrolled                       LRB093 03082 EFG 03099 b

    AN ACT in relation to public employee benefits.

    Be it enacted by the People of  the  State  of  Illinois,
represented in the General Assembly:

    Section  5.   The  State Employees Group Insurance Act of
1971 is amended by adding Section 6.15 as follows:

    (5 ILCS 375/6.15 new)
    Sec. 6.15.   Retired  teacher  returning  to  service  in
shortage  area.   Notwithstanding any other provision of this
Act, the eligibility of an annuitant or TRS benefit recipient
to participate in the program of health benefits  established
under  Section  6  or  6.5  of  this Act is suspended for any
period during which he or she is  covered  under  a  plan  of
group  health  benefits  for  active teachers due to eligible
employment as defined in Section  16-150.1  of  the  Illinois
Pension Code.  Upon termination of that coverage, eligibility
to  participate in the program of health benefits established
under Section 6 or 6.5 shall be immediately restored, without
any interruption or delay in coverage  or  limitation  as  to
pre-existing medical condition.

    Section  10.   The  Illinois  Pension  Code is amended by
changing Sections 16-106, 16-118, 16-132, 16-150, and  16-152
and adding Section 16-150.1 as follows:

    (40 ILCS 5/16-106) (from Ch. 108 1/2, par. 16-106)
    Sec.    16-106.  Teacher.    "Teacher":   The   following
individuals, provided that, for employment prior to  July  1,
1990,  they  are  employed  on  a  full-time basis, or if not
full-time, on a permanent and continuous basis in a  position
in  which  services  are expected to be rendered for at least
one school term:
         (1)  Any educational,  administrative,  professional
    or  other  staff  employed  in  the public common schools
    included within  this  system  in  a  position  requiring
    certification  under  the law governing the certification
    of teachers;
         (2)  Any educational,  administrative,  professional
    or other staff employed in any facility of the Department
    of  Children  and  Family  Services  or the Department of
    Human Services, in  a  position  requiring  certification
    under  the  law  governing the certification of teachers,
    and any person who (i) works in such a position  for  the
    Department  of  Corrections,  (ii)  was  a member of this
    System on May 31, 1987, and (iii) did not elect to become
    a  member  of  the  State  Employees'  Retirement  System
    pursuant to Section 14-108.2 of this  Code;  except  that
    "teacher"  does  not include any person who (A) becomes a
    security employee of the Department of Human Services, as
    defined in Section  14-110,  after  June  28,  2001  (the
    effective  date  of  Public  Act 92-14), or (B) becomes a
    member of the State Employees' Retirement System pursuant
    to Section 14-108.2c of this Code;
         (3)  Any   regional   superintendent   of   schools,
    assistant  regional  superintendent  of  schools,   State
    Superintendent  of  Education; any person employed by the
    State Board of Education as an executive;  any  executive
    of  the  boards  engaged  in the service of public common
    school education in school districts covered  under  this
    system  of which the State Superintendent of Education is
    an ex-officio member;
         (4)  Any employee  of  a  school  board  association
    operating  in  compliance  with  Article 23 of the School
    Code who is certificated  under  the  law  governing  the
    certification of teachers;
         (5)  Any  person  employed  by the retirement system
    who:
              (i)  was an employee of and  a  participant  in
         the system on August 17, 2001 (the effective date of
         Public Act 92-416), or
              (ii)  becomes  an  employee of the system on or
         after August 17, 2001;
         (6)  Any educational,  administrative,  professional
    or  other staff employed by and under the supervision and
    control of a regional superintendent of schools, provided
    such  employment  position  requires  the  person  to  be
    certificated under the law governing the certification of
    teachers and is in an educational program  serving  2  or
    more  districts  in  accordance  with  a  joint agreement
    authorized by the School Code or by federal legislation;
         (7)  Any educational,  administrative,  professional
    or  other  staff  employed  in   an  educational  program
    serving  2  or more school districts in accordance with a
    joint agreement authorized  by  the  School  Code  or  by
    federal   legislation   and   in   a  position  requiring
    certification under the laws governing the  certification
    of teachers;
         (8)  Any  officer or employee of a statewide teacher
    organization   or   officer   of   a   national   teacher
    organization who is certified  under  the  law  governing
    certification  of  teachers, provided: (i) the individual
    had previously established creditable service under  this
    Article,  (ii)  the  individual  files with the system an
    irrevocable election to become a member,  and  (iii)  the
    individual does not receive credit for such service under
    any other Article of this Code;
         (9)  Any  educational, administrative, professional,
    or other staff employed in a charter school operating  in
    compliance   with   the   Charter   Schools  Law  who  is
    certificated under the law governing the certification of
    teachers.
    An annuitant receiving a retirement  annuity  under  this
Article  or  under Article 17 of this Code who is temporarily
employed by a board of education or  other  employer  as  not
exceeding  that permitted under Section 16-118 or 16-150.1 is
not a "teacher" for purposes of this Article.  A  person  who
has  received  a  single-sum retirement benefit under Section
16-136.4 of this Article is not a "teacher" for  purposes  of
this Article.
(Source: P.A.  92-14,  eff.  6-28-01;  92-416,  eff. 8-17-01;
92-651, eff. 7-11-02.)

    (40 ILCS 5/16-118) (from Ch. 108 1/2, par. 16-118)
    Sec. 16-118.  Retirement.   "Retirement":  Entry  upon  a
retirement  annuity  or  receipt  of  a single-sum retirement
benefit granted  under  this  Article  after  termination  of
active service as a teacher.
    (a)  An  annuitant  receiving  a retirement annuity other
than a disability retirement annuity may accept employment as
a teacher from a school board or other employer specified  in
Section  16-106  without impairing retirement status, if that
employment: (1) is not within the school  year  during  which
service was terminated; and (2) does not exceed 100 paid days
or  500  paid  hours  in  any  school year (during the period
beginning July 1, 2001 through June 30, 2006, 120  paid  days
or 600 paid hours in each school year).  Where such permitted
employment  is  partly  on  a  daily  and partly on an hourly
basis, a day shall be considered as 5 hours.
    (b)  Subsection (a) does not apply to  an  annuitant  who
returns  to teaching under the program established in Section
16-150.1, for the duration of his  or  her  participation  in
that program.
(Source: P.A. 92-416, eff. 8-17-01.)
    (40 ILCS 5/16-132) (from Ch. 108 1/2, par. 16-132)
    Sec.  16-132.   Retirement annuity eligibility.  A member
who has at least 20 years of creditable service  is  entitled
to  a  retirement annuity upon or after attainment of age 55.
A member who has at least  10  but  less  than  20  years  of
creditable  service  is entitled to a retirement annuity upon
or after attainment of age 60.  A member who has at  least  5
but less than 10 years of creditable service is entitled to a
retirement  annuity  upon  or  after attainment of age 62.  A
member who (i)  has  earned  during  the  period  immediately
preceding  the  last  day  of  service  at  least one year of
contributing  creditable  service  as  an   employee   of   a
department  as  defined in Section 14-103.04, (ii) has earned
at least 5 years of contributing  creditable  service  as  an
employee of a department as defined in Section 14-103.04, and
(iii)  retires  on  or after January 1, 2001 is entitled to a
retirement annuity upon or after attainment of an age  which,
when  added  to  the  number  of  years  of  his or her total
creditable service, equals at least 85.   Portions  of  years
shall be counted as decimal equivalents.
    A  member who is eligible to receive a retirement annuity
of at least 74.6% of final average salary and will attain age
55 on or before December 31 during the year  which  commences
on  July  1 shall be deemed to attain age 55 on the preceding
June 1.
    A member meeting  the  above  eligibility  conditions  is
entitled  to a retirement annuity upon written application to
the board setting  forth  the  date  the  member  wishes  the
retirement  annuity to commence.  However, the effective date
of the retirement annuity shall be no earlier  than  the  day
following  the  last day of creditable service, regardless of
the date of official termination of employment.
    To be eligible for a retirement annuity, a  member  shall
not  be  employed  as a teacher in the schools included under
this System or under Article 17, except (i)  as  provided  in
Section  16-118  or  16-150.1,  (ii)  if unless the member is
disabled (in which event, eligibility for salary must cease),
or (iii) if unless the System is required by federal  law  to
commence payment due to the member's age; the changes to this
sentence  made  by  this  amendatory  Act of the 93rd General
Assembly 1991 shall  apply  without  regard  to  whether  the
member  terminated  employment  before or after its effective
date.
(Source: P.A. 90-582, eff. 5-27-98; 91-927, eff. 12-14-00.)

    (40 ILCS 5/16-150) (from Ch. 108 1/2, par. 16-150)
    Sec. 16-150.  Re-entry.
    (a)  This Section does not  apply  to  an  annuitant  who
returns  to teaching under the program established in Section
16-150.1, for the duration of his  or  her  participation  in
that program.
    (b)  If  an annuitant under this System is again employed
as a teacher for an aggregate period exceeding that permitted
by Section 16-118, his or her  retirement  annuity  shall  be
terminated  and  the annuitant shall thereupon be regarded as
an active  member.   The  annuitant's  remaining  accumulated
contributions   shall   be   transferred   to   the  Members'
Contribution  Reserve  from   the   Employer's   Contribution
Reserve.
    Such  annuitant is not entitled to a recomputation of his
or her retirement annuity unless at least one  full  year  of
creditable service is rendered after the latest re-entry into
service and the annuitant must have rendered at least 3 years
of  creditable  service  after  last re-entry into service to
qualify for a recomputation of the retirement  annuity  based
on  amendments  enacted  while  in  receipt  of  a retirement
annuity, except when retirement was due to disability.
    However, regardless of age, an annuitant in receipt of  a
retirement  annuity  may  be  given temporary employment by a
school board  not  exceeding  that  permitted  under  Section
16-118 and continue to receive the retirement annuity.
    (c)  Unless  retirement was necessitated by disability, a
retirement shall be considered cancelled and  the  retirement
allowance must be repaid in full if the annuitant is employed
as  a teacher within the school year during which service was
terminated.
    (d)  An annuitant's retirement which does not  include  a
period of at least one full and complete school year shall be
considered  cancelled  and  the  retirement  annuity  must be
repaid in full unless such  retirement  was  necessitated  by
disability.
(Source: P.A. 86-273; 87-794.)

    (40 ILCS 5/16-150.1 new)
    Sec.  16-150.1.  Return  to  teaching in subject shortage
area.
    (a)  As used in this Section, "eligible employment" means
employment beginning on or after July 1, 2003 and  ending  no
later  than  June  30,  2008, in a subject shortage area at a
qualified school, in a position requiring certification under
the law governing the certification of teachers.
    As used in  this  Section,  "qualified  school"  means  a
public  elementary  or secondary school that meets all of the
following requirements:
         (1)  At the time of hiring a retired  teacher  under
    this  Section,  the  school is experiencing a shortage of
    teachers in the  subject  shortage  area  for  which  the
    teacher is hired.
         (2)  The school district to which the school belongs
    has complied with the requirements of subsection (e), and
    the regional superintendent has certified that compliance
    to the System.
         (3)  If  the  school  district  to  which the school
    belongs provides group health benefits for  its  teachers
    generally, substantially similar health benefits are made
    available for teachers participating in the program under
    this   Section,   without   any   limitations   based  on
    pre-existing conditions.
    (b)  An annuitant receiving a  retirement  annuity  under
this Article (other than a disability retirement annuity) may
engage  in  eligible employment at a qualified school without
impairing his or her retirement status or retirement annuity,
subject to the following conditions:
         (1)  the eligible employment does not  begin  within
    the school year during which service was terminated;
         (2)  the   annuitant  has  not  received  any  early
    retirement incentive under Section 16-133.3, 16-133.4, or
    16-133.5;
         (3)  if the annuitant retired before age 60 and with
    less than 34 years of service,  the  eligible  employment
    does  not  begin  within the year following the effective
    date of the retirement annuity;
         (4)  if the annuitant retired at age 60 or above  or
    with 34 or more years of service, the eligible employment
    does not begin within the 90 days following the effective
    date of the retirement annuity; and
         (5)  before  the  eligible  employment  begins,  the
    employer   notifies   the   System   in  writing  of  the
    annuitant's  desire  to  participate   in   the   program
    established under this Section.
    (c)  An  annuitant  engaged  in  eligible  employment  in
accordance  with subsection (b) shall be deemed a participant
in the program established under this Section for so long  as
he or she remains employed in eligible employment.
    (d)  A  participant in the program established under this
Section continues to be a retirement annuitant,  rather  than
an  active teacher, for all of the purposes of this Code, but
shall be deemed an active teacher for other purposes, such as
inclusion in a collective bargaining  unit,  eligibility  for
group health benefits, and compliance with the laws governing
the  employment,  regulation,  certification,  treatment, and
conduct of teachers.
    With respect to an annuitant's eligible employment  under
this  Section,  neither  employee  nor employer contributions
shall be made to the System and no additional service  credit
shall  be  earned.   Eligible  employment does not affect the
annuitant's  final  average  salary  or  the  amount  of  the
retirement annuity.
    (e)  Before hiring a  teacher  under  this  Section,  the
school  district  to  which  the  school  belongs must do the
following:
         (1)  If the school  district  to  which  the  school
    belongs has honorably dismissed, within the calendar year
    preceding  the  beginning of the school term for which it
    seeks to employ  a  retired  teacher  under  the  program
    established in this Section, any teachers who are legally
    qualified  to hold positions in the subject shortage area
    and have  not  yet  begun  to  receive  their  retirement
    annuities  under  this Article, the vacant positions must
    first be tendered to those teachers.
         (2)  For a period of at least 90 days during  the  6
    months  preceding  the  beginning  of the school term for
    which it seeks to employ  a  retired  teacher  under  the
    program  established in this Section, the school district
    must,  on  an  ongoing  basis,  both  (i)  advertise  its
    vacancies in the subject shortage area in a newspaper  of
    general  circulation  in  the area in which the school is
    located and in employment bulletins published by  college
    and university placement offices located near the school;
    and  (ii)  search  for teachers legally qualified to fill
    those vacancies through the Illinois Education Job Bank.
    The school district  must  submit  documentation  of  its
compliance    with    this   subsection   to   the   regional
superintendent.  Upon  receiving  satisfactory  documentation
from  the  school district, the regional superintendent shall
certify the district's compliance with this subsection to the
System.
    (f)  This Section applies without regard to  whether  the
annuitant  was  in  service on or after the effective date of
this amendatory Act of the 93rd General Assembly.

    (40 ILCS 5/16-152) (from Ch. 108 1/2, par. 16-152)
    Sec. 16-152. Contributions by members.
    (a)  Each member shall make contributions for  membership
service to this System as follows:
         (1)  Effective  July 1, 1998, contributions of 7.50%
    of salary towards the cost  of  the  retirement  annuity.
    Such    contributions    shall    be    deemed    "normal
    contributions".
         (2)  Effective July 1, 1969, contributions of 1/2 of
    1%  of  salary  toward  the  cost of the automatic annual
    increase in retirement  annuity  provided  under  Section
    16-133.1.
         (3)  Effective July 24, 1959, contributions of 1% of
    salary  towards  the  cost  of  survivor  benefits.  Such
    contributions shall not be  credited  to  the  individual
    account  of the member and shall not be subject to refund
    except as provided under Section 16-143.2.
    (b)  The minimum required contribution for  any  year  of
full-time teaching service shall be $192.
    (c)  Contributions shall not be required of any annuitant
receiving   a  retirement  annuity  who  is  given  temporary
employment as not  exceeding  that  permitted  under  Section
16-118 or 16-150.1.
    (d)  A  person  who (i) was a member before July 1, 1998,
(ii) retires with more than 34 years of  creditable  service,
and  (iii)  does  not elect to qualify for the augmented rate
under Section 16-129.1 shall be  entitled,  at  the  time  of
retirement, to receive a partial refund of contributions made
under  this  Section for service occurring after the later of
June 30,  1998  or  attainment  of  34  years  of  creditable
service, in an amount equal to 1.00% of the salary upon which
those contributions were based.
(Source: P.A. 90-582, eff. 5-27-98.)

    Section  15.   The  School  Code  is  amended by changing
Section 3-14.25 as follows:

    (105 ILCS 5/3-14.25) (from Ch. 122, par. 3-14.25)
    Sec. 3-14.25.  Unfilled teaching positions list;  subject
shortage area certifications.
    (a)  To maintain, and make available to the public during
regular business hours, a list of unfilled teaching positions
within the region.  The most current version of the list must
be  posted on or linked to the regional office of education's
Internet web site.  If the regional office of education  does
not have an Internet web site, the regional superintendent of
schools  must  make  the list available to the State Board of
Education and the State Board of Education must post the list
on the State Board of Education's  Internet  web  site.   The
State  Board  of Education's Internet web site must provide a
link to each regional office of education's list.
    (b)  To certify to the Teachers' Retirement System of the
State of  Illinois  that  a  school  district  has  submitted
satisfactory  evidence of compliance with the requirements of
subsection (e) of Section 16-150.1 of  the  Illinois  Pension
Code,  for  the  purpose  of  authorizing  the  employment of
retired teachers in subject shortage areas under the  program
established in that Section.
(Source: P.A. 92-41, eff. 7-1-01.)

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

Effective Date: 7/23/2003