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Public Act 101-0673
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| HB2451 Enrolled | LRB101 07989 RPS 53046 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 |
Section 6-164 as follows:
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(40 ILCS 5/6-164)
(from Ch. 108 1/2, par. 6-164)
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Sec. 6-164. Automatic annual increase; retirement after |
September 1, 1959.
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(a) A fireman qualifying for a minimum annuity who retires |
from service
after September 1, 1959 shall, upon either the |
first of the month following the
first anniversary of his date |
of retirement if he is age 60 (age 55 if born
before January 1, |
1966) or over on that anniversary date, or upon
the first of |
the month following his attainment of age 60 (age 55 if born
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before January 1, 1966) if that occurs after the first |
anniversary
of his retirement date, have his then fixed and |
payable monthly annuity
increased by 1 1/2%, and such first |
fixed annuity as granted at retirement
increased by an |
additional 1 1/2% in January of each year thereafter up to a
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maximum increase of 30%.
Beginning July 1, 1982 for firemen |
born before January 1, 1930, and beginning
January 1, 1990 for |
firemen born after December 31, 1929 and before January 1,
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1940, and beginning January 1, 1996 for firemen born after |
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December 31, 1939
but before January 1, 1945, and beginning |
January 1, 2004, for firemen born
after December 31, 1944 but |
before January 1, 1955, and beginning January 1, 2017, for |
firemen born after December 31, 1954 but before January 1, |
1966, such increases shall be
3% and such firemen shall not be |
subject to the 30% maximum increase.
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Any fireman born before January 1, 1945 who qualifies for a |
minimum annuity
and retires after September 1, 1967 but has not |
received the initial increase
under this subsection before |
January 1, 1996 is entitled to receive the initial
increase |
under this subsection on (1) January 1, 1996, (2) the first
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anniversary of the date of retirement, or (3) attainment of age |
55, whichever
occurs last. The changes to this Section made by |
this amendatory Act of 1995
apply beginning January 1, 1996 and |
apply without regard to whether the fireman
or annuitant |
terminated service before the effective date of this amendatory
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Act of 1995.
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Any fireman born before January 1, 1955 who qualifies for a |
minimum
annuity and retires after September 1, 1967 but has not |
received the initial
increase under this subsection before |
January 1, 2004 is entitled to receive
the initial increase |
under this subsection on (1) January 1, 2004, (2) the
first |
anniversary of the date of retirement, or (3) attainment of age |
55,
whichever occurs last. The changes to this Section made by |
this amendatory
Act of the 93rd General Assembly apply without |
regard to whether the fireman
or annuitant terminated service |
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before the effective date of this amendatory
Act.
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Any fireman born after December 31, 1954 but before January |
1, 1966 who qualifies for
a minimum annuity and retires after
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September 1, 1967 is entitled to
receive an increase under this |
subsection on (1)
January 1, 2017, (2) the first anniversary of |
the date of
retirement, or (3) attainment of age 55, whichever |
occurs last, in an amount equal to an increase of 3% of his |
then fixed and payable monthly annuity upon the first of the |
month following the first anniversary of his date of retirement |
if he is age 55 or over on that anniversary date or upon the |
first of the month following his attainment of age 55 if that |
date occurs after the first anniversary of his retirement date |
and such first fixed annuity as granted at retirement shall be |
increased by an additional 3% in January of each year |
thereafter. In the case of a fireman born after December 31, |
1954 but before January 1, 1966 who received an increase in any |
year of 1.5%, that fireman shall receive an increase for any |
such year so that the total increase is equal to 3% for each |
year the fireman would have been otherwise eligible had the |
fireman not received any increase. The changes to this |
subsection made by this amendatory
Act of the 99th General |
Assembly apply without regard to whether the fireman
or |
annuitant terminated service before the effective date of this |
amendatory
Act. The changes to this subsection made by this |
amendatory Act of the 100th General Assembly are a declaration |
of existing law and shall not be construed as a new enactment. |
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Any fireman who qualifies for
a minimum annuity and retires |
after
September 1, 1967 is entitled to
receive an increase |
under this subsection on (1)
January 1, 2020, (2) the first |
anniversary of the date of
retirement, or (3) attainment of age |
55, whichever occurs last, in an amount equal to an increase of |
3% of his or her then fixed and payable monthly annuity upon |
the first of the month following the first anniversary of his |
or her date of retirement if he or she is age 55 or over on that |
anniversary date or upon the first of the month following his |
or her attainment of age 55 if that date occurs after the first |
anniversary of his or her retirement date and such first fixed |
annuity as granted at retirement shall be increased by an |
additional 3% in January of each year thereafter. In the case |
of a fireman who received an increase in any year of 1.5%, that |
fireman shall receive an increase for any such year so that the |
total increase is equal to 3% for each year the fireman would |
have been otherwise eligible had the fireman not received any |
increase. The changes to this subsection made by this |
amendatory
Act of the 101st General Assembly apply without |
regard to whether the fireman
or annuitant terminated service |
before the effective date of this amendatory
Act of the 101st |
General Assembly. |
(b) Subsection (a) of this Section is
not applicable to an |
employee receiving a term annuity.
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(c) To help defray the cost of such increases in annuity, |
there
shall be deducted, beginning September 1, 1959, from each |
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payment of salary
to a fireman, 1/8 of 1% of each such salary |
payment and an additional 1/8
of 1% beginning on September 1, |
1961, and September 1, 1963, respectively,
concurrently with |
and in addition to the salary deductions otherwise made
for |
annuity purposes.
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Each such additional 1/8 of 1% deduction from salary which |
shall, on
September 1, 1963, result in a total increase of 3/8 |
of 1% of salary,
shall be credited to the Automatic Increase |
Reserve, to be used,
together with city contributions as |
provided in this Article, to defray
the cost of the annuity |
increments specified in this Section. Any balance
in such |
reserve as of the beginning of each calendar year shall be
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credited with interest at the rate of 3% per annum.
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The salary deductions provided in this Section are not |
subject to
refund, except to the fireman himself in any case in |
which: (i) the fireman
withdraws prior to qualification for |
minimum annuity or Tier 2 monthly retirement annuity and |
applies for
refund, (ii) the fireman applies for an annuity of |
a type that is not subject to annual increases under this |
Section, or (iii) a term annuity becomes
payable. In such |
cases, the total of such salary deductions shall be
refunded to |
the fireman, without interest, and charged to the
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aforementioned reserve.
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(d) Notwithstanding any other provision of this Article, |
the Tier 2 monthly retirement annuity of a
person who first |
becomes a fireman under this Article on or after January 1, |
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2011 shall be increased on the January 1 occurring either on or |
after (i) the attainment of age 60 or (ii) the first |
anniversary of the annuity start date, whichever is later. Each |
annual increase shall be calculated at 3% or one-half the |
annual unadjusted percentage increase (but not less than zero) |
in the consumer price index-u for the 12 months ending with the |
September preceding each November 1, whichever is less, of the |
originally granted retirement annuity. If the annual |
unadjusted percentage change in the consumer price index-u for |
a 12-month period ending in September is zero or, when compared |
with the preceding period, decreases, then the annuity shall |
not be increased. |
For the purposes of this subsection (d), "consumer price |
index-u" means the index published by the Bureau of Labor |
Statistics of the United States Department of Labor that |
measures the average change in prices of goods and services |
purchased by all urban consumers, United States city average, |
all items, 1982-84 = 100. The new amount resulting from each |
annual adjustment shall be determined by the Public Pension |
Division of the Department of Insurance and made available to |
the boards of the pension funds by November 1 of each year. |
(Source: P.A. 99-905, eff. 11-29-16; 100-23, eff. 7-6-17; |
100-539, eff. 11-7-17.)
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Section 90. The State Mandates Act is amended by adding |
Section 8.43 as follows:
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