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Rep. Kevin A. McCarthy
Filed: 11/16/2010
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1 | | AMENDMENT TO HOUSE BILL 1566
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2 | | AMENDMENT NO. ______. Amend House Bill 1566 by replacing |
3 | | everything after the enacting clause with the following:
|
4 | | "Section 5. The Illinois Pension Code is amended by |
5 | | changing Sections 2-134, 14-135.08, 15-165, 16-158, and 18-140 |
6 | | as follows:
|
7 | | (40 ILCS 5/2-134)
(from Ch. 108 1/2, par. 2-134)
|
8 | | Sec. 2-134. To certify required State contributions and |
9 | | submit vouchers.
|
10 | | (a) The Board shall certify to the Governor on or before |
11 | | December 15 of each
year the amount of the required State |
12 | | contribution to the System for the next
fiscal year. The |
13 | | certification shall include a copy of the actuarial
|
14 | | recommendations upon which it is based.
|
15 | | On or before May 1, 2004, the Board shall recalculate and |
16 | | recertify to
the Governor the amount of the required State |
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1 | | contribution to the System for
State fiscal year 2005, taking |
2 | | into account the amounts appropriated to and
received by the |
3 | | System under subsection (d) of Section 7.2 of the General
|
4 | | Obligation Bond Act.
|
5 | | On or before July 1, 2005, the Board shall recalculate and |
6 | | recertify
to the Governor the amount of the required State
|
7 | | contribution to the System for State fiscal year 2006, taking |
8 | | into account the changes in required State contributions made |
9 | | by this amendatory Act of the 94th General Assembly.
|
10 | | On or before February 1, 2011, the Board shall recalculate |
11 | | and recertify to the Governor the amount of the required State |
12 | | contribution to the System for all of State fiscal year 2011, |
13 | | taking into account Public Act 96-889. |
14 | | (b) Beginning in State fiscal year 1996, on or as soon as |
15 | | possible after the
15th day of each month the Board shall |
16 | | submit vouchers for payment of State
contributions to the |
17 | | System, in a total monthly amount of one-twelfth of the
|
18 | | required annual State contribution certified under subsection |
19 | | (a).
From the effective date of this amendatory Act
of the 93rd |
20 | | General Assembly through June 30, 2004, the Board shall not
|
21 | | submit vouchers for the remainder of fiscal year 2004 in excess |
22 | | of the
fiscal year 2004 certified contribution amount |
23 | | determined
under this Section after taking into consideration |
24 | | the transfer to the
System under subsection (d) of Section |
25 | | 6z-61 of the State Finance Act.
These
vouchers shall be paid by |
26 | | the State Comptroller and Treasurer by warrants drawn
on the |
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1 | | funds appropriated to the System for that fiscal year. If in |
2 | | any month
the amount remaining unexpended from all other |
3 | | appropriations to the System for
the applicable fiscal year |
4 | | (including the appropriations to the System under
Section 8.12 |
5 | | of the State Finance Act and Section 1 of the State Pension |
6 | | Funds
Continuing Appropriation Act) is less than the amount |
7 | | lawfully vouchered under
this Section, the difference shall be |
8 | | paid from the General Revenue Fund under
the continuing |
9 | | appropriation authority provided in Section 1.1 of the State
|
10 | | Pension Funds Continuing Appropriation Act.
|
11 | | (c) The full amount of any annual appropriation for the |
12 | | System for
State fiscal year 1995 shall be transferred and made |
13 | | available to the System
at the beginning of that fiscal year at |
14 | | the request of the Board.
Any excess funds remaining at the end |
15 | | of any fiscal year from appropriations
shall be retained by the |
16 | | System as a general reserve to meet the System's
accrued |
17 | | liabilities.
|
18 | | (Source: P.A. 94-4, eff. 6-1-05; 94-536, eff. 8-10-05; 95-331, |
19 | | eff. 8-21-07.)
|
20 | | (40 ILCS 5/14-135.08) (from Ch. 108 1/2, par. 14-135.08)
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21 | | Sec. 14-135.08. To certify required State contributions. |
22 | | (a)
To certify to the Governor and to each department, on |
23 | | or before
November 15 of each year, the required rate for State |
24 | | contributions to the
System for the next State fiscal year, as |
25 | | determined under subsection (b) of
Section 14-131. The |
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1 | | certification to the Governor shall include a copy of the
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2 | | actuarial recommendations upon which the rate is based.
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3 | | (b) The certification shall include an additional amount |
4 | | necessary to pay all principal of and interest on those general |
5 | | obligation bonds due the next fiscal year authorized by Section |
6 | | 7.2(a) of the General Obligation Bond Act and issued to provide |
7 | | the proceeds deposited by the State with the System in July |
8 | | 2003, representing deposits other than amounts reserved under |
9 | | Section 7.2(c) of the General Obligation Bond Act. For State |
10 | | fiscal year 2005, the Board shall make a supplemental |
11 | | certification of the additional amount necessary to pay all |
12 | | principal of and interest on those general obligation bonds due |
13 | | in State fiscal years 2004 and 2005 authorized by Section |
14 | | 7.2(a) of the General Obligation Bond Act and issued to provide |
15 | | the proceeds deposited by the State with the System in July |
16 | | 2003, representing deposits other than amounts reserved under |
17 | | Section 7.2(c) of the General Obligation Bond Act, as soon as |
18 | | practical after the effective date of this amendatory Act of |
19 | | the 93rd General Assembly.
|
20 | | On or before May 1, 2004, the Board shall recalculate and |
21 | | recertify
to the Governor and to each department the amount of |
22 | | the required State
contribution to the System and the required |
23 | | rates for State contributions
to the System for State fiscal |
24 | | year 2005, taking into account the amounts
appropriated to and |
25 | | received by the System under subsection (d) of Section
7.2 of |
26 | | the General Obligation Bond Act.
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1 | | On or before July 1, 2005, the Board shall recalculate and |
2 | | recertify
to the Governor and to each department the amount of |
3 | | the required State
contribution to the System and the required |
4 | | rates for State contributions
to the System for State fiscal |
5 | | year 2006, taking into account the changes in required State |
6 | | contributions made by this amendatory Act of the 94th General |
7 | | Assembly.
|
8 | | On or before February 1, 2011, the Board shall recalculate |
9 | | and recertify to the Governor the amount of the required State |
10 | | contribution to the System for all of State fiscal year 2011, |
11 | | taking into account Public Act 96-889. |
12 | | (Source: P.A. 93-2, eff. 4-7-03; 93-839, eff. 7-30-04; 94-4, |
13 | | eff. 6-1-05.)
|
14 | | (40 ILCS 5/15-165)
(from Ch. 108 1/2, par. 15-165)
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15 | | Sec. 15-165. To certify amounts and submit vouchers.
|
16 | | (a) The Board shall certify to the Governor on or before |
17 | | November 15 of each
year the appropriation required from State |
18 | | funds for the purposes of this
System for the following fiscal |
19 | | year. The certification shall include a copy
of the actuarial |
20 | | recommendations upon which it is based.
|
21 | | On or before May 1, 2004, the Board shall recalculate and |
22 | | recertify to
the Governor the amount of the required State |
23 | | contribution to the System for
State fiscal year 2005, taking |
24 | | into account the amounts appropriated to and
received by the |
25 | | System under subsection (d) of Section 7.2 of the General
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1 | | Obligation Bond Act.
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2 | | On or before July 1, 2005, the Board shall recalculate and |
3 | | recertify
to the Governor the amount of the required State
|
4 | | contribution to the System for State fiscal year 2006, taking |
5 | | into account the changes in required State contributions made |
6 | | by this amendatory Act of the 94th General Assembly.
|
7 | | On or before February 1, 2011, the Board shall recalculate |
8 | | and recertify to the Governor the amount of the required State |
9 | | contribution to the System for all of State fiscal year 2011, |
10 | | taking into account Public Act 96-889. |
11 | | (b) The Board shall certify to the State Comptroller or |
12 | | employer, as the
case may be, from time to time, by its |
13 | | president and secretary, with its seal
attached, the amounts |
14 | | payable to the System from the various funds.
|
15 | | (c) Beginning in State fiscal year 1996, on or as soon as |
16 | | possible after the
15th day of each month the Board shall |
17 | | submit vouchers for payment of State
contributions to the |
18 | | System, in a total monthly amount of one-twelfth of the
|
19 | | required annual State contribution certified under subsection |
20 | | (a).
From the effective date of this amendatory Act
of the 93rd |
21 | | General Assembly through June 30, 2004, the Board shall not
|
22 | | submit vouchers for the remainder of fiscal year 2004 in excess |
23 | | of the
fiscal year 2004 certified contribution amount |
24 | | determined
under this Section after taking into consideration |
25 | | the transfer to the
System under subsection (b) of Section |
26 | | 6z-61 of the State Finance Act.
These
vouchers shall be paid by |
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1 | | the State Comptroller and Treasurer by warrants drawn
on the |
2 | | funds appropriated to the System for that fiscal year.
|
3 | | If in any month the amount remaining unexpended from all |
4 | | other
appropriations to the System for the applicable fiscal |
5 | | year (including the
appropriations to the System under Section |
6 | | 8.12 of the State Finance Act and
Section 1 of the State |
7 | | Pension Funds Continuing Appropriation Act) is less than
the |
8 | | amount lawfully vouchered under this Section, the difference |
9 | | shall be paid
from the General Revenue Fund under the |
10 | | continuing appropriation authority
provided in Section 1.1 of |
11 | | the State Pension Funds Continuing Appropriation
Act.
|
12 | | (d) So long as the payments received are the full amount |
13 | | lawfully
vouchered under this Section, payments received by the |
14 | | System under this
Section shall be applied first toward the |
15 | | employer contribution to the
self-managed plan established |
16 | | under Section 15-158.2. Payments shall be
applied second toward |
17 | | the employer's portion of the normal costs of the System,
as |
18 | | defined in subsection (f) of Section 15-155. The balance shall |
19 | | be applied
toward the unfunded actuarial liabilities of the |
20 | | System.
|
21 | | (e) In the event that the System does not receive, as a |
22 | | result of
legislative enactment or otherwise, payments |
23 | | sufficient to
fully fund the employer contribution to the |
24 | | self-managed plan
established under Section 15-158.2 and to |
25 | | fully fund that portion of the
employer's portion of the normal |
26 | | costs of the System, as calculated in
accordance with Section |
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1 | | 15-155(a-1), then any payments received shall be
applied |
2 | | proportionately to the optional retirement program established |
3 | | under
Section 15-158.2 and to the employer's portion of the |
4 | | normal costs of the
System, as calculated in accordance with |
5 | | Section 15-155(a-1).
|
6 | | (Source: P.A. 93-2, eff. 4-7-03; 93-665, eff. 3-5-04; 94-4, |
7 | | eff. 6-1-05.)
|
8 | | (40 ILCS 5/16-158)
(from Ch. 108 1/2, par. 16-158)
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9 | | Sec. 16-158. Contributions by State and other employing |
10 | | units.
|
11 | | (a) The State shall make contributions to the System by |
12 | | means of
appropriations from the Common School Fund and other |
13 | | State funds of amounts
which, together with other employer |
14 | | contributions, employee contributions,
investment income, and |
15 | | other income, will be sufficient to meet the cost of
|
16 | | maintaining and administering the System on a 90% funded basis |
17 | | in accordance
with actuarial recommendations.
|
18 | | The Board shall determine the amount of State contributions |
19 | | required for
each fiscal year on the basis of the actuarial |
20 | | tables and other assumptions
adopted by the Board and the |
21 | | recommendations of the actuary, using the formula
in subsection |
22 | | (b-3).
|
23 | | (a-1) Annually, on or before November 15, the Board shall |
24 | | certify to the
Governor the amount of the required State |
25 | | contribution for the coming fiscal
year. The certification |
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1 | | shall include a copy of the actuarial recommendations
upon |
2 | | which it is based.
|
3 | | On or before May 1, 2004, the Board shall recalculate and |
4 | | recertify to
the Governor the amount of the required State |
5 | | contribution to the System for
State fiscal year 2005, taking |
6 | | into account the amounts appropriated to and
received by the |
7 | | System under subsection (d) of Section 7.2 of the General
|
8 | | Obligation Bond Act.
|
9 | | On or before July 1, 2005, the Board shall recalculate and |
10 | | recertify
to the Governor the amount of the required State
|
11 | | contribution to the System for State fiscal year 2006, taking |
12 | | into account the changes in required State contributions made |
13 | | by this amendatory Act of the 94th General Assembly.
|
14 | | On or before February 1, 2011, the Board shall recalculate |
15 | | and recertify to the Governor the amount of the required State |
16 | | contribution to the System for all of State fiscal year 2011, |
17 | | taking into account Public Act 96-889. |
18 | | (b) Through State fiscal year 1995, the State contributions |
19 | | shall be
paid to the System in accordance with Section 18-7 of |
20 | | the School Code.
|
21 | | (b-1) Beginning in State fiscal year 1996, on the 15th day |
22 | | of each month,
or as soon thereafter as may be practicable, the |
23 | | Board shall submit vouchers
for payment of State contributions |
24 | | to the System, in a total monthly amount of
one-twelfth of the |
25 | | required annual State contribution certified under
subsection |
26 | | (a-1).
From the
effective date of this amendatory Act of the |
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1 | | 93rd General Assembly
through June 30, 2004, the Board shall |
2 | | not submit vouchers for the
remainder of fiscal year 2004 in |
3 | | excess of the fiscal year 2004
certified contribution amount |
4 | | determined under this Section
after taking into consideration |
5 | | the transfer to the System
under subsection (a) of Section |
6 | | 6z-61 of the State Finance Act.
These vouchers shall be paid by |
7 | | the State Comptroller and
Treasurer by warrants drawn on the |
8 | | funds appropriated to the System for that
fiscal year.
|
9 | | If in any month the amount remaining unexpended from all |
10 | | other appropriations
to the System for the applicable fiscal |
11 | | year (including the appropriations to
the System under Section |
12 | | 8.12 of the State Finance Act and Section 1 of the
State |
13 | | Pension Funds Continuing Appropriation Act) is less than the |
14 | | amount
lawfully vouchered under this subsection, the |
15 | | difference shall be paid from the
Common School Fund under the |
16 | | continuing appropriation authority provided in
Section 1.1 of |
17 | | the State Pension Funds Continuing Appropriation Act.
|
18 | | (b-2) Allocations from the Common School Fund apportioned |
19 | | to school
districts not coming under this System shall not be |
20 | | diminished or affected by
the provisions of this Article.
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21 | | (b-3) For State fiscal years 2011 through 2045, the minimum |
22 | | contribution
to the System to be made by the State for each |
23 | | fiscal year shall be an amount
determined by the System to be |
24 | | sufficient to bring the total assets of the
System up to 90% of |
25 | | the total actuarial liabilities of the System by the end of
|
26 | | State fiscal year 2045. In making these determinations, the |
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1 | | required State
contribution shall be calculated each year as a |
2 | | level percentage of payroll
over the years remaining to and |
3 | | including fiscal year 2045 and shall be
determined under the |
4 | | projected unit credit actuarial cost method.
|
5 | | For State fiscal years 1996 through 2005, the State |
6 | | contribution to the
System, as a percentage of the applicable |
7 | | employee payroll, shall be increased
in equal annual increments |
8 | | so that by State fiscal year 2011, the State is
contributing at |
9 | | the rate required under this Section; except that in the
|
10 | | following specified State fiscal years, the State contribution |
11 | | to the System
shall not be less than the following indicated |
12 | | percentages of the applicable
employee payroll, even if the |
13 | | indicated percentage will produce a State
contribution in |
14 | | excess of the amount otherwise required under this subsection
|
15 | | and subsection (a), and notwithstanding any contrary |
16 | | certification made under
subsection (a-1) before the effective |
17 | | date of this amendatory Act of 1998:
10.02% in FY 1999;
10.77% |
18 | | in FY 2000;
11.47% in FY 2001;
12.16% in FY 2002;
12.86% in FY |
19 | | 2003; and
13.56% in FY 2004.
|
20 | | Notwithstanding any other provision of this Article, the |
21 | | total required State
contribution for State fiscal year 2006 is |
22 | | $534,627,700.
|
23 | | Notwithstanding any other provision of this Article, the |
24 | | total required State
contribution for State fiscal year 2007 is |
25 | | $738,014,500.
|
26 | | For each of State fiscal years 2008 through 2009, the State |
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1 | | contribution to
the System, as a percentage of the applicable |
2 | | employee payroll, shall be
increased in equal annual increments |
3 | | from the required State contribution for State fiscal year |
4 | | 2007, so that by State fiscal year 2011, the
State is |
5 | | contributing at the rate otherwise required under this Section.
|
6 | | Notwithstanding any other provision of this Article, the |
7 | | total required State contribution for State fiscal year 2010 is |
8 | | $2,089,268,000 and shall be made from the proceeds of bonds |
9 | | sold in fiscal year 2010 pursuant to Section 7.2 of the General |
10 | | Obligation Bond Act, less (i) the pro rata share of bond sale |
11 | | expenses determined by the System's share of total bond |
12 | | proceeds, (ii) any amounts received from the Common School Fund |
13 | | in fiscal year 2010, and (iii) any reduction in bond proceeds |
14 | | due to the issuance of discounted bonds, if applicable. |
15 | | Beginning in State fiscal year 2046, the minimum State |
16 | | contribution for
each fiscal year shall be the amount needed to |
17 | | maintain the total assets of
the System at 90% of the total |
18 | | actuarial liabilities of the System.
|
19 | | Amounts received by the System pursuant to Section 25 of |
20 | | the Budget Stabilization Act or Section 8.12 of the State |
21 | | Finance Act in any fiscal year do not reduce and do not |
22 | | constitute payment of any portion of the minimum State |
23 | | contribution required under this Article in that fiscal year. |
24 | | Such amounts shall not reduce, and shall not be included in the |
25 | | calculation of, the required State contributions under this |
26 | | Article in any future year until the System has reached a |
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1 | | funding ratio of at least 90%. A reference in this Article to |
2 | | the "required State contribution" or any substantially similar |
3 | | term does not include or apply to any amounts payable to the |
4 | | System under Section 25 of the Budget Stabilization Act. |
5 | | Notwithstanding any other provision of this Section, the |
6 | | required State
contribution for State fiscal year 2005 and for |
7 | | fiscal year 2008 and each fiscal year thereafter, as
calculated |
8 | | under this Section and
certified under subsection (a-1), shall |
9 | | not exceed an amount equal to (i) the
amount of the required |
10 | | State contribution that would have been calculated under
this |
11 | | Section for that fiscal year if the System had not received any |
12 | | payments
under subsection (d) of Section 7.2 of the General |
13 | | Obligation Bond Act, minus
(ii) the portion of the State's |
14 | | total debt service payments for that fiscal
year on the bonds |
15 | | issued for the purposes of that Section 7.2, as determined
and |
16 | | certified by the Comptroller, that is the same as the System's |
17 | | portion of
the total moneys distributed under subsection (d) of |
18 | | Section 7.2 of the General
Obligation Bond Act. In determining |
19 | | this maximum for State fiscal years 2008 through 2010, however, |
20 | | the amount referred to in item (i) shall be increased, as a |
21 | | percentage of the applicable employee payroll, in equal |
22 | | increments calculated from the sum of the required State |
23 | | contribution for State fiscal year 2007 plus the applicable |
24 | | portion of the State's total debt service payments for fiscal |
25 | | year 2007 on the bonds issued for the purposes of Section 7.2 |
26 | | of the General
Obligation Bond Act, so that, by State fiscal |
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1 | | year 2011, the
State is contributing at the rate otherwise |
2 | | required under this Section.
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3 | | (c) Payment of the required State contributions and of all |
4 | | pensions,
retirement annuities, death benefits, refunds, and |
5 | | other benefits granted
under or assumed by this System, and all |
6 | | expenses in connection with the
administration and operation |
7 | | thereof, are obligations of the State.
|
8 | | If members are paid from special trust or federal funds |
9 | | which are
administered by the employing unit, whether school |
10 | | district or other
unit, the employing unit shall pay to the |
11 | | System from such
funds the full accruing retirement costs based |
12 | | upon that
service, as determined by the System. Employer |
13 | | contributions, based on
salary paid to members from federal |
14 | | funds, may be forwarded by the distributing
agency of the State |
15 | | of Illinois to the System prior to allocation, in an
amount |
16 | | determined in accordance with guidelines established by such
|
17 | | agency and the System.
|
18 | | (d) Effective July 1, 1986, any employer of a teacher as |
19 | | defined in
paragraph (8) of Section 16-106 shall pay the |
20 | | employer's normal cost
of benefits based upon the teacher's |
21 | | service, in addition to
employee contributions, as determined |
22 | | by the System. Such employer
contributions shall be forwarded |
23 | | monthly in accordance with guidelines
established by the |
24 | | System.
|
25 | | However, with respect to benefits granted under Section |
26 | | 16-133.4 or
16-133.5 to a teacher as defined in paragraph (8) |
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1 | | of Section 16-106, the
employer's contribution shall be 12% |
2 | | (rather than 20%) of the member's
highest annual salary rate |
3 | | for each year of creditable service granted, and
the employer |
4 | | shall also pay the required employee contribution on behalf of
|
5 | | the teacher. For the purposes of Sections 16-133.4 and |
6 | | 16-133.5, a teacher
as defined in paragraph (8) of Section |
7 | | 16-106 who is serving in that capacity
while on leave of |
8 | | absence from another employer under this Article shall not
be |
9 | | considered an employee of the employer from which the teacher |
10 | | is on leave.
|
11 | | (e) Beginning July 1, 1998, every employer of a teacher
|
12 | | shall pay to the System an employer contribution computed as |
13 | | follows:
|
14 | | (1) Beginning July 1, 1998 through June 30, 1999, the |
15 | | employer
contribution shall be equal to 0.3% of each |
16 | | teacher's salary.
|
17 | | (2) Beginning July 1, 1999 and thereafter, the employer
|
18 | | contribution shall be equal to 0.58% of each teacher's |
19 | | salary.
|
20 | | The school district or other employing unit may pay these |
21 | | employer
contributions out of any source of funding available |
22 | | for that purpose and
shall forward the contributions to the |
23 | | System on the schedule established
for the payment of member |
24 | | contributions.
|
25 | | These employer contributions are intended to offset a |
26 | | portion of the cost
to the System of the increases in |
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1 | | retirement benefits resulting from this
amendatory Act of 1998.
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2 | | Each employer of teachers is entitled to a credit against |
3 | | the contributions
required under this subsection (e) with |
4 | | respect to salaries paid to teachers
for the period January 1, |
5 | | 2002 through June 30, 2003, equal to the amount paid
by that |
6 | | employer under subsection (a-5) of Section 6.6 of the State |
7 | | Employees
Group Insurance Act of 1971 with respect to salaries |
8 | | paid to teachers for that
period.
|
9 | | The additional 1% employee contribution required under |
10 | | Section 16-152 by
this amendatory Act of 1998 is the |
11 | | responsibility of the teacher and not the
teacher's employer, |
12 | | unless the employer agrees, through collective bargaining
or |
13 | | otherwise, to make the contribution on behalf of the teacher.
|
14 | | If an employer is required by a contract in effect on May |
15 | | 1, 1998 between the
employer and an employee organization to |
16 | | pay, on behalf of all its full-time
employees
covered by this |
17 | | Article, all mandatory employee contributions required under
|
18 | | this Article, then the employer shall be excused from paying |
19 | | the employer
contribution required under this subsection (e) |
20 | | for the balance of the term
of that contract. The employer and |
21 | | the employee organization shall jointly
certify to the System |
22 | | the existence of the contractual requirement, in such
form as |
23 | | the System may prescribe. This exclusion shall cease upon the
|
24 | | termination, extension, or renewal of the contract at any time |
25 | | after May 1,
1998.
|
26 | | (f) If the amount of a teacher's salary for any school year |
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1 | | used to determine final average salary exceeds the member's |
2 | | annual full-time salary rate with the same employer for the |
3 | | previous school year by more than 6%, the teacher's employer |
4 | | shall pay to the System, in addition to all other payments |
5 | | required under this Section and in accordance with guidelines |
6 | | established by the System, the present value of the increase in |
7 | | benefits resulting from the portion of the increase in salary |
8 | | that is in excess of 6%. This present value shall be computed |
9 | | by the System on the basis of the actuarial assumptions and |
10 | | tables used in the most recent actuarial valuation of the |
11 | | System that is available at the time of the computation. If a |
12 | | teacher's salary for the 2005-2006 school year is used to |
13 | | determine final average salary under this subsection (f), then |
14 | | the changes made to this subsection (f) by Public Act 94-1057 |
15 | | shall apply in calculating whether the increase in his or her |
16 | | salary is in excess of 6%. For the purposes of this Section, |
17 | | change in employment under Section 10-21.12 of the School Code |
18 | | on or after June 1, 2005 shall constitute a change in employer. |
19 | | The System may require the employer to provide any pertinent |
20 | | information or documentation.
The changes made to this |
21 | | subsection (f) by this amendatory Act of the 94th General |
22 | | Assembly apply without regard to whether the teacher was in |
23 | | service on or after its effective date.
|
24 | | Whenever it determines that a payment is or may be required |
25 | | under this subsection, the System shall calculate the amount of |
26 | | the payment and bill the employer for that amount. The bill |
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1 | | shall specify the calculations used to determine the amount |
2 | | due. If the employer disputes the amount of the bill, it may, |
3 | | within 30 days after receipt of the bill, apply to the System |
4 | | in writing for a recalculation. The application must specify in |
5 | | detail the grounds of the dispute and, if the employer asserts |
6 | | that the calculation is subject to subsection (g) or (h) of |
7 | | this Section, must include an affidavit setting forth and |
8 | | attesting to all facts within the employer's knowledge that are |
9 | | pertinent to the applicability of that subsection. Upon |
10 | | receiving a timely application for recalculation, the System |
11 | | shall review the application and, if appropriate, recalculate |
12 | | the amount due.
|
13 | | The employer contributions required under this subsection |
14 | | (f) may be paid in the form of a lump sum within 90 days after |
15 | | receipt of the bill. If the employer contributions are not paid |
16 | | within 90 days after receipt of the bill, then interest will be |
17 | | charged at a rate equal to the System's annual actuarially |
18 | | assumed rate of return on investment compounded annually from |
19 | | the 91st day after receipt of the bill. Payments must be |
20 | | concluded within 3 years after the employer's receipt of the |
21 | | bill.
|
22 | | (g) This subsection (g) applies only to payments made or |
23 | | salary increases given on or after June 1, 2005 but before July |
24 | | 1, 2011. The changes made by Public Act 94-1057 shall not |
25 | | require the System to refund any payments received before
July |
26 | | 31, 2006 (the effective date of Public Act 94-1057). |
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1 | | When assessing payment for any amount due under subsection |
2 | | (f), the System shall exclude salary increases paid to teachers |
3 | | under contracts or collective bargaining agreements entered |
4 | | into, amended, or renewed before June 1, 2005.
|
5 | | When assessing payment for any amount due under subsection |
6 | | (f), the System shall exclude salary increases paid to a |
7 | | teacher at a time when the teacher is 10 or more years from |
8 | | retirement eligibility under Section 16-132 or 16-133.2.
|
9 | | When assessing payment for any amount due under subsection |
10 | | (f), the System shall exclude salary increases resulting from |
11 | | overload work, including summer school, when the school |
12 | | district has certified to the System, and the System has |
13 | | approved the certification, that (i) the overload work is for |
14 | | the sole purpose of classroom instruction in excess of the |
15 | | standard number of classes for a full-time teacher in a school |
16 | | district during a school year and (ii) the salary increases are |
17 | | equal to or less than the rate of pay for classroom instruction |
18 | | computed on the teacher's current salary and work schedule.
|
19 | | When assessing payment for any amount due under subsection |
20 | | (f), the System shall exclude a salary increase resulting from |
21 | | a promotion (i) for which the employee is required to hold a |
22 | | certificate or supervisory endorsement issued by the State |
23 | | Teacher Certification Board that is a different certification |
24 | | or supervisory endorsement than is required for the teacher's |
25 | | previous position and (ii) to a position that has existed and |
26 | | been filled by a member for no less than one complete academic |
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1 | | year and the salary increase from the promotion is an increase |
2 | | that results in an amount no greater than the lesser of the |
3 | | average salary paid for other similar positions in the district |
4 | | requiring the same certification or the amount stipulated in |
5 | | the collective bargaining agreement for a similar position |
6 | | requiring the same certification.
|
7 | | When assessing payment for any amount due under subsection |
8 | | (f), the System shall exclude any payment to the teacher from |
9 | | the State of Illinois or the State Board of Education over |
10 | | which the employer does not have discretion, notwithstanding |
11 | | that the payment is included in the computation of final |
12 | | average salary.
|
13 | | (h) When assessing payment for any amount due under |
14 | | subsection (f), the System shall exclude any salary increase |
15 | | described in subsection (g) of this Section given on or after |
16 | | July 1, 2011 but before July 1, 2014 under a contract or |
17 | | collective bargaining agreement entered into, amended, or |
18 | | renewed on or after June 1, 2005 but before July 1, 2011. |
19 | | Notwithstanding any other provision of this Section, any |
20 | | payments made or salary increases given after June 30, 2014 |
21 | | shall be used in assessing payment for any amount due under |
22 | | subsection (f) of this Section.
|
23 | | (i) The System shall prepare a report and file copies of |
24 | | the report with the Governor and the General Assembly by |
25 | | January 1, 2007 that contains all of the following information: |
26 | | (1) The number of recalculations required by the |
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1 | | changes made to this Section by Public Act 94-1057 for each |
2 | | employer. |
3 | | (2) The dollar amount by which each employer's |
4 | | contribution to the System was changed due to |
5 | | recalculations required by Public Act 94-1057. |
6 | | (3) The total amount the System received from each |
7 | | employer as a result of the changes made to this Section by |
8 | | Public Act 94-4. |
9 | | (4) The increase in the required State contribution |
10 | | resulting from the changes made to this Section by Public |
11 | | Act 94-1057.
|
12 | | (j) For purposes of determining the required State |
13 | | contribution to the System, the value of the System's assets |
14 | | shall be equal to the actuarial value of the System's assets, |
15 | | which shall be calculated as follows: |
16 | | As of June 30, 2008, the actuarial value of the System's |
17 | | assets shall be equal to the market value of the assets as of |
18 | | that date. In determining the actuarial value of the System's |
19 | | assets for fiscal years after June 30, 2008, any actuarial |
20 | | gains or losses from investment return incurred in a fiscal |
21 | | year shall be recognized in equal annual amounts over the |
22 | | 5-year period following that fiscal year. |
23 | | (k) For purposes of determining the required State |
24 | | contribution to the system for a particular year, the actuarial |
25 | | value of assets shall be assumed to earn a rate of return equal |
26 | | to the system's actuarially assumed rate of return. |
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1 | | (Source: P.A. 95-331, eff. 8-21-07; 95-950, eff. 8-29-08; |
2 | | 96-43, eff. 7-15-09.)
|
3 | | (40 ILCS 5/18-140)
(from Ch. 108 1/2, par. 18-140)
|
4 | | Sec. 18-140. To certify required State contributions and |
5 | | submit vouchers.
|
6 | | (a) The Board shall certify to the Governor, on or before |
7 | | November 15 of
each year, the amount of the required State |
8 | | contribution to the System for the
following fiscal year. The |
9 | | certification shall include a copy of the actuarial
|
10 | | recommendations upon which it is based.
|
11 | | On or before May 1, 2004, the Board shall recalculate and |
12 | | recertify to
the Governor the amount of the required State |
13 | | contribution to the System for
State fiscal year 2005, taking |
14 | | into account the amounts appropriated to and
received by the |
15 | | System under subsection (d) of Section 7.2 of the General
|
16 | | Obligation Bond Act.
|
17 | | On or before July 1, 2005, the Board shall recalculate and |
18 | | recertify
to the Governor the amount of the required State
|
19 | | contribution to the System for State fiscal year 2006, taking |
20 | | into account the changes in required State contributions made |
21 | | by this amendatory Act of the 94th General Assembly.
|
22 | | On or before February 1, 2011, the Board shall recalculate |
23 | | and recertify to the Governor the amount of the required State |
24 | | contribution to the System for all of State fiscal year 2011, |
25 | | taking into account Public Act 96-889. |
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1 | | (b) Beginning in State fiscal year 1996, on or as soon as |
2 | | possible after
the 15th day of each month the Board shall |
3 | | submit vouchers for payment of State
contributions to the |
4 | | System, in a total monthly amount of one-twelfth of the
|
5 | | required annual State contribution certified under subsection |
6 | | (a).
From the effective date of this amendatory Act
of the 93rd |
7 | | General Assembly through June 30, 2004, the Board shall not
|
8 | | submit vouchers for the remainder of fiscal year 2004 in excess |
9 | | of the
fiscal year 2004 certified contribution amount |
10 | | determined
under this Section after taking into consideration |
11 | | the transfer to the
System under subsection (c) of Section |
12 | | 6z-61 of the State Finance Act.
These
vouchers shall be paid by |
13 | | the State Comptroller and Treasurer by warrants drawn
on the |
14 | | funds appropriated to the System for that fiscal year.
|
15 | | If in any month the amount remaining unexpended from all |
16 | | other
appropriations to the System for the applicable fiscal |
17 | | year (including the
appropriations to the System under Section |
18 | | 8.12 of the State Finance Act and
Section 1 of the State |
19 | | Pension Funds Continuing Appropriation Act) is less than
the |
20 | | amount lawfully vouchered under this Section, the difference |
21 | | shall be paid
from the General Revenue Fund under the |
22 | | continuing appropriation authority
provided in Section 1.1 of |
23 | | the State Pension Funds Continuing Appropriation
Act.
|
24 | | (Source: P.A. 93-2, eff. 4-7-03; 93-665, eff. 3-5-04; 94-4, |
25 | | eff. 6-1-05.)
|