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1 | AN ACT concerning public employee benefits.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 5. The State Employees Group Insurance Act of 1971 | ||||||||||||||||||||||||
5 | is amended by changing Sections 6.9 and 6.10 as follows:
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6 | (5 ILCS 375/6.9)
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7 | Sec. 6.9. Health benefits for community college benefit | ||||||||||||||||||||||||
8 | recipients and
community college dependent beneficiaries. | ||||||||||||||||||||||||
9 | (a) Purpose. It is the purpose of this amendatory Act of | ||||||||||||||||||||||||
10 | 1997 to establish
a uniform program of health benefits for | ||||||||||||||||||||||||
11 | community college benefit recipients
and their dependent | ||||||||||||||||||||||||
12 | beneficiaries under the administration of the Department of
| ||||||||||||||||||||||||
13 | Central Management Services.
| ||||||||||||||||||||||||
14 | (b) Creation of program. Beginning July 1, 1999, the | ||||||||||||||||||||||||
15 | Department of
Central Management Services shall be responsible | ||||||||||||||||||||||||
16 | for administering a program of
health benefits for community | ||||||||||||||||||||||||
17 | college benefit recipients and community college
dependent | ||||||||||||||||||||||||
18 | beneficiaries under this Section. The State Universities | ||||||||||||||||||||||||
19 | Retirement
System and the boards of trustees of the various | ||||||||||||||||||||||||
20 | community college districts
shall cooperate with the | ||||||||||||||||||||||||
21 | Department in this endeavor.
| ||||||||||||||||||||||||
22 | (c) Eligibility. All community college benefit recipients | ||||||||||||||||||||||||
23 | and community
college dependent beneficiaries shall be |
| |||||||
| |||||||
1 | eligible to participate in the program
established under this | ||||||
2 | Section, without any interruption or delay in coverage
or | ||||||
3 | limitation as to pre-existing medical conditions. Eligibility | ||||||
4 | to
participate shall be determined by the appropriate community | ||||||
5 | college and the determination will be provided to the State | ||||||
6 | Universities Retirement System.
The State Universities | ||||||
7 | Retirement System may rely on this information in making | ||||||
8 | deductions from annuity payments for premiums. Eligibility | ||||||
9 | information shall be communicated to the Department of Central
| ||||||
10 | Management Services in a format acceptable to the Department.
| ||||||
11 | (d) Coverage. The health benefit coverage provided under | ||||||
12 | this Section
shall be a program of health, dental, and vision | ||||||
13 | benefits.
| ||||||
14 | The program of health benefits under this Section may | ||||||
15 | include any or all of
the benefit limitations, including but | ||||||
16 | not limited to a reduction in benefits
based on eligibility for | ||||||
17 | federal medicare benefits, that are provided under
subsection | ||||||
18 | (a) of Section 6 of this Act for other health benefit programs | ||||||
19 | under
this Act.
| ||||||
20 | (e) Insurance rates and premiums. The Director shall | ||||||
21 | determine the
insurance rates and premiums for community | ||||||
22 | college benefit recipients and
community college dependent | ||||||
23 | beneficiaries. Rates and premiums may be based
in part on age | ||||||
24 | and eligibility for federal Medicare coverage.
The Director | ||||||
25 | shall also determine premiums that will allow for the
| ||||||
26 | establishment of an actuarially sound reserve for this program.
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| |||||||
1 | The cost of health benefits under the program shall be paid | ||||||
2 | as follows:
| ||||||
3 | (1) For a community college benefit recipient, up to | ||||||
4 | 75% of the total
insurance rate shall be paid from the | ||||||
5 | Community College Health Insurance
Security Fund.
| ||||||
6 | (2) The balance of the rate of insurance, including the | ||||||
7 | entire premium
for any coverage for community college | ||||||
8 | dependent beneficiaries that has been
elected, shall be | ||||||
9 | paid by deductions authorized by the community college
| ||||||
10 | benefit recipient to be withheld from his or her monthly | ||||||
11 | annuity or benefit
payment from the State Universities | ||||||
12 | Retirement System; except that (i) if the
balance of the | ||||||
13 | cost of coverage exceeds the amount of the monthly annuity | ||||||
14 | or
benefit payment, the difference shall be paid directly | ||||||
15 | to the State
Universities Retirement System by the | ||||||
16 | community college benefit recipient, and
(ii) all or part | ||||||
17 | of the balance of the cost of coverage may, at the option | ||||||
18 | of
the board of trustees of the community college district, | ||||||
19 | be paid to
the State Universities Retirement System by the | ||||||
20 | board of the community college
district from which the | ||||||
21 | community college benefit recipient retired. The State
| ||||||
22 | Universities Retirement System shall promptly deposit all | ||||||
23 | moneys withheld by or
paid to it under this subdivision | ||||||
24 | (e)(2) into the Community College Health
Insurance | ||||||
25 | Security Fund. These moneys shall not be considered assets | ||||||
26 | of the
State Universities Retirement System.
|
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| |||||||
1 | (f) Financing. All revenues arising from the | ||||||
2 | administration of the health
benefit program established under | ||||||
3 | this Section shall be deposited into the
Community College | ||||||
4 | Health Insurance Security Fund, which is hereby created as a
| ||||||
5 | nonappropriated trust fund to be held outside the State | ||||||
6 | Treasury, with the
State Treasurer as custodian. Any interest | ||||||
7 | earned on moneys in the Community
College Health Insurance | ||||||
8 | Security Fund shall be deposited into the Fund.
| ||||||
9 | Moneys in the Community College Health Insurance Security | ||||||
10 | Fund shall be used
only to pay the costs of the health benefit | ||||||
11 | program established under this
Section, including associated | ||||||
12 | administrative costs and the establishment of a
program | ||||||
13 | reserve. Beginning January 1, 1999,
the Department of Central | ||||||
14 | Management Services may make expenditures from the
Community | ||||||
15 | College Health Insurance Security Fund for those costs.
| ||||||
16 | (g) Contract for benefits. The Director shall by contract, | ||||||
17 | self-insurance,
or otherwise make available the program of | ||||||
18 | health benefits for community
college benefit recipients and | ||||||
19 | their community college dependent beneficiaries
that is | ||||||
20 | provided for in this Section. The contract or other arrangement | ||||||
21 | for
the provision of these health benefits shall be on terms | ||||||
22 | deemed by the Director
to be in the best interest of the State | ||||||
23 | of Illinois and the community college
benefit recipients based | ||||||
24 | on, but not limited to, such criteria as
administrative cost, | ||||||
25 | service capabilities of the carrier or other contractor,
and | ||||||
26 | the costs of the benefits.
|
| |||||||
| |||||||
1 | (h) Continuation of program. It is the intention of the | ||||||
2 | General Assembly
that the program of health benefits provided | ||||||
3 | under this Section be maintained
on an ongoing, affordable | ||||||
4 | basis. The program of health benefits provided under
this | ||||||
5 | Section may be amended by the State and is not intended to be a | ||||||
6 | pension or
retirement benefit subject to protection under | ||||||
7 | Article XIII, Section 5 of the
Illinois Constitution.
| ||||||
8 | (i) Other health benefit plans. A health benefit plan | ||||||
9 | provided by a
community college district (other than a | ||||||
10 | community college district subject to
Article VII of the Public | ||||||
11 | Community College Act) under the terms of a
collective | ||||||
12 | bargaining agreement in effect on or prior to the effective | ||||||
13 | date of
this amendatory Act of 1997 shall continue in force | ||||||
14 | according to the terms of
that agreement, unless otherwise | ||||||
15 | mutually agreed by the parties to that
agreement and the | ||||||
16 | affected retiree.
A community college benefit recipient or | ||||||
17 | community college dependent
beneficiary whose coverage under | ||||||
18 | such a plan expires shall be eligible to begin
participating in | ||||||
19 | the program established under this Section without any
| ||||||
20 | interruption or delay in coverage or limitation as to | ||||||
21 | pre-existing medical
conditions.
| ||||||
22 | This Act does not prohibit any community college district | ||||||
23 | from offering
additional health benefits for its retirees or | ||||||
24 | their dependents or survivors.
| ||||||
25 | (j) Nothing in this Section establishes a duty on the part | ||||||
26 | of the State Universities Retirement System to certify, verify, |
| |||||||
| |||||||
1 | audit, or otherwise ensure the appropriateness or adequacy of | ||||||
2 | the information received from the community colleges. | ||||||
3 | (Source: P.A. 90-497, eff. 8-18-97; 90-655, eff. 7-30-98.)
| ||||||
4 | (5 ILCS 375/6.10)
| ||||||
5 | Sec. 6.10. Contributions to the Community College Health | ||||||
6 | Insurance
Security Fund.
| ||||||
7 | (a) Beginning January 1, 1999, every active contributor of | ||||||
8 | the State
Universities Retirement System (established under | ||||||
9 | Article 15 of the Illinois
Pension Code) who (1) is a full-time | ||||||
10 | employee of a community college district
(other than a | ||||||
11 | community college district subject to Article VII of the Public
| ||||||
12 | Community College Act)
or an association of community college | ||||||
13 | boards and (2) is not an employee as
defined in Section 3 of | ||||||
14 | this Act shall make contributions toward the cost of
community | ||||||
15 | college annuitant and survivor health benefits at the rate of | ||||||
16 | 0.50%
of salary.
| ||||||
17 | These contributions shall be deducted by the employer and | ||||||
18 | paid to the State
Universities Retirement System as service | ||||||
19 | agent for the Department of Central
Management Services. The | ||||||
20 | System may use the same processes for collecting the
| ||||||
21 | contributions required by this subsection that it uses to | ||||||
22 | collect the
contributions received from those employees under | ||||||
23 | Section 15-157 of the
Illinois Pension Code. An employer may | ||||||
24 | agree to pick up or pay the
contributions required under this | ||||||
25 | subsection on behalf of the employee;
such contributions shall |
| |||||||
| |||||||
1 | be deemed to have been paid by the employee.
| ||||||
2 | The State Universities Retirement System shall promptly | ||||||
3 | deposit all moneys
collected under this subsection (a) into the | ||||||
4 | Community College Health Insurance
Security Fund created in | ||||||
5 | Section 6.9 of this Act. The moneys collected under
this | ||||||
6 | Section shall be used only for the purposes authorized in | ||||||
7 | Section 6.9 of
this Act and shall not be considered to be | ||||||
8 | assets of the State Universities
Retirement System. | ||||||
9 | Contributions made under this Section are not transferable
to | ||||||
10 | other pension funds or retirement systems and are not | ||||||
11 | refundable upon
termination of service.
| ||||||
12 | (b) Beginning January 1, 1999, every community college | ||||||
13 | district
(other than a community college district subject to | ||||||
14 | Article VII of the Public
Community College Act) or association
| ||||||
15 | of community college boards that is an employer under the State | ||||||
16 | Universities
Retirement System shall contribute toward the | ||||||
17 | cost of the community college
health benefits provided under | ||||||
18 | Section 6.9 of this Act an amount equal to 0.50%
of the salary | ||||||
19 | paid to its full-time employees who participate in the State
| ||||||
20 | Universities Retirement System and are not members as defined | ||||||
21 | in Section 3 of
this Act.
| ||||||
22 | These contributions shall be paid by the employer to the | ||||||
23 | State Universities
Retirement System as service agent for the | ||||||
24 | Department of Central Management
Services. The System may use | ||||||
25 | the same processes for collecting the
contributions required by | ||||||
26 | this subsection that it uses to collect the
contributions |
| |||||||
| |||||||
1 | received from those employers under Section 15-155 of the
| ||||||
2 | Illinois Pension Code.
| ||||||
3 | The State Universities Retirement System shall promptly | ||||||
4 | deposit all moneys
collected under this subsection (b) into the | ||||||
5 | Community College Health Insurance
Security Fund created in | ||||||
6 | Section 6.9 of this Act. The moneys collected under
this | ||||||
7 | Section shall be used only for the purposes authorized in | ||||||
8 | Section 6.9 of
this Act and shall not be considered to be | ||||||
9 | assets of the State Universities
Retirement System. | ||||||
10 | Contributions made under this Section are not transferable
to | ||||||
11 | other pension funds or retirement systems and are not | ||||||
12 | refundable upon
termination of service.
| ||||||
13 | The Department of Healthcare and Family Services, or any | ||||||
14 | successor agency designated to procure healthcare contracts | ||||||
15 | pursuant to this Act, is authorized to establish funds, | ||||||
16 | separate accounts provided by any bank or banks as defined by | ||||||
17 | the Illinois Banking Act, or separate accounts provided by any | ||||||
18 | savings and loan association or associations as defined by the | ||||||
19 | Illinois Savings and Loan Act of 1985 to be held by the | ||||||
20 | Director, outside the State treasury, for the purpose of | ||||||
21 | receiving the transfer of moneys from the Community College | ||||||
22 | Health Insurance Security Fund. The Department may promulgate | ||||||
23 | rules further defining the methodology for the transfers. Any | ||||||
24 | interest earned by moneys in the funds or accounts shall inure | ||||||
25 | to the Community College Health Insurance Security Fund. The | ||||||
26 | transferred moneys, and interest accrued thereon, shall be used |
| |||||||
| |||||||
1 | exclusively for transfers to administrative service | ||||||
2 | organizations or their financial institutions for payments of | ||||||
3 | claims to claimants and providers under the self-insurance | ||||||
4 | health plan. The transferred moneys, and interest accrued | ||||||
5 | thereon, shall not be used for any other purpose including, but | ||||||
6 | not limited to, reimbursement of administration fees due the | ||||||
7 | administrative service organization pursuant to its contract | ||||||
8 | or contracts with the Department.
| ||||||
9 | (c) On or before November 15 of each year, the Board of | ||||||
10 | Trustees of the
State Universities Retirement System shall | ||||||
11 | certify to the Governor, the
Director of Central Management | ||||||
12 | Services, and the State
Comptroller its estimate of the total | ||||||
13 | amount of contributions to be paid under
subsection (a) of this | ||||||
14 | Section for the next fiscal year. Beginning in fiscal year | ||||||
15 | 2008, the amount certified shall be decreased or increased each | ||||||
16 | year by the amount that the actual active employee | ||||||
17 | contributions either fell short of or exceeded the estimate | ||||||
18 | used by the Board in making the certification for the previous | ||||||
19 | fiscal year. The State Universities Retirement System shall | ||||||
20 | calculate the amount of actual active employee contributions in | ||||||
21 | fiscal years 1999 through 2005. Based upon this calculation, | ||||||
22 | the fiscal year 2008 certification shall include an amount | ||||||
23 | equal to the cumulative amount that the actual active employee | ||||||
24 | contributions either fell short of or exceeded the estimate | ||||||
25 | used by the Board in making the certification for those fiscal | ||||||
26 | years. The certification
shall include a detailed explanation |
| |||||||
| |||||||
1 | of the methods and information that the
Board relied upon in | ||||||
2 | preparing its estimate. As soon as possible after the
effective | ||||||
3 | date of this Section, the Board shall submit its estimate for | ||||||
4 | fiscal
year 1999.
| ||||||
5 | (d) Beginning in fiscal year 1999, on the first day of each | ||||||
6 | month, or as
soon thereafter as may be practical, the State | ||||||
7 | Treasurer and the State
Comptroller shall transfer from the | ||||||
8 | General Revenue Fund to the Community
College Health Insurance | ||||||
9 | Security Fund 1/12 of the annual amount appropriated
for that | ||||||
10 | fiscal year to the State Comptroller for deposit into the | ||||||
11 | Community
College Health Insurance Security Fund under Section | ||||||
12 | 1.4 of the State Pension
Funds Continuing Appropriation Act.
| ||||||
13 | (e) Except where otherwise specified in this Section, the | ||||||
14 | definitions
that apply to Article 15 of the Illinois Pension | ||||||
15 | Code apply to this Section.
| ||||||
16 | (f) Nothing in this Section establishes a duty on the part | ||||||
17 | of the State Universities Retirement System to certify, verify, | ||||||
18 | audit, or otherwise ensure the appropriateness or adequacy of | ||||||
19 | the contributions made by or information received from the | ||||||
20 | community colleges. | ||||||
21 | (Source: P.A. 94-839, eff. 6-6-06; 95-632, eff. 9-25-07.)
| ||||||
22 | Section 10. The Illinois Pension Code is amended by by | ||||||
23 | adding Section 1-117.1 and changing Sections 1-150, 1A-108.5, | ||||||
24 | and 15-159 as follows: |
| |||||||
| |||||||
1 | (40 ILCS 5/1-117.1 new) | ||||||
2 | Sec. 1-117.1. Qualified governmental plan. All pension | ||||||
3 | funds and retirement systems established under this Code shall | ||||||
4 | be administered in a manner required to satisfy the applicable | ||||||
5 | qualification requirements for a qualified governmental plan, | ||||||
6 | as provided by the U.S. Internal Revenue Code. If a statutory | ||||||
7 | provision affecting a pension fund or retirement system | ||||||
8 | conflicts with a qualification requirement in Section 401 of | ||||||
9 | the U.S. Internal Revenue Code or the pension fund's or | ||||||
10 | retirement system's status as a governmental plan under Section | ||||||
11 | 414(d) of the U.S. Internal Revenue Code with consequent | ||||||
12 | federal regulations, then the provision is either ineffective | ||||||
13 | or must be interpreted to conform with the federal | ||||||
14 | qualification requirements and allow the pension fund or | ||||||
15 | retirement system plan to retain its qualified status. | ||||||
16 | (40 ILCS 5/1-150)
| ||||||
17 | Sec. 1-150. Approval of travel or educational mission. The | ||||||
18 | expenses for travel or educational missions of a board member | ||||||
19 | of a retirement system, pension fund, or investment board | ||||||
20 | created under this Code, except those whose investments are | ||||||
21 | restricted by Section 1-113.2 of this Code, must be approved by | ||||||
22 | a majority of the board prior to the travel or educational | ||||||
23 | mission. This Section does not apply to expenses necessarily | ||||||
24 | incurred in the State of Illinois for attending board or board | ||||||
25 | committee meetings or for carrying out duties as a trustee of |
| |||||||
| |||||||
1 | the retirement system, pension fund, or investment board.
| ||||||
2 | (Source: P.A. 96-6, eff. 4-3-09.) | ||||||
3 | (40 ILCS 5/1A-108.5) | ||||||
4 | Sec. 1A-108.5. Economic opportunity investments.
| ||||||
5 | (a) For the purposes of this Section: | ||||||
6 | "Economic opportunity investment" means a qualified | ||||||
7 | investment, managed passively or actively by the pension fund, | ||||||
8 | that promotes economic development within the State of Illinois | ||||||
9 | by providing financially prudent investment opportunities in | ||||||
10 | or through the use of (a) Illinois businesses or (b) | ||||||
11 | Illinois-based projects that promote the economy of the State | ||||||
12 | or a region of the State, including without limitation | ||||||
13 | promotion of venture capital programs, coal and other natural | ||||||
14 | resource development, tourism development, infrastructure | ||||||
15 | development, real estate development, and job development | ||||||
16 | within the State of Illinois, while producing a competitive | ||||||
17 | rate of return commensurate with the risk of investment. | ||||||
18 | "Illinois business" means a business, including an | ||||||
19 | investment adviser, that is headquartered in Illinois. | ||||||
20 | "Illinois-based project" means an individual project of a | ||||||
21 | business, including the provision of products and investment | ||||||
22 | and other services to the pension fund, that will result in the | ||||||
23 | conduct of business within the State, the employment of | ||||||
24 | individuals within the State, or the acquisition of real | ||||||
25 | property located within the State.
|
| |||||||
| |||||||
1 | (b) It is the public policy of the State of Illinois to | ||||||
2 | encourage the pension funds, and any State entity investing | ||||||
3 | funds on behalf of pension funds, to promote the economy of | ||||||
4 | Illinois through the use of economic opportunity investments to | ||||||
5 | the greatest extent feasible within the bounds of financial and | ||||||
6 | fiduciary prudence.
| ||||||
7 | (c) Each pension fund, except pension funds created under | ||||||
8 | Articles 3 and 4 of this Code, shall submit a report to the | ||||||
9 | Governor and the General Assembly by January September 1 of | ||||||
10 | each year, beginning in 2011 2009 , that identifies the economic | ||||||
11 | opportunity investments made by the fund, the primary location | ||||||
12 | of the business or project, the percentage of the fund's assets | ||||||
13 | in economic opportunity investments, and the actions that the | ||||||
14 | fund has undertaken to increase the use of economic opportunity | ||||||
15 | investments to the greatest extent feasible within the bounds | ||||||
16 | of financial and fiduciary prudence . | ||||||
17 | (d) Pension funds created under Articles 2, 14, 15, 16, and | ||||||
18 | 18 of this Act, and any State agency investing funds on behalf | ||||||
19 | of those pension funds, must make reasonable efforts to invest | ||||||
20 | in economic opportunity investments. | ||||||
21 | (e) In making economic opportunity investments, trustees | ||||||
22 | and fiduciaries must comply with the relevant requirements and | ||||||
23 | restrictions set forth in Sections 1-109, 1-109.1, 1-109.2, | ||||||
24 | 1-110, and 1-111 of this Code. Economic opportunity investments | ||||||
25 | that otherwise comply with this Code shall not be deemed | ||||||
26 | imprudent solely because they are investments in an Illinois |
| |||||||
| |||||||
1 | business or Illinois-based project.
| ||||||
2 | (Source: P.A. 96-753, eff. 8-25-09.)
| ||||||
3 | (40 ILCS 5/15-159) (from Ch. 108 1/2, par. 15-159)
| ||||||
4 | Sec. 15-159. Board created. | ||||||
5 | (a) A board of trustees constituted as provided in
this | ||||||
6 | Section shall administer this System. The board shall be known | ||||||
7 | as the
Board of Trustees of the State Universities Retirement | ||||||
8 | System.
| ||||||
9 | (b) Until July 1, 1995, the Board of Trustees shall be | ||||||
10 | constituted
as follows:
| ||||||
11 | Two trustees shall be members of the Board of Trustees of | ||||||
12 | the
University of Illinois, one shall be a member of
the Board | ||||||
13 | of Trustees of Southern Illinois University, one shall be a | ||||||
14 | member
of the Board of Trustees of Chicago State University, | ||||||
15 | one shall be a member of
the Board of Trustees of Eastern | ||||||
16 | Illinois University, one shall be a member of
the Board of | ||||||
17 | Trustees of Governors State University, one shall be a member | ||||||
18 | of
the Board of Trustees of Illinois State University, one | ||||||
19 | shall be a member of
the Board of Trustees of Northeastern | ||||||
20 | Illinois University, one shall be a
member of the Board of | ||||||
21 | Trustees of Northern Illinois University, one shall be a
member | ||||||
22 | of the Board of Trustees of Western Illinois University, and | ||||||
23 | one shall
be a member of the Illinois Community College Board, | ||||||
24 | selected in each case by
their respective boards, and 2 shall
| ||||||
25 | be participants of the system appointed by the Governor for a 6 |
| |||||||
| |||||||
1 | year term with
the first appointment made pursuant to this | ||||||
2 | amendatory Act of 1984 to be
effective September 1, 1985, and | ||||||
3 | one shall be a participant appointed by the
Illinois Community | ||||||
4 | College Board for a 6 year term, and one shall be a
participant | ||||||
5 | appointed by the Board of Trustees of the University of | ||||||
6 | Illinois
for a 6 year term, and one shall be a participant or | ||||||
7 | annuitant of the system
who is a senior citizen age 60 or older | ||||||
8 | appointed by the Governor for a 6 year
term with the first | ||||||
9 | appointment to be effective September 1, 1985.
| ||||||
10 | The terms of all trustees holding office under this | ||||||
11 | subsection (b) on
June 30, 1995 shall terminate at the end of | ||||||
12 | that day and the Board shall
thereafter be constituted as | ||||||
13 | provided in subsection (c).
| ||||||
14 | (c) Beginning July 1, 1995, the Board of Trustees shall be
| ||||||
15 | constituted as follows:
| ||||||
16 | The Board shall consist of 9 trustees appointed by the | ||||||
17 | Governor. Two of the
trustees, designated at the time of | ||||||
18 | appointment, shall be participants of the
System. Two of the | ||||||
19 | trustees, designated at the time of appointment, shall be
| ||||||
20 | annuitants of the System who are receiving retirement annuities | ||||||
21 | under this
Article. The 5 remaining trustees may, but need not, | ||||||
22 | be participants or
annuitants of the System.
| ||||||
23 | The term of office of trustees appointed under this | ||||||
24 | subsection (c)
shall be 6 years, beginning on July 1. However, | ||||||
25 | of the initial trustees
appointed under this subsection (c), 3 | ||||||
26 | shall be appointed for terms of 2 years,
3 shall be appointed |
| |||||||
| |||||||
1 | for terms of 4 years, and 3 shall be appointed for terms
of 6 | ||||||
2 | years, to be designated by the Governor at the time of | ||||||
3 | appointment.
| ||||||
4 | The terms of all trustees holding office under this | ||||||
5 | subsection (c) on the effective date of this amendatory Act of | ||||||
6 | the 96th General Assembly shall terminate on that effective | ||||||
7 | date. The Governor shall make nominations for appointment under | ||||||
8 | this Section within 60 days after the effective date of this | ||||||
9 | amendatory Act of the 96th General Assembly. A trustee sitting | ||||||
10 | on the board on the effective date of this amendatory Act of | ||||||
11 | the 96th General Assembly may not hold over in office for more | ||||||
12 | than 90 days after the effective date of this amendatory Act of | ||||||
13 | the 96th General Assembly. Nothing in this Section shall | ||||||
14 | prevent the Governor from making a temporary appointment or | ||||||
15 | nominating a trustee holding office on the day before the | ||||||
16 | effective date of this amendatory Act of the 96th General | ||||||
17 | Assembly. | ||||||
18 | (d) Beginning on the 90th day after the effective date of | ||||||
19 | this amendatory Act of the 96th General Assembly, the Board of | ||||||
20 | Trustees shall be constituted as follows: | ||||||
21 | (1) The Chairperson of the Board of Higher Education, | ||||||
22 | who shall act as president chairperson of this Board. | ||||||
23 | (2) Four trustees appointed by the Governor with the | ||||||
24 | advice and consent of the Senate who may not be members of | ||||||
25 | the system or hold an elective State office and who shall | ||||||
26 | serve for a term of 6 years, except that the terms of the |
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1 | initial appointees under this subsection (d) shall be as | ||||||
2 | follows: 2 for a term of 3 years , expiring on June 30, 2012 | ||||||
3 | and 2 for a term of 6 years , expiring on June 30, 2015 . | ||||||
4 | (3) Four active participants of the system to be | ||||||
5 | elected from the contributing membership of the system by | ||||||
6 | the
contributing members, no more than 2 of which may be | ||||||
7 | from any of the University of Illinois campuses, who shall | ||||||
8 | serve for a term of 6 years, except that the terms of the | ||||||
9 | initial electees shall be as follows: 2 for a term of 3 | ||||||
10 | years and 2 for a term of 6 years. | ||||||
11 | (4) Two annuitants of
the system who have been | ||||||
12 | annuitants for at least one full year, to be
elected from | ||||||
13 | and by the annuitants of the system, no more than one of | ||||||
14 | which may be from any of the University of Illinois | ||||||
15 | campuses, who shall serve for a term of 6 years, except | ||||||
16 | that the terms of the initial electees shall be as follows: | ||||||
17 | one for a term of 3 years and one for a term of 6 years. | ||||||
18 | For the purposes of this Section, the Governor may make a | ||||||
19 | nomination and the Senate may confirm the nominee in advance of | ||||||
20 | the commencement of the nominee's term of office. | ||||||
21 | (e) The 6 elected trustees shall be elected within 90 days | ||||||
22 | after the effective date of this amendatory Act of the 96th | ||||||
23 | General Assembly for a term beginning on the 90th day after the | ||||||
24 | effective date of this amendatory Act. Trustees shall be | ||||||
25 | elected thereafter as terms expire for a 6-year term beginning | ||||||
26 | July 1 15 next following their election, and such election |
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1 | shall be concluded held on May 1, or on May 2 when May 1 falls | ||||||
2 | on a Sunday. The board may establish rules for the election of | ||||||
3 | trustees to implement the provisions of this amendatory Act of | ||||||
4 | the 96th General Assembly and for future elections. Candidates | ||||||
5 | for the participating trustee shall be nominated by petitions | ||||||
6 | in writing, signed by not less than 400 participants with their | ||||||
7 | addresses shown opposite their names. Candidates for the | ||||||
8 | annuitant trustee shall be nominated by petitions in writing, | ||||||
9 | signed by not less than 100 annuitants with their addresses | ||||||
10 | shown opposite their names. If there is more than one qualified | ||||||
11 | nominee for each elected trustee position , then the board shall | ||||||
12 | conduct a secret ballot election by mail for that trustee, in | ||||||
13 | accordance with rules as established by the board. If there is | ||||||
14 | only one qualified person nominated by petition for each | ||||||
15 | elected trustee position , then the election as required by this | ||||||
16 | Section shall not be conducted for that trustee and the board | ||||||
17 | shall declare such nominee duly elected. A vacancy occurring in | ||||||
18 | the elective membership of the board shall be filled with a | ||||||
19 | qualified person for the remainder of the unexpired term by the | ||||||
20 | elected trustees serving on the board for the remainder of the | ||||||
21 | term . | ||||||
22 | (f) A vacancy occurring in the appointed membership of on | ||||||
23 | the board of trustees caused by resignation,
death, expiration | ||||||
24 | of term of office, or other reason shall be filled by a
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25 | qualified person appointed by the Governor for the remainder of | ||||||
26 | the unexpired
term.
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1 | (g) Trustees (other than the trustees incumbent on June 30, | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
2 | 1995 or as provided in subsection (c) of this Section)
shall | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
3 | continue in office until their respective successors are | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
4 | appointed
and have qualified, except that a trustee appointed | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
5 | to one of the
participant positions shall be disqualified | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
6 | immediately upon the termination of
his or her status as a | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
7 | participant and a trustee appointed to one of the
annuitant | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
8 | positions shall be disqualified immediately upon the | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
9 | termination of
his or her status as an annuitant receiving a | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
10 | retirement annuity.
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11 | (h) Each trustee must take an oath of office
before a | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
12 | notary public of this State and shall qualify as a trustee upon | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
13 | the
presentation to the board of a certified copy of the oath. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
14 | The oath must state
that the person will diligently and | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
15 | honestly administer the affairs of the
retirement system, and | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
16 | will not knowingly violate or wilfully permit to be
violated | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
17 | any provisions of this Article.
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18 | Each trustee shall serve without compensation but shall be | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
19 | reimbursed for
expenses necessarily incurred in attending | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
20 | board meetings and carrying out his
or her duties as a trustee | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
21 | or officer of the system.
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22 | (i) This amendatory Act of 1995 is intended to supersede | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
23 | the changes made
to this Section by Public Act 89-4.
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24 | (Source: P.A. 96-6, eff. 4-3-09; revised 4-14-09.)
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25 | Section 99. Effective date. This Act takes effect upon | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
26 | becoming law.
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