LRB093 02467 EFG 02477 b

 1        AN ACT in relation to public employee benefits.

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

 4        Section 5.  The  Illinois  Pension  Code  is  amended  by
 5    adding Sections 6-127.5, 6-209.2, and 14-105.8 as follows:

 6        (40 ILCS 5/6-127.5 new)
 7        Sec. 6-127.5. Alternative payment option.
 8        (a)  This  Section  applies only to a fireman who (i) has
 9    at least 23 years of creditable service,  (ii)  has  attained
10    age  50,  and  (iii)  withdraws  from service on or after the
11    effective date of this Section.
12        (b)  A qualifying fireman  may  elect,  at  the  time  of
13    applying  for  an age and service annuity under this Article,
14    to receive a lump sum payment at the time of  retirement,  in
15    exchange  for  which he or she agrees to forfeit one, 2, or 3
16    years of service credit.  The lump sum payment  shall  be  an
17    amount  equal  to  30%  of  the  average  salary  used in the
18    calculation  of  the  fireman's  age  and  service   annuity,
19    multiplied  by the number of years of service credit that the
20    fireman has elected to forfeit.
21        (c)  Service credit forfeited under  this  Section  shall
22    not  be  included in the calculation of the fireman's age and
23    service  annuity,   nor   used   for   any   other   purpose.
24    Contributions  relating  to  the forfeited service credit are
25    not refundable.
26        (d)  Election of the  alternative  payment  option  under
27    this Section becomes irrevocable upon receipt of the lump sum
28    payment.

29        (40 ILCS 5/6-209.2 new)
30        Sec.  6-209.2.  Credit  for  certain  State  Fire Marshal
                            -2-      LRB093 02467 EFG 02477 b
 1    Service.  Service credits  transferred  to  this  Fund  under
 2    Section  14-105.8  of  this  Code  shall  be  included in the
 3    computation  of  service  for  annuity  purposes  under  this
 4    Article, provided that the sums to be transferred to the Fund
 5    under that Section have been received by the Fund.

 6        (40 ILCS 5/14-105.8 new)
 7        Sec. 14-105.8. Transfer to Article 6 fund.  A  member  of
 8    this  System  who  has at least 20 years of service credit in
 9    the Article 6 fund may apply for transfer to  the  Article  6
10    fund  of  his  or  her  creditable service in this System for
11    service as an employee  of  the  Office  of  the  State  Fire
12    Marshal.    Such  creditable  service  shall  be  transferred
13    forthwith.  Payment by this System  to  the  Article  6  fund
14    shall be made at the same time and shall consist of:
15             (1)  the  amounts  accumulated  to the credit of the
16        applicant for that service, including  regular  interest,
17        on the books of the System on the date of transfer; and
18             (2)  an  amount representing employer contributions,
19        equal to the amount determined under item (1).
20    Participation in this System as to  the  credits  transferred
21    under this Section shall terminate on the date of transfer.

22        Section  90.  The State Mandates Act is amended by adding
23    Section 8.27 as follows:

24        (30 ILCS 805/8.27 new)
25        Sec. 8.27. Exempt mandate.   Notwithstanding  Sections  6
26    and  8 of this Act, no reimbursement by the State is required
27    for  the  implementation  of  any  mandate  created  by  this
28    amendatory Act of the 93rd General Assembly.

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