94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006
HB3582

 

Introduced 2/24/2005, by Rep. Raymond Poe

 

SYNOPSIS AS INTRODUCED:
 
40 ILCS 5/14-110   from Ch. 108 1/2, par. 14-110

    Amends the State Employee Article of the Illinois Pension Code. Provides the alternative (State police) retirement formula for certain automotive mechanics, Bureau of Warehouses employees, meat and poultry inspectors who are assigned to work at correctional facilities, and vehicle inspectors. Effective immediately.


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FISCAL NOTE ACT MAY APPLY
PENSION IMPACT NOTE ACT MAY APPLY

 

 

A BILL FOR

 

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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 changing
5 Section 14-110 as follows:
 
6     (40 ILCS 5/14-110)  (from Ch. 108 1/2, par. 14-110)
7     Sec. 14-110. Alternative retirement annuity.
8     (a) Any member who has withdrawn from service with not less
9 than 20 years of eligible creditable service and has attained
10 age 55, and any member who has withdrawn from service with not
11 less than 25 years of eligible creditable service and has
12 attained age 50, regardless of whether the attainment of either
13 of the specified ages occurs while the member is still in
14 service, shall be entitled to receive at the option of the
15 member, in lieu of the regular or minimum retirement annuity, a
16 retirement annuity computed as follows:
17         (i) for periods of service as a noncovered employee: if
18     retirement occurs on or after January 1, 2001, 3% of final
19     average compensation for each year of creditable service;
20     if retirement occurs before January 1, 2001, 2 1/4% of
21     final average compensation for each of the first 10 years
22     of creditable service, 2 1/2% for each year above 10 years
23     to and including 20 years of creditable service, and 2 3/4%
24     for each year of creditable service above 20 years; and
25         (ii) for periods of eligible creditable service as a
26     covered employee: if retirement occurs on or after January
27     1, 2001, 2.5% of final average compensation for each year
28     of creditable service; if retirement occurs before January
29     1, 2001, 1.67% of final average compensation for each of
30     the first 10 years of such service, 1.90% for each of the
31     next 10 years of such service, 2.10% for each year of such
32     service in excess of 20 but not exceeding 30, and 2.30% for

 

 

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1     each year in excess of 30.
2     Such annuity shall be subject to a maximum of 75% of final
3 average compensation if retirement occurs before January 1,
4 2001 or to a maximum of 80% of final average compensation if
5 retirement occurs on or after January 1, 2001.
6     These rates shall not be applicable to any service
7 performed by a member as a covered employee which is not
8 eligible creditable service. Service as a covered employee
9 which is not eligible creditable service shall be subject to
10 the rates and provisions of Section 14-108.
11     (b) For the purpose of this Section, "eligible creditable
12 service" means creditable service resulting from service in one
13 or more of the following positions:
14         (1) State policeman;
15         (2) fire fighter in the fire protection service of a
16     department;
17         (3) air pilot;
18         (4) special agent;
19         (5) investigator for the Secretary of State;
20         (6) conservation police officer;
21         (7) investigator for the Department of Revenue;
22         (8) security employee of the Department of Human
23     Services;
24         (9) Central Management Services security police
25     officer;
26         (10) security employee of the Department of
27     Corrections;
28         (11) dangerous drugs investigator;
29         (12) investigator for the Department of State Police;
30         (13) investigator for the Office of the Attorney
31     General;
32         (14) controlled substance inspector;
33         (15) investigator for the Office of the State's
34     Attorneys Appellate Prosecutor;
35         (16) Commerce Commission police officer;
36         (17) arson investigator;

 

 

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1         (18) State highway maintenance worker; .
2         (19) automotive mechanic;
3         (20) Bureau of Warehouses employee;
4         (21) meat and poultry inspector;
5         (22) vehicle inspector.
6     A person employed in one of the positions specified in this
7 subsection is entitled to eligible creditable service for
8 service credit earned under this Article while undergoing the
9 basic police training course approved by the Illinois Law
10 Enforcement Training Standards Board, if completion of that
11 training is required of persons serving in that position. For
12 the purposes of this Code, service during the required basic
13 police training course shall be deemed performance of the
14 duties of the specified position, even though the person is not
15 a sworn peace officer at the time of the training.
16     (c) For the purposes of this Section:
17         (1) The term "state policeman" includes any title or
18     position in the Department of State Police that is held by
19     an individual employed under the State Police Act.
20         (2) The term "fire fighter in the fire protection
21     service of a department" includes all officers in such fire
22     protection service including fire chiefs and assistant
23     fire chiefs.
24         (3) The term "air pilot" includes any employee whose
25     official job description on file in the Department of
26     Central Management Services, or in the department by which
27     he is employed if that department is not covered by the
28     Personnel Code, states that his principal duty is the
29     operation of aircraft, and who possesses a pilot's license;
30     however, the change in this definition made by this
31     amendatory Act of 1983 shall not operate to exclude any
32     noncovered employee who was an "air pilot" for the purposes
33     of this Section on January 1, 1984.
34         (4) The term "special agent" means any person who by
35     reason of employment by the Division of Narcotic Control,
36     the Bureau of Investigation or, after July 1, 1977, the

 

 

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1     Division of Criminal Investigation, the Division of
2     Internal Investigation, the Division of Operations, or any
3     other Division or organizational entity in the Department
4     of State Police is vested by law with duties to maintain
5     public order, investigate violations of the criminal law of
6     this State, enforce the laws of this State, make arrests
7     and recover property. The term "special agent" includes any
8     title or position in the Department of State Police that is
9     held by an individual employed under the State Police Act.
10         (5) The term "investigator for the Secretary of State"
11     means any person employed by the Office of the Secretary of
12     State and vested with such investigative duties as render
13     him ineligible for coverage under the Social Security Act
14     by reason of Sections 218(d)(5)(A), 218(d)(8)(D) and
15     218(l)(1) of that Act.
16         A person who became employed as an investigator for the
17     Secretary of State between January 1, 1967 and December 31,
18     1975, and who has served as such until attainment of age
19     60, either continuously or with a single break in service
20     of not more than 3 years duration, which break terminated
21     before January 1, 1976, shall be entitled to have his
22     retirement annuity calculated in accordance with
23     subsection (a), notwithstanding that he has less than 20
24     years of credit for such service.
25         (6) The term "Conservation Police Officer" means any
26     person employed by the Division of Law Enforcement of the
27     Department of Natural Resources and vested with such law
28     enforcement duties as render him ineligible for coverage
29     under the Social Security Act by reason of Sections
30     218(d)(5)(A), 218(d)(8)(D), and 218(l)(1) of that Act. The
31     term "Conservation Police Officer" includes the positions
32     of Chief Conservation Police Administrator and Assistant
33     Conservation Police Administrator.
34         (7) The term "investigator for the Department of
35     Revenue" means any person employed by the Department of
36     Revenue and vested with such investigative duties as render

 

 

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1     him ineligible for coverage under the Social Security Act
2     by reason of Sections 218(d)(5)(A), 218(d)(8)(D) and
3     218(l)(1) of that Act.
4         (8) The term "security employee of the Department of
5     Human Services" means any person employed by the Department
6     of Human Services who (i) is employed at the Chester Mental
7     Health Center and has daily contact with the residents
8     thereof, (ii) is employed within a security unit at a
9     facility operated by the Department and has daily contact
10     with the residents of the security unit, (iii) is employed
11     at a facility operated by the Department that includes a
12     security unit and is regularly scheduled to work at least
13     50% of his or her working hours within that security unit,
14     or (iv) is a mental health police officer. "Mental health
15     police officer" means any person employed by the Department
16     of Human Services in a position pertaining to the
17     Department's mental health and developmental disabilities
18     functions who is vested with such law enforcement duties as
19     render the person ineligible for coverage under the Social
20     Security Act by reason of Sections 218(d)(5)(A),
21     218(d)(8)(D) and 218(l)(1) of that Act. "Security unit"
22     means that portion of a facility that is devoted to the
23     care, containment, and treatment of persons committed to
24     the Department of Human Services as sexually violent
25     persons, persons unfit to stand trial, or persons not
26     guilty by reason of insanity. With respect to past
27     employment, references to the Department of Human Services
28     include its predecessor, the Department of Mental Health
29     and Developmental Disabilities.
30         The changes made to this subdivision (c)(8) by Public
31     Act 92-14 apply to persons who retire on or after January
32     1, 2001, notwithstanding Section 1-103.1.
33         (9) "Central Management Services security police
34     officer" means any person employed by the Department of
35     Central Management Services who is vested with such law
36     enforcement duties as render him ineligible for coverage

 

 

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1     under the Social Security Act by reason of Sections
2     218(d)(5)(A), 218(d)(8)(D) and 218(l)(1) of that Act.
3         (10) The term "security employee of the Department of
4     Corrections" means any employee of the Department of
5     Corrections or the former Department of Personnel, and any
6     member or employee of the Prisoner Review Board, who has
7     daily contact with inmates by working within a correctional
8     facility or who is a parole officer or an employee who has
9     direct contact with committed persons in the performance of
10     his or her job duties.
11         (11) The term "dangerous drugs investigator" means any
12     person who is employed as such by the Department of Human
13     Services.
14         (12) The term "investigator for the Department of State
15     Police" means a person employed by the Department of State
16     Police who is vested under Section 4 of the Narcotic
17     Control Division Abolition Act with such law enforcement
18     powers as render him ineligible for coverage under the
19     Social Security Act by reason of Sections 218(d)(5)(A),
20     218(d)(8)(D) and 218(l)(1) of that Act.
21         (13) "Investigator for the Office of the Attorney
22     General" means any person who is employed as such by the
23     Office of the Attorney General and is vested with such
24     investigative duties as render him ineligible for coverage
25     under the Social Security Act by reason of Sections
26     218(d)(5)(A), 218(d)(8)(D) and 218(l)(1) of that Act. For
27     the period before January 1, 1989, the term includes all
28     persons who were employed as investigators by the Office of
29     the Attorney General, without regard to social security
30     status.
31         (14) "Controlled substance inspector" means any person
32     who is employed as such by the Department of Professional
33     Regulation and is vested with such law enforcement duties
34     as render him ineligible for coverage under the Social
35     Security Act by reason of Sections 218(d)(5)(A),
36     218(d)(8)(D) and 218(l)(1) of that Act. The term

 

 

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1     "controlled substance inspector" includes the Program
2     Executive of Enforcement and the Assistant Program
3     Executive of Enforcement.
4         (15) The term "investigator for the Office of the
5     State's Attorneys Appellate Prosecutor" means a person
6     employed in that capacity on a full time basis under the
7     authority of Section 7.06 of the State's Attorneys
8     Appellate Prosecutor's Act.
9         (16) "Commerce Commission police officer" means any
10     person employed by the Illinois Commerce Commission who is
11     vested with such law enforcement duties as render him
12     ineligible for coverage under the Social Security Act by
13     reason of Sections 218(d)(5)(A), 218(d)(8)(D), and
14     218(l)(1) of that Act.
15         (17) "Arson investigator" means any person who is
16     employed as such by the Office of the State Fire Marshal
17     and is vested with such law enforcement duties as render
18     the person ineligible for coverage under the Social
19     Security Act by reason of Sections 218(d)(5)(A),
20     218(d)(8)(D), and 218(l)(1) of that Act. A person who was
21     employed as an arson investigator on January 1, 1995 and is
22     no longer in service but not yet receiving a retirement
23     annuity may convert his or her creditable service for
24     employment as an arson investigator into eligible
25     creditable service by paying to the System the difference
26     between the employee contributions actually paid for that
27     service and the amounts that would have been contributed if
28     the applicant were contributing at the rate applicable to
29     persons with the same social security status earning
30     eligible creditable service on the date of application.
31         (18) The term "State highway maintenance worker" means
32     a person who is either of the following:
33             (i) A person employed on a full-time basis by the
34         Illinois Department of Transportation in the position
35         of highway maintainer, highway maintenance lead
36         worker, highway maintenance lead/lead worker, heavy

 

 

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1         construction equipment operator, power shovel
2         operator, or bridge mechanic; and whose principal
3         responsibility is to perform, on the roadway, the
4         actual maintenance necessary to keep the highways that
5         form a part of the State highway system in serviceable
6         condition for vehicular traffic.
7             (ii) A person employed on a full-time basis by the
8         Illinois State Toll Highway Authority in the position
9         of equipment operator/laborer H-4, equipment
10         operator/laborer H-6, welder H-4, welder H-6,
11         mechanical/electrical H-4, mechanical/electrical H-6,
12         water/sewer H-4, water/sewer H-6, sign maker/hanger
13         H-4, sign maker/hanger H-6, roadway lighting H-4,
14         roadway lighting H-6, structural H-4, structural H-6,
15         painter H-4, or painter H-6; and whose principal
16         responsibility is to perform, on the roadway, the
17         actual maintenance necessary to keep the Authority's
18         tollways in serviceable condition for vehicular
19         traffic.
20         (19) The term "automotive mechanic" means a person who
21     is employed as such on a full-time basis by the Department
22     of Central Management Services or the Department of
23     Transportation and who is assigned to retrieve or repair
24     State vehicles on State highways or tollways.
25         (20) The term "Bureau of Warehouses employee" means a
26     person who is employed on a full-time basis by the Bureau
27     of Warehouses of the Illinois Department of Agriculture.
28         (21) The term "meat and poultry inspector" means a
29     person who is employed on a full-time basis by the Bureau
30     of Meat and Poultry Inspection of the Illinois Department
31     of Agriculture and is assigned to work at a correctional
32     facility.
33         (22) The term "vehicle inspector" means a person who is
34     employed on a full-time basis as a Truck Weighing Inspector
35     by the Department of State Police or as a Vehicle
36     Compliance Inspector by the Illinois Department of

 

 

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1     Transportation.
2     (d) A security employee of the Department of Corrections,
3 and a security employee of the Department of Human Services who
4 is not a mental health police officer, shall not be eligible
5 for the alternative retirement annuity provided by this Section
6 unless he or she meets the following minimum age and service
7 requirements at the time of retirement:
8         (i) 25 years of eligible creditable service and age 55;
9     or
10         (ii) beginning January 1, 1987, 25 years of eligible
11     creditable service and age 54, or 24 years of eligible
12     creditable service and age 55; or
13         (iii) beginning January 1, 1988, 25 years of eligible
14     creditable service and age 53, or 23 years of eligible
15     creditable service and age 55; or
16         (iv) beginning January 1, 1989, 25 years of eligible
17     creditable service and age 52, or 22 years of eligible
18     creditable service and age 55; or
19         (v) beginning January 1, 1990, 25 years of eligible
20     creditable service and age 51, or 21 years of eligible
21     creditable service and age 55; or
22         (vi) beginning January 1, 1991, 25 years of eligible
23     creditable service and age 50, or 20 years of eligible
24     creditable service and age 55.
25     Persons who have service credit under Article 16 of this
26 Code for service as a security employee of the Department of
27 Corrections or the Department of Human Services in a position
28 requiring certification as a teacher may count such service
29 toward establishing their eligibility under the service
30 requirements of this Section; but such service may be used only
31 for establishing such eligibility, and not for the purpose of
32 increasing or calculating any benefit.
33     (e) If a member enters military service while working in a
34 position in which eligible creditable service may be earned,
35 and returns to State service in the same or another such
36 position, and fulfills in all other respects the conditions

 

 

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1 prescribed in this Article for credit for military service,
2 such military service shall be credited as eligible creditable
3 service for the purposes of the retirement annuity prescribed
4 in this Section.
5     (f) For purposes of calculating retirement annuities under
6 this Section, periods of service rendered after December 31,
7 1968 and before October 1, 1975 as a covered employee in the
8 position of special agent, conservation police officer, mental
9 health police officer, or investigator for the Secretary of
10 State, shall be deemed to have been service as a noncovered
11 employee, provided that the employee pays to the System prior
12 to retirement an amount equal to (1) the difference between the
13 employee contributions that would have been required for such
14 service as a noncovered employee, and the amount of employee
15 contributions actually paid, plus (2) if payment is made after
16 July 31, 1987, regular interest on the amount specified in item
17 (1) from the date of service to the date of payment.
18     For purposes of calculating retirement annuities under
19 this Section, periods of service rendered after December 31,
20 1968 and before January 1, 1982 as a covered employee in the
21 position of investigator for the Department of Revenue shall be
22 deemed to have been service as a noncovered employee, provided
23 that the employee pays to the System prior to retirement an
24 amount equal to (1) the difference between the employee
25 contributions that would have been required for such service as
26 a noncovered employee, and the amount of employee contributions
27 actually paid, plus (2) if payment is made after January 1,
28 1990, regular interest on the amount specified in item (1) from
29 the date of service to the date of payment.
30     (g) A State policeman may elect, not later than January 1,
31 1990, to establish eligible creditable service for up to 10
32 years of his service as a policeman under Article 3, by filing
33 a written election with the Board, accompanied by payment of an
34 amount to be determined by the Board, equal to (i) the
35 difference between the amount of employee and employer
36 contributions transferred to the System under Section 3-110.5,

 

 

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1 and the amounts that would have been contributed had such
2 contributions been made at the rates applicable to State
3 policemen, plus (ii) interest thereon at the effective rate for
4 each year, compounded annually, from the date of service to the
5 date of payment.
6     Subject to the limitation in subsection (i), a State
7 policeman may elect, not later than July 1, 1993, to establish
8 eligible creditable service for up to 10 years of his service
9 as a member of the County Police Department under Article 9, by
10 filing a written election with the Board, accompanied by
11 payment of an amount to be determined by the Board, equal to
12 (i) the difference between the amount of employee and employer
13 contributions transferred to the System under Section 9-121.10
14 and the amounts that would have been contributed had those
15 contributions been made at the rates applicable to State
16 policemen, plus (ii) interest thereon at the effective rate for
17 each year, compounded annually, from the date of service to the
18 date of payment.
19     (h) Subject to the limitation in subsection (i), a State
20 policeman or investigator for the Secretary of State may elect
21 to establish eligible creditable service for up to 12 years of
22 his service as a policeman under Article 5, by filing a written
23 election with the Board on or before January 31, 1992, and
24 paying to the System by January 31, 1994 an amount to be
25 determined by the Board, equal to (i) the difference between
26 the amount of employee and employer contributions transferred
27 to the System under Section 5-236, and the amounts that would
28 have been contributed had such contributions been made at the
29 rates applicable to State policemen, plus (ii) interest thereon
30 at the effective rate for each year, compounded annually, from
31 the date of service to the date of payment.
32     Subject to the limitation in subsection (i), a State
33 policeman, conservation police officer, or investigator for
34 the Secretary of State may elect to establish eligible
35 creditable service for up to 10 years of service as a sheriff's
36 law enforcement employee under Article 7, by filing a written

 

 

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1 election with the Board on or before January 31, 1993, and
2 paying to the System by January 31, 1994 an amount to be
3 determined by the Board, equal to (i) the difference between
4 the amount of employee and employer contributions transferred
5 to the System under Section 7-139.7, and the amounts that would
6 have been contributed had such contributions been made at the
7 rates applicable to State policemen, plus (ii) interest thereon
8 at the effective rate for each year, compounded annually, from
9 the date of service to the date of payment.
10     (i) The total amount of eligible creditable service
11 established by any person under subsections (g), (h), (j), (k),
12 and (l) of this Section shall not exceed 12 years.
13     (j) Subject to the limitation in subsection (i), an
14 investigator for the Office of the State's Attorneys Appellate
15 Prosecutor or a controlled substance inspector may elect to
16 establish eligible creditable service for up to 10 years of his
17 service as a policeman under Article 3 or a sheriff's law
18 enforcement employee under Article 7, by filing a written
19 election with the Board, accompanied by payment of an amount to
20 be determined by the Board, equal to (1) the difference between
21 the amount of employee and employer contributions transferred
22 to the System under Section 3-110.6 or 7-139.8, and the amounts
23 that would have been contributed had such contributions been
24 made at the rates applicable to State policemen, plus (2)
25 interest thereon at the effective rate for each year,
26 compounded annually, from the date of service to the date of
27 payment.
28     (k) Subject to the limitation in subsection (i) of this
29 Section, an alternative formula employee may elect to establish
30 eligible creditable service for periods spent as a full-time
31 law enforcement officer or full-time corrections officer
32 employed by the federal government or by a state or local
33 government located outside of Illinois, for which credit is not
34 held in any other public employee pension fund or retirement
35 system. To obtain this credit, the applicant must file a
36 written application with the Board by March 31, 1998,

 

 

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1 accompanied by evidence of eligibility acceptable to the Board
2 and payment of an amount to be determined by the Board, equal
3 to (1) employee contributions for the credit being established,
4 based upon the applicant's salary on the first day as an
5 alternative formula employee after the employment for which
6 credit is being established and the rates then applicable to
7 alternative formula employees, plus (2) an amount determined by
8 the Board to be the employer's normal cost of the benefits
9 accrued for the credit being established, plus (3) regular
10 interest on the amounts in items (1) and (2) from the first day
11 as an alternative formula employee after the employment for
12 which credit is being established to the date of payment.
13     (l) Subject to the limitation in subsection (i), a security
14 employee of the Department of Corrections may elect, not later
15 than July 1, 1998, to establish eligible creditable service for
16 up to 10 years of his or her service as a policeman under
17 Article 3, by filing a written election with the Board,
18 accompanied by payment of an amount to be determined by the
19 Board, equal to (i) the difference between the amount of
20 employee and employer contributions transferred to the System
21 under Section 3-110.5, and the amounts that would have been
22 contributed had such contributions been made at the rates
23 applicable to security employees of the Department of
24 Corrections, plus (ii) interest thereon at the effective rate
25 for each year, compounded annually, from the date of service to
26 the date of payment.
27 (Source: P.A. 91-357, eff. 7-29-99; 91-760, eff. 1-1-01; 92-14,
28 eff. 6-28-01; 92-257, eff. 8-6-01; 92-651, eff. 7-11-02.)
 
29     Section 99. Effective date. This Act takes effect upon
30 becoming law.