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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 Illinois Pension Code is amended by changing | |||||||||||||||||||||||||||||||
5 | Sections 11-134.1 and 11-169 as follows:
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6 | (40 ILCS 5/11-134.1)
(from Ch. 108 1/2, par. 11-134.1)
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7 | Sec. 11-134.1. Automatic increase in annuity.
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8 | (a) An employee who retired or retires from service after | |||||||||||||||||||||||||||||||
9 | December 31,
1963, and before January 1, 1987, having attained | |||||||||||||||||||||||||||||||
10 | age 60 or more,
shall, in the month of January of
the year | |||||||||||||||||||||||||||||||
11 | following the year in which the first anniversary of retirement
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12 | occurs, have the amount of his then fixed and payable monthly | |||||||||||||||||||||||||||||||
13 | annuity
increased by 1 1/2%, and such first fixed annuity as | |||||||||||||||||||||||||||||||
14 | granted at
retirement increased by a further 1 1/2% in January | |||||||||||||||||||||||||||||||
15 | of each year
thereafter. Beginning with January of the year | |||||||||||||||||||||||||||||||
16 | 1972, such increases
shall be at the rate of 2% in lieu of the | |||||||||||||||||||||||||||||||
17 | aforesaid specified 1 1/2%.
Beginning January, 1984, such | |||||||||||||||||||||||||||||||
18 | increases shall be at the rate of 3%.
Beginning in January of | |||||||||||||||||||||||||||||||
19 | 1999, such increases shall be at the rate of
3% of the | |||||||||||||||||||||||||||||||
20 | currently payable monthly annuity, including any increases
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21 | previously granted under this Article. An employee who retires | |||||||||||||||||||||||||||||||
22 | on annuity
after December 31, 1963 and before January 1, 1987, | |||||||||||||||||||||||||||||||
23 | but prior to age
60, shall receive such increases beginning |
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1 | with January of the year
immediately following the year in | ||||||
2 | which he attains the age of 60 years.
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3 | An employee who retires from service on or after January 1, | ||||||
4 | 1987 shall,
upon the first annuity payment date following the | ||||||
5 | first anniversary of the
date of retirement, or upon the first | ||||||
6 | annuity payment date following
attainment of age 60, whichever | ||||||
7 | occurs later, have his then fixed and
payable monthly annuity | ||||||
8 | increased by 3%, and such annuity shall be
increased by an | ||||||
9 | additional 3% of the original fixed annuity on the same
date | ||||||
10 | each year thereafter.
Beginning in January of 1999, such | ||||||
11 | increases shall be at the rate of 3% of the
currently payable | ||||||
12 | monthly annuity, including any increases previously granted
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13 | under this Article.
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14 | (a-5) Notwithstanding the provisions of subsection (a), | ||||||
15 | upon the first
annuity payment date following (1) the third | ||||||
16 | anniversary of retirement, (2)
the attainment of age 53, or (3) | ||||||
17 | January 1, 2002,
whichever occurs latest, the monthly annuity | ||||||
18 | of an employee who retires on
annuity prior to the attainment | ||||||
19 | of age 60 and has not received an
increase under subsection (a) | ||||||
20 | shall be increased by 3%, and the
annuity shall be increased by | ||||||
21 | an additional 3% of the current payable monthly
annuity, | ||||||
22 | including any
increases previously granted under this
Article, | ||||||
23 | on the same date each year thereafter. The increases provided | ||||||
24 | under
this subsection are in lieu of the increases provided in | ||||||
25 | subsection (a).
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26 | (a-6) Notwithstanding the provisions of subsections (a) |
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1 | and (a-5), for
all calendar years following the year in which | ||||||
2 | this amendatory Act of the 93rd
General Assembly takes effect, | ||||||
3 | an increase in annuity under this Section that
would otherwise | ||||||
4 | take effect at any time during the year shall instead take
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5 | effect in January of that year.
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6 | (a-10) Notwithstanding the provisions of subsections (a) | ||||||
7 | and (a-5), the annual annuity increase under this Section for a | ||||||
8 | person first employed under this Article on or after the | ||||||
9 | effective date of this amendatory Act of the 95th General | ||||||
10 | Assembly shall be at a rate of 3% of the
original fixed | ||||||
11 | annuity.
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12 | (b) Subsections (a), (a-5), and (a-6) are not applicable to
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13 | an employee retiring and receiving a term annuity, as defined | ||||||
14 | in this Article,
nor to any otherwise
qualified employee who | ||||||
15 | retires before he shall have made employee contributions
(at | ||||||
16 | the 1/2 of 1% rate as hereinafter provided) for the purposes of | ||||||
17 | this
additional annuity for not less than the equivalent of one | ||||||
18 | full year. Such
employee, however, shall make arrangement to | ||||||
19 | pay to the fund a balance of such
1/2 of 1% contributions, | ||||||
20 | based on his final salary, as will bring such 1/2 of
1% | ||||||
21 | contributions, computed without interest, to the equivalent of | ||||||
22 | or completion
of one year's contributions.
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23 | Beginning with the month of January, 1964, each employee | ||||||
24 | shall contribute
by means of salary deductions 1/2 of 1% of | ||||||
25 | each salary payment, concurrently
with and in addition to the | ||||||
26 | employee contributions otherwise made for annuity
purposes.
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1 | Each such additional employee contribution shall be | ||||||
2 | credited to an
account in the prior service annuity reserve, to | ||||||
3 | be used, together with
city contributions, to defray the cost | ||||||
4 | of the specified annuity
increments. Any balance as of the | ||||||
5 | beginning of each calendar year
existing in such account shall | ||||||
6 | be credited with interest at the rate of
3% per annum.
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7 | Such employee contributions shall not be subject to refund, | ||||||
8 | except to
an employee who resigns or is discharged and applies | ||||||
9 | for refund under
this Article, and also in cases where a term | ||||||
10 | annuity becomes payable.
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11 | In such cases the employee contributions shall be refunded | ||||||
12 | him,
without interest, and charged to the aforementioned | ||||||
13 | account in the prior
service annuity reserve.
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14 | (Source: P.A. 92-599, eff. 6-28-02; 92-609, eff. 7-1-02; | ||||||
15 | 93-654, eff. 1-16-04.)
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16 | (40 ILCS 5/11-169) (from Ch. 108 1/2, par. 11-169)
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17 | Sec. 11-169. Financing; tax levy.
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18 | (a) Except as provided in subsection (f) of this Section, | ||||||
19 | the city
council of the city shall levy a tax annually upon all | ||||||
20 | taxable property in the
city at the rate that will produce a | ||||||
21 | sum which, when added to the amounts
deducted from the salaries | ||||||
22 | of the employees or otherwise contributed by them
and the | ||||||
23 | amounts deposited under subsection (f), will be sufficient to | ||||||
24 | bring the total assets of the Fund up to 90% of the total | ||||||
25 | actuarial liabilities of the Fund by the end of fiscal year |
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1 | 2016.
for the
requirements of this Article. For the years prior | ||||||
2 | to the year 1950 the tax
rate shall be as provided for under | ||||||
3 | "The 1935 Act". Beginning with the year
1950 to and including | ||||||
4 | the year 1969 such tax shall be not more than .036%
annually of | ||||||
5 | the value, as equalized or assessed by the Department of | ||||||
6 | Revenue,
of all taxable property within such city. Beginning | ||||||
7 | with the year 1970 and
each year thereafter the city shall levy | ||||||
8 | a tax annually at a rate on the dollar
of the value, as | ||||||
9 | equalized or assessed by the Department of Revenue
of all | ||||||
10 | taxable property within such city that will
produce, when | ||||||
11 | extended, not to exceed an amount equal to the total
amount of | ||||||
12 | contributions by the employees to the fund
made in the calendar | ||||||
13 | year 2 years prior to the year for which the annual
applicable | ||||||
14 | tax is levied, multiplied by 1.1 for the years 1970, 1971 and
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15 | 1972; 1.145 for the year 1973; 1.19 for the year 1974; 1.235 | ||||||
16 | for the
year 1975; 1.280 for the year 1976; 1.325 for the year | ||||||
17 | 1977; 1.370
for the years 1978 through 1998; and 1.000 for the | ||||||
18 | year 1999
and for each year thereafter.
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19 | The tax shall be levied and collected in like manner with | ||||||
20 | the general
taxes of the city, and shall be exclusive of and in | ||||||
21 | addition to the
amount of tax the city is now or may hereafter | ||||||
22 | be authorized to levy for
general purposes under any laws which | ||||||
23 | may limit the amount of tax which
the city may levy for general | ||||||
24 | purposes. The county clerk of the county
in which the city is | ||||||
25 | located, in reducing tax levies under the
provisions of any Act | ||||||
26 | concerning the levy and extension of taxes, shall
not consider |
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1 | the tax herein provided for as a part of the general tax
levy | ||||||
2 | for city purposes, and shall not include the same within any
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3 | limitation of the per cent of the assessed valuation upon which | ||||||
4 | taxes
are required to be extended for such city.
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5 | Revenues derived from such tax shall be paid to the city | ||||||
6 | treasurer of
the city as collected and held by him for the | ||||||
7 | benefit of the fund.
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8 | If the payments on account of taxes are insufficient during | ||||||
9 | any year
to meet the requirements of this Article, the city may | ||||||
10 | issue tax
anticipation warrants against the current tax levy.
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11 | (b) On or before January 10, annually, the board shall | ||||||
12 | notify the
city council of the requirement of this Article that | ||||||
13 | the tax herein
provided shall be levied for that current year. | ||||||
14 | The board shall compute
the amounts necessary for the purposes | ||||||
15 | of this fund to be credited to
the reserves established and | ||||||
16 | maintained as herein provided, and shall
make an annual | ||||||
17 | determination of the amount of the required city
contributions; | ||||||
18 | and certify the results thereof to the city council.
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19 | (c) In respect to employees of the city who are transferred | ||||||
20 | to the
employment of a park district by virtue of "Exchange of | ||||||
21 | Functions Act of
1957" the corporate authorities of the park | ||||||
22 | district shall annually levy
a tax upon all the taxable | ||||||
23 | property in the park district at such rate
per cent of the | ||||||
24 | value of such property, as equalized or assessed by the
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25 | Department of Revenue, as shall be sufficient, when
added to | ||||||
26 | the amounts deducted from their salaries and
otherwise |
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1 | contributed by them, to provide the benefits to which they and
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2 | their dependents and beneficiaries are entitled under this | ||||||
3 | Article. The
city shall not levy a tax hereunder in respect to | ||||||
4 | such employees.
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5 | The tax so levied by the park district shall be in addition | ||||||
6 | to and
exclusive of all other taxes authorized to be levied by | ||||||
7 | the park
district for corporate, annuity fund, or other | ||||||
8 | purposes. The county
clerk of the county in which the park | ||||||
9 | district is located, in reducing
any tax levied under the | ||||||
10 | provisions of any Act concerning the levy and
extension of | ||||||
11 | taxes shall not consider such tax as part of the general
tax | ||||||
12 | levy for park purposes, and shall not include the same in any
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13 | limitation of the per cent of the assessed valuation upon which | ||||||
14 | taxes
are required to be extended for the park district. The | ||||||
15 | proceeds of the
tax levied by the park district, upon receipt | ||||||
16 | by the district, shall be
immediately paid over to the city | ||||||
17 | treasurer of the city for the uses and
purposes of the fund.
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18 | The various sums to be contributed by the city and | ||||||
19 | allocated for the
purposes of this Article, and any interest to | ||||||
20 | be contributed by the city,
shall be taken from the revenue | ||||||
21 | derived from the taxes authorized in this
Section, and no money | ||||||
22 | of such city derived from any source other than
the levy and | ||||||
23 | collection of those taxes or the sale of tax
anticipation | ||||||
24 | warrants in accordance with the provisions of this Article | ||||||
25 | shall
be used to provide revenue for this Article, except as | ||||||
26 | expressly provided in
this Section.
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1 | If it is not possible for the city to make contributions | ||||||
2 | for age and
service annuity and widow's annuity concurrently | ||||||
3 | with the employee's
contributions made for such purposes, such | ||||||
4 | city shall
make such contributions as soon as possible and | ||||||
5 | practicable thereafter
with interest thereon at the effective | ||||||
6 | rate to the time they shall be
made.
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7 | (d) With respect to employees whose wages are funded as | ||||||
8 | participants
under the Comprehensive Employment and Training | ||||||
9 | Act of 1973, as amended
(P.L. 93-203, 87 Stat. 839, P.L. | ||||||
10 | 93-567, 88 Stat. 1845), hereinafter
referred to as CETA, | ||||||
11 | subsequent to October 1, 1978, and in instances
where the board | ||||||
12 | has elected to establish a manpower program reserve, the
board | ||||||
13 | shall compute the amounts necessary to be credited to the | ||||||
14 | manpower
program reserves established and maintained as herein | ||||||
15 | provided, and
shall make a periodic determination of the amount | ||||||
16 | of required
contributions from the City to the reserve to be | ||||||
17 | reimbursed by the
federal government in accordance with rules | ||||||
18 | and regulations established
by the Secretary of the United | ||||||
19 | States Department of Labor or his
designee, and certify the | ||||||
20 | results thereof to the City Council. Any such
amounts shall | ||||||
21 | become a credit to the City and will be used to reduce the
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22 | amount which the City would otherwise contribute during | ||||||
23 | succeeding years
for all employees.
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24 | (e) In lieu of establishing a manpower program reserve with | ||||||
25 | respect
to employees whose wages are funded as participants | ||||||
26 | under the
Comprehensive Employment and Training Act of 1973, as |
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1 | authorized by
subsection (d), the board may elect to establish | ||||||
2 | a special municipality
contribution rate for all such | ||||||
3 | employees. If this option is elected,
the City shall contribute | ||||||
4 | to the Fund from federal funds provided under
the Comprehensive | ||||||
5 | Employment and Training Act program at the special
rate so | ||||||
6 | established and such contributions shall become a credit to the
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7 | City and be used to reduce the amount which the City would | ||||||
8 | otherwise
contribute during succeeding years for all | ||||||
9 | employees.
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10 | (f) In lieu of levying all or a portion of the tax required | ||||||
11 | under this
Section in any year, the city may deposit with the | ||||||
12 | city treasurer no later than
March 1 of that year for the | ||||||
13 | benefit of the fund, to be held in accordance with
this | ||||||
14 | Article, an amount that, together with the taxes levied under | ||||||
15 | this Section
for that year, is not less than the amount of the | ||||||
16 | city contributions for that
year as certified by the board to | ||||||
17 | the city council. The deposit may be derived
from any source | ||||||
18 | legally available for that purpose, including, but not limited
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19 | to, the proceeds of city borrowings. The making of a deposit | ||||||
20 | shall satisfy
fully the requirements of this Section for that | ||||||
21 | year to the extent of the
amounts so deposited. Amounts | ||||||
22 | deposited under this subsection may be used by
the fund for any | ||||||
23 | of the purposes for which the proceeds of the tax levied by
the | ||||||
24 | city under this Section may be used, including the payment of | ||||||
25 | any amount
that is otherwise required by this Article to be | ||||||
26 | paid from the proceeds of that
tax.
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1 | (Source: P.A. 90-31, eff. 6-27-97; 90-766, eff. 8-14-98.)
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2 | Section 90. The State Mandates Act is amended by adding | ||||||
3 | Section 8.31 as follows: | ||||||
4 | (30 ILCS 805/8.31 new) | ||||||
5 | Sec. 8.31. Exempt mandate. Notwithstanding Sections 6 and 8 | ||||||
6 | of this Act, no reimbursement by the State is required for the | ||||||
7 | implementation of any mandate created by this amendatory Act of | ||||||
8 | the 95th General Assembly.
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