97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
HB3304

 

Introduced 2/24/2011, by Rep. Donald L. Moffitt

 

SYNOPSIS AS INTRODUCED:
 
40 ILCS 5/4-109.1  from Ch. 108 1/2, par. 4-109.1
30 ILCS 805/8.35 new

    Amends the Downstate Firefighter Article of the Illinois Pension Code. Provides that, in July 2011, the monthly pension of a firefighter who retired on or before January 1, 1986 shall be recalculated and increased to reflect the amount that the firefighter would have received in July 2011 had the firefighter been receiving a 3% compounded increase for each year he or she received pension payments after January 1, 1986, plus any increases in pension received for each year prior to January 1, 1986. In each January thereafter, provides that he or she shall receive an additional increase of 3% of the amount of the pension then being paid. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately.


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FISCAL NOTE ACT MAY APPLY
PENSION IMPACT NOTE ACT MAY APPLY
STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT

 

 

A BILL FOR

 

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1    AN ACT concerning public employee benefits.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Pension Code is amended by changing
5Section 4-109.1 as follows:
 
6    (40 ILCS 5/4-109.1)  (from Ch. 108 1/2, par. 4-109.1)
7    Sec. 4-109.1. Increase in pension.
8    (a) Except as provided in subsection (e), the monthly
9pension of a firefighter who retires after July 1, 1971 and
10prior to January 1, 1986, shall, upon either the first of the
11month following the first anniversary of the date of retirement
12if 60 years of age or over at retirement date, or upon the
13first day of the month following attainment of age 60 if it
14occurs after the first anniversary of retirement, be increased
15by 2% of the originally granted monthly pension and by an
16additional 2% in each January thereafter. Effective January
171976, the rate of the annual increase shall be 3% of the
18originally granted monthly pension.
19    (b) The monthly pension of a firefighter who retired from
20service with 20 or more years of service, on or before July 1,
211971, shall be increased, in January of the year following the
22year of attaining age 65 or in January 1972, if then over age
2365, by 2% of the originally granted monthly pension, for each

 

 

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1year the firefighter received pension payments. In each January
2thereafter, he or she shall receive an additional increase of
32% of the original monthly pension. Effective January 1976, the
4rate of the annual increase shall be 3%.
5    (c) The monthly pension of a firefighter who is receiving a
6disability pension under this Article shall be increased, in
7January of the year following the year the firefighter attains
8age 60, or in January 1974, if then over age 60, by 2% of the
9originally granted monthly pension for each year he or she
10received pension payments. In each January thereafter, the
11firefighter shall receive an additional increase of 2% of the
12original monthly pension. Effective January 1976, the rate of
13the annual increase shall be 3%.
14    (c-1) On January 1, 1998, every child's disability benefit
15payable on that date under Section 4-110 or 4-110.1 shall be
16increased by an amount equal to 1/12 of 3% of the amount of the
17benefit, multiplied by the number of months for which the
18benefit has been payable. On each January 1 thereafter, every
19child's disability benefit payable under Section 4-110 or
204-110.1 shall be increased by 3% of the amount of the benefit
21then being paid, including any previous increases received
22under this Article. These increases are not subject to any
23limitation on the maximum benefit amount included in Section
244-110 or 4-110.1.
25    (c-2) On July 1, 2004, every pension payable to or on
26behalf of a minor or disabled surviving child that is payable

 

 

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1on that date under Section 4-114 shall be increased by an
2amount equal to 1/12 of 3% of the amount of the pension,
3multiplied by the number of months for which the benefit has
4been payable. On July 1, 2005, July 1, 2006, July 1, 2007, and
5July 1, 2008, every pension payable to or on behalf of a minor
6or disabled surviving child that is payable under Section 4-114
7shall be increased by 3% of the amount of the pension then
8being paid, including any previous increases received under
9this Article. These increases are not subject to any limitation
10on the maximum benefit amount included in Section 4-114.
11    (d) The monthly pension of a firefighter who retires after
12January 1, 1986, shall, upon either the first of the month
13following the first anniversary of the date of retirement if 55
14years of age or over, or upon the first day of the month
15following attainment of age 55 if it occurs after the first
16anniversary of retirement, be increased by 1/12 of 3% of the
17originally granted monthly pension for each full month that has
18elapsed since the pension began, and by an additional 3% in
19each January thereafter.
20    The changes made to this subsection (d) by this amendatory
21Act of the 91st General Assembly apply to all initial increases
22that become payable under this subsection on or after January
231, 1999. All initial increases that became payable under this
24subsection on or after January 1, 1999 and before the effective
25date of this amendatory Act shall be recalculated and the
26additional amount accruing for that period, if any, shall be

 

 

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1payable to the pensioner in a lump sum.
2    (e) Notwithstanding the provisions of subsection (a), upon
3the first day of the month following (1) the first anniversary
4of the date of retirement, or (2) the attainment of age 55, or
5(3) July 1, 1987, whichever occurs latest, the monthly pension
6of a firefighter who retired on or after January 1, 1977 and on
7or before January 1, 1986 and did not receive an increase under
8subsection (a) before July 1, 1987, shall be increased by 3% of
9the originally granted monthly pension for each full year that
10has elapsed since the pension began, and by an additional 3% in
11each January thereafter. The increases provided under this
12subsection are in lieu of the increases provided in subsection
13(a).
14    (f) In July 2009, the monthly pension of a firefighter who
15retired before July 1, 1977 shall be recalculated and increased
16to reflect the amount that the firefighter would have received
17in July 2009 had the firefighter been receiving a 3% compounded
18increase for each year he or she received pension payments
19after January 1, 1986, plus any increases in pension received
20for each year prior to January 1, 1986. In each January
21thereafter, he or she shall receive an additional increase of
223% of the amount of the pension then being paid. The changes
23made to this Section by this amendatory Act of the 96th General
24Assembly apply without regard to whether the firefighter was in
25service on or after its effective date.
26    (f-5) In July 2011, the monthly pension of a firefighter

 

 

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1who retired on or before January 1, 1986 shall be recalculated
2and increased to reflect the amount that the firefighter would
3have received in July 2011 had the firefighter been receiving a
43% compounded increase for each year he or she received pension
5payments after January 1, 1986, plus any increases in pension
6received for each year prior to January 1, 1986. In each
7January thereafter, he or she shall receive an additional
8increase of 3% of the amount of the pension then being paid.
9The changes made to this Section by this amendatory Act of the
1097th General Assembly apply without regard to whether the
11firefighter was in service on or after its effective date.
12(Source: P.A. 96-775, eff. 8-28-09.)
 
13    Section 90. The State Mandates Act is amended by adding
14Section 8.35 as follows:
 
15    (30 ILCS 805/8.35 new)
16    Sec. 8.35. Exempt mandate. Notwithstanding Sections 6 and 8
17of this Act, no reimbursement by the State is required for the
18implementation of any mandate created by this amendatory Act of
19the 97th General Assembly.
 
20    Section 99. Effective date. This Act takes effect upon
21becoming law.