97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
SB1873

 

Introduced 2/10/2011, by Sen. Kwame Raoul

 

SYNOPSIS AS INTRODUCED:
 
40 ILCS 5/17-142.1  from Ch. 108 1/2, par. 17-142.1
30 ILCS 805/8.35 new

    Amends the Chicago Teacher Article of the Illinois Pension Code. In provisions concerning the Board of Trustees of the Public School Teachers' Pension and Retirement Fund of Chicago's power to defray health insurance costs, increases the maximum total payments for that purpose to $75,000,000 (from $65,000,000) plus any amount authorized to be paid in the preceding year that was not actually paid by the Board, including interest earned thereon. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately.


LRB097 05685 JDS 45748 b

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

 

 

A BILL FOR

 

SB1873LRB097 05685 JDS 45748 b

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 17-142.1 as follows:
 
6    (40 ILCS 5/17-142.1)  (from Ch. 108 1/2, par. 17-142.1)
7    Sec. 17-142.1. To defray health insurance costs. To provide
8for the partial reimbursement of health insurance costs.
9    (1) On the first day of September of each year, beginning
10in 1988, the Board may, by separate warrant, pay to each
11recipient of a service retirement, disability retirement or
12survivor's pension an amount to be determined by the Board,
13which shall represent partial reimbursement for the cost of the
14recipient's health insurance coverage.
15    (2) In lieu of the annual payment authorized in subdivision
16(1), for pensioners enrolled in the Fund's regular health care
17deduction plans, the Fund may pay the health insurance premium
18reimbursement on a monthly rather than annual basis, at the
19percentage rate established from time to time by the Board. If
20the Board so directs, these monthly payments may be made in the
21form of a direct payment of premium and a reduction in the
22amount deducted from the annuity, rather than in the form of
23reimbursement by separate warrant.

 

 

SB1873- 2 -LRB097 05685 JDS 45748 b

1    (3) Total payments under this Section in any year may not
2exceed $75,000,000 $65,000,000 plus any amount that was
3authorized to be paid under this Section in the preceding year
4but was not actually paid by the Board, including any interest
5earned thereon.
6    (4) The total amount of payments under this Section in any
7year may not exceed 75% of the total cost of health insurance
8coverage in that year for all the recipients who receive
9payments authorized by this Section in that year.
10(Source: P.A. 93-677, eff. 6-28-04.)
 
11    Section 90. The State Mandates Act is amended by adding
12Section 8.35 as follows:
 
13    (30 ILCS 805/8.35 new)
14    Sec. 8.35. Exempt mandate. Notwithstanding Sections 6 and 8
15of this Act, no reimbursement by the State is required for the
16implementation of any mandate created by this amendatory Act of
17the 97th General Assembly.
 
18    Section 99. Effective date. This Act takes effect upon
19becoming law.