97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
SB3598

 

Introduced 2/10/2012, by Sen. Iris Y. Martinez

 

SYNOPSIS AS INTRODUCED:
 
40 ILCS 5/17-142.1  from Ch. 108 1/2, par. 17-142.1
30 ILCS 805/8.36 new

    Amends the Chicago Teacher Article of the Illinois Pension Code. Provides that beginning in fiscal year 2013, the $65,000,000 base limitation on total payments for health insurance shall increase annually by the unadjusted percentage increase (but not less than zero) of the weighted average of medical care services and medical care commodities in the consumer price index-u for the 12 months ending March 1 of the previous fiscal year. 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

 

 

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 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.

 

 

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1    (3) Total payments under this Section in any year may not
2exceed the base limitation amount determined annually under
3subsection (3.1), $65,000,000 plus any amount that was
4authorized to be paid under this Section in the preceding year
5but was not actually paid by the Board, including any interest
6earned thereon.
7    (3.1) In fiscal year 2012, the base limitation amount is
8$65,000,000. Beginning in fiscal year 2013, the base limitation
9amount shall increase annually by the unadjusted percentage
10increase (but not less than zero) of the weighted average of
11medical care services and medical care commodities in the
12consumer price index-u for the 12 months ending March 1 of the
13previous fiscal year.
14    (4) The total amount of payments under this Section in any
15year may not exceed 75% of the total cost of health insurance
16coverage in that year for all the recipients who receive
17payments authorized by this Section in that year.
18(Source: P.A. 93-677, eff. 6-28-04.)
 
19    Section 90. The State Mandates Act is amended by adding
20Section 8.36 as follows:
 
21    (30 ILCS 805/8.36 new)
22    Sec. 8.36. Exempt mandate. Notwithstanding Sections 6 and 8
23of this Act, no reimbursement by the State is required for the
24implementation of any mandate created by this amendatory Act of

 

 

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1the 97th General Assembly.
 
2    Section 99. Effective date. This Act takes effect upon
3becoming law.