HB1334 99TH GENERAL ASSEMBLY

LRB099 06219 RPS 26284 b

99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
HB1334

Introduced 2/4/2015, by Rep. Jack D. Franks

SYNOPSIS AS INTRODUCED:

40 ILCS 5/1-167 new

Amends the General Provisions Article of the Illinois Pension Code. Provides that a member or participant of a retirement system or pension fund established under the Code who is receiving a retirement annuity or retirement pension and becomes employed in a similar position within the same agency on or after the effective date of the amendatory Act in a position in which he or she is eligible to accrue service credit or creditable service under any Article of the Code shall, in the month immediately after commencing that employment, have the amount of his or her monthly retirement annuity or retirement pension offset by the amount of his or her compensation, earnings, or salary (whichever is applicable) in the immediately preceding month as certified to the applicable retirement system or pension fund by his or her employer, unless the payment of that retirement annuity or retirement pension is already suspended or terminated during that period. Provides that these provisions do not apply to the first $2,000 per month of retirement annuity payments. Contains a statement of legislative intent. Effective immediately.

FISCAL NOTE ACT MAY APPLY

PENSION IMPACT NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning public employee benefits, which may also be referred to as the Retirement Means Retirement Act.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 1. Legislative intent. It is the intent of this amendatory Act of the 99th General Assembly to end the abuse of the pension systems perpetuated by public employees receiving a retirement benefit from a public employee retirement or pension fund while re-employed in a like government-funded position. Such pension reforms ensure the honest, efficient use of taxpayer dollars and aid in the protection of the health of retirement and pension funds in the State.

Section 5. The Illinois Pension Code is amended by adding Section 1-167 as follows:

(40 ILCS 5/1-167 new)

Sec. 1-167. Return to employment offset. Notwithstanding any other provision of this Code, a member or participant of a retirement system or pension fund established under this Code who is receiving a retirement annuity or retirement pension under this Code and becomes employed in a similar position within the same agency on or after the effective date of this amendatory Act of the 99th General Assembly in a position in which he or she is eligible to accrue service credit or creditable service under any Article of this Code shall, in the month immediately after commencing that employment, have the amount of his or her monthly retirement annuity or retirement pension offset by the amount of his or her compensation, earnings, or salary (whichever is applicable) in the immediately preceding month as certified to the applicable retirement system or pension fund by his or her employer, unless the payment of that retirement annuity or retirement pension is already suspended or terminated under this Code during that period. However, this Section shall not apply to the first $2,000 per month of retirement annuity payments for a member or participant of a retirement system or pension fund established under this Code.

Section 99. Effective date. This Act takes effect upon becoming law.