Illinois General Assembly - Full Text of HB2976
Illinois General Assembly

  Bills & Resolutions  
  Compiled Statutes  
  Public Acts  
  Legislative Reports  
  IL Constitution  
  Legislative Guide  
  Legislative Glossary  

 Search By Number
 (example: HB0001)
Search Tips

Search By Keyword

Full Text of HB2976  102nd General Assembly

HB2976 102ND GENERAL ASSEMBLY


 


 
102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB2976

 

Introduced 2/19/2021, by Rep. Thomas Morrison

 

SYNOPSIS AS INTRODUCED:
 
40 ILCS 5/2-101  from Ch. 108 1/2, par. 2-101
40 ILCS 5/2-105  from Ch. 108 1/2, par. 2-105
40 ILCS 5/2-107  from Ch. 108 1/2, par. 2-107
40 ILCS 5/7-137  from Ch. 108 1/2, par. 7-137
40 ILCS 5/8-113  from Ch. 108 1/2, par. 8-113
40 ILCS 5/8-243  from Ch. 108 1/2, par. 8-243
40 ILCS 5/9-108  from Ch. 108 1/2, par. 9-108

    Amends the Illinois Pension Code. In the General Assembly Article, restricts participation in the General Assembly Retirement System to persons who become participants before the effective date of the amendatory Act and provides that, beginning on that date, the System shall not accept any new participants. Makes related changes. In the Illinois Municipal Retirement Fund (IMRF), Chicago Municipal, and Cook County Articles, provides that a person who holds part-time elective office is not an employee, contributor, or participant with respect to that office, unless he or she (i) was elected to that office before the effective date of the amendatory Act and (ii) has elected while in that office to become a contributor. Provides that an elective office shall be presumed to be part-time in the absence of an official job description or determination by the legal advisor of the applicable unit of local government, filed with the Board of the Fund, declaring the elective office to be full-time.


LRB102 14898 RPS 20251 b

FISCAL NOTE ACT MAY APPLY
PENSION IMPACT NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB2976LRB102 14898 RPS 20251 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
5changing Sections 2-101, 2-105, 2-107, 7-137, 8-113, 8-243,
6and 9-108 as follows:
 
7    (40 ILCS 5/2-101)  (from Ch. 108 1/2, par. 2-101)
8    Sec. 2-101. Creation of system. A retirement system is
9created to provide retirement annuities, survivor's annuities
10and other benefits for certain members of the General
11Assembly, certain elected state officials, and their
12beneficiaries.
13    The system shall be known as the "General Assembly
14Retirement System". All its funds and property shall be a
15trust separate from all other entities, maintained for the
16purpose of securing payment of annuities and benefits under
17this Article.
18    Participation in the retirement system created under this
19Article is restricted to persons who became participants
20before the effective date of this amendatory Act of the 102nd
21General Assembly. Beginning on that date, the System shall not
22accept any new participants.
23(Source: P.A. 83-1440.)
 

 

 

HB2976- 2 -LRB102 14898 RPS 20251 b

1    (40 ILCS 5/2-105)  (from Ch. 108 1/2, par. 2-105)
2    Sec. 2-105. Member. "Member": Members of the General
3Assembly of this State, including persons who enter military
4service while a member of the General Assembly, and any person
5serving as Governor, Lieutenant Governor, Secretary of State,
6Treasurer, Comptroller, or Attorney General for the period of
7service in such office.
8    Any person who has served for 10 or more years as Clerk or
9Assistant Clerk of the House of Representatives, Secretary or
10Assistant Secretary of the Senate, or any combination thereof,
11may elect to become a member of this system while thenceforth
12engaged in such service by filing a written election with the
13board. Any person so electing shall be deemed an active member
14of the General Assembly for the purpose of validating and
15transferring any service credits earned under any of the funds
16and systems established under Articles 3 through 18 of this
17Code.
18    However, notwithstanding any other provision of this
19Article, a person shall not be deemed a member for the purposes
20of this Article unless he or she became a participant of the
21System before the effective date of this amendatory Act of the
22102nd General Assembly.
23(Source: P.A. 85-1008.)
 
24    (40 ILCS 5/2-107)  (from Ch. 108 1/2, par. 2-107)

 

 

HB2976- 3 -LRB102 14898 RPS 20251 b

1    Sec. 2-107. Participant. "Participant": Any member who
2elects to participate; and any former member who elects to
3continue participation under Section 2-117.1, for the duration
4of such continued participation. However, notwithstanding any
5other provision of this Article, a person shall not be deemed a
6participant for the purposes of this Article unless he or she
7became a participant of the System before the effective date
8of this amendatory Act of the 102nd General Assembly.
9(Source: P.A. 86-1488.)
 
10    (40 ILCS 5/7-137)  (from Ch. 108 1/2, par. 7-137)
11    Sec. 7-137. Participating and covered employees.
12    (a) The persons described in this paragraph (a) shall be
13included within and be subject to this Article and eligible to
14benefits from this fund, beginning upon the dates hereinafter
15specified:
16        1. Except as to the employees specifically excluded
17    under the provisions of this Article, all persons who are
18    employees of any municipality (or instrumentality thereof)
19    or participating instrumentality on the effective date of
20    participation of the municipality or participating
21    instrumentality beginning upon such effective date.
22        2. Except as to the employees specifically excluded
23    under the provisions of this Article, all persons, who
24    became employees of any participating municipality (or
25    instrumentality thereof) or participating instrumentality

 

 

HB2976- 4 -LRB102 14898 RPS 20251 b

1    after the effective date of participation of such
2    municipality or participating instrumentality, beginning
3    upon the date such person becomes an employee.
4        3. All persons who file notice with the board as
5    provided in paragraph (b) 2 and 3 of this Section,
6    beginning upon the date of filing such notice.
7    (b) The following described persons shall not be
8considered participating employees eligible for benefits from
9this fund, but shall be included within and be subject to this
10Article (each of the descriptions is not exclusive but is
11cumulative):
12        1. Any person who occupies an office or is employed in
13    a position normally requiring performance of duty during
14    less than 600 hours a year for a municipality (including
15    all instrumentalities thereof) or a participating
16    instrumentality. If a school treasurer performs services
17    for more than one school district, the total number of
18    hours of service normally required for the several school
19    districts shall be considered to determine whether he
20    qualifies under this paragraph;
21        2. Except as provided in items 2.5, 2.6, and 2.7, and
22    2.8, any person who holds elective office, unless he or
23    she has elected while in that office in a written notice on
24    file with the board to become a participating employee;
25        2.5. Except as provided in item 2.6, any person who
26    holds elective office as a member of a county board,

 

 

HB2976- 5 -LRB102 14898 RPS 20251 b

1    unless:
2            (i) the person was first elected as a member of a
3        county board before the effective date of this
4        amendatory Act of the 99th General Assembly;
5            (ii) the person has elected while in that office,
6        in a written notice on file with the board, to become a
7        participating employee;
8            (iii) the county board has filed the resolution
9        required by subsection (a) of Section 7-137.2 of this
10        Article; and
11            (iv) the person has submitted the required time
12        sheets evidencing that the person has met the hourly
13        standard as required by subsection (b) of Section
14        7-137.2 of this Article;
15        2.6. Any person who is an elected member of a county
16    board and is first so elected on or after the effective
17    date of this amendatory Act of the 99th General Assembly;
18        2.7. Any person who holds part-time office as a member
19    of a governing body, whether he or she is elected or
20    appointed, unless he or she (i) was elected or appointed
21    to that office before the effective date of this
22    amendatory Act of the 100th General Assembly and (ii) has
23    elected while in that office in a written notice on file
24    with the board to become a participating employee. An
25    office as a member of a governing body shall be deemed to
26    be part-time if it normally requires the performance of

 

 

HB2976- 6 -LRB102 14898 RPS 20251 b

1    duty during less than 1000 hours a year for the governing
2    body of the participating municipality or instrumentality;
3        2.8. Any person who holds part-time elective office,
4    unless he or she (i) was elected to that office before the
5    effective date of this amendatory Act of the 102nd General
6    Assembly and (ii) has elected while in that office in a
7    written notice on file with the board to become a
8    participating employee. An elective office shall be
9    presumed to be part-time in the absence of an official job
10    description or determination by the legal advisor of the
11    applicable participating municipality or participating
12    instrumentality, filed with the Board, declaring the
13    elective position to be full-time;
14        3. Any person working for a city hospital unless any
15    such person, while in active employment, has elected in a
16    written notice on file with the board to become a
17    participating employee and notification thereof is
18    received by the board;
19        4. Any person who becomes an employee after June 30,
20    1979 as a public service employment program participant
21    under the federal Comprehensive Employment and Training
22    Act and whose wages or fringe benefits are paid in whole or
23    in part by funds provided under such Act;
24        5. Any person who is actively employed by a
25    municipality on its effective date of participation in the
26    Fund if that municipality (i) has at least 35 employees on

 

 

HB2976- 7 -LRB102 14898 RPS 20251 b

1    its effective date of participation; (ii) is located in a
2    county with at least 2,000,000 inhabitants; and (iii)
3    maintains an independent defined benefit pension plan for
4    the benefit of its eligible employees, unless the person
5    files with the board within 90 days after the
6    municipality's effective date of participation an
7    irrevocable election to participate.
8    (c) Any person electing to be a participating employee,
9pursuant to paragraph (b) of this Section may not change such
10election, except as provided in Section 7-137.1.
11    (d) Any employee who occupied the position of school nurse
12in any participating municipality on August 8, 1961 and
13continuously thereafter until the effective date of the
14exercise of the option authorized by this subparagraph, who on
15August 7, 1961 was a member of the Teachers' Retirement System
16of Illinois, by virtue of certification by the Department of
17Registration and Education as a public health nurse, may elect
18to terminate participation in this Fund in order to
19re-establish membership in such System. The election may be
20exercised by filing written notice thereof with the Board or
21with the Board of Trustees of said Teachers' Retirement
22System, not later than September 30, 1963, and shall be
23effective on the first day of the calendar month next
24following the month in which the notice was filed. If the
25written notice is filed with such Teachers' Retirement System,
26that System shall immediately notify this Fund, but neither

 

 

HB2976- 8 -LRB102 14898 RPS 20251 b

1failure nor delay in notification shall affect the validity of
2the employee's election. If the option is exercised, the Fund
3shall notify such Teachers' Retirement System of such fact and
4transfer to that system the amounts contributed by the
5employee to this Fund, including interest at 3% per annum, but
6excluding contributions applicable to social security coverage
7during the period beginning August 8, 1961 to the effective
8date of the employee's election. Participation in this Fund as
9to any credits on or after August 8, 1961 and up to the
10effective date of the employee's election shall terminate on
11such effective date.
12    (e) Any participating municipality or participating
13instrumentality, other than a school district or special
14education joint agreement created under Section 10-22.31 of
15the School Code, may, by a resolution or ordinance duly
16adopted by its governing body, elect to exclude from
17participation and eligibility for benefits all persons who are
18employed after the effective date of such resolution or
19ordinance and who occupy an office or are employed in a
20position normally requiring performance of duty for less than
211000 hours per year for the participating municipality
22(including all instrumentalities thereof) or participating
23instrumentality except for persons employed in a position
24normally requiring performance of duty for 600 hours or more
25per year (i) by such participating municipality or
26participating instrumentality prior to the effective date of

 

 

HB2976- 9 -LRB102 14898 RPS 20251 b

1the resolution or ordinance and (ii) by a participating
2municipality or participating instrumentality, which had not
3adopted such a resolution when the person was employed, and
4the function served by the employee's position is assumed by
5another participating municipality or participating
6instrumentality. Notwithstanding the foregoing, a
7participating municipality or participating instrumentality
8which is formed solely to succeed to the functions of a
9participating municipality or participating instrumentality
10shall be considered to have adopted any such resolution or
11ordinance which may have been applicable to the employees
12performing such functions. The election made by the resolution
13or ordinance shall take effect at the time specified in the
14resolution or ordinance, and once effective shall be
15irrevocable.
16(Source: P.A. 99-900, eff. 8-26-16; 100-274, eff. 1-1-18.)
 
17    (40 ILCS 5/8-113)  (from Ch. 108 1/2, par. 8-113)
18    Sec. 8-113. Municipal employee, employee, contributor, or
19participant. "Municipal employee", "employee", "contributor",
20or "participant":
21    (a) Any employee of an employer employed in the classified
22civil service thereof other than by temporary appointment or
23in a position excluded or exempt from the classified service
24by the Civil Service Act, or in the case of a city operating
25under a personnel ordinance, any employee of an employer

 

 

HB2976- 10 -LRB102 14898 RPS 20251 b

1employed in the classified or career service under the
2provisions of a personnel ordinance, other than in a
3provisional or exempt position as specified in such ordinance
4or in rules and regulations formulated thereunder.
5    (b) Any employee in the service of an employer before the
6Civil Service Act came in effect for the employer.
7    (c) Any person employed by the board.
8    (d) Any person employed after December 31, 1949, but prior
9to January 1, 1984, in the service of the employer by temporary
10appointment or in a position exempt from the classified
11service as set forth in the Civil Service Act, or in a
12provisional or exempt position as specified in the personnel
13ordinance, who meets the following qualifications:
14        (1) has rendered service during not less than 12
15    calendar months to an employer as an employee, officer, or
16    official, 4 months of which must have been consecutive
17    full normal working months of service rendered immediately
18    prior to filing application to be included; and
19        (2) files written application with the board, while in
20    the service, to be included hereunder.
21    (e) After December 31, 1949, any alderman or other officer
22or official of the employer, who files, while in office,
23written application with the board to be included hereunder.
24Notwithstanding any other provision of this Article, however,
25a person who holds part-time elective city office is not an
26employee, contributor, or participant with respect to that

 

 

HB2976- 11 -LRB102 14898 RPS 20251 b

1office, unless he or she (i) was so elected before the
2effective date of this amendatory Act of the 102nd General
3Assembly and (ii) has elected while in that office to become a
4contributor. An elective city office shall be presumed to be
5part-time in the absence of an official job description or
6determination by the legal advisor of the city, filed with the
7board, declaring the elective city office to be full-time.
8    (f) Beginning January 1, 1984, any person employed by an
9employer other than the Chicago Housing Authority or the
10Public Building Commission of the city, whether or not such
11person is serving by temporary appointment or in a position
12exempt from the classified service as set forth in the Civil
13Service Act, or in a provisional or exempt position as
14specified in the personnel ordinance, provided that such
15person is neither (1) an alderman or other officer or official
16of the employer, nor (2) participating, on the basis of such
17employment, in any other pension fund or retirement system
18established under this Act.
19    (g) After December 31, 1959, any person employed in the
20law department of the city, or municipal court or Board of
21Election Commissioners of the city, who was a contributor and
22participant, on December 31, 1959, in the annuity and benefit
23fund in operation in the city on said date, by virtue of the
24Court and Law Department Employees' Annuity Act or the Board
25of Election Commissioners Employees' Annuity Act.
26    After December 31, 1959, the foregoing definition includes

 

 

HB2976- 12 -LRB102 14898 RPS 20251 b

1any other person employed or to be employed in the law
2department, or municipal court (other than as a judge), or
3Board of Election Commissioners (if his salary is provided by
4appropriation of the city council of the city and his salary
5paid by the city) -- subject, however, in the case of such
6persons not participants on December 31, 1959, to compliance
7with the same qualifications and restrictions otherwise set
8forth in this Section and made generally applicable to
9employees or officers of the city concerning eligibility for
10participation or membership.
11    Notwithstanding any other provision in this Section, any
12person who first becomes employed in the law department of the
13city on or after the effective date of this amendatory Act of
14the 100th General Assembly shall be included within the
15foregoing definition, effective upon the date the person first
16becomes so employed, regardless of the nature of the
17appointment the person holds under the provisions of a
18personnel ordinance.
19    (h) After December 31, 1965, any person employed in the
20public library of the city -- and any other person -- who was a
21contributor and participant, on December 31, 1965, in the
22pension fund in operation in the city on said date, by virtue
23of the Public Library Employees' Pension Act.
24    (i) After December 31, 1968, any person employed in the
25house of correction of the city, who was a contributor and
26participant, on December 31, 1968, in the pension fund in

 

 

HB2976- 13 -LRB102 14898 RPS 20251 b

1operation in the city on said date, by virtue of the House of
2Correction Employees' Pension Act.
3    (j) Any person employed full-time on or after the
4effective date of this amendatory Act of the 92nd General
5Assembly by the Chicago Housing Authority who has elected to
6participate in this Fund as provided in subsection (a) of
7Section 8-230.9.
8    (k) Any person employed full-time by the Public Building
9Commission of the city who has elected to participate in this
10Fund as provided in subsection (d) of Section 8-230.7.
11(Source: P.A. 100-23, eff. 7-6-17.)
 
12    (40 ILCS 5/8-243)  (from Ch. 108 1/2, par. 8-243)
13    Sec. 8-243. Service as alderman or member of city council.
14Whenever any person has served or hereafter serves as a duly
15elected alderman or member of the city council of any city of
16more than 500,000 inhabitants and is or hereafter becomes a
17contributing participant in any pension fund or any annuity
18and benefit fund in existence in such city by operation of law,
19the period of service as such alderman or member of the city
20council shall be counted as a period of service in computing
21any annuity or pension which such person may become entitled
22to receive from such fund upon separation from the service,
23except as ruled out for minimum annuity purposes in Section
248-232(a)(3), and except that service in a part-time elective
25office of the city shall not be counted unless the official was

 

 

HB2976- 14 -LRB102 14898 RPS 20251 b

1so elected before the effective date of this amendatory Act of
2the 102nd General Assembly. An elective office shall be
3presumed to be part-time in the absence of an official job
4description or determination by the legal advisor of the city,
5filed with the Board, declaring the elective position to be
6full-time.
7(Source: Laws 1963, p. 161.)
 
8    (40 ILCS 5/9-108)  (from Ch. 108 1/2, par. 9-108)
9    Sec. 9-108. "Employee", "contributor" or "participant".
10    (a) Any employee of the county employed in any position in
11the classified civil service of the county, or in any position
12under the County Police Merit Board as a deputy sheriff in the
13County Police Department.
14    Any such employee employed after January 1, 1968 and
15before January 1, 1984 shall be entitled only to the benefits
16provided in Sections 9-147 and 9-156, prior to the earlier of
17completion of 12 consecutive calendar months of service and
18January 1, 1984, and no contributions shall be made by him
19during this period. Upon the completion of said period
20contributions shall begin and the employee shall become
21entitled to the benefits of this Article.
22    Any such employee may elect to make contributions for such
23period and receive credit therefor under rules prescribed by
24the board.
25    Any such employee in service on or after January 1, 1984,

 

 

HB2976- 15 -LRB102 14898 RPS 20251 b

1regardless of when he became an employee, shall be deemed a
2participant and contributor to the fund created by this
3Article and the employee shall be entitled to the benefits of
4this Article.
5    (b) Any employee of the county employed in any position
6not included in the classified civil service of the county
7whose salary or wage is paid in whole or in part by the county.
8Any such employee employed after July 1, 1957, and before
9January 1, 1984, shall be entitled only to the benefits
10provided in Sections 9-147 and 9-156, prior to the earlier of
11completion of 12 consecutive calendar months of service and
12January 1, 1984, and no contributions shall be made by him
13during this period. Upon the completion of said period
14contributions shall begin and the employee shall become
15entitled to the benefits of this Article.
16    Any such employee may elect to make contributions for such
17period and receive credit therefor under rules prescribed by
18the board.
19    Any such employee in service on or after January 1, 1984,
20regardless of when he became an employee, shall be deemed a
21participant and contributor to the fund created by this
22Article and the employee shall be entitled to the benefits of
23this Article.
24    (c) Any full-time county officer elected by vote of the
25people, including a member of the county board, when such
26officer elects to become a contributor. A person who holds a

 

 

HB2976- 16 -LRB102 14898 RPS 20251 b

1part-time elective county office is not an employee,
2contributor, or participant with respect to that office,
3unless he or she (i) was elected to that office before the
4effective date of this amendatory Act of the 102nd General
5Assembly and (ii) has elected while in that office to become a
6contributor. An elective county office shall be presumed to be
7part-time in the absence of an official job description or
8determination by the legal advisor of the county, filed with
9the Board, declaring the elective county office to be
10full-time.
11    (d) Any person employed by the board.
12    (e) Employees of a County Department of Public Aid in
13counties of 3,000,000 or more population who are transferred
14to State employment by operation of law enacted by the 76th
15General Assembly and who elect not to become members of the
16Retirement System established under Article 14 of this Code as
17of the date they become State employees shall retain their
18membership in the fund established in this Article 9 until the
19first day of the calendar month next following the date on
20which they become State employees, at which time they shall
21become members of the System established under Article 14.
22    (f) If, by operation of law, a function of a "Governmental
23Unit", as such term is defined in the "Retirement Systems
24Reciprocal Act" in Article 20 of the Illinois Pension Code, is
25transferred in whole or in part to the county in which this
26Article is in force and effect, and employees are transferred

 

 

HB2976- 17 -LRB102 14898 RPS 20251 b

1as a group or class to such county service, such transferred
2employee shall, if on the day immediately prior to the date of
3such transfer he was a contributor and participant in the
4annuity and benefit fund or retirement system in operation in
5such other "Governmental Unit" for employees of such Unit,
6immediately upon such transfer be deemed a participant and
7contributor to the fund created by this Article.
8(Source: P.A. 90-655, eff. 7-30-98.)