Illinois General Assembly - Full Text of SB0195
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Full Text of SB0195  93rd General Assembly

SB0195enr 93rd General Assembly


093_SB0195enr

 
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 1        AN ACT in relation to public employee benefits.

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

 4        Section  5.   The  State Employees Group Insurance Act of
 5    1971 is amended by adding Section 6.15 as follows:

 6        (5 ILCS 375/6.15 new)
 7        Sec. 6.15.   Retired  teacher  returning  to  service  in
 8    shortage  area.   Notwithstanding any other provision of this
 9    Act, the eligibility of an annuitant or TRS benefit recipient
10    to participate in the program of health benefits  established
11    under  Section  6  or  6.5  of  this Act is suspended for any
12    period during which he or she is  covered  under  a  plan  of
13    group  health  benefits  for  active teachers due to eligible
14    employment as defined in Section  16-150.1  of  the  Illinois
15    Pension Code.  Upon termination of that coverage, eligibility
16    to  participate in the program of health benefits established
17    under Section 6 or 6.5 shall be immediately restored, without
18    any interruption or delay in coverage  or  limitation  as  to
19    pre-existing medical condition.

20        Section  10.   The  Illinois  Pension  Code is amended by
21    changing Sections 16-106, 16-118, 16-132, 16-150, and  16-152
22    and adding Section 16-150.1 as follows:

23        (40 ILCS 5/16-106) (from Ch. 108 1/2, par. 16-106)
24        Sec.    16-106.  Teacher.    "Teacher":   The   following
25    individuals, provided that, for employment prior to  July  1,
26    1990,  they  are  employed  on  a  full-time basis, or if not
27    full-time, on a permanent and continuous basis in a  position
28    in  which  services  are expected to be rendered for at least
29    one school term:
 
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 1             (1)  Any educational,  administrative,  professional
 2        or  other  staff  employed  in  the public common schools
 3        included within  this  system  in  a  position  requiring
 4        certification  under  the law governing the certification
 5        of teachers;
 6             (2)  Any educational,  administrative,  professional
 7        or other staff employed in any facility of the Department
 8        of  Children  and  Family  Services  or the Department of
 9        Human Services, in  a  position  requiring  certification
10        under  the  law  governing the certification of teachers,
11        and any person who (i) works in such a position  for  the
12        Department  of  Corrections,  (ii)  was  a member of this
13        System on May 31, 1987, and (iii) did not elect to become
14        a  member  of  the  State  Employees'  Retirement  System
15        pursuant to Section 14-108.2 of this  Code;  except  that
16        "teacher"  does  not include any person who (A) becomes a
17        security employee of the Department of Human Services, as
18        defined in Section  14-110,  after  June  28,  2001  (the
19        effective  date  of  Public  Act 92-14), or (B) becomes a
20        member of the State Employees' Retirement System pursuant
21        to Section 14-108.2c of this Code;
22             (3)  Any   regional   superintendent   of   schools,
23        assistant  regional  superintendent  of  schools,   State
24        Superintendent  of  Education; any person employed by the
25        State Board of Education as an executive;  any  executive
26        of  the  boards  engaged  in the service of public common
27        school education in school districts covered  under  this
28        system  of which the State Superintendent of Education is
29        an ex-officio member;
30             (4)  Any employee  of  a  school  board  association
31        operating  in  compliance  with  Article 23 of the School
32        Code who is certificated  under  the  law  governing  the
33        certification of teachers;
34             (5)  Any  person  employed  by the retirement system
 
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 1        who:
 2                  (i)  was an employee of and  a  participant  in
 3             the system on August 17, 2001 (the effective date of
 4             Public Act 92-416), or
 5                  (ii)  becomes  an  employee of the system on or
 6             after August 17, 2001;
 7             (6)  Any educational,  administrative,  professional
 8        or  other staff employed by and under the supervision and
 9        control of a regional superintendent of schools, provided
10        such  employment  position  requires  the  person  to  be
11        certificated under the law governing the certification of
12        teachers and is in an educational program  serving  2  or
13        more  districts  in  accordance  with  a  joint agreement
14        authorized by the School Code or by federal legislation;
15             (7)  Any educational,  administrative,  professional
16        or  other  staff  employed  in   an  educational  program
17        serving  2  or more school districts in accordance with a
18        joint agreement authorized  by  the  School  Code  or  by
19        federal   legislation   and   in   a  position  requiring
20        certification under the laws governing the  certification
21        of teachers;
22             (8)  Any  officer or employee of a statewide teacher
23        organization   or   officer   of   a   national   teacher
24        organization who is certified  under  the  law  governing
25        certification  of  teachers, provided: (i) the individual
26        had previously established creditable service under  this
27        Article,  (ii)  the  individual  files with the system an
28        irrevocable election to become a member,  and  (iii)  the
29        individual does not receive credit for such service under
30        any other Article of this Code;
31             (9)  Any  educational, administrative, professional,
32        or other staff employed in a charter school operating  in
33        compliance   with   the   Charter   Schools  Law  who  is
34        certificated under the law governing the certification of
 
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 1        teachers.
 2        An annuitant receiving a retirement  annuity  under  this
 3    Article  or  under Article 17 of this Code who is temporarily
 4    employed by a board of education or  other  employer  as  not
 5    exceeding  that permitted under Section 16-118 or 16-150.1 is
 6    not a "teacher" for purposes of this Article.  A  person  who
 7    has  received  a  single-sum retirement benefit under Section
 8    16-136.4 of this Article is not a "teacher" for  purposes  of
 9    this Article.
10    (Source: P.A.  92-14,  eff.  6-28-01;  92-416,  eff. 8-17-01;
11    92-651, eff. 7-11-02.)

12        (40 ILCS 5/16-118) (from Ch. 108 1/2, par. 16-118)
13        Sec. 16-118.  Retirement.   "Retirement":  Entry  upon  a
14    retirement  annuity  or  receipt  of  a single-sum retirement
15    benefit granted  under  this  Article  after  termination  of
16    active service as a teacher.
17        (a)  An  annuitant  receiving  a retirement annuity other
18    than a disability retirement annuity may accept employment as
19    a teacher from a school board or other employer specified  in
20    Section  16-106  without impairing retirement status, if that
21    employment: (1) is not within the school  year  during  which
22    service was terminated; and (2) does not exceed 100 paid days
23    or  500  paid  hours  in  any  school year (during the period
24    beginning July 1, 2001 through June 30, 2006, 120  paid  days
25    or 600 paid hours in each school year).  Where such permitted
26    employment  is  partly  on  a  daily  and partly on an hourly
27    basis, a day shall be considered as 5 hours.
28        (b)  Subsection (a) does not apply to  an  annuitant  who
29    returns  to teaching under the program established in Section
30    16-150.1, for the duration of his  or  her  participation  in
31    that program.
32    (Source: P.A. 92-416, eff. 8-17-01.)
 
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 1        (40 ILCS 5/16-132) (from Ch. 108 1/2, par. 16-132)
 2        Sec.  16-132.   Retirement annuity eligibility.  A member
 3    who has at least 20 years of creditable service  is  entitled
 4    to  a  retirement annuity upon or after attainment of age 55.
 5    A member who has at least  10  but  less  than  20  years  of
 6    creditable  service  is entitled to a retirement annuity upon
 7    or after attainment of age 60.  A member who has at  least  5
 8    but less than 10 years of creditable service is entitled to a
 9    retirement  annuity  upon  or  after attainment of age 62.  A
10    member who (i)  has  earned  during  the  period  immediately
11    preceding  the  last  day  of  service  at  least one year of
12    contributing  creditable  service  as  an   employee   of   a
13    department  as  defined in Section 14-103.04, (ii) has earned
14    at least 5 years of contributing  creditable  service  as  an
15    employee of a department as defined in Section 14-103.04, and
16    (iii)  retires  on  or after January 1, 2001 is entitled to a
17    retirement annuity upon or after attainment of an age  which,
18    when  added  to  the  number  of  years  of  his or her total
19    creditable service, equals at least 85.   Portions  of  years
20    shall be counted as decimal equivalents.
21        A  member who is eligible to receive a retirement annuity
22    of at least 74.6% of final average salary and will attain age
23    55 on or before December 31 during the year  which  commences
24    on  July  1 shall be deemed to attain age 55 on the preceding
25    June 1.
26        A member meeting  the  above  eligibility  conditions  is
27    entitled  to a retirement annuity upon written application to
28    the board setting  forth  the  date  the  member  wishes  the
29    retirement  annuity to commence.  However, the effective date
30    of the retirement annuity shall be no earlier  than  the  day
31    following  the  last day of creditable service, regardless of
32    the date of official termination of employment.
33        To be eligible for a retirement annuity, a  member  shall
34    not  be  employed  as a teacher in the schools included under
 
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 1    this System or under Article 17, except (i)  as  provided  in
 2    Section  16-118  or  16-150.1,  (ii)  if unless the member is
 3    disabled (in which event, eligibility for salary must cease),
 4    or (iii) if unless the System is required by federal  law  to
 5    commence payment due to the member's age; the changes to this
 6    sentence  made  by  this  amendatory  Act of the 93rd General
 7    Assembly 1991 shall  apply  without  regard  to  whether  the
 8    member  terminated  employment  before or after its effective
 9    date.
10    (Source: P.A. 90-582, eff. 5-27-98; 91-927, eff. 12-14-00.)

11        (40 ILCS 5/16-150) (from Ch. 108 1/2, par. 16-150)
12        Sec. 16-150.  Re-entry.
13        (a)  This Section does not  apply  to  an  annuitant  who
14    returns  to teaching under the program established in Section
15    16-150.1, for the duration of his  or  her  participation  in
16    that program.
17        (b)  If  an annuitant under this System is again employed
18    as a teacher for an aggregate period exceeding that permitted
19    by Section 16-118, his or her  retirement  annuity  shall  be
20    terminated  and  the annuitant shall thereupon be regarded as
21    an active  member.   The  annuitant's  remaining  accumulated
22    contributions   shall   be   transferred   to   the  Members'
23    Contribution  Reserve  from   the   Employer's   Contribution
24    Reserve.
25        Such  annuitant is not entitled to a recomputation of his
26    or her retirement annuity unless at least one  full  year  of
27    creditable service is rendered after the latest re-entry into
28    service and the annuitant must have rendered at least 3 years
29    of  creditable  service  after  last re-entry into service to
30    qualify for a recomputation of the retirement  annuity  based
31    on  amendments  enacted  while  in  receipt  of  a retirement
32    annuity, except when retirement was due to disability.
33        However, regardless of age, an annuitant in receipt of  a
 
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 1    retirement  annuity  may  be  given temporary employment by a
 2    school board  not  exceeding  that  permitted  under  Section
 3    16-118 and continue to receive the retirement annuity.
 4        (c)  Unless  retirement was necessitated by disability, a
 5    retirement shall be considered cancelled and  the  retirement
 6    allowance must be repaid in full if the annuitant is employed
 7    as  a teacher within the school year during which service was
 8    terminated.
 9        (d)  An annuitant's retirement which does not  include  a
10    period of at least one full and complete school year shall be
11    considered  cancelled  and  the  retirement  annuity  must be
12    repaid in full unless such  retirement  was  necessitated  by
13    disability.
14    (Source: P.A. 86-273; 87-794.)

15        (40 ILCS 5/16-150.1 new)
16        Sec.  16-150.1.  Return  to  teaching in subject shortage
17    area.
18        (a)  As used in this Section, "eligible employment" means
19    employment beginning on or after July 1, 2003 and  ending  no
20    later  than  June  30,  2008, in a subject shortage area at a
21    qualified school, in a position requiring certification under
22    the law governing the certification of teachers.
23        As used in  this  Section,  "qualified  school"  means  a
24    public  elementary  or secondary school that meets all of the
25    following requirements:
26             (1)  At the time of hiring a retired  teacher  under
27        this  Section,  the  school is experiencing a shortage of
28        teachers in the  subject  shortage  area  for  which  the
29        teacher is hired.
30             (2)  The school district to which the school belongs
31        has complied with the requirements of subsection (e), and
32        the regional superintendent has certified that compliance
33        to the System.
 
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 1             (3)  If  the  school  district  to  which the school
 2        belongs provides group health benefits for  its  teachers
 3        generally, substantially similar health benefits are made
 4        available for teachers participating in the program under
 5        this   Section,   without   any   limitations   based  on
 6        pre-existing conditions.
 7        (b)  An annuitant receiving a  retirement  annuity  under
 8    this Article (other than a disability retirement annuity) may
 9    engage  in  eligible employment at a qualified school without
10    impairing his or her retirement status or retirement annuity,
11    subject to the following conditions:
12             (1)  the eligible employment does not  begin  within
13        the school year during which service was terminated;
14             (2)  the   annuitant  has  not  received  any  early
15        retirement incentive under Section 16-133.3, 16-133.4, or
16        16-133.5;
17             (3)  if the annuitant retired before age 60 and with
18        less than 34 years of service,  the  eligible  employment
19        does  not  begin  within the year following the effective
20        date of the retirement annuity;
21             (4)  if the annuitant retired at age 60 or above  or
22        with 34 or more years of service, the eligible employment
23        does not begin within the 90 days following the effective
24        date of the retirement annuity; and
25             (5)  before  the  eligible  employment  begins,  the
26        employer   notifies   the   System   in  writing  of  the
27        annuitant's  desire  to  participate   in   the   program
28        established under this Section.
29        (c)  An  annuitant  engaged  in  eligible  employment  in
30    accordance  with subsection (b) shall be deemed a participant
31    in the program established under this Section for so long  as
32    he or she remains employed in eligible employment.
33        (d)  A  participant in the program established under this
34    Section continues to be a retirement annuitant,  rather  than
 
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 1    an  active teacher, for all of the purposes of this Code, but
 2    shall be deemed an active teacher for other purposes, such as
 3    inclusion in a collective bargaining  unit,  eligibility  for
 4    group health benefits, and compliance with the laws governing
 5    the  employment,  regulation,  certification,  treatment, and
 6    conduct of teachers.
 7        With respect to an annuitant's eligible employment  under
 8    this  Section,  neither  employee  nor employer contributions
 9    shall be made to the System and no additional service  credit
10    shall  be  earned.   Eligible  employment does not affect the
11    annuitant's  final  average  salary  or  the  amount  of  the
12    retirement annuity.
13        (e)  Before hiring a  teacher  under  this  Section,  the
14    school  district  to  which  the  school  belongs must do the
15    following:
16             (1)  If the school  district  to  which  the  school
17        belongs has honorably dismissed, within the calendar year
18        preceding  the  beginning of the school term for which it
19        seeks to employ  a  retired  teacher  under  the  program
20        established in this Section, any teachers who are legally
21        qualified  to hold positions in the subject shortage area
22        and have  not  yet  begun  to  receive  their  retirement
23        annuities  under  this Article, the vacant positions must
24        first be tendered to those teachers.
25             (2)  For a period of at least 90 days during  the  6
26        months  preceding  the  beginning  of the school term for
27        which it seeks to employ  a  retired  teacher  under  the
28        program  established in this Section, the school district
29        must,  on  an  ongoing  basis,  both  (i)  advertise  its
30        vacancies in the subject shortage area in a newspaper  of
31        general  circulation  in  the area in which the school is
32        located and in employment bulletins published by  college
33        and university placement offices located near the school;
34        and  (ii)  search  for teachers legally qualified to fill
 
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 1        those vacancies through the Illinois Education Job Bank.
 2        The school district  must  submit  documentation  of  its
 3    compliance    with    this   subsection   to   the   regional
 4    superintendent.  Upon  receiving  satisfactory  documentation
 5    from  the  school district, the regional superintendent shall
 6    certify the district's compliance with this subsection to the
 7    System.
 8        (f)  This Section applies without regard to  whether  the
 9    annuitant  was  in  service on or after the effective date of
10    this amendatory Act of the 93rd General Assembly.

11        (40 ILCS 5/16-152) (from Ch. 108 1/2, par. 16-152)
12        Sec. 16-152. Contributions by members.
13        (a)  Each member shall make contributions for  membership
14    service to this System as follows:
15             (1)  Effective  July 1, 1998, contributions of 7.50%
16        of salary towards the cost  of  the  retirement  annuity.
17        Such    contributions    shall    be    deemed    "normal
18        contributions".
19             (2)  Effective July 1, 1969, contributions of 1/2 of
20        1%  of  salary  toward  the  cost of the automatic annual
21        increase in retirement  annuity  provided  under  Section
22        16-133.1.
23             (3)  Effective July 24, 1959, contributions of 1% of
24        salary  towards  the  cost  of  survivor  benefits.  Such
25        contributions shall not be  credited  to  the  individual
26        account  of the member and shall not be subject to refund
27        except as provided under Section 16-143.2.
28        (b)  The minimum required contribution for  any  year  of
29    full-time teaching service shall be $192.
30        (c)  Contributions shall not be required of any annuitant
31    receiving   a  retirement  annuity  who  is  given  temporary
32    employment as not  exceeding  that  permitted  under  Section
33    16-118 or 16-150.1.
 
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 1        (d)  A  person  who (i) was a member before July 1, 1998,
 2    (ii) retires with more than 34 years of  creditable  service,
 3    and  (iii)  does  not elect to qualify for the augmented rate
 4    under Section 16-129.1 shall be  entitled,  at  the  time  of
 5    retirement, to receive a partial refund of contributions made
 6    under  this  Section for service occurring after the later of
 7    June 30,  1998  or  attainment  of  34  years  of  creditable
 8    service, in an amount equal to 1.00% of the salary upon which
 9    those contributions were based.
10    (Source: P.A. 90-582, eff. 5-27-98.)

11        Section  15.   The  School  Code  is  amended by changing
12    Section 3-14.25 as follows:

13        (105 ILCS 5/3-14.25) (from Ch. 122, par. 3-14.25)
14        Sec. 3-14.25.  Unfilled teaching positions list;  subject
15    shortage area certifications.
16        (a)  To maintain, and make available to the public during
17    regular business hours, a list of unfilled teaching positions
18    within the region.  The most current version of the list must
19    be  posted on or linked to the regional office of education's
20    Internet web site.  If the regional office of education  does
21    not have an Internet web site, the regional superintendent of
22    schools  must  make  the list available to the State Board of
23    Education and the State Board of Education must post the list
24    on the State Board of Education's  Internet  web  site.   The
25    State  Board  of Education's Internet web site must provide a
26    link to each regional office of education's list.
27        (b)  To certify to the Teachers' Retirement System of the
28    State of  Illinois  that  a  school  district  has  submitted
29    satisfactory  evidence of compliance with the requirements of
30    subsection (e) of Section 16-150.1 of  the  Illinois  Pension
31    Code,  for  the  purpose  of  authorizing  the  employment of
32    retired teachers in subject shortage areas under the  program
 
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 1    established in that Section.
 2    (Source: P.A. 92-41, eff. 7-1-01.)

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