Full Text of HB2584 96th General Assembly
HB2584 96TH GENERAL ASSEMBLY
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96TH GENERAL ASSEMBLY
State of Illinois
2009 and 2010 HB2584
Introduced 2/20/2009, by Rep. Joseph M. Lyons SYNOPSIS AS INTRODUCED: |
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40 ILCS 5/17-119 |
from Ch. 108 1/2, par. 17-119 |
40 ILCS 5/17-156.1 |
from Ch. 108 1/2, par. 17-156.1 |
30 ILCS 805/8.33 new |
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Amends the Chicago Teacher Article of the Illinois Pension Code. In provisions concerning increases in teacher's and retired member's pensions, changes the amount of the annual increase from 3% to 4%. Effective immediately.
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FISCAL NOTE ACT MAY APPLY |
PENSION IMPACT NOTE ACT MAY APPLY |
STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT |
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A BILL FOR
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HB2584 |
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LRB096 04561 AMC 14616 b |
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| AN ACT concerning State government.
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| Be it enacted by the People of the State of Illinois,
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| represented in the General Assembly:
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| Section 5. The Illinois Pension Code is amended by changing | 5 |
| Sections 17-119 and 17-156.1 as follows:
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| (40 ILCS 5/17-119) (from Ch. 108 1/2, par. 17-119)
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| Sec. 17-119. Automatic annual increase in pension. Each | 8 |
| teacher
retiring on or after September 1, 1959, is entitled to | 9 |
| the annual
increase in pension, defined herein, while he is | 10 |
| receiving a
pension from the Fund.
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| 1. The term "base pension" means a service retirement or | 12 |
| disability
retirement pension in the amount fixed and payable | 13 |
| at the date of
retirement of a teacher.
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| 2. The annual increase in pension shall be at the rate of 1 | 15 |
| 1/2% of
base pension. This increase shall first occur in | 16 |
| January of the year
next following the first anniversary of | 17 |
| retirement. At such time the
Fund shall pay the pro rata part | 18 |
| of the increase for the period
from the
first anniversary date | 19 |
| to the date of the first increase in
pension. Beginning January | 20 |
| 1, 1972, the rate of annual increase in
pension shall be 2% of | 21 |
| the base pension. Beginning January 1, 1979, the
rate of annual | 22 |
| increase in pension shall be 3% of the base pension.
Beginning | 23 |
| January 1, 1990, all automatic annual increases payable under
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HB2584 |
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LRB096 04561 AMC 14616 b |
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| this Section shall be calculated as a percentage of the total | 2 |
| pension
payable at the time of the increase, including all | 3 |
| increases previously
granted under this Article, | 4 |
| notwithstanding Section 17-157. Beginning January 1, 2010, all | 5 |
| annual increases in pension payable under this Section shall be | 6 |
| calculated at the rate of 4% of the amount of pension payable | 7 |
| at the time of the increase, including all increases previously | 8 |
| granted under this Article, notwithstanding Section 17-157.
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| 3. An increase in pension shall be granted only if the | 10 |
| retired
teacher is age 60 or over. If the teacher attains age | 11 |
| 60 after
retirement, the increase in pension shall begin in | 12 |
| January of the
year following the 61st birthday. At such time | 13 |
| the Fund also shall
pay
the pro rata part of the increase from | 14 |
| the 61st birthday to the date of
first increase in pension.
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| In addition to other increases which may be provided by | 16 |
| this Section, on
January 1, 1981 any teacher who was receiving | 17 |
| a retirement pension on or
before January 1, 1971 shall have | 18 |
| his retirement pension then being paid
increased $1 per month | 19 |
| for each year of creditable service. On January
1, 1982, any | 20 |
| teacher whose retirement pension began on or before January 1,
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| 1977, shall have his retirement pension then being paid | 22 |
| increased $1 per
month for each year of creditable service.
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| On January 1, 1987, any teacher whose retirement pension | 24 |
| began
on or before January 1, 1977, shall have the monthly | 25 |
| retirement pension
increased by an amount equal to 8˘ per year | 26 |
| of creditable service times the
number of years that have |
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HB2584 |
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LRB096 04561 AMC 14616 b |
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| elapsed since the retirement pension began.
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| (Source: P.A. 90-566, eff. 1-2-98.)
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| (40 ILCS 5/17-156.1) (from Ch. 108 1/2, par. 17-156.1)
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| Sec. 17-156.1. Increases to retired members. A teacher who | 5 |
| retired
prior to September 1, 1959 on service retirement | 6 |
| pension who was at
least 55 years of age at date of retirement | 7 |
| and had at least 20 years of
validated service shall be | 8 |
| entitled to receive benefits under this Section.
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| These benefits shall be in an amount equal to 1-1/2% of the | 10 |
| total of
(1) the initial service retirement pension plus (2) | 11 |
| any emeritus payment
payable under Sections 34-86 and 34-87 | 12 |
| (now repealed) of the School Code, multiplied by the number of | 13 |
| full years on
pension. This payment shall begin in January of | 14 |
| 1970. An additional
1-1/2% shall be added in January of each | 15 |
| year thereafter. Beginning
January 1, 1972 the rate of increase | 16 |
| in the service retirement pension
each year shall be 2%. | 17 |
| Beginning January 1, 1979, the rate of increase in
the service | 18 |
| retirement pension each year shall be 3%.
Beginning January 1, | 19 |
| 1990, all automatic annual increases payable under
this Section | 20 |
| shall be calculated as a percentage of the total pension
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| payable at the time of the increase, including all increases | 22 |
| previously
granted under this Article, notwithstanding Section | 23 |
| 17-157. Beginning January 1, 2010, all annual increases in | 24 |
| pension payable under this Section shall be calculated at the | 25 |
| rate of 4% of the amount of pension payable at the time of the |
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HB2584 |
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LRB096 04561 AMC 14616 b |
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| increase, including all increases previously granted under | 2 |
| this Article, notwithstanding Section 17-157.
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| A pensioner who otherwise qualifies for the aforesaid | 4 |
| benefit shall
make a one-time payment of 1% of the final | 5 |
| monthly average salary
multiplied by the number of completed | 6 |
| years of service forming the basis
of his service retirement | 7 |
| pension or, if the pension was not computed according
to | 8 |
| average salary as defined in Section 17-116, 1% of the monthly
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| base pension multiplied by each complete year of service | 10 |
| forming the
basis of his service retirement pension. Unless the | 11 |
| pensioner rejects
the benefits of this Section, such sum shall | 12 |
| be deducted from the
pensioner's December 1969 pension check | 13 |
| and shall not be refundable.
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| (Source: P.A. 94-1105, eff. 6-1-07 .)
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| Section 90. The State Mandates Act is amended by adding | 16 |
| Section 8.33 as follows: | 17 |
| (30 ILCS 805/8.33 new) | 18 |
| Sec. 8.33. Exempt mandate. Notwithstanding Sections 6 and 8 | 19 |
| of this Act, no reimbursement by the State is required for the | 20 |
| implementation of any mandate created by this amendatory Act of | 21 |
| the 96th General Assembly.
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| Section 99. Effective date. This Act takes effect upon | 23 |
| becoming law.
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