093_SB1134sam002

 










                                     LRB093 06788 LRD 13371 a

 1                    AMENDMENT TO SENATE BILL 1134

 2        AMENDMENT NO.     .  Amend Senate Bill 1134 by  replacing
 3    everything after the enacting clause with the following:

 4        "Section  5.   The  Illinois  Pension  Code is amended by
 5    changing Section 17-119 as follows:

 6        (40 ILCS 5/17-119) (from Ch. 108 1/2, par. 17-119)
 7        Sec. 17-119.  Automatic annual  increase  in  pension.  A
 8    Each  teacher  retiring  on  or  after  September 1, 1959, is
 9    entitled to the annual increase in pension,  defined  herein,
10    while he is receiving a pension from the Fund.
11             1.  The   term   "base   pension"  means  a  service
12        retirement or disability retirement pension in the amount
13        fixed and payable at the date of retirement of a teacher.
14             2.  The annual increase in pension shall be  at  the
15        rate of 1 1/2% of base pension. This increase shall first
16        occur  in  January  of  the year next following the first
17        anniversary of retirement. At such time  the  Fund  shall
18        pay the pro rata part of the increase for the period from
19        the  first  anniversary  date  to  the  date of the first
20        increase in pension.  Beginning January 1, 1972, the rate
21        of annual increase in pension shall be  2%  of  the  base
22        pension.   Beginning  January 1, 1979, the rate of annual
 
                            -2-      LRB093 06788 LRD 13371 a
 1        increase in pension shall be  3%  of  the  base  pension.
 2        Beginning January 1, 1990, all automatic annual increases
 3        payable  under  this  Section  shall  be  calculated as a
 4        percentage of the total pension payable at  the  time  of
 5        the  increase, including all increases previously granted
 6        under this Article, notwithstanding Section 17-157.
 7             3.  An increase in pension shall be granted only  if
 8        the  retired  teacher  is age 60 or over.  If the teacher
 9        attains age 60 after retirement, the increase in  pension
10        shall  begin  in  January  of the year following the 61st
11        birthday.  At such time the Fund also shall pay  the  pro
12        rata  part  of the increase from the 61st birthday to the
13        date of first increase in pension.
14        In addition to other increases which may be  provided  by
15    this  Section,  on  January  1,  1981  any  teacher  who  was
16    receiving  a  retirement pension on or before January 1, 1971
17    shall have his retirement pension then being  paid  increased
18    $1 per month for each year of creditable service.  On January
19    1,  1982,  any  teacher  whose retirement pension began on or
20    before January 1, 1977, shall  have  his  retirement  pension
21    then  being  paid  increased  $1  per  month for each year of
22    creditable service.
23        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
26    year  of  creditable  service  times the number of years that
27    have elapsed since the retirement pension began.
28    (Source: P.A. 90-566, eff. 1-2-98.)".