Full Text of SB0550 96th General Assembly
SB0550ham001 96TH GENERAL ASSEMBLY | Personnel and Pensions Committee Adopted in House Comm. on Nov 17, 2010
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| 1 | | AMENDMENT TO SENATE BILL 550
| 2 | | AMENDMENT NO. ______. Amend Senate Bill 550 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. The Illinois Pension Code is amended by | 5 | | changing Section 1-160 as follows: | 6 | | (40 ILCS 5/1-160) | 7 | | Sec. 1-160. Provisions applicable to new hires. | 8 | | (a) The The provisions of this Section apply to a person | 9 | | who first becomes an employee and a participant under any | 10 | | retirement system or pension fund under this Code, other than a | 11 | | retirement system or pension fund established under Article 2, | 12 | | 3, 4, 5, 6, or 18 of this Code, on or after the effective date | 13 | | of this amendatory Act of the 96th General Assembly | 14 | | notwithstanding any other provision of this Code to the | 15 | | contrary, but do not apply to any self-managed plan established | 16 | | under this Code, to any person with respect to service as a |
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| 1 | | sheriff's law enforcement employee under Article 7, or to any | 2 | | participant of the retirement plan established under Section | 3 | | 22-101. | 4 | | (b) "Final average salary" means the average monthly salary | 5 | | obtained by dividing the total salary of the participant during | 6 | | the 96 consecutive months of service within the last 120 months | 7 | | of service in which the total salary was the highest by the | 8 | | number of months of service in that period; however, the annual | 9 | | final average salary may not exceed $106,800, as automatically | 10 | | increased
by the lesser of 3% or one-half of the annual | 11 | | increase in the consumer price index-u
during the preceding | 12 | | 12-month calendar year. For the purposes of a person who first | 13 | | becomes an employee of any retirement system or pension fund to | 14 | | which this Section applies on or after the effective date of | 15 | | this amendatory Act of the 96th General Assembly, in this Code, | 16 | | "final average salary" shall be substituted for the following: | 17 | | (1) In Articles 7 (except for service as sheriff's law | 18 | | enforcement employees) and 15, "final rate of earnings". | 19 | | (2) In Articles 8, 9, 10, 11, and 12, "highest average | 20 | | annual salary for any 4 consecutive years within the last | 21 | | 10 years of service immediately preceding the date of | 22 | | withdrawal". | 23 | | (3) In Article 13, "average final salary". | 24 | | (4) In Article 14, "final average compensation". | 25 | | (5) In Article 17, "average salary". | 26 | | (6) In Section 22-207, "wages or salary received by him |
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| 1 | | at the date of retirement or discharge". | 2 | | For the purposes of this Section, "consumer price index-u" | 3 | | means
the index published by the Bureau of Labor Statistics of | 4 | | the United States
Department of Labor that measures the average | 5 | | change in prices of goods and
services purchased by all urban | 6 | | consumers, United States city average, all
items, 1982-84 = | 7 | | 100. The new amount resulting from each annual adjustment
shall | 8 | | be determined by the Public Pension Division of the Department | 9 | | of Insurance and made available to the boards of the retirement | 10 | | systems and pension funds. | 11 | | (c) A participant is entitled to a retirement
annuity | 12 | | beginning on the date specified by the participant in
a written | 13 | | application only if, on that specified date, he or she has | 14 | | attained age 67 and has at least 10 years of service credit. | 15 | | A participant who has attained age 62 and has at least 10 | 16 | | years of service credit may elect to receive the lower | 17 | | retirement annuity provided
in subsection (d) of this Section. | 18 | | (d) The retirement annuity of a participant who is retiring | 19 | | after attaining age 62 with at least 10 years of service credit | 20 | | shall be reduced by one-half
of 1% for each month that the | 21 | | member's age is under age 67. | 22 | | (e) Any retirement annuity or supplemental annuity shall be | 23 | | subject to annual increases upon (1) attainment of age 67 or | 24 | | (2) the first anniversary of the commencement of the annuity,
| 25 | | whichever occurs later. Each annual increase shall be | 26 | | calculated at 3% or one-half the annual increase in the |
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| 1 | | consumer price index-u for the preceding calendar year, | 2 | | whichever is less, of the originally granted retirement | 3 | | annuity. If the increase in the consumer price index-u for the | 4 | | preceding calendar year is zero or there is a decrease, then | 5 | | the annuity shall not be increased. | 6 | | (f) The initial survivor's annuity of an otherwise eligible | 7 | | survivor of a participant who first becomes a participant on or | 8 | | after the effective date of this amendatory Act of the 96th | 9 | | General Assembly shall be in the amount of 66 2/3% of the | 10 | | participant's earned retirement annuity at the date of death | 11 | | and shall be increased (1) on each January 1 occurring on or | 12 | | after the commencement of the annuity if
the deceased member | 13 | | died while receiving a retirement annuity or (2) in
other | 14 | | cases, on each January 1 occurring after the first anniversary
| 15 | | of the commencement of the annuity. Each annual increase shall | 16 | | be calculated at 3% or one-half the annual increase in the | 17 | | consumer price index-u for the preceding calendar year, | 18 | | whichever is less, of the originally granted survivor's | 19 | | annuity. If the increase in the consumer price index-u for the | 20 | | preceding calendar year is zero or there is a decrease, then | 21 | | the annuity shall not be increased. | 22 | | (g) The benefits in Section 14-110 apply only if the person | 23 | | is a State policeman, a fire fighter in the fire protection | 24 | | service of a department, or a security employee of the | 25 | | Department of Corrections or the Department of Juvenile | 26 | | Justice, as those terms are defined in subsection (b) of |
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| 1 | | Section 14-110. A person who meets the requirements of this | 2 | | Section is entitled to an annuity calculated under the | 3 | | provisions of Section 14-110, in lieu of the regular or minimum | 4 | | retirement annuity, only if the person has withdrawn from | 5 | | service with not less than 20
years of eligible creditable | 6 | | service and has attained age 60, regardless of whether
the | 7 | | attainment of age 60 occurs while the person is
still in | 8 | | service. | 9 | | (h) If a person who first becomes a member of a retirement | 10 | | system or pension fund subject to this Section on or after the | 11 | | effective date of this amendatory Act of the 96th General | 12 | | Assembly is receiving a retirement annuity or retirement | 13 | | pension under that system or fund and accepts employment in a | 14 | | position covered under the same Article or any other Article of | 15 | | this Code on a full-time basis, then the person's retirement | 16 | | annuity or retirement pension under that system or fund shall | 17 | | be suspended during that employment. Upon termination of that | 18 | | employment, the person's retirement annuity or retirement | 19 | | pension payments shall resume and, if appropriate, be | 20 | | recalculated under the applicable provisions of this Code. | 21 | | (i) Notwithstanding any other provision of this Section, a | 22 | | person who first becomes a participant of the retirement system | 23 | | established under Article 15 on or after the effective date of | 24 | | this amendatory Act of the 96th General Assembly shall have the | 25 | | option to enroll in the self-managed plan created under Section | 26 | | 15-158.2 of this Code. |
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| 1 | | (j) In the case of a conflict between the provisions of | 2 | | this Section and any other provision of this Code, the | 3 | | provisions of this Section shall control.
| 4 | | (Source: P.A. 96-889, eff. 1-1-11 .)".
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