Full Text of HB1758 97th General Assembly
HB1758ham001 97TH GENERAL ASSEMBLY | Rep. Michael J. Zalewski Filed: 2/28/2011
| | 09700HB1758ham001 | | LRB097 07277 JDS 51536 a |
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| 1 | | AMENDMENT TO HOUSE BILL 1758
| 2 | | AMENDMENT NO. ______. Amend House Bill 1758 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. The Illinois Pension Code is amended by | 5 | | changing Section 8-139 and 11-134.2 and adding 8-223.1 and | 6 | | 11-212.1 as follows:
| 7 | | (40 ILCS 5/8-139) (from Ch. 108 1/2, par. 8-139)
| 8 | | Sec. 8-139. Reversionary annuity.
| 9 | | (a) An employee, prior to retirement on annuity, may elect | 10 | | to take a lesser
amount of annuity and provide, with the | 11 | | actuarial value of the amount by which
his annuity is reduced, | 12 | | a reversionary annuity for a wife, husband, parent,
child, | 13 | | brother or sister. The option shall be exercised by filing a | 14 | | written
designation with the board prior to retirement, and may | 15 | | be revoked by the
employee at any time before retirement. The | 16 | | death of the employee prior to
his retirement shall |
| | | 09700HB1758ham001 | - 2 - | LRB097 07277 JDS 51536 a |
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| 1 | | automatically void the option.
| 2 | | (b) The death of the designated reversionary annuitant | 3 | | prior to the
employee's retirement shall automatically void the | 4 | | option. If the
reversionary annuitant dies after the employee's | 5 | | retirement, and before
the death of the employee annuitant, the | 6 | | reduced
annuity being paid to the retired employee annuitant | 7 | | shall be increased
to the amount of annuity before reduction | 8 | | for the reversionary annuity
and no reversionary annuity shall | 9 | | be payable.
| 10 | | The option is subject to the further condition that no | 11 | | reversionary annuity
shall be paid to a parent, child, brother, | 12 | | or sister if the employee dies
before the expiration of 365 | 13 | | days from the date his written
designation was filed with the | 14 | | board, even though he has retired and is
receiving a reduced | 15 | | annuity.
| 16 | | (c) The employee exercising this option shall not reduce | 17 | | his retirement
annuity by more than $400 a month, or elect to | 18 | | provide a
reversionary annuity of less than $50 per month. No | 19 | | option shall be permitted
if the reversionary annuity for a | 20 | | widow , when added to the widow's annuity
payable under this | 21 | | Article, exceeds 100% of the reduced annuity
payable to the | 22 | | employee.
| 23 | | (d) A reversionary annuity shall begin on the day following | 24 | | the death of
the annuitant and shall be paid as provided in | 25 | | Section 8-125.
| 26 | | (e) The increases in annuity provided in Section 8-137 of |
| | | 09700HB1758ham001 | - 3 - | LRB097 07277 JDS 51536 a |
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| 1 | | this Article
shall, as to an employee so electing a reduced | 2 | | annuity relate to the amount
of the original annuity, and such | 3 | | amount shall
constitute the annuity on
which such automatic | 4 | | increases shall be based.
| 5 | | (f) For annuities elected after June 30, 1983, the amount | 6 | | of the monthly
reversionary annuity shall be determined by | 7 | | multiplying the amount of the
monthly reduction in the | 8 | | employee's annuity by the factor in the following
table based | 9 | | on the age of the employee and the difference in the age of
the | 10 | | employee and the age of the reversionary annuitant at the | 11 | | starting date
of the employee's annuity:
|
|
12 | | Employee's Age |
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13 | | Reversionary |
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14 | | Annuitant's |
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15 | | Age |
50-51 |
52-54 |
55-57 |
58-60 |
61-63 |
64-66 |
67-69 |
70 & |
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16 | | |
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|
|
|
|
|
|
Over |
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17 | | 30 or |
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|
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|
|
|
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|
18 | | more |
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|
|
|
|
|
|
|
|
19 | | years |
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|
|
|
|
|
|
|
|
20 | | younger |
3.03 |
2.56 |
2.18 |
1.84 |
1.55 |
1.29 |
1.08 |
0.91 |
|
21 | | 25-29 |
|
|
|
|
|
|
|
|
|
22 | | years |
|
|
|
|
|
|
|
|
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23 | | younger |
3.16 |
2.68 |
2.29 |
1.94 |
1.63 |
1.37 |
1.15 |
0.97 |
|
24 | | 20-24 |
|
|
|
|
|
|
|
|
|
25 | | years |
|
|
|
|
|
|
|
|
|
26 | | younger |
3.35 |
2.85 |
2.44 |
2.07 |
1.75 |
1.48 |
1.25 |
1.06 |
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| 1 | | 15-19 |
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2 | | years |
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3 | | younger |
3.60 |
3.08 |
2.65 |
2.26 |
1.92 |
1.63 |
1.39 |
1.19 |
|
4 | | 10-14 |
|
|
|
|
|
|
|
|
|
5 | | years |
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|
|
|
|
|
|
|
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6 | | younger |
3.96 |
3.40 |
2.94 |
2.53 |
2.16 |
1.85 |
1.59 |
1.37 |
|
7 | | 5-9 |
|
|
|
|
|
|
|
|
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8 | | years |
|
|
|
|
|
|
|
|
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9 | | younger |
4.46 |
3.84 |
3.35 |
2.90 |
2.51 |
2.16 |
1.88 |
1.64 |
|
10 | | 0-4 |
|
|
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|
|
|
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11 | | years |
|
|
|
|
|
|
|
|
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12 | | younger |
5.15 |
4.47 |
3.93 |
3.44 |
3.00 |
2.61 |
2.29 |
2.02 |
|
13 | | 1-5 |
|
|
|
|
|
|
|
|
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14 | | years |
|
|
|
|
|
|
|
|
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15 | | older |
6.12 |
5.36 |
4.76 |
4.21 |
3.71 |
3.26 |
2.88 |
2.56 |
|
16 | | 6-10 |
|
|
|
|
|
|
|
|
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17 | | years |
|
|
|
|
|
|
|
|
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18 | | older |
7.48 |
6.61 |
5.93 |
5.30 |
4.71 |
4.16 |
3.70 |
3.29 |
|
19 | | 11-15 |
|
|
|
|
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|
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|
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20 | | years |
|
|
|
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|
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|
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21 | | older |
9.37 |
8.35 |
7.58 |
6.83 |
6.11 |
5.40 |
4.82 |
4.32 |
|
22 | | 16-20 |
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|
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|
|
|
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23 | | years |
|
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24 | | older |
11.99 |
10.78 |
9.84 |
8.93 |
8.02 |
7.13 |
6.43 |
5.87 |
|
25 | | 21-25 |
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|
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26 | | years |
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| | | 09700HB1758ham001 | - 5 - | LRB097 07277 JDS 51536 a |
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| 1 | | older |
15.59 |
14.06 |
12.91 |
11.82 |
10.73 |
9.66 |
8.88 |
8.35 |
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2 | | 26-30 |
|
|
|
|
|
|
|
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3 | | years |
|
|
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4 | | older |
20.42 |
18.49 |
17.15 |
15.96 |
14.80 |
13.65 |
12.97 |
12.82 |
|
5 | | 31 or |
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|
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6 | | more |
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|
|
|
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7 | | years |
|
|
|
|
|
|
|
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8 | | older |
27.07 |
24.72 |
23.34 |
22.32 |
21.45 |
20.62 |
20.85 |
23.28 |
|
9 | | (g) Beginning on the effective date of this amendatory Act | 10 | | of the 97th General Assembly, an employee annuitant who has | 11 | | elected the reversionary annuity may cancel the election. The | 12 | | cancellation must be in writing with the employee's signature | 13 | | notarized. The cancellation shall be effective upon its being | 14 | | filed with the Board and may not be revoked after it is | 15 | | executed and filed. The reduction in annuity shall be restored | 16 | | with the first annuity payment made at least 30 days after the | 17 | | receipt of the cancellation by the Fund. There shall be no | 18 | | refund of money previously deducted from the employee's annuity | 19 | | to provide the reversionary annuity. | 20 | | (Source: P.A. 90-31, eff. 6-27-97; 90-766, eff. 8-14-98; | 21 | | 91-887, eff.
7-6-00 .)
| 22 | | (40 ILCS 5/8-223.1 new) | 23 | | Sec. 8-223.1. Indemnification of trustees, staff, and | 24 | | consultants of the pension fund. The Fund established under | 25 | | this Article shall indemnify and protect the trustees, staff, |
| | | 09700HB1758ham001 | - 6 - | LRB097 07277 JDS 51536 a |
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| 1 | | and consultants against all damage claims and suits, including | 2 | | defense thereof, when damages are sought for negligent or | 3 | | wrongful acts alleged to have been committed in the scope of | 4 | | employment or under the direction of the trustees. However, the | 5 | | trustees, staff, and consultants shall not be indemnified for | 6 | | wilful misconduct or gross negligence. The board is authorized | 7 | | to insure against loss or liability of the trustees, staff, and | 8 | | consultants that may result from these damage claims. This | 9 | | insurance shall be carried in a company that is licensed to | 10 | | write such coverage in this State.
| 11 | | (40 ILCS 5/11-134.2) (from Ch. 108 1/2, par. 11-134.2)
| 12 | | Sec. 11-134.2. Reversionary annuity.
| 13 | | (a) An employee, prior to retirement on annuity, may elect | 14 | | to take a
lesser amount of annuity and provide, with the | 15 | | actuarial value of the
amount by which his annuity is reduced, | 16 | | a reversionary annuity for a wife,
husband, parent, child, | 17 | | brother or sister. The option shall be exercised by
filing a | 18 | | written designation with the board prior to retirement, and may | 19 | | be
revoked by the employee at any time before retirement. The | 20 | | death of the
employee prior to his retirement shall | 21 | | automatically void the option.
| 22 | | (b) The death of the designated reversionary annuitant | 23 | | prior to the
employee's retirement shall automatically void the | 24 | | option. If the
reversionary annuitant dies after the employee's | 25 | | retirement, and before
the death of the employee annuitant, the |
| | | 09700HB1758ham001 | - 7 - | LRB097 07277 JDS 51536 a |
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| 1 | | reduced
annuity being paid to the retired employee annuitant | 2 | | shall be increased
to the amount of annuity before reduction | 3 | | for the reversionary annuity
and no reversionary annuity shall | 4 | | be payable.
| 5 | | The option is subject to the further condition that no | 6 | | reversionary
annuity shall be paid to a parent, child, brother, | 7 | | or sister if the
employee dies before the expiration of 365
| 8 | | days from the date his written designation was filed with the | 9 | | board, even
though he has retired and is receiving a reduced | 10 | | annuity.
| 11 | | (c) The employee exercising this option shall not reduce | 12 | | his retirement
annuity by more than $400 per month, or elect to | 13 | | provide a
reversionary
annuity of less than $50 per month. No | 14 | | option shall be permitted if the
reversionary annuity for a | 15 | | widow or any reversionary annuitant , when added to the widow's | 16 | | annuity payable
under this Article, exceeds 100% of the reduced | 17 | | annuity payable to
the employee.
| 18 | | (d) A reversionary annuity shall begin on the day following | 19 | | the death of
the annuitant and shall be paid as provided in | 20 | | Section 11-124.
| 21 | | (e) The increases in annuity provided in Section 11-134.1 | 22 | | of this
Article shall, as to an employee so electing a reduced | 23 | | annuity, relate to
the amount of the original annuity, and such | 24 | | amount shall constitute the
annuity on which such increases | 25 | | shall be based.
| 26 | | (f) For annuities elected after June 30, 1983, the amount |
| | | 09700HB1758ham001 | - 8 - | LRB097 07277 JDS 51536 a |
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| 1 | | of the monthly
reversionary annuity shall be determined by | 2 | | multiplying the amount of the
monthly reduction in the | 3 | | employee's annuity by the factor in the following
table based | 4 | | on the age of the employee and the difference in the age of
the | 5 | | employee and the age of the reversionary annuitant at the | 6 | | starting date
of the employee's annuity:
|
|
7 | | Employee's Age |
|
8 | | Reversionary |
|
|
|
|
|
|
|
|
9 | | Annuitant's |
|
|
|
|
|
|
|
|
10 | | Age |
50-51 |
52-54 |
55-57 |
58-60 |
61-63 |
64-66 |
67-69 |
70 & |
|
11 | | |
|
|
|
|
|
|
|
Over |
|
12 | | 30 or |
|
|
|
|
|
|
|
|
|
13 | | more |
|
|
|
|
|
|
|
|
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14 | | years |
|
|
|
|
|
|
|
|
|
15 | | younger |
3.03 |
2.56 |
2.18 |
1.84 |
1.55 |
1.29 |
1.08 |
0.91 |
|
16 | | 25-29 |
|
|
|
|
|
|
|
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17 | | years |
|
|
|
|
|
|
|
|
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18 | | younger |
3.16 |
2.68 |
2.29 |
1.94 |
1.63 |
1.37 |
1.15 |
0.97 |
|
19 | | 20-24 |
|
|
|
|
|
|
|
|
|
20 | | years |
|
|
|
|
|
|
|
|
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21 | | younger |
3.35 |
2.85 |
2.44 |
2.07 |
1.75 |
1.48 |
1.25 |
1.06 |
|
22 | | 15-19 |
|
|
|
|
|
|
|
|
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23 | | years |
|
|
|
|
|
|
|
|
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24 | | younger |
3.60 |
3.08 |
2.65 |
2.26 |
1.92 |
1.63 |
1.39 |
1.19 |
|
25 | | 10-14 |
|
|
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26 | | years |
|
|
|
|
|
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|
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| | | 09700HB1758ham001 | - 9 - | LRB097 07277 JDS 51536 a |
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| 1 | | younger |
3.96 |
3.40 |
2.94 |
2.53 |
2.16 |
1.85 |
1.59 |
1.37 |
|
2 | | 5-9 |
|
|
|
|
|
|
|
|
|
3 | | years |
|
|
|
|
|
|
|
|
|
4 | | younger |
4.46 |
3.84 |
3.35 |
2.90 |
2.51 |
2.16 |
1.88 |
1.64 |
|
5 | | 0-4 |
|
|
|
|
|
|
|
|
|
6 | | years |
|
|
|
|
|
|
|
|
|
7 | | younger |
5.15 |
4.47 |
3.93 |
3.44 |
3.00 |
2.61 |
2.29 |
2.02 |
|
8 | | 1-5 |
|
|
|
|
|
|
|
|
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9 | | years |
|
|
|
|
|
|
|
|
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10 | | older |
6.12 |
5.36 |
4.76 |
4.21 |
3.71 |
3.26 |
2.88 |
2.56 |
|
11 | | 6-10 |
|
|
|
|
|
|
|
|
|
12 | | years |
|
|
|
|
|
|
|
|
|
13 | | older |
7.48 |
6.61 |
5.93 |
5.30 |
4.71 |
4.16 |
3.70 |
3.29 |
|
14 | | 11-15 |
|
|
|
|
|
|
|
|
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15 | | years |
|
|
|
|
|
|
|
|
|
16 | | older |
9.37 |
8.35 |
7.58 |
6.83 |
6.11 |
5.40 |
4.82 |
4.32 |
|
17 | | 16-20 |
|
|
|
|
|
|
|
|
|
18 | | years |
|
|
|
|
|
|
|
|
|
19 | | older |
11.99 |
10.78 |
9.84 |
8.93 |
8.02 |
7.13 |
6.43 |
5.87 |
|
20 | | 21-25 |
|
|
|
|
|
|
|
|
|
21 | | years |
|
|
|
|
|
|
|
|
|
22 | | older |
15.59 |
14.06 |
12.91 |
11.82 |
10.73 |
9.66 |
8.88 |
8.35 |
|
23 | | 26-30 |
|
|
|
|
|
|
|
|
|
24 | | years |
|
|
|
|
|
|
|
|
|
25 | | older |
20.42 |
18.49 |
17.15 |
15.96 |
14.80 |
13.65 |
12.97 |
12.82 |
|
26 | | 31 or |
|
|
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|
|
|
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| | | 09700HB1758ham001 | - 10 - | LRB097 07277 JDS 51536 a |
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| 1 | | more |
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2 | | years |
|
|
|
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3 | | older |
27.07 |
24.72 |
23.34 |
22.32 |
21.45 |
20.62 |
20.85 |
23.28 |
|
4 | | (g) Beginning on the effective date of this amendatory Act | 5 | | of the 97th General Assembly, an employee annuitant who has | 6 | | elected the reversionary annuity may cancel the election. The | 7 | | cancellation must be in writing with the employee's signature | 8 | | notarized. The cancellation shall be effective upon its being | 9 | | filed with the Board and may not be revoked after it is | 10 | | executed and filed. The reduction in annuity shall be restored | 11 | | with the first annuity payment made at least 30 days after the | 12 | | receipt of the cancellation by the Fund. There shall be no | 13 | | refund of money previously deducted from the employee's annuity | 14 | | to provide the reversionary annuity. | 15 | | (Source: P.A. 90-31, eff. 6-27-97; 90-766, eff. 8-14-98; | 16 | | 91-887, 7-6-00 .)
| 17 | | (40 ILCS 5/11-212.1 new) | 18 | | Sec. 11-212.1. Indemnification of trustees, staff, and | 19 | | consultants of the pension fund. The Fund established under | 20 | | this Article shall indemnify and protect the trustees, staff, | 21 | | and consultants against all damage claims and suits, including | 22 | | defense thereof, when damages are sought for negligent or | 23 | | wrongful acts alleged to have been committed in the scope of | 24 | | employment or under the direction of the trustees. However, the | 25 | | trustees, staff, and consultants shall not be indemnified for |
| | | 09700HB1758ham001 | - 11 - | LRB097 07277 JDS 51536 a |
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| 1 | | wilful misconduct or gross negligence. The board is authorized | 2 | | to insure against loss or liability of the trustees, staff, and | 3 | | consultants that may result from these damage claims. This | 4 | | insurance shall be carried in a company that is licensed to | 5 | | write such coverage in this State.
| 6 | | Section 90. The State Mandates Act is amended by adding | 7 | | Section 8.35 as follows: | 8 | | (30 ILCS 805/8.35 new) | 9 | | Sec. 8.35. Exempt mandate. Notwithstanding Sections 6 and 8 | 10 | | of this Act, no reimbursement by the State is required for the | 11 | | implementation of any mandate created by this amendatory Act of | 12 | | the 97th General Assembly. | 13 | | Section 99. Effective date. This Act takes effect upon | 14 | | becoming law.".
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