Full Text of HB4553 99th General Assembly
HB4553ham001 99TH GENERAL ASSEMBLY | Rep. Daniel J. Burke Filed: 4/21/2016
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| 1 | | AMENDMENT TO HOUSE BILL 4553
| 2 | | AMENDMENT NO. ______. Amend House Bill 4553 on page 1, in | 3 | | line 5, after "Sections", by inserting "5-132, 5-167.1, | 4 | | 5-167.4,"; and
| 5 | | on page 1, immediately below line 5, by inserting the | 6 | | following:
| 7 | | "(40 ILCS 5/5-132)
(from Ch. 108 1/2, par. 5-132)
| 8 | | Sec. 5-132. Minimum annuity. Any policeman who withdraws on | 9 | | or after
July 8, 1957, or any policeman
transferred to the | 10 | | police service of the city under the Exchange of
Functions Act | 11 | | of 1957 who withdraws on or after July 17, 1959, after
| 12 | | completing at least 20 years of service, for whom the
annuity | 13 | | otherwise provided in this Article is less than that stated in | 14 | | this
Section has a right to receive annuity as follows:
| 15 | | (a) If he is age 55 or more on withdrawal, his annuity | 16 | | after such
withdrawal, shall be equal to 2% of the average |
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| 1 | | salary for 4 consecutive
years of highest salaries within the | 2 | | last 10 years of service before
withdrawal, for each year of | 3 | | service, together with 1/6 of 1% of such
average salary for | 4 | | each complete month of service of each fractional year,
but not | 5 | | in excess of 75% of the average annual salary.
| 6 | | (b) If he is age 50 or more but less than age 55 on | 7 | | withdrawal, his
annuity shall be equal to 2% of the average | 8 | | salary for the 4 highest
consecutive years of the last 10 years | 9 | | of service for each year of service,
together with 1/16 of 1% | 10 | | of such average salary for each month of each
fractional year | 11 | | of service, reduced by 1/2 of 1% for each month that he is
less | 12 | | than age 55.
| 13 | | (c) If he is less than age 50 on withdrawal, he may, upon | 14 | | attainment of
age 50 or over, become entitled to the annuity | 15 | | provided in this Section or,
he may, upon application before | 16 | | age 50, receive a refund of the deductions
from salary, plus | 17 | | interest at 1 1/2% per annum if he is entitled to refund
under | 18 | | Section 5-163.
| 19 | | (d) In lieu of the annuity provided in the foregoing | 20 | | provisions of this
Section 5-132 any policeman who withdraws | 21 | | from the service after December
31, 1973, after having attained | 22 | | age 53 in the service with
23 or more years of service credit | 23 | | shall be entitled to an
annuity computed as follows if such | 24 | | annuity is greater than that provided
in the foregoing | 25 | | paragraphs of this Section 5-132: An annuity equal to
50% of | 26 | | the average salary for the 4
highest consecutive years of the |
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| 1 | | last 10 years of service plus
additional annuity equal to 2% of | 2 | | such average salary for each completed
year of service or | 3 | | fraction
thereof rendered after his attainment of age 53 and | 4 | | the completion
of 23 years of service.
| 5 | | Any policeman who has completed 23 years of service prior | 6 | | to
his attainment of age 53 in the service and continues in the
| 7 | | service until his attainment of age 53 shall have added to his
| 8 | | annuity, computed as provided in the immediately preceding | 9 | | paragraph, an
additional annuity equal to 1% of such average | 10 | | salary for each
completed year of service or fraction thereof | 11 | | in excess of 23
years up to age 53.
| 12 | | (e) In lieu of the annuity provided in the foregoing | 13 | | provisions of this
Section any policeman who withdraws from the | 14 | | service either (i) after
December 31, 1983 with at least 22 | 15 | | years of service credit and having
attained age 52 in the | 16 | | service, or (ii) after December 31, 1984 with at
least 21 years | 17 | | of service credit and having attained age 51 in the service,
or | 18 | | (iii) after December 31, 1985 with at least 20 years of service | 19 | | credit
and having attained age 50 in the service, or (iv) after | 20 | | December 31,
1990, with at least 20 years of service credit | 21 | | regardless of age, shall
be entitled to an annuity to begin not | 22 | | earlier than upon attainment of
age 50 if under such age at | 23 | | withdrawal, computed as follows: an annuity
equal to 50% of the | 24 | | average salary for the 4 highest consecutive years of the
last | 25 | | 10 years of service, plus additional annuity equal to 2% of | 26 | | such average
salary for each completed year of service or |
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| 1 | | fraction thereof rendered after
his completion of the minimum | 2 | | number of years of service required for him to be
eligible | 3 | | under this subsection (e). In lieu of any annuity provided in | 4 | | the
foregoing provisions of this Section, any policeman who | 5 | | withdraws from the
service after December 31, 2003, with at | 6 | | least 20 years of service credit
regardless of age, shall be | 7 | | entitled to an annuity to begin not earlier than
upon | 8 | | attainment of age 50, if under that age at withdrawal, equal to | 9 | | 2.5% of
the average salary for the 4 highest consecutive years | 10 | | of the last 10 years of
service for each completed year of | 11 | | service or fraction thereof. However,
the annuity provided | 12 | | under this subsection (e) may not exceed 75% of such
average | 13 | | salary.
| 14 | | (e-5) Beginning January 1, 2017, the minimum retirement | 15 | | annuity payable to any person who has retired from service at | 16 | | age 50 or over with 20 or more years of service and is entitled | 17 | | to receive a retirement annuity under this Article on that | 18 | | date, or who retires from service at age 50 or over with 20 or | 19 | | more years of service after that date, shall be no less than | 20 | | 125% of the Federal Poverty Level. For purposes of this | 21 | | Section, the "Federal Poverty Level" shall be determined | 22 | | pursuant to the poverty guidelines updated periodically in the | 23 | | Federal Register by the United States Department of Health and | 24 | | Human Services under the authority of 42 U.S.C. 9902(2). | 25 | | For the purposes of Section 1-103.1, the changes made to | 26 | | this Section by this amendatory Act of the
99th General |
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| 1 | | Assembly apply without regard to whether the retirement of the
| 2 | | policeman occurred prior to the effective date of this | 3 | | amendatory Act. | 4 | | (f) A policeman withdrawing after September 1, 1969, may, | 5 | | in addition, be
entitled to the benefits provided by Section | 6 | | 5-167.1 of this Article if he
so qualifies under that Section.
| 7 | | If, on withdrawal, total service is less than 20 years, the | 8 | | policeman
shall not be entitled to an annuity under this | 9 | | Section but may receive an
annuity under the other provisions | 10 | | of this Article or, if entitled thereto
under Section 5-163, a | 11 | | refund of the deductions from salary, including, in
the case of | 12 | | policemen transferred to the police service of the city under
| 13 | | the Exchange of Functions Act of 1957, the additional | 14 | | contribution paid on
salary received from August 1, 1957, to | 15 | | July 17, 1959, as provided in the
Park Policemen's Annuity Act, | 16 | | together with interest at 1 1/2% per annum.
| 17 | | Moneys voluntarily contributed under the Policemen's | 18 | | Annuity and Benefit
Fund Act of the Illinois Municipal Code, or | 19 | | the Park Policemen's Annuity
Act, shall be refunded to the | 20 | | contributing policemen who were in service on
January 1, 1954, | 21 | | or in the case of policemen transferred to the police
service | 22 | | of the city under the Exchange of Functions Act of 1957, who | 23 | | were
in service on July 17, 1959.
| 24 | | The age and service annuity formula in this Section shall | 25 | | not apply to
any policeman who, having retired before July 8, | 26 | | 1957, or before July 17,
1959, in the case of a policeman |
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| 1 | | transferred under the provisions of the
Exchange of Functions | 2 | | Act of 1957, re-enters the police service after such
dates, | 3 | | whichever are applicable.
| 4 | | (Source: P.A. 93-654, eff. 1-16-04 .)
| 5 | | (40 ILCS 5/5-167.1) (from Ch. 108 1/2, par. 5-167.1)
| 6 | | Sec. 5-167.1. Automatic increase in annuity; retirement | 7 | | from service
after September 1, 1967. | 8 | | (a) A policeman who retires from service after September 1, | 9 | | 1967
with at least 20 years of service credit shall, upon | 10 | | either the first
of the month following the first anniversary | 11 | | of his date of retirement
if he is age 60 (age 55 if born before | 12 | | January 1, 1966 1955 )
or over on that anniversary date, or upon | 13 | | the first of the month following
his attainment of age 60 (age | 14 | | 55 if born before January 1, 1966 1955 )
if it occurs after the | 15 | | first anniversary of his retirement date, have his
then fixed | 16 | | and payable monthly annuity increased by 1 1/2% and such first
| 17 | | fixed annuity as granted at retirement increased by an | 18 | | additional 1 1/2% in
January of each year thereafter up to a | 19 | | maximum increase of 30%. Beginning
January 1, 1983 for | 20 | | policemen born before January 1, 1930, and beginning
January 1, | 21 | | 1988 for policemen born on or after January 1, 1930 but before
| 22 | | January 1, 1940, and beginning January 1, 1996 for policemen | 23 | | born on or after
January 1, 1940 but before January 1, 1945, | 24 | | and beginning January 1, 2000
for policemen born on or after | 25 | | January 1, 1945 but before January 1, 1950, and beginning |
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| 1 | | January 1, 2005
for policemen born on or after January 1, 1950 | 2 | | but before January 1, 1955, and beginning January 1, 2017
for | 3 | | policemen born on or after January 1, 1955 but before January | 4 | | 1, 1966,
such increases shall be 3% and such policemen shall | 5 | | not be subject to the
30% maximum increase.
| 6 | | Any policeman born before January 1, 1945 who qualifies for | 7 | | a minimum
annuity and retires after September 1, 1967 but has | 8 | | not received the initial
increase under this subsection before | 9 | | January 1, 1996 is entitled to receive
the initial increase | 10 | | under this subsection on (1) January 1, 1996, (2) the
first | 11 | | anniversary of the date of retirement, or (3) attainment of age | 12 | | 55,
whichever occurs last. The changes to this Section made by | 13 | | Public Act
89-12 apply beginning January 1, 1996 and
without | 14 | | regard to whether the policeman or annuitant terminated service | 15 | | before
the effective date of that Act.
| 16 | | Any policeman born before January 1, 1950 who qualifies for | 17 | | a minimum
annuity and retires after September 1, 1967 but has | 18 | | not received the initial
increase under this subsection before | 19 | | January 1, 2000 is entitled to receive
the initial increase | 20 | | under this subsection on (1) January 1, 2000, (2) the
first | 21 | | anniversary of the date of retirement, or (3) attainment of age | 22 | | 55,
whichever occurs last. The changes to this Section made by | 23 | | this amendatory
Act of the 92nd General Assembly apply without | 24 | | regard to whether the policeman
or annuitant terminated service | 25 | | before the effective date of this amendatory
Act.
| 26 | | Any policeman born before January 1, 1955 who qualifies for |
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| 1 | | a minimum
annuity and retires after September 1, 1967 but has | 2 | | not received the initial
increase under this subsection before | 3 | | January 1, 2005 is entitled to receive
the initial increase | 4 | | under this subsection on (1) January 1, 2005, (2) the
first | 5 | | anniversary of the date of retirement, or (3) attainment of age | 6 | | 55,
whichever occurs last. The changes to this Section made by | 7 | | this amendatory
Act of the 94th General Assembly apply without | 8 | | regard to whether the policeman
or annuitant terminated service | 9 | | before the effective date of this amendatory
Act.
| 10 | | Any policeman born before January 1, 1966 who qualifies for
| 11 | | a minimum annuity and retires after
September 1, 1967 but has | 12 | | not received the initial increase
under this subsection before | 13 | | January 1, 2017 is entitled to
receive an initial increase | 14 | | under this subsection on (1)
January 1, 2017, (2) the first | 15 | | anniversary of the date of
retirement, or (3) attainment of age | 16 | | 55, whichever occurs last, in an amount equal to 3% for each | 17 | | complete year following the date of retirement or attainment of | 18 | | age 55, whichever occurs later. The changes to this Section | 19 | | made by this amendatory
Act of the 99th General Assembly apply | 20 | | without regard to whether the policeman
or annuitant terminated | 21 | | service before the effective date of this amendatory
Act. | 22 | | (b) Subsection (a) of this Section is
not applicable to an | 23 | | employee receiving a term annuity.
| 24 | | (c) To help defray the cost of such increases in annuity, | 25 | | there shall
be deducted, beginning September 1, 1967, from each | 26 | | payment of salary to a
policeman, 1/2 of 1% of each salary |
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| 1 | | payment concurrently with and in addition
to the salary | 2 | | deductions otherwise made for annuity purposes.
| 3 | | The city, in addition to the contributions otherwise made | 4 | | by it for
annuity purposes under other provisions of this | 5 | | Article, shall make
matching contributions concurrently with | 6 | | such salary deductions.
| 7 | | Each such 1/2 of 1% deduction from salary and each such | 8 | | contribution
by the city of 1/2 of 1% of salary shall be | 9 | | credited to the Automatic
Increase Reserve, to be used to | 10 | | defray the cost of the 1 1/2% annuity
increase provided by this | 11 | | Section. Any balance in such reserve as of the
beginning of | 12 | | each calendar year shall be credited with interest at the
rate | 13 | | of 3% per annum.
| 14 | | Such deductions from salary and city contributions shall | 15 | | continue
while the policeman is in service.
| 16 | | The salary deductions provided in this Section are not | 17 | | subject to
refund, except to the policeman himself, in any case | 18 | | in which a
policeman withdraws prior to qualification for | 19 | | minimum annuity and
applies for refund or applies for annuity, | 20 | | and also where a term annuity
becomes payable. In such cases, | 21 | | the total of such salary deductions
shall be refunded to the | 22 | | policeman, without interest, and charged to the
Automatic | 23 | | Increase Reserve.
| 24 | | (d) Notwithstanding any other provision of this Article, | 25 | | the monthly annuity of a
person who first becomes a policeman | 26 | | under this Article on or after the effective date of this |
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| 1 | | amendatory Act of the 97th General Assembly shall be increased | 2 | | on the January 1 occurring either on or after the attainment of | 3 | | age 60 or the first anniversary of the annuity start date, | 4 | | whichever is later. Each annual increase shall be calculated at | 5 | | 3% or one-half the annual unadjusted percentage increase (but | 6 | | not less than zero) in the consumer price index-u for the 12 | 7 | | months ending with the September preceding each November 1, | 8 | | whichever is less, of the originally granted retirement | 9 | | annuity. If the annual unadjusted percentage change in the | 10 | | consumer price index-u for a 12-month period ending in | 11 | | September is zero or, when compared with the preceding period, | 12 | | decreases, then the annuity shall not be increased. | 13 | | For the purposes of this subsection (d), "consumer price | 14 | | index-u" means the index published by the Bureau of Labor | 15 | | Statistics of the United States Department of Labor that | 16 | | measures the average change in prices of goods and services | 17 | | purchased by all urban consumers, United States city average, | 18 | | all items, 1982-84 = 100. The new amount resulting from each | 19 | | annual adjustment shall be determined by the Public Pension | 20 | | Division of the Department of Insurance and made available to | 21 | | the boards of the pension funds. | 22 | | (Source: P.A. 96-1495, eff. 1-1-11; 97-344, eff. 8-12-11.)
| 23 | | (40 ILCS 5/5-167.4)
(from Ch. 108 1/2, par. 5-167.4)
| 24 | | Sec. 5-167.4. Widow annuitant minimum annuity.
| 25 | | (a) Notwithstanding any other provision of this Article, |
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| 1 | | beginning
January 1, 1996, the minimum amount of widow's | 2 | | annuity payable to any person
who is entitled to receive a | 3 | | widow's annuity under this Article is $700 per
month, without | 4 | | regard to whether the deceased policeman is in service on or
| 5 | | after the effective date of this amendatory Act of 1995.
| 6 | | Notwithstanding any other provision of this Article, | 7 | | beginning
January 1, 1999, the minimum amount of widow's | 8 | | annuity payable to any person
who is entitled to receive a | 9 | | widow's annuity under this Article is $800 per
month, without | 10 | | regard to whether the deceased policeman is in service on or
| 11 | | after the effective date of this amendatory Act of 1998.
| 12 | | Notwithstanding any other provision of this Article, | 13 | | beginning
January 1, 2004, the minimum amount of widow's | 14 | | annuity payable to any person
who is entitled to receive a | 15 | | widow's annuity under this Article is $900 per
month, without | 16 | | regard to whether the deceased policeman is in service on or
| 17 | | after the effective date of this amendatory Act of the 93rd | 18 | | General Assembly.
| 19 | | Notwithstanding any other provision of this Article, | 20 | | beginning
January 1, 2005, the minimum amount of widow's | 21 | | annuity payable to any person
who is entitled to receive a | 22 | | widow's annuity under this Article is $1,000 per
month, without | 23 | | regard to whether the deceased policeman is in service on or
| 24 | | after the effective date of this amendatory Act of the 93rd | 25 | | General Assembly.
| 26 | | (b) Effective January 1, 1994, the minimum amount of |
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| 1 | | widow's annuity
shall be $700 per month for the following | 2 | | classes of widows, without regard to
whether the deceased | 3 | | policeman is in service on or after the effective date of
this | 4 | | amendatory Act of 1993: (1) the widow of a policeman who dies | 5 | | in service
with at least 10 years of service credit, or who | 6 | | dies in service after June 30,
1981; and (2) the widow of a | 7 | | policeman who withdraws from service with 20 or
more years of | 8 | | service credit and does not withdraw a refund, provided that | 9 | | the
widow is married to the policeman before he withdraws from | 10 | | service.
| 11 | | (b-5) Notwithstanding any other provision of this Article, | 12 | | beginning January 1, 2017, the minimum widow's annuity under | 13 | | this Article shall be no less than 125% of the Federal Poverty | 14 | | Level for all persons receiving widow's annuities on or after | 15 | | that date, without regard to whether the deceased policeman is | 16 | | in service on or after the effective date of this amendatory | 17 | | Act of the 99th General Assembly. For purposes of this Section, | 18 | | the "Federal Poverty Level" shall be determined pursuant to the | 19 | | poverty guideline updated periodically in the Federal Register | 20 | | by the United States Department of Health and Human Services | 21 | | under the authority of 42 U.S.C. 9902(2). | 22 | | (c) The city, in addition to the contributions otherwise | 23 | | made by it
under the other provisions of this Article, shall | 24 | | make such contributions
as are necessary for the minimum | 25 | | widow's annuities provided under
this Section in the manner | 26 | | prescribed in Section 5-175.
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| 1 | | (Source: P.A. 93-654, eff. 1-16-04.)".
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