|
| | 101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
HB5590 Introduced , by Rep. Frances Ann Hurley SYNOPSIS AS INTRODUCED:
|
| 40 ILCS 5/6-124 | from Ch. 108 1/2, par. 6-124 | 40 ILCS 5/6-124.1 | | 40 ILCS 5/6-158 | from Ch. 108 1/2, par. 6-158 | 30 ILCS 805/8.44 new | |
|
Amends the Chicago Firefighter Article of the Illinois Pension Code. Provides that when a future entrant who is not subject to the compulsory retirement age withdraws from service and is at least age 63, his or her age and service annuity shall be fixed as of the age he or she withdraws from service. Makes conforming changes. In a provision concerning contribution refunds, removes an age limitation on eligibility for a refund. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately.
|
| |
| | | FISCAL NOTE ACT MAY APPLY | PENSION IMPACT NOTE ACT MAY APPLY | STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT |
| | A BILL FOR |
|
|
| | HB5590 | | LRB101 19203 RPS 68666 b |
|
|
| 1 | | AN ACT concerning public employee benefits.
|
| 2 | | Be it enacted by the People of the State of Illinois,
|
| 3 | | represented in the General Assembly:
|
| 4 | | Section 5. The Illinois Pension Code is amended by changing |
| 5 | | Sections 6-124, 6-124.1, and 6-158 as follows:
|
| 6 | | (40 ILCS 5/6-124) (from Ch. 108 1/2, par. 6-124)
|
| 7 | | Sec. 6-124. Future entrants; amount entrants-age 63 in |
| 8 | | service-amount of annuity. When a future entrant attains age 63 |
| 9 | | in service, except for a fireman who is not subject to the |
| 10 | | compulsory retirement age, his age and service
annuity shall be |
| 11 | | fixed as of age 63. The annuity shall be that provided
from the |
| 12 | | entire sum accumulated to his credit for age and service |
| 13 | | annuity
on the date he attains age 63.
|
| 14 | | When a future entrant who is not subject to the compulsory |
| 15 | | retirement age withdraws from service and is at least age 63, |
| 16 | | his or her age and service annuity shall be fixed as of the age |
| 17 | | he or she withdraws from service. The annuity shall be that |
| 18 | | provided from the entire sum accumulated to his or her credit |
| 19 | | for age and service annuity on the date he or she withdraws |
| 20 | | from service. |
| 21 | | (Source: P.A. 76-1668.)
|
| 22 | | (40 ILCS 5/6-124.1)
|
|
| | HB5590 | - 2 - | LRB101 19203 RPS 68666 b |
|
|
| 1 | | Sec. 6-124.1. Withdrawal from service; amount at |
| 2 | | compulsory retirement age - amount of annuity.
|
| 3 | | (a) In lieu of any annuity provided in the other provisions |
| 4 | | of this
Article, a fireman who (1) is required to withdraw from |
| 5 | | service due to attainment
of compulsory retirement age, or is |
| 6 | | not subject to compulsory retirement age, withdraws from |
| 7 | | service, and is at least age 63, and (2) has at least 10 but |
| 8 | | less than 20 years of
service credit may elect to receive an |
| 9 | | annuity equal to 30% of average salary
for the first 10 years |
| 10 | | of service plus 2% of average salary for each completed
year of |
| 11 | | service or remaining fraction thereof in excess of 10, but not |
| 12 | | to
exceed a maximum of 50% of average salary.
|
| 13 | | (b) For the purpose of this Section, "average salary" means |
| 14 | | the average of
the fireman's highest 4 consecutive years of |
| 15 | | salary within the last 10 years
of service.
|
| 16 | | (c) For the purpose of qualifying for the annual increases |
| 17 | | provided in
Section 6-164, a fireman whose retirement annuity |
| 18 | | is calculated under this
Section shall be deemed to qualify for |
| 19 | | a minimum annuity.
|
| 20 | | (Source: P.A. 93-654, eff. 1-16-04.)
|
| 21 | | (40 ILCS 5/6-158) (from Ch. 108 1/2, par. 6-158)
|
| 22 | | Sec. 6-158. Refund Refund - General.
|
| 23 | | (a) A fireman who withdraws before age 50 and a fireman |
| 24 | | with less than
10 years of service who withdraws before age 57, |
| 25 | | or any fireman who
withdraws and enters the service of another |
|
| | HB5590 | - 3 - | LRB101 19203 RPS 68666 b |
|
|
| 1 | | department of the city, has a
right to a refund of the entire |
| 2 | | amount to his credit as of the date of
withdrawal for age and |
| 3 | | service annuity or Tier 2 monthly retirement annuity, for |
| 4 | | automatic annual increase in annuity as provided in Section |
| 5 | | 6-164, and for widow's annuity or Tier 2 surviving spouse's |
| 6 | | annuity, from deductions
from salary.
|
| 7 | | (b) Any such fireman shall be entitled to refund until he |
| 8 | | re-enters
service or until his annuity is fixed.
|
| 9 | | (c) A fireman who receives a refund forfeits all rights to |
| 10 | | any annuity
or benefit from the fund, for himself and for any |
| 11 | | other person who might
benefit through him because of his |
| 12 | | service, provided he shall retain the
right to credit for any |
| 13 | | such service, for the purpose of computing his
total service if |
| 14 | | he re-enters service before age 57, becomes a beneficiary
of |
| 15 | | the fund and makes repayment of the refund with interest.
|
| 16 | | (d) A fireman completing 10 years of service who does not |
| 17 | | receive a
refund, may receive an annuity as provided in this |
| 18 | | Article.
|
| 19 | | (e) A fireman completing less than 10 years who does not |
| 20 | | receive a
refund has a right to have all amounts to his credit |
| 21 | | for annuity purposes
on the date of withdrawal improved by |
| 22 | | interest while he is out of service
until age 57 only, for his |
| 23 | | benefit and the benefit of any person who may
have any right to |
| 24 | | annuity through him, if he subsequently reenters service
and |
| 25 | | attains a right to annuity.
|
| 26 | | (Source: P.A. 99-905, eff. 11-29-16.)
|