Full Text of SB2022 101st General Assembly
SB2022sam001 101ST GENERAL ASSEMBLY | Sen. Heather A. Steans Filed: 3/18/2019
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| 1 | | AMENDMENT TO SENATE BILL 2022
| 2 | | AMENDMENT NO. ______. Amend Senate Bill 2022 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. The Illinois Pension Code is amended by | 5 | | changing Section 7-159 as follows:
| 6 | | (40 ILCS 5/7-159) (from Ch. 108 1/2, par. 7-159)
| 7 | | Sec. 7-159. Surviving spouse annuity - refund of survivor | 8 | | credits.
| 9 | | (a) Any employee annuitant who (1) upon the date a | 10 | | retirement annuity
begins is not then married, or (2) is | 11 | | married to a person who would not qualify
for surviving spouse | 12 | | annuity if the person died on such date, is entitled to a
| 13 | | refund of the survivor credits including interest accumulated | 14 | | on the date the
annuity begins, excluding survivor credits and | 15 | | interest thereon credited during
periods of disability, and no | 16 | | spouse shall have a right to any surviving spouse
annuity from |
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| 1 | | this Fund. If the employee annuitant
reenters service and upon | 2 | | subsequent retirement has a spouse who would
qualify for a | 3 | | surviving spouse annuity, the employee annuitant may pay the
| 4 | | fund the amount of the refund plus interest at the effective | 5 | | rate at the
date of payment. The payment shall qualify the | 6 | | spouse for a surviving
spouse annuity and the amount paid shall | 7 | | be considered as survivor
contributions.
| 8 | | (b) Instead of a refund under subsection (a), the retiring | 9 | | employee may
elect to convert the amount of the refund into an | 10 | | annuity, payable
separately from the retirement annuity. If the | 11 | | annuitant dies before the
guaranteed amount has been | 12 | | distributed, the remainder shall be paid in a lump
sum to the | 13 | | designated beneficiary of the annuitant. The Board shall adopt | 14 | | any
rules necessary for the implementation of this subsection.
| 15 | | (c) An annuitant who retired prior to June 1, 2011 and | 16 | | received a refund of
survivor credits under subsection (a), and | 17 | | who thereafter became, and remains,
either: | 18 | | (1) a party to a civil union or a party to a legal | 19 | | relationship that is recognized as a civil union or | 20 | | marriage under the Illinois Religious Freedom Protection | 21 | | and Civil Union Act on or after June 1, 2011; or | 22 | | (2) a party to a marriage under the Illinois Marriage | 23 | | and Dissolution of Marriage Act on or after February 26, | 24 | | 2014; or | 25 | | (3) a party to a marriage, civil union or other legal | 26 | | relationship that, at the time it was formed, was not |
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| 1 | | legally recognized in Illinois but was subsequently | 2 | | recognized as a civil union or marriage under the Illinois | 3 | | Religious Freedom Protection and Civil Union Act on or | 4 | | after June 1, 2011, a marriage under the Illinois Marriage | 5 | | and Dissolution of Marriage Act on or after February 26, | 6 | | 2014, or both; | 7 | | may, within a period of one year beginning 5 months after the | 8 | | effective date of this amendatory Act of the 99th General | 9 | | Assembly, make an election to re-establish rights to a
| 10 | | surviving spouse annuity under Sections 7-154 through 7-158 | 11 | | (notwithstanding
the eligibility requirements of paragraph | 12 | | (a)(1) of Section 7-154), by paying to the
Fund: (1) the total | 13 | | amount of the refund received for survivor credits; and (2)
| 14 | | interest thereon at the actuarially assumed rate of return from | 15 | | the date of the refund to the date of
payment. Such election | 16 | | must be made prior to the date of death of the annuitant. | 17 | | The Fund may allow the annuitant to repay this refund over | 18 | | a period of not more
than 24 months. To the extent permitted by | 19 | | the Internal Revenue Code of 1986, as amended, for federal and | 20 | | State tax purposes, if a member pays in monthly
installments by | 21 | | reducing the monthly benefit by the amount of the otherwise
| 22 | | applicable contribution, the monthly amount by which the | 23 | | annuitant's benefit is
reduced shall not be treated as a | 24 | | contribution by the annuitant but rather as a
reduction of the | 25 | | annuitant's monthly benefit. | 26 | | If an annuitant makes an election under this subsection (c) |
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| 1 | | and the contributions
required are not paid in full, an | 2 | | otherwise qualifying spouse shall be given the
option to make | 3 | | an additional lump sum payment of the remaining contributions
| 4 | | and qualify for a surviving spouse annuity. Otherwise, an | 5 | | additional refund
representing contributions made hereunder | 6 | | shall be paid at the annuitant's death
and there shall be no | 7 | | surviving spouse annuity paid. | 8 | | (d) Any surviving spouse of an annuitant who (1) retired | 9 | | prior to June 1, 2011, (2) was not married on the date the | 10 | | retirement annuity began, (3) received a refund of survivor | 11 | | credits under subsection (a), and (4) died prior to the | 12 | | implementation of Public Act 99-682 on December 29, 2016 may, | 13 | | within a period of one year beginning 5 months after the | 14 | | effective date of this amendatory Act of the 101st General | 15 | | Assembly, make an election to re-establish rights to a | 16 | | surviving spouse annuity under Sections 7-154 through 7-158 | 17 | | (notwithstanding the eligibility requirements of paragraph (a) | 18 | | of subsection (1) of Section 7-154), by paying to the Fund: (i) | 19 | | the total amount of the refund received for survivor credits; | 20 | | and (ii) interest thereon at the actuarially assumed rate of | 21 | | return from the date of the refund to the date of payment. The | 22 | | surviving spouse must also provide documentation proving he or | 23 | | she was married to the annuitant or a party to a civil union | 24 | | with the annuitant at the time of death and has not | 25 | | subsequently remarried. This proof must include a marriage | 26 | | certificate or a certificate for a civil union and any other |
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| 1 | | supporting documents deemed necessary by the Fund. | 2 | | (Source: P.A. 99-682, eff. 7-29-16.)
| 3 | | Section 99. Effective date. This Act takes effect upon | 4 | | becoming law.".
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