HB4197 102ND GENERAL ASSEMBLY

  
  

 


 
102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB4197

 

Introduced 10/27/2021, by Rep. Michael J. Zalewski

 

SYNOPSIS AS INTRODUCED:
 
40 ILCS 5/11-215  from Ch. 108 1/2, par. 11-215

    Amends the Chicago Laborers Article of the Illinois Pension Code. In provisions concerning contributions for leaves of absence during which a participant is employed by a local labor organization, provides that for levy year 2017 and until the effective date of the amendatory Act, the participant, or the labor organization on the participant's behalf, shall make employer contributions equal to the contributions the participant would have made if the participant was an active employee. Provides that beginning after the effective date of the amendatory Act, the participant, or the labor organization on the participant's behalf, shall make employer contributions equal to the difference between the amount contributed by the participant as though the participant was an active employee and the normal cost, which shall be calculated by the Fund's actuary on an aggregate basis specific to the participant's Tier based on the Fund's most recent actuarial valuation and shall be effective on each July 1 after the Board certifies the amount of the contribution to the participant. Effective immediately.


LRB102 19594 RPS 28362 b

FISCAL NOTE ACT MAY APPLY
PENSION IMPACT NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB4197LRB102 19594 RPS 28362 b

1    AN ACT concerning public employee benefits.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Pension Code is amended by
5changing Section 11-215 as follows:
 
6    (40 ILCS 5/11-215)  (from Ch. 108 1/2, par. 11-215)
7    Sec. 11-215. Computation of service.
8    (a) In computing the term of service of an employee prior
9to the effective date, the entire period beginning on the date
10he was first appointed and ending on the day before the
11effective date, except any intervening period during which he
12was separated by withdrawal from service, shall be counted for
13all purposes of this Article. Only the first year of each
14period of lay-off or leave of absence without pay, continuing
15or extending for a period in excess of one year, shall be
16counted as such service.
17    (b) For a person employed by an employer for whom this
18Article was in effect prior to August 1, 1949, from whose
19salary deductions are first made under this Article after July
2031, 1949, any period of service rendered prior to the
21effective date, unless he was in service on the day before the
22effective date, shall not be counted as service.
23    (c) In computing the term of service of an employee

 

 

HB4197- 2 -LRB102 19594 RPS 28362 b

1subsequent to the day before the effective date, the following
2periods of time shall be counted as periods of service for
3annuity purposes:
4        (1) the time during which he performed the duties of
5    his position;
6        (2) leaves of absence with whole or part pay, and
7    leaves of absence without pay not longer than 90 days;
8        (3) leaves of absence without pay that begin before
9    the effective date of this amendatory Act of the 97th
10    General Assembly and during which a participant is
11    employed full-time by a local labor organization that
12    represents municipal employees, provided that:
13            (A) the participant continues to make employee
14        contributions to the Fund as though he were an active
15        employee, based on the regular salary rate received by
16        the participant for his municipal employment
17        immediately prior to such leave of absence (and in the
18        case of such employment prior to December 9, 1987,
19        pays to the Fund an amount equal to the employee
20        contributions for such employment plus regular
21        interest thereon as calculated by the board), and
22        based on his current salary with such labor
23        organization after the effective date of this
24        amendatory Act of 1991; ,
25            (B) after January 1, 1989 the participant, or the
26        labor organization on the participant's behalf, makes

 

 

HB4197- 3 -LRB102 19594 RPS 28362 b

1        contributions to the Fund as though it were the
2        employer, as follows:
3                (i) after January 1, 1989 and prior to levy
4            year 2017, in the same amount and same manner as
5            specified under this Article, based on the regular
6            salary rate received by the participant for his
7            municipal employment immediately prior to such
8            leave of absence, and based on his current salary
9            with such labor organization after the effective
10            date of this amendatory Act of 1991;
11                (ii) beginning in levy year 2017 and until the
12            effective date of this amendatory Act of the 102nd
13            General Assembly, in an amount equal to the
14            contribution by the participant under subparagraph
15            (A) of this paragraph; and
16                (iii) on and after the effective date of this
17            amendatory Act of the 102nd General Assembly, in
18            an amount equal to the difference between the
19            contribution by the participant under subparagraph
20            (A) of this paragraph and the normal cost, which
21            shall be calculated by the Fund's actuary on an
22            aggregate basis specific to the participant's Tier
23            based on the Fund's most recent actuarial
24            valuation and shall be effective on each July 1
25            after the Board certifies the amount of the
26            contribution to the participant; , and

 

 

HB4197- 4 -LRB102 19594 RPS 28362 b

1            (C) the participant does not receive credit in any
2        pension plan established by the local labor
3        organization based on his employment by the
4        organization;
5        (4) any period of disability for which he received (i)
6    a disability benefit under this Article, or (ii) a
7    temporary total disability benefit under the Workers'
8    Compensation Act if the disability results from a
9    condition commonly termed heart attack or stroke or any
10    other condition falling within the broad field of coronary
11    involvement or heart disease, or (iii) whole or part pay.
12    (d) For a person employed by an employer, or the
13retirement board, in which "The 1935 Act" was in effect prior
14to August 1, 1949, from whose salary deductions are first made
15under "The 1935 Act" or this Article after July 31, 1949, any
16period of service rendered subsequent to the effective date
17and prior to August 1, 1949, shall not be counted as a period
18of service under this Article, except such period for which he
19made payment, as provided in Section 11-221 of this Article,
20in which case such period shall be counted as a period of
21service for all annuity purposes hereunder.
22    (e) In computing the term of service of an employee
23subsequent to the day before the effective date for ordinary
24disability benefit purposes, the following periods of time
25shall be counted as periods of service:
26        (1) any period during which he performed the duties of

 

 

HB4197- 5 -LRB102 19594 RPS 28362 b

1    his position;
2        (2) leaves of absence with whole or part pay;
3        (3) any period of disability for which he received (i)
4    a duty disability benefit under this Article, or (ii) a
5    temporary total disability benefit under the Workers'
6    Compensation Act if the disability results from a
7    condition commonly termed heart attack or stroke or any
8    other condition falling within the broad field of coronary
9    involvement or heart disease, or (iii) whole or part pay.
10    However, any period of service rendered by an employee
11contributor prior to the date he became a contributor to the
12fund shall not be counted as a period of service for ordinary
13disability purposes, unless the person made payment for the
14period as provided in Section 11-221 of this Article, in which
15case the period shall be counted as a period of service for
16ordinary disability purposes for periods of disability on or
17after the effective date of this amendatory Act of 1997.
18    Overtime or extra service shall not be included in
19computing any term of service. Not more than 1 year of service
20shall be allowed for service rendered during any calendar
21year.
22    For the purposes of this Section, the phrase "any pension
23plan established by the local labor organization" means any
24pension plan in which a participant may receive credit as a
25result of his or her membership in the local labor
26organization, including, but not limited to, the local labor

 

 

HB4197- 6 -LRB102 19594 RPS 28362 b

1organization itself and its affiliates at the local,
2intrastate, State, multi-state, national, or international
3level. The definition of this phrase is a declaration of
4existing law and shall not be construed as a new enactment.
5(Source: P.A. 97-651, eff. 1-5-12.)
 
6    Section 99. Effective date. This Act takes effect upon
7becoming law.