Illinois General Assembly - Full Text of SB3197
Illinois General Assembly

  Bills & Resolutions  
  Compiled Statutes  
  Public Acts  
  Legislative Reports  
  IL Constitution  
  Legislative Guide  
  Legislative Glossary  

 Search By Number
 (example: HB0001)
Search Tips

Search By Keyword

Full Text of SB3197  102nd General Assembly

SB3197eng 102ND GENERAL ASSEMBLY

  
  
  

 


 
SB3197 EngrossedLRB102 25208 SPS 34478 b

1    AN ACT concerning employment.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The State Employees Group Insurance Act of 1971
5is amended by changing Section 3 as follows:
 
6    (5 ILCS 375/3)  (from Ch. 127, par. 523)
7    Sec. 3. Definitions. Unless the context otherwise
8requires, the following words and phrases as used in this Act
9shall have the following meanings. The Department may define
10these and other words and phrases separately for the purpose
11of implementing specific programs providing benefits under
12this Act.
13    (a) "Administrative service organization" means any
14person, firm or corporation experienced in the handling of
15claims which is fully qualified, financially sound and capable
16of meeting the service requirements of a contract of
17administration executed with the Department.
18    (b) "Annuitant" means (1) an employee who retires, or has
19retired, on or after January 1, 1966 on an immediate annuity
20under the provisions of Articles 2, 14 (including an employee
21who has elected to receive an alternative retirement
22cancellation payment under Section 14-108.5 of the Illinois
23Pension Code in lieu of an annuity or who meets the criteria

 

 

SB3197 Engrossed- 2 -LRB102 25208 SPS 34478 b

1for retirement, but in lieu of receiving an annuity under that
2Article has elected to receive an accelerated pension benefit
3payment under Section 14-147.5 of that Article), 15 (including
4an employee who has retired under the optional retirement
5program established under Section 15-158.2 or who meets the
6criteria for retirement but in lieu of receiving an annuity
7under that Article has elected to receive an accelerated
8pension benefit payment under Section 15-185.5 of the
9Article), paragraph paragraphs (2), (3), or (5) of Section
1016-106 (including an employee who meets the criteria for
11retirement, but in lieu of receiving an annuity under that
12Article has elected to receive an accelerated pension benefit
13payment under Section 16-190.5 of the Illinois Pension Code),
14or Article 18 of the Illinois Pension Code; (2) any person who
15was receiving group insurance coverage under this Act as of
16March 31, 1978 by reason of his status as an annuitant, even
17though the annuity in relation to which such coverage was
18provided is a proportional annuity based on less than the
19minimum period of service required for a retirement annuity in
20the system involved; (3) any person not otherwise covered by
21this Act who has retired as a participating member under
22Article 2 of the Illinois Pension Code but is ineligible for
23the retirement annuity under Section 2-119 of the Illinois
24Pension Code; (4) the spouse of any person who is receiving a
25retirement annuity under Article 18 of the Illinois Pension
26Code and who is covered under a group health insurance program

 

 

SB3197 Engrossed- 3 -LRB102 25208 SPS 34478 b

1sponsored by a governmental employer other than the State of
2Illinois and who has irrevocably elected to waive his or her
3coverage under this Act and to have his or her spouse
4considered as the "annuitant" under this Act and not as a
5"dependent"; or (5) an employee who retires, or has retired,
6from a qualified position, as determined according to rules
7promulgated by the Director, under a qualified local
8government, a qualified rehabilitation facility, a qualified
9domestic violence shelter or service, or a qualified child
10advocacy center. (For definition of "retired employee", see
11(p) post).
12    (b-5) (Blank).
13    (b-6) (Blank).
14    (b-7) (Blank).
15    (c) "Carrier" means (1) an insurance company, a
16corporation organized under the Limited Health Service
17Organization Act or the Voluntary Health Services Plans Act, a
18partnership, or other nongovernmental organization, which is
19authorized to do group life or group health insurance business
20in Illinois, or (2) the State of Illinois as a self-insurer.
21    (d) "Compensation" means salary or wages payable on a
22regular payroll by the State Treasurer on a warrant of the
23State Comptroller out of any State, trust or federal fund, or
24by the Governor of the State through a disbursing officer of
25the State out of a trust or out of federal funds, or by any
26Department out of State, trust, federal or other funds held by

 

 

SB3197 Engrossed- 4 -LRB102 25208 SPS 34478 b

1the State Treasurer or the Department, to any person for
2personal services currently performed, and ordinary or
3accidental disability benefits under Articles 2, 14, 15
4(including ordinary or accidental disability benefits under
5the optional retirement program established under Section
615-158.2), paragraph paragraphs (2), (3), or (5) of Section
716-106, or Article 18 of the Illinois Pension Code, for
8disability incurred after January 1, 1966, or benefits payable
9under the Workers' Compensation or Occupational Diseases Act
10or benefits payable under a sick pay plan established in
11accordance with Section 36 of the State Finance Act.
12"Compensation" also means salary or wages paid to an employee
13of any qualified local government, qualified rehabilitation
14facility, qualified domestic violence shelter or service, or
15qualified child advocacy center.
16    (e) "Commission" means the State Employees Group Insurance
17Advisory Commission authorized by this Act. Commencing July 1,
181984, "Commission" as used in this Act means the Commission on
19Government Forecasting and Accountability as established by
20the Legislative Commission Reorganization Act of 1984.
21    (f) "Contributory", when referred to as contributory
22coverage, shall mean optional coverages or benefits elected by
23the member toward the cost of which such member makes
24contribution, or which are funded in whole or in part through
25the acceptance of a reduction in earnings or the foregoing of
26an increase in earnings by an employee, as distinguished from

 

 

SB3197 Engrossed- 5 -LRB102 25208 SPS 34478 b

1noncontributory coverage or benefits which are paid entirely
2by the State of Illinois without reduction of the member's
3salary.
4    (g) "Department" means any department, institution, board,
5commission, officer, court or any agency of the State
6government receiving appropriations and having power to
7certify payrolls to the Comptroller authorizing payments of
8salary and wages against such appropriations as are made by
9the General Assembly from any State fund, or against trust
10funds held by the State Treasurer and includes boards of
11trustees of the retirement systems created by Articles 2, 14,
1215, 16, and 18 of the Illinois Pension Code. "Department" also
13includes the Illinois Comprehensive Health Insurance Board,
14the Board of Examiners established under the Illinois Public
15Accounting Act, and the Illinois Finance Authority.
16    (h) "Dependent", when the term is used in the context of
17the health and life plan, means a member's spouse and any child
18(1) from birth to age 26 including an adopted child, a child
19who lives with the member from the time of the placement for
20adoption until entry of an order of adoption, a stepchild or
21adjudicated child, or a child who lives with the member if such
22member is a court appointed guardian of the child or (2) age 19
23or over who has a mental or physical disability from a cause
24originating prior to the age of 19 (age 26 if enrolled as an
25adult child dependent). For the health plan only, the term
26"dependent" also includes (1) any person enrolled prior to the

 

 

SB3197 Engrossed- 6 -LRB102 25208 SPS 34478 b

1effective date of this Section who is dependent upon the
2member to the extent that the member may claim such person as a
3dependent for income tax deduction purposes and (2) any person
4who has received after June 30, 2000 an organ transplant and
5who is financially dependent upon the member and eligible to
6be claimed as a dependent for income tax purposes. A member
7requesting to cover any dependent must provide documentation
8as requested by the Department of Central Management Services
9and file with the Department any and all forms required by the
10Department.
11    (i) "Director" means the Director of the Illinois
12Department of Central Management Services.
13    (j) "Eligibility period" means the period of time a member
14has to elect enrollment in programs or to select benefits
15without regard to age, sex or health.
16    (k) "Employee" means and includes each officer or employee
17in the service of a department who (1) receives his
18compensation for service rendered to the department on a
19warrant issued pursuant to a payroll certified by a department
20or on a warrant or check issued and drawn by a department upon
21a trust, federal or other fund or on a warrant issued pursuant
22to a payroll certified by an elected or duly appointed officer
23of the State or who receives payment of the performance of
24personal services on a warrant issued pursuant to a payroll
25certified by a Department and drawn by the Comptroller upon
26the State Treasurer against appropriations made by the General

 

 

SB3197 Engrossed- 7 -LRB102 25208 SPS 34478 b

1Assembly from any fund or against trust funds held by the State
2Treasurer, and (2) is employed full-time or part-time in a
3position normally requiring actual performance of duty during
4not less than 1/2 of a normal work period, as established by
5the Director in cooperation with each department, except that
6persons elected by popular vote will be considered employees
7during the entire term for which they are elected regardless
8of hours devoted to the service of the State, and (3) except
9that "employee" does not include any person who is not
10eligible by reason of such person's employment to participate
11in one of the State retirement systems under Articles 2, 14, 15
12(either the regular Article 15 system or the optional
13retirement program established under Section 15-158.2), or 18,
14or under paragraph (2), (3), or (5) of Section 16-106, of the
15Illinois Pension Code, but such term does include persons who
16are employed during the 6-month 6 month qualifying period
17under Article 14 of the Illinois Pension Code. Such term also
18includes any person who (1) after January 1, 1966, is
19receiving ordinary or accidental disability benefits under
20Articles 2, 14, 15 (including ordinary or accidental
21disability benefits under the optional retirement program
22established under Section 15-158.2), paragraph paragraphs (2),
23(3), or (5) of Section 16-106, or Article 18 of the Illinois
24Pension Code, for disability incurred after January 1, 1966,
25(2) receives total permanent or total temporary disability
26under the Workers' Compensation Act or Occupational Disease

 

 

SB3197 Engrossed- 8 -LRB102 25208 SPS 34478 b

1Act as a result of injuries sustained or illness contracted in
2the course of employment with the State of Illinois, or (3) is
3not otherwise covered under this Act and has retired as a
4participating member under Article 2 of the Illinois Pension
5Code but is ineligible for the retirement annuity under
6Section 2-119 of the Illinois Pension Code. However, a person
7who satisfies the criteria of the foregoing definition of
8"employee" except that such person is made ineligible to
9participate in the State Universities Retirement System by
10clause (4) of subsection (a) of Section 15-107 of the Illinois
11Pension Code is also an "employee" for the purposes of this
12Act. "Employee" also includes any person receiving or eligible
13for benefits under a sick pay plan established in accordance
14with Section 36 of the State Finance Act. "Employee" also
15includes (i) each officer or employee in the service of a
16qualified local government, including persons appointed as
17trustees of sanitary districts regardless of hours devoted to
18the service of the sanitary district, (ii) each employee in
19the service of a qualified rehabilitation facility, (iii) each
20full-time employee in the service of a qualified domestic
21violence shelter or service, and (iv) each full-time employee
22in the service of a qualified child advocacy center, as
23determined according to rules promulgated by the Director.
24    (l) "Member" means an employee, annuitant, retired
25employee, or survivor. In the case of an annuitant or retired
26employee who first becomes an annuitant or retired employee on

 

 

SB3197 Engrossed- 9 -LRB102 25208 SPS 34478 b

1or after January 13, 2012 (the effective date of Public Act
297-668), the individual must meet the minimum vesting
3requirements of the applicable retirement system in order to
4be eligible for group insurance benefits under that system. In
5the case of a survivor who is not entitled to occupational
6death benefits pursuant to an applicable retirement system,
7and who first becomes a survivor on or after January 13, 2012
8(the effective date of Public Act 97-668), the deceased
9employee, annuitant, or retired employee upon whom the annuity
10is based must have been eligible to participate in the group
11insurance system under the applicable retirement system in
12order for the survivor to be eligible for group insurance
13benefits under that system.
14    In the case of a survivor who is entitled to occupational
15death benefits pursuant to the deceased employee's applicable
16retirement system and first becomes a survivor on or after
17January 1, 2022, the survivor is eligible for group health
18insurance benefits regardless of the deceased employee's
19minimum vesting requirements under the applicable retirement
20system, with a State contribution rate of 100%, until an
21unmarried child dependent reaches the age of 18, or the age of
2222 if the dependent child is a full-time student, or until the
23adult survivor becomes eligible for benefits under the federal
24Medicare health insurance program (Title XVIII of the Social
25Security Act, as added by Public Law 89-97). In the case of a
26survivor currently receiving occupational death benefits

 

 

SB3197 Engrossed- 10 -LRB102 25208 SPS 34478 b

1pursuant to the deceased employee's applicable retirement
2system who first became a survivor prior to January 1, 2022,
3the survivor is eligible for group health insurance benefits
4regardless of the deceased employee's minimum vesting
5requirements under the applicable retirement system, with a
6State contribution rate of 100%, until an unmarried child
7dependent reaches the age of 18, or the age of 22 if the
8dependent child is a full-time student, or until the adult
9survivor becomes eligible for benefits under the federal
10Medicare health insurance program (Title XVIII of the Social
11Security Act, as added by Public Law 89-97). The changes made
12by this amendatory Act of the 102nd General Assembly with
13respect to survivors who first became survivors prior to
14January 1, 2022 shall apply upon request of the survivor on or
15after the effective date of this amendatory Act of the 102nd
16General Assembly.
17    (m) "Optional coverages or benefits" means those coverages
18or benefits available to the member on his or her voluntary
19election, and at his or her own expense.
20    (n) "Program" means the group life insurance, health
21benefits and other employee benefits designed and contracted
22for by the Director under this Act.
23    (o) "Health plan" means a health benefits program offered
24by the State of Illinois for persons eligible for the plan.
25    (p) "Retired employee" means any person who would be an
26annuitant as that term is defined herein but for the fact that

 

 

SB3197 Engrossed- 11 -LRB102 25208 SPS 34478 b

1such person retired prior to January 1, 1966. Such term also
2includes any person formerly employed by the University of
3Illinois in the Cooperative Extension Service who would be an
4annuitant but for the fact that such person was made
5ineligible to participate in the State Universities Retirement
6System by clause (4) of subsection (a) of Section 15-107 of the
7Illinois Pension Code.
8    (q) "Survivor" means a person receiving an annuity as a
9survivor of an employee or of an annuitant. "Survivor" also
10includes: (1) the surviving dependent of a person who
11satisfies the definition of "employee" except that such person
12is made ineligible to participate in the State Universities
13Retirement System by clause (4) of subsection (a) of Section
1415-107 of the Illinois Pension Code; (2) the surviving
15dependent of any person formerly employed by the University of
16Illinois in the Cooperative Extension Service who would be an
17annuitant except for the fact that such person was made
18ineligible to participate in the State Universities Retirement
19System by clause (4) of subsection (a) of Section 15-107 of the
20Illinois Pension Code; (3) the surviving dependent of a person
21who was an annuitant under this Act by virtue of receiving an
22alternative retirement cancellation payment under Section
2314-108.5 of the Illinois Pension Code; and (4) a person who
24would be receiving an annuity as a survivor of an annuitant
25except that the annuitant elected on or after June 4, 2018 to
26receive an accelerated pension benefit payment under Section

 

 

SB3197 Engrossed- 12 -LRB102 25208 SPS 34478 b

114-147.5, 15-185.5, or 16-190.5 of the Illinois Pension Code
2in lieu of receiving an annuity.
3    (q-2) "SERS" means the State Employees' Retirement System
4of Illinois, created under Article 14 of the Illinois Pension
5Code.
6    (q-3) "SURS" means the State Universities Retirement
7System, created under Article 15 of the Illinois Pension Code.
8    (q-4) "TRS" means the Teachers' Retirement System of the
9State of Illinois, created under Article 16 of the Illinois
10Pension Code.
11    (q-5) (Blank).
12    (q-6) (Blank).
13    (q-7) (Blank).
14    (r) "Medical services" means the services provided within
15the scope of their licenses by practitioners in all categories
16licensed under the Medical Practice Act of 1987.
17    (s) "Unit of local government" means any county,
18municipality, township, school district (including a
19combination of school districts under the Intergovernmental
20Cooperation Act), special district or other unit, designated
21as a unit of local government by law, which exercises limited
22governmental powers or powers in respect to limited
23governmental subjects, any not-for-profit association with a
24membership that primarily includes townships and township
25officials, that has duties that include provision of research
26service, dissemination of information, and other acts for the

 

 

SB3197 Engrossed- 13 -LRB102 25208 SPS 34478 b

1purpose of improving township government, and that is funded
2wholly or partly in accordance with Section 85-15 of the
3Township Code; any not-for-profit corporation or association,
4with a membership consisting primarily of municipalities, that
5operates its own utility system, and provides research,
6training, dissemination of information, or other acts to
7promote cooperation between and among municipalities that
8provide utility services and for the advancement of the goals
9and purposes of its membership; the Southern Illinois
10Collegiate Common Market, which is a consortium of higher
11education institutions in Southern Illinois; the Illinois
12Association of Park Districts; and any hospital provider that
13is owned by a county that has 100 or fewer hospital beds and
14has not already joined the program. "Qualified local
15government" means a unit of local government approved by the
16Director and participating in a program created under
17subsection (i) of Section 10 of this Act.
18    (t) "Qualified rehabilitation facility" means any
19not-for-profit organization that is accredited by the
20Commission on Accreditation of Rehabilitation Facilities or
21certified by the Department of Human Services (as successor to
22the Department of Mental Health and Developmental
23Disabilities) to provide services to persons with disabilities
24and which receives funds from the State of Illinois for
25providing those services, approved by the Director and
26participating in a program created under subsection (j) of

 

 

SB3197 Engrossed- 14 -LRB102 25208 SPS 34478 b

1Section 10 of this Act.
2    (u) "Qualified domestic violence shelter or service" means
3any Illinois domestic violence shelter or service and its
4administrative offices funded by the Department of Human
5Services (as successor to the Illinois Department of Public
6Aid), approved by the Director and participating in a program
7created under subsection (k) of Section 10.
8    (v) "TRS benefit recipient" means a person who:
9        (1) is not a "member" as defined in this Section; and
10        (2) is receiving a monthly benefit or retirement
11    annuity under Article 16 of the Illinois Pension Code or
12    would be receiving such monthly benefit or retirement
13    annuity except that the benefit recipient elected on or
14    after June 4, 2018 to receive an accelerated pension
15    benefit payment under Section 16-190.5 of the Illinois
16    Pension Code in lieu of receiving an annuity; and
17        (3) either (i) has at least 8 years of creditable
18    service under Article 16 of the Illinois Pension Code, or
19    (ii) was enrolled in the health insurance program offered
20    under that Article on January 1, 1996, or (iii) is the
21    survivor of a benefit recipient who had at least 8 years of
22    creditable service under Article 16 of the Illinois
23    Pension Code or was enrolled in the health insurance
24    program offered under that Article on June 21, 1995 (the
25    effective date of Public Act 89-25), or (iv) is a
26    recipient or survivor of a recipient of a disability

 

 

SB3197 Engrossed- 15 -LRB102 25208 SPS 34478 b

1    benefit under Article 16 of the Illinois Pension Code.
2    (w) "TRS dependent beneficiary" means a person who:
3        (1) is not a "member" or "dependent" as defined in
4    this Section; and
5        (2) is a TRS benefit recipient's: (A) spouse, (B)
6    dependent parent who is receiving at least half of his or
7    her support from the TRS benefit recipient, or (C)
8    natural, step, adjudicated, or adopted child who is (i)
9    under age 26, (ii) was, on January 1, 1996, participating
10    as a dependent beneficiary in the health insurance program
11    offered under Article 16 of the Illinois Pension Code, or
12    (iii) age 19 or over who has a mental or physical
13    disability from a cause originating prior to the age of 19
14    (age 26 if enrolled as an adult child).
15    "TRS dependent beneficiary" does not include, as indicated
16under paragraph (2) of this subsection (w), a dependent of the
17survivor of a TRS benefit recipient who first becomes a
18dependent of a survivor of a TRS benefit recipient on or after
19January 13, 2012 (the effective date of Public Act 97-668)
20unless that dependent would have been eligible for coverage as
21a dependent of the deceased TRS benefit recipient upon whom
22the survivor benefit is based.
23    (x) "Military leave" refers to individuals in basic
24training for reserves, special/advanced training, annual
25training, emergency call up, activation by the President of
26the United States, or any other training or duty in service to

 

 

SB3197 Engrossed- 16 -LRB102 25208 SPS 34478 b

1the United States Armed Forces.
2    (y) (Blank).
3    (z) "Community college benefit recipient" means a person
4who:
5        (1) is not a "member" as defined in this Section; and
6        (2) is receiving a monthly survivor's annuity or
7    retirement annuity under Article 15 of the Illinois
8    Pension Code or would be receiving such monthly survivor's
9    annuity or retirement annuity except that the benefit
10    recipient elected on or after June 4, 2018 to receive an
11    accelerated pension benefit payment under Section 15-185.5
12    of the Illinois Pension Code in lieu of receiving an
13    annuity; and
14        (3) either (i) was a full-time employee of a community
15    college district or an association of community college
16    boards created under the Public Community College Act
17    (other than an employee whose last employer under Article
18    15 of the Illinois Pension Code was a community college
19    district subject to Article VII of the Public Community
20    College Act) and was eligible to participate in a group
21    health benefit plan as an employee during the time of
22    employment with a community college district (other than a
23    community college district subject to Article VII of the
24    Public Community College Act) or an association of
25    community college boards, or (ii) is the survivor of a
26    person described in item (i).

 

 

SB3197 Engrossed- 17 -LRB102 25208 SPS 34478 b

1    (aa) "Community college dependent beneficiary" means a
2person who:
3        (1) is not a "member" or "dependent" as defined in
4    this Section; and
5        (2) is a community college benefit recipient's: (A)
6    spouse, (B) dependent parent who is receiving at least
7    half of his or her support from the community college
8    benefit recipient, or (C) natural, step, adjudicated, or
9    adopted child who is (i) under age 26, or (ii) age 19 or
10    over and has a mental or physical disability from a cause
11    originating prior to the age of 19 (age 26 if enrolled as
12    an adult child).
13    "Community college dependent beneficiary" does not
14include, as indicated under paragraph (2) of this subsection
15(aa), a dependent of the survivor of a community college
16benefit recipient who first becomes a dependent of a survivor
17of a community college benefit recipient on or after January
1813, 2012 (the effective date of Public Act 97-668) unless that
19dependent would have been eligible for coverage as a dependent
20of the deceased community college benefit recipient upon whom
21the survivor annuity is based.
22    (bb) "Qualified child advocacy center" means any Illinois
23child advocacy center and its administrative offices funded by
24the Department of Children and Family Services, as defined by
25the Children's Advocacy Center Act (55 ILCS 80/), approved by
26the Director and participating in a program created under

 

 

SB3197 Engrossed- 18 -LRB102 25208 SPS 34478 b

1subsection (n) of Section 10.
2    (cc) "Placement for adoption" means the assumption and
3retention by a member of a legal obligation for total or
4partial support of a child in anticipation of adoption of the
5child. The child's placement with the member terminates upon
6the termination of such legal obligation.
7(Source: P.A. 101-242, eff. 8-9-19; 102-558, eff. 8-20-21;
8revised 12-2-21.)
 
9    Section 99. Effective date. This Act takes effect upon
10becoming law.