Full Text of SB1116 103rd General Assembly
SB1116sam001 103RD GENERAL ASSEMBLY | Sen. Win Stoller Filed: 3/23/2023
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| 1 | | AMENDMENT TO SENATE BILL 1116
| 2 | | AMENDMENT NO. ______. Amend Senate Bill 1116 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. The Illinois Pension Code is amended by | 5 | | changing Sections 14-104 and 14-152.1 as follows: | 6 | | (40 ILCS 5/14-104) (from Ch. 108 1/2, par. 14-104) | 7 | | Sec. 14-104. Service for which contributions permitted.
| 8 | | Contributions provided for in this Section shall cover the | 9 | | period of
service granted. Except as otherwise provided in | 10 | | this Section, the
contributions shall be based upon the | 11 | | employee's compensation and
contribution rate in effect on the | 12 | | date he last became a member of the
System; provided that for | 13 | | all employment prior to January 1, 1969 the
contribution rate | 14 | | shall be that in effect for a noncovered employee on
the date | 15 | | he last became a member of the System. Except as otherwise | 16 | | provided
in this Section, contributions permitted under this |
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| 1 | | Section shall include
regular interest from the date an | 2 | | employee last became a member of the System
to the date of | 3 | | payment.
| 4 | | These contributions must be paid in full before retirement | 5 | | either in
a lump sum or in installment payments in accordance | 6 | | with such rules as
may be adopted by the board.
| 7 | | (a) Any member may make contributions as required in this | 8 | | Section
for any period of service, subsequent to the date of | 9 | | establishment, but
prior to the date of membership.
| 10 | | (b) Any employee who had been previously excluded from | 11 | | membership
because of age at entry and subsequently became | 12 | | eligible may elect to
make contributions as required in this | 13 | | Section for the period of service
during which he was | 14 | | ineligible.
| 15 | | (c) An employee of the Department of Insurance who, after | 16 | | January 1,
1944 but prior to becoming eligible for membership, | 17 | | received salary from
funds of insurance companies in the | 18 | | process of rehabilitation,
liquidation, conservation or | 19 | | dissolution, may elect to make
contributions as required in | 20 | | this Section for such service.
| 21 | | (d) Any employee who rendered service in a State office to | 22 | | which he
was elected, or rendered service in the elective | 23 | | office of Clerk of the
Appellate Court prior to the date he | 24 | | became a member, may make
contributions for such service as | 25 | | required in this Section. Any member
who served by appointment | 26 | | of the Governor under the Civil Administrative
Code of |
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| 1 | | Illinois and did not participate in this System may make
| 2 | | contributions as required in this Section for such service.
| 3 | | (e) Any person employed by the United States government or | 4 | | any
instrumentality or agency thereof from January 1, 1942 | 5 | | through November
15, 1946 as the result of a transfer from | 6 | | State service by executive
order of the President of the | 7 | | United States shall be entitled to prior
service credit | 8 | | covering the period from January 1, 1942 through December
31, | 9 | | 1943 as provided for in this Article and to membership service
| 10 | | credit for the period from January 1, 1944 through November | 11 | | 15, 1946 by
making the contributions required in this Section. | 12 | | A person so employed
on January 1, 1944 but whose employment | 13 | | began after January 1, 1942 may
qualify for prior service and | 14 | | membership service credit under the same
conditions.
| 15 | | (f) An employee of the Department of Labor of the State of | 16 | | Illinois who
performed services for and under the supervision | 17 | | of that Department
prior to January 1, 1944 but who was | 18 | | compensated for those services
directly by federal funds and | 19 | | not by a warrant of the Auditor of Public
Accounts paid by the | 20 | | State Treasurer may establish credit for such
employment by | 21 | | making the contributions required in this Section. An
employee | 22 | | of the Department of Agriculture of the State of Illinois, who
| 23 | | performed services for and under the supervision of that | 24 | | Department
prior to June 1, 1963, but was compensated for | 25 | | those services directly
by federal funds and not paid by a | 26 | | warrant of the Auditor of Public
Accounts paid by the State |
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| 1 | | Treasurer, and who did not contribute to any
other public | 2 | | employee retirement system for such service, may establish
| 3 | | credit for such employment by making the contributions | 4 | | required in this
Section.
| 5 | | (g) Any employee who executed a waiver of membership | 6 | | within
60 days prior to January 1, 1944 may, at any time while | 7 | | in the service of a
department, file with the board a | 8 | | rescission of such waiver. Upon
making the contributions | 9 | | required by this Section, the member shall be
granted the | 10 | | creditable service that would have been received if the
waiver | 11 | | had not been executed.
| 12 | | (h) Until May 1, 1990, an employee who was employed on a | 13 | | full-time
basis by a regional planning commission for at least | 14 | | 5 continuous years may
establish creditable service for such | 15 | | employment by making the
contributions required under this | 16 | | Section, provided that any credits earned
by the employee in | 17 | | the commission's retirement plan have been terminated.
| 18 | | (i) Any person who rendered full time contractual services | 19 | | to the General
Assembly as a member of a legislative staff may | 20 | | establish service credit for up
to 8 years of such services by | 21 | | making the contributions required under this
Section, provided | 22 | | that application therefor is made not later than July 1,
1991.
| 23 | | (j) By paying the contributions otherwise required under | 24 | | this Section,
plus an amount determined by the Board to be | 25 | | equal to the employer's normal
cost of the benefit plus | 26 | | interest, but with all of the interest calculated
from the |
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| 1 | | date the employee last became a member of the System or | 2 | | November 19,
1991, whichever is later, to the date of payment, | 3 | | an employee may establish
service credit
for a period of up to | 4 | | 4 years spent in active military service for which he
does not | 5 | | qualify for credit under Section 14-105, provided that (1) he | 6 | | was
not dishonorably discharged from such military service, | 7 | | and (2) the amount
of service credit established by a member | 8 | | under this subsection (j), when
added to the amount of | 9 | | military service credit granted to the member under
subsection | 10 | | (b) of Section 14-105, shall not exceed 5 years. The change
in | 11 | | the manner of calculating interest under this subsection (j) | 12 | | made by this
amendatory Act of the 92nd General Assembly | 13 | | applies to credit purchased by an
employee on or after its | 14 | | effective date and does not entitle any person to a
refund of | 15 | | contributions or interest already paid.
In compliance with | 16 | | Section 14-152.1 of this Act concerning new benefit increases, | 17 | | any new benefit increase as a result of the changes to this | 18 | | subsection (j) made by Public Act 95-483
is funded through the | 19 | | employee contributions provided for in this subsection (j). | 20 | | Any new benefit increase as a result of the changes made to | 21 | | this subsection (j) by Public Act 95-483
is exempt from the | 22 | | provisions of subsection (d) of Section 14-152.1.
| 23 | | (k) An employee who was employed on a full-time basis by | 24 | | the Illinois
State's Attorneys Association Statewide Appellate | 25 | | Assistance Service
LEAA-ILEC grant project prior to the time | 26 | | that project became the State's
Attorneys Appellate Service |
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| 1 | | Commission, now the Office of the State's
Attorneys Appellate | 2 | | Prosecutor, an agency of State government, may
establish | 3 | | creditable service for not more than 60 months service for
| 4 | | such employment by making contributions required under this | 5 | | Section.
| 6 | | (l) By paying the contributions otherwise required under | 7 | | this Section,
plus an amount determined by the Board to be | 8 | | equal to the employer's normal
cost of the benefit plus | 9 | | interest, a member may establish service credit
for periods of | 10 | | less than one year spent on authorized leave of absence from
| 11 | | service, provided that (1) the period of leave began on or | 12 | | after January 1,
1982 and (2) any credit established by the | 13 | | member for the period of leave in
any other public employee | 14 | | retirement system has been terminated. A member
may establish | 15 | | service credit under this subsection for more than one period
| 16 | | of authorized leave, and in that case the total period of | 17 | | service credit
established by the member under this subsection | 18 | | may exceed one year. In
determining the contributions required | 19 | | for establishing service credit under
this subsection, the | 20 | | interest shall be calculated from the beginning of the
leave | 21 | | of absence to the date of payment.
| 22 | | (l-5) By paying the contributions otherwise required under | 23 | | this Section,
plus an amount determined by the Board to be | 24 | | equal to the employer's normal
cost of the benefit plus | 25 | | interest, a member may establish service credit
for periods of | 26 | | up to 2 years spent on authorized leave of absence from
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| 1 | | service, provided that during that leave the member | 2 | | represented or was employed as an officer or employee of a | 3 | | statewide labor organization that represents members of this | 4 | | System. In
determining the contributions required for | 5 | | establishing service credit under
this subsection, the | 6 | | interest shall be calculated from the beginning of the
leave | 7 | | of absence to the date of payment.
| 8 | | (m) Any person who rendered contractual services to a | 9 | | member of
the General Assembly as a worker in the member's | 10 | | district office may establish
creditable service for up to 3 | 11 | | years of those contractual services by making
the | 12 | | contributions required under this Section. The System shall | 13 | | determine a
full-time salary equivalent for the purpose of | 14 | | calculating the required
contribution. To establish credit | 15 | | under this subsection, the applicant must
apply to the System | 16 | | by March 1, 1998.
| 17 | | (n) Any person who rendered contractual services to a | 18 | | member of
the General Assembly as a worker providing | 19 | | constituent services to persons in
the member's district may | 20 | | establish
creditable service for up to 8 years of those | 21 | | contractual services by making
the contributions required | 22 | | under this Section. The System shall determine a
full-time | 23 | | salary equivalent for the purpose of calculating the required
| 24 | | contribution. To establish credit under this subsection, the | 25 | | applicant must
apply to the System by March 1, 1998.
| 26 | | (o) A member who participated in the Illinois Legislative |
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| 1 | | Staff
Internship Program may establish creditable service for | 2 | | up to one year
of that participation by making the | 3 | | contribution required under this Section.
The System shall | 4 | | determine a full-time salary equivalent for the purpose of
| 5 | | calculating the required contribution. Credit may not be | 6 | | established under
this subsection for any period for which | 7 | | service credit is established under
any other provision of | 8 | | this Code.
| 9 | | (p) By paying the contributions otherwise required under | 10 | | this Section,
plus an amount determined by the Board to be | 11 | | equal to the employer's normal
cost of the benefit plus | 12 | | interest, a member may establish service credit
for a period | 13 | | of up to 8 years during which he or she was employed by the
| 14 | | Visually Handicapped Managers of Illinois in a vending program | 15 | | operated under
a contractual agreement with the Department of | 16 | | Rehabilitation Services or its successor agency.
| 17 | | This subsection (p) applies without regard to whether the | 18 | | person was in service on or after the effective date of this | 19 | | amendatory Act of the 94th General Assembly. In the case of a | 20 | | person who is receiving a retirement annuity on that effective | 21 | | date, the increase, if any, shall begin to accrue on the first | 22 | | annuity payment date following receipt by the System of the | 23 | | contributions required under this subsection (p).
| 24 | | (q) By paying the required contributions under this | 25 | | Section, plus an amount determined by the Board to be equal to | 26 | | the employer's normal cost of the benefit plus interest, an |
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| 1 | | employee who was laid off but returned to any State employment | 2 | | may establish creditable service for the period of the layoff, | 3 | | provided that (1) the applicant applies for the creditable | 4 | | service under this subsection (q) within 6 months after the | 5 | | effective date of this amendatory Act of the 103rd General | 6 | | Assembly July 27, 2010 (the effective date of Public Act | 7 | | 96-1320) , (2) the applicant does not receive credit for that | 8 | | period under any other provision of this Code, (3) at the time | 9 | | of the layoff, the applicant is not in an initial probationary | 10 | | status consistent with the rules of the Department of Central | 11 | | Management Services, and (4) the total amount of creditable | 12 | | service established by the applicant under this subsection (q) | 13 | | does not exceed 2 3 years. For service established under this | 14 | | subsection (q), the required employee contribution shall be | 15 | | based on the rate of compensation earned by the employee on the | 16 | | date of returning to employment after the layoff and the | 17 | | contribution rate then in effect, and the required interest | 18 | | shall be calculated at the actuarially assumed rate from the | 19 | | date of returning to employment after the layoff to the date of | 20 | | payment.
Funding for any new benefit increase, as defined in | 21 | | Section 14-152.1 of this Act, that is created under this | 22 | | subsection (q) will be provided by the employee contributions | 23 | | required under this subsection (q). | 24 | | (r) A member who participated in the University of | 25 | | Illinois Government Public Service Internship Program (GPSI) | 26 | | may establish creditable service for up to 2 years
of that |
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| 1 | | participation by making the contribution required under this | 2 | | Section, plus an amount determined by the Board to be equal to | 3 | | the employer's normal cost of the benefit plus interest.
The | 4 | | System shall determine a full-time salary equivalent for the | 5 | | purpose of
calculating the required contribution. Credit may | 6 | | not be established under
this subsection for any period for | 7 | | which service credit is established under
any other provision | 8 | | of this Code. | 9 | | (s)
A member who worked as a nurse under a contractual | 10 | | agreement for the Department of Public Aid, or its successor | 11 | | agency, the Department of Human Services, in the Client | 12 | | Assessment Unit and was subsequently determined to be a State | 13 | | employee by the United States Internal Revenue Service and the | 14 | | Illinois Labor Relations Board may establish creditable | 15 | | service for those contractual services by making the | 16 | | contributions required under this Section. To establish credit | 17 | | under this subsection, the applicant must apply to the System | 18 | | by July 1, 2008. | 19 | | The Department of Human Services shall pay an employer | 20 | | contribution based upon an amount determined by the Board to | 21 | | be equal to the employer's normal cost of the benefit, plus | 22 | | interest. | 23 | | In compliance with Section 14-152.1 added by Public Act | 24 | | 94-4, the cost of the benefits provided by Public Act 95-583
| 25 | | are offset by the required employee and employer | 26 | | contributions.
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| 1 | | (t) Any person who rendered contractual services on a | 2 | | full-time basis to the Illinois Institute of Natural Resources | 3 | | and the Illinois Department of Energy and Natural Resources | 4 | | may establish creditable service for up to 4 years of those | 5 | | contractual services by making the contributions required | 6 | | under this Section, plus an amount determined by the Board to | 7 | | be equal to the employer's normal cost of the benefit plus | 8 | | interest at the actuarially assumed rate from the first day of | 9 | | the service for which credit is being established to the date | 10 | | of payment. To establish credit under this subsection (t), the | 11 | | applicant must apply to the System within 6 months after July | 12 | | 27, 2010 (the effective date of Public Act 96-1320). | 13 | | (u) By paying the required contributions under this | 14 | | Section, plus an amount determined by the Board to be equal to | 15 | | the employer's normal cost of the benefit, plus interest, a | 16 | | member may establish creditable service and earnings credit | 17 | | for periods of furlough beginning on or after July 1, 2008. To | 18 | | receive this credit, the participant must (i) apply in writing | 19 | | to the System before December 31, 2011 and (ii) not receive | 20 | | compensation for the furlough period. For service established | 21 | | under this subsection, the required employee contribution | 22 | | shall be based on the rate of compensation earned by the | 23 | | employee immediately following the date of the first furlough | 24 | | day in the time period specified in this subsection (u), and | 25 | | the required interest shall be calculated at the actuarially | 26 | | assumed rate from the date of the furlough to the date of |
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| 1 | | payment. | 2 | | (v) Any member who rendered full-time contractual services | 3 | | to an Illinois Veterans Home operated by the Department of | 4 | | Veterans' Affairs may establish service credit for up
to 8 | 5 | | years of such services by making the contributions required | 6 | | under this
Section, plus an amount determined by the Board to | 7 | | be equal to the employer's normal cost of the benefit, plus | 8 | | interest at the actuarially assumed rate. To establish credit | 9 | | under this subsection, the applicant must
apply to the System | 10 | | no later than 6 months after July 27, 2010 (the effective date | 11 | | of Public Act 96-1320). | 12 | | (Source: P.A. 96-97, eff. 7-27-09; 96-718, eff. 8-25-09; | 13 | | 96-775, eff. 8-28-09; 96-961, eff. 7-2-10; 96-1000, eff. | 14 | | 7-2-10; 96-1320, eff. 7-27-10; 96-1535, eff. 3-4-11; 97-333, | 15 | | 8-12-11.)
| 16 | | (40 ILCS 5/14-152.1) | 17 | | Sec. 14-152.1. Application and expiration of new benefit | 18 | | increases. | 19 | | (a) As used in this Section, "new benefit increase" means | 20 | | an increase in the amount of any benefit provided under this | 21 | | Article, or an expansion of the conditions of eligibility for | 22 | | any benefit under this Article, that results from an amendment | 23 | | to this Code that takes effect after June 1, 2005 (the | 24 | | effective date of Public Act 94-4). "New benefit increase", | 25 | | however, does not include any benefit increase resulting from |
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| 1 | | the changes made to Article 1 or this Article by Public Act | 2 | | 96-37, Public Act 100-23, Public Act 100-587, Public Act | 3 | | 100-611, Public Act 101-10, Public Act 101-610, Public Act | 4 | | 102-210, Public Act 102-856, Public Act 102-956, or this | 5 | | amendatory Act of the 103rd General Assembly or this | 6 | | amendatory Act of the 102nd General Assembly .
| 7 | | (b) Notwithstanding any other provision of this Code or | 8 | | any subsequent amendment to this Code, every new benefit | 9 | | increase is subject to this Section and shall be deemed to be | 10 | | granted only in conformance with and contingent upon | 11 | | compliance with the provisions of this Section.
| 12 | | (c) The Public Act enacting a new benefit increase must | 13 | | identify and provide for payment to the System of additional | 14 | | funding at least sufficient to fund the resulting annual | 15 | | increase in cost to the System as it accrues. | 16 | | Every new benefit increase is contingent upon the General | 17 | | Assembly providing the additional funding required under this | 18 | | subsection. The Commission on Government Forecasting and | 19 | | Accountability shall analyze whether adequate additional | 20 | | funding has been provided for the new benefit increase and | 21 | | shall report its analysis to the Public Pension Division of | 22 | | the Department of Insurance. A new benefit increase created by | 23 | | a Public Act that does not include the additional funding | 24 | | required under this subsection is null and void. If the Public | 25 | | Pension Division determines that the additional funding | 26 | | provided for a new benefit increase under this subsection is |
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| 1 | | or has become inadequate, it may so certify to the Governor and | 2 | | the State Comptroller and, in the absence of corrective action | 3 | | by the General Assembly, the new benefit increase shall expire | 4 | | at the end of the fiscal year in which the certification is | 5 | | made.
| 6 | | (d) Every new benefit increase shall expire 5 years after | 7 | | its effective date or on such earlier date as may be specified | 8 | | in the language enacting the new benefit increase or provided | 9 | | under subsection (c). This does not prevent the General | 10 | | Assembly from extending or re-creating a new benefit increase | 11 | | by law. | 12 | | (e) Except as otherwise provided in the language creating | 13 | | the new benefit increase, a new benefit increase that expires | 14 | | under this Section continues to apply to persons who applied | 15 | | and qualified for the affected benefit while the new benefit | 16 | | increase was in effect and to the affected beneficiaries and | 17 | | alternate payees of such persons, but does not apply to any | 18 | | other person, including, without limitation, a person who | 19 | | continues in service after the expiration date and did not | 20 | | apply and qualify for the affected benefit while the new | 21 | | benefit increase was in effect.
| 22 | | (Source: P.A. 101-10, eff. 6-5-19; 101-81, eff. 7-12-19; | 23 | | 101-610, eff. 1-1-20; 102-210, eff. 7-30-21; 102-856, eff. | 24 | | 1-1-23; 102-956, eff. 5-27-22 .)
| 25 | | Section 99. Effective date. This Act takes effect upon |
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| 1 | | becoming law.".
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