Full Text of HB0688 100th General Assembly
HB0688enr 100TH GENERAL ASSEMBLY |
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| 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 4-108, 4-108.6, and 6-227 and by adding Section | 6 | | 3-110.12 as follows: | 7 | | (40 ILCS 5/3-110.12 new) | 8 | | Sec. 3-110.12. Transfer to Article 4 fund. | 9 | | (a) At any time during the
6 months following the effective | 10 | | date of this Section, an active member of an Article 4 | 11 | | firefighters' pension fund may apply for transfer to that fund | 12 | | of up to 6 years of his or her creditable service accumulated
| 13 | | in the police pension fund under this Article that is | 14 | | administered by the same unit of local government if that | 15 | | active member was not subject to disciplinary action when he or | 16 | | she terminated employment with that police department. The | 17 | | creditable service shall be transferred upon payment by
the | 18 | | police pension fund to the Article 4 fund of an amount
equal | 19 | | to: | 20 | | (1) the amounts accumulated to the credit of the | 21 | | applicant on the books
of the fund on the date of transfer | 22 | | for the service to be transferred; and | 23 | | (2) employer contributions in an amount equal to the |
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| 1 | | amount determined
under item (1); and | 2 | | (3) any interest paid by the applicant in order to | 3 | | reinstate service. | 4 | | Participation in the police pension fund with respect to | 5 | | the transferred creditable service shall terminate on the date | 6 | | of transfer. | 7 | | (b) At the time of applying for transfer of creditable | 8 | | service under this Section, an active member of an Article 4 | 9 | | firefighters' pension fund may, for the purpose of that | 10 | | transfer, reinstate creditable service that was
terminated by | 11 | | receipt of a refund, by payment to the police pension fund of | 12 | | the
amount of the refund with interest thereon at the rate of | 13 | | 6% per year,
compounded annually, from the date of the refund | 14 | | to the date of payment.
| 15 | | (40 ILCS 5/4-108) (from Ch. 108 1/2, par. 4-108)
| 16 | | Sec. 4-108. Creditable service.
| 17 | | (a) Creditable service is the time served as a firefighter | 18 | | of a
municipality. In computing creditable service, furloughs | 19 | | and leaves of
absence without pay exceeding 30 days in any one | 20 | | year shall not be counted,
but leaves of absence for illness or | 21 | | accident regardless of length, and
periods of disability for | 22 | | which a firefighter received no disability
pension payments | 23 | | under this Article, shall be counted.
| 24 | | (b) Furloughs and leaves of absence of 30 days or less in | 25 | | any one year may
be counted as creditable service, if the |
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| 1 | | firefighter makes the contribution
to the fund that would have | 2 | | been required had he or she not been
on furlough or leave of | 3 | | absence. To qualify for this creditable service,
the | 4 | | firefighter must pay the required contributions to the fund not | 5 | | more
than 90 days subsequent to the termination of the furlough | 6 | | or leave of
absence, to the extent that the municipality has | 7 | | not made such contribution
on his or her behalf.
| 8 | | (c) Creditable service includes:
| 9 | | (1) Service in the military, naval or air forces of the
| 10 | | United States entered upon when the person was an active
| 11 | | firefighter, provided
that, upon applying for a permanent | 12 | | pension, and in accordance with the
rules of the board the | 13 | | firefighter pays into the fund the amount that would
have | 14 | | been contributed had he or she been a regular contributor | 15 | | during such
period of service, if and to the extent that | 16 | | the municipality which the
firefighter served made no such | 17 | | contributions in his or her behalf. The
total amount of | 18 | | such creditable service shall not exceed 5 years, except
| 19 | | that any firefighter who on July 1, 1973 had more than 5 | 20 | | years of such
creditable service shall receive the total | 21 | | amount thereof as of that date.
| 22 | | (1.5) Up to 24 months of service in the military, | 23 | | naval, or air forces of the United States that was served | 24 | | prior to employment by a municipality or fire protection | 25 | | district as a firefighter. To receive the credit for the | 26 | | military service prior to the employment as a firefighter, |
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| 1 | | the firefighter must apply in writing to the fund and must | 2 | | make contributions to the fund equal to (i) the employee | 3 | | contributions that would have been required had the service | 4 | | been rendered as a member, plus (ii) an amount determined | 5 | | by the fund to be equal to the employer's normal cost of | 6 | | the benefits accrued for that military service, plus (iii) | 7 | | interest at the actuarially assumed rate provided by the | 8 | | Department of Financial and Professional Regulation, | 9 | | compounded annually from the first date of membership in | 10 | | the fund to the date of payment on items (i) and (ii). The | 11 | | changes to this paragraph (1.5) by this amendatory Act of | 12 | | the 95th General Assembly apply only to participating | 13 | | employees in service on or after its effective date.
| 14 | | (2) Service prior to July 1, 1976 by a firefighter | 15 | | initially excluded
from participation by reason of age who | 16 | | elected to participate and paid
the required contributions | 17 | | for such service.
| 18 | | (3) Up to 8 years of service by a firefighter as an | 19 | | officer in a statewide
firefighters' association when he is | 20 | | on a leave of absence from a
municipality's payroll, | 21 | | provided that (i) the firefighter has at least 10
years of | 22 | | creditable service as an active firefighter, (ii) the | 23 | | firefighter
contributes to the fund the amount that he | 24 | | would have contributed had he
remained an active member of | 25 | | the fund, (iii) the employee or statewide
firefighter | 26 | | association contributes to the fund an amount equal to the
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| 1 | | employer's required contribution as determined by the | 2 | | board, and (iv) for all leaves of absence under this | 3 | | subdivision (3), including those beginning before the | 4 | | effective date of this amendatory Act of the 97th General | 5 | | Assembly, the firefighter continues to remain in sworn | 6 | | status, subject to the professional standards of the public | 7 | | employer or those terms established in statute.
| 8 | | (4) Time spent as an on-call fireman for a | 9 | | municipality,
calculated at the rate of one year of | 10 | | creditable service for each 5 years
of time spent as an | 11 | | on-call fireman, provided that (i) the firefighter has
at | 12 | | least 18 years of creditable service as an active | 13 | | firefighter, (ii) the
firefighter spent at least 14 years | 14 | | as an on-call firefighter for the
municipality, (iii) the | 15 | | firefighter applies for such creditable service
within 30 | 16 | | days after the effective date of this amendatory Act of | 17 | | 1989,
(iv) the firefighter contributes to the Fund an | 18 | | amount representing
employee contributions for the number | 19 | | of years of creditable service
granted under this | 20 | | subdivision (4), based on the salary and contribution
rate | 21 | | in effect for the firefighter at the date of entry into the | 22 | | Fund, to
be determined by the board, and (v) not more than | 23 | | 3 years of creditable
service may be granted under this | 24 | | subdivision (4).
| 25 | | Except as provided in Section 4-108.5, creditable | 26 | | service shall not
include time
spent as a volunteer |
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| 1 | | firefighter, whether or not any compensation was received
| 2 | | therefor. The change made in this Section by Public Act | 3 | | 83-0463 is intended
to be a restatement and clarification | 4 | | of existing law, and does not imply
that creditable service | 5 | | was previously allowed under this Article for time
spent as | 6 | | a volunteer firefighter.
| 7 | | (5) Time served between July 1, 1976 and July 1, 1988 | 8 | | in
the position of protective inspection officer or | 9 | | administrative assistant
for fire services, for a | 10 | | municipality with a population under 10,000 that is
located | 11 | | in a county with a population over 3,000,000 and that | 12 | | maintains a
firefighters' pension fund under this Article, | 13 | | if the position included
firefighting duties, | 14 | | notwithstanding that the person may not have held an
| 15 | | appointment as a firefighter, provided that application is | 16 | | made to the
pension fund within 30 days after the effective | 17 | | date of this amendatory Act
of 1991, and the corresponding | 18 | | contributions are paid for the number of
years of service | 19 | | granted, based upon the salary and contribution rate in
| 20 | | effect for the firefighter at the date of entry into the | 21 | | pension fund, as
determined by the Board.
| 22 | | (6) Service before becoming a participant by a | 23 | | firefighter initially
excluded from participation by | 24 | | reason of age who becomes a participant
under the amendment | 25 | | to Section 4-107 made by this amendatory Act of 1993 and
| 26 | | pays the required contributions for such service.
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| 1 | | (7) Up to 3 years of time during which the firefighter | 2 | | receives a
disability pension under Section 4-110, | 3 | | 4-110.1, or 4-111, provided that (i)
the firefighter | 4 | | returns to active service after the disability for a period | 5 | | at
least equal to the period for which credit is to be | 6 | | established and (ii) the
firefighter makes contributions | 7 | | to the fund based on the rates specified in
Section 4-118.1 | 8 | | and the salary upon which the disability pension is based.
| 9 | | These contributions may be paid at any time prior to the | 10 | | commencement of a
retirement pension. The firefighter may, | 11 | | but need not, elect to have the
contributions deducted from | 12 | | the disability pension or to pay them in
installments on a | 13 | | schedule approved by the board. If not deducted from the
| 14 | | disability pension, the contributions
shall include | 15 | | interest at the rate of 6% per year, compounded annually, | 16 | | from
the date for which service credit is being established | 17 | | to the date of payment.
If contributions are paid under | 18 | | this subdivision (c)(7) in excess of those
needed to | 19 | | establish the credit, the excess shall be refunded. This
| 20 | | subdivision (c)(7) applies to persons receiving a | 21 | | disability pension under
Section 4-110, 4-110.1, or 4-111 | 22 | | on the effective date of this amendatory Act
of the 91st | 23 | | General Assembly, as well as persons who begin to receive | 24 | | such a
disability pension after that date.
| 25 | | (8) Up to 6 years of service as a police officer and | 26 | | participant in an Article 3 police pension fund |
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| 1 | | administered by the unit of local government that employs | 2 | | the firefighter under this Article, provided that the | 3 | | service has been transferred to, and the required payment | 4 | | received by, the Article 4 fund in accordance with Section | 5 | | 3-110.12 of this Code. | 6 | | (Source: P.A. 97-651, eff. 1-5-12.)
| 7 | | (40 ILCS 5/4-108.6) | 8 | | Sec. 4-108.6. Transfer of creditable service to the | 9 | | Firemen's Annuity and Benefit Fund of Chicago. | 10 | | (a) Until 6 months after the effective date of this | 11 | | amendatory Act of the 100th General Assembly, January 1, 2010, | 12 | | any active member of the Firemen's Annuity and Benefit Fund of | 13 | | Chicago may apply for transfer of up to 10 years of creditable | 14 | | service accumulated in any pension fund established under this | 15 | | Article to the Firemen's Annuity and Benefit Fund of Chicago. | 16 | | Such creditable service shall be transferred only upon payment | 17 | | by such pension fund to the Firemen's Annuity and Benefit Fund | 18 | | of Chicago of an amount equal to: | 19 | | (1) the amounts accumulated to the credit of the | 20 | | applicant on the books of the fund on the date of transfer; | 21 | | (2) employer contributions in an amount equal to the | 22 | | amount determined under subparagraph (1); and | 23 | | (3) any interest paid by the applicant in order to | 24 | | reinstate service. | 25 | | Participation in such pension fund as to any credits |
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| 1 | | transferred under this Section shall terminate on the date of | 2 | | transfer. | 3 | | (b) An active member of the Firemen's Annuity and Benefit | 4 | | Fund of Chicago applying for a transfer of creditable service | 5 | | under subsection (a) may reinstate credits and creditable | 6 | | service terminated upon receipt of a refund by payment to the | 7 | | Firemen's Annuity and Benefit Fund of Chicago of the amount of | 8 | | the refund with interest thereon at the actuarially assumed | 9 | | rate, compounded annually, from the date of the refund to the | 10 | | date of payment.
| 11 | | (Source: P.A. 96-727, eff. 8-25-09.) | 12 | | (40 ILCS 5/6-227) | 13 | | Sec. 6-227. Transfer of creditable service from Article 4. | 14 | | Until 6 months after the effective date of this amendatory Act | 15 | | of the 100th General Assembly, January 1, 2010, any active | 16 | | member of the Firemen's Annuity and Benefit Fund of Chicago may | 17 | | transfer to the Fund up to a total of 10 years of creditable | 18 | | service accumulated under Article 4 of this Code upon payment | 19 | | to the Fund within 5 years after the date of application of an | 20 | | amount equal to the difference between the amount of employee | 21 | | and employer contributions transferred to the Fund under | 22 | | Section 4-108.6 and the amounts determined by the Fund in | 23 | | accordance with this Section, plus interest on that difference | 24 | | at the actuarially assumed rate, compounded annually, from the | 25 | | date of service to the date of payment. |
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| 1 | | The Fund must determine the fireman's payment required to | 2 | | establish creditable service under this Section by taking into | 3 | | account the appropriate actuarial assumptions, including | 4 | | without limitation the fireman's service, age, and salary | 5 | | history; the level of funding of the Fund; and any other | 6 | | factors that the Fund determines to be relevant. For this | 7 | | purpose, the fireman's required payment should result in no | 8 | | significant increase to the Fund's unfunded actuarial accrued | 9 | | liability determined as of the most recent actuarial valuation, | 10 | | based on the same assumptions and methods used to develop and | 11 | | report the Fund's actuarial accrued liability and actuarial | 12 | | value of assets under Statement No. 25 of Governmental | 13 | | Accounting Standards Board or any subsequent applicable | 14 | | Statement.
| 15 | | (Source: P.A. 96-727, eff. 8-25-09.) | 16 | | Section 90. The State Mandates Act is amended by adding | 17 | | Section 8.41 as follows: | 18 | | (30 ILCS 805/8.41 new) | 19 | | Sec. 8.41. Exempt mandate. Notwithstanding Sections 6 and 8 | 20 | | of this Act, no reimbursement by the State is required for the | 21 | | implementation of any mandate created by this amendatory Act of | 22 | | the 100th General Assembly.
| 23 | | Section 99. Effective date. This Act takes effect upon | 24 | | becoming law.
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