Full Text of HB4013 093rd General Assembly
HB4013 93RD GENERAL ASSEMBLY
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93RD GENERAL ASSEMBLY
State of Illinois
2003 and 2004 HB4013
Introduced 1/14/2004, by Roger L. Eddy SYNOPSIS AS INTRODUCED: |
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40 ILCS 5/16-127 |
from Ch. 108 1/2, par. 16-127 |
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Amends the Downstate Teacher Article of the Illinois Pension Code. Increases
the maximum permitted amount of out-of-state service for which credit may be
established, from 10 to 15 years, and from 2/5 to 3/5 of the person's total
service. Effective immediately.
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FISCAL NOTE ACT MAY APPLY | |
PENSION IMPACT NOTE ACT MAY APPLY |
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A BILL FOR
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HB4013 |
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LRB093 15385 LRD 40988 b |
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| AN ACT in relation to public employee benefits.
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| Be it enacted by the People of the State of Illinois, | 3 |
| represented in the General Assembly:
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| Section 5. The Illinois Pension Code is amended by changing | 5 |
| Section 16-127
as follows:
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| (40 ILCS 5/16-127) (from Ch. 108 1/2, par. 16-127)
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| Sec. 16-127. Computation of creditable service.
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| (a) Each member shall receive regular credit for all
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| service as a teacher from the date membership begins, for which
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| satisfactory evidence is supplied and all contributions have | 11 |
| been paid.
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| (b) The following periods of service shall earn optional | 13 |
| credit and
each member shall receive credit for all such | 14 |
| service for which
satisfactory evidence is supplied and all | 15 |
| contributions have been paid as
of the date specified:
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| (1) Prior service as a teacher.
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| (2) Service in a capacity essentially similar or | 18 |
| equivalent to that of a
teacher, in the public common | 19 |
| schools in school districts in this State not
included | 20 |
| within the provisions of this System, or of any other | 21 |
| State,
territory, dependency or possession of the United | 22 |
| States, or in schools
operated by or under the auspices of | 23 |
| the United States, or under the
auspices of any agency or | 24 |
| department of any other State, and service during
any | 25 |
| period of professional speech correction or special | 26 |
| education
experience for a public agency within this State | 27 |
| or any other State,
territory, dependency or possession of | 28 |
| the United States, and service prior
to February 1, 1951 as | 29 |
| a recreation worker for the Illinois Department of
Public | 30 |
| Safety, for a period not exceeding the lesser of 3/5
2/5 of | 31 |
| the
total creditable service of the member or 15
10 years. | 32 |
| The maximum
service of 15
10 years which is allowable under |
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LRB093 15385 LRD 40988 b |
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| this paragraph shall be
reduced by the service credit which | 2 |
| is validated by other retirement systems
under paragraph | 3 |
| (i) of Section 15-113 and paragraph 1 of Section 17-133.
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| Credit granted under this paragraph may not be used in | 5 |
| determination of a
retirement annuity or disability | 6 |
| benefits unless the member has at least 5
years of | 7 |
| creditable service earned subsequent to this employment | 8 |
| with one
or more of the following systems: Teachers' | 9 |
| Retirement System of the State
of Illinois, State | 10 |
| Universities Retirement System, and the Public School
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| Teachers' Pension and Retirement Fund of Chicago. Whenever | 12 |
| such service
credit exceeds the maximum allowed for all | 13 |
| purposes of this Article, the
first service rendered in | 14 |
| point of time shall be considered.
The changes to this | 15 |
| subdivision (b)(2) made by Public Act 86-272 shall
apply | 16 |
| not only to persons who on or after its effective date | 17 |
| (August 23,
1989) are in service as a teacher under the | 18 |
| System, but also to persons
whose status as such a teacher | 19 |
| terminated prior to such effective date,
whether or not | 20 |
| such person is an annuitant on that date.
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| (3) Any periods immediately following teaching | 22 |
| service, under this
System or under Article 17, (or | 23 |
| immediately following service prior to
February 1, 1951 as | 24 |
| a recreation worker for the Illinois Department of
Public | 25 |
| Safety) spent in active service with the military forces of | 26 |
| the
United States; periods spent in educational programs | 27 |
| that prepare for
return to teaching sponsored by the | 28 |
| federal government following such
active military service; | 29 |
| if a teacher returns to teaching service within
one | 30 |
| calendar year after discharge or after the completion of | 31 |
| the
educational program, a further period, not exceeding | 32 |
| one calendar year,
between time spent in military service | 33 |
| or in such educational programs and
the return to | 34 |
| employment as a teacher under this System; and a period of | 35 |
| up
to 2 years of active military service not immediately | 36 |
| following employment
as a teacher.
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LRB093 15385 LRD 40988 b |
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| The changes to this Section and Section 16-128 relating | 2 |
| to military
service made by P.A. 87-794 shall apply not | 3 |
| only to persons who on or after its
effective date are in | 4 |
| service as a teacher under the System, but also to
persons | 5 |
| whose status as a teacher terminated prior to that date, | 6 |
| whether or not
the person is an annuitant on that date. In | 7 |
| the case of an annuitant who
applies for credit allowable | 8 |
| under this Section for a period of military
service that | 9 |
| did not immediately follow employment, and who has made the
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| required contributions for such credit, the annuity shall | 11 |
| be recalculated to
include the additional service credit, | 12 |
| with the increase taking effect on the
date the System | 13 |
| received written notification of the annuitant's intent to
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| purchase the credit, if payment of all the required | 15 |
| contributions is made
within 60 days of such notice, or | 16 |
| else on the first annuity payment date
following the date | 17 |
| of payment of the required contributions. In calculating
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| the automatic annual increase for an annuity that has been | 19 |
| recalculated under
this Section, the increase attributable | 20 |
| to the additional service allowable
under P.A. 87-794 shall | 21 |
| be included in the calculation of automatic annual
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| increases accruing after the effective date of the | 23 |
| recalculation.
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| Credit for military service shall be determined as | 25 |
| follows: if entry
occurs during the months of July, August, | 26 |
| or September and the member was a
teacher at the end of the | 27 |
| immediately preceding school term, credit shall
be granted | 28 |
| from July 1 of the year in which he or she entered service; | 29 |
| if
entry occurs during the school term and the teacher was | 30 |
| in teaching service
at the beginning of the school term, | 31 |
| credit shall be granted from July 1 of
such year. In all | 32 |
| other cases where credit for military service is allowed,
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| credit shall be granted from the date of entry into the | 34 |
| service.
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| The total period of military service for which credit | 36 |
| is granted shall
not exceed 5 years for any member unless |
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| the service: (A) is validated
before July 1, 1964, and (B) | 2 |
| does not extend beyond July 1, 1963. Credit
for military | 3 |
| service shall be granted under this Section only if not | 4 |
| more
than 5 years of the military service for which credit | 5 |
| is granted under this
Section is used by the member to | 6 |
| qualify for a military retirement
allotment from any branch | 7 |
| of the armed forces of the United States. The
changes to | 8 |
| this subdivision (b)(3) made by Public Act 86-272 shall | 9 |
| apply
not only to persons who on or after its effective | 10 |
| date (August 23, 1989)
are in service as a teacher under | 11 |
| the System, but also to persons whose
status as such a | 12 |
| teacher terminated prior to such effective date, whether
or | 13 |
| not such person is an annuitant on that date.
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| (4) Any periods served as a member of the General | 15 |
| Assembly.
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| (5)(i) Any periods for which a teacher, as defined in | 17 |
| Section
16-106, is granted a leave of absence, provided he | 18 |
| or she returns to teaching
service creditable under this | 19 |
| System or the State Universities Retirement
System | 20 |
| following the leave; (ii) periods during which a teacher is
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| involuntarily laid off from teaching, provided he or she | 22 |
| returns to teaching
following the lay-off; (iii) periods | 23 |
| prior to July 1, 1983 during which
a teacher ceased covered | 24 |
| employment due to pregnancy, provided that the teacher
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| returned to teaching service creditable under this System | 26 |
| or the State
Universities Retirement System following the | 27 |
| pregnancy and submits evidence
satisfactory to the Board | 28 |
| documenting that the employment ceased due to
pregnancy; | 29 |
| and (iv) periods prior to July 1, 1983 during which a | 30 |
| teacher
ceased covered employment for the purpose of | 31 |
| adopting an infant under 3 years
of age or caring for a | 32 |
| newly adopted infant under 3 years of age, provided that
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| the teacher returned to teaching service creditable under | 34 |
| this System or the
State Universities Retirement System | 35 |
| following the adoption and submits
evidence satisfactory | 36 |
| to the Board documenting that the employment ceased for
the |
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LRB093 15385 LRD 40988 b |
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| purpose of adopting an infant under 3 years of age or | 2 |
| caring for a newly
adopted infant under 3 years of age. | 3 |
| However, total credit under this
paragraph (5) may not | 4 |
| exceed 3 years.
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| Any qualified member or annuitant may apply for credit | 6 |
| under item (iii)
or (iv) of this paragraph (5) without | 7 |
| regard to whether service was
terminated before the | 8 |
| effective date of this amendatory Act of 1997. In the case | 9 |
| of an annuitant who establishes credit under item (iii)
or | 10 |
| (iv), the annuity shall be recalculated to include the | 11 |
| additional
service credit. The increase in annuity shall | 12 |
| take effect on the date the
System receives written | 13 |
| notification of the annuitant's intent to purchase the
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| credit, if the required evidence is submitted and the | 15 |
| required contribution
paid within 60 days of that | 16 |
| notification, otherwise on the first annuity
payment date | 17 |
| following the System's receipt of the required evidence and
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| contribution. The increase in an annuity recalculated | 19 |
| under this provision
shall be included in the calculation | 20 |
| of automatic annual increases in the
annuity accruing after | 21 |
| the effective date of the recalculation.
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| Optional credit may be purchased under this subsection | 23 |
| (b)(5) for
periods during which a teacher has been granted | 24 |
| a leave of absence pursuant
to Section 24-13 of the School | 25 |
| Code. A teacher whose service under this
Article terminated | 26 |
| prior to the effective date of P.A. 86-1488 shall be
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| eligible to purchase such optional credit. If a teacher who | 28 |
| purchases this
optional credit is already receiving a | 29 |
| retirement annuity under this Article,
the annuity shall be | 30 |
| recalculated as if the annuitant had applied for the leave
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| of absence credit at the time of retirement. The difference | 32 |
| between the
entitled annuity and the actual annuity shall | 33 |
| be credited to the purchase of
the optional credit. The | 34 |
| remainder of the purchase cost of the optional credit
shall | 35 |
| be paid on or before April 1, 1992.
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| The change in this paragraph made by Public Act 86-273 |
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LRB093 15385 LRD 40988 b |
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| shall
be applicable to teachers who retire after June 1, | 2 |
| 1989, as well as to
teachers who are in service on that | 3 |
| date.
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| (6) Any days of unused and uncompensated accumulated | 5 |
| sick leave earned
by a teacher. The service credit granted | 6 |
| under this paragraph shall be the
ratio of the number of | 7 |
| unused and uncompensated accumulated sick leave days
to 170 | 8 |
| days, subject to a maximum of 2 years of service
credit. | 9 |
| Prior to the member's retirement, each former employer | 10 |
| shall
certify to the System the number of unused and | 11 |
| uncompensated accumulated
sick leave days credited to the | 12 |
| member at the time of termination of service.
The period of | 13 |
| unused sick leave shall not be considered in determining
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| the effective date of retirement. A member is not required | 15 |
| to make
contributions in order to obtain service credit for | 16 |
| unused sick leave.
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| Credit for sick leave shall, at retirement, be granted | 18 |
| by the System
for any retiring regional or assistant | 19 |
| regional superintendent of schools
at the rate of 6 days | 20 |
| per year of creditable service or portion thereof
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| established while serving as such superintendent or | 22 |
| assistant
superintendent.
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| (7) Periods prior to February 1, 1987 served as an | 24 |
| employee of the
Illinois Mathematics and Science Academy | 25 |
| for which credit has not been
terminated under Section | 26 |
| 15-113.9 of this Code.
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| (8) Service as a substitute teacher for work performed
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| prior to July 1, 1990.
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| (9) Service as a part-time teacher for work performed
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| prior to July 1, 1990.
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| (10) Up to 2 years of employment with Southern Illinois | 32 |
| University -
Carbondale from September 1, 1959 to August | 33 |
| 31, 1961, or with Governors
State University from September | 34 |
| 1, 1972 to August 31, 1974, for which the
teacher has no | 35 |
| credit under Article 15. To receive credit under this item
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| (10), a teacher must apply in writing to the Board and pay |
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LRB093 15385 LRD 40988 b |
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| the required
contributions before May 1, 1993 and have at | 2 |
| least 12 years of service
credit under this Article.
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| (b-1) A member may establish optional credit for up to 2 | 4 |
| years of service
as a teacher or administrator employed by a | 5 |
| private school recognized by the
Illinois State Board of | 6 |
| Education, provided that the teacher (i) was certified
under | 7 |
| the law governing the certification of teachers at the time the | 8 |
| service
was rendered, (ii) applies in writing on or after June | 9 |
| 1, 2002 and on or before
June 1, 2005, (iii) supplies | 10 |
| satisfactory evidence of the employment, (iv)
completes at | 11 |
| least 10 years of contributing service as a teacher as defined | 12 |
| in
Section 16-106, and (v) pays the contribution required in | 13 |
| subsection (d-5) of
Section 16-128. The member may apply for | 14 |
| credit under this subsection and pay
the required contribution | 15 |
| before completing the 10 years of contributing
service required | 16 |
| under item (iv), but the credit may not be used until the
item | 17 |
| (iv) contributing service requirement has been met.
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| (c) The service credits specified in this Section shall be | 19 |
| granted only
if: (1) such service credits are not used for | 20 |
| credit in any other statutory
tax-supported public employee | 21 |
| retirement system other than the federal Social
Security | 22 |
| program; and (2) the member makes the required contributions as
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| specified in Section 16-128. Except as provided in subsection | 24 |
| (b-1) of
this Section, the service credit shall be effective as | 25 |
| of the date the
required contributions are completed.
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| Any service credits granted under this Section shall | 27 |
| terminate upon
cessation of membership for any cause.
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| Credit may not be granted under this Section covering any | 29 |
| period for
which an age retirement or disability retirement | 30 |
| allowance has been paid.
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| (Source: P.A. 92-867, eff. 1-3-03.)
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| Section 99. Effective date. This Act takes effect upon | 33 |
| becoming law. |
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