(40 ILCS 5/6-197) (from Ch. 108 1/2, par. 6-197)
Sec. 6-197.
Annuity payment reserve.
The following amounts shall be credited to this reserve: (1) amounts
transferred from the city contribution reserve and from the salary deduction
reserve for the payment of annuities which have been fixed;
(2) amounts deducted from the salary
of a fireman after the amount of
his age and service annuity has been fixed; and (3) amounts transferred
to this reserve from the investment and interest reserve.
All age and service annuities and all widow's annuities shall be
charged to this reserve. Any amount to be refunded on account of such
annuities under Sections 6-143, 6-160 and 6-162 of this Article shall
be charged to this reserve.
If a fireman whose annuity is fixed or granted withdraws from service
and thereafter re-enters service before age 63, an amount determined in
accordance with this Article shall be charged to this reserve and
credited to him for age and service annuity in the city contribution and
salary deduction reserves, respectively. Such
amount shall be credited
in said reserves in the ratio in which the respective amounts
transferred from such reserves for age and service annuity for the
fireman bear to each other at the time his annuity was fixed. If the
wife of such fireman when he re-enters service was his wife when annuity
for his wife was fixed, an amount to be determined as provided in this
Article shall be transferred from this reserve and credited to the
fireman for widow's annuity in the city contribution reserve and the salary
deduction reserve, respectively. Such amount shall
be credited in
said reserves in the ratio in which the respective amounts transferred
bear to each other at the time the annuity for the wife of the fireman
was fixed.
If at the end of any year the balance in the Annuity Payment Reserve
is in excess of the liabilities chargeable thereto by 15% thereof, the
excess shall be transferred to the Investment and Interest Reserve,
Ordinary Disability Benefit Reserve, Expense Reserve, Prior Service
Annuity Reserve, or City Contribution Reserve in the order named, to
remove any deficiency then existing in such reserves.
(Source: P.A. 81-1536.)
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