State of Illinois
90th General Assembly
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90_HB0580

      40 ILCS 5/16-127          from Ch. 108 1/2, par. 16-127
          Amends the Downstate Teacher Article of the Pension  Code
      to  define "military service" to include service in the Peace
      Corps.  Effective immediately.
                                                     LRB9002670EGfg
                                               LRB9002670EGfg
 1        AN ACT to amend the Illinois  Pension  Code  by  changing
 2    Section 16-127.
 3        Be  it  enacted  by  the People of the State of Illinois,
 4    represented in the General Assembly:
 5        Section 5.  The  Illinois  Pension  Code  is  amended  by
 6    changing Section 16-127 as follows:
 7        (40 ILCS 5/16-127) (from Ch. 108 1/2, par. 16-127)
 8        Sec. 16-127.  Computation of creditable service.
 9        (a)  Each  member  shall  receive  regular credit for all
10    service as a teacher from the  date  membership  begins,  for
11    which satisfactory evidence is supplied and all contributions
12    have been paid.
13        (b)  The following periods of service shall earn optional
14    credit  and  each  member  shall  receive credit for all such
15    service for which satisfactory evidence is supplied  and  all
16    contributions have been paid as of the date specified:
17             (1)  Prior service as a teacher.
18             (2)  Service  in  a  capacity essentially similar or
19        equivalent to that of a teacher,  in  the  public  common
20        schools  in  school  districts in this State not included
21        within the provisions of this System,  or  of  any  other
22        State,  territory, dependency or possession of the United
23        States, or in schools operated by or under  the  auspices
24        of the United States, or under the auspices of any agency
25        or  department of any other State, and service during any
26        period  of  professional  speech  correction  or  special
27        education experience for  a  public  agency  within  this
28        State  or  any  other  State,  territory,  dependency  or
29        possession  of  the  United  States, and service prior to
30        February 1, 1951 as a recreation worker for the  Illinois
31        Department  of  Public Safety, for a period not exceeding
                            -2-                LRB9002670EGfg
 1        the lesser of 2/5 of the total creditable service of  the
 2        member  or  10  years.   The  maximum service of 10 years
 3        which is allowable under this paragraph shall be  reduced
 4        by  the  service  credit  which  is  validated  by  other
 5        retirement  systems under paragraph (i) of Section 15-113
 6        and paragraph 1 of Section 17-133.  Credit granted  under
 7        this  paragraph  may  not  be  used in determination of a
 8        retirement annuity  or  disability  benefits  unless  the
 9        member  has at least 5 years of creditable service earned
10        subsequent to this employment with one  or  more  of  the
11        following  systems:  Teachers'  Retirement  System of the
12        State of Illinois, State Universities Retirement  System,
13        and  the  Public  School Teachers' Pension and Retirement
14        Fund of Chicago.  Whenever such  service  credit  exceeds
15        the maximum allowed for all purposes of this Article, the
16        first   service  rendered  in  point  of  time  shall  be
17        considered. The changes to this subdivision  (b)(2)  made
18        by  Public Act 86-272 shall apply not only to persons who
19        on or after its effective date (August 23, 1989)  are  in
20        service  as  a  teacher  under  the  System,  but also to
21        persons whose status as such a teacher  terminated  prior
22        to  such effective date, whether or not such person is an
23        annuitant on that date.
24             (3)  Any  periods  immediately  following   teaching
25        service,  under  this  System  or  under  Article 17, (or
26        immediately following service prior to February  1,  1951
27        as  a  recreation  worker  for the Illinois Department of
28        Public Safety) spent in active service with the  military
29        forces  of  the  United States or the United States Peace
30        Corps; periods spent in educational programs that prepare
31        for  return  to  teaching  sponsored   by   the   federal
32        government  following  such active military service; if a
33        teacher returns to teaching service within  one  calendar
34        year  after  discharge  or  after  the  completion of the
                            -3-                LRB9002670EGfg
 1        educational program, a further period, not exceeding  one
 2        calendar  year, between time spent in military service or
 3        in such educational programs and the return to employment
 4        as a teacher under this System; and a period of up  to  2
 5        years   of   active   military  service  not  immediately
 6        following employment as a teacher.
 7             For the purpose of this Section and Section  16-128,
 8        "military  service" includes service in the United States
 9        Peace Corps.
10             The changes  to  this  Section  and  Section  16-128
11        relating  to military service made by this amendatory Act
12        of 1997 and P.A. 87-794 shall  apply  without  regard  to
13        whether  the  person  is  in  service  on  or  after  the
14        effective  date  of  the amendment or not only to persons
15        who on or after its effective date are in  service  as  a
16        teacher  under  the  System,  but  also  to persons whose
17        status as  a  teacher  terminated  prior  to  that  date,
18        whether  or  not the person is an annuitant on that date.
19        In the case  of  an  annuitant  who  applies  for  credit
20        allowable  under  this  Section  for a period of military
21        service that was served in the Peace  Corps  or  did  not
22        immediately  follow  employment,  and  who  has  made the
23        required contributions for such credit, the annuity shall
24        be recalculated to include the additional service credit,
25        with the increase taking effect on the  date  the  System
26        received  written  notification of the annuitant's intent
27        to purchase the credit, if payment of  all  the  required
28        contributions  is  made within 60 days of such notice, or
29        else on the first annuity payment date following the date
30        of payment of the required contributions.  In calculating
31        the automatic annual increase for  an  annuity  that  has
32        been  recalculated  under    this  Section,  the increase
33        attributable to the additional  service  allowable  under
34        this  amendatory  Act  of  1997  or  P.A. 87-794 shall be
                            -4-                LRB9002670EGfg
 1        included in the calculation of automatic annual increases
 2        accruing after the effective date of the recalculation.
 3             Credit for military service shall be  determined  as
 4        follows:  if  entry  occurs  during  the  months of July,
 5        August, or September and the member was a teacher at  the
 6        end  of  the  immediately  preceding  school term, credit
 7        shall be granted from July 1 of the year in which  he  or
 8        she  entered  service;  if entry occurs during the school
 9        term and the teacher  was  in  teaching  service  at  the
10        beginning  of  the  school  term, credit shall be granted
11        from July 1 of such year. In all other cases where credit
12        for military service is allowed, credit shall be  granted
13        from the date of entry into the service.
14             The  total  period  of  military  service  for which
15        credit is granted shall not exceed 5 years for any member
16        unless the service:  (A)  is  validated  before  July  1,
17        1964,  and  (B)  does  not  extend  beyond  July 1, 1963.
18        Credit for military service shall be granted  under  this
19        Section  only  if  not  more than 5 years of the military
20        service for which credit is granted under this Section is
21        used by the member to qualify for a  military  retirement
22        allotment  from  any  branch  of  the armed forces of the
23        United States. The changes  to  this  subdivision  (b)(3)
24        made by Public Act 86-272 shall apply not only to persons
25        who  on or after its effective date (August 23, 1989) are
26        in service as a teacher under the  System,  but  also  to
27        persons  whose  status as such a teacher terminated prior
28        to such effective date, whether or not such person is  an
29        annuitant on that date.
30             (4)  Any  periods  served as a member of the General
31        Assembly.
32             (5)(i)  Any periods for which a teacher, as  defined
33        in  Section  16-106,  is  granted  a  leave  of  absence,
34        provided he or she returns to teaching service creditable
                            -5-                LRB9002670EGfg
 1        under  this  System  or the State Universities Retirement
 2        System following the leave; (ii) periods during  which  a
 3        teacher is involuntarily laid off from teaching, provided
 4        he  or she returns to teaching following the lay-off; and
 5        (iii) periods prior  to  July  1,  1983  during  which  a
 6        teacher  ceased  covered  employment  due  to  pregnancy,
 7        provided  that  the  teacher returned to teaching service
 8        creditable under this System or  the  State  Universities
 9        Retirement  System  following  the  pregnancy and submits
10        evidence satisfactory to the Board documenting  that  the
11        employment  ceased  due  to  pregnancy.   However,  total
12        credit under this paragraph (5) may not exceed 3 years.
13             Any  qualified  member  or  annuitant  may apply for
14        credit under item (iii) of  this  paragraph  (5)  without
15        regard  to  whether  service  was  terminated  before the
16        effective date of this amendatory Act of  1995.   In  the
17        case  of  an  annuitant who establishes credit under item
18        (iii), the annuity shall be recalculated to  include  the
19        additional service credit.  The increase in annuity shall
20        take  effect  on  the  date  the  System receives written
21        notification of the annuitant's intent  to  purchase  the
22        credit,  if  the  required  evidence is submitted and the
23        required  contribution  paid  within  60  days  of   that
24        notification, otherwise on the first annuity payment date
25        following  the  System's receipt of the required evidence
26        and   contribution.    The   increase   in   an   annuity
27        recalculated under this provision shall  be  included  in
28        the  calculation  of  automatic  annual  increases in the
29        annuity  accruing  after  the  effective  date   of   the
30        recalculation.
31             Optional   credit   may   be  purchased  under  this
32        subsection (b)(5) for periods during which a teacher  has
33        been granted a leave of absence pursuant to Section 24-13
34        of  the  School Code.  A teacher whose service under this
                            -6-                LRB9002670EGfg
 1        Article terminated prior to the effective  date  of  P.A.
 2        86-1488  shall  be  eligible  to  purchase  such optional
 3        credit.  If a teacher who purchases this optional  credit
 4        is  already  receiving  a  retirement  annuity under this
 5        Article, the annuity shall  be  recalculated  as  if  the
 6        annuitant  had applied for the leave of absence credit at
 7        the time  of  retirement.   The  difference  between  the
 8        entitled annuity and the actual annuity shall be credited
 9        to the purchase of the optional credit.  The remainder of
10        the purchase cost of the optional credit shall be paid on
11        or before April 1, 1992.
12             The  change  in  this  paragraph  made by Public Act
13        86-273 shall be applicable to teachers who  retire  after
14        June  1,  1989, as well as to teachers who are in service
15        on that date.
16             (6)  Any   days   of   unused   and    uncompensated
17        accumulated  sick leave earned by a teacher.  The service
18        credit granted under this paragraph shall be the ratio of
19        the number of unused and uncompensated  accumulated  sick
20        leave  days to 170 days, subject to a maximum of one year
21        of service credit.  Prior  to  the  member's  retirement,
22        each  former  employer  shall  certify  to the System the
23        number of unused and uncompensated accumulated sick leave
24        days credited to the member at the time of termination of
25        service. The period of unused sick  leave  shall  not  be
26        considered   in   determining   the   effective  date  of
27        retirement.   A  member   is   not   required   to   make
28        contributions  in  order  to  obtain  service  credit for
29        unused sick leave.
30             Credit for  sick  leave  shall,  at  retirement,  be
31        granted  by  the  System  for  any  retiring  regional or
32        assistant regional superintendent of schools at the  rate
33        of  6  days  per  year  of  creditable service or portion
34        thereof established while serving as such  superintendent
                            -7-                LRB9002670EGfg
 1        or assistant superintendent.
 2             (7)  Periods  prior to February 1, 1987 served as an
 3        employee of the Illinois Mathematics and Science  Academy
 4        for  which  credit  has not been terminated under Section
 5        15-113.9 of this Code.
 6             (8)  Service  as  a  substitute  teacher  for   work
 7        performed prior to July 1, 1990.
 8             (9)  Service   as   a  part-time  teacher  for  work
 9        performed prior to July 1, 1990.
10             (10)  Up to 2  years  of  employment  with  Southern
11        Illinois  University  - Carbondale from September 1, 1959
12        to August 31, 1961, or with  Governors  State  University
13        from  September 1, 1972 to August 31, 1974, for which the
14        teacher has no  credit  under  Article  15.   To  receive
15        credit  under  this  item  (10),  a teacher must apply in
16        writing to the Board and pay the  required  contributions
17        before  May 1, 1993 and have at least 12 years of service
18        credit under this Article.
19        (c)  The service credits specified in this Section  shall
20    be  granted  only  if:  (1) such service credits are not used
21    for  credit  in  any  other  statutory  tax-supported  public
22    employee retirement system  other  than  the  federal  Social
23    Security  program;  and  (2)  the  member  makes the required
24    contributions as specified in Section  16-128.   The  service
25    credit  shall  be  effective  as  of  the  date  the required
26    contributions are completed.
27        Any service credits  granted  under  this  Section  shall
28    terminate upon cessation of membership for any cause.
29        Credit may not be granted under this Section covering any
30    period  for  which an age retirement or disability retirement
31    allowance has been paid.
32    (Source: P.A. 88-45; 89-430, eff. 12-15-95.)
33        Section 99. Effective date.  This Act takes  effect  upon
                            -8-                LRB9002670EGfg
 1    becoming law.

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