[ Search ] [ Legislation ] [ Bill Summary ]
[ Home ] [ Back ] [ Bottom ]
90_HB2594 40 ILCS 5/5-132 from Ch. 108 1/2, par. 5-132 40 ILCS 5/5-148 from Ch. 108 1/2, par. 5-148 30 ILCS 805/8.22 new Amends the Chicago Police Article of the Pension Code to provide an increase in the retirement benefit formula. Changes the maximum annuity from 75% to 80% of average salary. Provides for 2.5% (rather than 2%) of average salary for each year of service beyond 20. Applies to persons withdrawing from service after December 31, 1998. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately. LRB9009029EGfg LRB9009029EGfg 1 AN ACT to amend the Illinois Pension Code by changing 2 Sections 5-132 and 5-148 and to amend the State Mandates Act. 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 Sections 5-132 and 5-148 as follows: 7 (40 ILCS 5/5-132) (from Ch. 108 1/2, par. 5-132) 8 Sec. 5-132. Minimum annuity. 9 (A) Any policeman who withdraws on or after July 8, 10 1957, or any policeman transferred to the police service of 11 the city under the Exchange of Functions Act of 1957 who 12 withdraws on or after July 17, 1959, after completing at 13 least 20 years of service, for whom the annuity otherwise 14 provided in this Article is less than that stated in this 15 Section, has a right to receive annuity as follows: 16 (a) If he is age 55 or more on withdrawal, his 17 annuity after
suchwithdrawal ,shall be equal to 2% of 18 theaverage salary for 4 consecutive years of highest19 salaries within the last 10 years of service before20 withdrawal,for each year of service, together with 1/6 21 of 1% of suchaverage salary for each complete month of 22 service of each fractional year, but not in excess of 75% 23 of the average annual salary. 24 (b) If he is age 50 or more but less than age 55 on 25 withdrawal, his annuity shall be equal to 2% of the26 average salary for the 4 highest consecutive years of the27 last 10 years of servicefor each year of service, 28 together with 1/16 of 1% of suchaverage salary for each 29 month of each fractional year of service, reduced by 1/2 30 of 1% for each month that he is less than age 55. 31 (c) If he is less than age 50 on withdrawal, he -2- LRB9009029EGfg 1 may, upon attainment of age 50 or over, become entitled 2 to the annuity provided in this Section or ,he may, upon 3 application before age 50, receive a refund of the 4 deductions from salary, plus interest at 1 1/2% per annum 5 if he is entitled to refund under Section 5-163. 6 (d) In lieu of the annuity provided in the 7 foregoing provisions of this Section 5-132 any policeman 8 who withdraws from the service after December 31, 1973, 9 after having attained age 53 in the service with 23 or 10 more years of service credit shall be entitled to an 11 annuity computed as follows if such annuity is greater 12 than that provided in the foregoing paragraphs of this 13 Section 5-132: An annuity equal to 50% of theaverage 14 salary for the 4 highest consecutive years of the last 1015 years of serviceplus additional annuity equal to 2% of 16 suchaverage salary for each completed year of service or 17 fraction thereof rendered after his attainment of age 53 18 and the completion of 23 years of service. 19 Any policeman who has completed 23 years of service 20 prior to his attainment of age 53 in the service and 21 continues in the service until his attainment of age 53 22 shall have added to his annuity, computed as provided in 23 the immediately preceding paragraph, an additional 24 annuity equal to 1% of suchaverage salary for each 25 completed year of service or fraction thereof in excess 26 of 23 years up to age 53. 27 (e) In lieu of the annuity provided in the 28 foregoing provisions of this Section, any policeman who 29 withdraws from the service either (i) after December 31, 30 1983 with at least 22 years of service credit and having 31 attained age 52 in the service, or (ii) after December 32 31, 1984 with at least 21 years of service credit and 33 having attained age 51 in the service, or (iii) after 34 December 31, 1985 with at least 20 years of service -3- LRB9009029EGfg 1 credit and having attained age 50 in the service, or (iv) 2 after December 31, 1990, with at least 20 years of 3 service credit regardless of age, shall be entitled to an 4 annuity to begin not earlier than upon attainment of age 5 50 if under such age at withdrawal, computed as follows: 6 an annuity equal to 50% of theaverage salary for the 47 highest consecutive years of the last 10 years of8 service,plus additional annuity equal to 2% of such9 average salary for each completed year of service or 10 fraction thereof rendered after his completion of the 11 minimum number of years of service required for him to be 12 eligible under this subsection (e). However, the annuity 13 provided under this subsection (e) may not exceed 75% of 14 suchaverage salary. 15 (f) In lieu of the annuity provided in the 16 foregoing provisions of this Section, a policeman who 17 withdraws from the service after December 31, 1998 with 18 at least 20 years of service credit may elect to receive 19 an annuity, to begin not earlier than upon attainment of 20 age 50 if under that age at withdrawal, equal to 50% of 21 average salary plus 2.5% of average salary for each 22 completed year of service or fraction thereof in excess 23 of 20, but not to exceed a maximum of 80% of average 24 salary. 25 (B) A policeman withdrawing after September 1, 1969, 26 may, in addition, be entitled to the benefits provided by 27 Section 5-167.1 of this Article if he so qualifies under that 28 Section. 29 (C) If, on withdrawal, total service is less than 20 30 years, the policeman shall not be entitled to an annuity 31 under this Section but may receive an annuity under the other 32 provisions of this Article or, if entitled thereto under 33 Section 5-163, a refund of the deductions from salary, 34 including, in the case of policemen transferred to the police -4- LRB9009029EGfg 1 service of the city under the Exchange of Functions Act of 2 1957, the additional contribution paid on salary received 3 from August 1, 1957, to July 17, 1959, as provided in the 4 Park Policemen's Annuity Act, together with interest at 1 5 1/2% per annum. 6 Moneys voluntarily contributed under the Policemen's 7 Annuity and Benefit Fund Act of the Illinois Municipal Code, 8 or the Park Policemen's Annuity Act, shall be refunded to the 9 contributing policemen who were in service on January 1, 10 1954, or in the case of policemen transferred to the police 11 service of the city under the Exchange of Functions Act of 12 1957, who were in service on July 17, 1959. 13 The age and service annuity formula in this Section shall 14 not apply to any policeman who, having retired before July 8, 15 1957, or before July 17, 1959, in the case of a policeman 16 transferred under the provisions of the Exchange of Functions 17 Act of 1957, re-enters the police service after such dates, 18 whichever are applicable. 19 (D) For the purpose of this Section, "average salary" 20 means the average of the highest 4 consecutive years of 21 salary within the last 10 years of service. 22 (Source: P.A. 86-1488.) 23 (40 ILCS 5/5-148) (from Ch. 108 1/2, par. 5-148) 24 Sec. 5-148. Maximum annuities. No annuity in excess of 25 75% of the highest salary considered for annuity purposes in 26 accordance with this Article (80% in the case of a policeman 27 whose annuity is calculated under subdivision (A)(f) of 28 Section 5-132) shall be payable to a policeman, or to the 29 widow of a policeman whose death results from injury incurred 30 in the performance of an act of duty. No amount of annuity 31 in excess of $500 per month shall be payable to the widow of 32 a policeman whose death results from any cause other than 33 injury incurred in the performance of an act of duty, except -5- LRB9009029EGfg 1 as provided in Section 5-136.1. 2 If, when a policeman's annuity is fixed, there is to his 3 credit, for such annuity, an amount in excess of that 4 necessary to provide an annuity of 75% of his highest salary 5 (80% in the case of a policeman whose annuity is calculated 6 under subdivision (A)(f) of Section 5-132), 7/24 of such 7 excess shall be refunded if the policeman is a future 8 entrant; and if he is a present employee, there shall be 9 refunded ,a part of such excess amount proportionately equal 10 to that part of the entire amount to his credit for such 11 annuity purposes, which the sum that has resulted from salary 12 deductions bears to such entire amount. 13 Until January 1, 1986, if, when a widow's annuity is 14 fixed, there is to the policeman's credit, for widow's 15 annuity, an amount in excess of that necessary to provide an 16 annuity of $500 per month, 1/3 of such excess shall be 17 refunded to the policeman if he is a future entrant; and, if 18 he is a present employee, there shall be refunded a part of 19 such excess amount proportionately equal to that part of the 20 entire amount to his credit for such annuity purposes which 21 the sum that has resulted from employee contributions bears 22 to such entire amount. If the widow's annuity is fixed on or 23 after January 1, 1986, no refund of excess contributions 24 shall be made under this paragraph. 25 Until January 1, 1986, if at the time of the death of a 26 policeman resulting from injury incurred in the performance 27 of an act of duty, there is to his credit, for widow's 28 annuity, an amount in excess of that necessary to provide an 29 annuity of 75% of his highest salary, or $500 per month if 30 death results from any other cause, 1/3 of such excess shall 31 be refunded to his widow if he was a future entrant; and, if 32 he was a present employee, there shall be refunded to his 33 widow a part of such excess amount proportionately equal to 34 that part of the entire amount to his credit for such annuity -6- LRB9009029EGfg 1 purposes which the sum that has resulted from employee's 2 contributions bears to such entire amount. If employee dies 3 in service on or after January 1, 1986, no refund of excess 4 contributions shall be made under this paragraph. 5 This amendatory Act of 1972 does not increase the amount 6 of any widow's annuity which is fixed before the effective 7 date of this amendatory Act of 1972. 8 (Source: P.A. 84-1104.) 9 Section 90. The State Mandates Act is amended by adding 10 Section 8.22 as follows: 11 (30 ILCS 805/8.22 new) 12 Sec. 8.22. Exempt mandate. Notwithstanding Sections 6 13 and 8 of this Act, no reimbursement by the State is required 14 for the implementation of any mandate created by this 15 amendatory Act of 1998. 16 Section 99. Effective date. This Act takes effect upon 17 becoming law.
[ Top ]