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90_HB3098
40 ILCS 5/3-111 from Ch. 108 1/2, par. 3-111
40 ILCS 5/3-111.1 from Ch. 108 1/2, par. 3-111.1
40 ILCS 5/3-112.1 new
30 ILCS 805/8.22 new
Amends the Downstate Police Article of the Pension Code
to provide a noncompounded 3% annual increase in survivor
pensions. Bases the calculation of retirement pensions and
the initial automatic annual increase in retirement pension
on the number of months (rather than full years) of
creditable service; makes the resulting increases apply to
currently payable pensions beginning January 1, 1999. Amends
the State Mandates Act to require implementation without
reimbursement. Effective immediately.
LRB9008748EGfg
LRB9008748EGfg
1 AN ACT to amend the Illinois Pension Code by changing
2 Sections 3-111 and 3-111.1 and adding Section 3-112.1 and to
3 amend the State Mandates Act.
4 Be it enacted by the People of the State of Illinois,
5 represented in the General Assembly:
6 Section 5. The Illinois Pension Code is amended by
7 changing Sections 3-111 and 3-111.1 and adding Section
8 3-112.1 as follows:
9 (40 ILCS 5/3-111) (from Ch. 108 1/2, par. 3-111)
10 Sec. 3-111. Pension.
11 (a) A police officer age 50 or more with 20 or more
12 years of creditable service, who is no longer in service as a
13 police officer, shall receive a pension of 1/2 of the salary
14 attached to the rank held by the officer on the police force
15 for one year immediately prior to retirement or, beginning
16 July 1, 1987 for persons terminating service on or after that
17 date, the salary attached to the rank held on the last day of
18 service or for one year prior to the last day, whichever is
19 greater. The pension shall be increased by 1/12th of 2% of
20 such salary for each additional month year of service over 20
21 years, up to 30 years, and by 1/12th of 1% of such salary for
22 each additional month year of service over 30 years, to a
23 maximum of 75% of such salary. No pension in effect on or
24 granted after June 30, l973 shall be less than $200 per
25 month. Beginning July 1, 1987, the minimum retirement
26 pension for a police officer having at least 20 years of
27 creditable service shall be $400 per month, without regard to
28 whether or not retirement occurred prior to that date.
29 (b) A police officer mandatorily retired from service
30 due to age by operation of law, having at least 8 but less
31 than 20 years of creditable service, shall receive a pension
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1 equal to 1/12th of 2.5% 2 1/2% of the salary attached to the
2 rank he or she held on the police force for one year
3 immediately prior to retirement or, beginning July 1, 1987
4 for persons terminating service on or after that date, the
5 salary attached to the rank held on the last day of service
6 or for one year prior to the last day, whichever is greater,
7 for each month year of creditable service.
8 A police officer who retires or is separated from service
9 having at least 8 years but less than 20 years of creditable
10 service, who is not mandatorily retired due to age by
11 operation of law, and who does not apply for a refund of
12 contributions at his or her last separation from police
13 service, shall receive a pension upon attaining age 60 equal
14 to 1/12th of 2.5% of the salary attached to the rank held by
15 the police officer on the police force for one year
16 immediately prior to retirement or, beginning July 1, 1987
17 for persons terminating service on or after that date, the
18 salary attached to the rank held on the last day of service
19 or for one year prior to the last day, whichever is greater,
20 for each month year of creditable service.
21 (c) A police officer no longer in service who has at
22 least one but less than 8 years of creditable service in a
23 police pension fund but meets the requirements of this
24 subsection (c) shall be eligible to receive a pension from
25 that fund equal to 1/12th of 2.5% of the salary attached to
26 the rank held on the last day of service under that fund or
27 for one year prior to that last day, whichever is greater,
28 for each month year of creditable service in that fund. The
29 pension shall begin no earlier than upon attainment of age 60
30 (or upon mandatory retirement from the fund by operation of
31 law due to age, if that occurs before age 60) and in no event
32 before the effective date of this amendatory Act of 1997.
33 In order to be eligible for a pension under this
34 subsection (c), the police officer must have at least 8 years
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1 of creditable service in a second police pension fund under
2 this Article and be receiving a pension under subsection (a)
3 or (b) of this Section from that second fund. The police
4 officer need not be in service on or after the effective date
5 of this amendatory Act of 1997.
6 (d) The changes made to this Section by this amendatory
7 Act of 1998 apply to all pensions payable under this Section,
8 without regard to whether or not the police officer is in
9 service on or after the effective date of this amendatory
10 Act. Retirement pensions payable on the effective date of
11 this amendatory Act of 1998 that are affected by those
12 changes shall be recalculated and the increase resulting from
13 this amendatory Act of 1998, if any, shall begin to accrue on
14 January 1, 1999.
15 (Source: P.A. 90-460, eff. 8-17-97.)
16 (40 ILCS 5/3-111.1) (from Ch. 108 1/2, par. 3-111.1)
17 Sec. 3-111.1. Increase in pension.
18 (a) Except as provided in subsection (e), the monthly
19 pension of a police officer who retires after July 1, 1971,
20 and prior to January 1, 1986, shall be increased, upon either
21 the first of the month following the first anniversary of the
22 date of retirement if the officer is 60 years of age or over
23 at retirement date, or upon the first day of the month
24 following attainment of age 60 if it occurs after the first
25 anniversary of retirement, by 3% of the originally granted
26 pension and by an additional 3% of the originally granted
27 pension in January of each year thereafter.
28 (b) The monthly pension of a police officer who retired
29 from service with 20 or more years of service, on or before
30 July 1, 1971, shall be increased in January of the year
31 following the year of attaining age 65 or in January of 1972,
32 if then over age 65, by 3% of the originally granted pension
33 for each year the police officer received pension payments.
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1 In each January thereafter, he or she shall receive an
2 additional increase of 3% of the original pension.
3 (c) The monthly pension of a police officer who retires
4 on disability or is retired for disability shall be increased
5 in January of the year following the year of attaining age
6 60, by 0.25% 3% of the original grant of pension for each
7 month year he or she received pension payments. In each
8 January thereafter, the police officer shall receive an
9 additional increase of 3% of the original pension.
10 (d) The monthly pension of a police officer who retires
11 after January 1, 1986, shall be increased, upon either the
12 first of the month following the first anniversary of the
13 date of retirement if the officer is 55 years of age or over
14 at the retirement date, or upon the first day of the month
15 following attainment of age 55 if it occurs after the first
16 anniversary of retirement, by 0.25% 3% of the originally
17 granted pension for each full month year that has elapsed
18 since the pension began, and by an additional 3% of the
19 originally granted pension in January of each year
20 thereafter.
21 (e) Notwithstanding the provisions of subsection (a),
22 upon the first day of the month following (1) the first
23 anniversary of the date of retirement, or (2) the attainment
24 of age 55, or (3) July 1, 1987, whichever occurs latest, the
25 monthly pension of a police officer who retired on or after
26 January 1, 1977 and on or before January 1, 1986, and did not
27 receive an increase under subsection (a) before July 1, 1987,
28 shall be increased by 0.25% 3% of the originally granted
29 monthly pension for each full month year that has elapsed
30 since the pension began, and by an additional 3% of the
31 originally granted pension in each January thereafter. The
32 increases provided under this subsection are in lieu of the
33 increases provided in subsection (a).
34 (f) Notwithstanding the other provisions of this
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1 Section, beginning with increases granted on or after July 1,
2 1993, the second and all subsequent automatic annual
3 increases granted under subsection (a), (b), (d), or (e) of
4 this Section shall be calculated as 3% of the amount of
5 pension payable at the time of the increase, including any
6 increases previously granted under this Section, rather than
7 3% of the originally granted pension amount. Section 1-103.1
8 does not apply to this subsection (f).
9 (g) The changes made to subsections (c), (d), and (e) of
10 this Section by this amendatory Act of 1998 apply to all
11 increases under those subsections without regard to whether
12 or not the police officer is in service on or after the
13 effective date of this amendatory Act. Pensions payable on
14 the effective date of this amendatory Act of 1998 that are
15 affected by those changes shall be recalculated and the
16 increase resulting from this amendatory Act of 1998, if any,
17 shall begin to accrue on January 1, 1999.
18 (Source: P.A. 87-1265.)
19 (40 ILCS 5/3-112.1 new)
20 Sec. 3-112.1. Automatic annual increase in pension to
21 survivors. Beginning January 1, 1999, every pension payable
22 to the survivor of a deceased police officer shall be
23 increased on each January 1 occurring on or after the first
24 anniversary of the commencement of the pension by an amount
25 equal to 3% of the originally granted pension, without regard
26 to whether the deceased police officer was in service on or
27 after the effective date of this amendatory Act of 1998.
28 Section 90. The State Mandates Act is amended by adding
29 Section 8.22 as follows:
30 (30 ILCS 805/8.22 new)
31 Sec. 8.22. Exempt mandate. Notwithstanding Sections 6
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1 and 8 of this Act, no reimbursement by the State is required
2 for the implementation of any mandate created by this
3 amendatory Act of 1998.
4 Section 99. Effective date. This Act takes effect upon
5 becoming law.