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90_HB3572
40 ILCS 5/17-122 from Ch. 108 1/2, par. 17-122
30 ILCS 805/8.22 new
Amends the Chicago Teacher Article of the Pension Code to
increase the minimum total survivor's pension to 50% of the
earned retirement pension for survivors of members who died
before January 1, 1987. Amends the State Mandates Act to
require implementation without reimbursement. Effective
immediately.
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LRB9011533EGfg
1 AN ACT to amend the Illinois Pension Code by changing
2 Section 17-122 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 Section 17-122 as follows:
7 (40 ILCS 5/17-122) (from Ch. 108 1/2, par. 17-122)
8 Sec. 17-122. Survivor's and children's pensions - Amount.
9 Upon the death of a teacher who has completed at least 1 1/2
10 years of contributing service with either this Fund or the
11 State Universities Retirement System or the Teachers'
12 Retirement System of the State of Illinois, provided his
13 death occurred while (a) in active service covered by the
14 Fund or during his first 18 months of continuous employment
15 without a break in service under any other participating
16 system as defined in the Illinois Retirement Systems
17 Reciprocal Act except the State Universities Retirement
18 System and the Teachers' Retirement System of the State of
19 Illinois, (b) on a creditable leave of absence, (c) on a
20 noncreditable leave of absence of no more than one year, or
21 (d) a pension was deferred or pending provided the teacher
22 had at least 10 years of validated service credit, or upon
23 the death of a pensioner otherwise qualified for such
24 benefit, the surviving spouse and unmarried minor children of
25 the deceased teacher under age 18 shall be entitled to
26 pensions, under the conditions stated hereinafter. Such
27 survivor's and children's pensions shall be based on the
28 average of the 4 highest consecutive years of salary in the
29 last 10 years of service or on the average salary for total
30 service, if total service has been less than 4 years,
31 according to the following percentages:
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1 30% of average salary or 50% of the retirement pension
2 earned by the teacher, whichever is larger, subject to the
3 prescribed maximum monthly payment, for a surviving spouse
4 alone on attainment of age 50;
5 60% of average salary for a surviving spouse and
6 eligible minor children of the deceased teacher.
7 If no eligible spouse survives, or the surviving spouse
8 remarries, or the parent of the children of the deceased
9 member is otherwise ineligible for a survivor's pension, a
10 children's pension for eligible minor children under age 18
11 shall be paid to their parent or legal guardian for their
12 benefit according to the following percentages:
13 30% of average salary for one child;
14 60% of average salary for 2 or more children.
15 On January 1, 1981, any survivor or child who was
16 receiving a survivor's or children's pension on or before
17 January 1, 1971, shall have his survivor's or children's
18 pension then being paid increased by 1% for each full year
19 which has elapsed from the date the pension began. On January
20 1, 1982, any survivor or child whose pension began after
21 January 1, 1971, but before January 1, 1981, shall have his
22 survivor's or children's pension then being paid increased 1%
23 for each full year which has elapsed from the date the
24 pension began. On January 1, 1987, any survivor or child
25 whose pension began on or before January 1, 1977, shall have
26 the monthly survivor's or children's pension increased by $1
27 for each full year which has elapsed since the pension began.
28 Beginning January 1, 1990, every survivor's and
29 children's pension shall be increased (1) on each January 1
30 occurring on or after the commencement of the pension if the
31 deceased teacher died while receiving a retirement pension,
32 or (2) in other cases, on each January 1 occurring on or
33 after the first anniversary of the commencement of the
34 pension, by an amount equal to 3% of the current amount of
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1 the pension, including all increases previously granted under
2 this Article, notwithstanding Section 17-157. Such increases
3 shall apply without regard to whether the deceased teacher
4 was in service on or after the effective date of this
5 amendatory Act of 1991, but shall not accrue for any period
6 prior to January 1, 1990.
7 Subject to the minimum established below, the maximum
8 amount of pension for a surviving spouse alone or one minor
9 child shall be $400 per month, and the maximum combined
10 pensions for a surviving spouse and children of the deceased
11 teacher shall be $600 per month, with individual pensions
12 adjusted for all beneficiaries pro rata to conform with this
13 limitation. If proration is unnecessary the minimum
14 survivor's and children's pensions shall be $40 per month.
15 The minimum total survivor's and children's pension payable
16 upon the death of a contributor or annuitant which occurs
17 after December 31, 1986, shall be 50% of the earned
18 retirement pension of such contributor or annuitant,
19 calculated without early retirement discount in the case of
20 death in service. Beginning January 1, 1999, the minimum
21 total survivor's pension payable upon the death of a
22 contributor or annuitant that occurred before January 1, 1987
23 shall be 50% of the earned retirement pension of the
24 contributor or annuitant, calculated without early retirement
25 discount in the case of death in service, and notwithstanding
26 Section 17-157.
27 On death after retirement, the total survivor's and
28 children's pensions shall not exceed the monthly retirement
29 or disability pension paid to the deceased retirant.
30 Survivor's and children's benefits described in this Section
31 shall apply to all service and disability pensioners eligible
32 for a pension as of July 1, 1981.
33 (Source: P.A. 90-32, eff. 6-27-97; 90-566, eff. 1-2-98.)
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1 Section 90. The State Mandates Act is amended by adding
2 Section 8.22 as follows:
3 (30 ILCS 805/8.22 new)
4 Sec. 8.22. Exempt mandate. Notwithstanding Sections 6
5 and 8 of this Act, no reimbursement by the State is required
6 for the implementation of any mandate created by this
7 amendatory Act of 1998.
8 Section 99. Effective date. This Act takes effect upon
9 becoming law.