POE-KLINGLER-HANNIG-PHELPS-JONES,JOHN, WOOLARD, GRANBERG,
BOST, WINKEL, MYERS, WIRSING, BRADY, RUTHERFORD, BLACK,
NOLAND, BEAUBIEN, STEPHENS, MOFFITT, MEYER, MURPHY,
MITCHELL, LAWFER, HOEFT, TURNER,JOHN, WAIT AND DURKIN.
PUBLIC EMPL PENSION EQUITY ACT
Synopsis of Bill as introduced:
Creates the Public Employee Pension Equity Act. Contains only
the short title.
PENSION IMPACT NOTE
No fiscal impact at this time.
PENSION IMPACT NOTE, ENGROSSED
No change from previous note.
SENATE AMENDMENT NO. 1.
Adds reference to:
5 ILCS 375/3 from Ch. 127, par. 523
5 ILCS 375/10 from Ch. 127, par. 530
30 ILCS 105/14a from Ch. 127, par. 150a
40 ILCS 5/14-103.12 from Ch. 108 1/2, par. 14-103.1
40 ILCS 5/14-108 from Ch. 108 1/2, par. 14-108
40 ILCS 5/14-131 from Ch. 108 1/2, par. 14-131
40 ILCS 5/15-134 from Ch. 108 1/2, par. 15-134
40 ILCS 5/15-135 from Ch. 108 1/2, par. 15-135
40 ILCS 5/15-136 from Ch. 108 1/2, par. 15-136
Replaces everything. Amends the State Employee Article of the
Pension Code to provide for a new retirement formula of 1.67% per year
of service for regular coordinated members and 2.2% per year of
service for regular noncoordinated members. Also allows persons who
retire under the alternative (State police) formula to have their
benefits based on last-day salary rather than a 48-month average.
Increases the required State contribution to the System through FY
2011. Amends the State Universities Article of the Pension Code to
provide for a new retirement formula of 2.2% per year of service.
Increases the maximum retirement annuity from 75% to 80% of the final
rate of earnings. For persons who retire after 1997 and before 2003,
allows retirement at any age with a specified amount of service
(between 30 and 35 years). Amends the State Employees Group Insurance
Act of 1971 to require that certain new annuitants and survivors of
the State Employees' Retirement System and the State Universities
Retirement System make contributions toward the cost of their basic
group health insurance. Requires the Executive Secretary of SERS to
verify health care premiums. Amends the State Finance Act to provide
that State employees shall not be entitled to compensation for unused
sick leave accumulated on or after January 1, 1998. Effective
SENATE AMENDMENT NO. 3.
Changes language relating to review of State employee group
health plan premiums by the Executive Secretary of the State
Employees' Retirement System.
SENATE AMENDMENT NO. 4.
Adds reference to:
40 ILCS 5/15-112 from Ch. 108 1/2, par. 15-112
40 ILCS 5/15-113.2 from Ch. 108 1/2, par. 15-113.2
40 ILCS 5/15-113.3 from Ch. 108 1/2, par. 15-113.3
40 ILCS 5/15-113.4 from Ch. 108 1/2, par. 15-113.4
40 ILCS 5/15-113.5 from Ch. 108 1/2, par. 15-113.5
40 ILCS 5/15-113.7 from Ch. 108 1/2, par. 15-113.7
40 ILCS 5/15-125 from Ch. 108 1/2, par. 15-125
40 ILCS 5/15-136.2 from Ch. 108 1/2, par. 15-136.2
40 ILCS 5/15-143 from Ch. 108 1/2, par. 15-143
40 ILCS 5/15-153.2 from Ch. 108 1/2, par. 15-153.2
40 ILCS 5/15-157 from Ch. 108 1/2, par. 15-157
40 ILCS 5/15-167.2 from Ch. 108 1/2, par. 15-167.2
40 ILCS 5/15-168.1 new
40 ILCS 5/15-185 from Ch. 108 1/2, par. 15-185
40 ILCS 5/15-190 from Ch. 108 1/2, par. 15-190
40 ILCS 5/15-191 from Ch. 108 1/2, par. 15-191
Amends the State Universities Article of the Pension Code.
Increases the System's authority to issue bonds, allowing up to
$20,000,000 to be outstanding at any one time. Limits existing
benefits by: (i) excluding certain earnings after June 30, 1997 from
the calculation of the final rate of earnings; (ii) imposing
additional requirements on return to service following a leave of
absence; (iii) requiring a return to service within one year after
discharge in order to obtain credit for military service; (iv)
removing a provision allowing beneficiaries to elect to receive death
benefits in multiple payments; and (v) limiting credit for unused sick
leave. (Article 13, Section 5 of the Illinois Constitution may
prevent these limitations from applying to certain current or former
members.) Changes the definition of "effective rate of interest" by
adding additional factors to be included in determining the rate,
including the desirability of minimizing volatility in the rate from
year to year; states that the change is a clarification of existing
law. Changes provisions relating to the calculation of interest when
purchasing military service credit. Grants the Secretary of the Board
the power to issue subpoenas. Allows annuitants and beneficiaries to
authorize withholding from their annuities and benefits. Allows the
System to pay benefits to the trustee of a trust created for the
benefit of a minor or person under legal disability; provides that the
System is not responsible for determining the validity of the trust
and must conclusively rely on the representations of the trustee.
Extends the deadline for early retirement without discount to
September 1, 2002. Allows a person formerly employed by the
University of Illinois athletic association to become a participant.
Also makes technical changes.
Last action on Bill: PUBLIC ACT.............................. 90-0065
Last action date: 97-07-07
Amendments to Bill: AMENDMENTS ADOPTED: HOUSE - 0 SENATE - 3
END OF INQUIRY
Full Text Bill Status