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91_SB1517
LRB9112170EGfg
1 AN ACT to amend the Illinois Pension Code and the State
2 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 8-243.2 as follows:
7 (40 ILCS 5/8-243.2) (from Ch. 108 1/2, par. 8-243.2)
8 Sec. 8-243.2. Alternative annuity for city officers.
9 (a) For the purposes of this Section and Sections
10 8-243.1 and 8-243.3, "city officer" means the city clerk, the
11 city treasurer, or an alderman of the city elected by vote of
12 the people, while serving in that capacity or as provided in
13 subsection (f), who has elected to participate in the Fund.
14 (b) Any elected city officer, while serving in that
15 capacity or as provided in subsection (f), may elect to
16 establish alternative credits for an alternative annuity by
17 electing in writing to make additional optional
18 contributions in accordance with this Section and the
19 procedures established by the board. Such elected city
20 officer may discontinue making the additional optional
21 contributions by notifying the Fund in writing in accordance
22 with this Section and procedures established by the board.
23 Additional optional contributions for the alternative
24 annuity shall be as follows:
25 (1) For service after the option is elected, an
26 additional contribution of 3% of salary shall be
27 contributed to the Fund on the same basis and under the
28 same conditions as contributions required under Sections
29 8-174 and 8-182.
30 (2) For service before the option is elected, an
31 additional contribution of 3% of the salary for the
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1 applicable period of service, plus interest at the
2 effective rate from the date of service to the date of
3 payment. All payments for past service must be paid in
4 full before credit is given. No additional optional
5 contributions may be made for any period of service for
6 which credit has been previously forfeited by acceptance
7 of a refund, unless the refund is repaid in full with
8 interest at the effective rate from the date of refund to
9 the date of repayment.
10 (c) In lieu of the retirement annuity otherwise payable
11 under this Article, any city officer elected by vote of the
12 people who (1) has elected to participate in the Fund and
13 make additional optional contributions in accordance with
14 this Section, and (2) has attained age 55 60 with at least 10
15 years of service credit, or has attained age 60 65 with at
16 least 8 years of service credit, may elect to have his
17 retirement annuity computed as follows: 3% of the
18 participant's salary at the time of termination of service
19 for each of the first 8 years of service credit, plus 4% of
20 such salary for each of the next 4 years of service credit,
21 plus 5% of such salary for each year of service credit in
22 excess of 12 years, subject to a maximum of 80% of such
23 salary. To the extent such elected city officer has made
24 additional optional contributions with respect to only a
25 portion of his years of service credit, his retirement
26 annuity will first be determined in accordance with this
27 Section to the extent such additional optional contributions
28 were made, and then in accordance with the remaining Sections
29 of this Article to the extent of years of service credit with
30 respect to which additional optional contributions were not
31 made.
32 (d) In lieu of the disability benefits otherwise payable
33 under this Article, any city officer elected by vote of the
34 people who (1) has elected to participate in the Fund, and
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1 (2) has become permanently disabled and as a consequence is
2 unable to perform the duties of his office, and (3) was
3 making optional contributions in accordance with this Section
4 at the time the disability was incurred, may elect to receive
5 a disability annuity calculated in accordance with the
6 formula in subsection (c). For the purposes of this
7 subsection, such elected city officer shall be considered
8 permanently disabled only if: (i) disability occurs while in
9 service as an elected city officer and is of such a nature as
10 to prevent him from reasonably performing the duties of his
11 office at the time; and (ii) the board has received a written
12 certification by at least 2 licensed physicians appointed by
13 it stating that such officer is disabled and that the
14 disability is likely to be permanent.
15 (e) Refunds of additional optional contributions shall
16 be made on the same basis and under the same conditions as
17 provided under Sections 8-168, 8-170 and 8-171. Interest
18 shall be credited at the effective rate on the same basis and
19 under the same conditions as for other contributions.
20 Optional contributions shall be accounted for in a separate
21 Elected City Officer Optional Contribution Reserve. Optional
22 contributions under this Section shall be included in the
23 amount of employee contributions used to compute the tax levy
24 under Section 8-173.
25 (f) The effective date of this plan of optional
26 alternative benefits and contributions shall be July 1, 1990,
27 or the date upon which approval is received from the U.S.
28 Internal Revenue Service, whichever is later.
29 The plan of optional alternative benefits and
30 contributions shall not be available to any former city
31 officer or employee receiving an annuity from the Fund on the
32 effective date of the plan, unless he re-enters service as an
33 elected city officer and renders at least 3 years of
34 additional service after the date of re-entry. However, a
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1 person who holds office as a city officer on June 1, 1995
2 April 30, 1991 may elect to participate in the plan, to
3 transfer credits into the Fund from other Articles of this
4 Code, and to make the contributions required for prior
5 service, until 30 days after the effective date of this
6 amendatory Act of the 91st General Assembly the plan takes
7 effect, notwithstanding the ending of his term of office
8 prior to that effective date; in the event that the person is
9 already receiving an annuity from this Fund or any other
10 Article of this Code at the time of making this election, the
11 annuity shall be recalculated to include any increase
12 resulting from participation in the plan, with such increase
13 taking effect on the effective date of the election plan.
14 (Source: P.A. 86-1488; 87-794.)
15 Section 90. The State Mandates Act is amended by adding
16 Section 8.24 as follows:
17 (30 ILCS 805/8.24 new)
18 Sec. 8.24. Exempt mandate. Notwithstanding Sections 6
19 and 8 of this Act, no reimbursement by the State is required
20 for the implementation of any mandate created by this
21 amendatory Act of the 91st General Assembly.
22 Section 99. Effective date. This Act takes effect upon
23 becoming law.