BRADLEY AND MCAULIFFE.
PEN CD-CHGO FIRE-ANNUAL INCR
Synopsis of Bill as introduced:
Amends the Chicago Firefighter Article of the Illinois Pension
Code. Compounds the automatic annual increase in retirement annuity.
Increases the rate of increase to 3% and removes the 30% maximum for
all firemen, regardless of date of birth. For certain firemen with at
least 20 years of service, makes the initial annual increase occur on
the first anniversary of retirement, regardless of age. Amends the
State Mandates Act to require implementation without reimbursement.
PENSION NOTE (Pension Laws Commission)
Based on a December 31, 2000 actuarial valuation, HB 409 would
increase the accrued liability of the Chicago Firefighters'
Fund by an estimated $139.8 million. The level dollar annual
payment needed to amortize the estimated increase in unfunded
liability over 40 years is $11.5 million. The estimated annual
increase in normal cost is $4.4 million, or 1.59% of payroll.
Therefore, the estimated increase in total annual cost is $15.8
million, or 5.75% of payroll. As annual normal cost increases
(as a dollar amount), the total annual cost will also increase.
Last action on Bill: SESSION SINE DIE
Last action date: JAN-07-2003
Amendments to Bill: AMENDMENTS ADOPTED: HOUSE - 0 SENATE - 0
END OF INQUIRY
Full Text Bill Status