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Public Act 093-0665
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| HB0585 Enrolled |
LRB093 05674 EFG 05767 b |
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AN ACT in relation to pensions.
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Be it enacted by the People of the State of Illinois, |
represented in the General Assembly:
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Section 5. The State Finance Act is amended by changing
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Sections 8.12, 8a, and 14.1 and adding Section 6z-61 as |
follows:
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(30 ILCS 105/6z-61 new)
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Sec. 6z-61. Transfers from Pension Contribution Fund.
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(a) As soon as practicable after the effective date of this
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amendatory Act of the 93rd General Assembly, the State |
Comptroller shall
direct and the State Treasurer shall transfer |
from the Pension
Contribution Fund to the Teachers' Retirement |
System of Illinois
an amount equal to the unexpended balance of |
the fiscal year 2004
appropriations to the System from the |
General Revenue Fund, the
Education Assistance Fund, the Common |
School Fund, and the State
Pensions Fund so that the amount |
received by the System in fiscal year
2004 is equal to the |
fiscal year 2004 certified contribution amount for
the System |
as determined under Section 16-158 of the Illinois Pension |
Code.
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(b) As soon as practicable after the effective date of this
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amendatory Act of the 93rd General Assembly, the State |
Comptroller shall
direct and the State Treasurer shall transfer |
from the Pension
Contribution Fund to the State Universities |
Retirement System an amount
equal to the unexpended balance of |
the fiscal year 2004 appropriations to
the System from the |
General Revenue Fund, the Education Assistance Fund,
and the |
State Pensions Fund so that the amount received by the System
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in fiscal year 2004 is equal to the fiscal year 2004 certified
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contribution amount for the System as determined under Section |
15-165 of the
Illinois Pension Code.
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(c) As soon as practicable after the effective date of this
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amendatory Act of the 93rd General Assembly, the State |
Comptroller shall
direct and the State Treasurer shall transfer |
from the Pension
Contribution Fund to the Judges Retirement |
System of Illinois an amount
equal to the unexpended balance of |
the fiscal year 2004 appropriations to
the System from the |
General Revenue Fund and the State Pensions Fund so
that the |
amount received by the System in fiscal year 2004 is equal to
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the fiscal year 2004 certified contribution amount for the |
System as
determined under Section 18-140 of the Illinois |
Pension Code.
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(d) As soon as practicable after the effective date of this
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amendatory Act of the 93rd General Assembly, the State |
Comptroller shall
direct and the State Treasurer shall transfer |
from the Pension
Contribution Fund to the General Assembly |
Retirement System an amount
equal to the unexpended balance of |
the fiscal year 2004 appropriations to
the System from the |
General Revenue Fund and the State Pensions Fund so
that the |
amount received by the System in fiscal year 2004 is equal to
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the fiscal year 2004 certified contribution amount for the |
System as
determined under Section 2-134 of the Illinois |
Pension Code.
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(e) As soon as practicable after the effective date of this
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amendatory Act of the 93rd General Assembly, and taking into
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consideration the transfers provided for by subsections (a), |
(b), (c), and (d),
the State Comptroller shall direct and the |
State Treasurer shall
transfer the remaining balance in the |
Pension Contribution Fund to the
State Employees' Retirement |
System of Illinois.
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(30 ILCS 105/8.12)
(from Ch. 127, par. 144.12)
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Sec. 8.12. State Pensions Fund.
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(a) The moneys in the State Pensions Fund shall be used |
exclusively
for the administration of the Uniform Disposition |
of Unclaimed Property Act and
for the payment of or repayment |
to the General Revenue Fund a portion of
the required State |
contributions to the
designated retirement systems.
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"Designated retirement systems" means:
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(1) the State Employees' Retirement System of |
Illinois;
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(2) the Teachers' Retirement System of the State of |
Illinois;
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(3) the State Universities Retirement System;
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(4) the Judges Retirement System of Illinois; and
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(5) the General Assembly Retirement System.
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(b) Each year the General Assembly may make appropriations |
from
the State Pensions Fund for the administration of the |
Uniform Disposition of
Unclaimed Property Act.
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Each month, the Commissioner of the Office of Banks and |
Real Estate shall
certify to the State Treasurer the actual |
expenditures that the Office of
Banks and Real Estate incurred |
conducting unclaimed property examinations under
the Uniform |
Disposition of Unclaimed Property Act during the immediately
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preceding month. Within a reasonable
time following the |
acceptance of such certification by the State Treasurer, the
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State Treasurer shall pay from its appropriation from the State |
Pensions Fund
to the Bank and Trust Company Fund and the |
Savings and Residential Finance
Regulatory Fund an amount equal |
to the expenditures incurred by each Fund for
that month.
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Each month, the Director of Financial Institutions shall
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certify to the State Treasurer the actual expenditures that the |
Department of
Financial Institutions incurred conducting |
unclaimed property examinations
under the Uniform Disposition |
of Unclaimed Property Act during the immediately
preceding |
month. Within a reasonable time following the acceptance of |
such
certification by the State Treasurer, the State Treasurer |
shall pay from its
appropriation from the State Pensions Fund
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to the Financial Institutions Fund and the Credit Union Fund
an |
amount equal to the expenditures incurred by each Fund for
that |
month.
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(c) Each year the General Assembly shall appropriate a |
total amount
equal to the balance in the State Pensions Fund at |
the close of business on
June 30 of the preceding fiscal year, |
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less $5,000,000, as part of the required
State contributions to |
the designated retirement systems. The amount of the
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appropriation to each designated retirement system shall |
constitute a portion
of the total appropriation under this |
subsection for that fiscal year which is
the same as that |
retirement system's portion of the total actuarial reserve
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deficiency of the systems, as most recently determined by the
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Governor's Office of Management and Budget
Bureau of the
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Budget.
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(d) The
Governor's Office of Management and Budget
Bureau |
of the Budget shall determine the individual and total
reserve |
deficiencies of the designated retirement systems. For this |
purpose,
the
Governor's Office of Management and Budget
Bureau |
of the Budget shall utilize the latest available audit and |
actuarial
reports of each of the retirement systems and the |
relevant reports and
statistics of the Public Employee Pension |
Fund Division of the Department of
Insurance.
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(d-1) As soon as practicable after the effective date of |
this
amendatory Act of the 93rd General Assembly, the |
Comptroller shall
direct and the Treasurer shall transfer from |
the State Pensions Fund to
the General Revenue Fund, as funds |
become available, a sum equal to the
amounts that would have |
been paid
from the State Pensions Fund to the Teachers' |
Retirement System of the State
of Illinois,
the State |
Universities Retirement System, the Judges Retirement
System |
of Illinois, the
General Assembly Retirement System, and the |
State Employees'
Retirement System
of Illinois
after the |
effective date of this
amendatory Act during the remainder of |
fiscal year 2004 to the
designated retirement systems from the |
appropriations provided for in
this Section if the transfers |
provided in Section 6z-61 had not
occurred. The transfers |
described in this subsection (d-1) are to
partially repay the |
General Revenue Fund for the costs associated with
the bonds |
used to fund the moneys transferred to the designated
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retirement systems under Section 6z-61.
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(e) The changes to this Section made by this amendatory Act |
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of 1994 shall
first apply to distributions from the Fund for |
State fiscal year 1996.
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(Source: P.A. 91-16, eff. 7-1-99; revised 8-23-03.)
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(30 ILCS 105/8a)
(from Ch. 127, par. 144a)
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Sec. 8a. Common School Fund; transfers to Common School |
Fund and Education
Assistance Fund.
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(a) Except as provided in subsection (b) of this
Section |
and except as otherwise provided in this subsection (a) with
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respect to amounts transferred from the General Revenue Fund to |
the Common
School Fund for distribution therefrom for the |
benefit of the Teachers'
Retirement System of the State of |
Illinois and the Public School Teachers'
Pension and Retirement |
Fund of Chicago:
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(1) With respect to all school districts, for each |
fiscal year other
than fiscal year 1994, on or before the |
eleventh and
twenty-first days of each of the months of |
August through the following July,
at a time or times |
designated by the Governor, the State Treasurer
and the |
State Comptroller shall transfer from the General Revenue
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Fund to the Common School Fund and Education Assistance |
Fund, as
appropriate, 1/24 or so much thereof as may be
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necessary of the amount appropriated to the State Board of |
Education for
distribution to all school districts from |
such Common School Fund and
Education Assistance Fund, for |
the
fiscal year, including interest on the School Fund |
proportionate for that
distribution for such year.
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(2) With respect to all school districts, but for |
fiscal year 1994 only,
on the 11th day of August, 1993 and |
on or before the 11th and
21st days of each of the months |
of October, 1993 through July, 1994 at a time
or times |
designated by the Governor, the State Treasurer and the |
State
Comptroller shall transfer from the General Revenue |
Fund to the Common School
Fund 1/24 or so much thereof as |
may be necessary of the amount appropriated to
the State |
Board of Education for distribution to all school districts |
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from such
Common School Fund, for fiscal year 1994, |
including interest on the School Fund
proportionate for |
that distribution for such year; and on or before the 21st
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day of August, 1993 at a time or times designated by the |
Governor, the State
Treasurer and the State Comptroller |
shall transfer from the General Revenue
Fund to the Common |
School Fund 3/24 or so much thereof as may be necessary of
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the amount appropriated to the State Board of Education for |
distribution to all
school districts from the Common School |
Fund, for fiscal year 1994, including
interest |
proportionate for that distribution on the School Fund for |
such fiscal
year.
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The amounts of the payments made in July of each year: (i) |
shall be
considered an outstanding liability as of the 30th day |
of June immediately
preceding those July payments, within the |
meaning of Section 25 of this Act;
(ii) shall be payable from |
the appropriation for the fiscal year that ended on
that 30th |
day of June; and (iii) shall be considered payments for claims
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covering the school year that commenced during the immediately |
preceding
calendar year.
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Notwithstanding the foregoing provisions of this |
subsection, as soon
as may be after the 10th and 20th days of |
each of the months of August
through May, 1/24, and on or as |
soon as may be after the 10th and 20th days of June, 1/12 of the |
annual amount appropriated to the
State Board of Education for |
distribution and payment during that fiscal year
from the |
Common School Fund to and for the benefit of the Teachers' |
Retirement
System of the State of Illinois (until the end of |
State fiscal year 1995)
and the Public School Teachers' Pension |
and Retirement Fund of Chicago as
provided by the Illinois |
Pension Code and Section 18-7 of the School Code, or
so much |
thereof as may be necessary, shall be transferred by the State
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Treasurer and the State Comptroller from the General Revenue |
Fund to the Common
School Fund to permit semi-monthly payments |
from the Common School Fund to and
for the benefit of such |
teacher retirement systems as required by Section 18-7
of the |
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School Code.
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Notwithstanding the other provisions of this Section, on or |
as soon as
may be after the 15th day of each month, beginning |
in July of 1995, 1/12
of the annual amount appropriated for |
that fiscal year from the Common School
Fund to the Teachers' |
Retirement System of the State of Illinois (other than
amounts |
appropriated under Section 1.1 of the State Pension Funds |
Continuing
Appropriation Act), or so much thereof as may be |
necessary, shall be
transferred by the State Treasurer and the |
State Comptroller from the General
Revenue Fund to the Common |
School Fund to permit monthly payments from the
Common School |
Fund to that retirement system in accordance with Section |
16-158
of the Illinois Pension Code and Section 18-7 of the |
School Code, except that
such transfers in fiscal year 2004 |
from the General Revenue Fund
to the Common School Fund for the |
benefit of the Teachers' Retirement System of
the State of |
Illinois shall be reduced in the aggregate by the State
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Comptroller and
State Treasurer to adjust for the amount |
transferred to the Teachers'
Retirement System of the State of |
Illinois pursuant to subsection (a) of
Section 6z-61.
Amounts
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appropriated to the Teachers' Retirement System of the State of |
Illinois under
Section 1.1 of the State Pension Funds |
Continuing Appropriation Act shall be
transferred by the State |
Treasurer and the State Comptroller from the General
Revenue |
Fund to the Common School Fund as necessary to provide for the |
payment
of vouchers drawn against those appropriations.
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The Governor may notify the State Treasurer and the State |
Comptroller to
transfer, at a time designated by the Governor, |
such additional amount as
may be necessary to effect advance |
distribution to school districts of amounts
that otherwise |
would be payable in the next month pursuant to Sections 18-8
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through 18-10 of the School Code. The State Treasurer and the |
State Comptroller
shall thereupon transfer such additional |
amount. The aggregate amount
transferred from the General |
Revenue Fund to the Common School Fund in the
eleven months |
beginning August 1 of any fiscal year shall not be in excess
of |
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the amount necessary for payment of claims certified by the |
State
Superintendent of Education pursuant to the |
appropriation of the Common
School Fund for that fiscal year. |
Notwithstanding the provisions of the
first paragraph in this |
section, no transfer to effect an advance
distribution shall be |
made in any month except on notification, as provided
above, by |
the Governor.
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The State Comptroller and State Treasurer shall transfer |
from the General
Revenue Fund to the Common School Fund and the |
Education Assistance Fund
such amounts as may be required to
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honor the vouchers presented by the State Board of Education |
pursuant to
Sections 18-3, 18-4.3, 18-5, 18-6 and 18-7 of the |
School Code.
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The State Comptroller shall report all transfers provided |
for in this Act
to the President of the Senate, Minority Leader |
of the Senate, Speaker of
the House, and Minority Leader of the |
House.
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(b) On or before the 11th and 21st days of each of the |
months of June,
1982 through July, 1983, at a time or times |
designated by the Governor,
the State Treasurer and the State |
Comptroller shall transfer from the General
Revenue Fund to the |
Common School Fund 1/24 or so much thereof as may be
necessary |
of the amount appropriated to the State Board of Education for
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distribution from such Common School Fund, for that same fiscal |
year, including
interest on the School Fund for such year. The |
amounts of the payments
in the months of July, 1982 and July, |
1983 shall be considered an outstanding
liability as of the |
30th day of June immediately preceding such July payment,
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within the meaning of Section 25 of this Act, and shall be |
payable from
the appropriation for the fiscal year which ended |
on such 30th day of June,
and such July payments shall be |
considered payments for claims covering
school years 1981-1982 |
and 1982-1983 respectively.
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In the event the Governor makes notification to effect |
advanced distribution
under the provisions of subsection (a) of |
this Section, the aggregate amount
transferred from the General |
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Revenue Fund to the Common School Fund in the
12 months |
beginning August 1, 1981 or the 12 months beginning August 1,
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1982 shall not be in excess of the amount necessary for payment |
of claims
certified by the State Superintendent of Education |
pursuant to the
appropriation of the Common School Fund for the |
fiscal years commencing on
the first of July of the years 1981 |
and 1982.
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(Source: P.A. 90-372, eff. 7-1-98; 90-587, eff. 7-1-98; 91-96, |
eff. 7-9-99.)
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(30 ILCS 105/14.1)
(from Ch. 127, par. 150.1)
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Sec. 14.1. Appropriations for State contributions to the |
State
Employees' Retirement System; payroll requirements.
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(a) Appropriations for State contributions to the State
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Employees' Retirement System of Illinois shall be expended in |
the manner
provided in this Section.
Except as otherwise |
provided in subsection (a-1),
at the time of each payment of |
salary to an
employee under the personal services line item, |
payment shall be made to
the State Employees' Retirement |
System, from the amount appropriated for
State contributions to |
the State Employees' Retirement System, of an amount
calculated |
at the rate certified for the applicable fiscal year by the
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Board of Trustees of the State Employees' Retirement System |
under Section
14-135.08 of the Illinois Pension Code. If a line |
item appropriation to an
employer for this purpose is |
unavailable or exhausted, the amounts shall be
paid under the |
continuing appropriation for this purpose contained in the |
State
Pension Funds Continuing Appropriation Act.
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(a-1) Beginning on the effective date of this amendatory |
Act of the 93rd
General Assembly through the payment of the |
final payroll from fiscal
year 2004 appropriations, |
appropriations for State contributions to the
State Employees' |
Retirement System of Illinois shall be expended in the
manner |
provided in this subsection (a-1). At the time of each payment |
of
salary to an employee under the personal services line item |
from a fund
other than the General Revenue Fund, payment shall |
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be made for deposit
into the General Revenue Fund from the |
amount appropriated for State
contributions to the State |
Employees' Retirement System of an amount
calculated at the |
rate certified for fiscal year 2004 by the Board of
Trustees of |
the State Employees' Retirement System under Section
14-135.08 |
of the Illinois Pension Code. This payment shall be made to
the |
extent that a line item appropriation to an employer for this |
purpose is
available or unexhausted. No payment from |
appropriations for State
contributions shall be made in |
conjunction with payment of salary to an
employee under the |
personal services line item from the General Revenue
Fund.
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(b) Except during the period beginning on the effective |
date of this
amendatory
Act of the 93rd General Assembly and |
ending at the time of the payment of the
final payroll from |
fiscal year 2004 appropriations, the State Comptroller
shall |
not approve for payment any payroll
voucher that (1) includes |
payments of salary to eligible employees in the
State |
Employees' Retirement System of Illinois and (2) does not |
include the
corresponding payment of State contributions to |
that retirement system at the
full rate certified under Section |
14-135.08 for that fiscal year for eligible
employees, unless |
the balance in the fund on which the payroll voucher is drawn
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is insufficient to pay the total payroll voucher. If the State |
Comptroller
approves a payroll voucher under this Section for |
which the fund balance is
insufficient to pay the full amount |
of the required State contribution to the
State Employees' |
Retirement System, the Comptroller shall promptly so notify
the |
Retirement System.
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(Source: P.A. 88-593, eff. 8-22-94; 89-136, eff. 7-14-95.)
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Section 10. The General Obligation Bond Act is amended by |
changing
Section 7.2 as follows:
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(30 ILCS 330/7.2)
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Sec. 7.2. State pension funding.
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(a) The amount of $10,000,000,000 is authorized to be used |
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for the
purpose of making contributions to the designated |
retirement systems.
For the purposes of this Section, |
"designated retirement systems" means
the State Employees' |
Retirement System of Illinois;
the Teachers' Retirement System |
of the State of Illinois;
the State Universities Retirement |
System;
the Judges Retirement System of Illinois; and
the |
General Assembly Retirement System.
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(b) The Pension Contribution Fund is created as a special |
fund in the
State Treasury.
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The proceeds of the additional $10,000,000,000 of Bonds |
authorized by this
amendatory Act of the 93rd General Assembly, |
less the amounts authorized in the
Bond Sale Order to be |
deposited directly into the capitalized interest account
of the |
General Obligation Bond Retirement and Interest Fund or |
otherwise
directly paid out for bond sale expenses under |
Section 8, shall be deposited
into the Pension Contribution |
Fund and used as provided in this Section.
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(c) Of the amount of Bond proceeds first deposited into the |
Pension
Contribution Fund, there shall be reserved for |
transfers under this subsection
the sum of $300,000,000, |
representing the required State contributions to the
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designated retirement systems for the last quarter of State |
fiscal year 2003,
plus the sum of $1,860,000,000, representing |
the required State contributions
to the designated retirement |
systems for State fiscal year 2004.
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Upon the deposit of sufficient moneys into the Pension |
Contribution
Fund, the Comptroller and Treasurer shall |
immediately transfer the sum of
$300,000,000 from the Pension |
Contribution Fund to the General Revenue Fund.
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Whenever any payment of required State contributions for |
State fiscal year
2004 is made to one of the designated |
retirement systems, the Comptroller and
Treasurer shall, as |
soon as practicable, transfer from the Pension Contribution
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Fund to the General Revenue Fund an amount equal to the amount |
of that payment
to the designated retirement system.
Beginning |
on the effective date of this amendatory Act of the 93rd
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|
General Assembly, the transfers from the Pension Contribution |
Fund to
the General Revenue Fund shall be suspended until June |
30, 2004, and
the remaining balance in the Pension Contribution |
Fund shall be
transferred directly to the designated retirement |
systems as provided
in Section 6z-61 of the State Finance Act. |
On and after July 1, 2004, in the
event that
any amount is on |
deposit in the Pension Contribution Fund from time to
time
If |
the amount reserved for these
transfers exceeds the total |
amount of fiscal year 2004 payments of required
State |
contributions to the designated retirement systems, the |
Comptroller and
Treasurer shall continue to make such transfers |
based on fiscal year 2005
payments until the entire amount on |
deposit
reserved has been
transferred.
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(d) All amounts deposited into the Pension Contribution |
Fund, other
than the amounts reserved for the transfers under |
subsection (c), shall be
appropriated to the designated |
retirement systems to reduce their actuarial
reserve |
deficiencies. The amount of the appropriation to each |
designated
retirement system shall constitute a portion of the |
total appropriation under
this subsection that is the same as |
that retirement system's portion of the
total actuarial reserve |
deficiency of the systems, as most recently determined
by the
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Governor's Office of Management and Budget
Bureau of the Budget |
under Section 8.12 of the State Finance Act.
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Within 15 days after any Bond proceeds in excess of the |
amounts initially
reserved under subsection (c) are deposited |
into the Pension Contribution
Fund, the
Governor's Office of |
Management and Budget
Bureau of the Budget shall (i) allocate |
those proceeds among the
designated retirement systems in |
proportion to their respective actuarial
reserve deficiencies, |
as most recently determined under Section 8.12 of the
State |
Finance Act, and (ii) certify those allocations to the |
designated
retirement systems and the Comptroller.
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Upon receiving certification of an allocation under this |
subsection, a
designated retirement system shall submit to the |
Comptroller a voucher for
the amount of its allocation. The |
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voucher shall be paid out of the amount
appropriated to that |
designated retirement system from the Pension Contribution
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Fund pursuant to this subsection.
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(Source: P.A. 93-2, eff. 4-7-03; revised 8-23-03.)
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Section 15. The Illinois Pension Code is amended by |
changing
Sections 2-134, 14-131, 16-158, 15-165, and 18-140 as |
follows:
|
(40 ILCS 5/2-134)
(from Ch. 108 1/2, par. 2-134)
|
Sec. 2-134. To certify required State contributions and |
submit vouchers.
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(a) The Board shall certify to the Governor on or before |
November 15 of each
year the amount of the required State |
contribution to the System for the next
fiscal year. The |
certification shall include a copy of the actuarial
|
recommendations upon which it is based.
|
On or before May 1, 2004, the Board shall recalculate and |
recertify to
the Governor the amount of the required State |
contribution to the System for
State fiscal year 2005, taking |
into account the amounts appropriated to and
received by the |
System under subsection (d) of Section 7.2 of the General
|
Obligation Bond Act.
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(b) Beginning in State fiscal year 1996, on or as soon as |
possible after the
15th day of each month the Board shall |
submit vouchers for payment of State
contributions to the |
System, in a total monthly amount of one-twelfth of the
|
required annual State contribution certified under subsection |
(a).
From the effective date of this amendatory Act
of the 93rd |
General Assembly through June 30, 2004, the Board shall not
|
submit vouchers for the remainder of fiscal year 2004 in excess |
of the
fiscal year 2004 certified contribution amount |
determined
under this Section after taking into consideration |
the transfer to the
System under subsection (d) of Section |
6z-61 of the State Finance Act.
These
vouchers shall be paid by |
the State Comptroller and Treasurer by warrants drawn
on the |
|
funds appropriated to the System for that fiscal year. If in |
any month
the amount remaining unexpended from all other |
appropriations to the System for
the applicable fiscal year |
(including the appropriations to the System under
Section 8.12 |
of the State Finance Act and Section 1 of the State Pension |
Funds
Continuing Appropriation Act) is less than the amount |
lawfully vouchered under
this Section, the difference shall be |
paid from the General Revenue Fund under
the continuing |
appropriation authority provided in Section 1.1 of the State
|
Pension Funds Continuing Appropriation Act.
|
(c) The full amount of any annual appropriation for the |
System for
State fiscal year 1995 shall be transferred and made |
available to the System
at the beginning of that fiscal year at |
the request of the Board.
Any excess funds remaining at the end |
of any fiscal year from appropriations
shall be retained by the |
System as a general reserve to meet the System's
accrued |
liabilities.
|
(Source: P.A. 93-2, eff. 4-7-03.)
|
(40 ILCS 5/14-131)
(from Ch. 108 1/2, par. 14-131)
|
Sec. 14-131. Contributions by State.
|
(a) The State shall make contributions to the System by |
appropriations of
amounts which, together with other employer |
contributions from trust, federal,
and other funds, employee |
contributions, investment income, and other income,
will be |
sufficient to meet the cost of maintaining and administering |
the System
on a 90% funded basis in accordance with actuarial |
recommendations.
|
For the purposes of this Section and Section 14-135.08, |
references to State
contributions refer only to employer |
contributions and do not include employee
contributions that |
are picked up or otherwise paid by the State or a
department on |
behalf of the employee.
|
(b) The Board shall determine the total amount of State |
contributions
required for each fiscal year on the basis of the |
actuarial tables and other
assumptions adopted by the Board, |
|
using the formula in subsection (e).
|
The Board shall also determine a State contribution rate |
for each fiscal
year, expressed as a percentage of payroll, |
based on the total required State
contribution for that fiscal |
year (less the amount received by the System from
|
appropriations under Section 8.12 of the State Finance Act and |
Section 1 of the
State Pension Funds Continuing Appropriation |
Act, if any, for the fiscal year
ending on the June 30 |
immediately preceding the applicable November 15
certification |
deadline), the estimated payroll (including all forms of
|
compensation) for personal services rendered by eligible |
employees, and the
recommendations of the actuary.
|
For the purposes of this Section and Section 14.1 of the |
State Finance Act,
the term "eligible employees" includes |
employees who participate in the System,
persons who may elect |
to participate in the System but have not so elected,
persons |
who are serving a qualifying period that is required for |
participation,
and annuitants employed by a department as |
described in subdivision (a)(1) or
(a)(2) of Section 14-111.
|
(c) Contributions shall be made by the several departments |
for each pay
period by warrants drawn by the State Comptroller |
against their respective
funds or appropriations based upon |
vouchers stating the amount to be so
contributed. These amounts |
shall be based on the full rate certified by the
Board under |
Section 14-135.08 for that fiscal year.
From the effective date |
of this amendatory Act of the 93rd General
Assembly through the |
payment of the final payroll from fiscal year 2004
|
appropriations, the several departments shall not make |
contributions
for the remainder of fiscal year 2004 but shall |
instead make payments
as required under subsection (a-1) of |
Section 14.1 of the State Finance Act.
The several departments |
shall resume those contributions at the commencement of
fiscal |
year 2005.
|
(d) If an employee is paid from trust funds or federal |
funds, the
department or other employer shall pay employer |
contributions from those funds
to the System at the certified |
|
rate, unless the terms of the trust or the
federal-State |
agreement preclude the use of the funds for that purpose, in
|
which case the required employer contributions shall be paid by |
the State.
From the effective date of this amendatory
Act of |
the 93rd General Assembly through the payment of the final
|
payroll from fiscal year 2004 appropriations, the department or |
other
employer shall not pay contributions for the remainder of |
fiscal year
2004 but shall instead make payments as required |
under subsection (a-1) of
Section 14.1 of the State Finance |
Act. The department or other employer shall
resume payment of
|
contributions at the commencement of fiscal year 2005.
|
(e) For State fiscal years 2011 through 2045, the minimum |
contribution
to the System to be made by the State for each |
fiscal year shall be an amount
determined by the System to be |
sufficient to bring the total assets of the
System up to 90% of |
the total actuarial liabilities of the System by the end
of |
State fiscal year 2045. In making these determinations, the |
required State
contribution shall be calculated each year as a |
level percentage of payroll
over the years remaining to and |
including fiscal year 2045 and shall be
determined under the |
projected unit credit actuarial cost method.
|
For State fiscal years 1996 through 2010, the State |
contribution to
the System, as a percentage of the applicable |
employee payroll, shall be
increased in equal annual increments |
so that by State fiscal year 2011, the
State is contributing at |
the rate required under this Section; except that
(i) for State |
fiscal year 1998, for all purposes of this Code and any other
|
law of this State, the certified percentage of the applicable |
employee payroll
shall be 5.052% for employees earning eligible |
creditable service under Section
14-110 and 6.500% for all |
other employees, notwithstanding any contrary
certification |
made under Section 14-135.08 before the effective date of this
|
amendatory Act of 1997, and (ii)
in the following specified |
State fiscal years, the State contribution to
the System shall |
not be less than the following indicated percentages of the
|
applicable employee payroll, even if the indicated percentage |
|
will produce a
State contribution in excess of the amount |
otherwise required under this
subsection and subsection (a):
|
9.8% in FY 1999;
10.0% in FY 2000;
10.2% in FY 2001;
10.4% in FY |
2002;
10.6% in FY 2003; and
10.8% in FY 2004.
|
Beginning in State fiscal year 2046, the minimum State |
contribution for
each fiscal year shall be the amount needed to |
maintain the total assets of
the System at 90% of the total |
actuarial liabilities of the System.
|
Notwithstanding any other provision of this Section, the |
required State
contribution for State fiscal year 2005 and each |
fiscal year thereafter, as
calculated under this Section and
|
certified under Section 14-135.08, shall not exceed an amount |
equal to (i) the
amount of the required State contribution that |
would have been calculated under
this Section for that fiscal |
year if the System had not received any payments
under |
subsection (d) of Section 7.2 of the General Obligation Bond |
Act, minus
(ii) the portion of the State's total debt service |
payments for that fiscal
year on the bonds issued for the |
purposes of that Section 7.2, as determined
and certified by |
the Comptroller, that is the same as the System's portion of
|
the total moneys distributed under subsection (d) of Section |
7.2 of the General
Obligation Bond Act.
|
(f) After the submission of all payments for eligible |
employees
from personal services line items in fiscal year 2004 |
have been made,
the Comptroller shall provide to the System a |
certification of the sum
of all fiscal year 2004 expenditures |
for personal services that would
have been covered by payments |
to the System under this Section if the
provisions of this |
amendatory Act of the 93rd General Assembly had not been
|
enacted. Upon
receipt of the certification, the System shall |
determine the amount
due to the System based on the full rate |
certified by the Board under
Section 14-135.08 for fiscal year |
2004 in order to meet the State's
obligation under this |
Section. The System shall compare this amount
due to the amount |
received by the System in fiscal year 2004 through
payments |
under this Section and under Section 6z-61 of the State Finance |
|
Act.
If the amount
due is more than the amount received, the |
difference shall be termed the
"Fiscal Year 2004 Shortfall" for |
purposes of this Section, and the
Fiscal Year 2004 Shortfall |
shall be satisfied under Section 1.2 of the State
Pension Funds |
Continuing Appropriation Act. If the amount due is less than |
the
amount received, the
difference shall be termed the "Fiscal |
Year 2004 Overpayment" for purposes of
this Section, and the |
Fiscal Year 2004 Overpayment shall be repaid by
the System to |
the Pension Contribution Fund as soon as practicable
after the |
certification.
|
(Source: P.A. 93-2, eff. 4-7-03.)
|
(40 ILCS 5/16-158)
(from Ch. 108 1/2, par. 16-158)
|
Sec. 16-158. Contributions by State and other employing |
units.
|
(a) The State shall make contributions to the System by |
means of
appropriations from the Common School Fund and other |
State funds of amounts
which, together with other employer |
contributions, employee contributions,
investment income, and |
other income, will be sufficient to meet the cost of
|
maintaining and administering the System on a 90% funded basis |
in accordance
with actuarial recommendations.
|
The Board shall determine the amount of State contributions |
required for
each fiscal year on the basis of the actuarial |
tables and other assumptions
adopted by the Board and the |
recommendations of the actuary, using the formula
in subsection |
(b-3).
|
(a-1) Annually, on or before November 15, the Board shall |
certify to the
Governor the amount of the required State |
contribution for the coming fiscal
year. The certification |
shall include a copy of the actuarial recommendations
upon |
which it is based.
|
On or before May 1, 2004, the Board shall recalculate and |
recertify to
the Governor the amount of the required State |
contribution to the System for
State fiscal year 2005, taking |
into account the amounts appropriated to and
received by the |
|
System under subsection (d) of Section 7.2 of the General
|
Obligation Bond Act.
|
(b) Through State fiscal year 1995, the State contributions |
shall be
paid to the System in accordance with Section 18-7 of |
the School Code.
|
(b-1) Beginning in State fiscal year 1996, on the 15th day |
of each month,
or as soon thereafter as may be practicable, the |
Board shall submit vouchers
for payment of State contributions |
to the System, in a total monthly amount of
one-twelfth of the |
required annual State contribution certified under
subsection |
(a-1).
From the
effective date of this amendatory Act of the |
93rd General Assembly
through June 30, 2004, the Board shall |
not submit vouchers for the
remainder of fiscal year 2004 in |
excess of the fiscal year 2004
certified contribution amount |
determined under this Section
after taking into consideration |
the transfer to the System
under subsection (a) of Section |
6z-61 of the State Finance Act.
These vouchers shall be paid by |
the State Comptroller and
Treasurer by warrants drawn on the |
funds appropriated to the System for that
fiscal year.
|
If in any month the amount remaining unexpended from all |
other appropriations
to the System for the applicable fiscal |
year (including the appropriations to
the System under Section |
8.12 of the State Finance Act and Section 1 of the
State |
Pension Funds Continuing Appropriation Act) is less than the |
amount
lawfully vouchered under this subsection, the |
difference shall be paid from the
Common School Fund under the |
continuing appropriation authority provided in
Section 1.1 of |
the State Pension Funds Continuing Appropriation Act.
|
(b-2) Allocations from the Common School Fund apportioned |
to school
districts not coming under this System shall not be |
diminished or affected by
the provisions of this Article.
|
(b-3) For State fiscal years 2011 through 2045, the minimum |
contribution
to the System to be made by the State for each |
fiscal year shall be an amount
determined by the System to be |
sufficient to bring the total assets of the
System up to 90% of |
the total actuarial liabilities of the System by the end of
|
|
State fiscal year 2045. In making these determinations, the |
required State
contribution shall be calculated each year as a |
level percentage of payroll
over the years remaining to and |
including fiscal year 2045 and shall be
determined under the |
projected unit credit actuarial cost method.
|
For State fiscal years 1996 through 2010, the State |
contribution to the
System, as a percentage of the applicable |
employee payroll, shall be increased
in equal annual increments |
so that by State fiscal year 2011, the State is
contributing at |
the rate required under this Section; except that in the
|
following specified State fiscal years, the State contribution |
to the System
shall not be less than the following indicated |
percentages of the applicable
employee payroll, even if the |
indicated percentage will produce a State
contribution in |
excess of the amount otherwise required under this subsection
|
and subsection (a), and notwithstanding any contrary |
certification made under
subsection (a-1) before the effective |
date of this amendatory Act of 1998:
10.02% in FY 1999;
10.77% |
in FY 2000;
11.47% in FY 2001;
12.16% in FY 2002;
12.86% in FY |
2003; and
13.56% in FY 2004.
|
Beginning in State fiscal year 2046, the minimum State |
contribution for
each fiscal year shall be the amount needed to |
maintain the total assets of
the System at 90% of the total |
actuarial liabilities of the System.
|
Notwithstanding any other provision of this Section, the |
required State
contribution for State fiscal year 2005 and each |
fiscal year thereafter, as
calculated under this Section and
|
certified under subsection (a-1), shall not exceed an amount |
equal to (i) the
amount of the required State contribution that |
would have been calculated under
this Section for that fiscal |
year if the System had not received any payments
under |
subsection (d) of Section 7.2 of the General Obligation Bond |
Act, minus
(ii) the portion of the State's total debt service |
payments for that fiscal
year on the bonds issued for the |
purposes of that Section 7.2, as determined
and certified by |
the Comptroller, that is the same as the System's portion of
|
|
the total moneys distributed under subsection (d) of Section |
7.2 of the General
Obligation Bond Act.
|
(c) Payment of the required State contributions and of all |
pensions,
retirement annuities, death benefits, refunds, and |
other benefits granted
under or assumed by this System, and all |
expenses in connection with the
administration and operation |
thereof, are obligations of the State.
|
If members are paid from special trust or federal funds |
which are
administered by the employing unit, whether school |
district or other
unit, the employing unit shall pay to the |
System from such
funds the full accruing retirement costs based |
upon that
service, as determined by the System. Employer |
contributions, based on
salary paid to members from federal |
funds, may be forwarded by the distributing
agency of the State |
of Illinois to the System prior to allocation, in an
amount |
determined in accordance with guidelines established by such
|
agency and the System.
|
(d) Effective July 1, 1986, any employer of a teacher as |
defined in
paragraph (8) of Section 16-106 shall pay the |
employer's normal cost
of benefits based upon the teacher's |
service, in addition to
employee contributions, as determined |
by the System. Such employer
contributions shall be forwarded |
monthly in accordance with guidelines
established by the |
System.
|
However, with respect to benefits granted under Section |
16-133.4 or
16-133.5 to a teacher as defined in paragraph (8) |
of Section 16-106, the
employer's contribution shall be 12% |
(rather than 20%) of the member's
highest annual salary rate |
for each year of creditable service granted, and
the employer |
shall also pay the required employee contribution on behalf of
|
the teacher. For the purposes of Sections 16-133.4 and |
16-133.5, a teacher
as defined in paragraph (8) of Section |
16-106 who is serving in that capacity
while on leave of |
absence from another employer under this Article shall not
be |
considered an employee of the employer from which the teacher |
is on leave.
|
|
(e) Beginning July 1, 1998, every employer of a teacher
|
shall pay to the System an employer contribution computed as |
follows:
|
(1) Beginning July 1, 1998 through June 30, 1999, the |
employer
contribution shall be equal to 0.3% of each |
teacher's salary.
|
(2) Beginning July 1, 1999 and thereafter, the employer
|
contribution shall be equal to 0.58% of each teacher's |
salary.
|
The school district or other employing unit may pay these |
employer
contributions out of any source of funding available |
for that purpose and
shall forward the contributions to the |
System on the schedule established
for the payment of member |
contributions.
|
These employer contributions are intended to offset a |
portion of the cost
to the System of the increases in |
retirement benefits resulting from this
amendatory Act of 1998.
|
Each employer of teachers is entitled to a credit against |
the contributions
required under this subsection (e) with |
respect to salaries paid to teachers
for the period January 1, |
2002 through June 30, 2003, equal to the amount paid
by that |
employer under subsection (a-5) of Section 6.6 of the State |
Employees
Group Insurance Act of 1971 with respect to salaries |
paid to teachers for that
period.
|
The additional 1% employee contribution required under |
Section 16-152 by
this amendatory Act of 1998 is the |
responsibility of the teacher and not the
teacher's employer, |
unless the employer agrees, through collective bargaining
or |
otherwise, to make the contribution on behalf of the teacher.
|
If an employer is required by a contract in effect on May |
1, 1998 between the
employer and an employee organization to |
pay, on behalf of all its full-time
employees
covered by this |
Article, all mandatory employee contributions required under
|
this Article, then the employer shall be excused from paying |
the employer
contribution required under this subsection (e) |
for the balance of the term
of that contract. The employer and |
|
the employee organization shall jointly
certify to the System |
the existence of the contractual requirement, in such
form as |
the System may prescribe. This exclusion shall cease upon the
|
termination, extension, or renewal of the contract at any time |
after May 1,
1998.
|
(Source: P.A. 92-505, eff. 12-20-01; 93-2, eff. 4-7-03.)
|
(40 ILCS 5/15-165)
(from Ch. 108 1/2, par. 15-165)
|
Sec. 15-165. To certify amounts and submit vouchers.
|
(a) The Board shall certify to the Governor on or before |
November 15 of each
year the appropriation required from State |
funds for the purposes of this
System for the following fiscal |
year. The certification shall include a copy
of the actuarial |
recommendations upon which it is based.
|
On or before May 1, 2004, the Board shall recalculate and |
recertify to
the Governor the amount of the required State |
contribution to the System for
State fiscal year 2005, taking |
into account the amounts appropriated to and
received by the |
System under subsection (d) of Section 7.2 of the General
|
Obligation Bond Act.
|
(b) The Board shall certify to the State Comptroller or |
employer, as the
case may be, from time to time, by its |
president and secretary, with its seal
attached, the amounts |
payable to the System from the various funds.
|
(c) Beginning in State fiscal year 1996, on or as soon as |
possible after the
15th day of each month the Board shall |
submit vouchers for payment of State
contributions to the |
System, in a total monthly amount of one-twelfth of the
|
required annual State contribution certified under subsection |
(a).
From the effective date of this amendatory Act
of the 93rd |
General Assembly through June 30, 2004, the Board shall not
|
submit vouchers for the remainder of fiscal year 2004 in excess |
of the
fiscal year 2004 certified contribution amount |
determined
under this Section after taking into consideration |
the transfer to the
System under subsection (b) of Section |
6z-61 of the State Finance Act.
These
vouchers shall be paid by |
|
the State Comptroller and Treasurer by warrants drawn
on the |
funds appropriated to the System for that fiscal year.
|
If in any month the amount remaining unexpended from all |
other
appropriations to the System for the applicable fiscal |
year (including the
appropriations to the System under Section |
8.12 of the State Finance Act and
Section 1 of the State |
Pension Funds Continuing Appropriation Act) is less than
the |
amount lawfully vouchered under this Section, the difference |
shall be paid
from the General Revenue Fund under the |
continuing appropriation authority
provided in Section 1.1 of |
the State Pension Funds Continuing Appropriation
Act.
|
(d) So long as the payments received are the full amount |
lawfully
vouchered under this Section, payments received by the |
System under this
Section shall be applied first toward the |
employer contribution to the
self-managed plan established |
under Section 15-158.2. Payments shall be
applied second toward |
the employer's portion of the normal costs of the System,
as |
defined in subsection (f) of Section 15-155. The balance shall |
be applied
toward the unfunded actuarial liabilities of the |
System.
|
(e) In the event that the System does not receive, as a |
result of
legislative enactment or otherwise, payments |
sufficient to
fully fund the employer contribution to the |
self-managed plan
established under Section 15-158.2 and to |
fully fund that portion of the
employer's portion of the normal |
costs of the System, as calculated in
accordance with Section |
15-155(a-1), then any payments received shall be
applied |
proportionately to the optional retirement program established |
under
Section 15-158.2 and to the employer's portion of the |
normal costs of the
System, as calculated in accordance with |
Section 15-155(a-1).
|
(Source: P.A. 93-2, eff. 4-7-03.)
|
(40 ILCS 5/18-140)
(from Ch. 108 1/2, par. 18-140)
|
Sec. 18-140. To certify required State contributions and |
submit vouchers.
|
|
(a) The Board shall certify to the Governor, on or before |
November 15 of
each year, the amount of the required State |
contribution to the System for the
following fiscal year. The |
certification shall include a copy of the actuarial
|
recommendations upon which it is based.
|
On or before May 1, 2004, the Board shall recalculate and |
recertify to
the Governor the amount of the required State |
contribution to the System for
State fiscal year 2005, taking |
into account the amounts appropriated to and
received by the |
System under subsection (d) of Section 7.2 of the General
|
Obligation Bond Act.
|
(b) Beginning in State fiscal year 1996, on or as soon as |
possible after
the 15th day of each month the Board shall |
submit vouchers for payment of State
contributions to the |
System, in a total monthly amount of one-twelfth of the
|
required annual State contribution certified under subsection |
(a).
From the effective date of this amendatory Act
of the 93rd |
General Assembly through June 30, 2004, the Board shall not
|
submit vouchers for the remainder of fiscal year 2004 in excess |
of the
fiscal year 2004 certified contribution amount |
determined
under this Section after taking into consideration |
the transfer to the
System under subsection (c) of Section |
6z-61 of the State Finance Act.
These
vouchers shall be paid by |
the State Comptroller and Treasurer by warrants drawn
on the |
funds appropriated to the System for that fiscal year.
|
If in any month the amount remaining unexpended from all |
other
appropriations to the System for the applicable fiscal |
year (including the
appropriations to the System under Section |
8.12 of the State Finance Act and
Section 1 of the State |
Pension Funds Continuing Appropriation Act) is less than
the |
amount lawfully vouchered under this Section, the difference |
shall be paid
from the General Revenue Fund under the |
continuing appropriation authority
provided in Section 1.1 of |
the State Pension Funds Continuing Appropriation
Act.
|
(Source: P.A. 93-2, eff. 4-7-03.)
|
|
Section 20. The State Pension Funds Continuing |
Appropriation Act is amended
by changing
Section 1.2 as |
follows:
|
(40 ILCS 15/1.2)
|
Sec. 1.2. Appropriations for the State Employees' |
Retirement System.
|
(a) From each fund from which an amount is appropriated for |
personal
services to a department or other employer under |
Article 14 of the Illinois
Pension Code, there is hereby |
appropriated to that department or other
employer, on a |
continuing annual basis for each State fiscal year, an
|
additional amount equal to the amount, if any, by which (1) an |
amount equal
to the percentage of the personal services line |
item for that department or
employer from that fund for that |
fiscal year that the Board of Trustees of
the State Employees' |
Retirement System of Illinois has certified under Section
|
14-135.08 of the Illinois Pension Code to be necessary to meet |
the State's
obligation under Section 14-131 of the Illinois |
Pension Code for that fiscal
year, exceeds (2) the amounts |
otherwise appropriated to that department or
employer from that |
fund for State contributions to the State Employees'
Retirement |
System for that fiscal year.
From the effective
date of this |
amendatory Act of the 93rd General Assembly
through the final |
payment from a department or employer's
personal services line |
item for fiscal year 2004, payments to
the State Employees' |
Retirement System that otherwise would
have been made under |
this subsection (a) shall be governed by
the provisions in |
subsection (a-1).
|
(a-1) If a Fiscal Year 2004 Shortfall is certified under |
subsection (f) of
Section 14-131 of the Illinois Pension Code, |
there is hereby appropriated
to the State Employees' Retirement |
System of Illinois on a
continuing basis from the General |
Revenue Fund an additional
aggregate amount equal to the Fiscal |
Year 2004 Shortfall.
|
(b) The continuing appropriations provided for by this |