Bill Amendment: IL HB2502 | 2019-2020 | 101st General Assembly

NOTE: For additional amemendments please see the Bill Drafting List

---

Bill Title: PEN CD-ARTS 4 & 6-TRANSFER

Status: 2019-08-23 - Public Act . . . . . . . . . 101-0474 [HB2502 Detail]

Download: Illinois-2019-HB2502-House_Amendment_001.html

---

Rep. Kathleen Willis

Filed: 2/27/2019

10100HB2502ham001 LRB101 08689 RPS 56596 a
AMENDMENT TO HOUSE BILL 2502
AMENDMENT NO. ______. Amend House Bill 2502 by replacing
everything after the enacting clause with the following:
"Section 5. The Illinois Pension Code is amended by adding
Sections 4-108.7 and 6-227.1 as follows:
(40 ILCS 5/4-108.7 new)
Sec. 4-108.7. Transfer of creditable service from the
Firemen's Annuity and Benefit Fund of Chicago. Until 6 months
after the effective date of this amendatory Act of the 101st
General Assembly, any active participant in a fund established
under this Article may transfer to that fund creditable service
accumulated under Article 6 of this Code upon payment to the
Article 4 fund, within 5 years after the date of application,
of an amount equal to the difference between the amount of
employee and employer contributions transferred to the Article
4 fund under Section 6-227.1 and the amounts determined by the

10100HB2502ham001 - 2 - LRB101 08689 RPS 56596 a
Article 4 fund in accordance with this Section, plus interest
on that difference at the actuarially assumed rate, compounded
annually, from the date of service to the date of payment.
The Article 4 fund must determine the firefighter's payment
required to establish creditable service under this Section by
taking into account the appropriate actuarial assumptions,
including without limitation the firefighter's service, age,
and salary history; the level of funding of the Article 4 fund;
and any other factors that the Article 4 fund determines to be
relevant. For this purpose, the firefighter's required payment
should result in no significant increase to the Article 4
fund's unfunded actuarial accrued liability determined as of
the most recent actuarial valuation, based on the same
assumptions and methods used to develop and report the Article
4 fund's actuarial accrued liability and actuarial value of
assets under Statement No. 25 of Governmental Accounting
Standards Board or any subsequent applicable Statement.
(40 ILCS 5/6-227.1 new)
Sec. 6-227.1. Transfer of creditable service to Article 4.
(a) Until 6 months after the effective date of this
amendatory Act of the 101st General Assembly, any active
participant in an Article 4 pension fund may apply for transfer
of creditable service accumulated in the Firemen's Annuity and
Benefit Fund of Chicago to any Article 4 pension fund. Such
creditable service shall be transferred only upon payment by

10100HB2502ham001 - 3 - LRB101 08689 RPS 56596 a
the Firemen's Annuity and Benefit Fund of Chicago to the
Article 4 fund of an amount equal to:
(1) the amounts accumulated to the credit of the
applicant on the books of the fund on the date of transfer;
(2) employer contributions in an amount equal to the
amount determined under subparagraph (1); and
(3) any interest paid by the applicant in order to
reinstate service.
Participation in the Firemen's Annuity and Benefit Fund of
Chicago as to any credits transferred under this Section shall
terminate on the date of transfer.
(b) An active participant in an Article 4 pension fund
applying for a transfer of creditable service under subsection
(a) may reinstate credits and creditable service terminated
upon receipt of a refund by payment to the Article 4 pension
fund of the amount of the refund with interest thereon at the
actuarially assumed rate, compounded annually, from the date of
the refund to the date of payment.
Section 90. The State Mandates Act is amended by adding
Section 8.43 as follows:
(30 ILCS 805/8.43 new)
Sec. 8.43. Exempt mandate. Notwithstanding Sections 6 and 8
of this Act, no reimbursement by the State is required for the
implementation of any mandate created by this amendatory Act of

10100HB2502ham001 - 4 - LRB101 08689 RPS 56596 a
the 101st General Assembly.
Section 99. Effective date. This Act takes effect upon
becoming law.".