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| 1 | AN ACT concerning public employee benefits.
| ||||||||||||||||||||||||||||||||||
| 2 | Be it enacted by the People of the State of Illinois,
| ||||||||||||||||||||||||||||||||||
| 3 | represented in the General Assembly:
| ||||||||||||||||||||||||||||||||||
| 4 | Section 5. The Illinois Pension Code is amended by changing | ||||||||||||||||||||||||||||||||||
| 5 | Sections 7-135, 7-146, 7-172, 7-173, and 7-177 as follows:
| ||||||||||||||||||||||||||||||||||
| 6 | (40 ILCS 5/7-135) (from Ch. 108 1/2, par. 7-135)
| ||||||||||||||||||||||||||||||||||
| 7 | Sec. 7-135. Authorized agents.
| ||||||||||||||||||||||||||||||||||
| 8 | (a) Each participating municipality and participating
| ||||||||||||||||||||||||||||||||||
| 9 | instrumentality shall appoint an authorized agent who shall | ||||||||||||||||||||||||||||||||||
| 10 | have the
powers and duties set forth in this section. In | ||||||||||||||||||||||||||||||||||
| 11 | absence of such
appointment, the duties of the authorized agent | ||||||||||||||||||||||||||||||||||
| 12 | shall devolve upon the
clerk or secretary of the municipality | ||||||||||||||||||||||||||||||||||
| 13 | or instrumentality, the township supervisor in the case of a | ||||||||||||||||||||||||||||||||||
| 14 | township, and in the
case of township school trustees upon the | ||||||||||||||||||||||||||||||||||
| 15 | township school treasurer. In
townships the Authorized Agent | ||||||||||||||||||||||||||||||||||
| 16 | shall be the township supervisor.
| ||||||||||||||||||||||||||||||||||
| 17 | (b) The authorized agent shall have the following powers | ||||||||||||||||||||||||||||||||||
| 18 | and duties:
| ||||||||||||||||||||||||||||||||||
| 19 | 1. To certify to the fund whether or not a given person | ||||||||||||||||||||||||||||||||||
| 20 | is
authorized to participate in the fund;
| ||||||||||||||||||||||||||||||||||
| 21 | 2. To certify to the fund when a participating employee | ||||||||||||||||||||||||||||||||||
| 22 | is on a
leave of absence authorized by the municipality;
| ||||||||||||||||||||||||||||||||||
| 23 | 3. To request the proper officer to cause employee | ||||||||||||||||||||||||||||||||||
| |||||||
| |||||||
| 1 | contributions to
be withheld from earnings and transmitted | ||||||
| 2 | to the fund;
| ||||||
| 3 | 4. To request the proper officer to cause municipality | ||||||
| 4 | contributions
to be forwarded to the fund promptly;
| ||||||
| 5 | 5. To forward promptly to all participating employees | ||||||
| 6 | any
communications from the fund for such employees;
| ||||||
| 7 | 6. To forward promptly to the fund all applications, | ||||||
| 8 | claims, reports
and other communications delivered to him | ||||||
| 9 | by participating employees;
| ||||||
| 10 | 7. To perform all duties related to the administration | ||||||
| 11 | of this
retirement system as requested by the fund and the | ||||||
| 12 | governing body of his
municipality.
| ||||||
| 13 | (c) The governing body of each participating municipality | ||||||
| 14 | and
participating instrumentality may delegate any or all of | ||||||
| 15 | the following
powers and duties to its authorized agent:
| ||||||
| 16 | 1. To file a petition for nomination of an executive | ||||||
| 17 | trustee of the
fund.
| ||||||
| 18 | 2. To cast the ballot for election of an executive | ||||||
| 19 | trustee of the
fund.
| ||||||
| 20 | If a governing body does not authorize its agent to perform | ||||||
| 21 | the
powers and duties set forth in this paragraph (c), they | ||||||
| 22 | shall be
performed by the governing body itself, unless the | ||||||
| 23 | governing body by
resolution duly certified to the fund | ||||||
| 24 | delegates them to some other
officer or employee.
| ||||||
| 25 | (d) The delivery of any communication or document by an | ||||||
| 26 | employee or
a participating municipality or participating | ||||||
| |||||||
| |||||||
| 1 | instrumentality to its
authorized agent shall not constitute | ||||||
| 2 | delivery to the fund.
| ||||||
| 3 | (Source: P.A. 97-328, eff. 8-12-11; 97-609, eff. 1-1-12.)
| ||||||
| 4 | (40 ILCS 5/7-146) (from Ch. 108 1/2, par. 7-146)
| ||||||
| 5 | Sec. 7-146. Temporary disability benefits - Eligibility. | ||||||
| 6 | Temporary
disability benefits shall be payable to | ||||||
| 7 | participating employees as
hereinafter provided.
| ||||||
| 8 | (a) The participating employee shall be considered | ||||||
| 9 | temporarily
disabled if:
| ||||||
| 10 | 1. He is unable to perform the duties of any position | ||||||
| 11 | which might
reasonably be assigned to him by his employing | ||||||
| 12 | municipality or
instrumentality thereof or participating | ||||||
| 13 | instrumentality due to mental
or physical disability | ||||||
| 14 | caused by bodily injury or disease, other than as
a result | ||||||
| 15 | of self-inflicted injury or addiction to narcotic drugs;
| ||||||
| 16 | 2. The Board has received written certifications from | ||||||
| 17 | at least one licensed and practicing physician and the | ||||||
| 18 | governing body of the
employing municipality or | ||||||
| 19 | instrumentality thereof or participating
instrumentality | ||||||
| 20 | stating that the employee meets the conditions set forth
in | ||||||
| 21 | subparagraph 1 of this paragraph (a).
| ||||||
| 22 | (b) A temporary disability benefit shall be payable to a | ||||||
| 23 | temporarily
disabled employee provided:
| ||||||
| 24 | 1. He:
| ||||||
| 25 | (i) has at least one year of service immediately | ||||||
| |||||||
| |||||||
| 1 | preceding at the
date the temporary disability was | ||||||
| 2 | incurred and has made contributions to
the fund for at | ||||||
| 3 | least the number of months of service normally required
| ||||||
| 4 | in his position during a 12-month period, or has at | ||||||
| 5 | least 5 years of
service credit, the last year of which | ||||||
| 6 | immediately precedes such date; or
| ||||||
| 7 | (ii) had qualified under clause (i) above, but had | ||||||
| 8 | an interruption in
service with the same participating | ||||||
| 9 | municipality or participating
instrumentality of not | ||||||
| 10 | more than 3 months in the 12 months preceding the date
| ||||||
| 11 | the temporary disability was incurred and was not paid | ||||||
| 12 | a separation benefit; or
| ||||||
| 13 | (iii) had qualified under clause (i) above, but had | ||||||
| 14 | an interruption
after 20 or more years of creditable | ||||||
| 15 | service, was not paid a separation
benefit, and | ||||||
| 16 | returned to service prior to the date the disability | ||||||
| 17 | was incurred.
| ||||||
| 18 | Item (iii) of this subdivision shall apply to all | ||||||
| 19 | employees
whose disabilities were incurred on or after July | ||||||
| 20 | 1, 1985, and any such
employee who becomes eligible for a | ||||||
| 21 | disability benefit under item
(iii) shall be entitled to | ||||||
| 22 | receive a lump sum payment of any accumulated
disability | ||||||
| 23 | benefits which may accrue from the date the disability was
| ||||||
| 24 | incurred until the effective date of this amendatory Act of | ||||||
| 25 | 1987.
| ||||||
| 26 | Periods of qualified leave granted in compliance with | ||||||
| |||||||
| |||||||
| 1 | the federal Family
and Medical Leave Act shall be ignored | ||||||
| 2 | for purposes of determining the number
of consecutive | ||||||
| 3 | months of employment under this subdivision (b)1.
| ||||||
| 4 | 2. He has been temporarily disabled for at least 30 | ||||||
| 5 | days, except
where a former temporary or permanent and | ||||||
| 6 | total disability has
reoccurred within 6 months after the | ||||||
| 7 | employee has returned
to service.
| ||||||
| 8 | 3. He is receiving no earnings from a participating | ||||||
| 9 | municipality or
instrumentality thereof or participating | ||||||
| 10 | instrumentality, except as
allowed under subsection (f) of | ||||||
| 11 | Section 7-152.
| ||||||
| 12 | 4. He has not refused to submit to a reasonable | ||||||
| 13 | physical examination
by a physician appointed by the Board.
| ||||||
| 14 | 5. His disability is not the result of a mental or | ||||||
| 15 | physical
condition which existed on the earliest date of | ||||||
| 16 | service from which he
has uninterrupted service, including | ||||||
| 17 | prior service, at the date of his
disability, provided that | ||||||
| 18 | this limitation is not applicable if the date of
disability | ||||||
| 19 | is after December 31, 2001, nor is it applicable
to a | ||||||
| 20 | participating employee who: (i) on the date of disability | ||||||
| 21 | has 5 years
of creditable service, exclusive of creditable | ||||||
| 22 | service for periods of
disability; or (ii) received no | ||||||
| 23 | medical treatment for the condition for the 3
years | ||||||
| 24 | immediately prior to such earliest date of service.
| ||||||
| 25 | 6. He is not separated from the service of the | ||||||
| 26 | participating
municipality or instrumentality thereof or | ||||||
| |||||||
| |||||||
| 1 | participating instrumentality
which employed him on the | ||||||
| 2 | date his temporary disability was incurred;
for the | ||||||
| 3 | purposes of payment of temporary disability benefits, a
| ||||||
| 4 | participating employee, whose employment relationship is | ||||||
| 5 | terminated by
his employing municipality, shall be deemed | ||||||
| 6 | not to be separated from the
service of his employing | ||||||
| 7 | municipality or participating instrumentality
if he | ||||||
| 8 | continues disabled by the same condition and so long as he | ||||||
| 9 | is
otherwise entitled to such disability benefit.
| ||||||
| 10 | 7. He has not failed or refused to consent to and sign | ||||||
| 11 | an authorization allowing the Board to receive copies of or | ||||||
| 12 | to examine his medical and hospital records. | ||||||
| 13 | 8. He has not failed or refused to provide complete | ||||||
| 14 | information regarding any other employment for | ||||||
| 15 | compensation he has received since becoming disabled. | ||||||
| 16 | (Source: P.A. 97-415, eff. 8-16-11.)
| ||||||
| 17 | (40 ILCS 5/7-172) (from Ch. 108 1/2, par. 7-172)
| ||||||
| 18 | Sec. 7-172. Contributions by participating municipalities | ||||||
| 19 | and
participating instrumentalities.
| ||||||
| 20 | (a) Each participating municipality and each participating
| ||||||
| 21 | instrumentality shall make payment to the fund as follows:
| ||||||
| 22 | 1. municipality contributions in an amount determined | ||||||
| 23 | by applying
the municipality contribution rate to each | ||||||
| 24 | payment of earnings paid to
each of its participating | ||||||
| 25 | employees;
| ||||||
| |||||||
| |||||||
| 1 | 2. an amount equal to the employee contributions | ||||||
| 2 | provided by paragraph
(a) of Section 7-173, whether or not | ||||||
| 3 | the employee contributions are
withheld as permitted by | ||||||
| 4 | that Section;
| ||||||
| 5 | 3. all accounts receivable, together with interest | ||||||
| 6 | charged thereon,
as provided in Section 7-209;
| ||||||
| 7 | 4. if it has no participating employees with current | ||||||
| 8 | earnings, an
amount payable which, over a closed period of | ||||||
| 9 | 20 years for participating municipalities and 10 years for | ||||||
| 10 | participating instrumentalities, will amortize, at the | ||||||
| 11 | effective rate for
that year, any unfunded obligation. The | ||||||
| 12 | unfunded obligation shall be computed as provided in | ||||||
| 13 | paragraph 2 of subsection (b); | ||||||
| 14 | 5. if it has fewer than 7 participating employees or a | ||||||
| 15 | negative balance in its municipality reserve, the greater | ||||||
| 16 | of (A) an amount payable that, over a period of 20 years, | ||||||
| 17 | will amortize at the effective rate for that year any | ||||||
| 18 | unfunded obligation, computed as provided in paragraph 2 of | ||||||
| 19 | subsection (b) or (B) the amount required by paragraph 1 of | ||||||
| 20 | this subsection (a).
| ||||||
| 21 | (b) A separate municipality contribution rate shall be | ||||||
| 22 | determined
for each calendar year for all participating | ||||||
| 23 | municipalities together
with all instrumentalities thereof. | ||||||
| 24 | The municipality contribution rate
shall be determined for | ||||||
| 25 | participating instrumentalities as if they were
participating | ||||||
| 26 | municipalities. The municipality contribution rate shall
be | ||||||
| |||||||
| |||||||
| 1 | the sum of the following percentages:
| ||||||
| 2 | 1. The percentage of earnings of all the participating | ||||||
| 3 | employees of all
participating municipalities and | ||||||
| 4 | participating instrumentalities which, if paid
over the | ||||||
| 5 | entire period of their service, will be sufficient when | ||||||
| 6 | combined with
all employee contributions available for the | ||||||
| 7 | payment of benefits, to provide
all annuities for | ||||||
| 8 | participating employees, and the $3,000 death benefit
| ||||||
| 9 | payable under Sections 7-158 and 7-164, such percentage to | ||||||
| 10 | be known as the
normal cost rate.
| ||||||
| 11 | 2. The percentage of earnings of the participating | ||||||
| 12 | employees of each
participating municipality and | ||||||
| 13 | participating instrumentalities necessary
to adjust for | ||||||
| 14 | the difference between the present value of all benefits,
| ||||||
| 15 | excluding temporary and total and permanent disability and | ||||||
| 16 | death benefits, to
be provided for its participating | ||||||
| 17 | employees and the sum of its accumulated
municipality | ||||||
| 18 | contributions and the accumulated employee contributions | ||||||
| 19 | and the
present value of expected future employee and | ||||||
| 20 | municipality contributions
pursuant to subparagraph 1 of | ||||||
| 21 | this paragraph (b). This adjustment shall be
spread over a | ||||||
| 22 | period determined by the Board, not to exceed 30 years for | ||||||
| 23 | participating municipalities or 10 years for participating | ||||||
| 24 | instrumentalities the remainder of the period that is | ||||||
| 25 | allowable under generally
accepted accounting principles.
| ||||||
| 26 | 3. The percentage of earnings of the participating | ||||||
| |||||||
| |||||||
| 1 | employees of all
municipalities and participating | ||||||
| 2 | instrumentalities necessary to provide
the present value | ||||||
| 3 | of all temporary and total and permanent disability
| ||||||
| 4 | benefits granted during the most recent year for which | ||||||
| 5 | information is
available.
| ||||||
| 6 | 4. The percentage of earnings of the participating | ||||||
| 7 | employees of all
participating municipalities and | ||||||
| 8 | participating instrumentalities
necessary to provide the | ||||||
| 9 | present value of the net single sum death
benefits expected | ||||||
| 10 | to become payable from the reserve established under
| ||||||
| 11 | Section 7-206 during the year for which this rate is fixed.
| ||||||
| 12 | 5. The percentage of earnings necessary to meet any | ||||||
| 13 | deficiency
arising in the Terminated Municipality Reserve.
| ||||||
| 14 | (c) A separate municipality contribution rate shall be | ||||||
| 15 | computed for
each participating municipality or participating | ||||||
| 16 | instrumentality
for its sheriff's law enforcement employees.
| ||||||
| 17 | A separate municipality contribution rate shall be | ||||||
| 18 | computed for the
sheriff's law enforcement employees of each | ||||||
| 19 | forest preserve district that
elects to have such employees. | ||||||
| 20 | For the period from January 1, 1986 to
December 31, 1986, such | ||||||
| 21 | rate shall be the forest preserve district's regular
rate plus | ||||||
| 22 | 2%.
| ||||||
| 23 | In the event that the Board determines that there is an | ||||||
| 24 | actuarial
deficiency in the account of any municipality with | ||||||
| 25 | respect to a person who
has elected to participate in the Fund | ||||||
| 26 | under Section 3-109.1 of this Code,
the Board may adjust the | ||||||
| |||||||
| |||||||
| 1 | municipality's contribution rate so as to make up
that | ||||||
| 2 | deficiency over such reasonable period of time as the Board may | ||||||
| 3 | determine.
| ||||||
| 4 | (d) The Board may establish a separate municipality | ||||||
| 5 | contribution
rate for all employees who are program | ||||||
| 6 | participants employed under the
federal Comprehensive | ||||||
| 7 | Employment Training Act by all of the
participating | ||||||
| 8 | municipalities and instrumentalities. The Board may also
| ||||||
| 9 | provide that, in lieu of a separate municipality rate for these
| ||||||
| 10 | employees, a portion of the municipality contributions for such | ||||||
| 11 | program
participants shall be refunded or an extra charge | ||||||
| 12 | assessed so that the
amount of municipality contributions | ||||||
| 13 | retained or received by the fund
for all CETA program | ||||||
| 14 | participants shall be an amount equal to that which
would be | ||||||
| 15 | provided by the separate municipality contribution rate for all
| ||||||
| 16 | such program participants. Refunds shall be made to prime | ||||||
| 17 | sponsors of
programs upon submission of a claim therefor and | ||||||
| 18 | extra charges shall be
assessed to participating | ||||||
| 19 | municipalities and instrumentalities. In
establishing the | ||||||
| 20 | municipality contribution rate as provided in paragraph
(b) of | ||||||
| 21 | this Section, the use of a separate municipality contribution
| ||||||
| 22 | rate for program participants or the refund of a portion of the
| ||||||
| 23 | municipality contributions, as the case may be, may be | ||||||
| 24 | considered.
| ||||||
| 25 | (e) Computations of municipality contribution rates for | ||||||
| 26 | the
following calendar year shall be made prior to the | ||||||
| |||||||
| |||||||
| 1 | beginning of each
year, from the information available at the | ||||||
| 2 | time the computations are
made, and on the assumption that the | ||||||
| 3 | employees in each participating
municipality or participating | ||||||
| 4 | instrumentality at such time will continue
in service until the | ||||||
| 5 | end of such calendar year at their respective rates
of earnings | ||||||
| 6 | at such time.
| ||||||
| 7 | (f) Any municipality which is the recipient of State | ||||||
| 8 | allocations
representing that municipality's contributions for | ||||||
| 9 | retirement annuity
purposes on behalf of its employees as | ||||||
| 10 | provided in Section 12-21.16 of
the Illinois Public Aid Code | ||||||
| 11 | shall pay the allocations so
received to the Board for such | ||||||
| 12 | purpose. Estimates of State allocations to
be received during | ||||||
| 13 | any taxable year shall be considered in the
determination of | ||||||
| 14 | the municipality's tax rate for that year under Section
7-171. | ||||||
| 15 | If a special tax is levied under Section 7-171, none of the
| ||||||
| 16 | proceeds may be used to reimburse the municipality for the | ||||||
| 17 | amount of State
allocations received and paid to the Board. Any | ||||||
| 18 | multiple-county or
consolidated health department which | ||||||
| 19 | receives contributions from a county
under Section 11.2 of "An | ||||||
| 20 | Act in relation to establishment and maintenance
of county and | ||||||
| 21 | multiple-county health departments", approved July 9, 1943,
as | ||||||
| 22 | amended, or distributions under Section 3 of the Department of | ||||||
| 23 | Public
Health Act, shall use these only for municipality | ||||||
| 24 | contributions by the
health department.
| ||||||
| 25 | (g) Municipality contributions for the several purposes | ||||||
| 26 | specified
shall, for township treasurers and employees in the | ||||||
| |||||||
| |||||||
| 1 | offices of the
township treasurers who meet the qualifying | ||||||
| 2 | conditions for coverage
hereunder, be allocated among the | ||||||
| 3 | several school districts and parts of
school districts serviced | ||||||
| 4 | by such treasurers and employees in the
proportion which the | ||||||
| 5 | amount of school funds of each district or part of
a district | ||||||
| 6 | handled by the treasurer bears to the total amount of all
| ||||||
| 7 | school funds handled by the treasurer.
| ||||||
| 8 | From the funds subject to allocation among districts and | ||||||
| 9 | parts of
districts pursuant to the School Code, the trustees | ||||||
| 10 | shall withhold the
proportionate share of the liability for | ||||||
| 11 | municipality contributions imposed
upon such districts by this | ||||||
| 12 | Section, in respect to such township treasurers
and employees | ||||||
| 13 | and remit the same to the Board.
| ||||||
| 14 | The municipality contribution rate for an educational | ||||||
| 15 | service center shall
initially be the same rate for each year | ||||||
| 16 | as the regional office of
education or school district
which | ||||||
| 17 | serves as its administrative agent. When actuarial data become
| ||||||
| 18 | available, a separate rate shall be established as provided in | ||||||
| 19 | subparagraph
(i) of this Section.
| ||||||
| 20 | The municipality contribution rate for a public agency, | ||||||
| 21 | other than a
vocational education cooperative, formed under the | ||||||
| 22 | Intergovernmental
Cooperation Act shall initially be the | ||||||
| 23 | average rate for the municipalities
which are parties to the | ||||||
| 24 | intergovernmental agreement. When actuarial data
become | ||||||
| 25 | available, a separate rate shall be established as provided in
| ||||||
| 26 | subparagraph (i) of this Section.
| ||||||
| |||||||
| |||||||
| 1 | (h) Each participating municipality and participating
| ||||||
| 2 | instrumentality shall make the contributions in the amounts | ||||||
| 3 | provided in
this Section in the manner prescribed from time to | ||||||
| 4 | time by the Board and
all such contributions shall be | ||||||
| 5 | obligations of the respective
participating municipalities and | ||||||
| 6 | participating instrumentalities to this
fund. The failure to | ||||||
| 7 | deduct any employee contributions shall not
relieve the | ||||||
| 8 | participating municipality or participating instrumentality
of | ||||||
| 9 | its obligation to this fund. Delinquent payments of | ||||||
| 10 | contributions
due under this Section may, with interest, be | ||||||
| 11 | recovered by civil action
against the participating | ||||||
| 12 | municipalities or participating
instrumentalities. | ||||||
| 13 | Municipality contributions, other than the amount
necessary | ||||||
| 14 | for employee contributions, for
periods of service by employees | ||||||
| 15 | from whose earnings no deductions were made
for employee | ||||||
| 16 | contributions to the fund, may be charged to the municipality
| ||||||
| 17 | reserve for the municipality or participating instrumentality.
| ||||||
| 18 | (i) Contributions by participating instrumentalities shall | ||||||
| 19 | be
determined as provided herein except that the percentage | ||||||
| 20 | derived under
subparagraph 2 of paragraph (b) of this Section, | ||||||
| 21 | and the amount payable
under subparagraph 4 of paragraph (a) of | ||||||
| 22 | this Section, shall be based on
an amortization period of 10 | ||||||
| 23 | years.
| ||||||
| 24 | (j) Notwithstanding the other provisions of this Section, | ||||||
| 25 | the additional unfunded liability accruing as a result of this | ||||||
| 26 | amendatory Act of the 94th General Assembly
shall be amortized | ||||||
| |||||||
| |||||||
| 1 | over a period of 30 years beginning on January 1 of the
second | ||||||
| 2 | calendar year following the calendar year in which this | ||||||
| 3 | amendatory Act takes effect, except that the employer may | ||||||
| 4 | provide for a longer amortization period by adopting a | ||||||
| 5 | resolution or ordinance specifying a 35-year or 40-year period | ||||||
| 6 | and submitting a certified copy of the ordinance or resolution | ||||||
| 7 | to the fund no later than June 1 of the calendar year following | ||||||
| 8 | the calendar year in which this amendatory Act takes effect.
| ||||||
| 9 | (k) If the amount of a participating employee's reported | ||||||
| 10 | earnings for any of the 12-month periods used to determine the | ||||||
| 11 | final rate of earnings exceeds the employee's 12 month reported | ||||||
| 12 | earnings with the same employer for the previous year by the | ||||||
| 13 | greater of 6% or 1.5 times the annual increase in the Consumer | ||||||
| 14 | Price Index-U, as established by the United States Department | ||||||
| 15 | of Labor for the preceding September, the participating | ||||||
| 16 | municipality or participating instrumentality that paid those | ||||||
| 17 | earnings shall pay to the Fund, in addition to any other | ||||||
| 18 | contributions required under this Article, the present value of | ||||||
| 19 | the increase in the pension resulting from the portion of the | ||||||
| 20 | increase in salary that is in excess of the greater of 6% or | ||||||
| 21 | 1.5 times the annual increase in the Consumer Price Index-U, as | ||||||
| 22 | determined by the Fund. This present value shall be computed on | ||||||
| 23 | the basis of the actuarial assumptions and tables used in the | ||||||
| 24 | most recent actuarial valuation of the Fund that is available | ||||||
| 25 | at the time of the computation. | ||||||
| 26 | Whenever it determines that a payment is or may be required | ||||||
| |||||||
| |||||||
| 1 | under this subsection (k), the fund shall calculate the amount | ||||||
| 2 | of the payment and bill the participating municipality or | ||||||
| 3 | participating instrumentality for that amount. The bill shall | ||||||
| 4 | specify the calculations used to determine the amount due. If | ||||||
| 5 | the participating municipality or participating | ||||||
| 6 | instrumentality disputes the amount of the bill, it may, within | ||||||
| 7 | 30 days after receipt of the bill, apply to the fund in writing | ||||||
| 8 | for a recalculation. The application must specify in detail the | ||||||
| 9 | grounds of the dispute. Upon receiving a timely application for | ||||||
| 10 | recalculation, the fund shall review the application and, if | ||||||
| 11 | appropriate, recalculate the amount due.
The participating | ||||||
| 12 | municipality and participating instrumentality contributions | ||||||
| 13 | required under this subsection (k) may be paid in the form of a | ||||||
| 14 | lump sum within 90 days after receipt of the bill. If the | ||||||
| 15 | participating municipality and participating instrumentality | ||||||
| 16 | contributions are not paid within 90 days after receipt of the | ||||||
| 17 | bill, then interest will be charged at a rate equal to the | ||||||
| 18 | fund's annual actuarially assumed rate of return on investment | ||||||
| 19 | compounded annually from the 91st day after receipt of the | ||||||
| 20 | bill. Payments must be concluded within 3 years after receipt | ||||||
| 21 | of the bill by the participating municipality or participating | ||||||
| 22 | instrumentality. | ||||||
| 23 | When assessing payment for any amount due under this | ||||||
| 24 | subsection (k), the fund shall exclude earnings increases | ||||||
| 25 | resulting from overload or overtime earnings. | ||||||
| 26 | When assessing payment for any amount due under this | ||||||
| |||||||
| |||||||
| 1 | subsection (k), the fund shall also exclude earnings increases | ||||||
| 2 | attributable to standard employment promotions resulting in | ||||||
| 3 | increased responsibility and workload. | ||||||
| 4 | This subsection (k) does not apply to earnings increases | ||||||
| 5 | paid to individuals under contracts or collective bargaining | ||||||
| 6 | agreements entered into, amended, or renewed before January 1, | ||||||
| 7 | 2012 (the effective date of Public Act 97-609), earnings | ||||||
| 8 | increases paid to members who are 10 years or more from | ||||||
| 9 | retirement eligibility, or earnings increases resulting from | ||||||
| 10 | an increase in the number of hours required to be worked. | ||||||
| 11 | When assessing payment for any amount due under this | ||||||
| 12 | subsection (k), the fund shall also exclude earnings | ||||||
| 13 | attributable to personnel policies adopted before January 1, | ||||||
| 14 | 2012 (the effective date of Public Act 97-609) as long as those | ||||||
| 15 | policies are not applicable to employees who begin service on | ||||||
| 16 | or after January 1, 2012 (the effective date of Public Act | ||||||
| 17 | 97-609). | ||||||
| 18 | (Source: P.A. 96-1084, eff. 7-16-10; 96-1140, eff. 7-21-10; | ||||||
| 19 | 97-333, eff. 8-12-11; 97-609, eff. 1-1-12; 97-933, eff. | ||||||
| 20 | 8-10-12.)
| ||||||
| 21 | (40 ILCS 5/7-173) (from Ch. 108 1/2, par. 7-173)
| ||||||
| 22 | Sec. 7-173. Contributions by employees.
| ||||||
| 23 | (a) Each participating employee shall make contributions | ||||||
| 24 | to the fund as
follows:
| ||||||
| 25 | 1. For retirement annuity purposes, normal | ||||||
| |||||||
| |||||||
| 1 | contributions of 3 3/4%
of earnings.
| ||||||
| 2 | 2. Additional contributions of such percentages of | ||||||
| 3 | each payment of
earnings, as shall be elected by the | ||||||
| 4 | employee for retirement annuity
purposes, but not in excess | ||||||
| 5 | of 10%. The selected rate shall be
applicable to all | ||||||
| 6 | earnings paid following receipt by the Board of written | ||||||
| 7 | notice of election to
make such contributions. Additional | ||||||
| 8 | contributions at the selected rate
shall be made | ||||||
| 9 | concurrently with normal contributions.
| ||||||
| 10 | 3. Survivor contributions, by each participating | ||||||
| 11 | employee, of 3/4%
of each payment of earnings.
| ||||||
| 12 | (b) (Blank).
| ||||||
| 13 | (c) Contributions shall be deducted from each | ||||||
| 14 | corresponding payment
of earnings paid to each employee and | ||||||
| 15 | shall be remitted to the board by
the participating | ||||||
| 16 | municipality or participating instrumentality making
such | ||||||
| 17 | payment. The remittance, together with a report of the earnings
| ||||||
| 18 | and contributions shall be made as directed by the board. For | ||||||
| 19 | township
treasurers and employees of township treasurers | ||||||
| 20 | qualifying as employees
hereunder, the contributions herein | ||||||
| 21 | required as deductions from salary
shall be withheld by the | ||||||
| 22 | school township trustees from funds available
for the payment | ||||||
| 23 | of the compensation of such treasurers and employees as
| ||||||
| 24 | provided in the School Code and remitted to the board.
| ||||||
| 25 | (d) An employee who has made additional contributions under
| ||||||
| 26 | paragraph (a)2 of this Section may upon retirement or at any | ||||||
| |||||||
| |||||||
| 1 | time prior
thereto, elect to withdraw the total of such | ||||||
| 2 | additional contributions
including interest credited thereon | ||||||
| 3 | to the end of the preceding calendar
year, to the extent | ||||||
| 4 | permitted by the federal Internal Revenue Code of 1986, as now | ||||||
| 5 | or hereafter amended.
| ||||||
| 6 | (e) Failure to make the deductions for employee | ||||||
| 7 | contributions
provided in paragraph (c) of this Section shall | ||||||
| 8 | not relieve the employee
from liability for such contributions. | ||||||
| 9 | The amount of such liability may
be deducted, with interest | ||||||
| 10 | charged under Section 7-209, from any
annuities or benefits | ||||||
| 11 | payable hereunder to the employee or any other
person receiving | ||||||
| 12 | an annuity or benefit by reason of such employee's
| ||||||
| 13 | participation.
| ||||||
| 14 | (f) A participating employee who has at least 40 years of | ||||||
| 15 | creditable
service in the Fund may elect to cease making the | ||||||
| 16 | contributions required
under this Section. The status of the | ||||||
| 17 | employee under this Article shall be
unaffected by this | ||||||
| 18 | election, except that the employee shall not receive any
| ||||||
| 19 | additional creditable service for the periods of employment | ||||||
| 20 | following the
election. An election under this subsection | ||||||
| 21 | relieves the employer from
making additional employer | ||||||
| 22 | contributions in relation to that employee.
| ||||||
| 23 | (Source: P.A. 96-1084, eff. 7-16-10; 96-1258, eff. 7-23-10; | ||||||
| 24 | 97-333, eff. 8-12-11; 97-933, eff. 8-10-12.)
| ||||||
| 25 | (40 ILCS 5/7-177) (from Ch. 108 1/2, par. 7-177)
| ||||||
| |||||||
| |||||||
| 1 | Sec. 7-177. Board meetings.
| ||||||
| 2 | The board shall hold regular monthly meetings at least 4 | ||||||
| 3 | times in each year and such special meetings
at such other | ||||||
| 4 | times as may be called by the executive director upon written
| ||||||
| 5 | notice of at least 3 trustees. At least 5 days' notice of each | ||||||
| 6 | meeting
shall be given to each trustee. All meetings of the | ||||||
| 7 | board shall be open to
the public and shall be held in the | ||||||
| 8 | offices of the board or in any other
place specifically | ||||||
| 9 | designated in the notice of any meeting.
| ||||||
| 10 | (Source: Laws 1963, p. 161.)
| ||||||
| 11 | Section 90. The State Mandates Act is amended by adding | ||||||
| 12 | Section 8.37 as follows:
| ||||||
| 13 | (30 ILCS 805/8.37 new) | ||||||
| 14 | Sec. 8.37. Exempt mandate. Notwithstanding Sections 6 and 8 | ||||||
| 15 | of this Act, no reimbursement by the State is required for the | ||||||
| 16 | implementation of any mandate created by this amendatory Act of | ||||||
| 17 | the 98th General Assembly.
| ||||||
| 18 | Section 99. Effective date. This Act takes effect upon | ||||||
| 19 | becoming law.
| ||||||