Bill Text: IL HB3827 | 2011-2012 | 97th General Assembly | Introduced

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Bill Title: Amends the Illinois Pension Code. Provides that any reasonable suspicion by any appointed or elected commissioner, trustee, director, board member, or employee of a retirement system or pension fund created under the Code or the State Board of Investment of a false statement or falsified record being submitted or permitted by a person under the Code shall be immediately referred to the board of trustees of a retirement system or pension fund created under the Code or the State Board of Investment or the State's Attorney of the jurisdiction where the alleged fraudulent activity occurred, and that the board of trustees of a retirement system or pension fund or the State Board of Investment shall immediately notify the State's Attorney of the jurisdiction where any alleged fraudulent activity occurred for investigation; Amends the Chicago Police, Chicago Firefighter, Chicago Municipal, Chicago Laborers, Chicago Park District, and Chicago Teacher Articles of the Illinois Pension Code to terminate the existing pension boards 90 days after the effective date of the amendatory Act and to provide for a new board comprised of 4 members appointed by the Mayor of the City of Chicago and 3 elected members representing active members and annuitant members of the fund. Amends the Cook County Article of the Illinois Pension Code to terminate the existing board of trustees 90 days after the effective date of the amendatory Act and to provide for a new board comprised of 5 members appointed by the President of the Cook County Board of Commissioners and 4 elected members representing active and annuitant members of the fund. Effective immediately.

Spectrum: Partisan Bill (Republican 2-0)

Status: (Failed) 2013-01-08 - Session Sine Die [HB3827 Detail]

Download: Illinois-2011-HB3827-Introduced.html

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97TH GENERAL ASSEMBLY State of Illinois 2011 and 2012 HB3827 Introduced , by Rep. Tom Cross - Darlene J. Senger SYNOPSIS AS INTRODUCED:
See Index
Amends the Illinois Pension Code. Provides that any reasonable suspicion by any appointed or elected commissioner, trustee, director, board member, or employee of a retirement system or pension fund created under the Code or the State Board of Investment of a false statement or falsified record being submitted or permitted by a person under the Code shall be immediately referred to the board of trustees of a retirement system or pension fund created under the Code or the State Board of Investment or the State's Attorney of the jurisdiction where the alleged fraudulent activity occurred, and that the board of trustees of a retirement system or pension fund or the State Board of Investment shall immediately notify the State's Attorney of the jurisdiction where any alleged fraudulent activity occurred for investigation; Amends the Chicago Police, Chicago Firefighter, Chicago Municipal, Chicago Laborers, Chicago Park District, and Chicago Teacher Articles of the Illinois Pension Code to terminate the existing pension boards 90 days after the effective date of the amendatory Act and to provide for a new board comprised of 4 members appointed by the Mayor of the City of Chicago and 3 elected members representing active members and annuitant members of the fund. Amends the Cook County Article of the Illinois Pension Code to terminate the existing board of trustees 90 days after the effective date of the amendatory Act and to provide for a new board comprised of 5 members appointed by the President of the Cook County Board of Commissioners and 4 elected members representing active and annuitant members of the fund. Effective immediately.
LRB097 13781 AMC 58340 b
FISCAL NOTE ACT MAY APPLY PENSION IMPACT NOTE ACT MAY APPLY
A BILL FOR
HB3827 LRB097 13781 AMC 58340 b
AN ACT concerning public employee benefits.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Illinois Pension Code is amended by changing
Sections 1-114, 1-135, 5-178, 6-174, 8-192, 9-185, 11-181,
12-156, 17-137, 17-138, and 17-139 as follows:
(40 ILCS 5/1-114) (from Ch. 108 1/2, par. 1-114)
Sec. 1-114. Liability for Breach of Fiduciary Duty. (a) Any
person who is a fiduciary with respect to a retirement system
or pension fund established under this Code who breaches any
duty imposed upon fiduciaries by this Code, including, but not
limited to, a failure to report a reasonable suspicion of a
false statement specified in Section 1-135 of this Code, shall
be personally liable to make good to such retirement system or
pension fund any losses to it resulting from each such breach,
and to restore to such retirement system or pension fund any
profits of such fiduciary which have been made through use of
assets of the retirement system or pension fund by the
fiduciary, and shall be subject to such equitable or remedial
relief as the court may deem appropriate, including the removal
of such fiduciary.
(b) No person shall be liable with respect to a breach of
fiduciary duty under this Code if such breach occurred before

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such person became a fiduciary or after such person ceased to
be a fiduciary.
(Source: P.A. 82-960.)
(40 ILCS 5/1-135)
Sec. 1-135. Fraud. Any person who knowingly makes any false
statement or falsifies or permits to be falsified any record of
a retirement system or pension fund created under this Code or
the Illinois State Board of Investment in an attempt to defraud
the retirement system or pension fund created under this Code
or the Illinois State Board of Investment is guilty of a Class
3 felony. Any reasonable suspicion by any appointed or elected
commissioner, trustee, director, board member, or employee of a
retirement system or pension fund created under this Code or
the State Board of Investment of a false statement or falsified
record being submitted or permitted by a person under this Code
shall be immediately referred to the board of trustees of a
retirement system or pension fund created under this Code or
the State Board of Investment or the State's Attorney of the
jurisdiction where the alleged fraudulent activity occurred.
The board of trustees of a retirement system or pension fund
created under this Code or the State Board of Investment shall
immediately notify the State's Attorney of the jurisdiction
where any alleged fraudulent activity occurred for
investigation.
(Source: P.A. 96-6, eff. 4-3-09.)

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(40 ILCS 5/5-178) (from Ch. 108 1/2, par. 5-178)
Sec. 5-178. Board created. Until 90 days after the
effective date of this amendatory Act of the 97th General
Assembly, a A board of 8 members shall constitute a board of
trustees authorized to administer the provisions of this
Article. The board shall be known as the Retirement Board of
the Policemen's Annuity and Benefit Fund of the city.
The board shall consist of 4 persons appointed by the mayor
of the city; 3 policemen employed by the city, at least one of
whom shall be a lieutenant or of a rank superior to lieutenant,
one of whom shall be of the rank of sergeant, and one of whom
shall be of the rank of investigator or a rank inferior to that
rank; and one annuitant of the fund, or a pensioner of any
prior police pension fund in operation, by authority of law, in
the city. Children less than age 18 shall not be eligible for
board membership. The term of office for all members shall be 3
years. For the election to be held in 2008 only, the terms for
the member who is a lieutenant or of a rank superior to
lieutenant and the member who is a sergeant shall be 3 years
and the terms for the member who is an investigator or a rank
inferior to that rank and the annuitant member shall be 4
years. After the terms of the 2008 election are completed, the
terms revert to 3-year terms for each elected trustee. Upon his
election, the member holding the rank of investigator or a rank
inferior to that rank shall be detailed by the Police

HB3827 - 4 - LRB097 13781 AMC 58340 b
Superintendent to the office of the board for the duration of
his term as trustee.
The members of a retirement board holding office in a city
at the time this Article becomes effective, including elected,
appointed and ex-officio members, shall continue in office
until the expiration of their respective terms or appointment
and until their respective successors are elected or appointed,
and qualified.
At least 30 days prior to the expiration of the term of
office of each appointive member the mayor shall appoint a
successor for a term of 3 years.
The board shall conduct a regular election at least 30 days
prior to the expiration of the terms of the active policemen
members and annuitant or beneficiary members for election of a
successor of each such member for a term of 3 years.
Any member of the board so appointed or elected shall
continue in office until his successor is selected and has
qualified.
Any person so appointed or elected shall qualify by taking
an oath of office. A copy thereof shall be kept in the office
of the city clerk of the city.
Notwithstanding any other provision of this Section, the
term of any person appointed or elected under this Section
before the effective date of this amendatory Act of the 97th
General Assembly expires 90 days after the effective date of
this amendatory Act of the 97th General Assembly.

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Beginning 90 days after the effective date of this
amendatory Act of the 97th General Assembly, the board shall be
comprised of 4 appointed members and 3 elected members. The
appointed members shall be appointed by the Mayor of the City
of Chicago for a term that expires on the same date as that of
the Mayor of the City of Chicago and until a successor is
appointed and qualified. The appointed members of the board
shall not be an active participant or annuitant of the Fund or
an elected official.
Two members of the board representing active members of the
Fund created under this Article shall be elected to the board
as follows: the board shall arrange for and hold an election in
which only those active participants under this Article shall
be eligible to vote and be elected. The members elected to the
board under this paragraph shall serve for a term of 4 years
beginning 90 days after the effective date of this amendatory
Act of the 97th General Assembly.
One member of the board representing annuitant members of
the Fund created under this Article shall be elected to the
board as follows: the board shall arrange for and hold an
election in which only those annuitant members under this
Article shall be eligible to vote and be elected. The member
elected to the board under this paragraph shall serve for a
term of 4 years beginning 90 days after the effective date of
this amendatory Act of the 97th General Assembly.
(Source: P.A. 95-1036, eff. 2-17-09.)

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(40 ILCS 5/6-174) (from Ch. 108 1/2, par. 6-174)
Sec. 6-174. Board created. Until 90 days after the
effective date of this amendatory Act of the 97th General
Assembly, a A board of 8 members shall constitute a board of
trustees authorized to administer the provisions of this
Article. The board shall be known as the Retirement Board of
the Firemen's Annuity and Benefit Fund of the city.
The board shall consist of the city treasurer, the city
comptroller, the city clerk, a deputy fire commissioner
designated by the fire commissioner of the city, 3 firemen
employed by the city, and 1 annuitant of the fund or a fireman
pensioner of any prior firemen's pension fund in operation, by
authority of law, in the city. Children less than age 18 shall
not be eligible for membership.
The members of a retirement board holding office at the
time this Article becomes effective, including elected and ex
officio members, shall continue in office until the expiration
of their respective terms or appointment and until their
respective successors are elected or appointed, and qualified.
In a city which first attains a population of over 500,000
and comes under the provisions of this Article, the active
firemen members of the board of trustees of any firemen's
pension fund then in effect in such city and the member of such
board who was chosen from the retired members of such fund
shall become members of the board as follows:

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(a) The active fireman member for whom the highest number
of votes was cast and counted at the most recent election for
board members shall become a member of the retirement board for
a term which shall end on December 1st of the third year after
the year in which this Article comes into force in the city;
the member of the board for whom the second highest number of
votes was cast and counted at such election shall become a
member of the retirement board for a term which shall end on
December 1st of the second year after the year in which this
Article comes into force in the city; and the member of the
board for whom the third highest number of votes was cast and
counted at such election shall become a member of the
retirement board for a term which shall end on December 1st of
the first year after the year in which this Article comes into
force in the city.
(b) The annuitant member of the pension fund shall become a
member of the board for a term which shall end on December 1st
of the second year after the year in which this Article comes
into force in the city.
The board shall conduct regular elections annually, at
least 30 days prior to the expiration of the term of the active
fireman member of the board whose term next expires, for the
election of a successor for a term of 3 years. The board also
shall conduct regular elections biennially, at least 30 days
prior to the expiration of the term of the member who is a
pensioner of any pension fund formerly in effect in such city

HB3827 - 8 - LRB097 13781 AMC 58340 b
or an annuitant of the annuity and benefit fund herein
provided, for the election of a successor to such member for a
term of 2 years.
Any member of the board, elected as aforesaid, shall
continue in office until his successor is elected and
qualified.
Each member of the board, before entering upon the duties
of his office, shall take the oath prescribed by the
Constitution of this State, which oath shall be filed in the
office of the city clerk of the city.
Notwithstanding any other provision of this Section, the
term of any person appointed or elected under this Section
before the effective date of this amendatory Act of the 97th
General Assembly expires 90 days after the effective date of
this amendatory Act of the 97th General Assembly.
Beginning 90 days after the effective date of this
amendatory Act of the 97th General Assembly, the board shall be
comprised of 4 appointed members and 3 elected members. The
appointed members shall be appointed by the Mayor of the City
of Chicago for a term that expires on the same date as that of
the Mayor of the City of Chicago and until a successor is
appointed and qualified. The appointed members of the board
shall not be an active participant or annuitant of the Fund or
an elected official.
Two members of the board representing active members of the
Fund created under this Article shall be elected to the board

HB3827 - 9 - LRB097 13781 AMC 58340 b
as follows: the board shall arrange for and hold an election in
which only those active participants under this Article shall
be eligible to vote and be elected. The members elected to the
board under this paragraph shall serve for a term of 4 years
beginning 90 days after the effective date of this amendatory
Act of the 97th General Assembly.
One member of the board representing annuitant members of
the Fund created under this Article shall be elected to the
board as follows: the board shall arrange for and hold an
election in which only those annuitant members under this
Article shall be eligible to vote and be elected. The member
elected to the board under this paragraph shall serve for a
term of 4 years beginning 90 days after the effective date of
this amendatory Act of the 97th General Assembly.
(Source: P.A. 86-273.)
(40 ILCS 5/8-192) (from Ch. 108 1/2, par. 8-192)
Sec. 8-192. Board created. Until 90 days after the
effective date of this amendatory Act of the 97th General
Assembly, a A board of 5 members shall constitute a Board of
Trustees authorized to carry out the provisions of this
Article. The board shall be known as the Retirement Board of
the Municipal Employees', Officers', and Officials' Annuity
and Benefit Fund of the city, or for the sake of brevity may
also be known and referred to as the Retirement Board of the
Municipal Employees' Annuity and Benefit Fund of such city. The

HB3827 - 10 - LRB097 13781 AMC 58340 b
board shall consist of the city comptroller, the city
treasurer, and 3 members who shall be employees, to be elected
as follows:
Within 30 days after the effective date, the mayor of the
city shall arrange for and hold an election.
One employee shall be elected for a term ending on the
first day in the month of December of the first year next
following the effective date; one for a term ending December
1st of the following year; and one for a term ending on
December 1st of the second following year.
The city comptroller, with the approval of the board, may
appoint a designee from among employees of the city who are
versed in the affairs of the comptroller's office to act in the
absence of the comptroller on all matters pertaining to
administering the provisions of this Article.
The city treasurer, with the approval of the board, may
appoint a designee from among employees of the city who are
versed in the affairs of the treasurer's office to act in the
absence of the treasurer on all matters pertaining to
administering the provisions of this Article.
The members of a Retirement Board of a municipal
employees', officers', and officials' annuity and benefit fund
holding office in a city at the time this Article becomes
effective, including elective and ex-officio members, shall
continue in office until the expiration of their terms and
until their respective successors are elected or appointed and

HB3827 - 11 - LRB097 13781 AMC 58340 b
have qualified.
An employee member who takes advantage of the early
retirement incentives provided under this amendatory Act of the
93rd General Assembly may continue as a member until the end of
his or her term.
Notwithstanding any other provision of this Section, the
term of any person appointed or elected under this Section
before the effective date of this amendatory Act of the 97th
General Assembly expires 90 days after the effective date of
this amendatory Act of the 97th General Assembly.
Beginning 90 days after the effective date of this
amendatory Act of the 97th General Assembly, the board shall be
comprised of 4 appointed members and 3 elected members. The
appointed members shall be appointed by the Mayor of the City
of Chicago for a term that expires on the same date as that of
the Mayor of the City of Chicago and until a successor is
appointed and qualified. The appointed members of the board
shall not be an active participant or annuitant of the Fund or
an elected official.
Two members of the board representing active members of the
Fund created under this Article shall be elected to the board
as follows: the board shall arrange for and hold an election in
which only those active participants under this Article shall
be eligible to vote and be elected. The members elected to the
board under this paragraph shall serve for a term of 4 years
beginning 90 days after the effective date of this amendatory

HB3827 - 12 - LRB097 13781 AMC 58340 b
Act of the 97th General Assembly.
One member of the board representing annuitant members of
the Fund created under this Article shall be elected to the
board as follows: the board shall arrange for and hold an
election in which only those annuitant members under this
Article shall be eligible to vote and be elected. The member
elected to the board under this paragraph shall serve for a
term of 4 years beginning 90 days after the effective date of
this amendatory Act of the 97th General Assembly.
(Source: P.A. 96-1427, eff. 1-1-11.)
(40 ILCS 5/9-185) (from Ch. 108 1/2, par. 9-185)
Sec. 9-185. Board created.
(a) A board of 9 members shall constitute the board of
trustees authorized to carry out the provisions of this
Article. The board of trustees shall be known as "The
Retirement Board of the County Employees' Annuity and Benefit
Fund of .... County". Beginning 90 days after the effective
date of this amendatory Act of the 97th General Assembly, the
The board shall consist of 5 2 members appointed and 4 7
members elected as hereinafter prescribed.
(b) Until 90 days after the effective date of this
amendatory Act of the 97th General Assembly, the The appointed
members shall be appointed as follows: One member shall be
appointed by the comptroller of such county, who may be the
comptroller or some person chosen by him from among employees

HB3827 - 13 - LRB097 13781 AMC 58340 b
of the county, who are versed in the affairs of the
comptroller's office; and one member shall be appointed by the
treasurer of such county, who may be the treasurer or some
person chosen by him from among employees of the County who are
versed in the affairs of the treasurer's office.
The member appointed by the comptroller shall hold office
for a term ending on December 1st of the first year following
the year of appointment. The member appointed by the county
treasurer shall hold office for a term ending on December 1st
of the second year following the year of appointment.
Thereafter, each appointed member shall be appointed by the
officer that appointed his predecessor for a term of 2 years.
Notwithstanding any other provision of this Section, the
term of any person appointed under this subsection (b) expires
90 days after the effective date of this amendatory Act of the
97th General Assembly.
(c) Until 90 days after the effective date of this
amendatory Act of the 97th General Assembly, 3 Three county
employee members of the board shall be elected as follows:
within 30 days from and after the date upon which this Article
comes into effect in the county, the clerk of the county shall
arrange for and hold an election. One employee shall be elected
for a term ending on the first day in the month of December of
the first year next following the effective date; one for a
term ending on December 1st of the following year; and one for
a term ending December 1st of the second following year.

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Notwithstanding any other provision of this Section, the
term of any person elected under this subsection expires 90
days after the effective date of this amendatory Act of the
97th General Assembly.
(d) Beginning December 1, 1988, and every 3 years
thereafter until 90 days after the effective date of this
amendatory Act of the 97th General Assembly, an annuitant
member of the board shall be elected as follows: the board
shall arrange for and hold an election in which only those
participants who are currently receiving retirement benefits
under this Article shall be eligible to vote and be elected.
Each such member shall be elected to a term ending on the first
day in the month of December of the third following year.
Notwithstanding any other provision of this Section, the
term of any person elected under this subsection expires 90
days after the effective date of this amendatory Act of the
97th General Assembly.
(d-1) Beginning December 1, 2001, and every 3 years
thereafter until 90 days after the effective date of this
amendatory Act of the 97th General Assembly, an annuitant
member of the board shall be elected as follows: the board
shall arrange for and hold an election in which only those
participants who are currently receiving retirement benefits
under this Article shall be eligible to vote and be elected.
Each such member shall be elected to a term ending on the first
day in the month of December of the third following year. Until

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December 1, 2001, the position created under this subsection
(d-1) may be filled by the board as in the case of a vacancy.
Notwithstanding any other provision of this Section, the
term of any person elected under this subsection expires 90
days after the effective date of this amendatory Act of the
97th General Assembly.
(e) Beginning December 1, 1988 and until 90 days after the
effective date of this amendatory Act of the 97th General
Assembly, if a Forest Preserve District Employees' Annuity and
Benefit Fund shall be in force in such county and the board of
this fund is charged with administering the affairs of such
annuity and benefit fund for employees of such forest preserve
district, a forest preserve district member of the board shall
be elected as of December 1, 1988, and every 3 years thereafter
as follows: the board shall arrange for and hold an election in
which only those employees of such forest preserve district who
are contributors to the annuity and benefit fund for employees
of such forest preserve district shall be eligible to vote and
be elected. Each such member shall be elected to a term ending
on the first day in the month of December of the third
following year.
Notwithstanding any other provision of this Section, the
term of any person elected under this subsection expires 90
days after the effective date of this amendatory Act of the
97th General Assembly.
(f) Beginning December 1, 2001, and every 3 years

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thereafter until 90 days after the effective date of this
amendatory Act of the 97th General Assembly, if a Forest
Preserve District Employees' Annuity and Benefit Fund is in
force in the county and the board of this Fund is charged with
administering the affairs of that annuity and benefit fund for
employees of the forest preserve district, a forest preserve
district annuitant member of the board shall be elected as
follows: the board shall arrange for and hold an election in
which only those participants who are currently receiving
retirement benefits under Article 10 shall be eligible to vote
and be elected. Each such member shall be elected to a term
ending on the first day in the month of December of the third
following year. Until December 1, 2001, the position created
under this subsection (f) may be filled by the board as in the
case of a vacancy.
Notwithstanding any other provision of this Section, the
term of any person elected under this subsection expires 90
days after the effective date of this amendatory Act of the
97th General Assembly.
(g) Beginning 90 days after the effective date of this
amendatory Act of the 97th General Assembly, the appointed
members shall be appointed by the President of the Cook County
Board of Commissioners. Each appointed member shall be
appointed for a term expiring on the same date as that of the
President of the Cook County Board of Commissioners and until
their successors are appointed and qualified. The appointed

HB3827 - 17 - LRB097 13781 AMC 58340 b
members of the board shall not be an active participant or
annuitant of the Fund or an elected official.
(h) A member of the board representing active members of
the Fund created under this Article shall be elected to the
board as follows: the board shall arrange for and hold an
election in which only those active participants under this
Article shall be eligible to vote and be elected. The person
first elected to the board under this subsection shall serve
for a term of 2 years, beginning 90 days after the effective
date of this amendatory Act of the 97th General Assembly.
Thereafter, each person so elected shall serve for a term of 4
years.
(i) A member of the board representing annuitant members of
the Fund created under this Article shall be elected to the
board as follows: the board shall arrange for and hold an
election in which only those annuitant members under this
Article shall be eligible to vote and be elected. Each person
selected under this subsection shall serve for a term of 4
years, with the term of the first person so elected beginning
90 days after the effective date of this amendatory Act of the
97th General Assembly.
(j) A member of the board representing active members of
the Fund created under Article 10 shall be elected to the board
as follows: the board shall arrange for and hold an election in
which only those active participants under Article 10 shall be
eligible to vote and be elected. The person first elected to

HB3827 - 18 - LRB097 13781 AMC 58340 b
the board under this subsection shall serve for a term of 2
years, beginning 90 days after the effective date of this
amendatory Act of the 97th General Assembly. Thereafter, each
person so elected shall serve for a term of 4 years.
(k) A member of the board representing annuitant members of
the Fund created under Article 10 shall be elected to the board
as follows: the board shall arrange for and hold an election in
which only those annuitant members under Article 10 shall be
eligible to vote and be elected. Each person selected under
this subsection shall serve for term of 4 years, with the term
of the first person so elected beginning 90 days after the
effective date of this amendatory Act of the 97th General
Assembly.
(Source: P.A. 92-66, eff. 7-12-01.)
(40 ILCS 5/11-181) (from Ch. 108 1/2, par. 11-181)
Sec. 11-181. Board created. Until 90 days after the
effective date of this amendatory Act of the 97th General
Assembly, a A board of 8 members shall constitute the board of
trustees authorized to carry out the provisions of this
Article. The board shall be known as the Retirement Board of
the Laborers' and Retirement Board Employees' Annuity and
Benefit Fund of the city. The board shall consist of 5 persons
appointed and 2 employees and one annuitant elected in the
manner hereinafter prescribed.
The appointed members of the board shall be appointed as

HB3827 - 19 - LRB097 13781 AMC 58340 b
follows:
One member shall be appointed by the comptroller of the
city, who may be himself or anyone chosen from among employees
of the city who are versed in the affairs of the comptroller's
office; one member shall be appointed by the City Treasurer of
the city, who may be himself or a person chosen from among
employees of the city who are versed in the affairs of the City
Treasurer's office; one member shall be an employee of the city
appointed by the president of the local labor organization
representing a majority of the employees participating in the
Fund; and 2 members shall be appointed by the civil service
commission or the Department of Personnel of the city from
among employees of the city who are versed in the affairs of
the civil service commission's office or the Department of
Personnel.
The member appointed by the comptroller shall hold office
for a term ending on December 1st of the first year following
the year of appointment. The member appointed by the City
Treasurer shall hold office for a term ending on December 1st
of the second year following the year of appointment. The
member appointed by the civil service commission shall hold
office for a term ending on the first day in the month of
December of the third year following the year of appointment.
The additional member appointed by the civil service commission
under this amendatory Act of 1998 shall hold office for an
initial term ending on December 1, 2000, and the member

HB3827 - 20 - LRB097 13781 AMC 58340 b
appointed by the labor organization president shall hold office
for an initial term ending on December 1, 2001. Thereafter each
appointive member shall be appointed by the officer or body
that appointed his predecessor, for a term of 3 years.
The 2 employee members of the board shall be elected as
follows:
Within 30 days from and after the appointive members have
been appointed and have qualified, the appointive members shall
arrange for and hold an election.
One employee shall be elected for a term ending on December
1st of the first year next following the effective date; one
for a term ending on December 1st of the following year.
An employee member who takes advantage of the early
retirement incentives provided under this amendatory Act of the
93rd General Assembly may continue as a member until the end of
his or her term.
The initial annuitant member shall be appointed by the
other members of the board for an initial term ending on
December 1, 1999. The annuitant member elected in 1999 shall be
deemed to have been elected for a 3-year term ending on
December 1, 2002. Thereafter, the annuitant member shall be
elected for a 3-year term ending on December 1st of the third
year following the election.
Notwithstanding any other provision of this Section, the
term of any person appointed or elected under this Section
before the effective date of this amendatory Act of the 97th

HB3827 - 21 - LRB097 13781 AMC 58340 b
General Assembly expires 90 days after the effective date of
this amendatory Act of the 97th General Assembly.
Beginning 90 days after the effective date of this
amendatory Act of the 97th General Assembly, the board shall be
comprised of 4 appointed members and 3 elected members. The
appointed members shall be appointed by the Mayor of the City
of Chicago for a term that expires on the same date as that of
the Mayor of the City of Chicago and until a successor is
appointed and qualified. The appointed members of the board
shall not be an active participant or annuitant of the Fund or
an elected official.
Two members of the board representing active members of the
Fund created under this Article shall be elected to the board
as follows: the board shall arrange for and hold an election in
which only those active participants under this Article shall
be eligible to vote and be elected. The members elected to the
board under this paragraph shall serve for a term of 4 years
beginning 90 days after the effective date of this amendatory
Act of the 97th General Assembly.
One member of the board representing annuitant members of
the Fund created under this Article shall be elected to the
board as follows: the board shall arrange for and hold an
election in which only those annuitant members under this
Article shall be eligible to vote and be elected. The member
elected to the board under this paragraph shall serve for a
term of 4 years beginning 90 days after the effective date of

HB3827 - 22 - LRB097 13781 AMC 58340 b
this amendatory Act of the 97th General Assembly.
(Source: P.A. 93-654, eff. 1-16-04.)
(40 ILCS 5/12-156) (from Ch. 108 1/2, par. 12-156)
Sec. 12-156. Board created. Until 90 days after the effective
date of this amendatory Act of the 97th General Assembly, a A
board composed of 7 members shall constitute a Board of
Trustees authorized to carry out the provisions of this
Article. Such Board of Trustees shall be known as the
Retirement Board of the Park Employees' and Retirement Board
Employees' Annuity and Benefit Fund.
Three members of such board shall be appointed by the board
of park commissioners for terms of 3 years. Four members of
such board shall be elected from among the employees for terms
of 4 years who shall serve until their respective successors
have been elected and have qualified.
The members of the board of a fund holding office at the
time this Article becomes effective, including elected and
appointed members, shall continue in office until the
expiration of their respective terms or appointments and until
their respective successors are appointed or elected and have
qualified. When the term of any appointed member expires, the
board of park commissioners shall appoint a successor.
The board shall conduct regular elections annually under
rules which shall be adopted by it for the election of
successors to members of the board whose terms shall expire.

HB3827 - 23 - LRB097 13781 AMC 58340 b
All employees who are included under the provisions of this
Article shall be entitled to vote. The ballots shall be of
secret character.
Each person elected or appointed to membership upon the
board shall take a written oath of office that he will, so far
as it devolves upon him, diligently and honestly administer the
affairs of the office to which he was elected or appointed and
that he will not knowingly violate or wilfully permit to be
violated any of the provisions of law applicable under this
Article. Such oath shall be subscribed by the person making it,
and certified to by the officer before whom it is taken, and
deposited with the custodian of the fund. Anyone after
appointment or election shall be deemed to have qualified for
membership on the board when such certificate is deposited with
the custodian of the fund.
Notwithstanding any other provision of this Section, the
term of any person appointed or elected under this Section
before the effective date of this amendatory Act of the 97th
General Assembly expires 90 days after the effective date of
this amendatory Act of the 97th General Assembly.
Beginning 90 days after the effective date of this
amendatory Act of the 97th General Assembly, the board shall be
comprised of 4 appointed members and 3 elected members. The
appointed members shall be appointed by the Mayor of the City
of Chicago for a term that expires on the same date as that of
the Mayor of the City of Chicago and until a successor is

HB3827 - 24 - LRB097 13781 AMC 58340 b
appointed and qualified. The appointed members of the board
shall not be an active participant or annuitant of the Fund or
an elected official.
Two members of the board representing active members of the
Fund created under this Article shall be elected to the board
as follows: the board shall arrange for and hold an election in
which only those active participants under this Article shall
be eligible to vote and be elected. The members elected to the
board under this paragraph shall serve for a term of 4 years
beginning 90 days after the effective date of this amendatory
Act of the 97th General Assembly.
One member of the board representing annuitant members of
the Fund created under this Article shall be elected to the
board as follows: the board shall arrange for and hold an
election in which only those annuitant members under this
Article shall be eligible to vote and be elected. The member
elected to the board under this paragraph shall serve for a
term of 4 years beginning 90 days after the effective date of
this amendatory Act of the 97th General Assembly.
(Source: Laws 1963, p. 161.)
(40 ILCS 5/17-137) (from Ch. 108 1/2, par. 17-137)
Sec. 17-137. Board created. There shall be elected a Board
of Trustees, herein also referred to as the "Board", to
administer and control the Fund created by this Article. Until
90 days after the effective date of this amendatory Act of the

HB3827 - 25 - LRB097 13781 AMC 58340 b
97th General Assembly, the The Board shall consist of 12
members, 2 of whom shall be members of the Board of Education,
6 of whom shall be contributors who are not principals, one of
whom shall be a contributor who is a principal, and 3 of whom
shall be pensioners, all to be chosen as provided in this
Article.
Notwithstanding any other provision of this Section, the
term of any person appointed or elected under this Section
before the effective date of this amendatory Act of the 97th
General Assembly expires 90 days after the effective date of
this amendatory Act of the 97th General Assembly.
Beginning 90 days after the effective date of this
amendatory Act of the 97th General Assembly, the board shall be
comprised of 4 appointed members and 3 elected members. The
appointed members shall be appointed by the Mayor of the City
of Chicago for a term that expires on the same date as that of
the Mayor of the City of Chicago and until a successor is
appointed and qualified. The appointed members of the board
shall not be an active participant or annuitant of the Fund or
an elected official.
Two members of the board representing active members of the
Fund created under this Article shall be elected to the board
as follows: the board shall arrange for and hold an election in
which only those active participants under this Article shall
be eligible to vote and be elected. The members elected to the
board under this paragraph shall serve for a term of 4 years

HB3827 - 26 - LRB097 13781 AMC 58340 b
beginning 90 days after the effective date of this amendatory
Act of the 97th General Assembly.
One member of the board representing annuitant members of
the Fund created under this Article shall be elected to the
board as follows: the board shall arrange for and hold an
election in which only those annuitant members under this
Article shall be eligible to vote and be elected. The member
elected to the board under this paragraph shall serve for a
term of 4 years beginning 90 days after the effective date of
this amendatory Act of the 97th General Assembly.
(Source: P.A. 89-136, eff. 7-14-95; 90-566, eff. 1-2-98.)
(40 ILCS 5/17-138) (from Ch. 108 1/2, par. 17-138)
Sec. 17-138. Board membership. At the first meeting of the
Board of Education in November of each year, the Board of
Education shall appoint one of its members to serve, while a
member of the Board of Education, on the Board of Trustees for
a term of 2 years.
On the last school day of the 4th week of October of each
year there shall be elected 2 members of the Board from the
teachers other than principals, who shall hold office for terms
of 3 years while retaining their status as teachers other than
principals, and other members to fill unexpired terms. In the
event that schools are not in session on or during the week
prior to the last Friday in October, this election shall be
held on the Friday of the first subsequent full week of school.

HB3827 - 27 - LRB097 13781 AMC 58340 b
The election shall be by secret ballot and shall be held in
such manner as the Board by bylaws or rules shall provide. Only
teachers who are not principals shall be eligible to vote in
the election.
During the first week of November of 1995 and every third
year thereafter, one contributor who is a principal shall be
elected a member of the Board. This trustee shall hold office
for a term of 3 years while retaining his or her status as a
principal. The election shall be by mail ballot and only
contributors who are principals shall be eligible to vote. The
election shall be held in the manner provided by the Board by
rule or bylaw.
During the first week of November of each odd-numbered year
there shall be elected 3 members of the Board from the
pensioners, who shall hold office for a term of 2 years while
retaining their status as pensioners. The election shall be by
mail ballot to all service and disability pensioners, and shall
be held in such manner as the Board by bylaws or rules shall
provide.
All trustees, while members of the Board of Education or
while principals, teachers other than principals, or
pensioners, as the case may be, shall hold their offices until
their successors shall have been appointed or elected and
qualified by subscribing to the constitutional oath of office
at the immediately succeeding regular meeting of the Board.
This Section is repealed 90 days after the effective date

HB3827 - 28 - LRB097 13781 AMC 58340 b
of this amendatory Act of the 97th General Assembly.
(Source: P.A. 89-136, eff. 7-14-95; 90-566, eff. 1-2-98.)
(40 ILCS 5/17-139) (from Ch. 108 1/2, par. 17-139)
Sec. 17-139. Board elections and vacancies.
(1) Contributors other than principals election. Every
member who is not a principal or an administrator may vote at
the election for as many persons as there are trustees to be
elected by the contributors who are not principals or
administrators. The name of a candidate shall not be printed
upon the ballot unless he or she has been assigned on a regular
certificate for at least 10 years in the Chicago public schools
or charter schools and nominated by a petition signed by not
less than 200 contributors who are not principals or
administrators.
Petitions shall be filed with the recording secretary of
the Fund on or after September 15 of each year and not later
than October 1st of that year. No more than one candidate may
be nominated by any one petition. If the nominations do not
exceed the number of candidates to be elected, the canvassing
board shall declare the nominated candidates elected.
Otherwise, candidates receiving the highest number of votes
cast for their respective terms shall be declared elected. The
location and number of polling places shall be designated by
the Board. The election shall be conducted by the teachers who
are not principals or administrators, and the judges of the

HB3827 - 29 - LRB097 13781 AMC 58340 b
election shall be selected from the teachers who are not
principals or administrators, in such manner as the board in
its bylaws or rules provides.
Elections to fill vacancies on the Board shall be held at
the next annual election.
(2) Pensioners election. The name of a candidate shall not
be printed on the ballot unless he or she has been nominated by
a petition signed by not less than 100 pensioners of the Fund.
Petitions shall be filed with the recording secretary of the
Fund on or before October 1 of the odd-numbered year. If the
nominations do not exceed 3, the mailing of ballots shall be
eliminated and the nominated candidates shall be declared
elected. Otherwise, the 3 candidates receiving the highest
number of votes cast shall be declared elected. The mailing and
counting of the ballots shall be conducted by the office of the
Fund with volunteer assistance from pensioners at the request
of the Board.
(3) Principals election. The name of a candidate shall not
be printed on the ballot unless he or she has been nominated by
a petition signed by at least 25 contributors who are
principals or administrators. Petitions shall be filed with the
recording secretary of the Fund on or before October 1 of the
election year. Every member who is a principal or an
administrator may vote at the election for one candidate who is
a contributor who is a principal. If only one eligible
candidate is nominated, the election shall not be held and the

HB3827 - 30 - LRB097 13781 AMC 58340 b
nominated candidate shall be declared elected. Otherwise, the
candidate receiving the highest number of votes cast shall be
declared elected. The mailing and counting of the ballots shall
be conducted by the office of the Fund.
(4) Vacancies. The Board may fill vacancies occurring in
the membership of the Board elected by the principals,
administrators, teachers other than principals or
administrators, or pensioners at any regular meeting of the
Board. The Board of Education may fill vacancies occurring in
the membership of the Board appointed by the Board of Education
at any regular meeting of the Board of Education.
(5) This Section is repealed 90 days after the effective
date of this amendatory Act of the 97th General Assembly.
(Source: P.A. 94-514, eff. 8-10-05.)
Section 99. Effective date. This Act takes effect upon
becoming law.
HB3827 - 31 - LRB097 13781 AMC 58340 b
INDEX
Statutes amended in order of appearance