Bill Text: IL HB4518 | 2017-2018 | 100th General Assembly | Introduced

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Bill Title: Amends the Downstate Teacher Article of the Illinois Pension Code. In the provision defining "eligible employment" for the purpose of allowing a teacher to return to teaching in subject shortage areas without impairing his or her retirement status or retirement annuity, changes the ending date of the employment from no later than June 30, 2013 to no later than June 30, 2019. Provides that any benefit increase that results from the amendatory Act is excluded from the definition of "new benefit increase". Amends the State Mandates Act to require implementation without reimbursement by the State. Makes technical changes. Effective immediately.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Failed) 2019-01-08 - Session Sine Die [HB4518 Detail]

Download: Illinois-2017-HB4518-Introduced.html

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100TH GENERAL ASSEMBLY State of Illinois 2017 and 2018 HB4518 Introduced , by Rep. C.D. Davidsmeyer SYNOPSIS AS INTRODUCED:
40 ILCS 5/16-150.1
40 ILCS 5/16-203
30 ILCS 805/8.42 new
Amends the Downstate Teacher Article of the Illinois Pension Code. In the provision defining "eligible employment" for the purpose of allowing a teacher to return to teaching in subject shortage areas without impairing his or her retirement status or retirement annuity, changes the ending date of the employment from no later than June 30, 2013 to no later than June 30, 2019. Provides that any benefit increase that results from the amendatory Act is excluded from the definition of "new benefit increase". Amends the State Mandates Act to require implementation without reimbursement by the State. Makes technical changes. Effective immediately.
LRB100 18450 MJP 33665 b
FISCAL NOTE ACT MAY APPLY PENSION IMPACT NOTE ACT MAY APPLY STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT
A BILL FOR
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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 16-150.1 and 16-203 as follows:
(40 ILCS 5/16-150.1)
Sec. 16-150.1. Return to teaching in subject shortage area.
(a) As used in this Section, "eligible employment" means
employment beginning on or after July 1, 2003 and ending no
later than June 30, 2019 2013, in a subject shortage area at a
qualified school, in a position requiring certification under
the law governing the certification of teachers.
As used in this Section, "qualified school" means a public
elementary or secondary school that meets all of the following
requirements:
(1) At the time of hiring a retired teacher under this
Section, the school is experiencing a shortage of teachers
in the subject shortage area for which the teacher is
hired.
(2) The school district to which the school belongs has
complied with the requirements of subsection (e), and the
regional superintendent has certified that compliance to
the System.

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(3) If the school district to which the school belongs
provides group health benefits for its teachers generally,
substantially similar health benefits are made available
for teachers participating in the program under this
Section, without any limitations based on pre-existing
conditions.
(b) An annuitant receiving a retirement annuity under this
Article (other than a disability retirement annuity) may engage
in eligible employment at a qualified school without impairing
his or her retirement status or retirement annuity, subject to
the following conditions:
(1) the eligible employment does not begin within the
school year during which service was terminated;
(2) the annuitant has not received any early retirement
incentive under Section 16-133.3, 16-133.4, or 16-133.5;
(3) if the annuitant retired before age 60 and with
less than 34 years of service, the eligible employment does
not begin within the year following the effective date of
the retirement annuity;
(4) if the annuitant retired at age 60 or above or with
34 or more years of service, the eligible employment does
not begin within the 90 days following the effective date
of the retirement annuity; and
(5) before the eligible employment begins, the
employer notifies the System in writing of the annuitant's
desire to participate in the program established under this

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Section.
(c) An annuitant engaged in eligible employment in
accordance with subsection (b) shall be deemed a participant in
the program established under this Section for so long as he or
she remains employed in eligible employment.
(d) A participant in the program established under this
Section continues to be a retirement annuitant, rather than an
active teacher, for all of the purposes of this Code, but shall
be deemed an active teacher for other purposes, such as
inclusion in a collective bargaining unit, eligibility for
group health benefits, and compliance with the laws governing
the employment, regulation, certification, treatment, and
conduct of teachers.
With respect to an annuitant's eligible employment under
this Section, neither employee nor employer contributions
shall be made to the System and no additional service credit
shall be earned. Eligible employment does not affect the
annuitant's final average salary or the amount of the
retirement annuity.
(e) Before hiring a teacher under this Section, the school
district to which the school belongs must do the following:
(1) If the school district to which the school belongs
has honorably dismissed, within the calendar year
preceding the beginning of the school term for which it
seeks to employ a retired teacher under the program
established in this Section, any teachers who are legally

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qualified to hold positions in the subject shortage area
and have not yet begun to receive their retirement
annuities under this Article, the vacant positions must
first be tendered to those teachers.
(2) For a period of at least 90 days during the 6
months preceding the beginning of either the fall or spring
term for which it seeks to employ a retired teacher under
the program established in this Section, the school
district must, on an ongoing basis, both (i) advertise its
vacancies in the subject shortage area in a newspaper of
general circulation in the area in which the school is
located and in employment bulletins published by college
and university placement offices located near the school;
and (ii) search for teachers legally qualified to fill
those vacancies through the Illinois Education Job Bank.
The school district must submit documentation of its
compliance with this subsection to the regional
superintendent. Upon receiving satisfactory documentation from
the school district, the regional superintendent shall certify
the district's compliance with this subsection to the System.
(f) This Section applies without regard to whether the
annuitant was in service on or after the effective date of this
amendatory Act of the 93rd General Assembly.
(Source: P.A. 94-129, eff. 7-7-05; 95-910, eff. 8-26-08.)
(40 ILCS 5/16-203)

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Sec. 16-203. Application and expiration of new benefit
increases.
(a) As used in this Section, "new benefit increase" means
an increase in the amount of any benefit provided under this
Article, or an expansion of the conditions of eligibility for
any benefit under this Article, that results from an amendment
to this Code that takes effect after June 1, 2005 (the
effective date of Public Act 94-4). "New benefit increase",
however, does not include any benefit increase resulting from
the changes made to Article 1 or this Article by Public Act
95-910, Public Act 100-23, or this amendatory Act of the 100th
General Assembly or this amendatory Act of the 100th General
Assembly.
(b) Notwithstanding any other provision of this Code or any
subsequent amendment to this Code, every new benefit increase
is subject to this Section and shall be deemed to be granted
only in conformance with and contingent upon compliance with
the provisions of this Section.
(c) The Public Act enacting a new benefit increase must
identify and provide for payment to the System of additional
funding at least sufficient to fund the resulting annual
increase in cost to the System as it accrues.
Every new benefit increase is contingent upon the General
Assembly providing the additional funding required under this
subsection. The Commission on Government Forecasting and
Accountability shall analyze whether adequate additional

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funding has been provided for the new benefit increase and
shall report its analysis to the Public Pension Division of the
Department of Insurance. A new benefit increase created by a
Public Act that does not include the additional funding
required under this subsection is null and void. If the Public
Pension Division determines that the additional funding
provided for a new benefit increase under this subsection is or
has become inadequate, it may so certify to the Governor and
the State Comptroller and, in the absence of corrective action
by the General Assembly, the new benefit increase shall expire
at the end of the fiscal year in which the certification is
made.
(d) Every new benefit increase shall expire 5 years after
its effective date or on such earlier date as may be specified
in the language enacting the new benefit increase or provided
under subsection (c). This does not prevent the General
Assembly from extending or re-creating a new benefit increase
by law.
(e) Except as otherwise provided in the language creating
the new benefit increase, a new benefit increase that expires
under this Section continues to apply to persons who applied
and qualified for the affected benefit while the new benefit
increase was in effect and to the affected beneficiaries and
alternate payees of such persons, but does not apply to any
other person, including without limitation a person who
continues in service after the expiration date and did not

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apply and qualify for the affected benefit while the new
benefit increase was in effect.
(Source: P.A. 100-23, eff. 7-6-17.)
Section 90. The State Mandates Act is amended by adding
Section 8.42 as follows:
(30 ILCS 805/8.42 new)
Sec. 8.42. 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
the 100th General Assembly.
Section 99. Effective date. This Act takes effect upon
becoming law.