Bill Text: IL SB1584 | 2019-2020 | 101st General Assembly | Enrolled


Bill Title: Amends the Chicago Teacher Article of the Illinois Pension Code. For school years beginning on or after July 1, 2019, increases to 120 days (instead of 100 days) the amount of days a service retirement pensioner who is re-employed as a teacher may work without having his or her pension cancelled. Makes conforming changes. Effective immediately.

Spectrum: Partisan Bill (Democrat 15-0)

Status: (Enrolled) 2019-06-21 - Sent to the Governor [SB1584 Detail]

Download: Illinois-2019-SB1584-Enrolled.html



SB1584 EnrolledLRB101 08804 RPS 53892 b
1 AN ACT concerning public employee benefits.
2 Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4 Section 5. The Illinois Pension Code is amended by changing
5Section 17-149 as follows:
6 (40 ILCS 5/17-149) (from Ch. 108 1/2, par. 17-149)
7 Sec. 17-149. Cancellation of pensions.
8 (a) If any person receiving a disability retirement pension
9from the Fund is re-employed as a teacher by an Employer, the
10pension shall be cancelled on the date the re-employment
11begins, or on the first day of a payroll period for which
12service credit was validated, whichever is earlier.
13 (b) If any person receiving a service retirement pension
14from the Fund is re-employed as a teacher on a permanent or
15annual basis by an Employer, the pension shall be cancelled on
16the date the re-employment begins, or on the first day of a
17payroll period for which service credit was validated,
18whichever is earlier. However, subject to the limitations and
19requirements of subsection (c-5), the pension shall not be
20cancelled in the case of a service retirement pensioner who is
21re-employed on a temporary and non-annual basis or on an hourly
22basis.
23 (c) If the date of re-employment on a permanent or annual

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1basis occurs within 5 school months after the date of previous
2retirement, exclusive of any vacation period, the member shall
3be deemed to have been out of service only temporarily and not
4permanently retired. Such person shall be entitled to pension
5payments for the time he could have been employed as a teacher
6and received salary, but shall not be entitled to pension for
7or during the summer vacation prior to his return to service.
8 When the member again retires on pension, the time of
9service and the money contributed by him during re-employment
10shall be added to the time and money previously credited. Such
11person must acquire 3 consecutive years of additional
12contributing service before he may retire again on a pension at
13a rate and under conditions other than those in force or
14attained at the time of his previous retirement.
15 (c-5) For school years beginning on or after July 1, 2019,
16the service retirement pension shall not be cancelled in the
17case of a service retirement pensioner who is re-employed as a
18teacher on a temporary and non-annual basis or on an hourly
19basis, so long as the person (1) does not work as a teacher for
20compensation on more than 120 days in a school year or (2) does
21not accept gross compensation for the re-employment in a school
22year in excess of (i) $30,000 or (ii) in the case of a person
23who retires with at least 5 years of service as a principal, an
24amount that is equal to the daily rate normally paid to retired
25principals multiplied by 100. These limitations apply only to
26school years that begin on or after July 1, 2019. Such

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1re-employment does not require contributions, result in
2service credit, or constitute active membership in the Fund.
3 The service retirement pension shall not be cancelled in
4the case of a service retirement pensioner who is re-employed
5as a teacher on a temporary and non-annual basis or on an
6hourly basis, so long as the person (1) does not work as a
7teacher for compensation on more than 100 days in a school year
8or (2) does not accept gross compensation for the re-employment
9in a school year in excess of (i) $30,000 or (ii) in the case of
10a person who retires with at least 5 years of service as a
11principal, an amount that is equal to the daily rate normally
12paid to retired principals multiplied by 100. These limitations
13apply only to school years that begin on or after August 8,
142012 (the effective date of Public Act 97-912) and before July
151, 2019. Such re-employment does not require contributions,
16result in service credit, or constitute active membership in
17the Fund.
18 Notwithstanding the 120-day 100-day limit set forth in item
19(1) of this subsection (c-5), the service retirement pension
20shall not be cancelled in the case of a service retirement
21pensioner who teaches only driver education courses after
22regular school hours and does not teach any other subject area,
23so long as the person does not work as a teacher for
24compensation for more than 900 hours in a school year. The
25$30,000 limit set forth in subitem (i) of item (2) of this
26subsection (c-5) shall apply to a service retirement pensioner

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1who teaches only driver education courses after regular school
2hours and does not teach any other subject area.
3 To be eligible for such re-employment without cancellation
4of pension, the pensioner must notify the Fund and the Board of
5Education of his or her intention to accept re-employment under
6this subsection (c-5) before beginning that re-employment (or
7if the re-employment began before the effective date of this
8amendatory Act, then within 30 days after that effective date).
9 An Employer must certify to the Fund the temporary and
10non-annual or hourly status and the compensation of each
11pensioner re-employed under this subsection at least
12quarterly, and when the pensioner is approaching the earnings
13limitation under this subsection.
14 If the pensioner works more than 100 days or accepts excess
15gross compensation for such re-employment in any school year
16that begins on or after August 8, 2012 (the effective date of
17Public Act 97-912), the service retirement pension shall
18thereupon be cancelled.
19 If the pensioner who only teaches drivers education courses
20after regular school hours works more than 900 hours or accepts
21excess gross compensation for such re-employment in any school
22year that begins on or after the effective date of this
23amendatory Act of the 99th General Assembly, the service
24retirement pension shall thereupon be cancelled.
25 If the pensioner works more than 120 days or accepts excess
26gross compensation for such re-employment in any school year

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1that begins on or after July 1, 2019, the service retirement
2pension shall thereupon be cancelled.
3 The Board of the Fund shall adopt rules for the
4implementation and administration of this subsection.
5 (d) Notwithstanding Sections 1-103.1 and 17-157, the
6changes to this Section made by Public Act 90-32 apply without
7regard to whether termination of service occurred before the
8effective date of that Act and apply retroactively to August
923, 1989.
10 Notwithstanding Sections 1-103.1 and 17-157, the changes
11to this Section and Section 17-106 made by Public Act 92-599
12apply without regard to whether termination of service occurred
13before the effective date of that Act.
14 Notwithstanding Sections 1-103.1 and 17-157, the changes
15to this Section made by this amendatory Act of the 97th General
16Assembly apply without regard to whether termination of service
17occurred before the effective date of this amendatory Act.
18(Source: P.A. 99-176, eff. 7-29-15; 99-786, eff. 8-12-16.)
19 Section 99. Effective date. This Act takes effect upon
20becoming law.
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