Bill Text: IL SB1922 | 2013-2014 | 98th General Assembly | Amended
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Amends the Cook County Article of the Illinois Pension Code. Provides that a county employee with 20 or more years of service, who first became a participant on or after January 1, 2011 and whose entire disability benefit credit period expires before attainment of age 62, may qualify for certain annuities. Effective immediately.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Passed) 2014-06-09 - Public Act . . . . . . . . . 98-0641 [SB1922 Detail]
Download: Illinois-2013-SB1922-Amended.html
Bill Title: Amends the Cook County Article of the Illinois Pension Code. Provides that a county employee with 20 or more years of service, who first became a participant on or after January 1, 2011 and whose entire disability benefit credit period expires before attainment of age 62, may qualify for certain annuities. Effective immediately.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Passed) 2014-06-09 - Public Act . . . . . . . . . 98-0641 [SB1922 Detail]
Download: Illinois-2013-SB1922-Amended.html
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1 | AMENDMENT TO SENATE BILL 1922
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2 | AMENDMENT NO. ______. Amend Senate Bill 1922, AS AMENDED, | ||||||
3 | by replacing everything after the enacting clause with the | ||||||
4 | following:
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5 | "Section 1. Findings. It is the intention of the General | ||||||
6 | Assembly to address an immediate funding crisis that threatens | ||||||
7 | the solvency and sustainability of the public pension systems | ||||||
8 | ("Pension Funds") serving employees of the City of Chicago | ||||||
9 | ("City"). The Pension Funds include the Municipal Employees' | ||||||
10 | Annuity and Benefit Fund of Chicago ("MEABF") and the Laborers' | ||||||
11 | and Retirement Board Employees' Annuity Benefit Fund of Chicago | ||||||
12 | ("LABF"). The General Assembly observes that both the pension | ||||||
13 | benefits provided by these Pension Funds and the City's | ||||||
14 | obligation to contribute to these Pension Funds are established | ||||||
15 | by State law. The General Assembly further observes that the | ||||||
16 | City has continuously made the required contributions to these | ||||||
17 | Pension Funds. After reviewing the condition of the Pension |
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1 | Funds, potential sources of funding, and assessing the need for | ||||||
2 | reform thereof, the General Assembly finds and declares that: | ||||||
3 | 1. The overall financial condition of these two city | ||||||
4 | pension funds is so dire, even under the most optimistic | ||||||
5 | assumptions, a balanced increase in funding, both from the City | ||||||
6 | and from its employees, combined with a modification of annual | ||||||
7 | adjustments for both current and future retirees, is necessary | ||||||
8 | to stabilize and fund the pension funds. | ||||||
9 | 2. While considering the combined unfunded liabilities of | ||||||
10 | the MEABF and LABF, as well as other pension funding that | ||||||
11 | ultimately relies on funds from the City's property tax base, a | ||||||
12 | combination of modifications to employee contribution rates | ||||||
13 | and annual adjustments and increased revenues are necessary to | ||||||
14 | keep the city funds solvent. The City, even as a home rule | ||||||
15 | unit, lacks the ability and flexibility to raise sufficient | ||||||
16 | revenues to fund the current level of pension benefits of these | ||||||
17 | Pension Funds while at the same time providing important public | ||||||
18 | services essential to the public welfare. | ||||||
19 | 3. The General Assembly has been advised by the City that | ||||||
20 | the City cannot feasibly reduce its other expenses to address | ||||||
21 | this serious problem without an unprecedented reduction in | ||||||
22 | basic City services. Personnel costs constitute approximately | ||||||
23 | 75% of the non-discretionary appropriations for the City. As | ||||||
24 | such, reductions in City expenditures to fund pensions would | ||||||
25 | necessarily result in substantial cuts to City personnel, | ||||||
26 | including in key services areas such as public safety, |
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1 | sanitation, and construction. | ||||||
2 | 4. In sum, the crisis confronting the City and its Funds is | ||||||
3 | so large and immediate that it cannot be addressed through | ||||||
4 | increased funding alone, without modifying employee | ||||||
5 | contribution rates and annual adjustments for current and | ||||||
6 | future retirees. The consequences to the City of attempting to | ||||||
7 | do so would be draconian. Accordingly, the General Assembly | ||||||
8 | concludes that, unless reforms are enacted, the benefits | ||||||
9 | currently promised by the Pension Funds are at risk.
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10 | Section 5. The Illinois Public Labor Relations Act is | ||||||
11 | amended by changing Sections 7.5 and 15 as follows:
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12 | (5 ILCS 315/7.5) | ||||||
13 | (This Section may contain text from a Public Act with a | ||||||
14 | delayed effective date ) | ||||||
15 | Sec. 7.5. Duty to bargain regarding pension amendments. | ||||||
16 | (a) Notwithstanding any provision of this Act, employers | ||||||
17 | shall not be required to bargain over matters affected by the | ||||||
18 | changes, the impact of changes, and the implementation of | ||||||
19 | changes made to Article 8, 11, 14, 15, or 16 of the Illinois | ||||||
20 | Pension Code, or Article 1 of that Code as it applies to those | ||||||
21 | Articles, made by Public Act 98-599 or this amendatory Act of | ||||||
22 | the 98th General Assembly this amendatory Act of the 98th | ||||||
23 | General Assembly , or over any other provision of Article 8, 11, | ||||||
24 | 14, 15, or 16 of the Illinois Pension Code, or of Article 1 of |
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1 | that Code as it applies to those Articles, which are prohibited | ||||||
2 | subjects of bargaining; nor shall the changes, the impact of | ||||||
3 | changes, or the implementation of changes made to Article 8, | ||||||
4 | 11, 14, 15, or 16 of the Illinois Pension Code, or to Article 1 | ||||||
5 | of that Code as it applies to those Articles, by Public Act | ||||||
6 | 98-599 or this amendatory Act of the 98th General Assembly this | ||||||
7 | amendatory Act of the 98th General Assembly or any other | ||||||
8 | provision of Article 8, 11, 14, 15, or 16 of the Illinois | ||||||
9 | Pension Code, or of Article 1 of that Code as it applies to | ||||||
10 | those Articles, be subject to interest arbitration or any award | ||||||
11 | issued pursuant to interest arbitration. The provisions of this | ||||||
12 | Section shall not apply to an employment contract or collective | ||||||
13 | bargaining agreement that is in effect on the effective date of | ||||||
14 | Public Act 98-599 or this amendatory Act of the 98th General | ||||||
15 | Assembly, as applicable this amendatory Act of the 98th General | ||||||
16 | Assembly . However, any such contract or agreement that is | ||||||
17 | subsequently modified, amended, or renewed shall be subject to | ||||||
18 | the provisions of this Section. The provisions of this Section | ||||||
19 | shall also not apply to the ability of an employer and employee | ||||||
20 | representative to bargain collectively with regard to the pick | ||||||
21 | up of employee contributions pursuant to Section 14-133.1, | ||||||
22 | 15-157.1, or 16-152.1 of the Illinois Pension Code. | ||||||
23 | (b) Nothing in this Section, however, shall be construed as | ||||||
24 | otherwise limiting any of the obligations and requirements | ||||||
25 | applicable to each employer under any of the provisions of this | ||||||
26 | Act, including, but not limited to, the requirement to bargain |
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1 | collectively with regard to policy matters directly affecting | ||||||
2 | wages, hours and terms and conditions of employment as well as | ||||||
3 | the impact thereon upon request by employee representatives, | ||||||
4 | except for the matters deemed prohibited subjects of bargaining | ||||||
5 | under subsection (a) of this Section. Nothing in this Section | ||||||
6 | shall further be construed as otherwise limiting any of the | ||||||
7 | rights of employees or employee representatives under the | ||||||
8 | provisions of this Act, except for matters deemed prohibited | ||||||
9 | subjects of bargaining under subsection (a) of this Section. | ||||||
10 | (c) In case of any conflict between this Section and any | ||||||
11 | other provisions of this Act or any other law, the provisions | ||||||
12 | of this Section shall control.
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13 | (Source: P.A. 98-599, eff. 6-1-14.)
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14 | (5 ILCS 315/15) (from Ch. 48, par. 1615)
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15 | (Text of Section before amendment by P.A. 98-599 )
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16 | Sec. 15. Act Takes Precedence. | ||||||
17 | (a) In case of any conflict between the
provisions of this | ||||||
18 | Act and any other law (other than Section 5 of the State | ||||||
19 | Employees Group Insurance Act of 1971 and other than the | ||||||
20 | changes made to the Illinois Pension Code by Public Act 96-889, | ||||||
21 | Public Act 96-1490, Public Act 96-1495, and Public Act 98-599 | ||||||
22 | this amendatory Act of the 96th General Assembly ), executive | ||||||
23 | order or administrative
regulation relating to wages, hours and | ||||||
24 | conditions of employment and employment
relations, the | ||||||
25 | provisions of this Act or any collective bargaining agreement
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1 | negotiated thereunder shall prevail and control.
Nothing in | ||||||
2 | this Act shall be construed to replace or diminish the
rights | ||||||
3 | of employees established by Sections 28 and 28a of the | ||||||
4 | Metropolitan
Transit Authority Act, Sections 2.15 through 2.19 | ||||||
5 | of the Regional Transportation
Authority Act. The provisions of | ||||||
6 | this Act are subject to Section 5 of the State Employees Group | ||||||
7 | Insurance Act of 1971. Nothing in this Act shall be construed | ||||||
8 | to replace the necessity of complaints against a sworn peace | ||||||
9 | officer, as defined in Section 2(a) of the Uniform Peace | ||||||
10 | Officer Disciplinary Act, from having a complaint supported by | ||||||
11 | a sworn affidavit.
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12 | (b) Except as provided in subsection (a) above, any | ||||||
13 | collective bargaining
contract between a public employer and a | ||||||
14 | labor organization executed pursuant
to this Act shall | ||||||
15 | supersede any contrary statutes, charters, ordinances, rules
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16 | or regulations relating to wages, hours and conditions of | ||||||
17 | employment and
employment relations adopted by the public | ||||||
18 | employer or its agents. Any collective
bargaining agreement | ||||||
19 | entered into prior to the effective date of this Act
shall | ||||||
20 | remain in full force during its duration.
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21 | (c) It is the public policy of this State, pursuant to | ||||||
22 | paragraphs (h)
and (i) of Section 6 of Article VII of the | ||||||
23 | Illinois Constitution, that the
provisions of this Act are the | ||||||
24 | exclusive exercise by the State of powers
and functions which | ||||||
25 | might otherwise be exercised by home rule units. Such
powers | ||||||
26 | and functions may not be exercised concurrently, either |
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1 | directly
or indirectly, by any unit of local government, | ||||||
2 | including any home rule
unit, except as otherwise authorized by | ||||||
3 | this Act.
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4 | (Source: P.A. 95-331, eff. 8-21-07; 96-889, eff. 1-1-11 .)
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5 | (Text of Section after amendment by P.A. 98-599 )
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6 | Sec. 15. Act Takes Precedence. | ||||||
7 | (a) In case of any conflict between the
provisions of this | ||||||
8 | Act and any other law (other than Section 5 of the State | ||||||
9 | Employees Group Insurance Act of 1971 and other than the | ||||||
10 | changes made to the Illinois Pension Code by Public Act 96-889 , | ||||||
11 | Public Act 96-1490, Public Act 96-1495, and Public Act 98-599, | ||||||
12 | and other than as provided in Section 7.5), executive order or | ||||||
13 | administrative
regulation relating to wages, hours and | ||||||
14 | conditions of employment and employment
relations, the | ||||||
15 | provisions of this Act or any collective bargaining agreement
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16 | negotiated thereunder shall prevail and control.
Nothing in | ||||||
17 | this Act shall be construed to replace or diminish the
rights | ||||||
18 | of employees established by Sections 28 and 28a of the | ||||||
19 | Metropolitan
Transit Authority Act, Sections 2.15 through 2.19 | ||||||
20 | of the Regional Transportation
Authority Act. The provisions of | ||||||
21 | this Act are subject to Section 7.5 of this Act and Section 5 | ||||||
22 | of the State Employees Group Insurance Act of 1971. Nothing in | ||||||
23 | this Act shall be construed to replace the necessity of | ||||||
24 | complaints against a sworn peace officer, as defined in Section | ||||||
25 | 2(a) of the Uniform Peace Officer Disciplinary Act, from having |
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1 | a complaint supported by a sworn affidavit.
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2 | (b) Except as provided in subsection (a) above, any | ||||||
3 | collective bargaining
contract between a public employer and a | ||||||
4 | labor organization executed pursuant
to this Act shall | ||||||
5 | supersede any contrary statutes, charters, ordinances, rules
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6 | or regulations relating to wages, hours and conditions of | ||||||
7 | employment and
employment relations adopted by the public | ||||||
8 | employer or its agents. Any collective
bargaining agreement | ||||||
9 | entered into prior to the effective date of this Act
shall | ||||||
10 | remain in full force during its duration.
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11 | (c) It is the public policy of this State, pursuant to | ||||||
12 | paragraphs (h)
and (i) of Section 6 of Article VII of the | ||||||
13 | Illinois Constitution, that the
provisions of this Act are the | ||||||
14 | exclusive exercise by the State of powers
and functions which | ||||||
15 | might otherwise be exercised by home rule units. Such
powers | ||||||
16 | and functions may not be exercised concurrently, either | ||||||
17 | directly
or indirectly, by any unit of local government, | ||||||
18 | including any home rule
unit, except as otherwise authorized by | ||||||
19 | this Act.
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20 | (Source: P.A. 98-599, eff. 6-1-14.)
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21 | Section 10. The Illinois Pension Code is amended by | ||||||
22 | changing Sections 1-160, 8-137, 8-137.1, 8-173, 8-174, 8-192, | ||||||
23 | 11-134.1, 11-134.3, 11-169, 11-170, and 11-181 and by adding | ||||||
24 | Sections 8-173.1, 8-174.2, 11-169.1, and 11-179.1 as follows:
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1 | (40 ILCS 5/1-160)
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2 | (Text of Section before amendment by P.A. 98-622 ) | ||||||
3 | Sec. 1-160. Provisions applicable to new hires. | ||||||
4 | (a) The provisions of this Section apply to a person who, | ||||||
5 | on or after January 1, 2011, first becomes a member or a | ||||||
6 | participant under any reciprocal retirement system or pension | ||||||
7 | fund established under this Code, other than a retirement | ||||||
8 | system or pension fund established under Article 2, 3, 4, 5, 6, | ||||||
9 | 15 or 18 of this Code, notwithstanding any other provision of | ||||||
10 | this Code to the contrary, but do not apply to any self-managed | ||||||
11 | plan established under this Code, to any person with respect to | ||||||
12 | service as a sheriff's law enforcement employee under Article | ||||||
13 | 7, or to any participant of the retirement plan established | ||||||
14 | under Section 22-101. Notwithstanding anything to the contrary | ||||||
15 | in this Section, for purposes of this Section, a person who | ||||||
16 | participated in a retirement system under Article 15 prior to | ||||||
17 | January 1, 2011 shall be deemed a person who first became a | ||||||
18 | member or participant prior to January 1, 2011 under any | ||||||
19 | retirement system or pension fund subject to this Section. The | ||||||
20 | changes made to this Section by Public Act 98-596 this | ||||||
21 | amendatory Act of the 98th General Assembly are a clarification | ||||||
22 | of existing law and are intended to be retroactive to the | ||||||
23 | effective date of Public Act 96-889, notwithstanding the | ||||||
24 | provisions of Section 1-103.1 of this Code. | ||||||
25 | (b) "Final average salary" means the average monthly (or | ||||||
26 | annual) salary obtained by dividing the total salary or |
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1 | earnings calculated under the Article applicable to the member | ||||||
2 | or participant during the 96 consecutive months (or 8 | ||||||
3 | consecutive years) of service within the last 120 months (or 10 | ||||||
4 | years) of service in which the total salary or earnings | ||||||
5 | calculated under the applicable Article was the highest by the | ||||||
6 | number of months (or years) of service in that period. For the | ||||||
7 | purposes of a person who first becomes a member or participant | ||||||
8 | of any retirement system or pension fund to which this Section | ||||||
9 | applies on or after January 1, 2011, in this Code, "final | ||||||
10 | average salary" shall be substituted for the following: | ||||||
11 | (1) In Article 7 (except for service as sheriff's law | ||||||
12 | enforcement employees), "final rate of earnings". | ||||||
13 | (2) In Articles 8, 9, 10, 11, and 12, "highest average | ||||||
14 | annual salary for any 4 consecutive years within the last | ||||||
15 | 10 years of service immediately preceding the date of | ||||||
16 | withdrawal". | ||||||
17 | (3) In Article 13, "average final salary". | ||||||
18 | (4) In Article 14, "final average compensation". | ||||||
19 | (5) In Article 17, "average salary". | ||||||
20 | (6) In Section 22-207, "wages or salary received by him | ||||||
21 | at the date of retirement or discharge". | ||||||
22 | (b-5) Beginning on January 1, 2011, for all purposes under | ||||||
23 | this Code (including without limitation the calculation of | ||||||
24 | benefits and employee contributions), the annual earnings, | ||||||
25 | salary, or wages (based on the plan year) of a member or | ||||||
26 | participant to whom this Section applies shall not exceed |
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1 | $106,800; however, that amount shall annually thereafter be | ||||||
2 | increased by the lesser of (i) 3% of that amount, including all | ||||||
3 | previous adjustments, or (ii) one-half the annual unadjusted | ||||||
4 | percentage increase (but not less than zero) in the consumer | ||||||
5 | price index-u
for the 12 months ending with the September | ||||||
6 | preceding each November 1, including all previous adjustments. | ||||||
7 | For the purposes of this Section, "consumer price index-u" | ||||||
8 | means
the index published by the Bureau of Labor Statistics of | ||||||
9 | the United States
Department of Labor that measures the average | ||||||
10 | change in prices of goods and
services purchased by all urban | ||||||
11 | consumers, United States city average, all
items, 1982-84 = | ||||||
12 | 100. The new amount resulting from each annual adjustment
shall | ||||||
13 | be determined by the Public Pension Division of the Department | ||||||
14 | of Insurance and made available to the boards of the retirement | ||||||
15 | systems and pension funds by November 1 of each year. | ||||||
16 | (c) A member or participant is entitled to a retirement
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17 | annuity upon written application if he or she has attained age | ||||||
18 | 67 and has at least 10 years of service credit and is otherwise | ||||||
19 | eligible under the requirements of the applicable Article. | ||||||
20 | A member or participant who has attained age 62 and has at | ||||||
21 | least 10 years of service credit and is otherwise eligible | ||||||
22 | under the requirements of the applicable Article may elect to | ||||||
23 | receive the lower retirement annuity provided
in subsection (d) | ||||||
24 | of this Section. | ||||||
25 | (d) The retirement annuity of a member or participant who | ||||||
26 | is retiring after attaining age 62 with at least 10 years of |
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1 | service credit shall be reduced by one-half
of 1% for each full | ||||||
2 | month that the member's age is under age 67. | ||||||
3 | (e) Any retirement annuity or supplemental annuity shall be | ||||||
4 | subject to annual increases on the January 1 occurring either | ||||||
5 | on or after the attainment of age 67 or the first anniversary | ||||||
6 | of the annuity start date, whichever is later. Each annual | ||||||
7 | increase shall be calculated at 3% or one-half the annual | ||||||
8 | unadjusted percentage increase (but not less than zero) in the | ||||||
9 | consumer price index-u for the 12 months ending with the | ||||||
10 | September preceding each November 1, whichever is less, of the | ||||||
11 | originally granted retirement annuity. If the annual | ||||||
12 | unadjusted percentage change in the consumer price index-u for | ||||||
13 | the 12 months ending with the September preceding each November | ||||||
14 | 1 is zero or there is a decrease, then the annuity shall not be | ||||||
15 | increased. | ||||||
16 | (f) The initial survivor's or widow's annuity of an | ||||||
17 | otherwise eligible survivor or widow of a retired member or | ||||||
18 | participant who first became a member or participant on or | ||||||
19 | after January 1, 2011 shall be in the amount of 66 2/3% of the | ||||||
20 | retired member's or participant's retirement annuity at the | ||||||
21 | date of death. In the case of the death of a member or | ||||||
22 | participant who has not retired and who first became a member | ||||||
23 | or participant on or after January 1, 2011, eligibility for a | ||||||
24 | survivor's or widow's annuity shall be determined by the | ||||||
25 | applicable Article of this Code. The initial benefit shall be | ||||||
26 | 66 2/3% of the earned annuity without a reduction due to age. A |
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1 | child's annuity of an otherwise eligible child shall be in the | ||||||
2 | amount prescribed under each Article if applicable. Any | ||||||
3 | survivor's or widow's annuity shall be increased (1) on each | ||||||
4 | January 1 occurring on or after the commencement of the annuity | ||||||
5 | if
the deceased member died while receiving a retirement | ||||||
6 | annuity or (2) in
other cases, on each January 1 occurring | ||||||
7 | after the first anniversary
of the commencement of the annuity. | ||||||
8 | Each annual increase shall be calculated at 3% or one-half the | ||||||
9 | annual unadjusted percentage increase (but not less than zero) | ||||||
10 | in the consumer price index-u for the 12 months ending with the | ||||||
11 | September preceding each November 1, whichever is less, of the | ||||||
12 | originally granted survivor's annuity. If the annual | ||||||
13 | unadjusted percentage change in the consumer price index-u for | ||||||
14 | the 12 months ending with the September preceding each November | ||||||
15 | 1 is zero or there is a decrease, then the annuity shall not be | ||||||
16 | increased. | ||||||
17 | (g) The benefits in Section 14-110 apply only if the person | ||||||
18 | is a State policeman, a fire fighter in the fire protection | ||||||
19 | service of a department, or a security employee of the | ||||||
20 | Department of Corrections or the Department of Juvenile | ||||||
21 | Justice, as those terms are defined in subsection (b) of | ||||||
22 | Section 14-110. A person who meets the requirements of this | ||||||
23 | Section is entitled to an annuity calculated under the | ||||||
24 | provisions of Section 14-110, in lieu of the regular or minimum | ||||||
25 | retirement annuity, only if the person has withdrawn from | ||||||
26 | service with not less than 20
years of eligible creditable |
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1 | service and has attained age 60, regardless of whether
the | ||||||
2 | attainment of age 60 occurs while the person is
still in | ||||||
3 | service. | ||||||
4 | (h) If a person who first becomes a member or a participant | ||||||
5 | of a retirement system or pension fund subject to this Section | ||||||
6 | on or after January 1, 2011 is receiving a retirement annuity | ||||||
7 | or retirement pension under that system or fund and becomes a | ||||||
8 | member or participant under any other system or fund created by | ||||||
9 | this Code and is employed on a full-time basis, except for | ||||||
10 | those members or participants exempted from the provisions of | ||||||
11 | this Section under subsection (a) of this Section, then the | ||||||
12 | person's retirement annuity or retirement pension under that | ||||||
13 | system or fund shall be suspended during that employment. Upon | ||||||
14 | termination of that employment, the person's retirement | ||||||
15 | annuity or retirement pension payments shall resume and be | ||||||
16 | recalculated if recalculation is provided for under the | ||||||
17 | applicable Article of this Code. | ||||||
18 | If a person who first becomes a member of a retirement | ||||||
19 | system or pension fund subject to this Section on or after | ||||||
20 | January 1, 2012 and is receiving a retirement annuity or | ||||||
21 | retirement pension under that system or fund and accepts on a | ||||||
22 | contractual basis a position to provide services to a | ||||||
23 | governmental entity from which he or she has retired, then that | ||||||
24 | person's annuity or retirement pension earned as an active | ||||||
25 | employee of the employer shall be suspended during that | ||||||
26 | contractual service. A person receiving an annuity or |
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1 | retirement pension under this Code shall notify the pension | ||||||
2 | fund or retirement system from which he or she is receiving an | ||||||
3 | annuity or retirement pension, as well as his or her | ||||||
4 | contractual employer, of his or her retirement status before | ||||||
5 | accepting contractual employment. A person who fails to submit | ||||||
6 | such notification shall be guilty of a Class A misdemeanor and | ||||||
7 | required to pay a fine of $1,000. Upon termination of that | ||||||
8 | contractual employment, the person's retirement annuity or | ||||||
9 | retirement pension payments shall resume and, if appropriate, | ||||||
10 | be recalculated under the applicable provisions of this Code. | ||||||
11 | (i) (Blank). | ||||||
12 | (j) In the case of a conflict between the provisions of | ||||||
13 | this Section and any other provision of this Code, the | ||||||
14 | provisions of this Section shall control.
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15 | (Source: P.A. 97-609, eff. 1-1-12; 98-92, eff. 7-16-13; 98-596, | ||||||
16 | eff. 11-19-13; revised 1-23-14.)
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17 | (Text of Section after amendment by P.A. 98-622 )
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18 | Sec. 1-160. Provisions applicable to new hires. | ||||||
19 | (a) The provisions of this Section apply to a person who, | ||||||
20 | on or after January 1, 2011, first becomes a member or a | ||||||
21 | participant under any reciprocal retirement system or pension | ||||||
22 | fund established under this Code, other than a retirement | ||||||
23 | system or pension fund established under Article 2, 3, 4, 5, 6, | ||||||
24 | 15 or 18 of this Code, notwithstanding any other provision of | ||||||
25 | this Code to the contrary, but do not apply to any self-managed |
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1 | plan established under this Code, to any person with respect to | ||||||
2 | service as a sheriff's law enforcement employee under Article | ||||||
3 | 7, or to any participant of the retirement plan established | ||||||
4 | under Section 22-101. Notwithstanding anything to the contrary | ||||||
5 | in this Section, for purposes of this Section, a person who | ||||||
6 | participated in a retirement system under Article 15 prior to | ||||||
7 | January 1, 2011 shall be deemed a person who first became a | ||||||
8 | member or participant prior to January 1, 2011 under any | ||||||
9 | retirement system or pension fund subject to this Section. The | ||||||
10 | changes made to this Section by Public Act 98-596 this | ||||||
11 | amendatory Act of the 98th General Assembly are a clarification | ||||||
12 | of existing law and are intended to be retroactive to the | ||||||
13 | effective date of Public Act 96-889, notwithstanding the | ||||||
14 | provisions of Section 1-103.1 of this Code. | ||||||
15 | (b) "Final average salary" means the average monthly (or | ||||||
16 | annual) salary obtained by dividing the total salary or | ||||||
17 | earnings calculated under the Article applicable to the member | ||||||
18 | or participant during the 96 consecutive months (or 8 | ||||||
19 | consecutive years) of service within the last 120 months (or 10 | ||||||
20 | years) of service in which the total salary or earnings | ||||||
21 | calculated under the applicable Article was the highest by the | ||||||
22 | number of months (or years) of service in that period. For the | ||||||
23 | purposes of a person who first becomes a member or participant | ||||||
24 | of any retirement system or pension fund to which this Section | ||||||
25 | applies on or after January 1, 2011, in this Code, "final | ||||||
26 | average salary" shall be substituted for the following: |
| |||||||
| |||||||
1 | (1) In Article 7 (except for service as sheriff's law | ||||||
2 | enforcement employees), "final rate of earnings". | ||||||
3 | (2) In Articles 8, 9, 10, 11, and 12, "highest average | ||||||
4 | annual salary for any 4 consecutive years within the last | ||||||
5 | 10 years of service immediately preceding the date of | ||||||
6 | withdrawal". | ||||||
7 | (3) In Article 13, "average final salary". | ||||||
8 | (4) In Article 14, "final average compensation". | ||||||
9 | (5) In Article 17, "average salary". | ||||||
10 | (6) In Section 22-207, "wages or salary received by him | ||||||
11 | at the date of retirement or discharge". | ||||||
12 | (b-5) Beginning on January 1, 2011, for all purposes under | ||||||
13 | this Code (including without limitation the calculation of | ||||||
14 | benefits and employee contributions), the annual earnings, | ||||||
15 | salary, or wages (based on the plan year) of a member or | ||||||
16 | participant to whom this Section applies shall not exceed | ||||||
17 | $106,800; however, that amount shall annually thereafter be | ||||||
18 | increased by the lesser of (i) 3% of that amount, including all | ||||||
19 | previous adjustments, or (ii) one-half the annual unadjusted | ||||||
20 | percentage increase (but not less than zero) in the consumer | ||||||
21 | price index-u
for the 12 months ending with the September | ||||||
22 | preceding each November 1, including all previous adjustments. | ||||||
23 | For the purposes of this Section, "consumer price index-u" | ||||||
24 | means
the index published by the Bureau of Labor Statistics of | ||||||
25 | the United States
Department of Labor that measures the average | ||||||
26 | change in prices of goods and
services purchased by all urban |
| |||||||
| |||||||
1 | consumers, United States city average, all
items, 1982-84 = | ||||||
2 | 100. The new amount resulting from each annual adjustment
shall | ||||||
3 | be determined by the Public Pension Division of the Department | ||||||
4 | of Insurance and made available to the boards of the retirement | ||||||
5 | systems and pension funds by November 1 of each year. | ||||||
6 | (c) A member or participant is entitled to a retirement
| ||||||
7 | annuity upon written application if he or she has attained age | ||||||
8 | 67 (beginning January 1, 2015, age 65 with respect to service | ||||||
9 | under Article 8, 11, or 12 of this Code that is subject to this | ||||||
10 | Section) and has at least 10 years of service credit and is | ||||||
11 | otherwise eligible under the requirements of the applicable | ||||||
12 | Article. | ||||||
13 | A member or participant who has attained age 62 (beginning | ||||||
14 | January 1, 2015, age 60 with respect to service under Article | ||||||
15 | 8, 11, or 12 of this Code that is subject to this Section) and | ||||||
16 | has at least 10 years of service credit and is otherwise | ||||||
17 | eligible under the requirements of the applicable Article may | ||||||
18 | elect to receive the lower retirement annuity provided
in | ||||||
19 | subsection (d) of this Section. | ||||||
20 | (d) The retirement annuity of a member or participant who | ||||||
21 | is retiring after attaining age 62 (beginning January 1, 2015, | ||||||
22 | age 60 with respect to service under Article 8, 11, or 12 of | ||||||
23 | this Code that is subject to this Section) with at least 10 | ||||||
24 | years of service credit shall be reduced by one-half
of 1% for | ||||||
25 | each full month that the member's age is under age 67 | ||||||
26 | (beginning January 1, 2015, age 65 with respect to service |
| |||||||
| |||||||
1 | under Article 8, 11, or 12 of this Code that is subject to this | ||||||
2 | Section). | ||||||
3 | (e) Any retirement annuity or supplemental annuity shall be | ||||||
4 | subject to annual increases on the January 1 occurring either | ||||||
5 | on or after the attainment of age 67 (beginning January 1, | ||||||
6 | 2015, age 65 with respect to service under Article 8, 11, or 12 | ||||||
7 | of this Code that is subject to this Section) or the first | ||||||
8 | anniversary (the second anniversary with respect to service | ||||||
9 | under Article 8 or 11) of the annuity start date, whichever is | ||||||
10 | later. Each annual increase shall be calculated at 3% or | ||||||
11 | one-half the annual unadjusted percentage increase (but not | ||||||
12 | less than zero) in the consumer price index-u for the 12 months | ||||||
13 | ending with the September preceding each November 1, whichever | ||||||
14 | is less, of the originally granted retirement annuity. If the | ||||||
15 | annual unadjusted percentage change in the consumer price | ||||||
16 | index-u for the 12 months ending with the September preceding | ||||||
17 | each November 1 is zero or there is a decrease, then the | ||||||
18 | annuity shall not be increased. | ||||||
19 | Notwithstanding any provision of this Section to the | ||||||
20 | contrary, with respect to service under Article 8 or 11 of this | ||||||
21 | Code that is subject to this Section, no annual increase under | ||||||
22 | this subsection shall be paid or accrue to any person in year | ||||||
23 | 2025. In all other years, the Fund shall continue to pay annual | ||||||
24 | increases as provided in this Section. | ||||||
25 | Notwithstanding Section 1-103.1 of this Code, the changes | ||||||
26 | in this amendatory Act of the 98th General Assembly are |
| |||||||
| |||||||
1 | applicable without regard to whether the employee was in active | ||||||
2 | service on or after the effective date of this amendatory Act | ||||||
3 | of the 98th General Assembly. | ||||||
4 | (f) The initial survivor's or widow's annuity of an | ||||||
5 | otherwise eligible survivor or widow of a retired member or | ||||||
6 | participant who first became a member or participant on or | ||||||
7 | after January 1, 2011 shall be in the amount of 66 2/3% of the | ||||||
8 | retired member's or participant's retirement annuity at the | ||||||
9 | date of death. In the case of the death of a member or | ||||||
10 | participant who has not retired and who first became a member | ||||||
11 | or participant on or after January 1, 2011, eligibility for a | ||||||
12 | survivor's or widow's annuity shall be determined by the | ||||||
13 | applicable Article of this Code. The initial benefit shall be | ||||||
14 | 66 2/3% of the earned annuity without a reduction due to age. A | ||||||
15 | child's annuity of an otherwise eligible child shall be in the | ||||||
16 | amount prescribed under each Article if applicable. Any | ||||||
17 | survivor's or widow's annuity shall be increased (1) on each | ||||||
18 | January 1 occurring on or after the commencement of the annuity | ||||||
19 | if
the deceased member died while receiving a retirement | ||||||
20 | annuity or (2) in
other cases, on each January 1 occurring | ||||||
21 | after the first anniversary
of the commencement of the annuity. | ||||||
22 | Each annual increase shall be calculated at 3% or one-half the | ||||||
23 | annual unadjusted percentage increase (but not less than zero) | ||||||
24 | in the consumer price index-u for the 12 months ending with the | ||||||
25 | September preceding each November 1, whichever is less, of the | ||||||
26 | originally granted survivor's annuity. If the annual |
| |||||||
| |||||||
1 | unadjusted percentage change in the consumer price index-u for | ||||||
2 | the 12 months ending with the September preceding each November | ||||||
3 | 1 is zero or there is a decrease, then the annuity shall not be | ||||||
4 | increased. | ||||||
5 | (g) The benefits in Section 14-110 apply only if the person | ||||||
6 | is a State policeman, a fire fighter in the fire protection | ||||||
7 | service of a department, or a security employee of the | ||||||
8 | Department of Corrections or the Department of Juvenile | ||||||
9 | Justice, as those terms are defined in subsection (b) of | ||||||
10 | Section 14-110. A person who meets the requirements of this | ||||||
11 | Section is entitled to an annuity calculated under the | ||||||
12 | provisions of Section 14-110, in lieu of the regular or minimum | ||||||
13 | retirement annuity, only if the person has withdrawn from | ||||||
14 | service with not less than 20
years of eligible creditable | ||||||
15 | service and has attained age 60, regardless of whether
the | ||||||
16 | attainment of age 60 occurs while the person is
still in | ||||||
17 | service. | ||||||
18 | (h) If a person who first becomes a member or a participant | ||||||
19 | of a retirement system or pension fund subject to this Section | ||||||
20 | on or after January 1, 2011 is receiving a retirement annuity | ||||||
21 | or retirement pension under that system or fund and becomes a | ||||||
22 | member or participant under any other system or fund created by | ||||||
23 | this Code and is employed on a full-time basis, except for | ||||||
24 | those members or participants exempted from the provisions of | ||||||
25 | this Section under subsection (a) of this Section, then the | ||||||
26 | person's retirement annuity or retirement pension under that |
| |||||||
| |||||||
1 | system or fund shall be suspended during that employment. Upon | ||||||
2 | termination of that employment, the person's retirement | ||||||
3 | annuity or retirement pension payments shall resume and be | ||||||
4 | recalculated if recalculation is provided for under the | ||||||
5 | applicable Article of this Code. | ||||||
6 | If a person who first becomes a member of a retirement | ||||||
7 | system or pension fund subject to this Section on or after | ||||||
8 | January 1, 2012 and is receiving a retirement annuity or | ||||||
9 | retirement pension under that system or fund and accepts on a | ||||||
10 | contractual basis a position to provide services to a | ||||||
11 | governmental entity from which he or she has retired, then that | ||||||
12 | person's annuity or retirement pension earned as an active | ||||||
13 | employee of the employer shall be suspended during that | ||||||
14 | contractual service. A person receiving an annuity or | ||||||
15 | retirement pension under this Code shall notify the pension | ||||||
16 | fund or retirement system from which he or she is receiving an | ||||||
17 | annuity or retirement pension, as well as his or her | ||||||
18 | contractual employer, of his or her retirement status before | ||||||
19 | accepting contractual employment. A person who fails to submit | ||||||
20 | such notification shall be guilty of a Class A misdemeanor and | ||||||
21 | required to pay a fine of $1,000. Upon termination of that | ||||||
22 | contractual employment, the person's retirement annuity or | ||||||
23 | retirement pension payments shall resume and, if appropriate, | ||||||
24 | be recalculated under the applicable provisions of this Code. | ||||||
25 | (i) (Blank). | ||||||
26 | (j) In the case of a conflict between the provisions of |
| |||||||
| |||||||
1 | this Section and any other provision of this Code, the | ||||||
2 | provisions of this Section shall control.
| ||||||
3 | (Source: P.A. 97-609, eff. 1-1-12; 98-92, eff. 7-16-13; 98-596, | ||||||
4 | eff. 11-19-13; 98-622, eff. 6-1-14; revised 1-23-14.)
| ||||||
5 | (40 ILCS 5/8-137)
(from Ch. 108 1/2, par. 8-137)
| ||||||
6 | Sec. 8-137. Automatic increase in annuity.
| ||||||
7 | (a) An employee who retired or retires from service after | ||||||
8 | December 31,
1959 and before January 1, 1987, having attained | ||||||
9 | age 60 or more, shall,
in January of the year
after the year in | ||||||
10 | which the first anniversary of retirement occurs, have
the | ||||||
11 | amount of his then fixed and payable monthly annuity increased | ||||||
12 | by 1
1/2%, and such first fixed annuity as granted at | ||||||
13 | retirement increased by
a further 1 1/2% in January of each | ||||||
14 | year thereafter. Beginning with
January of the year 1972, such | ||||||
15 | increases shall be at the rate of 2% in
lieu of the aforesaid | ||||||
16 | specified 1 1/2%, and beginning with January of the
year 1984 | ||||||
17 | such increases shall be at the rate of 3%.
Beginning in January | ||||||
18 | of 1999, such increases
shall be at the rate of 3% of the | ||||||
19 | currently payable monthly annuity,
including any increases | ||||||
20 | previously granted under this Article. An
employee who retires | ||||||
21 | on annuity after December 31, 1959 and before
January 1, 1987, | ||||||
22 | but before age 60, shall receive such
increases beginning in | ||||||
23 | January of the year after the year
in which he attains age 60.
| ||||||
24 | An employee who retires from service on or after January 1, | ||||||
25 | 1987 shall, upon
the first annuity payment date following the |
| |||||||
| |||||||
1 | first anniversary of the date of
retirement, or upon the first | ||||||
2 | annuity payment date following attainment of age
60, whichever | ||||||
3 | occurs later, have his then fixed and payable monthly annuity
| ||||||
4 | increased by 3%, and such annuity shall be increased by an | ||||||
5 | additional 3% of the
original fixed annuity on the same date | ||||||
6 | each year thereafter. Beginning in
January of 1999, such | ||||||
7 | increases shall be at the rate of 3% of the currently
payable | ||||||
8 | monthly annuity, including any increases previously granted | ||||||
9 | under this
Article.
| ||||||
10 | (a-5) Notwithstanding the provisions of subsection (a), | ||||||
11 | upon the first
annuity payment date following (1) the third | ||||||
12 | anniversary of retirement, (2)
the attainment of age 53, or (3) | ||||||
13 | January 1, 2002, whichever
occurs latest,
the
monthly annuity | ||||||
14 | of an employee who retires on annuity prior to the attainment
| ||||||
15 | of age 60 and has not received an increase under subsection (a) | ||||||
16 | shall
be
increased by 3%, and the annuity shall be increased by | ||||||
17 | an additional
3% of the
current payable monthly annuity, | ||||||
18 | including any
increases previously
granted
under this Article, | ||||||
19 | on the same date each year thereafter. The increases
provided | ||||||
20 | under this subsection are in lieu of the increases provided in
| ||||||
21 | subsection (a).
| ||||||
22 | (a-6) Notwithstanding the provisions of subsections (a) | ||||||
23 | and (a-5), for all
calendar years following the year in which | ||||||
24 | this amendatory Act of the 93rd
General Assembly takes effect, | ||||||
25 | an increase in annuity under this Section that
would otherwise | ||||||
26 | take effect at any time during the year shall instead take
|
| |||||||
| |||||||
1 | effect in January of that year.
| ||||||
2 | (b) Subsections (a), (a-5), and (a-6) are not
applicable to | ||||||
3 | an employee retiring
and receiving a term annuity, as herein | ||||||
4 | defined, nor to any otherwise
qualified employee who retires | ||||||
5 | before he makes employee contributions (at
the 1/2 of 1% rate | ||||||
6 | as provided in this Act) for this additional
annuity for not | ||||||
7 | less than the equivalent of one full year. Such
employee, | ||||||
8 | however, shall make arrangement to pay to the fund a balance
of | ||||||
9 | such 1/2 of 1% contributions, based on his final salary, as | ||||||
10 | will
bring such 1/2 of 1% contributions, computed without | ||||||
11 | interest, to the
equivalent of or completion of one year's | ||||||
12 | contributions.
| ||||||
13 | Beginning with January, 1960, each employee shall | ||||||
14 | contribute by means of
salary deductions 1/2 of 1% of each | ||||||
15 | salary payment, concurrently with
and in addition to the | ||||||
16 | employee contributions otherwise made for annuity
purposes.
| ||||||
17 | Each such additional contribution shall be credited to an | ||||||
18 | account in
the prior service annuity reserve, to be used, | ||||||
19 | together with city
contributions, to defray the cost of the | ||||||
20 | specified annuity increments.
Any balance in such account at | ||||||
21 | the beginning of each calendar year shall
be credited with | ||||||
22 | interest at the rate of 3% per annum.
| ||||||
23 | Such additional employee contributions are not refundable, | ||||||
24 | except to
an employee who withdraws and applies for refund | ||||||
25 | under this Article, and
in cases where a term annuity becomes | ||||||
26 | payable. In such cases his
contributions shall be refunded, |
| |||||||
| |||||||
1 | without interest, and charged to such
account in the prior | ||||||
2 | service annuity reserve.
| ||||||
3 | (b-5) Notwithstanding any provision of this Section to the | ||||||
4 | contrary: | ||||||
5 | (1) A person retiring after the effective date of this | ||||||
6 | amendatory Act of the 98th General Assembly shall not be | ||||||
7 | eligible for an annual increase under this Section until | ||||||
8 | one full year after the date on which such annual increase | ||||||
9 | otherwise would take effect under this Section. | ||||||
10 | (2) Except for persons eligible under subdivision (4) | ||||||
11 | of this subsection for a minimum annual increase, there | ||||||
12 | shall be no annual increase under this Section in years | ||||||
13 | 2017, 2019, and 2025. | ||||||
14 | (3) In all other years, beginning January 1, 2015, the | ||||||
15 | Fund shall pay an annual increase to persons eligible to | ||||||
16 | receive one under this Section, in lieu of any other annual | ||||||
17 | increase provided under this Section (but subject to the | ||||||
18 | minimum increase under subdivision (4) of this subsection, | ||||||
19 | if applicable) in an amount equal to the lesser of 3% or | ||||||
20 | one-half the annual unadjusted percentage increase (but | ||||||
21 | not less than zero) in the consumer price index-u for the | ||||||
22 | 12 months ending with the September preceding each November | ||||||
23 | 1, of the person's last annual annuity amount prior to | ||||||
24 | January 1, 2015, or if the person was not yet receiving an | ||||||
25 | annuity on that date, then this calculation shall be based | ||||||
26 | on his or her originally granted annual annuity amount. |
| |||||||
| |||||||
1 | For the purposes of this Section, "consumer price | ||||||
2 | index-u" means the index published by the Bureau of Labor | ||||||
3 | Statistics of the United States Department of Labor that | ||||||
4 | measures the average change in prices of goods and services | ||||||
5 | purchased by all urban consumers, United States city | ||||||
6 | average, all items, 1982-84 = 100. | ||||||
7 | (4) A person is eligible under this subdivision (4) to | ||||||
8 | receive a minimum annual increase in a particular year if: | ||||||
9 | (i) the person is otherwise eligible to receive an annual | ||||||
10 | increase under subdivision (3) of this subsection, and (ii) | ||||||
11 | the annual amount of the annuity payable at the time of the | ||||||
12 | increase, including all increases previously received, is | ||||||
13 | less than $22,000. | ||||||
14 | Beginning January 1, 2015, for a person who is eligible | ||||||
15 | under this subdivision (4) to receive a minimum annual | ||||||
16 | increase in the year 2017, 2019, or 2025, the annual | ||||||
17 | increase shall be 1% of the person's last annual annuity | ||||||
18 | amount prior to January 1, 2015, or if the person was not | ||||||
19 | yet receiving an annuity on that date, then 1% of his or | ||||||
20 | her originally granted annual annuity amount. | ||||||
21 | Beginning January 1, 2015, for any other year in which | ||||||
22 | a person is eligible under this subdivision (4) to receive | ||||||
23 | a minimum annual increase, the annual increase shall be as | ||||||
24 | specified under subdivision (3), but not less than 1% of | ||||||
25 | the person's last annual annuity amount prior to January 1, | ||||||
26 | 2015 or, if the person was not yet receiving an annuity on |
| |||||||
| |||||||
1 | that date, then not less than 1% of his or her originally | ||||||
2 | granted annual annuity amount. | ||||||
3 | For the purposes of Section 1-103.1, this subsection (b-5) | ||||||
4 | is applicable without regard to whether the employee was in | ||||||
5 | active service on or after the effective date of this | ||||||
6 | amendatory Act of the 98th General Assembly. This subsection | ||||||
7 | (b-5) applies to any former employee who on or after the | ||||||
8 | effective date of this amendatory Act of the 98th General | ||||||
9 | Assembly is receiving a retirement annuity and is eligible for | ||||||
10 | an automatic annual increase under this Section. | ||||||
11 | (Source: P.A. 92-599, eff. 6-28-02; 92-609, eff. 7-1-02; | ||||||
12 | 93-654, eff. 1-16-04.)
| ||||||
13 | (40 ILCS 5/8-137.1) (from Ch. 108 1/2, par. 8-137.1)
| ||||||
14 | Sec. 8-137.1. Automatic increases in annuity for certain | ||||||
15 | heretofore retired
participants.
| ||||||
16 | (a) A retired municipal employee who (i) (a) is receiving | ||||||
17 | annuity based on a
service credit of 20 or more years | ||||||
18 | regardless of age at retirement or based
on a service credit of | ||||||
19 | 15 or more years with retirement at age 55 or over,
and (ii) | ||||||
20 | (b) does not qualify for the automatic increases in annuity | ||||||
21 | provided
for in Section 8-137 of this Article, and (iii) (c) | ||||||
22 | elects to make a contribution
to the Fund at a time and manner | ||||||
23 | prescribed by the Retirement Board, of a
sum equal to 1% of the | ||||||
24 | amount of final monthly salary times the number of
full years | ||||||
25 | of service on which the annuity was based in those cases where
|
| |||||||
| |||||||
1 | the annuity was computed on the money purchase formula and in | ||||||
2 | those cases
in which the annuity was computed under the minimum | ||||||
3 | annuity formula
provisions of this Article a sum equal to 1% of | ||||||
4 | the average monthly salary
on which the annuity was based times | ||||||
5 | such number of full years of service,
shall have his original | ||||||
6 | fixed and payable monthly amount of annuity
increased in | ||||||
7 | January of the year following the year in which he attains the
| ||||||
8 | age of 65 years, if such age of 65 years is attained in the year | ||||||
9 | 1969 or
later, by an amount equal to 1-1/2%, and by an equal | ||||||
10 | additional 1-1/2% in
January of each year thereafter. Beginning | ||||||
11 | with January of the year 1972,
such increases shall be at the | ||||||
12 | rate of 2% in lieu of the aforesaid
specified 1 1/2%, and | ||||||
13 | beginning January of the year 1984 such increases
shall be at | ||||||
14 | the rate of 3%.
Beginning in January of 1999, such increases | ||||||
15 | shall be at the rate of
3% of the currently payable monthly | ||||||
16 | annuity, including any increases previously
granted under this | ||||||
17 | Article.
| ||||||
18 | Whenever the retired municipal employee receiving annuity | ||||||
19 | has attained
the age of 66 or more in 1969, he shall have such | ||||||
20 | annuity increased in
January, 1970 by an amount equal to 1-1/2% | ||||||
21 | multiplied by the number equal
to the number of months of | ||||||
22 | January elapsing from and including January of
the year | ||||||
23 | immediately following the year he attained the age of 65 if
| ||||||
24 | retired at or before age 65, or from and including January of | ||||||
25 | the year
immediately following the year of retirement if | ||||||
26 | retired at an age greater
than 65, to and including January, |
| |||||||
| |||||||
1 | 1970, and by an equal additional 1-1/2%
in January of each year | ||||||
2 | thereafter. Beginning with January of the year
1972, such | ||||||
3 | increases shall be at the rate of 2% in lieu of the aforesaid
| ||||||
4 | specified 1 1/2%, and beginning January of the year 1984 such | ||||||
5 | increases
shall be at the rate of 3%.
Beginning in January of | ||||||
6 | 1999, such increases shall be at the rate of
3% of the | ||||||
7 | currently payable monthly annuity, including any increases | ||||||
8 | previously
granted under this Article.
| ||||||
9 | (b) To defray the annual cost of such increases, the annual | ||||||
10 | interest income
of the Fund, accruing from investments held by | ||||||
11 | the Fund, exclusive of gains
or losses on sales or exchanges of | ||||||
12 | assets during the year, over and above
4% a year, shall be used | ||||||
13 | to the extent necessary and available to finance
the cost of | ||||||
14 | such increases for the following year, and such amount shall be
| ||||||
15 | transferred as of the end of each year, beginning with the year | ||||||
16 | 1969, to a
Fund account designated as the Supplementary Payment | ||||||
17 | Reserve from the
Investment and Interest Reserve set forth in | ||||||
18 | Section 8-221. The sums
contributed by annuitants as provided | ||||||
19 | for in this Section shall also be
placed in the aforesaid | ||||||
20 | Supplementary Payment Reserve and shall be applied
and used for | ||||||
21 | the purposes of such Fund account, together with the aforesaid
| ||||||
22 | interest.
| ||||||
23 | In the event the monies in the Supplementary Payment | ||||||
24 | Reserve in any year
arising from: (1) the available interest | ||||||
25 | income as defined hereinbefore and
accruing in the preceding | ||||||
26 | year above 4% a year and (2) the contributions by
retired |
| |||||||
| |||||||
1 | persons, as set forth hereinbefore, are insufficient to make | ||||||
2 | the
total payments to all persons estimated to be entitled to | ||||||
3 | the annuity
increases specified hereinbefore, then (3) any | ||||||
4 | interest earnings over 4% a
year beginning with the year 1969 | ||||||
5 | which were not previously used to finance
such increases and | ||||||
6 | which were transferred to the Prior Service Annuity
Reserve may | ||||||
7 | be used to the extent necessary and available to provide
| ||||||
8 | sufficient funds to finance such increases for the current | ||||||
9 | year, and such
sums shall be transferred from the Prior Service | ||||||
10 | Annuity Reserve.
| ||||||
11 | In the event the total monies available in the | ||||||
12 | Supplementary Payment
Reserve from the preceding indicated | ||||||
13 | sources are insufficient to make the
total payments to all | ||||||
14 | persons entitled to such increases for the year, a
| ||||||
15 | proportionate amount computed as the ratio of the monies | ||||||
16 | available to the
total of the total payments for that year | ||||||
17 | shall be paid to each person for
that year.
| ||||||
18 | The Fund shall be obligated for the payment of the | ||||||
19 | increases in annuity
as provided for in this Section only to | ||||||
20 | the extent that the assets for such
purpose, as specified | ||||||
21 | herein, are available.
| ||||||
22 | (b-5) Notwithstanding any provision of this Section to the | ||||||
23 | contrary: | ||||||
24 | (1) Except for persons eligible under subdivision (3) | ||||||
25 | of this subsection for a minimum annual increase, there | ||||||
26 | shall be no annual increase under this Section in years |
| |||||||
| |||||||
1 | 2017, 2019, and 2025. | ||||||
2 | (2) In all other years, beginning January 1, 2015, the | ||||||
3 | Fund shall pay an annual increase to persons eligible to | ||||||
4 | receive one under this Section, in lieu of any other annual | ||||||
5 | increase provided under this Section (but subject to the | ||||||
6 | minimum increase under subdivision (3) of this subsection, | ||||||
7 | if applicable) in an amount equal to the lesser of 3% or | ||||||
8 | one-half the annual unadjusted percentage increase (but | ||||||
9 | not less than zero) in the consumer price index-u for the | ||||||
10 | 12 months ending with the September preceding each November | ||||||
11 | 1, of the person's last annual annuity amount prior to | ||||||
12 | January 1, 2015. | ||||||
13 | For the purposes of this Section, "consumer price | ||||||
14 | index-u" means the index published by the Bureau of Labor | ||||||
15 | Statistics of the United States Department of Labor that | ||||||
16 | measures the average change in prices of goods and services | ||||||
17 | purchased by all urban consumers, United States city | ||||||
18 | average, all items, 1982-84 = 100. | ||||||
19 | (3) A person is eligible under this subdivision (3) to | ||||||
20 | receive a minimum annual increase in a particular year if: | ||||||
21 | (i) the person is otherwise eligible to receive an annual | ||||||
22 | increase under subdivision (2) of this subsection, and (ii) | ||||||
23 | the annual amount of the annuity payable at the time of the | ||||||
24 | increase, including all increases previously received, is | ||||||
25 | less than $22,000. | ||||||
26 | Beginning January 1, 2015, for a person who is eligible |
| |||||||
| |||||||
1 | under this subdivision (3) to receive a minimum annual | ||||||
2 | increase in the year 2017, 2019, or 2025, the annual | ||||||
3 | increase shall be 1% of the person's last annual annuity | ||||||
4 | amount prior to January 1, 2015. | ||||||
5 | Beginning January 1, 2015, for any other year in which | ||||||
6 | a person is eligible under this subdivision (3) to receive | ||||||
7 | a minimum annual increase, the annual increase shall be as | ||||||
8 | specified under subdivision (2), but not less than 1% of | ||||||
9 | the person's last annual annuity amount prior to January 1, | ||||||
10 | 2015. | ||||||
11 | For the purposes of Section 1-103.1, this subsection (b-5) | ||||||
12 | is applicable without regard to whether the employee was in | ||||||
13 | active service on or after the effective date of this | ||||||
14 | amendatory Act of the 98th General Assembly. This subsection | ||||||
15 | (b-5) applies to any former employee who on or after the | ||||||
16 | effective date of this amendatory Act of the 98th General | ||||||
17 | Assembly is receiving a retirement annuity and is eligible for | ||||||
18 | an automatic annual increase under this Section. | ||||||
19 | (Source: P.A. 90-766, eff. 8-14-98.)
| ||||||
20 | (40 ILCS 5/8-173) (from Ch. 108 1/2, par. 8-173)
| ||||||
21 | Sec. 8-173. Financing; tax levy.
| ||||||
22 | (a) Except as provided in subsection (f) of this Section, | ||||||
23 | the city council
of the city shall levy a tax annually upon all | ||||||
24 | taxable property in the city at
a rate that will produce a sum | ||||||
25 | which, when added to the amounts deducted from
the salaries of |
| |||||||
| |||||||
1 | the employees or otherwise contributed by them and the
amounts | ||||||
2 | deposited under subsection (f), will be sufficient for the
| ||||||
3 | requirements of this Article, but which when extended will | ||||||
4 | produce an amount
not to exceed the greater of the following: | ||||||
5 | (a) the sum obtained by the levy
of a tax of .1093% of the | ||||||
6 | value, as equalized or assessed by the Department
of Revenue, | ||||||
7 | of all taxable property within such city, or (b) the sum of
| ||||||
8 | $12,000,000.
However any city in which a Fund has been | ||||||
9 | established and in operation
under this Article for more than 3 | ||||||
10 | years prior to 1970 shall
levy for the year 1970 a tax at a rate | ||||||
11 | on the dollar of assessed
valuation of all taxable property | ||||||
12 | that will produce, when extended, an
amount not to exceed 1.2 | ||||||
13 | times the total amount of contributions made by
employees to | ||||||
14 | the Fund for annuity purposes in the calendar year 1968,
and, | ||||||
15 | for the year 1971 and 1972 such levy that will produce, when
| ||||||
16 | extended, an amount not to exceed 1.3 times the total amount of
| ||||||
17 | contributions made by employees to the Fund for annuity
| ||||||
18 | purposes in the calendar years 1969 and 1970, respectively; and | ||||||
19 | for the
year 1973 an amount not to exceed 1.365 times such | ||||||
20 | total amount of
contributions made by employees for annuity | ||||||
21 | purposes in the calendar
year 1971; and for the year 1974 an | ||||||
22 | amount not to exceed 1.430 times
such total amount of | ||||||
23 | contributions made by employees for annuity
purposes in the | ||||||
24 | calendar year 1972; and for the year 1975 an amount not
to | ||||||
25 | exceed 1.495 times such total amount of contributions made by
| ||||||
26 | employees for annuity purposes in the calendar year 1973; and |
| |||||||
| |||||||
1 | for the year 1976
an amount not to exceed 1.560 times such | ||||||
2 | total amount of contributions made by
employees for annuity | ||||||
3 | purposes in the calendar year 1974; and for the year 1977
an | ||||||
4 | amount not to exceed 1.625 times such total amount of | ||||||
5 | contributions made by
employees for annuity purposes in the | ||||||
6 | calendar year 1975; and for the year 1978
and each year | ||||||
7 | thereafter through levy year 2014 , such levy as will produce, | ||||||
8 | when
extended, an amount not to exceed the total amount of
| ||||||
9 | contributions made by or on behalf of employees to the Fund for | ||||||
10 | annuity
purposes in the calendar year 2 years prior to the year | ||||||
11 | for which the annual
applicable tax is levied, multiplied by | ||||||
12 | 1.690 for the years 1978 through 1998
and by 1.250 for the year | ||||||
13 | 1999 and for each year thereafter through levy year 2014. | ||||||
14 | Beginning in levy year 2015, and in each year thereafter, the | ||||||
15 | levy shall not exceed the amount of the city's total required | ||||||
16 | contribution to the Fund for the next payment year, as | ||||||
17 | determined under subsection (a-5). For the purposes of this | ||||||
18 | Section, the payment year is the year immediately following the | ||||||
19 | levy year .
| ||||||
20 | The tax shall be levied and collected in like manner with | ||||||
21 | the general
taxes of the city, and shall be exclusive of and in | ||||||
22 | addition to the
amount of tax the city is now or may hereafter | ||||||
23 | be authorized to levy for
general purposes under any laws which | ||||||
24 | may limit the amount of tax which
the city may levy for general | ||||||
25 | purposes. The county clerk of the county
in which the city is | ||||||
26 | located, in reducing tax levies under the
provisions of any Act |
| |||||||
| |||||||
1 | concerning the levy and extension of taxes, shall
not consider | ||||||
2 | the tax herein provided for as a part of the general tax
levy | ||||||
3 | for city purposes, and shall not include the same within any
| ||||||
4 | limitation of the percent of the assessed valuation upon which | ||||||
5 | taxes are
required to be extended for such city.
| ||||||
6 | Revenues derived from such tax shall be paid to the city | ||||||
7 | treasurer of
the city as collected and held by the city | ||||||
8 | treasurer him for the benefit of the fund.
| ||||||
9 | If the payments on account of taxes are insufficient during | ||||||
10 | any year
to meet the requirements of this Article, the city may | ||||||
11 | issue tax
anticipation warrants against the current tax levy.
| ||||||
12 | The city may continue to use other lawfully available funds | ||||||
13 | in lieu of all or part of the levy, as provided under | ||||||
14 | subsection (f) of this Section. | ||||||
15 | (a-5) Beginning in payment year 2016, the city's required | ||||||
16 | annual contribution to the Fund shall be the lesser of: | ||||||
17 | (i) (I) for payment years 2016 through 2055, the annual | ||||||
18 | amount determined by the Fund to be equal to the greater of | ||||||
19 | $0, or the sum of (1) the City's portion of the projected | ||||||
20 | normal cost for that fiscal year, plus (2) an amount | ||||||
21 | determined on a level percentage of applicable employee | ||||||
22 | payroll basis (reflecting any limits on individual | ||||||
23 | participants' pay that apply for benefit and contribution | ||||||
24 | purposes under this plan) that is sufficient to bring the | ||||||
25 | total actuarial assets of the Fund up to 90% of the total | ||||||
26 | actuarial liabilities of the Fund by the end of 2055. (II) |
| |||||||
| |||||||
1 | For payment years after 2055, the annual amount determined | ||||||
2 | by the Fund to be equal to the amount, if any, needed to | ||||||
3 | bring the total actuarial assets of the Fund up to 90% of | ||||||
4 | the total actuarial liabilities of the Fund as of the end | ||||||
5 | of the year. In making the determinations under both (I) | ||||||
6 | and (II), the actuarial calculations shall be determined | ||||||
7 | under the entry age normal actuarial cost method, and any | ||||||
8 | actuarial gains or losses from investment return incurred | ||||||
9 | in a fiscal year shall be recognized in equal annual | ||||||
10 | amounts over the 5-year period following the fiscal year; | ||||||
11 | or | ||||||
12 | (ii) for payment year 2016, 1.85 times the total amount | ||||||
13 | of contributions made by or on behalf of employees to the | ||||||
14 | Fund for annuity purposes in the calendar year 2013; for | ||||||
15 | payment year 2017, 2.15 times the total amount of | ||||||
16 | contributions made by or on behalf of employees to the Fund | ||||||
17 | for annuity purposes in the calendar year 2014; for payment | ||||||
18 | year 2018, 2.45 times the total amount of contributions | ||||||
19 | made by or on behalf of employees to the Fund for annuity | ||||||
20 | purposes in the calendar year 2015; for payment year 2019, | ||||||
21 | 2.75 times the total amount of contributions made by or on | ||||||
22 | behalf of employees to the Fund for annuity purposes in the | ||||||
23 | calendar year 2016; for payment year 2020, 3.05 times the | ||||||
24 | total amount of contributions made by or on behalf of | ||||||
25 | employees to the Fund for annuity purposes in the calendar | ||||||
26 | year 2017. |
| |||||||
| |||||||
1 | However, beginning in the earlier of payment year 2021 or the | ||||||
2 | first payment year in which the annual contribution amount | ||||||
3 | calculated under subdivision (i) is less than the contribution | ||||||
4 | amount calculated under subdivision (ii), and in each year | ||||||
5 | thereafter, the city's required annual contribution to the Fund | ||||||
6 | shall be determined under subdivision (i). | ||||||
7 | The city's required annual contribution to the Fund may be | ||||||
8 | paid with any available funds and shall be paid by the city to | ||||||
9 | the city treasurer. The city treasurer shall collect and hold | ||||||
10 | those funds for the benefit of the Fund. | ||||||
11 | (a-10) If the city fails to transmit to the Fund | ||||||
12 | contributions required of it under this Article by December | ||||||
13 | 31st of the year in which such contributions are due, the Fund | ||||||
14 | may, after giving notice to the city, certify to the State | ||||||
15 | Comptroller the amounts of the delinquent payments, and the | ||||||
16 | Comptroller must, beginning in payment year 2016, deduct and | ||||||
17 | deposit into the Fund the certified amounts or a portion of | ||||||
18 | those amounts from the following proportions of grants of State | ||||||
19 | funds to the city: | ||||||
20 | (1) in payment year 2016, one-third of the total
amount | ||||||
21 | of any grants of State funds to the city; | ||||||
22 | (2) in payment year 2017, two-thirds of the total
| ||||||
23 | amount of any grants of State funds to the city; and | ||||||
24 | (3) in payment year 2018 and each payment year | ||||||
25 | thereafter, the total
amount of any grants of State funds | ||||||
26 | to the city. |
| |||||||
| |||||||
1 | The State Comptroller may not deduct from any grants of | ||||||
2 | State funds to the city more than the amount of delinquent | ||||||
3 | payments certified to the State Comptroller by the Fund. | ||||||
4 | (b) On or before July 1 January 10 , annually, the board | ||||||
5 | shall certify to notify the
city council the annual amounts | ||||||
6 | required under of the requirements of this Article , for which | ||||||
7 | that the tax herein
provided may shall be levied for the | ||||||
8 | following that current year. The board shall compute
the | ||||||
9 | amounts necessary to be credited to the reserves established | ||||||
10 | and
maintained as herein provided, and shall make an annual | ||||||
11 | determination of
the amount of the required city contributions, | ||||||
12 | and certify the results
thereof to the city council.
| ||||||
13 | (c) In respect to employees of the city who are transferred | ||||||
14 | to the
employment of a park district by virtue of the "Exchange | ||||||
15 | of Functions
Act of 1957", the corporate authorities of the | ||||||
16 | park district shall
annually levy a tax upon all the taxable | ||||||
17 | property in the park district
at such rate per cent of the | ||||||
18 | value of such property, as equalized or
assessed by the | ||||||
19 | Department of Revenue, as shall be
sufficient, when added to | ||||||
20 | the amounts deducted from their salaries and
otherwise | ||||||
21 | contributed by them to provide the benefits to which they and
| ||||||
22 | their dependents and beneficiaries are entitled under this | ||||||
23 | Article. The city
shall not levy a tax hereunder in respect to | ||||||
24 | such employees.
| ||||||
25 | The tax so levied by the park district shall be in addition | ||||||
26 | to and
exclusive of all other taxes authorized to be levied by |
| |||||||
| |||||||
1 | the park
district for corporate, annuity fund, or other | ||||||
2 | purposes. The county
clerk of the county in which the park | ||||||
3 | district is located, in reducing
any tax levied under the | ||||||
4 | provisions of any act concerning the levy and
extension of | ||||||
5 | taxes shall not consider such tax as part of the general
tax | ||||||
6 | levy for park purposes, and shall not include the same in any
| ||||||
7 | limitation of the per cent of the assessed valuation upon which | ||||||
8 | taxes
are required to be extended for the park district. The | ||||||
9 | proceeds of the
tax levied by the park district, upon receipt | ||||||
10 | by the district, shall be
immediately paid over to the city | ||||||
11 | treasurer of the city for the uses and
purposes of the fund.
| ||||||
12 | The various sums to be contributed by the city and park | ||||||
13 | district and
allocated for the purposes of this Article, and | ||||||
14 | any interest to be
contributed by the city, shall be derived | ||||||
15 | from the revenue from the taxes
authorized in this Section or | ||||||
16 | otherwise as expressly provided
in this Section.
| ||||||
17 | If it is not possible or practicable for the city to make
| ||||||
18 | contributions for age and service annuity and widow's annuity | ||||||
19 | at the
same time that employee contributions are made for such
| ||||||
20 | purposes, such city contributions shall be construed to be due | ||||||
21 | and
payable as of the end of the fiscal year for which the tax | ||||||
22 | is levied and
shall accrue thereafter with interest at the | ||||||
23 | effective rate until paid.
| ||||||
24 | (d) With respect to employees whose wages are funded as | ||||||
25 | participants
under the Comprehensive Employment and Training | ||||||
26 | Act of 1973, as amended
(P.L. 93-203, 87 Stat. 839, P.L. |
| |||||||
| |||||||
1 | 93-567, 88 Stat. 1845), hereinafter
referred to as CETA, | ||||||
2 | subsequent to October 1, 1978, and in instances
where the board | ||||||
3 | has elected to establish a manpower program reserve, the
board | ||||||
4 | shall compute the amounts necessary to be credited to the | ||||||
5 | manpower
program reserves established and maintained as herein | ||||||
6 | provided, and
shall make a periodic determination of the amount | ||||||
7 | of required
contributions from the City to the reserve to be | ||||||
8 | reimbursed by the
federal government in accordance with rules | ||||||
9 | and regulations established
by the Secretary of the United | ||||||
10 | States Department of Labor or his
designee, and certify the | ||||||
11 | results thereof to the City Council. Any such
amounts shall | ||||||
12 | become a credit to the City and will be used to reduce the
| ||||||
13 | amount which the City would otherwise contribute during | ||||||
14 | succeeding years
for all employees.
| ||||||
15 | (e) In lieu of establishing a manpower program reserve with | ||||||
16 | respect
to employees whose wages are funded as participants | ||||||
17 | under the
Comprehensive Employment and Training Act of 1973, as | ||||||
18 | authorized by
subsection (d), the board may elect to establish | ||||||
19 | a special municipality
contribution rate for all such | ||||||
20 | employees. If this option is elected, the
City shall contribute | ||||||
21 | to the Fund from federal funds provided under the
Comprehensive | ||||||
22 | Employment and Training Act program at the special rate so
| ||||||
23 | established and such contributions shall become a credit to the | ||||||
24 | City and
be used to reduce the amount which the City would | ||||||
25 | otherwise contribute
during succeeding years for all | ||||||
26 | employees.
|
| |||||||
| |||||||
1 | (f) In lieu of levying all or a portion of the tax required | ||||||
2 | under this
Section in any year, the city may deposit with the | ||||||
3 | city treasurer no later than
March 1 of that year for the | ||||||
4 | benefit of the fund, to be held in accordance with
this | ||||||
5 | Article, an amount that, together with the taxes levied under | ||||||
6 | this Section
for that year, is not less than the amount of the | ||||||
7 | city contributions for that
year as certified by the board to | ||||||
8 | the city council. The deposit may be derived
from any source | ||||||
9 | legally available for that purpose, including, but not limited
| ||||||
10 | to, the proceeds of city borrowings. The making of a deposit | ||||||
11 | shall satisfy
fully the requirements of this Section for that | ||||||
12 | year to the extent of the
amounts so deposited. Amounts | ||||||
13 | deposited under this subsection may be used by
the fund for any | ||||||
14 | of the purposes for which the proceeds of the tax levied by
the | ||||||
15 | city under this Section may be used, including the payment of | ||||||
16 | any amount
that is otherwise required by this Article to be | ||||||
17 | paid from the proceeds of that
tax.
| ||||||
18 | (Source: P.A. 90-31, eff. 6-27-97; 90-655, eff. 7-30-98; | ||||||
19 | 90-766, eff.
8-14-98.)
| ||||||
20 | (40 ILCS 5/8-173.1 new) | ||||||
21 | Sec. 8-173.1. Funding Obligation. | ||||||
22 | (a) Beginning January 1, 2015, the city shall be obligated | ||||||
23 | to contribute to the Fund in each fiscal year an amount not | ||||||
24 | less than the amount determined annually under subsection (a-5) | ||||||
25 | of Section 8-173 of this Code. Notwithstanding any other |
| |||||||
| |||||||
1 | provision of law, if the city fails to pay the amount | ||||||
2 | guaranteed under this Section on or before December 31 of the | ||||||
3 | year in which such amount is due, the retirement board may | ||||||
4 | bring a mandamus action in the Circuit Court of Cook County to | ||||||
5 | compel the city to make the required payment, irrespective of | ||||||
6 | other remedies that may be available to the Fund. The | ||||||
7 | obligations and causes of action created under this Section | ||||||
8 | shall be in addition to any other right or remedy otherwise | ||||||
9 | accorded by common law or State or federal law, and nothing in | ||||||
10 | this Section shall be construed to deny, abrogate, impair, or | ||||||
11 | waive any such common law or statutory right or remedy. | ||||||
12 | (b) In ordering the city to make the required payment, the | ||||||
13 | court may order a reasonable payment schedule to enable the | ||||||
14 | city to make the required payment without significantly | ||||||
15 | imperiling the public health, safety, or welfare. Any payments | ||||||
16 | required to be made by the city pursuant to this Section are | ||||||
17 | expressly subordinated to the payment of the principal, | ||||||
18 | interest, premium, if any, and other payments on or related to | ||||||
19 | any bonded debt obligation of the city, either currently | ||||||
20 | outstanding or to be issued, for which the source of repayment | ||||||
21 | or security thereon is derived directly or indirectly from any | ||||||
22 | funds collected or received by the city or collected or | ||||||
23 | received on behalf of the city. Payments on such bonded | ||||||
24 | obligations include any statutory fund transfers or other | ||||||
25 | prefunding mechanisms or formulas set forth, now or hereafter, | ||||||
26 | in State law, city ordinance, or bond indentures, into debt |
| |||||||
| |||||||
1 | service funds or accounts of the city related to such bonded | ||||||
2 | obligations, consistent with the payment schedules associated | ||||||
3 | with such obligations.
| ||||||
4 | (40 ILCS 5/8-174)
(from Ch. 108 1/2, par. 8-174)
| ||||||
5 | Sec. 8-174. Contributions for age and service annuities for | ||||||
6 | present
employees and future entrants.
| ||||||
7 | (a) Beginning on the effective date and prior to July 1, | ||||||
8 | 1947, 3
1/4%; and beginning on July 1, 1947 and prior to July | ||||||
9 | 1, 1953, 5%; and
beginning July 1, 1953, and prior to January | ||||||
10 | 1, 1972, 6%; and beginning
January 1, 1972, 6.5%; and beginning | ||||||
11 | January 1, 2015, and prior to January 1, 2016, 7.0%; and | ||||||
12 | beginning January 1, 2016, and prior to January 1, 2017, 7.5%; | ||||||
13 | and, beginning January 1, 2017, and prior to January 1, 2018, | ||||||
14 | 8.0%; and beginning January 1, 2018, and prior to January 1, | ||||||
15 | 2019, 8.5%; and beginning January 1, 2019, and thereafter, 9.0% | ||||||
16 | 6-1/2% of each payment of the salary of each present
employee | ||||||
17 | and future entrant shall be contributed to the fund as a
| ||||||
18 | deduction from salary for age and service annuity ; provided, | ||||||
19 | however, that beginning with the first pay period on or after | ||||||
20 | the date when the funded ratio of the Fund is first determined | ||||||
21 | to have reached the 90% funding goal set forth in subsection | ||||||
22 | (a-5) of Section 8-173, and each pay period thereafter for as | ||||||
23 | long as the Fund maintains a funding ratio of 90% or more, | ||||||
24 | employee contributions shall be 7.75% of salary for the age and | ||||||
25 | service annuity. If the funding ratio falls below 90%, then |
| |||||||
| |||||||
1 | employee contributions for the age and service annuity shall | ||||||
2 | revert to 9.0% of salary until such time as the Fund once again | ||||||
3 | is determined to have reached a funding ratio of at least 90%, | ||||||
4 | at which time employee contributions of 7.75% shall resume for | ||||||
5 | the age and service annuity .
| ||||||
6 | Notwithstanding Section 1-103.1, the changes to this | ||||||
7 | Section made by this amendatory Act of the 98th General | ||||||
8 | Assembly apply regardless of whether the employee was in active | ||||||
9 | service on or after the effective date of this amendatory Act. | ||||||
10 | Such deductions beginning on the effective date and prior | ||||||
11 | to July 1,
1947 shall be made for a future entrant while he is | ||||||
12 | in the service until
he attains age 65 and for a present | ||||||
13 | employee while he is in the service
until the amount so | ||||||
14 | deducted from his salary with the amount deducted
from his | ||||||
15 | salary or paid by him according to law to any municipal pension
| ||||||
16 | fund in force on the effective date with interest on both such | ||||||
17 | amounts
at 4% per annum equals the sum that would have been to | ||||||
18 | his credit from
sums deducted from his salary if deductions at | ||||||
19 | the rate herein stated
had been made during his entire service | ||||||
20 | until he attained age 65 with
interest at 4% per annum for the | ||||||
21 | period subsequent to his attainment of
age 65. Such deductions | ||||||
22 | beginning July 1, 1947 shall be made and
continued for | ||||||
23 | employees while in the service.
| ||||||
24 | (b) Concurrently with each employee contribution beginning | ||||||
25 | on the
effective date and prior to July 1, 1947 the city shall | ||||||
26 | contribute 5
3/4%; and beginning on July 1, 1947 and prior to |
| |||||||
| |||||||
1 | July 1, 1953, 7%; and
beginning July 1, 1953, 6% of each | ||||||
2 | payment of such salary until the
employee attains age 65. | ||||||
3 | Notwithstanding any provision of this subsection
(b) to the | ||||||
4 | contrary, the city shall not make a contribution for any credit
| ||||||
5 | established by an employee under subsection (b) of Section | ||||||
6 | 8-138.4.
| ||||||
7 | (c) Each employee contribution made prior to the date the | ||||||
8 | age and
service annuity for an employee is fixed and each | ||||||
9 | corresponding city
contribution shall be credited to the | ||||||
10 | employee and allocated to the
account of the employee for whose | ||||||
11 | benefit it is made.
| ||||||
12 | (Source: P.A. 93-654, eff. 1-16-04.)
| ||||||
13 | (40 ILCS 5/8-174.2 new) | ||||||
14 | Sec. 8-174.2. Use of contributions for health care | ||||||
15 | subsidies. Except as may be required pursuant to Sections | ||||||
16 | 8-164.1 and 8-164.2 of this Code, the Fund shall not use any | ||||||
17 | contribution received by the Fund under this Article to provide | ||||||
18 | a subsidy for the cost of participation in a retiree health | ||||||
19 | care program.
| ||||||
20 | (40 ILCS 5/8-192) (from Ch. 108 1/2, par. 8-192) | ||||||
21 | Sec. 8-192. Board created. Notwithstanding any other | ||||||
22 | provision of this Article: | ||||||
23 | (1) After discussion with the board and other | ||||||
24 | interested parties, the city shall present to the General |
| |||||||
| |||||||
1 | Assembly its recommendations for restructuring the board | ||||||
2 | of the Fund. | ||||||
3 | (2) On April 1, 2015, the terms of the members of the | ||||||
4 | board serving on that date are terminated, and the board | ||||||
5 | shall be restructured and reconstituted as provided by the | ||||||
6 | General Assembly by law. | ||||||
7 | Until the board is restructured in accordance with this | ||||||
8 | amendatory Act of the 98th General Assembly, a A board of 5 | ||||||
9 | members shall constitute a Board of Trustees authorized to
| ||||||
10 | carry out the provisions of this Article. The board shall be | ||||||
11 | known as the
Retirement Board of the Municipal Employees', | ||||||
12 | Officers', and Officials'
Annuity and Benefit Fund of the city, | ||||||
13 | or for the sake of brevity may also
be known and referred to as | ||||||
14 | the Retirement Board of the Municipal
Employees' Annuity and | ||||||
15 | Benefit Fund of such city. The board shall consist
of the city | ||||||
16 | comptroller, the city treasurer, and 3 members who shall be
| ||||||
17 | employees, to be elected as follows: | ||||||
18 | Within 30 days after the effective date, the mayor of the | ||||||
19 | city shall
arrange for and hold an election. | ||||||
20 | One employee shall be elected for a term ending on the | ||||||
21 | first day in the
month of December of the first year next | ||||||
22 | following the effective date; one
for a term ending December | ||||||
23 | 1st of the following year; and one for a term
ending on | ||||||
24 | December 1st of the second following year. | ||||||
25 | The city comptroller, with the approval of the board, may | ||||||
26 | appoint a
designee from among employees of the city who are |
| |||||||
| |||||||
1 | versed in the affairs of
the comptroller's office to act in the | ||||||
2 | absence of the comptroller on all
matters pertaining to | ||||||
3 | administering the provisions of this Article. | ||||||
4 | The city treasurer, with the approval of the board, may | ||||||
5 | appoint a designee from among employees of the city who are | ||||||
6 | versed in the affairs of the treasurer's office to act in the | ||||||
7 | absence of the treasurer on all matters pertaining to | ||||||
8 | administering the provisions of this Article. | ||||||
9 | The members of a Retirement Board of a municipal | ||||||
10 | employees', officers',
and officials' annuity and benefit fund | ||||||
11 | holding office in a city at the
time this Article becomes | ||||||
12 | effective, including elective and ex-officio
members, shall | ||||||
13 | continue in office until the expiration of their terms and
| ||||||
14 | until their respective successors are elected or appointed and | ||||||
15 | have
qualified. | ||||||
16 | An employee member who takes advantage of the early | ||||||
17 | retirement incentives
provided under this amendatory Act of the | ||||||
18 | 93rd General Assembly may continue as
a member until the end of | ||||||
19 | his or her term. | ||||||
20 | (Source: P.A. 96-1427, eff. 1-1-11.)
| ||||||
21 | (40 ILCS 5/11-134.1)
(from Ch. 108 1/2, par. 11-134.1)
| ||||||
22 | Sec. 11-134.1. Automatic increase in annuity.
| ||||||
23 | (a) An employee who retired or retires from service after | ||||||
24 | December 31,
1963, and before January 1, 1987, having attained | ||||||
25 | age 60 or more,
shall, in the month of January of
the year |
| |||||||
| |||||||
1 | following the year in which the first anniversary of retirement
| ||||||
2 | occurs, have the amount of his then fixed and payable monthly | ||||||
3 | annuity
increased by 1 1/2%, and such first fixed annuity as | ||||||
4 | granted at
retirement increased by a further 1 1/2% in January | ||||||
5 | of each year
thereafter. Beginning with January of the year | ||||||
6 | 1972, such increases
shall be at the rate of 2% in lieu of the | ||||||
7 | aforesaid specified 1 1/2%.
Beginning January, 1984, such | ||||||
8 | increases shall be at the rate of 3%.
Beginning in January of | ||||||
9 | 1999, such increases shall be at the rate of
3% of the | ||||||
10 | currently payable monthly annuity, including any increases
| ||||||
11 | previously granted under this Article. An employee who retires | ||||||
12 | on annuity
after December 31, 1963 and before January 1, 1987, | ||||||
13 | but prior to age
60, shall receive such increases beginning | ||||||
14 | with January of the year
immediately following the year in | ||||||
15 | which he attains the age of 60 years.
| ||||||
16 | An employee who retires from service on or after January 1, | ||||||
17 | 1987 shall,
upon the first annuity payment date following the | ||||||
18 | first anniversary of the
date of retirement, or upon the first | ||||||
19 | annuity payment date following
attainment of age 60, whichever | ||||||
20 | occurs later, have his then fixed and
payable monthly annuity | ||||||
21 | increased by 3%, and such annuity shall be
increased by an | ||||||
22 | additional 3% of the original fixed annuity on the same
date | ||||||
23 | each year thereafter.
Beginning in January of 1999, such | ||||||
24 | increases shall be at the rate of 3% of the
currently payable | ||||||
25 | monthly annuity, including any increases previously granted
| ||||||
26 | under this Article.
|
| |||||||
| |||||||
1 | (a-5) Notwithstanding the provisions of subsection (a), | ||||||
2 | upon the first
annuity payment date following (1) the third | ||||||
3 | anniversary of retirement, (2)
the attainment of age 53, or (3) | ||||||
4 | January 1, 2002,
whichever occurs latest, the monthly annuity | ||||||
5 | of an employee who retires on
annuity prior to the attainment | ||||||
6 | of age 60 and has not received an
increase under subsection (a) | ||||||
7 | shall be increased by 3%, and the
annuity shall be increased by | ||||||
8 | an additional 3% of the current payable monthly
annuity, | ||||||
9 | including any
increases previously granted under this
Article, | ||||||
10 | on the same date each year thereafter. The increases provided | ||||||
11 | under
this subsection are in lieu of the increases provided in | ||||||
12 | subsection (a).
| ||||||
13 | (a-6) Notwithstanding the provisions of subsections (a) | ||||||
14 | and (a-5), for
all calendar years following the year in which | ||||||
15 | this amendatory Act of the 93rd
General Assembly takes effect, | ||||||
16 | an increase in annuity under this Section that
would otherwise | ||||||
17 | take effect at any time during the year shall instead take
| ||||||
18 | effect in January of that year.
| ||||||
19 | (b) Subsections (a), (a-5), and (a-6) are not applicable to
| ||||||
20 | an employee retiring and receiving a term annuity, as defined | ||||||
21 | in this Article,
nor to any otherwise
qualified employee who | ||||||
22 | retires before he shall have made employee contributions
(at | ||||||
23 | the 1/2 of 1% rate as hereinafter provided) for the purposes of | ||||||
24 | this
additional annuity for not less than the equivalent of one | ||||||
25 | full year. Such
employee, however, shall make arrangement to | ||||||
26 | pay to the fund a balance of such
1/2 of 1% contributions, |
| |||||||
| |||||||
1 | based on his final salary, as will bring such 1/2 of
1% | ||||||
2 | contributions, computed without interest, to the equivalent of | ||||||
3 | or completion
of one year's contributions.
| ||||||
4 | Beginning with the month of January, 1964, each employee | ||||||
5 | shall contribute
by means of salary deductions 1/2 of 1% of | ||||||
6 | each salary payment, concurrently
with and in addition to the | ||||||
7 | employee contributions otherwise made for annuity
purposes.
| ||||||
8 | Each such additional employee contribution shall be | ||||||
9 | credited to an
account in the prior service annuity reserve, to | ||||||
10 | be used, together with
city contributions, to defray the cost | ||||||
11 | of the specified annuity
increments. Any balance as of the | ||||||
12 | beginning of each calendar year
existing in such account shall | ||||||
13 | be credited with interest at the rate of
3% per annum.
| ||||||
14 | Such employee contributions shall not be subject to refund, | ||||||
15 | except to
an employee who resigns or is discharged and applies | ||||||
16 | for refund under
this Article, and also in cases where a term | ||||||
17 | annuity becomes payable.
| ||||||
18 | In such cases the employee contributions shall be refunded | ||||||
19 | him,
without interest, and charged to the aforementioned | ||||||
20 | account in the prior
service annuity reserve.
| ||||||
21 | (b-5) Notwithstanding any provision of this Section to the | ||||||
22 | contrary: | ||||||
23 | (1) A person retiring after the effective date of this | ||||||
24 | amendatory Act of the 98th General Assembly shall not be | ||||||
25 | eligible for an annual increase under this Section until | ||||||
26 | one full year after the date on which such annual increase |
| |||||||
| |||||||
1 | otherwise would take effect under this Section. | ||||||
2 | (2) Except for persons eligible under subdivision (4) | ||||||
3 | of this subsection for a minimum annual increase, there | ||||||
4 | shall be no annual increase under this Section in years | ||||||
5 | 2017, 2019, and 2025. | ||||||
6 | (3) In all other years, beginning January 1, 2015, the | ||||||
7 | Fund shall pay an annual increase to persons eligible to | ||||||
8 | receive one under this Section, in lieu of any other annual | ||||||
9 | increase provided under this Section (but subject to the | ||||||
10 | minimum increase under subdivision (4) of this subsection, | ||||||
11 | if applicable) in an amount equal to the lesser of 3% or | ||||||
12 | one-half the annual unadjusted percentage increase (but | ||||||
13 | not less than zero) in the consumer price index-u for the | ||||||
14 | 12 months ending with the September preceding each November | ||||||
15 | 1, of the person's last annual annuity amount prior to | ||||||
16 | January 1, 2015, or if the person was not yet receiving an | ||||||
17 | annuity on that date, then this calculation shall be based | ||||||
18 | on his or her originally granted annual annuity amount. | ||||||
19 | For the purposes of this Section, "consumer price | ||||||
20 | index-u" means the index published by the Bureau of Labor | ||||||
21 | Statistics of the United States Department of Labor that | ||||||
22 | measures the average change in prices of goods and services | ||||||
23 | purchased by all urban consumers, United States city | ||||||
24 | average, all items, 1982-84 = 100. | ||||||
25 | (4) A person is eligible under this subdivision (4) to | ||||||
26 | receive a minimum annual increase in a particular year if: |
| |||||||
| |||||||
1 | (i) the person is otherwise eligible to receive an annual | ||||||
2 | increase under subdivision (3) of this subsection, and (ii) | ||||||
3 | the annual amount of the annuity payable at the time of the | ||||||
4 | increase, including all increases previously received, is | ||||||
5 | less than $22,000. | ||||||
6 | Beginning January 1, 2015, for a person who is eligible | ||||||
7 | under this subdivision (4) to receive a minimum annual | ||||||
8 | increase in the year 2017, 2019, or 2025, the annual | ||||||
9 | increase shall be 1% of the person's last annual annuity | ||||||
10 | amount prior to January 1, 2015, or if the person was not | ||||||
11 | yet receiving an annuity on that date, then 1% of his or | ||||||
12 | her originally granted annual annuity amount. | ||||||
13 | Beginning January 1, 2015, for any other year in which | ||||||
14 | a person is eligible under this subdivision (4) to receive | ||||||
15 | a minimum annual increase, the annual increase shall be as | ||||||
16 | specified under subdivision (3), but not less than 1% of | ||||||
17 | the person's last annual annuity amount prior to January 1, | ||||||
18 | 2015 or, if the person was not yet receiving an annuity on | ||||||
19 | that date, then not less than 1% of his or her originally | ||||||
20 | granted annual annuity amount. | ||||||
21 | For the purposes of Section 1-103.1, this subsection (b-5) | ||||||
22 | is applicable without regard to whether the employee was in | ||||||
23 | active service on or after the effective date of this | ||||||
24 | amendatory Act of the 98th General Assembly. This subsection | ||||||
25 | (b-5) applies to any former employee who on or after the | ||||||
26 | effective date of this amendatory Act of the 98th General |
| |||||||
| |||||||
1 | Assembly is receiving a retirement annuity and is eligible for | ||||||
2 | an automatic annual increase under this Section. | ||||||
3 | (Source: P.A. 92-599, eff. 6-28-02; 92-609, eff. 7-1-02; | ||||||
4 | 93-654, eff. 1-16-04.)
| ||||||
5 | (40 ILCS 5/11-134.3) (from Ch. 108 1/2, par. 11-134.3)
| ||||||
6 | Sec. 11-134.3. Automatic increases in annuity for certain | ||||||
7 | heretofore retired
participants. | ||||||
8 | (a) A retired employee who (i) (a) is receiving annuity | ||||||
9 | based on a
service credit of 20 or more years regardless of age | ||||||
10 | at retirement or based on
a service credit of 15 or more years | ||||||
11 | with retirement at age 55 or over, and
(ii) (b) does not | ||||||
12 | qualify for the automatic increases in annuity provided for in
| ||||||
13 | Section 11-134.1 of this Article, and (iii) (c) elects to make | ||||||
14 | a contribution to the
Fund at a time and manner prescribed by | ||||||
15 | the Retirement Board, of a sum
equal to 1% of the amount of | ||||||
16 | final monthly salary times the number of full
years of service | ||||||
17 | on which the annuity was based in those cases where the
annuity | ||||||
18 | was computed on the money purchase formula, and in those cases | ||||||
19 | in
which the annuity was computed under the minimum annuity | ||||||
20 | formula provisions
of this Article a sum equal to 1% of the | ||||||
21 | average monthly salary on which
the annuity was based times | ||||||
22 | such number of full years of service, shall
have his original | ||||||
23 | fixed and payable monthly amount of annuity increased in
| ||||||
24 | January of the year following the year in which he attains the | ||||||
25 | age of 65
years, if such age of 65 years is attained in the year |
| |||||||
| |||||||
1 | 1969 or later, by an
amount equal to 1 1/2%, and by an equal | ||||||
2 | additional 1 1/2% in January of
each year thereafter. Beginning | ||||||
3 | with January of the year 1972, such
increases shall be at the | ||||||
4 | rate of 2% in lieu of the aforesaid specified 1
1/2%. Beginning | ||||||
5 | January, 1984, such increases shall be at the rate of 3%.
| ||||||
6 | Beginning in January of 1999, such increases shall be at the | ||||||
7 | rate of
3% of the currently payable monthly annuity, including | ||||||
8 | any increases previously
granted under this Article.
| ||||||
9 | In those cases in which the retired employee receiving | ||||||
10 | annuity has
attained the age of 66 or more years in the year | ||||||
11 | 1969, he shall have such
annuity increased in January of the | ||||||
12 | year 1970 by an amount equal to 1 1/2%
multiplied by the number | ||||||
13 | equal to the number of months of January elapsing
from and | ||||||
14 | including January of the year immediately following the year he
| ||||||
15 | attained the age of 65 years if retired at or prior to age 65, | ||||||
16 | or from and
including January of the year immediately following | ||||||
17 | the year of retirement
if retired at an age greater than 65 | ||||||
18 | years, to and including January of the
year 1970, and by an | ||||||
19 | equal additional 1 1/2% in January of each year
thereafter. | ||||||
20 | Beginning with January of the year 1972, such increases shall
| ||||||
21 | be at the rate of 2% in lieu of the aforesaid specified 1 1/2%. | ||||||
22 | Beginning
January, 1984, such increases shall be at the rate of | ||||||
23 | 3%.
Beginning in January of 1999, such increases shall be at | ||||||
24 | the rate of
3% of the currently payable monthly annuity, | ||||||
25 | including any increases previously
granted under this Article.
| ||||||
26 | (b) To defray the annual cost of such increases, the annual |
| |||||||
| |||||||
1 | interest income
of the Fund, accruing from investments held by | ||||||
2 | the Fund, exclusive of gains
or losses on sales or exchanges of | ||||||
3 | assets during the year, over and above
4% a year, shall be used | ||||||
4 | to the extent necessary and available to finance
the cost of | ||||||
5 | such increases for the following year, and such amount shall be
| ||||||
6 | transferred as of the end of each year, beginning with the year | ||||||
7 | 1969, to a
Fund account designated as the Supplementary Payment | ||||||
8 | Reserve from the
Investment and Interest Reserve set forth in | ||||||
9 | Sec. 11-210. The sums
contributed by annuitants as provided for | ||||||
10 | in this Section shall also be
placed in the aforesaid | ||||||
11 | Supplementary Payment Reserve and shall be applied
for and used | ||||||
12 | for the purposes of such Fund account, together with the
| ||||||
13 | aforesaid interest.
| ||||||
14 | In the event the monies in the Supplementary Payment | ||||||
15 | Reserve in any year
arising from: (1) the available interest | ||||||
16 | income as defined hereinbefore and
accruing in the preceding | ||||||
17 | year above 4% a year and (2) the contributions by
retired | ||||||
18 | persons, as set forth hereinbefore, are insufficient to make | ||||||
19 | the
total payments to all persons estimated to be entitled to | ||||||
20 | the annuity
increases specified hereinbefore, then (3) any | ||||||
21 | interest earnings over 4% a
year beginning with the year 1969 | ||||||
22 | which were not previously used to finance
such increases and | ||||||
23 | which were transferred to the Prior Service Annuity
Reserve may | ||||||
24 | be used to the extent necessary and available to provide
| ||||||
25 | sufficient funds to finance such increases for the current | ||||||
26 | year, and such
sums shall be transferred from the Prior Service |
| |||||||
| |||||||
1 | Annuity Reserve.
| ||||||
2 | In the event the total monies available in the | ||||||
3 | Supplementary Payment
Reserve from the preceding indicated | ||||||
4 | sources are insufficient to make the
total payments to all | ||||||
5 | persons entitled to such increases for the year, a
| ||||||
6 | proportionate amount computed as the ratio of the monies | ||||||
7 | available to the
total of the total payments for that year | ||||||
8 | shall be paid to each person for
that year.
| ||||||
9 | The Fund shall be obligated for the payment of the | ||||||
10 | increases in annuity
as provided for in this Section only to | ||||||
11 | the extent that the assets for such
purpose, as specified | ||||||
12 | herein, are available.
| ||||||
13 | (b-5) Notwithstanding any provision of this Section to the | ||||||
14 | contrary: | ||||||
15 | (1) Except for persons eligible under subdivision (3) | ||||||
16 | of this subsection for a minimum annual increase, there | ||||||
17 | shall be no annual increase under this Section in years | ||||||
18 | 2017, 2019, and 2025. | ||||||
19 | (2) In all other years, beginning January 1, 2015, the | ||||||
20 | Fund shall pay an annual increase to persons eligible to | ||||||
21 | receive one under this Section, in lieu of any other annual | ||||||
22 | increase provided under this Section (but subject to the | ||||||
23 | minimum increase under subdivision (3) of this subsection, | ||||||
24 | if applicable) in an amount equal to the lesser of 3% or | ||||||
25 | one-half the annual unadjusted percentage increase (but | ||||||
26 | not less than zero) in the consumer price index-u for the |
| |||||||
| |||||||
1 | 12 months ending with the September preceding each November | ||||||
2 | 1, of the person's last annual annuity amount prior to | ||||||
3 | January 1, 2015. | ||||||
4 | For the purposes of this Section, "consumer price | ||||||
5 | index-u" means the index published by the Bureau of Labor | ||||||
6 | Statistics of the United States Department of Labor that | ||||||
7 | measures the average change in prices of goods and services | ||||||
8 | purchased by all urban consumers, United States city | ||||||
9 | average, all items, 1982-84 = 100. | ||||||
10 | (3) A person is eligible under this subdivision (3) to | ||||||
11 | receive a minimum annual increase in a particular year if: | ||||||
12 | (i) the person is otherwise eligible to receive an annual | ||||||
13 | increase under subdivision (2) of this subsection, and (ii) | ||||||
14 | the annual amount of the annuity payable at the time of the | ||||||
15 | increase, including all increases previously received, is | ||||||
16 | less than $22,000. | ||||||
17 | Beginning January 1, 2015, for a person who is eligible | ||||||
18 | under this subdivision (3) to receive a minimum annual | ||||||
19 | increase in the year 2017, 2019, or 2025, the annual | ||||||
20 | increase shall be 1% of the person's last annual annuity | ||||||
21 | amount prior to January 1, 2015. | ||||||
22 | Beginning January 1, 2015, for any other year in which | ||||||
23 | a person is eligible under this subdivision (3) to receive | ||||||
24 | a minimum annual increase, the annual increase shall be as | ||||||
25 | specified under subdivision (2), but not less than 1% of | ||||||
26 | the person's last annual annuity amount prior to January 1, |
| |||||||
| |||||||
1 | 2015. | ||||||
2 | For the purposes of Section 1-103.1, this subsection (b-5) | ||||||
3 | is applicable without regard to whether the employee was in | ||||||
4 | active service on or after the effective date of this | ||||||
5 | amendatory Act of the 98th General Assembly. This subsection | ||||||
6 | (b-5) applies to any former employee who on or after the | ||||||
7 | effective date of this amendatory Act of the 98th General | ||||||
8 | Assembly is receiving a retirement annuity and is eligible for | ||||||
9 | an automatic annual increase under this Section. | ||||||
10 | (Source: P.A. 90-766, eff. 8-14-98.)
| ||||||
11 | (40 ILCS 5/11-169) (from Ch. 108 1/2, par. 11-169)
| ||||||
12 | Sec. 11-169. Financing; tax levy.
| ||||||
13 | (a) Except as provided in subsection (f) of this Section, | ||||||
14 | the city
council of the city shall levy a tax annually upon all | ||||||
15 | taxable property in the
city at the rate that will produce a | ||||||
16 | sum which, when added to the amounts
deducted from the salaries | ||||||
17 | of the employees or otherwise contributed by them
and the | ||||||
18 | amounts deposited under subsection (f), will be sufficient for | ||||||
19 | the
requirements of this Article. For the years prior to the | ||||||
20 | year 1950 the tax
rate shall be as provided for under "The 1935 | ||||||
21 | Act". Beginning with the year
1950 to and including the year | ||||||
22 | 1969 such tax shall be not more than .036%
annually of the | ||||||
23 | value, as equalized or assessed by the Department of Revenue,
| ||||||
24 | of all taxable property within such city. Beginning with the | ||||||
25 | year 1970 and
each year thereafter through levy year 2014, the |
| |||||||
| |||||||
1 | city shall levy a tax annually at a rate on the dollar
of the | ||||||
2 | value, as equalized or assessed by the Department of Revenue
of | ||||||
3 | all taxable property within such city that will
produce, when | ||||||
4 | extended, not to exceed an amount equal to the total
amount of | ||||||
5 | contributions by the employees to the fund
made in the calendar | ||||||
6 | year 2 years prior to the year for which the annual
applicable | ||||||
7 | tax is levied, multiplied by 1.1 for the years 1970, 1971 and
| ||||||
8 | 1972; 1.145 for the year 1973; 1.19 for the year 1974; 1.235 | ||||||
9 | for the
year 1975; 1.280 for the year 1976; 1.325 for the year | ||||||
10 | 1977; 1.370
for the years 1978 through 1998; and 1.000 for the | ||||||
11 | year 1999
and for each year thereafter through levy year 2014. | ||||||
12 | Beginning in levy year 2015, and in each year thereafter, the | ||||||
13 | levy shall not exceed the amount of the city's total required | ||||||
14 | contribution to the Fund for the next payment year, as | ||||||
15 | determined under subsection (a-5). For the purposes of this | ||||||
16 | Section, the payment year is the year immediately following the | ||||||
17 | levy year .
| ||||||
18 | The tax shall be levied and collected in like manner with | ||||||
19 | the general
taxes of the city, and shall be exclusive of and in | ||||||
20 | addition to the
amount of tax the city is now or may hereafter | ||||||
21 | be authorized to levy for
general purposes under any laws which | ||||||
22 | may limit the amount of tax which
the city may levy for general | ||||||
23 | purposes. The county clerk of the county
in which the city is | ||||||
24 | located, in reducing tax levies under the
provisions of any Act | ||||||
25 | concerning the levy and extension of taxes, shall
not consider | ||||||
26 | the tax herein provided for as a part of the general tax
levy |
| |||||||
| |||||||
1 | for city purposes, and shall not include the same within any
| ||||||
2 | limitation of the per cent of the assessed valuation upon which | ||||||
3 | taxes
are required to be extended for such city.
| ||||||
4 | Revenues derived from such tax shall be paid to the city | ||||||
5 | treasurer of
the city as collected and held by the city | ||||||
6 | treasurer him for the benefit of the fund.
| ||||||
7 | If the payments on account of taxes are insufficient during | ||||||
8 | any year
to meet the requirements of this Article, the city may | ||||||
9 | issue tax
anticipation warrants against the current tax levy.
| ||||||
10 | The city may continue to use other lawfully available funds | ||||||
11 | in lieu of all or part of the levy, as provided under | ||||||
12 | subsection (f) of this Section. | ||||||
13 | (a-5) Beginning in payment year 2016, the city's required | ||||||
14 | annual contribution to the Fund shall be the lesser of: | ||||||
15 | (i) (I) for payment years 2016 through 2055, the annual | ||||||
16 | amount determined by the Fund to be equal to the greater of | ||||||
17 | $0, or the sum of (1) the City's portion of the projected | ||||||
18 | normal cost for that fiscal year, plus (2) an amount | ||||||
19 | determined on a level percentage of applicable employee | ||||||
20 | payroll basis (reflecting any limits on individual | ||||||
21 | participants' pay that apply for benefit and contribution | ||||||
22 | purposes under this plan) that is sufficient to bring the | ||||||
23 | total actuarial assets of the Fund up to 90% of the total | ||||||
24 | actuarial liabilities of the Fund by the end of 2055. (II) | ||||||
25 | For payment years after 2055, the annual amount determined | ||||||
26 | by the Fund to be equal to the amount, if any, needed to |
| |||||||
| |||||||
1 | bring the total actuarial assets of the Fund up to 90% of | ||||||
2 | the total actuarial liabilities of the Fund as of the end | ||||||
3 | of the year. In making the determinations under both (I) | ||||||
4 | and (II), the actuarial calculations shall be determined | ||||||
5 | under the entry age normal actuarial cost method, and any | ||||||
6 | actuarial gains or losses from investment return incurred | ||||||
7 | in a fiscal year shall be recognized in equal annual | ||||||
8 | amounts over the 5-year period following the fiscal year; | ||||||
9 | or | ||||||
10 | (ii) for payment year 2016, 1.60 times the total amount | ||||||
11 | of contributions made by or on behalf of employees to the | ||||||
12 | Fund for annuity purposes in the calendar year 2013; for | ||||||
13 | payment year 2017, 1.90 times the total amount of | ||||||
14 | contributions made by or on behalf of employees to the Fund | ||||||
15 | for annuity purposes in the calendar year 2014; for payment | ||||||
16 | year 2018, 2.20 times the total amount of contributions | ||||||
17 | made by or on behalf of employees to the Fund for annuity | ||||||
18 | purposes in the calendar year 2015; for payment year 2019, | ||||||
19 | 2.50 times the total amount of contributions made by or on | ||||||
20 | behalf of employees to the Fund for annuity purposes in the | ||||||
21 | calendar year 2016; for payment year 2020, 2.80 times the | ||||||
22 | total amount of contributions made by or on behalf of | ||||||
23 | employees to the Fund for annuity purposes in the calendar | ||||||
24 | year 2017. | ||||||
25 | However, beginning in the earlier of payment year 2021 or the | ||||||
26 | first payment year in which the annual contribution amount |
| |||||||
| |||||||
1 | calculated under subdivision (i) is less than the contribution | ||||||
2 | amount calculated under subdivision (ii), and in each year | ||||||
3 | thereafter, the city's required annual contribution to the Fund | ||||||
4 | shall be determined under subdivision (i). | ||||||
5 | The city's required annual contribution to the Fund may be | ||||||
6 | paid with any available funds and shall be paid by the city to | ||||||
7 | the city treasurer. The city treasurer shall collect and hold | ||||||
8 | those funds for the benefit of the Fund. | ||||||
9 | (a-10) If the city fails to transmit to the Fund | ||||||
10 | contributions required of it under this Article by December | ||||||
11 | 31st of the year in which such contributions are due, the Fund | ||||||
12 | may, after giving notice to the city, certify to the State | ||||||
13 | Comptroller the amounts of the delinquent payments, and the | ||||||
14 | Comptroller must, beginning in payment year 2016, deduct and | ||||||
15 | deposit into the Fund the certified amounts or a portion of | ||||||
16 | those amounts from the following proportions of grants of State | ||||||
17 | funds to the city: | ||||||
18 | (1) in payment year 2016, one-third of the total
amount | ||||||
19 | of any grants of State funds to the city; | ||||||
20 | (2) in payment year 2017, two-thirds of the total
| ||||||
21 | amount of any grants of State funds to the city; and | ||||||
22 | (3) in payment year 2018 and each payment year | ||||||
23 | thereafter, the total
amount of any grants of State funds | ||||||
24 | to the city. | ||||||
25 | The State Comptroller may not deduct from any grants of | ||||||
26 | State funds to the city more than the amount of delinquent |
| |||||||
| |||||||
1 | payments certified to the State Comptroller by the Fund. | ||||||
2 | (b) On or before July 1 January 10 , annually, the board | ||||||
3 | shall certify to notify the
city council the annual amounts | ||||||
4 | required under of the requirement of this Article , for which | ||||||
5 | that the tax herein
provided may shall be levied for the | ||||||
6 | following that current year. The board shall compute
the | ||||||
7 | amounts necessary for the purposes of this fund to be credited | ||||||
8 | to
the reserves established and maintained as herein provided, | ||||||
9 | and shall
make an annual determination of the amount of the | ||||||
10 | required city
contributions; and certify the results thereof to | ||||||
11 | the city council.
| ||||||
12 | (c) In respect to employees of the city who are transferred | ||||||
13 | to the
employment of a park district by virtue of "Exchange of | ||||||
14 | Functions Act of
1957" the corporate authorities of the park | ||||||
15 | district shall annually levy
a tax upon all the taxable | ||||||
16 | property in the park district at such rate
per cent of the | ||||||
17 | value of such property, as equalized or assessed by the
| ||||||
18 | Department of Revenue, as shall be sufficient, when
added to | ||||||
19 | the amounts deducted from their salaries and
otherwise | ||||||
20 | contributed by them, to provide the benefits to which they and
| ||||||
21 | their dependents and beneficiaries are entitled under this | ||||||
22 | Article. The
city shall not levy a tax hereunder in respect to | ||||||
23 | such employees.
| ||||||
24 | The tax so levied by the park district shall be in addition | ||||||
25 | to and
exclusive of all other taxes authorized to be levied by | ||||||
26 | the park
district for corporate, annuity fund, or other |
| |||||||
| |||||||
1 | purposes. The county
clerk of the county in which the park | ||||||
2 | district is located, in reducing
any tax levied under the | ||||||
3 | provisions of any Act concerning the levy and
extension of | ||||||
4 | taxes shall not consider such tax as part of the general
tax | ||||||
5 | levy for park purposes, and shall not include the same in any
| ||||||
6 | limitation of the per cent of the assessed valuation upon which | ||||||
7 | taxes
are required to be extended for the park district. The | ||||||
8 | proceeds of the
tax levied by the park district, upon receipt | ||||||
9 | by the district, shall be
immediately paid over to the city | ||||||
10 | treasurer of the city for the uses and
purposes of the fund.
| ||||||
11 | The various sums to be contributed by the city and | ||||||
12 | allocated for the
purposes of this Article, and any interest to | ||||||
13 | be contributed by the city,
shall be taken from the revenue | ||||||
14 | derived from the taxes authorized in this
Section, and no money | ||||||
15 | of such city derived from any source other than
the levy and | ||||||
16 | collection of those taxes or the sale of tax
anticipation | ||||||
17 | warrants in accordance with the provisions of this Article | ||||||
18 | shall
be used to provide revenue for this Article, except as | ||||||
19 | expressly provided in
this Section.
| ||||||
20 | If it is not possible for the city to make contributions | ||||||
21 | for age and
service annuity and widow's annuity concurrently | ||||||
22 | with the employee's
contributions made for such purposes, such | ||||||
23 | city shall
make such contributions as soon as possible and | ||||||
24 | practicable thereafter
with interest thereon at the effective | ||||||
25 | rate to the time they shall be
made.
| ||||||
26 | (d) With respect to employees whose wages are funded as |
| |||||||
| |||||||
1 | participants
under the Comprehensive Employment and Training | ||||||
2 | Act of 1973, as amended
(P.L. 93-203, 87 Stat. 839, P.L. | ||||||
3 | 93-567, 88 Stat. 1845), hereinafter
referred to as CETA, | ||||||
4 | subsequent to October 1, 1978, and in instances
where the board | ||||||
5 | has elected to establish a manpower program reserve, the
board | ||||||
6 | shall compute the amounts necessary to be credited to the | ||||||
7 | manpower
program reserves established and maintained as herein | ||||||
8 | provided, and
shall make a periodic determination of the amount | ||||||
9 | of required
contributions from the City to the reserve to be | ||||||
10 | reimbursed by the
federal government in accordance with rules | ||||||
11 | and regulations established
by the Secretary of the United | ||||||
12 | States Department of Labor or his
designee, and certify the | ||||||
13 | results thereof to the City Council. Any such
amounts shall | ||||||
14 | become a credit to the City and will be used to reduce the
| ||||||
15 | amount which the City would otherwise contribute during | ||||||
16 | succeeding years
for all employees.
| ||||||
17 | (e) In lieu of establishing a manpower program reserve with | ||||||
18 | respect
to employees whose wages are funded as participants | ||||||
19 | under the
Comprehensive Employment and Training Act of 1973, as | ||||||
20 | authorized by
subsection (d), the board may elect to establish | ||||||
21 | a special municipality
contribution rate for all such | ||||||
22 | employees. If this option is elected,
the City shall contribute | ||||||
23 | to the Fund from federal funds provided under
the Comprehensive | ||||||
24 | Employment and Training Act program at the special
rate so | ||||||
25 | established and such contributions shall become a credit to the
| ||||||
26 | City and be used to reduce the amount which the City would |
| |||||||
| |||||||
1 | otherwise
contribute during succeeding years for all | ||||||
2 | employees.
| ||||||
3 | (f) In lieu of levying all or a portion of the tax required | ||||||
4 | under this
Section in any year, the city may deposit with the | ||||||
5 | city treasurer no later than
March 1 of that year for the | ||||||
6 | benefit of the fund, to be held in accordance with
this | ||||||
7 | Article, an amount that, together with the taxes levied under | ||||||
8 | this Section
for that year, is not less than the amount of the | ||||||
9 | city contributions for that
year as certified by the board to | ||||||
10 | the city council. The deposit may be derived
from any source | ||||||
11 | legally available for that purpose, including, but not limited
| ||||||
12 | to, the proceeds of city borrowings. The making of a deposit | ||||||
13 | shall satisfy
fully the requirements of this Section for that | ||||||
14 | year to the extent of the
amounts so deposited. Amounts | ||||||
15 | deposited under this subsection may be used by
the fund for any | ||||||
16 | of the purposes for which the proceeds of the tax levied by
the | ||||||
17 | city under this Section may be used, including the payment of | ||||||
18 | any amount
that is otherwise required by this Article to be | ||||||
19 | paid from the proceeds of that
tax.
| ||||||
20 | (Source: P.A. 90-31, eff. 6-27-97; 90-766, eff. 8-14-98.)
| ||||||
21 | (40 ILCS 5/11-169.1 new) | ||||||
22 | Sec. 11-169.1. Funding Obligation. | ||||||
23 | (a) Beginning January 1, 2015, the city shall be obligated | ||||||
24 | to contribute to the Fund in each fiscal year an amount not | ||||||
25 | less than the amount determined annually under subsection (a-5) |
| |||||||
| |||||||
1 | of Section 11-169 of this Code. Notwithstanding any other | ||||||
2 | provision of law, if the city fails to pay the amount | ||||||
3 | guaranteed under this Section on or before December 31 of the | ||||||
4 | year in which such amount is due, the retirement board may | ||||||
5 | bring a mandamus action in the Circuit Court of Cook County to | ||||||
6 | compel the city to make the required payment, irrespective of | ||||||
7 | other remedies that may be available to the Fund. The | ||||||
8 | obligations and causes of action created under this Section | ||||||
9 | shall be in addition to any other right or remedy otherwise | ||||||
10 | accorded by common law or State or federal law, and nothing in | ||||||
11 | this Section shall be construed to deny, abrogate, impair, or | ||||||
12 | waive any such common law or statutory right or remedy. | ||||||
13 | (b) In ordering the city to make the required payment, the | ||||||
14 | court may order a reasonable payment schedule to enable the | ||||||
15 | city to make the required payment without significantly | ||||||
16 | imperiling the public health, safety, or welfare. Any payments | ||||||
17 | required to be made by the city pursuant to this Section are | ||||||
18 | expressly subordinated to the payment of the principal, | ||||||
19 | interest, premium, if any, and other payments on or related to | ||||||
20 | any bonded debt obligation of the city, either currently | ||||||
21 | outstanding or to be issued, for which the source of repayment | ||||||
22 | or security thereon is derived directly or indirectly from any | ||||||
23 | funds collected or received by the city or collected or | ||||||
24 | received on behalf of the city. Payments on such bonded | ||||||
25 | obligations include any statutory fund transfers or other | ||||||
26 | prefunding mechanisms or formulas set forth, now or hereafter, |
| |||||||
| |||||||
1 | in State law, city ordinance, or bond indentures, into debt | ||||||
2 | service funds or accounts of the city related to such bonded | ||||||
3 | obligations, consistent with the payment schedules associated | ||||||
4 | with such obligations.
| ||||||
5 | (40 ILCS 5/11-170) (from Ch. 108 1/2, par. 11-170)
| ||||||
6 | Sec. 11-170. Contributions for age and service annuities | ||||||
7 | for present
employees, future entrants and re-entrants.
| ||||||
8 | (a) Beginning on the effective date and prior to July 1, | ||||||
9 | 1947, 3
1/4%; and beginning on July 1, 1947 and prior to July | ||||||
10 | 1, 1953, 5%; and
beginning July 1, 1953 and prior to January 1, | ||||||
11 | 1972, 6%; and beginning
January 1, 1972, 6.5%; and beginning | ||||||
12 | January 1, 2015, and prior to January 1, 2016, 7.0%; and | ||||||
13 | beginning January 1, 2016, and prior to January 1, 2017, 7.5%; | ||||||
14 | and, beginning January 1, 2017, and prior to January 1, 2018, | ||||||
15 | 8.0%; and beginning January 1, 2018, and prior to January 1, | ||||||
16 | 2019, 8.5%; and beginning January 1, 2019, and thereafter, 9.0% | ||||||
17 | 6 1/2% of each payment of the salary of each present
employee, | ||||||
18 | future entrant and re-entrant shall be contributed to the fund
| ||||||
19 | as a deduction from salary for age and service annuity ; | ||||||
20 | provided, however, that beginning with the first pay period on | ||||||
21 | or after the date when the funded ratio of the Fund is first | ||||||
22 | determined to have reached the 90% funding goal set forth in | ||||||
23 | subsection (a-5) of Section 11-169 of this Code, and each pay | ||||||
24 | period thereafter for as long as the Fund maintains a funding | ||||||
25 | ratio of 90% or more, employee contributions shall be 7.75% of |
| |||||||
| |||||||
1 | salary for the age and service annuity. If the funding ratio | ||||||
2 | falls below 90%, then employee contributions for the age and | ||||||
3 | service annuity shall revert to 9.0% of salary until such time | ||||||
4 | as the Fund once again is determined to have reached a funding | ||||||
5 | ratio of at least 90%, at which time employee contributions of | ||||||
6 | 7.75% shall resume for the age and service annuity . Such | ||||||
7 | deductions
beginning on the effective date and prior to June | ||||||
8 | 30, 1947, inclusive
shall be made for a future entrant while he | ||||||
9 | is in service until he
attains age 65, and for a present | ||||||
10 | employee while he is in service until
the amount so deducted | ||||||
11 | from his salary with interest at the rate of 4%
per annum shall | ||||||
12 | be equal to the sum which would have accumulated to his
credit | ||||||
13 | from sums deducted from his salary if deductions at the rate
| ||||||
14 | herein stated had been made during his entire service until he | ||||||
15 | attained
age 65 with interest at 4% per annum for the period | ||||||
16 | subsequent to his
attainment of age 65. Such deductions | ||||||
17 | beginning July 1, 1947 shall be
made and continued for | ||||||
18 | employees while in the service.
| ||||||
19 | Notwithstanding Section 1-103.1, the changes to this | ||||||
20 | Section made by this amendatory Act of the 98th General | ||||||
21 | Assembly apply regardless of whether the employee was in active | ||||||
22 | service on or after the effective date of this amendatory Act. | ||||||
23 | (b) Concurrently with each employee contribution, the city | ||||||
24 | shall
contribute beginning on the effective date and prior to | ||||||
25 | July 1, 1947, 5
3/4%; and beginning July 1, 1947 and prior to | ||||||
26 | July 1, 1953, 7%; and
beginning July 1, 1953, 6% of each |
| |||||||
| |||||||
1 | payment of such salary until the
employee attains age 65.
| ||||||
2 | (c) Each employee contribution made prior to the date age | ||||||
3 | and
service annuity for an employee is fixed and each | ||||||
4 | corresponding city
contribution shall be allocated to the | ||||||
5 | account of and credited to the
employee for whose benefit it is | ||||||
6 | made.
| ||||||
7 | (Source: P.A. 81-1536.)
| ||||||
8 | (40 ILCS 5/11-179.1 new) | ||||||
9 | Sec. 11-179.1. Use of contributions for health care | ||||||
10 | subsidies. Except as may be required pursuant to Sections | ||||||
11 | 11-160.1 and 11-160.2 of this Code, the Fund shall not use any | ||||||
12 | contribution received by the Fund under this Article to provide | ||||||
13 | a subsidy for the cost of participation in a retiree health | ||||||
14 | care program.
| ||||||
15 | (40 ILCS 5/11-181)
(from Ch. 108 1/2, par. 11-181)
| ||||||
16 | Sec. 11-181. Board created. Notwithstanding any other | ||||||
17 | provision of this Article: | ||||||
18 | (1) After discussion with the board and other | ||||||
19 | interested parties, the city shall present to the General | ||||||
20 | Assembly its recommendations for restructuring the board | ||||||
21 | of the Fund. | ||||||
22 | (2) On April 1, 2015, the terms of the members of the | ||||||
23 | board serving on that date are terminated, and the board | ||||||
24 | shall be restructured and reconstituted as provided by the |
| |||||||
| |||||||
1 | General Assembly by law. | ||||||
2 | Until the board is restructured in accordance with this | ||||||
3 | amendatory Act of the 98th General Assembly, a A board of 8 | ||||||
4 | members shall constitute
the board of trustees authorized to | ||||||
5 | carry out the provisions of this
Article. The board shall be | ||||||
6 | known as the Retirement Board of the Laborers'
and Retirement | ||||||
7 | Board Employees' Annuity and Benefit Fund of the city.
The | ||||||
8 | board shall consist of 5 persons appointed and 2 employees and | ||||||
9 | one
annuitant elected in the manner hereinafter prescribed.
| ||||||
10 | The appointed members of the board shall be appointed as | ||||||
11 | follows:
| ||||||
12 | One member shall be appointed by the comptroller of the | ||||||
13 | city, who
may be himself or anyone chosen from among employees | ||||||
14 | of the city who
are versed in the affairs of the comptroller's | ||||||
15 | office; one member shall
be appointed by the City Treasurer of | ||||||
16 | the city, who may be himself or
a person chosen from among | ||||||
17 | employees of the city who are versed in the affairs
of the City | ||||||
18 | Treasurer's office; one member shall be an employee of the city
| ||||||
19 | appointed by the president of the local labor organization | ||||||
20 | representing a
majority of the employees participating in the | ||||||
21 | Fund; and 2 members shall
be appointed by the civil service | ||||||
22 | commission or the Department
of Personnel of the city from | ||||||
23 | among employees of the
city who are versed in the affairs of | ||||||
24 | the civil service commission's office or
the Department of | ||||||
25 | Personnel.
| ||||||
26 | The member appointed by the comptroller shall hold office |
| |||||||
| |||||||
1 | for a term
ending on December 1st of the first year following | ||||||
2 | the year of appointment.
The member appointed by the City | ||||||
3 | Treasurer shall hold office for a term
ending on December 1st | ||||||
4 | of the second year following the year of appointment.
The | ||||||
5 | member appointed by the civil service commission shall hold | ||||||
6 | office for a
term ending on the first day in the month of | ||||||
7 | December of the third year
following the year of appointment. | ||||||
8 | The additional member appointed by the
civil service commission | ||||||
9 | under this amendatory Act of 1998 shall hold office
for an | ||||||
10 | initial term ending on December 1, 2000, and the member | ||||||
11 | appointed by the
labor organization president shall hold office | ||||||
12 | for an initial term ending on
December 1, 2001. Thereafter each | ||||||
13 | appointive member shall be appointed by
the officer or body | ||||||
14 | that appointed his predecessor, for a term of 3 years.
| ||||||
15 | The 2 employee members of the board shall be elected as | ||||||
16 | follows:
| ||||||
17 | Within 30 days from and after the appointive members have | ||||||
18 | been appointed
and have qualified, the appointive members shall | ||||||
19 | arrange for and hold an
election.
| ||||||
20 | One employee shall be elected for a term ending on December | ||||||
21 | 1st of the
first year next following the effective date; one | ||||||
22 | for a term ending on
December 1st of the following year.
| ||||||
23 | An employee member who takes advantage of the early | ||||||
24 | retirement incentives
provided under this amendatory Act of the | ||||||
25 | 93rd General Assembly may continue as
a member until the end of | ||||||
26 | his or her term.
|
| |||||||
| |||||||
1 | The initial annuitant member shall be appointed by the | ||||||
2 | other members of
the board for an initial term ending on | ||||||
3 | December 1, 1999.
The annuitant member elected in 1999 shall be | ||||||
4 | deemed to have been
elected for a 3-year term ending on | ||||||
5 | December 1, 2002.
Thereafter, the annuitant member shall be | ||||||
6 | elected for a 3-year term ending
on December 1st of the third | ||||||
7 | year following the election.
| ||||||
8 | (Source: P.A. 93-654, eff. 1-16-04.)
| ||||||
9 | Section 15. The Illinois Educational Labor Relations Act is | ||||||
10 | amended by changing Section 10.5 as follows:
| ||||||
11 | (115 ILCS 5/10.5) | ||||||
12 | (This Section may contain text from a Public Act with a | ||||||
13 | delayed effective date ) | ||||||
14 | Sec. 10.5. Duty to bargain regarding pension amendments. | ||||||
15 | (a) Notwithstanding any provision of this Act, employers | ||||||
16 | shall not be required to bargain over matters affected by the | ||||||
17 | changes, the impact of changes, and the implementation of | ||||||
18 | changes made to Article 8, 11, 14, 15, or 16 of the Illinois | ||||||
19 | Pension Code, or Article 1 of that Code as it applies to those | ||||||
20 | Articles, made by Public Act 98-599 or this amendatory Act of | ||||||
21 | the 98th General Assembly this amendatory Act of the 98th | ||||||
22 | General Assembly , or over any other provision of Article 8, 11, | ||||||
23 | 14, 15, or 16 of the Illinois Pension Code, or of Article 1 of | ||||||
24 | that Code as it applies to those Articles, which are prohibited |
| |||||||
| |||||||
1 | subjects of bargaining; nor shall the changes, the impact of | ||||||
2 | changes, or the implementation of changes made to Article 8, | ||||||
3 | 11, 14, 15, or 16 of the Illinois Pension Code, or to Article 1 | ||||||
4 | of that Code as it applies to those Articles, by Public Act | ||||||
5 | 98-599 or this amendatory Act of the 98th General Assembly this | ||||||
6 | amendatory Act of the 98th General Assembly or any other | ||||||
7 | provision of Article 8, 11, 14, 15, or 16 of the Illinois | ||||||
8 | Pension Code, or of Article 1 of that Code as it applies to | ||||||
9 | those Articles, be subject to interest arbitration or any award | ||||||
10 | issued pursuant to interest arbitration. The provisions of this | ||||||
11 | Section shall not apply to an employment contract or collective | ||||||
12 | bargaining agreement that is in effect on the effective date of | ||||||
13 | Public Act 98-599 or this amendatory Act of the 98th General | ||||||
14 | Assembly, as applicable this amendatory Act of the 98th General | ||||||
15 | Assembly . However, any such contract or agreement that is | ||||||
16 | subsequently modified, amended, or renewed shall be subject to | ||||||
17 | the provisions of this Section. The provisions of this Section | ||||||
18 | shall also not apply to the ability of an employer and employee | ||||||
19 | representative to bargain collectively with regard to the pick | ||||||
20 | up of employee contributions pursuant to Section 8-174.1, | ||||||
21 | 11-170.1, 14-133.1, 15-157.1, or 16-152.1 of the Illinois | ||||||
22 | Pension Code. | ||||||
23 | (b) Nothing in this Section, however, shall be construed as | ||||||
24 | otherwise limiting any of the obligations and requirements | ||||||
25 | applicable to each employer under any of the provisions of this | ||||||
26 | Act, including, but not limited to, the requirement to bargain |
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1 | collectively with regard to policy matters directly affecting | ||||||
2 | wages, hours and terms and conditions of employment as well as | ||||||
3 | the impact thereon upon request by employee representatives, | ||||||
4 | except for the matters deemed prohibited subjects of bargaining | ||||||
5 | under subsection (a) of this Section. Nothing in this Section | ||||||
6 | shall further be construed as otherwise limiting any of the | ||||||
7 | rights of employees or employee representatives under the | ||||||
8 | provisions of this Act, except for matters deemed prohibited | ||||||
9 | subjects of bargaining under subsection (a) of this Section. | ||||||
10 | (c) In case of any conflict between this Section and any | ||||||
11 | other provisions of this Act or any other law, the provisions | ||||||
12 | of this Section shall control.
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13 | (Source: P.A. 98-599, eff. 6-1-14.)
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14 | Section 90. The State Mandates Act is amended by adding | ||||||
15 | Section 8.38 as follows:
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16 | (30 ILCS 805/8.38 new) | ||||||
17 | Sec. 8.38. Exempt mandate. Notwithstanding Sections 6 and 8 | ||||||
18 | of this Act, no reimbursement by the State is required for the | ||||||
19 | implementation of any mandate created by this amendatory Act of | ||||||
20 | the 98th General Assembly.
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21 | Section 93. Inseverability and severability. The | ||||||
22 | provisions of this amendatory Act of 2013 set forth in Secs. | ||||||
23 | 1-160, 8-137, 8-137.1, 8-173, 8-173.1, 8-174, 11-134.1, |
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1 | 11-134.3, 11-169, 11-169.1, and 11-170 of the Illinois Pension | ||||||
2 | Code are mutually dependent and inseverable. If any of those | ||||||
3 | provisions is held invalid other than as applied to a | ||||||
4 | particular person or circumstance, then all of those provisions | ||||||
5 | are invalid. The remaining provisions of this Act are severable | ||||||
6 | under Section 1.31 of the Statute on Statutes, and are not | ||||||
7 | mutually dependent upon the provisions set forth in any other | ||||||
8 | Section of this Act.
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9 | Section 95. No acceleration or delay. Where this Act makes | ||||||
10 | changes in a statute that is represented in this Act by text | ||||||
11 | that is not yet or no longer in effect (for example, a Section | ||||||
12 | represented by multiple versions), the use of that text does | ||||||
13 | not accelerate or delay the taking effect of (i) the changes | ||||||
14 | made by this Act or (ii) provisions derived from any other | ||||||
15 | Public Act.
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16 | Section 99. Effective date. This Act takes effect upon | ||||||
17 | becoming law.".
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