Bill Text: IL SB3793 | 2011-2012 | 97th General Assembly | Introduced

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Bill Title: Amends the General Assembly and State Employees Articles of the Illinois Pension Code. Provides that, for members of the Illinois Senate, participation in the General Assembly Retirement System is restricted to those individuals who first become participants before the effective date of the amendatory Act. Provides that an individual who first becomes a member of the Illinois Senate on or after February 1, 2011 and before the effective date of the amendatory Act may become a member of the State Employees' Retirement System of Illinois by making an election to participate in that System. Provides that an individual who first becomes a member of the Illinois Senate on or after the effective date of the amendatory Act shall become a member of the State Employees' Retirement System of Illinois beginning on the date of becoming a member of the Illinois Senate unless, within 24 months from that date, he or she has filed with the board a written notice of election not to participate in that System. Effective immediately.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Failed) 2013-01-08 - Session Sine Die [SB3793 Detail]

Download: Illinois-2011-SB3793-Introduced.html

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97TH GENERAL ASSEMBLY State of Illinois 2011 and 2012 SB3793 Introduced 2/10/2012, by Sen. Darin M. LaHood SYNOPSIS AS INTRODUCED:
40 ILCS 5/2-101 from Ch. 108 1/2, par. 2-101
40 ILCS 5/2-105 from Ch. 108 1/2, par. 2-105
40 ILCS 5/2-117 from Ch. 108 1/2, par. 2-117
40 ILCS 5/14-103.05 from Ch. 108 1/2, par. 14-103.05
Amends the General Assembly and State Employees Articles of the Illinois Pension Code. Provides that, for members of the Illinois Senate, participation in the General Assembly Retirement System is restricted to those individuals who first become participants before the effective date of the amendatory Act. Provides that an individual who first becomes a member of the Illinois Senate on or after February 1, 2011 and before the effective date of the amendatory Act may become a member of the State Employees' Retirement System of Illinois by making an election to participate in that System. Provides that an individual who first becomes a member of the Illinois Senate on or after the effective date of the amendatory Act shall become a member of the State Employees' Retirement System of Illinois beginning on the date of becoming a member of the Illinois Senate unless, within 24 months from that date, he or she has filed with the board a written notice of election not to participate in that System. Effective immediately.
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FISCAL NOTE ACT MAY APPLY PENSION IMPACT NOTE ACT MAY APPLY
A BILL FOR
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AN ACT concerning public employee benefits.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Illinois Pension Code is amended by changing
Sections 2-101, 2-105, 2-117, and 14-103.05 as follows:
(40 ILCS 5/2-101) (from Ch. 108 1/2, par. 2-101)
Sec. 2-101. Creation of system. A retirement system is
created to provide retirement annuities, survivor's annuities
and other benefits for certain members of the General Assembly,
certain elected state officials, and their beneficiaries.
The system shall be known as the "General Assembly
Retirement System". All its funds and property shall be a trust
separate from all other entities, maintained for the purpose of
securing payment of annuities and benefits under this Article.
For members of the Illinois Senate, participation in the
retirement system created under this Article is restricted to
those individuals who first become participants before the
effective date of this amendatory Act of the 97th General
Assembly.
(Source: P.A. 83-1440.)
(40 ILCS 5/2-105) (from Ch. 108 1/2, par. 2-105)
Sec. 2-105. Member. "Member": Members of the General

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Assembly of this State, including persons who enter military
service while a member of the General Assembly, and any person
serving as Governor, Lieutenant Governor, Secretary of State,
Treasurer, Comptroller, or Attorney General for the period of
service in such office.
Any person who has served for 10 or more years as Clerk or
Assistant Clerk of the House of Representatives, Secretary or
Assistant Secretary of the Senate, or any combination thereof,
may elect to become a member of this system while thenceforth
engaged in such service by filing a written election with the
board. Any person so electing shall be deemed an active member
of the General Assembly for the purpose of validating and
transferring any service credits earned under any of the funds
and systems established under Articles 3 through 18 of this
Code.
However, notwithstanding any other provision of this
Article, a member of the Illinois Senate shall not be deemed to
be a participant for the purposes of this Article unless he or
she first becomes a participant before the effective date of
this amendatory Act of the 97th General Assembly.
(Source: P.A. 85-1008.)
(40 ILCS 5/2-117) (from Ch. 108 1/2, par. 2-117)
Sec. 2-117. Participants - Election not to participate.
(a) Every person who was a member on November 1, 1947, or
in military service on such date, is subject to the provisions

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of this system beginning upon such date, unless prior to such
date he or she filed with the board a written notice of
election not to participate .
Every person who becomes a member after November 1, 1947,
and who is then not a participant becomes a participant
beginning upon the date of becoming a member unless, within 24
months from that date, he or she has filed with the board a
written notice of election not to participate.
Every member of the Illinois Senate who first becomes a
participant after February 1, 2011 and before the effective
date of this amendatory Act of the 97th General Assembly
becomes a participant beginning on the date of becoming a
member unless, within 24 months after that date, he or she has
filed with the board a written notice of election either (i)
not to participate or (ii) to participate instead in the
retirement system created under Article 14.
(b) A member who has filed notice of an election not to
participate (and a former member who has not yet begun to
receive a retirement annuity under this Article) may become a
participant with respect to the period for which the member
elected not to participate upon filing with the board, before
April 1, 1993, a written rescission of the election not to
participate. Upon contributing an amount equal to the
contributions he or she would have made as a participant from
November 1, 1947, or the date of becoming a member, whichever
is later, to the date of becoming a participant, with interest

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at the rate of 4% per annum until the contributions are paid,
the participant shall receive credit for service as a member
prior to the date of the rescission, both before and after
November 1, 1947. The required contributions shall be made
before commencement of the retirement annuity; otherwise no
credit for service prior to the date of participation shall be
granted.
(Source: P.A. 86-273; 87-1265.)
(40 ILCS 5/14-103.05) (from Ch. 108 1/2, par. 14-103.05)
Sec. 14-103.05. Employee.
(a) Any person employed by a Department who receives salary
for personal services rendered to the Department on a warrant
issued pursuant to a payroll voucher certified by a Department
and drawn by the State Comptroller upon the State Treasurer,
including an elected official described in subparagraph (d) of
Section 14-104, shall become an employee for purpose of
membership in the Retirement System on the first day of such
employment.
A person entering service on or after January 1, 1972 and
prior to January 1, 1984 shall become a member as a condition
of employment and shall begin making contributions as of the
first day of employment.
A person entering service on or after January 1, 1984
shall, upon completion of 6 months of continuous service which
is not interrupted by a break of more than 2 months, become a

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member as a condition of employment. Contributions shall begin
the first of the month after completion of the qualifying
period.
A person employed by the Chicago Metropolitan Agency for
Planning on the effective date of this amendatory Act of the
95th General Assembly who was a member of this System as an
employee of the Chicago Area Transportation Study and makes an
election under Section 14-104.13 to participate in this System
for his or her employment with the Chicago Metropolitan Agency
for Planning.
An individual who first becomes a member of the Illinois
Senate on or after February 1, 2011 and before the effective
date of this amendatory Act of the 97th General Assembly shall
become a member of the System by making an election under
Section 2-117 to participate in the System created under this
Article.
An individual who first becomes a member of the Illinois
Senate on or after the effective date of this amendatory Act of
the 97th General Assembly shall become a member of the System
beginning on the date of becoming a member of the Illinois
Senate unless, within 24 months from that date, he or she has
filed with the board a written notice of election not to
participate in the System created under this Article.
The qualifying period of 6 months of service is not
applicable to: (1) a person who has been granted credit for
service in a position covered by the State Universities

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Retirement System, the Teachers' Retirement System of the State
of Illinois, the General Assembly Retirement System, or the
Judges Retirement System of Illinois unless that service has
been forfeited under the laws of those systems; (2) a person
entering service on or after July 1, 1991 in a noncovered
position; (3) a person to whom Section 14-108.2a or 14-108.2b
applies; or (4) a person to whom subsection (a-5) of this
Section applies.
(a-5) A person entering service on or after December 1,
2010 shall become a member as a condition of employment and
shall begin making contributions as of the first day of
employment. A person serving in the qualifying period on
December 1, 2010 will become a member on December 1, 2010 and
shall begin making contributions as of December 1, 2010.
(b) The term "employee" does not include the following:
(1) except as otherwise provided in this Section,
members of the State Legislature, and persons electing to
become members of the General Assembly Retirement System
pursuant to Section 2-105;
(2) incumbents of offices normally filled by vote of
the people;
(3) except as otherwise provided in this Section, any
person appointed by the Governor with the advice and
consent of the Senate unless that person elects to
participate in this system;
(3.1) any person serving as a commissioner of an ethics

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commission created under the State Officials and Employees
Ethics Act unless that person elects to participate in this
system with respect to that service as a commissioner;
(3.2) any person serving as a part-time employee in any
of the following positions: Legislative Inspector General,
Special Legislative Inspector General, employee of the
Office of the Legislative Inspector General, Executive
Director of the Legislative Ethics Commission, or staff of
the Legislative Ethics Commission, regardless of whether
he or she is in active service on or after July 8, 2004
(the effective date of Public Act 93-685), unless that
person elects to participate in this System with respect to
that service; in this item (3.2), a "part-time employee" is
a person who is not required to work at least 35 hours per
week;
(3.3) any person who has made an election under Section
1-123 and who is serving either as legal counsel in the
Office of the Governor or as Chief Deputy Attorney General;
(4) except as provided in Section 14-108.2 or
14-108.2c, any person who is covered or eligible to be
covered by the Teachers' Retirement System of the State of
Illinois, the State Universities Retirement System, or the
Judges Retirement System of Illinois;
(5) an employee of a municipality or any other
political subdivision of the State;
(6) any person who becomes an employee after June 30,

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1979 as a public service employment program participant
under the Federal Comprehensive Employment and Training
Act and whose wages or fringe benefits are paid in whole or
in part by funds provided under such Act;
(7) enrollees of the Illinois Young Adult Conservation
Corps program, administered by the Department of Natural
Resources, authorized grantee pursuant to Title VIII of the
"Comprehensive Employment and Training Act of 1973", 29 USC
993, as now or hereafter amended;
(8) enrollees and temporary staff of programs
administered by the Department of Natural Resources under
the Youth Conservation Corps Act of 1970;
(9) any person who is a member of any professional
licensing or disciplinary board created under an Act
administered by the Department of Professional Regulation
or a successor agency or created or re-created after the
effective date of this amendatory Act of 1997, and who
receives per diem compensation rather than a salary,
notwithstanding that such per diem compensation is paid by
warrant issued pursuant to a payroll voucher; such persons
have never been included in the membership of this System,
and this amendatory Act of 1987 (P.A. 84-1472) is not
intended to effect any change in the status of such
persons;
(10) any person who is a member of the Illinois Health
Care Cost Containment Council, and receives per diem

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compensation rather than a salary, notwithstanding that
such per diem compensation is paid by warrant issued
pursuant to a payroll voucher; such persons have never been
included in the membership of this System, and this
amendatory Act of 1987 is not intended to effect any change
in the status of such persons;
(11) any person who is a member of the Oil and Gas
Board created by Section 1.2 of the Illinois Oil and Gas
Act, and receives per diem compensation rather than a
salary, notwithstanding that such per diem compensation is
paid by warrant issued pursuant to a payroll voucher;
(12) a person employed by the State Board of Higher
Education in a position with the Illinois Century Network
as of June 30, 2004, who remains continuously employed
after that date by the Department of Central Management
Services in a position with the Illinois Century Network
and participates in the Article 15 system with respect to
that employment;
(13) any person who first becomes a member of the Civil
Service Commission on or after January 1, 2012;
(14) any person, other than the Director of Employment
Security, who first becomes a member of the Board of Review
of the Department of Employment Security on or after
January 1, 2012;
(15) any person who first becomes a member of the Civil
Service Commission on or after January 1, 2012;

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(16) any person who first becomes a member of the
Illinois Liquor Control Commission on or after January 1,
2012;
(17) any person who first becomes a member of the
Secretary of State Merit Commission on or after January 1,
2012;
(18) any person who first becomes a member of the Human
Rights Commission on or after January 1, 2012;
(19) any person who first becomes a member of the State
Mining Board on or after January 1, 2012;
(20) any person who first becomes a member of the
Property Tax Appeal Board on or after January 1, 2012;
(21) any person who first becomes a member of the
Illinois Racing Board on or after January 1, 2012;
(22) any person who first becomes a member of the
Department of State Police Merit Board on or after January
1, 2012;
(23) any person who first becomes a member of the
Illinois State Toll Highway Authority on or after January
1, 2012; or
(24) any person who first becomes a member of the
Illinois State Board of Elections on or after January 1,
2012.
(c) An individual who represents or is employed as an
officer or employee of a statewide labor organization that
represents members of this System may participate in the System

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and shall be deemed an employee, provided that (1) the
individual has previously earned creditable service under this
Article, (2) the individual files with the System an
irrevocable election to become a participant within 6 months
after the effective date of this amendatory Act of the 94th
General Assembly, and (3) the individual does not receive
credit for that employment under any other provisions of this
Code. An employee under this subsection (c) is responsible for
paying to the System both (i) employee contributions based on
the actual compensation received for service with the labor
organization and (ii) employer contributions based on the
percentage of payroll certified by the board; all or any part
of these contributions may be paid on the employee's behalf or
picked up for tax purposes (if authorized under federal law) by
the labor organization.
A person who is an employee as defined in this subsection
(c) may establish service credit for similar employment prior
to becoming an employee under this subsection by paying to the
System for that employment the contributions specified in this
subsection, plus interest at the effective rate from the date
of service to the date of payment. However, credit shall not be
granted under this subsection (c) for any such prior employment
for which the applicant received credit under any other
provision of this Code or during which the applicant was on a
leave of absence.
(Source: P.A. 96-1490, eff. 1-1-11; 97-609, eff. 1-1-12.)

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Section 99. Effective date. This Act takes effect upon
becoming law.