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| | HB0303 Enrolled | | LRB101 04585 AWJ 49593 b |
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| 1 | | AN ACT concerning local government.
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| 2 | | Be it enacted by the People of the State of Illinois,
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| 3 | | represented in the General Assembly:
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| 4 | | Section 5. The Local Government Wage Increase Transparency |
| 5 | | Act is amended by changing Section 5 as follows:
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| 6 | | (50 ILCS 155/5)
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| 7 | | Sec. 5. Disclosure of certain wage increases made to |
| 8 | | employees under Article 7 of the Illinois Pension Code. |
| 9 | | (a) This Section applies only to a participating employee |
| 10 | | under Article 7 of the Illinois Pension Code (IMRF) who began |
| 11 | | participation before January 1, 2011 and who is not subject to |
| 12 | | a collective bargaining agreement with respect to the |
| 13 | | employment upon which the participation is based. |
| 14 | | (b) The definitions in Article 7 of the Illinois Pension |
| 15 | | Code also apply to this Section. |
| 16 | | As used in this Section, "disclosable payment" means a |
| 17 | | payment, whether in the form of an increase in the rate of |
| 18 | | earnings or a lump-sum payment, that: |
| 19 | | (1) would be made by a participating employer to a |
| 20 | | participating employee after the employee has expressed to |
| 21 | | the employer his or her intent to retire or withdraw from |
| 22 | | service; |
| 23 | | (2) would have the effect of increasing the employee's |
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| | HB0303 Enrolled | - 2 - | LRB101 04585 AWJ 49593 b |
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| 1 | | reportable monthly earnings from that employer by more than |
| 2 | | 6% compared to the previous month; and |
| 3 | | (3) would be made between 12 months and 90 days prior |
| 4 | | to the employee's expected termination of service. |
| 5 | | "Disclosable payment" also includes accumulated sick |
| 6 | | leave. |
| 7 | | However, "disclosable payment" does not include a refund of |
| 8 | | contributions or any payment required to be paid by State or |
| 9 | | federal law. |
| 10 | | (c) A disclosable payment shall not be made or payable |
| 11 | | unless the governing body of that participating employer has |
| 12 | | first discussed the specific payment to be made at a meeting |
| 13 | | open to the public and posted and held in accordance with the |
| 14 | | requirements of the Open Meetings Act. At the meeting, the |
| 15 | | governing body shall, at a minimum, disclose (1) the identity |
| 16 | | of the employee, (2) the purpose and amount of the increase or |
| 17 | | payment, (3) the proposed retirement date, (4) the effect of |
| 18 | | the payment upon the expected retirement annuity of the |
| 19 | | employee, and (5) the effect of the payment upon the liability |
| 20 | | of the employer to the Article 7 Fund. |
| 21 | | (d) The determination of whether the disclosable payment is |
| 22 | | permissible under this Section shall rest exclusively with the |
| 23 | | employer. |
| 24 | | (e) A participating employer may not make a disclosable |
| 25 | | payment to an employee in a manner inconsistent with this |
| 26 | | Section. This Section is a denial and limitation of home rule |