093_SB1145
LRB093 10727 EFG 11560 b
1 AN ACT in relation to public employee benefits.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The Illinois Pension Code is amended by
5 changing Sections 2-101, 2-105, 2-119.1, 2-126, 14-103.05,
6 14-133, 18-101 and 18-120 as follows:
7 (40 ILCS 5/2-101) (from Ch. 108 1/2, par. 2-101)
8 Sec. 2-101. Creation of system. A retirement system is
9 created to provide retirement annuities, survivor's annuities
10 and other benefits for certain members of the General
11 Assembly, certain elected state officials, and their
12 beneficiaries.
13 The system shall be known as the "General Assembly
14 Retirement System". All its funds and property shall be a
15 trust separate from all other entities, maintained for the
16 purpose of securing payment of annuities and benefits under
17 this Article.
18 Participation in the retirement system created under this
19 Article is restricted to persons who become participants
20 before the effective date of this amendatory Act of the 93rd
21 General Assembly. Beginning on that date, the System shall
22 not accept any new participants.
23 (Source: P.A. 83-1440.)
24 (40 ILCS 5/2-105) (from Ch. 108 1/2, par. 2-105)
25 Sec. 2-105. Member. "Member": Members of the General
26 Assembly of this State, including persons who enter military
27 service while a member of the General Assembly, and any
28 person serving as Governor, Lieutenant Governor, Secretary of
29 State, Treasurer, Comptroller, or Attorney General for the
30 period of service in such office.
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1 Any person who has served for 10 or more years as Clerk
2 or Assistant Clerk of the House of Representatives, Secretary
3 or Assistant Secretary of the Senate, or any combination
4 thereof, may elect to become a member of this system while
5 thenceforth engaged in such service by filing a written
6 election with the board. Any person so electing shall be
7 deemed an active member of the General Assembly for the
8 purpose of validating and transferring any service credits
9 earned under any of the funds and systems established under
10 Articles 3 through 18 of this Code.
11 However, notwithstanding any other provision of this
12 Article, a person shall not be deemed a member for the
13 purposes of this Article unless he or she became a
14 participant of the System before the effective date of this
15 amendatory Act of the 93rd General Assembly.
16 (Source: P.A. 85-1008.)
17 (40 ILCS 5/2-119.1) (from Ch. 108 1/2, par. 2-119.1)
18 Sec. 2-119.1. Automatic increase in retirement annuity.
19 (a) A participant who retires after June 30, 1967, and
20 who has not received an initial increase under this Section
21 before the effective date of this amendatory Act of 1991,
22 shall, in January or July next following the first
23 anniversary of retirement, whichever occurs first, and in the
24 same month of each year thereafter, but in no event prior to
25 age 60, have the amount of the originally granted retirement
26 annuity increased as follows: for each year through 1971, 1
27 1/2%; for each year from 1972 through 1979, 2%; and for 1980
28 and each year thereafter, 3%. Annuitants who have received
29 an initial increase under this subsection prior to the
30 effective date of this amendatory Act of 1991 shall continue
31 to receive their annual increases in the same month as the
32 initial increase.
33 (b) Beginning January 1, 1990, for participants who
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1 remain in service after attaining 20 years of creditable
2 service and have not elected to stop contributing under
3 Section 2-126(e), the 3% increases provided under subsection
4 (a) shall begin to accrue on the January 1 next following the
5 date upon which the participant (1) attains age 55, or (2)
6 attains 20 years of creditable service, whichever occurs
7 later, and shall continue to accrue while the participant
8 remains in service; such increases shall become payable on
9 January 1 or July 1, whichever occurs first, next following
10 the first anniversary of retirement. For any person who has
11 service credit in the System for the entire period from
12 January 15, 1969 through December 31, 1992, regardless of the
13 date of termination of service, the reference to age 55 in
14 clause (1) of this subsection (b) shall be deemed to mean age
15 50.
16 (c) The foregoing provisions relating to automatic
17 increases are not applicable to a participant who retires
18 before having made contributions (at the rate prescribed in
19 Section 2-126) for automatic increases for less than the
20 equivalent of one full year. However, in order to be
21 eligible for the automatic increases, such a participant may
22 make arrangements to pay to the system the amount required to
23 bring the total contributions for the automatic increase to
24 the equivalent of one year's contributions based upon his or
25 her last salary.
26 (d) A participant who terminated service prior to July
27 1, 1967, with at least 14 years of service is entitled to an
28 increase in retirement annuity beginning January, 1976, and
29 to additional increases in January of each year thereafter.
30 The initial increase shall be 1 1/2% of the originally
31 granted retirement annuity multiplied by the number of full
32 years that the annuitant was in receipt of such annuity
33 prior to January 1, 1972, plus 2% of the originally granted
34 retirement annuity for each year after that date. The
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1 subsequent annual increases shall be at the rate of 2% of the
2 originally granted retirement annuity for each year through
3 1979 and at the rate of 3% for 1980 and thereafter.
4 (e) Beginning January 1, 1990, all automatic annual
5 increases payable under this Section shall be calculated as a
6 percentage of the total annuity payable at the time of the
7 increase, including previous increases granted under this
8 Article.
9 (Source: P.A. 86-273; 87-794; 87-1265.)
10 (40 ILCS 5/2-126) (from Ch. 108 1/2, par. 2-126)
11 Sec. 2-126. Contributions by participants.
12 (a) Each participant shall contribute toward the cost of
13 his or her retirement annuity a percentage of each payment of
14 salary received by him or her for service as a member as
15 follows: for service between October 31, 1947 and January 1,
16 1959, 5%; for service between January 1, 1959 and June 30,
17 1969, 6%; for service between July 1, 1969 and January 10,
18 1973, 6 1/2%; for service after January 10, 1973, 7%; for
19 service after December 31, 1981, 8 1/2%.
20 (b) Beginning August 2, 1949, each male participant, and
21 from July 1, 1971, each female participant shall contribute
22 towards the cost of the survivor's annuity 2% of salary.
23 A participant who has no eligible survivor's annuity
24 beneficiary may elect to cease making contributions for
25 survivor's annuity under this subsection. A survivor's
26 annuity shall not be payable upon the death of a person who
27 has made this election, unless prior to that death the
28 election has been revoked and the amount of the contributions
29 that would have been paid under this subsection in the
30 absence of the election is paid to the System, together with
31 interest at the rate of 4% per year from the date the
32 contributions would have been made to the date of payment.
33 (c) Beginning July 1, 1967, each participant shall
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1 contribute 1% of salary towards the cost of automatic
2 increase in annuity provided in Section 2-119.1. These
3 contributions shall be made concurrently with contributions
4 for retirement annuity purposes.
5 (d) In addition, each participant serving as an officer
6 of the General Assembly shall contribute, for the same
7 purposes and at the same rates as are required of a regular
8 participant, on each additional payment received as an
9 officer. If the participant serves as an officer for at
10 least 2 but less than 4 years, he or she shall contribute an
11 amount equal to the amount that would have been contributed
12 had the participant served as an officer for 4 years.
13 Persons who serve as officers in the 87th General Assembly
14 but cannot receive the additional payment to officers because
15 of the ban on increases in salary during their terms may
16 nonetheless make contributions based on those additional
17 payments for the purpose of having the additional payments
18 included in their highest salary for annuity purposes;
19 however, persons electing to make these additional
20 contributions must also pay an amount representing the
21 corresponding employer contributions, as calculated by the
22 System.
23 (e) A person may irrevocably elect, within 60 days after
24 attaining 20 years of creditable service or within 60 days
25 following the effective date of this amendatory Act of the
26 93rd General Assembly, whichever is later, to stop making
27 employee contributions under this Section. The election does
28 not affect the person's status as a participant, but a person
29 so electing thereby forfeits the accelerated 3% increases to
30 which he or she would otherwise be entitled under subsection
31 (b) of Section 2-119.1.
32 (Source: P.A. 90-766, eff. 8-14-98.)
33 (40 ILCS 5/14-103.05) (from Ch. 108 1/2, par. 14-103.05)
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1 Sec. 14-103.05. Employee.
2 (a) Any person employed by a Department who receives
3 salary for personal services rendered to the Department on a
4 warrant issued pursuant to a payroll voucher certified by a
5 Department and drawn by the State Comptroller upon the State
6 Treasurer, including an elected official described in
7 subparagraph (d) of Section 14-104, shall become an employee
8 for purpose of membership in the Retirement System on the
9 first day of such employment.
10 A person who becomes a judge, constitutional officer, or
11 member of the General Assembly on or after the effective date
12 of this amendatory Act of the 93rd General Assembly and is
13 not eligible to participate in the Judges Retirement System
14 of Illinois or the General Assembly Retirement System shall
15 be deemed an employee for purposes of membership in this
16 System beginning on the first day of such service.
17 A person entering service on or after January 1, 1972 and
18 prior to January 1, 1984 shall become a member as a condition
19 of employment and shall begin making contributions as of the
20 first day of employment.
21 A person entering service on or after January 1, 1984
22 shall, upon completion of 6 months of continuous service
23 which is not interrupted by a break of more than 2 months,
24 become a member as a condition of employment. Contributions
25 shall begin the first of the month after completion of the
26 qualifying period.
27 The qualifying period of 6 months of service is not
28 applicable to: (1) a person who has been granted credit for
29 service in a position covered by the State Universities
30 Retirement System, the Teachers' Retirement System of the
31 State of Illinois, the General Assembly Retirement System, or
32 the Judges Retirement System of Illinois unless that service
33 has been forfeited under the laws of those systems; (2) a
34 person entering service on or after July 1, 1991 in a
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1 noncovered position; or (3) a person to whom Section
2 14-108.2a or 14-108.2b applies; or (4) a person who is
3 serving as a judge, constitutional officer, or member of the
4 General Assembly.
5 (b) The term "employee" does not include the following:
6 (1) persons participating in members of the State
7 Legislature, and persons electing to become members of
8 the General Assembly Retirement System pursuant to
9 Section 2-105;
10 (2) incumbents of offices normally filled by vote
11 of the people, other than judges, constitutional
12 officers, and members of the General Assembly;
13 (3) except as otherwise provided in this Section,
14 any person appointed by the Governor with the advice and
15 consent of the Senate unless that person elects to
16 participate in this system;
17 (4) except as provided in Section 14-108.2 or
18 14-108.2c, any person who is covered or eligible to be
19 covered by the Teachers' Retirement System of the State
20 of Illinois, the State Universities Retirement System, or
21 the Judges Retirement System of Illinois;
22 (5) an employee of a municipality or any other
23 political subdivision of the State;
24 (6) any person who becomes an employee after June
25 30, 1979 as a public service employment program
26 participant under the Federal Comprehensive Employment
27 and Training Act and whose wages or fringe benefits are
28 paid in whole or in part by funds provided under such
29 Act;
30 (7) enrollees of the Illinois Young Adult
31 Conservation Corps program, administered by the
32 Department of Natural Resources, authorized grantee
33 pursuant to Title VIII of the "Comprehensive Employment
34 and Training Act of 1973", 29 USC 993, as now or
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1 hereafter amended;
2 (8) enrollees and temporary staff of programs
3 administered by the Department of Natural Resources under
4 the Youth Conservation Corps Act of 1970;
5 (9) any person who is a member of any professional
6 licensing or disciplinary board created under an Act
7 administered by the Department of Professional Regulation
8 or a successor agency or created or re-created after the
9 effective date of this amendatory Act of 1997, and who
10 receives per diem compensation rather than a salary,
11 notwithstanding that such per diem compensation is paid
12 by warrant issued pursuant to a payroll voucher; such
13 persons have never been included in the membership of
14 this System, and this amendatory Act of 1987 (P.A.
15 84-1472) is not intended to effect any change in the
16 status of such persons;
17 (10) any person who is a member of the Illinois
18 Health Care Cost Containment Council, and receives per
19 diem compensation rather than a salary, notwithstanding
20 that such per diem compensation is paid by warrant issued
21 pursuant to a payroll voucher; such persons have never
22 been included in the membership of this System, and this
23 amendatory Act of 1987 is not intended to effect any
24 change in the status of such persons; or
25 (11) any person who is a member of the Oil and Gas
26 Board created by Section 1.2 of the Illinois Oil and Gas
27 Act, and receives per diem compensation rather than a
28 salary, notwithstanding that such per diem compensation
29 is paid by warrant issued pursuant to a payroll voucher.
30 (Source: P.A. 92-14, eff. 6-28-01.)
31 (40 ILCS 5/14-133) (from Ch. 108 1/2, par. 14-133)
32 Sec. 14-133. Contributions by or on behalf of members.
33 (a) Each participating employee shall make contributions
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1 to the System, based on the employee's compensation, as
2 follows:
3 (1) Covered employees, except as indicated below,
4 3.5% for retirement annuity, and 0.5% for a widow or
5 survivors annuity;
6 (2) Noncovered employees, except as indicated
7 below, 7% for retirement annuity and 1% for a widow or
8 survivors annuity;
9 (3) Noncovered employees serving in a position in
10 which "eligible creditable service" as defined in Section
11 14-110 may be earned, 1% for a widow or survivors annuity
12 plus the following amount for retirement annuity: 8.5%
13 through December 31, 2001; 9.5% in 2002; 10.5% in 2003;
14 and 11.5% in 2004 and thereafter;
15 (4) Covered employees serving in a position in
16 which "eligible creditable service" as defined in Section
17 14-110 may be earned, 0.5% for a widow or survivors
18 annuity plus the following amount for retirement annuity:
19 5% through December 31, 2001; 6% in 2002; 7% in 2003; and
20 8% in 2004 and thereafter;
21 (5) Each security employee of the Department of
22 Corrections or of the Department of Human Services who is
23 a covered employee, 0.5% for a widow or survivors annuity
24 plus the following amount for retirement annuity: 5%
25 through December 31, 2001; 6% in 2002; 7% in 2003; and 8%
26 in 2004 and thereafter;
27 (6) Each security employee of the Department of
28 Corrections or of the Department of Human Services who is
29 not a covered employee, 1% for a widow or survivors
30 annuity plus the following amount for retirement annuity:
31 8.5% through December 31, 2001; 9.5% in 2002; 10.5% in
32 2003; and 11.5% in 2004 and thereafter.
33 (b) Contributions shall be in the form of a deduction
34 from compensation and shall be made notwithstanding that the
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1 compensation paid in cash to the employee shall be reduced
2 thereby below the minimum prescribed by law or regulation.
3 Each member is deemed to consent and agree to the deductions
4 from compensation provided for in this Article, and shall
5 receipt in full for salary or compensation.
6 (c) All or a portion of the employee contributions
7 required under this Section may be paid by the State on
8 behalf of the employee through a separate line item
9 appropriation to the department for that purpose; this does
10 not, however, apply to judges, constitutional officers, or
11 members of the General Assembly.
12 (Source: P.A. 92-14, eff. 6-28-01.)
13 (40 ILCS 5/18-101) (from Ch. 108 1/2, par. 18-101)
14 Sec. 18-101. Creation of fund.
15 A retirement system is created to be known as the "Judges
16 Retirement System of Illinois". It shall be a trust separate
17 and distinct from all other entities, maintained for the
18 purpose of securing the payment of annuities and benefits as
19 prescribed herein.
20 Participation in the retirement system created under this
21 Article is restricted to persons who become participants
22 before the effective date of this amendatory Act of the 93rd
23 General Assembly. Beginning on that date, the System shall
24 not accept any new participants.
25 (Source: Laws 1963, p. 161.)
26 (40 ILCS 5/18-102) (from Ch. 108 1/2, par. 18-102)
27 Sec. 18-102. Purpose.
28 The purpose of the system is to establish an efficient
29 method of permitting retirement, without hardship or
30 prejudice, of certain judges who are aged or otherwise
31 incapacitated, by enabling them to accumulate reserves for
32 themselves and their dependents for old age, disability,
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1 death, and termination of employment.
2 (Source: Laws 1963, p. 161.)
3 (40 ILCS 5/18-120) (from Ch. 108 1/2, par. 18-120)
4 Sec. 18-120. Employee participation. An eligible judge
5 who is not a participant shall become a participant beginning
6 on the date he or she becomes an eligible judge, unless the
7 judge files with the board a written notice of election not
8 to participate within 30 days of the date of being notified
9 of the option.
10 A person electing not to participate shall thereafter be
11 ineligible to become a participant unless the election is
12 revoked as provided in Section 18-121.
13 However, notwithstanding any other provision of this
14 Article, a person shall not be deemed an eligible or
15 participating judge for the purposes of this Article unless
16 he or she became a participant of the System before the
17 effective date of this amendatory Act of the 93rd General
18 Assembly.
19 (Source: P.A. 83-1440.)
20 Section 99. Effective date. This Act takes effect upon
21 becoming law.