Bill Status of SB 222   94th General Assembly

Short Description:  PEN CD-CHIC TCHERS-HEALTH INS

Senate Sponsors
Sen. John J. Cullerton

Last Action  View All Actions

DateChamber Action
  1/9/2007SenateSession Sine Die

Statutes Amended In Order of Appearance
40 ILCS 5/17-142.1from Ch. 108 1/2, par. 17-142.1

Synopsis As Introduced
Amends the Chicago Teacher Article of the Illinois Pension Code. Limits what the Board may reimburse for the cost of health care insurance coverage to 75% of the cost for recipients of a service retirement, disability retirement, or survivor's pension and removes other provisions limiting the reimbursement. Effective immediately.

 Pension Note (Commission on Gov't Forecasting and Accountability)
 Senate Bill 222 would have a fiscal impact, as it requires the Fund to reimburse retirees for 75% of the cost of health insurance, rather than up to 75%. In addition, the bill removes the Fund's current $65 million annual spending authorization for health insurance. Taken together, these changes may increase the amount paid by the Fund for retiree health insurance. This in turn will decrease the amount of assets held by the Fund for pension benefits and will require larger employer contributions in the future. It should be noted that the State is required to contribute 0.544% of payroll in years when the funded ratio of the Chicago Teachers' Pension Fund falls below 90%. The Fund has fallen below 90%, and current statute calls for the State to contribute $9.9 million to the Fund in FY 2006. As the amount of State contribution depends only on the size of payroll, increasing benefits (health insurance or retirement) does not increase the amount of the State contribution. But, if benefit increases (health insurance or retirement) cause the funded ratio of the Fund to be less than 90% in years when it otherwise would be above 90%, the State contribution of 0.544% of payroll would be triggered.

Actions 
DateChamber Action
  2/2/2005SenateFiled with Secretary by Sen. John J. Cullerton
  2/2/2005SenateFirst Reading
  2/2/2005SenateReferred to Rules
  2/17/2005SenateAssigned to Pensions & Investments
  3/2/2005SenatePostponed - Pensions & Investments
  3/9/2005SenatePostponed - Pensions & Investments
  3/11/2005SenatePension Note Filed from the Commission on Government Forecasting and Accountability.
  3/16/2005SenatePostponed - Pensions & Investments
  3/18/2005SenateRule 3-9(a) / Re-referred to Rules
  1/9/2007SenateSession Sine Die

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