SB2156sam001 99TH GENERAL ASSEMBLY

Sen. Bill Cunningham

Filed: 9/9/2015

09900SB2156sam001 LRB099 13062 RPS 38312 a

AMENDMENT TO SENATE BILL 2156

AMENDMENT NO. ______. Amend Senate Bill 2156 by replacing everything after the enacting clause with the following:

"Section 5. The Illinois Pension Code is amended by changing Section 15-110 as follows:

(40 ILCS 5/15-110) (from Ch. 108 1/2, par. 15-110)

Sec. 15-110. Basic compensation. "Basic compensation":

(a) For an employee who first became a participant before the effective date of this amendatory Act of the 99th General Assembly, the The gross basic rate of salary or wages payable by an employer, including the value of maintenance, board, living quarters, personal laundry, or other allowances furnished in lieu of salary which are considered gross income under the federal Federal Internal Revenue Code, the employee contributions required under Section 15-157, and the amount paid by any employer to a custodial account for investment in regulated investment company stocks for the benefit of the employee pursuant to the University Employees Custodial Accounts Act "An Act in relation to payments to custodial accounts for the benefit of employees of public institutions of higher education", approved September 9, 1983, and the amount of the premium payable by any employer to an insurance company or companies on an annuity contract, pursuant to the employee's election to accept a reduction in earnings or forego an increase in earnings under Section 30c of the State Finance Act "An Act in relation to State Finance," approved June 10, 1919, as amended, or a tax-sheltered annuity plan approved by any employer. For an employee who first became a participant before the effective date of this amendatory Act of the 99th General Assembly, basic Basic compensation does not include (1) salary or wages for overtime or other extra service; (2) prospective salary or wages under a summer teaching contract not yet entered upon; and (3) overseas differential allowances, quarters allowances, post allowances, educational allowances and transportation allowances paid by an employer under a contract with the federal government or its agencies for services rendered in other countries. If an employee who first became a participant before the effective date of this amendatory Act of the 99th General Assembly elects to receive in lieu of cash salary or wages, fringe benefits which are not taxable under the Federal Internal Revenue Code, the amount of the cash salary or wages which is waived shall be included in determining basic compensation.

(b) For an employee who first becomes a participant on or after the effective date of this amendatory Act of the 99th General Assembly, the gross basic rate of salary or wages payable by an employer, the employee contributions required under Section 15-157, the amount paid by any employer to a custodial account for investment in regulated investment company stocks for the benefit of the employee pursuant to the University Employees Custodial Accounts Act, and the amount of the premium payable by any employer to an insurance company or companies on an annuity contract, pursuant to the employee's election to accept a reduction in earnings or forego an increase in earnings under Section 30c of the State Finance Act, or a tax-sheltered annuity plan approved by any employer. For an employee who first becomes a participant on or after the effective date of this amendatory Act of the 99th General Assembly, basic compensation does not include (1) salary or wages for overtime or other extra service; (2) prospective salary or wages under a summer teaching contract not yet entered upon; (3) overseas differential allowances, quarters allowances, post allowances, educational allowances and transportation allowances paid by an employer under a contract with the federal government or its agencies for services rendered in other countries; and (4) the value of maintenance, board, living quarters, personal laundry, or other allowances furnished in lieu of salary which are considered gross income under the federal Internal Revenue Code. If an employee who first becomes a participant on or after the effective date of this amendatory Act of the 99th General Assembly elects to receive in lieu of cash salary or wages, fringe benefits which are not taxable under the federal Internal Revenue Code, the amount of the cash salary or wages which is waived shall not be included in determining basic compensation.

(Source: P.A. 84-1308.)".