093_SB0014sam001 LRB093 03003 EFG 12383 a 1 AMENDMENT TO SENATE BILL 14 2 AMENDMENT NO. . Amend Senate Bill 14 by replacing 3 everything after the enacting clause with the following: 4 "Section 5. The Illinois Pension Code is amended by 5 changing Section 2-119.1 as follows: 6 (40 ILCS 5/2-119.1) (from Ch. 108 1/2, par. 2-119.1) 7 Sec. 2-119.1. Automatic increase in retirement annuity. 8 (a) A participant who retires after June 30, 1967, and 9 who has not received an initial increase under this Section 10 before the effective date of this amendatory Act of 1991, 11 shall, in January or July next following the first 12 anniversary of retirement, whichever occurs first, and in the 13 same month of each year thereafter, but in no event prior to 14 age 60, have the amount of the originally granted retirement 15 annuity increased as follows: for each year through 1971, 1 16 1/2%; for each year from 1972 through 1979, 2%; and for 1980 17 and each year thereafter, 3%. Annuitants who have received 18 an initial increase under this subsection prior to the 19 effective date of this amendatory Act of 1991 shall continue 20 to receive their annual increases in the same month as the 21 initial increase. 22 (b) Beginning January 1, 1990, for eligible participants -2- LRB093 03003 EFG 12383 a 1 who remain in service after attaining 20 years of creditable 2 service, the 3% increases provided under subsection (a) shall 3 begin to accrue on the January 1 next following the date upon 4 which the participant (1) attains age 55, or (2) attains 20 5 years of creditable service, whichever occurs later, and 6 shall continue to accrue while the participant remains in 7 service; such increases shall become payable on January 1 or 8 July 1, whichever occurs first, next following the first 9 anniversary of retirement. For any person who has service 10 credit in the System for the entire period from January 15, 11 1969 through December 31, 1992, regardless of the date of 12 termination of service, the reference to age 55 in clause (1) 13 of this subsection (b) shall be deemed to mean age 50. 14 This subsection (b) does not apply to any person who 15 first becomes a member of the System after the effective date 16 of this amendatory Act of the 93rd General Assembly. 17 (c) The foregoing provisions relating to automatic 18 increases are not applicable to a participant who retires 19 before having made contributions (at the rate prescribed in 20 Section 2-126) for automatic increases for less than the 21 equivalent of one full year. However, in order to be 22 eligible for the automatic increases, such a participant may 23 make arrangements to pay to the system the amount required to 24 bring the total contributions for the automatic increase to 25 the equivalent of one year's contributions based upon his or 26 her last salary. 27 (d) A participant who terminated service prior to July 28 1, 1967, with at least 14 years of service is entitled to an 29 increase in retirement annuity beginning January, 1976, and 30 to additional increases in January of each year thereafter. 31 The initial increase shall be 1 1/2% of the originally 32 granted retirement annuity multiplied by the number of full 33 years that the annuitant was in receipt of such annuity 34 prior to January 1, 1972, plus 2% of the originally granted -3- LRB093 03003 EFG 12383 a 1 retirement annuity for each year after that date. The 2 subsequent annual increases shall be at the rate of 2% of the 3 originally granted retirement annuity for each year through 4 1979 and at the rate of 3% for 1980 and thereafter. 5 (e) Beginning January 1, 1990, all automatic annual 6 increases payable under this Section shall be calculated as a 7 percentage of the total annuity payable at the time of the 8 increase, including previous increases granted under this 9 Article. 10 (Source: P.A. 86-273; 87-794; 87-1265.) 11 Section 99. Effective date. This Act takes effect upon 12 becoming law.".