94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006
SB0222

 

Introduced 2/2/2005, by Sen. John J. Cullerton

 

SYNOPSIS AS INTRODUCED:
 
40 ILCS 5/17-142.1   from Ch. 108 1/2, par. 17-142.1

    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.


LRB094 05057 AMC 35093 b

PENSION IMPACT NOTE ACT MAY APPLY

 

 

A BILL FOR

 

SB0222 LRB094 05057 AMC 35093 b

1     AN ACT concerning 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 changing
5 Section 17-142.1 as follows:
 
6     (40 ILCS 5/17-142.1)  (from Ch. 108 1/2, par. 17-142.1)
7     Sec. 17-142.1. To defray health insurance costs. To provide
8 for the partial reimbursement of health insurance costs.
9     (1) On the first day of September of each year, beginning
10 in 1988, the Board may, by separate warrant, pay to each
11 recipient of a service retirement, disability retirement or
12 survivor's pension an amount to be determined by the Board,
13 which shall represent partial reimbursement of 75% of for the
14 cost of the recipient's health insurance coverage.
15     (2) In lieu of the annual payment authorized in subdivision
16 (1), for pensioners enrolled in the Fund's regular health care
17 deduction plans, the Fund may pay the health insurance premium
18 reimbursement on a monthly rather than annual basis, at the
19 percentage rate established from time to time by the Board. If
20 the Board so directs, these monthly payments may be made in the
21 form of a direct payment of premium and a reduction in the
22 amount deducted from the annuity, rather than in the form of
23 reimbursement by separate warrant.
24     (3) Total payments under this Section in any year may not
25 exceed $65,000,000 plus any amount that was authorized to be
26 paid under this Section in the preceding year but was not
27 actually paid by the Board, including any interest earned
28 thereon.
29     (4) The total amount of payments under this Section in any
30 year may not exceed 75% of the total cost of health insurance
31 coverage in that year for all the recipients who receive
32 payments authorized by this Section in that year.

 

 

SB0222 - 2 - LRB094 05057 AMC 35093 b

1 (Source: P.A. 93-677, eff. 6-28-04.)
 
2     Section 99. Effective date. This Act takes effect upon
3 becoming law.