99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
HB3496

 

Introduced , by Rep. Kelly Burke

 

SYNOPSIS AS INTRODUCED:
 
40 ILCS 5/6-229

    Amends the Chicago Firefighter Article of the Illinois Pension Code. In a Section relating to a person who first becomes a fireman on or after January 1, 2011, provides for payment of an ordinary death benefit. Effective immediately.


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FISCAL NOTE ACT MAY APPLY
PENSION IMPACT NOTE ACT MAY APPLY

 

 

A BILL FOR

 

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1    AN ACT concerning public employee benefits.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Pension Code is amended by changing
5Section 6-229 as follows:
 
6    (40 ILCS 5/6-229)
7    Sec. 6-229. Provisions applicable to new hires.
8    (a) Notwithstanding any other provision of this Article,
9the provisions of this Section apply to a person who first
10becomes a fireman under this Article on or after January 1,
112011.
12    (b) A fireman age 55 or more who has 10 or more years of
13service in that capacity shall be entitled at his or her option
14to receive a monthly retirement annuity for his or her service
15as a fireman computed by multiplying 2.5% for each year of such
16service by his or her final average salary.
17    The retirement annuity of a fireman who is retiring after
18attaining age 50 with 10 or more years of creditable service
19shall be reduced by one-half of 1% for each month that the
20fireman's age is under age 55.
21    The maximum retirement annuity under this subsection (b)
22shall be 75% of final average salary.
23    For the purposes of this subsection (b), "final average

 

 

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1salary" means the average monthly salary obtained by dividing
2the total salary of the fireman during the 96 consecutive
3months of service within the last 120 months of service in
4which the total salary was the highest by the number of months
5of service in that period.
6    Beginning on January 1, 2011, for all purposes under this
7Code (including without limitation the calculation of benefits
8and employee contributions), the annual salary based on the
9plan year of a member or participant to whom this Section
10applies shall not exceed $106,800; however, that amount shall
11annually thereafter be increased by the lesser of (i) 3% of
12that amount, including all previous adjustments, or (ii)
13one-half the annual unadjusted percentage increase (but not
14less than zero) in the consumer price index-u for the 12 months
15ending with the September preceding each November 1, including
16all previous adjustments.
17    (b-5) An ordinary death benefit shall be payable on account
18of the death of any fireman who first becomes a fireman under
19this Article on or after January 1, 2011, and this death
20benefit shall be payable upon the death of the fireman pursuant
21to the provisions of Section 6-150; except that for purposes of
22this Section 6-229, the first clause of subdivision (a)(5) of
23Section 6-150 shall be deemed to include, in addition to the
24annuities specified in that subdivision, any other annuity or
25pension governed by subsection (b) of this Section that the
26fireman was in receipt of at the time of his or her death.

 

 

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1    (c) Notwithstanding any other provision of this Article,
2for a person who first becomes a fireman under this Article on
3or after January 1, 2011, the annuity to which the surviving
4spouse, children, or parents are entitled under this subsection
5(c) shall be in the amount of 66 2/3% of the fireman's earned
6pension at the date of death.
7    Notwithstanding any other provision of this Article, the
8monthly annuity of a survivor of a person who first becomes a
9fireman under this Article on or after January 1, 2011 shall be
10increased on the January 1 after attainment of age 60 by the
11recipient of the survivor's pension and each January 1
12thereafter by 3% or one-half the annual unadjusted percentage
13increase in the consumer price index-u for the 12 months ending
14with September preceding each November 1, whichever is less, of
15the originally granted survivor's annuity. If the annual
16unadjusted percentage change in the consumer price index-u for
17a 12-month period ending in September is zero or, when compared
18with the preceding period, decreases, then the annuity shall
19not be increased.
20(Source: P.A. 96-1495, eff. 1-1-11.)
 
21    Section 99. Effective date. This Act takes effect upon
22becoming law.