Sen. Donne E. Trotter

Filed: 4/30/2015

 

 


 

 


 
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1
AMENDMENT TO SENATE BILL 1235

2    AMENDMENT NO. ______. Amend Senate Bill 1235 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The Illinois Pension Code is amended by
5changing 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
8for the partial reimbursement of health insurance costs.
9    (1) On the first day of September of each year, beginning
10in 1988, the Board may, by separate warrant, pay to each
11recipient of a service retirement, disability retirement or
12survivor's pension an amount to be determined by the Board,
13which shall represent partial reimbursement for the cost of the
14recipient'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

 

 

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1deduction plans, the Fund may pay the health insurance premium
2reimbursement on a monthly rather than annual basis, at the
3percentage rate established from time to time by the Board. If
4the Board so directs, these monthly payments may be made in the
5form of a direct payment of premium and a reduction in the
6amount deducted from the annuity, rather than in the form of
7reimbursement by separate warrant.
8    (3) Total payments under this Section in any year may not
9exceed $65,000,000 plus any amount that was authorized to be
10paid under this Section in the preceding year but was not
11actually paid by the Board, including any interest earned
12thereon.
13    (4) The total amount of payments under this Section in any
14year may not exceed 75% of the total cost of health insurance
15coverage in that year for all the recipients who receive
16payments authorized by this Section in that year.
17    (5) There is hereby created the Chicago Teachers' Pension
18Fund Health Insurance Task Force. The Task Force shall consist
19of 11 members appointed as follows:
20        (a) Eight members, 2 of whom shall be appointed by each
21    of the 4 legislative leaders.
22        (b) One member, who shall be appointed by the board of
23    trustees of the Fund.
24        (c) One member, who shall be appointed by the executive
25    director of the Retired Teachers Association of Chicago.
26        (d) One member, who shall be appointed by the president

 

 

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1    of the Chicago Teachers Union.
2    The Task force shall study and consider the program of
3health insurance coverage for pensioners that is currently
4administered by the Fund, and shall present its findings and
5recommendations concerning the following specified matters:
6        (i) the need for increasing the $65,000,000 limitation
7    on annual payments under subsection (3) of this Section;
8        (ii) moving the administration of the retiree health
9    plan to another appropriate public or private entity;
10        (iii) suggestions for an exit strategy and transition;
11        (iv) consideration of alternative funding mechanisms;
12    and
13        (v) consideration of the proper role of fiduciaries in
14    administering the health insurance program.
15    Members of the Task Force shall serve without compensation.
16The Fund shall provide a meeting place and clerical support for
17the Task Force.
18    The Task Force shall present a final report of its findings
19and recommendations to the Governor of Illinois, the Mayor of
20Chicago, the Illinois General Assembly, and the Illinois State
21Library no later than January 31, 2016. Upon the filing of its
22report and the conclusion of its business, the Task Force is
23abolished.
24(Source: P.A. 93-677, eff. 6-28-04.)
 
25    Section 99. Effective date. This Act takes effect upon

 

 

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1becoming law.".