Illinois General Assembly - Full Text of HB5549
Illinois General Assembly

Previous General Assemblies

Full Text of HB5549  95th General Assembly

HB5549 95TH GENERAL ASSEMBLY


 


 
95TH GENERAL ASSEMBLY
State of Illinois
2007 and 2008
HB5549

 

Introduced , by Rep. Joseph M. Lyons

 

SYNOPSIS AS INTRODUCED:
 
40 ILCS 5/6-164  from Ch. 108 1/2, par. 6-164
30 ILCS 805/8.32 new

    Amends the Chicago Firefighter Article of the Illinois Pension Code. Provides for an annual increase in a retirement annuity at age 55 if the fireman was born before January 1, 1965 (was, before January 1, 1955). Compounds the automatic annual increase in a retirement annuity at age 65. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately.


LRB095 18200 AMC 44283 b

FISCAL NOTE ACT MAY APPLY
PENSION IMPACT NOTE ACT MAY APPLY
STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT

 

 

A BILL FOR

 

HB5549 LRB095 18200 AMC 44283 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 6-164 as follows:
 
6     (40 ILCS 5/6-164)   (from Ch. 108 1/2, par. 6-164)
7     Sec. 6-164. Automatic annual increase; retirement after
8 September 1, 1959.
9     (a) A fireman qualifying for a minimum annuity who retires
10 from service after September 1, 1959 shall, upon either the
11 first of the month following the first anniversary of his date
12 of retirement if he is age 60 (age 55 if born before January 1,
13 1965 1955) or over on that anniversary date, or upon the first
14 of the month following his attainment of age 60 (age 55 if born
15 before January 1, 1965 1955) if that occurs after the first
16 anniversary of his retirement date, have his then fixed and
17 payable monthly annuity increased by 1 1/2%, and such first
18 fixed annuity as granted at retirement increased by an
19 additional 1 1/2% in January of each year thereafter up to a
20 maximum increase of 30%. Beginning July 1, 1982 for firemen
21 born before January 1, 1930, and beginning January 1, 1990 for
22 firemen born after December 31, 1929 and before January 1,
23 1940, and beginning January 1, 1996 for firemen born after

 

 

HB5549 - 2 - LRB095 18200 AMC 44283 b

1 December 31, 1939 but before January 1, 1945, and beginning
2 January 1, 2004, for firemen born after December 31, 1944 but
3 before January 1, 1955, and beginning January 1, 2009 for
4 firemen born after December 31, 1954 but before January 1,
5 1965, such increases shall be 3% and such firemen shall not be
6 subject to the 30% maximum increase.
7     Any fireman born before January 1, 1945 who qualifies for a
8 minimum annuity and retires after September 1, 1967 but has not
9 received the initial increase under this subsection before
10 January 1, 1996 is entitled to receive the initial increase
11 under this subsection on (1) January 1, 1996, (2) the first
12 anniversary of the date of retirement, or (3) attainment of age
13 55, whichever occurs last. The changes to this Section made by
14 this amendatory Act of 1995 apply beginning January 1, 1996 and
15 apply without regard to whether the fireman or annuitant
16 terminated service before the effective date of this amendatory
17 Act of 1995.
18     Any fireman born before January 1, 1955 who qualifies for a
19 minimum annuity and retires after September 1, 1967 but has not
20 received the initial increase under this subsection before
21 January 1, 2004 is entitled to receive the initial increase
22 under this subsection on (1) January 1, 2004, (2) the first
23 anniversary of the date of retirement, or (3) attainment of age
24 55, whichever occurs last. The changes to this Section made by
25 this amendatory Act of the 93rd General Assembly apply without
26 regard to whether the fireman or annuitant terminated service

 

 

HB5549 - 3 - LRB095 18200 AMC 44283 b

1 before the effective date of this amendatory Act.
2     Any fireman born before January 1, 1965 who qualifies for a
3 minimum annuity and retires after September 1, 1967 but has not
4 received the initial increase under this subsection before
5 January 1, 2009 is entitled to receive the initial increase
6 under this subsection on (1) January 1, 2009, (2) the first
7 anniversary of the date of retirement, or (3) attainment of age
8 55, whichever occurs last. The changes to this Section made by
9 this amendatory Act of the 95th General Assembly apply without
10 regard to whether the fireman or annuitant terminated service
11 before the effective date of this amendatory Act.
12     Beginning January 1, 2009, the increases provided under
13 this subsection (a) for a fireman who is age 65 or older shall
14 be 3% of the total amount of annuity payable at the time of the
15 increase, including any previous increases granted under this
16 Article.
17     (b) Subsection (a) of this Section is not applicable to an
18 employee receiving a term annuity.
19     (c) To help defray the cost of such increases in annuity,
20 there shall be deducted, beginning September 1, 1959, from each
21 payment of salary to a fireman, 1/8 of 1% of each such salary
22 payment and an additional 1/8 of 1% beginning on September 1,
23 1961, and September 1, 1963, respectively, concurrently with
24 and in addition to the salary deductions otherwise made for
25 annuity purposes.
26     Each such additional 1/8 of 1% deduction from salary which

 

 

HB5549 - 4 - LRB095 18200 AMC 44283 b

1 shall, on September 1, 1963, result in a total increase of 3/8
2 of 1% of salary, shall be credited to the Automatic Increase
3 Reserve, to be used, together with city contributions as
4 provided in this Article, to defray the cost of the 1 1/2%
5 annuity increments herein specified. Any balance in such
6 reserve as of the beginning of each calendar year shall be
7 credited with interest at the rate of 3% per annum.
8     The salary deductions provided in this Section are not
9 subject to refund, except to the fireman himself, in any case
10 in which a fireman withdraws prior to qualification for minimum
11 annuity and applies for refund, or applies for annuity, and
12 also where a term annuity becomes payable. In such cases, the
13 total of such salary deductions shall be refunded to the
14 fireman, without interest, and charged to the aforementioned
15 reserve.
16 (Source: P.A. 93-654, eff. 1-16-04.)
 
17     Section 90. The State Mandates Act is amended by adding
18 Section 8.32 as follows:
 
19     (30 ILCS 805/8.32 new)
20     Sec. 8.32. Exempt mandate. Notwithstanding Sections 6 and 8
21 of this Act, no reimbursement by the State is required for the
22 implementation of any mandate created by this amendatory Act of
23 the 95th General Assembly.
 
24     Section 99. Effective date. This Act takes effect upon

 

 

HB5549 - 5 - LRB095 18200 AMC 44283 b

1 becoming law.