Full Text of SB2520 95th General Assembly
SB2520ham002 95TH GENERAL ASSEMBLY
|
Rep. Angelo Saviano
Filed: 5/28/2008
|
|
09500SB2520ham002 |
|
LRB095 17536 AMC 51623 a |
|
| 1 |
| AMENDMENT TO SENATE BILL 2520
| 2 |
| AMENDMENT NO. ______. Amend Senate Bill 2520, AS AMENDED, | 3 |
| with reference to page and line numbers of House Amendment No. | 4 |
| 1, on page 1, line 5, by replacing "4-109.3," with "4-107, | 5 |
| 4-108, 4-109.3, 4-118,"; and
| 6 |
| on page 3, immediately below line 12, by inserting the | 7 |
| following:
| 8 |
| "(40 ILCS 5/4-107) (from Ch. 108 1/2, par. 4-107)
| 9 |
| Sec. 4-107. Qualifications.
| 10 |
| (a) A firefighter who has not contributed to the fund | 11 |
| during the entire
period of service, to be entitled to the | 12 |
| benefits of this Article, must
contribute to the fund the | 13 |
| amount he or she would have paid had deductions
been made from | 14 |
| his or her salary during the entire period of his or her
| 15 |
| creditable service.
| 16 |
| (b) Any person appointed as a firefighter in a municipality |
|
|
|
09500SB2520ham002 |
- 2 - |
LRB095 17536 AMC 51623 a |
|
| 1 |
| shall, within
3 months after receiving his or her first | 2 |
| appointment and within 3 months
after any reappointment make | 3 |
| written application to the board to come under
the provisions | 4 |
| of this Article.
| 5 |
| (c) A person otherwise qualified to participate who was | 6 |
| excluded from
participation by reason of the age or fitness | 7 |
| requirements removed by this
amendatory Act of 1995 may elect | 8 |
| to participate by making a written application
to the Board | 9 |
| before July 1, 1996. Persons so electing shall begin
| 10 |
| participation on the first day of the month following the month | 11 |
| in which the
application is received by the Board. These | 12 |
| persons may also elect to
establish creditable service for | 13 |
| periods of employment as a firefighter during
which they did | 14 |
| not participate by paying into the pension fund, before January
| 15 |
| 1, 1997, the amount that the person would have contributed had | 16 |
| deductions from
salary been made for this purpose at the time | 17 |
| the service was rendered,
together with interest thereon at 6% | 18 |
| per annum, compounded annually, from the
time the service was | 19 |
| rendered until the date of payment.
| 20 |
| (d) A person described in subsection (h) of Section 15-107 | 21 |
| shall not
participate in any pension fund established under | 22 |
| this Article with respect
to employment for which he or she is | 23 |
| a participating employee in the State
Universities Retirement | 24 |
| System.
| 25 |
| (e) A person qualified to participate in a pension fund | 26 |
| established pursuant to this Article who was mandatorily |
|
|
|
09500SB2520ham002 |
- 3 - |
LRB095 17536 AMC 51623 a |
|
| 1 |
| retired at age 65 pursuant to applicable law without having | 2 |
| obtained 20 years of creditable service and who applies in | 3 |
| writing to the fund within 6 months after the effective date of | 4 |
| this amendatory Act of the 95th General Assembly may establish | 5 |
| up to 5 years of creditable service for periods of employment | 6 |
| under this Article for which creditable service is not | 7 |
| otherwise established by contributing into the pension fund the | 8 |
| amount that the firefighter would have contributed had | 9 |
| deductions from salary been made for this purpose. The amount | 10 |
| contributed by the firefighter shall also include interest | 11 |
| thereon at the actuarially assumed rate, compounded annually, | 12 |
| from the time the service was rendered until the date of | 13 |
| payment. | 14 |
| A firefighter electing to establish creditable service | 15 |
| pursuant to this subsection (e) shall receive an adjustment to | 16 |
| his or her monthly pension pursuant to Section 4-109. | 17 |
| (Source: P.A. 89-52, eff. 6-30-95; 90-576, eff. 3-31-98.)
| 18 |
| (40 ILCS 5/4-108) (from Ch. 108 1/2, par. 4-108)
| 19 |
| Sec. 4-108. Creditable service.
| 20 |
| (a) Creditable service is the time served as a firefighter | 21 |
| of a
municipality. In computing creditable service, furloughs | 22 |
| and leaves of
absence without pay exceeding 30 days in any one | 23 |
| year shall not be counted,
but leaves of absence for illness or | 24 |
| accident regardless of length, and
periods of disability for | 25 |
| which a firefighter received no disability
pension payments |
|
|
|
09500SB2520ham002 |
- 4 - |
LRB095 17536 AMC 51623 a |
|
| 1 |
| under this Article, shall be counted.
| 2 |
| (b) Furloughs and leaves of absence of 30 days or less in | 3 |
| any one year may
be counted as creditable service, if the | 4 |
| firefighter makes the contribution
to the fund that would have | 5 |
| been required had he or she not been
on furlough or leave of | 6 |
| absence. To qualify for this creditable service,
the | 7 |
| firefighter must pay the required contributions to the fund not | 8 |
| more
than 90 days subsequent to the termination of the furlough | 9 |
| or leave of
absence, to the extent that the municipality has | 10 |
| not made such contribution
on his or her behalf.
| 11 |
| (c) Creditable service includes:
| 12 |
| (1) Service in the military, naval or air forces of the
| 13 |
| United States entered upon when the person was an active
| 14 |
| firefighter, provided
that, upon applying for a permanent | 15 |
| pension, and in accordance with the
rules of the board the | 16 |
| firefighter pays into the fund the amount that would
have | 17 |
| been contributed had he or she been a regular contributor | 18 |
| during such
period of service, if and to the extent that | 19 |
| the municipality which the
firefighter served made no such | 20 |
| contributions in his or her behalf. The
total amount of | 21 |
| such creditable service shall not exceed 5 years, except
| 22 |
| that any firefighter who on July 1, 1973 had more than 5 | 23 |
| years of such
creditable service shall receive the total | 24 |
| amount thereof as of that date.
| 25 |
| (1.5) Up to 24 months of service in the military, | 26 |
| naval, or air forces of the United States that was served |
|
|
|
09500SB2520ham002 |
- 5 - |
LRB095 17536 AMC 51623 a |
|
| 1 |
| prior to employment by a municipality or fire protection | 2 |
| district as a firefighter. To receive the credit for the | 3 |
| military service prior to the employment as a firefighter, | 4 |
| the firefighter must apply in writing to the fund within 6 | 5 |
| months after the effective date of this amendatory Act of | 6 |
| the 95th General Assembly and must make contributions to | 7 |
| the fund equal to (i) the employee contributions that would | 8 |
| have been required had the service been rendered as a | 9 |
| member, plus (ii) an amount determined by the fund to be | 10 |
| equal to the employer's normal cost of the benefits accrued | 11 |
| for that military service, plus (iii) interest at the | 12 |
| actuarially assumed rate, compounded annually, from the | 13 |
| first date of membership in the fund to the date of payment | 14 |
| on items (i) and (ii). The changes to this paragraph (1.5) | 15 |
| by this amendatory Act of the 95th General Assembly apply | 16 |
| only to participating employees in service on or after its | 17 |
| effective date.
| 18 |
| (2) Service prior to July 1, 1976 by a firefighter | 19 |
| initially excluded
from participation by reason of age who | 20 |
| elected to participate and paid
the required contributions | 21 |
| for such service.
| 22 |
| (3) Up to 8 years of service by a firefighter as an | 23 |
| officer in a statewide
firefighters' association when he is | 24 |
| on a leave of absence from a
municipality's payroll, | 25 |
| provided that (i) the firefighter has at least 10
years of | 26 |
| creditable service as an active firefighter, (ii) the |
|
|
|
09500SB2520ham002 |
- 6 - |
LRB095 17536 AMC 51623 a |
|
| 1 |
| firefighter
contributes to the fund the amount that he | 2 |
| would have contributed had he
remained an active member of | 3 |
| the fund, and (iii) the employee or statewide
firefighter | 4 |
| association contributes to the fund an amount equal to the
| 5 |
| employer's required contribution as determined by the | 6 |
| board.
| 7 |
| (4) Time spent as an on-call fireman for a | 8 |
| municipality,
calculated at the rate of one year of | 9 |
| creditable service for each 5 years
of time spent as an | 10 |
| on-call fireman, provided that (i) the firefighter has
at | 11 |
| least 18 years of creditable service as an active | 12 |
| firefighter, (ii) the
firefighter spent at least 14 years | 13 |
| as an on-call firefighter for the
municipality, (iii) the | 14 |
| firefighter applies for such creditable service
within 30 | 15 |
| days after the effective date of this amendatory Act of | 16 |
| 1989,
(iv) the firefighter contributes to the Fund an | 17 |
| amount representing
employee contributions for the number | 18 |
| of years of creditable service
granted under this | 19 |
| subdivision (4), based on the salary and contribution
rate | 20 |
| in effect for the firefighter at the date of entry into the | 21 |
| Fund, to
be determined by the board, and (v) not more than | 22 |
| 3 years of creditable
service may be granted under this | 23 |
| subdivision (4).
| 24 |
| Except as provided in Section 4-108.5, creditable | 25 |
| service shall not
include time
spent as a volunteer | 26 |
| firefighter, whether or not any compensation was received
|
|
|
|
09500SB2520ham002 |
- 7 - |
LRB095 17536 AMC 51623 a |
|
| 1 |
| therefor. The change made in this Section by Public Act | 2 |
| 83-0463 is intended
to be a restatement and clarification | 3 |
| of existing law, and does not imply
that creditable service | 4 |
| was previously allowed under this Article for time
spent as | 5 |
| a volunteer firefighter.
| 6 |
| (5) Time served between July 1, 1976 and July 1, 1988 | 7 |
| in
the position of protective inspection officer or | 8 |
| administrative assistant
for fire services, for a | 9 |
| municipality with a population under 10,000 that is
located | 10 |
| in a county with a population over 3,000,000 and that | 11 |
| maintains a
firefighters' pension fund under this Article, | 12 |
| if the position included
firefighting duties, | 13 |
| notwithstanding that the person may not have held an
| 14 |
| appointment as a firefighter, provided that application is | 15 |
| made to the
pension fund within 30 days after the effective | 16 |
| date of this amendatory Act
of 1991, and the corresponding | 17 |
| contributions are paid for the number of
years of service | 18 |
| granted, based upon the salary and contribution rate in
| 19 |
| effect for the firefighter at the date of entry into the | 20 |
| pension fund, as
determined by the Board.
| 21 |
| (6) Service before becoming a participant by a | 22 |
| firefighter initially
excluded from participation by | 23 |
| reason of age who becomes a participant
under the amendment | 24 |
| to Section 4-107 made by this amendatory Act of 1993 and
| 25 |
| pays the required contributions for such service.
| 26 |
| (7) Up to 3 years of time during which the firefighter |
|
|
|
09500SB2520ham002 |
- 8 - |
LRB095 17536 AMC 51623 a |
|
| 1 |
| receives a
disability pension under Section 4-110, | 2 |
| 4-110.1, or 4-111, provided that (i)
the firefighter | 3 |
| returns to active service after the disability for a period | 4 |
| at
least equal to the period for which credit is to be | 5 |
| established and (ii) the
firefighter makes contributions | 6 |
| to the fund based on the rates specified in
Section 4-118.1 | 7 |
| and the salary upon which the disability pension is based.
| 8 |
| These contributions may be paid at any time prior to the | 9 |
| commencement of a
retirement pension. The firefighter may, | 10 |
| but need not, elect to have the
contributions deducted from | 11 |
| the disability pension or to pay them in
installments on a | 12 |
| schedule approved by the board. If not deducted from the
| 13 |
| disability pension, the contributions
shall include | 14 |
| interest at the rate of 6% per year, compounded annually, | 15 |
| from
the date for which service credit is being established | 16 |
| to the date of payment.
If contributions are paid under | 17 |
| this subdivision (c)(7) in excess of those
needed to | 18 |
| establish the credit, the excess shall be refunded. This
| 19 |
| subdivision (c)(7) applies to persons receiving a | 20 |
| disability pension under
Section 4-110, 4-110.1, or 4-111 | 21 |
| on the effective date of this amendatory Act
of the 91st | 22 |
| General Assembly, as well as persons who begin to receive | 23 |
| such a
disability pension after that date.
| 24 |
| (Source: P.A. 94-856, eff. 6-15-06.)"; and
| 25 |
| on page 10, immediately below line 16, by inserting the |
|
|
|
09500SB2520ham002 |
- 9 - |
LRB095 17536 AMC 51623 a |
|
| 1 |
| following:
| 2 |
| "(40 ILCS 5/4-118) (from Ch. 108 1/2, par. 4-118)
| 3 |
| Sec. 4-118. Financing.
| 4 |
| (a) The city council or the board of trustees
of the | 5 |
| municipality shall annually levy a tax upon all the taxable | 6 |
| property
of the municipality at the rate on the dollar which | 7 |
| will produce an amount
which, when added to the deductions from | 8 |
| the salaries or wages of
firefighters and revenues available | 9 |
| from other sources, will equal a sum
sufficient to meet the | 10 |
| annual actuarial requirements of the pension fund,
as | 11 |
| determined by an enrolled actuary employed by the Illinois | 12 |
| Department of
Insurance or by an enrolled actuary retained by | 13 |
| the pension fund or
municipality. For the purposes of this | 14 |
| Section, the annual actuarial
requirements of the pension fund | 15 |
| are equal to (1) the normal cost of the
pension fund, or 17.5% | 16 |
| of the salaries and wages to be paid to firefighters
for the | 17 |
| year involved, whichever is greater, plus (2) the annual amount
| 18 |
| necessary to amortize the fund's unfunded accrued liabilities | 19 |
| over a period
of 40 years from July 1, 1993, as annually | 20 |
| updated and determined by an
enrolled actuary employed by the | 21 |
| Illinois Department of Insurance or by an
enrolled actuary | 22 |
| retained by the pension fund or the municipality. The amount
to | 23 |
| be applied towards the amortization of the unfunded accrued | 24 |
| liability in any
year shall not be less than the annual amount | 25 |
| required to amortize the unfunded
accrued liability, including |
|
|
|
09500SB2520ham002 |
- 10 - |
LRB095 17536 AMC 51623 a |
|
| 1 |
| interest, as a level percentage of payroll over
the number of | 2 |
| years remaining in the 40 year amortization period.
| 3 |
| (b) The tax shall be levied and collected in the same | 4 |
| manner
as the general taxes of the municipality, and shall be | 5 |
| in addition
to all other taxes now or hereafter authorized to | 6 |
| be levied upon all
property within the municipality, and in | 7 |
| addition to the amount authorized
to be levied for general | 8 |
| purposes, under Section 8-3-1 of the Illinois
Municipal Code or | 9 |
| under Section 14 of the Fire Protection District Act. The
tax | 10 |
| shall be forwarded directly to the treasurer of the board | 11 |
| within 30
business days of receipt by the county
(or, in the | 12 |
| case of amounts
added to the tax levy under subsection (f), | 13 |
| used by the municipality to pay the
employer contributions | 14 |
| required under subsection (b-1) of Section 15-155 of
this | 15 |
| Code).
| 16 |
| (c) The board shall make available to the membership and | 17 |
| the general public
for inspection and copying at reasonable | 18 |
| times the most recent Actuarial
Valuation Balance Sheet and Tax | 19 |
| Levy Requirement issued to the fund by the
Department of | 20 |
| Insurance.
| 21 |
| (d) The firefighters' pension fund shall consist of the | 22 |
| following moneys
which shall be set apart by the treasurer of | 23 |
| the municipality: (1) all
moneys derived from the taxes levied | 24 |
| hereunder; (2) contributions
by firefighters as provided under | 25 |
| Section 4-118.1; (3) all
rewards in money, fees, gifts, and | 26 |
| emoluments that may be paid or given
for or on account of |
|
|
|
09500SB2520ham002 |
- 11 - |
LRB095 17536 AMC 51623 a |
|
| 1 |
| extraordinary service by the fire department or any
member | 2 |
| thereof, except when allowed to be retained by competitive | 3 |
| awards;
and (4) any money, real estate or personal property | 4 |
| received by the board.
| 5 |
| (e) For the purposes of this Section, "enrolled actuary" | 6 |
| means an actuary:
(1) who is a member of the Society of | 7 |
| Actuaries or the American
Academy of Actuaries; and (2) who is | 8 |
| enrolled under Subtitle
C of Title III of the Employee | 9 |
| Retirement Income Security Act of 1974, or
who has been engaged | 10 |
| in providing actuarial services to one or more public
| 11 |
| retirement systems for a period of at least 3 years as of July | 12 |
| 1, 1983.
| 13 |
| (f) The corporate authorities of a municipality that | 14 |
| employs a person
who is described in subdivision (d) of Section | 15 |
| 4-106 may add to the tax levy
otherwise provided for in this | 16 |
| Section an amount equal to the projected cost of
the employer | 17 |
| contributions required to be paid by the municipality to the | 18 |
| State
Universities Retirement System under subsection (b-1) of | 19 |
| Section 15-155 of this
Code.
| 20 |
| (g) The corporate authorities of a municipality that has | 21 |
| mandatorily retired a firefighter at age 65 may add to the tax | 22 |
| levy otherwise provided for in this Section an amount equal to | 23 |
| the projected cost of the employer contributions for a | 24 |
| firefighter electing to establish creditable service pursuant | 25 |
| to subsection (e) of Section 4-107. | 26 |
| (Source: P.A. 94-859, eff. 6-15-06.)".
|
|