Full Text of SB2595 95th General Assembly
SB2595eng 95TH GENERAL ASSEMBLY
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| AN ACT concerning government.
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| Be it enacted by the People of the State of Illinois,
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| represented in the General Assembly:
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| Section 5. The State Employees Group Insurance Act of 1971 | 5 |
| is amended by changing Sections 3, 6.9, and 6.10 as follows:
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| (5 ILCS 375/3) (from Ch. 127, par. 523)
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| Sec. 3. Definitions. Unless the context otherwise | 8 |
| requires, the
following words and phrases as used in this Act | 9 |
| shall have the following
meanings. The Department may define | 10 |
| these and other words and phrases
separately for the purpose of | 11 |
| implementing specific programs providing benefits
under this | 12 |
| Act.
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| (a) "Administrative service organization" means any | 14 |
| person, firm or
corporation experienced in the handling of | 15 |
| claims which is
fully qualified, financially sound and capable | 16 |
| of meeting the service
requirements of a contract of | 17 |
| administration executed with the Department.
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| (b) "Annuitant" means (1) an employee who retires, or has | 19 |
| retired,
on or after January 1, 1966 on an immediate annuity | 20 |
| under the provisions
of Articles 2, 14 (including an employee | 21 |
| who has elected to receive an alternative retirement | 22 |
| cancellation payment under Section 14-108.5 of the Illinois | 23 |
| Pension Code in lieu of an annuity), 15 (including an employee |
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| who has retired under the optional
retirement program | 2 |
| established under Section 15-158.2),
paragraphs (2), (3), or | 3 |
| (5) of Section 16-106, or
Article 18 of the Illinois Pension | 4 |
| Code; (2) any person who was receiving
group insurance coverage | 5 |
| under this Act as of March 31, 1978 by
reason of his status as | 6 |
| an annuitant, even though the annuity in relation
to which such | 7 |
| coverage was provided is a proportional annuity based on less
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| than the minimum period of service required for a retirement | 9 |
| annuity in
the system involved; (3) any person not otherwise | 10 |
| covered by this Act
who has retired as a participating member | 11 |
| under Article 2 of the Illinois
Pension Code but is ineligible | 12 |
| for the retirement annuity under Section
2-119 of the Illinois | 13 |
| Pension Code; (4) the spouse of any person who
is receiving a | 14 |
| retirement annuity under Article 18 of the Illinois Pension
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| Code and who is covered under a group health insurance program | 16 |
| sponsored
by a governmental employer other than the State of | 17 |
| Illinois and who has
irrevocably elected to waive his or her | 18 |
| coverage under this Act and to have
his or her spouse | 19 |
| considered as the "annuitant" under this Act and not as
a | 20 |
| "dependent"; or (5) an employee who retires, or has retired, | 21 |
| from a
qualified position, as determined according to rules | 22 |
| promulgated by the
Director, under a qualified local | 23 |
| government, a qualified rehabilitation
facility, a qualified | 24 |
| domestic violence shelter or service, or a qualified child | 25 |
| advocacy center. (For definition
of "retired employee", see (p) | 26 |
| post).
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| (b-5) "New SERS annuitant" means a person who, on or after | 2 |
| January 1,
1998, becomes an annuitant, as defined in subsection | 3 |
| (b), by virtue of
beginning to receive a retirement annuity | 4 |
| under Article 14 of the Illinois
Pension Code (including an | 5 |
| employee who has elected to receive an alternative retirement | 6 |
| cancellation payment under Section 14-108.5 of that Code in | 7 |
| lieu of an annuity), and is eligible to participate in the | 8 |
| basic program of group
health benefits provided for annuitants | 9 |
| under this Act.
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| (b-6) "New SURS annuitant" means a person who (1) on or | 11 |
| after January 1,
1998, becomes an annuitant, as defined in | 12 |
| subsection (b), by virtue of
beginning to receive a retirement | 13 |
| annuity under Article 15 of the Illinois
Pension Code, (2) has | 14 |
| not made the election authorized under Section 15-135.1
of the | 15 |
| Illinois Pension Code, and (3) is eligible to participate in | 16 |
| the basic
program of group
health benefits provided for | 17 |
| annuitants under this Act.
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| (b-7) "New TRS State annuitant" means a person who, on or | 19 |
| after July
1, 1998, becomes an annuitant, as defined in | 20 |
| subsection (b), by virtue of
beginning to receive a retirement | 21 |
| annuity under Article 16 of the Illinois
Pension Code based on | 22 |
| service as a teacher as defined in
paragraph (2), (3), or (5) | 23 |
| of Section 16-106 of that Code, and is eligible
to participate | 24 |
| in the basic program of group health benefits provided for
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| annuitants under this Act.
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| (c) "Carrier" means (1) an insurance company, a corporation |
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| organized
under the Limited Health Service Organization Act or | 2 |
| the Voluntary Health
Services Plan Act, a partnership, or other | 3 |
| nongovernmental organization,
which is authorized to do group | 4 |
| life or group health insurance business in
Illinois, or (2) the | 5 |
| State of Illinois as a self-insurer.
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| (d) "Compensation" means salary or wages payable on a | 7 |
| regular
payroll by the State Treasurer on a warrant of the | 8 |
| State Comptroller out
of any State, trust or federal fund, or | 9 |
| by the Governor of the State
through a disbursing officer of | 10 |
| the State out of a trust or out of
federal funds, or by any | 11 |
| Department out of State, trust, federal or
other funds held by | 12 |
| the State Treasurer or the Department, to any person
for | 13 |
| personal services currently performed, and ordinary or | 14 |
| accidental
disability benefits under Articles 2, 14, 15 | 15 |
| (including ordinary or accidental
disability benefits under | 16 |
| the optional retirement program established under
Section | 17 |
| 15-158.2), paragraphs (2), (3), or (5) of
Section 16-106, or | 18 |
| Article 18 of the Illinois Pension Code, for disability
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| incurred after January 1, 1966, or benefits payable under the | 20 |
| Workers'
Compensation or Occupational Diseases Act or benefits | 21 |
| payable under a sick
pay plan established in accordance with | 22 |
| Section 36 of the State Finance Act.
"Compensation" also means | 23 |
| salary or wages paid to an employee of any
qualified local | 24 |
| government, qualified rehabilitation facility,
qualified | 25 |
| domestic violence shelter or service, or qualified child | 26 |
| advocacy center.
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| (e) "Commission" means the State Employees Group Insurance | 2 |
| Advisory
Commission authorized by this Act. Commencing July 1, | 3 |
| 1984, "Commission"
as used in this Act means the Commission on | 4 |
| Government Forecasting and Accountability as
established by | 5 |
| the Legislative Commission Reorganization Act of 1984.
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| (f) "Contributory", when referred to as contributory | 7 |
| coverage, shall
mean optional coverages or benefits elected by | 8 |
| the member toward the cost of
which such member makes | 9 |
| contribution, or which are funded in whole or in part
through | 10 |
| the acceptance of a reduction in earnings or the foregoing of | 11 |
| an
increase in earnings by an employee, as distinguished from | 12 |
| noncontributory
coverage or benefits which are paid entirely by | 13 |
| the State of Illinois
without reduction of the member's salary.
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| (g) "Department" means any department, institution, board,
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| commission, officer, court or any agency of the State | 16 |
| government
receiving appropriations and having power to | 17 |
| certify payrolls to the
Comptroller authorizing payments of | 18 |
| salary and wages against such
appropriations as are made by the | 19 |
| General Assembly from any State fund, or
against trust funds | 20 |
| held by the State Treasurer and includes boards of
trustees of | 21 |
| the retirement systems created by Articles 2, 14, 15, 16 and
18 | 22 |
| of the Illinois Pension Code. "Department" also includes the | 23 |
| Illinois
Comprehensive Health Insurance Board, the Board of | 24 |
| Examiners established under
the Illinois Public Accounting | 25 |
| Act, and the Illinois Finance Authority.
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| (h) "Dependent", when the term is used in the context of |
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| the health
and life plan, means a member's spouse and any | 2 |
| unmarried child (1) from
birth to age 19 including an adopted | 3 |
| child, a child who lives with the
member from the time of the | 4 |
| filing of a petition for adoption until entry
of an order of | 5 |
| adoption, a stepchild or recognized child who lives with the
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| member in a parent-child relationship, or a child who lives | 7 |
| with the member
if such member is a court appointed guardian of | 8 |
| the child, or (2)
age 19 to 23 enrolled as a full-time student | 9 |
| in any accredited school,
financially dependent upon the | 10 |
| member, and eligible to be claimed as a
dependent for income | 11 |
| tax purposes, or (3) age 19 or over who is mentally
or | 12 |
| physically handicapped. For the purposes of item (2), an | 13 |
| unmarried child age 19 to 23 who is a member of the United | 14 |
| States Armed Services, including the Illinois National Guard, | 15 |
| and is mobilized to active duty shall qualify as a dependent | 16 |
| beyond the age of 23 and until the age of 25 and while a | 17 |
| full-time student for the amount of time spent on active duty | 18 |
| between the ages of 19 and 23. The individual attempting to | 19 |
| qualify for this additional time must submit written | 20 |
| documentation of active duty service to the Director. The | 21 |
| changes made by this amendatory Act of the 94th General | 22 |
| Assembly apply only to individuals mobilized to active duty in | 23 |
| the United States Armed Services, including the Illinois | 24 |
| National Guard, on or after January 1, 2002. For
the health | 25 |
| plan only, the term "dependent" also includes any person
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| enrolled prior to the effective date of this Section who is |
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| dependent upon
the member to the extent that the member may | 2 |
| claim such person as a
dependent for income tax deduction | 3 |
| purposes; no other such
person may be enrolled.
For the health | 4 |
| plan only, the term "dependent" also includes any person who
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| has received after June 30, 2000 an organ transplant and who is | 6 |
| financially
dependent upon the member and eligible to be | 7 |
| claimed as a dependent for income
tax purposes.
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| (i) "Director" means the Director of the Illinois | 9 |
| Department of Central
Management Services or of any successor | 10 |
| agency designated to administer this Act.
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| (j) "Eligibility period" means the period of time a member | 12 |
| has to
elect enrollment in programs or to select benefits | 13 |
| without regard to
age, sex or health.
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| (k) "Employee" means and includes each officer or employee | 15 |
| in the
service of a department who (1) receives his | 16 |
| compensation for
service rendered to the department on a | 17 |
| warrant issued pursuant to a payroll
certified by a department | 18 |
| or on a warrant or check issued and drawn by a
department upon | 19 |
| a trust, federal or other fund or on a warrant issued
pursuant | 20 |
| to a payroll certified by an elected or duly appointed officer
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| of the State or who receives payment of the performance of | 22 |
| personal
services on a warrant issued pursuant to a payroll | 23 |
| certified by a
Department and drawn by the Comptroller upon the | 24 |
| State Treasurer against
appropriations made by the General | 25 |
| Assembly from any fund or against
trust funds held by the State | 26 |
| Treasurer, and (2) is employed full-time or
part-time in a |
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| position normally requiring actual performance of duty
during | 2 |
| not less than 1/2 of a normal work period, as established by | 3 |
| the
Director in cooperation with each department, except that | 4 |
| persons elected
by popular vote will be considered employees | 5 |
| during the entire
term for which they are elected regardless of | 6 |
| hours devoted to the
service of the State, and (3) except that | 7 |
| "employee" does not include any
person who is not eligible by | 8 |
| reason of such person's employment to
participate in one of the | 9 |
| State retirement systems under Articles 2, 14, 15
(either the | 10 |
| regular Article 15 system or the optional retirement program
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| established under Section 15-158.2) or 18, or under paragraph | 12 |
| (2), (3), or
(5) of Section 16-106, of the Illinois
Pension | 13 |
| Code, but such term does include persons who are employed | 14 |
| during
the 6 month qualifying period under Article 14 of the | 15 |
| Illinois Pension
Code. Such term also includes any person who | 16 |
| (1) after January 1, 1966,
is receiving ordinary or accidental | 17 |
| disability benefits under Articles
2, 14, 15 (including | 18 |
| ordinary or accidental disability benefits under the
optional | 19 |
| retirement program established under Section 15-158.2), | 20 |
| paragraphs
(2), (3), or (5) of Section 16-106, or Article 18 of | 21 |
| the
Illinois Pension Code, for disability incurred after | 22 |
| January 1, 1966, (2)
receives total permanent or total | 23 |
| temporary disability under the Workers'
Compensation Act or | 24 |
| Occupational Disease Act as a result of injuries
sustained or | 25 |
| illness contracted in the course of employment with the
State | 26 |
| of Illinois, or (3) is not otherwise covered under this Act and |
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| has
retired as a participating member under Article 2 of the | 2 |
| Illinois Pension
Code but is ineligible for the retirement | 3 |
| annuity under Section 2-119 of
the Illinois Pension Code. | 4 |
| However, a person who satisfies the criteria
of the foregoing | 5 |
| definition of "employee" except that such person is made
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| ineligible to participate in the State Universities Retirement | 7 |
| System by
clause (4) of subsection (a) of Section 15-107 of the | 8 |
| Illinois Pension
Code is also an "employee" for the purposes of | 9 |
| this Act. "Employee" also
includes any person receiving or | 10 |
| eligible for benefits under a sick pay
plan established in | 11 |
| accordance with Section 36 of the State Finance Act.
"Employee" | 12 |
| also includes (i) each officer or employee in the service of a
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| qualified local government, including persons appointed as | 14 |
| trustees of
sanitary districts regardless of hours devoted to | 15 |
| the service of the
sanitary district, (ii) each employee in the | 16 |
| service of a qualified
rehabilitation facility, (iii) each | 17 |
| full-time employee in the service of a
qualified domestic | 18 |
| violence shelter or service, and (iv) each full-time employee | 19 |
| in the service of a qualified child advocacy center, as | 20 |
| determined according to
rules promulgated by the Director.
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| (l) "Member" means an employee, annuitant, retired | 22 |
| employee or survivor.
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| (m) "Optional coverages or benefits" means those coverages | 24 |
| or
benefits available to the member on his or her voluntary | 25 |
| election, and at
his or her own expense.
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| (n) "Program" means the group life insurance, health |
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| benefits and other
employee benefits designed and contracted | 2 |
| for by the Director under this Act.
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| (o) "Health plan" means a health benefits
program offered
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| by the State of Illinois for persons eligible for the plan.
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| (p) "Retired employee" means any person who would be an | 6 |
| annuitant as
that term is defined herein but for the fact that | 7 |
| such person retired prior to
January 1, 1966. Such term also | 8 |
| includes any person formerly employed by
the University of | 9 |
| Illinois in the Cooperative Extension Service who would
be an | 10 |
| annuitant but for the fact that such person was made ineligible | 11 |
| to
participate in the State Universities Retirement System by | 12 |
| clause (4) of
subsection (a) of Section 15-107 of the Illinois
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| Pension Code.
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| (q) "Survivor" means a person receiving an annuity as a | 15 |
| survivor of an
employee or of an annuitant. "Survivor" also | 16 |
| includes: (1) the surviving
dependent of a person who satisfies | 17 |
| the definition of "employee" except that
such person is made | 18 |
| ineligible to participate in the State Universities
Retirement | 19 |
| System by clause (4) of subsection (a)
of Section 15-107 of the | 20 |
| Illinois Pension Code; (2) the surviving
dependent of any | 21 |
| person formerly employed by the University of Illinois in
the | 22 |
| Cooperative Extension Service who would be an annuitant except | 23 |
| for the
fact that such person was made ineligible to | 24 |
| participate in the State
Universities Retirement System by | 25 |
| clause (4) of subsection (a) of Section
15-107 of the Illinois | 26 |
| Pension Code; and (3) the surviving dependent of a person who |
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| was an annuitant under this Act by virtue of receiving an | 2 |
| alternative retirement cancellation payment under Section | 3 |
| 14-108.5 of the Illinois Pension Code.
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| (q-2) "SERS" means the State Employees' Retirement System | 5 |
| of Illinois, created under Article 14 of the Illinois Pension | 6 |
| Code.
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| (q-3) "SURS" means the State Universities Retirement | 8 |
| System, created under Article 15 of the Illinois Pension Code.
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| (q-4) "TRS" means the Teachers' Retirement System of the | 10 |
| State of Illinois, created under Article 16 of the Illinois | 11 |
| Pension Code.
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| (q-5) "New SERS survivor" means a survivor, as defined in | 13 |
| subsection (q),
whose annuity is paid under Article 14 of the | 14 |
| Illinois Pension Code and is
based on the death of (i) an | 15 |
| employee whose death occurs on or after January 1,
1998, or | 16 |
| (ii) a new SERS annuitant as defined in subsection (b-5). "New | 17 |
| SERS survivor" includes the surviving dependent of a person who | 18 |
| was an annuitant under this Act by virtue of receiving an | 19 |
| alternative retirement cancellation payment under Section | 20 |
| 14-108.5 of the Illinois Pension Code.
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| (q-6) "New SURS survivor" means a survivor, as defined in | 22 |
| subsection (q),
whose annuity is paid under Article 15 of the | 23 |
| Illinois Pension Code and is
based on the death of (i) an | 24 |
| employee whose death occurs on or after January 1,
1998, or | 25 |
| (ii) a new SURS annuitant as defined in subsection (b-6).
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| (q-7) "New TRS State survivor" means a survivor, as defined |
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| in subsection
(q), whose annuity is paid under Article 16 of | 2 |
| the Illinois Pension Code and is
based on the death of (i) an | 3 |
| employee who is a teacher as defined in paragraph
(2), (3), or | 4 |
| (5) of Section 16-106 of that Code and whose death occurs on or
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| after July 1, 1998, or (ii) a new TRS State annuitant as | 6 |
| defined in subsection
(b-7).
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| (r) "Medical services" means the services provided within | 8 |
| the scope
of their licenses by practitioners in all categories | 9 |
| licensed under the
Medical Practice Act of 1987.
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| (s) "Unit of local government" means any county, | 11 |
| municipality,
township, school district (including a | 12 |
| combination of school districts under
the Intergovernmental | 13 |
| Cooperation Act), special district or other unit,
designated as | 14 |
| a
unit of local government by law, which exercises limited | 15 |
| governmental
powers or powers in respect to limited | 16 |
| governmental subjects, any
not-for-profit association with a | 17 |
| membership that primarily includes
townships and township | 18 |
| officials, that has duties that include provision of
research | 19 |
| service, dissemination of information, and other acts for the
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| purpose of improving township government, and that is funded | 21 |
| wholly or
partly in accordance with Section 85-15 of the | 22 |
| Township Code; any
not-for-profit corporation or association, | 23 |
| with a membership consisting
primarily of municipalities, that | 24 |
| operates its own utility system, and
provides research, | 25 |
| training, dissemination of information, or other acts to
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| promote cooperation between and among municipalities that |
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| provide utility
services and for the advancement of the goals | 2 |
| and purposes of its
membership;
the Southern Illinois | 3 |
| Collegiate Common Market, which is a consortium of higher
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| education institutions in Southern Illinois; the Illinois | 5 |
| Association of
Park Districts; and any hospital provider that | 6 |
| is owned by a county that has 100 or fewer hospital beds and | 7 |
| has not already joined the program. "Qualified
local | 8 |
| government" means a unit of local government approved by the | 9 |
| Director and
participating in a program created under | 10 |
| subsection (i) of Section 10 of this
Act.
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| (t) "Qualified rehabilitation facility" means any | 12 |
| not-for-profit
organization that is accredited by the | 13 |
| Commission on Accreditation of
Rehabilitation Facilities or | 14 |
| certified by the Department
of Human Services (as successor to | 15 |
| the Department of Mental Health
and Developmental | 16 |
| Disabilities) to provide services to persons with
disabilities
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| and which receives funds from the State of Illinois for | 18 |
| providing those
services, approved by the Director and | 19 |
| participating in a program created
under subsection (j) of | 20 |
| Section 10 of this Act.
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| (u) "Qualified domestic violence shelter or service" means | 22 |
| any Illinois
domestic violence shelter or service and its | 23 |
| administrative offices funded
by the Department of Human | 24 |
| Services (as successor to the Illinois Department of
Public | 25 |
| Aid),
approved by the Director and
participating in a program | 26 |
| created under subsection (k) of Section 10.
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| (v) "TRS benefit recipient" means a person who:
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| (1) is not a "member" as defined in this Section; and
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| (2) is receiving a monthly benefit or retirement | 4 |
| annuity
under Article 16 of the Illinois Pension Code; and
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| (3) either (i) has at least 8 years of creditable | 6 |
| service under Article
16 of the Illinois Pension Code, or | 7 |
| (ii) was enrolled in the health insurance
program offered | 8 |
| under that Article on January 1, 1996, or (iii) is the | 9 |
| survivor
of a benefit recipient who had at least 8
years of | 10 |
| creditable service under Article 16 of the Illinois Pension | 11 |
| Code or
was enrolled in the health insurance program | 12 |
| offered under that Article on
the effective date of this | 13 |
| amendatory Act of 1995, or (iv) is a recipient or
survivor | 14 |
| of a recipient of a disability benefit under Article 16 of | 15 |
| the
Illinois Pension Code.
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| (w) "TRS dependent beneficiary" means a person who:
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| (1) is not a "member" or "dependent" as defined in this | 18 |
| Section; and
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| (2) is a TRS benefit recipient's: (A) spouse, (B) | 20 |
| dependent parent who
is receiving at least half of his or | 21 |
| her support from the TRS benefit
recipient, or (C) | 22 |
| unmarried natural or adopted child who is (i) under age
19, | 23 |
| or (ii) enrolled as a full-time student in
an accredited | 24 |
| school, financially dependent upon the TRS benefit | 25 |
| recipient,
eligible to be claimed as a dependent for income | 26 |
| tax
purposes, and
either is under age 24 or was, on January |
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| 1, 1996, participating as a dependent
beneficiary in the | 2 |
| health insurance program offered under Article 16 of the
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| Illinois Pension Code, or (iii) age 19 or over who is | 4 |
| mentally or physically
handicapped.
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| (x) "Military leave with pay and benefits" refers to | 6 |
| individuals in basic
training for reserves, special/advanced | 7 |
| training, annual training, emergency
call up, or activation by | 8 |
| the President of the United States with approved pay
and | 9 |
| benefits.
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| (y) "Military leave without pay and benefits" refers to
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| individuals who enlist for active duty in a regular component | 12 |
| of the U.S. Armed
Forces or other duty not specified or | 13 |
| authorized under military leave with pay
and benefits.
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| (z) "Community college benefit recipient" means a person | 15 |
| who:
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| (1) is not a "member" as defined in this Section; and
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| (2) is receiving a monthly survivor's annuity or | 18 |
| retirement annuity
under Article 15 of the Illinois Pension | 19 |
| Code; and
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| (3) either (i) was a full-time employee of a community | 21 |
| college district or
an association of community college | 22 |
| boards created under the Public Community
College Act | 23 |
| (other than an employee whose last employer under Article | 24 |
| 15 of the
Illinois Pension Code was a community college | 25 |
| district subject to Article VII
of the Public Community | 26 |
| College Act) and was eligible to participate in a group
|
|
|
|
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LRB095 16877 JAM 42920 b |
|
| 1 |
| health benefit plan as an employee during the time of | 2 |
| employment with a
community college district (other than a | 3 |
| community college district subject to
Article VII of the | 4 |
| Public Community College Act) or an association of | 5 |
| community
college boards, or (ii) is the survivor of a | 6 |
| person described in item (i).
| 7 |
| (aa) "Community college dependent beneficiary" means a | 8 |
| person who:
| 9 |
| (1) is not a "member" or "dependent" as defined in this | 10 |
| Section; and
| 11 |
| (2) is a community college benefit recipient's: (A) | 12 |
| spouse, (B) dependent
parent who is receiving at least half | 13 |
| of his or her support from the community
college benefit | 14 |
| recipient, or (C) unmarried natural or adopted child who is | 15 |
| (i)
under age 19, or (ii) enrolled as a full-time student | 16 |
| in an accredited school,
financially dependent upon the | 17 |
| community college benefit recipient, eligible
to be | 18 |
| claimed as a dependent for income tax purposes and under | 19 |
| age 23, or (iii)
age 19 or over and mentally or physically | 20 |
| handicapped.
| 21 |
| (bb) "Qualified child advocacy center" means any Illinois | 22 |
| child advocacy center and its administrative offices funded by | 23 |
| the Department of Children and Family Services, as defined by | 24 |
| the Children's Advocacy Center Act (55 ILCS 80/), approved by | 25 |
| the Director and participating in a program created under | 26 |
| subsection (n) of Section 10.
|
|
|
|
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LRB095 16877 JAM 42920 b |
|
| 1 |
| (Source: P.A. 94-32, eff. 6-15-05; 94-82, eff. 1-1-06; 94-860, | 2 |
| eff. 6-16-06; 95-331, eff. 8-21-07; 95-632, eff. 9-25-07.)
| 3 |
| (5 ILCS 375/6.9)
| 4 |
| Sec. 6.9. Health benefits for community college benefit | 5 |
| recipients and
community college dependent beneficiaries.
| 6 |
| (a) Purpose. It is the purpose of these this amendatory | 7 |
| Acts Act of 1997 and 2008 to establish
a uniform program of | 8 |
| health benefits for community college benefit recipients
and | 9 |
| their dependent beneficiaries under the administration of the | 10 |
| Department of
Central Management Services.
| 11 |
| (b) Creation of program. Beginning July 1, 1999, the | 12 |
| Department of
Central Management Services shall be responsible | 13 |
| for administering a program of
health benefits for community | 14 |
| college benefit recipients and community college
dependent | 15 |
| beneficiaries under this Section. The State Universities | 16 |
| Retirement
System and the boards of trustees of the various | 17 |
| community college districts
shall cooperate with the | 18 |
| Department in this endeavor.
| 19 |
| Beginning July 1, 2009, the Department of Central | 20 |
| Management Services shall be responsible for administering a | 21 |
| program of health benefits for community college benefit | 22 |
| recipients and community college dependent beneficiaries | 23 |
| subject to Article VII of the Public Community College Act. The | 24 |
| State Universities Retirement System and the boards of trustees | 25 |
| of the community college districts shall cooperate with the |
|
|
|
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|
| 1 |
| Department in this endeavor. | 2 |
| (c) Eligibility. All community college benefit recipients | 3 |
| and community
college dependent beneficiaries shall be | 4 |
| eligible to participate in the program
established under this | 5 |
| Section, without any interruption or delay in coverage
or | 6 |
| limitation as to pre-existing medical conditions. Eligibility | 7 |
| to
participate shall be determined by the State Universities | 8 |
| Retirement System.
Eligibility information shall be | 9 |
| communicated to the Department of Central
Management Services | 10 |
| in a format acceptable to the Department.
| 11 |
| (d) Coverage. The health benefit coverage provided under | 12 |
| this Section
shall be a program of health, dental, and vision | 13 |
| benefits.
| 14 |
| The program of health benefits under this Section may | 15 |
| include any or all of
the benefit limitations, including but | 16 |
| not limited to a reduction in benefits
based on eligibility for | 17 |
| federal medicare benefits, that are provided under
subsection | 18 |
| (a) of Section 6 of this Act for other health benefit programs | 19 |
| under
this Act.
| 20 |
| (e) Insurance rates and premiums. The Director shall | 21 |
| determine the
insurance rates and premiums for community | 22 |
| college benefit recipients and
community college dependent | 23 |
| beneficiaries. Rates and premiums may be based
in part on age | 24 |
| and eligibility for federal Medicare coverage.
The Director | 25 |
| shall also determine premiums that will allow for the
| 26 |
| establishment of an actuarially sound reserve for this program.
|
|
|
|
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LRB095 16877 JAM 42920 b |
|
| 1 |
| The cost of health benefits under the program shall be paid | 2 |
| as follows:
| 3 |
| (1) For a community college benefit recipient, up to | 4 |
| 75% of the total
insurance rate shall be paid from the | 5 |
| Community College Health Insurance
Security Fund.
| 6 |
| (2) The balance of the rate of insurance, including the | 7 |
| entire premium
for any coverage for community college | 8 |
| dependent beneficiaries that has been
elected, shall be | 9 |
| paid by deductions authorized by the community college
| 10 |
| benefit recipient to be withheld from his or her monthly | 11 |
| annuity or benefit
payment from the State Universities | 12 |
| Retirement System; except that (i) if the
balance of the | 13 |
| cost of coverage exceeds the amount of the monthly annuity | 14 |
| or
benefit payment, the difference shall be paid directly | 15 |
| to the State
Universities Retirement System by the | 16 |
| community college benefit recipient, and
(ii) all or part | 17 |
| of the balance of the cost of coverage may, at the option | 18 |
| of
the board of trustees of the community college district, | 19 |
| be paid to
the State Universities Retirement System by the | 20 |
| board of the community college
district from which the | 21 |
| community college benefit recipient retired. The State
| 22 |
| Universities Retirement System shall promptly deposit all | 23 |
| moneys withheld by or
paid to it under this subdivision | 24 |
| (e)(2) into the Community College Health
Insurance | 25 |
| Security Fund. These moneys shall not be considered assets | 26 |
| of the
State Universities Retirement System.
|
|
|
|
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LRB095 16877 JAM 42920 b |
|
| 1 |
| (f) Financing. All revenues arising from the | 2 |
| administration of the health
benefit program established under | 3 |
| this Section shall be deposited into the
Community College | 4 |
| Health Insurance Security Fund, which is hereby created as a
| 5 |
| nonappropriated trust fund to be held outside the State | 6 |
| Treasury, with the
State Treasurer as custodian. Any interest | 7 |
| earned on moneys in the Community
College Health Insurance | 8 |
| Security Fund shall be deposited into the Fund.
| 9 |
| Moneys in the Community College Health Insurance Security | 10 |
| Fund shall be used
only to pay the costs of the health benefit | 11 |
| program established under this
Section, including associated | 12 |
| administrative costs and the establishment of a
program | 13 |
| reserve. Beginning January 1, 1999,
the Department of Central | 14 |
| Management Services may make expenditures from the
Community | 15 |
| College Health Insurance Security Fund for those costs.
| 16 |
| (g) Contract for benefits. The Director shall by contract, | 17 |
| self-insurance,
or otherwise make available the program of | 18 |
| health benefits for community
college benefit recipients and | 19 |
| their community college dependent beneficiaries
that is | 20 |
| provided for in this Section. The contract or other arrangement | 21 |
| for
the provision of these health benefits shall be on terms | 22 |
| deemed by the Director
to be in the best interest of the State | 23 |
| of Illinois and the community college
benefit recipients based | 24 |
| on, but not limited to, such criteria as
administrative cost, | 25 |
| service capabilities of the carrier or other contractor,
and | 26 |
| the costs of the benefits.
|
|
|
|
SB2595 Engrossed |
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LRB095 16877 JAM 42920 b |
|
| 1 |
| (h) Continuation of program. It is the intention of the | 2 |
| General Assembly
that the program of health benefits provided | 3 |
| under this Section be maintained
on an ongoing, affordable | 4 |
| basis. The program of health benefits provided under
this | 5 |
| Section may be amended by the State and is not intended to be a | 6 |
| pension or
retirement benefit subject to protection under | 7 |
| Article XIII, Section 5 of the
Illinois Constitution.
| 8 |
| (i) Other health benefit plans. A health benefit plan | 9 |
| provided by a
community college district (other than a | 10 |
| community college district subject to
Article VII of the Public | 11 |
| Community College Act) under the terms of a
collective | 12 |
| bargaining agreement in effect on or prior to the effective | 13 |
| date of
this amendatory Act of 1997 shall continue in force | 14 |
| according to the terms of
that agreement, unless otherwise | 15 |
| mutually agreed by the parties to that
agreement and the | 16 |
| affected retiree.
A community college benefit recipient or | 17 |
| community college dependent
beneficiary whose coverage under | 18 |
| such a plan expires shall be eligible to begin
participating in | 19 |
| the program established under this Section without any
| 20 |
| interruption or delay in coverage or limitation as to | 21 |
| pre-existing medical
conditions.
| 22 |
| A health benefit plan provided by a community college | 23 |
| district subject to Article VII of the Public Community College | 24 |
| Act under the terms of a collective bargaining agreement in | 25 |
| effect on or prior to the effective date of this amendatory Act | 26 |
| of 2008 shall continue in force according to the terms of that |
|
|
|
SB2595 Engrossed |
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LRB095 16877 JAM 42920 b |
|
| 1 |
| agreement, unless otherwise mutually agreed by the parties to | 2 |
| that agreement and the affected retiree. A community college | 3 |
| benefit recipient or community college dependent beneficiary | 4 |
| whose coverage under such a plan expires shall be eligible to | 5 |
| begin participating in the program established under this | 6 |
| Section without any interruption or delay in coverage or | 7 |
| limitation as to pre-existing medical conditions. | 8 |
| This Act does not prohibit any community college district | 9 |
| from offering
additional health benefits for its retirees or | 10 |
| their dependents or survivors.
| 11 |
| (j) The Community College Health Insurance Security Fund | 12 |
| Committee is established.
The Committee shall consist of 11 | 13 |
| members appointed as follows: | 14 |
| (1) One member appointed by the Governor. | 15 |
| (2) One member appointed by the President of the | 16 |
| Senate. | 17 |
| (3) One member appointed by the Minority Leader of the | 18 |
| Senate. | 19 |
| (4) One member appointed by the Speaker of the House of | 20 |
| Representatives. | 21 |
| (5) One member appointed by the Minority Leader of the | 22 |
| House of Representatives. | 23 |
| (6) One member appointed by and representing an | 24 |
| education labor organization in Cook County. | 25 |
| (7) One member appointed by and representing an | 26 |
| education labor organization in the counties of DuPage, |
|
|
|
SB2595 Engrossed |
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LRB095 16877 JAM 42920 b |
|
| 1 |
| Lake, Kane, and Will. | 2 |
| (8) One member appointed by and representing an | 3 |
| education labor organization primarily outside of Cook | 4 |
| County and the counties of DuPage, Lake, Kane, and Will. | 5 |
| (9) One member appointed by and representing the | 6 |
| Community College President's Council. | 7 |
| (10) One member appointed by and representing the | 8 |
| Community College Trustees Association. | 9 |
| (11) One member appointed by and representing a | 10 |
| statewide retiree organization. | 11 |
| Committee members shall not be compensated. Nothing in this | 12 |
| Act shall prevent a Committee member from also being a member | 13 |
| of the Board of Trustees of a community college district.
The | 14 |
| Committee shall convene at least 2 times each year and more | 15 |
| frequently as needed. | 16 |
| The Committee shall consider and make recommendations on | 17 |
| issues affecting the program of health benefits provided under | 18 |
| this Section.
Recommendations of the Committee shall be based | 19 |
| on the majority vote
of the members of the Committee. | 20 |
| The Committee chair shall be selected by the Committee from | 21 |
| among the members. | 22 |
| If the Community College Health Insurance Security Fund | 23 |
| experiences a deficit balance based upon the contribution and | 24 |
| subsidy rates established in Section 6.10 of this Act and | 25 |
| Section 1.4 of the State Pension Funds Continuing Appropriation | 26 |
| Act for fiscal year 2009 and thereafter, the Committee shall |
|
|
|
SB2595 Engrossed |
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LRB095 16877 JAM 42920 b |
|
| 1 |
| make recommendations for adjustments to the funding sources | 2 |
| established under those Sections. | 3 |
| (Source: P.A. 90-497, eff. 8-18-97; 90-655, eff. 7-30-98.)
| 4 |
| (5 ILCS 375/6.10)
| 5 |
| Sec. 6.10. Contributions to the Community College Health | 6 |
| Insurance
Security Fund.
| 7 |
| (a) Beginning January 1, 1999, every active contributor of | 8 |
| the State
Universities Retirement System (established under | 9 |
| Article 15 of the Illinois
Pension Code) who (1) is a full-time | 10 |
| employee of a community college district
(other than a | 11 |
| community college district subject to Article VII of the Public
| 12 |
| Community College Act)
or an association of community college | 13 |
| boards and (2) is not an employee as
defined in Section 3 of | 14 |
| this Act shall make contributions toward the cost of
community | 15 |
| college annuitant and survivor health benefits at the rate of | 16 |
| 0.75% 0.50%
of salary.
| 17 |
| Beginning January 1, 2009, every active contributor of the | 18 |
| State Universities Retirement System established under Article | 19 |
| 15 of the Illinois Pension Code who (1) is a full-time employee | 20 |
| of a community college district, including a community college | 21 |
| district subject to Article VII of the Public Community College | 22 |
| Act, or an association of community college boards and (2) is | 23 |
| not an employee as defined in Section 3 of this Act shall make | 24 |
| contributions toward the cost of community college annuitant | 25 |
| and survivor health benefits at the rate of 0.75% of salary. |
|
|
|
SB2595 Engrossed |
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LRB095 16877 JAM 42920 b |
|
| 1 |
| These contributions shall be deducted by the employer and | 2 |
| paid to the State
Universities Retirement System as service | 3 |
| agent for the Department of Central
Management Services. The | 4 |
| System may use the same processes for collecting the
| 5 |
| contributions required by this subsection that it uses to | 6 |
| collect the
contributions received from those employees under | 7 |
| Section 15-157 of the
Illinois Pension Code. An employer may | 8 |
| agree to pick up or pay the
contributions required under this | 9 |
| subsection on behalf of the employee;
such contributions shall | 10 |
| be deemed to have been paid by the employee.
| 11 |
| The State Universities Retirement System shall promptly | 12 |
| deposit all moneys
collected under this subsection (a) into the | 13 |
| Community College Health Insurance
Security Fund created in | 14 |
| Section 6.9 of this Act. The moneys collected under
this | 15 |
| Section shall be used only for the purposes authorized in | 16 |
| Section 6.9 of
this Act and shall not be considered to be | 17 |
| assets of the State Universities
Retirement System. | 18 |
| Contributions made under this Section are not transferable
to | 19 |
| other pension funds or retirement systems and are not | 20 |
| refundable upon
termination of service.
| 21 |
| (b) Beginning January 1, 1999, every community college | 22 |
| district
(other than a community college district subject to | 23 |
| Article VII of the Public
Community College Act) or association
| 24 |
| of community college boards that is an employer under the State | 25 |
| Universities
Retirement System shall contribute toward the | 26 |
| cost of the community college
health benefits provided under |
|
|
|
SB2595 Engrossed |
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LRB095 16877 JAM 42920 b |
|
| 1 |
| Section 6.9 of this Act an amount equal to 0.50%
of the salary | 2 |
| paid to its full-time employees who participate in the State
| 3 |
| Universities Retirement System and are not members as defined | 4 |
| in Section 3 of
this Act.
| 5 |
| Beginning January 1, 2009, every community college | 6 |
| district subject to Article VII of the Public Community College | 7 |
| Act or association of community college boards that is an | 8 |
| employer under the State Universities Retirement System shall | 9 |
| contribute toward the cost of the community college health | 10 |
| benefits provided under Section 6.9 of this Act an amount equal | 11 |
| to 0.75% of the salary paid to its full-time employees who | 12 |
| participate in the State Universities Retirement System and are | 13 |
| not members as defined in Section 3 of this Act. | 14 |
| These contributions shall be paid by the employer to the | 15 |
| State Universities
Retirement System as service agent for the | 16 |
| Department of Central Management
Services. The System may use | 17 |
| the same processes for collecting the
contributions required by | 18 |
| this subsection that it uses to collect the
contributions | 19 |
| received from those employers under Section 15-155 of the
| 20 |
| Illinois Pension Code.
| 21 |
| The State Universities Retirement System shall promptly | 22 |
| deposit all moneys
collected under this subsection (b) into the | 23 |
| Community College Health Insurance
Security Fund created in | 24 |
| Section 6.9 of this Act. The moneys collected under
this | 25 |
| Section shall be used only for the purposes authorized in | 26 |
| Section 6.9 of
this Act and shall not be considered to be |
|
|
|
SB2595 Engrossed |
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LRB095 16877 JAM 42920 b |
|
| 1 |
| assets of the State Universities
Retirement System. | 2 |
| Contributions made under this Section are not transferable
to | 3 |
| other pension funds or retirement systems and are not | 4 |
| refundable upon
termination of service.
| 5 |
| The Department of Healthcare and Family Services, or any | 6 |
| successor agency designated to procure healthcare contracts | 7 |
| pursuant to this Act, is authorized to establish funds, | 8 |
| separate accounts provided by any bank or banks as defined by | 9 |
| the Illinois Banking Act, or separate accounts provided by any | 10 |
| savings and loan association or associations as defined by the | 11 |
| Illinois Savings and Loan Act of 1985 to be held by the | 12 |
| Director, outside the State treasury, for the purpose of | 13 |
| receiving the transfer of moneys from the Community College | 14 |
| Health Insurance Security Fund. The Department may promulgate | 15 |
| rules further defining the methodology for the transfers. Any | 16 |
| interest earned by moneys in the funds or accounts shall inure | 17 |
| to the Community College Health Insurance Security Fund. The | 18 |
| transferred moneys, and interest accrued thereon, shall be used | 19 |
| exclusively for transfers to administrative service | 20 |
| organizations or their financial institutions for payments of | 21 |
| claims to claimants and providers under the self-insurance | 22 |
| health plan. The transferred moneys, and interest accrued | 23 |
| thereon, shall not be used for any other purpose including, but | 24 |
| not limited to, reimbursement of administration fees due the | 25 |
| administrative service organization pursuant to its contract | 26 |
| or contracts with the Department.
|
|
|
|
SB2595 Engrossed |
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LRB095 16877 JAM 42920 b |
|
| 1 |
| (c) On or before November 15 of each year, the Board of | 2 |
| Trustees of the
State Universities Retirement System shall | 3 |
| certify to the Governor, the
Director of Central Management | 4 |
| Services, and the State
Comptroller its estimate of the total | 5 |
| amount of contributions to be paid under
subsection (a) of this | 6 |
| Section for the next fiscal year. Beginning in fiscal year | 7 |
| 2008, the amount certified shall be decreased or increased each | 8 |
| year by the amount that the actual active employee | 9 |
| contributions either fell short of or exceeded the estimate | 10 |
| used by the Board in making the certification for the previous | 11 |
| fiscal year. The State Universities Retirement System shall | 12 |
| calculate the amount of actual active employee contributions in | 13 |
| fiscal years 1999 through 2005. Based upon this calculation, | 14 |
| the fiscal year 2008 certification shall include an amount | 15 |
| equal to the cumulative amount that the actual active employee | 16 |
| contributions either fell short of or exceeded the estimate | 17 |
| used by the Board in making the certification for those fiscal | 18 |
| years. The certification
shall include a detailed explanation | 19 |
| of the methods and information that the
Board relied upon in | 20 |
| preparing its estimate. As soon as possible after the
effective | 21 |
| date of this Section, the Board shall submit its estimate for | 22 |
| fiscal
year 1999.
| 23 |
| (d) Beginning in fiscal year 1999, on the first day of each | 24 |
| month, or as
soon thereafter as may be practical, the State | 25 |
| Treasurer and the State
Comptroller shall transfer from the | 26 |
| General Revenue Fund to the Community
College Health Insurance |
|
|
|
SB2595 Engrossed |
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LRB095 16877 JAM 42920 b |
|
| 1 |
| Security Fund 1/12 of the annual amount appropriated
for that | 2 |
| fiscal year to the State Comptroller for deposit into the | 3 |
| Community
College Health Insurance Security Fund under Section | 4 |
| 1.4 of the State Pension
Funds Continuing Appropriation Act.
| 5 |
| (e) Except where otherwise specified in this Section, the | 6 |
| definitions
that apply to Article 15 of the Illinois Pension | 7 |
| Code apply to this Section.
| 8 |
| (Source: P.A. 94-839, eff. 6-6-06; 95-632, eff. 9-25-07.)
| 9 |
| Section 10. The State Pension Funds Continuing | 10 |
| Appropriation Act is amended by changing Section 1.4 as | 11 |
| follows:
| 12 |
| (40 ILCS 15/1.4)
| 13 |
| Sec. 1.4. Appropriations for the Community College Health | 14 |
| Insurance
Security Fund. Beginning in State fiscal year 1999, | 15 |
| there is hereby
appropriated, on a continuing annual basis, | 16 |
| from the General Revenue Fund to
the State Comptroller for | 17 |
| deposit into the Community College Health Insurance
Security | 18 |
| Fund, an amount equal to the amount certified by the Board of | 19 |
| Trustees
of the State Universities Retirement System under | 20 |
| subsection (c) of Section
6.10 of the State Employees Group | 21 |
| Insurance Act of 1971 as the estimated total
amount of | 22 |
| contributions to be paid under subsection (a) of that Section | 23 |
| 6.10 in
that fiscal year. The moneys appropriated under this | 24 |
| Section 1.4 shall be
deposited into the Community College |
|
|
|
SB2595 Engrossed |
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LRB095 16877 JAM 42920 b |
|
| 1 |
| Health Insurance Security Fund and used
only for the purposes | 2 |
| authorized in Section 6.9 of the State Employees Group
| 3 |
| Insurance Act of 1971. The transfer of funds by any | 4 |
| constitutional officer or legislative body for any other | 5 |
| purpose or program is specifically prohibited.
| 6 |
| (Source: P.A. 90-497, eff. 8-18-97.)
| 7 |
| Section 90. The State Mandates Act is amended by adding | 8 |
| Section 8.32 as follows: | 9 |
| (30 ILCS 805/8.32 new) | 10 |
| Sec. 8.32. Exempt mandate. Notwithstanding Sections 6 and 8 | 11 |
| of this Act, no reimbursement by the State is required for the | 12 |
| implementation of any mandate created by this amendatory Act of | 13 |
| the 95th General Assembly.
| 14 |
| Section 99. Effective date. This Act takes effect upon | 15 |
| becoming law.
|
|