Full Text of SB3514 96th General Assembly
SB3514ham002 96TH GENERAL ASSEMBLY
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Rep. Barbara Flynn Currie
Filed: 5/5/2010
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| AMENDMENT TO SENATE BILL 3514
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| AMENDMENT NO. ______. Amend Senate Bill 3514, AS AMENDED, | 3 |
| by replacing everything after the enacting clause with the | 4 |
| following:
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| "Section 5. The State Finance Act is amended by changing | 6 |
| Section 14.1 as follows:
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| (30 ILCS 105/14.1)
(from Ch. 127, par. 150.1)
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| Sec. 14.1. Appropriations for State contributions to the | 9 |
| State
Employees' Retirement System; payroll requirements. | 10 |
| (a) Appropriations for State contributions to the State
| 11 |
| Employees' Retirement System of Illinois shall be expended in | 12 |
| the manner
provided in this Section.
Except as otherwise | 13 |
| provided in subsections (a-1) and (a-2),
at the time of each | 14 |
| payment of salary to an
employee under the personal services | 15 |
| line item, payment shall be made to
the State Employees' | 16 |
| Retirement System, from the amount appropriated for
State |
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| contributions to the State Employees' Retirement System, of an | 2 |
| amount
calculated at the rate certified for the applicable | 3 |
| fiscal year by the
Board of Trustees of the State Employees' | 4 |
| Retirement System under Section
14-135.08 of the Illinois | 5 |
| Pension Code. If a line item appropriation to an
employer for | 6 |
| this purpose is exhausted or is unavailable due to any | 7 |
| limitation on appropriations that may apply, (including, but | 8 |
| not limited to, limitations on appropriations from the Road | 9 |
| Fund under Section 8.3 of the State Finance Act), the amounts | 10 |
| shall be
paid under the continuing appropriation for this | 11 |
| purpose contained in the State
Pension Funds Continuing | 12 |
| Appropriation Act.
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| (a-1) Beginning on the effective date of this amendatory | 14 |
| Act of the 93rd
General Assembly through the payment of the | 15 |
| final payroll from fiscal
year 2004 appropriations, | 16 |
| appropriations for State contributions to the
State Employees' | 17 |
| Retirement System of Illinois shall be expended in the
manner | 18 |
| provided in this subsection (a-1). At the time of each payment | 19 |
| of
salary to an employee under the personal services line item | 20 |
| from a fund
other than the General Revenue Fund, payment shall | 21 |
| be made for deposit
into the General Revenue Fund from the | 22 |
| amount appropriated for State
contributions to the State | 23 |
| Employees' Retirement System of an amount
calculated at the | 24 |
| rate certified for fiscal year 2004 by the Board of
Trustees of | 25 |
| the State Employees' Retirement System under Section
14-135.08 | 26 |
| of the Illinois Pension Code. This payment shall be made to
the |
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| extent that a line item appropriation to an employer for this | 2 |
| purpose is
available or unexhausted. No payment from | 3 |
| appropriations for State
contributions shall be made in | 4 |
| conjunction with payment of salary to an
employee under the | 5 |
| personal services line item from the General Revenue
Fund.
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| (a-2) For fiscal year 2010 only, at the time of each | 7 |
| payment of salary to an employee under the personal services | 8 |
| line item from a fund other than the General Revenue Fund, | 9 |
| payment shall be made for deposit into the State Employees' | 10 |
| Retirement System of Illinois from the amount appropriated for | 11 |
| State contributions to the State Employees' Retirement System | 12 |
| of Illinois of an amount calculated at the rate certified for | 13 |
| fiscal year 2010 by the Board of Trustees of the State | 14 |
| Employees' Retirement System of Illinois under Section | 15 |
| 14-135.08 of the Illinois Pension Code. This payment shall be | 16 |
| made to the extent that a line item appropriation to an | 17 |
| employer for this purpose is available or unexhausted. For | 18 |
| fiscal year 2010 only, no payment from appropriations for State | 19 |
| contributions shall be made in conjunction with payment of | 20 |
| salary to an employee under the personal services line item | 21 |
| from the General Revenue Fund. | 22 |
| (a-3) For fiscal year 2011 only, at the time of each | 23 |
| payment of salary to an employee under the personal services | 24 |
| line item from a fund other than the General Revenue Fund, | 25 |
| payment shall be made for deposit into the State Employees' | 26 |
| Retirement System of Illinois from the amount appropriated for |
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| State contributions to the State Employees' Retirement System | 2 |
| of Illinois of an amount calculated at the rate certified for | 3 |
| fiscal year 2011 by the Board of Trustees of the State | 4 |
| Employees' Retirement System of Illinois under Section | 5 |
| 14-135.08 of the Illinois Pension Code. This payment shall be | 6 |
| made to the extent that a line item appropriation to an | 7 |
| employer for this purpose is available or unexhausted. For | 8 |
| fiscal year 2011 only, no payment from appropriations for State | 9 |
| contributions shall be made in conjunction with payment of | 10 |
| salary to an employee under the personal services line item | 11 |
| from the General Revenue Fund. | 12 |
| (b) Except during the period beginning on the effective | 13 |
| date of this
amendatory
Act of the 93rd General Assembly and | 14 |
| ending at the time of the payment of the
final payroll from | 15 |
| fiscal year 2004 appropriations, the State Comptroller
shall | 16 |
| not approve for payment any payroll
voucher that (1) includes | 17 |
| payments of salary to eligible employees in the
State | 18 |
| Employees' Retirement System of Illinois and (2) does not | 19 |
| include the
corresponding payment of State contributions to | 20 |
| that retirement system at the
full rate certified under Section | 21 |
| 14-135.08 for that fiscal year for eligible
employees, unless | 22 |
| the balance in the fund on which the payroll voucher is drawn
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| is insufficient to pay the total payroll voucher, or | 24 |
| unavailable due to any limitation on appropriations that may | 25 |
| apply, including, but not limited to, limitations on | 26 |
| appropriations from the Road Fund under Section 8.3 of the |
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| State Finance Act. If the State Comptroller
approves a payroll | 2 |
| voucher under this Section for which the fund balance is
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| insufficient to pay the full amount of the required State | 4 |
| contribution to the
State Employees' Retirement System, the | 5 |
| Comptroller shall promptly so notify
the Retirement System.
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| (b-1) For fiscal year 2010 only, the State Comptroller | 7 |
| shall not approve for payment any non-General Revenue Fund | 8 |
| payroll voucher that (1) includes payments of salary to | 9 |
| eligible employees in the State Employees' Retirement System of | 10 |
| Illinois and (2) does not include the corresponding payment of | 11 |
| State contributions to that retirement system at the full rate | 12 |
| certified under Section 14-135.08 for that fiscal year for | 13 |
| eligible employees, unless the balance in the fund on which the | 14 |
| payroll voucher is drawn is insufficient to pay the total | 15 |
| payroll voucher, or unavailable due to any limitation on | 16 |
| appropriations that may apply, including, but not limited to, | 17 |
| limitations on appropriations from the Road Fund under Section | 18 |
| 8.3 of the State Finance Act. If the State Comptroller approves | 19 |
| a payroll voucher under this Section for which the fund balance | 20 |
| is insufficient to pay the full amount of the required State | 21 |
| contribution to the State Employees' Retirement System of | 22 |
| Illinois, the Comptroller shall promptly so notify the | 23 |
| retirement system. | 24 |
| (c) Notwithstanding any other provisions of law, beginning | 25 |
| July 1, 2007, required State and employee contributions to the | 26 |
| State Employees' Retirement System of Illinois relating to |
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| affected legislative staff employees shall be paid out of | 2 |
| moneys appropriated for that purpose to the Commission on | 3 |
| Government Forecasting and Accountability, rather than out of | 4 |
| the lump-sum appropriations otherwise made for the payroll and | 5 |
| other costs of those employees. | 6 |
| These payments must be made pursuant to payroll vouchers | 7 |
| submitted by the employing entity as part of the regular | 8 |
| payroll voucher process. | 9 |
| For the purpose of this subsection, "affected legislative | 10 |
| staff employees" means legislative staff employees paid out of | 11 |
| lump-sum appropriations made to the General Assembly, an | 12 |
| Officer of the General Assembly, or the Senate Operations | 13 |
| Commission, but does not include district-office staff or | 14 |
| employees of legislative support services agencies. | 15 |
| (Source: P.A. 95-707, eff. 1-11-08; 96-45, eff. 7-15-09.)
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| Section 10. The General Obligation Bond Act is amended by | 17 |
| changing Sections 2, 2.5, 7.2, 9, 11, 14.1, and 15 as follows: | 18 |
| (30 ILCS 330/2) (from Ch. 127, par. 652) | 19 |
| Sec. 2. Authorization for Bonds. The State of Illinois is | 20 |
| authorized to
issue, sell and provide for the retirement of | 21 |
| General Obligation Bonds of
the State of Illinois for the | 22 |
| categories and specific purposes expressed in
Sections 2 | 23 |
| through 8 of this Act, in the total amount of $41,017,777,443 | 24 |
| $37,217,777,443 . |
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| The bonds authorized in this Section 2 and in Section 16 of | 2 |
| this Act are
herein called "Bonds". | 3 |
| Of the total amount of Bonds authorized in this Act, up to | 4 |
| $2,200,000,000
in aggregate original principal amount may be | 5 |
| issued and sold in accordance
with the Baccalaureate Savings | 6 |
| Act in the form of General Obligation
College Savings Bonds. | 7 |
| Of the total amount of Bonds authorized in this Act, up to | 8 |
| $300,000,000 in
aggregate original principal amount may be | 9 |
| issued and sold in accordance
with the Retirement Savings Act | 10 |
| in the form of General Obligation
Retirement Savings Bonds. | 11 |
| Of the total amount of Bonds authorized in this Act, the | 12 |
| additional
$10,000,000,000 authorized by Public Act 93-2 , and | 13 |
| the $3,466,000,000 authorized by Public Act 96-43 , and the | 14 |
| $3,800,000,000 authorized by this amendatory Act of the 96th | 15 |
| General Assembly shall be used solely as provided in Section | 16 |
| 7.2. | 17 |
| The issuance and sale of Bonds pursuant to the General | 18 |
| Obligation Bond
Act is an economical and efficient method of | 19 |
| financing the long-term capital needs of
the State. This Act | 20 |
| will permit the issuance of a multi-purpose General
Obligation | 21 |
| Bond with uniform terms and features. This will not only lower
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| the cost of registration but also reduce the overall cost of | 23 |
| issuing debt
by improving the marketability of Illinois General | 24 |
| Obligation Bonds. | 25 |
| (Source: P.A. 95-1026, eff. 1-12-09; 96-5, eff. 4-3-09; 96-36, | 26 |
| eff. 7-13-09; 96-43, eff. 7-15-09; 96-885, eff. 3-11-10.) |
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| (30 ILCS 330/2.5) | 2 |
| Sec. 2.5. Limitation on issuance of Bonds. | 3 |
| (a) Except as provided in subsection (b), no Bonds may be | 4 |
| issued if, after the issuance, in the next State fiscal year | 5 |
| after the issuance of the Bonds, the amount of debt service | 6 |
| (including principal, whether payable at maturity or pursuant | 7 |
| to mandatory sinking fund installments, and interest) on all | 8 |
| then-outstanding Bonds, other than Bonds authorized by Public | 9 |
| Act 96-43 or by this amendatory Act of the 96th General | 10 |
| Assembly this amendatory Act of the 96th General Assembly , | 11 |
| would exceed 7% of the aggregate appropriations from the | 12 |
| general funds (which consist of the General Revenue Fund, the | 13 |
| Common School Fund, the General Revenue Common School Special | 14 |
| Account Fund, and the Education Assistance Fund) and the Road | 15 |
| Fund for the fiscal year immediately prior to the fiscal year | 16 |
| of the issuance. | 17 |
| (b) If the Comptroller and Treasurer each consent in | 18 |
| writing, Bonds may be issued even if the issuance does not | 19 |
| comply with subsection (a).
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| (Source: P.A. 96-43, eff. 7-15-09.)
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| (30 ILCS 330/7.2)
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| Sec. 7.2. State pension funding.
| 23 |
| (a) The amount of $10,000,000,000 is authorized to be used | 24 |
| for the
purpose of making contributions to the designated |
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| retirement systems.
For the purposes of this Section, | 2 |
| "designated retirement systems" means
the State Employees' | 3 |
| Retirement System of Illinois;
the Teachers' Retirement System | 4 |
| of the State of Illinois;
the State Universities Retirement | 5 |
| System;
the Judges Retirement System of Illinois; and
the | 6 |
| General Assembly Retirement System.
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| The amount of $3,466,000,000 of Bonds authorized by Public | 8 |
| Act 96-43 this amendatory Act of the 96th General Assembly is | 9 |
| authorized to be used for the purpose of making a portion of | 10 |
| the State's Fiscal Year 2010 required contributions to the | 11 |
| designated retirement systems. | 12 |
| The amount of $3,800,000,000 of Bonds authorized by this | 13 |
| amendatory Act of the 96th General Assembly is authorized to be | 14 |
| used for the purpose of making the State's Fiscal Year 2011 | 15 |
| required contributions to the designated retirement systems. | 16 |
| (b) The Pension Contribution Fund is created as a special | 17 |
| fund in the
State Treasury.
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| The proceeds of the additional $10,000,000,000 of Bonds | 19 |
| authorized by Public Act 93-2, less the amounts authorized in | 20 |
| the
Bond Sale Order to be deposited directly into the | 21 |
| capitalized interest account
of the General Obligation Bond | 22 |
| Retirement and Interest Fund or otherwise
directly paid out for | 23 |
| bond sale expenses under Section 8, shall be deposited
into the | 24 |
| Pension Contribution Fund and used as provided in this Section.
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| The proceeds of the additional $3,466,000,000 of Bonds | 26 |
| authorized by Public Act 96-43 this amendatory Act of the 96th |
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| General Assembly , less the amounts directly paid out for bond | 2 |
| sale expenses under Section 8, shall be deposited into the | 3 |
| Pension Contribution Fund, and the Comptroller and the | 4 |
| Treasurer shall, as soon as practical, (i) first, transfer from | 5 |
| the Pension Contribution Fund to the General Revenue Fund or | 6 |
| Common School Fund an amount equal to the amount of payments, | 7 |
| if any, made to the designated retirement systems from the | 8 |
| General Revenue Fund or Common School Fund in State fiscal year | 9 |
| 2010 and (ii) second, make transfers from the Pension | 10 |
| Contribution Fund to the designated retirement systems | 11 |
| pursuant to Sections 2-124, 14-131, 15-155, 16-158, and 18-131 | 12 |
| of the Illinois Pension Code. | 13 |
| The additional $3,800,000,000 of Bonds authorized by this | 14 |
| amendatory Act of the 96th General Assembly may be issued only | 15 |
| for the purpose of fulfilling the State's Fiscal Year 2011 | 16 |
| required contributions to the designated retirement systems. | 17 |
| All or a portion of the Bonds shall be issued directly to | 18 |
| the designated retirement systems, with the remaining amount | 19 |
| necessary to make the required contributions sold by negotiated | 20 |
| sale, if the State first obtains, prior to April 15, 2011, a | 21 |
| written determination from the Internal Revenue Service that an | 22 |
| issuance directly to the retirement systems is not a prohibited | 23 |
| transaction under Section 503(b) of the Internal Revenue Code. | 24 |
| If the State is unable to obtain a written determination from | 25 |
| the Internal Revenue Service as required in the preceding | 26 |
| sentence, the State may elect to issue by negotiated sale any |
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| amount of the additional $3,800,000,000 of Bonds authorized by | 2 |
| this amendatory Act of the 96th General Assembly that, in the | 3 |
| sole determination of the Director of the Governor's Office of | 4 |
| Management and Budget, is appropriate given market conditions | 5 |
| at that time. | 6 |
| The proceeds of any Bonds authorized by this amendatory Act | 7 |
| of the 96th General Assembly and sold by negotiated sale, less | 8 |
| the amounts directly paid out for bond sale expenses under | 9 |
| Section 8, shall be deposited into the Pension Contribution | 10 |
| Fund, and the Comptroller and the Treasurer shall, as soon as | 11 |
| practical, (i) first, transfer from the Pension Contribution | 12 |
| Fund to the General Revenue Fund or Common School Fund an | 13 |
| amount equal to the amount of payments, if any, made to the | 14 |
| designated retirement systems from the General Revenue Fund or | 15 |
| Common School Fund in State fiscal year 2011 and (ii) second, | 16 |
| make transfers from the Pension Contribution Fund to the | 17 |
| designated retirement systems pursuant to Sections 2-124, | 18 |
| 14-131, 15-155, 16-158, and 18-131 of the Illinois Pension | 19 |
| Code. | 20 |
| (c) Of the amount of Bond proceeds from the bond sale | 21 |
| authorized by Public Act 93-2 first deposited into the Pension
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| Contribution Fund, there shall be reserved for transfers under | 23 |
| this subsection
the sum of $300,000,000, representing the | 24 |
| required State contributions to the
designated retirement | 25 |
| systems for the last quarter of State fiscal year 2003,
plus | 26 |
| the sum of $1,860,000,000, representing the required State |
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| contributions
to the designated retirement systems for State | 2 |
| fiscal year 2004.
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| Upon the deposit of sufficient moneys from the bond sale | 4 |
| authorized by Public Act 93-2 into the Pension Contribution
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| Fund, the Comptroller and Treasurer shall immediately transfer | 6 |
| the sum of
$300,000,000 from the Pension Contribution Fund to | 7 |
| the General Revenue Fund.
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| Whenever any payment of required State contributions for | 9 |
| State fiscal year
2004 is made to one of the designated | 10 |
| retirement systems, the Comptroller and
Treasurer shall, as | 11 |
| soon as practicable, transfer from the Pension Contribution
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| Fund to the General Revenue Fund an amount equal to the amount | 13 |
| of that payment
to the designated retirement system.
Beginning | 14 |
| on the effective date of this amendatory Act of the 93rd
| 15 |
| General Assembly, the transfers from the Pension Contribution | 16 |
| Fund to
the General Revenue Fund shall be suspended until June | 17 |
| 30, 2004, and
the remaining balance in the Pension Contribution | 18 |
| Fund shall be
transferred directly to the designated retirement | 19 |
| systems as provided
in Section 6z-61 of the State Finance Act. | 20 |
| On and after July 1, 2004, in the
event that
any amount is on | 21 |
| deposit in the Pension Contribution Fund from time to
time, the | 22 |
| Comptroller and
Treasurer shall continue to make such transfers | 23 |
| based on fiscal year 2005
payments until the entire amount on | 24 |
| deposit has been
transferred.
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| (d) All amounts deposited into the Pension Contribution | 26 |
| Fund, other
than the amounts reserved for the transfers under |
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| subsection (c) from the bond sale authorized by Public Act 93-2 | 2 |
| and other than amounts deposited into the Pension Contribution | 3 |
| Fund from the bond sale authorized by Public Act 96-43 or this | 4 |
| amendatory Act of the 96th General Assembly this amendatory Act | 5 |
| of the 96th General Assembly , shall be
appropriated to the | 6 |
| designated retirement systems to reduce their actuarial
| 7 |
| reserve deficiencies. The amount of the appropriation to each | 8 |
| designated
retirement system shall constitute a portion of the | 9 |
| total appropriation under
this subsection that is the same as | 10 |
| that retirement system's portion of the
total actuarial reserve | 11 |
| deficiency of the systems, as most recently determined
by the
| 12 |
| Governor's Office of Management and Budget under Section 8.12 | 13 |
| of the State Finance Act.
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| With respect to proceeds from the bond sale authorized by | 15 |
| Public Act 93-2 only, within 15 days after any Bond proceeds in | 16 |
| excess of the amounts initially
reserved under subsection (c) | 17 |
| are deposited into the Pension Contribution
Fund, the
| 18 |
| Governor's Office of Management and Budget shall (i) allocate | 19 |
| those proceeds among the
designated retirement systems in | 20 |
| proportion to their respective actuarial
reserve deficiencies, | 21 |
| as most recently determined under Section 8.12 of the
State | 22 |
| Finance Act, and (ii) certify those allocations to the | 23 |
| designated
retirement systems and the Comptroller.
| 24 |
| Upon receiving certification of an allocation under this | 25 |
| subsection, a
designated retirement system shall submit to the | 26 |
| Comptroller a voucher for
the amount of its allocation. The |
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| voucher shall be paid out of the amount
appropriated to that | 2 |
| designated retirement system from the Pension Contribution
| 3 |
| Fund pursuant to this subsection.
| 4 |
| (Source: P.A. 96-43, eff. 7-15-09.)
| 5 |
| (30 ILCS 330/9) (from Ch. 127, par. 659)
| 6 |
| Sec. 9. Conditions for Issuance and Sale of Bonds - | 7 |
| Requirements for
Bonds. | 8 |
| (a) Except as otherwise provided in this subsection, Bonds | 9 |
| shall be issued and sold from time to time, in one or
more | 10 |
| series, in such amounts and at such prices as may be directed | 11 |
| by the
Governor, upon recommendation by the Director of the
| 12 |
| Governor's Office of Management and Budget.
Bonds shall be in | 13 |
| such form (either coupon, registered or book entry), in
such | 14 |
| denominations, payable within 25 years from their date, subject | 15 |
| to such
terms of redemption with or without premium, bear | 16 |
| interest payable at
such times and at such fixed or variable | 17 |
| rate or rates, and be dated
as shall be fixed and determined by | 18 |
| the Director of
the
Governor's Office of Management and Budget
| 19 |
| in the order authorizing the issuance and sale
of any series of | 20 |
| Bonds, which order shall be approved by the Governor
and is | 21 |
| herein called a "Bond Sale Order"; provided however, that | 22 |
| interest
payable at fixed or variable rates shall not exceed | 23 |
| that permitted in the
Bond Authorization Act, as now or | 24 |
| hereafter amended. Bonds shall be
payable at such place or | 25 |
| places, within or without the State of Illinois, and
may be |
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| made registrable as to either principal or as to both principal | 2 |
| and
interest, as shall be specified in the Bond Sale Order. | 3 |
| Bonds may be callable
or subject to purchase and retirement or | 4 |
| tender and remarketing as fixed
and determined in the Bond Sale | 5 |
| Order. Bonds, other than Bonds issued under Section 3 of this | 6 |
| Act for the costs associated with the purchase and | 7 |
| implementation of information technology, (i) except for | 8 |
| refunding Bonds satisfying the requirements of Section 16 of | 9 |
| this Act and sold during fiscal year 2009, 2010, or 2011, must | 10 |
| be issued with principal or mandatory redemption amounts in | 11 |
| equal amounts, with the first maturity issued occurring within | 12 |
| the fiscal year in which the Bonds are issued or within the | 13 |
| next succeeding fiscal year and (ii) must mature or be subject | 14 |
| to mandatory redemption each fiscal year thereafter up to 25 | 15 |
| years, except for refunding Bonds satisfying the requirements | 16 |
| of Section 16 of this Act and sold during fiscal year 2009, | 17 |
| 2010, or 2011 which must mature or be subject to mandatory | 18 |
| redemption each fiscal year thereafter up to 16 years. Bonds | 19 |
| issued under Section 3 of this Act for the costs associated | 20 |
| with the purchase and implementation of information technology | 21 |
| must be issued with principal or mandatory redemption amounts | 22 |
| in equal amounts, with the first maturity issued occurring with | 23 |
| the fiscal year in which the respective bonds are issued or | 24 |
| with the next succeeding fiscal year, with the respective bonds | 25 |
| issued maturing or subject to mandatory redemption each fiscal | 26 |
| year thereafter up to 10 years. Notwithstanding any provision |
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| of this Act to the contrary, the Bonds authorized by Public Act | 2 |
| 96-43 shall be payable within 5 years from their date and must | 3 |
| be issued with principal or mandatory redemption amounts in | 4 |
| equal amounts, with payment of principal or mandatory | 5 |
| redemption beginning in the first fiscal year following the | 6 |
| fiscal year in which the Bonds are issued.
| 7 |
| Notwithstanding any provision of this Act to the contrary, | 8 |
| the Bonds authorized by this amendatory Act of the 96th General | 9 |
| Assembly shall be issued with payment of maturing principal or | 10 |
| scheduled mandatory redemptions in accordance with the | 11 |
| following schedule, except the following amounts shall be | 12 |
| prorated if less than the total additional amount of Bonds | 13 |
| authorized by this amendatory Act of the 96th General Assembly | 14 |
| are issued: | 15 |
| Fiscal Year After Issuance Amount | 16 |
| 1-2 $0 | 17 |
| 3 $100,000,000 | 18 |
| 4 $300,000,000 | 19 |
| 5 $600,000,000 | 20 |
| 6-7 $900,000,000 | 21 |
| 8 $1,000,000,000 | 22 |
| In the case of any series of Bonds bearing interest at a | 23 |
| variable interest
rate ("Variable Rate Bonds"), in lieu of | 24 |
| determining the rate or rates at which
such series of Variable | 25 |
| Rate Bonds shall bear interest and the price or prices
at which | 26 |
| such Variable Rate Bonds shall be initially sold or remarketed |
|
|
|
09600SB3514ham002 |
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LRB096 18423 AMC 41252 a |
|
| 1 |
| (in the
event of purchase and subsequent resale), the Bond Sale | 2 |
| Order may provide that
such interest rates and prices may vary | 3 |
| from time to time depending on criteria
established in such | 4 |
| Bond Sale Order, which criteria may include, without
| 5 |
| limitation, references to indices or variations in interest | 6 |
| rates as may, in
the judgment of a remarketing agent, be | 7 |
| necessary to cause Variable Rate Bonds
of such series to be | 8 |
| remarketable from time to time at a price equal to their
| 9 |
| principal amount, and may provide for appointment of a bank, | 10 |
| trust company,
investment bank, or other financial institution | 11 |
| to serve as remarketing agent
in that connection.
The Bond Sale | 12 |
| Order may provide that alternative interest rates or provisions
| 13 |
| for establishing alternative interest rates, different | 14 |
| security or claim
priorities, or different call or amortization | 15 |
| provisions will apply during
such times as Variable Rate Bonds | 16 |
| of any series are held by a person providing
credit or | 17 |
| liquidity enhancement arrangements for such Bonds as | 18 |
| authorized in
subsection (b) of this Section.
The Bond Sale | 19 |
| Order may also provide for such variable interest rates to be
| 20 |
| established pursuant to a process generally known as an auction | 21 |
| rate process
and may provide for appointment of one or more | 22 |
| financial institutions to serve
as auction agents and | 23 |
| broker-dealers in connection with the establishment of
such | 24 |
| interest rates and the sale and remarketing of such Bonds.
| 25 |
| (b) In connection with the issuance of any series of Bonds, | 26 |
| the State may
enter into arrangements to provide additional |
|
|
|
09600SB3514ham002 |
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LRB096 18423 AMC 41252 a |
|
| 1 |
| security and liquidity for such
Bonds, including, without | 2 |
| limitation, bond or interest rate insurance or
letters of | 3 |
| credit, lines of credit, bond purchase contracts, or other
| 4 |
| arrangements whereby funds are made available to retire or | 5 |
| purchase Bonds,
thereby assuring the ability of owners of the | 6 |
| Bonds to sell or redeem their
Bonds. The State may enter into | 7 |
| contracts and may agree to pay fees to persons
providing such | 8 |
| arrangements, but only under circumstances where the Director | 9 |
| of
the
Governor's Office of Management and Budget certifies | 10 |
| that he or she reasonably expects the total
interest paid or to | 11 |
| be paid on the Bonds, together with the fees for the
| 12 |
| arrangements (being treated as if interest), would not, taken | 13 |
| together, cause
the Bonds to bear interest, calculated to their | 14 |
| stated maturity, at a rate in
excess of the rate that the Bonds | 15 |
| would bear in the absence of such
arrangements.
| 16 |
| The State may, with respect to Bonds issued or anticipated | 17 |
| to be issued,
participate in and enter into arrangements with | 18 |
| respect to interest rate
protection or exchange agreements, | 19 |
| guarantees, or financial futures contracts
for the purpose of | 20 |
| limiting, reducing, or managing interest rate exposure.
The | 21 |
| authority granted under this paragraph, however, shall not | 22 |
| increase the principal amount of Bonds authorized to be issued | 23 |
| by law. The arrangements may be executed and delivered by the | 24 |
| Director
of the
Governor's Office of Management and Budget on | 25 |
| behalf of the State. Net payments for such
arrangements shall | 26 |
| constitute interest on the Bonds and shall be paid from the
|
|
|
|
09600SB3514ham002 |
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LRB096 18423 AMC 41252 a |
|
| 1 |
| General Obligation Bond Retirement and Interest Fund. The | 2 |
| Director of the
Governor's Office of Management and Budget | 3 |
| shall at least annually certify to the Governor and
the
State | 4 |
| Comptroller his or her estimate of the amounts of such net | 5 |
| payments to
be included in the calculation of interest required | 6 |
| to be paid by the State.
| 7 |
| (c) Prior to the issuance of any Variable Rate Bonds | 8 |
| pursuant to
subsection (a), the Director of the
Governor's | 9 |
| Office of Management and Budget shall adopt an
interest rate | 10 |
| risk management policy providing that the amount of the State's
| 11 |
| variable rate exposure with respect to Bonds shall not exceed | 12 |
| 20%. This policy
shall remain in effect while any Bonds are | 13 |
| outstanding and the issuance of
Bonds
shall be subject to the | 14 |
| terms of such policy. The terms of this policy may be
amended | 15 |
| from time to time by the Director of the
Governor's Office of | 16 |
| Management and Budget but in no
event shall any amendment cause | 17 |
| the permitted level of the State's variable
rate exposure with | 18 |
| respect to Bonds to exceed 20%.
| 19 |
| (d) "Build America Bonds" in this Section means Bonds | 20 |
| authorized by Section 54AA of the Internal Revenue Code of | 21 |
| 1986, as amended ("Internal Revenue Code"), and bonds issued | 22 |
| from time to time to refund or continue to refund "Build | 23 |
| America Bonds". | 24 |
| (e) Notwithstanding any other provision of this Section, | 25 |
| Qualified School Construction Bonds shall be issued and sold | 26 |
| from time to time, in one or more series, in such amounts and |
|
|
|
09600SB3514ham002 |
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LRB096 18423 AMC 41252 a |
|
| 1 |
| at such prices as may be directed by the Governor, upon | 2 |
| recommendation by the Director of the Governor's Office of | 3 |
| Management and Budget. Qualified School Construction Bonds | 4 |
| shall be in such form (either coupon, registered or book | 5 |
| entry), in such denominations, payable within 25 years from | 6 |
| their date, subject to such terms of redemption with or without | 7 |
| premium, and if the Qualified School Construction Bonds are | 8 |
| issued with a supplemental coupon, bear interest payable at | 9 |
| such times and at such fixed or variable rate or rates, and be | 10 |
| dated as shall be fixed and determined by the Director of the | 11 |
| Governor's Office of Management and Budget in the order | 12 |
| authorizing the issuance and sale of any series of Qualified | 13 |
| School Construction Bonds, which order shall be approved by the | 14 |
| Governor and is herein called a "Bond Sale Order"; except that | 15 |
| interest payable at fixed or variable rates, if any, shall not | 16 |
| exceed that permitted in the Bond Authorization Act, as now or | 17 |
| hereafter amended. Qualified School Construction Bonds shall | 18 |
| be payable at such place or places, within or without the State | 19 |
| of Illinois, and may be made registrable as to either principal | 20 |
| or as to both principal and interest, as shall be specified in | 21 |
| the Bond Sale Order. Qualified School Construction Bonds may be | 22 |
| callable or subject to purchase and retirement or tender and | 23 |
| remarketing as fixed and determined in the Bond Sale Order. | 24 |
| Qualified School Construction Bonds must be issued with | 25 |
| principal or mandatory redemption amounts or sinking fund | 26 |
| payments into the General Obligation Bond Retirement and |
|
|
|
09600SB3514ham002 |
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LRB096 18423 AMC 41252 a |
|
| 1 |
| Interest Fund (or subaccount therefor) in equal amounts, with | 2 |
| the first maturity issued, mandatory redemption payment or | 3 |
| sinking fund payment occurring within the fiscal year in which | 4 |
| the Qualified School Construction Bonds are issued or within | 5 |
| the next succeeding fiscal year, with Qualified School | 6 |
| Construction Bonds issued maturing or subject to mandatory | 7 |
| redemption or with sinking fund payments thereof deposited each | 8 |
| fiscal year thereafter up to 25 years. Sinking fund payments | 9 |
| set forth in this subsection shall be permitted only to the | 10 |
| extent authorized in Section 54F of the Internal Revenue Code | 11 |
| or as otherwise determined by the Director of the Governor's | 12 |
| Office of Management and Budget. "Qualified School | 13 |
| Construction Bonds" in this subsection means Bonds authorized | 14 |
| by Section 54F of the Internal Revenue Code and for bonds | 15 |
| issued from time to time to refund or continue to refund such | 16 |
| "Qualified School Construction Bonds". | 17 |
| (Source: P.A. 96-18, eff. 6-26-09; 96-37, eff. 7-13-09; 96-43, | 18 |
| eff. 7-15-09; 96-828, eff. 12-2-09.)
| 19 |
| (30 ILCS 330/11) (from Ch. 127, par. 661)
| 20 |
| Sec. 11. Sale of Bonds. Except as otherwise provided in | 21 |
| this Section,
Bonds shall be sold from time to time pursuant to
| 22 |
| notice of sale and public bid or by negotiated sale
in such | 23 |
| amounts and at such
times as is directed by the Governor, upon | 24 |
| recommendation by the Director of
the
Governor's Office of | 25 |
| Management and Budget. At least 25%, based on total principal |
|
|
|
09600SB3514ham002 |
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LRB096 18423 AMC 41252 a |
|
| 1 |
| amount, of all Bonds issued each fiscal year shall be sold | 2 |
| pursuant to notice of sale and public bid. At all times during | 3 |
| each fiscal year, no more than 75%, based on total principal | 4 |
| amount, of the Bonds issued each fiscal year, shall have been | 5 |
| sold by negotiated sale. Failure to satisfy the requirements in | 6 |
| the preceding 2 sentences shall not affect the validity of any | 7 |
| previously issued Bonds; provided that all Bonds authorized by | 8 |
| Public Act 96-43 or this amendatory Act of the 96th General | 9 |
| Assembly this amendatory Act of the 96th General Assembly shall | 10 |
| not be included in determining compliance for any fiscal year | 11 |
| with the requirements of the preceding 2 sentences; and further | 12 |
| provided that refunding Bonds satisfying the requirements of | 13 |
| Section 16 of this Act and sold during fiscal year 2009, 2010, | 14 |
| or 2011 shall not be subject to the requirements in the | 15 |
| preceding 2 sentences.
| 16 |
| If
any Bonds, including refunding Bonds, are to be sold by | 17 |
| negotiated
sale, the
Director of the
Governor's Office of | 18 |
| Management and Budget
shall comply with the
competitive request | 19 |
| for proposal process set forth in the Illinois
Procurement Code | 20 |
| and all other applicable requirements of that Code.
| 21 |
| If Bonds are to be sold pursuant to notice of sale and | 22 |
| public bid, the
Director of the
Governor's Office of Management | 23 |
| and Budget shall, from time to time, as Bonds are to be sold, | 24 |
| advertise
the sale of the Bonds in at least 2 daily newspapers, | 25 |
| one of which is
published in the City of Springfield and one in | 26 |
| the City of Chicago. The sale
of the Bonds shall also be
|
|
|
|
09600SB3514ham002 |
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LRB096 18423 AMC 41252 a |
|
| 1 |
| advertised in the volume of the Illinois Procurement Bulletin | 2 |
| that is
published by the Department of Central Management | 3 |
| Services. Each of
the advertisements for
proposals shall be | 4 |
| published once at least
10 days prior to the date fixed
for the | 5 |
| opening of the bids. The Director of the
Governor's Office of | 6 |
| Management and Budget may
reschedule the date of sale upon the | 7 |
| giving of such additional notice as the
Director deems adequate | 8 |
| to inform prospective bidders of
such change; provided, | 9 |
| however, that all other conditions of the sale shall
continue | 10 |
| as originally advertised.
| 11 |
| Executed Bonds shall, upon payment therefor, be delivered | 12 |
| to the purchaser,
and the proceeds of Bonds shall be paid into | 13 |
| the State Treasury as directed by
Section 12 of this Act.
| 14 |
| (Source: P.A. 96-18, eff. 6-26-09; 96-43, eff. 7-15-09.)
| 15 |
| (30 ILCS 330/15) (from Ch. 127, par. 665)
| 16 |
| Sec. 15. Computation of Principal and Interest; transfers.
| 17 |
| (a) Upon each delivery of Bonds authorized to be issued | 18 |
| under this Act,
the Comptroller shall compute and certify to | 19 |
| the Treasurer the total amount
of principal of, interest on, | 20 |
| and premium, if any, on Bonds issued that will
be payable in | 21 |
| order to retire such Bonds, the amount of principal of,
| 22 |
| interest on and premium, if any, on such Bonds that will be | 23 |
| payable on each
payment date according to the tenor of such | 24 |
| Bonds during the then current and
each succeeding fiscal year, | 25 |
| and the amount of sinking fund payments needed to be deposited |
|
|
|
09600SB3514ham002 |
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LRB096 18423 AMC 41252 a |
|
| 1 |
| in connection with Qualified School Construction Bonds | 2 |
| authorized by subsection (e) of Section 9.
With respect to the | 3 |
| interest payable on variable rate bonds, such
certifications | 4 |
| shall be calculated at the maximum rate of interest that
may be | 5 |
| payable during the fiscal year, after taking into account any | 6 |
| credits
permitted in the related indenture or other instrument | 7 |
| against the amount
of such interest required to be appropriated | 8 |
| for such period pursuant to
subsection (c) of Section 14 of | 9 |
| this Act. With respect to the interest
payable, such | 10 |
| certifications shall include the amounts certified by the
| 11 |
| Director of the
Governor's Office of Management and Budget | 12 |
| under subsection (b) of Section 9 of
this Act.
| 13 |
| On or before the last day of each month the State Treasurer | 14 |
| and Comptroller
shall transfer from (1) the Road Fund with | 15 |
| respect to Bonds issued under
paragraph (a) of Section 4 of | 16 |
| this Act or Bonds issued for the purpose of
refunding such | 17 |
| bonds, and from (2) the General
Revenue Fund, with respect to | 18 |
| all other Bonds issued under this Act, to the
General | 19 |
| Obligation Bond Retirement and Interest Fund an amount | 20 |
| sufficient to
pay the aggregate of the principal of, interest | 21 |
| on, and premium, if any, on
Bonds payable, by their terms on | 22 |
| the next payment date divided by the number of
full calendar | 23 |
| months between the date of such Bonds and the first such | 24 |
| payment
date, and thereafter, divided by the number of months | 25 |
| between each succeeding
payment date after the first. Such | 26 |
| computations and transfers shall be
made for each series of |
|
|
|
09600SB3514ham002 |
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LRB096 18423 AMC 41252 a |
|
| 1 |
| Bonds issued and delivered. Interest payable on
variable rate | 2 |
| bonds shall be calculated at the maximum rate of interest that
| 3 |
| may be payable for the relevant period, after taking into | 4 |
| account any credits
permitted in the related indenture or other | 5 |
| instrument against the amount of
such interest required to be | 6 |
| appropriated for such period pursuant to
subsection (c) of | 7 |
| Section 14 of this Act. Computations of interest shall
include | 8 |
| the amounts certified by the Director of the
Governor's Office | 9 |
| of Management and Budget
under subsection (b) of Section 9 of | 10 |
| this Act. Interest for which moneys
have already been deposited | 11 |
| into the capitalized interest account within the
General | 12 |
| Obligation Bond Retirement and Interest Fund shall not be | 13 |
| included
in the calculation of the amounts to be transferred | 14 |
| under this subsection. Notwithstanding any other provision in | 15 |
| this Section, the transfer provisions provided in this | 16 |
| paragraph shall not apply to transfers made in fiscal year 2010 | 17 |
| or 2011 with respect to Bonds issued in fiscal year 2010 or | 18 |
| 2011 pursuant to Section 7.2 of this Act. In the case of | 19 |
| transfers made in fiscal year 2010 or 2011 with respect to the | 20 |
| Bonds issued in fiscal year 2010 or 2011 pursuant to Section | 21 |
| 7.2 of this Act, on or before the 15th day of the month prior to | 22 |
| the required debt service payment, the State Treasurer and | 23 |
| Comptroller shall transfer from the General Revenue Fund to the | 24 |
| General Obligation Bond Retirement and Interest Fund an amount | 25 |
| sufficient to pay the aggregate of the principal of, interest | 26 |
| on, and premium, if any, on the Bonds payable in that next |
|
|
|
09600SB3514ham002 |
- 26 - |
LRB096 18423 AMC 41252 a |
|
| 1 |
| month.
| 2 |
| The transfer of monies herein and above directed is not | 3 |
| required if monies
in the General Obligation Bond Retirement | 4 |
| and Interest Fund are more than
the amount otherwise to be | 5 |
| transferred as herein above provided, and if the
Governor or | 6 |
| his authorized representative notifies the State Treasurer and
| 7 |
| Comptroller of such fact in writing.
| 8 |
| (b) After the effective date of this Act, the balance of, | 9 |
| and monies
directed to be included in the Capital Development | 10 |
| Bond Retirement and
Interest Fund, Anti-Pollution Bond | 11 |
| Retirement and Interest Fund,
Transportation Bond, Series A | 12 |
| Retirement and Interest Fund, Transportation
Bond, Series B | 13 |
| Retirement and Interest Fund, and Coal Development Bond
| 14 |
| Retirement and Interest Fund shall be transferred to and | 15 |
| deposited in the
General Obligation Bond Retirement and | 16 |
| Interest Fund. This Fund shall be
used to make debt service | 17 |
| payments on the State's general obligation Bonds
heretofore | 18 |
| issued which are now outstanding and payable from the Funds | 19 |
| herein
listed as well as on Bonds issued under this Act.
| 20 |
| (c) The unused portion of federal funds received for a | 21 |
| capital
facilities project, as authorized by Section 3 of this | 22 |
| Act, for which
monies from the Capital Development Fund have | 23 |
| been expended shall be
deposited upon completion of the project | 24 |
| in the General Obligation Bond
Retirement and Interest Fund. | 25 |
| Any federal funds received as reimbursement
for the completed | 26 |
| construction of a capital facilities project, as
authorized by |
|
|
|
09600SB3514ham002 |
- 27 - |
LRB096 18423 AMC 41252 a |
|
| 1 |
| Section 3 of this Act, for which monies from the Capital
| 2 |
| Development Fund have been expended shall be deposited in the | 3 |
| General
Obligation Bond Retirement and Interest Fund.
| 4 |
| (Source: P.A. 96-43, eff. 7-15-09; 96-828, eff. 12-2-09.)
| 5 |
| Section 15. The Illinois Pension Code is amended by | 6 |
| changing Sections 1-113, 1-114, 2-124, 2-134, 14-131, | 7 |
| 14-135.08, 15-155, 15-165, 16-158, 18-131, and 18-140 as | 8 |
| follows:
| 9 |
| (40 ILCS 5/1-113) (from Ch. 108 1/2, par. 1-113)
| 10 |
| Sec. 1-113.
Investment authority of certain pension funds, | 11 |
| not including
those established under Article 3 or 4. The | 12 |
| investment authority of a board
of trustees of a retirement | 13 |
| system or pension fund established under this
Code shall, if so | 14 |
| provided in the Article establishing such retirement system
or | 15 |
| pension fund, embrace the following investments:
| 16 |
| (1) Bonds, notes and other direct obligations of the United | 17 |
| States
Government; bonds, notes and other obligations of any | 18 |
| United States
Government agency or instrumentality, whether or | 19 |
| not guaranteed; and
obligations the principal and interest of | 20 |
| which are guaranteed
unconditionally by the United States | 21 |
| Government or by an agency or
instrumentality thereof.
| 22 |
| (2) Obligations of the Inter-American Development Bank, | 23 |
| the
International Bank for Reconstruction and Development, the | 24 |
| African
Development Bank, the International Finance |
|
|
|
09600SB3514ham002 |
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LRB096 18423 AMC 41252 a |
|
| 1 |
| Corporation, and the Asian
Development Bank.
| 2 |
| (3) Obligations of any state, or of any political | 3 |
| subdivision in
Illinois, or of any county or city in any other | 4 |
| state having a
population as shown by the last federal census | 5 |
| of not less than 30,000
inhabitants provided that such | 6 |
| political subdivision is not permitted by
law to become | 7 |
| indebted in excess of 10% of the assessed valuation of
property | 8 |
| therein and has not defaulted for a period longer than 30 days
| 9 |
| in the payment of interest and principal on any of its general
| 10 |
| obligations or indebtedness during a period of 10 calendar | 11 |
| years
immediately preceding such investment.
| 12 |
| (3.1) Obligations of the State of Illinois issued in fiscal | 13 |
| year 2011 pursuant to Section 7.2 of the General Obligation | 14 |
| Bond Act. | 15 |
| (4) Nonconvertible bonds, debentures, notes and other | 16 |
| corporate
obligations of any corporation created or existing | 17 |
| under the laws of the
United States or any state, district or | 18 |
| territory thereof, provided
there has been no default on the | 19 |
| obligations of the corporation or its
predecessor(s) during the | 20 |
| 5 calendar years immediately preceding the
purchase. Up to 5% | 21 |
| of the assets of
a pension fund established under Article 9 of | 22 |
| this Code may be
invested in nonconvertible bonds, debentures, | 23 |
| notes, and other corporate
obligations of corporations created | 24 |
| or existing under the laws of a foreign
country, provided there | 25 |
| has been no default on the obligations of the
corporation or | 26 |
| its predecessors during the 5 calendar years immediately
|
|
|
|
09600SB3514ham002 |
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LRB096 18423 AMC 41252 a |
|
| 1 |
| preceding the date of purchase.
| 2 |
| (5) Obligations guaranteed by the Government of Canada, or | 3 |
| by any
Province of Canada, or by any Canadian city with a | 4 |
| population of not
less than 150,000 inhabitants, provided (a) | 5 |
| they are payable in United
States currency and are exempt from | 6 |
| any Canadian withholding tax; (b)
the investment in any one | 7 |
| issue of bonds shall not exceed 10% of the
amount outstanding; | 8 |
| and (c) the total investments at book value in
Canadian | 9 |
| securities shall be limited to 5% of the total investment
| 10 |
| account of the board at book value.
| 11 |
| (5.1) Direct obligations of the State of Israel for the | 12 |
| payment of
money, or obligations for the payment of money which | 13 |
| are guaranteed as
to the payment of principal and interest by | 14 |
| the State of Israel, or common
or preferred stock or notes | 15 |
| issued by a bank owned or controlled in whole
or in part by the | 16 |
| State of Israel, on the following conditions:
| 17 |
| (a) The total investments in such obligations shall not | 18 |
| exceed 5% of
the book value of the aggregate investments | 19 |
| owned by the board;
| 20 |
| (b) The State of Israel shall not be in default in the | 21 |
| payment of
principal or interest on any of its direct | 22 |
| general obligations on the
date of such investment;
| 23 |
| (c) The bonds, stock or notes, and interest thereon | 24 |
| shall be payable
in currency of the United States;
| 25 |
| (d) The bonds shall (1) contain an option for the | 26 |
| redemption thereof
after 90 days from date of purchase or |
|
|
|
09600SB3514ham002 |
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LRB096 18423 AMC 41252 a |
|
| 1 |
| (2) either become due 5 years from
the date of their | 2 |
| purchase or be subject to redemption 120 days after the
| 3 |
| date of notice for redemption;
| 4 |
| (e) The investment in these obligations has been | 5 |
| approved in writing
by investment counsel employed by the | 6 |
| board, which counsel shall be a
national or state bank or | 7 |
| trust company authorized to do a trust
business in the | 8 |
| State of Illinois, or an investment advisor qualified
under | 9 |
| the Federal Investment Advisors Act of 1940 and registered | 10 |
| under
the Illinois Securities Act of 1953;
| 11 |
| (f) The fund or system making the investment shall have | 12 |
| at least
$5,000,000 of net present assets.
| 13 |
| (6) Notes secured by mortgages under Sections 203, 207, 220 | 14 |
| and 221 of
the National Housing Act which are insured by the | 15 |
| Federal Housing Commissioner,
or his successor assigns, or | 16 |
| debentures issued by such Commissioner, which
are guaranteed as | 17 |
| to principal and interest by the Federal Housing
| 18 |
| Administration, or agency of the United States Government, | 19 |
| provided the
aggregate investment shall not exceed 20% of the | 20 |
| total investment account
of the board at book value, and | 21 |
| provided further that the investment in
such notes under | 22 |
| Sections 220 and 221 shall in no event exceed one-half of
the | 23 |
| maximum investment in notes under this paragraph.
| 24 |
| (7) Loans to veterans guaranteed in whole or part by the | 25 |
| United
States Government pursuant to Title III of the Act of | 26 |
| Congress known as
the "Servicemen's Readjustment Act of 1944," |
|
|
|
09600SB3514ham002 |
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LRB096 18423 AMC 41252 a |
|
| 1 |
| 58 Stat. 284, 38 U.S.C.
693, as amended or supplemented from | 2 |
| time to time, provided such
guaranteed loans are liens upon | 3 |
| real estate.
| 4 |
| (8) Common and preferred stocks and convertible debt | 5 |
| securities
authorized for investment of trust funds under the | 6 |
| laws of the State of
Illinois, provided:
| 7 |
| (a) the common stocks, except as provided in | 8 |
| subparagraph (g), are
listed on a national securities | 9 |
| exchange or board of trade, as defined in the
federal | 10 |
| Securities Exchange Act of 1934, or quoted in the National | 11 |
| Association
of Securities Dealers Automated Quotation | 12 |
| System (NASDAQ);
| 13 |
| (b) the securities are of a corporation created or | 14 |
| existing under
the laws of the United States or any state, | 15 |
| district or territory thereof,
except that up to 5% of the | 16 |
| assets of a pension fund established under Article
9 of | 17 |
| this Code may be invested in securities issued by | 18 |
| corporations created or
existing under the laws of a | 19 |
| foreign country, if those securities are otherwise
in | 20 |
| conformance with this paragraph (8);
| 21 |
| (c) the corporation is not in arrears on payment of | 22 |
| dividends on its
preferred stock;
| 23 |
| (d) the total book value of all stocks and convertible | 24 |
| debt owned by any
pension fund or retirement system shall | 25 |
| not exceed 40% of the aggregate
book value of all | 26 |
| investments of such pension fund or retirement system,
|
|
|
|
09600SB3514ham002 |
- 32 - |
LRB096 18423 AMC 41252 a |
|
| 1 |
| except for a pension fund or retirement system governed by | 2 |
| Article
9 or 17, where the total of all stocks and | 3 |
| convertible debt shall
not exceed 50% of the aggregate book | 4 |
| value of all fund investments, and
except for a pension | 5 |
| fund or retirement system governed by Article 13,
where the | 6 |
| total market value of all stocks and convertible debt shall | 7 |
| not
exceed 65% of the aggregate market value of all fund | 8 |
| investments;
| 9 |
| (e) the book value of stock and convertible debt | 10 |
| investments in any
one corporation shall not exceed 5% of | 11 |
| the total investment account at book
value in which such | 12 |
| securities are held, determined as of the date of the
| 13 |
| investment, and the investments in the stock of any one | 14 |
| corporation shall
not exceed 5% of the total outstanding | 15 |
| stock of such corporation, and the
investments in the | 16 |
| convertible debt of any one corporation shall not exceed
5% | 17 |
| of the total amount of such debt that may be outstanding;
| 18 |
| (f) the straight preferred stocks or convertible | 19 |
| preferred
stocks and convertible debt securities are | 20 |
| issued or guaranteed by a
corporation whose common stock | 21 |
| qualifies for investment by the board;
and
| 22 |
| (g) that any common stocks not listed or quoted as
| 23 |
| provided in subdivision 8(a) above be limited to the | 24 |
| following
types of institutions: (a) any bank which is a | 25 |
| member of the Federal
Deposit Insurance Corporation having | 26 |
| capital funds represented by
capital stock, surplus and |
|
|
|
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| 1 |
| undivided profits of at least $20,000,000;
(b) any life | 2 |
| insurance company having capital funds represented by
| 3 |
| capital stock, special surplus funds and unassigned | 4 |
| surplus totalling at
least $50,000,000; and (c) any fire or | 5 |
| casualty insurance company, or a
combination thereof, | 6 |
| having capital funds represented by capital stock,
net | 7 |
| surplus and voluntary reserves of at least $50,000,000.
| 8 |
| (9) Withdrawable accounts of State chartered and federal | 9 |
| chartered
savings and loan associations insured by the Federal | 10 |
| Savings and Loan
Insurance Corporation; deposits or | 11 |
| certificates of deposit in State
and national banks insured by | 12 |
| the Federal Deposit Insurance Corporation;
and share accounts | 13 |
| or share certificate accounts in a State or federal credit
| 14 |
| union, the accounts of which are insured as required by the | 15 |
| Illinois Credit
Union Act or the Federal Credit Union Act, as | 16 |
| applicable.
| 17 |
| No bank or savings and loan association shall receive | 18 |
| investment funds
as permitted by this subsection (9), unless it | 19 |
| has complied with the
requirements established pursuant to | 20 |
| Section 6 of the Public Funds
Investment Act.
| 21 |
| (10) Trading, purchase or sale of listed options on | 22 |
| underlying
securities owned by the board.
| 23 |
| (11) Contracts and agreements supplemental thereto | 24 |
| providing for
investments in the general account of a life | 25 |
| insurance company authorized
to do business in Illinois.
| 26 |
| (12) Conventional mortgage pass-through securities which |
|
|
|
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| 1 |
| are evidenced
by interests in Illinois owner-occupied | 2 |
| residential mortgages, having not
less than an "A" rating from | 3 |
| at least one national securities
rating service. Such mortgages | 4 |
| may have loan-to-value ratios up to 95%,
provided that any | 5 |
| amount over 80% is insured by private mortgage insurance.
The | 6 |
| pool of such mortgages shall be insured by mortgage guaranty or | 7 |
| equivalent
insurance, in accordance with industry standards.
| 8 |
| (13) Pooled or commingled funds managed by a national or | 9 |
| State bank
which is authorized to do a trust business in the | 10 |
| State of Illinois, shares
of registered investment companies as | 11 |
| defined in the federal Investment
Company Act of 1940 which are | 12 |
| registered under that Act, and
separate accounts of a life | 13 |
| insurance company authorized to do business
in Illinois, where | 14 |
| such pooled or commingled funds, shares, or separate
accounts | 15 |
| are comprised of common or preferred stocks, bonds, or money | 16 |
| market
instruments.
| 17 |
| (14) Pooled or commingled funds managed by a national or | 18 |
| state
bank which is authorized to do a trust business in the | 19 |
| State of Illinois,
separate accounts managed by a life | 20 |
| insurance company authorized to
do business in Illinois, and | 21 |
| commingled group trusts managed by an investment
adviser | 22 |
| registered under the federal Investment Advisors Act of 1940 | 23 |
| (15
U.S.C. 80b-1 et seq.) and under the Illinois Securities Law | 24 |
| of 1953, where
such pooled or commingled funds, separate | 25 |
| accounts or commingled group
trusts are comprised of real | 26 |
| estate or loans upon real estate secured by
first or second |
|
|
|
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| 1 |
| mortgages. The total investment in such pooled or
commingled | 2 |
| funds, commingled group trusts and separate accounts shall not
| 3 |
| exceed 10% of the aggregate book value of all investments owned | 4 |
| by the fund.
| 5 |
| (15) Investment companies which (a) are registered as such | 6 |
| under the
Investment Company Act of 1940, (b) are diversified, | 7 |
| open-end management
investment companies and (c) invest only in | 8 |
| money market instruments.
| 9 |
| (16) Up to 10% of the assets of the fund may be invested in | 10 |
| investments
not included in paragraphs (1) through (15) of this | 11 |
| Section, provided that
such investments comply with the | 12 |
| requirements and restrictions set forth in
Sections 1-109, | 13 |
| 1-109.1, 1-109.2, 1-110 and 1-111 of this Code.
| 14 |
| The board shall have the authority to enter into such | 15 |
| agreements and to
execute such documents as it determines to be | 16 |
| necessary to complete any
investment transaction.
| 17 |
| Any limitations herein set forth shall be applicable only | 18 |
| at the time
of purchase and shall not require the liquidation | 19 |
| of any investment at
any time.
| 20 |
| All investments shall be clearly held and accounted for to | 21 |
| indicate
ownership by such board. Such board may direct the | 22 |
| registration of
securities in its own name or in the name of a | 23 |
| nominee created for the
express purpose of registration of | 24 |
| securities by a national or state
bank or trust company | 25 |
| authorized to conduct a trust business
in the State of | 26 |
| Illinois.
|
|
|
|
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| Investments shall be carried at cost or at a value | 2 |
| determined in accordance
with
generally accepted accounting | 3 |
| principles and accounting procedures
approved by such board.
| 4 |
| (Source: P.A. 92-53, eff. 7-12-01.)
| 5 |
| (40 ILCS 5/1-114) (from Ch. 108 1/2, par. 1-114)
| 6 |
| Sec. 1-114. Liability for Breach of Fiduciary Duty. (a) Any | 7 |
| person who is a fiduciary with respect to a retirement system | 8 |
| or
pension fund established under this Code who breaches any | 9 |
| duty
imposed upon fiduciaries by this Code shall be personally | 10 |
| liable to make
good to such retirement system or pension fund | 11 |
| any losses to it resulting
from each such breach, and to | 12 |
| restore to such retirement system or pension
fund any profits | 13 |
| of such fiduciary which have been made through use of assets
of | 14 |
| the retirement system or pension fund by the fiduciary, and | 15 |
| shall be
subject to such equitable or remedial relief as the | 16 |
| court may deem appropriate,
including the removal of such | 17 |
| fiduciary.
| 18 |
| (b) No person shall be liable with respect to a breach of | 19 |
| fiduciary duty
under this Code if such breach occurred before | 20 |
| such person became a fiduciary
or after such person ceased to | 21 |
| be a fiduciary.
| 22 |
| (c) No person shall be liable with respect to a breach of | 23 |
| fiduciary duty under this Code for investing in obligations of | 24 |
| the State of Illinois issued in fiscal year 2011 pursuant to | 25 |
| Section 7.2 of the General Obligation Bond Act. |
|
|
|
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|
| 1 |
| (Source: P.A. 82-960.)
| 2 |
| (40 ILCS 5/2-124) (from Ch. 108 1/2, par. 2-124)
| 3 |
| Sec. 2-124. Contributions by State.
| 4 |
| (a) The State shall make contributions to the System by
| 5 |
| appropriations of amounts which, together with the | 6 |
| contributions of
participants, interest earned on investments, | 7 |
| and other income
will meet the cost of maintaining and | 8 |
| administering the System on a 90%
funded basis in accordance | 9 |
| with actuarial recommendations.
| 10 |
| (b) The Board shall determine the amount of State
| 11 |
| contributions required for each fiscal year on the basis of the
| 12 |
| actuarial tables and other assumptions adopted by the Board and | 13 |
| the
prescribed rate of interest, using the formula in | 14 |
| subsection (c).
| 15 |
| (c) For State fiscal years 2011 through 2045, the minimum | 16 |
| contribution
to the System to be made by the State for each | 17 |
| fiscal year shall be an amount
determined by the System to be | 18 |
| sufficient to bring the total assets of the
System up to 90% of | 19 |
| the total actuarial liabilities of the System by the end of
| 20 |
| State fiscal year 2045. In making these determinations, the | 21 |
| required State
contribution shall be calculated each year as a | 22 |
| level percentage of payroll
over the years remaining to and | 23 |
| including fiscal year 2045 and shall be
determined under the | 24 |
| projected unit credit actuarial cost method.
| 25 |
| For State fiscal years 1996 through 2005, the State |
|
|
|
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| 1 |
| contribution to
the System, as a percentage of the applicable | 2 |
| employee payroll, shall be
increased in equal annual increments | 3 |
| so that by State fiscal year 2011, the
State is contributing at | 4 |
| the rate required under this Section.
| 5 |
| Notwithstanding any other provision of this Article, the | 6 |
| total required State
contribution for State fiscal year 2006 is | 7 |
| $4,157,000.
| 8 |
| Notwithstanding any other provision of this Article, the | 9 |
| total required State
contribution for State fiscal year 2007 is | 10 |
| $5,220,300.
| 11 |
| For each of State fiscal years 2008 through 2009, the State | 12 |
| contribution to
the System, as a percentage of the applicable | 13 |
| employee payroll, shall be
increased in equal annual increments | 14 |
| from the required State contribution for State fiscal year | 15 |
| 2007, so that by State fiscal year 2011, the
State is | 16 |
| contributing at the rate otherwise required under this Section.
| 17 |
| Notwithstanding any other provision of this Article, the | 18 |
| total required State contribution for State fiscal year 2010 is | 19 |
| $10,454,000 and shall be made from the proceeds of bonds sold | 20 |
| in fiscal year 2010 pursuant to Section 7.2 of the General | 21 |
| Obligation Bond Act, less (i) the pro rata share of bond sale | 22 |
| expenses determined by the System's share of total bond | 23 |
| proceeds, (ii) any amounts received from the General Revenue | 24 |
| Fund in fiscal year 2010, and (iii) any reduction in bond | 25 |
| proceeds due to the issuance of discounted bonds, if | 26 |
| applicable. |
|
|
|
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| 1 |
| Notwithstanding any other provision of this Article, the | 2 |
| total required State contribution for State fiscal year 2011 is | 3 |
| the amount recertified by the System pursuant to this | 4 |
| amendatory Act of the 96th General Assembly. Subject to the | 5 |
| requirements of Section 7.2 of the General Obligation Bond Act, | 6 |
| the State contribution for fiscal year 2011 may be made through | 7 |
| any combination of (i) the transfer of bonds to the System in | 8 |
| fiscal year 2011 and (ii) the proceeds of bonds sold by | 9 |
| negotiated sale in fiscal year 2011 pursuant to Section 7.2 of | 10 |
| the General Obligation Bond Act, less (A) the pro rata share of | 11 |
| bond sale expenses determined by the System's share of total | 12 |
| bond proceeds, (B) any amounts received from the General | 13 |
| Revenue Fund or the State Pensions Fund in fiscal year 2011, | 14 |
| and (C) any reduction in bond proceeds due to the issuance of | 15 |
| discounted bonds, if applicable. If no bonds are issued | 16 |
| directly to the System in accordance with Section 7.2 of the | 17 |
| General Obligation Bond Act and if in the sole determination of | 18 |
| the Director of the Governor's Office of Management and Budget | 19 |
| market conditions do not support the issuance of bonds by | 20 |
| negotiated sale in order to make all or a portion of the | 21 |
| required contribution, he or she shall so inform the System in | 22 |
| writing and the State contribution for fiscal year 2011 shall | 23 |
| be only the System's pro rata share, based on the amounts | 24 |
| recertified by each System pursuant to this amendatory Act of | 25 |
| the 96th General Assembly, of the proceeds of bonds issued, | 26 |
| less (A) the pro rata share of bond sale expenses determined by |
|
|
|
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| 1 |
| the System's share of total bond proceeds, (B) any amounts | 2 |
| received from the General Revenue Fund or the State Pensions | 3 |
| Fund in fiscal year 2011, and (C) any reduction in bond | 4 |
| proceeds due to the issuance of discounted bonds, if | 5 |
| applicable. | 6 |
| Beginning in State fiscal year 2046, the minimum State | 7 |
| contribution for
each fiscal year shall be the amount needed to | 8 |
| maintain the total assets of
the System at 90% of the total | 9 |
| actuarial liabilities of the System.
| 10 |
| Amounts received by the System pursuant to Section 25 of | 11 |
| the Budget Stabilization Act or Section 8.12 of the State | 12 |
| Finance Act in any fiscal year do not reduce and do not | 13 |
| constitute payment of any portion of the minimum State | 14 |
| contribution required under this Article in that fiscal year. | 15 |
| Such amounts shall not reduce, and shall not be included in the | 16 |
| calculation of, the required State contributions under this | 17 |
| Article in any future year until the System has reached a | 18 |
| funding ratio of at least 90%. A reference in this Article to | 19 |
| the "required State contribution" or any substantially similar | 20 |
| term does not include or apply to any amounts payable to the | 21 |
| System under Section 25 of the Budget Stabilization Act.
| 22 |
| Notwithstanding any other provision of this Section, the | 23 |
| required State
contribution for State fiscal year 2005 and for | 24 |
| fiscal year 2008 and each fiscal year thereafter, as
calculated | 25 |
| under this Section and
certified under Section 2-134, shall not | 26 |
| exceed an amount equal to (i) the
amount of the required State |
|
|
|
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|
| 1 |
| contribution that would have been calculated under
this Section | 2 |
| for that fiscal year if the System had not received any | 3 |
| payments
under subsection (d) of Section 7.2 of the General | 4 |
| Obligation Bond Act, minus
(ii) the portion of the State's | 5 |
| total debt service payments for that fiscal
year on the bonds | 6 |
| issued for the purposes of that Section 7.2, as determined
and | 7 |
| certified by the Comptroller, that is the same as the System's | 8 |
| portion of
the total moneys distributed under subsection (d) of | 9 |
| Section 7.2 of the General
Obligation Bond Act. In determining | 10 |
| this maximum for State fiscal years 2008 through 2010, however, | 11 |
| the amount referred to in item (i) shall be increased, as a | 12 |
| percentage of the applicable employee payroll, in equal | 13 |
| increments calculated from the sum of the required State | 14 |
| contribution for State fiscal year 2007 plus the applicable | 15 |
| portion of the State's total debt service payments for fiscal | 16 |
| year 2007 on the bonds issued for the purposes of Section 7.2 | 17 |
| of the General
Obligation Bond Act, so that, by State fiscal | 18 |
| year 2011, the
State is contributing at the rate otherwise | 19 |
| required under this Section.
| 20 |
| (d) For purposes of determining the required State | 21 |
| contribution to the System, the value of the System's assets | 22 |
| shall be equal to the actuarial value of the System's assets, | 23 |
| which shall be calculated as follows: | 24 |
| As of June 30, 2008, the actuarial value of the System's | 25 |
| assets shall be equal to the market value of the assets as of | 26 |
| that date. In determining the actuarial value of the System's |
|
|
|
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|
| 1 |
| assets for fiscal years after June 30, 2008, any actuarial | 2 |
| gains or losses from investment return incurred in a fiscal | 3 |
| year shall be recognized in equal annual amounts over the | 4 |
| 5-year period following that fiscal year. | 5 |
| (e) For purposes of determining the required State | 6 |
| contribution to the system for a particular year, the actuarial | 7 |
| value of assets shall be assumed to earn a rate of return equal | 8 |
| to the system's actuarially assumed rate of return. | 9 |
| (Source: P.A. 95-950, eff. 8-29-08; 96-43, eff. 7-15-09.)
| 10 |
| (40 ILCS 5/2-134)
(from Ch. 108 1/2, par. 2-134)
| 11 |
| Sec. 2-134. To certify required State contributions and | 12 |
| submit vouchers.
| 13 |
| (a) The Board shall certify to the Governor on or before | 14 |
| December 15 of each
year the amount of the required State | 15 |
| contribution to the System for the next
fiscal year. The | 16 |
| certification shall include a copy of the actuarial
| 17 |
| recommendations upon which it is based.
| 18 |
| On or before May 1, 2004, the Board shall recalculate and | 19 |
| recertify to
the Governor the amount of the required State | 20 |
| contribution to the System for
State fiscal year 2005, taking | 21 |
| into account the amounts appropriated to and
received by the | 22 |
| System under subsection (d) of Section 7.2 of the General
| 23 |
| Obligation Bond Act.
| 24 |
| On or before July 1, 2005, the Board shall recalculate and | 25 |
| recertify
to the Governor the amount of the required State
|
|
|
|
09600SB3514ham002 |
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LRB096 18423 AMC 41252 a |
|
| 1 |
| contribution to the System for State fiscal year 2006, taking | 2 |
| into account the changes in required State contributions made | 3 |
| by this amendatory Act of the 94th General Assembly.
| 4 |
| On or before May 15, 2010, the Board shall recalculate and | 5 |
| recertify to the Governor the amount of the required State | 6 |
| contribution to the System for State fiscal year 2011, applying | 7 |
| the changes made by Public Act 96-889 to the System's assets | 8 |
| and liabilities as of June 30, 2009 as though Public Act 96-889 | 9 |
| was approved on that date. | 10 |
| (b) Beginning in State fiscal year 1996, on or as soon as | 11 |
| possible after the
15th day of each month the Board shall | 12 |
| submit vouchers for payment of State
contributions to the | 13 |
| System, in a total monthly amount of one-twelfth of the
| 14 |
| required annual State contribution certified under subsection | 15 |
| (a).
From the effective date of this amendatory Act
of the 93rd | 16 |
| General Assembly through June 30, 2004, the Board shall not
| 17 |
| submit vouchers for the remainder of fiscal year 2004 in excess | 18 |
| of the
fiscal year 2004 certified contribution amount | 19 |
| determined
under this Section after taking into consideration | 20 |
| the transfer to the
System under subsection (d) of Section | 21 |
| 6z-61 of the State Finance Act.
These
vouchers shall be paid by | 22 |
| the State Comptroller and Treasurer by warrants drawn
on the | 23 |
| funds appropriated to the System for that fiscal year. If in | 24 |
| any month
the amount remaining unexpended from all other | 25 |
| appropriations to the System for
the applicable fiscal year | 26 |
| (including the appropriations to the System under
Section 8.12 |
|
|
|
09600SB3514ham002 |
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|
| 1 |
| of the State Finance Act and Section 1 of the State Pension | 2 |
| Funds
Continuing Appropriation Act) is less than the amount | 3 |
| lawfully vouchered under
this Section, the difference shall be | 4 |
| paid from the General Revenue Fund under
the continuing | 5 |
| appropriation authority provided in Section 1.1 of the State
| 6 |
| Pension Funds Continuing Appropriation Act.
| 7 |
| (c) The full amount of any annual appropriation for the | 8 |
| System for
State fiscal year 1995 shall be transferred and made | 9 |
| available to the System
at the beginning of that fiscal year at | 10 |
| the request of the Board.
Any excess funds remaining at the end | 11 |
| of any fiscal year from appropriations
shall be retained by the | 12 |
| System as a general reserve to meet the System's
accrued | 13 |
| liabilities.
| 14 |
| (Source: P.A. 94-4, eff. 6-1-05; 94-536, eff. 8-10-05; 95-331, | 15 |
| eff. 8-21-07.)
| 16 |
| (40 ILCS 5/14-131)
| 17 |
| Sec. 14-131. Contributions by State.
| 18 |
| (a) The State shall make contributions to the System by | 19 |
| appropriations of
amounts which, together with other employer | 20 |
| contributions from trust, federal,
and other funds, employee | 21 |
| contributions, investment income, and other income,
will be | 22 |
| sufficient to meet the cost of maintaining and administering | 23 |
| the System
on a 90% funded basis in accordance with actuarial | 24 |
| recommendations.
| 25 |
| For the purposes of this Section and Section 14-135.08, |
|
|
|
09600SB3514ham002 |
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|
| 1 |
| references to State
contributions refer only to employer | 2 |
| contributions and do not include employee
contributions that | 3 |
| are picked up or otherwise paid by the State or a
department on | 4 |
| behalf of the employee.
| 5 |
| (b) The Board shall determine the total amount of State | 6 |
| contributions
required for each fiscal year on the basis of the | 7 |
| actuarial tables and other
assumptions adopted by the Board, | 8 |
| using the formula in subsection (e).
| 9 |
| The Board shall also determine a State contribution rate | 10 |
| for each fiscal
year, expressed as a percentage of payroll, | 11 |
| based on the total required State
contribution for that fiscal | 12 |
| year (less the amount received by the System from
| 13 |
| appropriations under Section 8.12 of the State Finance Act and | 14 |
| Section 1 of the
State Pension Funds Continuing Appropriation | 15 |
| Act, if any, for the fiscal year
ending on the June 30 | 16 |
| immediately preceding the applicable November 15
certification | 17 |
| deadline), the estimated payroll (including all forms of
| 18 |
| compensation) for personal services rendered by eligible | 19 |
| employees, and the
recommendations of the actuary.
| 20 |
| For the purposes of this Section and Section 14.1 of the | 21 |
| State Finance Act,
the term "eligible employees" includes | 22 |
| employees who participate in the System,
persons who may elect | 23 |
| to participate in the System but have not so elected,
persons | 24 |
| who are serving a qualifying period that is required for | 25 |
| participation,
and annuitants employed by a department as | 26 |
| described in subdivision (a)(1) or
(a)(2) of Section 14-111.
|
|
|
|
09600SB3514ham002 |
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|
| 1 |
| (c) Contributions shall be made by the several departments | 2 |
| for each pay
period by warrants drawn by the State Comptroller | 3 |
| against their respective
funds or appropriations based upon | 4 |
| vouchers stating the amount to be so
contributed. These amounts | 5 |
| shall be based on the full rate certified by the
Board under | 6 |
| Section 14-135.08 for that fiscal year.
From the effective date | 7 |
| of this amendatory Act of the 93rd General
Assembly through the | 8 |
| payment of the final payroll from fiscal year 2004
| 9 |
| appropriations, the several departments shall not make | 10 |
| contributions
for the remainder of fiscal year 2004 but shall | 11 |
| instead make payments
as required under subsection (a-1) of | 12 |
| Section 14.1 of the State Finance Act.
The several departments | 13 |
| shall resume those contributions at the commencement of
fiscal | 14 |
| year 2005.
| 15 |
| (c-1) Notwithstanding subsection (c) of this Section, for | 16 |
| fiscal year 2010 only, contributions by the several departments | 17 |
| are not required to be made for General Revenue Funds payrolls | 18 |
| processed by the Comptroller. Payrolls paid by the several | 19 |
| departments from all other State funds must continue to be | 20 |
| processed pursuant to subsection (c) of this Section. | 21 |
| (c-2) For State fiscal year 2010 only, on or as soon as | 22 |
| possible after the 15th day of each month the Board shall | 23 |
| submit vouchers for payment of State contributions to the | 24 |
| System, in a total monthly amount of one-twelfth of the fiscal | 25 |
| year 2010 General Revenue Fund appropriation to the System. | 26 |
| (c-3) Notwithstanding subsection (c) of this Section, for |
|
|
|
09600SB3514ham002 |
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|
| 1 |
| fiscal year 2011 only, contributions by the several departments | 2 |
| are not required to be made for General Revenue Fund payrolls | 3 |
| processed by the Comptroller. Payrolls paid by the several | 4 |
| departments from all other State funds must continue to be | 5 |
| processed pursuant to subsection (c) of this Section. | 6 |
| (d) If an employee is paid from trust funds or federal | 7 |
| funds, the
department or other employer shall pay employer | 8 |
| contributions from those funds
to the System at the certified | 9 |
| rate, unless the terms of the trust or the
federal-State | 10 |
| agreement preclude the use of the funds for that purpose, in
| 11 |
| which case the required employer contributions shall be paid by | 12 |
| the State.
From the effective date of this amendatory
Act of | 13 |
| the 93rd General Assembly through the payment of the final
| 14 |
| payroll from fiscal year 2004 appropriations, the department or | 15 |
| other
employer shall not pay contributions for the remainder of | 16 |
| fiscal year
2004 but shall instead make payments as required | 17 |
| under subsection (a-1) of
Section 14.1 of the State Finance | 18 |
| Act. The department or other employer shall
resume payment of
| 19 |
| contributions at the commencement of fiscal year 2005.
| 20 |
| (e) For State fiscal years 2011 through 2045, the minimum | 21 |
| contribution
to the System to be made by the State for each | 22 |
| fiscal year shall be an amount
determined by the System to be | 23 |
| sufficient to bring the total assets of the
System up to 90% of | 24 |
| the total actuarial liabilities of the System by the end
of | 25 |
| State fiscal year 2045. In making these determinations, the | 26 |
| required State
contribution shall be calculated each year as a |
|
|
|
09600SB3514ham002 |
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| 1 |
| level percentage of payroll
over the years remaining to and | 2 |
| including fiscal year 2045 and shall be
determined under the | 3 |
| projected unit credit actuarial cost method.
| 4 |
| For State fiscal years 1996 through 2005, the State | 5 |
| contribution to
the System, as a percentage of the applicable | 6 |
| employee payroll, shall be
increased in equal annual increments | 7 |
| so that by State fiscal year 2011, the
State is contributing at | 8 |
| the rate required under this Section; except that
(i) for State | 9 |
| fiscal year 1998, for all purposes of this Code and any other
| 10 |
| law of this State, the certified percentage of the applicable | 11 |
| employee payroll
shall be 5.052% for employees earning eligible | 12 |
| creditable service under Section
14-110 and 6.500% for all | 13 |
| other employees, notwithstanding any contrary
certification | 14 |
| made under Section 14-135.08 before the effective date of this
| 15 |
| amendatory Act of 1997, and (ii)
in the following specified | 16 |
| State fiscal years, the State contribution to
the System shall | 17 |
| not be less than the following indicated percentages of the
| 18 |
| applicable employee payroll, even if the indicated percentage | 19 |
| will produce a
State contribution in excess of the amount | 20 |
| otherwise required under this
subsection and subsection (a):
| 21 |
| 9.8% in FY 1999;
10.0% in FY 2000;
10.2% in FY 2001;
10.4% in FY | 22 |
| 2002;
10.6% in FY 2003; and
10.8% in FY 2004.
| 23 |
| Notwithstanding any other provision of this Article, the | 24 |
| total required State
contribution to the System for State | 25 |
| fiscal year 2006 is $203,783,900.
| 26 |
| Notwithstanding any other provision of this Article, the |
|
|
|
09600SB3514ham002 |
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| total required State
contribution to the System for State | 2 |
| fiscal year 2007 is $344,164,400.
| 3 |
| For each of State fiscal years 2008 through 2009, the State | 4 |
| contribution to
the System, as a percentage of the applicable | 5 |
| employee payroll, shall be
increased in equal annual increments | 6 |
| from the required State contribution for State fiscal year | 7 |
| 2007, so that by State fiscal year 2011, the
State is | 8 |
| contributing at the rate otherwise required under this Section.
| 9 |
| Notwithstanding any other provision of this Article, the | 10 |
| total required State General Revenue Fund contribution for | 11 |
| State fiscal year 2010 is $723,703,100 and shall be made from | 12 |
| the proceeds of bonds sold in fiscal year 2010 pursuant to | 13 |
| Section 7.2 of the General Obligation Bond Act, less (i) the | 14 |
| pro rata share of bond sale expenses determined by the System's | 15 |
| share of total bond proceeds, (ii) any amounts received from | 16 |
| the General Revenue Fund in fiscal year 2010, and (iii) any | 17 |
| reduction in bond proceeds due to the issuance of discounted | 18 |
| bonds, if applicable. | 19 |
| Notwithstanding any other provision of this Article, the | 20 |
| total required State General Revenue Fund contribution for | 21 |
| State fiscal year 2011 is the amount recertified by the System | 22 |
| pursuant to this amendatory Act of the 96th General Assembly. | 23 |
| Subject to the requirements of Section 7.2 of the General | 24 |
| Obligation Bond Act, the State contribution for fiscal year | 25 |
| 2011 may be made through any combination of (i) the transfer of | 26 |
| bonds to the System in fiscal year 2011 and (ii) the proceeds |
|
|
|
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| of bonds sold by negotiated sale in fiscal year 2011 pursuant | 2 |
| to Section 7.2 of the General Obligation Bond Act, less (A) the | 3 |
| pro rata share of bond sale expenses determined by the System's | 4 |
| share of total bond proceeds, (B) any amounts received from the | 5 |
| General Revenue Fund or the State Pensions Fund in fiscal year | 6 |
| 2011, and (C) any reduction in bond proceeds due to the | 7 |
| issuance of discounted bonds, if applicable. If no bonds are | 8 |
| issued directly to the System in accordance with Section 7.2 of | 9 |
| the General Obligation Bond Act and if in the sole | 10 |
| determination of the Director of the Governor's Office of | 11 |
| Management and Budget market conditions do not support the | 12 |
| issuance of bonds by negotiated sale in order to make all or a | 13 |
| portion of the required contribution, he or she shall so inform | 14 |
| the System in writing and the State contribution for fiscal | 15 |
| year 2011 shall be only the System's pro rata share, based on | 16 |
| the amounts recertified by each System pursuant to this | 17 |
| amendatory Act of the 96th General Assembly, of the proceeds of | 18 |
| bonds issued, less (A) the pro rata share of bond sale expenses | 19 |
| determined by the System's share of total bond proceeds, (B) | 20 |
| any amounts received from the General Revenue Fund or the State | 21 |
| Pensions Fund in fiscal year 2011, and (C) any reduction in | 22 |
| bond proceeds due to the issuance of discounted bonds, if | 23 |
| applicable. | 24 |
| Beginning in State fiscal year 2046, the minimum State | 25 |
| contribution for
each fiscal year shall be the amount needed to | 26 |
| maintain the total assets of
the System at 90% of the total |
|
|
|
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| 1 |
| actuarial liabilities of the System.
| 2 |
| Amounts received by the System pursuant to Section 25 of | 3 |
| the Budget Stabilization Act or Section 8.12 of the State | 4 |
| Finance Act in any fiscal year do not reduce and do not | 5 |
| constitute payment of any portion of the minimum State | 6 |
| contribution required under this Article in that fiscal year. | 7 |
| Such amounts shall not reduce, and shall not be included in the | 8 |
| calculation of, the required State contributions under this | 9 |
| Article in any future year until the System has reached a | 10 |
| funding ratio of at least 90%. A reference in this Article to | 11 |
| the "required State contribution" or any substantially similar | 12 |
| term does not include or apply to any amounts payable to the | 13 |
| System under Section 25 of the Budget Stabilization Act.
| 14 |
| Notwithstanding any other provision of this Section, the | 15 |
| required State
contribution for State fiscal year 2005 and for | 16 |
| fiscal year 2008 and each fiscal year thereafter, as
calculated | 17 |
| under this Section and
certified under Section 14-135.08, shall | 18 |
| not exceed an amount equal to (i) the
amount of the required | 19 |
| State contribution that would have been calculated under
this | 20 |
| Section for that fiscal year if the System had not received any | 21 |
| payments
under subsection (d) of Section 7.2 of the General | 22 |
| Obligation Bond Act, minus
(ii) the portion of the State's | 23 |
| total debt service payments for that fiscal
year on the bonds | 24 |
| issued for the purposes of that Section 7.2, as determined
and | 25 |
| certified by the Comptroller, that is the same as the System's | 26 |
| portion of
the total moneys distributed under subsection (d) of |
|
|
|
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| 1 |
| Section 7.2 of the General
Obligation Bond Act. In determining | 2 |
| this maximum for State fiscal years 2008 through 2010, however, | 3 |
| the amount referred to in item (i) shall be increased, as a | 4 |
| percentage of the applicable employee payroll, in equal | 5 |
| increments calculated from the sum of the required State | 6 |
| contribution for State fiscal year 2007 plus the applicable | 7 |
| portion of the State's total debt service payments for fiscal | 8 |
| year 2007 on the bonds issued for the purposes of Section 7.2 | 9 |
| of the General
Obligation Bond Act, so that, by State fiscal | 10 |
| year 2011, the
State is contributing at the rate otherwise | 11 |
| required under this Section.
| 12 |
| (f) After the submission of all payments for eligible | 13 |
| employees
from personal services line items in fiscal year 2004 | 14 |
| have been made,
the Comptroller shall provide to the System a | 15 |
| certification of the sum
of all fiscal year 2004 expenditures | 16 |
| for personal services that would
have been covered by payments | 17 |
| to the System under this Section if the
provisions of this | 18 |
| amendatory Act of the 93rd General Assembly had not been
| 19 |
| enacted. Upon
receipt of the certification, the System shall | 20 |
| determine the amount
due to the System based on the full rate | 21 |
| certified by the Board under
Section 14-135.08 for fiscal year | 22 |
| 2004 in order to meet the State's
obligation under this | 23 |
| Section. The System shall compare this amount
due to the amount | 24 |
| received by the System in fiscal year 2004 through
payments | 25 |
| under this Section and under Section 6z-61 of the State Finance | 26 |
| Act.
If the amount
due is more than the amount received, the |
|
|
|
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| 1 |
| difference shall be termed the
"Fiscal Year 2004 Shortfall" for | 2 |
| purposes of this Section, and the
Fiscal Year 2004 Shortfall | 3 |
| shall be satisfied under Section 1.2 of the State
Pension Funds | 4 |
| Continuing Appropriation Act. If the amount due is less than | 5 |
| the
amount received, the
difference shall be termed the "Fiscal | 6 |
| Year 2004 Overpayment" for purposes of
this Section, and the | 7 |
| Fiscal Year 2004 Overpayment shall be repaid by
the System to | 8 |
| the Pension Contribution Fund as soon as practicable
after the | 9 |
| certification.
| 10 |
| (g) For purposes of determining the required State | 11 |
| contribution to the System, the value of the System's assets | 12 |
| shall be equal to the actuarial value of the System's assets, | 13 |
| which shall be calculated as follows: | 14 |
| As of June 30, 2008, the actuarial value of the System's | 15 |
| assets shall be equal to the market value of the assets as of | 16 |
| that date. In determining the actuarial value of the System's | 17 |
| assets for fiscal years after June 30, 2008, any actuarial | 18 |
| gains or losses from investment return incurred in a fiscal | 19 |
| year shall be recognized in equal annual amounts over the | 20 |
| 5-year period following that fiscal year. | 21 |
| (h) For purposes of determining the required State | 22 |
| contribution to the System for a particular year, the actuarial | 23 |
| value of assets shall be assumed to earn a rate of return equal | 24 |
| to the System's actuarially assumed rate of return. | 25 |
| (i) (g) After the submission of all payments for eligible | 26 |
| employees from personal services line items paid from the |
|
|
|
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| 1 |
| General Revenue Fund in fiscal year 2010 have been made, the | 2 |
| Comptroller shall provide to the System a certification of the | 3 |
| sum of all fiscal year 2010 expenditures for personal services | 4 |
| that would have been covered by payments to the System under | 5 |
| this Section if the provisions of this amendatory Act of the | 6 |
| 96th General Assembly had not been enacted. Upon receipt of the | 7 |
| certification, the System shall determine the amount due to the | 8 |
| System based on the full rate certified by the Board under | 9 |
| Section 14-135.08 for fiscal year 2010 in order to meet the | 10 |
| State's obligation under this Section. The System shall compare | 11 |
| this amount due to the amount received by the System in fiscal | 12 |
| year 2010 through payments under this Section. If the amount | 13 |
| due is more than the amount received, the difference shall be | 14 |
| termed the "Fiscal Year 2010 Shortfall" for purposes of this | 15 |
| Section, and the Fiscal Year 2010 Shortfall shall be satisfied | 16 |
| under Section 1.2 of the State Pension Funds Continuing | 17 |
| Appropriation Act. If the amount due is less than the amount | 18 |
| received, the difference shall be termed the "Fiscal Year 2010 | 19 |
| Overpayment" for purposes of this Section, and the Fiscal Year | 20 |
| 2010 Overpayment shall be repaid by the System to the General | 21 |
| Revenue Fund as soon as practicable after the certification. | 22 |
| (Source: P.A. 95-950, eff. 8-29-08; 96-43, eff. 7-15-09; 96-45, | 23 |
| eff. 7-15-09; revised 11-3-09.)
| 24 |
| (40 ILCS 5/14-135.08) (from Ch. 108 1/2, par. 14-135.08)
| 25 |
| Sec. 14-135.08. To certify required State contributions. |
|
|
|
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|
| 1 |
| (a)
To certify to the Governor and to each department, on | 2 |
| or before
November 15 of each year, the required rate for State | 3 |
| contributions to the
System for the next State fiscal year, as | 4 |
| determined under subsection (b) of
Section 14-131. The | 5 |
| certification to the Governor shall include a copy of the
| 6 |
| actuarial recommendations upon which the rate is based.
| 7 |
| (b) The certification shall include an additional amount | 8 |
| necessary to pay all principal of and interest on those general | 9 |
| obligation bonds due the next fiscal year authorized by Section | 10 |
| 7.2(a) of the General Obligation Bond Act and issued to provide | 11 |
| the proceeds deposited by the State with the System in July | 12 |
| 2003, representing deposits other than amounts reserved under | 13 |
| Section 7.2(c) of the General Obligation Bond Act. For State | 14 |
| fiscal year 2005, the Board shall make a supplemental | 15 |
| certification of the additional amount necessary to pay all | 16 |
| principal of and interest on those general obligation bonds due | 17 |
| in State fiscal years 2004 and 2005 authorized by Section | 18 |
| 7.2(a) of the General Obligation Bond Act and issued to provide | 19 |
| the proceeds deposited by the State with the System in July | 20 |
| 2003, representing deposits other than amounts reserved under | 21 |
| Section 7.2(c) of the General Obligation Bond Act, as soon as | 22 |
| practical after the effective date of this amendatory Act of | 23 |
| the 93rd General Assembly.
| 24 |
| On or before May 1, 2004, the Board shall recalculate and | 25 |
| recertify
to the Governor and to each department the amount of | 26 |
| the required State
contribution to the System and the required |
|
|
|
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|
| 1 |
| rates for State contributions
to the System for State fiscal | 2 |
| year 2005, taking into account the amounts
appropriated to and | 3 |
| received by the System under subsection (d) of Section
7.2 of | 4 |
| the General Obligation Bond Act.
| 5 |
| On or before July 1, 2005, the Board shall recalculate and | 6 |
| recertify
to the Governor and to each department the amount of | 7 |
| the required State
contribution to the System and the required | 8 |
| rates for State contributions
to the System for State fiscal | 9 |
| year 2006, taking into account the changes in required State | 10 |
| contributions made by this amendatory Act of the 94th General | 11 |
| Assembly.
| 12 |
| On or before May 15, 2010, the Board shall recalculate and | 13 |
| recertify to the Governor and to each department the amount of | 14 |
| the required State contribution to the System for State fiscal | 15 |
| year 2011, applying the changes made by Public Act 96-889 to | 16 |
| the System's assets and liabilities as of June 30, 2009 as | 17 |
| though Public Act 96-889 was approved on that date. | 18 |
| (Source: P.A. 93-2, eff. 4-7-03; 93-839, eff. 7-30-04; 94-4, | 19 |
| eff. 6-1-05.)
| 20 |
| (40 ILCS 5/15-155) (from Ch. 108 1/2, par. 15-155)
| 21 |
| Sec. 15-155. Employer contributions.
| 22 |
| (a) The State of Illinois shall make contributions by | 23 |
| appropriations of
amounts which, together with the other | 24 |
| employer contributions from trust,
federal, and other funds, | 25 |
| employee contributions, income from investments,
and other |
|
|
|
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|
| 1 |
| income of this System, will be sufficient to meet the cost of
| 2 |
| maintaining and administering the System on a 90% funded basis | 3 |
| in accordance
with actuarial recommendations.
| 4 |
| The Board shall determine the amount of State contributions | 5 |
| required for
each fiscal year on the basis of the actuarial | 6 |
| tables and other assumptions
adopted by the Board and the | 7 |
| recommendations of the actuary, using the formula
in subsection | 8 |
| (a-1).
| 9 |
| (a-1) For State fiscal years 2011 through 2045, the minimum | 10 |
| contribution
to the System to be made by the State for each | 11 |
| fiscal year shall be an amount
determined by the System to be | 12 |
| sufficient to bring the total assets of the
System up to 90% of | 13 |
| the total actuarial liabilities of the System by the end of
| 14 |
| State fiscal year 2045. In making these determinations, the | 15 |
| required State
contribution shall be calculated each year as a | 16 |
| level percentage of payroll
over the years remaining to and | 17 |
| including fiscal year 2045 and shall be
determined under the | 18 |
| projected unit credit actuarial cost method.
| 19 |
| For State fiscal years 1996 through 2005, the State | 20 |
| contribution to
the System, as a percentage of the applicable | 21 |
| employee payroll, shall be
increased in equal annual increments | 22 |
| so that by State fiscal year 2011, the
State is contributing at | 23 |
| the rate required under this Section.
| 24 |
| Notwithstanding any other provision of this Article, the | 25 |
| total required State
contribution for State fiscal year 2006 is | 26 |
| $166,641,900.
|
|
|
|
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|
| 1 |
| Notwithstanding any other provision of this Article, the | 2 |
| total required State
contribution for State fiscal year 2007 is | 3 |
| $252,064,100.
| 4 |
| For each of State fiscal years 2008 through 2009, the State | 5 |
| contribution to
the System, as a percentage of the applicable | 6 |
| employee payroll, shall be
increased in equal annual increments | 7 |
| from the required State contribution for State fiscal year | 8 |
| 2007, so that by State fiscal year 2011, the
State is | 9 |
| contributing at the rate otherwise required under this Section.
| 10 |
| Notwithstanding any other provision of this Article, the | 11 |
| total required State contribution for State fiscal year 2010 is | 12 |
| $702,514,000 and shall be made from the State Pensions Fund and | 13 |
| proceeds of bonds sold in fiscal year 2010 pursuant to Section | 14 |
| 7.2 of the General Obligation Bond Act, less (i) the pro rata | 15 |
| share of bond sale expenses determined by the System's share of | 16 |
| total bond proceeds, (ii) any amounts received from the General | 17 |
| Revenue Fund in fiscal year 2010, (iii) any reduction in bond | 18 |
| proceeds due to the issuance of discounted bonds, if | 19 |
| applicable. | 20 |
| Notwithstanding any other provision of this Article, the | 21 |
| total required State contribution for State fiscal year 2011 is | 22 |
| the amount recertified by the System pursuant to this | 23 |
| amendatory Act of the 96th General Assembly. Subject to the | 24 |
| requirements of Section 7.2 of the General Obligation Bond Act, | 25 |
| the State contribution for fiscal year 2011 may be made through | 26 |
| any combination of (i) the transfer of bonds to the System in |
|
|
|
09600SB3514ham002 |
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|
| 1 |
| fiscal year 2011 and (ii) the proceeds of bonds sold by | 2 |
| negotiated sale in fiscal year 2011 pursuant to Section 7.2 of | 3 |
| the General Obligation Bond Act, less (A) the pro rata share of | 4 |
| bond sale expenses determined by the System's share of total | 5 |
| bond proceeds, (B) any amounts received from the General | 6 |
| Revenue Fund or the State Pensions Fund in fiscal year 2011, | 7 |
| and (C) any reduction in bond proceeds due to the issuance of | 8 |
| discounted bonds, if applicable. If no bonds are issued | 9 |
| directly to the System in accordance with Section 7.2 of the | 10 |
| General Obligation Bond Act and if in the sole determination of | 11 |
| the Director of the Governor's Office of Management and Budget | 12 |
| market conditions do not support the issuance of bonds by | 13 |
| negotiated sale in order to make all or a portion of the | 14 |
| required contribution, he or she shall so inform the System in | 15 |
| writing and the State contribution for fiscal year 2011 shall | 16 |
| be only the System's pro rata share, based on the amounts | 17 |
| recertified by each System pursuant to this amendatory Act of | 18 |
| the 96th General Assembly, of the proceeds of bonds issued, | 19 |
| less (A) the pro rata share of bond sale expenses determined by | 20 |
| the System's share of total bond proceeds, (B) any amounts | 21 |
| received from the General Revenue Fund or the State Pensions | 22 |
| Fund in fiscal year 2011, and (C) any reduction in bond | 23 |
| proceeds due to the issuance of discounted bonds, if | 24 |
| applicable. | 25 |
| Beginning in State fiscal year 2046, the minimum State | 26 |
| contribution for
each fiscal year shall be the amount needed to |
|
|
|
09600SB3514ham002 |
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LRB096 18423 AMC 41252 a |
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| 1 |
| maintain the total assets of
the System at 90% of the total | 2 |
| actuarial liabilities of the System.
| 3 |
| Amounts received by the System pursuant to Section 25 of | 4 |
| the Budget Stabilization Act or Section 8.12 of the State | 5 |
| Finance Act in any fiscal year do not reduce and do not | 6 |
| constitute payment of any portion of the minimum State | 7 |
| contribution required under this Article in that fiscal year. | 8 |
| Such amounts shall not reduce, and shall not be included in the | 9 |
| calculation of, the required State contributions under this | 10 |
| Article in any future year until the System has reached a | 11 |
| funding ratio of at least 90%. A reference in this Article to | 12 |
| the "required State contribution" or any substantially similar | 13 |
| term does not include or apply to any amounts payable to the | 14 |
| System under Section 25 of the Budget Stabilization Act. | 15 |
| Notwithstanding any other provision of this Section, the | 16 |
| required State
contribution for State fiscal year 2005 and for | 17 |
| fiscal year 2008 and each fiscal year thereafter, as
calculated | 18 |
| under this Section and
certified under Section 15-165, shall | 19 |
| not exceed an amount equal to (i) the
amount of the required | 20 |
| State contribution that would have been calculated under
this | 21 |
| Section for that fiscal year if the System had not received any | 22 |
| payments
under subsection (d) of Section 7.2 of the General | 23 |
| Obligation Bond Act, minus
(ii) the portion of the State's | 24 |
| total debt service payments for that fiscal
year on the bonds | 25 |
| issued for the purposes of that Section 7.2, as determined
and | 26 |
| certified by the Comptroller, that is the same as the System's |
|
|
|
09600SB3514ham002 |
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|
| 1 |
| portion of
the total moneys distributed under subsection (d) of | 2 |
| Section 7.2 of the General
Obligation Bond Act. In determining | 3 |
| this maximum for State fiscal years 2008 through 2010, however, | 4 |
| the amount referred to in item (i) shall be increased, as a | 5 |
| percentage of the applicable employee payroll, in equal | 6 |
| increments calculated from the sum of the required State | 7 |
| contribution for State fiscal year 2007 plus the applicable | 8 |
| portion of the State's total debt service payments for fiscal | 9 |
| year 2007 on the bonds issued for the purposes of Section 7.2 | 10 |
| of the General
Obligation Bond Act, so that, by State fiscal | 11 |
| year 2011, the
State is contributing at the rate otherwise | 12 |
| required under this Section.
| 13 |
| (b) If an employee is paid from trust or federal funds, the | 14 |
| employer
shall pay to the Board contributions from those funds | 15 |
| which are
sufficient to cover the accruing normal costs on | 16 |
| behalf of the employee.
However, universities having employees | 17 |
| who are compensated out of local
auxiliary funds, income funds, | 18 |
| or service enterprise funds are not required
to pay such | 19 |
| contributions on behalf of those employees. The local auxiliary
| 20 |
| funds, income funds, and service enterprise funds of | 21 |
| universities shall not be
considered trust funds for the | 22 |
| purpose of this Article, but funds of alumni
associations, | 23 |
| foundations, and athletic associations which are affiliated | 24 |
| with
the universities included as employers under this Article | 25 |
| and other employers
which do not receive State appropriations | 26 |
| are considered to be trust funds for
the purpose of this |
|
|
|
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| 1 |
| Article.
| 2 |
| (b-1) The City of Urbana and the City of Champaign shall | 3 |
| each make
employer contributions to this System for their | 4 |
| respective firefighter
employees who participate in this | 5 |
| System pursuant to subsection (h) of Section
15-107. The rate | 6 |
| of contributions to be made by those municipalities shall
be | 7 |
| determined annually by the Board on the basis of the actuarial | 8 |
| assumptions
adopted by the Board and the recommendations of the | 9 |
| actuary, and shall be
expressed as a percentage of salary for | 10 |
| each such employee. The Board shall
certify the rate to the | 11 |
| affected municipalities as soon as may be practical.
The | 12 |
| employer contributions required under this subsection shall be | 13 |
| remitted by
the municipality to the System at the same time and | 14 |
| in the same manner as
employee contributions.
| 15 |
| (c) Through State fiscal year 1995: The total employer | 16 |
| contribution shall
be apportioned among the various funds of | 17 |
| the State and other employers,
whether trust, federal, or other | 18 |
| funds, in accordance with actuarial procedures
approved by the | 19 |
| Board. State of Illinois contributions for employers receiving
| 20 |
| State appropriations for personal services shall be payable | 21 |
| from appropriations
made to the employers or to the System. The | 22 |
| contributions for Class I
community colleges covering earnings | 23 |
| other than those paid from trust and
federal funds, shall be | 24 |
| payable solely from appropriations to the Illinois
Community | 25 |
| College Board or the System for employer contributions.
| 26 |
| (d) Beginning in State fiscal year 1996, the required State |
|
|
|
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| contributions
to the System shall be appropriated directly to | 2 |
| the System and shall be payable
through vouchers issued in | 3 |
| accordance with subsection (c) of Section 15-165, except as | 4 |
| provided in subsection (g).
| 5 |
| (e) The State Comptroller shall draw warrants payable to | 6 |
| the System upon
proper certification by the System or by the | 7 |
| employer in accordance with the
appropriation laws and this | 8 |
| Code.
| 9 |
| (f) Normal costs under this Section means liability for
| 10 |
| pensions and other benefits which accrues to the System because | 11 |
| of the
credits earned for service rendered by the participants | 12 |
| during the
fiscal year and expenses of administering the | 13 |
| System, but shall not
include the principal of or any | 14 |
| redemption premium or interest on any bonds
issued by the Board | 15 |
| or any expenses incurred or deposits required in
connection | 16 |
| therewith.
| 17 |
| (g) If the amount of a participant's earnings for any | 18 |
| academic year used to determine the final rate of earnings, | 19 |
| determined on a full-time equivalent basis, exceeds the amount | 20 |
| of his or her earnings with the same employer for the previous | 21 |
| academic year, determined on a full-time equivalent basis, by | 22 |
| more than 6%, the participant's employer shall pay to the | 23 |
| System, in addition to all other payments required under this | 24 |
| Section and in accordance with guidelines established by the | 25 |
| System, the present value of the increase in benefits resulting | 26 |
| from the portion of the increase in earnings that is in excess |
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| of 6%. This present value shall be computed by the System on | 2 |
| the basis of the actuarial assumptions and tables used in the | 3 |
| most recent actuarial valuation of the System that is available | 4 |
| at the time of the computation. The System may require the | 5 |
| employer to provide any pertinent information or | 6 |
| documentation. | 7 |
| Whenever it determines that a payment is or may be required | 8 |
| under this subsection (g), the System shall calculate the | 9 |
| amount of the payment and bill the employer for that amount. | 10 |
| The bill shall specify the calculations used to determine the | 11 |
| amount due. If the employer disputes the amount of the bill, it | 12 |
| may, within 30 days after receipt of the bill, apply to the | 13 |
| System in writing for a recalculation. The application must | 14 |
| specify in detail the grounds of the dispute and, if the | 15 |
| employer asserts that the calculation is subject to subsection | 16 |
| (h) or (i) of this Section, must include an affidavit setting | 17 |
| forth and attesting to all facts within the employer's | 18 |
| knowledge that are pertinent to the applicability of subsection | 19 |
| (h) or (i). Upon receiving a timely application for | 20 |
| recalculation, the System shall review the application and, if | 21 |
| appropriate, recalculate the amount due.
| 22 |
| The employer contributions required under this subsection | 23 |
| (f) may be paid in the form of a lump sum within 90 days after | 24 |
| receipt of the bill. If the employer contributions are not paid | 25 |
| within 90 days after receipt of the bill, then interest will be | 26 |
| charged at a rate equal to the System's annual actuarially |
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| assumed rate of return on investment compounded annually from | 2 |
| the 91st day after receipt of the bill. Payments must be | 3 |
| concluded within 3 years after the employer's receipt of the | 4 |
| bill. | 5 |
| (h) This subsection (h) applies only to payments made or | 6 |
| salary increases given on or after June 1, 2005 but before July | 7 |
| 1, 2011. The changes made by Public Act 94-1057 shall not | 8 |
| require the System to refund any payments received before July | 9 |
| 31, 2006 (the effective date of Public Act 94-1057). | 10 |
| When assessing payment for any amount due under subsection | 11 |
| (g), the System shall exclude earnings increases paid to | 12 |
| participants under contracts or collective bargaining | 13 |
| agreements entered into, amended, or renewed before June 1, | 14 |
| 2005.
| 15 |
| When assessing payment for any amount due under subsection | 16 |
| (g), the System shall exclude earnings increases paid to a | 17 |
| participant at a time when the participant is 10 or more years | 18 |
| from retirement eligibility under Section 15-135.
| 19 |
| When assessing payment for any amount due under subsection | 20 |
| (g), the System shall exclude earnings increases resulting from | 21 |
| overload work, including a contract for summer teaching, or | 22 |
| overtime when the employer has certified to the System, and the | 23 |
| System has approved the certification, that: (i) in the case of | 24 |
| overloads (A) the overload work is for the sole purpose of | 25 |
| academic instruction in excess of the standard number of | 26 |
| instruction hours for a full-time employee occurring during the |
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| academic year that the overload is paid and (B) the earnings | 2 |
| increases are equal to or less than the rate of pay for | 3 |
| academic instruction computed using the participant's current | 4 |
| salary rate and work schedule; and (ii) in the case of | 5 |
| overtime, the overtime was necessary for the educational | 6 |
| mission. | 7 |
| When assessing payment for any amount due under subsection | 8 |
| (g), the System shall exclude any earnings increase resulting | 9 |
| from (i) a promotion for which the employee moves from one | 10 |
| classification to a higher classification under the State | 11 |
| Universities Civil Service System, (ii) a promotion in academic | 12 |
| rank for a tenured or tenure-track faculty position, or (iii) a | 13 |
| promotion that the Illinois Community College Board has | 14 |
| recommended in accordance with subsection (k) of this Section. | 15 |
| These earnings increases shall be excluded only if the | 16 |
| promotion is to a position that has existed and been filled by | 17 |
| a member for no less than one complete academic year and the | 18 |
| earnings increase as a result of the promotion is an increase | 19 |
| that results in an amount no greater than the average salary | 20 |
| paid for other similar positions. | 21 |
| (i) When assessing payment for any amount due under | 22 |
| subsection (g), the System shall exclude any salary increase | 23 |
| described in subsection (h) of this Section given on or after | 24 |
| July 1, 2011 but before July 1, 2014 under a contract or | 25 |
| collective bargaining agreement entered into, amended, or | 26 |
| renewed on or after June 1, 2005 but before July 1, 2011. |
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| Notwithstanding any other provision of this Section, any | 2 |
| payments made or salary increases given after June 30, 2014 | 3 |
| shall be used in assessing payment for any amount due under | 4 |
| subsection (g) of this Section.
| 5 |
| (j) The System shall prepare a report and file copies of | 6 |
| the report with the Governor and the General Assembly by | 7 |
| January 1, 2007 that contains all of the following information: | 8 |
| (1) The number of recalculations required by the | 9 |
| changes made to this Section by Public Act 94-1057 for each | 10 |
| employer. | 11 |
| (2) The dollar amount by which each employer's | 12 |
| contribution to the System was changed due to | 13 |
| recalculations required by Public Act 94-1057. | 14 |
| (3) The total amount the System received from each | 15 |
| employer as a result of the changes made to this Section by | 16 |
| Public Act 94-4. | 17 |
| (4) The increase in the required State contribution | 18 |
| resulting from the changes made to this Section by Public | 19 |
| Act 94-1057. | 20 |
| (k) The Illinois Community College Board shall adopt rules | 21 |
| for recommending lists of promotional positions submitted to | 22 |
| the Board by community colleges and for reviewing the | 23 |
| promotional lists on an annual basis. When recommending | 24 |
| promotional lists, the Board shall consider the similarity of | 25 |
| the positions submitted to those positions recognized for State | 26 |
| universities by the State Universities Civil Service System. |
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| The Illinois Community College Board shall file a copy of its | 2 |
| findings with the System. The System shall consider the | 3 |
| findings of the Illinois Community College Board when making | 4 |
| determinations under this Section. The System shall not exclude | 5 |
| any earnings increases resulting from a promotion when the | 6 |
| promotion was not submitted by a community college. Nothing in | 7 |
| this subsection (k) shall require any community college to | 8 |
| submit any information to the Community College Board.
| 9 |
| (l) For purposes of determining the required State | 10 |
| contribution to the System, the value of the System's assets | 11 |
| shall be equal to the actuarial value of the System's assets, | 12 |
| which shall be calculated as follows: | 13 |
| As of June 30, 2008, the actuarial value of the System's | 14 |
| assets shall be equal to the market value of the assets as of | 15 |
| that date. In determining the actuarial value of the System's | 16 |
| assets for fiscal years after June 30, 2008, any actuarial | 17 |
| gains or losses from investment return incurred in a fiscal | 18 |
| year shall be recognized in equal annual amounts over the | 19 |
| 5-year period following that fiscal year. | 20 |
| (m) For purposes of determining the required State | 21 |
| contribution to the system for a particular year, the actuarial | 22 |
| value of assets shall be assumed to earn a rate of return equal | 23 |
| to the system's actuarially assumed rate of return. | 24 |
| (Source: P.A. 95-331, eff. 8-21-07; 95-950, eff. 8-29-08; | 25 |
| 96-43, eff. 7-15-09.)
|
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| (40 ILCS 5/15-165)
(from Ch. 108 1/2, par. 15-165)
| 2 |
| Sec. 15-165. To certify amounts and submit vouchers.
| 3 |
| (a) The Board shall certify to the Governor on or before | 4 |
| November 15 of each
year the appropriation required from State | 5 |
| funds for the purposes of this
System for the following fiscal | 6 |
| year. The certification shall include a copy
of the actuarial | 7 |
| recommendations upon which it is based.
| 8 |
| On or before May 1, 2004, the Board shall recalculate and | 9 |
| recertify to
the Governor the amount of the required State | 10 |
| contribution to the System for
State fiscal year 2005, taking | 11 |
| into account the amounts appropriated to and
received by the | 12 |
| System under subsection (d) of Section 7.2 of the General
| 13 |
| Obligation Bond Act.
| 14 |
| On or before July 1, 2005, the Board shall recalculate and | 15 |
| recertify
to the Governor the amount of the required State
| 16 |
| contribution to the System for State fiscal year 2006, taking | 17 |
| into account the changes in required State contributions made | 18 |
| by this amendatory Act of the 94th General Assembly.
| 19 |
| On or before May 15, 2010, the Board shall recalculate and | 20 |
| recertify to the Governor the amount of the required State | 21 |
| contribution to the System for State fiscal year 2011, applying | 22 |
| the changes made by Public Act 96-889 to the System's assets | 23 |
| and liabilities as of June 30, 2009 as though Public Act 96-889 | 24 |
| was approved on that date. | 25 |
| (b) The Board shall certify to the State Comptroller or | 26 |
| employer, as the
case may be, from time to time, by its |
|
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| president and secretary, with its seal
attached, the amounts | 2 |
| payable to the System from the various funds.
| 3 |
| (c) Beginning in State fiscal year 1996, on or as soon as | 4 |
| possible after the
15th day of each month the Board shall | 5 |
| submit vouchers for payment of State
contributions to the | 6 |
| System, in a total monthly amount of one-twelfth of the
| 7 |
| required annual State contribution certified under subsection | 8 |
| (a).
From the effective date of this amendatory Act
of the 93rd | 9 |
| General Assembly through June 30, 2004, the Board shall not
| 10 |
| submit vouchers for the remainder of fiscal year 2004 in excess | 11 |
| of the
fiscal year 2004 certified contribution amount | 12 |
| determined
under this Section after taking into consideration | 13 |
| the transfer to the
System under subsection (b) of Section | 14 |
| 6z-61 of the State Finance Act.
These
vouchers shall be paid by | 15 |
| the State Comptroller and Treasurer by warrants drawn
on the | 16 |
| funds appropriated to the System for that fiscal year.
| 17 |
| If in any month the amount remaining unexpended from all | 18 |
| other
appropriations to the System for the applicable fiscal | 19 |
| year (including the
appropriations to the System under Section | 20 |
| 8.12 of the State Finance Act and
Section 1 of the State | 21 |
| Pension Funds Continuing Appropriation Act) is less than
the | 22 |
| amount lawfully vouchered under this Section, the difference | 23 |
| shall be paid
from the General Revenue Fund under the | 24 |
| continuing appropriation authority
provided in Section 1.1 of | 25 |
| the State Pension Funds Continuing Appropriation
Act.
| 26 |
| (d) So long as the payments received are the full amount |
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| lawfully
vouchered under this Section, payments received by the | 2 |
| System under this
Section shall be applied first toward the | 3 |
| employer contribution to the
self-managed plan established | 4 |
| under Section 15-158.2. Payments shall be
applied second toward | 5 |
| the employer's portion of the normal costs of the System,
as | 6 |
| defined in subsection (f) of Section 15-155. The balance shall | 7 |
| be applied
toward the unfunded actuarial liabilities of the | 8 |
| System.
| 9 |
| (e) In the event that the System does not receive, as a | 10 |
| result of
legislative enactment or otherwise, payments | 11 |
| sufficient to
fully fund the employer contribution to the | 12 |
| self-managed plan
established under Section 15-158.2 and to | 13 |
| fully fund that portion of the
employer's portion of the normal | 14 |
| costs of the System, as calculated in
accordance with Section | 15 |
| 15-155(a-1), then any payments received shall be
applied | 16 |
| proportionately to the optional retirement program established | 17 |
| under
Section 15-158.2 and to the employer's portion of the | 18 |
| normal costs of the
System, as calculated in accordance with | 19 |
| Section 15-155(a-1).
| 20 |
| (Source: P.A. 93-2, eff. 4-7-03; 93-665, eff. 3-5-04; 94-4, | 21 |
| eff. 6-1-05.)
| 22 |
| (40 ILCS 5/16-158)
(from Ch. 108 1/2, par. 16-158)
| 23 |
| Sec. 16-158. Contributions by State and other employing | 24 |
| units.
| 25 |
| (a) The State shall make contributions to the System by |
|
|
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| means of
appropriations from the Common School Fund and other | 2 |
| State funds of amounts
which, together with other employer | 3 |
| contributions, employee contributions,
investment income, and | 4 |
| other income, will be sufficient to meet the cost of
| 5 |
| maintaining and administering the System on a 90% funded basis | 6 |
| in accordance
with actuarial recommendations.
| 7 |
| The Board shall determine the amount of State contributions | 8 |
| required for
each fiscal year on the basis of the actuarial | 9 |
| tables and other assumptions
adopted by the Board and the | 10 |
| recommendations of the actuary, using the formula
in subsection | 11 |
| (b-3).
| 12 |
| (a-1) Annually, on or before November 15, the Board shall | 13 |
| certify to the
Governor the amount of the required State | 14 |
| contribution for the coming fiscal
year. The certification | 15 |
| shall include a copy of the actuarial recommendations
upon | 16 |
| which it is based.
| 17 |
| On or before May 1, 2004, the Board shall recalculate and | 18 |
| recertify to
the Governor the amount of the required State | 19 |
| contribution to the System for
State fiscal year 2005, taking | 20 |
| into account the amounts appropriated to and
received by the | 21 |
| System under subsection (d) of Section 7.2 of the General
| 22 |
| Obligation Bond Act.
| 23 |
| On or before July 1, 2005, the Board shall recalculate and | 24 |
| recertify
to the Governor the amount of the required State
| 25 |
| contribution to the System for State fiscal year 2006, taking | 26 |
| into account the changes in required State contributions made |
|
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| by this amendatory Act of the 94th General Assembly.
| 2 |
| On or before May 15, 2010, the Board shall recalculate and | 3 |
| recertify to the Governor the amount of the required State | 4 |
| contribution to the System for State fiscal year 2011, applying | 5 |
| the changes made by Public Act 96-889 to the System's assets | 6 |
| and liabilities as of June 30, 2009 as though Public Act 96-889 | 7 |
| was approved on that date. | 8 |
| (b) Through State fiscal year 1995, the State contributions | 9 |
| shall be
paid to the System in accordance with Section 18-7 of | 10 |
| the School Code.
| 11 |
| (b-1) Beginning in State fiscal year 1996, on the 15th day | 12 |
| of each month,
or as soon thereafter as may be practicable, the | 13 |
| Board shall submit vouchers
for payment of State contributions | 14 |
| to the System, in a total monthly amount of
one-twelfth of the | 15 |
| required annual State contribution certified under
subsection | 16 |
| (a-1).
From the
effective date of this amendatory Act of the | 17 |
| 93rd General Assembly
through June 30, 2004, the Board shall | 18 |
| not submit vouchers for the
remainder of fiscal year 2004 in | 19 |
| excess of the fiscal year 2004
certified contribution amount | 20 |
| determined under this Section
after taking into consideration | 21 |
| the transfer to the System
under subsection (a) of Section | 22 |
| 6z-61 of the State Finance Act.
These vouchers shall be paid by | 23 |
| the State Comptroller and
Treasurer by warrants drawn on the | 24 |
| funds appropriated to the System for that
fiscal year.
| 25 |
| If in any month the amount remaining unexpended from all | 26 |
| other appropriations
to the System for the applicable fiscal |
|
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| year (including the appropriations to
the System under Section | 2 |
| 8.12 of the State Finance Act and Section 1 of the
State | 3 |
| Pension Funds Continuing Appropriation Act) is less than the | 4 |
| amount
lawfully vouchered under this subsection, the | 5 |
| difference shall be paid from the
Common School Fund under the | 6 |
| continuing appropriation authority provided in
Section 1.1 of | 7 |
| the State Pension Funds Continuing Appropriation Act.
| 8 |
| (b-2) Allocations from the Common School Fund apportioned | 9 |
| to school
districts not coming under this System shall not be | 10 |
| diminished or affected by
the provisions of this Article.
| 11 |
| (b-3) For State fiscal years 2011 through 2045, the minimum | 12 |
| contribution
to the System to be made by the State for each | 13 |
| fiscal year shall be an amount
determined by the System to be | 14 |
| sufficient to bring the total assets of the
System up to 90% of | 15 |
| the total actuarial liabilities of the System by the end of
| 16 |
| State fiscal year 2045. In making these determinations, the | 17 |
| required State
contribution shall be calculated each year as a | 18 |
| level percentage of payroll
over the years remaining to and | 19 |
| including fiscal year 2045 and shall be
determined under the | 20 |
| projected unit credit actuarial cost method.
| 21 |
| For State fiscal years 1996 through 2005, the State | 22 |
| contribution to the
System, as a percentage of the applicable | 23 |
| employee payroll, shall be increased
in equal annual increments | 24 |
| so that by State fiscal year 2011, the State is
contributing at | 25 |
| the rate required under this Section; except that in the
| 26 |
| following specified State fiscal years, the State contribution |
|
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| to the System
shall not be less than the following indicated | 2 |
| percentages of the applicable
employee payroll, even if the | 3 |
| indicated percentage will produce a State
contribution in | 4 |
| excess of the amount otherwise required under this subsection
| 5 |
| and subsection (a), and notwithstanding any contrary | 6 |
| certification made under
subsection (a-1) before the effective | 7 |
| date of this amendatory Act of 1998:
10.02% in FY 1999;
10.77% | 8 |
| in FY 2000;
11.47% in FY 2001;
12.16% in FY 2002;
12.86% in FY | 9 |
| 2003; and
13.56% in FY 2004.
| 10 |
| Notwithstanding any other provision of this Article, the | 11 |
| total required State
contribution for State fiscal year 2006 is | 12 |
| $534,627,700.
| 13 |
| Notwithstanding any other provision of this Article, the | 14 |
| total required State
contribution for State fiscal year 2007 is | 15 |
| $738,014,500.
| 16 |
| For each of State fiscal years 2008 through 2009, the State | 17 |
| contribution to
the System, as a percentage of the applicable | 18 |
| employee payroll, shall be
increased in equal annual increments | 19 |
| from the required State contribution for State fiscal year | 20 |
| 2007, so that by State fiscal year 2011, the
State is | 21 |
| contributing at the rate otherwise required under this Section.
| 22 |
| Notwithstanding any other provision of this Article, the | 23 |
| total required State contribution for State fiscal year 2010 is | 24 |
| $2,089,268,000 and shall be made from the proceeds of bonds | 25 |
| sold in fiscal year 2010 pursuant to Section 7.2 of the General | 26 |
| Obligation Bond Act, less (i) the pro rata share of bond sale |
|
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| expenses determined by the System's share of total bond | 2 |
| proceeds, (ii) any amounts received from the Common School Fund | 3 |
| in fiscal year 2010, and (iii) any reduction in bond proceeds | 4 |
| due to the issuance of discounted bonds, if applicable. | 5 |
| Notwithstanding any other provision of this Article, the | 6 |
| total required State contribution for State fiscal year 2011 is | 7 |
| the amount recertified by the System pursuant to this | 8 |
| amendatory Act of the 96th General Assembly. Subject to the | 9 |
| requirements of Section 7.2 of the General Obligation Bond Act, | 10 |
| the State contribution for fiscal year 2011 may be made through | 11 |
| any combination of (i) the transfer of bonds to the System in | 12 |
| fiscal year 2011 and (ii) the proceeds of bonds sold by | 13 |
| negotiated sale in fiscal year 2011 pursuant to Section 7.2 of | 14 |
| the General Obligation Bond Act, less (A) the pro rata share of | 15 |
| bond sale expenses determined by the System's share of total | 16 |
| bond proceeds, (B) any amounts received from the General | 17 |
| Revenue Fund, the Common School Fund, or the State Pensions | 18 |
| Fund in fiscal year 2011, and (C) any reduction in bond | 19 |
| proceeds due to the issuance of discounted bonds, if | 20 |
| applicable. If no bonds are issued directly to the System in | 21 |
| accordance with Section 7.2 of the General Obligation Bond Act | 22 |
| and if in the sole determination of the Director of the | 23 |
| Governor's Office of Management and Budget market conditions do | 24 |
| not support the issuance of bonds by negotiated sale in order | 25 |
| to make all or a portion of the required contribution, he or | 26 |
| she shall so inform the System in writing and the State |
|
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| contribution for fiscal year 2011 shall be only the System's | 2 |
| pro rata share, based on the amounts recertified by each System | 3 |
| pursuant to this amendatory Act of the 96th General Assembly, | 4 |
| of the proceeds of bonds issued, less (A) the pro rata share of | 5 |
| bond sale expenses determined by the System's share of total | 6 |
| bond proceeds, (B) any amounts received from the General | 7 |
| Revenue Fund, the Common School Fund, or the State Pensions | 8 |
| Fund in fiscal year 2011, and (C) any reduction in bond | 9 |
| proceeds due to the issuance of discounted bonds, if | 10 |
| applicable. | 11 |
| Beginning in State fiscal year 2046, the minimum State | 12 |
| contribution for
each fiscal year shall be the amount needed to | 13 |
| maintain the total assets of
the System at 90% of the total | 14 |
| actuarial liabilities of the System.
| 15 |
| Amounts received by the System pursuant to Section 25 of | 16 |
| the Budget Stabilization Act or Section 8.12 of the State | 17 |
| Finance Act in any fiscal year do not reduce and do not | 18 |
| constitute payment of any portion of the minimum State | 19 |
| contribution required under this Article in that fiscal year. | 20 |
| Such amounts shall not reduce, and shall not be included in the | 21 |
| calculation of, the required State contributions under this | 22 |
| Article in any future year until the System has reached a | 23 |
| funding ratio of at least 90%. A reference in this Article to | 24 |
| the "required State contribution" or any substantially similar | 25 |
| term does not include or apply to any amounts payable to the | 26 |
| System under Section 25 of the Budget Stabilization Act. |
|
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| Notwithstanding any other provision of this Section, the | 2 |
| required State
contribution for State fiscal year 2005 and for | 3 |
| fiscal year 2008 and each fiscal year thereafter, as
calculated | 4 |
| under this Section and
certified under subsection (a-1), shall | 5 |
| not exceed an amount equal to (i) the
amount of the required | 6 |
| State contribution that would have been calculated under
this | 7 |
| Section for that fiscal year if the System had not received any | 8 |
| payments
under subsection (d) of Section 7.2 of the General | 9 |
| Obligation Bond Act, minus
(ii) the portion of the State's | 10 |
| total debt service payments for that fiscal
year on the bonds | 11 |
| issued for the purposes of that Section 7.2, as determined
and | 12 |
| certified by the Comptroller, that is the same as the System's | 13 |
| portion of
the total moneys distributed under subsection (d) of | 14 |
| Section 7.2 of the General
Obligation Bond Act. In determining | 15 |
| this maximum for State fiscal years 2008 through 2010, however, | 16 |
| the amount referred to in item (i) shall be increased, as a | 17 |
| percentage of the applicable employee payroll, in equal | 18 |
| increments calculated from the sum of the required State | 19 |
| contribution for State fiscal year 2007 plus the applicable | 20 |
| portion of the State's total debt service payments for fiscal | 21 |
| year 2007 on the bonds issued for the purposes of Section 7.2 | 22 |
| of the General
Obligation Bond Act, so that, by State fiscal | 23 |
| year 2011, the
State is contributing at the rate otherwise | 24 |
| required under this Section.
| 25 |
| (c) Payment of the required State contributions and of all | 26 |
| pensions,
retirement annuities, death benefits, refunds, and |
|
|
|
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| 1 |
| other benefits granted
under or assumed by this System, and all | 2 |
| expenses in connection with the
administration and operation | 3 |
| thereof, are obligations of the State.
| 4 |
| If members are paid from special trust or federal funds | 5 |
| which are
administered by the employing unit, whether school | 6 |
| district or other
unit, the employing unit shall pay to the | 7 |
| System from such
funds the full accruing retirement costs based | 8 |
| upon that
service, as determined by the System. Employer | 9 |
| contributions, based on
salary paid to members from federal | 10 |
| funds, may be forwarded by the distributing
agency of the State | 11 |
| of Illinois to the System prior to allocation, in an
amount | 12 |
| determined in accordance with guidelines established by such
| 13 |
| agency and the System.
| 14 |
| (d) Effective July 1, 1986, any employer of a teacher as | 15 |
| defined in
paragraph (8) of Section 16-106 shall pay the | 16 |
| employer's normal cost
of benefits based upon the teacher's | 17 |
| service, in addition to
employee contributions, as determined | 18 |
| by the System. Such employer
contributions shall be forwarded | 19 |
| monthly in accordance with guidelines
established by the | 20 |
| System.
| 21 |
| However, with respect to benefits granted under Section | 22 |
| 16-133.4 or
16-133.5 to a teacher as defined in paragraph (8) | 23 |
| of Section 16-106, the
employer's contribution shall be 12% | 24 |
| (rather than 20%) of the member's
highest annual salary rate | 25 |
| for each year of creditable service granted, and
the employer | 26 |
| shall also pay the required employee contribution on behalf of
|
|
|
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| the teacher. For the purposes of Sections 16-133.4 and | 2 |
| 16-133.5, a teacher
as defined in paragraph (8) of Section | 3 |
| 16-106 who is serving in that capacity
while on leave of | 4 |
| absence from another employer under this Article shall not
be | 5 |
| considered an employee of the employer from which the teacher | 6 |
| is on leave.
| 7 |
| (e) Beginning July 1, 1998, every employer of a teacher
| 8 |
| shall pay to the System an employer contribution computed as | 9 |
| follows:
| 10 |
| (1) Beginning July 1, 1998 through June 30, 1999, the | 11 |
| employer
contribution shall be equal to 0.3% of each | 12 |
| teacher's salary.
| 13 |
| (2) Beginning July 1, 1999 and thereafter, the employer
| 14 |
| contribution shall be equal to 0.58% of each teacher's | 15 |
| salary.
| 16 |
| The school district or other employing unit may pay these | 17 |
| employer
contributions out of any source of funding available | 18 |
| for that purpose and
shall forward the contributions to the | 19 |
| System on the schedule established
for the payment of member | 20 |
| contributions.
| 21 |
| These employer contributions are intended to offset a | 22 |
| portion of the cost
to the System of the increases in | 23 |
| retirement benefits resulting from this
amendatory Act of 1998.
| 24 |
| Each employer of teachers is entitled to a credit against | 25 |
| the contributions
required under this subsection (e) with | 26 |
| respect to salaries paid to teachers
for the period January 1, |
|
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| 2002 through June 30, 2003, equal to the amount paid
by that | 2 |
| employer under subsection (a-5) of Section 6.6 of the State | 3 |
| Employees
Group Insurance Act of 1971 with respect to salaries | 4 |
| paid to teachers for that
period.
| 5 |
| The additional 1% employee contribution required under | 6 |
| Section 16-152 by
this amendatory Act of 1998 is the | 7 |
| responsibility of the teacher and not the
teacher's employer, | 8 |
| unless the employer agrees, through collective bargaining
or | 9 |
| otherwise, to make the contribution on behalf of the teacher.
| 10 |
| If an employer is required by a contract in effect on May | 11 |
| 1, 1998 between the
employer and an employee organization to | 12 |
| pay, on behalf of all its full-time
employees
covered by this | 13 |
| Article, all mandatory employee contributions required under
| 14 |
| this Article, then the employer shall be excused from paying | 15 |
| the employer
contribution required under this subsection (e) | 16 |
| for the balance of the term
of that contract. The employer and | 17 |
| the employee organization shall jointly
certify to the System | 18 |
| the existence of the contractual requirement, in such
form as | 19 |
| the System may prescribe. This exclusion shall cease upon the
| 20 |
| termination, extension, or renewal of the contract at any time | 21 |
| after May 1,
1998.
| 22 |
| (f) If the amount of a teacher's salary for any school year | 23 |
| used to determine final average salary exceeds the member's | 24 |
| annual full-time salary rate with the same employer for the | 25 |
| previous school year by more than 6%, the teacher's employer | 26 |
| shall pay to the System, in addition to all other payments |
|
|
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| 1 |
| required under this Section and in accordance with guidelines | 2 |
| established by the System, the present value of the increase in | 3 |
| benefits resulting from the portion of the increase in salary | 4 |
| that is in excess of 6%. This present value shall be computed | 5 |
| by the System on the basis of the actuarial assumptions and | 6 |
| tables used in the most recent actuarial valuation of the | 7 |
| System that is available at the time of the computation. If a | 8 |
| teacher's salary for the 2005-2006 school year is used to | 9 |
| determine final average salary under this subsection (f), then | 10 |
| the changes made to this subsection (f) by Public Act 94-1057 | 11 |
| shall apply in calculating whether the increase in his or her | 12 |
| salary is in excess of 6%. For the purposes of this Section, | 13 |
| change in employment under Section 10-21.12 of the School Code | 14 |
| on or after June 1, 2005 shall constitute a change in employer. | 15 |
| The System may require the employer to provide any pertinent | 16 |
| information or documentation.
The changes made to this | 17 |
| subsection (f) by this amendatory Act of the 94th General | 18 |
| Assembly apply without regard to whether the teacher was in | 19 |
| service on or after its effective date.
| 20 |
| Whenever it determines that a payment is or may be required | 21 |
| under this subsection, the System shall calculate the amount of | 22 |
| the payment and bill the employer for that amount. The bill | 23 |
| shall specify the calculations used to determine the amount | 24 |
| due. If the employer disputes the amount of the bill, it may, | 25 |
| within 30 days after receipt of the bill, apply to the System | 26 |
| in writing for a recalculation. The application must specify in |
|
|
|
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| detail the grounds of the dispute and, if the employer asserts | 2 |
| that the calculation is subject to subsection (g) or (h) of | 3 |
| this Section, must include an affidavit setting forth and | 4 |
| attesting to all facts within the employer's knowledge that are | 5 |
| pertinent to the applicability of that subsection. Upon | 6 |
| receiving a timely application for recalculation, the System | 7 |
| shall review the application and, if appropriate, recalculate | 8 |
| the amount due.
| 9 |
| The employer contributions required under this subsection | 10 |
| (f) may be paid in the form of a lump sum within 90 days after | 11 |
| receipt of the bill. If the employer contributions are not paid | 12 |
| within 90 days after receipt of the bill, then interest will be | 13 |
| charged at a rate equal to the System's annual actuarially | 14 |
| assumed rate of return on investment compounded annually from | 15 |
| the 91st day after receipt of the bill. Payments must be | 16 |
| concluded within 3 years after the employer's receipt of the | 17 |
| bill.
| 18 |
| (g) This subsection (g) applies only to payments made or | 19 |
| salary increases given on or after June 1, 2005 but before July | 20 |
| 1, 2011. The changes made by Public Act 94-1057 shall not | 21 |
| require the System to refund any payments received before
July | 22 |
| 31, 2006 (the effective date of Public Act 94-1057). | 23 |
| When assessing payment for any amount due under subsection | 24 |
| (f), the System shall exclude salary increases paid to teachers | 25 |
| under contracts or collective bargaining agreements entered | 26 |
| into, amended, or renewed before June 1, 2005.
|
|
|
|
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| When assessing payment for any amount due under subsection | 2 |
| (f), the System shall exclude salary increases paid to a | 3 |
| teacher at a time when the teacher is 10 or more years from | 4 |
| retirement eligibility under Section 16-132 or 16-133.2.
| 5 |
| When assessing payment for any amount due under subsection | 6 |
| (f), the System shall exclude salary increases resulting from | 7 |
| overload work, including summer school, when the school | 8 |
| district has certified to the System, and the System has | 9 |
| approved the certification, that (i) the overload work is for | 10 |
| the sole purpose of classroom instruction in excess of the | 11 |
| standard number of classes for a full-time teacher in a school | 12 |
| district during a school year and (ii) the salary increases are | 13 |
| equal to or less than the rate of pay for classroom instruction | 14 |
| computed on the teacher's current salary and work schedule.
| 15 |
| When assessing payment for any amount due under subsection | 16 |
| (f), the System shall exclude a salary increase resulting from | 17 |
| a promotion (i) for which the employee is required to hold a | 18 |
| certificate or supervisory endorsement issued by the State | 19 |
| Teacher Certification Board that is a different certification | 20 |
| or supervisory endorsement than is required for the teacher's | 21 |
| previous position and (ii) to a position that has existed and | 22 |
| been filled by a member for no less than one complete academic | 23 |
| year and the salary increase from the promotion is an increase | 24 |
| that results in an amount no greater than the lesser of the | 25 |
| average salary paid for other similar positions in the district | 26 |
| requiring the same certification or the amount stipulated in |
|
|
|
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| 1 |
| the collective bargaining agreement for a similar position | 2 |
| requiring the same certification.
| 3 |
| When assessing payment for any amount due under subsection | 4 |
| (f), the System shall exclude any payment to the teacher from | 5 |
| the State of Illinois or the State Board of Education over | 6 |
| which the employer does not have discretion, notwithstanding | 7 |
| that the payment is included in the computation of final | 8 |
| average salary.
| 9 |
| (h) When assessing payment for any amount due under | 10 |
| subsection (f), the System shall exclude any salary increase | 11 |
| described in subsection (g) of this Section given on or after | 12 |
| July 1, 2011 but before July 1, 2014 under a contract or | 13 |
| collective bargaining agreement entered into, amended, or | 14 |
| renewed on or after June 1, 2005 but before July 1, 2011. | 15 |
| Notwithstanding any other provision of this Section, any | 16 |
| payments made or salary increases given after June 30, 2014 | 17 |
| shall be used in assessing payment for any amount due under | 18 |
| subsection (f) of this Section.
| 19 |
| (i) The System shall prepare a report and file copies of | 20 |
| the report with the Governor and the General Assembly by | 21 |
| January 1, 2007 that contains all of the following information: | 22 |
| (1) The number of recalculations required by the | 23 |
| changes made to this Section by Public Act 94-1057 for each | 24 |
| employer. | 25 |
| (2) The dollar amount by which each employer's | 26 |
| contribution to the System was changed due to |
|
|
|
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|
| 1 |
| recalculations required by Public Act 94-1057. | 2 |
| (3) The total amount the System received from each | 3 |
| employer as a result of the changes made to this Section by | 4 |
| Public Act 94-4. | 5 |
| (4) The increase in the required State contribution | 6 |
| resulting from the changes made to this Section by Public | 7 |
| Act 94-1057.
| 8 |
| (j) For purposes of determining the required State | 9 |
| contribution to the System, the value of the System's assets | 10 |
| shall be equal to the actuarial value of the System's assets, | 11 |
| which shall be calculated as follows: | 12 |
| As of June 30, 2008, the actuarial value of the System's | 13 |
| assets shall be equal to the market value of the assets as of | 14 |
| that date. In determining the actuarial value of the System's | 15 |
| assets for fiscal years after June 30, 2008, any actuarial | 16 |
| gains or losses from investment return incurred in a fiscal | 17 |
| year shall be recognized in equal annual amounts over the | 18 |
| 5-year period following that fiscal year. | 19 |
| (k) For purposes of determining the required State | 20 |
| contribution to the system for a particular year, the actuarial | 21 |
| value of assets shall be assumed to earn a rate of return equal | 22 |
| to the system's actuarially assumed rate of return. | 23 |
| (Source: P.A. 95-331, eff. 8-21-07; 95-950, eff. 8-29-08; | 24 |
| 96-43, eff. 7-15-09.)
| 25 |
| (40 ILCS 5/18-131) (from Ch. 108 1/2, par. 18-131)
|
|
|
|
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|
| 1 |
| Sec. 18-131. Financing; employer contributions.
| 2 |
| (a) The State of Illinois shall make contributions to this | 3 |
| System by
appropriations of the amounts which, together with | 4 |
| the contributions of
participants, net earnings on | 5 |
| investments, and other income, will meet the
costs of | 6 |
| maintaining and administering this System on a 90% funded basis | 7 |
| in
accordance with actuarial recommendations.
| 8 |
| (b) The Board shall determine the amount of State | 9 |
| contributions
required for each fiscal year on the basis of the | 10 |
| actuarial tables and other
assumptions adopted by the Board and | 11 |
| the prescribed rate of interest, using
the formula in | 12 |
| subsection (c).
| 13 |
| (c) For State fiscal years 2011 through 2045, the minimum | 14 |
| contribution
to the System to be made by the State for each | 15 |
| fiscal year shall be an amount
determined by the System to be | 16 |
| sufficient to bring the total assets of the
System up to 90% of | 17 |
| the total actuarial liabilities of the System by the end of
| 18 |
| State fiscal year 2045. In making these determinations, the | 19 |
| required State
contribution shall be calculated each year as a | 20 |
| level percentage of payroll
over the years remaining to and | 21 |
| including fiscal year 2045 and shall be
determined under the | 22 |
| projected unit credit actuarial cost method.
| 23 |
| For State fiscal years 1996 through 2005, the State | 24 |
| contribution to
the System, as a percentage of the applicable | 25 |
| employee payroll, shall be
increased in equal annual increments | 26 |
| so that by State fiscal year 2011, the
State is contributing at |
|
|
|
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|
| 1 |
| the rate required under this Section.
| 2 |
| Notwithstanding any other provision of this Article, the | 3 |
| total required State
contribution for State fiscal year 2006 is | 4 |
| $29,189,400.
| 5 |
| Notwithstanding any other provision of this Article, the | 6 |
| total required State
contribution for State fiscal year 2007 is | 7 |
| $35,236,800.
| 8 |
| For each of State fiscal years 2008 through 2009, the State | 9 |
| contribution to
the System, as a percentage of the applicable | 10 |
| employee payroll, shall be
increased in equal annual increments | 11 |
| from the required State contribution for State fiscal year | 12 |
| 2007, so that by State fiscal year 2011, the
State is | 13 |
| contributing at the rate otherwise required under this Section.
| 14 |
| Notwithstanding any other provision of this Article, the | 15 |
| total required State contribution for State fiscal year 2010 is | 16 |
| $78,832,000 and shall be made from the proceeds of bonds sold | 17 |
| in fiscal year 2010 pursuant to Section 7.2 of the General | 18 |
| Obligation Bond Act, less (i) the pro rata share of bond sale | 19 |
| expenses determined by the System's share of total bond | 20 |
| proceeds, (ii) any amounts received from the General Revenue | 21 |
| Fund in fiscal year 2010, and (iii) any reduction in bond | 22 |
| proceeds due to the issuance of discounted bonds, if | 23 |
| applicable. | 24 |
| Notwithstanding any other provision of this Article, the | 25 |
| total required State contribution for State fiscal year 2011 is | 26 |
| the amount recertified by the System pursuant to this |
|
|
|
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| 1 |
| amendatory Act of the 96th General Assembly. Subject to the | 2 |
| requirements of Section 7.2 of the General Obligation Bond Act, | 3 |
| the State contribution for fiscal year 2011 may be made through | 4 |
| any combination of (i) the transfer of bonds to the System in | 5 |
| fiscal year 2011 and (ii) the proceeds of bonds sold by | 6 |
| negotiated sale in fiscal year 2011 pursuant to Section 7.2 of | 7 |
| the General Obligation Bond Act, less (A) the pro rata share of | 8 |
| bond sale expenses determined by the System's share of total | 9 |
| bond proceeds, (B) any amounts received from the General | 10 |
| Revenue Fund or the State Pensions Fund in fiscal year 2011, | 11 |
| and (C) any reduction in bond proceeds due to the issuance of | 12 |
| discounted bonds, if applicable. If no bonds are issued | 13 |
| directly to the System in accordance with Section 7.2 of the | 14 |
| General Obligation Bond Act and if in the sole determination of | 15 |
| the Director of the Governor's Office of Management and Budget | 16 |
| market conditions do not support the issuance of bonds by | 17 |
| negotiated sale in order to make all or a portion of the | 18 |
| required contribution, he or she shall so inform the System in | 19 |
| writing and the State contribution for fiscal year 2011 shall | 20 |
| be only the System's pro rata share, based on the amounts | 21 |
| recertified by each System pursuant to this amendatory Act of | 22 |
| the 96th General Assembly, of the proceeds of bonds issued, | 23 |
| less (A) the pro rata share of bond sale expenses determined by | 24 |
| the System's share of total bond proceeds, (B) any amounts | 25 |
| received from the General Revenue Fund or the State Pensions | 26 |
| Fund in fiscal year 2011, and (C) any reduction in bond |
|
|
|
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|
| 1 |
| proceeds due to the issuance of discounted bonds, if | 2 |
| applicable. | 3 |
| Beginning in State fiscal year 2046, the minimum State | 4 |
| contribution for
each fiscal year shall be the amount needed to | 5 |
| maintain the total assets of
the System at 90% of the total | 6 |
| actuarial liabilities of the System.
| 7 |
| Amounts received by the System pursuant to Section 25 of | 8 |
| the Budget Stabilization Act or Section 8.12 of the State | 9 |
| Finance Act in any fiscal year do not reduce and do not | 10 |
| constitute payment of any portion of the minimum State | 11 |
| contribution required under this Article in that fiscal year. | 12 |
| Such amounts shall not reduce, and shall not be included in the | 13 |
| calculation of, the required State contributions under this | 14 |
| Article in any future year until the System has reached a | 15 |
| funding ratio of at least 90%. A reference in this Article to | 16 |
| the "required State contribution" or any substantially similar | 17 |
| term does not include or apply to any amounts payable to the | 18 |
| System under Section 25 of the Budget Stabilization Act.
| 19 |
| Notwithstanding any other provision of this Section, the | 20 |
| required State
contribution for State fiscal year 2005 and for | 21 |
| fiscal year 2008 and each fiscal year thereafter, as
calculated | 22 |
| under this Section and
certified under Section 18-140, shall | 23 |
| not exceed an amount equal to (i) the
amount of the required | 24 |
| State contribution that would have been calculated under
this | 25 |
| Section for that fiscal year if the System had not received any | 26 |
| payments
under subsection (d) of Section 7.2 of the General |
|
|
|
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| 1 |
| Obligation Bond Act, minus
(ii) the portion of the State's | 2 |
| total debt service payments for that fiscal
year on the bonds | 3 |
| issued for the purposes of that Section 7.2, as determined
and | 4 |
| certified by the Comptroller, that is the same as the System's | 5 |
| portion of
the total moneys distributed under subsection (d) of | 6 |
| Section 7.2 of the General
Obligation Bond Act. In determining | 7 |
| this maximum for State fiscal years 2008 through 2010, however, | 8 |
| the amount referred to in item (i) shall be increased, as a | 9 |
| percentage of the applicable employee payroll, in equal | 10 |
| increments calculated from the sum of the required State | 11 |
| contribution for State fiscal year 2007 plus the applicable | 12 |
| portion of the State's total debt service payments for fiscal | 13 |
| year 2007 on the bonds issued for the purposes of Section 7.2 | 14 |
| of the General
Obligation Bond Act, so that, by State fiscal | 15 |
| year 2011, the
State is contributing at the rate otherwise | 16 |
| required under this Section.
| 17 |
| (d) For purposes of determining the required State | 18 |
| contribution to the System, the value of the System's assets | 19 |
| shall be equal to the actuarial value of the System's assets, | 20 |
| which shall be calculated as follows: | 21 |
| As of June 30, 2008, the actuarial value of the System's | 22 |
| assets shall be equal to the market value of the assets as of | 23 |
| that date. In determining the actuarial value of the System's | 24 |
| assets for fiscal years after June 30, 2008, any actuarial | 25 |
| gains or losses from investment return incurred in a fiscal | 26 |
| year shall be recognized in equal annual amounts over the |
|
|
|
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|
| 1 |
| 5-year period following that fiscal year. | 2 |
| (e) For purposes of determining the required State | 3 |
| contribution to the system for a particular year, the actuarial | 4 |
| value of assets shall be assumed to earn a rate of return equal | 5 |
| to the system's actuarially assumed rate of return. | 6 |
| (Source: P.A. 95-950, eff. 8-29-08; 96-43, eff. 7-15-09.)
| 7 |
| (40 ILCS 5/18-140)
(from Ch. 108 1/2, par. 18-140)
| 8 |
| Sec. 18-140. To certify required State contributions and | 9 |
| submit vouchers.
| 10 |
| (a) The Board shall certify to the Governor, on or before | 11 |
| November 15 of
each year, the amount of the required State | 12 |
| contribution to the System for the
following fiscal year. The | 13 |
| certification shall include a copy of the actuarial
| 14 |
| recommendations upon which it is based.
| 15 |
| On or before May 1, 2004, the Board shall recalculate and | 16 |
| recertify to
the Governor the amount of the required State | 17 |
| contribution to the System for
State fiscal year 2005, taking | 18 |
| into account the amounts appropriated to and
received by the | 19 |
| System under subsection (d) of Section 7.2 of the General
| 20 |
| Obligation Bond Act.
| 21 |
| On or before July 1, 2005, the Board shall recalculate and | 22 |
| recertify
to the Governor the amount of the required State
| 23 |
| contribution to the System for State fiscal year 2006, taking | 24 |
| into account the changes in required State contributions made | 25 |
| by this amendatory Act of the 94th General Assembly.
|
|
|
|
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|
| 1 |
| On or before May 15, 2010, the Board shall recalculate and | 2 |
| recertify to the Governor the amount of the required State | 3 |
| contribution to the System for State fiscal year 2011, applying | 4 |
| the changes made by Public Act 96-889 to the System's assets | 5 |
| and liabilities as of June 30, 2009 as though Public Act 96-889 | 6 |
| was approved on that date. | 7 |
| (b) Beginning in State fiscal year 1996, on or as soon as | 8 |
| possible after
the 15th day of each month the Board shall | 9 |
| submit vouchers for payment of State
contributions to the | 10 |
| System, in a total monthly amount of one-twelfth of the
| 11 |
| required annual State contribution certified under subsection | 12 |
| (a).
From the effective date of this amendatory Act
of the 93rd | 13 |
| General Assembly through June 30, 2004, the Board shall not
| 14 |
| submit vouchers for the remainder of fiscal year 2004 in excess | 15 |
| of the
fiscal year 2004 certified contribution amount | 16 |
| determined
under this Section after taking into consideration | 17 |
| the transfer to the
System under subsection (c) of Section | 18 |
| 6z-61 of the State Finance Act.
These
vouchers shall be paid by | 19 |
| the State Comptroller and Treasurer by warrants drawn
on the | 20 |
| funds appropriated to the System for that fiscal year.
| 21 |
| If in any month the amount remaining unexpended from all | 22 |
| other
appropriations to the System for the applicable fiscal | 23 |
| year (including the
appropriations to the System under Section | 24 |
| 8.12 of the State Finance Act and
Section 1 of the State | 25 |
| Pension Funds Continuing Appropriation Act) is less than
the | 26 |
| amount lawfully vouchered under this Section, the difference |
|
|
|
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|
| 1 |
| shall be paid
from the General Revenue Fund under the | 2 |
| continuing appropriation authority
provided in Section 1.1 of | 3 |
| the State Pension Funds Continuing Appropriation
Act.
| 4 |
| (Source: P.A. 93-2, eff. 4-7-03; 93-665, eff. 3-5-04; 94-4, | 5 |
| eff. 6-1-05.)
| 6 |
| Section 20. The State Pension Funds Continuing | 7 |
| Appropriation Act is amended by adding Section 1.8 as follows: | 8 |
| (40 ILCS 15/1.8 new) | 9 |
| Sec. 1.8. Suspension of appropriations for FY11. | 10 |
| Notwithstanding any other provision of this Act, no | 11 |
| appropriation otherwise required from the General Revenue Fund | 12 |
| or the Common School Fund under this Act is required or shall | 13 |
| be made for State fiscal year 2011. | 14 |
| Section 99. Effective date. This Act takes effect upon | 15 |
| becoming law.".
|
|