Illinois General Assembly - Full Text of SB0432
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Full Text of SB0432  99th General Assembly

SB0432sam001 99TH GENERAL ASSEMBLY

Sen. John J. Cullerton

Filed: 1/9/2017

 

 


 

 


 
09900SB0432sam001LRB099 03104 RPS 52267 a

1
AMENDMENT TO SENATE BILL 432

2    AMENDMENT NO. ______. Amend Senate Bill 432 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The Illinois Pension Code is amended by
5changing Section 17-127 as follows:
 
6    (40 ILCS 5/17-127)  (from Ch. 108 1/2, par. 17-127)
7    Sec. 17-127. Financing; revenues for the Fund.
8    (a) The revenues for the Fund shall consist of: (1) amounts
9paid into the Fund by contributors thereto and from employer
10contributions and State appropriations in accordance with this
11Article; (2) amounts contributed to the Fund by an Employer;
12(3) amounts contributed to the Fund pursuant to any law now in
13force or hereafter to be enacted; (4) contributions from any
14other source; and (5) the earnings on investments.
15    (b) The General Assembly finds that for many years the
16State has contributed to the Fund an annual amount that is

 

 

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1between 20% and 30% of the amount of the annual State
2contribution to the Article 16 retirement system, and the
3General Assembly declares that it is its goal and intention to
4continue this level of contribution to the Fund in the future.
5    (c) Beginning in State fiscal year 1999, the State shall
6include in its annual contribution to the Fund an additional
7amount equal to 0.544% of the Fund's total teacher payroll;
8except that this additional contribution need not be made in a
9fiscal year if the Board has certified in the previous fiscal
10year that the Fund is at least 90% funded, based on actuarial
11determinations. These additional State contributions are
12intended to offset a portion of the cost to the Fund of the
13increases in retirement benefits resulting from this
14amendatory Act of 1998.
15    (d) In addition to any other contribution required under
16this Article, including the contribution required under
17subsection (c), the State shall contribute to the Fund the
18following amounts:
19        (1) For State fiscal year 2017, the State shall
20    contribute $215,200,000.
21        (2) For State fiscal year 2018, the State shall
22    contribute $221,300,000.
23        (3) Beginning in State fiscal year 2019, the State
24    shall contribute for each fiscal year an amount to be
25    determined by the Fund, equal to the employer normal cost
26    for that fiscal year, plus the amount allowed pursuant to

 

 

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1    paragraph (3) of Section 17-142.1, to defray health
2    insurance costs.
3    (e) The Board shall determine the amount of State
4contributions required for each fiscal year on the basis of the
5actuarial tables and other assumptions adopted by the Board and
6the recommendations of the actuary. On or before November 1 of
7each year, beginning November 1, 2017, the Board shall submit
8to the State Actuary, the Governor, and the General Assembly a
9proposed certification of the amount of the required State
10contribution to the Fund for the next fiscal year, along with
11all of the actuarial assumptions, calculations, and data upon
12which that proposed certification is based.
13    On or before January 1 of each year, beginning January 1,
142018, the State Actuary shall issue a preliminary report
15concerning the proposed certification and identifying, if
16necessary, recommended changes in actuarial assumptions that
17the Board must consider before finalizing its certification of
18the required State contributions.
19    (f) On or before January 15, 2018 and each January 15
20thereafter, the Board shall certify to the Governor and the
21General Assembly the amount of the required State contribution
22for the next fiscal year. The certification shall include a
23copy of the actuarial recommendations upon which it is based
24and shall specifically identify the Fund's projected employer
25normal cost for that fiscal year. The Board's certification
26must note any deviations from the State Actuary's recommended

 

 

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1changes, the reason or reasons for not following the State
2Actuary's recommended changes, and the fiscal impact of not
3following the State Actuary's recommended changes on the
4required State contribution.
5    For the purposes of this Article, including issuing
6vouchers, and for the purposes of subsection (h) of Section 1.1
7of the State Pension Funds Continuing Appropriation Act, the
8State contribution specified for State fiscal years 2017 and
92018 shall be deemed to have been certified, by operation of
10law and without official action by the Board or the State
11Actuary, in the amount provided in subsection (d) of this
12Section.
13    (g) Beginning in State fiscal year 2017, on the 15th day of
14each month, or as soon thereafter as may be practicable, the
15Board shall submit vouchers for payment of State contributions
16to the Fund, in a total monthly amount of one-twelfth of the
17required annual State contribution under subsection (d). These
18vouchers shall be paid by the State Comptroller and Treasurer
19by warrants drawn on the funds appropriated to the Fund for
20that fiscal year. If in any month the amount remaining
21unexpended from all other State appropriations to the Fund for
22the applicable fiscal year is less than the amount lawfully
23vouchered under this subsection, the difference shall be paid
24from the Common School Fund under the continuing appropriation
25authority provided in Section 1.1 of the State Pension Funds
26Continuing Appropriation Act.

 

 

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1(Source: P.A. 90-548, eff. 12-4-97; 90-566, eff. 1-2-98;
290-582, eff. 5-27-98; 90-655, eff. 7-30-98.)
 
3    Section 10. The State Pension Funds Continuing
4Appropriation Act is amended by changing Section 1.1 as
5follows:
 
6    (40 ILCS 15/1.1)
7    Sec. 1.1. Appropriations to certain retirement systems.
8    (a) There is hereby appropriated from the General Revenue
9Fund to the General Assembly Retirement System, on a continuing
10monthly basis, the amount, if any, by which the total available
11amount of all other appropriations to that retirement system
12for the payment of State contributions is less than the total
13amount of the vouchers for required State contributions
14lawfully submitted by the retirement system for that month
15under Section 2-134 of the Illinois Pension Code.
16    (b) There is hereby appropriated from the General Revenue
17Fund to the State Universities Retirement System, on a
18continuing monthly basis, the amount, if any, by which the
19total available amount of all other appropriations to that
20retirement system for the payment of State contributions,
21including any deficiency in the required contributions of the
22optional retirement program established under Section 15-158.2
23of the Illinois Pension Code, is less than the total amount of
24the vouchers for required State contributions lawfully

 

 

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1submitted by the retirement system for that month under Section
215-165 of the Illinois Pension Code.
3    (c) There is hereby appropriated from the Common School
4Fund to the Teachers' Retirement System of the State of
5Illinois, on a continuing monthly basis, the amount, if any, by
6which the total available amount of all other appropriations to
7that retirement system for the payment of State contributions
8is less than the total amount of the vouchers for required
9State contributions lawfully submitted by the retirement
10system for that month under Section 16-158 of the Illinois
11Pension Code.
12    (d) There is hereby appropriated from the General Revenue
13Fund to the Judges Retirement System of Illinois, on a
14continuing monthly basis, the amount, if any, by which the
15total available amount of all other appropriations to that
16retirement system for the payment of State contributions is
17less than the total amount of the vouchers for required State
18contributions lawfully submitted by the retirement system for
19that month under Section 18-140 of the Illinois Pension Code.
20    (e) The continuing appropriations provided by subsections
21(a), (b), (c), and (d) of this Section shall first be available
22in State fiscal year 1996. The continuing appropriations
23provided by subsection (h) of this Section shall first be
24available as provided in that subsection (h).
25    (f) For State fiscal year 2010 only, the continuing
26appropriations provided by this Section are equal to the amount

 

 

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1certified by each System on or before December 31, 2008, less
2(i) the gross proceeds of the bonds sold in fiscal year 2010
3under the authorization contained in subsection (a) of Section
47.2 of the General Obligation Bond Act and (ii) any amounts
5received from the State Pensions Fund.
6    (g) For State fiscal year 2011 only, the continuing
7appropriations provided by this Section are equal to the amount
8certified by each System on or before April 1, 2011, less (i)
9the gross proceeds of the bonds sold in fiscal year 2011 under
10the authorization contained in subsection (a) of Section 7.2 of
11the General Obligation Bond Act and (ii) any amounts received
12from the State Pensions Fund.
13    (h) There is hereby appropriated from the Common School
14Fund to the Public School Teachers' Pension and Retirement Fund
15of Chicago, on a continuing monthly basis, the amount, if any,
16by which the total available amount of all other State
17appropriations to that Retirement Fund for the payment of State
18contributions under subsection (d) of Section 17-127 of the
19Illinois Pension Code is less than the total amount of the
20vouchers for required State contributions lawfully submitted
21by the Retirement Fund for that month under that Section
2217-127.
23(Source: P.A. 96-43, eff. 7-15-09; 96-1497, eff. 1-14-11;
2496-1511, eff. 1-27-11.)
 
25    Section 99. Effective date. This Act takes effect upon

 

 

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1becoming law.".