Full Text of SB1235 103rd General Assembly
SB1235eng 103RD GENERAL ASSEMBLY |
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| 1 | | AN ACT concerning public employee benefits.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Illinois Pension Code is amended by | 5 | | changing Sections 15-134.1 and 15-198 as follows:
| 6 | | (40 ILCS 5/15-134.1) (from Ch. 108 1/2, par. 15-134.1)
| 7 | | Sec. 15-134.1. Service calculation and adjustment.
| 8 | | (a) For the purposes of computing service for academic | 9 | | years for any participant, In computing
service, the following | 10 | | schedule shall govern: one month of service means
a calendar | 11 | | month during which a participant (i) qualifies as an employee
| 12 | | under Section 15-107 for at least 15 or more days, and (ii) | 13 | | receives any
earnings as an employee; 8 or more
months of | 14 | | service during an academic year shall constitute a year of | 15 | | service;
6 or more but less than 8 months of service during an | 16 | | academic year
shall constitute 3/4 of a year of service; 3 or | 17 | | more but less than 6 months
of service during an academic year | 18 | | shall constitute 1/2 of a
year of service; and one or more but | 19 | | less than 3 months of service during
an academic year shall | 20 | | constitute 1/4 of a year of service. No more than
one year of | 21 | | service may be granted per academic year, regardless of the
| 22 | | number of hours or percentage of time worked. This subsection | 23 | | (a) does not apply to service periods to which subsection |
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| 1 | | (a-5) applies. | 2 | | (a-5) For the purposes of computing service for academic | 3 | | years for any participant, the following schedule shall | 4 | | govern: one month of service means a calendar month during | 5 | | which a participant (i) qualifies as an employee under Section | 6 | | 15-107 and contributes to the System, and (ii) receives any | 7 | | earnings as an employee; 8 or more months of service during an | 8 | | academic year shall constitute a year of service; 6 or more but | 9 | | less than 8 months of service during an academic year shall | 10 | | constitute 3/4 of a year of service; 3 or more but less than 6 | 11 | | months of service during an academic year shall constitute 1/2 | 12 | | of a year of service; and one or more but less than 3 months of | 13 | | service during an academic year shall constitute 1/4 of a year | 14 | | of service. No more than one year of service may be granted per | 15 | | academic year, regardless of the number of hours or percentage | 16 | | of time worked. | 17 | | This subsection (a-5) applies to all service periods of a | 18 | | member who is a participant on or after September 1, 2024; | 19 | | except that such changes shall not apply to service periods | 20 | | that were subject to: (1) a purchase under subsection (i) of | 21 | | Section 15-107, subsection (c) of Section 15-113.1, or Section | 22 | | 15-113.2, 15-113.3, 15-113.5, 15-113.6, 15-113.7, or | 23 | | 15-113.11; (2) a repayment of a refund under subsection (b) of | 24 | | Section 15-154 or a distribution under subsection (j) of | 25 | | Section 15-158.2; or (3) a transfer under Section 15-113.10, | 26 | | 15-134.2, or 15-134.4 if payment for such purchase, repayment, |
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| 1 | | or transfer commenced prior to September 1, 2024.
| 2 | | (b) In calculating a retirement annuity, if a participant | 3 | | has been employed
at 1/2 time or less for 3 or more years after | 4 | | September 1, 1959, service
shall be granted for such | 5 | | employment in excess of 3 years, in the proportion
that the | 6 | | percentage of time employed for each such year of employment
| 7 | | bears to the average annual percentage of time employed during
| 8 | | the period on which the final rate of earnings is based. This | 9 | | adjustment
shall not be made, however, in determining the | 10 | | eligibility for a retirement
annuity, disability benefits, | 11 | | additional death benefits, or survivors'
insurance. The | 12 | | percentage of time employed shall be as reported by the
| 13 | | employer. This subsection (b) shall not apply to a member who | 14 | | is a participant on or after September 1, 2024.
| 15 | | (Source: P.A. 87-8.)
| 16 | | (40 ILCS 5/15-198)
| 17 | | Sec. 15-198. Application and expiration of new benefit | 18 | | increases. | 19 | | (a) As used in this Section, "new benefit increase" means | 20 | | an increase in the amount of any benefit provided under this | 21 | | Article, or an expansion of the conditions of eligibility for | 22 | | any benefit under this Article, that results from an amendment | 23 | | to this Code that takes effect after June 1, 2005 (the | 24 | | effective date of Public Act 94-4). "New benefit increase", | 25 | | however, does not include any benefit increase resulting from |
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| 1 | | the changes made to Article 1 or this Article by Public Act | 2 | | 100-23, Public Act 100-587, Public Act 100-769, Public Act | 3 | | 101-10, Public Act 101-610, Public Act 102-16, or this | 4 | | amendatory Act of the 103rd General Assembly or this | 5 | | amendatory Act of the 102nd General Assembly . | 6 | | (b) Notwithstanding any other provision of this Code or | 7 | | any subsequent amendment to this Code, every new benefit | 8 | | increase is subject to this Section and shall be deemed to be | 9 | | granted only in conformance with and contingent upon | 10 | | compliance with the provisions of this Section.
| 11 | | (c) The Public Act enacting a new benefit increase must | 12 | | identify and provide for payment to the System of additional | 13 | | funding at least sufficient to fund the resulting annual | 14 | | increase in cost to the System as it accrues. | 15 | | Every new benefit increase is contingent upon the General | 16 | | Assembly providing the additional funding required under this | 17 | | subsection. The Commission on Government Forecasting and | 18 | | Accountability shall analyze whether adequate additional | 19 | | funding has been provided for the new benefit increase and | 20 | | shall report its analysis to the Public Pension Division of | 21 | | the Department of Insurance. A new benefit increase created by | 22 | | a Public Act that does not include the additional funding | 23 | | required under this subsection is null and void. If the Public | 24 | | Pension Division determines that the additional funding | 25 | | provided for a new benefit increase under this subsection is | 26 | | or has become inadequate, it may so certify to the Governor and |
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| 1 | | the State Comptroller and, in the absence of corrective action | 2 | | by the General Assembly, the new benefit increase shall expire | 3 | | at the end of the fiscal year in which the certification is | 4 | | made.
| 5 | | (d) Every new benefit increase shall expire 5 years after | 6 | | its effective date or on such earlier date as may be specified | 7 | | in the language enacting the new benefit increase or provided | 8 | | under subsection (c). This does not prevent the General | 9 | | Assembly from extending or re-creating a new benefit increase | 10 | | by law. | 11 | | (e) Except as otherwise provided in the language creating | 12 | | the new benefit increase, a new benefit increase that expires | 13 | | under this Section continues to apply to persons who applied | 14 | | and qualified for the affected benefit while the new benefit | 15 | | increase was in effect and to the affected beneficiaries and | 16 | | alternate payees of such persons, but does not apply to any | 17 | | other person, including, without limitation, a person who | 18 | | continues in service after the expiration date and did not | 19 | | apply and qualify for the affected benefit while the new | 20 | | benefit increase was in effect.
| 21 | | (Source: P.A. 101-10, eff. 6-5-19; 101-81, eff. 7-12-19; | 22 | | 101-610, eff. 1-1-20; 102-16, eff. 6-17-21.)
| 23 | | Section 99. Effective date. This Act takes effect upon | 24 | | becoming law.
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