Full Text of SB2196 98th General Assembly
SB2196enr 98TH GENERAL ASSEMBLY |
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| 1 | | AN ACT concerning State government.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 1. Short title. This Act may be cited as the | 5 | | University of Illinois School of Labor and Employment Relations | 6 | | Act. | 7 | | Section 5. School of Labor and Employment Relations; | 8 | | autonomy. The Board of Trustees of the University of Illinois | 9 | | shall operate the School of Labor and Employment Relations as a | 10 | | distinct and autonomous entity within the University of | 11 | | Illinois for the purpose of offering curricula and other | 12 | | educational programs, at the Urbana-Champaign and Chicago | 13 | | campuses and through extension services, in all phases of | 14 | | industrial and labor relations to promote research in those | 15 | | fields by maintaining a school dedicated solely to the | 16 | | faithful, honest, and impartial inquiry into labor-management | 17 | | problems of all types, and for the securement of such advances | 18 | | as will lay the foundations for future progress in the field of | 19 | | labor relations. | 20 | | Section 900. The Illinois Pension Code is amended by | 21 | | changing Sections 15-126.1, 15-139, 15-139.5, and 15-168.2 as | 22 | | follows: |
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| 1 | | (40 ILCS 5/1-160) | 2 | | Sec. 1-160. Provisions applicable to new hires. | 3 | | (a) The provisions of this Section apply to a person who, | 4 | | on or after January 1, 2011, first becomes a member or a | 5 | | participant under any reciprocal retirement system or pension | 6 | | fund established under this Code, other than a retirement | 7 | | system or pension fund established under Article 2, 3, 4, 5, 6, | 8 | | 15 or 18 of this Code, notwithstanding any other provision of | 9 | | this Code to the contrary, but do not apply to any self-managed | 10 | | plan established under this Code, to any person with respect to | 11 | | service as a sheriff's law enforcement employee under Article | 12 | | 7, or to any participant of the retirement plan established | 13 | | under Section 22-101. Notwithstanding anything to the contrary | 14 | | in this Section, for purposes of this Section, a person who | 15 | | participated in a retirement system under Article 15 prior to | 16 | | January 1, 2011 shall be deemed a person who first became a | 17 | | member or participant prior to January 1, 2011 under any | 18 | | retirement system or pension fund subject to this Section. The | 19 | | changes made to this Section by this amendatory Act of the 98th | 20 | | General Assembly are a clarification of existing law and are | 21 | | intended to be retroactive to the effective date of Public Act | 22 | | 96-889, notwithstanding the provisions of Section 1-103.1 of | 23 | | this Code. | 24 | | (b) "Final average salary" means the average monthly (or | 25 | | annual) salary obtained by dividing the total salary or |
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| 1 | | earnings calculated under the Article applicable to the member | 2 | | or participant during the 96 consecutive months (or 8 | 3 | | consecutive years) of service within the last 120 months (or 10 | 4 | | years) of service in which the total salary or earnings | 5 | | calculated under the applicable Article was the highest by the | 6 | | number of months (or years) of service in that period. For the | 7 | | purposes of a person who first becomes a member or participant | 8 | | of any retirement system or pension fund to which this Section | 9 | | applies on or after January 1, 2011, in this Code, "final | 10 | | average salary" shall be substituted for the following: | 11 | | (1) In Article 7 (except for service as sheriff's law | 12 | | enforcement employees), "final rate of earnings". | 13 | | (2) In Articles 8, 9, 10, 11, and 12, "highest average | 14 | | annual salary for any 4 consecutive years within the last | 15 | | 10 years of service immediately preceding the date of | 16 | | withdrawal". | 17 | | (3) In Article 13, "average final salary". | 18 | | (4) In Article 14, "final average compensation". | 19 | | (5) In Article 17, "average salary". | 20 | | (6) In Section 22-207, "wages or salary received by him | 21 | | at the date of retirement or discharge". | 22 | | (b-5) Beginning on January 1, 2011, for all purposes under | 23 | | this Code (including without limitation the calculation of | 24 | | benefits and employee contributions), the annual earnings, | 25 | | salary, or wages (based on the plan year) of a member or | 26 | | participant to whom this Section applies shall not exceed |
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| 1 | | $106,800; however, that amount shall annually thereafter be | 2 | | increased by the lesser of (i) 3% of that amount, including all | 3 | | previous adjustments, or (ii) one-half the annual unadjusted | 4 | | percentage increase (but not less than zero) in the consumer | 5 | | price index-u
for the 12 months ending with the September | 6 | | preceding each November 1, including all previous adjustments. | 7 | | For the purposes of this Section, "consumer price index-u" | 8 | | means
the index published by the Bureau of Labor Statistics of | 9 | | the United States
Department of Labor that measures the average | 10 | | change in prices of goods and
services purchased by all urban | 11 | | consumers, United States city average, all
items, 1982-84 = | 12 | | 100. The new amount resulting from each annual adjustment
shall | 13 | | be determined by the Public Pension Division of the Department | 14 | | of Insurance and made available to the boards of the retirement | 15 | | systems and pension funds by November 1 of each year. | 16 | | (c) A member or participant is entitled to a retirement
| 17 | | annuity upon written application if he or she has attained age | 18 | | 67 and has at least 10 years of service credit and is otherwise | 19 | | eligible under the requirements of the applicable Article. | 20 | | A member or participant who has attained age 62 and has at | 21 | | least 10 years of service credit and is otherwise eligible | 22 | | under the requirements of the applicable Article may elect to | 23 | | receive the lower retirement annuity provided
in subsection (d) | 24 | | of this Section. | 25 | | (d) The retirement annuity of a member or participant who | 26 | | is retiring after attaining age 62 with at least 10 years of |
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| 1 | | service credit shall be reduced by one-half
of 1% for each full | 2 | | month that the member's age is under age 67. | 3 | | (e) Any retirement annuity or supplemental annuity shall be | 4 | | subject to annual increases on the January 1 occurring either | 5 | | on or after the attainment of age 67 or the first anniversary | 6 | | of the annuity start date, whichever is later. Each annual | 7 | | increase shall be calculated at 3% or one-half the annual | 8 | | unadjusted percentage increase (but not less than zero) in the | 9 | | consumer price index-u for the 12 months ending with the | 10 | | September preceding each November 1, whichever is less, of the | 11 | | originally granted retirement annuity. If the annual | 12 | | unadjusted percentage change in the consumer price index-u for | 13 | | the 12 months ending with the September preceding each November | 14 | | 1 is zero or there is a decrease, then the annuity shall not be | 15 | | increased. | 16 | | (f) The initial survivor's or widow's annuity of an | 17 | | otherwise eligible survivor or widow of a retired member or | 18 | | participant who first became a member or participant on or | 19 | | after January 1, 2011 shall be in the amount of 66 2/3% of the | 20 | | retired member's or participant's retirement annuity at the | 21 | | date of death. In the case of the death of a member or | 22 | | participant who has not retired and who first became a member | 23 | | or participant on or after January 1, 2011, eligibility for a | 24 | | survivor's or widow's annuity shall be determined by the | 25 | | applicable Article of this Code. The initial benefit shall be | 26 | | 66 2/3% of the earned annuity without a reduction due to age. A |
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| 1 | | child's annuity of an otherwise eligible child shall be in the | 2 | | amount prescribed under each Article if applicable. Any | 3 | | survivor's or widow's annuity shall be increased (1) on each | 4 | | January 1 occurring on or after the commencement of the annuity | 5 | | if
the deceased member died while receiving a retirement | 6 | | annuity or (2) in
other cases, on each January 1 occurring | 7 | | after the first anniversary
of the commencement of the annuity. | 8 | | Each annual increase shall be calculated at 3% or one-half the | 9 | | annual unadjusted percentage increase (but not less than zero) | 10 | | in the consumer price index-u for the 12 months ending with the | 11 | | September preceding each November 1, whichever is less, of the | 12 | | originally granted survivor's annuity. If the annual | 13 | | unadjusted percentage change in the consumer price index-u for | 14 | | the 12 months ending with the September preceding each November | 15 | | 1 is zero or there is a decrease, then the annuity shall not be | 16 | | increased. | 17 | | (g) The benefits in Section 14-110 apply only if the person | 18 | | is a State policeman, a fire fighter in the fire protection | 19 | | service of a department, or a security employee of the | 20 | | Department of Corrections or the Department of Juvenile | 21 | | Justice, as those terms are defined in subsection (b) of | 22 | | Section 14-110. A person who meets the requirements of this | 23 | | Section is entitled to an annuity calculated under the | 24 | | provisions of Section 14-110, in lieu of the regular or minimum | 25 | | retirement annuity, only if the person has withdrawn from | 26 | | service with not less than 20
years of eligible creditable |
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| 1 | | service and has attained age 60, regardless of whether
the | 2 | | attainment of age 60 occurs while the person is
still in | 3 | | service. | 4 | | (h) If a person who first becomes a member or a participant | 5 | | of a retirement system or pension fund subject to this Section | 6 | | on or after January 1, 2011 is receiving a retirement annuity | 7 | | or retirement pension under that system or fund and becomes a | 8 | | member or participant under any other system or fund created by | 9 | | this Code and is employed on a full-time basis, except for | 10 | | those members or participants exempted from the provisions of | 11 | | this Section under subsection (a) of this Section, then the | 12 | | person's retirement annuity or retirement pension under that | 13 | | system or fund shall be suspended during that employment. Upon | 14 | | termination of that employment, the person's retirement | 15 | | annuity or retirement pension payments shall resume and be | 16 | | recalculated if recalculation is provided for under the | 17 | | applicable Article of this Code. | 18 | | If a person who first becomes a member of a retirement | 19 | | system or pension fund subject to this Section on or after | 20 | | January 1, 2012 and is receiving a retirement annuity or | 21 | | retirement pension under that system or fund and accepts on a | 22 | | contractual basis a position to provide services to a | 23 | | governmental entity from which he or she has retired, then that | 24 | | person's annuity or retirement pension earned as an active | 25 | | employee of the employer shall be suspended during that | 26 | | contractual service. A person receiving an annuity or |
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| 1 | | retirement pension under this Code shall notify the pension | 2 | | fund or retirement system from which he or she is receiving an | 3 | | annuity or retirement pension, as well as his or her | 4 | | contractual employer, of his or her retirement status before | 5 | | accepting contractual employment. A person who fails to submit | 6 | | such notification shall be guilty of a Class A misdemeanor and | 7 | | required to pay a fine of $1,000. Upon termination of that | 8 | | contractual employment, the person's retirement annuity or | 9 | | retirement pension payments shall resume and, if appropriate, | 10 | | be recalculated under the applicable provisions of this Code. | 11 | | (i) (Blank). | 12 | | (j) In the case of a conflict between the provisions of | 13 | | this Section and any other provision of this Code, the | 14 | | provisions of this Section shall control.
| 15 | | (Source: P.A. 97-609, eff. 1-1-12; 98-92, eff. 7-16-13.) | 16 | | (40 ILCS 5/15-108.2) | 17 | | Sec. 15-108.2. Tier 2 member. "Tier 2 member": A person who | 18 | | first becomes a participant under this Article on or after | 19 | | January 1, 2011, other than a person in the self-managed plan | 20 | | established under Section 15-158.2, unless the person is | 21 | | otherwise a Tier 1 member. The changes made to this Section by | 22 | | this amendatory Act of the 98th General Assembly are a | 23 | | correction of existing law and are intended to be retroactive | 24 | | to the effective date of Public Act 96-889, notwithstanding the | 25 | | provisions of Section 1-103.1 of this Code. A participant under |
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| 1 | | this Article, other than a participant in the self-managed plan | 2 | | under Section 15-158.2, who on or after January 1, 2011, first | 3 | | becomes a participant or member under any reciprocal retirement | 4 | | system or pension fund established under this Code.
| 5 | | (Source: P.A. 98-92, eff. 7-16-13.)
| 6 | | (40 ILCS 5/15-126.1) (from Ch. 108 1/2, par. 15-126.1)
| 7 | | Sec. 15-126.1. Academic year. "Academic year": The | 8 | | 12-month period
beginning on the first day of the fall term as | 9 | | determined
by each employer, or if the employer does not have | 10 | | an academic program
divided into terms, then beginning | 11 | | September 1. For the purposes of Section 15-139.5 and | 12 | | subsection (b) of Section 15-139, however, "academic year" | 13 | | means the 12-month period beginning September 1.
| 14 | | (Source: P.A. 84-1472.)
| 15 | | (40 ILCS 5/15-139) (from Ch. 108 1/2, par. 15-139)
| 16 | | Sec. 15-139. Retirement annuities; cancellation; suspended | 17 | | during
employment. | 18 | | (a) If an annuitant returns to employment for an employer
| 19 | | within 60 days after the beginning of the retirement annuity | 20 | | payment
period, the retirement annuity shall be cancelled, and | 21 | | the annuitant shall
refund to the System the total amount of | 22 | | the retirement annuity payments
which he or she received. If | 23 | | the retirement annuity is cancelled, the
participant shall | 24 | | continue to participate in the System.
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| 1 | | (b) If an annuitant retires prior to age 60 and receives or | 2 | | becomes
entitled to receive during any month compensation in | 3 | | excess of the monthly
retirement annuity (including any | 4 | | automatic annual increases) for services
performed after the | 5 | | date of retirement for any employer under this System, that
| 6 | | portion of the monthly
retirement annuity provided by employer | 7 | | contributions shall not be payable.
| 8 | | If an annuitant retires at age 60 or over and receives
or | 9 | | becomes entitled to receive during any academic year | 10 | | compensation in
excess of the difference between his or her | 11 | | highest annual earnings prior
to retirement and his or her | 12 | | annual retirement annuity computed under Rule
1, Rule 2, Rule | 13 | | 3, or Rule 4 of Section 15-136, or under Section
15-136.4,
for | 14 | | services performed after
the date of retirement for any | 15 | | employer under this System, that portion of
the monthly | 16 | | retirement annuity provided by employer contributions shall be
| 17 | | reduced by an amount equal to the compensation that exceeds | 18 | | such difference.
| 19 | | However, any remuneration received for serving as a member | 20 | | of the
Illinois Educational Labor Relations Board shall be | 21 | | excluded from
"compensation" for the purposes of this | 22 | | subsection (b), and serving as a
member of the Illinois | 23 | | Educational Labor Relations Board shall not be
deemed to be a | 24 | | return to employment for the purposes of this Section.
This | 25 | | provision applies without regard to whether service was | 26 | | terminated
prior to the effective date of this amendatory Act |
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| 1 | | of 1991.
| 2 | | "Academic year", as used in this subsection (b), means the | 3 | | 12-month period beginning September 1. | 4 | | (c) If an employer certifies that an annuitant has been | 5 | | reemployed
on a permanent and continuous basis or in a position
| 6 | | in which the annuitant is expected to serve for at least 9 | 7 | | months, the
annuitant shall resume his or her status as a | 8 | | participating employee
and shall be entitled to all rights | 9 | | applicable to
participating employees upon filing with the | 10 | | board an
election to forgo all annuity payments during the | 11 | | period
of reemployment. Upon subsequent retirement, the | 12 | | retirement
annuity shall consist of the annuity which was | 13 | | terminated by the reemployment,
plus the additional retirement | 14 | | annuity based upon service
granted during the period of | 15 | | reemployment, but the combined retirement
annuity shall not | 16 | | exceed the maximum
annuity applicable on the date of the last | 17 | | retirement.
| 18 | | The total service and earnings credited before and after | 19 | | the initial
date of retirement shall be considered in | 20 | | determining eligibility of the
employee or the employee's | 21 | | beneficiary to benefits under this
Article, and in calculating | 22 | | final rate of earnings.
| 23 | | In determining the death benefit
payable to a beneficiary | 24 | | of an annuitant who again becomes a participating
employee | 25 | | under this Section, accumulated normal and additional
| 26 | | contributions shall be considered as the sum of the accumulated |
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| 1 | | normal and
additional contributions at the date of initial | 2 | | retirement and the
accumulated normal and additional | 3 | | contributions credited after that date,
less the sum of the | 4 | | annuity payments received by the annuitant.
| 5 | | The survivors insurance benefits provided under Section | 6 | | 15-145 shall not
be applicable to an annuitant who resumes his | 7 | | or her status as a
participating employee, unless the | 8 | | annuitant, at the time of initial
retirement, has a survivors | 9 | | insurance beneficiary who could qualify
for such benefits.
| 10 | | If the participant's employment is terminated because of | 11 | | circumstances
other than death before 9 months from the date of | 12 | | reemployment, the
provisions of this Section regarding | 13 | | resumption of status as a
participating employee shall not | 14 | | apply. The normal and survivors insurance
contributions which | 15 | | are deducted during this period shall be refunded to
the | 16 | | annuitant without interest, and subsequent benefits under this | 17 | | Article
shall be the same as those which were applicable prior | 18 | | to the date the
annuitant resumed employment.
| 19 | | The amendments made to this Section by this amendatory Act | 20 | | of the 91st
General Assembly apply without regard to whether | 21 | | the annuitant was in service
on or after the effective date of | 22 | | this amendatory Act.
| 23 | | (Source: P.A. 97-933, eff. 8-10-12; 97-968, eff. 8-16-12; | 24 | | 98-92, eff. 7-16-13.)
| 25 | | (40 ILCS 5/15-139.5) |
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| 1 | | Sec. 15-139.5. Return to work by affected annuitant; notice | 2 | | and contribution by employer. | 3 | | (a) An employer who employs or re-employs a person | 4 | | receiving a retirement annuity from the System in an academic | 5 | | year beginning on or after August 1, 2013 must notify the | 6 | | System of that employment within 60 days after employing the | 7 | | annuitant. The notice must include a summary copy of the | 8 | | contract of employment or ; if no written contract of employment | 9 | | exists, then the notice must specify the rate of compensation | 10 | | and the anticipated length of employment of that annuitant. The | 11 | | notice must specify whether the annuitant will be compensated | 12 | | from federal, corporate, foundation, or trust funds or grants | 13 | | of State funds that identify the principal investigator by | 14 | | name. The notice must include the employer's determination of | 15 | | whether or not the annuitant is an "affected annuitant" as | 16 | | defined in subsection (b). | 17 | | The employer must also record, document, and certify to the | 18 | | System (i) the number of paid days and paid weeks worked by the | 19 | | annuitant in the academic year, (ii) the amount of compensation | 20 | | paid to the annuitant for employment during the academic year, | 21 | | and (ii) (iii) the amount of that compensation, if any, that | 22 | | comes from either federal, corporate, foundation, or trust | 23 | | funds or grants of State funds that identify the principal | 24 | | investigator by name. | 25 | | As used in this Section, "academic year" means the 12-month | 26 | | period beginning September 1. has the meaning ascribed to that |
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| 1 | | term in Section 15-126.1; "paid day" means a day on which a | 2 | | person performs personal services for an employer and for which | 3 | | the person is compensated by the employer; and "paid week" | 4 | | means a calendar week in which a person has at least one paid | 5 | | day. | 6 | | For the purposes of this Section, an annuitant whose | 7 | | employment by an employer extends over more than one academic | 8 | | year shall be deemed to be re-employed by that employer in each | 9 | | of those academic years. | 10 | | The System may specify the time, form, and manner of | 11 | | providing the determinations, notifications, certifications, | 12 | | and documentation required under this Section. | 13 | | (b) A person receiving a retirement annuity from the System | 14 | | becomes an "affected annuitant" on the first day of the | 15 | | academic year following the academic year in which the | 16 | | annuitant first meets both of the following condition | 17 | | conditions : | 18 | | (1) (Blank). While receiving a retirement annuity | 19 | | under this Article, the annuitant has been employed on or | 20 | | after August 1, 2013 by one or more employers under this | 21 | | Article for a total of more than 18 paid weeks (which need | 22 | | not have been with the same employer or in the same | 23 | | academic year); except that any periods of employment for | 24 | | which the annuitant was compensated solely from federal, | 25 | | corporate, foundation, or trust funds or grants of State | 26 | | funds that identify the principal investigator by name are |
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| 1 | | excluded. | 2 | | (2) While receiving a retirement annuity under this | 3 | | Article, the annuitant was employed on or after August 1, | 4 | | 2013 by one or more employers under this Article and | 5 | | received
or became entitled to receive during an academic | 6 | | year compensation for that employment in excess of 40% of | 7 | | his or her highest annual earnings prior
to retirement; | 8 | | except that compensation paid from federal, corporate, | 9 | | foundation, or trust funds or grants of State funds that | 10 | | identify the principal investigator by name is excluded. | 11 | | A person who becomes an affected annuitant remains an | 12 | | affected annuitant, except for any period during which the | 13 | | person returns to active service and does not receive a | 14 | | retirement annuity from the System. | 15 | | (c) It is the obligation of the employer to determine | 16 | | whether an annuitant is an affected annuitant before employing | 17 | | the annuitant. For that purpose the employer may require the | 18 | | annuitant to disclose and document his or her relevant prior | 19 | | employment and earnings history. Failure of the employer to | 20 | | make this determination correctly and in a timely manner or to | 21 | | include this determination with the notification required | 22 | | under subsection (a) does not excuse the employer from making | 23 | | the contribution required under subsection (e). | 24 | | The System may assist the employer in determining whether a | 25 | | person is an affected annuitant. The System shall inform the | 26 | | employer if it discovers that the employer's determination is |
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| 1 | | inconsistent with the employment and earnings information in | 2 | | the System's records. | 3 | | (d) Upon the request of an annuitant, the System shall | 4 | | certify to the annuitant or the employer the following | 5 | | information as reported by the employers, as that information | 6 | | is indicated in the records of the System: (i) the annuitant's | 7 | | highest annual earnings prior
to retirement, (ii) the number of | 8 | | paid weeks worked by the annuitant for an employer on or after | 9 | | August 1, 2013, (iii) the compensation paid for that employment | 10 | | in each academic year, and (iii) (iv) whether any of that | 11 | | employment or compensation has been certified to the System as | 12 | | being paid from federal, corporate, foundation, or trust funds | 13 | | or grants of State funds that identify the principal | 14 | | investigator by name. The System shall only be required to | 15 | | certify information that is received from the employers. | 16 | | (e) In addition to the requirements of subsection (a), an | 17 | | employer who employs an affected annuitant must pay to the | 18 | | System an employer contribution in the amount and manner | 19 | | provided in this Section, unless the annuitant is compensated | 20 | | by that employer solely from federal, corporate, foundation, or | 21 | | trust funds or grants of State funds that identify the | 22 | | principal investigator by name. | 23 | | The employer contribution required under this Section for | 24 | | employment of an affected annuitant in an academic year shall | 25 | | be equal to 12 times the amount of the gross monthly retirement | 26 | | annuity payable to the annuitant for the month in which the |
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| 1 | | first paid day of that employment in that academic year occurs, | 2 | | after any reduction in that annuity that may be imposed under | 3 | | subsection (b) of Section 15-139. | 4 | | If an affected annuitant is employed by more than one | 5 | | employer in an academic year, the employer contribution | 6 | | required under this Section shall be divided among those | 7 | | employers in proportion to their respective portions of the | 8 | | total compensation paid to the affected annuitant for that | 9 | | employment during that academic year. | 10 | | If the System determines that an employer, without | 11 | | reasonable justification, has failed to make the determination | 12 | | of affected annuitant status correctly and in a timely manner, | 13 | | or has failed to notify the System or to correctly document or | 14 | | certify to the System any of the information required by this | 15 | | Section, and that failure results in a delayed determination by | 16 | | the System that a contribution is payable under this Section, | 17 | | then the amount of that employer's contribution otherwise | 18 | | determined under this Section shall be doubled. | 19 | | The System shall deem a failure to correctly determine the | 20 | | annuitant's status to be justified if the employer establishes | 21 | | to the System's satisfaction that the employer, after due | 22 | | diligence, made an erroneous determination that the annuitant | 23 | | was not an affected annuitant due to reasonable reliance on | 24 | | false or misleading information provided by the annuitant or | 25 | | another employer, or an error in the annuitant's official | 26 | | employment or earnings records. |
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| 1 | | (f) Whenever the System determines that an employer is | 2 | | liable for a contribution under this Section, it shall so | 3 | | notify the employer and certify the amount of the contribution. | 4 | | The employer may pay the required contribution without interest | 5 | | at any time within one year after receipt of the certification. | 6 | | If the employer fails to pay within that year, then interest | 7 | | shall be charged at a rate equal to the System's prescribed | 8 | | rate of interest, compounded annually from the 366th day after | 9 | | receipt of the certification from the System. Payment must be | 10 | | concluded within 2 years after receipt of the certification by | 11 | | the employer. If the employer fails to make complete payment, | 12 | | including applicable interest, within 2 years, then the System | 13 | | may, after giving notice to the employer, certify the | 14 | | delinquent amount to the State Comptroller, and the Comptroller | 15 | | shall thereupon deduct the certified delinquent amount from | 16 | | State funds payable to the employer and pay them instead to the | 17 | | System. | 18 | | (g) If an employer is required to make a contribution to | 19 | | the System as a result of employing an affected annuitant and | 20 | | the annuitant later elects to forgo his or her annuity in that | 21 | | same academic year pursuant to subsection (c) of Section | 22 | | 15-139, then the required contribution by the employer shall be | 23 | | waived, and if the contribution has already been paid, it shall | 24 | | be refunded to the employer without interest. | 25 | | (h) Notwithstanding any other provision of this Article, | 26 | | the employer contribution required under this Section shall not |
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| 1 | | be included in the determination of any benefit under this | 2 | | Article or any other Article of this Code, regardless of | 3 | | whether the annuitant returns to active service, and is in | 4 | | addition to any other State or employer contribution required | 5 | | under this Article. | 6 | | (i) Notwithstanding any other provision of this Section to | 7 | | the contrary, if an employer employs an affected annuitant in | 8 | | order to continue critical operations in the event of either an | 9 | | employee's unforeseen illness, accident, or death or a | 10 | | catastrophic incident or disaster, then, for one and only one | 11 | | academic year, the employer is not required to pay the | 12 | | contribution set forth in this Section for that annuitant. The | 13 | | employer shall, however, immediately notify the System upon | 14 | | employing a person subject to this subsection (i). For the | 15 | | purposes of this subsection (i), "critical operations" means | 16 | | teaching services, medical services, student welfare services, | 17 | | and any other services that are critical to the mission of the | 18 | | employer.
| 19 | | (j) This Section shall be applied and coordinated with the | 20 | | regulatory obligations contained in the State Universities | 21 | | Civil Service Act. This Section shall not apply to an annuitant | 22 | | if the employer of that annuitant provides documentation to the | 23 | | System that (1) the annuitant is employed in a status | 24 | | appointment position, as that term is defined in 80 Ill. Adm. | 25 | | Code 250.80, and (2) due to obligations contained under the | 26 | | State Universities Civil Service Act, the employer does not |
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| 1 | | have the ability to limit the earnings or duration of | 2 | | employment for the annuitant while employed in the status | 3 | | appointment position. | 4 | | (Source: P.A. 97-968, eff. 8-16-12.) | 5 | | (40 ILCS 5/15-145.1) | 6 | | Sec. 15-145.1. Survivor's insurance annuities and lump sum | 7 | | payments benefits for Tier 2 Members; amount. Survivor | 8 | | eligibility, vesting, and conditions for a survivor's | 9 | | insurance annuity and lump sum payment amount payable to a | 10 | | survivor's insurance beneficiary of a deceased Tier 2 member | 11 | | shall be determined under the provisions of this Article | 12 | | applicable to survivor's insurance beneficiaries of a deceased | 13 | | Tier 1 member; however, the amount of a survivor's insurance | 14 | | annuity, including the annual increases thereon, shall be | 15 | | calculated pursuant to this Section. The initial survivor's | 16 | | insurance annuity benefit of a survivors insurance beneficiary | 17 | | of a Tier 2 annuitant member shall be in the amount of 66 2/3% | 18 | | of the Tier 2 member's retirement annuity at the date of death. | 19 | | In the case of the death of a Tier 2 member who has not retired, | 20 | | eligibility for a survivor's insurance benefit shall be | 21 | | determined by the applicable Section of this Article. The | 22 | | initial benefit shall be 66 2/3% of the earned annuity without | 23 | | a reduction due to age . A survivor's insurance annuity and | 24 | | shall be increased (1) on each January 1 occurring on or after | 25 | | the commencement of the annuity if the deceased Tier 2 member |
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| 1 | | died while receiving a retirement annuity or (2) in other | 2 | | cases, on each January 1 occurring after the first anniversary | 3 | | of the commencement of the benefit. Each annual increase shall | 4 | | be calculated at 3% or one half the annual unadjusted | 5 | | percentage increase (but not less than zero) in the consumer | 6 | | price index-u for the 12 months ending with the September | 7 | | preceding each November 1, whichever is less, of the originally | 8 | | granted survivor's insurance annuity benefit . If the annual | 9 | | unadjusted percentage change in the consumer price index-u for | 10 | | the 12 months ending with the September preceding each November | 11 | | 1 is zero or there is a decrease, then the survivor's insurance | 12 | | annuity benefit shall not be increased. A beneficiary of a Tier | 13 | | 2 member who elects the Portable Benefit Package provided under | 14 | | this Article shall not be eligible for the survivor's insurance | 15 | | annuity benefit that is provided under this Section. If 2 or | 16 | | more persons are eligible to receive survivor's insurance | 17 | | annuities benefits as provided under this Section based on the | 18 | | same deceased Tier 2 member, the calculation of the survivor's | 19 | | insurance annuities benefits shall be based on the total | 20 | | calculation of the survivor's insurance annuity benefit and | 21 | | divided pro rata. The changes made to this Section by this | 22 | | amendatory Act of the 98th General Assembly are a clarification | 23 | | of existing law and are intended to be retroactive to the | 24 | | effective date of Public Act 96-889, notwithstanding the | 25 | | provisions of Section 1-103.1 of this Code.
| 26 | | (Source: P.A. 98-92, eff. 7-16-13.)
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| 1 | | Section 999. Effective date. This Act takes effect upon | 2 | | becoming law.
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