State of Illinois
90th General Assembly
Legislation

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90_HB1091

      40 ILCS 5/3-111           from Ch. 108 1/2, par. 3-111
      40 ILCS 5/3-112           from Ch. 108 1/2, par. 3-112
      40 ILCS 5/3-115           from Ch. 108 1/2, par. 3-115
      40 ILCS 5/3-116           from Ch. 108 1/2, par. 3-116
      40 ILCS 5/3-124.3 new
      40 ILCS 5/3-130           from Ch. 108 1/2, par. 3-130
      30 ILCS 805/8.21 new
          Amends the Downstate Police Article of the Pension  Code.
      Requires  that  one-third of the employee contribution, along
      with 20% of the fund's annual  net  investment  earnings,  be
      placed  into  a health insurance reserve.  Requires the board
      to pay to the municipality from this reserve $150  per  month
      for each pensioner who participates in a group health benefit
      plan   provided   by   the   municipality   without  medicare
      eligibility,  and  $75  per  month  for  each  pensioner  who
      participates in a group health benefit plan provided  by  the
      municipality   with   medicare  eligibility.   Increases  the
      minimum retirement and surviving spouse pensions from $400 to
      $600 per month.  Requires that persons be reinstated when  no
      longer  disabled.   Authorizes  the  board to require medical
      examinations of disabled persons over the age of 50.   Grants
      paid  time  off  for  time spent in board meetings for active
      participant members of the board.  Amends the State  Mandates
      Act   to   require   implementation   without  reimbursement.
      Effective immediately.
                                                     LRB9003996EGfg
                                               LRB9003996EGfg
 1        AN ACT to amend the Illinois Pension Code  and  to  amend
 2    the State Mandates Act.
 3        Be  it  enacted  by  the People of the State of Illinois,
 4    represented in the General Assembly:
 5        Section 5.  The  Illinois  Pension  Code  is  amended  by
 6    changing  Sections  3-111, 3-112, 3-115, 3-116, and 3-130 and
 7    adding Section 3-124.3 as follows:
 8        (40 ILCS 5/3-111) (from Ch. 108 1/2, par. 3-111)
 9        Sec. 3-111.  Pension.
10        (a)  A police officer age 50 or  more  with  20  or  more
11    years of creditable service, who is no longer in service as a
12    police  officer, shall receive a pension of 1/2 of the salary
13    attached to the rank held by the officer on the police  force
14    for  one  year  immediately prior to retirement or, beginning
15    July 1, 1987 for persons terminating service on or after that
16    date, the salary attached to the rank held on the last day of
17    service or for one year prior to the last day,  whichever  is
18    greater.  The pension shall be increased by 2% of such salary
19    for each additional year of service over 20 years, up  to  30
20    years,  and  1%  of  such  salary for each additional year of
21    service over 30 years, to a maximum of 75% of such salary.
22        No pension in effect on or granted after  June  30,  l973
23    shall  be  less than $200 per month.  Beginning July 1, 1987,
24    the minimum retirement pension for a police officer having at
25    least 20 years of creditable service shall be $400 per month,
26    without regard to whether or not retirement occurred prior to
27    that date.  Beginning July 1, 1997,  the  minimum  retirement
28    pension  for  a  police  officer  having at least 20 years of
29    creditable service shall be $600 per month, without regard to
30    whether or not retirement occurred prior to that date.
31        (b)  A police officer mandatorily  retired  from  service
                            -2-                LRB9003996EGfg
 1    due  to  age  by operation of law, having at least 8 but less
 2    than 20 years of creditable service, shall receive a  pension
 3    equal  to 2 1/2% of the salary attached to the rank he or she
 4    held on the police force for one year  immediately  prior  to
 5    retirement or, beginning July 1, 1987 for persons terminating
 6    service  on  or  after  that date, the salary attached to the
 7    rank held on the last day of service or for one year prior to
 8    the  last  day,  whichever  is  greater,  for  each  year  of
 9    creditable service.
10        A police officer who retires or is separated from service
11    having at least 8 years but less than 20 years of  creditable
12    service,  who  is  not  mandatorily  retired  due  to  age by
13    operation of law, and who does not  apply  for  a  refund  of
14    contributions  at  his  or  her  last  separation from police
15    service, shall receive a pension upon attaining age 60  equal
16    to 2.5% of the salary attached to the rank held by the police
17    officer on the police force for one year immediately prior to
18    retirement or, beginning July 1, 1987 for persons terminating
19    service  on  or  after  that date, the salary attached to the
20    rank held on the last day of service or for one year prior to
21    the  last  day,  whichever  is  greater,  for  each  year  of
22    creditable service.
23    (Source: P.A. 85-941.)
24        (40 ILCS 5/3-112) (from Ch. 108 1/2, par. 3-112)
25        Sec. 3-112.  Pension to survivors.
26        (a)  Upon the death of a police  officer  entitled  to  a
27    pension  under  Section  3-111, the surviving spouse shall be
28    entitled to the pension to which the police officer was  then
29    entitled.   Upon  the  death of the surviving spouse, or upon
30    the remarriage of the surviving  spouse  if  that  remarriage
31    terminates  the  surviving spouse's eligibility under Section
32    3-121, the police officer's unmarried children who are  under
33    age  18  or  who  are dependent because of physical or mental
                            -3-                LRB9003996EGfg
 1    disability shall be entitled to equal shares of such pension.
 2    If there is no eligible  surviving  spouse  and  no  eligible
 3    child,  the  dependent parent or parents of the officer shall
 4    be entitled to receive or  share  such  pension  until  their
 5    death or marriage or remarriage after the death of the police
 6    officer.
 7        (b)  Upon the death of a police officer while in service,
 8    having  at  least 20 years of creditable service, or upon the
 9    death of a police officer who retired from  service  with  at
10    least  20  years  of creditable service, whether death occurs
11    before or after attainment of age 50, the pension  earned  by
12    the  police  officer  as  of the date of death as provided in
13    Section 3-111 shall be paid to the survivors in the  sequence
14    provided in subsection (a) of this Section.
15        (c)  Upon the death of a police officer while in service,
16    having  at  least  10  but  less  than 20 years of service, a
17    pension of 1/2 of the salary attached to the  rank  or  ranks
18    held  by  the officer for one year immediately prior to death
19    shall be payable to the survivors in the sequence provided in
20    subsection (a) of this Section.  If death occurs as a  result
21    of the performance of duty, the 10 year requirement shall not
22    apply and the pension to survivors shall be payable after any
23    period of service.
24        (d)  Beginning  July  1,  1987, a minimum pension of $400
25    per month shall be paid to  all  surviving  spouses,  without
26    regard  to  the  fact  that  the  death of the police officer
27    occurred prior to that date.
28        Beginning July 1, 1997, a minimum  pension  of  $600  per
29    month  shall be paid to all surviving spouses, without regard
30    to the fact that the death of  the  police  officer  occurred
31    prior to the effective date of this amendatory Act of 1997.
32    (Source: P.A. 89-408, eff. 11-15-95.)
33        (40 ILCS 5/3-115) (from Ch. 108 1/2, par. 3-115)
                            -4-                LRB9003996EGfg
 1        Sec.  3-115.   Certificate  of  disability.  A disability
 2    pension shall not be paid unless  there  is  filed  with  the
 3    board   certificates  of  the  police  officer's  disability,
 4    subscribed and sworn to by the police officer  if  not  under
 5    legal  disability,  or  by a representative if the officer is
 6    under legal disability, and by the police surgeon  (if  there
 7    be  one)  and  3 practicing physicians selected by the board.
 8    The board may require other evidence of disability.
 9        Medical examination  of  a  police  officer  retired  for
10    disability  shall  be  made  at least once each year prior to
11    attainment of age 50, as verification of the  continuance  of
12    disability  for  service  as a police officer. The board may,
13    but need not,  require  an  annual  or  periodic  medical  No
14    examination shall be required after age 50.
15    (Source: P.A. 83-1440.)
16        (40 ILCS 5/3-116) (from Ch. 108 1/2, par. 3-116)
17        Sec. 3-116.  Examination and emergency service.  A police
18    officer  whose duty is suspended because of disability may be
19    summoned to appear before the board,  and  to  submit  to  an
20    examination to determine fitness for duty.  The officer shall
21    abide  by  the board's decision.  If a police officer retired
22    for disability, except one who voluntarily retires  after  20
23    years'  service,  is  found  upon medical examination to have
24    recovered from disability, the board  shall  certify  to  the
25    chief  of police that the member is no longer disabled and is
26    able to resume the duties of his or her position.   A  police
27    officer  who  is  certified as no longer disabled and able to
28    resume the duties of his or her position must  be  reinstated
29    in  that  position  or  a  similar  position  in  the  police
30    department.
31        In  case  of  emergency, a disabled police officer may be
32    assigned to and shall perform  such  duty  without  right  to
33    compensation  as  the chief of police or chief officer of the
                            -5-                LRB9003996EGfg
 1    municipality may direct.
 2    (Source: P.A. 83-1440.)
 3        (40 ILCS 5/3-124.3 new)
 4        Sec. 3-124.3.  Health insurance costs.
 5        (a) The board of  each  fund  shall  establish  a  health
 6    insurance  reserve,  which  shall be known as the Retired and
 7    Disabled Police Officer Health and Welfare Fund.   The  board
 8    shall transfer into that reserve:
 9             (1)  Beginning  January  1,  1998,  a portion of all
10        employee contributions received by the fund, equal to  3%
11        of the salary of its active members; and
12             (2)  at the end of each fiscal year, an amount equal
13        to  20% of the net investment earnings of the fund during
14        that fiscal year.
15        (b)  Beginning January 1, 1999, the board shall  pay  out
16    of the health insurance reserve to the employing municipality
17    an  amount  equal  to  $75  per month for each recipient of a
18    disability, retirement, or survivor's pension from  the  fund
19    who  participates  in a group health benefit plan provided by
20    the  municipality  and  is  eligible  to   receive   Medicare
21    benefits,  and  $150  per  month  for  each  recipient  of  a
22    disability,  retirement,  or survivor's pension from the fund
23    who participates in a group health benefit plan  provided  by
24    the  municipality  and  is  not  eligible to receive Medicare
25    benefits, which payments shall be credited to the pensioner's
26    cost of participation in the health benefit plan.
27        (c)  Payments under this  Section  are  not  intended  to
28    constitute  a  pension or retirement benefit for the purposes
29    of Section 5 of Article XIII of the Illinois Constitution and
30    are subject  to  reduction  or  termination  by  the  General
31    Assembly at any time.
32        (40 ILCS 5/3-130) (from Ch. 108 1/2, par. 3-130)
                            -6-                LRB9003996EGfg
 1        Sec.  3-130.   Board  meetings.   The  board  shall  hold
 2    annually regular quarterly meetings in July, October, January
 3    and April, and special meetings as called by the president.
 4        At  the regular July meeting, the board shall select from
 5    its  members  a  president,  vice-president,  secretary,  and
 6    assistant secretary to serve for one  year  and  until  their
 7    respective successors are elected and qualified.
 8        The  vice-president shall perform the duties of president
 9    during any vacancy in that office, or during the  president's
10    absence  from  the municipality, or if he or she is by reason
11    of illness or other causes unable to perform  the  duties  of
12    the office.
13        The  assistant  secretary  shall  act  for  the secretary
14    whenever necessary to discharge the functions of such office.
15        The members of the  board  who  are  active  participants
16    shall  be  given paid time off from their departmental duties
17    to attend meetings and hearings of the board.
18    (Source: P.A. 83-1440.)
19        Section 90.  The State Mandates Act is amended by  adding
20    Section 8.21 as follows:
21        (30 ILCS 805/8.21 new)
22        Sec.  8.21.  Exempt  mandate.  Notwithstanding Sections 6
23    and 8 of this Act, no reimbursement by the State is  required
24    for  the  implementation  of  any  mandate  created  by  this
25    amendatory Act of 1997.
26        Section  99.  Effective date.  This Act takes effect upon
27    becoming law.

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