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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 medicalNo14 examinationshall be requiredafter 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.