State of Illinois
92nd General Assembly
Legislation

   [ Search ]   [ PDF text ]   [ Legislation ]   
[ Home ]   [ Back ]   [ Bottom ]



92_HJ0047

 
                                               LRB9209048NTsb

 1                       HOUSE JOINT RESOLUTION

 2        WHEREAS, In 1980, the  General  Assembly  authorized  the
 3    Teachers' Retirement System of the State of Illinois (TRS) to
 4    establish  a  health insurance program for benefit recipients
 5    and their dependents, with annuitants paying 50% of the cost;
 6    and

 7        WHEREAS, In 1991, the General Assembly authorized TRS  to
 8    increase the subsidy from 50% to 75% to achieve closer parity
 9    with State retirees' health insurance premiums; and

10        WHEREAS,  In  1995,  the General Assembly transferred the
11    health insurance program from TRS to the State  of  Illinois,
12    to  be  administered  by the Department of Central Management
13    Services (CMS),  and  established  the  Teachers'  Retirement
14    Insurance Program (TRIP); and

15        WHEREAS, The General Assembly reduced the premium subsidy
16    for the traditional indemnity plan from 75% to 50%; and

17        WHEREAS,   The  General  Assembly  mandated  that  active
18    teachers pay 0.50% of their salary to help  finance  the  CMS
19    program; and

20        WHEREAS,  The  General  Assembly  mandated  the  State of
21    Illinois to match the contributions of the active teachers to
22    help finance the CMS program; and

23        WHEREAS, The  Illinois  Economic  and  Fiscal  Commission
24    reported  in November of 2000 that current revenues would not
25    be able to fund the current TRIP, with a  shortfall  of  $9.3
26    million by the end of fiscal year 2002; and

27        WHEREAS,  The  Illinois  Economic  and  Fiscal Commission
28    updated its report in April of 2001, increasing the shortfall
29    to $37.6 million by the end of fiscal year 2002; and

30        WHEREAS, TRS has hired  a  health  insurance  actuary  to
 
                            -2-                LRB9209048NTsb
 1    provide  an  independent  review  of the current TRIP funding
 2    status and an analysis of TRIP's projected  financial  needs,
 3    along with possible alternative scenarios; and

 4        WHEREAS,  The  Illinois  Economic  and  Fiscal Commission
 5    identified 4 possible funding  sources  for  increasing  TRIP
 6    funding:  retiree  premiums,  active  teacher  contributions,
 7    State  contributions,  and a new contribution requirement for
 8    school districts; and

 9        WHEREAS,  CMS  has  proposed  an  increase  to  70%   for
10    annuitant and dependent premiums; therefore be it

11        RESOLVED,   BY   THE  HOUSE  OF  REPRESENTATIVES  OF  THE
12    NINETY-SECOND GENERAL ASSEMBLY OF THE STATE OF ILLINOIS,  THE
13    SENATE  CONCURRING  HEREIN,  that the Governor reduce the 70%
14    proposal by the Department of Central Management Services  to
15    a  level  similar  to  previous  years'  increases; and be it
16    further

17        RESOLVED, That a TRIP Funding Task Force be  established,
18    composed  of  3  members  appointed  by  the President of the
19    Senate, 3 members appointed by the  Minority  Leader  of  the
20    Senate,  3  members  appointed by the Speaker of the House, 3
21    members appointed by the Minority Leader of  the  House,  one
22    member   appointed   by   the   Illinois   Retired   Teachers
23    Association,  one  member appointed by the Illinois Education
24    Association, one member appointed by the Illinois  Federation
25    of  Teachers,  2  members appointed by the Illinois Statewide
26    School Management  Alliance,  and  the  Director  of  Central
27    Management  Services  or  his  or  her designee, to study the
28    current funding shortfall and to report  its  recommendations
29    on  a  solution to the General Assembly on or before November
30    1, 2001; and be it further

31        RESOLVED, That suitable  copies  of  this  resolution  be
32    delivered  to  the  Governor,  the  Illinois Retired Teachers
 
                            -3-                LRB9209048NTsb
 1    Association, the Illinois Education Association, the Illinois
 2    Federation  of  Teachers,  the  Illinois   Statewide   School
 3    Management  Alliance,  and the Director of Central Management
 4    Services.

[ Top ]