Illinois General Assembly - Full Text of Public Act 094-0109
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Public Act 094-0109




Public Act 094-0109
SB1442 Enrolled LRB094 10970 RSP 41562 b

    AN ACT concerning State government.
    Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
    Section 5. The State Employees Group Insurance Act of 1971
is amended by changing Section 8 as follows:
    (5 ILCS 375/8)  (from Ch. 127, par. 528)
    Sec. 8. Eligibility.
    (a) Each member eligible under the provisions of this Act
and any rules and regulations promulgated and adopted hereunder
by the Director shall become immediately eligible and covered
for all benefits available under the programs. Members electing
coverage for eligible dependents shall have the coverage
effective immediately, provided that the election is properly
filed in accordance with required filing dates and procedures
specified by the Director.
        (1) Every member originally eligible to elect
    dependent coverage, but not electing it during the original
    eligibility period, may subsequently obtain dependent
    coverage only in the event of a qualifying change in
    status, special enrollment, special circumstance as
    defined by the Director, or during the annual Benefit
    Choice Period.
        (2) Members described above being transferred from
    previous coverage towards which the State has been
    contributing shall be transferred regardless of
    preexisting conditions, waiting periods, or other
    requirements that might jeopardize claim payments to which
    they would otherwise have been entitled.
        (3) Eligible and covered members that are eligible for
    coverage as dependents except for the fact of being members
    shall be transferred to, and covered under, dependent
    status regardless of preexisting conditions, waiting
    periods, or other requirements that might jeopardize claim
    payments to which they would otherwise have been entitled
    upon cessation of member status and the election of
    dependent coverage by a member eligible to elect that
    (b) New employees shall be immediately insured for the
basic group life insurance and covered by the program of health
benefits on the first day of active State service. Optional
coverages or benefits, if elected during the relevant
eligibility period, will become effective on the date of
employment. Optional coverages or benefits applied for after
the eligibility period will be effective, subject to
satisfactory evidence of insurability when applicable, or
other necessary qualifications, pursuant to the requirements
of the applicable benefit program, unless there is a change in
status that would confer new eligibility for change of
enrollment under rules established supplementing this Act, in
which event application must be made within the new eligibility
    (c) As to the group health benefits program contracted to
begin or continue after June 30, 1973, each retired employee
shall become immediately eligible and covered for all benefits
available under that program. Retired employees may elect
coverage for eligible dependents and shall have the coverage
effective immediately, provided that the election is properly
filed in accordance with required filing dates and procedures
specified by the Director.
    Except as otherwise provided in this Act, where husband and
wife are both eligible members, each shall be enrolled as a
member and coverage on their eligible dependent children, if
any, may be under the enrollment and election of either.
    Regardless of other provisions herein regarding late
enrollment or other qualifications, as appropriate, the
Director may periodically authorize open enrollment periods
for each of the benefit programs at which time each member may
elect enrollment or change of enrollment without regard to age,
sex, health, or other qualification under the conditions as may
be prescribed in rules and regulations supplementing this Act.
Special open enrollment periods may be declared by the Director
for certain members only when special circumstances occur that
affect only those members.
    (d) Beginning with fiscal year 2003 and for all subsequent
years, eligible members may elect not to participate in the
program of health benefits as defined in this Act. The election
must be made during the annual benefit choice period, subject
to the conditions in this subsection.
        (1) Members must furnish proof of health benefit
    coverage, either comprehensive major medical coverage or
    comprehensive managed care plan, from a source other than
    the Department of Central Management Services in order to
    elect not to participate in the program.
        (2) Members may re-enroll in the Department of Central
    Management Services program of health benefits upon
    showing a qualifying change in status, as defined in the
    U.S. Internal Revenue Code, without evidence of
    insurability and with no limitations on coverage for
    pre-existing conditions, provided that there was not a
    break in coverage of more than 63 days.
        (3) Members may also re-enroll in the program of health
    benefits during any annual benefit choice period, without
    evidence of insurability.
        (4) Members who elect not to participate in the program
    of health benefits shall be furnished a written explanation
    of the requirements and limitations for the election not to
    participate in the program and for re-enrolling in the
    program. The explanation shall also be included in the
    annual benefit choice options booklets furnished to
    (d-5) Beginning July 1, 2005, the Director may establish a
program of financial incentives to encourage annuitants
receiving a retirement annuity from the State Employees
Retirement System, but who are not eligible for benefits under
the federal Medicare health insurance program (Title XVIII of
the Social Security Act, as added by Public Law 89-97) to elect
not to participate in the program of health benefits provided
under this Act. The election by an annuitant not to participate
under this program must be made in accordance with the
requirements set forth under subsection (d). The financial
incentives provided to these annuitants under the program may
not exceed $150 per month for each annuitant electing not to
participate in the program of health benefits provided under
this Act.
    (e) Notwithstanding any other provision of this Act or the
rules adopted under this Act, if a person participating in the
program of health benefits as the dependent spouse of an
eligible member becomes an annuitant, the person may elect, at
the time of becoming an annuitant or during any subsequent
annual benefit choice period, to continue participation as a
dependent rather than as an eligible member for as long as the
person continues to be an eligible dependent.
    An eligible member who has elected to participate as a
dependent may re-enroll in the program of health benefits as an
eligible member (i) during any subsequent annual benefit choice
period or (ii) upon showing a qualifying change in status, as
defined in the U.S. Internal Revenue Code, without evidence of
insurability and with no limitations on coverage for
pre-existing conditions.
    A person who elects to participate in the program of health
benefits as a dependent rather than as an eligible member shall
be furnished a written explanation of the consequences of
electing to participate as a dependent and the conditions and
procedures for re-enrolling as an eligible member. The
explanation shall also be included in the annual benefit choice
options booklet furnished to members.
(Source: P.A. 92-600, eff. 6-28-02; 93-553, eff. 8-20-03.)
    Section 10. The Illinois Pension Code is amended by adding
Section 14-108.6 as follows:
    (40 ILCS 5/14-108.6 new)
    Sec. 14-108.6. Alternative retirement cancellation
    (a) To be eligible for the alternative retirement
cancellation payment provided in this Section, a person must:
        (1) be a member of this System who, as of July 1, 2005,
    was (i) in active payroll status as an employee in a
    position listed in subsection (b) of this Section and
    continuously employed in a position listed in subsection
    (b) on and after January 1, 2005 and (ii) an active
    contributor to this System with respect to that employment;
        (2) have not previously received any retirement
    annuity under this Article;
        (3) in the case of persons employed in a position title
    listed under paragraph (1) of subsection (b), be among the
    first 500 persons to file with the Board on or before
    September 30, 2005 a written application requesting the
    alternative retirement cancellation payment provided in
    this Section;
        (4) in the case of persons employed in a position title
    listed under paragraph (2) of subsection (b), have received
    written authorization from the director or other head of
    his or her department and filed that authorization with the
    system on or before September 1, 2005;
        (5) if there is a QILDRO in effect against the person,
    file with the Board the written consent of all alternate
    payees under the QILDRO to the election of an alternative
    retirement cancellation payment under this Section; and
        (6) terminate employment under this Article within one
    month after approval of the person's application
    requesting the alternative retirement cancellation
    payment, but in no event later than October 31, 2005.
    (b)(1) Position titles eligible for the alternative
retirement cancellation payment provided in this Section are:
        911 Analyst III; Brickmason; Account Clerk I and II;
    Budget Analyst I and II; Account Technician I and II;
    Budget Operations Director; Accountant; Budget Principal;
    Accountant Advanced; Building Services Worker; Accountant
    Supervisor; Building/Grounds Laborer; Accounting Fiscal
    Administrative Career Trainee; Building/Grounds Lead 1 and
    2; Accounts Payable Processing Analyst; Building/Grounds
    Maintenance Worker; Accounts Payable Specialist;
    Building/Grounds Supervisor; Accounts Processing Analyst;
    Bureau Chief; Actuarial Assistant; Business Administrative
    Specialist; Administrative and Technology Director;
    Business Analyst I through IV; Administrative Assistant I
    through III; Business Manager; Administrative Clerk;
    Buyer; Administrative Coordinator; Buyer Assistant;
    Administrator; Capital Budget Analyst I and II;
    Administrator of Capital Programs; Capital Budget
    Director; Administrator of Construction Administration;
    Capital Programs Analyst I and II; Administrator of
    Contract Administration; Capital Programs Technician;
    Administrator of Fair Employment Practices; Carpenter;
    Administrator of Fiscal; Carpenter Foreman; Administrator
    of Information Management; Cartographer I through III;
    Administrator of Information Systems; Chief - Police;
    Administrator of Personnel; Chief Veterans Technician;
    Administrator of Professional Services; Circuit
    Provisioning Specialist; Administrator of Public Affairs;
    Civil Engineer I through IX; Administrator of
    Quality-Based Selection; Civil Engineer Trainee;
    Administrator of Strategic Planning and Training; Clerical
    Trainee; Appeals & Orders Coordinator; Communications
    Director; Appraisal Specialist 1 through 3; Community
    Planner 3; Assignment Coordinator; Commander; Assistant
    Art-in-Architecture Coordinator; Compliance Specialist;
    Assistant Chief - Police; Conservation Education
    Representative; Assistant Internal Auditor; Conservation
    Grant Administrator 1 through 3; Assistant Manager;
    Construction Supervisor I and II; Assistant Personnel
    Officer; Consumer Policy Analyst; Assistant Professor
    Scientist; Consumer Program Coordinator; Assistant
    Reimbursement Officer; Contract Executive; Assistant
    Steward; Coordinator of Administrative Services; Associate
    Director for Administrative Services; Coordinator of
    Art-in-Architecture; Associate Museum Director;
    Corrections Clerk I through III; Associate Professor
    Scientist; Corrections Maintenance Supervisor; Corrections
    Caseworker Supervisor; Corrections Food Service
    Supervisor; Auto Parts Warehouse Specialist; Corrections
    Maintenance Worker; Auto Parts Warehouser; Curator I
    through III; Automotive Attendant I and II; Data Processing
    Administrative Specialist; Automotive Mechanic; Data
    Processing Assistant; Automotive Shop Supervisor; Data
    Processing Operator; Baker; Data Processing Specialist;
    Barber; Data Processing Supervisor 1 through 3;
    Beautician; Data Processing Technician; Brickmason; Deputy
    Chief Counsel; Director of Licensing; Desktop Technician;
    Director of Security; Human Resources Officer; Division
    Chief; Human Resources Representative; Division Director;
    Human Resources Specialist; Economic Analyst I through IV;
    Human Resources Trainee; Electrical Engineer; Human
    Services Casework Manager; Electrical Engineer I through
    V; Human Services Grant Coordinator 2 and 3; Electrical
    Equipment Installer/Repairer; Iconographer; Electrical
    Equipment Installer/Repairer Lead Worker; Industry and
    Commercial Development Representative 1 and 2;
    Electrician; Industry Services Consultant 1 and 2;
    Electronics Technician; Information Services Intern;
    Elevator Operator; Information Services Specialist I and
    II; Endangered Species Secretary; Information Systems
    Analyst I through III; Engineering Aide; Information
    Systems Manager; Engineering Analyst I through IV;
    Information Systems Planner; Engineering Manager I and II;
    Institutional Maintenance Worker; Engineering Technician I
    through V; Instrument Designer; Environmental Scientist I
    and II; Insurance Analyst I through IV; Executive I through
    VI; Executive Assistant; Intermittent Clerk; Executive
    Assistant I through IV; Intermittent Laborer Maintenance;
    Executive Secretary 1 through 3; Intern; Federal Funding
    and Public Safety Director; Internal Auditor 1; Financial &
    Budget Assistant; Internal Communications Officer;
    Financial & Budget Supervisor; International Marketing
    Representative 1; Financial Management Director; IT
    Manager; Fiscal Executive; Janitor I and II; Fiscal
    Officer; Junior State Veterinarian; Gas Engineer I through
    IV; Junior Supervisor Scientist; General Counsel and
    Regulatory Director; Laboratory Manager II; General
    Services Administrator I; Labor Maintenance Lead Worker;
    General Services Technician; Laborer; Geographic
    Information Specialist 1 and 2; Laborer (Building);
    Geologist I through IV; Laborer (Maintenance); Graphic
    Arts Design Supervisor; Landscape Architect; Graphic Arts
    Designer; Landscape Architect I through IV; Graphic Arts
    Technician; Landscape Planner; Grounds Supervisor; Laundry
    Manager I; Highway Construction Supervisor I; Legislative
    Liaison I and II; Historical Research Editor 2; Liability
    Claims Adjuster 1 and 2; Historical Research Specialist;
    Librarian 1 and 2; Horse Custodian; Library Aide I through
    III; Horse Identifier; Library Associate; Hourly
    Assistant; Library Technical Assistant; Human Resource
    Coordinator; Licensing Assistant; Human Resources Analyst;
    Line Technician I through II; Human Resources Assistant;
    Local History Service Representative; Human Resources
    Associate; Local Housing Advisor 2 and 3; Human Resources
    Manager; Local Revenue and Fiscal Advisor 3; Machinist;
    Locksmith; Maintenance Equipment Operator; Operations
    Communications Specialist Trainee; Maintenance Worker;
    Operations Technician; Maintenance Worker Power Plant;
    Painter; Management Information Technician; Paralegal
    Assistant; Management Operations Analyst 1 and 2;
    Performance Management Analyst; Management Secretary I;
    Personnel Manager; Management Systems Specialist;
    Photogrammetrist I through IV; Management Technician I
    through IV; Physician; Manager; Physician Specialist
    Operations A through D; Manpower Planner 1 through 3;
    Planning Director; Medical Administrator III and V; Plant
    Maintenance Engineer 1 and 2; Methods & Processes Advisor
    1, 2 and III; Plumber; Methods & Processes Career Associate
    1 and 2; Policy Advisor; Microfilm Operator I through III;
    Policy Analyst I through IV; Military Administrative
    Assistant I; Power Shovel Operator (Maintenance); Military
    Administrative Clerk; Principal Economist; Military
    Administrative Officer-Legal; Principal Scientist;
    Military Administrative Specialist; Private Secretary 1
    and 2; Military Community Relations Specialist; Private
    Secretary I and II; Military Cooperative Agreement
    Specialist; Procurement Representative; Military Crash,
    Fire, Rescue I through III; Professor & Scientist; Military
    Energy Manager; Program Manager; Military Engineer
    Technician; Program Specialist; Military Environmental
    Specialist I through III; Project Coordinator; Military
    Facilities Engineer; Project Designer; Military Facilities
    Officer I; Project Manager I through III; Military
    Maintenance Engineer; Project Manager; Military Museum
    Director; Project Manager/Technical Specialist I thru III;
    Military Program Supervisor; Project Specialist I through
    IV; Military Property Custodian II; Projects Director;
    Military Real Property Clerk; Property & Supply Clerk I
    through III; Motorist Assistance Specialist; Property
    Control Officer; Museum Director; Public Administration
    Intern; Museum Security Head I through III; Public
    Information Coordinator; Museum Technician I through III;
    Public Information Officer; Network Control Center
    Specialist; Public Information Officer 2 through 4;
    Network Control Center Technician 2; Public Service
    Administrator; Network Engineer I through IV; Race Track
    Maintenance 1 and 2; Office Administration Specialist;
    Radio Technician Program Coordinator; Office Administrator
    1 through 5; Realty Specialist I through V; Office Aide;
    Receptionist; Office Assistant; Regional Manager; Office
    Associate; Regulatory Accountant IV; Office Clerk;
    Reimbursement Officer 1 and 2; Office Coordinator;
    Representative I and II; Office Manager; Representative
    Trainee; Office Occupations Trainee; School Construction
    Manager; Office Specialist; Secretary I and IV; Operations
    Communications Specialist I and II; Security Guard; Senior
    Economic Analyst; Security Supervisor; Senior Editor;
    Systems Developer I through IV; Senior Electrical
    Engineer; Systems Developer Trainee; Senior Financial &
    Budget Assistant; Systems Engineer I through IV; Senior Gas
    Engineer; Systems Engineer Trainee; Senior Policy Analyst;
    Tariff & Order Coordinator; Senior Programs Analyst;
    Tariff Administrator III; Senior Project Consultant;
    Tariff Analyst IV; Senior Project Manager; Teacher of
    Barbering; Senior Public Information Officer; Teacher of
    Beauty Culture; Senior Public Service Administrator;
    Technical Advisor 2 and 3; Senior Rate Analyst; Technical
    Advisor I through VII; Senior Technical Assistant;
    Technical Analyst; Technical Manager I through IX; Senior
    Technical Supervisor; Technical Assistant; Senior
    Technology Specialist; Technical Manager 1; Senior
    Transportation Industry Analyst; Technical Manager I
    through X; Sewage Plant Operator; Technical Specialist;
    Sign Hanger; Technical Support Specialist; Sign Hanger
    Foreman; Technical Specialist I thru III; Sign Painter;
    Technician Trainee; Sign Shop Foreman; Telecom Systems
    Analyst; Silk Screen Operator; Telecom Systems Consultant;
    Senior Administrative Assistant; Telecom Systems
    Technician 1 and 2; Site Superintendent; Telecommunication
    Supervisor; Software Architect; Tinsmith; Special
    Assistant; Trades Tender; Special Assistant to the
    Executive Director; Training Coordinator; Staff
    Development Specialist I; Transportation Counsel; Staff
    Development Technician II; Transportation Industry Analyst
    III; State Police Captain; Transportation Industry
    Customer Service; State Police Lieutenant; Transportation
    Officer; State Police Major; Transportation Policy Analyst
    III and IV; State Police Master Sergeant; Urban Planner I
    through VI; Stationary Engineer; Utility Engineer I and II;
    Stationary Engineer Assistant Chief; Veteran Secretary;
    Stationary Engineer Chief; Veteran Technician; Stationary
    Fireman; Water Engineer I through IV; Statistical Research
    Specialist 1 through 3; Water Plant Operator; Statistical
    Research Supervisor; Web and Publications Manager;
    Statistical Research Technician; Steamfitter; Steward;
    Steward Secretary; Storekeeper I through III; Stores
    Clerk; Student Intern; Student Worker; Supervisor;
    Supervisor & Assistant Scientist; Supervisor & Associate
    Scientist; Switchboard Operator 1 through 3;
    Administrative Assistant to the Superintendent; Assistant
    Legal Advisor; Legal Assistant; Senior Human Resources
    Specialist; Principal Internal Auditor; Division
    Administrator; Division Supervisor; and Private Secretary
    I through III.
        (2) In addition, any position titles with the Speaker
    of the House of Representatives, the Minority Leader of the
    House of Representatives, the President of the Senate, the
    Minority Leader of the Senate, the Attorney General, the
    Secretary of State, the Comptroller, the Treasurer, the
    Auditor General, the Supreme Court, the Court of Claims,
    and each legislative agency are eligible for the
    alternative retirement cancellation payment provided in
    this Section.
    (c) In lieu of any retirement annuity or other benefit
provided under this Article, a person who qualifies for and
elects to receive the alternative retirement cancellation
payment under this Section shall be entitled to receive a
one-time lump sum retirement cancellation payment equal to the
amount of his or her contributions to the System (including any
employee contributions for optional service credit and
including any employee contributions paid by the employer or
credited to the employee during disability) as of the date of
termination, with regular interest, multiplied by 2.
    (d) Notwithstanding any other provision of this Article, a
person who receives an alternative retirement cancellation
payment under this Section thereby forfeits the right to any
other retirement or disability benefit or refund under this
Article, and no widow's, survivor's, or death benefit deriving
from that person shall be payable under this Article. Upon
accepting an alternative retirement cancellation payment under
this Section, the person's creditable service and all other
rights in the System are terminated for all purposes, except
for the purpose of determining State group life and health
benefits for the person and his or her survivors as provided
under the State Employees Group Insurance Act of 1971.
    (e) To the extent permitted by federal law, a person who
receives an alternative retirement cancellation payment under
this Section may direct the System to pay all or a portion of
that payment as a rollover into another retirement plan or
account qualified under the Internal Revenue Code of 1986, as
    (f) Notwithstanding Section 14-111, a person who has
received an alternative retirement cancellation payment under
this Section and who reenters service under this Article other
than as a temporary employee must repay to the System the
amount by which that alternative retirement cancellation
payment exceeded the amount of his or her refundable employee
contributions within 60 days of resuming employment under this
System. For the purposes of re-establishing creditable service
that was terminated upon election of the alternative retirement
cancellation payment, the portion of the alternative
retirement cancellation payment representing refundable
employee contributions shall be deemed a refund repayable in
accordance with Section 14-130.
    (g) The Commission on Government Forecasting and
Accountability shall determine and report to the Governor and
the General Assembly, on or before January 1, 2007, its
estimate of (1) the annual amount of payroll savings likely to
be realized by the State as a result of the early termination
of persons receiving the alternative retirement cancellation
payment under this Section and (2) the net annual savings or
cost to the State from the program of alternative retirement
cancellation payments under this Section.
    The System, the Department of Central Management Services,
the Governor's Office of Management and Budget, and all other
departments shall provide to the Commission any assistance that
the Commission may request with respect to its report under
this Section. The Commission may require departments to provide
it with any information that it deems necessary or useful with
respect to its reports under this Section, including without
limitation information about (1) the final earnings of former
department employees who elected to receive alternative
retirement cancellation payments under this Section, (2) the
earnings of current department employees holding the positions
vacated by persons who elected to receive alternative
retirement cancellation payments under this Section, and (3)
positions vacated by persons who elected to receive alternative
retirement cancellation payments under this Section that have
not yet been refilled.
    Section 99. Effective date. This Act takes effect July 1,

Effective Date: 7/1/2005