Illinois 2023-2024 Regular Session

Illinois House Bill HB3765 Compare Versions

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1-HB3765 EngrossedLRB103 31021 RPS 57638 b HB3765 Engrossed LRB103 31021 RPS 57638 b
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1+103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB3765 Introduced , by Rep. Justin Slaughter SYNOPSIS AS INTRODUCED: See Index Amends the Illinois Pension Code. In the General Provisions Article, provides that beginning on January 1, 2024, the annual earnings, salary, or wages of a Tier 2 participant under the Cook County Article shall track with the Social Security wage base (rather than shall not exceed $106,800, adjusted annually). Makes conforming changes in the Cook County Article and provides that the county's contribution shall be paid through a tax levy and any other lawfully available funds. Provides that beginning on January 1, 2025, the Fund shall not use contributions received by the Fund for subsidy for an annuitant health care program. Deletes a restrictive date in a provision concerning establishing credit for military service. Beginning on December 1, 2023, provides that the president of the county shall appoint 2 additional members to the board of trustees. Requires the retirement board to retain an actuary who is a member in good standing of the American Academy of Actuaries to produce an annual actuarial report of the Fund and provides criteria for the report. Provides that the annual audit required of the Fund may include the preparation of the annual actuarial report. Provides that the annual report submitted to the county board shall include the annual actuarial report. Requires that the minimum required employer contribution shall be submitted annually by the county and provides the method of determining the minimum required employer contribution. Provides that the Fund shall (rather than may) pay for an annuitant health care program administered by the Fund (rather than any of the county's health care plans). Makes other changes. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately. LRB103 31021 RPS 57638 b STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB3765 Introduced , by Rep. Justin Slaughter SYNOPSIS AS INTRODUCED: See Index See Index Amends the Illinois Pension Code. In the General Provisions Article, provides that beginning on January 1, 2024, the annual earnings, salary, or wages of a Tier 2 participant under the Cook County Article shall track with the Social Security wage base (rather than shall not exceed $106,800, adjusted annually). Makes conforming changes in the Cook County Article and provides that the county's contribution shall be paid through a tax levy and any other lawfully available funds. Provides that beginning on January 1, 2025, the Fund shall not use contributions received by the Fund for subsidy for an annuitant health care program. Deletes a restrictive date in a provision concerning establishing credit for military service. Beginning on December 1, 2023, provides that the president of the county shall appoint 2 additional members to the board of trustees. Requires the retirement board to retain an actuary who is a member in good standing of the American Academy of Actuaries to produce an annual actuarial report of the Fund and provides criteria for the report. Provides that the annual audit required of the Fund may include the preparation of the annual actuarial report. Provides that the annual report submitted to the county board shall include the annual actuarial report. Requires that the minimum required employer contribution shall be submitted annually by the county and provides the method of determining the minimum required employer contribution. Provides that the Fund shall (rather than may) pay for an annuitant health care program administered by the Fund (rather than any of the county's health care plans). Makes other changes. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately. LRB103 31021 RPS 57638 b LRB103 31021 RPS 57638 b STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY A BILL FOR
2+103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB3765 Introduced , by Rep. Justin Slaughter SYNOPSIS AS INTRODUCED:
3+See Index See Index
4+See Index
5+Amends the Illinois Pension Code. In the General Provisions Article, provides that beginning on January 1, 2024, the annual earnings, salary, or wages of a Tier 2 participant under the Cook County Article shall track with the Social Security wage base (rather than shall not exceed $106,800, adjusted annually). Makes conforming changes in the Cook County Article and provides that the county's contribution shall be paid through a tax levy and any other lawfully available funds. Provides that beginning on January 1, 2025, the Fund shall not use contributions received by the Fund for subsidy for an annuitant health care program. Deletes a restrictive date in a provision concerning establishing credit for military service. Beginning on December 1, 2023, provides that the president of the county shall appoint 2 additional members to the board of trustees. Requires the retirement board to retain an actuary who is a member in good standing of the American Academy of Actuaries to produce an annual actuarial report of the Fund and provides criteria for the report. Provides that the annual audit required of the Fund may include the preparation of the annual actuarial report. Provides that the annual report submitted to the county board shall include the annual actuarial report. Requires that the minimum required employer contribution shall be submitted annually by the county and provides the method of determining the minimum required employer contribution. Provides that the Fund shall (rather than may) pay for an annuitant health care program administered by the Fund (rather than any of the county's health care plans). Makes other changes. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately.
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8+STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY
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10+A BILL FOR
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313 1 AN ACT concerning public employee benefits.
414 2 Be it enacted by the People of the State of Illinois,
515 3 represented in the General Assembly:
616 4 Section 5. The Illinois Pension Code is amended by
7-5 changing Sections 1-160, 14-110, 14-152.1, and 17-114 and by
8-6 adding Sections 1-168, 3-144.3, 4-138.15, 5-240, and 6-232 as
17+5 changing Sections 1-160, 9-169, 9-179.1, 9-184, 9-185, 9-195,
18+6 9-199, and 9-239 and by adding Sections 9-169.1 and 9-169.2 as
919 7 follows:
1020 8 (40 ILCS 5/1-160)
1121 9 (Text of Section from P.A. 102-719)
1222 10 Sec. 1-160. Provisions applicable to new hires.
1323 11 (a) The provisions of this Section apply to a person who,
1424 12 on or after January 1, 2011, first becomes a member or a
1525 13 participant under any reciprocal retirement system or pension
1626 14 fund established under this Code, other than a retirement
1727 15 system or pension fund established under Article 2, 3, 4, 5, 6,
1828 16 7, 15, or 18 of this Code, notwithstanding any other provision
1929 17 of this Code to the contrary, but do not apply to any
2030 18 self-managed plan established under this Code or to any
2131 19 participant of the retirement plan established under Section
2232 20 22-101; except that this Section applies to a person who
2333 21 elected to establish alternative credits by electing in
2434 22 writing after January 1, 2011, but before August 8, 2011,
2535 23 under Section 7-145.1 of this Code. Notwithstanding anything
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39+103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB3765 Introduced , by Rep. Justin Slaughter SYNOPSIS AS INTRODUCED:
40+See Index See Index
41+See Index
42+Amends the Illinois Pension Code. In the General Provisions Article, provides that beginning on January 1, 2024, the annual earnings, salary, or wages of a Tier 2 participant under the Cook County Article shall track with the Social Security wage base (rather than shall not exceed $106,800, adjusted annually). Makes conforming changes in the Cook County Article and provides that the county's contribution shall be paid through a tax levy and any other lawfully available funds. Provides that beginning on January 1, 2025, the Fund shall not use contributions received by the Fund for subsidy for an annuitant health care program. Deletes a restrictive date in a provision concerning establishing credit for military service. Beginning on December 1, 2023, provides that the president of the county shall appoint 2 additional members to the board of trustees. Requires the retirement board to retain an actuary who is a member in good standing of the American Academy of Actuaries to produce an annual actuarial report of the Fund and provides criteria for the report. Provides that the annual audit required of the Fund may include the preparation of the annual actuarial report. Provides that the annual report submitted to the county board shall include the annual actuarial report. Requires that the minimum required employer contribution shall be submitted annually by the county and provides the method of determining the minimum required employer contribution. Provides that the Fund shall (rather than may) pay for an annuitant health care program administered by the Fund (rather than any of the county's health care plans). Makes other changes. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately.
43+LRB103 31021 RPS 57638 b LRB103 31021 RPS 57638 b
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45+STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY
46+ STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY
47+A BILL FOR
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53+See Index
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3476 1 to the contrary in this Section, for purposes of this Section,
3577 2 a person who is a Tier 1 regular employee as defined in Section
3678 3 7-109.4 of this Code or who participated in a retirement
3779 4 system under Article 15 prior to January 1, 2011 shall be
3880 5 deemed a person who first became a member or participant prior
3981 6 to January 1, 2011 under any retirement system or pension fund
4082 7 subject to this Section. The changes made to this Section by
4183 8 Public Act 98-596 are a clarification of existing law and are
4284 9 intended to be retroactive to January 1, 2011 (the effective
4385 10 date of Public Act 96-889), notwithstanding the provisions of
4486 11 Section 1-103.1 of this Code.
4587 12 This Section does not apply to a person who first becomes a
4688 13 noncovered employee under Article 14 on or after the
4789 14 implementation date of the plan created under Section 1-161
4890 15 for that Article, unless that person elects under subsection
4991 16 (b) of Section 1-161 to instead receive the benefits provided
5092 17 under this Section and the applicable provisions of that
5193 18 Article.
5294 19 This Section does not apply to a person who first becomes a
5395 20 member or participant under Article 16 on or after the
5496 21 implementation date of the plan created under Section 1-161
5597 22 for that Article, unless that person elects under subsection
5698 23 (b) of Section 1-161 to instead receive the benefits provided
5799 24 under this Section and the applicable provisions of that
58100 25 Article.
59101 26 This Section does not apply to a person who elects under
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70112 1 subsection (c-5) of Section 1-161 to receive the benefits
71113 2 under Section 1-161.
72114 3 This Section does not apply to a person who first becomes a
73115 4 member or participant of an affected pension fund on or after 6
74116 5 months after the resolution or ordinance date, as defined in
75117 6 Section 1-162, unless that person elects under subsection (c)
76118 7 of Section 1-162 to receive the benefits provided under this
77119 8 Section and the applicable provisions of the Article under
78120 9 which he or she is a member or participant.
79121 10 (b) "Final average salary" means, except as otherwise
80122 11 provided in this subsection, the average monthly (or annual)
81123 12 salary obtained by dividing the total salary or earnings
82124 13 calculated under the Article applicable to the member or
83125 14 participant during the 96 consecutive months (or 8 consecutive
84126 15 years) of service within the last 120 months (or 10 years) of
85127 16 service in which the total salary or earnings calculated under
86128 17 the applicable Article was the highest by the number of months
87129 18 (or years) of service in that period. For the purposes of a
88130 19 person who first becomes a member or participant of any
89131 20 retirement system or pension fund to which this Section
90132 21 applies on or after January 1, 2011, in this Code, "final
91133 22 average salary" shall be substituted for the following:
92134 23 (1) (Blank).
93135 24 (2) In Articles 8, 9, 10, 11, and 12, "highest average
94136 25 annual salary for any 4 consecutive years within the last
95137 26 10 years of service immediately preceding the date of
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106148 1 withdrawal".
107149 2 (3) In Article 13, "average final salary".
108150 3 (4) In Article 14, "final average compensation".
109151 4 (5) In Article 17, "average salary".
110152 5 (6) In Section 22-207, "wages or salary received by
111153 6 him at the date of retirement or discharge".
112154 7 A member of the Teachers' Retirement System of the State
113155 8 of Illinois who retires on or after June 1, 2021 and for whom
114156 9 the 2020-2021 school year is used in the calculation of the
115157 10 member's final average salary shall use the higher of the
116158 11 following for the purpose of determining the member's final
117159 12 average salary:
118160 13 (A) the amount otherwise calculated under the first
119161 14 paragraph of this subsection; or
120162 15 (B) an amount calculated by the Teachers' Retirement
121163 16 System of the State of Illinois using the average of the
122164 17 monthly (or annual) salary obtained by dividing the total
123165 18 salary or earnings calculated under Article 16 applicable
124166 19 to the member or participant during the 96 months (or 8
125167 20 years) of service within the last 120 months (or 10 years)
126168 21 of service in which the total salary or earnings
127169 22 calculated under the Article was the highest by the number
128170 23 of months (or years) of service in that period.
129171 24 (b-5) Beginning on January 1, 2011, for all purposes under
130172 25 this Code (including without limitation the calculation of
131173 26 benefits and employee contributions), the annual earnings,
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142184 1 salary, or wages (based on the plan year) of a member or
143185 2 participant to whom this Section applies shall not exceed
144186 3 $106,800; however, that amount shall annually thereafter be
145187 4 increased by the lesser of (i) 3% of that amount, including all
146188 5 previous adjustments, or (ii) one-half the annual unadjusted
147189 6 percentage increase (but not less than zero) in the consumer
148190 7 price index-u for the 12 months ending with the September
149191 8 preceding each November 1, including all previous adjustments.
150192 9 For the purposes of this Section, "consumer price index-u"
151193 10 means the index published by the Bureau of Labor Statistics of
152194 11 the United States Department of Labor that measures the
153195 12 average change in prices of goods and services purchased by
154196 13 all urban consumers, United States city average, all items,
155197 14 1982-84 = 100. The new amount resulting from each annual
156198 15 adjustment shall be determined by the Public Pension Division
157199 16 of the Department of Insurance and made available to the
158200 17 boards of the retirement systems and pension funds by November
159201 18 1 of each year.
160202 19 (b-10) Beginning on January 1, 2024, for all purposes
161203 20 under this Code (including, without limitation, the
162204 21 calculation of benefits and employee contributions), the
163205 22 annual earnings, salary, or wages (based on the plan year) of a
164206 23 member or participant under Article 9 to whom this Section
165207 24 applies shall include an annual earnings, salary, or wage cap
166208 25 that tracks the Social Security wage base. Maximum annual
167209 26 earnings, wages, or salary shall be the annual contribution
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178220 1 and benefit base established for the applicable year by the
179221 2 Commissioner of the Social Security Administration under the
180222 3 federal Social Security Act.
181223 4 However, in no event shall the annual earnings, salary, or
182224 5 wages for the purposes of this Article and Article 9 exceed any
183225 6 limitation imposed on annual earnings, salary, or wages under
184226 7 Section 1-117. Under no circumstances shall the maximum amount
185227 8 of annual earnings, salary, or wages be greater than the
186228 9 amount set forth in this subsection (b-10) as a result of
187229 10 reciprocal service or any provisions regarding reciprocal
188230 11 services, nor shall the Fund under Article 9 be required to pay
189231 12 any refund as a result of the application of this maximum
190232 13 annual earnings, salary, and wage cap.
191233 14 Nothing in this subsection (b-10) shall cause or otherwise
192234 15 result in any retroactive adjustment of any employee
193235 16 contributions. Nothing in this subsection (b-10) shall cause
194236 17 or otherwise result in any retroactive adjustment of
195237 18 disability or other payments made between January 1, 2011 and
196238 19 January 1, 2024.
197239 20 (c) A member or participant is entitled to a retirement
198240 21 annuity upon written application if he or she has attained age
199241 22 67 (age 65, with respect to service under Article 12 that is
200242 23 subject to this Section, for a member or participant under
201243 24 Article 12 who first becomes a member or participant under
202244 25 Article 12 on or after January 1, 2022 or who makes the
203245 26 election under item (i) of subsection (d-15) of this Section)
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214256 1 and has at least 10 years of service credit and is otherwise
215257 2 eligible under the requirements of the applicable Article.
216258 3 A member or participant who has attained age 62 (age 60,
217259 4 with respect to service under Article 12 that is subject to
218260 5 this Section, for a member or participant under Article 12 who
219261 6 first becomes a member or participant under Article 12 on or
220262 7 after January 1, 2022 or who makes the election under item (i)
221263 8 of subsection (d-15) of this Section) and has at least 10 years
222264 9 of service credit and is otherwise eligible under the
223265 10 requirements of the applicable Article may elect to receive
224266 11 the lower retirement annuity provided in subsection (d) of
225267 12 this Section.
226268 13 (c-5) A person who first becomes a member or a participant
227269 14 subject to this Section on or after July 6, 2017 (the effective
228270 15 date of Public Act 100-23), notwithstanding any other
229271 16 provision of this Code to the contrary, is entitled to a
230272 17 retirement annuity under Article 8 or Article 11 upon written
231273 18 application if he or she has attained age 65 and has at least
232274 19 10 years of service credit and is otherwise eligible under the
233275 20 requirements of Article 8 or Article 11 of this Code,
234276 21 whichever is applicable.
235277 22 (d) The retirement annuity of a member or participant who
236278 23 is retiring after attaining age 62 (age 60, with respect to
237279 24 service under Article 12 that is subject to this Section, for a
238280 25 member or participant under Article 12 who first becomes a
239281 26 member or participant under Article 12 on or after January 1,
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250292 1 2022 or who makes the election under item (i) of subsection
251293 2 (d-15) of this Section) with at least 10 years of service
252294 3 credit shall be reduced by one-half of 1% for each full month
253295 4 that the member's age is under age 67 (age 65, with respect to
254296 5 service under Article 12 that is subject to this Section, for a
255297 6 member or participant under Article 12 who first becomes a
256298 7 member or participant under Article 12 on or after January 1,
257299 8 2022 or who makes the election under item (i) of subsection
258300 9 (d-15) of this Section).
259301 10 (d-5) The retirement annuity payable under Article 8 or
260302 11 Article 11 to an eligible person subject to subsection (c-5)
261303 12 of this Section who is retiring at age 60 with at least 10
262304 13 years of service credit shall be reduced by one-half of 1% for
263305 14 each full month that the member's age is under age 65.
264306 15 (d-10) Each person who first became a member or
265307 16 participant under Article 8 or Article 11 of this Code on or
266308 17 after January 1, 2011 and prior to July 6, 2017 (the effective
267309 18 date of Public Act 100-23) shall make an irrevocable election
268310 19 either:
269311 20 (i) to be eligible for the reduced retirement age
270312 21 provided in subsections (c-5) and (d-5) of this Section,
271313 22 the eligibility for which is conditioned upon the member
272314 23 or participant agreeing to the increases in employee
273315 24 contributions for age and service annuities provided in
274316 25 subsection (a-5) of Section 8-174 of this Code (for
275317 26 service under Article 8) or subsection (a-5) of Section
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286328 1 11-170 of this Code (for service under Article 11); or
287329 2 (ii) to not agree to item (i) of this subsection
288330 3 (d-10), in which case the member or participant shall
289331 4 continue to be subject to the retirement age provisions in
290332 5 subsections (c) and (d) of this Section and the employee
291333 6 contributions for age and service annuity as provided in
292334 7 subsection (a) of Section 8-174 of this Code (for service
293335 8 under Article 8) or subsection (a) of Section 11-170 of
294336 9 this Code (for service under Article 11).
295337 10 The election provided for in this subsection shall be made
296338 11 between October 1, 2017 and November 15, 2017. A person
297339 12 subject to this subsection who makes the required election
298340 13 shall remain bound by that election. A person subject to this
299341 14 subsection who fails for any reason to make the required
300342 15 election within the time specified in this subsection shall be
301343 16 deemed to have made the election under item (ii).
302344 17 (d-15) Each person who first becomes a member or
303345 18 participant under Article 12 on or after January 1, 2011 and
304346 19 prior to January 1, 2022 shall make an irrevocable election
305347 20 either:
306348 21 (i) to be eligible for the reduced retirement age
307349 22 specified in subsections (c) and (d) of this Section, the
308350 23 eligibility for which is conditioned upon the member or
309351 24 participant agreeing to the increase in employee
310352 25 contributions for service annuities specified in
311353 26 subsection (b) of Section 12-150; or
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322364 1 (ii) to not agree to item (i) of this subsection
323365 2 (d-15), in which case the member or participant shall not
324366 3 be eligible for the reduced retirement age specified in
325367 4 subsections (c) and (d) of this Section and shall not be
326368 5 subject to the increase in employee contributions for
327369 6 service annuities specified in subsection (b) of Section
328370 7 12-150.
329371 8 The election provided for in this subsection shall be made
330372 9 between January 1, 2022 and April 1, 2022. A person subject to
331373 10 this subsection who makes the required election shall remain
332374 11 bound by that election. A person subject to this subsection
333375 12 who fails for any reason to make the required election within
334376 13 the time specified in this subsection shall be deemed to have
335377 14 made the election under item (ii).
336378 15 (e) Any retirement annuity or supplemental annuity shall
337379 16 be subject to annual increases on the January 1 occurring
338380 17 either on or after the attainment of age 67 (age 65, with
339381 18 respect to service under Article 12 that is subject to this
340382 19 Section, for a member or participant under Article 12 who
341383 20 first becomes a member or participant under Article 12 on or
342384 21 after January 1, 2022 or who makes the election under item (i)
343385 22 of subsection (d-15); and beginning on July 6, 2017 (the
344386 23 effective date of Public Act 100-23), age 65 with respect to
345387 24 service under Article 8 or Article 11 for eligible persons
346388 25 who: (i) are subject to subsection (c-5) of this Section; or
347389 26 (ii) made the election under item (i) of subsection (d-10) of
348390
349391
350392
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357- HB3765 Engrossed - 11 - LRB103 31021 RPS 57638 b
395+ HB3765 - 10 - LRB103 31021 RPS 57638 b
396+
397+
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399+ HB3765 - 11 - LRB103 31021 RPS 57638 b
358400 1 this Section) or the first anniversary of the annuity start
359401 2 date, whichever is later. Each annual increase shall be
360402 3 calculated at 3% or one-half the annual unadjusted percentage
361403 4 increase (but not less than zero) in the consumer price
362404 5 index-u for the 12 months ending with the September preceding
363405 6 each November 1, whichever is less, of the originally granted
364406 7 retirement annuity. If the annual unadjusted percentage change
365407 8 in the consumer price index-u for the 12 months ending with the
366408 9 September preceding each November 1 is zero or there is a
367409 10 decrease, then the annuity shall not be increased.
368410 11 For the purposes of Section 1-103.1 of this Code, the
369411 12 changes made to this Section by Public Act 102-263 are
370412 13 applicable without regard to whether the employee was in
371413 14 active service on or after August 6, 2021 (the effective date
372414 15 of Public Act 102-263).
373415 16 For the purposes of Section 1-103.1 of this Code, the
374416 17 changes made to this Section by Public Act 100-23 are
375417 18 applicable without regard to whether the employee was in
376418 19 active service on or after July 6, 2017 (the effective date of
377419 20 Public Act 100-23).
378420 21 (f) The initial survivor's or widow's annuity of an
379421 22 otherwise eligible survivor or widow of a retired member or
380422 23 participant who first became a member or participant on or
381423 24 after January 1, 2011 shall be in the amount of 66 2/3% of the
382424 25 retired member's or participant's retirement annuity at the
383425 26 date of death. In the case of the death of a member or
384426
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431+ HB3765 - 11 - LRB103 31021 RPS 57638 b
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394436 1 participant who has not retired and who first became a member
395437 2 or participant on or after January 1, 2011, eligibility for a
396438 3 survivor's or widow's annuity shall be determined by the
397439 4 applicable Article of this Code. The initial benefit shall be
398440 5 66 2/3% of the earned annuity without a reduction due to age. A
399441 6 child's annuity of an otherwise eligible child shall be in the
400442 7 amount prescribed under each Article if applicable. Any
401443 8 survivor's or widow's annuity shall be increased (1) on each
402444 9 January 1 occurring on or after the commencement of the
403445 10 annuity if the deceased member died while receiving a
404446 11 retirement annuity or (2) in other cases, on each January 1
405447 12 occurring after the first anniversary of the commencement of
406448 13 the annuity. Each annual increase shall be calculated at 3% or
407449 14 one-half the annual unadjusted percentage increase (but not
408450 15 less than zero) in the consumer price index-u for the 12 months
409451 16 ending with the September preceding each November 1, whichever
410452 17 is less, of the originally granted survivor's annuity. If the
411453 18 annual unadjusted percentage change in the consumer price
412454 19 index-u for the 12 months ending with the September preceding
413455 20 each November 1 is zero or there is a decrease, then the
414456 21 annuity shall not be increased.
415457 22 (g) The benefits in Section 14-110 apply if the person is a
416458 23 fire fighter in the fire protection service of a department, a
417459 24 security employee of the Department of Corrections or the
418460 25 Department of Juvenile Justice, or a security employee of the
419461 26 Department of Innovation and Technology, as those terms are
420462
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467+ HB3765 - 12 - LRB103 31021 RPS 57638 b
468+
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430472 1 defined in subsection (b) and subsection (c) of Section
431473 2 14-110. A person who meets the requirements of this Section is
432474 3 entitled to an annuity calculated under the provisions of
433475 4 Section 14-110, in lieu of the regular or minimum retirement
434476 5 annuity, only if the person has withdrawn from service with
435477 6 not less than 20 years of eligible creditable service and has
436478 7 attained age 60, regardless of whether the attainment of age
437479 8 60 occurs while the person is still in service.
438-9 (g-1) The benefits in Section 14-110 apply if the person
439-10 is an investigator for the Department of the Lottery, as that
440-11 term is defined in subsection (b) and subsection (c) of
441-12 Section 14-110. A person who meets the requirements of this
442-13 Section is entitled to an annuity calculated under the
443-14 provisions of Section 14-110, in lieu of the regular or
444-15 minimum retirement annuity, only if the person has withdrawn
445-16 from service with not less than 20 years of eligible
446-17 creditable service and has attained age 55, regardless of
447-18 whether the attainment of age 55 occurs while the person is
448-19 still in service.
449-20 (g-5) The benefits in Section 14-110 apply if the person
450-21 is a State policeman, investigator for the Secretary of State,
451-22 conservation police officer, investigator for the Department
452-23 of Revenue or the Illinois Gaming Board, investigator for the
453-24 Office of the Attorney General, Commerce Commission police
454-25 officer, or arson investigator, as those terms are defined in
455-26 subsection (b) and subsection (c) of Section 14-110. A person
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466-1 who meets the requirements of this Section is entitled to an
467-2 annuity calculated under the provisions of Section 14-110, in
468-3 lieu of the regular or minimum retirement annuity, only if the
469-4 person has withdrawn from service with not less than 20 years
470-5 of eligible creditable service and has attained age 55,
471-6 regardless of whether the attainment of age 55 occurs while
472-7 the person is still in service.
473-8 (h) If a person who first becomes a member or a participant
474-9 of a retirement system or pension fund subject to this Section
475-10 on or after January 1, 2011 is receiving a retirement annuity
476-11 or retirement pension under that system or fund and becomes a
477-12 member or participant under any other system or fund created
478-13 by this Code and is employed on a full-time basis, except for
479-14 those members or participants exempted from the provisions of
480-15 this Section under subsection (a) of this Section, then the
481-16 person's retirement annuity or retirement pension under that
482-17 system or fund shall be suspended during that employment. Upon
483-18 termination of that employment, the person's retirement
484-19 annuity or retirement pension payments shall resume and be
485-20 recalculated if recalculation is provided for under the
486-21 applicable Article of this Code.
487-22 If a person who first becomes a member of a retirement
488-23 system or pension fund subject to this Section on or after
489-24 January 1, 2012 and is receiving a retirement annuity or
490-25 retirement pension under that system or fund and accepts on a
491-26 contractual basis a position to provide services to a
492-
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502-1 governmental entity from which he or she has retired, then
503-2 that person's annuity or retirement pension earned as an
504-3 active employee of the employer shall be suspended during that
505-4 contractual service. A person receiving an annuity or
506-5 retirement pension under this Code shall notify the pension
507-6 fund or retirement system from which he or she is receiving an
508-7 annuity or retirement pension, as well as his or her
509-8 contractual employer, of his or her retirement status before
510-9 accepting contractual employment. A person who fails to submit
511-10 such notification shall be guilty of a Class A misdemeanor and
512-11 required to pay a fine of $1,000. Upon termination of that
513-12 contractual employment, the person's retirement annuity or
514-13 retirement pension payments shall resume and, if appropriate,
515-14 be recalculated under the applicable provisions of this Code.
516-15 (i) (Blank).
517-16 (j) In the case of a conflict between the provisions of
518-17 this Section and any other provision of this Code, the
519-18 provisions of this Section shall control.
520-19 (Source: P.A. 101-610, eff. 1-1-20; 102-16, eff. 6-17-21;
521-20 102-210, eff. 1-1-22; 102-263, eff. 8-6-21; 102-719, eff.
522-21 5-6-22.)
523-22 (Text of Section from P.A. 102-813)
524-23 Sec. 1-160. Provisions applicable to new hires.
525-24 (a) The provisions of this Section apply to a person who,
526-25 on or after January 1, 2011, first becomes a member or a
527-
528-
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537-1 participant under any reciprocal retirement system or pension
538-2 fund established under this Code, other than a retirement
539-3 system or pension fund established under Article 2, 3, 4, 5, 6,
540-4 7, 15, or 18 of this Code, notwithstanding any other provision
541-5 of this Code to the contrary, but do not apply to any
542-6 self-managed plan established under this Code or to any
543-7 participant of the retirement plan established under Section
544-8 22-101; except that this Section applies to a person who
545-9 elected to establish alternative credits by electing in
546-10 writing after January 1, 2011, but before August 8, 2011,
547-11 under Section 7-145.1 of this Code. Notwithstanding anything
548-12 to the contrary in this Section, for purposes of this Section,
549-13 a person who is a Tier 1 regular employee as defined in Section
550-14 7-109.4 of this Code or who participated in a retirement
551-15 system under Article 15 prior to January 1, 2011 shall be
552-16 deemed a person who first became a member or participant prior
553-17 to January 1, 2011 under any retirement system or pension fund
554-18 subject to this Section. The changes made to this Section by
555-19 Public Act 98-596 are a clarification of existing law and are
556-20 intended to be retroactive to January 1, 2011 (the effective
557-21 date of Public Act 96-889), notwithstanding the provisions of
558-22 Section 1-103.1 of this Code.
559-23 This Section does not apply to a person who first becomes a
560-24 noncovered employee under Article 14 on or after the
561-25 implementation date of the plan created under Section 1-161
562-26 for that Article, unless that person elects under subsection
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573-1 (b) of Section 1-161 to instead receive the benefits provided
574-2 under this Section and the applicable provisions of that
575-3 Article.
576-4 This Section does not apply to a person who first becomes a
577-5 member or participant under Article 16 on or after the
578-6 implementation date of the plan created under Section 1-161
579-7 for that Article, unless that person elects under subsection
580-8 (b) of Section 1-161 to instead receive the benefits provided
581-9 under this Section and the applicable provisions of that
582-10 Article.
583-11 This Section does not apply to a person who elects under
584-12 subsection (c-5) of Section 1-161 to receive the benefits
585-13 under Section 1-161.
586-14 This Section does not apply to a person who first becomes a
587-15 member or participant of an affected pension fund on or after 6
588-16 months after the resolution or ordinance date, as defined in
589-17 Section 1-162, unless that person elects under subsection (c)
590-18 of Section 1-162 to receive the benefits provided under this
591-19 Section and the applicable provisions of the Article under
592-20 which he or she is a member or participant.
593-21 (b) "Final average salary" means, except as otherwise
594-22 provided in this subsection, the average monthly (or annual)
595-23 salary obtained by dividing the total salary or earnings
596-24 calculated under the Article applicable to the member or
597-25 participant during the 96 consecutive months (or 8 consecutive
598-26 years) of service within the last 120 months (or 10 years) of
599-
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609-1 service in which the total salary or earnings calculated under
610-2 the applicable Article was the highest by the number of months
611-3 (or years) of service in that period. For the purposes of a
612-4 person who first becomes a member or participant of any
613-5 retirement system or pension fund to which this Section
614-6 applies on or after January 1, 2011, in this Code, "final
615-7 average salary" shall be substituted for the following:
616-8 (1) (Blank).
617-9 (2) In Articles 8, 9, 10, 11, and 12, "highest average
618-10 annual salary for any 4 consecutive years within the last
619-11 10 years of service immediately preceding the date of
620-12 withdrawal".
621-13 (3) In Article 13, "average final salary".
622-14 (4) In Article 14, "final average compensation".
623-15 (5) In Article 17, "average salary".
624-16 (6) In Section 22-207, "wages or salary received by
625-17 him at the date of retirement or discharge".
626-18 A member of the Teachers' Retirement System of the State
627-19 of Illinois who retires on or after June 1, 2021 and for whom
628-20 the 2020-2021 school year is used in the calculation of the
629-21 member's final average salary shall use the higher of the
630-22 following for the purpose of determining the member's final
631-23 average salary:
632-24 (A) the amount otherwise calculated under the first
633-25 paragraph of this subsection; or
634-26 (B) an amount calculated by the Teachers' Retirement
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644- HB3765 Engrossed - 19 - LRB103 31021 RPS 57638 b
645-1 System of the State of Illinois using the average of the
646-2 monthly (or annual) salary obtained by dividing the total
647-3 salary or earnings calculated under Article 16 applicable
648-4 to the member or participant during the 96 months (or 8
649-5 years) of service within the last 120 months (or 10 years)
650-6 of service in which the total salary or earnings
651-7 calculated under the Article was the highest by the number
652-8 of months (or years) of service in that period.
653-9 (b-5) Beginning on January 1, 2011, for all purposes under
654-10 this Code (including without limitation the calculation of
655-11 benefits and employee contributions), the annual earnings,
656-12 salary, or wages (based on the plan year) of a member or
657-13 participant to whom this Section applies shall not exceed
658-14 $106,800; however, that amount shall annually thereafter be
659-15 increased by the lesser of (i) 3% of that amount, including all
660-16 previous adjustments, or (ii) one-half the annual unadjusted
661-17 percentage increase (but not less than zero) in the consumer
662-18 price index-u for the 12 months ending with the September
663-19 preceding each November 1, including all previous adjustments.
664-20 For the purposes of this Section, "consumer price index-u"
665-21 means the index published by the Bureau of Labor Statistics of
666-22 the United States Department of Labor that measures the
667-23 average change in prices of goods and services purchased by
668-24 all urban consumers, United States city average, all items,
669-25 1982-84 = 100. The new amount resulting from each annual
670-26 adjustment shall be determined by the Public Pension Division
671-
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681-1 of the Department of Insurance and made available to the
682-2 boards of the retirement systems and pension funds by November
683-3 1 of each year.
684-4 (b-10) Beginning on January 1, 2024, for all purposes
685-5 under this Code (including, without limitation, the
686-6 calculation of benefits and employee contributions), the
687-7 annual earnings, salary, or wages (based on the plan year) of a
688-8 member or participant under Article 9 to whom this Section
689-9 applies shall include an annual earnings, salary, or wage cap
690-10 that tracks the Social Security wage base. Maximum annual
691-11 earnings, wages, or salary shall be the annual contribution
692-12 and benefit base established for the applicable year by the
693-13 Commissioner of the Social Security Administration under the
694-14 federal Social Security Act.
695-15 However, in no event shall the annual earnings, salary, or
696-16 wages for the purposes of this Article and Article 9 exceed any
697-17 limitation imposed on annual earnings, salary, or wages under
698-18 Section 1-117. Under no circumstances shall the maximum amount
699-19 of annual earnings, salary, or wages be greater than the
700-20 amount set forth in this subsection (b-10) as a result of
701-21 reciprocal service or any provisions regarding reciprocal
702-22 services, nor shall the Fund under Article 9 be required to pay
703-23 any refund as a result of the application of this maximum
704-24 annual earnings, salary, and wage cap.
705-25 Nothing in this subsection (b-10) shall cause or otherwise
706-26 result in any retroactive adjustment of any employee
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717-1 contributions. Nothing in this subsection (b-10) shall cause
718-2 or otherwise result in any retroactive adjustment of
719-3 disability or other payments made between January 1, 2011 and
720-4 January 1, 2024.
721-5 (c) A member or participant is entitled to a retirement
722-6 annuity upon written application if he or she has attained age
723-7 67 (age 65, with respect to service under Article 12 that is
724-8 subject to this Section, for a member or participant under
725-9 Article 12 who first becomes a member or participant under
726-10 Article 12 on or after January 1, 2022 or who makes the
727-11 election under item (i) of subsection (d-15) of this Section)
728-12 and has at least 10 years of service credit and is otherwise
729-13 eligible under the requirements of the applicable Article.
730-14 A member or participant who has attained age 62 (age 60,
731-15 with respect to service under Article 12 that is subject to
732-16 this Section, for a member or participant under Article 12 who
733-17 first becomes a member or participant under Article 12 on or
734-18 after January 1, 2022 or who makes the election under item (i)
735-19 of subsection (d-15) of this Section) and has at least 10 years
736-20 of service credit and is otherwise eligible under the
737-21 requirements of the applicable Article may elect to receive
738-22 the lower retirement annuity provided in subsection (d) of
739-23 this Section.
740-24 (c-5) A person who first becomes a member or a participant
741-25 subject to this Section on or after July 6, 2017 (the effective
742-26 date of Public Act 100-23), notwithstanding any other
743-
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753-1 provision of this Code to the contrary, is entitled to a
754-2 retirement annuity under Article 8 or Article 11 upon written
755-3 application if he or she has attained age 65 and has at least
756-4 10 years of service credit and is otherwise eligible under the
757-5 requirements of Article 8 or Article 11 of this Code,
758-6 whichever is applicable.
759-7 (d) The retirement annuity of a member or participant who
760-8 is retiring after attaining age 62 (age 60, with respect to
761-9 service under Article 12 that is subject to this Section, for a
762-10 member or participant under Article 12 who first becomes a
763-11 member or participant under Article 12 on or after January 1,
764-12 2022 or who makes the election under item (i) of subsection
765-13 (d-15) of this Section) with at least 10 years of service
766-14 credit shall be reduced by one-half of 1% for each full month
767-15 that the member's age is under age 67 (age 65, with respect to
768-16 service under Article 12 that is subject to this Section, for a
769-17 member or participant under Article 12 who first becomes a
770-18 member or participant under Article 12 on or after January 1,
771-19 2022 or who makes the election under item (i) of subsection
772-20 (d-15) of this Section).
773-21 (d-5) The retirement annuity payable under Article 8 or
774-22 Article 11 to an eligible person subject to subsection (c-5)
775-23 of this Section who is retiring at age 60 with at least 10
776-24 years of service credit shall be reduced by one-half of 1% for
777-25 each full month that the member's age is under age 65.
778-26 (d-10) Each person who first became a member or
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789-1 participant under Article 8 or Article 11 of this Code on or
790-2 after January 1, 2011 and prior to July 6, 2017 (the effective
791-3 date of Public Act 100-23) shall make an irrevocable election
792-4 either:
793-5 (i) to be eligible for the reduced retirement age
794-6 provided in subsections (c-5) and (d-5) of this Section,
795-7 the eligibility for which is conditioned upon the member
796-8 or participant agreeing to the increases in employee
797-9 contributions for age and service annuities provided in
798-10 subsection (a-5) of Section 8-174 of this Code (for
799-11 service under Article 8) or subsection (a-5) of Section
800-12 11-170 of this Code (for service under Article 11); or
801-13 (ii) to not agree to item (i) of this subsection
802-14 (d-10), in which case the member or participant shall
803-15 continue to be subject to the retirement age provisions in
804-16 subsections (c) and (d) of this Section and the employee
805-17 contributions for age and service annuity as provided in
806-18 subsection (a) of Section 8-174 of this Code (for service
807-19 under Article 8) or subsection (a) of Section 11-170 of
808-20 this Code (for service under Article 11).
809-21 The election provided for in this subsection shall be made
810-22 between October 1, 2017 and November 15, 2017. A person
811-23 subject to this subsection who makes the required election
812-24 shall remain bound by that election. A person subject to this
813-25 subsection who fails for any reason to make the required
814-26 election within the time specified in this subsection shall be
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825-1 deemed to have made the election under item (ii).
826-2 (d-15) Each person who first becomes a member or
827-3 participant under Article 12 on or after January 1, 2011 and
828-4 prior to January 1, 2022 shall make an irrevocable election
829-5 either:
830-6 (i) to be eligible for the reduced retirement age
831-7 specified in subsections (c) and (d) of this Section, the
832-8 eligibility for which is conditioned upon the member or
833-9 participant agreeing to the increase in employee
834-10 contributions for service annuities specified in
835-11 subsection (b) of Section 12-150; or
836-12 (ii) to not agree to item (i) of this subsection
837-13 (d-15), in which case the member or participant shall not
838-14 be eligible for the reduced retirement age specified in
839-15 subsections (c) and (d) of this Section and shall not be
840-16 subject to the increase in employee contributions for
841-17 service annuities specified in subsection (b) of Section
842-18 12-150.
843-19 The election provided for in this subsection shall be made
844-20 between January 1, 2022 and April 1, 2022. A person subject to
845-21 this subsection who makes the required election shall remain
846-22 bound by that election. A person subject to this subsection
847-23 who fails for any reason to make the required election within
848-24 the time specified in this subsection shall be deemed to have
849-25 made the election under item (ii).
850-26 (e) Any retirement annuity or supplemental annuity shall
851-
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861-1 be subject to annual increases on the January 1 occurring
862-2 either on or after the attainment of age 67 (age 65, with
863-3 respect to service under Article 12 that is subject to this
864-4 Section, for a member or participant under Article 12 who
865-5 first becomes a member or participant under Article 12 on or
866-6 after January 1, 2022 or who makes the election under item (i)
867-7 of subsection (d-15); and beginning on July 6, 2017 (the
868-8 effective date of Public Act 100-23), age 65 with respect to
869-9 service under Article 8 or Article 11 for eligible persons
870-10 who: (i) are subject to subsection (c-5) of this Section; or
871-11 (ii) made the election under item (i) of subsection (d-10) of
872-12 this Section) or the first anniversary of the annuity start
873-13 date, whichever is later. Each annual increase shall be
874-14 calculated at 3% or one-half the annual unadjusted percentage
875-15 increase (but not less than zero) in the consumer price
876-16 index-u for the 12 months ending with the September preceding
877-17 each November 1, whichever is less, of the originally granted
878-18 retirement annuity. If the annual unadjusted percentage change
879-19 in the consumer price index-u for the 12 months ending with the
880-20 September preceding each November 1 is zero or there is a
881-21 decrease, then the annuity shall not be increased.
882-22 For the purposes of Section 1-103.1 of this Code, the
883-23 changes made to this Section by Public Act 102-263 are
884-24 applicable without regard to whether the employee was in
885-25 active service on or after August 6, 2021 (the effective date
886-26 of Public Act 102-263).
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897-1 For the purposes of Section 1-103.1 of this Code, the
898-2 changes made to this Section by Public Act 100-23 are
899-3 applicable without regard to whether the employee was in
900-4 active service on or after July 6, 2017 (the effective date of
901-5 Public Act 100-23).
902-6 (f) The initial survivor's or widow's annuity of an
903-7 otherwise eligible survivor or widow of a retired member or
904-8 participant who first became a member or participant on or
905-9 after January 1, 2011 shall be in the amount of 66 2/3% of the
906-10 retired member's or participant's retirement annuity at the
907-11 date of death. In the case of the death of a member or
908-12 participant who has not retired and who first became a member
909-13 or participant on or after January 1, 2011, eligibility for a
910-14 survivor's or widow's annuity shall be determined by the
911-15 applicable Article of this Code. The initial benefit shall be
912-16 66 2/3% of the earned annuity without a reduction due to age. A
913-17 child's annuity of an otherwise eligible child shall be in the
914-18 amount prescribed under each Article if applicable. Any
915-19 survivor's or widow's annuity shall be increased (1) on each
916-20 January 1 occurring on or after the commencement of the
917-21 annuity if the deceased member died while receiving a
918-22 retirement annuity or (2) in other cases, on each January 1
919-23 occurring after the first anniversary of the commencement of
920-24 the annuity. Each annual increase shall be calculated at 3% or
921-25 one-half the annual unadjusted percentage increase (but not
922-26 less than zero) in the consumer price index-u for the 12 months
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933-1 ending with the September preceding each November 1, whichever
934-2 is less, of the originally granted survivor's annuity. If the
935-3 annual unadjusted percentage change in the consumer price
936-4 index-u for the 12 months ending with the September preceding
937-5 each November 1 is zero or there is a decrease, then the
938-6 annuity shall not be increased.
939-7 (g) The benefits in Section 14-110 apply only if the
940-8 person is a State policeman, a fire fighter in the fire
941-9 protection service of a department, a conservation police
942-10 officer, an investigator for the Secretary of State, an arson
943-11 investigator, a Commerce Commission police officer,
944-12 investigator for the Department of Revenue or the Illinois
945-13 Gaming Board, a security employee of the Department of
946-14 Corrections or the Department of Juvenile Justice, or a
947-15 security employee of the Department of Innovation and
948-16 Technology, as those terms are defined in subsection (b) and
949-17 subsection (c) of Section 14-110. A person who meets the
950-18 requirements of this Section is entitled to an annuity
951-19 calculated under the provisions of Section 14-110, in lieu of
952-20 the regular or minimum retirement annuity, only if the person
953-21 has withdrawn from service with not less than 20 years of
954-22 eligible creditable service and has attained age 60,
955-23 regardless of whether the attainment of age 60 occurs while
956-24 the person is still in service.
957-25 (g-1) The benefits in Section 14-110 apply if the person
958-26 is an investigator for the Department of the Lottery, as that
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969-1 term is defined in subsection (b) and subsection (c) of
970-2 Section 14-110. A person who meets the requirements of this
971-3 Section is entitled to an annuity calculated under the
972-4 provisions of Section 14-110, in lieu of the regular or
973-5 minimum retirement annuity, only if the person has withdrawn
974-6 from service with not less than 20 years of eligible
975-7 creditable service and has attained age 55, regardless of
976-8 whether the attainment of age 55 occurs while the person is
977-9 still in service.
978-10 (h) If a person who first becomes a member or a participant
979-11 of a retirement system or pension fund subject to this Section
980-12 on or after January 1, 2011 is receiving a retirement annuity
981-13 or retirement pension under that system or fund and becomes a
982-14 member or participant under any other system or fund created
983-15 by this Code and is employed on a full-time basis, except for
984-16 those members or participants exempted from the provisions of
985-17 this Section under subsection (a) of this Section, then the
986-18 person's retirement annuity or retirement pension under that
987-19 system or fund shall be suspended during that employment. Upon
988-20 termination of that employment, the person's retirement
989-21 annuity or retirement pension payments shall resume and be
990-22 recalculated if recalculation is provided for under the
991-23 applicable Article of this Code.
992-24 If a person who first becomes a member of a retirement
993-25 system or pension fund subject to this Section on or after
994-26 January 1, 2012 and is receiving a retirement annuity or
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1005-1 retirement pension under that system or fund and accepts on a
1006-2 contractual basis a position to provide services to a
1007-3 governmental entity from which he or she has retired, then
1008-4 that person's annuity or retirement pension earned as an
1009-5 active employee of the employer shall be suspended during that
1010-6 contractual service. A person receiving an annuity or
1011-7 retirement pension under this Code shall notify the pension
1012-8 fund or retirement system from which he or she is receiving an
1013-9 annuity or retirement pension, as well as his or her
1014-10 contractual employer, of his or her retirement status before
1015-11 accepting contractual employment. A person who fails to submit
1016-12 such notification shall be guilty of a Class A misdemeanor and
1017-13 required to pay a fine of $1,000. Upon termination of that
1018-14 contractual employment, the person's retirement annuity or
1019-15 retirement pension payments shall resume and, if appropriate,
1020-16 be recalculated under the applicable provisions of this Code.
1021-17 (i) (Blank).
1022-18 (j) In the case of a conflict between the provisions of
1023-19 this Section and any other provision of this Code, the
1024-20 provisions of this Section shall control.
1025-21 (Source: P.A. 101-610, eff. 1-1-20; 102-16, eff. 6-17-21;
1026-22 102-210, eff. 1-1-22; 102-263, eff. 8-6-21; 102-813, eff.
1027-23 5-13-22.)
1028-24 (Text of Section from P.A. 102-956)
1029-25 Sec. 1-160. Provisions applicable to new hires.
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1040-1 (a) The provisions of this Section apply to a person who,
1041-2 on or after January 1, 2011, first becomes a member or a
1042-3 participant under any reciprocal retirement system or pension
1043-4 fund established under this Code, other than a retirement
1044-5 system or pension fund established under Article 2, 3, 4, 5, 6,
1045-6 7, 15, or 18 of this Code, notwithstanding any other provision
1046-7 of this Code to the contrary, but do not apply to any
1047-8 self-managed plan established under this Code or to any
1048-9 participant of the retirement plan established under Section
1049-10 22-101; except that this Section applies to a person who
1050-11 elected to establish alternative credits by electing in
1051-12 writing after January 1, 2011, but before August 8, 2011,
1052-13 under Section 7-145.1 of this Code. Notwithstanding anything
1053-14 to the contrary in this Section, for purposes of this Section,
1054-15 a person who is a Tier 1 regular employee as defined in Section
1055-16 7-109.4 of this Code or who participated in a retirement
1056-17 system under Article 15 prior to January 1, 2011 shall be
1057-18 deemed a person who first became a member or participant prior
1058-19 to January 1, 2011 under any retirement system or pension fund
1059-20 subject to this Section. The changes made to this Section by
1060-21 Public Act 98-596 are a clarification of existing law and are
1061-22 intended to be retroactive to January 1, 2011 (the effective
1062-23 date of Public Act 96-889), notwithstanding the provisions of
1063-24 Section 1-103.1 of this Code.
1064-25 This Section does not apply to a person who first becomes a
1065-26 noncovered employee under Article 14 on or after the
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1076-1 implementation date of the plan created under Section 1-161
1077-2 for that Article, unless that person elects under subsection
1078-3 (b) of Section 1-161 to instead receive the benefits provided
1079-4 under this Section and the applicable provisions of that
1080-5 Article.
1081-6 This Section does not apply to a person who first becomes a
1082-7 member or participant under Article 16 on or after the
1083-8 implementation date of the plan created under Section 1-161
1084-9 for that Article, unless that person elects under subsection
1085-10 (b) of Section 1-161 to instead receive the benefits provided
1086-11 under this Section and the applicable provisions of that
1087-12 Article.
1088-13 This Section does not apply to a person who elects under
1089-14 subsection (c-5) of Section 1-161 to receive the benefits
1090-15 under Section 1-161.
1091-16 This Section does not apply to a person who first becomes a
1092-17 member or participant of an affected pension fund on or after 6
1093-18 months after the resolution or ordinance date, as defined in
1094-19 Section 1-162, unless that person elects under subsection (c)
1095-20 of Section 1-162 to receive the benefits provided under this
1096-21 Section and the applicable provisions of the Article under
1097-22 which he or she is a member or participant.
1098-23 (b) "Final average salary" means, except as otherwise
1099-24 provided in this subsection, the average monthly (or annual)
1100-25 salary obtained by dividing the total salary or earnings
1101-26 calculated under the Article applicable to the member or
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1112-1 participant during the 96 consecutive months (or 8 consecutive
1113-2 years) of service within the last 120 months (or 10 years) of
1114-3 service in which the total salary or earnings calculated under
1115-4 the applicable Article was the highest by the number of months
1116-5 (or years) of service in that period. For the purposes of a
1117-6 person who first becomes a member or participant of any
1118-7 retirement system or pension fund to which this Section
1119-8 applies on or after January 1, 2011, in this Code, "final
1120-9 average salary" shall be substituted for the following:
1121-10 (1) (Blank).
1122-11 (2) In Articles 8, 9, 10, 11, and 12, "highest average
1123-12 annual salary for any 4 consecutive years within the last
1124-13 10 years of service immediately preceding the date of
1125-14 withdrawal".
1126-15 (3) In Article 13, "average final salary".
1127-16 (4) In Article 14, "final average compensation".
1128-17 (5) In Article 17, "average salary".
1129-18 (6) In Section 22-207, "wages or salary received by
1130-19 him at the date of retirement or discharge".
1131-20 A member of the Teachers' Retirement System of the State
1132-21 of Illinois who retires on or after June 1, 2021 and for whom
1133-22 the 2020-2021 school year is used in the calculation of the
1134-23 member's final average salary shall use the higher of the
1135-24 following for the purpose of determining the member's final
1136-25 average salary:
1137-26 (A) the amount otherwise calculated under the first
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1148-1 paragraph of this subsection; or
1149-2 (B) an amount calculated by the Teachers' Retirement
1150-3 System of the State of Illinois using the average of the
1151-4 monthly (or annual) salary obtained by dividing the total
1152-5 salary or earnings calculated under Article 16 applicable
1153-6 to the member or participant during the 96 months (or 8
1154-7 years) of service within the last 120 months (or 10 years)
1155-8 of service in which the total salary or earnings
1156-9 calculated under the Article was the highest by the number
1157-10 of months (or years) of service in that period.
1158-11 (b-5) Beginning on January 1, 2011, for all purposes under
1159-12 this Code (including without limitation the calculation of
1160-13 benefits and employee contributions), the annual earnings,
1161-14 salary, or wages (based on the plan year) of a member or
1162-15 participant to whom this Section applies shall not exceed
1163-16 $106,800; however, that amount shall annually thereafter be
1164-17 increased by the lesser of (i) 3% of that amount, including all
1165-18 previous adjustments, or (ii) one-half the annual unadjusted
1166-19 percentage increase (but not less than zero) in the consumer
1167-20 price index-u for the 12 months ending with the September
1168-21 preceding each November 1, including all previous adjustments.
1169-22 For the purposes of this Section, "consumer price index-u"
1170-23 means the index published by the Bureau of Labor Statistics of
1171-24 the United States Department of Labor that measures the
1172-25 average change in prices of goods and services purchased by
1173-26 all urban consumers, United States city average, all items,
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1184-1 1982-84 = 100. The new amount resulting from each annual
1185-2 adjustment shall be determined by the Public Pension Division
1186-3 of the Department of Insurance and made available to the
1187-4 boards of the retirement systems and pension funds by November
1188-5 1 of each year.
1189-6 (b-10) Beginning on January 1, 2024, for all purposes
1190-7 under this Code (including, without limitation, the
1191-8 calculation of benefits and employee contributions), the
1192-9 annual earnings, salary, or wages (based on the plan year) of a
1193-10 member or participant under Article 9 to whom this Section
1194-11 applies shall include an annual earnings, salary, or wage cap
1195-12 that tracks the Social Security wage base. Maximum annual
1196-13 earnings, wages, or salary shall be the annual contribution
1197-14 and benefit base established for the applicable year by the
1198-15 Commissioner of the Social Security Administration under the
1199-16 federal Social Security Act.
1200-17 However, in no event shall the annual earnings, salary, or
1201-18 wages for the purposes of this Article and Article 9 exceed any
1202-19 limitation imposed on annual earnings, salary, or wages under
1203-20 Section 1-117. Under no circumstances shall the maximum amount
1204-21 of annual earnings, salary, or wages be greater than the
1205-22 amount set forth in this subsection (b-10) as a result of
1206-23 reciprocal service or any provisions regarding reciprocal
1207-24 services, nor shall the Fund under Article 9 be required to pay
1208-25 any refund as a result of the application of this maximum
1209-26 annual earnings, salary, and wage cap.
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1220-1 Nothing in this subsection (b-10) shall cause or otherwise
1221-2 result in any retroactive adjustment of any employee
1222-3 contributions. Nothing in this subsection (b-10) shall cause
1223-4 or otherwise result in any retroactive adjustment of
1224-5 disability or other payments made between January 1, 2011 and
1225-6 January 1, 2024.
1226-7 (c) A member or participant is entitled to a retirement
1227-8 annuity upon written application if he or she has attained age
1228-9 67 (age 65, with respect to service under Article 12 that is
1229-10 subject to this Section, for a member or participant under
1230-11 Article 12 who first becomes a member or participant under
1231-12 Article 12 on or after January 1, 2022 or who makes the
1232-13 election under item (i) of subsection (d-15) of this Section)
1233-14 and has at least 10 years of service credit and is otherwise
1234-15 eligible under the requirements of the applicable Article.
1235-16 A member or participant who has attained age 62 (age 60,
1236-17 with respect to service under Article 12 that is subject to
1237-18 this Section, for a member or participant under Article 12 who
1238-19 first becomes a member or participant under Article 12 on or
1239-20 after January 1, 2022 or who makes the election under item (i)
1240-21 of subsection (d-15) of this Section) and has at least 10 years
1241-22 of service credit and is otherwise eligible under the
1242-23 requirements of the applicable Article may elect to receive
1243-24 the lower retirement annuity provided in subsection (d) of
1244-25 this Section.
1245-26 (c-5) A person who first becomes a member or a participant
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1256-1 subject to this Section on or after July 6, 2017 (the effective
1257-2 date of Public Act 100-23), notwithstanding any other
1258-3 provision of this Code to the contrary, is entitled to a
1259-4 retirement annuity under Article 8 or Article 11 upon written
1260-5 application if he or she has attained age 65 and has at least
1261-6 10 years of service credit and is otherwise eligible under the
1262-7 requirements of Article 8 or Article 11 of this Code,
1263-8 whichever is applicable.
1264-9 (d) The retirement annuity of a member or participant who
1265-10 is retiring after attaining age 62 (age 60, with respect to
1266-11 service under Article 12 that is subject to this Section, for a
1267-12 member or participant under Article 12 who first becomes a
1268-13 member or participant under Article 12 on or after January 1,
1269-14 2022 or who makes the election under item (i) of subsection
1270-15 (d-15) of this Section) with at least 10 years of service
1271-16 credit shall be reduced by one-half of 1% for each full month
1272-17 that the member's age is under age 67 (age 65, with respect to
1273-18 service under Article 12 that is subject to this Section, for a
1274-19 member or participant under Article 12 who first becomes a
1275-20 member or participant under Article 12 on or after January 1,
1276-21 2022 or who makes the election under item (i) of subsection
1277-22 (d-15) of this Section).
1278-23 (d-5) The retirement annuity payable under Article 8 or
1279-24 Article 11 to an eligible person subject to subsection (c-5)
1280-25 of this Section who is retiring at age 60 with at least 10
1281-26 years of service credit shall be reduced by one-half of 1% for
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1292-1 each full month that the member's age is under age 65.
1293-2 (d-10) Each person who first became a member or
1294-3 participant under Article 8 or Article 11 of this Code on or
1295-4 after January 1, 2011 and prior to July 6, 2017 (the effective
1296-5 date of Public Act 100-23) shall make an irrevocable election
1297-6 either:
1298-7 (i) to be eligible for the reduced retirement age
1299-8 provided in subsections (c-5) and (d-5) of this Section,
1300-9 the eligibility for which is conditioned upon the member
1301-10 or participant agreeing to the increases in employee
1302-11 contributions for age and service annuities provided in
1303-12 subsection (a-5) of Section 8-174 of this Code (for
1304-13 service under Article 8) or subsection (a-5) of Section
1305-14 11-170 of this Code (for service under Article 11); or
1306-15 (ii) to not agree to item (i) of this subsection
1307-16 (d-10), in which case the member or participant shall
1308-17 continue to be subject to the retirement age provisions in
1309-18 subsections (c) and (d) of this Section and the employee
1310-19 contributions for age and service annuity as provided in
1311-20 subsection (a) of Section 8-174 of this Code (for service
1312-21 under Article 8) or subsection (a) of Section 11-170 of
1313-22 this Code (for service under Article 11).
1314-23 The election provided for in this subsection shall be made
1315-24 between October 1, 2017 and November 15, 2017. A person
1316-25 subject to this subsection who makes the required election
1317-26 shall remain bound by that election. A person subject to this
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1328-1 subsection who fails for any reason to make the required
1329-2 election within the time specified in this subsection shall be
1330-3 deemed to have made the election under item (ii).
1331-4 (d-15) Each person who first becomes a member or
1332-5 participant under Article 12 on or after January 1, 2011 and
1333-6 prior to January 1, 2022 shall make an irrevocable election
1334-7 either:
1335-8 (i) to be eligible for the reduced retirement age
1336-9 specified in subsections (c) and (d) of this Section, the
1337-10 eligibility for which is conditioned upon the member or
1338-11 participant agreeing to the increase in employee
1339-12 contributions for service annuities specified in
1340-13 subsection (b) of Section 12-150; or
1341-14 (ii) to not agree to item (i) of this subsection
1342-15 (d-15), in which case the member or participant shall not
1343-16 be eligible for the reduced retirement age specified in
1344-17 subsections (c) and (d) of this Section and shall not be
1345-18 subject to the increase in employee contributions for
1346-19 service annuities specified in subsection (b) of Section
1347-20 12-150.
1348-21 The election provided for in this subsection shall be made
1349-22 between January 1, 2022 and April 1, 2022. A person subject to
1350-23 this subsection who makes the required election shall remain
1351-24 bound by that election. A person subject to this subsection
1352-25 who fails for any reason to make the required election within
1353-26 the time specified in this subsection shall be deemed to have
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1364-1 made the election under item (ii).
1365-2 (e) Any retirement annuity or supplemental annuity shall
1366-3 be subject to annual increases on the January 1 occurring
1367-4 either on or after the attainment of age 67 (age 65, with
1368-5 respect to service under Article 12 that is subject to this
1369-6 Section, for a member or participant under Article 12 who
1370-7 first becomes a member or participant under Article 12 on or
1371-8 after January 1, 2022 or who makes the election under item (i)
1372-9 of subsection (d-15); and beginning on July 6, 2017 (the
1373-10 effective date of Public Act 100-23), age 65 with respect to
1374-11 service under Article 8 or Article 11 for eligible persons
1375-12 who: (i) are subject to subsection (c-5) of this Section; or
1376-13 (ii) made the election under item (i) of subsection (d-10) of
1377-14 this Section) or the first anniversary of the annuity start
1378-15 date, whichever is later. Each annual increase shall be
1379-16 calculated at 3% or one-half the annual unadjusted percentage
1380-17 increase (but not less than zero) in the consumer price
1381-18 index-u for the 12 months ending with the September preceding
1382-19 each November 1, whichever is less, of the originally granted
1383-20 retirement annuity. If the annual unadjusted percentage change
1384-21 in the consumer price index-u for the 12 months ending with the
1385-22 September preceding each November 1 is zero or there is a
1386-23 decrease, then the annuity shall not be increased.
1387-24 For the purposes of Section 1-103.1 of this Code, the
1388-25 changes made to this Section by Public Act 102-263 are
1389-26 applicable without regard to whether the employee was in
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1400-1 active service on or after August 6, 2021 (the effective date
1401-2 of Public Act 102-263).
1402-3 For the purposes of Section 1-103.1 of this Code, the
1403-4 changes made to this Section by Public Act 100-23 are
1404-5 applicable without regard to whether the employee was in
1405-6 active service on or after July 6, 2017 (the effective date of
1406-7 Public Act 100-23).
1407-8 (f) The initial survivor's or widow's annuity of an
1408-9 otherwise eligible survivor or widow of a retired member or
1409-10 participant who first became a member or participant on or
1410-11 after January 1, 2011 shall be in the amount of 66 2/3% of the
1411-12 retired member's or participant's retirement annuity at the
1412-13 date of death. In the case of the death of a member or
1413-14 participant who has not retired and who first became a member
1414-15 or participant on or after January 1, 2011, eligibility for a
1415-16 survivor's or widow's annuity shall be determined by the
1416-17 applicable Article of this Code. The initial benefit shall be
1417-18 66 2/3% of the earned annuity without a reduction due to age. A
1418-19 child's annuity of an otherwise eligible child shall be in the
1419-20 amount prescribed under each Article if applicable. Any
1420-21 survivor's or widow's annuity shall be increased (1) on each
1421-22 January 1 occurring on or after the commencement of the
1422-23 annuity if the deceased member died while receiving a
1423-24 retirement annuity or (2) in other cases, on each January 1
1424-25 occurring after the first anniversary of the commencement of
1425-26 the annuity. Each annual increase shall be calculated at 3% or
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1436-1 one-half the annual unadjusted percentage increase (but not
1437-2 less than zero) in the consumer price index-u for the 12 months
1438-3 ending with the September preceding each November 1, whichever
1439-4 is less, of the originally granted survivor's annuity. If the
1440-5 annual unadjusted percentage change in the consumer price
1441-6 index-u for the 12 months ending with the September preceding
1442-7 each November 1 is zero or there is a decrease, then the
1443-8 annuity shall not be increased.
1444-9 (g) The benefits in Section 14-110 apply only if the
1445-10 person is a State policeman, a fire fighter in the fire
1446-11 protection service of a department, a conservation police
1447-12 officer, an investigator for the Secretary of State, an
1448-13 investigator for the Office of the Attorney General, an arson
1449-14 investigator, a Commerce Commission police officer,
1450-15 investigator for the Department of Revenue or the Illinois
1451-16 Gaming Board, a security employee of the Department of
1452-17 Corrections or the Department of Juvenile Justice, or a
1453-18 security employee of the Department of Innovation and
1454-19 Technology, as those terms are defined in subsection (b) and
1455-20 subsection (c) of Section 14-110. A person who meets the
1456-21 requirements of this Section is entitled to an annuity
1457-22 calculated under the provisions of Section 14-110, in lieu of
1458-23 the regular or minimum retirement annuity, only if the person
1459-24 has withdrawn from service with not less than 20 years of
1460-25 eligible creditable service and has attained age 60,
1461-26 regardless of whether the attainment of age 60 occurs while
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1472-1 the person is still in service.
1473-2 (g-1) The benefits in Section 14-110 apply if the person
1474-3 is an investigator for the Department of the Lottery, as that
1475-4 term is defined in subsection (b) and subsection (c) of
1476-5 Section 14-110. A person who meets the requirements of this
1477-6 Section is entitled to an annuity calculated under the
1478-7 provisions of Section 14-110, in lieu of the regular or
1479-8 minimum retirement annuity, only if the person has withdrawn
1480-9 from service with not less than 20 years of eligible
1481-10 creditable service and has attained age 55, regardless of
1482-11 whether the attainment of age 55 occurs while the person is
1483-12 still in service.
1484-13 (h) If a person who first becomes a member or a participant
1485-14 of a retirement system or pension fund subject to this Section
1486-15 on or after January 1, 2011 is receiving a retirement annuity
1487-16 or retirement pension under that system or fund and becomes a
1488-17 member or participant under any other system or fund created
1489-18 by this Code and is employed on a full-time basis, except for
1490-19 those members or participants exempted from the provisions of
1491-20 this Section under subsection (a) of this Section, then the
1492-21 person's retirement annuity or retirement pension under that
1493-22 system or fund shall be suspended during that employment. Upon
1494-23 termination of that employment, the person's retirement
1495-24 annuity or retirement pension payments shall resume and be
1496-25 recalculated if recalculation is provided for under the
1497-26 applicable Article of this Code.
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1508-1 If a person who first becomes a member of a retirement
1509-2 system or pension fund subject to this Section on or after
1510-3 January 1, 2012 and is receiving a retirement annuity or
1511-4 retirement pension under that system or fund and accepts on a
1512-5 contractual basis a position to provide services to a
1513-6 governmental entity from which he or she has retired, then
1514-7 that person's annuity or retirement pension earned as an
1515-8 active employee of the employer shall be suspended during that
1516-9 contractual service. A person receiving an annuity or
1517-10 retirement pension under this Code shall notify the pension
1518-11 fund or retirement system from which he or she is receiving an
1519-12 annuity or retirement pension, as well as his or her
1520-13 contractual employer, of his or her retirement status before
1521-14 accepting contractual employment. A person who fails to submit
1522-15 such notification shall be guilty of a Class A misdemeanor and
1523-16 required to pay a fine of $1,000. Upon termination of that
1524-17 contractual employment, the person's retirement annuity or
1525-18 retirement pension payments shall resume and, if appropriate,
1526-19 be recalculated under the applicable provisions of this Code.
1527-20 (i) (Blank).
1528-21 (j) In the case of a conflict between the provisions of
1529-22 this Section and any other provision of this Code, the
1530-23 provisions of this Section shall control.
1531-24 (Source: P.A. 102-16, eff. 6-17-21; 102-210, eff. 1-1-22;
1532-25 102-263, eff. 8-6-21; 102-956, eff. 5-27-22; 103-529, eff.
1533-26 8-11-23.)
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1544-1 (40 ILCS 5/1-168 new)
1545-2 Sec. 1-168. Deferred retirement option plan.
1546-3 (a) In this Section:
1547-4 "Applicable pension fund or retirement system" means the
1548-5 pension fund or retirement system established under Article 3,
1549-6 4, 5, 6, 7, 9, 14, or 15 under which the eligible member or
1550-7 DROP member participates.
1551-8 "Deferred retirement option plan" or "DROP" means the plan
1552-9 created under this Section that provides an alternative method
1553-10 of benefit accrual in the pension fund or retirement system.
1554-11 "DROP member" means an eligible member who makes an
1555-12 election to participate in the DROP no later than January 1,
1556-13 2029.
1557-14 "Eligible member" means a participating member under a
1558-15 pension fund or retirement system established under Article 3,
1559-16 4, 5, 6, 7, 9, 14, or 15 who, at the time of the member's
1560-17 election to participate in the DROP:
1561-18 (1) is otherwise eligible to retire under the
1562-19 applicable Article with a pension or annuity, as
1563-20 determined by the retirement system or pension fund of
1564-21 which the member is an active member at the time of the
1565-22 election to participate in the DROP, under any of the
1566-23 following provisions:
1567-24 (A) Section 1-160 for service as a deputy sheriff
1568-25 in the Cook County Police Department;
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1579-1 (B) Section 3-111;
1580-2 (C) Section 4-109;
1581-3 (D) Section 5-132;
1582-4 (E) Section 5-238;
1583-5 (F) Section 6-128;
1584-6 (G) Section 6-229;
1585-7 (H) Section 7-142.1;
1586-8 (I) Section 9-128.1;
1587-9 (J) Section 14-110 for eligible creditable service
1588-10 as a State policeman or a fire fighter in the fire
1589-11 protection service of a department; or
1590-12 (K) Rule 4 of Section 15-136 for service as a
1591-13 police officer;
1592-14 (2) is not in receipt of a disability benefit or
1593-15 retirement annuity from the applicable retirement system
1594-16 or pension fund at the time of his or her election to
1595-17 participate in the DROP;
1596-18 (3) is actively employed as a police officer,
1597-19 firefighter, policeman, fireman, sheriff's law enforcement
1598-20 employee, deputy sheriff in the Cook County Police
1599-21 Department, State policeman, or fire fighter in the fire
1600-22 protection service of a department, as described or
1601-23 defined under the applicable Article; and
1602-24 (4) is not subject to mandatory retirement under the
1603-25 law and will not become subject to mandatory retirement
1604-26 under the law during participation in the DROP.
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1615-1 (b) The DROP shall be made available to eligible members
1616-2 no later than January 1, 2026.
1617-3 (c) Eligible members must make their election to
1618-4 participate in the DROP in writing with the applicable pension
1619-5 fund or retirement system in a form acceptable to the
1620-6 applicable pension fund or retirement system. The applicable
1621-7 pension fund or retirement system must process the election
1622-8 and begin crediting an account on behalf of the DROP member as
1623-9 soon as is practicable after the election has been received.
1624-10 At the time of or prior to electing to participate in the
1625-11 DROP, a member must, unless otherwise provided by law, make
1626-12 all other elections required to be made at or before the date
1627-13 of retirement, including, but not limited to, purchase of
1628-14 optional service, election of an accelerated pension benefit
1629-15 payment, or any other election identified by the retirement
1630-16 system or pension fund.
1631-17 (d) An eligible member may participate in the DROP for a
1632-18 period not to exceed 5 years from the date of the eligible
1633-19 member's election.
1634-20 (e) During the period of the DROP member's participation
1635-21 in the DROP, the applicable pension fund or retirement system
1636-22 shall transfer and credit into a notional account on behalf of
1637-23 the DROP member an amount equal to the monthly amount of
1638-24 retirement annuity the DROP member would otherwise be eligible
1639-25 to receive if the DROP member had retired on the date of the
1640-26 election under this Section. A DROP member who is entitled to a
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1651-1 benefit from a participating system under the Retirement
1652-2 Systems Reciprocal Act shall be eligible to have the benefit
1653-3 the DROP member would have otherwise been eligible to receive
1654-4 if the DROP member retired on the date of the election under
1655-5 this Section deposited with the applicable pension fund or
1656-6 retirement system in the DROP member's DROP account and
1657-7 administered in a manner consistent with the requirements of
1658-8 this Section. The applicable pension fund or retirement system
1659-9 shall deduct any amounts required to be deducted under State
1660-10 or federal law, including, but not limited to, payments
1661-11 required under a Qualified Illinois Domestic Relations Order
1662-12 under Section 1-119. Any automatic annual increases that would
1663-13 have otherwise been applied to the DROP member's benefit if
1664-14 the DROP member had elected to retire instead of participate
1665-15 in the DROP shall accrue to the DROP member's monthly payment
1666-16 placed into the account prior to the expiration of the DROP and
1667-17 shall otherwise apply to the DROP member's annuity upon
1668-18 expiration of the DROP. The account shall be held on behalf of
1669-19 the DROP member.
1670-20 (f) DROP members shall make contributions to the
1671-21 applicable pension fund or retirement system during their
1672-22 participation in the DROP in an amount equal to the employee
1673-23 contributions under the applicable Article that would
1674-24 otherwise be required if the DROP member were an active
1675-25 participant of the applicable pension fund or retirement
1676-26 system. Those amounts shall be credited to the member's DROP
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1687-1 account, minus any administrative costs determined by the
1688-2 pension fund or retirement system to be attributable to the
1689-3 administration of the DROP benefits experienced by the
1690-4 applicable pension fund or retirement system.
1691-5 (g) The amounts credited to the DROP account shall be held
1692-6 in notional accounts by the applicable pension fund or
1693-7 retirement system. The amounts in the DROP account shall
1694-8 accrue interest based on the actual rate of return on
1695-9 investment experienced by the applicable pension fund or
1696-10 retirement system, as determined annually by the applicable
1697-11 pension fund or retirement system. If, in any year, the actual
1698-12 rate of return on investment experienced by the applicable
1699-13 pension fund or retirement system is less than zero, the
1700-14 interest accrual for that year shall be zero. The applicable
1701-15 pension fund or retirement system shall reduce the amounts in
1702-16 the DROP account on a schedule set by the applicable pension
1703-17 fund or retirement system to cover all of the administrative
1704-18 costs of the applicable pension fund or retirement system that
1705-19 are deemed to be attributable to the administration of the
1706-20 DROP account and any duties required under this Section.
1707-21 (h) Upon expiration or termination of the DROP member's
1708-22 participation in the DROP, the account balance shall be paid
1709-23 to the DROP member as a lump sum. The applicable pension fund
1710-24 or retirement system shall provide options for the transfer of
1711-25 the account consistent with its fiduciary duty and any
1712-26 applicable State or federal law. The expiration or termination
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1723-1 of a DROP member's participation in the DROP may not occur
1724-2 after January 1, 2034.
1725-3 (i) The DROP election is irrevocable, and the DROP member
1726-4 may not, except as otherwise provided in this Section, access
1727-5 the account prior to the date established as the last day of
1728-6 the DROP when the DROP member made the initial election to
1729-7 participate in the DROP. The DROP member must terminate
1730-8 employment with the employer upon expiration of his or her
1731-9 participation in the DROP. The DROP member's participation in
1732-10 the DROP shall terminate prior to the expiration date:
1733-11 (1) if the DROP member terminates employment with the
1734-12 employer prior to the expiration of the designated DROP
1735-13 period;
1736-14 (2) if the DROP member becomes eligible for and begins
1737-15 collecting a disability benefit from the pension fund or
1738-16 retirement system; or
1739-17 (3) upon the death of the DROP member.
1740-18 Upon termination from the DROP, the member shall commence
1741-19 his or her retirement annuity from the pension fund or
1742-20 retirement system. After termination or expiration of a
1743-21 member's participation in the DROP, the member may not
1744-22 participate in employment in any way that would require the
1745-23 member to become an active contributing member of the
1746-24 retirement system or pension fund.
1747-25 The applicable pension fund or retirement system may allow
1748-26 for the payment of the balance of the DROP account prior to the
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1759-1 last date of participation in the DROP established by the DROP
1760-2 member when the DROP member made the initial election to
1761-3 participate in the DROP if (i) the member's participation in
1762-4 the DROP terminated and (ii) the applicable pension fund or
1763-5 retirement system determines the DROP member should have
1764-6 access to the DROP account balance due to hardship or
1765-7 necessity as determined by the applicable pension fund or
1766-8 retirement system.
1767-9 (j) A DROP member shall be considered in active service
1768-10 for purposes of eligibility for death and disability benefits
1769-11 and access to any health care benefits provided for by the
1770-12 employer and shall retain all rights of employment as
1771-13 established under the DROP member's collective bargaining
1772-14 agreement.
1773-15 The DROP member shall not accrue additional service credit
1774-16 in the pension fund or retirement system while participating
1775-17 in the DROP, regardless of any service accruals, future pay
1776-18 increases, active cost of living adjustments, or promotions.
1777-19 Additionally, the DROP member shall not be eligible to
1778-20 purchase any optional service credit or to repay any refunds.
1779-21 Eligibility for a surviving spouse benefit shall be
1780-22 determined at the time of the DROP election.
1781-23 Any amounts due to an alternate payee under a Qualified
1782-24 Illinois Domestic Relations Order under Section 1-119 shall be
1783-25 calculated at the time of the DROP election and such amounts
1784-26 shall be payable at the time of election.
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1795-1 If the DROP member's designated beneficiary predeceases
1796-2 the DROP member and the DROP member dies before designating a
1797-3 new beneficiary, the DROP member's DROP account shall be paid
1798-4 to the DROP member's estate.
1799-5 When determining if a member is owed a refund of
1800-6 contributions due to the member's death prior to collecting an
1801-7 amount equal to or greater than the member's contributions,
1802-8 the proceeds of the DROP account shall be considered part of
1803-9 the total payment made to the member or the member's estate.
1804-10 (k) It is intended that the DROP shall not jeopardize the
1805-11 tax qualified status of the pension fund or retirement system.
1806-12 The pension fund or retirement system shall have the authority
1807-13 to adopt rules necessary or appropriate for the DROP to
1808-14 maintain compliance with applicable federal laws and
1809-15 regulations. Notwithstanding any other provision of this Code,
1810-16 all benefits provided under the DROP shall be subject to the
1811-17 requirements and limits of the Internal Revenue Code of 1986,
1812-18 as amended.
1813-19 (l) Each applicable pension fund or retirement system
1814-20 shall be the administrator of the DROP plan created in this
1815-21 Section. The administration shall be subject to any applicable
1816-22 laws, and the pension fund or retirement system shall
1817-23 administer the program in the best interest of the DROP
1818-24 members in a way that a prudent person in a similar
1819-25 circumstance would.
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1830-1 (40 ILCS 5/3-144.3 new)
1831-2 Sec. 3-144.3. Retirement Systems Reciprocal Act. The
1832-3 Retirement Systems Reciprocal Act, Article 20 of this Code, is
1833-4 adopted and made a part of this Article, but only with respect
1834-5 to a person who, on or after the effective date of this
1835-6 amendatory Act of the 103rd General Assembly, is entitled
1836-7 under this Article or through a participating system under the
1837-8 Retirement Systems Reciprocal Act, as defined in Section
1838-9 20-108, to begin receiving a retirement annuity or survivor's
1839-10 annuity (as those terms are defined in Article 20) and who
1840-11 elects to proceed under the Retirement Systems Reciprocal Act.
1841-12 (40 ILCS 5/4-138.15 new)
1842-13 Sec. 4-138.15. Retirement Systems Reciprocal Act. The
1843-14 Retirement Systems Reciprocal Act, Article 20 of this Code, is
1844-15 adopted and made a part of this Article, but only with respect
1845-16 to a person who, on or after the effective date of this
1846-17 amendatory Act of the 103rd General Assembly, is entitled
1847-18 under this Article or through a participating system under the
1848-19 Retirement Systems Reciprocal Act, as defined in Section
1849-20 20-108, to begin receiving a retirement annuity or survivor's
1850-21 annuity (as those terms are defined in Article 20) and who
1851-22 elects to proceed under the Retirement Systems Reciprocal Act.
1852-23 (40 ILCS 5/5-240 new)
1853-24 Sec. 5-240. Retirement Systems Reciprocal Act. The
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1864-1 Retirement Systems Reciprocal Act, Article 20 of this Code, is
1865-2 adopted and made a part of this Article, but only with respect
1866-3 to a person who, on or after the effective date of this
1867-4 amendatory Act of the 103rd General Assembly, is entitled
1868-5 under this Article or through a participating system under the
1869-6 Retirement Systems Reciprocal Act, as defined in Section
1870-7 20-108, to begin receiving a retirement annuity or survivor's
1871-8 annuity (as those terms are defined in Article 20) and who
1872-9 elects to proceed under the Retirement Systems Reciprocal Act.
1873-10 (40 ILCS 5/6-232 new)
1874-11 Sec. 6-232. Retirement Systems Reciprocal Act. The
1875-12 Retirement Systems Reciprocal Act, Article 20 of this Code, is
1876-13 adopted and made a part of this Article, but only with respect
1877-14 to a person who, on or after the effective date of this
1878-15 amendatory Act of the 103rd General Assembly, is entitled
1879-16 under this Article or through a participating system under the
1880-17 Retirement Systems Reciprocal Act, as defined in Section
1881-18 20-108, to begin receiving a retirement annuity or survivor's
1882-19 annuity (as those terms are defined in Article 20) and who
1883-20 elects to proceed under the Retirement Systems Reciprocal Act.
1884-21 (40 ILCS 5/14-110) (from Ch. 108 1/2, par. 14-110)
1885-22 (Text of Section from P.A. 102-813 and 103-34)
1886-23 Sec. 14-110. Alternative retirement annuity.
1887-24 (a) Any member who has withdrawn from service with not
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1898-1 less than 20 years of eligible creditable service and has
1899-2 attained age 55, and any member who has withdrawn from service
1900-3 with not less than 25 years of eligible creditable service and
1901-4 has attained age 50, regardless of whether the attainment of
1902-5 either of the specified ages occurs while the member is still
1903-6 in service, shall be entitled to receive at the option of the
1904-7 member, in lieu of the regular or minimum retirement annuity,
1905-8 a retirement annuity computed as follows:
1906-9 (i) for periods of service as a noncovered employee:
1907-10 if retirement occurs on or after January 1, 2001, 3% of
1908-11 final average compensation for each year of creditable
1909-12 service; if retirement occurs before January 1, 2001, 2
1910-13 1/4% of final average compensation for each of the first
1911-14 10 years of creditable service, 2 1/2% for each year above
1912-15 10 years to and including 20 years of creditable service,
1913-16 and 2 3/4% for each year of creditable service above 20
1914-17 years; and
1915-18 (ii) for periods of eligible creditable service as a
1916-19 covered employee: if retirement occurs on or after January
1917-20 1, 2001, 2.5% of final average compensation for each year
1918-21 of creditable service; if retirement occurs before January
1919-22 1, 2001, 1.67% of final average compensation for each of
1920-23 the first 10 years of such service, 1.90% for each of the
1921-24 next 10 years of such service, 2.10% for each year of such
1922-25 service in excess of 20 but not exceeding 30, and 2.30% for
1923-26 each year in excess of 30.
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1934-1 Such annuity shall be subject to a maximum of 75% of final
1935-2 average compensation if retirement occurs before January 1,
1936-3 2001 or to a maximum of 80% of final average compensation if
1937-4 retirement occurs on or after January 1, 2001.
1938-5 These rates shall not be applicable to any service
1939-6 performed by a member as a covered employee which is not
1940-7 eligible creditable service. Service as a covered employee
1941-8 which is not eligible creditable service shall be subject to
1942-9 the rates and provisions of Section 14-108.
1943-10 (b) For the purpose of this Section, "eligible creditable
1944-11 service" means creditable service resulting from service in
1945-12 one or more of the following positions:
1946-13 (1) State policeman;
1947-14 (2) fire fighter in the fire protection service of a
1948-15 department;
1949-16 (3) air pilot;
1950-17 (4) special agent;
1951-18 (5) investigator for the Secretary of State;
1952-19 (6) conservation police officer;
1953-20 (7) investigator for the Department of Revenue or the
1954-21 Illinois Gaming Board;
1955-22 (8) security employee of the Department of Human
1956-23 Services;
1957-24 (9) Central Management Services security police
1958-25 officer;
1959-26 (10) security employee of the Department of
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1970-1 Corrections or the Department of Juvenile Justice;
1971-2 (11) dangerous drugs investigator;
1972-3 (12) investigator for the Illinois State Police;
1973-4 (13) investigator for the Office of the Attorney
1974-5 General;
1975-6 (14) controlled substance inspector;
1976-7 (15) investigator for the Office of the State's
1977-8 Attorneys Appellate Prosecutor;
1978-9 (16) Commerce Commission police officer;
1979-10 (17) arson investigator;
1980-11 (18) State highway maintenance worker;
1981-12 (19) security employee of the Department of Innovation
1982-13 and Technology; or
1983-14 (20) transferred employee; or .
1984-15 (21) investigator for the Department of the Lottery.
1985-16 A person employed in one of the positions specified in
1986-17 this subsection is entitled to eligible creditable service for
1987-18 service credit earned under this Article while undergoing the
1988-19 basic police training course approved by the Illinois Law
1989-20 Enforcement Training Standards Board, if completion of that
1990-21 training is required of persons serving in that position. For
1991-22 the purposes of this Code, service during the required basic
1992-23 police training course shall be deemed performance of the
1993-24 duties of the specified position, even though the person is
1994-25 not a sworn peace officer at the time of the training.
1995-26 A person under paragraph (20) is entitled to eligible
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2006-1 creditable service for service credit earned under this
2007-2 Article on and after his or her transfer by Executive Order No.
2008-3 2003-10, Executive Order No. 2004-2, or Executive Order No.
2009-4 2016-1.
2010-5 (c) For the purposes of this Section:
2011-6 (1) The term "State policeman" includes any title or
2012-7 position in the Illinois State Police that is held by an
2013-8 individual employed under the Illinois State Police Act.
2014-9 (2) The term "fire fighter in the fire protection
2015-10 service of a department" includes all officers in such
2016-11 fire protection service including fire chiefs and
2017-12 assistant fire chiefs.
2018-13 (3) The term "air pilot" includes any employee whose
2019-14 official job description on file in the Department of
2020-15 Central Management Services, or in the department by which
2021-16 he is employed if that department is not covered by the
2022-17 Personnel Code, states that his principal duty is the
2023-18 operation of aircraft, and who possesses a pilot's
2024-19 license; however, the change in this definition made by
2025-20 Public Act 83-842 shall not operate to exclude any
2026-21 noncovered employee who was an "air pilot" for the
2027-22 purposes of this Section on January 1, 1984.
2028-23 (4) The term "special agent" means any person who by
2029-24 reason of employment by the Division of Narcotic Control,
2030-25 the Bureau of Investigation or, after July 1, 1977, the
2031-26 Division of Criminal Investigation, the Division of
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2042-1 Internal Investigation, the Division of Operations, the
2043-2 Division of Patrol, or any other Division or
2044-3 organizational entity in the Illinois State Police is
2045-4 vested by law with duties to maintain public order,
2046-5 investigate violations of the criminal law of this State,
2047-6 enforce the laws of this State, make arrests and recover
2048-7 property. The term "special agent" includes any title or
2049-8 position in the Illinois State Police that is held by an
2050-9 individual employed under the Illinois State Police Act.
2051-10 (5) The term "investigator for the Secretary of State"
2052-11 means any person employed by the Office of the Secretary
2053-12 of State and vested with such investigative duties as
2054-13 render him ineligible for coverage under the Social
2055-14 Security Act by reason of Sections 218(d)(5)(A),
2056-15 218(d)(8)(D) and 218(l)(1) of that Act.
2057-16 A person who became employed as an investigator for
2058-17 the Secretary of State between January 1, 1967 and
2059-18 December 31, 1975, and who has served as such until
2060-19 attainment of age 60, either continuously or with a single
2061-20 break in service of not more than 3 years duration, which
2062-21 break terminated before January 1, 1976, shall be entitled
2063-22 to have his retirement annuity calculated in accordance
2064-23 with subsection (a), notwithstanding that he has less than
2065-24 20 years of credit for such service.
2066-25 (6) The term "Conservation Police Officer" means any
2067-26 person employed by the Division of Law Enforcement of the
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2078-1 Department of Natural Resources and vested with such law
2079-2 enforcement duties as render him ineligible for coverage
2080-3 under the Social Security Act by reason of Sections
2081-4 218(d)(5)(A), 218(d)(8)(D), and 218(l)(1) of that Act. The
2082-5 term "Conservation Police Officer" includes the positions
2083-6 of Chief Conservation Police Administrator and Assistant
2084-7 Conservation Police Administrator.
2085-8 (7) The term "investigator for the Department of
2086-9 Revenue" means any person employed by the Department of
2087-10 Revenue and vested with such investigative duties as
2088-11 render him ineligible for coverage under the Social
2089-12 Security Act by reason of Sections 218(d)(5)(A),
2090-13 218(d)(8)(D) and 218(l)(1) of that Act.
2091-14 The term "investigator for the Illinois Gaming Board"
2092-15 means any person employed as such by the Illinois Gaming
2093-16 Board and vested with such peace officer duties as render
2094-17 the person ineligible for coverage under the Social
2095-18 Security Act by reason of Sections 218(d)(5)(A),
2096-19 218(d)(8)(D), and 218(l)(1) of that Act.
2097-20 (8) The term "security employee of the Department of
2098-21 Human Services" means any person employed by the
2099-22 Department of Human Services who (i) is employed at the
2100-23 Chester Mental Health Center and has daily contact with
2101-24 the residents thereof, (ii) is employed within a security
2102-25 unit at a facility operated by the Department and has
2103-26 daily contact with the residents of the security unit,
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2114-1 (iii) is employed at a facility operated by the Department
2115-2 that includes a security unit and is regularly scheduled
2116-3 to work at least 50% of his or her working hours within
2117-4 that security unit, or (iv) is a mental health police
2118-5 officer. "Mental health police officer" means any person
2119-6 employed by the Department of Human Services in a position
2120-7 pertaining to the Department's mental health and
2121-8 developmental disabilities functions who is vested with
2122-9 such law enforcement duties as render the person
2123-10 ineligible for coverage under the Social Security Act by
2124-11 reason of Sections 218(d)(5)(A), 218(d)(8)(D) and
2125-12 218(l)(1) of that Act. "Security unit" means that portion
2126-13 of a facility that is devoted to the care, containment,
2127-14 and treatment of persons committed to the Department of
2128-15 Human Services as sexually violent persons, persons unfit
2129-16 to stand trial, or persons not guilty by reason of
2130-17 insanity. With respect to past employment, references to
2131-18 the Department of Human Services include its predecessor,
2132-19 the Department of Mental Health and Developmental
2133-20 Disabilities.
2134-21 The changes made to this subdivision (c)(8) by Public
2135-22 Act 92-14 apply to persons who retire on or after January
2136-23 1, 2001, notwithstanding Section 1-103.1.
2137-24 (9) "Central Management Services security police
2138-25 officer" means any person employed by the Department of
2139-26 Central Management Services who is vested with such law
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2150-1 enforcement duties as render him ineligible for coverage
2151-2 under the Social Security Act by reason of Sections
2152-3 218(d)(5)(A), 218(d)(8)(D) and 218(l)(1) of that Act.
2153-4 (10) For a member who first became an employee under
2154-5 this Article before July 1, 2005, the term "security
2155-6 employee of the Department of Corrections or the
2156-7 Department of Juvenile Justice" means any employee of the
2157-8 Department of Corrections or the Department of Juvenile
2158-9 Justice or the former Department of Personnel, and any
2159-10 member or employee of the Prisoner Review Board, who has
2160-11 daily contact with inmates or youth by working within a
2161-12 correctional facility or Juvenile facility operated by the
2162-13 Department of Juvenile Justice or who is a parole officer
2163-14 or an employee who has direct contact with committed
2164-15 persons in the performance of his or her job duties. For a
2165-16 member who first becomes an employee under this Article on
2166-17 or after July 1, 2005, the term means an employee of the
2167-18 Department of Corrections or the Department of Juvenile
2168-19 Justice who is any of the following: (i) officially
2169-20 headquartered at a correctional facility or Juvenile
2170-21 facility operated by the Department of Juvenile Justice,
2171-22 (ii) a parole officer, (iii) a member of the apprehension
2172-23 unit, (iv) a member of the intelligence unit, (v) a member
2173-24 of the sort team, or (vi) an investigator.
2174-25 (11) The term "dangerous drugs investigator" means any
2175-26 person who is employed as such by the Department of Human
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2186-1 Services.
2187-2 (12) The term "investigator for the Illinois State
2188-3 Police" means a person employed by the Illinois State
2189-4 Police who is vested under Section 4 of the Narcotic
2190-5 Control Division Abolition Act with such law enforcement
2191-6 powers as render him ineligible for coverage under the
2192-7 Social Security Act by reason of Sections 218(d)(5)(A),
2193-8 218(d)(8)(D) and 218(l)(1) of that Act.
2194-9 (13) "Investigator for the Office of the Attorney
2195-10 General" means any person who is employed as such by the
2196-11 Office of the Attorney General and is vested with such
2197-12 investigative duties as render him ineligible for coverage
2198-13 under the Social Security Act by reason of Sections
2199-14 218(d)(5)(A), 218(d)(8)(D) and 218(l)(1) of that Act. For
2200-15 the period before January 1, 1989, the term includes all
2201-16 persons who were employed as investigators by the Office
2202-17 of the Attorney General, without regard to social security
2203-18 status.
2204-19 (14) "Controlled substance inspector" means any person
2205-20 who is employed as such by the Department of Professional
2206-21 Regulation and is vested with such law enforcement duties
2207-22 as render him ineligible for coverage under the Social
2208-23 Security Act by reason of Sections 218(d)(5)(A),
2209-24 218(d)(8)(D) and 218(l)(1) of that Act. The term
2210-25 "controlled substance inspector" includes the Program
2211-26 Executive of Enforcement and the Assistant Program
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2222-1 Executive of Enforcement.
2223-2 (15) The term "investigator for the Office of the
2224-3 State's Attorneys Appellate Prosecutor" means a person
2225-4 employed in that capacity on a full-time basis under the
2226-5 authority of Section 7.06 of the State's Attorneys
2227-6 Appellate Prosecutor's Act.
2228-7 (16) "Commerce Commission police officer" means any
2229-8 person employed by the Illinois Commerce Commission who is
2230-9 vested with such law enforcement duties as render him
2231-10 ineligible for coverage under the Social Security Act by
2232-11 reason of Sections 218(d)(5)(A), 218(d)(8)(D), and
2233-12 218(l)(1) of that Act.
2234-13 (17) "Arson investigator" means any person who is
2235-14 employed as such by the Office of the State Fire Marshal
2236-15 and is vested with such law enforcement duties as render
2237-16 the person ineligible for coverage under the Social
2238-17 Security Act by reason of Sections 218(d)(5)(A),
2239-18 218(d)(8)(D), and 218(l)(1) of that Act. A person who was
2240-19 employed as an arson investigator on January 1, 1995 and
2241-20 is no longer in service but not yet receiving a retirement
2242-21 annuity may convert his or her creditable service for
2243-22 employment as an arson investigator into eligible
2244-23 creditable service by paying to the System the difference
2245-24 between the employee contributions actually paid for that
2246-25 service and the amounts that would have been contributed
2247-26 if the applicant were contributing at the rate applicable
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2258-1 to persons with the same social security status earning
2259-2 eligible creditable service on the date of application.
2260-3 (18) The term "State highway maintenance worker" means
2261-4 a person who is either of the following:
2262-5 (i) A person employed on a full-time basis by the
2263-6 Illinois Department of Transportation in the position
2264-7 of highway maintainer, highway maintenance lead
2265-8 worker, highway maintenance lead/lead worker, heavy
2266-9 construction equipment operator, power shovel
2267-10 operator, or bridge mechanic; and whose principal
2268-11 responsibility is to perform, on the roadway, the
2269-12 actual maintenance necessary to keep the highways that
2270-13 form a part of the State highway system in serviceable
2271-14 condition for vehicular traffic.
2272-15 (ii) A person employed on a full-time basis by the
2273-16 Illinois State Toll Highway Authority in the position
2274-17 of equipment operator/laborer H-4, equipment
2275-18 operator/laborer H-6, welder H-4, welder H-6,
2276-19 mechanical/electrical H-4, mechanical/electrical H-6,
2277-20 water/sewer H-4, water/sewer H-6, sign maker/hanger
2278-21 H-4, sign maker/hanger H-6, roadway lighting H-4,
2279-22 roadway lighting H-6, structural H-4, structural H-6,
2280-23 painter H-4, or painter H-6; and whose principal
2281-24 responsibility is to perform, on the roadway, the
2282-25 actual maintenance necessary to keep the Authority's
2283-26 tollways in serviceable condition for vehicular
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2294-1 traffic.
2295-2 (19) The term "security employee of the Department of
2296-3 Innovation and Technology" means a person who was a
2297-4 security employee of the Department of Corrections or the
2298-5 Department of Juvenile Justice, was transferred to the
2299-6 Department of Innovation and Technology pursuant to
2300-7 Executive Order 2016-01, and continues to perform similar
2301-8 job functions under that Department.
2302-9 (20) "Transferred employee" means an employee who was
2303-10 transferred to the Department of Central Management
2304-11 Services by Executive Order No. 2003-10 or Executive Order
2305-12 No. 2004-2 or transferred to the Department of Innovation
2306-13 and Technology by Executive Order No. 2016-1, or both, and
2307-14 was entitled to eligible creditable service for services
2308-15 immediately preceding the transfer.
2309-16 (21) "Investigator for the Department of the Lottery"
2310-17 means any person who is employed by the Department of the
2311-18 Lottery and is vested with such investigative duties which
2312-19 render him or her ineligible for coverage under the Social
2313-20 Security Act by reason of Sections 218(d)(5)(A),
2314-21 218(d)(8)(D), and 218(l)(1) of that Act. An investigator
2315-22 for the Department of the Lottery who qualifies under this
2316-23 Section shall earn eligible creditable service and be
2317-24 required to make contributions at the rate specified in
2318-25 paragraph (3) of subsection (a) of Section 14-133 for all
2319-26 periods of service as an investigator for the Department
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2330-1 of the Lottery.
2331-2 (d) A security employee of the Department of Corrections
2332-3 or the Department of Juvenile Justice, a security employee of
2333-4 the Department of Human Services who is not a mental health
2334-5 police officer, and a security employee of the Department of
2335-6 Innovation and Technology shall not be eligible for the
2336-7 alternative retirement annuity provided by this Section unless
2337-8 he or she meets the following minimum age and service
2338-9 requirements at the time of retirement:
2339-10 (i) 25 years of eligible creditable service and age
2340-11 55; or
2341-12 (ii) beginning January 1, 1987, 25 years of eligible
2342-13 creditable service and age 54, or 24 years of eligible
2343-14 creditable service and age 55; or
2344-15 (iii) beginning January 1, 1988, 25 years of eligible
2345-16 creditable service and age 53, or 23 years of eligible
2346-17 creditable service and age 55; or
2347-18 (iv) beginning January 1, 1989, 25 years of eligible
2348-19 creditable service and age 52, or 22 years of eligible
2349-20 creditable service and age 55; or
2350-21 (v) beginning January 1, 1990, 25 years of eligible
2351-22 creditable service and age 51, or 21 years of eligible
2352-23 creditable service and age 55; or
2353-24 (vi) beginning January 1, 1991, 25 years of eligible
2354-25 creditable service and age 50, or 20 years of eligible
2355-26 creditable service and age 55.
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2366-1 Persons who have service credit under Article 16 of this
2367-2 Code for service as a security employee of the Department of
2368-3 Corrections or the Department of Juvenile Justice, or the
2369-4 Department of Human Services in a position requiring
2370-5 certification as a teacher may count such service toward
2371-6 establishing their eligibility under the service requirements
2372-7 of this Section; but such service may be used only for
2373-8 establishing such eligibility, and not for the purpose of
2374-9 increasing or calculating any benefit.
2375-10 (e) If a member enters military service while working in a
2376-11 position in which eligible creditable service may be earned,
2377-12 and returns to State service in the same or another such
2378-13 position, and fulfills in all other respects the conditions
2379-14 prescribed in this Article for credit for military service,
2380-15 such military service shall be credited as eligible creditable
2381-16 service for the purposes of the retirement annuity prescribed
2382-17 in this Section.
2383-18 (f) For purposes of calculating retirement annuities under
2384-19 this Section, periods of service rendered after December 31,
2385-20 1968 and before October 1, 1975 as a covered employee in the
2386-21 position of special agent, conservation police officer, mental
2387-22 health police officer, or investigator for the Secretary of
2388-23 State, shall be deemed to have been service as a noncovered
2389-24 employee, provided that the employee pays to the System prior
2390-25 to retirement an amount equal to (1) the difference between
2391-26 the employee contributions that would have been required for
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2402-1 such service as a noncovered employee, and the amount of
2403-2 employee contributions actually paid, plus (2) if payment is
2404-3 made after July 31, 1987, regular interest on the amount
2405-4 specified in item (1) from the date of service to the date of
2406-5 payment.
2407-6 For purposes of calculating retirement annuities under
2408-7 this Section, periods of service rendered after December 31,
2409-8 1968 and before January 1, 1982 as a covered employee in the
2410-9 position of investigator for the Department of Revenue shall
2411-10 be deemed to have been service as a noncovered employee,
2412-11 provided that the employee pays to the System prior to
2413-12 retirement an amount equal to (1) the difference between the
2414-13 employee contributions that would have been required for such
2415-14 service as a noncovered employee, and the amount of employee
2416-15 contributions actually paid, plus (2) if payment is made after
2417-16 January 1, 1990, regular interest on the amount specified in
2418-17 item (1) from the date of service to the date of payment.
2419-18 (g) A State policeman may elect, not later than January 1,
2420-19 1990, to establish eligible creditable service for up to 10
2421-20 years of his service as a policeman under Article 3, by filing
2422-21 a written election with the Board, accompanied by payment of
2423-22 an amount to be determined by the Board, equal to (i) the
2424-23 difference between the amount of employee and employer
2425-24 contributions transferred to the System under Section 3-110.5,
2426-25 and the amounts that would have been contributed had such
2427-26 contributions been made at the rates applicable to State
2428-
2429-
2430-
2431-
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2434-
2435-
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2437- HB3765 Engrossed - 69 - LRB103 31021 RPS 57638 b
2438-1 policemen, plus (ii) interest thereon at the effective rate
2439-2 for each year, compounded annually, from the date of service
2440-3 to the date of payment.
2441-4 Subject to the limitation in subsection (i), a State
2442-5 policeman may elect, not later than July 1, 1993, to establish
2443-6 eligible creditable service for up to 10 years of his service
2444-7 as a member of the County Police Department under Article 9, by
2445-8 filing a written election with the Board, accompanied by
2446-9 payment of an amount to be determined by the Board, equal to
2447-10 (i) the difference between the amount of employee and employer
2448-11 contributions transferred to the System under Section 9-121.10
2449-12 and the amounts that would have been contributed had those
2450-13 contributions been made at the rates applicable to State
2451-14 policemen, plus (ii) interest thereon at the effective rate
2452-15 for each year, compounded annually, from the date of service
2453-16 to the date of payment.
2454-17 (h) Subject to the limitation in subsection (i), a State
2455-18 policeman or investigator for the Secretary of State may elect
2456-19 to establish eligible creditable service for up to 12 years of
2457-20 his service as a policeman under Article 5, by filing a written
2458-21 election with the Board on or before January 31, 1992, and
2459-22 paying to the System by January 31, 1994 an amount to be
2460-23 determined by the Board, equal to (i) the difference between
2461-24 the amount of employee and employer contributions transferred
2462-25 to the System under Section 5-236, and the amounts that would
2463-26 have been contributed had such contributions been made at the
2464-
2465-
2466-
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2470-
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2473- HB3765 Engrossed - 70 - LRB103 31021 RPS 57638 b
2474-1 rates applicable to State policemen, plus (ii) interest
2475-2 thereon at the effective rate for each year, compounded
2476-3 annually, from the date of service to the date of payment.
2477-4 Subject to the limitation in subsection (i), a State
2478-5 policeman, conservation police officer, or investigator for
2479-6 the Secretary of State may elect to establish eligible
2480-7 creditable service for up to 10 years of service as a sheriff's
2481-8 law enforcement employee under Article 7, by filing a written
2482-9 election with the Board on or before January 31, 1993, and
2483-10 paying to the System by January 31, 1994 an amount to be
2484-11 determined by the Board, equal to (i) the difference between
2485-12 the amount of employee and employer contributions transferred
2486-13 to the System under Section 7-139.7, and the amounts that
2487-14 would have been contributed had such contributions been made
2488-15 at the rates applicable to State policemen, plus (ii) interest
2489-16 thereon at the effective rate for each year, compounded
2490-17 annually, from the date of service to the date of payment.
2491-18 Subject to the limitation in subsection (i), a State
2492-19 policeman, conservation police officer, or investigator for
2493-20 the Secretary of State may elect to establish eligible
2494-21 creditable service for up to 5 years of service as a police
2495-22 officer under Article 3, a policeman under Article 5, a
2496-23 sheriff's law enforcement employee under Article 7, a member
2497-24 of the county police department under Article 9, or a police
2498-25 officer under Article 15 by filing a written election with the
2499-26 Board and paying to the System an amount to be determined by
2500-
2501-
2502-
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2506-
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2509- HB3765 Engrossed - 71 - LRB103 31021 RPS 57638 b
2510-1 the Board, equal to (i) the difference between the amount of
2511-2 employee and employer contributions transferred to the System
2512-3 under Section 3-110.6, 5-236, 7-139.8, 9-121.10, or 15-134.4
2513-4 and the amounts that would have been contributed had such
2514-5 contributions been made at the rates applicable to State
2515-6 policemen, plus (ii) interest thereon at the effective rate
2516-7 for each year, compounded annually, from the date of service
2517-8 to the date of payment.
2518-9 Subject to the limitation in subsection (i), an
2519-10 investigator for the Office of the Attorney General, or an
2520-11 investigator for the Department of Revenue, may elect to
2521-12 establish eligible creditable service for up to 5 years of
2522-13 service as a police officer under Article 3, a policeman under
2523-14 Article 5, a sheriff's law enforcement employee under Article
2524-15 7, or a member of the county police department under Article 9
2525-16 by filing a written election with the Board within 6 months
2526-17 after August 25, 2009 (the effective date of Public Act
2527-18 96-745) and paying to the System an amount to be determined by
2528-19 the Board, equal to (i) the difference between the amount of
2529-20 employee and employer contributions transferred to the System
2530-21 under Section 3-110.6, 5-236, 7-139.8, or 9-121.10 and the
2531-22 amounts that would have been contributed had such
2532-23 contributions been made at the rates applicable to State
2533-24 policemen, plus (ii) interest thereon at the actuarially
2534-25 assumed rate for each year, compounded annually, from the date
2535-26 of service to the date of payment.
2536-
2537-
2538-
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2542-
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2545- HB3765 Engrossed - 72 - LRB103 31021 RPS 57638 b
2546-1 Subject to the limitation in subsection (i), a State
2547-2 policeman, conservation police officer, investigator for the
2548-3 Office of the Attorney General, an investigator for the
2549-4 Department of Revenue, or investigator for the Secretary of
2550-5 State may elect to establish eligible creditable service for
2551-6 up to 5 years of service as a person employed by a
2552-7 participating municipality to perform police duties, or law
2553-8 enforcement officer employed on a full-time basis by a forest
2554-9 preserve district under Article 7, a county corrections
2555-10 officer, or a court services officer under Article 9, by
2556-11 filing a written election with the Board within 6 months after
2557-12 August 25, 2009 (the effective date of Public Act 96-745) and
2558-13 paying to the System an amount to be determined by the Board,
2559-14 equal to (i) the difference between the amount of employee and
2560-15 employer contributions transferred to the System under
2561-16 Sections 7-139.8 and 9-121.10 and the amounts that would have
2562-17 been contributed had such contributions been made at the rates
2563-18 applicable to State policemen, plus (ii) interest thereon at
2564-19 the actuarially assumed rate for each year, compounded
2565-20 annually, from the date of service to the date of payment.
2566-21 Subject to the limitation in subsection (i), a State
2567-22 policeman, arson investigator, or Commerce Commission police
2568-23 officer may elect to establish eligible creditable service for
2569-24 up to 5 years of service as a person employed by a
2570-25 participating municipality to perform police duties under
2571-26 Article 7, a county corrections officer, a court services
2572-
2573-
2574-
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2578-
2579-
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2581- HB3765 Engrossed - 73 - LRB103 31021 RPS 57638 b
2582-1 officer under Article 9, or a firefighter under Article 4 by
2583-2 filing a written election with the Board within 6 months after
2584-3 July 30, 2021 (the effective date of Public Act 102-210) and
2585-4 paying to the System an amount to be determined by the Board
2586-5 equal to (i) the difference between the amount of employee and
2587-6 employer contributions transferred to the System under
2588-7 Sections 4-108.8, 7-139.8, and 9-121.10 and the amounts that
2589-8 would have been contributed had such contributions been made
2590-9 at the rates applicable to State policemen, plus (ii) interest
2591-10 thereon at the actuarially assumed rate for each year,
2592-11 compounded annually, from the date of service to the date of
2593-12 payment.
2594-13 Subject to the limitation in subsection (i), a
2595-14 conservation police officer may elect to establish eligible
2596-15 creditable service for up to 5 years of service as a person
2597-16 employed by a participating municipality to perform police
2598-17 duties under Article 7, a county corrections officer, or a
2599-18 court services officer under Article 9 by filing a written
2600-19 election with the Board within 6 months after July 30, 2021
2601-20 (the effective date of Public Act 102-210) and paying to the
2602-21 System an amount to be determined by the Board equal to (i) the
2603-22 difference between the amount of employee and employer
2604-23 contributions transferred to the System under Sections 7-139.8
2605-24 and 9-121.10 and the amounts that would have been contributed
2606-25 had such contributions been made at the rates applicable to
2607-26 State policemen, plus (ii) interest thereon at the actuarially
2608-
2609-
2610-
2611-
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2614-
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2617- HB3765 Engrossed - 74 - LRB103 31021 RPS 57638 b
2618-1 assumed rate for each year, compounded annually, from the date
2619-2 of service to the date of payment.
2620-3 Notwithstanding the limitation in subsection (i), a State
2621-4 policeman or conservation police officer may elect to convert
2622-5 service credit earned under this Article to eligible
2623-6 creditable service, as defined by this Section, by filing a
2624-7 written election with the board within 6 months after July 30,
2625-8 2021 (the effective date of Public Act 102-210) and paying to
2626-9 the System an amount to be determined by the Board equal to (i)
2627-10 the difference between the amount of employee contributions
2628-11 originally paid for that service and the amounts that would
2629-12 have been contributed had such contributions been made at the
2630-13 rates applicable to State policemen, plus (ii) the difference
2631-14 between the employer's normal cost of the credit prior to the
2632-15 conversion authorized by Public Act 102-210 and the employer's
2633-16 normal cost of the credit converted in accordance with Public
2634-17 Act 102-210, plus (iii) interest thereon at the actuarially
2635-18 assumed rate for each year, compounded annually, from the date
2636-19 of service to the date of payment.
2637-20 (i) The total amount of eligible creditable service
2638-21 established by any person under subsections (g), (h), (j),
2639-22 (k), (l), (l-5), and (o) of this Section shall not exceed 12
2640-23 years.
2641-24 (j) Subject to the limitation in subsection (i), an
2642-25 investigator for the Office of the State's Attorneys Appellate
2643-26 Prosecutor or a controlled substance inspector may elect to
2644-
2645-
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2650-
2651-
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2653- HB3765 Engrossed - 75 - LRB103 31021 RPS 57638 b
2654-1 establish eligible creditable service for up to 10 years of
2655-2 his service as a policeman under Article 3 or a sheriff's law
2656-3 enforcement employee under Article 7, by filing a written
2657-4 election with the Board, accompanied by payment of an amount
2658-5 to be determined by the Board, equal to (1) the difference
2659-6 between the amount of employee and employer contributions
2660-7 transferred to the System under Section 3-110.6 or 7-139.8,
2661-8 and the amounts that would have been contributed had such
2662-9 contributions been made at the rates applicable to State
2663-10 policemen, plus (2) interest thereon at the effective rate for
2664-11 each year, compounded annually, from the date of service to
2665-12 the date of payment.
2666-13 (k) Subject to the limitation in subsection (i) of this
2667-14 Section, an alternative formula employee may elect to
2668-15 establish eligible creditable service for periods spent as a
2669-16 full-time law enforcement officer or full-time corrections
2670-17 officer employed by the federal government or by a state or
2671-18 local government located outside of Illinois, for which credit
2672-19 is not held in any other public employee pension fund or
2673-20 retirement system. To obtain this credit, the applicant must
2674-21 file a written application with the Board by March 31, 1998,
2675-22 accompanied by evidence of eligibility acceptable to the Board
2676-23 and payment of an amount to be determined by the Board, equal
2677-24 to (1) employee contributions for the credit being
2678-25 established, based upon the applicant's salary on the first
2679-26 day as an alternative formula employee after the employment
2680-
2681-
2682-
2683-
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2685- HB3765 Engrossed - 75 - LRB103 31021 RPS 57638 b
2686-
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2689- HB3765 Engrossed - 76 - LRB103 31021 RPS 57638 b
2690-1 for which credit is being established and the rates then
2691-2 applicable to alternative formula employees, plus (2) an
2692-3 amount determined by the Board to be the employer's normal
2693-4 cost of the benefits accrued for the credit being established,
2694-5 plus (3) regular interest on the amounts in items (1) and (2)
2695-6 from the first day as an alternative formula employee after
2696-7 the employment for which credit is being established to the
2697-8 date of payment.
2698-9 (l) Subject to the limitation in subsection (i), a
2699-10 security employee of the Department of Corrections may elect,
2700-11 not later than July 1, 1998, to establish eligible creditable
2701-12 service for up to 10 years of his or her service as a policeman
2702-13 under Article 3, by filing a written election with the Board,
2703-14 accompanied by payment of an amount to be determined by the
2704-15 Board, equal to (i) the difference between the amount of
2705-16 employee and employer contributions transferred to the System
2706-17 under Section 3-110.5, and the amounts that would have been
2707-18 contributed had such contributions been made at the rates
2708-19 applicable to security employees of the Department of
2709-20 Corrections, plus (ii) interest thereon at the effective rate
2710-21 for each year, compounded annually, from the date of service
2711-22 to the date of payment.
2712-23 (l-5) Subject to the limitation in subsection (i) of this
2713-24 Section, a State policeman may elect to establish eligible
2714-25 creditable service for up to 5 years of service as a full-time
2715-26 law enforcement officer employed by the federal government or
2716-
2717-
2718-
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2725- HB3765 Engrossed - 77 - LRB103 31021 RPS 57638 b
2726-1 by a state or local government located outside of Illinois for
2727-2 which credit is not held in any other public employee pension
2728-3 fund or retirement system. To obtain this credit, the
2729-4 applicant must file a written application with the Board no
2730-5 later than 3 years after January 1, 2020 (the effective date of
2731-6 Public Act 101-610), accompanied by evidence of eligibility
2732-7 acceptable to the Board and payment of an amount to be
2733-8 determined by the Board, equal to (1) employee contributions
2734-9 for the credit being established, based upon the applicant's
2735-10 salary on the first day as an alternative formula employee
2736-11 after the employment for which credit is being established and
2737-12 the rates then applicable to alternative formula employees,
2738-13 plus (2) an amount determined by the Board to be the employer's
2739-14 normal cost of the benefits accrued for the credit being
2740-15 established, plus (3) regular interest on the amounts in items
2741-16 (1) and (2) from the first day as an alternative formula
2742-17 employee after the employment for which credit is being
2743-18 established to the date of payment.
2744-19 (m) The amendatory changes to this Section made by Public
2745-20 Act 94-696 apply only to: (1) security employees of the
2746-21 Department of Juvenile Justice employed by the Department of
2747-22 Corrections before June 1, 2006 (the effective date of Public
2748-23 Act 94-696) and transferred to the Department of Juvenile
2749-24 Justice by Public Act 94-696; and (2) persons employed by the
2750-25 Department of Juvenile Justice on or after June 1, 2006 (the
2751-26 effective date of Public Act 94-696) who are required by
2752-
2753-
2754-
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2761- HB3765 Engrossed - 78 - LRB103 31021 RPS 57638 b
2762-1 subsection (b) of Section 3-2.5-15 of the Unified Code of
2763-2 Corrections to have any bachelor's or advanced degree from an
2764-3 accredited college or university or, in the case of persons
2765-4 who provide vocational training, who are required to have
2766-5 adequate knowledge in the skill for which they are providing
2767-6 the vocational training.
2768-7 Beginning with the pay period that immediately follows the
2769-8 effective date of this amendatory Act of the 103rd General
2770-9 Assembly, the bachelor's or advanced degree requirement of
2771-10 subsection (b) of Section 3-2.5-15 of the Unified Code of
2772-11 Corrections shall no longer determine the eligibility to earn
2773-12 eligible creditable service for a person employed by the
2774-13 Department of Juvenile Justice.
2775-14 An employee may elect to convert into eligible creditable
2776-15 service his or her creditable service earned with the
2777-16 Department of Juvenile Justice while employed in a position
2778-17 that required the employee to do any one or more of the
2779-18 following: (1) participate or assist in the rehabilitative and
2780-19 vocational training of delinquent youths; (2) supervise the
2781-20 daily activities and assume direct and continuing
2782-21 responsibility for the youth's security, welfare, and
2783-22 development; or (3) participate in the personal rehabilitation
2784-23 of delinquent youth by training, supervising, and assisting
2785-24 lower-level personnel. To convert that creditable service to
2786-25 eligible creditable service, the employee must pay to the
2787-26 System the difference between the employee contributions
2788-
2789-
2790-
2791-
2792-
2793- HB3765 Engrossed - 78 - LRB103 31021 RPS 57638 b
2794-
2795-
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2797- HB3765 Engrossed - 79 - LRB103 31021 RPS 57638 b
2798-1 actually paid for that service and the amounts that would have
2799-2 been contributed if the applicant were contributing at the
2800-3 rate applicable to persons with the same Social Security
2801-4 status earning eligible creditable service on the date of
2802-5 application.
2803-6 (n) A person employed in a position under subsection (b)
2804-7 of this Section who has purchased service credit under
2805-8 subsection (j) of Section 14-104 or subsection (b) of Section
2806-9 14-105 in any other capacity under this Article may convert up
2807-10 to 5 years of that service credit into service credit covered
2808-11 under this Section by paying to the Fund an amount equal to (1)
2809-12 the additional employee contribution required under Section
2810-13 14-133, plus (2) the additional employer contribution required
2811-14 under Section 14-131, plus (3) interest on items (1) and (2) at
2812-15 the actuarially assumed rate from the date of the service to
2813-16 the date of payment.
2814-17 (o) Subject to the limitation in subsection (i), a
2815-18 conservation police officer, investigator for the Secretary of
2816-19 State, Commerce Commission police officer, investigator for
2817-20 the Department of Revenue or the Illinois Gaming Board, or
2818-21 arson investigator subject to subsection (g) of Section 1-160
2819-22 may elect to convert up to 8 years of service credit
2820-23 established before January 1, 2020 (the effective date of
2821-24 Public Act 101-610) as a conservation police officer,
2822-25 investigator for the Secretary of State, Commerce Commission
2823-26 police officer, investigator for the Department of Revenue or
2824-
2825-
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2833- HB3765 Engrossed - 80 - LRB103 31021 RPS 57638 b
2834-1 the Illinois Gaming Board, or arson investigator under this
2835-2 Article into eligible creditable service by filing a written
2836-3 election with the Board no later than one year after January 1,
2837-4 2020 (the effective date of Public Act 101-610), accompanied
2838-5 by payment of an amount to be determined by the Board equal to
2839-6 (i) the difference between the amount of the employee
2840-7 contributions actually paid for that service and the amount of
2841-8 the employee contributions that would have been paid had the
2842-9 employee contributions been made as a noncovered employee
2843-10 serving in a position in which eligible creditable service, as
2844-11 defined in this Section, may be earned, plus (ii) interest
2845-12 thereon at the effective rate for each year, compounded
2846-13 annually, from the date of service to the date of payment.
2847-14 (Source: P.A. 102-210, eff. 7-30-21; 102-538, eff. 8-20-21;
2848-15 102-813, eff. 5-13-22; 103-34, eff. 1-1-24.)
2849-16 (Text of Section from P.A. 102-856 and 103-34)
2850-17 Sec. 14-110. Alternative retirement annuity.
2851-18 (a) Any member who has withdrawn from service with not
2852-19 less than 20 years of eligible creditable service and has
2853-20 attained age 55, and any member who has withdrawn from service
2854-21 with not less than 25 years of eligible creditable service and
2855-22 has attained age 50, regardless of whether the attainment of
2856-23 either of the specified ages occurs while the member is still
2857-24 in service, shall be entitled to receive at the option of the
2858-25 member, in lieu of the regular or minimum retirement annuity,
2859-
2860-
2861-
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2868- HB3765 Engrossed - 81 - LRB103 31021 RPS 57638 b
2869-1 a retirement annuity computed as follows:
2870-2 (i) for periods of service as a noncovered employee:
2871-3 if retirement occurs on or after January 1, 2001, 3% of
2872-4 final average compensation for each year of creditable
2873-5 service; if retirement occurs before January 1, 2001, 2
2874-6 1/4% of final average compensation for each of the first
2875-7 10 years of creditable service, 2 1/2% for each year above
2876-8 10 years to and including 20 years of creditable service,
2877-9 and 2 3/4% for each year of creditable service above 20
2878-10 years; and
2879-11 (ii) for periods of eligible creditable service as a
2880-12 covered employee: if retirement occurs on or after January
2881-13 1, 2001, 2.5% of final average compensation for each year
2882-14 of creditable service; if retirement occurs before January
2883-15 1, 2001, 1.67% of final average compensation for each of
2884-16 the first 10 years of such service, 1.90% for each of the
2885-17 next 10 years of such service, 2.10% for each year of such
2886-18 service in excess of 20 but not exceeding 30, and 2.30% for
2887-19 each year in excess of 30.
2888-20 Such annuity shall be subject to a maximum of 75% of final
2889-21 average compensation if retirement occurs before January 1,
2890-22 2001 or to a maximum of 80% of final average compensation if
2891-23 retirement occurs on or after January 1, 2001.
2892-24 These rates shall not be applicable to any service
2893-25 performed by a member as a covered employee which is not
2894-26 eligible creditable service. Service as a covered employee
2895-
2896-
2897-
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2905-1 which is not eligible creditable service shall be subject to
2906-2 the rates and provisions of Section 14-108.
2907-3 (b) For the purpose of this Section, "eligible creditable
2908-4 service" means creditable service resulting from service in
2909-5 one or more of the following positions:
2910-6 (1) State policeman;
2911-7 (2) fire fighter in the fire protection service of a
2912-8 department;
2913-9 (3) air pilot;
2914-10 (4) special agent;
2915-11 (5) investigator for the Secretary of State;
2916-12 (6) conservation police officer;
2917-13 (7) investigator for the Department of Revenue or the
2918-14 Illinois Gaming Board;
2919-15 (8) security employee of the Department of Human
2920-16 Services;
2921-17 (9) Central Management Services security police
2922-18 officer;
2923-19 (10) security employee of the Department of
2924-20 Corrections or the Department of Juvenile Justice;
2925-21 (11) dangerous drugs investigator;
2926-22 (12) investigator for the Illinois State Police;
2927-23 (13) investigator for the Office of the Attorney
2928-24 General;
2929-25 (14) controlled substance inspector;
2930-26 (15) investigator for the Office of the State's
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2941-1 Attorneys Appellate Prosecutor;
2942-2 (16) Commerce Commission police officer;
2943-3 (17) arson investigator;
2944-4 (18) State highway maintenance worker;
2945-5 (19) security employee of the Department of Innovation
2946-6 and Technology; or
2947-7 (20) transferred employee; or .
2948-8 (21) investigator for the Department of the Lottery.
2949-9 A person employed in one of the positions specified in
2950-10 this subsection is entitled to eligible creditable service for
2951-11 service credit earned under this Article while undergoing the
2952-12 basic police training course approved by the Illinois Law
2953-13 Enforcement Training Standards Board, if completion of that
2954-14 training is required of persons serving in that position. For
2955-15 the purposes of this Code, service during the required basic
2956-16 police training course shall be deemed performance of the
2957-17 duties of the specified position, even though the person is
2958-18 not a sworn peace officer at the time of the training.
2959-19 A person under paragraph (20) is entitled to eligible
2960-20 creditable service for service credit earned under this
2961-21 Article on and after his or her transfer by Executive Order No.
2962-22 2003-10, Executive Order No. 2004-2, or Executive Order No.
2963-23 2016-1.
2964-24 (c) For the purposes of this Section:
2965-25 (1) The term "State policeman" includes any title or
2966-26 position in the Illinois State Police that is held by an
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2977-1 individual employed under the Illinois State Police Act.
2978-2 (2) The term "fire fighter in the fire protection
2979-3 service of a department" includes all officers in such
2980-4 fire protection service including fire chiefs and
2981-5 assistant fire chiefs.
2982-6 (3) The term "air pilot" includes any employee whose
2983-7 official job description on file in the Department of
2984-8 Central Management Services, or in the department by which
2985-9 he is employed if that department is not covered by the
2986-10 Personnel Code, states that his principal duty is the
2987-11 operation of aircraft, and who possesses a pilot's
2988-12 license; however, the change in this definition made by
2989-13 Public Act 83-842 shall not operate to exclude any
2990-14 noncovered employee who was an "air pilot" for the
2991-15 purposes of this Section on January 1, 1984.
2992-16 (4) The term "special agent" means any person who by
2993-17 reason of employment by the Division of Narcotic Control,
2994-18 the Bureau of Investigation or, after July 1, 1977, the
2995-19 Division of Criminal Investigation, the Division of
2996-20 Internal Investigation, the Division of Operations, the
2997-21 Division of Patrol, or any other Division or
2998-22 organizational entity in the Illinois State Police is
2999-23 vested by law with duties to maintain public order,
3000-24 investigate violations of the criminal law of this State,
3001-25 enforce the laws of this State, make arrests and recover
3002-26 property. The term "special agent" includes any title or
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3013-1 position in the Illinois State Police that is held by an
3014-2 individual employed under the Illinois State Police Act.
3015-3 (5) The term "investigator for the Secretary of State"
3016-4 means any person employed by the Office of the Secretary
3017-5 of State and vested with such investigative duties as
3018-6 render him ineligible for coverage under the Social
3019-7 Security Act by reason of Sections 218(d)(5)(A),
3020-8 218(d)(8)(D) and 218(l)(1) of that Act.
3021-9 A person who became employed as an investigator for
3022-10 the Secretary of State between January 1, 1967 and
3023-11 December 31, 1975, and who has served as such until
3024-12 attainment of age 60, either continuously or with a single
3025-13 break in service of not more than 3 years duration, which
3026-14 break terminated before January 1, 1976, shall be entitled
3027-15 to have his retirement annuity calculated in accordance
3028-16 with subsection (a), notwithstanding that he has less than
3029-17 20 years of credit for such service.
3030-18 (6) The term "Conservation Police Officer" means any
3031-19 person employed by the Division of Law Enforcement of the
3032-20 Department of Natural Resources and vested with such law
3033-21 enforcement duties as render him ineligible for coverage
3034-22 under the Social Security Act by reason of Sections
3035-23 218(d)(5)(A), 218(d)(8)(D), and 218(l)(1) of that Act. The
3036-24 term "Conservation Police Officer" includes the positions
3037-25 of Chief Conservation Police Administrator and Assistant
3038-26 Conservation Police Administrator.
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3049-1 (7) The term "investigator for the Department of
3050-2 Revenue" means any person employed by the Department of
3051-3 Revenue and vested with such investigative duties as
3052-4 render him ineligible for coverage under the Social
3053-5 Security Act by reason of Sections 218(d)(5)(A),
3054-6 218(d)(8)(D) and 218(l)(1) of that Act.
3055-7 The term "investigator for the Illinois Gaming Board"
3056-8 means any person employed as such by the Illinois Gaming
3057-9 Board and vested with such peace officer duties as render
3058-10 the person ineligible for coverage under the Social
3059-11 Security Act by reason of Sections 218(d)(5)(A),
3060-12 218(d)(8)(D), and 218(l)(1) of that Act.
3061-13 (8) The term "security employee of the Department of
3062-14 Human Services" means any person employed by the
3063-15 Department of Human Services who (i) is employed at the
3064-16 Chester Mental Health Center and has daily contact with
3065-17 the residents thereof, (ii) is employed within a security
3066-18 unit at a facility operated by the Department and has
3067-19 daily contact with the residents of the security unit,
3068-20 (iii) is employed at a facility operated by the Department
3069-21 that includes a security unit and is regularly scheduled
3070-22 to work at least 50% of his or her working hours within
3071-23 that security unit, or (iv) is a mental health police
3072-24 officer. "Mental health police officer" means any person
3073-25 employed by the Department of Human Services in a position
3074-26 pertaining to the Department's mental health and
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3085-1 developmental disabilities functions who is vested with
3086-2 such law enforcement duties as render the person
3087-3 ineligible for coverage under the Social Security Act by
3088-4 reason of Sections 218(d)(5)(A), 218(d)(8)(D) and
3089-5 218(l)(1) of that Act. "Security unit" means that portion
3090-6 of a facility that is devoted to the care, containment,
3091-7 and treatment of persons committed to the Department of
3092-8 Human Services as sexually violent persons, persons unfit
3093-9 to stand trial, or persons not guilty by reason of
3094-10 insanity. With respect to past employment, references to
3095-11 the Department of Human Services include its predecessor,
3096-12 the Department of Mental Health and Developmental
3097-13 Disabilities.
3098-14 The changes made to this subdivision (c)(8) by Public
3099-15 Act 92-14 apply to persons who retire on or after January
3100-16 1, 2001, notwithstanding Section 1-103.1.
3101-17 (9) "Central Management Services security police
3102-18 officer" means any person employed by the Department of
3103-19 Central Management Services who is vested with such law
3104-20 enforcement duties as render him ineligible for coverage
3105-21 under the Social Security Act by reason of Sections
3106-22 218(d)(5)(A), 218(d)(8)(D) and 218(l)(1) of that Act.
3107-23 (10) For a member who first became an employee under
3108-24 this Article before July 1, 2005, the term "security
3109-25 employee of the Department of Corrections or the
3110-26 Department of Juvenile Justice" means any employee of the
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3121-1 Department of Corrections or the Department of Juvenile
3122-2 Justice or the former Department of Personnel, and any
3123-3 member or employee of the Prisoner Review Board, who has
3124-4 daily contact with inmates or youth by working within a
3125-5 correctional facility or Juvenile facility operated by the
3126-6 Department of Juvenile Justice or who is a parole officer
3127-7 or an employee who has direct contact with committed
3128-8 persons in the performance of his or her job duties. For a
3129-9 member who first becomes an employee under this Article on
3130-10 or after July 1, 2005, the term means an employee of the
3131-11 Department of Corrections or the Department of Juvenile
3132-12 Justice who is any of the following: (i) officially
3133-13 headquartered at a correctional facility or Juvenile
3134-14 facility operated by the Department of Juvenile Justice,
3135-15 (ii) a parole officer, (iii) a member of the apprehension
3136-16 unit, (iv) a member of the intelligence unit, (v) a member
3137-17 of the sort team, or (vi) an investigator.
3138-18 (11) The term "dangerous drugs investigator" means any
3139-19 person who is employed as such by the Department of Human
3140-20 Services.
3141-21 (12) The term "investigator for the Illinois State
3142-22 Police" means a person employed by the Illinois State
3143-23 Police who is vested under Section 4 of the Narcotic
3144-24 Control Division Abolition Act with such law enforcement
3145-25 powers as render him ineligible for coverage under the
3146-26 Social Security Act by reason of Sections 218(d)(5)(A),
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3157-1 218(d)(8)(D) and 218(l)(1) of that Act.
3158-2 (13) "Investigator for the Office of the Attorney
3159-3 General" means any person who is employed as such by the
3160-4 Office of the Attorney General and is vested with such
3161-5 investigative duties as render him ineligible for coverage
3162-6 under the Social Security Act by reason of Sections
3163-7 218(d)(5)(A), 218(d)(8)(D) and 218(l)(1) of that Act. For
3164-8 the period before January 1, 1989, the term includes all
3165-9 persons who were employed as investigators by the Office
3166-10 of the Attorney General, without regard to social security
3167-11 status.
3168-12 (14) "Controlled substance inspector" means any person
3169-13 who is employed as such by the Department of Professional
3170-14 Regulation and is vested with such law enforcement duties
3171-15 as render him ineligible for coverage under the Social
3172-16 Security Act by reason of Sections 218(d)(5)(A),
3173-17 218(d)(8)(D) and 218(l)(1) of that Act. The term
3174-18 "controlled substance inspector" includes the Program
3175-19 Executive of Enforcement and the Assistant Program
3176-20 Executive of Enforcement.
3177-21 (15) The term "investigator for the Office of the
3178-22 State's Attorneys Appellate Prosecutor" means a person
3179-23 employed in that capacity on a full-time basis under the
3180-24 authority of Section 7.06 of the State's Attorneys
3181-25 Appellate Prosecutor's Act.
3182-26 (16) "Commerce Commission police officer" means any
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3193-1 person employed by the Illinois Commerce Commission who is
3194-2 vested with such law enforcement duties as render him
3195-3 ineligible for coverage under the Social Security Act by
3196-4 reason of Sections 218(d)(5)(A), 218(d)(8)(D), and
3197-5 218(l)(1) of that Act.
3198-6 (17) "Arson investigator" means any person who is
3199-7 employed as such by the Office of the State Fire Marshal
3200-8 and is vested with such law enforcement duties as render
3201-9 the person ineligible for coverage under the Social
3202-10 Security Act by reason of Sections 218(d)(5)(A),
3203-11 218(d)(8)(D), and 218(l)(1) of that Act. A person who was
3204-12 employed as an arson investigator on January 1, 1995 and
3205-13 is no longer in service but not yet receiving a retirement
3206-14 annuity may convert his or her creditable service for
3207-15 employment as an arson investigator into eligible
3208-16 creditable service by paying to the System the difference
3209-17 between the employee contributions actually paid for that
3210-18 service and the amounts that would have been contributed
3211-19 if the applicant were contributing at the rate applicable
3212-20 to persons with the same social security status earning
3213-21 eligible creditable service on the date of application.
3214-22 (18) The term "State highway maintenance worker" means
3215-23 a person who is either of the following:
3216-24 (i) A person employed on a full-time basis by the
3217-25 Illinois Department of Transportation in the position
3218-26 of highway maintainer, highway maintenance lead
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3229-1 worker, highway maintenance lead/lead worker, heavy
3230-2 construction equipment operator, power shovel
3231-3 operator, or bridge mechanic; and whose principal
3232-4 responsibility is to perform, on the roadway, the
3233-5 actual maintenance necessary to keep the highways that
3234-6 form a part of the State highway system in serviceable
3235-7 condition for vehicular traffic.
3236-8 (ii) A person employed on a full-time basis by the
3237-9 Illinois State Toll Highway Authority in the position
3238-10 of equipment operator/laborer H-4, equipment
3239-11 operator/laborer H-6, welder H-4, welder H-6,
3240-12 mechanical/electrical H-4, mechanical/electrical H-6,
3241-13 water/sewer H-4, water/sewer H-6, sign maker/hanger
3242-14 H-4, sign maker/hanger H-6, roadway lighting H-4,
3243-15 roadway lighting H-6, structural H-4, structural H-6,
3244-16 painter H-4, or painter H-6; and whose principal
3245-17 responsibility is to perform, on the roadway, the
3246-18 actual maintenance necessary to keep the Authority's
3247-19 tollways in serviceable condition for vehicular
3248-20 traffic.
3249-21 (19) The term "security employee of the Department of
3250-22 Innovation and Technology" means a person who was a
3251-23 security employee of the Department of Corrections or the
3252-24 Department of Juvenile Justice, was transferred to the
3253-25 Department of Innovation and Technology pursuant to
3254-26 Executive Order 2016-01, and continues to perform similar
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3265-1 job functions under that Department.
3266-2 (20) "Transferred employee" means an employee who was
3267-3 transferred to the Department of Central Management
3268-4 Services by Executive Order No. 2003-10 or Executive Order
3269-5 No. 2004-2 or transferred to the Department of Innovation
3270-6 and Technology by Executive Order No. 2016-1, or both, and
3271-7 was entitled to eligible creditable service for services
3272-8 immediately preceding the transfer.
3273-9 (21) "Investigator for the Department of the Lottery"
3274-10 means any person who is employed by the Department of the
3275-11 Lottery and is vested with such investigative duties which
3276-12 render him or her ineligible for coverage under the Social
3277-13 Security Act by reason of Sections 218(d)(5)(A),
3278-14 218(d)(8)(D), and 218(l)(1) of that Act. An investigator
3279-15 for the Department of the Lottery who qualifies under this
3280-16 Section shall earn eligible creditable service and be
3281-17 required to make contributions at the rate specified in
3282-18 paragraph (3) of subsection (a) of Section 14-133 for all
3283-19 periods of service as an investigator for the Department
3284-20 of the Lottery.
3285-21 (d) A security employee of the Department of Corrections
3286-22 or the Department of Juvenile Justice, a security employee of
3287-23 the Department of Human Services who is not a mental health
3288-24 police officer, and a security employee of the Department of
3289-25 Innovation and Technology shall not be eligible for the
3290-26 alternative retirement annuity provided by this Section unless
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3301-1 he or she meets the following minimum age and service
3302-2 requirements at the time of retirement:
3303-3 (i) 25 years of eligible creditable service and age
3304-4 55; or
3305-5 (ii) beginning January 1, 1987, 25 years of eligible
3306-6 creditable service and age 54, or 24 years of eligible
3307-7 creditable service and age 55; or
3308-8 (iii) beginning January 1, 1988, 25 years of eligible
3309-9 creditable service and age 53, or 23 years of eligible
3310-10 creditable service and age 55; or
3311-11 (iv) beginning January 1, 1989, 25 years of eligible
3312-12 creditable service and age 52, or 22 years of eligible
3313-13 creditable service and age 55; or
3314-14 (v) beginning January 1, 1990, 25 years of eligible
3315-15 creditable service and age 51, or 21 years of eligible
3316-16 creditable service and age 55; or
3317-17 (vi) beginning January 1, 1991, 25 years of eligible
3318-18 creditable service and age 50, or 20 years of eligible
3319-19 creditable service and age 55.
3320-20 Persons who have service credit under Article 16 of this
3321-21 Code for service as a security employee of the Department of
3322-22 Corrections or the Department of Juvenile Justice, or the
3323-23 Department of Human Services in a position requiring
3324-24 certification as a teacher may count such service toward
3325-25 establishing their eligibility under the service requirements
3326-26 of this Section; but such service may be used only for
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3337-1 establishing such eligibility, and not for the purpose of
3338-2 increasing or calculating any benefit.
3339-3 (e) If a member enters military service while working in a
3340-4 position in which eligible creditable service may be earned,
3341-5 and returns to State service in the same or another such
3342-6 position, and fulfills in all other respects the conditions
3343-7 prescribed in this Article for credit for military service,
3344-8 such military service shall be credited as eligible creditable
3345-9 service for the purposes of the retirement annuity prescribed
3346-10 in this Section.
3347-11 (f) For purposes of calculating retirement annuities under
3348-12 this Section, periods of service rendered after December 31,
3349-13 1968 and before October 1, 1975 as a covered employee in the
3350-14 position of special agent, conservation police officer, mental
3351-15 health police officer, or investigator for the Secretary of
3352-16 State, shall be deemed to have been service as a noncovered
3353-17 employee, provided that the employee pays to the System prior
3354-18 to retirement an amount equal to (1) the difference between
3355-19 the employee contributions that would have been required for
3356-20 such service as a noncovered employee, and the amount of
3357-21 employee contributions actually paid, plus (2) if payment is
3358-22 made after July 31, 1987, regular interest on the amount
3359-23 specified in item (1) from the date of service to the date of
3360-24 payment.
3361-25 For purposes of calculating retirement annuities under
3362-26 this Section, periods of service rendered after December 31,
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3373-1 1968 and before January 1, 1982 as a covered employee in the
3374-2 position of investigator for the Department of Revenue shall
3375-3 be deemed to have been service as a noncovered employee,
3376-4 provided that the employee pays to the System prior to
3377-5 retirement an amount equal to (1) the difference between the
3378-6 employee contributions that would have been required for such
3379-7 service as a noncovered employee, and the amount of employee
3380-8 contributions actually paid, plus (2) if payment is made after
3381-9 January 1, 1990, regular interest on the amount specified in
3382-10 item (1) from the date of service to the date of payment.
3383-11 (g) A State policeman may elect, not later than January 1,
3384-12 1990, to establish eligible creditable service for up to 10
3385-13 years of his service as a policeman under Article 3, by filing
3386-14 a written election with the Board, accompanied by payment of
3387-15 an amount to be determined by the Board, equal to (i) the
3388-16 difference between the amount of employee and employer
3389-17 contributions transferred to the System under Section 3-110.5,
3390-18 and the amounts that would have been contributed had such
3391-19 contributions been made at the rates applicable to State
3392-20 policemen, plus (ii) interest thereon at the effective rate
3393-21 for each year, compounded annually, from the date of service
3394-22 to the date of payment.
3395-23 Subject to the limitation in subsection (i), a State
3396-24 policeman may elect, not later than July 1, 1993, to establish
3397-25 eligible creditable service for up to 10 years of his service
3398-26 as a member of the County Police Department under Article 9, by
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3409-1 filing a written election with the Board, accompanied by
3410-2 payment of an amount to be determined by the Board, equal to
3411-3 (i) the difference between the amount of employee and employer
3412-4 contributions transferred to the System under Section 9-121.10
3413-5 and the amounts that would have been contributed had those
3414-6 contributions been made at the rates applicable to State
3415-7 policemen, plus (ii) interest thereon at the effective rate
3416-8 for each year, compounded annually, from the date of service
3417-9 to the date of payment.
3418-10 (h) Subject to the limitation in subsection (i), a State
3419-11 policeman or investigator for the Secretary of State may elect
3420-12 to establish eligible creditable service for up to 12 years of
3421-13 his service as a policeman under Article 5, by filing a written
3422-14 election with the Board on or before January 31, 1992, and
3423-15 paying to the System by January 31, 1994 an amount to be
3424-16 determined by the Board, equal to (i) the difference between
3425-17 the amount of employee and employer contributions transferred
3426-18 to the System under Section 5-236, and the amounts that would
3427-19 have been contributed had such contributions been made at the
3428-20 rates applicable to State policemen, plus (ii) interest
3429-21 thereon at the effective rate for each year, compounded
3430-22 annually, from the date of service to the date of payment.
3431-23 Subject to the limitation in subsection (i), a State
3432-24 policeman, conservation police officer, or investigator for
3433-25 the Secretary of State may elect to establish eligible
3434-26 creditable service for up to 10 years of service as a sheriff's
3435-
3436-
3437-
3438-
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3444- HB3765 Engrossed - 97 - LRB103 31021 RPS 57638 b
3445-1 law enforcement employee under Article 7, by filing a written
3446-2 election with the Board on or before January 31, 1993, and
3447-3 paying to the System by January 31, 1994 an amount to be
3448-4 determined by the Board, equal to (i) the difference between
3449-5 the amount of employee and employer contributions transferred
3450-6 to the System under Section 7-139.7, and the amounts that
3451-7 would have been contributed had such contributions been made
3452-8 at the rates applicable to State policemen, plus (ii) interest
3453-9 thereon at the effective rate for each year, compounded
3454-10 annually, from the date of service to the date of payment.
3455-11 Subject to the limitation in subsection (i), a State
3456-12 policeman, conservation police officer, or investigator for
3457-13 the Secretary of State may elect to establish eligible
3458-14 creditable service for up to 5 years of service as a police
3459-15 officer under Article 3, a policeman under Article 5, a
3460-16 sheriff's law enforcement employee under Article 7, a member
3461-17 of the county police department under Article 9, or a police
3462-18 officer under Article 15 by filing a written election with the
3463-19 Board and paying to the System an amount to be determined by
3464-20 the Board, equal to (i) the difference between the amount of
3465-21 employee and employer contributions transferred to the System
3466-22 under Section 3-110.6, 5-236, 7-139.8, 9-121.10, or 15-134.4
3467-23 and the amounts that would have been contributed had such
3468-24 contributions been made at the rates applicable to State
3469-25 policemen, plus (ii) interest thereon at the effective rate
3470-26 for each year, compounded annually, from the date of service
3471-
3472-
3473-
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3480- HB3765 Engrossed - 98 - LRB103 31021 RPS 57638 b
3481-1 to the date of payment.
3482-2 Subject to the limitation in subsection (i), an
3483-3 investigator for the Office of the Attorney General, or an
3484-4 investigator for the Department of Revenue, may elect to
3485-5 establish eligible creditable service for up to 5 years of
3486-6 service as a police officer under Article 3, a policeman under
3487-7 Article 5, a sheriff's law enforcement employee under Article
3488-8 7, or a member of the county police department under Article 9
3489-9 by filing a written election with the Board within 6 months
3490-10 after August 25, 2009 (the effective date of Public Act
3491-11 96-745) and paying to the System an amount to be determined by
3492-12 the Board, equal to (i) the difference between the amount of
3493-13 employee and employer contributions transferred to the System
3494-14 under Section 3-110.6, 5-236, 7-139.8, or 9-121.10 and the
3495-15 amounts that would have been contributed had such
3496-16 contributions been made at the rates applicable to State
3497-17 policemen, plus (ii) interest thereon at the actuarially
3498-18 assumed rate for each year, compounded annually, from the date
3499-19 of service to the date of payment.
3500-20 Subject to the limitation in subsection (i), a State
3501-21 policeman, conservation police officer, investigator for the
3502-22 Office of the Attorney General, an investigator for the
3503-23 Department of Revenue, or investigator for the Secretary of
3504-24 State may elect to establish eligible creditable service for
3505-25 up to 5 years of service as a person employed by a
3506-26 participating municipality to perform police duties, or law
3507-
3508-
3509-
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3517-1 enforcement officer employed on a full-time basis by a forest
3518-2 preserve district under Article 7, a county corrections
3519-3 officer, or a court services officer under Article 9, by
3520-4 filing a written election with the Board within 6 months after
3521-5 August 25, 2009 (the effective date of Public Act 96-745) and
3522-6 paying to the System an amount to be determined by the Board,
3523-7 equal to (i) the difference between the amount of employee and
3524-8 employer contributions transferred to the System under
3525-9 Sections 7-139.8 and 9-121.10 and the amounts that would have
3526-10 been contributed had such contributions been made at the rates
3527-11 applicable to State policemen, plus (ii) interest thereon at
3528-12 the actuarially assumed rate for each year, compounded
3529-13 annually, from the date of service to the date of payment.
3530-14 Subject to the limitation in subsection (i), a State
3531-15 policeman, arson investigator, or Commerce Commission police
3532-16 officer may elect to establish eligible creditable service for
3533-17 up to 5 years of service as a person employed by a
3534-18 participating municipality to perform police duties under
3535-19 Article 7, a county corrections officer, a court services
3536-20 officer under Article 9, or a firefighter under Article 4 by
3537-21 filing a written election with the Board within 6 months after
3538-22 July 30, 2021 (the effective date of Public Act 102-210) and
3539-23 paying to the System an amount to be determined by the Board
3540-24 equal to (i) the difference between the amount of employee and
3541-25 employer contributions transferred to the System under
3542-26 Sections 4-108.8, 7-139.8, and 9-121.10 and the amounts that
3543-
3544-
3545-
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3549-
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3552- HB3765 Engrossed - 100 - LRB103 31021 RPS 57638 b
3553-1 would have been contributed had such contributions been made
3554-2 at the rates applicable to State policemen, plus (ii) interest
3555-3 thereon at the actuarially assumed rate for each year,
3556-4 compounded annually, from the date of service to the date of
3557-5 payment.
3558-6 Subject to the limitation in subsection (i), a
3559-7 conservation police officer may elect to establish eligible
3560-8 creditable service for up to 5 years of service as a person
3561-9 employed by a participating municipality to perform police
3562-10 duties under Article 7, a county corrections officer, or a
3563-11 court services officer under Article 9 by filing a written
3564-12 election with the Board within 6 months after July 30, 2021
3565-13 (the effective date of Public Act 102-210) and paying to the
3566-14 System an amount to be determined by the Board equal to (i) the
3567-15 difference between the amount of employee and employer
3568-16 contributions transferred to the System under Sections 7-139.8
3569-17 and 9-121.10 and the amounts that would have been contributed
3570-18 had such contributions been made at the rates applicable to
3571-19 State policemen, plus (ii) interest thereon at the actuarially
3572-20 assumed rate for each year, compounded annually, from the date
3573-21 of service to the date of payment.
3574-22 Subject to the limitation in subsection (i), an
3575-23 investigator for the Department of Revenue, investigator for
3576-24 the Illinois Gaming Board, investigator for the Secretary of
3577-25 State, or arson investigator may elect to establish eligible
3578-26 creditable service for up to 5 years of service as a person
3579-
3580-
3581-
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3588- HB3765 Engrossed - 101 - LRB103 31021 RPS 57638 b
3589-1 employed by a participating municipality to perform police
3590-2 duties under Article 7, a county corrections officer, a court
3591-3 services officer under Article 9, or a firefighter under
3592-4 Article 4 by filing a written election with the Board within 6
3593-5 months after the effective date of this amendatory Act of the
3594-6 102nd General Assembly and paying to the System an amount to be
3595-7 determined by the Board equal to (i) the difference between
3596-8 the amount of employee and employer contributions transferred
3597-9 to the System under Sections 4-108.8, 7-139.8, and 9-121.10
3598-10 and the amounts that would have been contributed had such
3599-11 contributions been made at the rates applicable to State
3600-12 policemen, plus (ii) interest thereon at the actuarially
3601-13 assumed rate for each year, compounded annually, from the date
3602-14 of service to the date of payment.
3603-15 Notwithstanding the limitation in subsection (i), a State
3604-16 policeman or conservation police officer may elect to convert
3605-17 service credit earned under this Article to eligible
3606-18 creditable service, as defined by this Section, by filing a
3607-19 written election with the board within 6 months after July 30,
3608-20 2021 (the effective date of Public Act 102-210) and paying to
3609-21 the System an amount to be determined by the Board equal to (i)
3610-22 the difference between the amount of employee contributions
3611-23 originally paid for that service and the amounts that would
3612-24 have been contributed had such contributions been made at the
3613-25 rates applicable to State policemen, plus (ii) the difference
3614-26 between the employer's normal cost of the credit prior to the
3615-
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3624- HB3765 Engrossed - 102 - LRB103 31021 RPS 57638 b
3625-1 conversion authorized by Public Act 102-210 and the employer's
3626-2 normal cost of the credit converted in accordance with Public
3627-3 Act 102-210, plus (iii) interest thereon at the actuarially
3628-4 assumed rate for each year, compounded annually, from the date
3629-5 of service to the date of payment.
3630-6 Notwithstanding the limitation in subsection (i), an
3631-7 investigator for the Department of Revenue, investigator for
3632-8 the Illinois Gaming Board, investigator for the Secretary of
3633-9 State, or arson investigator may elect to convert service
3634-10 credit earned under this Article to eligible creditable
3635-11 service, as defined by this Section, by filing a written
3636-12 election with the Board within 6 months after the effective
3637-13 date of this amendatory Act of the 102nd General Assembly and
3638-14 paying to the System an amount to be determined by the Board
3639-15 equal to (i) the difference between the amount of employee
3640-16 contributions originally paid for that service and the amounts
3641-17 that would have been contributed had such contributions been
3642-18 made at the rates applicable to investigators for the
3643-19 Department of Revenue, investigators for the Illinois Gaming
3644-20 Board, investigators for the Secretary of State, or arson
3645-21 investigators, plus (ii) the difference between the employer's
3646-22 normal cost of the credit prior to the conversion authorized
3647-23 by this amendatory Act of the 102nd General Assembly and the
3648-24 employer's normal cost of the credit converted in accordance
3649-25 with this amendatory Act of the 102nd General Assembly, plus
3650-26 (iii) interest thereon at the actuarially assumed rate for
3651-
3652-
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3657-
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3660- HB3765 Engrossed - 103 - LRB103 31021 RPS 57638 b
3661-1 each year, compounded annually, from the date of service to
3662-2 the date of payment.
3663-3 (i) The total amount of eligible creditable service
3664-4 established by any person under subsections (g), (h), (j),
3665-5 (k), (l), (l-5), and (o) of this Section shall not exceed 12
3666-6 years.
3667-7 (j) Subject to the limitation in subsection (i), an
3668-8 investigator for the Office of the State's Attorneys Appellate
3669-9 Prosecutor or a controlled substance inspector may elect to
3670-10 establish eligible creditable service for up to 10 years of
3671-11 his service as a policeman under Article 3 or a sheriff's law
3672-12 enforcement employee under Article 7, by filing a written
3673-13 election with the Board, accompanied by payment of an amount
3674-14 to be determined by the Board, equal to (1) the difference
3675-15 between the amount of employee and employer contributions
3676-16 transferred to the System under Section 3-110.6 or 7-139.8,
3677-17 and the amounts that would have been contributed had such
3678-18 contributions been made at the rates applicable to State
3679-19 policemen, plus (2) interest thereon at the effective rate for
3680-20 each year, compounded annually, from the date of service to
3681-21 the date of payment.
3682-22 (k) Subject to the limitation in subsection (i) of this
3683-23 Section, an alternative formula employee may elect to
3684-24 establish eligible creditable service for periods spent as a
3685-25 full-time law enforcement officer or full-time corrections
3686-26 officer employed by the federal government or by a state or
3687-
3688-
3689-
3690-
3691-
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3693-
3694-
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3696- HB3765 Engrossed - 104 - LRB103 31021 RPS 57638 b
3697-1 local government located outside of Illinois, for which credit
3698-2 is not held in any other public employee pension fund or
3699-3 retirement system. To obtain this credit, the applicant must
3700-4 file a written application with the Board by March 31, 1998,
3701-5 accompanied by evidence of eligibility acceptable to the Board
3702-6 and payment of an amount to be determined by the Board, equal
3703-7 to (1) employee contributions for the credit being
3704-8 established, based upon the applicant's salary on the first
3705-9 day as an alternative formula employee after the employment
3706-10 for which credit is being established and the rates then
3707-11 applicable to alternative formula employees, plus (2) an
3708-12 amount determined by the Board to be the employer's normal
3709-13 cost of the benefits accrued for the credit being established,
3710-14 plus (3) regular interest on the amounts in items (1) and (2)
3711-15 from the first day as an alternative formula employee after
3712-16 the employment for which credit is being established to the
3713-17 date of payment.
3714-18 (l) Subject to the limitation in subsection (i), a
3715-19 security employee of the Department of Corrections may elect,
3716-20 not later than July 1, 1998, to establish eligible creditable
3717-21 service for up to 10 years of his or her service as a policeman
3718-22 under Article 3, by filing a written election with the Board,
3719-23 accompanied by payment of an amount to be determined by the
3720-24 Board, equal to (i) the difference between the amount of
3721-25 employee and employer contributions transferred to the System
3722-26 under Section 3-110.5, and the amounts that would have been
3723-
3724-
3725-
3726-
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3732- HB3765 Engrossed - 105 - LRB103 31021 RPS 57638 b
3733-1 contributed had such contributions been made at the rates
3734-2 applicable to security employees of the Department of
3735-3 Corrections, plus (ii) interest thereon at the effective rate
3736-4 for each year, compounded annually, from the date of service
3737-5 to the date of payment.
3738-6 (l-5) Subject to the limitation in subsection (i) of this
3739-7 Section, a State policeman may elect to establish eligible
3740-8 creditable service for up to 5 years of service as a full-time
3741-9 law enforcement officer employed by the federal government or
3742-10 by a state or local government located outside of Illinois for
3743-11 which credit is not held in any other public employee pension
3744-12 fund or retirement system. To obtain this credit, the
3745-13 applicant must file a written application with the Board no
3746-14 later than 3 years after January 1, 2020 (the effective date of
3747-15 Public Act 101-610), accompanied by evidence of eligibility
3748-16 acceptable to the Board and payment of an amount to be
3749-17 determined by the Board, equal to (1) employee contributions
3750-18 for the credit being established, based upon the applicant's
3751-19 salary on the first day as an alternative formula employee
3752-20 after the employment for which credit is being established and
3753-21 the rates then applicable to alternative formula employees,
3754-22 plus (2) an amount determined by the Board to be the employer's
3755-23 normal cost of the benefits accrued for the credit being
3756-24 established, plus (3) regular interest on the amounts in items
3757-25 (1) and (2) from the first day as an alternative formula
3758-26 employee after the employment for which credit is being
3759-
3760-
3761-
3762-
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3769-1 established to the date of payment.
3770-2 (m) The amendatory changes to this Section made by Public
3771-3 Act 94-696 apply only to: (1) security employees of the
3772-4 Department of Juvenile Justice employed by the Department of
3773-5 Corrections before June 1, 2006 (the effective date of Public
3774-6 Act 94-696) and transferred to the Department of Juvenile
3775-7 Justice by Public Act 94-696; and (2) persons employed by the
3776-8 Department of Juvenile Justice on or after June 1, 2006 (the
3777-9 effective date of Public Act 94-696) who are required by
3778-10 subsection (b) of Section 3-2.5-15 of the Unified Code of
3779-11 Corrections to have any bachelor's or advanced degree from an
3780-12 accredited college or university or, in the case of persons
3781-13 who provide vocational training, who are required to have
3782-14 adequate knowledge in the skill for which they are providing
3783-15 the vocational training.
3784-16 Beginning with the pay period that immediately follows the
3785-17 effective date of this amendatory Act of the 103rd General
3786-18 Assembly, the bachelor's or advanced degree requirement of
3787-19 subsection (b) of Section 3-2.5-15 of the Unified Code of
3788-20 Corrections shall no longer determine the eligibility to earn
3789-21 eligible creditable service for a person employed by the
3790-22 Department of Juvenile Justice.
3791-23 An employee may elect to convert into eligible creditable
3792-24 service his or her creditable service earned with the
3793-25 Department of Juvenile Justice while employed in a position
3794-26 that required the employee to do any one or more of the
3795-
3796-
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3805-1 following: (1) participate or assist in the rehabilitative and
3806-2 vocational training of delinquent youths; (2) supervise the
3807-3 daily activities and assume direct and continuing
3808-4 responsibility for the youth's security, welfare, and
3809-5 development; or (3) participate in the personal rehabilitation
3810-6 of delinquent youth by training, supervising, and assisting
3811-7 lower-level personnel. To convert that creditable service to
3812-8 eligible creditable service, the employee must pay to the
3813-9 System the difference between the employee contributions
3814-10 actually paid for that service and the amounts that would have
3815-11 been contributed if the applicant were contributing at the
3816-12 rate applicable to persons with the same Social Security
3817-13 status earning eligible creditable service on the date of
3818-14 application.
3819-15 (n) A person employed in a position under subsection (b)
3820-16 of this Section who has purchased service credit under
3821-17 subsection (j) of Section 14-104 or subsection (b) of Section
3822-18 14-105 in any other capacity under this Article may convert up
3823-19 to 5 years of that service credit into service credit covered
3824-20 under this Section by paying to the Fund an amount equal to (1)
3825-21 the additional employee contribution required under Section
3826-22 14-133, plus (2) the additional employer contribution required
3827-23 under Section 14-131, plus (3) interest on items (1) and (2) at
3828-24 the actuarially assumed rate from the date of the service to
3829-25 the date of payment.
3830-26 (o) Subject to the limitation in subsection (i), a
3831-
3832-
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3840- HB3765 Engrossed - 108 - LRB103 31021 RPS 57638 b
3841-1 conservation police officer, investigator for the Secretary of
3842-2 State, Commerce Commission police officer, investigator for
3843-3 the Department of Revenue or the Illinois Gaming Board, or
3844-4 arson investigator subject to subsection (g) of Section 1-160
3845-5 may elect to convert up to 8 years of service credit
3846-6 established before January 1, 2020 (the effective date of
3847-7 Public Act 101-610) as a conservation police officer,
3848-8 investigator for the Secretary of State, Commerce Commission
3849-9 police officer, investigator for the Department of Revenue or
3850-10 the Illinois Gaming Board, or arson investigator under this
3851-11 Article into eligible creditable service by filing a written
3852-12 election with the Board no later than one year after January 1,
3853-13 2020 (the effective date of Public Act 101-610), accompanied
3854-14 by payment of an amount to be determined by the Board equal to
3855-15 (i) the difference between the amount of the employee
3856-16 contributions actually paid for that service and the amount of
3857-17 the employee contributions that would have been paid had the
3858-18 employee contributions been made as a noncovered employee
3859-19 serving in a position in which eligible creditable service, as
3860-20 defined in this Section, may be earned, plus (ii) interest
3861-21 thereon at the effective rate for each year, compounded
3862-22 annually, from the date of service to the date of payment.
3863-23 (Source: P.A. 102-210, eff. 7-30-21; 102-538, eff. 8-20-21;
3864-24 102-856, eff. 1-1-23; 103-34, eff. 1-1-24.)
3865-25 (Text of Section from P.A. 102-956 and 103-34)
3866-
3867-
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3876-1 Sec. 14-110. Alternative retirement annuity.
3877-2 (a) Any member who has withdrawn from service with not
3878-3 less than 20 years of eligible creditable service and has
3879-4 attained age 55, and any member who has withdrawn from service
3880-5 with not less than 25 years of eligible creditable service and
3881-6 has attained age 50, regardless of whether the attainment of
3882-7 either of the specified ages occurs while the member is still
3883-8 in service, shall be entitled to receive at the option of the
3884-9 member, in lieu of the regular or minimum retirement annuity,
3885-10 a retirement annuity computed as follows:
3886-11 (i) for periods of service as a noncovered employee:
3887-12 if retirement occurs on or after January 1, 2001, 3% of
3888-13 final average compensation for each year of creditable
3889-14 service; if retirement occurs before January 1, 2001, 2
3890-15 1/4% of final average compensation for each of the first
3891-16 10 years of creditable service, 2 1/2% for each year above
3892-17 10 years to and including 20 years of creditable service,
3893-18 and 2 3/4% for each year of creditable service above 20
3894-19 years; and
3895-20 (ii) for periods of eligible creditable service as a
3896-21 covered employee: if retirement occurs on or after January
3897-22 1, 2001, 2.5% of final average compensation for each year
3898-23 of creditable service; if retirement occurs before January
3899-24 1, 2001, 1.67% of final average compensation for each of
3900-25 the first 10 years of such service, 1.90% for each of the
3901-26 next 10 years of such service, 2.10% for each year of such
3902-
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3912-1 service in excess of 20 but not exceeding 30, and 2.30% for
3913-2 each year in excess of 30.
3914-3 Such annuity shall be subject to a maximum of 75% of final
3915-4 average compensation if retirement occurs before January 1,
3916-5 2001 or to a maximum of 80% of final average compensation if
3917-6 retirement occurs on or after January 1, 2001.
3918-7 These rates shall not be applicable to any service
3919-8 performed by a member as a covered employee which is not
3920-9 eligible creditable service. Service as a covered employee
3921-10 which is not eligible creditable service shall be subject to
3922-11 the rates and provisions of Section 14-108.
3923-12 (b) For the purpose of this Section, "eligible creditable
3924-13 service" means creditable service resulting from service in
3925-14 one or more of the following positions:
3926-15 (1) State policeman;
3927-16 (2) fire fighter in the fire protection service of a
3928-17 department;
3929-18 (3) air pilot;
3930-19 (4) special agent;
3931-20 (5) investigator for the Secretary of State;
3932-21 (6) conservation police officer;
3933-22 (7) investigator for the Department of Revenue or the
3934-23 Illinois Gaming Board;
3935-24 (8) security employee of the Department of Human
3936-25 Services;
3937-26 (9) Central Management Services security police
3938-
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3948-1 officer;
3949-2 (10) security employee of the Department of
3950-3 Corrections or the Department of Juvenile Justice;
3951-4 (11) dangerous drugs investigator;
3952-5 (12) investigator for the Illinois State Police;
3953-6 (13) investigator for the Office of the Attorney
3954-7 General;
3955-8 (14) controlled substance inspector;
3956-9 (15) investigator for the Office of the State's
3957-10 Attorneys Appellate Prosecutor;
3958-11 (16) Commerce Commission police officer;
3959-12 (17) arson investigator;
3960-13 (18) State highway maintenance worker;
3961-14 (19) security employee of the Department of Innovation
3962-15 and Technology; or
3963-16 (20) transferred employee; or .
3964-17 (21) investigator for the Department of the Lottery.
3965-18 A person employed in one of the positions specified in
3966-19 this subsection is entitled to eligible creditable service for
3967-20 service credit earned under this Article while undergoing the
3968-21 basic police training course approved by the Illinois Law
3969-22 Enforcement Training Standards Board, if completion of that
3970-23 training is required of persons serving in that position. For
3971-24 the purposes of this Code, service during the required basic
3972-25 police training course shall be deemed performance of the
3973-26 duties of the specified position, even though the person is
3974-
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3984-1 not a sworn peace officer at the time of the training.
3985-2 A person under paragraph (20) is entitled to eligible
3986-3 creditable service for service credit earned under this
3987-4 Article on and after his or her transfer by Executive Order No.
3988-5 2003-10, Executive Order No. 2004-2, or Executive Order No.
3989-6 2016-1.
3990-7 (c) For the purposes of this Section:
3991-8 (1) The term "State policeman" includes any title or
3992-9 position in the Illinois State Police that is held by an
3993-10 individual employed under the Illinois State Police Act.
3994-11 (2) The term "fire fighter in the fire protection
3995-12 service of a department" includes all officers in such
3996-13 fire protection service including fire chiefs and
3997-14 assistant fire chiefs.
3998-15 (3) The term "air pilot" includes any employee whose
3999-16 official job description on file in the Department of
4000-17 Central Management Services, or in the department by which
4001-18 he is employed if that department is not covered by the
4002-19 Personnel Code, states that his principal duty is the
4003-20 operation of aircraft, and who possesses a pilot's
4004-21 license; however, the change in this definition made by
4005-22 Public Act 83-842 shall not operate to exclude any
4006-23 noncovered employee who was an "air pilot" for the
4007-24 purposes of this Section on January 1, 1984.
4008-25 (4) The term "special agent" means any person who by
4009-26 reason of employment by the Division of Narcotic Control,
4010-
4011-
4012-
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4019- HB3765 Engrossed - 113 - LRB103 31021 RPS 57638 b
4020-1 the Bureau of Investigation or, after July 1, 1977, the
4021-2 Division of Criminal Investigation, the Division of
4022-3 Internal Investigation, the Division of Operations, the
4023-4 Division of Patrol, or any other Division or
4024-5 organizational entity in the Illinois State Police is
4025-6 vested by law with duties to maintain public order,
4026-7 investigate violations of the criminal law of this State,
4027-8 enforce the laws of this State, make arrests and recover
4028-9 property. The term "special agent" includes any title or
4029-10 position in the Illinois State Police that is held by an
4030-11 individual employed under the Illinois State Police Act.
4031-12 (5) The term "investigator for the Secretary of State"
4032-13 means any person employed by the Office of the Secretary
4033-14 of State and vested with such investigative duties as
4034-15 render him ineligible for coverage under the Social
4035-16 Security Act by reason of Sections 218(d)(5)(A),
4036-17 218(d)(8)(D) and 218(l)(1) of that Act.
4037-18 A person who became employed as an investigator for
4038-19 the Secretary of State between January 1, 1967 and
4039-20 December 31, 1975, and who has served as such until
4040-21 attainment of age 60, either continuously or with a single
4041-22 break in service of not more than 3 years duration, which
4042-23 break terminated before January 1, 1976, shall be entitled
4043-24 to have his retirement annuity calculated in accordance
4044-25 with subsection (a), notwithstanding that he has less than
4045-26 20 years of credit for such service.
4046-
4047-
4048-
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4055- HB3765 Engrossed - 114 - LRB103 31021 RPS 57638 b
4056-1 (6) The term "Conservation Police Officer" means any
4057-2 person employed by the Division of Law Enforcement of the
4058-3 Department of Natural Resources and vested with such law
4059-4 enforcement duties as render him ineligible for coverage
4060-5 under the Social Security Act by reason of Sections
4061-6 218(d)(5)(A), 218(d)(8)(D), and 218(l)(1) of that Act. The
4062-7 term "Conservation Police Officer" includes the positions
4063-8 of Chief Conservation Police Administrator and Assistant
4064-9 Conservation Police Administrator.
4065-10 (7) The term "investigator for the Department of
4066-11 Revenue" means any person employed by the Department of
4067-12 Revenue and vested with such investigative duties as
4068-13 render him ineligible for coverage under the Social
4069-14 Security Act by reason of Sections 218(d)(5)(A),
4070-15 218(d)(8)(D) and 218(l)(1) of that Act.
4071-16 The term "investigator for the Illinois Gaming Board"
4072-17 means any person employed as such by the Illinois Gaming
4073-18 Board and vested with such peace officer duties as render
4074-19 the person ineligible for coverage under the Social
4075-20 Security Act by reason of Sections 218(d)(5)(A),
4076-21 218(d)(8)(D), and 218(l)(1) of that Act.
4077-22 (8) The term "security employee of the Department of
4078-23 Human Services" means any person employed by the
4079-24 Department of Human Services who (i) is employed at the
4080-25 Chester Mental Health Center and has daily contact with
4081-26 the residents thereof, (ii) is employed within a security
4082-
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4092-1 unit at a facility operated by the Department and has
4093-2 daily contact with the residents of the security unit,
4094-3 (iii) is employed at a facility operated by the Department
4095-4 that includes a security unit and is regularly scheduled
4096-5 to work at least 50% of his or her working hours within
4097-6 that security unit, or (iv) is a mental health police
4098-7 officer. "Mental health police officer" means any person
4099-8 employed by the Department of Human Services in a position
4100-9 pertaining to the Department's mental health and
4101-10 developmental disabilities functions who is vested with
4102-11 such law enforcement duties as render the person
4103-12 ineligible for coverage under the Social Security Act by
4104-13 reason of Sections 218(d)(5)(A), 218(d)(8)(D) and
4105-14 218(l)(1) of that Act. "Security unit" means that portion
4106-15 of a facility that is devoted to the care, containment,
4107-16 and treatment of persons committed to the Department of
4108-17 Human Services as sexually violent persons, persons unfit
4109-18 to stand trial, or persons not guilty by reason of
4110-19 insanity. With respect to past employment, references to
4111-20 the Department of Human Services include its predecessor,
4112-21 the Department of Mental Health and Developmental
4113-22 Disabilities.
4114-23 The changes made to this subdivision (c)(8) by Public
4115-24 Act 92-14 apply to persons who retire on or after January
4116-25 1, 2001, notwithstanding Section 1-103.1.
4117-26 (9) "Central Management Services security police
4118-
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4127- HB3765 Engrossed - 116 - LRB103 31021 RPS 57638 b
4128-1 officer" means any person employed by the Department of
4129-2 Central Management Services who is vested with such law
4130-3 enforcement duties as render him ineligible for coverage
4131-4 under the Social Security Act by reason of Sections
4132-5 218(d)(5)(A), 218(d)(8)(D) and 218(l)(1) of that Act.
4133-6 (10) For a member who first became an employee under
4134-7 this Article before July 1, 2005, the term "security
4135-8 employee of the Department of Corrections or the
4136-9 Department of Juvenile Justice" means any employee of the
4137-10 Department of Corrections or the Department of Juvenile
4138-11 Justice or the former Department of Personnel, and any
4139-12 member or employee of the Prisoner Review Board, who has
4140-13 daily contact with inmates or youth by working within a
4141-14 correctional facility or Juvenile facility operated by the
4142-15 Department of Juvenile Justice or who is a parole officer
4143-16 or an employee who has direct contact with committed
4144-17 persons in the performance of his or her job duties. For a
4145-18 member who first becomes an employee under this Article on
4146-19 or after July 1, 2005, the term means an employee of the
4147-20 Department of Corrections or the Department of Juvenile
4148-21 Justice who is any of the following: (i) officially
4149-22 headquartered at a correctional facility or Juvenile
4150-23 facility operated by the Department of Juvenile Justice,
4151-24 (ii) a parole officer, (iii) a member of the apprehension
4152-25 unit, (iv) a member of the intelligence unit, (v) a member
4153-26 of the sort team, or (vi) an investigator.
4154-
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4163- HB3765 Engrossed - 117 - LRB103 31021 RPS 57638 b
4164-1 (11) The term "dangerous drugs investigator" means any
4165-2 person who is employed as such by the Department of Human
4166-3 Services.
4167-4 (12) The term "investigator for the Illinois State
4168-5 Police" means a person employed by the Illinois State
4169-6 Police who is vested under Section 4 of the Narcotic
4170-7 Control Division Abolition Act with such law enforcement
4171-8 powers as render him ineligible for coverage under the
4172-9 Social Security Act by reason of Sections 218(d)(5)(A),
4173-10 218(d)(8)(D) and 218(l)(1) of that Act.
4174-11 (13) "Investigator for the Office of the Attorney
4175-12 General" means any person who is employed as such by the
4176-13 Office of the Attorney General and is vested with such
4177-14 investigative duties as render him ineligible for coverage
4178-15 under the Social Security Act by reason of Sections
4179-16 218(d)(5)(A), 218(d)(8)(D) and 218(l)(1) of that Act. For
4180-17 the period before January 1, 1989, the term includes all
4181-18 persons who were employed as investigators by the Office
4182-19 of the Attorney General, without regard to social security
4183-20 status.
4184-21 (14) "Controlled substance inspector" means any person
4185-22 who is employed as such by the Department of Professional
4186-23 Regulation and is vested with such law enforcement duties
4187-24 as render him ineligible for coverage under the Social
4188-25 Security Act by reason of Sections 218(d)(5)(A),
4189-26 218(d)(8)(D) and 218(l)(1) of that Act. The term
4190-
4191-
4192-
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4196-
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4199- HB3765 Engrossed - 118 - LRB103 31021 RPS 57638 b
4200-1 "controlled substance inspector" includes the Program
4201-2 Executive of Enforcement and the Assistant Program
4202-3 Executive of Enforcement.
4203-4 (15) The term "investigator for the Office of the
4204-5 State's Attorneys Appellate Prosecutor" means a person
4205-6 employed in that capacity on a full-time basis under the
4206-7 authority of Section 7.06 of the State's Attorneys
4207-8 Appellate Prosecutor's Act.
4208-9 (16) "Commerce Commission police officer" means any
4209-10 person employed by the Illinois Commerce Commission who is
4210-11 vested with such law enforcement duties as render him
4211-12 ineligible for coverage under the Social Security Act by
4212-13 reason of Sections 218(d)(5)(A), 218(d)(8)(D), and
4213-14 218(l)(1) of that Act.
4214-15 (17) "Arson investigator" means any person who is
4215-16 employed as such by the Office of the State Fire Marshal
4216-17 and is vested with such law enforcement duties as render
4217-18 the person ineligible for coverage under the Social
4218-19 Security Act by reason of Sections 218(d)(5)(A),
4219-20 218(d)(8)(D), and 218(l)(1) of that Act. A person who was
4220-21 employed as an arson investigator on January 1, 1995 and
4221-22 is no longer in service but not yet receiving a retirement
4222-23 annuity may convert his or her creditable service for
4223-24 employment as an arson investigator into eligible
4224-25 creditable service by paying to the System the difference
4225-26 between the employee contributions actually paid for that
4226-
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4235- HB3765 Engrossed - 119 - LRB103 31021 RPS 57638 b
4236-1 service and the amounts that would have been contributed
4237-2 if the applicant were contributing at the rate applicable
4238-3 to persons with the same social security status earning
4239-4 eligible creditable service on the date of application.
4240-5 (18) The term "State highway maintenance worker" means
4241-6 a person who is either of the following:
4242-7 (i) A person employed on a full-time basis by the
4243-8 Illinois Department of Transportation in the position
4244-9 of highway maintainer, highway maintenance lead
4245-10 worker, highway maintenance lead/lead worker, heavy
4246-11 construction equipment operator, power shovel
4247-12 operator, or bridge mechanic; and whose principal
4248-13 responsibility is to perform, on the roadway, the
4249-14 actual maintenance necessary to keep the highways that
4250-15 form a part of the State highway system in serviceable
4251-16 condition for vehicular traffic.
4252-17 (ii) A person employed on a full-time basis by the
4253-18 Illinois State Toll Highway Authority in the position
4254-19 of equipment operator/laborer H-4, equipment
4255-20 operator/laborer H-6, welder H-4, welder H-6,
4256-21 mechanical/electrical H-4, mechanical/electrical H-6,
4257-22 water/sewer H-4, water/sewer H-6, sign maker/hanger
4258-23 H-4, sign maker/hanger H-6, roadway lighting H-4,
4259-24 roadway lighting H-6, structural H-4, structural H-6,
4260-25 painter H-4, or painter H-6; and whose principal
4261-26 responsibility is to perform, on the roadway, the
4262-
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4271- HB3765 Engrossed - 120 - LRB103 31021 RPS 57638 b
4272-1 actual maintenance necessary to keep the Authority's
4273-2 tollways in serviceable condition for vehicular
4274-3 traffic.
4275-4 (19) The term "security employee of the Department of
4276-5 Innovation and Technology" means a person who was a
4277-6 security employee of the Department of Corrections or the
4278-7 Department of Juvenile Justice, was transferred to the
4279-8 Department of Innovation and Technology pursuant to
4280-9 Executive Order 2016-01, and continues to perform similar
4281-10 job functions under that Department.
4282-11 (20) "Transferred employee" means an employee who was
4283-12 transferred to the Department of Central Management
4284-13 Services by Executive Order No. 2003-10 or Executive Order
4285-14 No. 2004-2 or transferred to the Department of Innovation
4286-15 and Technology by Executive Order No. 2016-1, or both, and
4287-16 was entitled to eligible creditable service for services
4288-17 immediately preceding the transfer.
4289-18 (21) "Investigator for the Department of the Lottery"
4290-19 means any person who is employed by the Department of the
4291-20 Lottery and is vested with such investigative duties which
4292-21 render him or her ineligible for coverage under the Social
4293-22 Security Act by reason of Sections 218(d)(5)(A),
4294-23 218(d)(8)(D), and 218(l)(1) of that Act. An investigator
4295-24 for the Department of the Lottery who qualifies under this
4296-25 Section shall earn eligible creditable service and be
4297-26 required to make contributions at the rate specified in
4298-
4299-
4300-
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4304-
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4307- HB3765 Engrossed - 121 - LRB103 31021 RPS 57638 b
4308-1 paragraph (3) of subsection (a) of Section 14-133 for all
4309-2 periods of service as an investigator for the Department
4310-3 of the Lottery.
4311-4 (d) A security employee of the Department of Corrections
4312-5 or the Department of Juvenile Justice, a security employee of
4313-6 the Department of Human Services who is not a mental health
4314-7 police officer, and a security employee of the Department of
4315-8 Innovation and Technology shall not be eligible for the
4316-9 alternative retirement annuity provided by this Section unless
4317-10 he or she meets the following minimum age and service
4318-11 requirements at the time of retirement:
4319-12 (i) 25 years of eligible creditable service and age
4320-13 55; or
4321-14 (ii) beginning January 1, 1987, 25 years of eligible
4322-15 creditable service and age 54, or 24 years of eligible
4323-16 creditable service and age 55; or
4324-17 (iii) beginning January 1, 1988, 25 years of eligible
4325-18 creditable service and age 53, or 23 years of eligible
4326-19 creditable service and age 55; or
4327-20 (iv) beginning January 1, 1989, 25 years of eligible
4328-21 creditable service and age 52, or 22 years of eligible
4329-22 creditable service and age 55; or
4330-23 (v) beginning January 1, 1990, 25 years of eligible
4331-24 creditable service and age 51, or 21 years of eligible
4332-25 creditable service and age 55; or
4333-26 (vi) beginning January 1, 1991, 25 years of eligible
4334-
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4343- HB3765 Engrossed - 122 - LRB103 31021 RPS 57638 b
4344-1 creditable service and age 50, or 20 years of eligible
4345-2 creditable service and age 55.
4346-3 Persons who have service credit under Article 16 of this
4347-4 Code for service as a security employee of the Department of
4348-5 Corrections or the Department of Juvenile Justice, or the
4349-6 Department of Human Services in a position requiring
4350-7 certification as a teacher may count such service toward
4351-8 establishing their eligibility under the service requirements
4352-9 of this Section; but such service may be used only for
4353-10 establishing such eligibility, and not for the purpose of
4354-11 increasing or calculating any benefit.
4355-12 (e) If a member enters military service while working in a
4356-13 position in which eligible creditable service may be earned,
4357-14 and returns to State service in the same or another such
4358-15 position, and fulfills in all other respects the conditions
4359-16 prescribed in this Article for credit for military service,
4360-17 such military service shall be credited as eligible creditable
4361-18 service for the purposes of the retirement annuity prescribed
4362-19 in this Section.
4363-20 (f) For purposes of calculating retirement annuities under
4364-21 this Section, periods of service rendered after December 31,
4365-22 1968 and before October 1, 1975 as a covered employee in the
4366-23 position of special agent, conservation police officer, mental
4367-24 health police officer, or investigator for the Secretary of
4368-25 State, shall be deemed to have been service as a noncovered
4369-26 employee, provided that the employee pays to the System prior
4370-
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4380-1 to retirement an amount equal to (1) the difference between
4381-2 the employee contributions that would have been required for
4382-3 such service as a noncovered employee, and the amount of
4383-4 employee contributions actually paid, plus (2) if payment is
4384-5 made after July 31, 1987, regular interest on the amount
4385-6 specified in item (1) from the date of service to the date of
4386-7 payment.
4387-8 For purposes of calculating retirement annuities under
4388-9 this Section, periods of service rendered after December 31,
4389-10 1968 and before January 1, 1982 as a covered employee in the
4390-11 position of investigator for the Department of Revenue shall
4391-12 be deemed to have been service as a noncovered employee,
4392-13 provided that the employee pays to the System prior to
4393-14 retirement an amount equal to (1) the difference between the
4394-15 employee contributions that would have been required for such
4395-16 service as a noncovered employee, and the amount of employee
4396-17 contributions actually paid, plus (2) if payment is made after
4397-18 January 1, 1990, regular interest on the amount specified in
4398-19 item (1) from the date of service to the date of payment.
4399-20 (g) A State policeman may elect, not later than January 1,
4400-21 1990, to establish eligible creditable service for up to 10
4401-22 years of his service as a policeman under Article 3, by filing
4402-23 a written election with the Board, accompanied by payment of
4403-24 an amount to be determined by the Board, equal to (i) the
4404-25 difference between the amount of employee and employer
4405-26 contributions transferred to the System under Section 3-110.5,
4406-
4407-
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4416-1 and the amounts that would have been contributed had such
4417-2 contributions been made at the rates applicable to State
4418-3 policemen, plus (ii) interest thereon at the effective rate
4419-4 for each year, compounded annually, from the date of service
4420-5 to the date of payment.
4421-6 Subject to the limitation in subsection (i), a State
4422-7 policeman may elect, not later than July 1, 1993, to establish
4423-8 eligible creditable service for up to 10 years of his service
4424-9 as a member of the County Police Department under Article 9, by
4425-10 filing a written election with the Board, accompanied by
4426-11 payment of an amount to be determined by the Board, equal to
4427-12 (i) the difference between the amount of employee and employer
4428-13 contributions transferred to the System under Section 9-121.10
4429-14 and the amounts that would have been contributed had those
4430-15 contributions been made at the rates applicable to State
4431-16 policemen, plus (ii) interest thereon at the effective rate
4432-17 for each year, compounded annually, from the date of service
4433-18 to the date of payment.
4434-19 (h) Subject to the limitation in subsection (i), a State
4435-20 policeman or investigator for the Secretary of State may elect
4436-21 to establish eligible creditable service for up to 12 years of
4437-22 his service as a policeman under Article 5, by filing a written
4438-23 election with the Board on or before January 31, 1992, and
4439-24 paying to the System by January 31, 1994 an amount to be
4440-25 determined by the Board, equal to (i) the difference between
4441-26 the amount of employee and employer contributions transferred
4442-
4443-
4444-
4445-
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4451- HB3765 Engrossed - 125 - LRB103 31021 RPS 57638 b
4452-1 to the System under Section 5-236, and the amounts that would
4453-2 have been contributed had such contributions been made at the
4454-3 rates applicable to State policemen, plus (ii) interest
4455-4 thereon at the effective rate for each year, compounded
4456-5 annually, from the date of service to the date of payment.
4457-6 Subject to the limitation in subsection (i), a State
4458-7 policeman, conservation police officer, or investigator for
4459-8 the Secretary of State may elect to establish eligible
4460-9 creditable service for up to 10 years of service as a sheriff's
4461-10 law enforcement employee under Article 7, by filing a written
4462-11 election with the Board on or before January 31, 1993, and
4463-12 paying to the System by January 31, 1994 an amount to be
4464-13 determined by the Board, equal to (i) the difference between
4465-14 the amount of employee and employer contributions transferred
4466-15 to the System under Section 7-139.7, and the amounts that
4467-16 would have been contributed had such contributions been made
4468-17 at the rates applicable to State policemen, plus (ii) interest
4469-18 thereon at the effective rate for each year, compounded
4470-19 annually, from the date of service to the date of payment.
4471-20 Subject to the limitation in subsection (i), a State
4472-21 policeman, conservation police officer, or investigator for
4473-22 the Secretary of State may elect to establish eligible
4474-23 creditable service for up to 5 years of service as a police
4475-24 officer under Article 3, a policeman under Article 5, a
4476-25 sheriff's law enforcement employee under Article 7, a member
4477-26 of the county police department under Article 9, or a police
4478-
4479-
4480-
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4484-
4485-
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4487- HB3765 Engrossed - 126 - LRB103 31021 RPS 57638 b
4488-1 officer under Article 15 by filing a written election with the
4489-2 Board and paying to the System an amount to be determined by
4490-3 the Board, equal to (i) the difference between the amount of
4491-4 employee and employer contributions transferred to the System
4492-5 under Section 3-110.6, 5-236, 7-139.8, 9-121.10, or 15-134.4
4493-6 and the amounts that would have been contributed had such
4494-7 contributions been made at the rates applicable to State
4495-8 policemen, plus (ii) interest thereon at the effective rate
4496-9 for each year, compounded annually, from the date of service
4497-10 to the date of payment.
4498-11 Subject to the limitation in subsection (i), an
4499-12 investigator for the Office of the Attorney General, or an
4500-13 investigator for the Department of Revenue, may elect to
4501-14 establish eligible creditable service for up to 5 years of
4502-15 service as a police officer under Article 3, a policeman under
4503-16 Article 5, a sheriff's law enforcement employee under Article
4504-17 7, or a member of the county police department under Article 9
4505-18 by filing a written election with the Board within 6 months
4506-19 after August 25, 2009 (the effective date of Public Act
4507-20 96-745) and paying to the System an amount to be determined by
4508-21 the Board, equal to (i) the difference between the amount of
4509-22 employee and employer contributions transferred to the System
4510-23 under Section 3-110.6, 5-236, 7-139.8, or 9-121.10 and the
4511-24 amounts that would have been contributed had such
4512-25 contributions been made at the rates applicable to State
4513-26 policemen, plus (ii) interest thereon at the actuarially
4514-
4515-
4516-
4517-
4518-
4519- HB3765 Engrossed - 126 - LRB103 31021 RPS 57638 b
4520-
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4523- HB3765 Engrossed - 127 - LRB103 31021 RPS 57638 b
4524-1 assumed rate for each year, compounded annually, from the date
4525-2 of service to the date of payment.
4526-3 Subject to the limitation in subsection (i), a State
4527-4 policeman, conservation police officer, investigator for the
4528-5 Office of the Attorney General, an investigator for the
4529-6 Department of Revenue, or investigator for the Secretary of
4530-7 State may elect to establish eligible creditable service for
4531-8 up to 5 years of service as a person employed by a
4532-9 participating municipality to perform police duties, or law
4533-10 enforcement officer employed on a full-time basis by a forest
4534-11 preserve district under Article 7, a county corrections
4535-12 officer, or a court services officer under Article 9, by
4536-13 filing a written election with the Board within 6 months after
4537-14 August 25, 2009 (the effective date of Public Act 96-745) and
4538-15 paying to the System an amount to be determined by the Board,
4539-16 equal to (i) the difference between the amount of employee and
4540-17 employer contributions transferred to the System under
4541-18 Sections 7-139.8 and 9-121.10 and the amounts that would have
4542-19 been contributed had such contributions been made at the rates
4543-20 applicable to State policemen, plus (ii) interest thereon at
4544-21 the actuarially assumed rate for each year, compounded
4545-22 annually, from the date of service to the date of payment.
4546-23 Subject to the limitation in subsection (i), a State
4547-24 policeman, arson investigator, or Commerce Commission police
4548-25 officer may elect to establish eligible creditable service for
4549-26 up to 5 years of service as a person employed by a
4550-
4551-
4552-
4553-
4554-
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4556-
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4559- HB3765 Engrossed - 128 - LRB103 31021 RPS 57638 b
4560-1 participating municipality to perform police duties under
4561-2 Article 7, a county corrections officer, a court services
4562-3 officer under Article 9, or a firefighter under Article 4 by
4563-4 filing a written election with the Board within 6 months after
4564-5 July 30, 2021 (the effective date of Public Act 102-210) and
4565-6 paying to the System an amount to be determined by the Board
4566-7 equal to (i) the difference between the amount of employee and
4567-8 employer contributions transferred to the System under
4568-9 Sections 4-108.8, 7-139.8, and 9-121.10 and the amounts that
4569-10 would have been contributed had such contributions been made
4570-11 at the rates applicable to State policemen, plus (ii) interest
4571-12 thereon at the actuarially assumed rate for each year,
4572-13 compounded annually, from the date of service to the date of
4573-14 payment.
4574-15 Subject to the limitation in subsection (i), a
4575-16 conservation police officer may elect to establish eligible
4576-17 creditable service for up to 5 years of service as a person
4577-18 employed by a participating municipality to perform police
4578-19 duties under Article 7, a county corrections officer, or a
4579-20 court services officer under Article 9 by filing a written
4580-21 election with the Board within 6 months after July 30, 2021
4581-22 (the effective date of Public Act 102-210) and paying to the
4582-23 System an amount to be determined by the Board equal to (i) the
4583-24 difference between the amount of employee and employer
4584-25 contributions transferred to the System under Sections 7-139.8
4585-26 and 9-121.10 and the amounts that would have been contributed
4586-
4587-
4588-
4589-
4590-
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4592-
4593-
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4595- HB3765 Engrossed - 129 - LRB103 31021 RPS 57638 b
4596-1 had such contributions been made at the rates applicable to
4597-2 State policemen, plus (ii) interest thereon at the actuarially
4598-3 assumed rate for each year, compounded annually, from the date
4599-4 of service to the date of payment.
4600-5 Notwithstanding the limitation in subsection (i), a State
4601-6 policeman or conservation police officer may elect to convert
4602-7 service credit earned under this Article to eligible
4603-8 creditable service, as defined by this Section, by filing a
4604-9 written election with the board within 6 months after July 30,
4605-10 2021 (the effective date of Public Act 102-210) and paying to
4606-11 the System an amount to be determined by the Board equal to (i)
4607-12 the difference between the amount of employee contributions
4608-13 originally paid for that service and the amounts that would
4609-14 have been contributed had such contributions been made at the
4610-15 rates applicable to State policemen, plus (ii) the difference
4611-16 between the employer's normal cost of the credit prior to the
4612-17 conversion authorized by Public Act 102-210 and the employer's
4613-18 normal cost of the credit converted in accordance with Public
4614-19 Act 102-210, plus (iii) interest thereon at the actuarially
4615-20 assumed rate for each year, compounded annually, from the date
4616-21 of service to the date of payment.
4617-22 (i) The total amount of eligible creditable service
4618-23 established by any person under subsections (g), (h), (j),
4619-24 (k), (l), (l-5), (o), and (p) of this Section shall not exceed
4620-25 12 years.
4621-26 (j) Subject to the limitation in subsection (i), an
4622-
4623-
4624-
4625-
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4628-
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4631- HB3765 Engrossed - 130 - LRB103 31021 RPS 57638 b
4632-1 investigator for the Office of the State's Attorneys Appellate
4633-2 Prosecutor or a controlled substance inspector may elect to
4634-3 establish eligible creditable service for up to 10 years of
4635-4 his service as a policeman under Article 3 or a sheriff's law
4636-5 enforcement employee under Article 7, by filing a written
4637-6 election with the Board, accompanied by payment of an amount
4638-7 to be determined by the Board, equal to (1) the difference
4639-8 between the amount of employee and employer contributions
4640-9 transferred to the System under Section 3-110.6 or 7-139.8,
4641-10 and the amounts that would have been contributed had such
4642-11 contributions been made at the rates applicable to State
4643-12 policemen, plus (2) interest thereon at the effective rate for
4644-13 each year, compounded annually, from the date of service to
4645-14 the date of payment.
4646-15 (k) Subject to the limitation in subsection (i) of this
4647-16 Section, an alternative formula employee may elect to
4648-17 establish eligible creditable service for periods spent as a
4649-18 full-time law enforcement officer or full-time corrections
4650-19 officer employed by the federal government or by a state or
4651-20 local government located outside of Illinois, for which credit
4652-21 is not held in any other public employee pension fund or
4653-22 retirement system. To obtain this credit, the applicant must
4654-23 file a written application with the Board by March 31, 1998,
4655-24 accompanied by evidence of eligibility acceptable to the Board
4656-25 and payment of an amount to be determined by the Board, equal
4657-26 to (1) employee contributions for the credit being
4658-
4659-
4660-
4661-
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4664-
4665-
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4667- HB3765 Engrossed - 131 - LRB103 31021 RPS 57638 b
4668-1 established, based upon the applicant's salary on the first
4669-2 day as an alternative formula employee after the employment
4670-3 for which credit is being established and the rates then
4671-4 applicable to alternative formula employees, plus (2) an
4672-5 amount determined by the Board to be the employer's normal
4673-6 cost of the benefits accrued for the credit being established,
4674-7 plus (3) regular interest on the amounts in items (1) and (2)
4675-8 from the first day as an alternative formula employee after
4676-9 the employment for which credit is being established to the
4677-10 date of payment.
4678-11 (l) Subject to the limitation in subsection (i), a
4679-12 security employee of the Department of Corrections may elect,
4680-13 not later than July 1, 1998, to establish eligible creditable
4681-14 service for up to 10 years of his or her service as a policeman
4682-15 under Article 3, by filing a written election with the Board,
4683-16 accompanied by payment of an amount to be determined by the
4684-17 Board, equal to (i) the difference between the amount of
4685-18 employee and employer contributions transferred to the System
4686-19 under Section 3-110.5, and the amounts that would have been
4687-20 contributed had such contributions been made at the rates
4688-21 applicable to security employees of the Department of
4689-22 Corrections, plus (ii) interest thereon at the effective rate
4690-23 for each year, compounded annually, from the date of service
4691-24 to the date of payment.
4692-25 (l-5) Subject to the limitation in subsection (i) of this
4693-26 Section, a State policeman may elect to establish eligible
4694-
4695-
4696-
4697-
4698-
4699- HB3765 Engrossed - 131 - LRB103 31021 RPS 57638 b
4700-
4701-
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4703- HB3765 Engrossed - 132 - LRB103 31021 RPS 57638 b
4704-1 creditable service for up to 5 years of service as a full-time
4705-2 law enforcement officer employed by the federal government or
4706-3 by a state or local government located outside of Illinois for
4707-4 which credit is not held in any other public employee pension
4708-5 fund or retirement system. To obtain this credit, the
4709-6 applicant must file a written application with the Board no
4710-7 later than 3 years after January 1, 2020 (the effective date of
4711-8 Public Act 101-610), accompanied by evidence of eligibility
4712-9 acceptable to the Board and payment of an amount to be
4713-10 determined by the Board, equal to (1) employee contributions
4714-11 for the credit being established, based upon the applicant's
4715-12 salary on the first day as an alternative formula employee
4716-13 after the employment for which credit is being established and
4717-14 the rates then applicable to alternative formula employees,
4718-15 plus (2) an amount determined by the Board to be the employer's
4719-16 normal cost of the benefits accrued for the credit being
4720-17 established, plus (3) regular interest on the amounts in items
4721-18 (1) and (2) from the first day as an alternative formula
4722-19 employee after the employment for which credit is being
4723-20 established to the date of payment.
4724-21 (m) The amendatory changes to this Section made by Public
4725-22 Act 94-696 apply only to: (1) security employees of the
4726-23 Department of Juvenile Justice employed by the Department of
4727-24 Corrections before June 1, 2006 (the effective date of Public
4728-25 Act 94-696) and transferred to the Department of Juvenile
4729-26 Justice by Public Act 94-696; and (2) persons employed by the
4730-
4731-
4732-
4733-
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4736-
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4739- HB3765 Engrossed - 133 - LRB103 31021 RPS 57638 b
4740-1 Department of Juvenile Justice on or after June 1, 2006 (the
4741-2 effective date of Public Act 94-696) who are required by
4742-3 subsection (b) of Section 3-2.5-15 of the Unified Code of
4743-4 Corrections to have any bachelor's or advanced degree from an
4744-5 accredited college or university or, in the case of persons
4745-6 who provide vocational training, who are required to have
4746-7 adequate knowledge in the skill for which they are providing
4747-8 the vocational training.
4748-9 Beginning with the pay period that immediately follows the
4749-10 effective date of this amendatory Act of the 103rd General
4750-11 Assembly, the bachelor's or advanced degree requirement of
4751-12 subsection (b) of Section 3-2.5-15 of the Unified Code of
4752-13 Corrections shall no longer determine the eligibility to earn
4753-14 eligible creditable service for a person employed by the
4754-15 Department of Juvenile Justice.
4755-16 An employee may elect to convert into eligible creditable
4756-17 service his or her creditable service earned with the
4757-18 Department of Juvenile Justice while employed in a position
4758-19 that required the employee to do any one or more of the
4759-20 following: (1) participate or assist in the rehabilitative and
4760-21 vocational training of delinquent youths; (2) supervise the
4761-22 daily activities and assume direct and continuing
4762-23 responsibility for the youth's security, welfare, and
4763-24 development; or (3) participate in the personal rehabilitation
4764-25 of delinquent youth by training, supervising, and assisting
4765-26 lower-level personnel. To convert that creditable service to
4766-
4767-
4768-
4769-
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4772-
4773-
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4775- HB3765 Engrossed - 134 - LRB103 31021 RPS 57638 b
4776-1 eligible creditable service, the employee must pay to the
4777-2 System the difference between the employee contributions
4778-3 actually paid for that service and the amounts that would have
4779-4 been contributed if the applicant were contributing at the
4780-5 rate applicable to persons with the same Social Security
4781-6 status earning eligible creditable service on the date of
4782-7 application.
4783-8 (n) A person employed in a position under subsection (b)
4784-9 of this Section who has purchased service credit under
4785-10 subsection (j) of Section 14-104 or subsection (b) of Section
4786-11 14-105 in any other capacity under this Article may convert up
4787-12 to 5 years of that service credit into service credit covered
4788-13 under this Section by paying to the Fund an amount equal to (1)
4789-14 the additional employee contribution required under Section
4790-15 14-133, plus (2) the additional employer contribution required
4791-16 under Section 14-131, plus (3) interest on items (1) and (2) at
4792-17 the actuarially assumed rate from the date of the service to
4793-18 the date of payment.
4794-19 (o) Subject to the limitation in subsection (i), a
4795-20 conservation police officer, investigator for the Secretary of
4796-21 State, Commerce Commission police officer, investigator for
4797-22 the Department of Revenue or the Illinois Gaming Board, or
4798-23 arson investigator subject to subsection (g) of Section 1-160
4799-24 may elect to convert up to 8 years of service credit
4800-25 established before January 1, 2020 (the effective date of
4801-26 Public Act 101-610) as a conservation police officer,
4802-
4803-
4804-
4805-
4806-
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4808-
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4811- HB3765 Engrossed - 135 - LRB103 31021 RPS 57638 b
4812-1 investigator for the Secretary of State, Commerce Commission
4813-2 police officer, investigator for the Department of Revenue or
4814-3 the Illinois Gaming Board, or arson investigator under this
4815-4 Article into eligible creditable service by filing a written
4816-5 election with the Board no later than one year after January 1,
4817-6 2020 (the effective date of Public Act 101-610), accompanied
4818-7 by payment of an amount to be determined by the Board equal to
4819-8 (i) the difference between the amount of the employee
4820-9 contributions actually paid for that service and the amount of
4821-10 the employee contributions that would have been paid had the
4822-11 employee contributions been made as a noncovered employee
4823-12 serving in a position in which eligible creditable service, as
4824-13 defined in this Section, may be earned, plus (ii) interest
4825-14 thereon at the effective rate for each year, compounded
4826-15 annually, from the date of service to the date of payment.
4827-16 (p) Subject to the limitation in subsection (i), an
4828-17 investigator for the Office of the Attorney General subject to
4829-18 subsection (g) of Section 1-160 may elect to convert up to 8
4830-19 years of service credit established before the effective date
4831-20 of this amendatory Act of the 102nd General Assembly as an
4832-21 investigator for the Office of the Attorney General under this
4833-22 Article into eligible creditable service by filing a written
4834-23 election with the Board no later than one year after the
4835-24 effective date of this amendatory Act of the 102nd General
4836-25 Assembly, accompanied by payment of an amount to be determined
4837-26 by the Board equal to (i) the difference between the amount of
4838-
4839-
4840-
4841-
4842-
4843- HB3765 Engrossed - 135 - LRB103 31021 RPS 57638 b
4844-
4845-
4846-HB3765 Engrossed- 136 -LRB103 31021 RPS 57638 b HB3765 Engrossed - 136 - LRB103 31021 RPS 57638 b
4847- HB3765 Engrossed - 136 - LRB103 31021 RPS 57638 b
4848-1 the employee contributions actually paid for that service and
4849-2 the amount of the employee contributions that would have been
4850-3 paid had the employee contributions been made as a noncovered
4851-4 employee serving in a position in which eligible creditable
4852-5 service, as defined in this Section, may be earned, plus (ii)
4853-6 interest thereon at the effective rate for each year,
4854-7 compounded annually, from the date of service to the date of
4855-8 payment.
4856-9 (Source: P.A. 102-210, eff. 7-30-21; 102-538, eff. 8-20-21;
4857-10 102-956, eff. 5-27-22; 103-34, eff. 1-1-24.)
4858-11 (40 ILCS 5/14-152.1)
4859-12 Sec. 14-152.1. Application and expiration of new benefit
4860-13 increases.
4861-14 (a) As used in this Section, "new benefit increase" means
4862-15 an increase in the amount of any benefit provided under this
4863-16 Article, or an expansion of the conditions of eligibility for
4864-17 any benefit under this Article, that results from an amendment
4865-18 to this Code that takes effect after June 1, 2005 (the
4866-19 effective date of Public Act 94-4). "New benefit increase",
4867-20 however, does not include any benefit increase resulting from
4868-21 the changes made to Article 1 or this Article by Public Act
4869-22 96-37, Public Act 100-23, Public Act 100-587, Public Act
4870-23 100-611, Public Act 101-10, Public Act 101-610, Public Act
4871-24 102-210, Public Act 102-856, Public Act 102-956, or this
4872-25 amendatory Act of the 103rd General Assembly this amendatory
4873-
4874-
4875-
4876-
4877-
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4879-
4880-
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4882- HB3765 Engrossed - 137 - LRB103 31021 RPS 57638 b
4883-1 Act of the 102nd General Assembly.
4884-2 (b) Notwithstanding any other provision of this Code or
4885-3 any subsequent amendment to this Code, every new benefit
4886-4 increase is subject to this Section and shall be deemed to be
4887-5 granted only in conformance with and contingent upon
4888-6 compliance with the provisions of this Section.
4889-7 (c) The Public Act enacting a new benefit increase must
4890-8 identify and provide for payment to the System of additional
4891-9 funding at least sufficient to fund the resulting annual
4892-10 increase in cost to the System as it accrues.
4893-11 Every new benefit increase is contingent upon the General
4894-12 Assembly providing the additional funding required under this
4895-13 subsection. The Commission on Government Forecasting and
4896-14 Accountability shall analyze whether adequate additional
4897-15 funding has been provided for the new benefit increase and
4898-16 shall report its analysis to the Public Pension Division of
4899-17 the Department of Insurance. A new benefit increase created by
4900-18 a Public Act that does not include the additional funding
4901-19 required under this subsection is null and void. If the Public
4902-20 Pension Division determines that the additional funding
4903-21 provided for a new benefit increase under this subsection is
4904-22 or has become inadequate, it may so certify to the Governor and
4905-23 the State Comptroller and, in the absence of corrective action
4906-24 by the General Assembly, the new benefit increase shall expire
4907-25 at the end of the fiscal year in which the certification is
4908-26 made.
4909-
4910-
4911-
4912-
4913-
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4915-
4916-
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4918- HB3765 Engrossed - 138 - LRB103 31021 RPS 57638 b
4919-1 (d) Every new benefit increase shall expire 5 years after
4920-2 its effective date or on such earlier date as may be specified
4921-3 in the language enacting the new benefit increase or provided
4922-4 under subsection (c). This does not prevent the General
4923-5 Assembly from extending or re-creating a new benefit increase
4924-6 by law.
4925-7 (e) Except as otherwise provided in the language creating
4926-8 the new benefit increase, a new benefit increase that expires
4927-9 under this Section continues to apply to persons who applied
4928-10 and qualified for the affected benefit while the new benefit
4929-11 increase was in effect and to the affected beneficiaries and
4930-12 alternate payees of such persons, but does not apply to any
4931-13 other person, including, without limitation, a person who
4932-14 continues in service after the expiration date and did not
4933-15 apply and qualify for the affected benefit while the new
4934-16 benefit increase was in effect.
4935-17 (Source: P.A. 101-10, eff. 6-5-19; 101-81, eff. 7-12-19;
4936-18 101-610, eff. 1-1-20; 102-210, eff. 7-30-21; 102-856, eff.
4937-19 1-1-23; 102-956, eff. 5-27-22.)
4938-20 (40 ILCS 5/17-114) (from Ch. 108 1/2, par. 17-114)
4939-21 Sec. 17-114. Computation of service.
4940-22 (a) When computing days of validated service, contributors
4941-23 shall receive the greater of: (1) one day of service credit for
4942-24 each day for which they are paid salary representing a partial
4943-25 or a full day of employment rendered to an Employer or the
4944-
4945-
4946-
4947-
4948-
4949- HB3765 Engrossed - 138 - LRB103 31021 RPS 57638 b
4950-
4951-
4952-HB3765 Engrossed- 139 -LRB103 31021 RPS 57638 b HB3765 Engrossed - 139 - LRB103 31021 RPS 57638 b
4953- HB3765 Engrossed - 139 - LRB103 31021 RPS 57638 b
4954-1 Board; or (2) 10 days of service credit for each 10-day period
4955-2 of employment in which the contributor worked 50% or more of
4956-3 the regularly scheduled hours.
4957-4 (b) When computing months of validated service, 17 or more
4958-5 days of service rendered to an Employer or the Board in a
4959-6 calendar month shall entitle a contributor to one month of
4960-7 service credit for purposes of this Article.
4961-8 (c) When computing years of validated service rendered,
4962-9 170 or more days of service in a fiscal year or 10 or more
4963-10 months of service in a fiscal year shall constitute one year of
4964-11 service credit.
4965-12 (d) Notwithstanding subsections (b) and (c) of this
4966-13 Section, validated service in any fiscal year shall be that
4967-14 fraction of a year equal to the ratio of the number of days of
4968-15 service to 170 days.
4969-16 (e) For purposes of this Section, no contributor shall
4970-17 earn (i) more than one year of service credit per fiscal year,
4971-18 (ii) more than one day of service credit per calendar day, or
4972-19 (iii) more than 10 days of service credit in a 2 calendar week
4973-20 period as determined by the Fund.
4974-21 (Source: P.A. 99-176, eff. 7-29-15.)
4975-22 Section 90. The State Mandates Act is amended by adding
4976-23 Section 8.48 as follows:
4977-24 (30 ILCS 805/8.48 new)
4978-
4979-
4980-
4981-
4982-
4983- HB3765 Engrossed - 139 - LRB103 31021 RPS 57638 b
4984-
4985-
4986-HB3765 Engrossed- 140 -LRB103 31021 RPS 57638 b HB3765 Engrossed - 140 - LRB103 31021 RPS 57638 b
4987- HB3765 Engrossed - 140 - LRB103 31021 RPS 57638 b
4988-
4989-
4990-
4991-
4992-
4993- HB3765 Engrossed - 140 - LRB103 31021 RPS 57638 b
480+9 (g-5) The benefits in Section 14-110 apply if the person
481+10 is a State policeman, investigator for the Secretary of State,
482+11 conservation police officer, investigator for the Department
483+12 of Revenue or the Illinois Gaming Board, investigator for the
484+13 Office of the Attorney General, Commerce Commission police
485+14 officer, or arson investigator, as those terms are defined in
486+15 subsection (b) and subsection (c) of Section 14-110. A person
487+16 who meets the requirements of this Section is entitled to an
488+17 annuity calculated under the provisions of Section 14-110, in
489+18 lieu of the regular or minimum retirement annuity, only if the
490+19 person has withdrawn from service with not less than 20 years
491+20 of eligible creditable service and has attained age 55,
492+21 regardless of whether the attainment of age 55 occurs while
493+22 the person is still in service.
494+23 (h) If a person who first becomes a member or a participant
495+24 of a retirement system or pension fund subject to this Section
496+25 on or after January 1, 2011 is receiving a retirement annuity
497+26 or retirement pension under that system or fund and becomes a
498+
499+
500+
501+
502+
503+ HB3765 - 13 - LRB103 31021 RPS 57638 b
504+
505+
506+HB3765- 14 -LRB103 31021 RPS 57638 b HB3765 - 14 - LRB103 31021 RPS 57638 b
507+ HB3765 - 14 - LRB103 31021 RPS 57638 b
508+1 member or participant under any other system or fund created
509+2 by this Code and is employed on a full-time basis, except for
510+3 those members or participants exempted from the provisions of
511+4 this Section under subsection (a) of this Section, then the
512+5 person's retirement annuity or retirement pension under that
513+6 system or fund shall be suspended during that employment. Upon
514+7 termination of that employment, the person's retirement
515+8 annuity or retirement pension payments shall resume and be
516+9 recalculated if recalculation is provided for under the
517+10 applicable Article of this Code.
518+11 If a person who first becomes a member of a retirement
519+12 system or pension fund subject to this Section on or after
520+13 January 1, 2012 and is receiving a retirement annuity or
521+14 retirement pension under that system or fund and accepts on a
522+15 contractual basis a position to provide services to a
523+16 governmental entity from which he or she has retired, then
524+17 that person's annuity or retirement pension earned as an
525+18 active employee of the employer shall be suspended during that
526+19 contractual service. A person receiving an annuity or
527+20 retirement pension under this Code shall notify the pension
528+21 fund or retirement system from which he or she is receiving an
529+22 annuity or retirement pension, as well as his or her
530+23 contractual employer, of his or her retirement status before
531+24 accepting contractual employment. A person who fails to submit
532+25 such notification shall be guilty of a Class A misdemeanor and
533+26 required to pay a fine of $1,000. Upon termination of that
534+
535+
536+
537+
538+
539+ HB3765 - 14 - LRB103 31021 RPS 57638 b
540+
541+
542+HB3765- 15 -LRB103 31021 RPS 57638 b HB3765 - 15 - LRB103 31021 RPS 57638 b
543+ HB3765 - 15 - LRB103 31021 RPS 57638 b
544+1 contractual employment, the person's retirement annuity or
545+2 retirement pension payments shall resume and, if appropriate,
546+3 be recalculated under the applicable provisions of this Code.
547+4 (i) (Blank).
548+5 (j) In the case of a conflict between the provisions of
549+6 this Section and any other provision of this Code, the
550+7 provisions of this Section shall control.
551+8 (Source: P.A. 101-610, eff. 1-1-20; 102-16, eff. 6-17-21;
552+9 102-210, eff. 1-1-22; 102-263, eff. 8-6-21; 102-719, eff.
553+10 5-6-22.)
554+11 (Text of Section from P.A. 102-813)
555+12 Sec. 1-160. Provisions applicable to new hires.
556+13 (a) The provisions of this Section apply to a person who,
557+14 on or after January 1, 2011, first becomes a member or a
558+15 participant under any reciprocal retirement system or pension
559+16 fund established under this Code, other than a retirement
560+17 system or pension fund established under Article 2, 3, 4, 5, 6,
561+18 7, 15, or 18 of this Code, notwithstanding any other provision
562+19 of this Code to the contrary, but do not apply to any
563+20 self-managed plan established under this Code or to any
564+21 participant of the retirement plan established under Section
565+22 22-101; except that this Section applies to a person who
566+23 elected to establish alternative credits by electing in
567+24 writing after January 1, 2011, but before August 8, 2011,
568+25 under Section 7-145.1 of this Code. Notwithstanding anything
569+
570+
571+
572+
573+
574+ HB3765 - 15 - LRB103 31021 RPS 57638 b
575+
576+
577+HB3765- 16 -LRB103 31021 RPS 57638 b HB3765 - 16 - LRB103 31021 RPS 57638 b
578+ HB3765 - 16 - LRB103 31021 RPS 57638 b
579+1 to the contrary in this Section, for purposes of this Section,
580+2 a person who is a Tier 1 regular employee as defined in Section
581+3 7-109.4 of this Code or who participated in a retirement
582+4 system under Article 15 prior to January 1, 2011 shall be
583+5 deemed a person who first became a member or participant prior
584+6 to January 1, 2011 under any retirement system or pension fund
585+7 subject to this Section. The changes made to this Section by
586+8 Public Act 98-596 are a clarification of existing law and are
587+9 intended to be retroactive to January 1, 2011 (the effective
588+10 date of Public Act 96-889), notwithstanding the provisions of
589+11 Section 1-103.1 of this Code.
590+12 This Section does not apply to a person who first becomes a
591+13 noncovered employee under Article 14 on or after the
592+14 implementation date of the plan created under Section 1-161
593+15 for that Article, unless that person elects under subsection
594+16 (b) of Section 1-161 to instead receive the benefits provided
595+17 under this Section and the applicable provisions of that
596+18 Article.
597+19 This Section does not apply to a person who first becomes a
598+20 member or participant under Article 16 on or after the
599+21 implementation date of the plan created under Section 1-161
600+22 for that Article, unless that person elects under subsection
601+23 (b) of Section 1-161 to instead receive the benefits provided
602+24 under this Section and the applicable provisions of that
603+25 Article.
604+26 This Section does not apply to a person who elects under
605+
606+
607+
608+
609+
610+ HB3765 - 16 - LRB103 31021 RPS 57638 b
611+
612+
613+HB3765- 17 -LRB103 31021 RPS 57638 b HB3765 - 17 - LRB103 31021 RPS 57638 b
614+ HB3765 - 17 - LRB103 31021 RPS 57638 b
615+1 subsection (c-5) of Section 1-161 to receive the benefits
616+2 under Section 1-161.
617+3 This Section does not apply to a person who first becomes a
618+4 member or participant of an affected pension fund on or after 6
619+5 months after the resolution or ordinance date, as defined in
620+6 Section 1-162, unless that person elects under subsection (c)
621+7 of Section 1-162 to receive the benefits provided under this
622+8 Section and the applicable provisions of the Article under
623+9 which he or she is a member or participant.
624+10 (b) "Final average salary" means, except as otherwise
625+11 provided in this subsection, the average monthly (or annual)
626+12 salary obtained by dividing the total salary or earnings
627+13 calculated under the Article applicable to the member or
628+14 participant during the 96 consecutive months (or 8 consecutive
629+15 years) of service within the last 120 months (or 10 years) of
630+16 service in which the total salary or earnings calculated under
631+17 the applicable Article was the highest by the number of months
632+18 (or years) of service in that period. For the purposes of a
633+19 person who first becomes a member or participant of any
634+20 retirement system or pension fund to which this Section
635+21 applies on or after January 1, 2011, in this Code, "final
636+22 average salary" shall be substituted for the following:
637+23 (1) (Blank).
638+24 (2) In Articles 8, 9, 10, 11, and 12, "highest average
639+25 annual salary for any 4 consecutive years within the last
640+26 10 years of service immediately preceding the date of
641+
642+
643+
644+
645+
646+ HB3765 - 17 - LRB103 31021 RPS 57638 b
647+
648+
649+HB3765- 18 -LRB103 31021 RPS 57638 b HB3765 - 18 - LRB103 31021 RPS 57638 b
650+ HB3765 - 18 - LRB103 31021 RPS 57638 b
651+1 withdrawal".
652+2 (3) In Article 13, "average final salary".
653+3 (4) In Article 14, "final average compensation".
654+4 (5) In Article 17, "average salary".
655+5 (6) In Section 22-207, "wages or salary received by
656+6 him at the date of retirement or discharge".
657+7 A member of the Teachers' Retirement System of the State
658+8 of Illinois who retires on or after June 1, 2021 and for whom
659+9 the 2020-2021 school year is used in the calculation of the
660+10 member's final average salary shall use the higher of the
661+11 following for the purpose of determining the member's final
662+12 average salary:
663+13 (A) the amount otherwise calculated under the first
664+14 paragraph of this subsection; or
665+15 (B) an amount calculated by the Teachers' Retirement
666+16 System of the State of Illinois using the average of the
667+17 monthly (or annual) salary obtained by dividing the total
668+18 salary or earnings calculated under Article 16 applicable
669+19 to the member or participant during the 96 months (or 8
670+20 years) of service within the last 120 months (or 10 years)
671+21 of service in which the total salary or earnings
672+22 calculated under the Article was the highest by the number
673+23 of months (or years) of service in that period.
674+24 (b-5) Beginning on January 1, 2011, for all purposes under
675+25 this Code (including without limitation the calculation of
676+26 benefits and employee contributions), the annual earnings,
677+
678+
679+
680+
681+
682+ HB3765 - 18 - LRB103 31021 RPS 57638 b
683+
684+
685+HB3765- 19 -LRB103 31021 RPS 57638 b HB3765 - 19 - LRB103 31021 RPS 57638 b
686+ HB3765 - 19 - LRB103 31021 RPS 57638 b
687+1 salary, or wages (based on the plan year) of a member or
688+2 participant to whom this Section applies shall not exceed
689+3 $106,800; however, that amount shall annually thereafter be
690+4 increased by the lesser of (i) 3% of that amount, including all
691+5 previous adjustments, or (ii) one-half the annual unadjusted
692+6 percentage increase (but not less than zero) in the consumer
693+7 price index-u for the 12 months ending with the September
694+8 preceding each November 1, including all previous adjustments.
695+9 For the purposes of this Section, "consumer price index-u"
696+10 means the index published by the Bureau of Labor Statistics of
697+11 the United States Department of Labor that measures the
698+12 average change in prices of goods and services purchased by
699+13 all urban consumers, United States city average, all items,
700+14 1982-84 = 100. The new amount resulting from each annual
701+15 adjustment shall be determined by the Public Pension Division
702+16 of the Department of Insurance and made available to the
703+17 boards of the retirement systems and pension funds by November
704+18 1 of each year.
705+19 (b-10) Beginning on January 1, 2024, for all purposes
706+20 under this Code (including, without limitation, the
707+21 calculation of benefits and employee contributions), the
708+22 annual earnings, salary, or wages (based on the plan year) of a
709+23 member or participant under Article 9 to whom this Section
710+24 applies shall include an annual earnings, salary, or wage cap
711+25 that tracks the Social Security wage base. Maximum annual
712+26 earnings, wages, or salary shall be the annual contribution
713+
714+
715+
716+
717+
718+ HB3765 - 19 - LRB103 31021 RPS 57638 b
719+
720+
721+HB3765- 20 -LRB103 31021 RPS 57638 b HB3765 - 20 - LRB103 31021 RPS 57638 b
722+ HB3765 - 20 - LRB103 31021 RPS 57638 b
723+1 and benefit base established for the applicable year by the
724+2 Commissioner of the Social Security Administration under the
725+3 federal Social Security Act.
726+4 However, in no event shall the annual earnings, salary, or
727+5 wages for the purposes of this Article and Article 9 exceed any
728+6 limitation imposed on annual earnings, salary, or wages under
729+7 Section 1-117. Under no circumstances shall the maximum amount
730+8 of annual earnings, salary, or wages be greater than the
731+9 amount set forth in this subsection (b-10) as a result of
732+10 reciprocal service or any provisions regarding reciprocal
733+11 services, nor shall the Fund under Article 9 be required to pay
734+12 any refund as a result of the application of this maximum
735+13 annual earnings, salary, and wage cap.
736+14 Nothing in this subsection (b-10) shall cause or otherwise
737+15 result in any retroactive adjustment of any employee
738+16 contributions. Nothing in this subsection (b-10) shall cause
739+17 or otherwise result in any retroactive adjustment of
740+18 disability or other payments made between January 1, 2011 and
741+19 January 1, 2024.
742+20 (c) A member or participant is entitled to a retirement
743+21 annuity upon written application if he or she has attained age
744+22 67 (age 65, with respect to service under Article 12 that is
745+23 subject to this Section, for a member or participant under
746+24 Article 12 who first becomes a member or participant under
747+25 Article 12 on or after January 1, 2022 or who makes the
748+26 election under item (i) of subsection (d-15) of this Section)
749+
750+
751+
752+
753+
754+ HB3765 - 20 - LRB103 31021 RPS 57638 b
755+
756+
757+HB3765- 21 -LRB103 31021 RPS 57638 b HB3765 - 21 - LRB103 31021 RPS 57638 b
758+ HB3765 - 21 - LRB103 31021 RPS 57638 b
759+1 and has at least 10 years of service credit and is otherwise
760+2 eligible under the requirements of the applicable Article.
761+3 A member or participant who has attained age 62 (age 60,
762+4 with respect to service under Article 12 that is subject to
763+5 this Section, for a member or participant under Article 12 who
764+6 first becomes a member or participant under Article 12 on or
765+7 after January 1, 2022 or who makes the election under item (i)
766+8 of subsection (d-15) of this Section) and has at least 10 years
767+9 of service credit and is otherwise eligible under the
768+10 requirements of the applicable Article may elect to receive
769+11 the lower retirement annuity provided in subsection (d) of
770+12 this Section.
771+13 (c-5) A person who first becomes a member or a participant
772+14 subject to this Section on or after July 6, 2017 (the effective
773+15 date of Public Act 100-23), notwithstanding any other
774+16 provision of this Code to the contrary, is entitled to a
775+17 retirement annuity under Article 8 or Article 11 upon written
776+18 application if he or she has attained age 65 and has at least
777+19 10 years of service credit and is otherwise eligible under the
778+20 requirements of Article 8 or Article 11 of this Code,
779+21 whichever is applicable.
780+22 (d) The retirement annuity of a member or participant who
781+23 is retiring after attaining age 62 (age 60, with respect to
782+24 service under Article 12 that is subject to this Section, for a
783+25 member or participant under Article 12 who first becomes a
784+26 member or participant under Article 12 on or after January 1,
785+
786+
787+
788+
789+
790+ HB3765 - 21 - LRB103 31021 RPS 57638 b
791+
792+
793+HB3765- 22 -LRB103 31021 RPS 57638 b HB3765 - 22 - LRB103 31021 RPS 57638 b
794+ HB3765 - 22 - LRB103 31021 RPS 57638 b
795+1 2022 or who makes the election under item (i) of subsection
796+2 (d-15) of this Section) with at least 10 years of service
797+3 credit shall be reduced by one-half of 1% for each full month
798+4 that the member's age is under age 67 (age 65, with respect to
799+5 service under Article 12 that is subject to this Section, for a
800+6 member or participant under Article 12 who first becomes a
801+7 member or participant under Article 12 on or after January 1,
802+8 2022 or who makes the election under item (i) of subsection
803+9 (d-15) of this Section).
804+10 (d-5) The retirement annuity payable under Article 8 or
805+11 Article 11 to an eligible person subject to subsection (c-5)
806+12 of this Section who is retiring at age 60 with at least 10
807+13 years of service credit shall be reduced by one-half of 1% for
808+14 each full month that the member's age is under age 65.
809+15 (d-10) Each person who first became a member or
810+16 participant under Article 8 or Article 11 of this Code on or
811+17 after January 1, 2011 and prior to July 6, 2017 (the effective
812+18 date of Public Act 100-23) shall make an irrevocable election
813+19 either:
814+20 (i) to be eligible for the reduced retirement age
815+21 provided in subsections (c-5) and (d-5) of this Section,
816+22 the eligibility for which is conditioned upon the member
817+23 or participant agreeing to the increases in employee
818+24 contributions for age and service annuities provided in
819+25 subsection (a-5) of Section 8-174 of this Code (for
820+26 service under Article 8) or subsection (a-5) of Section
821+
822+
823+
824+
825+
826+ HB3765 - 22 - LRB103 31021 RPS 57638 b
827+
828+
829+HB3765- 23 -LRB103 31021 RPS 57638 b HB3765 - 23 - LRB103 31021 RPS 57638 b
830+ HB3765 - 23 - LRB103 31021 RPS 57638 b
831+1 11-170 of this Code (for service under Article 11); or
832+2 (ii) to not agree to item (i) of this subsection
833+3 (d-10), in which case the member or participant shall
834+4 continue to be subject to the retirement age provisions in
835+5 subsections (c) and (d) of this Section and the employee
836+6 contributions for age and service annuity as provided in
837+7 subsection (a) of Section 8-174 of this Code (for service
838+8 under Article 8) or subsection (a) of Section 11-170 of
839+9 this Code (for service under Article 11).
840+10 The election provided for in this subsection shall be made
841+11 between October 1, 2017 and November 15, 2017. A person
842+12 subject to this subsection who makes the required election
843+13 shall remain bound by that election. A person subject to this
844+14 subsection who fails for any reason to make the required
845+15 election within the time specified in this subsection shall be
846+16 deemed to have made the election under item (ii).
847+17 (d-15) Each person who first becomes a member or
848+18 participant under Article 12 on or after January 1, 2011 and
849+19 prior to January 1, 2022 shall make an irrevocable election
850+20 either:
851+21 (i) to be eligible for the reduced retirement age
852+22 specified in subsections (c) and (d) of this Section, the
853+23 eligibility for which is conditioned upon the member or
854+24 participant agreeing to the increase in employee
855+25 contributions for service annuities specified in
856+26 subsection (b) of Section 12-150; or
857+
858+
859+
860+
861+
862+ HB3765 - 23 - LRB103 31021 RPS 57638 b
863+
864+
865+HB3765- 24 -LRB103 31021 RPS 57638 b HB3765 - 24 - LRB103 31021 RPS 57638 b
866+ HB3765 - 24 - LRB103 31021 RPS 57638 b
867+1 (ii) to not agree to item (i) of this subsection
868+2 (d-15), in which case the member or participant shall not
869+3 be eligible for the reduced retirement age specified in
870+4 subsections (c) and (d) of this Section and shall not be
871+5 subject to the increase in employee contributions for
872+6 service annuities specified in subsection (b) of Section
873+7 12-150.
874+8 The election provided for in this subsection shall be made
875+9 between January 1, 2022 and April 1, 2022. A person subject to
876+10 this subsection who makes the required election shall remain
877+11 bound by that election. A person subject to this subsection
878+12 who fails for any reason to make the required election within
879+13 the time specified in this subsection shall be deemed to have
880+14 made the election under item (ii).
881+15 (e) Any retirement annuity or supplemental annuity shall
882+16 be subject to annual increases on the January 1 occurring
883+17 either on or after the attainment of age 67 (age 65, with
884+18 respect to service under Article 12 that is subject to this
885+19 Section, for a member or participant under Article 12 who
886+20 first becomes a member or participant under Article 12 on or
887+21 after January 1, 2022 or who makes the election under item (i)
888+22 of subsection (d-15); and beginning on July 6, 2017 (the
889+23 effective date of Public Act 100-23), age 65 with respect to
890+24 service under Article 8 or Article 11 for eligible persons
891+25 who: (i) are subject to subsection (c-5) of this Section; or
892+26 (ii) made the election under item (i) of subsection (d-10) of
893+
894+
895+
896+
897+
898+ HB3765 - 24 - LRB103 31021 RPS 57638 b
899+
900+
901+HB3765- 25 -LRB103 31021 RPS 57638 b HB3765 - 25 - LRB103 31021 RPS 57638 b
902+ HB3765 - 25 - LRB103 31021 RPS 57638 b
903+1 this Section) or the first anniversary of the annuity start
904+2 date, whichever is later. Each annual increase shall be
905+3 calculated at 3% or one-half the annual unadjusted percentage
906+4 increase (but not less than zero) in the consumer price
907+5 index-u for the 12 months ending with the September preceding
908+6 each November 1, whichever is less, of the originally granted
909+7 retirement annuity. If the annual unadjusted percentage change
910+8 in the consumer price index-u for the 12 months ending with the
911+9 September preceding each November 1 is zero or there is a
912+10 decrease, then the annuity shall not be increased.
913+11 For the purposes of Section 1-103.1 of this Code, the
914+12 changes made to this Section by Public Act 102-263 are
915+13 applicable without regard to whether the employee was in
916+14 active service on or after August 6, 2021 (the effective date
917+15 of Public Act 102-263).
918+16 For the purposes of Section 1-103.1 of this Code, the
919+17 changes made to this Section by Public Act 100-23 are
920+18 applicable without regard to whether the employee was in
921+19 active service on or after July 6, 2017 (the effective date of
922+20 Public Act 100-23).
923+21 (f) The initial survivor's or widow's annuity of an
924+22 otherwise eligible survivor or widow of a retired member or
925+23 participant who first became a member or participant on or
926+24 after January 1, 2011 shall be in the amount of 66 2/3% of the
927+25 retired member's or participant's retirement annuity at the
928+26 date of death. In the case of the death of a member or
929+
930+
931+
932+
933+
934+ HB3765 - 25 - LRB103 31021 RPS 57638 b
935+
936+
937+HB3765- 26 -LRB103 31021 RPS 57638 b HB3765 - 26 - LRB103 31021 RPS 57638 b
938+ HB3765 - 26 - LRB103 31021 RPS 57638 b
939+1 participant who has not retired and who first became a member
940+2 or participant on or after January 1, 2011, eligibility for a
941+3 survivor's or widow's annuity shall be determined by the
942+4 applicable Article of this Code. The initial benefit shall be
943+5 66 2/3% of the earned annuity without a reduction due to age. A
944+6 child's annuity of an otherwise eligible child shall be in the
945+7 amount prescribed under each Article if applicable. Any
946+8 survivor's or widow's annuity shall be increased (1) on each
947+9 January 1 occurring on or after the commencement of the
948+10 annuity if the deceased member died while receiving a
949+11 retirement annuity or (2) in other cases, on each January 1
950+12 occurring after the first anniversary of the commencement of
951+13 the annuity. Each annual increase shall be calculated at 3% or
952+14 one-half the annual unadjusted percentage increase (but not
953+15 less than zero) in the consumer price index-u for the 12 months
954+16 ending with the September preceding each November 1, whichever
955+17 is less, of the originally granted survivor's annuity. If the
956+18 annual unadjusted percentage change in the consumer price
957+19 index-u for the 12 months ending with the September preceding
958+20 each November 1 is zero or there is a decrease, then the
959+21 annuity shall not be increased.
960+22 (g) The benefits in Section 14-110 apply only if the
961+23 person is a State policeman, a fire fighter in the fire
962+24 protection service of a department, a conservation police
963+25 officer, an investigator for the Secretary of State, an arson
964+26 investigator, a Commerce Commission police officer,
965+
966+
967+
968+
969+
970+ HB3765 - 26 - LRB103 31021 RPS 57638 b
971+
972+
973+HB3765- 27 -LRB103 31021 RPS 57638 b HB3765 - 27 - LRB103 31021 RPS 57638 b
974+ HB3765 - 27 - LRB103 31021 RPS 57638 b
975+1 investigator for the Department of Revenue or the Illinois
976+2 Gaming Board, a security employee of the Department of
977+3 Corrections or the Department of Juvenile Justice, or a
978+4 security employee of the Department of Innovation and
979+5 Technology, as those terms are defined in subsection (b) and
980+6 subsection (c) of Section 14-110. A person who meets the
981+7 requirements of this Section is entitled to an annuity
982+8 calculated under the provisions of Section 14-110, in lieu of
983+9 the regular or minimum retirement annuity, only if the person
984+10 has withdrawn from service with not less than 20 years of
985+11 eligible creditable service and has attained age 60,
986+12 regardless of whether the attainment of age 60 occurs while
987+13 the person is still in service.
988+14 (h) If a person who first becomes a member or a participant
989+15 of a retirement system or pension fund subject to this Section
990+16 on or after January 1, 2011 is receiving a retirement annuity
991+17 or retirement pension under that system or fund and becomes a
992+18 member or participant under any other system or fund created
993+19 by this Code and is employed on a full-time basis, except for
994+20 those members or participants exempted from the provisions of
995+21 this Section under subsection (a) of this Section, then the
996+22 person's retirement annuity or retirement pension under that
997+23 system or fund shall be suspended during that employment. Upon
998+24 termination of that employment, the person's retirement
999+25 annuity or retirement pension payments shall resume and be
1000+26 recalculated if recalculation is provided for under the
1001+
1002+
1003+
1004+
1005+
1006+ HB3765 - 27 - LRB103 31021 RPS 57638 b
1007+
1008+
1009+HB3765- 28 -LRB103 31021 RPS 57638 b HB3765 - 28 - LRB103 31021 RPS 57638 b
1010+ HB3765 - 28 - LRB103 31021 RPS 57638 b
1011+1 applicable Article of this Code.
1012+2 If a person who first becomes a member of a retirement
1013+3 system or pension fund subject to this Section on or after
1014+4 January 1, 2012 and is receiving a retirement annuity or
1015+5 retirement pension under that system or fund and accepts on a
1016+6 contractual basis a position to provide services to a
1017+7 governmental entity from which he or she has retired, then
1018+8 that person's annuity or retirement pension earned as an
1019+9 active employee of the employer shall be suspended during that
1020+10 contractual service. A person receiving an annuity or
1021+11 retirement pension under this Code shall notify the pension
1022+12 fund or retirement system from which he or she is receiving an
1023+13 annuity or retirement pension, as well as his or her
1024+14 contractual employer, of his or her retirement status before
1025+15 accepting contractual employment. A person who fails to submit
1026+16 such notification shall be guilty of a Class A misdemeanor and
1027+17 required to pay a fine of $1,000. Upon termination of that
1028+18 contractual employment, the person's retirement annuity or
1029+19 retirement pension payments shall resume and, if appropriate,
1030+20 be recalculated under the applicable provisions of this Code.
1031+21 (i) (Blank).
1032+22 (j) In the case of a conflict between the provisions of
1033+23 this Section and any other provision of this Code, the
1034+24 provisions of this Section shall control.
1035+25 (Source: P.A. 101-610, eff. 1-1-20; 102-16, eff. 6-17-21;
1036+26 102-210, eff. 1-1-22; 102-263, eff. 8-6-21; 102-813, eff.
1037+
1038+
1039+
1040+
1041+
1042+ HB3765 - 28 - LRB103 31021 RPS 57638 b
1043+
1044+
1045+HB3765- 29 -LRB103 31021 RPS 57638 b HB3765 - 29 - LRB103 31021 RPS 57638 b
1046+ HB3765 - 29 - LRB103 31021 RPS 57638 b
1047+1 5-13-22.)
1048+2 (Text of Section from P.A. 102-956)
1049+3 Sec. 1-160. Provisions applicable to new hires.
1050+4 (a) The provisions of this Section apply to a person who,
1051+5 on or after January 1, 2011, first becomes a member or a
1052+6 participant under any reciprocal retirement system or pension
1053+7 fund established under this Code, other than a retirement
1054+8 system or pension fund established under Article 2, 3, 4, 5, 6,
1055+9 7, 15, or 18 of this Code, notwithstanding any other provision
1056+10 of this Code to the contrary, but do not apply to any
1057+11 self-managed plan established under this Code or to any
1058+12 participant of the retirement plan established under Section
1059+13 22-101; except that this Section applies to a person who
1060+14 elected to establish alternative credits by electing in
1061+15 writing after January 1, 2011, but before August 8, 2011,
1062+16 under Section 7-145.1 of this Code. Notwithstanding anything
1063+17 to the contrary in this Section, for purposes of this Section,
1064+18 a person who is a Tier 1 regular employee as defined in Section
1065+19 7-109.4 of this Code or who participated in a retirement
1066+20 system under Article 15 prior to January 1, 2011 shall be
1067+21 deemed a person who first became a member or participant prior
1068+22 to January 1, 2011 under any retirement system or pension fund
1069+23 subject to this Section. The changes made to this Section by
1070+24 Public Act 98-596 are a clarification of existing law and are
1071+25 intended to be retroactive to January 1, 2011 (the effective
1072+
1073+
1074+
1075+
1076+
1077+ HB3765 - 29 - LRB103 31021 RPS 57638 b
1078+
1079+
1080+HB3765- 30 -LRB103 31021 RPS 57638 b HB3765 - 30 - LRB103 31021 RPS 57638 b
1081+ HB3765 - 30 - LRB103 31021 RPS 57638 b
1082+1 date of Public Act 96-889), notwithstanding the provisions of
1083+2 Section 1-103.1 of this Code.
1084+3 This Section does not apply to a person who first becomes a
1085+4 noncovered employee under Article 14 on or after the
1086+5 implementation date of the plan created under Section 1-161
1087+6 for that Article, unless that person elects under subsection
1088+7 (b) of Section 1-161 to instead receive the benefits provided
1089+8 under this Section and the applicable provisions of that
1090+9 Article.
1091+10 This Section does not apply to a person who first becomes a
1092+11 member or participant under Article 16 on or after the
1093+12 implementation date of the plan created under Section 1-161
1094+13 for that Article, unless that person elects under subsection
1095+14 (b) of Section 1-161 to instead receive the benefits provided
1096+15 under this Section and the applicable provisions of that
1097+16 Article.
1098+17 This Section does not apply to a person who elects under
1099+18 subsection (c-5) of Section 1-161 to receive the benefits
1100+19 under Section 1-161.
1101+20 This Section does not apply to a person who first becomes a
1102+21 member or participant of an affected pension fund on or after 6
1103+22 months after the resolution or ordinance date, as defined in
1104+23 Section 1-162, unless that person elects under subsection (c)
1105+24 of Section 1-162 to receive the benefits provided under this
1106+25 Section and the applicable provisions of the Article under
1107+26 which he or she is a member or participant.
1108+
1109+
1110+
1111+
1112+
1113+ HB3765 - 30 - LRB103 31021 RPS 57638 b
1114+
1115+
1116+HB3765- 31 -LRB103 31021 RPS 57638 b HB3765 - 31 - LRB103 31021 RPS 57638 b
1117+ HB3765 - 31 - LRB103 31021 RPS 57638 b
1118+1 (b) "Final average salary" means, except as otherwise
1119+2 provided in this subsection, the average monthly (or annual)
1120+3 salary obtained by dividing the total salary or earnings
1121+4 calculated under the Article applicable to the member or
1122+5 participant during the 96 consecutive months (or 8 consecutive
1123+6 years) of service within the last 120 months (or 10 years) of
1124+7 service in which the total salary or earnings calculated under
1125+8 the applicable Article was the highest by the number of months
1126+9 (or years) of service in that period. For the purposes of a
1127+10 person who first becomes a member or participant of any
1128+11 retirement system or pension fund to which this Section
1129+12 applies on or after January 1, 2011, in this Code, "final
1130+13 average salary" shall be substituted for the following:
1131+14 (1) (Blank).
1132+15 (2) In Articles 8, 9, 10, 11, and 12, "highest average
1133+16 annual salary for any 4 consecutive years within the last
1134+17 10 years of service immediately preceding the date of
1135+18 withdrawal".
1136+19 (3) In Article 13, "average final salary".
1137+20 (4) In Article 14, "final average compensation".
1138+21 (5) In Article 17, "average salary".
1139+22 (6) In Section 22-207, "wages or salary received by
1140+23 him at the date of retirement or discharge".
1141+24 A member of the Teachers' Retirement System of the State
1142+25 of Illinois who retires on or after June 1, 2021 and for whom
1143+26 the 2020-2021 school year is used in the calculation of the
1144+
1145+
1146+
1147+
1148+
1149+ HB3765 - 31 - LRB103 31021 RPS 57638 b
1150+
1151+
1152+HB3765- 32 -LRB103 31021 RPS 57638 b HB3765 - 32 - LRB103 31021 RPS 57638 b
1153+ HB3765 - 32 - LRB103 31021 RPS 57638 b
1154+1 member's final average salary shall use the higher of the
1155+2 following for the purpose of determining the member's final
1156+3 average salary:
1157+4 (A) the amount otherwise calculated under the first
1158+5 paragraph of this subsection; or
1159+6 (B) an amount calculated by the Teachers' Retirement
1160+7 System of the State of Illinois using the average of the
1161+8 monthly (or annual) salary obtained by dividing the total
1162+9 salary or earnings calculated under Article 16 applicable
1163+10 to the member or participant during the 96 months (or 8
1164+11 years) of service within the last 120 months (or 10 years)
1165+12 of service in which the total salary or earnings
1166+13 calculated under the Article was the highest by the number
1167+14 of months (or years) of service in that period.
1168+15 (b-5) Beginning on January 1, 2011, for all purposes under
1169+16 this Code (including without limitation the calculation of
1170+17 benefits and employee contributions), the annual earnings,
1171+18 salary, or wages (based on the plan year) of a member or
1172+19 participant to whom this Section applies shall not exceed
1173+20 $106,800; however, that amount shall annually thereafter be
1174+21 increased by the lesser of (i) 3% of that amount, including all
1175+22 previous adjustments, or (ii) one-half the annual unadjusted
1176+23 percentage increase (but not less than zero) in the consumer
1177+24 price index-u for the 12 months ending with the September
1178+25 preceding each November 1, including all previous adjustments.
1179+26 For the purposes of this Section, "consumer price index-u"
1180+
1181+
1182+
1183+
1184+
1185+ HB3765 - 32 - LRB103 31021 RPS 57638 b
1186+
1187+
1188+HB3765- 33 -LRB103 31021 RPS 57638 b HB3765 - 33 - LRB103 31021 RPS 57638 b
1189+ HB3765 - 33 - LRB103 31021 RPS 57638 b
1190+1 means the index published by the Bureau of Labor Statistics of
1191+2 the United States Department of Labor that measures the
1192+3 average change in prices of goods and services purchased by
1193+4 all urban consumers, United States city average, all items,
1194+5 1982-84 = 100. The new amount resulting from each annual
1195+6 adjustment shall be determined by the Public Pension Division
1196+7 of the Department of Insurance and made available to the
1197+8 boards of the retirement systems and pension funds by November
1198+9 1 of each year.
1199+10 (b-10) Beginning on January 1, 2024, for all purposes
1200+11 under this Code (including, without limitation, the
1201+12 calculation of benefits and employee contributions), the
1202+13 annual earnings, salary, or wages (based on the plan year) of a
1203+14 member or participant under Article 9 to whom this Section
1204+15 applies shall include an annual earnings, salary, or wage cap
1205+16 that tracks the Social Security wage base. Maximum annual
1206+17 earnings, wages, or salary shall be the annual contribution
1207+18 and benefit base established for the applicable year by the
1208+19 Commissioner of the Social Security Administration under the
1209+20 federal Social Security Act.
1210+21 However, in no event shall the annual earnings, salary, or
1211+22 wages for the purposes of this Article and Article 9 exceed any
1212+23 limitation imposed on annual earnings, salary, or wages under
1213+24 Section 1-117. Under no circumstances shall the maximum amount
1214+25 of annual earnings, salary, or wages be greater than the
1215+26 amount set forth in this subsection (b-10) as a result of
1216+
1217+
1218+
1219+
1220+
1221+ HB3765 - 33 - LRB103 31021 RPS 57638 b
1222+
1223+
1224+HB3765- 34 -LRB103 31021 RPS 57638 b HB3765 - 34 - LRB103 31021 RPS 57638 b
1225+ HB3765 - 34 - LRB103 31021 RPS 57638 b
1226+1 reciprocal service or any provisions regarding reciprocal
1227+2 services, nor shall the Fund under Article 9 be required to pay
1228+3 any refund as a result of the application of this maximum
1229+4 annual earnings, salary, and wage cap.
1230+5 Nothing in this subsection (b-10) shall cause or otherwise
1231+6 result in any retroactive adjustment of any employee
1232+7 contributions. Nothing in this subsection (b-10) shall cause
1233+8 or otherwise result in any retroactive adjustment of
1234+9 disability or other payments made between January 1, 2011 and
1235+10 January 1, 2024.
1236+11 (c) A member or participant is entitled to a retirement
1237+12 annuity upon written application if he or she has attained age
1238+13 67 (age 65, with respect to service under Article 12 that is
1239+14 subject to this Section, for a member or participant under
1240+15 Article 12 who first becomes a member or participant under
1241+16 Article 12 on or after January 1, 2022 or who makes the
1242+17 election under item (i) of subsection (d-15) of this Section)
1243+18 and has at least 10 years of service credit and is otherwise
1244+19 eligible under the requirements of the applicable Article.
1245+20 A member or participant who has attained age 62 (age 60,
1246+21 with respect to service under Article 12 that is subject to
1247+22 this Section, for a member or participant under Article 12 who
1248+23 first becomes a member or participant under Article 12 on or
1249+24 after January 1, 2022 or who makes the election under item (i)
1250+25 of subsection (d-15) of this Section) and has at least 10 years
1251+26 of service credit and is otherwise eligible under the
1252+
1253+
1254+
1255+
1256+
1257+ HB3765 - 34 - LRB103 31021 RPS 57638 b
1258+
1259+
1260+HB3765- 35 -LRB103 31021 RPS 57638 b HB3765 - 35 - LRB103 31021 RPS 57638 b
1261+ HB3765 - 35 - LRB103 31021 RPS 57638 b
1262+1 requirements of the applicable Article may elect to receive
1263+2 the lower retirement annuity provided in subsection (d) of
1264+3 this Section.
1265+4 (c-5) A person who first becomes a member or a participant
1266+5 subject to this Section on or after July 6, 2017 (the effective
1267+6 date of Public Act 100-23), notwithstanding any other
1268+7 provision of this Code to the contrary, is entitled to a
1269+8 retirement annuity under Article 8 or Article 11 upon written
1270+9 application if he or she has attained age 65 and has at least
1271+10 10 years of service credit and is otherwise eligible under the
1272+11 requirements of Article 8 or Article 11 of this Code,
1273+12 whichever is applicable.
1274+13 (d) The retirement annuity of a member or participant who
1275+14 is retiring after attaining age 62 (age 60, with respect to
1276+15 service under Article 12 that is subject to this Section, for a
1277+16 member or participant under Article 12 who first becomes a
1278+17 member or participant under Article 12 on or after January 1,
1279+18 2022 or who makes the election under item (i) of subsection
1280+19 (d-15) of this Section) with at least 10 years of service
1281+20 credit shall be reduced by one-half of 1% for each full month
1282+21 that the member's age is under age 67 (age 65, with respect to
1283+22 service under Article 12 that is subject to this Section, for a
1284+23 member or participant under Article 12 who first becomes a
1285+24 member or participant under Article 12 on or after January 1,
1286+25 2022 or who makes the election under item (i) of subsection
1287+26 (d-15) of this Section).
1288+
1289+
1290+
1291+
1292+
1293+ HB3765 - 35 - LRB103 31021 RPS 57638 b
1294+
1295+
1296+HB3765- 36 -LRB103 31021 RPS 57638 b HB3765 - 36 - LRB103 31021 RPS 57638 b
1297+ HB3765 - 36 - LRB103 31021 RPS 57638 b
1298+1 (d-5) The retirement annuity payable under Article 8 or
1299+2 Article 11 to an eligible person subject to subsection (c-5)
1300+3 of this Section who is retiring at age 60 with at least 10
1301+4 years of service credit shall be reduced by one-half of 1% for
1302+5 each full month that the member's age is under age 65.
1303+6 (d-10) Each person who first became a member or
1304+7 participant under Article 8 or Article 11 of this Code on or
1305+8 after January 1, 2011 and prior to July 6, 2017 (the effective
1306+9 date of Public Act 100-23) shall make an irrevocable election
1307+10 either:
1308+11 (i) to be eligible for the reduced retirement age
1309+12 provided in subsections (c-5) and (d-5) of this Section,
1310+13 the eligibility for which is conditioned upon the member
1311+14 or participant agreeing to the increases in employee
1312+15 contributions for age and service annuities provided in
1313+16 subsection (a-5) of Section 8-174 of this Code (for
1314+17 service under Article 8) or subsection (a-5) of Section
1315+18 11-170 of this Code (for service under Article 11); or
1316+19 (ii) to not agree to item (i) of this subsection
1317+20 (d-10), in which case the member or participant shall
1318+21 continue to be subject to the retirement age provisions in
1319+22 subsections (c) and (d) of this Section and the employee
1320+23 contributions for age and service annuity as provided in
1321+24 subsection (a) of Section 8-174 of this Code (for service
1322+25 under Article 8) or subsection (a) of Section 11-170 of
1323+26 this Code (for service under Article 11).
1324+
1325+
1326+
1327+
1328+
1329+ HB3765 - 36 - LRB103 31021 RPS 57638 b
1330+
1331+
1332+HB3765- 37 -LRB103 31021 RPS 57638 b HB3765 - 37 - LRB103 31021 RPS 57638 b
1333+ HB3765 - 37 - LRB103 31021 RPS 57638 b
1334+1 The election provided for in this subsection shall be made
1335+2 between October 1, 2017 and November 15, 2017. A person
1336+3 subject to this subsection who makes the required election
1337+4 shall remain bound by that election. A person subject to this
1338+5 subsection who fails for any reason to make the required
1339+6 election within the time specified in this subsection shall be
1340+7 deemed to have made the election under item (ii).
1341+8 (d-15) Each person who first becomes a member or
1342+9 participant under Article 12 on or after January 1, 2011 and
1343+10 prior to January 1, 2022 shall make an irrevocable election
1344+11 either:
1345+12 (i) to be eligible for the reduced retirement age
1346+13 specified in subsections (c) and (d) of this Section, the
1347+14 eligibility for which is conditioned upon the member or
1348+15 participant agreeing to the increase in employee
1349+16 contributions for service annuities specified in
1350+17 subsection (b) of Section 12-150; or
1351+18 (ii) to not agree to item (i) of this subsection
1352+19 (d-15), in which case the member or participant shall not
1353+20 be eligible for the reduced retirement age specified in
1354+21 subsections (c) and (d) of this Section and shall not be
1355+22 subject to the increase in employee contributions for
1356+23 service annuities specified in subsection (b) of Section
1357+24 12-150.
1358+25 The election provided for in this subsection shall be made
1359+26 between January 1, 2022 and April 1, 2022. A person subject to
1360+
1361+
1362+
1363+
1364+
1365+ HB3765 - 37 - LRB103 31021 RPS 57638 b
1366+
1367+
1368+HB3765- 38 -LRB103 31021 RPS 57638 b HB3765 - 38 - LRB103 31021 RPS 57638 b
1369+ HB3765 - 38 - LRB103 31021 RPS 57638 b
1370+1 this subsection who makes the required election shall remain
1371+2 bound by that election. A person subject to this subsection
1372+3 who fails for any reason to make the required election within
1373+4 the time specified in this subsection shall be deemed to have
1374+5 made the election under item (ii).
1375+6 (e) Any retirement annuity or supplemental annuity shall
1376+7 be subject to annual increases on the January 1 occurring
1377+8 either on or after the attainment of age 67 (age 65, with
1378+9 respect to service under Article 12 that is subject to this
1379+10 Section, for a member or participant under Article 12 who
1380+11 first becomes a member or participant under Article 12 on or
1381+12 after January 1, 2022 or who makes the election under item (i)
1382+13 of subsection (d-15); and beginning on July 6, 2017 (the
1383+14 effective date of Public Act 100-23), age 65 with respect to
1384+15 service under Article 8 or Article 11 for eligible persons
1385+16 who: (i) are subject to subsection (c-5) of this Section; or
1386+17 (ii) made the election under item (i) of subsection (d-10) of
1387+18 this Section) or the first anniversary of the annuity start
1388+19 date, whichever is later. Each annual increase shall be
1389+20 calculated at 3% or one-half the annual unadjusted percentage
1390+21 increase (but not less than zero) in the consumer price
1391+22 index-u for the 12 months ending with the September preceding
1392+23 each November 1, whichever is less, of the originally granted
1393+24 retirement annuity. If the annual unadjusted percentage change
1394+25 in the consumer price index-u for the 12 months ending with the
1395+26 September preceding each November 1 is zero or there is a
1396+
1397+
1398+
1399+
1400+
1401+ HB3765 - 38 - LRB103 31021 RPS 57638 b
1402+
1403+
1404+HB3765- 39 -LRB103 31021 RPS 57638 b HB3765 - 39 - LRB103 31021 RPS 57638 b
1405+ HB3765 - 39 - LRB103 31021 RPS 57638 b
1406+1 decrease, then the annuity shall not be increased.
1407+2 For the purposes of Section 1-103.1 of this Code, the
1408+3 changes made to this Section by Public Act 102-263 are
1409+4 applicable without regard to whether the employee was in
1410+5 active service on or after August 6, 2021 (the effective date
1411+6 of Public Act 102-263).
1412+7 For the purposes of Section 1-103.1 of this Code, the
1413+8 changes made to this Section by Public Act 100-23 are
1414+9 applicable without regard to whether the employee was in
1415+10 active service on or after July 6, 2017 (the effective date of
1416+11 Public Act 100-23).
1417+12 (f) The initial survivor's or widow's annuity of an
1418+13 otherwise eligible survivor or widow of a retired member or
1419+14 participant who first became a member or participant on or
1420+15 after January 1, 2011 shall be in the amount of 66 2/3% of the
1421+16 retired member's or participant's retirement annuity at the
1422+17 date of death. In the case of the death of a member or
1423+18 participant who has not retired and who first became a member
1424+19 or participant on or after January 1, 2011, eligibility for a
1425+20 survivor's or widow's annuity shall be determined by the
1426+21 applicable Article of this Code. The initial benefit shall be
1427+22 66 2/3% of the earned annuity without a reduction due to age. A
1428+23 child's annuity of an otherwise eligible child shall be in the
1429+24 amount prescribed under each Article if applicable. Any
1430+25 survivor's or widow's annuity shall be increased (1) on each
1431+26 January 1 occurring on or after the commencement of the
1432+
1433+
1434+
1435+
1436+
1437+ HB3765 - 39 - LRB103 31021 RPS 57638 b
1438+
1439+
1440+HB3765- 40 -LRB103 31021 RPS 57638 b HB3765 - 40 - LRB103 31021 RPS 57638 b
1441+ HB3765 - 40 - LRB103 31021 RPS 57638 b
1442+1 annuity if the deceased member died while receiving a
1443+2 retirement annuity or (2) in other cases, on each January 1
1444+3 occurring after the first anniversary of the commencement of
1445+4 the annuity. Each annual increase shall be calculated at 3% or
1446+5 one-half the annual unadjusted percentage increase (but not
1447+6 less than zero) in the consumer price index-u for the 12 months
1448+7 ending with the September preceding each November 1, whichever
1449+8 is less, of the originally granted survivor's annuity. If the
1450+9 annual unadjusted percentage change in the consumer price
1451+10 index-u for the 12 months ending with the September preceding
1452+11 each November 1 is zero or there is a decrease, then the
1453+12 annuity shall not be increased.
1454+13 (g) The benefits in Section 14-110 apply only if the
1455+14 person is a State policeman, a fire fighter in the fire
1456+15 protection service of a department, a conservation police
1457+16 officer, an investigator for the Secretary of State, an
1458+17 investigator for the Office of the Attorney General, an arson
1459+18 investigator, a Commerce Commission police officer,
1460+19 investigator for the Department of Revenue or the Illinois
1461+20 Gaming Board, a security employee of the Department of
1462+21 Corrections or the Department of Juvenile Justice, or a
1463+22 security employee of the Department of Innovation and
1464+23 Technology, as those terms are defined in subsection (b) and
1465+24 subsection (c) of Section 14-110. A person who meets the
1466+25 requirements of this Section is entitled to an annuity
1467+26 calculated under the provisions of Section 14-110, in lieu of
1468+
1469+
1470+
1471+
1472+
1473+ HB3765 - 40 - LRB103 31021 RPS 57638 b
1474+
1475+
1476+HB3765- 41 -LRB103 31021 RPS 57638 b HB3765 - 41 - LRB103 31021 RPS 57638 b
1477+ HB3765 - 41 - LRB103 31021 RPS 57638 b
1478+1 the regular or minimum retirement annuity, only if the person
1479+2 has withdrawn from service with not less than 20 years of
1480+3 eligible creditable service and has attained age 60,
1481+4 regardless of whether the attainment of age 60 occurs while
1482+5 the person is still in service.
1483+6 (h) If a person who first becomes a member or a participant
1484+7 of a retirement system or pension fund subject to this Section
1485+8 on or after January 1, 2011 is receiving a retirement annuity
1486+9 or retirement pension under that system or fund and becomes a
1487+10 member or participant under any other system or fund created
1488+11 by this Code and is employed on a full-time basis, except for
1489+12 those members or participants exempted from the provisions of
1490+13 this Section under subsection (a) of this Section, then the
1491+14 person's retirement annuity or retirement pension under that
1492+15 system or fund shall be suspended during that employment. Upon
1493+16 termination of that employment, the person's retirement
1494+17 annuity or retirement pension payments shall resume and be
1495+18 recalculated if recalculation is provided for under the
1496+19 applicable Article of this Code.
1497+20 If a person who first becomes a member of a retirement
1498+21 system or pension fund subject to this Section on or after
1499+22 January 1, 2012 and is receiving a retirement annuity or
1500+23 retirement pension under that system or fund and accepts on a
1501+24 contractual basis a position to provide services to a
1502+25 governmental entity from which he or she has retired, then
1503+26 that person's annuity or retirement pension earned as an
1504+
1505+
1506+
1507+
1508+
1509+ HB3765 - 41 - LRB103 31021 RPS 57638 b
1510+
1511+
1512+HB3765- 42 -LRB103 31021 RPS 57638 b HB3765 - 42 - LRB103 31021 RPS 57638 b
1513+ HB3765 - 42 - LRB103 31021 RPS 57638 b
1514+1 active employee of the employer shall be suspended during that
1515+2 contractual service. A person receiving an annuity or
1516+3 retirement pension under this Code shall notify the pension
1517+4 fund or retirement system from which he or she is receiving an
1518+5 annuity or retirement pension, as well as his or her
1519+6 contractual employer, of his or her retirement status before
1520+7 accepting contractual employment. A person who fails to submit
1521+8 such notification shall be guilty of a Class A misdemeanor and
1522+9 required to pay a fine of $1,000. Upon termination of that
1523+10 contractual employment, the person's retirement annuity or
1524+11 retirement pension payments shall resume and, if appropriate,
1525+12 be recalculated under the applicable provisions of this Code.
1526+13 (i) (Blank).
1527+14 (j) In the case of a conflict between the provisions of
1528+15 this Section and any other provision of this Code, the
1529+16 provisions of this Section shall control.
1530+17 (Source: P.A. 101-610, eff. 1-1-20; 102-16, eff. 6-17-21;
1531+18 102-210, eff. 1-1-22; 102-263, eff. 8-6-21; 102-956, eff.
1532+19 5-27-22.)
1533+20 (40 ILCS 5/9-169) (from Ch. 108 1/2, par. 9-169)
1534+21 Sec. 9-169. Financing; tax Financing - Tax levy and other
1535+22 funding sources.
1536+23 (a) The county board shall levy a tax annually upon all
1537+24 taxable property in the county at the rate that will produce a
1538+25 sum which, when added to the amounts deducted from the
1539+
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1541+
1542+
1543+
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1545+
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1547+HB3765- 43 -LRB103 31021 RPS 57638 b HB3765 - 43 - LRB103 31021 RPS 57638 b
1548+ HB3765 - 43 - LRB103 31021 RPS 57638 b
1549+1 salaries of the employees or otherwise contributed by them is
1550+2 sufficient for the requirements of this Article.
1551+3 For the years before 1962 the tax rate shall be as provided
1552+4 in "The 1925 Act". For the years 1962 and 1963 the tax rate
1553+5 shall be not more than .0200 per cent; for the years 1964 and
1554+6 1965 the tax rate shall be not more than .0202 per cent; for
1555+7 the years 1966 and 1967 the tax rate shall be not more than
1556+8 .0207 per cent; for the year 1968 the tax rate shall be not
1557+9 more than .0220 per cent; for the year 1969 the tax rate shall
1558+10 be not more than .0233 per cent; for the year 1970 the tax rate
1559+11 shall be not more than .0255 per cent; for the year 1971 the
1560+12 tax rate shall be not more than .0268 per cent of the value, as
1561+13 equalized or assessed by the Department of Revenue upon all
1562+14 taxable property in the county. Beginning with the year 1972
1563+15 and for each year thereafter the county shall levy a tax
1564+16 annually at a rate on the dollar of the value, as equalized or
1565+17 assessed by the Department of Revenue of all taxable property
1566+18 within the county that will produce, when extended, not to
1567+19 exceed an amount equal to the total amount of contributions
1568+20 made by the employees to the fund in the calendar year 2 years
1569+21 prior to the year for which the annual applicable tax is levied
1570+22 multiplied by .8 for the years 1972 through 1976; by .8 for the
1571+23 year 1977; by .87 for the year 1978; by .94 for the year 1979;
1572+24 by 1.02 for the year 1980 and by 1.10 for the year 1981 and by
1573+25 1.18 for the year 1982 and by 1.36 for the year 1983 and by
1574+26 1.54 for the year 1984 and for each year thereafter.
1575+
1576+
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1581+
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1584+ HB3765 - 44 - LRB103 31021 RPS 57638 b
1585+1 This tax shall be levied and collected in like manner with
1586+2 the general taxes of the county, and shall be in addition to
1587+3 all other taxes which the county is authorized to levy upon the
1588+4 aggregate valuation of all taxable property within the county
1589+5 and shall be exclusive of and in addition to the amount of tax
1590+6 the county is authorized to levy for general purposes under
1591+7 any laws which may limit the amount of tax which the county may
1592+8 levy for general purposes. The county clerk, in reducing tax
1593+9 levies under any Act concerning the levy and extension of
1594+10 taxes, shall not consider this tax as a part of the general tax
1595+11 levy for county purposes, and shall not include it within any
1596+12 limitation of the per cent of the assessed valuation upon
1597+13 which taxes are required to be extended for the county. It is
1598+14 lawful to extend this tax in addition to the general county
1599+15 rate fixed by statute, without being authorized as additional
1600+16 by a vote of the people of the county.
1601+17 Revenues derived from this tax shall be paid to the
1602+18 treasurer of the county and held by the treasurer him for the
1603+19 benefit of the fund.
1604+20 If the payments on account of taxes are insufficient
1605+21 during any year to meet the requirements of this Article, the
1606+22 county may issue tax anticipation warrants against the current
1607+23 tax levy.
1608+24 (b) By January 10, annually, the board shall notify the
1609+25 county board of the requirement of this Article that this tax
1610+26 shall be levied. The board shall make an annual determination
1611+
1612+
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1617+
1618+
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1620+ HB3765 - 45 - LRB103 31021 RPS 57638 b
1621+1 of the required county contributions, and shall certify the
1622+2 results thereof to the county board.
1623+3 (c) Beginning in the year 2024, the county's minimum
1624+4 required employer contribution as provided in Section 9-169.2
1625+5 shall be paid with the portion of the tax levy as provided in
1626+6 subsection (a) of this Section and any other lawfully
1627+7 available funds of the county. The county shall, through its
1628+8 appropriation bill, disburse to and deposit with the county
1629+9 treasurer no later than the final day of the fiscal year that
1630+10 corresponds to said appropriation bill, for the benefit of the
1631+11 Fund, to be held in accordance with this Article, an amount
1632+12 that, together with such real estate taxes as are specifically
1633+13 levied under this Section for that year, is not less than the
1634+14 amount of the required minimum required employer contribution
1635+15 for that year as certified by the Fund to the county board. The
1636+16 deposit may be derived from any source otherwise legally
1637+17 available to the county for that purpose, including, but not
1638+18 limited to, home rule taxes. The making of a deposit shall
1639+19 satisfy fully the requirements of this Section for that year
1640+20 to the extent of the amounts so deposited. Amounts deposited
1641+21 under this subsection may be used by the Fund for any of the
1642+22 purposes for which the proceeds of real estate taxes levied by
1643+23 the county under this Section may otherwise be used, including
1644+24 the payment of any amount that is otherwise required by this
1645+25 Article to be paid from the proceeds of that tax. However,
1646+26 beginning January 1, 2025, the Fund shall not use any
1647+
1648+
1649+
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1653+
1654+
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1656+ HB3765 - 46 - LRB103 31021 RPS 57638 b
1657+1 contributions received by the Fund under this Section to
1658+2 provide a subsidy for the cost of participation in an
1659+3 annuitant health care program. If the county, before the
1660+4 effective date of this amendatory Act of the 103rd General
1661+5 Assembly, made a contribution or agreed to make a contribution
1662+6 to the Fund from sources other than real estate taxes, this
1663+7 paragraph confirms the validity of or ratifies such
1664+8 contribution or agreement, and neither the county nor any of
1665+9 its officers or employees shall be required to answer for such
1666+10 contribution or agreement in any court. The various sums to be
1667+11 contributed by the county board and allocated for the purposes
1668+12 of this Article and any interest to be contributed by the
1669+13 county shall be taken from the revenue derived from this tax
1670+14 and no money of the county derived from any source other than
1671+15 the levy and collection of this tax or the sale of tax
1672+16 anticipation warrants, except state or federal funds
1673+17 contributed for annuity and benefit purposes for employees of
1674+18 a county department of public aid under "The Illinois Public
1675+19 Aid Code", approved April 11, 1967, as now or hereafter
1676+20 amended, may be used to provide revenue for the fund.
1677+21 If it is not possible or practicable for the county to make
1678+22 contributions for age and service annuity and widow's annuity
1679+23 concurrently with the employee contributions made for such
1680+24 purposes, such county shall make such contributions as soon as
1681+25 possible and practicable thereafter with interest thereon at
1682+26 the effective rate until the time it shall be made.
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1692+ HB3765 - 47 - LRB103 31021 RPS 57638 b
1693+1 (d) With respect to employees whose wages are funded as
1694+2 participants under the Comprehensive Employment and Training
1695+3 Act of 1973, as amended (P.L. 93-203, 87 Stat. 839, P.L.
1696+4 93-567, 88 Stat. 1845), hereinafter referred to as CETA,
1697+5 subsequent to October 1, 1978, and in instances where the
1698+6 board has elected to establish a manpower program reserve, the
1699+7 board shall compute the amounts necessary to be credited to
1700+8 the manpower program reserves established and maintained as
1701+9 herein provided, and shall make a periodic determination of
1702+10 the amount of required contributions from the County to the
1703+11 reserve to be reimbursed by the federal government in
1704+12 accordance with rules and regulations established by the
1705+13 Secretary of the United States Department of Labor or his
1706+14 designee, and certify the results thereof to the County Board.
1707+15 Any such amounts shall become a credit to the County and will
1708+16 be used to reduce the amount which the County would otherwise
1709+17 contribute during succeeding years for all employees.
1710+18 (e) In lieu of establishing a manpower program reserve
1711+19 with respect to employees whose wages are funded as
1712+20 participants under the Comprehensive Employment and Training
1713+21 Act of 1973, as authorized by subsection (d), the board may
1714+22 elect to establish a special County contribution rate for all
1715+23 such employees. If this option is elected, the County shall
1716+24 contribute to the Fund from federal funds provided under the
1717+25 Comprehensive Employment and Training Act program at the
1718+26 special rate so established and such contributions shall
1719+
1720+
1721+
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1725+
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1728+ HB3765 - 48 - LRB103 31021 RPS 57638 b
1729+1 become a credit to the County and be used to reduce the amount
1730+2 which the County would otherwise contribute during succeeding
1731+3 years for all employees.
1732+4 (Source: P.A. 95-369, eff. 8-23-07.)
1733+5 (40 ILCS 5/9-169.1 new)
1734+6 Sec. 9-169.1. Annual actuarial report. The retirement
1735+7 board shall retain an actuary who is a member in good standing
1736+8 of the American Academy of Actuaries to produce an annual
1737+9 actuarial report of the Fund. The annual actuarial report
1738+10 shall include, but not be limited to: (1) a statement of the
1739+11 minimum required contribution, the actuarial value of the
1740+12 Fund's assets as projected over at least 30 years' time, and
1741+13 the actuarial value of the Fund's liabilities as projected
1742+14 over the same period of time; and (2) the minimum required
1743+15 employer contribution, as determined under Section 9-169.2,
1744+16 for the second year immediately following the year ending on
1745+17 the valuation date upon which the annual actuarial report is
1746+18 based.
1747+19 The annual actuarial report may be prepared as part of the
1748+20 annual audit required under Section 9-195. The annual
1749+21 actuarial report shall be reviewed and formally adopted by the
1750+22 retirement board and shall be included in the annual report
1751+23 that is required to be submitted to the county in July of each
1752+24 year under Section 9-199.
1753+25 In this Section, "valuation date" means the date that the
1754+
1755+
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1763+ HB3765 - 49 - LRB103 31021 RPS 57638 b
1764+1 value of the assets and liabilities of the Fund is based on in
1765+2 the annual actuarial report.
1766+3 (40 ILCS 5/9-169.2 new)
1767+4 Sec. 9-169.2. Minimum required employer contribution. The
1768+5 minimum required employer contribution for a specified year,
1769+6 as set forth in the annual actuarial report required under
1770+7 Section 9-169.1, shall be the amount determined by the Fund's
1771+8 actuary to be equal to the sum of: (i) the projected normal
1772+9 cost for pensions for that fiscal year based on the entry age
1773+10 actuarial cost method, plus (ii) a projected unfunded
1774+11 actuarial accrued liability amortization payment for pensions
1775+12 for the fiscal year, plus (iii) projected expenses for that
1776+13 fiscal year, plus (iv) interest to adjust for payment pattern
1777+14 during the fiscal year, less (v) projected employee
1778+15 contributions for that fiscal year.
1779+16 The minimum required employer contribution for the next
1780+17 year shall be submitted annually by the county on or before
1781+18 June 14 of each year unless another time frame is agreed upon
1782+19 by the county and the Fund. Beginning January 1, 2030, the
1783+20 methods provided in this Section may be amended as recommended
1784+21 by an independent actuary engaged by the Fund and in
1785+22 compliance with actuarial standards of practice and as adopted
1786+23 by an affirmative vote of a majority of the retirement board
1787+24 and the Cook County Board of Commissioners. Any new methods to
1788+25 calculate the minimum required employer contribution adopted
1789+
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1795+
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1798+ HB3765 - 50 - LRB103 31021 RPS 57638 b
1799+1 under this Section shall be used in the annual actuarial
1800+2 report and any other required financial reporting.
1801+3 For the purposes of this Section:
1802+4 "5-Year smoothed actuarial value of assets" means the
1803+5 value of assets as determined by a method that spreads the
1804+6 effect of each year's investment return in excess of or below
1805+7 the expected return.
1806+8 "Actuarial standards" means standards for appropriate
1807+9 actuarial practice in the United States as defined by the
1808+10 Actuarial Standards Board.
1809+11 "Entry age actuarial cost method" means a method of
1810+12 determining the normal cost and is determined as a level
1811+13 percentage of pay that, if paid from entry age to the assumed
1812+14 retirement age, assuming all the actuarial assumptions are
1813+15 exactly met by experience and no changes in assumptions or
1814+16 benefit provisions, would accumulate to a fund sufficient to
1815+17 pay all benefits provided by the Fund.
1816+18 "Layered amortization" means a technique that separately
1817+19 layers the different components of the unfunded actuarial
1818+20 accrued liabilities to be amortized over a fixed period not to
1819+21 exceed 30 years.
1820+22 "Projected expenses" means the projected administrative
1821+23 expenses for the cost of administrating the Fund.
1822+24 "Projected normal costs for pensions" means the cost of
1823+25 the benefits that accrue during the year for active members
1824+26 under the entry age actuarial cost method.
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1834+ HB3765 - 51 - LRB103 31021 RPS 57638 b
1835+1 "Unfunded actuarial accrued liability amortization
1836+2 payment" means the annual contribution to the difference
1837+3 between the values of assets and the accrued liabilities of
1838+4 the plan, calculated by an actuary, needed to amortize the
1839+5 Fund's liabilities over a period of 30 years starting in 2017,
1840+6 with layered amortization of the Fund's unexpected unfunded
1841+7 actuarial accrued liability amortization payment following
1842+8 2017 in periods of 30 years, with amortization payments
1843+9 increasing 2% per year, and reflecting a discount rate for all
1844+10 liabilities consistent with the assumed investment rate of
1845+11 return on fund assets and a 5-year smoothed actuarial value of
1846+12 assets.
1847+13 (40 ILCS 5/9-179.1) (from Ch. 108 1/2, par. 9-179.1)
1848+14 Sec. 9-179.1. Military service. A contributing employee as
1849+15 of January 1, 1993 with at least 25 years of service credit may
1850+16 apply for creditable service for up to 2 years of military
1851+17 service whether or not the military service followed service
1852+18 as a county employee. The military service need not have been
1853+19 served in wartime, but the employee must not have been
1854+20 dishonorably discharged. To establish this creditable service
1855+21 the applicant must pay to the Fund, while in the service of the
1856+22 county, an amount determined by the Fund to represent the
1857+23 employee contributions for the creditable service established,
1858+24 based on the employee's rate of compensation on his or her last
1859+25 day as a contributor before the military service, or on his or
1860+
1861+
1862+
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1866+
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1870+1 her first day as a contributor after the military service,
1871+2 whichever is greater, plus interest at the effective rate from
1872+3 the date of discharge to the date of payment. If a person who
1873+4 has established any credit under this Section applies for or
1874+5 receives any early retirement incentive under Section 9-134.2,
1875+6 the credit under this Section shall be forfeited and the
1876+7 amount paid to the Fund under this Section shall be refunded.
1877+8 (Source: P.A. 87-1265.)
1878+9 (40 ILCS 5/9-184) (from Ch. 108 1/2, par. 9-184)
1879+10 Sec. 9-184. Estimates of sums required for certain
1880+11 annuities and benefits. The board shall estimate and itemize
1881+12 the amounts required each year to pay for all annuities, each
1882+13 benefit, and benefits and administrative expenses associated
1883+14 with this Article, by way of a written report and request to
1884+15 the County Board of Commissioners. The amounts shall be paid
1885+16 into the fund annually by the county as provided in Section
1886+17 9-169 from the prescribed tax levy.
1887+18 (Source: Laws 1963, p. 161.)
1888+19 (40 ILCS 5/9-185) (from Ch. 108 1/2, par. 9-185)
1889+20 Sec. 9-185. Board created.
1890+21 (a) A board of 9 members shall constitute the board of
1891+22 trustees authorized to carry out the provisions of this
1892+23 Article. The board of trustees shall be known as "The
1893+24 Retirement Board of the County Employees' Annuity and Benefit
1894+
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1903+ HB3765 - 53 - LRB103 31021 RPS 57638 b
1904+1 Fund of .... County". The board shall consist of 2 members
1905+2 appointed and 7 members elected as hereinafter prescribed.
1906+3 Beginning on December 1, 2023, the board shall increase to an
1907+4 11-member board with the president of the county having 2
1908+5 appointments as provided in subsection (b).
1909+6 (b) The appointed members shall be appointed as follows:
1910+7 One member shall be appointed by the comptroller of such
1911+8 county, who may be the comptroller or some person chosen by the
1912+9 comptroller him from among employees of the county, who are
1913+10 versed in the affairs of the comptroller's office; and one
1914+11 member shall be appointed by the treasurer of such county, who
1915+12 may be the treasurer or some person chosen by the treasurer him
1916+13 from among employees of the County who are versed in the
1917+14 affairs of the treasurer's office. The president of such
1918+15 county shall appoint 2 members who shall have experience and
1919+16 expertise directly related to the operations, affairs, or
1920+17 fiscal condition of pensions; health care benefits management;
1921+18 public investments; or actuarial practice.
1922+19 The member appointed by the comptroller shall hold office
1923+20 for a term ending on December 1st of the first year following
1924+21 the year of appointment. The member appointed by the county
1925+22 treasurer shall hold office for a term ending on December 1st
1926+23 of the second year following the year of appointment. The
1927+24 members appointed by the president of the county shall hold
1928+25 office for a term ending on December 1 of the second year
1929+26 following the appointment.
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1931+
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1939+ HB3765 - 54 - LRB103 31021 RPS 57638 b
1940+1 Thereafter, each appointed member shall be appointed by
1941+2 the officer that appointed the his predecessor for a term of 2
1942+3 years.
1943+4 (c) Three county employee members of the board shall be
1944+5 elected as follows: within 30 days from and after the date upon
1945+6 which this Article comes into effect in the county, the clerk
1946+7 of the county shall arrange for and hold an election. One
1947+8 employee shall be elected for a term ending on the first day in
1948+9 the month of December of the first year next following the
1949+10 effective date; one for a term ending on December 1st of the
1950+11 following year; and one for a term ending December 1st of the
1951+12 second following year.
1952+13 (d) Beginning December 1, 1988, and every 3 years
1953+14 thereafter, an annuitant member of the board shall be elected
1954+15 as follows: the board shall arrange for and hold an election in
1955+16 which only those participants who are currently receiving
1956+17 retirement benefits under this Article shall be eligible to
1957+18 vote and be elected. Each such member shall be elected to a
1958+19 term ending on the first day in the month of December of the
1959+20 third following year.
1960+21 (d-1) Beginning December 1, 2001, and every 3 years
1961+22 thereafter, an annuitant member of the board shall be elected
1962+23 as follows: the board shall arrange for and hold an election in
1963+24 which only those participants who are currently receiving
1964+25 retirement benefits under this Article shall be eligible to
1965+26 vote and be elected. Each such member shall be elected to a
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1967+
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1976+1 term ending on the first day in the month of December of the
1977+2 third following year. Until December 1, 2001, the position
1978+3 created under this subsection (d-1) may be filled by the board
1979+4 as in the case of a vacancy.
1980+5 (e) Beginning December 1, 1988, if a Forest Preserve
1981+6 District Employees' Annuity and Benefit Fund shall be in force
1982+7 in such county and the board of this fund is charged with
1983+8 administering the affairs of such annuity and benefit fund for
1984+9 employees of such forest preserve district, a forest preserve
1985+10 district member of the board shall be elected as of December 1,
1986+11 1988, and every 3 years thereafter as follows: the board shall
1987+12 arrange for and hold an election in which only those employees
1988+13 of such forest preserve district who are contributors to the
1989+14 annuity and benefit fund for employees of such forest preserve
1990+15 district shall be eligible to vote and be elected. Each such
1991+16 member shall be elected to a term ending on the first day in
1992+17 the month of December of the third following year.
1993+18 (f) Beginning December 1, 2001, and every 3 years
1994+19 thereafter, if a Forest Preserve District Employees' Annuity
1995+20 and Benefit Fund is in force in the county and the board of
1996+21 this Fund is charged with administering the affairs of that
1997+22 annuity and benefit fund for employees of the forest preserve
1998+23 district, a forest preserve district annuitant member of the
1999+24 board shall be elected as follows: the board shall arrange for
2000+25 and hold an election in which only those participants who are
2001+26 currently receiving retirement benefits under Article 10 shall
2002+
2003+
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2008+
2009+
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2011+ HB3765 - 56 - LRB103 31021 RPS 57638 b
2012+1 be eligible to vote and be elected. Each such member shall be
2013+2 elected to a term ending on the first day in the month of
2014+3 December of the third following year. Until December 1, 2001,
2015+4 the position created under this subsection (f) may be filled
2016+5 by the board as in the case of a vacancy.
2017+6 (Source: P.A. 92-66, eff. 7-12-01.)
2018+7 (40 ILCS 5/9-195) (from Ch. 108 1/2, par. 9-195)
2019+8 Sec. 9-195. To have an audit. To have an audit of the
2020+9 accounts of the fund made at least once each year by certified
2021+10 public accountants. The audit may include the preparation of
2022+11 the annual actuarial report required under Section 9-169.1.
2023+12 (Source: Laws 1963, p. 161.)
2024+13 (40 ILCS 5/9-199) (from Ch. 108 1/2, par. 9-199)
2025+14 Sec. 9-199. To submit an annual report. To submit a report
2026+15 in July of each year to the county board of the county as of
2027+16 the close of business on December 31st of the preceding year.
2028+17 The report shall contain a detailed statement of the affairs
2029+18 of the fund, its income and expenditures, and assets and
2030+19 liabilities, and it shall include the annual actuarial report
2031+20 required under Section 9-169.1. The county board shall have
2032+21 power to require and compel the retirement board to prepare
2033+22 and submit such reports.
2034+23 (Source: P.A. 95-369, eff. 8-23-07.)
2035+
2036+
2037+
2038+
2039+
2040+ HB3765 - 56 - LRB103 31021 RPS 57638 b
2041+
2042+
2043+HB3765- 57 -LRB103 31021 RPS 57638 b HB3765 - 57 - LRB103 31021 RPS 57638 b
2044+ HB3765 - 57 - LRB103 31021 RPS 57638 b
2045+1 (40 ILCS 5/9-239) (from Ch. 108 1/2, par. 9-239)
2046+2 Sec. 9-239. Group Health Benefit.
2047+3 (a) For the purposes of this Section, "annuitant" means a
2048+4 person receiving an age and service annuity, a prior service
2049+5 annuity, a widow's annuity, a widow's prior service annuity, a
2050+6 minimum annuity, or a child's annuity on or after January 1,
2051+7 1990, under Article 9 or 10 by reason of previous employment by
2052+8 Cook County or the Forest Preserve District of Cook County
2053+9 (hereinafter, in this Section, "the County").
2054+10 (b) Beginning on the effective date of this amendatory Act
2055+11 of the 103rd General Assembly December 1, 1991, the Fund shall
2056+12 may pay, on behalf of each of the Fund's annuitants who chooses
2057+13 to participate in an annuitant health care program
2058+14 administered by the Fund any of the county's health care
2059+15 plans, all or any portion of the total health care premium
2060+16 (including coverage for other family members) due from each
2061+17 such annuitant.
2062+18 (c) The difference between the required monthly premiums
2063+19 for such coverage and the amount paid by the Fund may be
2064+20 deducted from the annuitant's annuity if the annuitant so
2065+21 elects; otherwise such coverage shall terminate and the
2066+22 obligation of the Fund shall also terminate.
2067+23 (d) Beginning January 1, 2025, the Fund shall not use any
2068+24 contributions received by the Fund under Section 9-169 to
2069+25 provide a subsidy for the cost of participation in a group
2070+26 coverage plan administered by the Fund. Beginning January 10,
2071+
2072+
2073+
2074+
2075+
2076+ HB3765 - 57 - LRB103 31021 RPS 57638 b
2077+
2078+
2079+HB3765- 58 -LRB103 31021 RPS 57638 b HB3765 - 58 - LRB103 31021 RPS 57638 b
2080+ HB3765 - 58 - LRB103 31021 RPS 57638 b
2081+1 2025, the county shall contribute $50,000,000 to the Fund for
2082+2 the provision of health care for annuitants. This contribution
2083+3 shall be made in 2 installments with the first payment
2084+4 occurring on or before January 15, 2025 and the second payment
2085+5 on or before June 15, 2025. Thereafter, the county and the Fund
2086+6 shall annually negotiate the subsidy by intergovernmental
2087+7 agreement, which shall continue to be made by the county
2088+8 annually in 2 installments. The annual subsidy shall not be
2089+9 less than the Fund's previous year's cost for the provision of
2090+10 the annuitant health care program plus the increase in the
2091+11 consumer price index-u for the 12 months ending with the
2092+12 September preceding each November 1, including all previous
2093+13 adjustments or 4%, whichever is less, based on benefit levels
2094+14 provided through the annuitant health care program as of
2095+15 January 1, 2023. If the county's contribution, as specified in
2096+16 this Section, is greater than the current year's cost for the
2097+17 provision of health care for annuitants, the balance shall be
2098+18 used to offset the unfunded liability attributable to the
2099+19 group coverage plan administered by the Fund. Any such future
2100+20 subsidy negotiations, including increases to annuitant health
2101+21 care program benefits, must be completed by June 1 of the
2102+22 preceding year in order to be included in the county's annual
2103+23 appropriation bill Amounts contributed by the county as
2104+24 authorized under Section 9-182 for the benefits set forth in
2105+25 this Section shall be credited to the reserve for group
2106+26 hospital care and all such premiums shall be charged to it.
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2108+
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2112+ HB3765 - 58 - LRB103 31021 RPS 57638 b
2113+
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2115+HB3765- 59 -LRB103 31021 RPS 57638 b HB3765 - 59 - LRB103 31021 RPS 57638 b
2116+ HB3765 - 59 - LRB103 31021 RPS 57638 b
2117+1 For the purposes of this Section, "consumer price index-u"
2118+2 means the index published by the Bureau of Labor Statistics of
2119+3 the United States Department of Labor that measures the
2120+4 average change in prices of goods and services purchased by
2121+5 all urban consumers. The new amount resulting from each annual
2122+6 adjustment shall be determined by the Public Pension Division
2123+7 of the Department of Insurance and made available to the
2124+8 boards of the retirement systems and pension.
2125+9 (e) The group coverage plan and benefits described in this
2126+10 Section are not and shall not be construed to be pension or
2127+11 retirement benefits for purposes of Section 5 of Article XIII
2128+12 of the Illinois Constitution of 1970.
2129+13 (Source: P.A. 86-1025; 87-794.)
2130+14 Section 90. The State Mandates Act is amended by adding
2131+15 Section 8.47 as follows:
2132+16 (30 ILCS 805/8.47 new)
2133+17 Sec. 8.47. Exempt mandate. Notwithstanding Sections 6 and
2134+18 8 of this Act, no reimbursement by the State is required for
2135+19 the implementation of any mandate created by this amendatory
2136+20 Act of the 103rd General Assembly.
2137+21 Section 99. Effective date. This Act takes effect upon
2138+22 becoming law.
2139+HB3765- 60 -LRB103 31021 RPS 57638 b 1 INDEX 2 Statutes amended in order of appearance HB3765- 60 -LRB103 31021 RPS 57638 b HB3765 - 60 - LRB103 31021 RPS 57638 b 1 INDEX 2 Statutes amended in order of appearance
2140+HB3765- 60 -LRB103 31021 RPS 57638 b HB3765 - 60 - LRB103 31021 RPS 57638 b
2141+ HB3765 - 60 - LRB103 31021 RPS 57638 b
2142+1 INDEX
2143+2 Statutes amended in order of appearance
2144+
2145+
2146+
2147+
2148+
2149+ HB3765 - 59 - LRB103 31021 RPS 57638 b
2150+
2151+
2152+
2153+HB3765- 60 -LRB103 31021 RPS 57638 b HB3765 - 60 - LRB103 31021 RPS 57638 b
2154+ HB3765 - 60 - LRB103 31021 RPS 57638 b
2155+1 INDEX
2156+2 Statutes amended in order of appearance
2157+
2158+
2159+
2160+
2161+
2162+ HB3765 - 60 - LRB103 31021 RPS 57638 b