Illinois 2023-2024 Regular Session

Illinois Senate Bill SB1582 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 SB1582 Introduced 2/8/2023, by Sen. Doris Turner SYNOPSIS AS INTRODUCED: 40 ILCS 5/3-110.15 new 40 ILCS 5/7-139 from Ch. 108 1/2, par. 7-139 30 ILCS 805/8.47 new Amends the Downstate Police and Illinois Municipal Retirement Fund (IMRF) Articles of the Illinois Pension Code. Provides that within 6 months after the effective date of the amendatory Act, an active IMRF member may apply for transfer of credits and creditable service under the Downstate Police Article to IMRF. Provides that the credits and creditable service shall be transferred upon payment by the police pension fund of an amount equal to the amounts accumulated to the credit of the applicant for the service to be transferred, including interest; an amount representing employer contributions; and any interest paid by the applicant to reinstate such service. Provides that a person applying to transfer service under the provisions may reinstate credits and creditable service terminated upon receipt of a refund by paying to the police pension fund the amount of the refund plus interest. Provides that if the board of trustees of IMRF determines that the amount transferred is less than the true cost to IMRF of allowing that creditable service to be established, then in order to establish that creditable service, the member must pay to IMRF an additional contribution equal to the difference. Makes conforming and other changes. Amends the State Mandates Act to require implementation without reimbursement by the State. Effective immediately. LRB103 28419 RPS 54799 b STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 SB1582 Introduced 2/8/2023, by Sen. Doris Turner SYNOPSIS AS INTRODUCED: 40 ILCS 5/3-110.15 new 40 ILCS 5/7-139 from Ch. 108 1/2, par. 7-139 30 ILCS 805/8.47 new 40 ILCS 5/3-110.15 new 40 ILCS 5/7-139 from Ch. 108 1/2, par. 7-139 30 ILCS 805/8.47 new Amends the Downstate Police and Illinois Municipal Retirement Fund (IMRF) Articles of the Illinois Pension Code. Provides that within 6 months after the effective date of the amendatory Act, an active IMRF member may apply for transfer of credits and creditable service under the Downstate Police Article to IMRF. Provides that the credits and creditable service shall be transferred upon payment by the police pension fund of an amount equal to the amounts accumulated to the credit of the applicant for the service to be transferred, including interest; an amount representing employer contributions; and any interest paid by the applicant to reinstate such service. Provides that a person applying to transfer service under the provisions may reinstate credits and creditable service terminated upon receipt of a refund by paying to the police pension fund the amount of the refund plus interest. Provides that if the board of trustees of IMRF determines that the amount transferred is less than the true cost to IMRF of allowing that creditable service to be established, then in order to establish that creditable service, the member must pay to IMRF an additional contribution equal to the difference. Makes conforming and other changes. Amends the State Mandates Act to require implementation without reimbursement by the State. Effective immediately. LRB103 28419 RPS 54799 b LRB103 28419 RPS 54799 b STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY A BILL FOR
2	2	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 SB1582 Introduced 2/8/2023, by Sen. Doris Turner SYNOPSIS AS INTRODUCED:
3	3	40 ILCS 5/3-110.15 new 40 ILCS 5/7-139 from Ch. 108 1/2, par. 7-139 30 ILCS 805/8.47 new 40 ILCS 5/3-110.15 new 40 ILCS 5/7-139 from Ch. 108 1/2, par. 7-139 30 ILCS 805/8.47 new
4	4	40 ILCS 5/3-110.15 new
5	5	40 ILCS 5/7-139 from Ch. 108 1/2, par. 7-139
6	6	30 ILCS 805/8.47 new
7	7	Amends the Downstate Police and Illinois Municipal Retirement Fund (IMRF) Articles of the Illinois Pension Code. Provides that within 6 months after the effective date of the amendatory Act, an active IMRF member may apply for transfer of credits and creditable service under the Downstate Police Article to IMRF. Provides that the credits and creditable service shall be transferred upon payment by the police pension fund of an amount equal to the amounts accumulated to the credit of the applicant for the service to be transferred, including interest; an amount representing employer contributions; and any interest paid by the applicant to reinstate such service. Provides that a person applying to transfer service under the provisions may reinstate credits and creditable service terminated upon receipt of a refund by paying to the police pension fund the amount of the refund plus interest. Provides that if the board of trustees of IMRF determines that the amount transferred is less than the true cost to IMRF of allowing that creditable service to be established, then in order to establish that creditable service, the member must pay to IMRF an additional contribution equal to the difference. Makes conforming and other changes. Amends the State Mandates Act to require implementation without reimbursement by the State. Effective immediately.
8	8	LRB103 28419 RPS 54799 b LRB103 28419 RPS 54799 b
9	9	LRB103 28419 RPS 54799 b
10	10	STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY
11	11	STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY
12	12	A BILL FOR
13	13	SB1582LRB103 28419 RPS 54799 b SB1582 LRB103 28419 RPS 54799 b
14	14	SB1582 LRB103 28419 RPS 54799 b
15	15	1 AN ACT concerning public employee benefits.
16	16	2 Be it enacted by the People of the State of Illinois,
17	17	3 represented in the General Assembly:
18	18	4 Section 5. The Illinois Pension Code is amended by
19	19	5 changing Section 7-139 and by adding Section 3-110.15 as
20	20	6 follows:
21	21	7 (40 ILCS 5/3-110.15 new)
22	22	8 Sec. 3-110.15. Transfer to IMRF.
23	23	9 (a) Within 6 months after the effective date of this
24	24	10 amendatory Act of the 103rd General Assembly, an active member
25	25	11 of the Illinois Municipal Retirement Fund established under
26	26	12 Article 7 of this Code may apply for transfer to the Illinois
27	27	13 Municipal Retirement Fund of his or her credits and creditable
28	28	14 service accumulated in a police pension fund under this
29	29	15 Article. The creditable service shall be transferred only upon
30	30	16 payment by the police pension fund to the Illinois Municipal
31	31	17 Retirement Fund of an amount equal to:
32	32	18 (1) the amounts accumulated to the credit of the
33	33	19 applicant for the service to be transferred, including
34	34	20 interest;
35	35	21 (2) an amount representing employer contributions; and
36	36	22 (3) any interest paid by the applicant to reinstate
37	37	23 such service.
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41	41	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 SB1582 Introduced 2/8/2023, by Sen. Doris Turner SYNOPSIS AS INTRODUCED:
42	42	40 ILCS 5/3-110.15 new 40 ILCS 5/7-139 from Ch. 108 1/2, par. 7-139 30 ILCS 805/8.47 new 40 ILCS 5/3-110.15 new 40 ILCS 5/7-139 from Ch. 108 1/2, par. 7-139 30 ILCS 805/8.47 new
43	43	40 ILCS 5/3-110.15 new
44	44	40 ILCS 5/7-139 from Ch. 108 1/2, par. 7-139
45	45	30 ILCS 805/8.47 new
46	46	Amends the Downstate Police and Illinois Municipal Retirement Fund (IMRF) Articles of the Illinois Pension Code. Provides that within 6 months after the effective date of the amendatory Act, an active IMRF member may apply for transfer of credits and creditable service under the Downstate Police Article to IMRF. Provides that the credits and creditable service shall be transferred upon payment by the police pension fund of an amount equal to the amounts accumulated to the credit of the applicant for the service to be transferred, including interest; an amount representing employer contributions; and any interest paid by the applicant to reinstate such service. Provides that a person applying to transfer service under the provisions may reinstate credits and creditable service terminated upon receipt of a refund by paying to the police pension fund the amount of the refund plus interest. Provides that if the board of trustees of IMRF determines that the amount transferred is less than the true cost to IMRF of allowing that creditable service to be established, then in order to establish that creditable service, the member must pay to IMRF an additional contribution equal to the difference. Makes conforming and other changes. Amends the State Mandates Act to require implementation without reimbursement by the State. Effective immediately.
47	47	LRB103 28419 RPS 54799 b LRB103 28419 RPS 54799 b
48	48	LRB103 28419 RPS 54799 b
49	49	STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY
50	50	STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY
51	51	A BILL FOR
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57	57	40 ILCS 5/3-110.15 new
58	58	40 ILCS 5/7-139 from Ch. 108 1/2, par. 7-139
59	59	30 ILCS 805/8.47 new
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63	63	LRB103 28419 RPS 54799 b
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65	65	STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY
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82	82	1 Participation in the police pension fund as to any credits
83	83	2 transferred under this Section shall terminate on the date of
84	84	3 transfer.
85	85	4 (b) Notwithstanding any other provision of this Code, any
86	86	5 person applying to transfer service under this Section may
87	87	6 reinstate credits and creditable service terminated upon
88	88	7 receipt of a refund by paying to the police pension fund the
89	89	8 amount of the refund plus interest thereon at the actuarially
90	90	9 assumed rate of interest to the date of payment. Such payment
91	91	10 must be made within 90 days after notification by the police
92	92	11 pension fund of the cost of such reinstatement.
93	93	12 (40 ILCS 5/7-139) (from Ch. 108 1/2, par. 7-139)
94	94	13 Sec. 7-139. Credits and creditable service to employees.
95	95	14 (a) Each participating employee shall be granted credits
96	96	15 and creditable service, for purposes of determining the amount
97	97	16 of any annuity or benefit to which he or a beneficiary is
98	98	17 entitled, as follows:
99	99	18 1. For prior service: Each participating employee who
100	100	19 is an employee of a participating municipality or
101	101	20 participating instrumentality on the effective date shall
102	102	21 be granted creditable service, but no credits under
103	103	22 paragraph 2 of this subsection (a), for periods of prior
104	104	23 service for which credit has not been received under any
105	105	24 other pension fund or retirement system established under
106	106	25 this Code, as follows:
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117	117	1 If the effective date of participation for the
118	118	2 participating municipality or participating
119	119	3 instrumentality is on or before January 1, 1998,
120	120	4 creditable service shall be granted for the entire period
121	121	5 of prior service with that employer without any employee
122	122	6 contribution.
123	123	7 If the effective date of participation for the
124	124	8 participating municipality or participating
125	125	9 instrumentality is after January 1, 1998, creditable
126	126	10 service shall be granted for the last 20% of the period of
127	127	11 prior service with that employer, but no more than 5
128	128	12 years, without any employee contribution. A participating
129	129	13 employee may establish creditable service for the
130	130	14 remainder of the period of prior service with that
131	131	15 employer by making an application in writing, accompanied
132	132	16 by payment of an employee contribution in an amount
133	133	17 determined by the Fund, based on the employee contribution
134	134	18 rates in effect at the time of application for the
135	135	19 creditable service and the employee's salary rate on the
136	136	20 effective date of participation for that employer, plus
137	137	21 interest at the effective rate from the date of the prior
138	138	22 service to the date of payment. Application for this
139	139	23 creditable service may be made at any time while the
140	140	24 employee is still in service.
141	141	25 A municipality that (i) has at least 35 employees;
142	142	26 (ii) is located in a county with at least 2,000,000
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153	153	1 inhabitants; and (iii) maintains an independent defined
154	154	2 benefit pension plan for the benefit of its eligible
155	155	3 employees may restrict creditable service in whole or in
156	156	4 part for periods of prior service with the employer if the
157	157	5 governing body of the municipality adopts an irrevocable
158	158	6 resolution to restrict that creditable service and files
159	159	7 the resolution with the board before the municipality's
160	160	8 effective date of participation.
161	161	9 Any person who has withdrawn from the service of a
162	162	10 participating municipality or participating
163	163	11 instrumentality prior to the effective date, who reenters
164	164	12 the service of the same municipality or participating
165	165	13 instrumentality after the effective date and becomes a
166	166	14 participating employee is entitled to creditable service
167	167	15 for prior service as otherwise provided in this
168	168	16 subdivision (a)(1) only if he or she renders 2 years of
169	169	17 service as a participating employee after the effective
170	170	18 date. Application for such service must be made while in a
171	171	19 participating status. The salary rate to be used in the
172	172	20 calculation of the required employee contribution, if any,
173	173	21 shall be the employee's salary rate at the time of first
174	174	22 reentering service with the employer after the employer's
175	175	23 effective date of participation.
176	176	24 2. For current service, each participating employee
177	177	25 shall be credited with:
178	178	26 a. Additional credits of amounts equal to each
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189	189	1 payment of additional contributions received from him
190	190	2 under Section 7-173, as of the date the corresponding
191	191	3 payment of earnings is payable to him.
192	192	4 b. Normal credits of amounts equal to each payment
193	193	5 of normal contributions received from him, as of the
194	194	6 date the corresponding payment of earnings is payable
195	195	7 to him, and normal contributions made for the purpose
196	196	8 of establishing out-of-state service credits as
197	197	9 permitted under the conditions set forth in paragraph
198	198	10 6 of this subsection (a).
199	199	11 c. Municipality credits in an amount equal to 1.4
200	200	12 times the normal credits, except those established by
201	201	13 out-of-state service credits, as of the date of
202	202	14 computation of any benefit if these credits would
203	203	15 increase the benefit.
204	204	16 d. Survivor credits equal to each payment of
205	205	17 survivor contributions received from the participating
206	206	18 employee as of the date the corresponding payment of
207	207	19 earnings is payable, and survivor contributions made
208	208	20 for the purpose of establishing out-of-state service
209	209	21 credits.
210	210	22 3. For periods of temporary and total and permanent
211	211	23 disability benefits, each employee receiving disability
212	212	24 benefits shall be granted creditable service for the
213	213	25 period during which disability benefits are payable.
214	214	26 Normal and survivor credits, based upon the rate of
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225	225	1 earnings applied for disability benefits, shall also be
226	226	2 granted if such credits would result in a higher benefit
227	227	3 to any such employee or his beneficiary.
228	228	4 4. For authorized leave of absence without pay: A
229	229	5 participating employee shall be granted credits and
230	230	6 creditable service for periods of authorized leave of
231	231	7 absence without pay under the following conditions:
232	232	8 a. An application for credits and creditable
233	233	9 service is submitted to the board while the employee
234	234	10 is in a status of active employment.
235	235	11 b. Not more than 12 complete months of creditable
236	236	12 service for authorized leave of absence without pay
237	237	13 shall be counted for purposes of determining any
238	238	14 benefits payable under this Article.
239	239	15 c. Credits and creditable service shall be granted
240	240	16 for leave of absence only if such leave is approved by
241	241	17 the governing body of the municipality, including
242	242	18 approval of the estimated cost thereof to the
243	243	19 municipality as determined by the fund, and employee
244	244	20 contributions, plus interest at the effective rate
245	245	21 applicable for each year from the end of the period of
246	246	22 leave to date of payment, have been paid to the fund in
247	247	23 accordance with Section 7-173. The contributions shall
248	248	24 be computed upon the assumption earnings continued
249	249	25 during the period of leave at the rate in effect when
250	250	26 the leave began.
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261	261	1 d. Benefits under the provisions of Sections
262	262	2 7-141, 7-146, 7-150 and 7-163 shall become payable to
263	263	3 employees on authorized leave of absence, or their
264	264	4 designated beneficiary, only if such leave of absence
265	265	5 is creditable hereunder, and if the employee has at
266	266	6 least one year of creditable service other than the
267	267	7 service granted for leave of absence. Any employee
268	268	8 contributions due may be deducted from any benefits
269	269	9 payable.
270	270	10 e. No credits or creditable service shall be
271	271	11 allowed for leave of absence without pay during any
272	272	12 period of prior service.
273	273	13 5. For military service: The governing body of a
274	274	14 municipality or participating instrumentality may elect to
275	275	15 allow creditable service to participating employees who
276	276	16 leave their employment to serve in the armed forces of the
277	277	17 United States for all periods of such service, provided
278	278	18 that the person returns to active employment within 90
279	279	19 days after completion of full time active duty, but no
280	280	20 creditable service shall be allowed such person for any
281	281	21 period that can be used in the computation of a pension or
282	282	22 any other pay or benefit, other than pay for active duty,
283	283	23 for service in any branch of the armed forces of the United
284	284	24 States. If necessary to the computation of any benefit,
285	285	25 the board shall establish municipality credits for
286	286	26 participating employees under this paragraph on the
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297	297	1 assumption that the employee received earnings at the rate
298	298	2 received at the time he left the employment to enter the
299	299	3 armed forces. A participating employee in the armed forces
300	300	4 shall not be considered an employee during such period of
301	301	5 service and no additional death and no disability benefits
302	302	6 are payable for death or disability during such period.
303	303	7 Any participating employee who left his employment
304	304	8 with a municipality or participating instrumentality to
305	305	9 serve in the armed forces of the United States and who
306	306	10 again became a participating employee within 90 days after
307	307	11 completion of full time active duty by entering the
308	308	12 service of a different municipality or participating
309	309	13 instrumentality, which has elected to allow creditable
310	310	14 service for periods of military service under the
311	311	15 preceding paragraph, shall also be allowed creditable
312	312	16 service for his period of military service on the same
313	313	17 terms that would apply if he had been employed, before
314	314	18 entering military service, by the municipality or
315	315	19 instrumentality which employed him after he left the
316	316	20 military service and the employer costs arising in
317	317	21 relation to such grant of creditable service shall be
318	318	22 charged to and paid by that municipality or
319	319	23 instrumentality.
320	320	24 Notwithstanding the foregoing, any participating
321	321	25 employee shall be entitled to creditable service as
322	322	26 required by any federal law relating to re-employment
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333	333	1 rights of persons who served in the United States Armed
334	334	2 Services. Such creditable service shall be granted upon
335	335	3 payment by the member of an amount equal to the employee
336	336	4 contributions which would have been required had the
337	337	5 employee continued in service at the same rate of earnings
338	338	6 during the military leave period, plus interest at the
339	339	7 effective rate.
340	340	8 5.1. In addition to any creditable service established
341	341	9 under paragraph 5 of this subsection (a), creditable
342	342	10 service may be granted for up to 48 months of service in
343	343	11 the armed forces of the United States.
344	344	12 In order to receive creditable service for military
345	345	13 service under this paragraph 5.1, a participating employee
346	346	14 must (1) apply to the Fund in writing and provide evidence
347	347	15 of the military service that is satisfactory to the Board;
348	348	16 (2) obtain the written approval of the current employer;
349	349	17 and (3) make contributions to the Fund equal to (i) the
350	350	18 employee contributions that would have been required had
351	351	19 the service been rendered as a member, plus (ii) an amount
352	352	20 determined by the board to be equal to the employer's
353	353	21 normal cost of the benefits accrued for that military
354	354	22 service, plus (iii) interest on items (i) and (ii) from
355	355	23 the date of first membership in the Fund to the date of
356	356	24 payment. The required interest shall be calculated at the
357	357	25 regular interest rate.
358	358	26 The changes made to this paragraph 5.1 by Public Acts
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369	369	1 95-483 and 95-486 apply only to participating employees in
370	370	2 service on or after August 28, 2007 (the effective date of
371	371	3 those Public Acts).
372	372	4 6. For out-of-state service: Creditable service shall
373	373	5 be granted for service rendered to an out-of-state local
374	374	6 governmental body under the following conditions: The
375	375	7 employee had participated and has irrevocably forfeited
376	376	8 all rights to benefits in the out-of-state public
377	377	9 employees pension system; the governing body of his
378	378	10 participating municipality or instrumentality authorizes
379	379	11 the employee to establish such service; the employee has 2
380	380	12 years current service with this municipality or
381	381	13 participating instrumentality; the employee makes a
382	382	14 payment of contributions, which shall be computed at 8%
383	383	15 (normal) plus 2% (survivor) times length of service
384	384	16 purchased times the average rate of earnings for the first
385	385	17 2 years of service with the municipality or participating
386	386	18 instrumentality whose governing body authorizes the
387	387	19 service established plus interest at the effective rate on
388	388	20 the date such credits are established, payable from the
389	389	21 date the employee completes the required 2 years of
390	390	22 current service to date of payment. In no case shall more
391	391	23 than 120 months of creditable service be granted under
392	392	24 this provision.
393	393	25 7. For retroactive service: Any employee who could
394	394	26 have but did not elect to become a participating employee,
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405	405	1 or who should have been a participant in the Municipal
406	406	2 Public Utilities Annuity and Benefit Fund before that fund
407	407	3 was superseded, may receive creditable service for the
408	408	4 period of service not to exceed 50 months; however, a
409	409	5 current or former elected or appointed official of a
410	410	6 participating municipality may establish credit under this
411	411	7 paragraph 7 for more than 50 months of service as an
412	412	8 official of that municipality, if the excess over 50
413	413	9 months is approved by resolution of the governing body of
414	414	10 the affected municipality filed with the Fund before
415	415	11 January 1, 2002.
416	416	12 Any employee who is a participating employee on or
417	417	13 after September 24, 1981 and who was excluded from
418	418	14 participation by the age restrictions removed by Public
419	419	15 Act 82-596 may receive creditable service for the period,
420	420	16 on or after January 1, 1979, excluded by the age
421	421	17 restriction and, in addition, if the governing body of the
422	422	18 participating municipality or participating
423	423	19 instrumentality elects to allow creditable service for all
424	424	20 employees excluded by the age restriction prior to January
425	425	21 1, 1979, for service during the period prior to that date
426	426	22 excluded by the age restriction. Any employee who was
427	427	23 excluded from participation by the age restriction removed
428	428	24 by Public Act 82-596 and who is not a participating
429	429	25 employee on or after September 24, 1981 may receive
430	430	26 creditable service for service after January 1, 1979.
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441	441	1 Creditable service under this paragraph shall be granted
442	442	2 upon payment of the employee contributions which would
443	443	3 have been required had he participated, with interest at
444	444	4 the effective rate for each year from the end of the period
445	445	5 of service established to date of payment.
446	446	6 8. For accumulated unused sick leave: A participating
447	447	7 employee who is applying for a retirement annuity shall be
448	448	8 entitled to creditable service for that portion of the
449	449	9 employee's accumulated unused sick leave for which payment
450	450	10 is not received, as follows:
451	451	11 a. Sick leave days shall be limited to those
452	452	12 accumulated under a sick leave plan established by a
453	453	13 participating municipality or participating
454	454	14 instrumentality which is available to all employees or
455	455	15 a class of employees.
456	456	16 b. Except as provided in item b-1, only sick leave
457	457	17 days accumulated with a participating municipality or
458	458	18 participating instrumentality with which the employee
459	459	19 was in service within 60 days of the effective date of
460	460	20 his retirement annuity shall be credited; If the
461	461	21 employee was in service with more than one employer
462	462	22 during this period only the sick leave days with the
463	463	23 employer with which the employee has the greatest
464	464	24 number of unpaid sick leave days shall be considered.
465	465	25 b-1. If the employee was in the service of more
466	466	26 than one employer as defined in item (2) of paragraph
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477	477	1 (a) of subsection (A) of Section 7-132, then the sick
478	478	2 leave days from all such employers shall be credited,
479	479	3 as long as the creditable service attributed to those
480	480	4 sick leave days does not exceed the limitation in item
481	481	5 d of this paragraph 8. If the employee was in the
482	482	6 service of more than one employer described in
483	483	7 paragraph (c) of subsection (B) of Section 7-132 on or
484	484	8 after the effective date of this amendatory Act of the
485	485	9 101st General Assembly, then the sick leave days from
486	486	10 all such employers, except for employers from which
487	487	11 the employee terminated service before the effective
488	488	12 date of this amendatory Act of the 101st General
489	489	13 Assembly, shall be credited, as long as the creditable
490	490	14 service attributed to those sick leave days does not
491	491	15 exceed the limitation in item d of this paragraph 8. In
492	492	16 calculating the creditable service under this item
493	493	17 b-1, the sick leave days from the last employer shall
494	494	18 be considered first, then the remaining sick leave
495	495	19 days shall be considered until there are no more days
496	496	20 or the maximum creditable sick leave threshold under
497	497	21 item d of this paragraph 8 has been reached.
498	498	22 c. The creditable service granted shall be
499	499	23 considered solely for the purpose of computing the
500	500	24 amount of the retirement annuity and shall not be used
501	501	25 to establish any minimum service period required by
502	502	26 any provision of the Illinois Pension Code, the
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513	513	1 effective date of the retirement annuity, or the final
514	514	2 rate of earnings.
515	515	3 d. The creditable service shall be at the rate of
516	516	4 1/20 of a month for each full sick day, provided that
517	517	5 no more than 12 months may be credited under this
518	518	6 subdivision 8.
519	519	7 e. Employee contributions shall not be required
520	520	8 for creditable service under this subdivision 8.
521	521	9 f. Each participating municipality and
522	522	10 participating instrumentality with which an employee
523	523	11 has service within 60 days of the effective date of his
524	524	12 retirement annuity shall certify to the board the
525	525	13 number of accumulated unpaid sick leave days credited
526	526	14 to the employee at the time of termination of service.
527	527	15 9. For service transferred from another system:
528	528	16 Credits and creditable service shall be granted for
529	529	17 service under Article 4, 5, 8, 14, or 16 of this Act, to
530	530	18 any active member of this Fund, and to any inactive member
531	531	19 who has been a county sheriff, upon transfer of such
532	532	20 credits pursuant to Section 4-108.3, 5-235, 8-226.7,
533	533	21 14-105.6, or 16-131.4, and payment by the member of the
534	534	22 amount by which (1) the employer and employee
535	535	23 contributions that would have been required if he had
536	536	24 participated in this Fund as a sheriff's law enforcement
537	537	25 employee during the period for which credit is being
538	538	26 transferred, plus interest thereon at the effective rate
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549	549	1 for each year, compounded annually, from the date of
550	550	2 termination of the service for which credit is being
551	551	3 transferred to the date of payment, exceeds (2) the amount
552	552	4 actually transferred to the Fund. Such transferred service
553	553	5 shall be deemed to be service as a sheriff's law
554	554	6 enforcement employee for the purposes of Section 7-142.1.
555	555	7 10. (Blank).
556	556	8 11. For service transferred from an Article 3 system
557	557	9 under Section 3-110.3 or 3-110.15: Credits and creditable
558	558	10 service shall be granted for service under Article 3 of
559	559	11 this Code Act as provided in Section 3-110.3 or 3-110.15,
560	560	12 to any active member of this Fund, upon transfer of such
561	561	13 credits pursuant to Section 3-110.3 or 3-110.15. If the
562	562	14 board determines that the amount transferred is less than
563	563	15 the true cost to the Fund of allowing that creditable
564	564	16 service to be established, then in order to establish that
565	565	17 creditable service, the member must pay to the Fund an
566	566	18 additional contribution equal to the difference, as
567	567	19 determined by the board in accordance with the rules and
568	568	20 procedures adopted under this paragraph. If the member
569	569	21 does not make the full additional payment as required by
570	570	22 this paragraph prior to termination of his participation
571	571	23 with that employer, then his or her creditable service
572	572	24 shall be reduced by an amount equal to the difference
573	573	25 between the amount transferred under Section 3-110.3 or
574	574	26 3-110.15, including any payments made by the member under
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585	585	1 this paragraph prior to termination, and the true cost to
586	586	2 the Fund of allowing that creditable service to be
587	587	3 established, as determined by the board in accordance with
588	588	4 the rules and procedures adopted under this paragraph.
589	589	5 The board shall establish by rule the manner of making
590	590	6 the calculation required under this paragraph 11, taking
591	591	7 into account the appropriate actuarial assumptions; the
592	592	8 member's service, age, and salary history, and any other
593	593	9 factors that the board determines to be relevant.
594	594	10 12. For omitted service: Any employee who was employed
595	595	11 by a participating employer in a position that required
596	596	12 participation, but who was not enrolled in the Fund, may
597	597	13 establish such credits under the following conditions:
598	598	14 a. Application for such credits is received by the
599	599	15 Board while the employee is an active participant of
600	600	16 the Fund or a reciprocal retirement system.
601	601	17 b. Eligibility for participation and earnings are
602	602	18 verified by the Authorized Agent of the participating
603	603	19 employer for which the service was rendered.
604	604	20 Creditable service under this paragraph shall be
605	605	21 granted upon payment of the employee contributions that
606	606	22 would have been required had he participated, which shall
607	607	23 be calculated by the Fund using the member contribution
608	608	24 rate in effect during the period that the service was
609	609	25 rendered.
610	610	26 (b) Creditable service - amount:
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621	621	1 1. One month of creditable service shall be allowed
622	622	2 for each month for which a participating employee made
623	623	3 contributions as required under Section 7-173, or for
624	624	4 which creditable service is otherwise granted hereunder.
625	625	5 Not more than 1 month of service shall be credited and
626	626	6 counted for 1 calendar month, and not more than 1 year of
627	627	7 service shall be credited and counted for any calendar
628	628	8 year. A calendar month means a nominal month beginning on
629	629	9 the first day thereof, and a calendar year means a year
630	630	10 beginning January 1 and ending December 31.
631	631	11 2. A seasonal employee shall be given 12 months of
632	632	12 creditable service if he renders the number of months of
633	633	13 service normally required by the position in a 12-month
634	634	14 period and he remains in service for the entire 12-month
635	635	15 period. Otherwise a fractional year of service in the
636	636	16 number of months of service rendered shall be credited.
637	637	17 3. An intermittent employee shall be given creditable
638	638	18 service for only those months in which a contribution is
639	639	19 made under Section 7-173.
640	640	20 (c) No application for correction of credits or creditable
641	641	21 service shall be considered unless the board receives an
642	642	22 application for correction while (1) the applicant is a
643	643	23 participating employee and in active employment with a
644	644	24 participating municipality or instrumentality, or (2) while
645	645	25 the applicant is actively participating in a pension fund or
646	646	26 retirement system which is a participating system under the
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657	657	1 Retirement Systems Reciprocal Act. A participating employee or
658	658	2 other applicant shall not be entitled to credits or creditable
659	659	3 service unless the required employee contributions are made in
660	660	4 a lump sum or in installments made in accordance with board
661	661	5 rule. Payments made to establish service credit under
662	662	6 paragraph 1, 4, 5, 5.1, 6, 7, or 12 of subsection (a) of this
663	663	7 Section must be received by the Board while the applicant is an
664	664	8 active participant in the Fund or a reciprocal retirement
665	665	9 system, except that an applicant may make one payment after
666	666	10 termination of active participation in the Fund or a
667	667	11 reciprocal retirement system.
668	668	12 (d) Upon the granting of a retirement, surviving spouse or
669	669	13 child annuity, a death benefit or a separation benefit, on
670	670	14 account of any employee, all individual accumulated credits
671	671	15 shall thereupon terminate. Upon the withdrawal of additional
672	672	16 contributions, the credits applicable thereto shall thereupon
673	673	17 terminate. Terminated credits shall not be applied to increase
674	674	18 the benefits any remaining employee would otherwise receive
675	675	19 under this Article.
676	676	20 (Source: P.A. 100-148, eff. 8-18-17; 101-492, eff. 8-23-19.)
677	677	21 Section 90. The State Mandates Act is amended by adding
678	678	22 Section 8.47 as follows:
679	679	23 (30 ILCS 805/8.47 new)
680	680	24 Sec. 8.47. Exempt mandate. Notwithstanding Sections 6 and
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691	691	1 8 of this Act, no reimbursement by the State is required for
692	692	2 the implementation of any mandate created by this amendatory
693	693	3 Act of the 103rd General Assembly.
694	694	4 Section 99. Effective date. This Act takes effect upon
695	695	5 becoming law.
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