Illinois 2025-2026 Regular Session

Illinois House Bill HB2855 Compare Versions

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

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1	1	104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB2855 Introduced , by Rep. Stephanie A. Kifowit SYNOPSIS AS INTRODUCED: 40 ILCS 5/5-167.1 from Ch. 108 1/2, par. 5-167.140 ILCS 5/5-23840 ILCS 5/6-164 from Ch. 108 1/2, par. 6-16440 ILCS 5/6-22930 ILCS 805/8.49 new Amends the Chicago Police and Chicago Firefighter Articles of the Illinois Pension Code. Provides that the Tier 2 monthly retirement annuity shall be increased on the January 1 occurring either on or after (i) the attainment of age 55 (instead of age 60) or (ii) the first anniversary of the annuity start date, whichever is later. Provides that each annual increase shall be calculated at 3% (instead of 3% or one-half the annual unadjusted percentage increase in the consumer price index-u, whichever is less) of the originally granted retirement annuity. In a provision specifying an annuity reduction factor for each year a retiring Tier 2 policeman or fireman is under the age of 55, provides that the retirement annuity of a policeman or fireman who is retiring after attaining age 50 with 20 or more years of service shall not be reduced. Makes a conforming change. Amends the State Mandates Act to require implementation without reimbursement. LRB104 10678 RPS 20757 b STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB2855 Introduced , by Rep. Stephanie A. Kifowit SYNOPSIS AS INTRODUCED: 40 ILCS 5/5-167.1 from Ch. 108 1/2, par. 5-167.140 ILCS 5/5-23840 ILCS 5/6-164 from Ch. 108 1/2, par. 6-16440 ILCS 5/6-22930 ILCS 805/8.49 new 40 ILCS 5/5-167.1 from Ch. 108 1/2, par. 5-167.1 40 ILCS 5/5-238 40 ILCS 5/6-164 from Ch. 108 1/2, par. 6-164 40 ILCS 5/6-229 30 ILCS 805/8.49 new Amends the Chicago Police and Chicago Firefighter Articles of the Illinois Pension Code. Provides that the Tier 2 monthly retirement annuity shall be increased on the January 1 occurring either on or after (i) the attainment of age 55 (instead of age 60) or (ii) the first anniversary of the annuity start date, whichever is later. Provides that each annual increase shall be calculated at 3% (instead of 3% or one-half the annual unadjusted percentage increase in the consumer price index-u, whichever is less) of the originally granted retirement annuity. In a provision specifying an annuity reduction factor for each year a retiring Tier 2 policeman or fireman is under the age of 55, provides that the retirement annuity of a policeman or fireman who is retiring after attaining age 50 with 20 or more years of service shall not be reduced. Makes a conforming change. Amends the State Mandates Act to require implementation without reimbursement. LRB104 10678 RPS 20757 b LRB104 10678 RPS 20757 b STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY A BILL FOR
2	2	104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB2855 Introduced , by Rep. Stephanie A. Kifowit SYNOPSIS AS INTRODUCED:
3	3	40 ILCS 5/5-167.1 from Ch. 108 1/2, par. 5-167.140 ILCS 5/5-23840 ILCS 5/6-164 from Ch. 108 1/2, par. 6-16440 ILCS 5/6-22930 ILCS 805/8.49 new 40 ILCS 5/5-167.1 from Ch. 108 1/2, par. 5-167.1 40 ILCS 5/5-238 40 ILCS 5/6-164 from Ch. 108 1/2, par. 6-164 40 ILCS 5/6-229 30 ILCS 805/8.49 new
4	4	40 ILCS 5/5-167.1 from Ch. 108 1/2, par. 5-167.1
5	5	40 ILCS 5/5-238
6	6	40 ILCS 5/6-164 from Ch. 108 1/2, par. 6-164
7	7	40 ILCS 5/6-229
8	8	30 ILCS 805/8.49 new
9	9	Amends the Chicago Police and Chicago Firefighter Articles of the Illinois Pension Code. Provides that the Tier 2 monthly retirement annuity shall be increased on the January 1 occurring either on or after (i) the attainment of age 55 (instead of age 60) or (ii) the first anniversary of the annuity start date, whichever is later. Provides that each annual increase shall be calculated at 3% (instead of 3% or one-half the annual unadjusted percentage increase in the consumer price index-u, whichever is less) of the originally granted retirement annuity. In a provision specifying an annuity reduction factor for each year a retiring Tier 2 policeman or fireman is under the age of 55, provides that the retirement annuity of a policeman or fireman who is retiring after attaining age 50 with 20 or more years of service shall not be reduced. Makes a conforming change. Amends the State Mandates Act to require implementation without reimbursement.
10	10	LRB104 10678 RPS 20757 b LRB104 10678 RPS 20757 b
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12	12	STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY
13	13	STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY
14	14	A BILL FOR
15	15	HB2855LRB104 10678 RPS 20757 b HB2855 LRB104 10678 RPS 20757 b
16	16	HB2855 LRB104 10678 RPS 20757 b
17	17	1 AN ACT concerning public employee benefits.
18	18	2 Be it enacted by the People of the State of Illinois,
19	19	3 represented in the General Assembly:
20	20	4 Section 5. The Illinois Pension Code is amended by
21	21	5 changing Sections 5-167.1, 5-238, 6-164, and 6-229 as follows:
22	22	6 (40 ILCS 5/5-167.1) (from Ch. 108 1/2, par. 5-167.1)
23	23	7 Sec. 5-167.1. Automatic increase in annuity; retirement
24	24	8 from service after September 1, 1967.
25	25	9 (a) A policeman who retires from service after September
26	26	10 1, 1967 with at least 20 years of service credit shall, upon
27	27	11 either the first of the month following the first anniversary
28	28	12 of his date of retirement if he is age 55 or over on that
29	29	13 anniversary date, or upon the first of the month following his
30	30	14 attainment of age 55 if it occurs after the first anniversary
31	31	15 of his retirement date, have his then fixed and payable
32	32	16 monthly annuity increased by 3% and such first fixed annuity
33	33	17 as granted at retirement increased by an additional 3% in
34	34	18 January of each year thereafter.
35	35	19 Any policeman born before January 1, 1945 who qualifies
36	36	20 for a minimum annuity and retires after September 1, 1967 but
37	37	21 has not received the initial increase under this subsection
38	38	22 before January 1, 1996 is entitled to receive the initial
39	39	23 increase under this subsection on (1) January 1, 1996, (2) the
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43	43	104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB2855 Introduced , by Rep. Stephanie A. Kifowit SYNOPSIS AS INTRODUCED:
44	44	40 ILCS 5/5-167.1 from Ch. 108 1/2, par. 5-167.140 ILCS 5/5-23840 ILCS 5/6-164 from Ch. 108 1/2, par. 6-16440 ILCS 5/6-22930 ILCS 805/8.49 new 40 ILCS 5/5-167.1 from Ch. 108 1/2, par. 5-167.1 40 ILCS 5/5-238 40 ILCS 5/6-164 from Ch. 108 1/2, par. 6-164 40 ILCS 5/6-229 30 ILCS 805/8.49 new
45	45	40 ILCS 5/5-167.1 from Ch. 108 1/2, par. 5-167.1
46	46	40 ILCS 5/5-238
47	47	40 ILCS 5/6-164 from Ch. 108 1/2, par. 6-164
48	48	40 ILCS 5/6-229
49	49	30 ILCS 805/8.49 new
50	50	Amends the Chicago Police and Chicago Firefighter Articles of the Illinois Pension Code. Provides that the Tier 2 monthly retirement annuity shall be increased on the January 1 occurring either on or after (i) the attainment of age 55 (instead of age 60) or (ii) the first anniversary of the annuity start date, whichever is later. Provides that each annual increase shall be calculated at 3% (instead of 3% or one-half the annual unadjusted percentage increase in the consumer price index-u, whichever is less) of the originally granted retirement annuity. In a provision specifying an annuity reduction factor for each year a retiring Tier 2 policeman or fireman is under the age of 55, provides that the retirement annuity of a policeman or fireman who is retiring after attaining age 50 with 20 or more years of service shall not be reduced. Makes a conforming change. Amends the State Mandates Act to require implementation without reimbursement.
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53	53	STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY
54	54	STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY
55	55	A BILL FOR
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61	61	40 ILCS 5/5-167.1 from Ch. 108 1/2, par. 5-167.1
62	62	40 ILCS 5/5-238
63	63	40 ILCS 5/6-164 from Ch. 108 1/2, par. 6-164
64	64	40 ILCS 5/6-229
65	65	30 ILCS 805/8.49 new
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88	88	1 first anniversary of the date of retirement, or (3) attainment
89	89	2 of age 55, whichever occurs last. The changes to this Section
90	90	3 made by Public Act 89-12 apply beginning January 1, 1996 and
91	91	4 without regard to whether the policeman or annuitant
92	92	5 terminated service before the effective date of that Act.
93	93	6 Any policeman born before January 1, 1950 who qualifies
94	94	7 for a minimum annuity and retires after September 1, 1967 but
95	95	8 has not received the initial increase under this subsection
96	96	9 before January 1, 2000 is entitled to receive the initial
97	97	10 increase under this subsection on (1) January 1, 2000, (2) the
98	98	11 first anniversary of the date of retirement, or (3) attainment
99	99	12 of age 55, whichever occurs last. The changes to this Section
100	100	13 made by this amendatory Act of the 92nd General Assembly apply
101	101	14 without regard to whether the policeman or annuitant
102	102	15 terminated service before the effective date of this
103	103	16 amendatory Act.
104	104	17 Any policeman born before January 1, 1955 who qualifies
105	105	18 for a minimum annuity and retires after September 1, 1967 but
106	106	19 has not received the initial increase under this subsection
107	107	20 before January 1, 2005 is entitled to receive the initial
108	108	21 increase under this subsection on (1) January 1, 2005, (2) the
109	109	22 first anniversary of the date of retirement, or (3) attainment
110	110	23 of age 55, whichever occurs last. The changes to this Section
111	111	24 made by this amendatory Act of the 94th General Assembly apply
112	112	25 without regard to whether the policeman or annuitant
113	113	26 terminated service before the effective date of this
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124	124	1 amendatory Act.
125	125	2 Any policeman born before January 1, 1966 who qualifies
126	126	3 for a minimum annuity and retires after September 1, 1967 but
127	127	4 has not received the initial increase under this subsection
128	128	5 before January 1, 2017 is entitled to receive an initial
129	129	6 increase under this subsection on (1) January 1, 2017, (2) the
130	130	7 first anniversary of the date of retirement, or (3) attainment
131	131	8 of age 55, whichever occurs last, in an amount equal to 3% for
132	132	9 each complete year following the date of retirement or
133	133	10 attainment of age 55, whichever occurs later. The changes to
134	134	11 this subsection made by this amendatory Act of the 99th
135	135	12 General Assembly apply without regard to whether the policeman
136	136	13 or annuitant terminated service before the effective date of
137	137	14 this amendatory Act.
138	138	15 Any policeman born on or after January 1, 1966 who
139	139	16 qualifies for a minimum annuity and retires after September 1,
140	140	17 1967 but has not received the initial increase under this
141	141	18 subsection before January 1, 2023 is entitled to receive the
142	142	19 initial increase under this subsection on (1) January 1, 2023,
143	143	20 (2) the first anniversary of the date of retirement, or (3)
144	144	21 attainment of age 55, whichever occurs last. The changes to
145	145	22 this Section made by this amendatory Act of the 103rd General
146	146	23 Assembly apply without regard to whether the policeman or
147	147	24 annuitant terminated service before the effective date of this
148	148	25 amendatory Act of the 103rd General Assembly.
149	149	26 (b) Subsection (a) of this Section is not applicable to an
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160	160	1 employee receiving a term annuity.
161	161	2 (c) To help defray the cost of such increases in annuity,
162	162	3 there shall be deducted, beginning September 1, 1967, from
163	163	4 each payment of salary to a policeman, 1/2 of 1% of each salary
164	164	5 payment concurrently with and in addition to the salary
165	165	6 deductions otherwise made for annuity purposes.
166	166	7 The city, in addition to the contributions otherwise made
167	167	8 by it for annuity purposes under other provisions of this
168	168	9 Article, shall make matching contributions concurrently with
169	169	10 such salary deductions.
170	170	11 Each such 1/2 of 1% deduction from salary and each such
171	171	12 contribution by the city of 1/2 of 1% of salary shall be
172	172	13 credited to the Automatic Increase Reserve, to be used to
173	173	14 defray the cost of the annuity increase provided by this
174	174	15 Section. Any balance in such reserve as of the beginning of
175	175	16 each calendar year shall be credited with interest at the rate
176	176	17 of 3% per annum.
177	177	18 Such deductions from salary and city contributions shall
178	178	19 continue while the policeman is in service.
179	179	20 The salary deductions provided in this Section are not
180	180	21 subject to refund, except to the policeman himself, in any
181	181	22 case in which: (i) the policeman withdraws prior to
182	182	23 qualification for minimum annuity or Tier 2 monthly retirement
183	183	24 annuity and applies for refund, (ii) the policeman applies for
184	184	25 an annuity of a type that is not subject to annual increases
185	185	26 under this Section, or (iii) a term annuity becomes payable.
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196	196	1 In such cases, the total of such salary deductions shall be
197	197	2 refunded to the policeman, without interest, and charged to
198	198	3 the Automatic Increase Reserve.
199	199	4 (d) Notwithstanding any other provision of this Article,
200	200	5 the Tier 2 monthly retirement annuity of a person who first
201	201	6 becomes a policeman under this Article on or after the
202	202	7 effective date of this amendatory Act of the 97th General
203	203	8 Assembly shall be increased on the January 1 occurring either
204	204	9 on or after (i) the attainment of age 55 60 or (ii) the first
205	205	10 anniversary of the annuity start date, whichever is later.
206	206	11 Each annual increase shall be calculated at 3% or one-half the
207	207	12 annual unadjusted percentage increase (but not less than zero)
208	208	13 in the consumer price index-u for the 12 months ending with the
209	209	14 September preceding each November 1, whichever is less, of the
210	210	15 originally granted retirement annuity. If the annual
211	211	16 unadjusted percentage change in the consumer price index-u for
212	212	17 a 12-month period ending in September is zero or, when
213	213	18 compared with the preceding period, decreases, then the
214	214	19 annuity shall not be increased.
215	215	20 For the purposes of this subsection (d), "consumer price
216	216	21 index-u" means the index published by the Bureau of Labor
217	217	22 Statistics of the United States Department of Labor that
218	218	23 measures the average change in prices of goods and services
219	219	24 purchased by all urban consumers, United States city average,
220	220	25 all items, 1982-84 = 100. The new amount resulting from each
221	221	26 annual adjustment shall be determined by the Public Pension
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232	232	1 Division of the Department of Insurance and made available to
233	233	2 the boards of the pension funds by November 1 of each year.
234	234	3 (Source: P.A. 103-582, eff. 12-8-23.)
235	235	4 (40 ILCS 5/5-238)
236	236	5 Sec. 5-238. Provisions applicable to new hires; Tier 2.
237	237	6 (a) Notwithstanding any other provision of this Article,
238	238	7 the provisions of this Section apply to a person who first
239	239	8 becomes a policeman under this Article on or after January 1,
240	240	9 2011, and to certain qualified survivors of such a policeman.
241	241	10 Such persons, and the benefits and restrictions that apply
242	242	11 specifically to them under this Article, may be referred to as
243	243	12 "Tier 2".
244	244	13 (b) A policeman who has withdrawn from service, has
245	245	14 attained age 50 or more, and has 10 or more years, but less
246	246	15 than 20 years, of service in that capacity shall be entitled,
247	247	16 upon proper application being received by the Fund, to receive
248	248	17 a Tier 2 monthly retirement annuity for his service as a police
249	249	18 officer. The Tier 2 monthly retirement annuity shall be
250	250	19 computed by multiplying 2.5% for each year of such service by
251	251	20 his or her final average salary, subject to an annuity
252	252	21 reduction factor of one-half of 1% for each month that the
253	253	22 police officer's age at retirement is under age 55. The Tier 2
254	254	23 monthly retirement annuity of a policeman who is retiring
255	255	24 after attaining age 50 with 20 or more years of creditable
256	256	25 service shall not be reduced. The Tier 2 monthly retirement
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267	267	1 annuity is in lieu of any age and service annuity or other form
268	268	2 of retirement annuity under this Article.
269	269	3 The maximum retirement annuity under this subsection (b)
270	270	4 shall be 75% of final average salary.
271	271	5 For the purposes of this subsection (b), "final average
272	272	6 salary" means the average monthly salary obtained by dividing
273	273	7 the total salary of the policeman during the 96 consecutive
274	274	8 months of service within the last 120 months of service in
275	275	9 which the total salary was the highest by the number of months
276	276	10 of service in that period.
277	277	11 Beginning on January 1, 2011, for all purposes under this
278	278	12 Code (including without limitation the calculation of benefits
279	279	13 and employee contributions), the annual salary based on the
280	280	14 plan year of a member or participant to whom this Section
281	281	15 applies shall not exceed $106,800; however, that amount shall
282	282	16 annually thereafter be increased by the lesser of (i) 3% of
283	283	17 that amount, including all previous adjustments, or (ii)
284	284	18 one-half the annual unadjusted percentage increase (but not
285	285	19 less than zero) in the consumer price index-u for the 12 months
286	286	20 ending with the September preceding each November 1, including
287	287	21 all previous adjustments.
288	288	22 (c) Notwithstanding any other provision of this Article,
289	289	23 for a person who first becomes a policeman under this Article
290	290	24 on or after January 1, 2011, eligibility for and the amount of
291	291	25 the annuity to which the qualified surviving spouse, children,
292	292	26 and parents are entitled under this subsection (c) shall be
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303	303	1 determined as follows:
304	304	2 (1) The surviving spouse of a deceased policeman to
305	305	3 whom this Section applies shall be deemed qualified to
306	306	4 receive a Tier 2 surviving spouse's annuity under this
307	307	5 paragraph (1) if: (i) the deceased policeman meets the
308	308	6 requirements specified under subdivision (A), (B), (C), or
309	309	7 (D) of this paragraph (1); and (ii) the surviving spouse
310	310	8 would not otherwise be excluded from receiving a widow's
311	311	9 annuity under the eligibility requirements for a widow's
312	312	10 annuity set forth in Section 5-146. The Tier 2 surviving
313	313	11 spouse's annuity is in lieu of the widow's annuity
314	314	12 determined under any other Section of this Article and is
315	315	13 subject to the requirements of Section 5-147.1.
316	316	14 As used in this subsection (c), "earned annuity" means
317	317	15 a Tier 2 monthly retirement annuity determined under
318	318	16 subsection (b) of this Section, including any increases
319	319	17 the policeman had received pursuant to Section 5-167.1.
320	320	18 (A) If the deceased policeman was receiving an
321	321	19 earned annuity at the date of his or her death, the
322	322	20 Tier 2 surviving spouse's annuity under this paragraph
323	323	21 (1) shall be in the amount of 66 2/3% of the
324	324	22 policeman's earned annuity at the date of death.
325	325	23 (B) If the deceased policeman was not receiving an
326	326	24 earned annuity but had at least 10 years of service at
327	327	25 the time of death, the Tier 2 surviving spouse's
328	328	26 annuity under this paragraph (1) shall be the greater
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339	339	1 of: (i) 30% of the annual maximum salary attached to
340	340	2 the classified civil service position of a first class
341	341	3 patrolman at the time of his death; or (ii) 66 2/3% of
342	342	4 the Tier 2 monthly retirement annuity that the
343	343	5 deceased policeman would have been eligible to receive
344	344	6 under subsection (b) of this Section, based upon the
345	345	7 actual service accrued through the day before the
346	346	8 policeman's death, but determined as though the
347	347	9 policeman was at least age 55 on the day before his or
348	348	10 her death and retired on that day.
349	349	11 (C) If the deceased policeman was an active
350	350	12 policeman with at least 1 1/2 but less than 10 years of
351	351	13 service at the time of death, the Tier 2 surviving
352	352	14 spouse's annuity under this paragraph (1) shall be in
353	353	15 the amount of 30% of the annual maximum salary
354	354	16 attached to the classified civil service position of a
355	355	17 first class patrolman at the time of his death.
356	356	18 (D) If the performance of an act or acts of duty
357	357	19 results directly in the death of a policeman subject
358	358	20 to this Section, or prevents him from subsequently
359	359	21 resuming active service in the police department, and
360	360	22 if the policeman's Tier 2 surviving spouse would
361	361	23 otherwise meet the eligibility requirements for a
362	362	24 compensation annuity or supplemental annuity granted
363	363	25 under Section 5-144, then in addition to the Tier 2
364	364	26 surviving spouse's annuity provided under subdivision
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375	375	1 (A), (B), or (C) of this paragraph (1), whichever
376	376	2 applies, the Tier 2 surviving spouse shall be
377	377	3 qualified to receive compensation annuity or
378	378	4 supplemental annuity, as would be provided under
379	379	5 Section 5-144, in order to bring the total benefit up
380	380	6 to the applicable 75% salary limitation provided in
381	381	7 that Section, but subject to the Tier 2 salary cap
382	382	8 provided under subsection (b) of this Section; except
383	383	9 that no such annuity shall be paid to the surviving
384	384	10 spouse of a policeman who dies while in receipt of
385	385	11 disability benefits when the policeman's death was
386	386	12 caused by an intervening illness or injury unrelated
387	387	13 to the illness or injury that had prevented him from
388	388	14 subsequently resuming active service in the police
389	389	15 department.
390	390	16 (E) Notwithstanding any other provision of this
391	391	17 Article, the monthly Tier 2 surviving spouse's annuity
392	392	18 under subdivision (A) or (B) of this paragraph (1)
393	393	19 shall be increased on the January 1 next occurring
394	394	20 after (i) attainment of age 60 by the recipient of the
395	395	21 Tier 2 surviving spouse's annuity or (ii) the first
396	396	22 anniversary of the Tier 2 surviving spouse's annuity
397	397	23 start date, whichever is later, and on each January 1
398	398	24 thereafter, by 3% or one-half the annual unadjusted
399	399	25 percentage increase (but not less than zero) in the
400	400	26 consumer price index-u for the 12 months ending with
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410	410	HB2855 - 11 - LRB104 10678 RPS 20757 b
411	411	1 the September preceding each November 1, whichever is
412	412	2 less, of the originally granted Tier 2 surviving
413	413	3 spouse's annuity. If the unadjusted percentage change
414	414	4 in the consumer price index-u for a 12-month period
415	415	5 ending in September is zero or, when compared with the
416	416	6 preceding period, decreases, then the annuity shall
417	417	7 not be increased.
418	418	8 For the purposes of this Section, "consumer price
419	419	9 index-u" means the index published by the Bureau of
420	420	10 Labor Statistics of the United States Department of
421	421	11 Labor that measures the average change in prices of
422	422	12 goods and services purchased by all urban consumers,
423	423	13 United States city average, all items, 1982-84 = 100.
424	424	14 The new amount resulting from each annual adjustment
425	425	15 shall be determined by the Public Pension Division of
426	426	16 the Department of Insurance and made available to the
427	427	17 boards of the pension funds.
428	428	18 (F) Notwithstanding the other provisions of this
429	429	19 paragraph (1), for a qualified surviving spouse who is
430	430	20 entitled to a Tier 2 surviving spouse's annuity under
431	431	21 subdivision (A), (B), (C), or (D) of this paragraph
432	432	22 (1), that Tier 2 surviving spouse's annuity shall not
433	433	23 be less than the amount of the minimum widow's annuity
434	434	24 established from time to time under Section 5-167.4.
435	435	25 (2) Surviving children of a deceased policeman subject
436	436	26 to this Section who would otherwise meet the eligibility
437	437
438	438
439	439
440	440
441	441
442	442	HB2855 - 11 - LRB104 10678 RPS 20757 b
443	443
444	444
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446	446	HB2855 - 12 - LRB104 10678 RPS 20757 b
447	447	1 requirements for a child's annuity set forth in Sections
448	448	2 5-151 and 5-152 shall be deemed qualified to receive a
449	449	3 Tier 2 child's annuity under this subsection (c), which
450	450	4 shall be in lieu of, but in the same amount and paid in the
451	451	5 same manner as, the child's annuity provided under those
452	452	6 Sections; except that any salary used for computing a Tier
453	453	7 2 child's annuity shall be subject to the Tier 2 salary cap
454	454	8 provided under subsection (b) of this Section. For
455	455	9 purposes of determining any pro rata reduction in child's
456	456	10 annuities under this subsection (c), references in Section
457	457	11 5-152 to the combined annuities of the family shall be
458	458	12 deemed to refer to the combined Tier 2 surviving spouse's
459	459	13 annuity, if any, and the Tier 2 child's annuities payable
460	460	14 under this subsection (c).
461	461	15 (3) Surviving parents of a deceased policeman subject
462	462	16 to this Section who would otherwise meet the eligibility
463	463	17 requirements for a parent's annuity set forth in Section
464	464	18 5-152 shall be deemed qualified to receive a Tier 2
465	465	19 parent's annuity under this subsection (c), which shall be
466	466	20 in lieu of, but in the same amount and paid in the same
467	467	21 manner as, the parent's annuity provided under Section
468	468	22 5-152.1; except that any salary used for computing a Tier
469	469	23 2 parent's annuity shall be subject to the Tier 2 salary
470	470	24 cap provided under subsection (b) of this Section. For the
471	471	25 purposes of this Section, a reference to "annuity" in
472	472	26 Section 5-152.1 includes: (i) in the context of a widow, a
473	473
474	474
475	475
476	476
477	477
478	478	HB2855 - 12 - LRB104 10678 RPS 20757 b
479	479
480	480
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482	482	HB2855 - 13 - LRB104 10678 RPS 20757 b
483	483	1 Tier 2 surviving spouse's annuity and (ii) in the context
484	484	2 of a child, a Tier 2 child's annuity.
485	485	3 (d) The General Assembly finds and declares that the
486	486	4 provisions of this Section, as enacted by Public Act 96-1495,
487	487	5 require clarification relating to necessary eligibility
488	488	6 standards and the manner of determining and paying the
489	489	7 intended Tier 2 benefits and contributions in order to enable
490	490	8 the Fund to unambiguously implement and administer benefits
491	491	9 for Tier 2 members. The changes to this Section and the
492	492	10 conforming changes to Sections 5-153, 5-155, 5-163, 5-167.1
493	493	11 (except for the changes to subsection (a) of that Section),
494	494	12 5-169, and 5-170 made by this amendatory Act of the 99th
495	495	13 General Assembly are enacted to clarify the provisions of this
496	496	14 Section as enacted by Public Act 96-1495, and are hereby
497	497	15 declared to represent and be consistent with the original and
498	498	16 continuing intent of this Section and Public Act 96-1495.
499	499	17 (e) The changes to Sections 5-153, 5-155, 5-163, 5-167.1
500	500	18 (except for the changes to subsection (a) of that Section),
501	501	19 5-169, and 5-170 made by this amendatory Act of the 99th
502	502	20 General Assembly are intended to be retroactive to January 1,
503	503	21 2011 (the effective date of Public Act 96-1495) and, for the
504	504	22 purposes of Section 1-103.1 of this Code, they apply without
505	505	23 regard to whether the relevant policeman was in service on or
506	506	24 after the effective date of this amendatory Act of the 99th
507	507	25 General Assembly.
508	508	26 (Source: P.A. 99-905, eff. 11-29-16.)
509	509
510	510
511	511
512	512
513	513
514	514	HB2855 - 13 - LRB104 10678 RPS 20757 b
515	515
516	516
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518	518	HB2855 - 14 - LRB104 10678 RPS 20757 b
519	519	1 (40 ILCS 5/6-164) (from Ch. 108 1/2, par. 6-164)
520	520	2 Sec. 6-164. Automatic annual increase; retirement after
521	521	3 September 1, 1959.
522	522	4 (a) A fireman qualifying for a minimum annuity who retires
523	523	5 from service after September 1, 1959 shall, upon either the
524	524	6 first of the month following the first anniversary of his date
525	525	7 of retirement if he is age 55 or over on that anniversary date,
526	526	8 or upon the first of the month following his attainment of age
527	527	9 55 if that occurs after the first anniversary of his
528	528	10 retirement date, have his then fixed and payable monthly
529	529	11 annuity increased by 1 1/2%, and such first fixed annuity as
530	530	12 granted at retirement increased by an additional 1 1/2% in
531	531	13 January of each year thereafter up to a maximum increase of
532	532	14 30%. Beginning July 1, 1982 for firemen born before January 1,
533	533	15 1930, and beginning January 1, 1990 for firemen born after
534	534	16 December 31, 1929 and before January 1, 1940, and beginning
535	535	17 January 1, 1996 for firemen born after December 31, 1939 but
536	536	18 before January 1, 1945, and beginning January 1, 2004, for
537	537	19 firemen born after December 31, 1944 but before January 1,
538	538	20 1955, and beginning January 1, 2017, for firemen born after
539	539	21 December 31, 1954, such increases shall be 3% and such firemen
540	540	22 shall not be subject to the 30% maximum increase.
541	541	23 Any fireman born before January 1, 1945 who qualifies for
542	542	24 a minimum annuity and retires after September 1, 1967 but has
543	543	25 not received the initial increase under this subsection before
544	544
545	545
546	546
547	547
548	548
549	549	HB2855 - 14 - LRB104 10678 RPS 20757 b
550	550
551	551
552	552	HB2855- 15 -LRB104 10678 RPS 20757 b HB2855 - 15 - LRB104 10678 RPS 20757 b
553	553	HB2855 - 15 - LRB104 10678 RPS 20757 b
554	554	1 January 1, 1996 is entitled to receive the initial increase
555	555	2 under this subsection on (1) January 1, 1996, (2) the first
556	556	3 anniversary of the date of retirement, or (3) attainment of
557	557	4 age 55, whichever occurs last. The changes to this Section
558	558	5 made by this amendatory Act of 1995 apply beginning January 1,
559	559	6 1996 and apply without regard to whether the fireman or
560	560	7 annuitant terminated service before the effective date of this
561	561	8 amendatory Act of 1995.
562	562	9 Any fireman born before January 1, 1955 who qualifies for
563	563	10 a minimum annuity and retires after September 1, 1967 but has
564	564	11 not received the initial increase under this subsection before
565	565	12 January 1, 2004 is entitled to receive the initial increase
566	566	13 under this subsection on (1) January 1, 2004, (2) the first
567	567	14 anniversary of the date of retirement, or (3) attainment of
568	568	15 age 55, whichever occurs last. The changes to this Section
569	569	16 made by this amendatory Act of the 93rd General Assembly apply
570	570	17 without regard to whether the fireman or annuitant terminated
571	571	18 service before the effective date of this amendatory Act.
572	572	19 Any fireman born after December 31, 1954 but before
573	573	20 January 1, 1966 who qualifies for a minimum annuity and
574	574	21 retires after September 1, 1967 is entitled to receive an
575	575	22 increase under this subsection on (1) January 1, 2017, (2) the
576	576	23 first anniversary of the date of retirement, or (3) attainment
577	577	24 of age 55, whichever occurs last, in an amount equal to an
578	578	25 increase of 3% of his then fixed and payable monthly annuity
579	579	26 upon the first of the month following the first anniversary of
580	580
581	581
582	582
583	583
584	584
585	585	HB2855 - 15 - LRB104 10678 RPS 20757 b
586	586
587	587
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589	589	HB2855 - 16 - LRB104 10678 RPS 20757 b
590	590	1 his date of retirement if he is age 55 or over on that
591	591	2 anniversary date or upon the first of the month following his
592	592	3 attainment of age 55 if that date occurs after the first
593	593	4 anniversary of his retirement date and such first fixed
594	594	5 annuity as granted at retirement shall be increased by an
595	595	6 additional 3% in January of each year thereafter. In the case
596	596	7 of a fireman born after December 31, 1954 but before January 1,
597	597	8 1966 who received an increase in any year of 1.5%, that fireman
598	598	9 shall receive an increase for any such year so that the total
599	599	10 increase is equal to 3% for each year the fireman would have
600	600	11 been otherwise eligible had the fireman not received any
601	601	12 increase. The changes to this subsection made by this
602	602	13 amendatory Act of the 99th General Assembly apply without
603	603	14 regard to whether the fireman or annuitant terminated service
604	604	15 before the effective date of this amendatory Act. The changes
605	605	16 to this subsection made by this amendatory Act of the 100th
606	606	17 General Assembly are a declaration of existing law and shall
607	607	18 not be construed as a new enactment.
608	608	19 Any fireman who qualifies for a minimum annuity and
609	609	20 retires after September 1, 1967 is entitled to receive an
610	610	21 increase under this subsection on (1) January 1, 2020, (2) the
611	611	22 first anniversary of the date of retirement, or (3) attainment
612	612	23 of age 55, whichever occurs last, in an amount equal to an
613	613	24 increase of 3% of his or her then fixed and payable monthly
614	614	25 annuity upon the first of the month following the first
615	615	26 anniversary of his or her date of retirement if he or she is
616	616
617	617
618	618
619	619
620	620
621	621	HB2855 - 16 - LRB104 10678 RPS 20757 b
622	622
623	623
624	624	HB2855- 17 -LRB104 10678 RPS 20757 b HB2855 - 17 - LRB104 10678 RPS 20757 b
625	625	HB2855 - 17 - LRB104 10678 RPS 20757 b
626	626	1 age 55 or over on that anniversary date or upon the first of
627	627	2 the month following his or her attainment of age 55 if that
628	628	3 date occurs after the first anniversary of his or her
629	629	4 retirement date and such first fixed annuity as granted at
630	630	5 retirement shall be increased by an additional 3% in January
631	631	6 of each year thereafter. In the case of a fireman who received
632	632	7 an increase in any year of 1.5%, that fireman shall receive an
633	633	8 increase for any such year so that the total increase is equal
634	634	9 to 3% for each year the fireman would have been otherwise
635	635	10 eligible had the fireman not received any increase. The
636	636	11 changes to this subsection made by this amendatory Act of the
637	637	12 101st General Assembly apply without regard to whether the
638	638	13 fireman or annuitant terminated service before the effective
639	639	14 date of this amendatory Act of the 101st General Assembly.
640	640	15 (b) Subsection (a) of this Section is not applicable to an
641	641	16 employee receiving a term annuity.
642	642	17 (c) To help defray the cost of such increases in annuity,
643	643	18 there shall be deducted, beginning September 1, 1959, from
644	644	19 each payment of salary to a fireman, 1/8 of 1% of each such
645	645	20 salary payment and an additional 1/8 of 1% beginning on
646	646	21 September 1, 1961, and September 1, 1963, respectively,
647	647	22 concurrently with and in addition to the salary deductions
648	648	23 otherwise made for annuity purposes.
649	649	24 Each such additional 1/8 of 1% deduction from salary which
650	650	25 shall, on September 1, 1963, result in a total increase of 3/8
651	651	26 of 1% of salary, shall be credited to the Automatic Increase
652	652
653	653
654	654
655	655
656	656
657	657	HB2855 - 17 - LRB104 10678 RPS 20757 b
658	658
659	659
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661	661	HB2855 - 18 - LRB104 10678 RPS 20757 b
662	662	1 Reserve, to be used, together with city contributions as
663	663	2 provided in this Article, to defray the cost of the annuity
664	664	3 increments specified in this Section. Any balance in such
665	665	4 reserve as of the beginning of each calendar year shall be
666	666	5 credited with interest at the rate of 3% per annum.
667	667	6 The salary deductions provided in this Section are not
668	668	7 subject to refund, except to the fireman himself in any case in
669	669	8 which: (i) the fireman withdraws prior to qualification for
670	670	9 minimum annuity or Tier 2 monthly retirement annuity and
671	671	10 applies for refund, (ii) the fireman applies for an annuity of
672	672	11 a type that is not subject to annual increases under this
673	673	12 Section, or (iii) a term annuity becomes payable. In such
674	674	13 cases, the total of such salary deductions shall be refunded
675	675	14 to the fireman, without interest, and charged to the
676	676	15 aforementioned reserve.
677	677	16 (d) Notwithstanding any other provision of this Article,
678	678	17 the Tier 2 monthly retirement annuity of a person who first
679	679	18 becomes a fireman under this Article on or after January 1,
680	680	19 2011 shall be increased on the January 1 occurring either on or
681	681	20 after (i) the attainment of age 55 60 or (ii) the first
682	682	21 anniversary of the annuity start date, whichever is later.
683	683	22 Each annual increase shall be calculated at 3% or one-half the
684	684	23 annual unadjusted percentage increase (but not less than zero)
685	685	24 in the consumer price index-u for the 12 months ending with the
686	686	25 September preceding each November 1, whichever is less, of the
687	687	26 originally granted retirement annuity. If the annual
688	688
689	689
690	690
691	691
692	692
693	693	HB2855 - 18 - LRB104 10678 RPS 20757 b
694	694
695	695
696	696	HB2855- 19 -LRB104 10678 RPS 20757 b HB2855 - 19 - LRB104 10678 RPS 20757 b
697	697	HB2855 - 19 - LRB104 10678 RPS 20757 b
698	698	1 unadjusted percentage change in the consumer price index-u for
699	699	2 a 12-month period ending in September is zero or, when
700	700	3 compared with the preceding period, decreases, then the
701	701	4 annuity shall not be increased.
702	702	5 For the purposes of this subsection (d), "consumer price
703	703	6 index-u" means the index published by the Bureau of Labor
704	704	7 Statistics of the United States Department of Labor that
705	705	8 measures the average change in prices of goods and services
706	706	9 purchased by all urban consumers, United States city average,
707	707	10 all items, 1982-84 = 100. The new amount resulting from each
708	708	11 annual adjustment shall be determined by the Public Pension
709	709	12 Division of the Department of Insurance and made available to
710	710	13 the boards of the pension funds by November 1 of each year.
711	711	14 (Source: P.A. 100-23, eff. 7-6-17; 100-539, eff. 11-7-17;
712	712	15 101-673, eff. 4-5-21.)
713	713	16 (40 ILCS 5/6-229)
714	714	17 Sec. 6-229. Provisions applicable to new hires; Tier 2.
715	715	18 (a) Notwithstanding any other provision of this Article,
716	716	19 the provisions of this Section apply to a person who first
717	717	20 becomes a fireman under this Article on or after January 1,
718	718	21 2011, and to certain qualified survivors of such a fireman.
719	719	22 Such persons, and the benefits and restrictions that apply
720	720	23 specifically to them under this Article, may be referred to as
721	721	24 "Tier 2".
722	722	25 (b) A fireman who has withdrawn from service, has attained
723	723
724	724
725	725
726	726
727	727
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729	729
730	730
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732	732	HB2855 - 20 - LRB104 10678 RPS 20757 b
733	733	1 age 50 or more, and has 10 or more years, but less than 20
734	734	2 years, of service in that capacity shall be entitled, upon
735	735	3 proper application being received by the Fund, to receive a
736	736	4 Tier 2 monthly retirement annuity for his service as a
737	737	5 fireman. The Tier 2 monthly retirement annuity shall be
738	738	6 computed by multiplying 2.5% for each year of such service by
739	739	7 his or her final average salary, subject to an annuity
740	740	8 reduction factor of one-half of 1% for each month that the
741	741	9 fireman's age at retirement is under age 55. The Tier 2 monthly
742	742	10 retirement annuity of a fireman who is retiring after
743	743	11 attaining age 50 with 20 or more years of creditable service
744	744	12 shall not be reduced. The Tier 2 monthly retirement annuity is
745	745	13 in lieu of any age and service annuity or other form of
746	746	14 retirement annuity under this Article.
747	747	15 The maximum retirement annuity under this subsection (b)
748	748	16 shall be 75% of final average salary.
749	749	17 For the purposes of this subsection (b), "final average
750	750	18 salary" means the greater of (1) the average monthly salary
751	751	19 obtained by dividing the total salary of the fireman during
752	752	20 the 96 consecutive months of service within the last 120
753	753	21 months of service in which the total salary was the highest by
754	754	22 the number of months of service in that period or (2) the
755	755	23 average monthly salary obtained by dividing the total salary
756	756	24 of the fireman during the 48 consecutive months of service
757	757	25 within the last 60 months of service in which the total salary
758	758	26 was the highest by the number of months of service in that
759	759
760	760
761	761
762	762
763	763
764	764	HB2855 - 20 - LRB104 10678 RPS 20757 b
765	765
766	766
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768	768	HB2855 - 21 - LRB104 10678 RPS 20757 b
769	769	1 period.
770	770	2 Beginning on January 1, 2011, for all purposes under this
771	771	3 Code (including without limitation the calculation of benefits
772	772	4 and employee contributions), the annual salary based on the
773	773	5 plan year of a member or participant to whom this Section
774	774	6 applies shall not exceed $106,800; however, that amount shall
775	775	7 annually thereafter be increased by the lesser of (i) 3% of
776	776	8 that amount, including all previous adjustments, or (ii)
777	777	9 one-half the annual unadjusted percentage increase (but not
778	778	10 less than zero) in the consumer price index-u for the 12 months
779	779	11 ending with the September preceding each November 1, including
780	780	12 all previous adjustments.
781	781	13 (b-5) For the purposes of this Section, "consumer price
782	782	14 index-u" means the index published by the Bureau of Labor
783	783	15 Statistics of the United States Department of Labor that
784	784	16 measures the average change in prices of goods and services
785	785	17 purchased by all urban consumers, United States city average,
786	786	18 all items, 1982-84 = 100. The new amount resulting from each
787	787	19 annual adjustment shall be determined by the Public Pension
788	788	20 Division of the Department of Insurance and made available to
789	789	21 the boards of the retirement systems and pension funds by
790	790	22 November 1 of each year.
791	791	23 (c) Notwithstanding any other provision of this Article,
792	792	24 for a person who first becomes a fireman under this Article on
793	793	25 or after January 1, 2011, eligibility for and the amount of the
794	794	26 annuity to which the qualified surviving spouse, children, and
795	795
796	796
797	797
798	798
799	799
800	800	HB2855 - 21 - LRB104 10678 RPS 20757 b
801	801
802	802
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804	804	HB2855 - 22 - LRB104 10678 RPS 20757 b
805	805	1 parents of the fireman are entitled under this subsection (c)
806	806	2 shall be determined as follows:
807	807	3 (1) The surviving spouse of a deceased fireman to whom
808	808	4 this Section applies shall be deemed qualified to receive
809	809	5 a Tier 2 surviving spouse's annuity under this paragraph
810	810	6 (1) if: (i) the deceased fireman meets the requirements
811	811	7 specified under subdivision (A), (B), (C), or (D) of this
812	812	8 paragraph (1); and (ii) the surviving spouse would not
813	813	9 otherwise be excluded from receiving a widow's annuity
814	814	10 under the eligibility requirements for a widow's annuity
815	815	11 set forth in Section 6-142. The Tier 2 surviving spouse's
816	816	12 annuity is in lieu of the widow's annuity determined under
817	817	13 any other Section of this Article and is subject to the
818	818	14 requirements of Section 6-143.2.
819	819	15 As used in this subsection (c), "earned pension" means
820	820	16 a Tier 2 monthly retirement annuity determined under
821	821	17 subsection (b) of this Section, including any increases
822	822	18 the fireman had received pursuant to Section 6-164.
823	823	19 (A) If the deceased fireman was receiving an
824	824	20 earned pension at the date of his or her death, the
825	825	21 Tier 2 surviving spouse's annuity under this paragraph
826	826	22 (1) shall be in the amount of 66 2/3% of the fireman's
827	827	23 earned pension at the date of death.
828	828	24 (B) If the deceased fireman was not receiving an
829	829	25 earned pension but had at least 10 years of service at
830	830	26 the time of death, the Tier 2 surviving spouse's
831	831
832	832
833	833
834	834
835	835
836	836	HB2855 - 22 - LRB104 10678 RPS 20757 b
837	837
838	838
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840	840	HB2855 - 23 - LRB104 10678 RPS 20757 b
841	841	1 annuity under this paragraph (1) shall be the greater
842	842	2 of: (i) 30% of the salary attached to the rank of first
843	843	3 class firefighter in the classified career service at
844	844	4 the time of the fireman's death; or (ii) 66 2/3% of the
845	845	5 Tier 2 monthly retirement annuity that the deceased
846	846	6 fireman would have been eligible to receive under
847	847	7 subsection (b) of this Section, based upon the actual
848	848	8 service accrued through the day before the fireman's
849	849	9 death, but determined as though the fireman was at
850	850	10 least age 55 on the day before his or her death and
851	851	11 retired on that day.
852	852	12 (C) If the deceased fireman was an active fireman
853	853	13 with at least 1 1/2 but less than 10 years of service
854	854	14 at the time of death, the Tier 2 surviving spouse's
855	855	15 annuity under this paragraph (1) shall be in the
856	856	16 amount of 30% of the salary attached to the rank of
857	857	17 first class firefighter in the classified career
858	858	18 service at the time of the fireman's death.
859	859	19 (D) Notwithstanding subdivisions (A), (B), and (C)
860	860	20 of this paragraph (1), if the performance of an act or
861	861	21 acts of duty results directly in the death of a fireman
862	862	22 subject to this Section, or prevents him from
863	863	23 subsequently resuming active service in the fire
864	864	24 department, then a surviving spouse who would
865	865	25 otherwise meet the eligibility requirements for a
866	866	26 death in the line of duty widow's annuity granted
867	867
868	868
869	869
870	870
871	871
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873	873
874	874
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876	876	HB2855 - 24 - LRB104 10678 RPS 20757 b
877	877	1 under Section 6-140 shall be deemed to be qualified
878	878	2 for a Tier 2 surviving spouse's annuity under this
879	879	3 subdivision (D); except that no such annuity shall be
880	880	4 paid to the surviving spouse of a fireman who dies
881	881	5 while in receipt of disability benefits when the
882	882	6 fireman's death was caused by an intervening illness
883	883	7 or injury unrelated to the illness or injury that had
884	884	8 prevented him from subsequently resuming active
885	885	9 service in the fire department. The Tier 2 surviving
886	886	10 spouse's annuity calculated under this subdivision (D)
887	887	11 shall be in lieu of, but in the same amount and paid in
888	888	12 the same manner as, the widow's annuity provided under
889	889	13 Section 6-140; except that the salary used for
890	890	14 computing a Tier 2 surviving spouse's annuity under
891	891	15 this subdivision (D) shall be subject to the Tier 2
892	892	16 salary cap provided under subsection (b) of this
893	893	17 Section.
894	894	18 (E) Notwithstanding any other provision of this
895	895	19 Article, the monthly Tier 2 surviving spouse's annuity
896	896	20 under subdivision (A) or (B) of this paragraph (1)
897	897	21 shall be increased on the January 1 next occurring
898	898	22 after (i) attainment of age 60 by the recipient of the
899	899	23 Tier 2 surviving spouse's annuity or (ii) the first
900	900	24 anniversary of the Tier 2 surviving spouse's annuity
901	901	25 start date, whichever is later, and on each January 1
902	902	26 thereafter, by 3% or one-half the annual unadjusted
903	903
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913	913	1 percentage increase in the consumer price index-u for
914	914	2 the 12 months ending with September preceding each
915	915	3 November 1, whichever is less, of the originally
916	916	4 granted Tier 2 surviving spouse's annuity. If the
917	917	5 annual unadjusted percentage change in the consumer
918	918	6 price index-u for a 12-month period ending in
919	919	7 September is zero or, when compared with the preceding
920	920	8 period, decreases, then the annuity shall not be
921	921	9 increased.
922	922	10 (F) Notwithstanding the other provisions of this
923	923	11 paragraph (1), for a qualified surviving spouse who is
924	924	12 entitled to a Tier 2 surviving spouse's annuity under
925	925	13 subdivision (A), (B), (C), or (D) of this paragraph
926	926	14 (1), that Tier 2 surviving spouse's annuity shall not
927	927	15 be less than the amount of the minimum widow's annuity
928	928	16 established from time to time under Section 6-128.4.
929	929	17 (2) Surviving children of a deceased fireman subject
930	930	18 to this Section who would otherwise meet the eligibility
931	931	19 requirements for a child's annuity set forth in Sections
932	932	20 6-147 and 6-148 shall be deemed qualified to receive a
933	933	21 Tier 2 child's annuity under this subsection (c), which
934	934	22 shall be in lieu of, but in the same amount and paid in the
935	935	23 same manner as, the child's annuity provided under those
936	936	24 Sections; except that any salary used for computing a Tier
937	937	25 2 child's annuity shall be subject to the Tier 2 salary cap
938	938	26 provided under subsection (b) of this Section. For
939	939
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949	949	1 purposes of determining any pro rata reduction in child's
950	950	2 annuities under this subsection (c), references in Section
951	951	3 6-148 to the combined annuities of the family shall be
952	952	4 deemed to refer to the combined Tier 2 surviving spouse's
953	953	5 annuity, if any, and the Tier 2 child's annuities payable
954	954	6 under this subsection (c).
955	955	7 (3) Surviving parents of a deceased fireman subject to
956	956	8 this Section who would otherwise meet the eligibility
957	957	9 requirements for a parent's annuity set forth in Section
958	958	10 6-149 shall be deemed qualified to receive a Tier 2
959	959	11 parent's annuity under this subsection (c), which shall be
960	960	12 in lieu of, but in the same amount and paid in the same
961	961	13 manner as, the parent's annuity provided under Section
962	962	14 6-149; except that any salary used for computing a Tier 2
963	963	15 parent's annuity shall be subject to the Tier 2 salary cap
964	964	16 provided under subsection (b) of this Section. For the
965	965	17 purposes of this Section, a reference to "annuity" in
966	966	18 Section 6-149 includes: (i) in the context of a widow, a
967	967	19 Tier 2 surviving spouse's annuity and (ii) in the context
968	968	20 of a child, a Tier 2 child's annuity.
969	969	21 (d) The General Assembly finds and declares that the
970	970	22 provisions of this Section, as enacted by Public Act 96-1495,
971	971	23 require clarification relating to necessary eligibility
972	972	24 standards and the manner of determining and paying the
973	973	25 intended Tier 2 benefits and contributions in order to enable
974	974	26 the Fund to unambiguously implement and administer benefits
975	975
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985	985	1 for Tier 2 members. The changes to this Section and the
986	986	2 conforming changes to Sections 6-150, 6-158, 6-164 (except for
987	987	3 the changes to subsection (a) of that Section), 6-166, and
988	988	4 6-167 made by this amendatory Act of the 99th General Assembly
989	989	5 are enacted to clarify the provisions of this Section as
990	990	6 enacted by Public Act 96-1495, and are hereby declared to
991	991	7 represent and be consistent with the original and continuing
992	992	8 intent of this Section and Public Act 96-1495.
993	993	9 (e) The changes to Sections 6-150, 6-158, 6-164 (except
994	994	10 for the changes to subsection (a) of that Section), 6-166, and
995	995	11 6-167 made by this amendatory Act of the 99th General Assembly
996	996	12 are intended to be retroactive to January 1, 2011 (the
997	997	13 effective date of Public Act 96-1495) and, for the purposes of
998	998	14 Section 1-103.1 of this Code, they apply without regard to
999	999	15 whether the relevant fireman was in service on or after the
1000	1000	16 effective date of this amendatory Act of the 99th General
1001	1001	17 Assembly.
1002	1002	18 (Source: P.A. 103-579, eff. 12-8-23.)
1003	1003	19 Section 90. The State Mandates Act is amended by adding
1004	1004	20 Section 8.49 as follows:
1005	1005	21 (30 ILCS 805/8.49 new)
1006	1006	22 Sec. 8.49. Exempt mandate. Notwithstanding Sections 6 and
1007	1007	23 8 of this Act, no reimbursement by the State is required for
1008	1008	24 the implementation of any mandate created by this amendatory
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