Illinois 2025-2026 Regular Session

Illinois Senate Bill SB0002 Compare Versions

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

Old	New	Differences
1	1	104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB0002 Introduced 1/13/2025, by Sen. Robert F. Martwick SYNOPSIS AS INTRODUCED: See Index Amends the Illinois Pension Code. Makes changes to Tier 2 benefits, including changing the amount of the automatic annual increase to 3% of the originally granted retirement annuity or 3% of the retirement annuity then being paid for the General Assembly and Judges Articles, changing the limit on the amount of salary for annuity purposes to the Social Security wage base, changing the calculation of final average salary to the Tier 1 calculation for persons who are active members on or after January 1, 2026, and changing the retirement age. Establishes an accelerated pension benefit payment option for the General Assembly, Chicago Teachers, and Judges Articles of the Code. Provides that, with regard to persons subject to the Tier 2 provisions, a security employee of the Department of Human Services, a security employee of the Department of Corrections or the Department of Juvenile Justice, an investigator for the Department of the Lottery, or a State highway worker is entitled to an annuity calculated under the alternative retirement annuity provisions of the State Employee Article of the Code. Authorizes the conversion of service to eligible creditable service. Provides that the Retirement Systems Reciprocal Act (Article 20 of the Code) is adopted and made a part of the Downstate Police, Downstate Firefighter, Chicago Police, and Chicago Firefighter Articles. Authorizes SLEP status under the Illinois Municipal Retirement Fund for a person who is a county correctional officer or probation officer and for a person who participates in IMRF and qualifies as a firefighter under the Public Safety Employee Benefits Act. In the Downstate Firefighter Article, includes a de facto firefighter in the definition of "firefighter". Defines "de facto firefighter". Provides that the monthly pension of a firefighter who is receiving a disability pension shall be increased at the rate of 3% of the original monthly pension. Makes changes to the minimum retirement annuity payable to a firefighter with 20 or more years of creditable service, the minimum disability pension, and the minimum surviving spouse's pension. Makes other changes. Amends the State Mandates Act to require implementation without reimbursement by the State. Effective immediately. LRB104 07746 RPS 17791 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB0002 Introduced 1/13/2025, by Sen. Robert F. Martwick SYNOPSIS AS INTRODUCED: See Index See Index Amends the Illinois Pension Code. Makes changes to Tier 2 benefits, including changing the amount of the automatic annual increase to 3% of the originally granted retirement annuity or 3% of the retirement annuity then being paid for the General Assembly and Judges Articles, changing the limit on the amount of salary for annuity purposes to the Social Security wage base, changing the calculation of final average salary to the Tier 1 calculation for persons who are active members on or after January 1, 2026, and changing the retirement age. Establishes an accelerated pension benefit payment option for the General Assembly, Chicago Teachers, and Judges Articles of the Code. Provides that, with regard to persons subject to the Tier 2 provisions, a security employee of the Department of Human Services, a security employee of the Department of Corrections or the Department of Juvenile Justice, an investigator for the Department of the Lottery, or a State highway worker is entitled to an annuity calculated under the alternative retirement annuity provisions of the State Employee Article of the Code. Authorizes the conversion of service to eligible creditable service. Provides that the Retirement Systems Reciprocal Act (Article 20 of the Code) is adopted and made a part of the Downstate Police, Downstate Firefighter, Chicago Police, and Chicago Firefighter Articles. Authorizes SLEP status under the Illinois Municipal Retirement Fund for a person who is a county correctional officer or probation officer and for a person who participates in IMRF and qualifies as a firefighter under the Public Safety Employee Benefits Act. In the Downstate Firefighter Article, includes a de facto firefighter in the definition of "firefighter". Defines "de facto firefighter". Provides that the monthly pension of a firefighter who is receiving a disability pension shall be increased at the rate of 3% of the original monthly pension. Makes changes to the minimum retirement annuity payable to a firefighter with 20 or more years of creditable service, the minimum disability pension, and the minimum surviving spouse's pension. Makes other changes. Amends the State Mandates Act to require implementation without reimbursement by the State. Effective immediately. LRB104 07746 RPS 17791 b LRB104 07746 RPS 17791 b A BILL FOR
2	2	104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB0002 Introduced 1/13/2025, by Sen. Robert F. Martwick SYNOPSIS AS INTRODUCED:
3	3	See Index See Index
4	4	See Index
5	5	Amends the Illinois Pension Code. Makes changes to Tier 2 benefits, including changing the amount of the automatic annual increase to 3% of the originally granted retirement annuity or 3% of the retirement annuity then being paid for the General Assembly and Judges Articles, changing the limit on the amount of salary for annuity purposes to the Social Security wage base, changing the calculation of final average salary to the Tier 1 calculation for persons who are active members on or after January 1, 2026, and changing the retirement age. Establishes an accelerated pension benefit payment option for the General Assembly, Chicago Teachers, and Judges Articles of the Code. Provides that, with regard to persons subject to the Tier 2 provisions, a security employee of the Department of Human Services, a security employee of the Department of Corrections or the Department of Juvenile Justice, an investigator for the Department of the Lottery, or a State highway worker is entitled to an annuity calculated under the alternative retirement annuity provisions of the State Employee Article of the Code. Authorizes the conversion of service to eligible creditable service. Provides that the Retirement Systems Reciprocal Act (Article 20 of the Code) is adopted and made a part of the Downstate Police, Downstate Firefighter, Chicago Police, and Chicago Firefighter Articles. Authorizes SLEP status under the Illinois Municipal Retirement Fund for a person who is a county correctional officer or probation officer and for a person who participates in IMRF and qualifies as a firefighter under the Public Safety Employee Benefits Act. In the Downstate Firefighter Article, includes a de facto firefighter in the definition of "firefighter". Defines "de facto firefighter". Provides that the monthly pension of a firefighter who is receiving a disability pension shall be increased at the rate of 3% of the original monthly pension. Makes changes to the minimum retirement annuity payable to a firefighter with 20 or more years of creditable service, the minimum disability pension, and the minimum surviving spouse's pension. Makes other changes. Amends the State Mandates Act to require implementation without reimbursement by the State. Effective immediately.
6	6	LRB104 07746 RPS 17791 b LRB104 07746 RPS 17791 b
7	7	LRB104 07746 RPS 17791 b
8	8	A BILL FOR
9	9	SB0002LRB104 07746 RPS 17791 b SB0002 LRB104 07746 RPS 17791 b
10	10	SB0002 LRB104 07746 RPS 17791 b
11	11	1 AN ACT concerning public employee benefits.
12	12	2 Be it enacted by the People of the State of Illinois,
13	13	3 represented in the General Assembly:
14	14	4 Article 1.
15	15	5 Section 1-5. The Illinois Pension Code is amended by
16	16	6 changing Sections 1-160, 2-108.1, and 18-125 and by adding
17	17	7 Sections 1-163, 3-153, 4-145, 5-239, 6-231, 7-226, 8-251.5,
18	18	8 9-242, 10-110, 11-233, 12-196, 13-217, 14-157, 15-203, 16-207,
19	19	9 17-160, and 18-175 as follows:
20	20	10 (40 ILCS 5/1-160)
21	21	11 (Text of Section from P.A. 102-719)
22	22	12 Sec. 1-160. Provisions applicable to new hires.
23	23	13 (a) The provisions of this Section apply to a person who,
24	24	14 on or after January 1, 2011, first becomes a member or a
25	25	15 participant under any reciprocal retirement system or pension
26	26	16 fund established under this Code, other than a retirement
27	27	17 system or pension fund established under Article 2, 3, 4, 5, 6,
28	28	18 7, 15, or 18 of this Code, notwithstanding any other provision
29	29	19 of this Code to the contrary, but do not apply to any
30	30	20 self-managed plan established under this Code or to any
31	31	21 participant of the retirement plan established under Section
32	32	22 22-101; except that this Section applies to a person who
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36	36	104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB0002 Introduced 1/13/2025, by Sen. Robert F. Martwick SYNOPSIS AS INTRODUCED:
37	37	See Index See Index
38	38	See Index
39	39	Amends the Illinois Pension Code. Makes changes to Tier 2 benefits, including changing the amount of the automatic annual increase to 3% of the originally granted retirement annuity or 3% of the retirement annuity then being paid for the General Assembly and Judges Articles, changing the limit on the amount of salary for annuity purposes to the Social Security wage base, changing the calculation of final average salary to the Tier 1 calculation for persons who are active members on or after January 1, 2026, and changing the retirement age. Establishes an accelerated pension benefit payment option for the General Assembly, Chicago Teachers, and Judges Articles of the Code. Provides that, with regard to persons subject to the Tier 2 provisions, a security employee of the Department of Human Services, a security employee of the Department of Corrections or the Department of Juvenile Justice, an investigator for the Department of the Lottery, or a State highway worker is entitled to an annuity calculated under the alternative retirement annuity provisions of the State Employee Article of the Code. Authorizes the conversion of service to eligible creditable service. Provides that the Retirement Systems Reciprocal Act (Article 20 of the Code) is adopted and made a part of the Downstate Police, Downstate Firefighter, Chicago Police, and Chicago Firefighter Articles. Authorizes SLEP status under the Illinois Municipal Retirement Fund for a person who is a county correctional officer or probation officer and for a person who participates in IMRF and qualifies as a firefighter under the Public Safety Employee Benefits Act. In the Downstate Firefighter Article, includes a de facto firefighter in the definition of "firefighter". Defines "de facto firefighter". Provides that the monthly pension of a firefighter who is receiving a disability pension shall be increased at the rate of 3% of the original monthly pension. Makes changes to the minimum retirement annuity payable to a firefighter with 20 or more years of creditable service, the minimum disability pension, and the minimum surviving spouse's pension. Makes other changes. Amends the State Mandates Act to require implementation without reimbursement by the State. Effective immediately.
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41	41	LRB104 07746 RPS 17791 b
42	42	A BILL FOR
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67	67	1 elected to establish alternative credits by electing in
68	68	2 writing after January 1, 2011, but before August 8, 2011,
69	69	3 under Section 7-145.1 of this Code. Notwithstanding anything
70	70	4 to the contrary in this Section, for purposes of this Section,
71	71	5 a person who is a Tier 1 regular employee as defined in Section
72	72	6 7-109.4 of this Code or who participated in a retirement
73	73	7 system under Article 15 prior to January 1, 2011 shall be
74	74	8 deemed a person who first became a member or participant prior
75	75	9 to January 1, 2011 under any retirement system or pension fund
76	76	10 subject to this Section. The changes made to this Section by
77	77	11 Public Act 98-596 are a clarification of existing law and are
78	78	12 intended to be retroactive to January 1, 2011 (the effective
79	79	13 date of Public Act 96-889), notwithstanding the provisions of
80	80	14 Section 1-103.1 of this Code.
81	81	15 This Section does not apply to a person who first becomes a
82	82	16 noncovered employee under Article 14 on or after the
83	83	17 implementation date of the plan created under Section 1-161
84	84	18 for that Article, unless that person elects under subsection
85	85	19 (b) of Section 1-161 to instead receive the benefits provided
86	86	20 under this Section and the applicable provisions of that
87	87	21 Article.
88	88	22 This Section does not apply to a person who first becomes a
89	89	23 member or participant under Article 16 on or after the
90	90	24 implementation date of the plan created under Section 1-161
91	91	25 for that Article, unless that person elects under subsection
92	92	26 (b) of Section 1-161 to instead receive the benefits provided
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103	103	1 under this Section and the applicable provisions of that
104	104	2 Article.
105	105	3 This Section does not apply to a person who elects under
106	106	4 subsection (c-5) of Section 1-161 to receive the benefits
107	107	5 under Section 1-161.
108	108	6 This Section does not apply to a person who first becomes a
109	109	7 member or participant of an affected pension fund on or after 6
110	110	8 months after the resolution or ordinance date, as defined in
111	111	9 Section 1-162, unless that person elects under subsection (c)
112	112	10 of Section 1-162 to receive the benefits provided under this
113	113	11 Section and the applicable provisions of the Article under
114	114	12 which he or she is a member or participant.
115	115	13 (b) "Final average salary" means, except as otherwise
116	116	14 provided in this subsection, the average monthly (or annual)
117	117	15 salary obtained by dividing the total salary or earnings
118	118	16 calculated under the Article applicable to the member or
119	119	17 participant during the 96 consecutive months (or 8 consecutive
120	120	18 years) of service within the last 120 months (or 10 years) of
121	121	19 service in which the total salary or earnings calculated under
122	122	20 the applicable Article was the highest by the number of months
123	123	21 (or years) of service in that period. For the purposes of a
124	124	22 person who first becomes a member or participant of any
125	125	23 retirement system or pension fund to which this Section
126	126	24 applies on or after January 1, 2011, in this Code, "final
127	127	25 average salary" shall be substituted for the following:
128	128	26 (1) (Blank).
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139	139	1 (2) In Articles 8, 9, 10, 11, and 12, "highest average
140	140	2 annual salary for any 4 consecutive years within the last
141	141	3 10 years of service immediately preceding the date of
142	142	4 withdrawal".
143	143	5 (3) In Article 13, "average final salary".
144	144	6 (4) In Article 14, "final average compensation".
145	145	7 (5) In Article 17, "average salary".
146	146	8 (6) In Section 22-207, "wages or salary received by
147	147	9 him at the date of retirement or discharge".
148	148	10 A member of the Teachers' Retirement System of the State
149	149	11 of Illinois who retires on or after June 1, 2021 and for whom
150	150	12 the 2020-2021 school year is used in the calculation of the
151	151	13 member's final average salary shall use the higher of the
152	152	14 following for the purpose of determining the member's final
153	153	15 average salary:
154	154	16 (A) the amount otherwise calculated under the first
155	155	17 paragraph of this subsection; or
156	156	18 (B) an amount calculated by the Teachers' Retirement
157	157	19 System of the State of Illinois using the average of the
158	158	20 monthly (or annual) salary obtained by dividing the total
159	159	21 salary or earnings calculated under Article 16 applicable
160	160	22 to the member or participant during the 96 months (or 8
161	161	23 years) of service within the last 120 months (or 10 years)
162	162	24 of service in which the total salary or earnings
163	163	25 calculated under the Article was the highest by the number
164	164	26 of months (or years) of service in that period.
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175	175	1 (b-5) Beginning on January 1, 2011, for all purposes under
176	176	2 this Code (including without limitation the calculation of
177	177	3 benefits and employee contributions), the annual earnings,
178	178	4 salary, or wages (based on the plan year) of a member or
179	179	5 participant to whom this Section applies shall not exceed
180	180	6 $106,800; however, that amount shall annually thereafter be
181	181	7 increased by the lesser of (i) 3% of that amount, including all
182	182	8 previous adjustments, or (ii) one-half the annual unadjusted
183	183	9 percentage increase (but not less than zero) in the consumer
184	184	10 price index-u for the 12 months ending with the September
185	185	11 preceding each November 1, including all previous adjustments.
186	186	12 For the purposes of this Section, "consumer price index-u"
187	187	13 means the index published by the Bureau of Labor Statistics of
188	188	14 the United States Department of Labor that measures the
189	189	15 average change in prices of goods and services purchased by
190	190	16 all urban consumers, United States city average, all items,
191	191	17 1982-84 = 100. The new amount resulting from each annual
192	192	18 adjustment shall be determined by the Public Pension Division
193	193	19 of the Department of Insurance and made available to the
194	194	20 boards of the retirement systems and pension funds by November
195	195	21 1 of each year.
196	196	22 (b-10) Beginning on January 1, 2024, for all purposes
197	197	23 under this Code (including, without limitation, the
198	198	24 calculation of benefits and employee contributions), the
199	199	25 annual earnings, salary, or wages (based on the plan year) of a
200	200	26 member or participant under Article 9 to whom this Section
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211	211	1 applies shall include an annual earnings, salary, or wage cap
212	212	2 that tracks the Social Security wage base. Maximum annual
213	213	3 earnings, wages, or salary shall be the annual contribution
214	214	4 and benefit base established for the applicable year by the
215	215	5 Commissioner of the Social Security Administration under the
216	216	6 federal Social Security Act.
217	217	7 However, in no event shall the annual earnings, salary, or
218	218	8 wages for the purposes of this Article and Article 9 exceed any
219	219	9 limitation imposed on annual earnings, salary, or wages under
220	220	10 Section 1-117. Under no circumstances shall the maximum amount
221	221	11 of annual earnings, salary, or wages be greater than the
222	222	12 amount set forth in this subsection (b-10) as a result of
223	223	13 reciprocal service or any provisions regarding reciprocal
224	224	14 services, nor shall the Fund under Article 9 be required to pay
225	225	15 any refund as a result of the application of this maximum
226	226	16 annual earnings, salary, and wage cap.
227	227	17 Nothing in this subsection (b-10) shall cause or otherwise
228	228	18 result in any retroactive adjustment of any employee
229	229	19 contributions. Nothing in this subsection (b-10) shall cause
230	230	20 or otherwise result in any retroactive adjustment of
231	231	21 disability or other payments made between January 1, 2011 and
232	232	22 January 1, 2024.
233	233	23 (c) A member or participant is entitled to a retirement
234	234	24 annuity upon written application if he or she has attained age
235	235	25 67 (age 65, with respect to service under Article 12 that is
236	236	26 subject to this Section, for a member or participant under
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247	247	1 Article 12 who first becomes a member or participant under
248	248	2 Article 12 on or after January 1, 2022 or who makes the
249	249	3 election under item (i) of subsection (d-15) of this Section)
250	250	4 and has at least 10 years of service credit and is otherwise
251	251	5 eligible under the requirements of the applicable Article.
252	252	6 A member or participant who has attained age 62 (age 60,
253	253	7 with respect to service under Article 12 that is subject to
254	254	8 this Section, for a member or participant under Article 12 who
255	255	9 first becomes a member or participant under Article 12 on or
256	256	10 after January 1, 2022 or who makes the election under item (i)
257	257	11 of subsection (d-15) of this Section) and has at least 10 years
258	258	12 of service credit and is otherwise eligible under the
259	259	13 requirements of the applicable Article may elect to receive
260	260	14 the lower retirement annuity provided in subsection (d) of
261	261	15 this Section.
262	262	16 (c-5) A person who first becomes a member or a participant
263	263	17 subject to this Section on or after July 6, 2017 (the effective
264	264	18 date of Public Act 100-23), notwithstanding any other
265	265	19 provision of this Code to the contrary, is entitled to a
266	266	20 retirement annuity under Article 8 or Article 11 upon written
267	267	21 application if he or she has attained age 65 and has at least
268	268	22 10 years of service credit and is otherwise eligible under the
269	269	23 requirements of Article 8 or Article 11 of this Code,
270	270	24 whichever is applicable.
271	271	25 (d) The retirement annuity of a member or participant who
272	272	26 is retiring after attaining age 62 (age 60, with respect to
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283	283	1 service under Article 12 that is subject to this Section, for a
284	284	2 member or participant under Article 12 who first becomes a
285	285	3 member or participant under Article 12 on or after January 1,
286	286	4 2022 or who makes the election under item (i) of subsection
287	287	5 (d-15) of this Section) with at least 10 years of service
288	288	6 credit shall be reduced by one-half of 1% for each full month
289	289	7 that the member's age is under age 67 (age 65, with respect to
290	290	8 service under Article 12 that is subject to this Section, for a
291	291	9 member or participant under Article 12 who first becomes a
292	292	10 member or participant under Article 12 on or after January 1,
293	293	11 2022 or who makes the election under item (i) of subsection
294	294	12 (d-15) of this Section).
295	295	13 (d-5) The retirement annuity payable under Article 8 or
296	296	14 Article 11 to an eligible person subject to subsection (c-5)
297	297	15 of this Section who is retiring at age 60 with at least 10
298	298	16 years of service credit shall be reduced by one-half of 1% for
299	299	17 each full month that the member's age is under age 65.
300	300	18 (d-10) Each person who first became a member or
301	301	19 participant under Article 8 or Article 11 of this Code on or
302	302	20 after January 1, 2011 and prior to July 6, 2017 (the effective
303	303	21 date of Public Act 100-23) shall make an irrevocable election
304	304	22 either:
305	305	23 (i) to be eligible for the reduced retirement age
306	306	24 provided in subsections (c-5) and (d-5) of this Section,
307	307	25 the eligibility for which is conditioned upon the member
308	308	26 or participant agreeing to the increases in employee
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319	319	1 contributions for age and service annuities provided in
320	320	2 subsection (a-5) of Section 8-174 of this Code (for
321	321	3 service under Article 8) or subsection (a-5) of Section
322	322	4 11-170 of this Code (for service under Article 11); or
323	323	5 (ii) to not agree to item (i) of this subsection
324	324	6 (d-10), in which case the member or participant shall
325	325	7 continue to be subject to the retirement age provisions in
326	326	8 subsections (c) and (d) of this Section and the employee
327	327	9 contributions for age and service annuity as provided in
328	328	10 subsection (a) of Section 8-174 of this Code (for service
329	329	11 under Article 8) or subsection (a) of Section 11-170 of
330	330	12 this Code (for service under Article 11).
331	331	13 The election provided for in this subsection shall be made
332	332	14 between October 1, 2017 and November 15, 2017. A person
333	333	15 subject to this subsection who makes the required election
334	334	16 shall remain bound by that election. A person subject to this
335	335	17 subsection who fails for any reason to make the required
336	336	18 election within the time specified in this subsection shall be
337	337	19 deemed to have made the election under item (ii).
338	338	20 (d-15) Each person who first becomes a member or
339	339	21 participant under Article 12 on or after January 1, 2011 and
340	340	22 prior to January 1, 2022 shall make an irrevocable election
341	341	23 either:
342	342	24 (i) to be eligible for the reduced retirement age
343	343	25 specified in subsections (c) and (d) of this Section, the
344	344	26 eligibility for which is conditioned upon the member or
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355	355	1 participant agreeing to the increase in employee
356	356	2 contributions for service annuities specified in
357	357	3 subsection (b) of Section 12-150; or
358	358	4 (ii) to not agree to item (i) of this subsection
359	359	5 (d-15), in which case the member or participant shall not
360	360	6 be eligible for the reduced retirement age specified in
361	361	7 subsections (c) and (d) of this Section and shall not be
362	362	8 subject to the increase in employee contributions for
363	363	9 service annuities specified in subsection (b) of Section
364	364	10 12-150.
365	365	11 The election provided for in this subsection shall be made
366	366	12 between January 1, 2022 and April 1, 2022. A person subject to
367	367	13 this subsection who makes the required election shall remain
368	368	14 bound by that election. A person subject to this subsection
369	369	15 who fails for any reason to make the required election within
370	370	16 the time specified in this subsection shall be deemed to have
371	371	17 made the election under item (ii).
372	372	18 (e) Any retirement annuity or supplemental annuity shall
373	373	19 be subject to annual increases on the January 1 occurring
374	374	20 either on or after the attainment of age 67 (age 65, with
375	375	21 respect to service under Article 12 that is subject to this
376	376	22 Section, for a member or participant under Article 12 who
377	377	23 first becomes a member or participant under Article 12 on or
378	378	24 after January 1, 2022 or who makes the election under item (i)
379	379	25 of subsection (d-15); and beginning on July 6, 2017 (the
380	380	26 effective date of Public Act 100-23), age 65 with respect to
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384	384
385	385
386	386	SB0002 - 10 - LRB104 07746 RPS 17791 b
387	387
388	388
389	389	SB0002- 11 -LRB104 07746 RPS 17791 b SB0002 - 11 - LRB104 07746 RPS 17791 b
390	390	SB0002 - 11 - LRB104 07746 RPS 17791 b
391	391	1 service under Article 8 or Article 11 for eligible persons
392	392	2 who: (i) are subject to subsection (c-5) of this Section; or
393	393	3 (ii) made the election under item (i) of subsection (d-10) of
394	394	4 this Section) or the first anniversary of the annuity start
395	395	5 date, whichever is later. Each annual increase shall be
396	396	6 calculated at 3% or one-half the annual unadjusted percentage
397	397	7 increase (but not less than zero) in the consumer price
398	398	8 index-u for the 12 months ending with the September preceding
399	399	9 each November 1, whichever is less, of the originally granted
400	400	10 retirement annuity. If the annual unadjusted percentage change
401	401	11 in the consumer price index-u for the 12 months ending with the
402	402	12 September preceding each November 1 is zero or there is a
403	403	13 decrease, then the annuity shall not be increased.
404	404	14 For the purposes of Section 1-103.1 of this Code, the
405	405	15 changes made to this Section by Public Act 102-263 are
406	406	16 applicable without regard to whether the employee was in
407	407	17 active service on or after August 6, 2021 (the effective date
408	408	18 of Public Act 102-263).
409	409	19 For the purposes of Section 1-103.1 of this Code, the
410	410	20 changes made to this Section by Public Act 100-23 are
411	411	21 applicable without regard to whether the employee was in
412	412	22 active service on or after July 6, 2017 (the effective date of
413	413	23 Public Act 100-23).
414	414	24 (f) The initial survivor's or widow's annuity of an
415	415	25 otherwise eligible survivor or widow of a retired member or
416	416	26 participant who first became a member or participant on or
417	417
418	418
419	419
420	420
421	421
422	422	SB0002 - 11 - LRB104 07746 RPS 17791 b
423	423
424	424
425	425	SB0002- 12 -LRB104 07746 RPS 17791 b SB0002 - 12 - LRB104 07746 RPS 17791 b
426	426	SB0002 - 12 - LRB104 07746 RPS 17791 b
427	427	1 after January 1, 2011 shall be in the amount of 66 2/3% of the
428	428	2 retired member's or participant's retirement annuity at the
429	429	3 date of death. In the case of the death of a member or
430	430	4 participant who has not retired and who first became a member
431	431	5 or participant on or after January 1, 2011, eligibility for a
432	432	6 survivor's or widow's annuity shall be determined by the
433	433	7 applicable Article of this Code. The initial benefit shall be
434	434	8 66 2/3% of the earned annuity without a reduction due to age. A
435	435	9 child's annuity of an otherwise eligible child shall be in the
436	436	10 amount prescribed under each Article if applicable. Any
437	437	11 survivor's or widow's annuity shall be increased (1) on each
438	438	12 January 1 occurring on or after the commencement of the
439	439	13 annuity if the deceased member died while receiving a
440	440	14 retirement annuity or (2) in other cases, on each January 1
441	441	15 occurring after the first anniversary of the commencement of
442	442	16 the annuity. Each annual increase shall be calculated at 3% or
443	443	17 one-half the annual unadjusted percentage increase (but not
444	444	18 less than zero) in the consumer price index-u for the 12 months
445	445	19 ending with the September preceding each November 1, whichever
446	446	20 is less, of the originally granted survivor's annuity. If the
447	447	21 annual unadjusted percentage change in the consumer price
448	448	22 index-u for the 12 months ending with the September preceding
449	449	23 each November 1 is zero or there is a decrease, then the
450	450	24 annuity shall not be increased.
451	451	25 (g) The benefits in Section 14-110 apply if the person is a
452	452	26 fire fighter in the fire protection service of a department, a
453	453
454	454
455	455
456	456
457	457
458	458	SB0002 - 12 - LRB104 07746 RPS 17791 b
459	459
460	460
461	461	SB0002- 13 -LRB104 07746 RPS 17791 b SB0002 - 13 - LRB104 07746 RPS 17791 b
462	462	SB0002 - 13 - LRB104 07746 RPS 17791 b
463	463	1 security employee of the Department of Corrections or the
464	464	2 Department of Juvenile Justice, or a security employee of the
465	465	3 Department of Innovation and Technology, as those terms are
466	466	4 defined in subsection (b) and subsection (c) of Section
467	467	5 14-110. A person who meets the requirements of this Section is
468	468	6 entitled to an annuity calculated under the provisions of
469	469	7 Section 14-110, in lieu of the regular or minimum retirement
470	470	8 annuity, only if the person has withdrawn from service with
471	471	9 not less than 20 years of eligible creditable service and has
472	472	10 attained age 60, regardless of whether the attainment of age
473	473	11 60 occurs while the person is still in service.
474	474	12 (g-5) The benefits in Section 14-110 apply if the person
475	475	13 is a State policeman, investigator for the Secretary of State,
476	476	14 conservation police officer, investigator for the Department
477	477	15 of Revenue or the Illinois Gaming Board, investigator for the
478	478	16 Office of the Attorney General, Commerce Commission police
479	479	17 officer, or arson investigator, as those terms are defined in
480	480	18 subsection (b) and subsection (c) of Section 14-110. A person
481	481	19 who meets the requirements of this Section is entitled to an
482	482	20 annuity calculated under the provisions of Section 14-110, in
483	483	21 lieu of the regular or minimum retirement annuity, only if the
484	484	22 person has withdrawn from service with not less than 20 years
485	485	23 of eligible creditable service and has attained age 55,
486	486	24 regardless of whether the attainment of age 55 occurs while
487	487	25 the person is still in service.
488	488	26 (h) If a person who first becomes a member or a participant
489	489
490	490
491	491
492	492
493	493
494	494	SB0002 - 13 - LRB104 07746 RPS 17791 b
495	495
496	496
497	497	SB0002- 14 -LRB104 07746 RPS 17791 b SB0002 - 14 - LRB104 07746 RPS 17791 b
498	498	SB0002 - 14 - LRB104 07746 RPS 17791 b
499	499	1 of a retirement system or pension fund subject to this Section
500	500	2 on or after January 1, 2011 is receiving a retirement annuity
501	501	3 or retirement pension under that system or fund and becomes a
502	502	4 member or participant under any other system or fund created
503	503	5 by this Code and is employed on a full-time basis, except for
504	504	6 those members or participants exempted from the provisions of
505	505	7 this Section under subsection (a) of this Section, then the
506	506	8 person's retirement annuity or retirement pension under that
507	507	9 system or fund shall be suspended during that employment. Upon
508	508	10 termination of that employment, the person's retirement
509	509	11 annuity or retirement pension payments shall resume and be
510	510	12 recalculated if recalculation is provided for under the
511	511	13 applicable Article of this Code.
512	512	14 If a person who first becomes a member of a retirement
513	513	15 system or pension fund subject to this Section on or after
514	514	16 January 1, 2012 and is receiving a retirement annuity or
515	515	17 retirement pension under that system or fund and accepts on a
516	516	18 contractual basis a position to provide services to a
517	517	19 governmental entity from which he or she has retired, then
518	518	20 that person's annuity or retirement pension earned as an
519	519	21 active employee of the employer shall be suspended during that
520	520	22 contractual service. A person receiving an annuity or
521	521	23 retirement pension under this Code shall notify the pension
522	522	24 fund or retirement system from which he or she is receiving an
523	523	25 annuity or retirement pension, as well as his or her
524	524	26 contractual employer, of his or her retirement status before
525	525
526	526
527	527
528	528
529	529
530	530	SB0002 - 14 - LRB104 07746 RPS 17791 b
531	531
532	532
533	533	SB0002- 15 -LRB104 07746 RPS 17791 b SB0002 - 15 - LRB104 07746 RPS 17791 b
534	534	SB0002 - 15 - LRB104 07746 RPS 17791 b
535	535	1 accepting contractual employment. A person who fails to submit
536	536	2 such notification shall be guilty of a Class A misdemeanor and
537	537	3 required to pay a fine of $1,000. Upon termination of that
538	538	4 contractual employment, the person's retirement annuity or
539	539	5 retirement pension payments shall resume and, if appropriate,
540	540	6 be recalculated under the applicable provisions of this Code.
541	541	7 (i) (Blank).
542	542	8 (j) In the case of a conflict between the provisions of
543	543	9 this Section and any other provision of this Code, except for
544	544	10 Section 1-163, the provisions of this Section shall control.
545	545	11 (Source: P.A. 101-610, eff. 1-1-20; 102-16, eff. 6-17-21;
546	546	12 102-210, eff. 1-1-22; 102-263, eff. 8-6-21; 102-719, eff.
547	547	13 5-6-22; 103-529, eff. 8-11-23.)
548	548	14 (Text of Section from P.A. 102-813)
549	549	15 Sec. 1-160. Provisions applicable to new hires.
550	550	16 (a) The provisions of this Section apply to a person who,
551	551	17 on or after January 1, 2011, first becomes a member or a
552	552	18 participant under any reciprocal retirement system or pension
553	553	19 fund established under this Code, other than a retirement
554	554	20 system or pension fund established under Article 2, 3, 4, 5, 6,
555	555	21 7, 15, or 18 of this Code, notwithstanding any other provision
556	556	22 of this Code to the contrary, but do not apply to any
557	557	23 self-managed plan established under this Code or to any
558	558	24 participant of the retirement plan established under Section
559	559	25 22-101; except that this Section applies to a person who
560	560
561	561
562	562
563	563
564	564
565	565	SB0002 - 15 - LRB104 07746 RPS 17791 b
566	566
567	567
568	568	SB0002- 16 -LRB104 07746 RPS 17791 b SB0002 - 16 - LRB104 07746 RPS 17791 b
569	569	SB0002 - 16 - LRB104 07746 RPS 17791 b
570	570	1 elected to establish alternative credits by electing in
571	571	2 writing after January 1, 2011, but before August 8, 2011,
572	572	3 under Section 7-145.1 of this Code. Notwithstanding anything
573	573	4 to the contrary in this Section, for purposes of this Section,
574	574	5 a person who is a Tier 1 regular employee as defined in Section
575	575	6 7-109.4 of this Code or who participated in a retirement
576	576	7 system under Article 15 prior to January 1, 2011 shall be
577	577	8 deemed a person who first became a member or participant prior
578	578	9 to January 1, 2011 under any retirement system or pension fund
579	579	10 subject to this Section. The changes made to this Section by
580	580	11 Public Act 98-596 are a clarification of existing law and are
581	581	12 intended to be retroactive to January 1, 2011 (the effective
582	582	13 date of Public Act 96-889), notwithstanding the provisions of
583	583	14 Section 1-103.1 of this Code.
584	584	15 This Section does not apply to a person who first becomes a
585	585	16 noncovered employee under Article 14 on or after the
586	586	17 implementation date of the plan created under Section 1-161
587	587	18 for that Article, unless that person elects under subsection
588	588	19 (b) of Section 1-161 to instead receive the benefits provided
589	589	20 under this Section and the applicable provisions of that
590	590	21 Article.
591	591	22 This Section does not apply to a person who first becomes a
592	592	23 member or participant under Article 16 on or after the
593	593	24 implementation date of the plan created under Section 1-161
594	594	25 for that Article, unless that person elects under subsection
595	595	26 (b) of Section 1-161 to instead receive the benefits provided
596	596
597	597
598	598
599	599
600	600
601	601	SB0002 - 16 - LRB104 07746 RPS 17791 b
602	602
603	603
604	604	SB0002- 17 -LRB104 07746 RPS 17791 b SB0002 - 17 - LRB104 07746 RPS 17791 b
605	605	SB0002 - 17 - LRB104 07746 RPS 17791 b
606	606	1 under this Section and the applicable provisions of that
607	607	2 Article.
608	608	3 This Section does not apply to a person who elects under
609	609	4 subsection (c-5) of Section 1-161 to receive the benefits
610	610	5 under Section 1-161.
611	611	6 This Section does not apply to a person who first becomes a
612	612	7 member or participant of an affected pension fund on or after 6
613	613	8 months after the resolution or ordinance date, as defined in
614	614	9 Section 1-162, unless that person elects under subsection (c)
615	615	10 of Section 1-162 to receive the benefits provided under this
616	616	11 Section and the applicable provisions of the Article under
617	617	12 which he or she is a member or participant.
618	618	13 (b) "Final average salary" means, except as otherwise
619	619	14 provided in this subsection, the average monthly (or annual)
620	620	15 salary obtained by dividing the total salary or earnings
621	621	16 calculated under the Article applicable to the member or
622	622	17 participant during the 96 consecutive months (or 8 consecutive
623	623	18 years) of service within the last 120 months (or 10 years) of
624	624	19 service in which the total salary or earnings calculated under
625	625	20 the applicable Article was the highest by the number of months
626	626	21 (or years) of service in that period. For the purposes of a
627	627	22 person who first becomes a member or participant of any
628	628	23 retirement system or pension fund to which this Section
629	629	24 applies on or after January 1, 2011, in this Code, "final
630	630	25 average salary" shall be substituted for the following:
631	631	26 (1) (Blank).
632	632
633	633
634	634
635	635
636	636
637	637	SB0002 - 17 - LRB104 07746 RPS 17791 b
638	638
639	639
640	640	SB0002- 18 -LRB104 07746 RPS 17791 b SB0002 - 18 - LRB104 07746 RPS 17791 b
641	641	SB0002 - 18 - LRB104 07746 RPS 17791 b
642	642	1 (2) In Articles 8, 9, 10, 11, and 12, "highest average
643	643	2 annual salary for any 4 consecutive years within the last
644	644	3 10 years of service immediately preceding the date of
645	645	4 withdrawal".
646	646	5 (3) In Article 13, "average final salary".
647	647	6 (4) In Article 14, "final average compensation".
648	648	7 (5) In Article 17, "average salary".
649	649	8 (6) In Section 22-207, "wages or salary received by
650	650	9 him at the date of retirement or discharge".
651	651	10 A member of the Teachers' Retirement System of the State
652	652	11 of Illinois who retires on or after June 1, 2021 and for whom
653	653	12 the 2020-2021 school year is used in the calculation of the
654	654	13 member's final average salary shall use the higher of the
655	655	14 following for the purpose of determining the member's final
656	656	15 average salary:
657	657	16 (A) the amount otherwise calculated under the first
658	658	17 paragraph of this subsection; or
659	659	18 (B) an amount calculated by the Teachers' Retirement
660	660	19 System of the State of Illinois using the average of the
661	661	20 monthly (or annual) salary obtained by dividing the total
662	662	21 salary or earnings calculated under Article 16 applicable
663	663	22 to the member or participant during the 96 months (or 8
664	664	23 years) of service within the last 120 months (or 10 years)
665	665	24 of service in which the total salary or earnings
666	666	25 calculated under the Article was the highest by the number
667	667	26 of months (or years) of service in that period.
668	668
669	669
670	670
671	671
672	672
673	673	SB0002 - 18 - LRB104 07746 RPS 17791 b
674	674
675	675
676	676	SB0002- 19 -LRB104 07746 RPS 17791 b SB0002 - 19 - LRB104 07746 RPS 17791 b
677	677	SB0002 - 19 - LRB104 07746 RPS 17791 b
678	678	1 (b-5) Beginning on January 1, 2011, for all purposes under
679	679	2 this Code (including without limitation the calculation of
680	680	3 benefits and employee contributions), the annual earnings,
681	681	4 salary, or wages (based on the plan year) of a member or
682	682	5 participant to whom this Section applies shall not exceed
683	683	6 $106,800; however, that amount shall annually thereafter be
684	684	7 increased by the lesser of (i) 3% of that amount, including all
685	685	8 previous adjustments, or (ii) one-half the annual unadjusted
686	686	9 percentage increase (but not less than zero) in the consumer
687	687	10 price index-u for the 12 months ending with the September
688	688	11 preceding each November 1, including all previous adjustments.
689	689	12 For the purposes of this Section, "consumer price index-u"
690	690	13 means the index published by the Bureau of Labor Statistics of
691	691	14 the United States Department of Labor that measures the
692	692	15 average change in prices of goods and services purchased by
693	693	16 all urban consumers, United States city average, all items,
694	694	17 1982-84 = 100. The new amount resulting from each annual
695	695	18 adjustment shall be determined by the Public Pension Division
696	696	19 of the Department of Insurance and made available to the
697	697	20 boards of the retirement systems and pension funds by November
698	698	21 1 of each year.
699	699	22 (b-10) Beginning on January 1, 2024, for all purposes
700	700	23 under this Code (including, without limitation, the
701	701	24 calculation of benefits and employee contributions), the
702	702	25 annual earnings, salary, or wages (based on the plan year) of a
703	703	26 member or participant under Article 9 to whom this Section
704	704
705	705
706	706
707	707
708	708
709	709	SB0002 - 19 - LRB104 07746 RPS 17791 b
710	710
711	711
712	712	SB0002- 20 -LRB104 07746 RPS 17791 b SB0002 - 20 - LRB104 07746 RPS 17791 b
713	713	SB0002 - 20 - LRB104 07746 RPS 17791 b
714	714	1 applies shall include an annual earnings, salary, or wage cap
715	715	2 that tracks the Social Security wage base. Maximum annual
716	716	3 earnings, wages, or salary shall be the annual contribution
717	717	4 and benefit base established for the applicable year by the
718	718	5 Commissioner of the Social Security Administration under the
719	719	6 federal Social Security Act.
720	720	7 However, in no event shall the annual earnings, salary, or
721	721	8 wages for the purposes of this Article and Article 9 exceed any
722	722	9 limitation imposed on annual earnings, salary, or wages under
723	723	10 Section 1-117. Under no circumstances shall the maximum amount
724	724	11 of annual earnings, salary, or wages be greater than the
725	725	12 amount set forth in this subsection (b-10) as a result of
726	726	13 reciprocal service or any provisions regarding reciprocal
727	727	14 services, nor shall the Fund under Article 9 be required to pay
728	728	15 any refund as a result of the application of this maximum
729	729	16 annual earnings, salary, and wage cap.
730	730	17 Nothing in this subsection (b-10) shall cause or otherwise
731	731	18 result in any retroactive adjustment of any employee
732	732	19 contributions. Nothing in this subsection (b-10) shall cause
733	733	20 or otherwise result in any retroactive adjustment of
734	734	21 disability or other payments made between January 1, 2011 and
735	735	22 January 1, 2024.
736	736	23 (c) A member or participant is entitled to a retirement
737	737	24 annuity upon written application if he or she has attained age
738	738	25 67 (age 65, with respect to service under Article 12 that is
739	739	26 subject to this Section, for a member or participant under
740	740
741	741
742	742
743	743
744	744
745	745	SB0002 - 20 - LRB104 07746 RPS 17791 b
746	746
747	747
748	748	SB0002- 21 -LRB104 07746 RPS 17791 b SB0002 - 21 - LRB104 07746 RPS 17791 b
749	749	SB0002 - 21 - LRB104 07746 RPS 17791 b
750	750	1 Article 12 who first becomes a member or participant under
751	751	2 Article 12 on or after January 1, 2022 or who makes the
752	752	3 election under item (i) of subsection (d-15) of this Section)
753	753	4 and has at least 10 years of service credit and is otherwise
754	754	5 eligible under the requirements of the applicable Article.
755	755	6 A member or participant who has attained age 62 (age 60,
756	756	7 with respect to service under Article 12 that is subject to
757	757	8 this Section, for a member or participant under Article 12 who
758	758	9 first becomes a member or participant under Article 12 on or
759	759	10 after January 1, 2022 or who makes the election under item (i)
760	760	11 of subsection (d-15) of this Section) and has at least 10 years
761	761	12 of service credit and is otherwise eligible under the
762	762	13 requirements of the applicable Article may elect to receive
763	763	14 the lower retirement annuity provided in subsection (d) of
764	764	15 this Section.
765	765	16 (c-5) A person who first becomes a member or a participant
766	766	17 subject to this Section on or after July 6, 2017 (the effective
767	767	18 date of Public Act 100-23), notwithstanding any other
768	768	19 provision of this Code to the contrary, is entitled to a
769	769	20 retirement annuity under Article 8 or Article 11 upon written
770	770	21 application if he or she has attained age 65 and has at least
771	771	22 10 years of service credit and is otherwise eligible under the
772	772	23 requirements of Article 8 or Article 11 of this Code,
773	773	24 whichever is applicable.
774	774	25 (d) The retirement annuity of a member or participant who
775	775	26 is retiring after attaining age 62 (age 60, with respect to
776	776
777	777
778	778
779	779
780	780
781	781	SB0002 - 21 - LRB104 07746 RPS 17791 b
782	782
783	783
784	784	SB0002- 22 -LRB104 07746 RPS 17791 b SB0002 - 22 - LRB104 07746 RPS 17791 b
785	785	SB0002 - 22 - LRB104 07746 RPS 17791 b
786	786	1 service under Article 12 that is subject to this Section, for a
787	787	2 member or participant under Article 12 who first becomes a
788	788	3 member or participant under Article 12 on or after January 1,
789	789	4 2022 or who makes the election under item (i) of subsection
790	790	5 (d-15) of this Section) with at least 10 years of service
791	791	6 credit shall be reduced by one-half of 1% for each full month
792	792	7 that the member's age is under age 67 (age 65, with respect to
793	793	8 service under Article 12 that is subject to this Section, for a
794	794	9 member or participant under Article 12 who first becomes a
795	795	10 member or participant under Article 12 on or after January 1,
796	796	11 2022 or who makes the election under item (i) of subsection
797	797	12 (d-15) of this Section).
798	798	13 (d-5) The retirement annuity payable under Article 8 or
799	799	14 Article 11 to an eligible person subject to subsection (c-5)
800	800	15 of this Section who is retiring at age 60 with at least 10
801	801	16 years of service credit shall be reduced by one-half of 1% for
802	802	17 each full month that the member's age is under age 65.
803	803	18 (d-10) Each person who first became a member or
804	804	19 participant under Article 8 or Article 11 of this Code on or
805	805	20 after January 1, 2011 and prior to July 6, 2017 (the effective
806	806	21 date of Public Act 100-23) shall make an irrevocable election
807	807	22 either:
808	808	23 (i) to be eligible for the reduced retirement age
809	809	24 provided in subsections (c-5) and (d-5) of this Section,
810	810	25 the eligibility for which is conditioned upon the member
811	811	26 or participant agreeing to the increases in employee
812	812
813	813
814	814
815	815
816	816
817	817	SB0002 - 22 - LRB104 07746 RPS 17791 b
818	818
819	819
820	820	SB0002- 23 -LRB104 07746 RPS 17791 b SB0002 - 23 - LRB104 07746 RPS 17791 b
821	821	SB0002 - 23 - LRB104 07746 RPS 17791 b
822	822	1 contributions for age and service annuities provided in
823	823	2 subsection (a-5) of Section 8-174 of this Code (for
824	824	3 service under Article 8) or subsection (a-5) of Section
825	825	4 11-170 of this Code (for service under Article 11); or
826	826	5 (ii) to not agree to item (i) of this subsection
827	827	6 (d-10), in which case the member or participant shall
828	828	7 continue to be subject to the retirement age provisions in
829	829	8 subsections (c) and (d) of this Section and the employee
830	830	9 contributions for age and service annuity as provided in
831	831	10 subsection (a) of Section 8-174 of this Code (for service
832	832	11 under Article 8) or subsection (a) of Section 11-170 of
833	833	12 this Code (for service under Article 11).
834	834	13 The election provided for in this subsection shall be made
835	835	14 between October 1, 2017 and November 15, 2017. A person
836	836	15 subject to this subsection who makes the required election
837	837	16 shall remain bound by that election. A person subject to this
838	838	17 subsection who fails for any reason to make the required
839	839	18 election within the time specified in this subsection shall be
840	840	19 deemed to have made the election under item (ii).
841	841	20 (d-15) Each person who first becomes a member or
842	842	21 participant under Article 12 on or after January 1, 2011 and
843	843	22 prior to January 1, 2022 shall make an irrevocable election
844	844	23 either:
845	845	24 (i) to be eligible for the reduced retirement age
846	846	25 specified in subsections (c) and (d) of this Section, the
847	847	26 eligibility for which is conditioned upon the member or
848	848
849	849
850	850
851	851
852	852
853	853	SB0002 - 23 - LRB104 07746 RPS 17791 b
854	854
855	855
856	856	SB0002- 24 -LRB104 07746 RPS 17791 b SB0002 - 24 - LRB104 07746 RPS 17791 b
857	857	SB0002 - 24 - LRB104 07746 RPS 17791 b
858	858	1 participant agreeing to the increase in employee
859	859	2 contributions for service annuities specified in
860	860	3 subsection (b) of Section 12-150; or
861	861	4 (ii) to not agree to item (i) of this subsection
862	862	5 (d-15), in which case the member or participant shall not
863	863	6 be eligible for the reduced retirement age specified in
864	864	7 subsections (c) and (d) of this Section and shall not be
865	865	8 subject to the increase in employee contributions for
866	866	9 service annuities specified in subsection (b) of Section
867	867	10 12-150.
868	868	11 The election provided for in this subsection shall be made
869	869	12 between January 1, 2022 and April 1, 2022. A person subject to
870	870	13 this subsection who makes the required election shall remain
871	871	14 bound by that election. A person subject to this subsection
872	872	15 who fails for any reason to make the required election within
873	873	16 the time specified in this subsection shall be deemed to have
874	874	17 made the election under item (ii).
875	875	18 (e) Any retirement annuity or supplemental annuity shall
876	876	19 be subject to annual increases on the January 1 occurring
877	877	20 either on or after the attainment of age 67 (age 65, with
878	878	21 respect to service under Article 12 that is subject to this
879	879	22 Section, for a member or participant under Article 12 who
880	880	23 first becomes a member or participant under Article 12 on or
881	881	24 after January 1, 2022 or who makes the election under item (i)
882	882	25 of subsection (d-15); and beginning on July 6, 2017 (the
883	883	26 effective date of Public Act 100-23), age 65 with respect to
884	884
885	885
886	886
887	887
888	888
889	889	SB0002 - 24 - LRB104 07746 RPS 17791 b
890	890
891	891
892	892	SB0002- 25 -LRB104 07746 RPS 17791 b SB0002 - 25 - LRB104 07746 RPS 17791 b
893	893	SB0002 - 25 - LRB104 07746 RPS 17791 b
894	894	1 service under Article 8 or Article 11 for eligible persons
895	895	2 who: (i) are subject to subsection (c-5) of this Section; or
896	896	3 (ii) made the election under item (i) of subsection (d-10) of
897	897	4 this Section) or the first anniversary of the annuity start
898	898	5 date, whichever is later. Each annual increase shall be
899	899	6 calculated at 3% or one-half the annual unadjusted percentage
900	900	7 increase (but not less than zero) in the consumer price
901	901	8 index-u for the 12 months ending with the September preceding
902	902	9 each November 1, whichever is less, of the originally granted
903	903	10 retirement annuity. If the annual unadjusted percentage change
904	904	11 in the consumer price index-u for the 12 months ending with the
905	905	12 September preceding each November 1 is zero or there is a
906	906	13 decrease, then the annuity shall not be increased.
907	907	14 For the purposes of Section 1-103.1 of this Code, the
908	908	15 changes made to this Section by Public Act 102-263 are
909	909	16 applicable without regard to whether the employee was in
910	910	17 active service on or after August 6, 2021 (the effective date
911	911	18 of Public Act 102-263).
912	912	19 For the purposes of Section 1-103.1 of this Code, the
913	913	20 changes made to this Section by Public Act 100-23 are
914	914	21 applicable without regard to whether the employee was in
915	915	22 active service on or after July 6, 2017 (the effective date of
916	916	23 Public Act 100-23).
917	917	24 (f) The initial survivor's or widow's annuity of an
918	918	25 otherwise eligible survivor or widow of a retired member or
919	919	26 participant who first became a member or participant on or
920	920
921	921
922	922
923	923
924	924
925	925	SB0002 - 25 - LRB104 07746 RPS 17791 b
926	926
927	927
928	928	SB0002- 26 -LRB104 07746 RPS 17791 b SB0002 - 26 - LRB104 07746 RPS 17791 b
929	929	SB0002 - 26 - LRB104 07746 RPS 17791 b
930	930	1 after January 1, 2011 shall be in the amount of 66 2/3% of the
931	931	2 retired member's or participant's retirement annuity at the
932	932	3 date of death. In the case of the death of a member or
933	933	4 participant who has not retired and who first became a member
934	934	5 or participant on or after January 1, 2011, eligibility for a
935	935	6 survivor's or widow's annuity shall be determined by the
936	936	7 applicable Article of this Code. The initial benefit shall be
937	937	8 66 2/3% of the earned annuity without a reduction due to age. A
938	938	9 child's annuity of an otherwise eligible child shall be in the
939	939	10 amount prescribed under each Article if applicable. Any
940	940	11 survivor's or widow's annuity shall be increased (1) on each
941	941	12 January 1 occurring on or after the commencement of the
942	942	13 annuity if the deceased member died while receiving a
943	943	14 retirement annuity or (2) in other cases, on each January 1
944	944	15 occurring after the first anniversary of the commencement of
945	945	16 the annuity. Each annual increase shall be calculated at 3% or
946	946	17 one-half the annual unadjusted percentage increase (but not
947	947	18 less than zero) in the consumer price index-u for the 12 months
948	948	19 ending with the September preceding each November 1, whichever
949	949	20 is less, of the originally granted survivor's annuity. If the
950	950	21 annual unadjusted percentage change in the consumer price
951	951	22 index-u for the 12 months ending with the September preceding
952	952	23 each November 1 is zero or there is a decrease, then the
953	953	24 annuity shall not be increased.
954	954	25 (g) The benefits in Section 14-110 apply only if the
955	955	26 person is a State policeman, a fire fighter in the fire
956	956
957	957
958	958
959	959
960	960
961	961	SB0002 - 26 - LRB104 07746 RPS 17791 b
962	962
963	963
964	964	SB0002- 27 -LRB104 07746 RPS 17791 b SB0002 - 27 - LRB104 07746 RPS 17791 b
965	965	SB0002 - 27 - LRB104 07746 RPS 17791 b
966	966	1 protection service of a department, a conservation police
967	967	2 officer, an investigator for the Secretary of State, an arson
968	968	3 investigator, a Commerce Commission police officer,
969	969	4 investigator for the Department of Revenue or the Illinois
970	970	5 Gaming Board, a security employee of the Department of
971	971	6 Corrections or the Department of Juvenile Justice, or a
972	972	7 security employee of the Department of Innovation and
973	973	8 Technology, as those terms are defined in subsection (b) and
974	974	9 subsection (c) of Section 14-110. A person who meets the
975	975	10 requirements of this Section is entitled to an annuity
976	976	11 calculated under the provisions of Section 14-110, in lieu of
977	977	12 the regular or minimum retirement annuity, only if the person
978	978	13 has withdrawn from service with not less than 20 years of
979	979	14 eligible creditable service and has attained age 60,
980	980	15 regardless of whether the attainment of age 60 occurs while
981	981	16 the person is still in service.
982	982	17 (h) If a person who first becomes a member or a participant
983	983	18 of a retirement system or pension fund subject to this Section
984	984	19 on or after January 1, 2011 is receiving a retirement annuity
985	985	20 or retirement pension under that system or fund and becomes a
986	986	21 member or participant under any other system or fund created
987	987	22 by this Code and is employed on a full-time basis, except for
988	988	23 those members or participants exempted from the provisions of
989	989	24 this Section under subsection (a) of this Section, then the
990	990	25 person's retirement annuity or retirement pension under that
991	991	26 system or fund shall be suspended during that employment. Upon
992	992
993	993
994	994
995	995
996	996
997	997	SB0002 - 27 - LRB104 07746 RPS 17791 b
998	998
999	999
1000	1000	SB0002- 28 -LRB104 07746 RPS 17791 b SB0002 - 28 - LRB104 07746 RPS 17791 b
1001	1001	SB0002 - 28 - LRB104 07746 RPS 17791 b
1002	1002	1 termination of that employment, the person's retirement
1003	1003	2 annuity or retirement pension payments shall resume and be
1004	1004	3 recalculated if recalculation is provided for under the
1005	1005	4 applicable Article of this Code.
1006	1006	5 If a person who first becomes a member of a retirement
1007	1007	6 system or pension fund subject to this Section on or after
1008	1008	7 January 1, 2012 and is receiving a retirement annuity or
1009	1009	8 retirement pension under that system or fund and accepts on a
1010	1010	9 contractual basis a position to provide services to a
1011	1011	10 governmental entity from which he or she has retired, then
1012	1012	11 that person's annuity or retirement pension earned as an
1013	1013	12 active employee of the employer shall be suspended during that
1014	1014	13 contractual service. A person receiving an annuity or
1015	1015	14 retirement pension under this Code shall notify the pension
1016	1016	15 fund or retirement system from which he or she is receiving an
1017	1017	16 annuity or retirement pension, as well as his or her
1018	1018	17 contractual employer, of his or her retirement status before
1019	1019	18 accepting contractual employment. A person who fails to submit
1020	1020	19 such notification shall be guilty of a Class A misdemeanor and
1021	1021	20 required to pay a fine of $1,000. Upon termination of that
1022	1022	21 contractual employment, the person's retirement annuity or
1023	1023	22 retirement pension payments shall resume and, if appropriate,
1024	1024	23 be recalculated under the applicable provisions of this Code.
1025	1025	24 (i) (Blank).
1026	1026	25 (j) In the case of a conflict between the provisions of
1027	1027	26 this Section and any other provision of this Code, except for
1028	1028
1029	1029
1030	1030
1031	1031
1032	1032
1033	1033	SB0002 - 28 - LRB104 07746 RPS 17791 b
1034	1034
1035	1035
1036	1036	SB0002- 29 -LRB104 07746 RPS 17791 b SB0002 - 29 - LRB104 07746 RPS 17791 b
1037	1037	SB0002 - 29 - LRB104 07746 RPS 17791 b
1038	1038	1 Section 1-163, the provisions of this Section shall control.
1039	1039	2 (Source: P.A. 101-610, eff. 1-1-20; 102-16, eff. 6-17-21;
1040	1040	3 102-210, eff. 1-1-22; 102-263, eff. 8-6-21; 102-813, eff.
1041	1041	4 5-13-22; 103-529, eff. 8-11-23.)
1042	1042	5 (Text of Section from P.A. 102-956)
1043	1043	6 Sec. 1-160. Provisions applicable to new hires.
1044	1044	7 (a) The provisions of this Section apply to a person who,
1045	1045	8 on or after January 1, 2011, first becomes a member or a
1046	1046	9 participant under any reciprocal retirement system or pension
1047	1047	10 fund established under this Code, other than a retirement
1048	1048	11 system or pension fund established under Article 2, 3, 4, 5, 6,
1049	1049	12 7, 15, or 18 of this Code, notwithstanding any other provision
1050	1050	13 of this Code to the contrary, but do not apply to any
1051	1051	14 self-managed plan established under this Code or to any
1052	1052	15 participant of the retirement plan established under Section
1053	1053	16 22-101; except that this Section applies to a person who
1054	1054	17 elected to establish alternative credits by electing in
1055	1055	18 writing after January 1, 2011, but before August 8, 2011,
1056	1056	19 under Section 7-145.1 of this Code. Notwithstanding anything
1057	1057	20 to the contrary in this Section, for purposes of this Section,
1058	1058	21 a person who is a Tier 1 regular employee as defined in Section
1059	1059	22 7-109.4 of this Code or who participated in a retirement
1060	1060	23 system under Article 15 prior to January 1, 2011 shall be
1061	1061	24 deemed a person who first became a member or participant prior
1062	1062	25 to January 1, 2011 under any retirement system or pension fund
1063	1063
1064	1064
1065	1065
1066	1066
1067	1067
1068	1068	SB0002 - 29 - LRB104 07746 RPS 17791 b
1069	1069
1070	1070
1071	1071	SB0002- 30 -LRB104 07746 RPS 17791 b SB0002 - 30 - LRB104 07746 RPS 17791 b
1072	1072	SB0002 - 30 - LRB104 07746 RPS 17791 b
1073	1073	1 subject to this Section. The changes made to this Section by
1074	1074	2 Public Act 98-596 are a clarification of existing law and are
1075	1075	3 intended to be retroactive to January 1, 2011 (the effective
1076	1076	4 date of Public Act 96-889), notwithstanding the provisions of
1077	1077	5 Section 1-103.1 of this Code.
1078	1078	6 This Section does not apply to a person who first becomes a
1079	1079	7 noncovered employee under Article 14 on or after the
1080	1080	8 implementation date of the plan created under Section 1-161
1081	1081	9 for that Article, unless that person elects under subsection
1082	1082	10 (b) of Section 1-161 to instead receive the benefits provided
1083	1083	11 under this Section and the applicable provisions of that
1084	1084	12 Article.
1085	1085	13 This Section does not apply to a person who first becomes a
1086	1086	14 member or participant under Article 16 on or after the
1087	1087	15 implementation date of the plan created under Section 1-161
1088	1088	16 for that Article, unless that person elects under subsection
1089	1089	17 (b) of Section 1-161 to instead receive the benefits provided
1090	1090	18 under this Section and the applicable provisions of that
1091	1091	19 Article.
1092	1092	20 This Section does not apply to a person who elects under
1093	1093	21 subsection (c-5) of Section 1-161 to receive the benefits
1094	1094	22 under Section 1-161.
1095	1095	23 This Section does not apply to a person who first becomes a
1096	1096	24 member or participant of an affected pension fund on or after 6
1097	1097	25 months after the resolution or ordinance date, as defined in
1098	1098	26 Section 1-162, unless that person elects under subsection (c)
1099	1099
1100	1100
1101	1101
1102	1102
1103	1103
1104	1104	SB0002 - 30 - LRB104 07746 RPS 17791 b
1105	1105
1106	1106
1107	1107	SB0002- 31 -LRB104 07746 RPS 17791 b SB0002 - 31 - LRB104 07746 RPS 17791 b
1108	1108	SB0002 - 31 - LRB104 07746 RPS 17791 b
1109	1109	1 of Section 1-162 to receive the benefits provided under this
1110	1110	2 Section and the applicable provisions of the Article under
1111	1111	3 which he or she is a member or participant.
1112	1112	4 (b) "Final average salary" means, except as otherwise
1113	1113	5 provided in this subsection, the average monthly (or annual)
1114	1114	6 salary obtained by dividing the total salary or earnings
1115	1115	7 calculated under the Article applicable to the member or
1116	1116	8 participant during the 96 consecutive months (or 8 consecutive
1117	1117	9 years) of service within the last 120 months (or 10 years) of
1118	1118	10 service in which the total salary or earnings calculated under
1119	1119	11 the applicable Article was the highest by the number of months
1120	1120	12 (or years) of service in that period. For the purposes of a
1121	1121	13 person who first becomes a member or participant of any
1122	1122	14 retirement system or pension fund to which this Section
1123	1123	15 applies on or after January 1, 2011, in this Code, "final
1124	1124	16 average salary" shall be substituted for the following:
1125	1125	17 (1) (Blank).
1126	1126	18 (2) In Articles 8, 9, 10, 11, and 12, "highest average
1127	1127	19 annual salary for any 4 consecutive years within the last
1128	1128	20 10 years of service immediately preceding the date of
1129	1129	21 withdrawal".
1130	1130	22 (3) In Article 13, "average final salary".
1131	1131	23 (4) In Article 14, "final average compensation".
1132	1132	24 (5) In Article 17, "average salary".
1133	1133	25 (6) In Section 22-207, "wages or salary received by
1134	1134	26 him at the date of retirement or discharge".
1135	1135
1136	1136
1137	1137
1138	1138
1139	1139
1140	1140	SB0002 - 31 - LRB104 07746 RPS 17791 b
1141	1141
1142	1142
1143	1143	SB0002- 32 -LRB104 07746 RPS 17791 b SB0002 - 32 - LRB104 07746 RPS 17791 b
1144	1144	SB0002 - 32 - LRB104 07746 RPS 17791 b
1145	1145	1 A member of the Teachers' Retirement System of the State
1146	1146	2 of Illinois who retires on or after June 1, 2021 and for whom
1147	1147	3 the 2020-2021 school year is used in the calculation of the
1148	1148	4 member's final average salary shall use the higher of the
1149	1149	5 following for the purpose of determining the member's final
1150	1150	6 average salary:
1151	1151	7 (A) the amount otherwise calculated under the first
1152	1152	8 paragraph of this subsection; or
1153	1153	9 (B) an amount calculated by the Teachers' Retirement
1154	1154	10 System of the State of Illinois using the average of the
1155	1155	11 monthly (or annual) salary obtained by dividing the total
1156	1156	12 salary or earnings calculated under Article 16 applicable
1157	1157	13 to the member or participant during the 96 months (or 8
1158	1158	14 years) of service within the last 120 months (or 10 years)
1159	1159	15 of service in which the total salary or earnings
1160	1160	16 calculated under the Article was the highest by the number
1161	1161	17 of months (or years) of service in that period.
1162	1162	18 (b-5) Beginning on January 1, 2011, for all purposes under
1163	1163	19 this Code (including without limitation the calculation of
1164	1164	20 benefits and employee contributions), the annual earnings,
1165	1165	21 salary, or wages (based on the plan year) of a member or
1166	1166	22 participant to whom this Section applies shall not exceed
1167	1167	23 $106,800; however, that amount shall annually thereafter be
1168	1168	24 increased by the lesser of (i) 3% of that amount, including all
1169	1169	25 previous adjustments, or (ii) one-half the annual unadjusted
1170	1170	26 percentage increase (but not less than zero) in the consumer
1171	1171
1172	1172
1173	1173
1174	1174
1175	1175
1176	1176	SB0002 - 32 - LRB104 07746 RPS 17791 b
1177	1177
1178	1178
1179	1179	SB0002- 33 -LRB104 07746 RPS 17791 b SB0002 - 33 - LRB104 07746 RPS 17791 b
1180	1180	SB0002 - 33 - LRB104 07746 RPS 17791 b
1181	1181	1 price index-u for the 12 months ending with the September
1182	1182	2 preceding each November 1, including all previous adjustments.
1183	1183	3 For the purposes of this Section, "consumer price index-u"
1184	1184	4 means the index published by the Bureau of Labor Statistics of
1185	1185	5 the United States Department of Labor that measures the
1186	1186	6 average change in prices of goods and services purchased by
1187	1187	7 all urban consumers, United States city average, all items,
1188	1188	8 1982-84 = 100. The new amount resulting from each annual
1189	1189	9 adjustment shall be determined by the Public Pension Division
1190	1190	10 of the Department of Insurance and made available to the
1191	1191	11 boards of the retirement systems and pension funds by November
1192	1192	12 1 of each year.
1193	1193	13 (b-10) Beginning on January 1, 2024, for all purposes
1194	1194	14 under this Code (including, without limitation, the
1195	1195	15 calculation of benefits and employee contributions), the
1196	1196	16 annual earnings, salary, or wages (based on the plan year) of a
1197	1197	17 member or participant under Article 9 to whom this Section
1198	1198	18 applies shall include an annual earnings, salary, or wage cap
1199	1199	19 that tracks the Social Security wage base. Maximum annual
1200	1200	20 earnings, wages, or salary shall be the annual contribution
1201	1201	21 and benefit base established for the applicable year by the
1202	1202	22 Commissioner of the Social Security Administration under the
1203	1203	23 federal Social Security Act.
1204	1204	24 However, in no event shall the annual earnings, salary, or
1205	1205	25 wages for the purposes of this Article and Article 9 exceed any
1206	1206	26 limitation imposed on annual earnings, salary, or wages under
1207	1207
1208	1208
1209	1209
1210	1210
1211	1211
1212	1212	SB0002 - 33 - LRB104 07746 RPS 17791 b
1213	1213
1214	1214
1215	1215	SB0002- 34 -LRB104 07746 RPS 17791 b SB0002 - 34 - LRB104 07746 RPS 17791 b
1216	1216	SB0002 - 34 - LRB104 07746 RPS 17791 b
1217	1217	1 Section 1-117. Under no circumstances shall the maximum amount
1218	1218	2 of annual earnings, salary, or wages be greater than the
1219	1219	3 amount set forth in this subsection (b-10) as a result of
1220	1220	4 reciprocal service or any provisions regarding reciprocal
1221	1221	5 services, nor shall the Fund under Article 9 be required to pay
1222	1222	6 any refund as a result of the application of this maximum
1223	1223	7 annual earnings, salary, and wage cap.
1224	1224	8 Nothing in this subsection (b-10) shall cause or otherwise
1225	1225	9 result in any retroactive adjustment of any employee
1226	1226	10 contributions. Nothing in this subsection (b-10) shall cause
1227	1227	11 or otherwise result in any retroactive adjustment of
1228	1228	12 disability or other payments made between January 1, 2011 and
1229	1229	13 January 1, 2024.
1230	1230	14 (c) A member or participant is entitled to a retirement
1231	1231	15 annuity upon written application if he or she has attained age
1232	1232	16 67 (age 65, with respect to service under Article 12 that is
1233	1233	17 subject to this Section, for a member or participant under
1234	1234	18 Article 12 who first becomes a member or participant under
1235	1235	19 Article 12 on or after January 1, 2022 or who makes the
1236	1236	20 election under item (i) of subsection (d-15) of this Section)
1237	1237	21 and has at least 10 years of service credit and is otherwise
1238	1238	22 eligible under the requirements of the applicable Article.
1239	1239	23 A member or participant who has attained age 62 (age 60,
1240	1240	24 with respect to service under Article 12 that is subject to
1241	1241	25 this Section, for a member or participant under Article 12 who
1242	1242	26 first becomes a member or participant under Article 12 on or
1243	1243
1244	1244
1245	1245
1246	1246
1247	1247
1248	1248	SB0002 - 34 - LRB104 07746 RPS 17791 b
1249	1249
1250	1250
1251	1251	SB0002- 35 -LRB104 07746 RPS 17791 b SB0002 - 35 - LRB104 07746 RPS 17791 b
1252	1252	SB0002 - 35 - LRB104 07746 RPS 17791 b
1253	1253	1 after January 1, 2022 or who makes the election under item (i)
1254	1254	2 of subsection (d-15) of this Section) and has at least 10 years
1255	1255	3 of service credit and is otherwise eligible under the
1256	1256	4 requirements of the applicable Article may elect to receive
1257	1257	5 the lower retirement annuity provided in subsection (d) of
1258	1258	6 this Section.
1259	1259	7 (c-5) A person who first becomes a member or a participant
1260	1260	8 subject to this Section on or after July 6, 2017 (the effective
1261	1261	9 date of Public Act 100-23), notwithstanding any other
1262	1262	10 provision of this Code to the contrary, is entitled to a
1263	1263	11 retirement annuity under Article 8 or Article 11 upon written
1264	1264	12 application if he or she has attained age 65 and has at least
1265	1265	13 10 years of service credit and is otherwise eligible under the
1266	1266	14 requirements of Article 8 or Article 11 of this Code,
1267	1267	15 whichever is applicable.
1268	1268	16 (d) The retirement annuity of a member or participant who
1269	1269	17 is retiring after attaining age 62 (age 60, with respect to
1270	1270	18 service under Article 12 that is subject to this Section, for a
1271	1271	19 member or participant under Article 12 who first becomes a
1272	1272	20 member or participant under Article 12 on or after January 1,
1273	1273	21 2022 or who makes the election under item (i) of subsection
1274	1274	22 (d-15) of this Section) with at least 10 years of service
1275	1275	23 credit shall be reduced by one-half of 1% for each full month
1276	1276	24 that the member's age is under age 67 (age 65, with respect to
1277	1277	25 service under Article 12 that is subject to this Section, for a
1278	1278	26 member or participant under Article 12 who first becomes a
1279	1279
1280	1280
1281	1281
1282	1282
1283	1283
1284	1284	SB0002 - 35 - LRB104 07746 RPS 17791 b
1285	1285
1286	1286
1287	1287	SB0002- 36 -LRB104 07746 RPS 17791 b SB0002 - 36 - LRB104 07746 RPS 17791 b
1288	1288	SB0002 - 36 - LRB104 07746 RPS 17791 b
1289	1289	1 member or participant under Article 12 on or after January 1,
1290	1290	2 2022 or who makes the election under item (i) of subsection
1291	1291	3 (d-15) of this Section).
1292	1292	4 (d-5) The retirement annuity payable under Article 8 or
1293	1293	5 Article 11 to an eligible person subject to subsection (c-5)
1294	1294	6 of this Section who is retiring at age 60 with at least 10
1295	1295	7 years of service credit shall be reduced by one-half of 1% for
1296	1296	8 each full month that the member's age is under age 65.
1297	1297	9 (d-10) Each person who first became a member or
1298	1298	10 participant under Article 8 or Article 11 of this Code on or
1299	1299	11 after January 1, 2011 and prior to July 6, 2017 (the effective
1300	1300	12 date of Public Act 100-23) shall make an irrevocable election
1301	1301	13 either:
1302	1302	14 (i) to be eligible for the reduced retirement age
1303	1303	15 provided in subsections (c-5) and (d-5) of this Section,
1304	1304	16 the eligibility for which is conditioned upon the member
1305	1305	17 or participant agreeing to the increases in employee
1306	1306	18 contributions for age and service annuities provided in
1307	1307	19 subsection (a-5) of Section 8-174 of this Code (for
1308	1308	20 service under Article 8) or subsection (a-5) of Section
1309	1309	21 11-170 of this Code (for service under Article 11); or
1310	1310	22 (ii) to not agree to item (i) of this subsection
1311	1311	23 (d-10), in which case the member or participant shall
1312	1312	24 continue to be subject to the retirement age provisions in
1313	1313	25 subsections (c) and (d) of this Section and the employee
1314	1314	26 contributions for age and service annuity as provided in
1315	1315
1316	1316
1317	1317
1318	1318
1319	1319
1320	1320	SB0002 - 36 - LRB104 07746 RPS 17791 b
1321	1321
1322	1322
1323	1323	SB0002- 37 -LRB104 07746 RPS 17791 b SB0002 - 37 - LRB104 07746 RPS 17791 b
1324	1324	SB0002 - 37 - LRB104 07746 RPS 17791 b
1325	1325	1 subsection (a) of Section 8-174 of this Code (for service
1326	1326	2 under Article 8) or subsection (a) of Section 11-170 of
1327	1327	3 this Code (for service under Article 11).
1328	1328	4 The election provided for in this subsection shall be made
1329	1329	5 between October 1, 2017 and November 15, 2017. A person
1330	1330	6 subject to this subsection who makes the required election
1331	1331	7 shall remain bound by that election. A person subject to this
1332	1332	8 subsection who fails for any reason to make the required
1333	1333	9 election within the time specified in this subsection shall be
1334	1334	10 deemed to have made the election under item (ii).
1335	1335	11 (d-15) Each person who first becomes a member or
1336	1336	12 participant under Article 12 on or after January 1, 2011 and
1337	1337	13 prior to January 1, 2022 shall make an irrevocable election
1338	1338	14 either:
1339	1339	15 (i) to be eligible for the reduced retirement age
1340	1340	16 specified in subsections (c) and (d) of this Section, the
1341	1341	17 eligibility for which is conditioned upon the member or
1342	1342	18 participant agreeing to the increase in employee
1343	1343	19 contributions for service annuities specified in
1344	1344	20 subsection (b) of Section 12-150; or
1345	1345	21 (ii) to not agree to item (i) of this subsection
1346	1346	22 (d-15), in which case the member or participant shall not
1347	1347	23 be eligible for the reduced retirement age specified in
1348	1348	24 subsections (c) and (d) of this Section and shall not be
1349	1349	25 subject to the increase in employee contributions for
1350	1350	26 service annuities specified in subsection (b) of Section
1351	1351
1352	1352
1353	1353
1354	1354
1355	1355
1356	1356	SB0002 - 37 - LRB104 07746 RPS 17791 b
1357	1357
1358	1358
1359	1359	SB0002- 38 -LRB104 07746 RPS 17791 b SB0002 - 38 - LRB104 07746 RPS 17791 b
1360	1360	SB0002 - 38 - LRB104 07746 RPS 17791 b
1361	1361	1 12-150.
1362	1362	2 The election provided for in this subsection shall be made
1363	1363	3 between January 1, 2022 and April 1, 2022. A person subject to
1364	1364	4 this subsection who makes the required election shall remain
1365	1365	5 bound by that election. A person subject to this subsection
1366	1366	6 who fails for any reason to make the required election within
1367	1367	7 the time specified in this subsection shall be deemed to have
1368	1368	8 made the election under item (ii).
1369	1369	9 (e) Any retirement annuity or supplemental annuity shall
1370	1370	10 be subject to annual increases on the January 1 occurring
1371	1371	11 either on or after the attainment of age 67 (age 65, with
1372	1372	12 respect to service under Article 12 that is subject to this
1373	1373	13 Section, for a member or participant under Article 12 who
1374	1374	14 first becomes a member or participant under Article 12 on or
1375	1375	15 after January 1, 2022 or who makes the election under item (i)
1376	1376	16 of subsection (d-15); and beginning on July 6, 2017 (the
1377	1377	17 effective date of Public Act 100-23), age 65 with respect to
1378	1378	18 service under Article 8 or Article 11 for eligible persons
1379	1379	19 who: (i) are subject to subsection (c-5) of this Section; or
1380	1380	20 (ii) made the election under item (i) of subsection (d-10) of
1381	1381	21 this Section) or the first anniversary of the annuity start
1382	1382	22 date, whichever is later. Each annual increase shall be
1383	1383	23 calculated at 3% or one-half the annual unadjusted percentage
1384	1384	24 increase (but not less than zero) in the consumer price
1385	1385	25 index-u for the 12 months ending with the September preceding
1386	1386	26 each November 1, whichever is less, of the originally granted
1387	1387
1388	1388
1389	1389
1390	1390
1391	1391
1392	1392	SB0002 - 38 - LRB104 07746 RPS 17791 b
1393	1393
1394	1394
1395	1395	SB0002- 39 -LRB104 07746 RPS 17791 b SB0002 - 39 - LRB104 07746 RPS 17791 b
1396	1396	SB0002 - 39 - LRB104 07746 RPS 17791 b
1397	1397	1 retirement annuity. If the annual unadjusted percentage change
1398	1398	2 in the consumer price index-u for the 12 months ending with the
1399	1399	3 September preceding each November 1 is zero or there is a
1400	1400	4 decrease, then the annuity shall not be increased.
1401	1401	5 For the purposes of Section 1-103.1 of this Code, the
1402	1402	6 changes made to this Section by Public Act 102-263 are
1403	1403	7 applicable without regard to whether the employee was in
1404	1404	8 active service on or after August 6, 2021 (the effective date
1405	1405	9 of Public Act 102-263).
1406	1406	10 For the purposes of Section 1-103.1 of this Code, the
1407	1407	11 changes made to this Section by Public Act 100-23 are
1408	1408	12 applicable without regard to whether the employee was in
1409	1409	13 active service on or after July 6, 2017 (the effective date of
1410	1410	14 Public Act 100-23).
1411	1411	15 (f) The initial survivor's or widow's annuity of an
1412	1412	16 otherwise eligible survivor or widow of a retired member or
1413	1413	17 participant who first became a member or participant on or
1414	1414	18 after January 1, 2011 shall be in the amount of 66 2/3% of the
1415	1415	19 retired member's or participant's retirement annuity at the
1416	1416	20 date of death. In the case of the death of a member or
1417	1417	21 participant who has not retired and who first became a member
1418	1418	22 or participant on or after January 1, 2011, eligibility for a
1419	1419	23 survivor's or widow's annuity shall be determined by the
1420	1420	24 applicable Article of this Code. The initial benefit shall be
1421	1421	25 66 2/3% of the earned annuity without a reduction due to age. A
1422	1422	26 child's annuity of an otherwise eligible child shall be in the
1423	1423
1424	1424
1425	1425
1426	1426
1427	1427
1428	1428	SB0002 - 39 - LRB104 07746 RPS 17791 b
1429	1429
1430	1430
1431	1431	SB0002- 40 -LRB104 07746 RPS 17791 b SB0002 - 40 - LRB104 07746 RPS 17791 b
1432	1432	SB0002 - 40 - LRB104 07746 RPS 17791 b
1433	1433	1 amount prescribed under each Article if applicable. Any
1434	1434	2 survivor's or widow's annuity shall be increased (1) on each
1435	1435	3 January 1 occurring on or after the commencement of the
1436	1436	4 annuity if the deceased member died while receiving a
1437	1437	5 retirement annuity or (2) in other cases, on each January 1
1438	1438	6 occurring after the first anniversary of the commencement of
1439	1439	7 the annuity. Each annual increase shall be calculated at 3% or
1440	1440	8 one-half the annual unadjusted percentage increase (but not
1441	1441	9 less than zero) in the consumer price index-u for the 12 months
1442	1442	10 ending with the September preceding each November 1, whichever
1443	1443	11 is less, of the originally granted survivor's annuity. If the
1444	1444	12 annual unadjusted percentage change in the consumer price
1445	1445	13 index-u for the 12 months ending with the September preceding
1446	1446	14 each November 1 is zero or there is a decrease, then the
1447	1447	15 annuity shall not be increased.
1448	1448	16 (g) The benefits in Section 14-110 apply only if the
1449	1449	17 person is a State policeman, a fire fighter in the fire
1450	1450	18 protection service of a department, a conservation police
1451	1451	19 officer, an investigator for the Secretary of State, an
1452	1452	20 investigator for the Office of the Attorney General, an arson
1453	1453	21 investigator, a Commerce Commission police officer,
1454	1454	22 investigator for the Department of Revenue or the Illinois
1455	1455	23 Gaming Board, a security employee of the Department of
1456	1456	24 Corrections or the Department of Juvenile Justice, or a
1457	1457	25 security employee of the Department of Innovation and
1458	1458	26 Technology, as those terms are defined in subsection (b) and
1459	1459
1460	1460
1461	1461
1462	1462
1463	1463
1464	1464	SB0002 - 40 - LRB104 07746 RPS 17791 b
1465	1465
1466	1466
1467	1467	SB0002- 41 -LRB104 07746 RPS 17791 b SB0002 - 41 - LRB104 07746 RPS 17791 b
1468	1468	SB0002 - 41 - LRB104 07746 RPS 17791 b
1469	1469	1 subsection (c) of Section 14-110. A person who meets the
1470	1470	2 requirements of this Section is entitled to an annuity
1471	1471	3 calculated under the provisions of Section 14-110, in lieu of
1472	1472	4 the regular or minimum retirement annuity, only if the person
1473	1473	5 has withdrawn from service with not less than 20 years of
1474	1474	6 eligible creditable service and has attained age 60,
1475	1475	7 regardless of whether the attainment of age 60 occurs while
1476	1476	8 the person is still in service.
1477	1477	9 (h) If a person who first becomes a member or a participant
1478	1478	10 of a retirement system or pension fund subject to this Section
1479	1479	11 on or after January 1, 2011 is receiving a retirement annuity
1480	1480	12 or retirement pension under that system or fund and becomes a
1481	1481	13 member or participant under any other system or fund created
1482	1482	14 by this Code and is employed on a full-time basis, except for
1483	1483	15 those members or participants exempted from the provisions of
1484	1484	16 this Section under subsection (a) of this Section, then the
1485	1485	17 person's retirement annuity or retirement pension under that
1486	1486	18 system or fund shall be suspended during that employment. Upon
1487	1487	19 termination of that employment, the person's retirement
1488	1488	20 annuity or retirement pension payments shall resume and be
1489	1489	21 recalculated if recalculation is provided for under the
1490	1490	22 applicable Article of this Code.
1491	1491	23 If a person who first becomes a member of a retirement
1492	1492	24 system or pension fund subject to this Section on or after
1493	1493	25 January 1, 2012 and is receiving a retirement annuity or
1494	1494	26 retirement pension under that system or fund and accepts on a
1495	1495
1496	1496
1497	1497
1498	1498
1499	1499
1500	1500	SB0002 - 41 - LRB104 07746 RPS 17791 b
1501	1501
1502	1502
1503	1503	SB0002- 42 -LRB104 07746 RPS 17791 b SB0002 - 42 - LRB104 07746 RPS 17791 b
1504	1504	SB0002 - 42 - LRB104 07746 RPS 17791 b
1505	1505	1 contractual basis a position to provide services to a
1506	1506	2 governmental entity from which he or she has retired, then
1507	1507	3 that person's annuity or retirement pension earned as an
1508	1508	4 active employee of the employer shall be suspended during that
1509	1509	5 contractual service. A person receiving an annuity or
1510	1510	6 retirement pension under this Code shall notify the pension
1511	1511	7 fund or retirement system from which he or she is receiving an
1512	1512	8 annuity or retirement pension, as well as his or her
1513	1513	9 contractual employer, of his or her retirement status before
1514	1514	10 accepting contractual employment. A person who fails to submit
1515	1515	11 such notification shall be guilty of a Class A misdemeanor and
1516	1516	12 required to pay a fine of $1,000. Upon termination of that
1517	1517	13 contractual employment, the person's retirement annuity or
1518	1518	14 retirement pension payments shall resume and, if appropriate,
1519	1519	15 be recalculated under the applicable provisions of this Code.
1520	1520	16 (i) (Blank).
1521	1521	17 (j) In the case of a conflict between the provisions of
1522	1522	18 this Section and any other provision of this Code, except for
1523	1523	19 Section 1-163, the provisions of this Section shall control.
1524	1524	20 (Source: P.A. 102-16, eff. 6-17-21; 102-210, eff. 1-1-22;
1525	1525	21 102-263, eff. 8-6-21; 102-956, eff. 5-27-22; 103-529, eff.
1526	1526	22 8-11-23.)
1527	1527	23 (40 ILCS 5/1-163 new)
1528	1528	24 Sec. 1-163. Limitation on annual earnings, salary, or
1529	1529	25 wages for pension purposes for certain persons who first
1530	1530
1531	1531
1532	1532
1533	1533
1534	1534
1535	1535	SB0002 - 42 - LRB104 07746 RPS 17791 b
1536	1536
1537	1537
1538	1538	SB0002- 43 -LRB104 07746 RPS 17791 b SB0002 - 43 - LRB104 07746 RPS 17791 b
1539	1539	SB0002 - 43 - LRB104 07746 RPS 17791 b
1540	1540	1 become participants on or after January 1, 2011.
1541	1541	2 (a) Notwithstanding any provision of law to the contrary,
1542	1542	3 including Section 1-160, this Section applies to a person who,
1543	1543	4 on or after January 1, 2011, first becomes a member or
1544	1544	5 participant under a pension fund or retirement system
1545	1545	6 established under any of Articles 3 through 17 of this Code. To
1546	1546	7 the extent that any provision of this Section conflicts with
1547	1547	8 any other provision of this Code, this Section controls,
1548	1548	9 except for a conflict that would diminish or impair a benefit
1549	1549	10 of membership in a pension or retirement system of the State.
1550	1550	11 (b) Beginning on January 1, 2026, for all purposes under
1551	1551	12 this Code (including, without limitation, the calculation of
1552	1552	13 benefits and employee contributions), the annual earnings,
1553	1553	14 salary, or wages (based on the plan year) of a member or
1554	1554	15 participant to whom this Section applies shall not exceed the
1555	1555	16 Social Security wage base for the applicable plan year. In
1556	1556	17 this subsection, "Social Security wage base" means the
1557	1557	18 contribution and benefit base calculated for the calendar year
1558	1558	19 in question by the Commissioner of Social Security under
1559	1559	20 Section 230 of the federal Social Security Act (42 U.S.C.
1560	1560	21 430).
1561	1561	22 However, in no event shall the annual earnings, salary, or
1562	1562	23 wages for the purposes of this Code exceed any limitation
1563	1563	24 imposed on annual earnings, salary, or wages under Section
1564	1564	25 1-117. Under no circumstances shall the maximum amount of
1565	1565	26 annual earnings, salary, or wages be greater than the amount
1566	1566
1567	1567
1568	1568
1569	1569
1570	1570
1571	1571	SB0002 - 43 - LRB104 07746 RPS 17791 b
1572	1572
1573	1573
1574	1574	SB0002- 44 -LRB104 07746 RPS 17791 b SB0002 - 44 - LRB104 07746 RPS 17791 b
1575	1575	SB0002 - 44 - LRB104 07746 RPS 17791 b
1576	1576	1 set forth in this subsection as a result of reciprocal service
1577	1577	2 or any provisions regarding reciprocal services, nor shall the
1578	1578	3 retirement system or pension fund be required to pay any
1579	1579	4 refund as a result of the application of this maximum annual
1580	1580	5 earnings, salary, and wage cap.
1581	1581	6 Nothing in this Section shall cause or otherwise result in
1582	1582	7 any retroactive adjustment of any employee contributions.
1583	1583	8 Nothing in this Section shall cause or otherwise result in any
1584	1584	9 retroactive adjustment of benefit payments made between
1585	1585	10 January 1, 2011 and January 1, 2026.
1586	1586	11 (c) With regard to a member's or participant's earnings,
1587	1587	12 salary, or wages received on or after January 1, 2011 and
1588	1588	13 before January 1, 2026, the limitation on annual earnings,
1589	1589	14 salary, or wages shall be retroactively increased to an amount
1590	1590	15 equal to the Social Security wage base for that year. This
1591	1591	16 subsection does not require a member or participant to make
1592	1592	17 any additional contribution to the pension fund or retirement
1593	1593	18 system for the period from January 1, 2011 to January 1, 2026.
1594	1594	19 This subsection applies only to a person who, on or after
1595	1595	20 January 1, 2026, is an active member or active participant of a
1596	1596	21 pension fund or retirement system established under this Code.
1597	1597	22 (40 ILCS 5/2-108.1) (from Ch. 108 1/2, par. 2-108.1)
1598	1598	23 (Text of Section WITHOUT the changes made by P.A. 98-599,
1599	1599	24 which has been held unconstitutional)
1600	1600	25 Sec. 2-108.1. Highest salary for annuity purposes.
1601	1601
1602	1602
1603	1603
1604	1604
1605	1605
1606	1606	SB0002 - 44 - LRB104 07746 RPS 17791 b
1607	1607
1608	1608
1609	1609	SB0002- 45 -LRB104 07746 RPS 17791 b SB0002 - 45 - LRB104 07746 RPS 17791 b
1610	1610	SB0002 - 45 - LRB104 07746 RPS 17791 b
1611	1611	1 (a) "Highest salary for annuity purposes" means whichever
1612	1612	2 of the following is applicable to the participant:
1613	1613	3 For a participant who first becomes a participant of this
1614	1614	4 System before August 10, 2009 (the effective date of Public
1615	1615	5 Act 96-207):
1616	1616	6 (1) For a participant who is a member of the General
1617	1617	7 Assembly on his or her last day of service: the highest
1618	1618	8 salary that is prescribed by law, on the participant's
1619	1619	9 last day of service, for a member of the General Assembly
1620	1620	10 who is not an officer; plus, if the participant was
1621	1621	11 elected or appointed to serve as an officer of the General
1622	1622	12 Assembly for 2 or more years and has made contributions as
1623	1623	13 required under subsection (d) of Section 2-126, the
1624	1624	14 highest additional amount of compensation prescribed by
1625	1625	15 law, at the time of the participant's service as an
1626	1626	16 officer, for members of the General Assembly who serve in
1627	1627	17 that office.
1628	1628	18 (2) For a participant who holds one of the State
1629	1629	19 executive offices specified in Section 2-105 on his or her
1630	1630	20 last day of service: the highest salary prescribed by law
1631	1631	21 for service in that office on the participant's last day
1632	1632	22 of service.
1633	1633	23 (3) For a participant who is Clerk or Assistant Clerk
1634	1634	24 of the House of Representatives or Secretary or Assistant
1635	1635	25 Secretary of the Senate on his or her last day of service:
1636	1636	26 the salary received for service in that capacity on the
1637	1637
1638	1638
1639	1639
1640	1640
1641	1641
1642	1642	SB0002 - 45 - LRB104 07746 RPS 17791 b
1643	1643
1644	1644
1645	1645	SB0002- 46 -LRB104 07746 RPS 17791 b SB0002 - 46 - LRB104 07746 RPS 17791 b
1646	1646	SB0002 - 46 - LRB104 07746 RPS 17791 b
1647	1647	1 last day of service, but not to exceed the highest salary
1648	1648	2 (including additional compensation for service as an
1649	1649	3 officer) that is prescribed by law on the participant's
1650	1650	4 last day of service for the highest paid officer of the
1651	1651	5 General Assembly.
1652	1652	6 (4) For a participant who is a continuing participant
1653	1653	7 under Section 2-117.1 on his or her last day of service:
1654	1654	8 the salary received for service in that capacity on the
1655	1655	9 last day of service, but not to exceed the highest salary
1656	1656	10 (including additional compensation for service as an
1657	1657	11 officer) that is prescribed by law on the participant's
1658	1658	12 last day of service for the highest paid officer of the
1659	1659	13 General Assembly.
1660	1660	14 For a participant who first becomes a participant of this
1661	1661	15 System on or after August 10, 2009 (the effective date of
1662	1662	16 Public Act 96-207) and before January 1, 2011 (the effective
1663	1663	17 date of Public Act 96-889), the average monthly salary
1664	1664	18 obtained by dividing the total salary of the participant
1665	1665	19 during the period of: (1) the 48 consecutive months of service
1666	1666	20 within the last 120 months of service in which the total
1667	1667	21 compensation was the highest, or (2) the total period of
1668	1668	22 service, if less than 48 months, by the number of months of
1669	1669	23 service in that period.
1670	1670	24 For a participant who first becomes a participant of this
1671	1671	25 System on or after January 1, 2011 (the effective date of
1672	1672	26 Public Act 96-889), the average monthly salary obtained by
1673	1673
1674	1674
1675	1675
1676	1676
1677	1677
1678	1678	SB0002 - 46 - LRB104 07746 RPS 17791 b
1679	1679
1680	1680
1681	1681	SB0002- 47 -LRB104 07746 RPS 17791 b SB0002 - 47 - LRB104 07746 RPS 17791 b
1682	1682	SB0002 - 47 - LRB104 07746 RPS 17791 b
1683	1683	1 dividing the total salary of the participant during the 96
1684	1684	2 consecutive months of service within the last 120 months of
1685	1685	3 service in which the total compensation was the highest by the
1686	1686	4 number of months of service in that period; however, beginning
1687	1687	5 January 1, 2011 and until January 1, 2026, the highest salary
1688	1688	6 for annuity purposes may not exceed $106,800, except that that
1689	1689	7 amount shall annually thereafter be increased by the lesser of
1690	1690	8 (i) 3% of that amount, including all previous adjustments, or
1691	1691	9 (ii) the annual unadjusted percentage increase (but not less
1692	1692	10 than zero) in the consumer price index-u for the 12 months
1693	1693	11 ending with the September preceding each November 1. "Consumer
1694	1694	12 price index-u" means the index published by the Bureau of
1695	1695	13 Labor Statistics of the United States Department of Labor that
1696	1696	14 measures the average change in prices of goods and services
1697	1697	15 purchased by all urban consumers, United States city average,
1698	1698	16 all items, 1982-84 = 100. The new amount resulting from each
1699	1699	17 annual adjustment shall be determined by the Public Pension
1700	1700	18 Division of the Department of Insurance and made available to
1701	1701	19 the Board by November 1 of each year.
1702	1702	20 Beginning January 1, 2026, the highest salary for annuity
1703	1703	21 purposes shall not exceed the Social Security wage base for
1704	1704	22 the applicable plan year. In this subsection, "Social Security
1705	1705	23 wage base" means the contribution and benefit base calculated
1706	1706	24 for the calendar year in question by the Commissioner of
1707	1707	25 Social Security under Section 230 of the federal Social
1708	1708	26 Security Act (42 U.S.C. 430). However, in no event shall the
1709	1709
1710	1710
1711	1711
1712	1712
1713	1713
1714	1714	SB0002 - 47 - LRB104 07746 RPS 17791 b
1715	1715
1716	1716
1717	1717	SB0002- 48 -LRB104 07746 RPS 17791 b SB0002 - 48 - LRB104 07746 RPS 17791 b
1718	1718	SB0002 - 48 - LRB104 07746 RPS 17791 b
1719	1719	1 highest salary for annuity purposes exceed any limitation
1720	1720	2 imposed on annual salary under Section 1-117. Under no
1721	1721	3 circumstances shall the maximum amount of annual earnings,
1722	1722	4 salary, or wages be greater than the amount set forth in this
1723	1723	5 subsection as a result of reciprocal service or any provisions
1724	1724	6 regarding reciprocal services, nor shall the System be
1725	1725	7 required to pay any refund as a result of the application of
1726	1726	8 the limitation on highest salary for annuity purposes.
1727	1727	9 Nothing in the changes made to this Section by this
1728	1728	10 amendatory Act of the 104th General Assembly shall cause or
1729	1729	11 otherwise result in any retroactive adjustment of any employee
1730	1730	12 contributions. Nothing in this Section shall cause or
1731	1731	13 otherwise result in any retroactive adjustment of benefit
1732	1732	14 payments made between January 1, 2011 and January 1, 2026.
1733	1733	15 With regard to a participant's salary received on or after
1734	1734	16 January 1, 2011 and before January 1, 2026, if the participant
1735	1735	17 is in service on or after January 1, 2026, then the limitation
1736	1736	18 on highest salary for annuity purposes shall be retroactively
1737	1737	19 increased to an amount equal to the Social Security wage base
1738	1738	20 for that year. The retroactive increase in the salary
1739	1739	21 limitation under this paragraph does not require a participant
1740	1740	22 to make any additional contribution to the System.
1741	1741	23 (b) The earnings limitations of subsection (a) apply to
1742	1742	24 earnings under any other participating system under the
1743	1743	25 Retirement Systems Reciprocal Act that are considered in
1744	1744	26 calculating a proportional annuity under this Article, except
1745	1745
1746	1746
1747	1747
1748	1748
1749	1749
1750	1750	SB0002 - 48 - LRB104 07746 RPS 17791 b
1751	1751
1752	1752
1753	1753	SB0002- 49 -LRB104 07746 RPS 17791 b SB0002 - 49 - LRB104 07746 RPS 17791 b
1754	1754	SB0002 - 49 - LRB104 07746 RPS 17791 b
1755	1755	1 in the case of a person who first became a member of this
1756	1756	2 System before August 22, 1994 and has not, on or after the
1757	1757	3 effective date of this amendatory Act of the 97th General
1758	1758	4 Assembly, irrevocably elected to have those limitations apply.
1759	1759	5 The limitations of subsection (a) shall apply, however, to
1760	1760	6 earnings under any other participating system under the
1761	1761	7 Retirement Systems Reciprocal Act that are considered in
1762	1762	8 calculating the proportional annuity of a person who first
1763	1763	9 became a member of this System before August 22, 1994 if, on or
1764	1764	10 after the effective date of this amendatory Act of the 97th
1765	1765	11 General Assembly, that member irrevocably elects to have those
1766	1766	12 limitations apply.
1767	1767	13 (c) In calculating the subsection (a) earnings limitation
1768	1768	14 to be applied to earnings under any other participating system
1769	1769	15 under the Retirement Systems Reciprocal Act for the purpose of
1770	1770	16 calculating a proportional annuity under this Article, the
1771	1771	17 participant's last day of service shall be deemed to mean the
1772	1772	18 last day of service in any participating system from which the
1773	1773	19 person has applied for a proportional annuity under the
1774	1774	20 Retirement Systems Reciprocal Act.
1775	1775	21 (Source: P.A. 96-207, eff. 8-10-09; 96-889, eff. 1-1-11;
1776	1776	22 96-1490, eff. 1-1-11; 97-967, eff. 8-16-12.)
1777	1777	23 (40 ILCS 5/3-153 new)
1778	1778	24 Sec. 3-153. Application of Section 1-163. To the extent
1779	1779	25 that any provision of this Article conflicts with Section
1780	1780
1781	1781
1782	1782
1783	1783
1784	1784
1785	1785	SB0002 - 49 - LRB104 07746 RPS 17791 b
1786	1786
1787	1787
1788	1788	SB0002- 50 -LRB104 07746 RPS 17791 b SB0002 - 50 - LRB104 07746 RPS 17791 b
1789	1789	SB0002 - 50 - LRB104 07746 RPS 17791 b
1790	1790	1 1-163, Section 1-163 controls, except for a conflict that
1791	1791	2 would diminish or impair a benefit of membership in a pension
1792	1792	3 or retirement system of the State.
1793	1793	4 (40 ILCS 5/4-145 new)
1794	1794	5 Sec. 4-145. Application of Section 1-163. To the extent
1795	1795	6 that any provision of this Article conflicts with Section
1796	1796	7 1-163, Section 1-163 controls, except for a conflict that
1797	1797	8 would diminish or impair a benefit of membership in a pension
1798	1798	9 or retirement system of the State.
1799	1799	10 (40 ILCS 5/5-239 new)
1800	1800	11 Sec. 5-239. Application of Section 1-163. To the extent
1801	1801	12 that any provision of this Article conflicts with Section
1802	1802	13 1-163, Section 1-163 controls, except for a conflict that
1803	1803	14 would diminish or impair a benefit of membership in a pension
1804	1804	15 or retirement system of the State.
1805	1805	16 (40 ILCS 5/6-231 new)
1806	1806	17 Sec. 6-231. Application of Section 1-163. To the extent
1807	1807	18 that any provision of this Article conflicts with Section
1808	1808	19 1-163, Section 1-163 controls, except for a conflict that
1809	1809	20 would diminish or impair a benefit of membership in a pension
1810	1810	21 or retirement system of the State.
1811	1811	22 (40 ILCS 5/7-226 new)
1812	1812
1813	1813
1814	1814
1815	1815
1816	1816
1817	1817	SB0002 - 50 - LRB104 07746 RPS 17791 b
1818	1818
1819	1819
1820	1820	SB0002- 51 -LRB104 07746 RPS 17791 b SB0002 - 51 - LRB104 07746 RPS 17791 b
1821	1821	SB0002 - 51 - LRB104 07746 RPS 17791 b
1822	1822	1 Sec. 7-226. Application of Section 1-163. To the extent
1823	1823	2 that any provision of this Article conflicts with Section
1824	1824	3 1-163, Section 1-163 controls, except for a conflict that
1825	1825	4 would diminish or impair a benefit of membership in a pension
1826	1826	5 or retirement system of the State.
1827	1827	6 (40 ILCS 5/8-251.5 new)
1828	1828	7 Sec. 8-251.5. Application of Section 1-163. To the extent
1829	1829	8 that any provision of this Article conflicts with Section
1830	1830	9 1-163, Section 1-163 controls, except for a conflict that
1831	1831	10 would diminish or impair a benefit of membership in a pension
1832	1832	11 or retirement system of the State.
1833	1833	12 (40 ILCS 5/9-242 new)
1834	1834	13 Sec. 9-242. Application of Section 1-163. To the extent
1835	1835	14 that any provision of this Article conflicts with Section
1836	1836	15 1-163, Section 1-163 controls, except for a conflict that
1837	1837	16 would diminish or impair a benefit of membership in a pension
1838	1838	17 or retirement system of the State.
1839	1839	18 (40 ILCS 5/10-110 new)
1840	1840	19 Sec. 10-110. Application of Section 1-163. To the extent
1841	1841	20 that any provision of this Article conflicts with Section
1842	1842	21 1-163, Section 1-163 controls, except for a conflict that
1843	1843	22 would diminish or impair a benefit of membership in a pension
1844	1844	23 or retirement system of the State.
1845	1845
1846	1846
1847	1847
1848	1848
1849	1849
1850	1850	SB0002 - 51 - LRB104 07746 RPS 17791 b
1851	1851
1852	1852
1853	1853	SB0002- 52 -LRB104 07746 RPS 17791 b SB0002 - 52 - LRB104 07746 RPS 17791 b
1854	1854	SB0002 - 52 - LRB104 07746 RPS 17791 b
1855	1855	1 (40 ILCS 5/11-233 new)
1856	1856	2 Sec. 11-233. Application of Section 1-163. To the extent
1857	1857	3 that any provision of this Article conflicts with Section
1858	1858	4 1-163, Section 1-163 controls, except for a conflict that
1859	1859	5 would diminish or impair a benefit of membership in a pension
1860	1860	6 or retirement system of the State.
1861	1861	7 (40 ILCS 5/12-196 new)
1862	1862	8 Sec. 12-196. Application of Section 1-163. To the extent
1863	1863	9 that any provision of this Article conflicts with Section
1864	1864	10 1-163, Section 1-163 controls, except for a conflict that
1865	1865	11 would diminish or impair a benefit of membership in a pension
1866	1866	12 or retirement system of the State.
1867	1867	13 (40 ILCS 5/13-217 new)
1868	1868	14 Sec. 13-217. Application of Section 1-163. To the extent
1869	1869	15 that any provision of this Article conflicts with Section
1870	1870	16 1-163, Section 1-163 controls, except for a conflict that
1871	1871	17 would diminish or impair a benefit of membership in a pension
1872	1872	18 or retirement system of the State.
1873	1873	19 (40 ILCS 5/14-157 new)
1874	1874	20 Sec. 14-157. Application of Section 1-163. To the extent
1875	1875	21 that any provision of this Article conflicts with Section
1876	1876	22 1-163, Section 1-163 controls, except for a conflict that
1877	1877
1878	1878
1879	1879
1880	1880
1881	1881
1882	1882	SB0002 - 52 - LRB104 07746 RPS 17791 b
1883	1883
1884	1884
1885	1885	SB0002- 53 -LRB104 07746 RPS 17791 b SB0002 - 53 - LRB104 07746 RPS 17791 b
1886	1886	SB0002 - 53 - LRB104 07746 RPS 17791 b
1887	1887	1 would diminish or impair a benefit of membership in a pension
1888	1888	2 or retirement system of the State.
1889	1889	3 (40 ILCS 5/15-203 new)
1890	1890	4 Sec. 15-203. Application of Section 1-163. To the extent
1891	1891	5 that any provision of this Article conflicts with Section
1892	1892	6 1-163, Section 1-163 controls, except for a conflict that
1893	1893	7 would diminish or impair a benefit of membership in a pension
1894	1894	8 or retirement system of the State.
1895	1895	9 (40 ILCS 5/16-207 new)
1896	1896	10 Sec. 16-207. Application of Section 1-163. To the extent
1897	1897	11 that any provision of this Article conflicts with Section
1898	1898	12 1-163, Section 1-163 controls, except for a conflict that
1899	1899	13 would diminish or impair a benefit of membership in a pension
1900	1900	14 or retirement system of the State.
1901	1901	15 (40 ILCS 5/17-160 new)
1902	1902	16 Sec. 17-160. Application of Section 1-163. To the extent
1903	1903	17 that any provision of this Article conflicts with Section
1904	1904	18 1-163, Section 1-163 controls, except for a conflict that
1905	1905	19 would diminish or impair a benefit of membership in a pension
1906	1906	20 or retirement system of the State.
1907	1907	21 (40 ILCS 5/18-125) (from Ch. 108 1/2, par. 18-125)
1908	1908	22 Sec. 18-125. Retirement annuity amount.
1909	1909
1910	1910
1911	1911
1912	1912
1913	1913
1914	1914	SB0002 - 53 - LRB104 07746 RPS 17791 b
1915	1915
1916	1916
1917	1917	SB0002- 54 -LRB104 07746 RPS 17791 b SB0002 - 54 - LRB104 07746 RPS 17791 b
1918	1918	SB0002 - 54 - LRB104 07746 RPS 17791 b
1919	1919	1 (a) The annual retirement annuity for a participant who
1920	1920	2 terminated service as a judge prior to July 1, 1971 shall be
1921	1921	3 based on the law in effect at the time of termination of
1922	1922	4 service.
1923	1923	5 (b) Except as provided in subsection (b-5), effective July
1924	1924	6 1, 1971, the retirement annuity for any participant in service
1925	1925	7 on or after such date shall be 3 1/2% of final average salary,
1926	1926	8 as defined in this Section, for each of the first 10 years of
1927	1927	9 service, and 5% of such final average salary for each year of
1928	1928	10 service in excess of 10.
1929	1929	11 For purposes of this Section, final average salary for a
1930	1930	12 participant who first serves as a judge before August 10, 2009
1931	1931	13 (the effective date of Public Act 96-207) shall be:
1932	1932	14 (1) the average salary for the last 4 years of
1933	1933	15 credited service as a judge for a participant who
1934	1934	16 terminates service before July 1, 1975.
1935	1935	17 (2) for a participant who terminates service after
1936	1936	18 June 30, 1975 and before July 1, 1982, the salary on the
1937	1937	19 last day of employment as a judge.
1938	1938	20 (3) for any participant who terminates service after
1939	1939	21 June 30, 1982 and before January 1, 1990, the average
1940	1940	22 salary for the final year of service as a judge.
1941	1941	23 (4) for a participant who terminates service on or
1942	1942	24 after January 1, 1990 but before July 14, 1995 (the
1943	1943	25 effective date of Public Act 89-136), the salary on the
1944	1944	26 last day of employment as a judge.
1945	1945
1946	1946
1947	1947
1948	1948
1949	1949
1950	1950	SB0002 - 54 - LRB104 07746 RPS 17791 b
1951	1951
1952	1952
1953	1953	SB0002- 55 -LRB104 07746 RPS 17791 b SB0002 - 55 - LRB104 07746 RPS 17791 b
1954	1954	SB0002 - 55 - LRB104 07746 RPS 17791 b
1955	1955	1 (5) for a participant who terminates service on or
1956	1956	2 after July 14, 1995 (the effective date of Public Act
1957	1957	3 89-136), the salary on the last day of employment as a
1958	1958	4 judge, or the highest salary received by the participant
1959	1959	5 for employment as a judge in a position held by the
1960	1960	6 participant for at least 4 consecutive years, whichever is
1961	1961	7 greater.
1962	1962	8 However, in the case of a participant who elects to
1963	1963	9 discontinue contributions as provided in subdivision (a)(2) of
1964	1964	10 Section 18-133, the time of such election shall be considered
1965	1965	11 the last day of employment in the determination of final
1966	1966	12 average salary under this subsection.
1967	1967	13 For a participant who first serves as a judge on or after
1968	1968	14 August 10, 2009 (the effective date of Public Act 96-207) and
1969	1969	15 before January 1, 2011 (the effective date of Public Act
1970	1970	16 96-889), final average salary shall be the average monthly
1971	1971	17 salary obtained by dividing the total salary of the
1972	1972	18 participant during the period of: (1) the 48 consecutive
1973	1973	19 months of service within the last 120 months of service in
1974	1974	20 which the total compensation was the highest, or (2) the total
1975	1975	21 period of service, if less than 48 months, by the number of
1976	1976	22 months of service in that period.
1977	1977	23 The maximum retirement annuity for any participant shall
1978	1978	24 be 85% of final average salary.
1979	1979	25 (b-5) Notwithstanding any other provision of this Article,
1980	1980	26 for a participant who first serves as a judge on or after
1981	1981
1982	1982
1983	1983
1984	1984
1985	1985
1986	1986	SB0002 - 55 - LRB104 07746 RPS 17791 b
1987	1987
1988	1988
1989	1989	SB0002- 56 -LRB104 07746 RPS 17791 b SB0002 - 56 - LRB104 07746 RPS 17791 b
1990	1990	SB0002 - 56 - LRB104 07746 RPS 17791 b
1991	1991	1 January 1, 2011 (the effective date of Public Act 96-889), the
1992	1992	2 annual retirement annuity is 3% of the participant's final
1993	1993	3 average salary for each year of service. The maximum
1994	1994	4 retirement annuity payable shall be 60% of the participant's
1995	1995	5 final average salary.
1996	1996	6 For a participant who first serves as a judge on or after
1997	1997	7 January 1, 2011 (the effective date of Public Act 96-889),
1998	1998	8 final average salary shall be the average monthly salary
1999	1999	9 obtained by dividing the total salary of the judge during the
2000	2000	10 96 consecutive months of service within the last 120 months of
2001	2001	11 service in which the total salary was the highest by the number
2002	2002	12 of months of service in that period; however, beginning
2003	2003	13 January 1, 2011 and until January 1, 2026, the annual salary
2004	2004	14 may not exceed $106,800, except that that amount shall
2005	2005	15 annually thereafter be increased by the lesser of (i) 3% of
2006	2006	16 that amount, including all previous adjustments, or (ii) the
2007	2007	17 annual unadjusted percentage increase (but not less than zero)
2008	2008	18 in the consumer price index-u for the 12 months ending with the
2009	2009	19 September preceding each November 1. "Consumer price index-u"
2010	2010	20 means the index published by the Bureau of Labor Statistics of
2011	2011	21 the United States Department of Labor that measures the
2012	2012	22 average change in prices of goods and services purchased by
2013	2013	23 all urban consumers, United States city average, all items,
2014	2014	24 1982-84 = 100. The new amount resulting from each annual
2015	2015	25 adjustment shall be determined by the Public Pension Division
2016	2016	26 of the Department of Insurance and made available to the Board
2017	2017
2018	2018
2019	2019
2020	2020
2021	2021
2022	2022	SB0002 - 56 - LRB104 07746 RPS 17791 b
2023	2023
2024	2024
2025	2025	SB0002- 57 -LRB104 07746 RPS 17791 b SB0002 - 57 - LRB104 07746 RPS 17791 b
2026	2026	SB0002 - 57 - LRB104 07746 RPS 17791 b
2027	2027	1 by November 1st of each year.
2028	2028	2 Beginning January 1, 2026, for a participant who first
2029	2029	3 serves as a judge on or after January 1, 2011, the annual
2030	2030	4 salary shall not exceed the Social Security wage base for the
2031	2031	5 applicable plan year. In this subsection, "Social Security
2032	2032	6 wage base" means the contribution and benefit base calculated
2033	2033	7 for the calendar year in question by the Commissioner of
2034	2034	8 Social Security under Section 230 of the federal Social
2035	2035	9 Security Act (42 U.S.C. 430). However, in no event shall the
2036	2036	10 highest salary for annuity purposes exceed any limitation
2037	2037	11 imposed on annual salary under Section 1-117. Under no
2038	2038	12 circumstances shall the maximum amount of annual salary be
2039	2039	13 greater than the amount set forth in this subsection as a
2040	2040	14 result of reciprocal service or any provisions regarding
2041	2041	15 reciprocal services, nor shall the System be required to pay
2042	2042	16 any refund as a result of the application of the limitation on
2043	2043	17 annual salary.
2044	2044	18 Nothing in the changes made to this Section by this
2045	2045	19 amendatory Act of the 104th General Assembly shall cause or
2046	2046	20 otherwise result in any retroactive adjustment of any employee
2047	2047	21 contributions. Nothing in this Section shall cause or
2048	2048	22 otherwise result in any retroactive adjustment of benefit
2049	2049	23 payments made between January 1, 2011 and January 1, 2026.
2050	2050	24 With regard to a participant's salary received on or after
2051	2051	25 January 1, 2011 and before January 1, 2026, if the participant
2052	2052	26 is in service on or after January 1, 2026, then the limitation
2053	2053
2054	2054
2055	2055
2056	2056
2057	2057
2058	2058	SB0002 - 57 - LRB104 07746 RPS 17791 b
2059	2059
2060	2060
2061	2061	SB0002- 58 -LRB104 07746 RPS 17791 b SB0002 - 58 - LRB104 07746 RPS 17791 b
2062	2062	SB0002 - 58 - LRB104 07746 RPS 17791 b
2063	2063	1 on highest salary for annuity purposes shall be retroactively
2064	2064	2 increased to an amount equal to the Social Security wage base
2065	2065	3 for that year. The retroactive increase in the salary
2066	2066	4 limitation under this paragraph does not require a participant
2067	2067	5 to make any additional contribution to the System.
2068	2068	6 (c) The retirement annuity for a participant who retires
2069	2069	7 prior to age 60 with less than 28 years of service in the
2070	2070	8 System shall be reduced 1/2 of 1% for each month that the
2071	2071	9 participant's age is under 60 years at the time the annuity
2072	2072	10 commences. However, for a participant who retires on or after
2073	2073	11 December 10, 1999 (the effective date of Public Act 91-653),
2074	2074	12 the percentage reduction in retirement annuity imposed under
2075	2075	13 this subsection shall be reduced by 5/12 of 1% for every month
2076	2076	14 of service in this System in excess of 20 years, and therefore
2077	2077	15 a participant with at least 26 years of service in this System
2078	2078	16 may retire at age 55 without any reduction in annuity.
2079	2079	17 The reduction in retirement annuity imposed by this
2080	2080	18 subsection shall not apply in the case of retirement on
2081	2081	19 account of disability.
2082	2082	20 (d) Notwithstanding any other provision of this Article,
2083	2083	21 for a participant who first serves as a judge on or after
2084	2084	22 January 1, 2011 (the effective date of Public Act 96-889) and
2085	2085	23 who is retiring after attaining age 62, the retirement annuity
2086	2086	24 shall be reduced by 1/2 of 1% for each month that the
2087	2087	25 participant's age is under age 67 at the time the annuity
2088	2088	26 commences.
2089	2089
2090	2090
2091	2091
2092	2092
2093	2093
2094	2094	SB0002 - 58 - LRB104 07746 RPS 17791 b
2095	2095
2096	2096
2097	2097	SB0002- 59 -LRB104 07746 RPS 17791 b SB0002 - 59 - LRB104 07746 RPS 17791 b
2098	2098	SB0002 - 59 - LRB104 07746 RPS 17791 b
2099	2099	1 (Source: P.A. 100-201, eff. 8-18-17.)
2100	2100	2 Article 2.
2101	2101	3 Section 2-5. The Illinois Pension Code is amended by
2102	2102	4 changing Sections 1-160, 2-108.1, 3-111, 4-109, 5-238, 6-229,
2103	2103	5 7-116, 7-142.1, 15-112, and 18-125 as follows:
2104	2104	6 (40 ILCS 5/1-160)
2105	2105	7 (Text of Section from P.A. 102-719)
2106	2106	8 Sec. 1-160. Provisions applicable to new hires.
2107	2107	9 (a) The provisions of this Section apply to a person who,
2108	2108	10 on or after January 1, 2011, first becomes a member or a
2109	2109	11 participant under any reciprocal retirement system or pension
2110	2110	12 fund established under this Code, other than a retirement
2111	2111	13 system or pension fund established under Article 2, 3, 4, 5, 6,
2112	2112	14 7, 15, or 18 of this Code, notwithstanding any other provision
2113	2113	15 of this Code to the contrary, but do not apply to any
2114	2114	16 self-managed plan established under this Code or to any
2115	2115	17 participant of the retirement plan established under Section
2116	2116	18 22-101; except that this Section applies to a person who
2117	2117	19 elected to establish alternative credits by electing in
2118	2118	20 writing after January 1, 2011, but before August 8, 2011,
2119	2119	21 under Section 7-145.1 of this Code. Notwithstanding anything
2120	2120	22 to the contrary in this Section, for purposes of this Section,
2121	2121	23 a person who is a Tier 1 regular employee as defined in Section
2122	2122
2123	2123
2124	2124
2125	2125
2126	2126
2127	2127	SB0002 - 59 - LRB104 07746 RPS 17791 b
2128	2128
2129	2129
2130	2130	SB0002- 60 -LRB104 07746 RPS 17791 b SB0002 - 60 - LRB104 07746 RPS 17791 b
2131	2131	SB0002 - 60 - LRB104 07746 RPS 17791 b
2132	2132	1 7-109.4 of this Code or who participated in a retirement
2133	2133	2 system under Article 15 prior to January 1, 2011 shall be
2134	2134	3 deemed a person who first became a member or participant prior
2135	2135	4 to January 1, 2011 under any retirement system or pension fund
2136	2136	5 subject to this Section. The changes made to this Section by
2137	2137	6 Public Act 98-596 are a clarification of existing law and are
2138	2138	7 intended to be retroactive to January 1, 2011 (the effective
2139	2139	8 date of Public Act 96-889), notwithstanding the provisions of
2140	2140	9 Section 1-103.1 of this Code.
2141	2141	10 This Section does not apply to a person who first becomes a
2142	2142	11 noncovered employee under Article 14 on or after the
2143	2143	12 implementation date of the plan created under Section 1-161
2144	2144	13 for that Article, unless that person elects under subsection
2145	2145	14 (b) of Section 1-161 to instead receive the benefits provided
2146	2146	15 under this Section and the applicable provisions of that
2147	2147	16 Article.
2148	2148	17 This Section does not apply to a person who first becomes a
2149	2149	18 member or participant under Article 16 on or after the
2150	2150	19 implementation date of the plan created under Section 1-161
2151	2151	20 for that Article, unless that person elects under subsection
2152	2152	21 (b) of Section 1-161 to instead receive the benefits provided
2153	2153	22 under this Section and the applicable provisions of that
2154	2154	23 Article.
2155	2155	24 This Section does not apply to a person who elects under
2156	2156	25 subsection (c-5) of Section 1-161 to receive the benefits
2157	2157	26 under Section 1-161.
2158	2158
2159	2159
2160	2160
2161	2161
2162	2162
2163	2163	SB0002 - 60 - LRB104 07746 RPS 17791 b
2164	2164
2165	2165
2166	2166	SB0002- 61 -LRB104 07746 RPS 17791 b SB0002 - 61 - LRB104 07746 RPS 17791 b
2167	2167	SB0002 - 61 - LRB104 07746 RPS 17791 b
2168	2168	1 This Section does not apply to a person who first becomes a
2169	2169	2 member or participant of an affected pension fund on or after 6
2170	2170	3 months after the resolution or ordinance date, as defined in
2171	2171	4 Section 1-162, unless that person elects under subsection (c)
2172	2172	5 of Section 1-162 to receive the benefits provided under this
2173	2173	6 Section and the applicable provisions of the Article under
2174	2174	7 which he or she is a member or participant.
2175	2175	8 (a-5) In this Section, "affected member or participant"
2176	2176	9 means a member or participant to whom this Section applies and
2177	2177	10 who is an active member or participant on or after January 1,
2178	2178	11 2026; except that "affected member or participant" does not
2179	2179	12 include a member or participant under Article 22.
2180	2180	13 (b) For a person who is not an affected member or
2181	2181	14 participant, "final "Final average salary" means, except as
2182	2182	15 otherwise provided in this subsection, the average monthly (or
2183	2183	16 annual) salary obtained by dividing the total salary or
2184	2184	17 earnings calculated under the Article applicable to the member
2185	2185	18 or participant during the 96 consecutive months (or 8
2186	2186	19 consecutive years) of service within the last 120 months (or
2187	2187	20 10 years) of service in which the total salary or earnings
2188	2188	21 calculated under the applicable Article was the highest by the
2189	2189	22 number of months (or years) of service in that period. For the
2190	2190	23 purposes of a person who is not an affected member or
2191	2191	24 participant first becomes a member or participant of any
2192	2192	25 retirement system or pension fund to which this Section
2193	2193	26 applies on or after January 1, 2011, in this Code, "final
2194	2194
2195	2195
2196	2196
2197	2197
2198	2198
2199	2199	SB0002 - 61 - LRB104 07746 RPS 17791 b
2200	2200
2201	2201
2202	2202	SB0002- 62 -LRB104 07746 RPS 17791 b SB0002 - 62 - LRB104 07746 RPS 17791 b
2203	2203	SB0002 - 62 - LRB104 07746 RPS 17791 b
2204	2204	1 average salary" shall be substituted for the following:
2205	2205	2 (1) (Blank).
2206	2206	3 (2) In Articles 8, 9, 10, 11, and 12, "highest average
2207	2207	4 annual salary for any 4 consecutive years within the last
2208	2208	5 10 years of service immediately preceding the date of
2209	2209	6 withdrawal".
2210	2210	7 (3) In Article 13, "average final salary".
2211	2211	8 (4) In Article 14, "final average compensation".
2212	2212	9 (5) In Article 17, "average salary".
2213	2213	10 (6) In Section 22-207, "wages or salary received by
2214	2214	11 him at the date of retirement or discharge".
2215	2215	12 For an affected member or participant, "final average
2216	2216	13 salary" means:
2217	2217	14 (1) For Articles 8, 9, 10, 11, and 12, the highest
2218	2218	15 average annual salary for any 4 consecutive years within
2219	2219	16 the last 10 years of service immediately preceding the
2220	2220	17 date of withdrawal.
2221	2221	18 (2) For Article 13, the highest average monthly salary
2222	2222	19 as calculated by accumulating the salary for the highest
2223	2223	20 520 consecutive paid days of service within the last 10
2224	2224	21 years of service immediately preceding the date of
2225	2225	22 retirement and dividing by 24. If the employee is paid for
2226	2226	23 any portion of a workday, the fraction of the day worked
2227	2227	24 and the salary for that fraction of the day shall be
2228	2228	25 counted in accordance with the administrative rules of the
2229	2229	26 Fund established under Article 13.
2230	2230
2231	2231
2232	2232
2233	2233
2234	2234
2235	2235	SB0002 - 62 - LRB104 07746 RPS 17791 b
2236	2236
2237	2237
2238	2238	SB0002- 63 -LRB104 07746 RPS 17791 b SB0002 - 63 - LRB104 07746 RPS 17791 b
2239	2239	SB0002 - 63 - LRB104 07746 RPS 17791 b
2240	2240	1 (3) For Article 14, unless the member or participant
2241	2241	2 is entitled to an annuity under Section 14-110 and has at
2242	2242	3 least 20 years of eligible creditable service as defined
2243	2243	4 in Section 14-110, the monthly compensation obtained by
2244	2244	5 dividing the total compensation of an employee during the
2245	2245	6 period of: (1) the 48 consecutive months of service within
2246	2246	7 the last 120 months of service in which the total
2247	2247	8 compensation was the highest or (2) the total period of
2248	2248	9 service, if less than 48 months, by the number of months of
2249	2249	10 service in such period; however, for purposes of a
2250	2250	11 retirement annuity, the average compensation for the last
2251	2251	12 12 months of the 48-month period shall not exceed the
2252	2252	13 final average compensation by more than 25%.
2253	2253	14 (4) For Article 14, if the member or participant is
2254	2254	15 entitled to an annuity under Section 14-110 and has at
2255	2255	16 least 20 years of eligible creditable service as defined
2256	2256	17 in Section 14-110, the monthly rate of compensation
2257	2257	18 received by the member or participant on the last day of
2258	2258	19 eligible creditable service (but not to exceed 115% of the
2259	2259	20 average monthly compensation received by the member or
2260	2260	21 participant for the last 24 months of service) or the
2261	2261	22 average monthly compensation received by the member or
2262	2262	23 participant for the last 48 months of service prior to
2263	2263	24 retirement, whichever is greater.
2264	2264	25 (5) For Article 17, the average annual rate of salary
2265	2265	26 for the 4 consecutive years of validated service within
2266	2266
2267	2267
2268	2268
2269	2269
2270	2270
2271	2271	SB0002 - 63 - LRB104 07746 RPS 17791 b
2272	2272
2273	2273
2274	2274	SB0002- 64 -LRB104 07746 RPS 17791 b SB0002 - 64 - LRB104 07746 RPS 17791 b
2275	2275	SB0002 - 64 - LRB104 07746 RPS 17791 b
2276	2276	1 the last 10 years of service when such average annual rate
2277	2277	2 was highest.
2278	2278	3 A member of the Teachers' Retirement System of the State
2279	2279	4 of Illinois who retires on or after June 1, 2021 and for whom
2280	2280	5 the 2020-2021 school year is used in the calculation of the
2281	2281	6 member's final average salary shall use the higher of the
2282	2282	7 following for the purpose of determining the member's final
2283	2283	8 average salary:
2284	2284	9 (A) the amount otherwise calculated under the first
2285	2285	10 paragraph of this subsection; or
2286	2286	11 (B) an amount calculated by the Teachers' Retirement
2287	2287	12 System of the State of Illinois using the average of the
2288	2288	13 monthly (or annual) salary obtained by dividing the total
2289	2289	14 salary or earnings calculated under Article 16 applicable
2290	2290	15 to the member or participant during the 96 months (or 8
2291	2291	16 years) of service within the last 120 months (or 10 years)
2292	2292	17 of service in which the total salary or earnings
2293	2293	18 calculated under the Article was the highest by the number
2294	2294	19 of months (or years) of service in that period.
2295	2295	20 (b-5) Beginning on January 1, 2011, for all purposes under
2296	2296	21 this Code (including without limitation the calculation of
2297	2297	22 benefits and employee contributions), the annual earnings,
2298	2298	23 salary, or wages (based on the plan year) of a member or
2299	2299	24 participant to whom this Section applies shall not exceed
2300	2300	25 $106,800; however, that amount shall annually thereafter be
2301	2301	26 increased by the lesser of (i) 3% of that amount, including all
2302	2302
2303	2303
2304	2304
2305	2305
2306	2306
2307	2307	SB0002 - 64 - LRB104 07746 RPS 17791 b
2308	2308
2309	2309
2310	2310	SB0002- 65 -LRB104 07746 RPS 17791 b SB0002 - 65 - LRB104 07746 RPS 17791 b
2311	2311	SB0002 - 65 - LRB104 07746 RPS 17791 b
2312	2312	1 previous adjustments, or (ii) one-half the annual unadjusted
2313	2313	2 percentage increase (but not less than zero) in the consumer
2314	2314	3 price index-u for the 12 months ending with the September
2315	2315	4 preceding each November 1, including all previous adjustments.
2316	2316	5 For the purposes of this Section, "consumer price index-u"
2317	2317	6 means the index published by the Bureau of Labor Statistics of
2318	2318	7 the United States Department of Labor that measures the
2319	2319	8 average change in prices of goods and services purchased by
2320	2320	9 all urban consumers, United States city average, all items,
2321	2321	10 1982-84 = 100. The new amount resulting from each annual
2322	2322	11 adjustment shall be determined by the Public Pension Division
2323	2323	12 of the Department of Insurance and made available to the
2324	2324	13 boards of the retirement systems and pension funds by November
2325	2325	14 1 of each year.
2326	2326	15 (b-10) Beginning on January 1, 2024, for all purposes
2327	2327	16 under this Code (including, without limitation, the
2328	2328	17 calculation of benefits and employee contributions), the
2329	2329	18 annual earnings, salary, or wages (based on the plan year) of a
2330	2330	19 member or participant under Article 9 to whom this Section
2331	2331	20 applies shall include an annual earnings, salary, or wage cap
2332	2332	21 that tracks the Social Security wage base. Maximum annual
2333	2333	22 earnings, wages, or salary shall be the annual contribution
2334	2334	23 and benefit base established for the applicable year by the
2335	2335	24 Commissioner of the Social Security Administration under the
2336	2336	25 federal Social Security Act.
2337	2337	26 However, in no event shall the annual earnings, salary, or
2338	2338
2339	2339
2340	2340
2341	2341
2342	2342
2343	2343	SB0002 - 65 - LRB104 07746 RPS 17791 b
2344	2344
2345	2345
2346	2346	SB0002- 66 -LRB104 07746 RPS 17791 b SB0002 - 66 - LRB104 07746 RPS 17791 b
2347	2347	SB0002 - 66 - LRB104 07746 RPS 17791 b
2348	2348	1 wages for the purposes of this Article and Article 9 exceed any
2349	2349	2 limitation imposed on annual earnings, salary, or wages under
2350	2350	3 Section 1-117. Under no circumstances shall the maximum amount
2351	2351	4 of annual earnings, salary, or wages be greater than the
2352	2352	5 amount set forth in this subsection (b-10) as a result of
2353	2353	6 reciprocal service or any provisions regarding reciprocal
2354	2354	7 services, nor shall the Fund under Article 9 be required to pay
2355	2355	8 any refund as a result of the application of this maximum
2356	2356	9 annual earnings, salary, and wage cap.
2357	2357	10 Nothing in this subsection (b-10) shall cause or otherwise
2358	2358	11 result in any retroactive adjustment of any employee
2359	2359	12 contributions. Nothing in this subsection (b-10) shall cause
2360	2360	13 or otherwise result in any retroactive adjustment of
2361	2361	14 disability or other payments made between January 1, 2011 and
2362	2362	15 January 1, 2024.
2363	2363	16 (c) A member or participant is entitled to a retirement
2364	2364	17 annuity upon written application if he or she has attained age
2365	2365	18 67 (age 65, with respect to service under Article 12 that is
2366	2366	19 subject to this Section, for a member or participant under
2367	2367	20 Article 12 who first becomes a member or participant under
2368	2368	21 Article 12 on or after January 1, 2022 or who makes the
2369	2369	22 election under item (i) of subsection (d-15) of this Section)
2370	2370	23 and has at least 10 years of service credit and is otherwise
2371	2371	24 eligible under the requirements of the applicable Article.
2372	2372	25 A member or participant who has attained age 62 (age 60,
2373	2373	26 with respect to service under Article 12 that is subject to
2374	2374
2375	2375
2376	2376
2377	2377
2378	2378
2379	2379	SB0002 - 66 - LRB104 07746 RPS 17791 b
2380	2380
2381	2381
2382	2382	SB0002- 67 -LRB104 07746 RPS 17791 b SB0002 - 67 - LRB104 07746 RPS 17791 b
2383	2383	SB0002 - 67 - LRB104 07746 RPS 17791 b
2384	2384	1 this Section, for a member or participant under Article 12 who
2385	2385	2 first becomes a member or participant under Article 12 on or
2386	2386	3 after January 1, 2022 or who makes the election under item (i)
2387	2387	4 of subsection (d-15) of this Section) and has at least 10 years
2388	2388	5 of service credit and is otherwise eligible under the
2389	2389	6 requirements of the applicable Article may elect to receive
2390	2390	7 the lower retirement annuity provided in subsection (d) of
2391	2391	8 this Section.
2392	2392	9 (c-5) A person who first becomes a member or a participant
2393	2393	10 subject to this Section on or after July 6, 2017 (the effective
2394	2394	11 date of Public Act 100-23), notwithstanding any other
2395	2395	12 provision of this Code to the contrary, is entitled to a
2396	2396	13 retirement annuity under Article 8 or Article 11 upon written
2397	2397	14 application if he or she has attained age 65 and has at least
2398	2398	15 10 years of service credit and is otherwise eligible under the
2399	2399	16 requirements of Article 8 or Article 11 of this Code,
2400	2400	17 whichever is applicable.
2401	2401	18 (d) The retirement annuity of a member or participant who
2402	2402	19 is retiring after attaining age 62 (age 60, with respect to
2403	2403	20 service under Article 12 that is subject to this Section, for a
2404	2404	21 member or participant under Article 12 who first becomes a
2405	2405	22 member or participant under Article 12 on or after January 1,
2406	2406	23 2022 or who makes the election under item (i) of subsection
2407	2407	24 (d-15) of this Section) with at least 10 years of service
2408	2408	25 credit shall be reduced by one-half of 1% for each full month
2409	2409	26 that the member's age is under age 67 (age 65, with respect to
2410	2410
2411	2411
2412	2412
2413	2413
2414	2414
2415	2415	SB0002 - 67 - LRB104 07746 RPS 17791 b
2416	2416
2417	2417
2418	2418	SB0002- 68 -LRB104 07746 RPS 17791 b SB0002 - 68 - LRB104 07746 RPS 17791 b
2419	2419	SB0002 - 68 - LRB104 07746 RPS 17791 b
2420	2420	1 service under Article 12 that is subject to this Section, for a
2421	2421	2 member or participant under Article 12 who first becomes a
2422	2422	3 member or participant under Article 12 on or after January 1,
2423	2423	4 2022 or who makes the election under item (i) of subsection
2424	2424	5 (d-15) of this Section).
2425	2425	6 (d-5) The retirement annuity payable under Article 8 or
2426	2426	7 Article 11 to an eligible person subject to subsection (c-5)
2427	2427	8 of this Section who is retiring at age 60 with at least 10
2428	2428	9 years of service credit shall be reduced by one-half of 1% for
2429	2429	10 each full month that the member's age is under age 65.
2430	2430	11 (d-10) Each person who first became a member or
2431	2431	12 participant under Article 8 or Article 11 of this Code on or
2432	2432	13 after January 1, 2011 and prior to July 6, 2017 (the effective
2433	2433	14 date of Public Act 100-23) shall make an irrevocable election
2434	2434	15 either:
2435	2435	16 (i) to be eligible for the reduced retirement age
2436	2436	17 provided in subsections (c-5) and (d-5) of this Section,
2437	2437	18 the eligibility for which is conditioned upon the member
2438	2438	19 or participant agreeing to the increases in employee
2439	2439	20 contributions for age and service annuities provided in
2440	2440	21 subsection (a-5) of Section 8-174 of this Code (for
2441	2441	22 service under Article 8) or subsection (a-5) of Section
2442	2442	23 11-170 of this Code (for service under Article 11); or
2443	2443	24 (ii) to not agree to item (i) of this subsection
2444	2444	25 (d-10), in which case the member or participant shall
2445	2445	26 continue to be subject to the retirement age provisions in
2446	2446
2447	2447
2448	2448
2449	2449
2450	2450
2451	2451	SB0002 - 68 - LRB104 07746 RPS 17791 b
2452	2452
2453	2453
2454	2454	SB0002- 69 -LRB104 07746 RPS 17791 b SB0002 - 69 - LRB104 07746 RPS 17791 b
2455	2455	SB0002 - 69 - LRB104 07746 RPS 17791 b
2456	2456	1 subsections (c) and (d) of this Section and the employee
2457	2457	2 contributions for age and service annuity as provided in
2458	2458	3 subsection (a) of Section 8-174 of this Code (for service
2459	2459	4 under Article 8) or subsection (a) of Section 11-170 of
2460	2460	5 this Code (for service under Article 11).
2461	2461	6 The election provided for in this subsection shall be made
2462	2462	7 between October 1, 2017 and November 15, 2017. A person
2463	2463	8 subject to this subsection who makes the required election
2464	2464	9 shall remain bound by that election. A person subject to this
2465	2465	10 subsection who fails for any reason to make the required
2466	2466	11 election within the time specified in this subsection shall be
2467	2467	12 deemed to have made the election under item (ii).
2468	2468	13 (d-15) Each person who first becomes a member or
2469	2469	14 participant under Article 12 on or after January 1, 2011 and
2470	2470	15 prior to January 1, 2022 shall make an irrevocable election
2471	2471	16 either:
2472	2472	17 (i) to be eligible for the reduced retirement age
2473	2473	18 specified in subsections (c) and (d) of this Section, the
2474	2474	19 eligibility for which is conditioned upon the member or
2475	2475	20 participant agreeing to the increase in employee
2476	2476	21 contributions for service annuities specified in
2477	2477	22 subsection (b) of Section 12-150; or
2478	2478	23 (ii) to not agree to item (i) of this subsection
2479	2479	24 (d-15), in which case the member or participant shall not
2480	2480	25 be eligible for the reduced retirement age specified in
2481	2481	26 subsections (c) and (d) of this Section and shall not be
2482	2482
2483	2483
2484	2484
2485	2485
2486	2486
2487	2487	SB0002 - 69 - LRB104 07746 RPS 17791 b
2488	2488
2489	2489
2490	2490	SB0002- 70 -LRB104 07746 RPS 17791 b SB0002 - 70 - LRB104 07746 RPS 17791 b
2491	2491	SB0002 - 70 - LRB104 07746 RPS 17791 b
2492	2492	1 subject to the increase in employee contributions for
2493	2493	2 service annuities specified in subsection (b) of Section
2494	2494	3 12-150.
2495	2495	4 The election provided for in this subsection shall be made
2496	2496	5 between January 1, 2022 and April 1, 2022. A person subject to
2497	2497	6 this subsection who makes the required election shall remain
2498	2498	7 bound by that election. A person subject to this subsection
2499	2499	8 who fails for any reason to make the required election within
2500	2500	9 the time specified in this subsection shall be deemed to have
2501	2501	10 made the election under item (ii).
2502	2502	11 (e) Any retirement annuity or supplemental annuity shall
2503	2503	12 be subject to annual increases on the January 1 occurring
2504	2504	13 either on or after the attainment of age 67 (age 65, with
2505	2505	14 respect to service under Article 12 that is subject to this
2506	2506	15 Section, for a member or participant under Article 12 who
2507	2507	16 first becomes a member or participant under Article 12 on or
2508	2508	17 after January 1, 2022 or who makes the election under item (i)
2509	2509	18 of subsection (d-15); and beginning on July 6, 2017 (the
2510	2510	19 effective date of Public Act 100-23), age 65 with respect to
2511	2511	20 service under Article 8 or Article 11 for eligible persons
2512	2512	21 who: (i) are subject to subsection (c-5) of this Section; or
2513	2513	22 (ii) made the election under item (i) of subsection (d-10) of
2514	2514	23 this Section) or the first anniversary of the annuity start
2515	2515	24 date, whichever is later. Each annual increase shall be
2516	2516	25 calculated at 3% or one-half the annual unadjusted percentage
2517	2517	26 increase (but not less than zero) in the consumer price
2518	2518
2519	2519
2520	2520
2521	2521
2522	2522
2523	2523	SB0002 - 70 - LRB104 07746 RPS 17791 b
2524	2524
2525	2525
2526	2526	SB0002- 71 -LRB104 07746 RPS 17791 b SB0002 - 71 - LRB104 07746 RPS 17791 b
2527	2527	SB0002 - 71 - LRB104 07746 RPS 17791 b
2528	2528	1 index-u for the 12 months ending with the September preceding
2529	2529	2 each November 1, whichever is less, of the originally granted
2530	2530	3 retirement annuity. If the annual unadjusted percentage change
2531	2531	4 in the consumer price index-u for the 12 months ending with the
2532	2532	5 September preceding each November 1 is zero or there is a
2533	2533	6 decrease, then the annuity shall not be increased.
2534	2534	7 For the purposes of Section 1-103.1 of this Code, the
2535	2535	8 changes made to this Section by Public Act 102-263 are
2536	2536	9 applicable without regard to whether the employee was in
2537	2537	10 active service on or after August 6, 2021 (the effective date
2538	2538	11 of Public Act 102-263).
2539	2539	12 For the purposes of Section 1-103.1 of this Code, the
2540	2540	13 changes made to this Section by Public Act 100-23 are
2541	2541	14 applicable without regard to whether the employee was in
2542	2542	15 active service on or after July 6, 2017 (the effective date of
2543	2543	16 Public Act 100-23).
2544	2544	17 (f) The initial survivor's or widow's annuity of an
2545	2545	18 otherwise eligible survivor or widow of a retired member or
2546	2546	19 participant who first became a member or participant on or
2547	2547	20 after January 1, 2011 shall be in the amount of 66 2/3% of the
2548	2548	21 retired member's or participant's retirement annuity at the
2549	2549	22 date of death. In the case of the death of a member or
2550	2550	23 participant who has not retired and who first became a member
2551	2551	24 or participant on or after January 1, 2011, eligibility for a
2552	2552	25 survivor's or widow's annuity shall be determined by the
2553	2553	26 applicable Article of this Code. The initial benefit shall be
2554	2554
2555	2555
2556	2556
2557	2557
2558	2558
2559	2559	SB0002 - 71 - LRB104 07746 RPS 17791 b
2560	2560
2561	2561
2562	2562	SB0002- 72 -LRB104 07746 RPS 17791 b SB0002 - 72 - LRB104 07746 RPS 17791 b
2563	2563	SB0002 - 72 - LRB104 07746 RPS 17791 b
2564	2564	1 66 2/3% of the earned annuity without a reduction due to age. A
2565	2565	2 child's annuity of an otherwise eligible child shall be in the
2566	2566	3 amount prescribed under each Article if applicable. Any
2567	2567	4 survivor's or widow's annuity shall be increased (1) on each
2568	2568	5 January 1 occurring on or after the commencement of the
2569	2569	6 annuity if the deceased member died while receiving a
2570	2570	7 retirement annuity or (2) in other cases, on each January 1
2571	2571	8 occurring after the first anniversary of the commencement of
2572	2572	9 the annuity. Each annual increase shall be calculated at 3% or
2573	2573	10 one-half the annual unadjusted percentage increase (but not
2574	2574	11 less than zero) in the consumer price index-u for the 12 months
2575	2575	12 ending with the September preceding each November 1, whichever
2576	2576	13 is less, of the originally granted survivor's annuity. If the
2577	2577	14 annual unadjusted percentage change in the consumer price
2578	2578	15 index-u for the 12 months ending with the September preceding
2579	2579	16 each November 1 is zero or there is a decrease, then the
2580	2580	17 annuity shall not be increased.
2581	2581	18 (g) The benefits in Section 14-110 apply if the person is a
2582	2582	19 fire fighter in the fire protection service of a department, a
2583	2583	20 security employee of the Department of Corrections or the
2584	2584	21 Department of Juvenile Justice, or a security employee of the
2585	2585	22 Department of Innovation and Technology, as those terms are
2586	2586	23 defined in subsection (b) and subsection (c) of Section
2587	2587	24 14-110. A person who meets the requirements of this Section is
2588	2588	25 entitled to an annuity calculated under the provisions of
2589	2589	26 Section 14-110, in lieu of the regular or minimum retirement
2590	2590
2591	2591
2592	2592
2593	2593
2594	2594
2595	2595	SB0002 - 72 - LRB104 07746 RPS 17791 b
2596	2596
2597	2597
2598	2598	SB0002- 73 -LRB104 07746 RPS 17791 b SB0002 - 73 - LRB104 07746 RPS 17791 b
2599	2599	SB0002 - 73 - LRB104 07746 RPS 17791 b
2600	2600	1 annuity, only if the person has withdrawn from service with
2601	2601	2 not less than 20 years of eligible creditable service and has
2602	2602	3 attained age 60, regardless of whether the attainment of age
2603	2603	4 60 occurs while the person is still in service.
2604	2604	5 (g-5) The benefits in Section 14-110 apply if the person
2605	2605	6 is a State policeman, investigator for the Secretary of State,
2606	2606	7 conservation police officer, investigator for the Department
2607	2607	8 of Revenue or the Illinois Gaming Board, investigator for the
2608	2608	9 Office of the Attorney General, Commerce Commission police
2609	2609	10 officer, or arson investigator, as those terms are defined in
2610	2610	11 subsection (b) and subsection (c) of Section 14-110. A person
2611	2611	12 who meets the requirements of this Section is entitled to an
2612	2612	13 annuity calculated under the provisions of Section 14-110, in
2613	2613	14 lieu of the regular or minimum retirement annuity, only if the
2614	2614	15 person has withdrawn from service with not less than 20 years
2615	2615	16 of eligible creditable service and has attained age 55,
2616	2616	17 regardless of whether the attainment of age 55 occurs while
2617	2617	18 the person is still in service.
2618	2618	19 (h) If a person who first becomes a member or a participant
2619	2619	20 of a retirement system or pension fund subject to this Section
2620	2620	21 on or after January 1, 2011 is receiving a retirement annuity
2621	2621	22 or retirement pension under that system or fund and becomes a
2622	2622	23 member or participant under any other system or fund created
2623	2623	24 by this Code and is employed on a full-time basis, except for
2624	2624	25 those members or participants exempted from the provisions of
2625	2625	26 this Section under subsection (a) of this Section, then the
2626	2626
2627	2627
2628	2628
2629	2629
2630	2630
2631	2631	SB0002 - 73 - LRB104 07746 RPS 17791 b
2632	2632
2633	2633
2634	2634	SB0002- 74 -LRB104 07746 RPS 17791 b SB0002 - 74 - LRB104 07746 RPS 17791 b
2635	2635	SB0002 - 74 - LRB104 07746 RPS 17791 b
2636	2636	1 person's retirement annuity or retirement pension under that
2637	2637	2 system or fund shall be suspended during that employment. Upon
2638	2638	3 termination of that employment, the person's retirement
2639	2639	4 annuity or retirement pension payments shall resume and be
2640	2640	5 recalculated if recalculation is provided for under the
2641	2641	6 applicable Article of this Code.
2642	2642	7 If a person who first becomes a member of a retirement
2643	2643	8 system or pension fund subject to this Section on or after
2644	2644	9 January 1, 2012 and is receiving a retirement annuity or
2645	2645	10 retirement pension under that system or fund and accepts on a
2646	2646	11 contractual basis a position to provide services to a
2647	2647	12 governmental entity from which he or she has retired, then
2648	2648	13 that person's annuity or retirement pension earned as an
2649	2649	14 active employee of the employer shall be suspended during that
2650	2650	15 contractual service. A person receiving an annuity or
2651	2651	16 retirement pension under this Code shall notify the pension
2652	2652	17 fund or retirement system from which he or she is receiving an
2653	2653	18 annuity or retirement pension, as well as his or her
2654	2654	19 contractual employer, of his or her retirement status before
2655	2655	20 accepting contractual employment. A person who fails to submit
2656	2656	21 such notification shall be guilty of a Class A misdemeanor and
2657	2657	22 required to pay a fine of $1,000. Upon termination of that
2658	2658	23 contractual employment, the person's retirement annuity or
2659	2659	24 retirement pension payments shall resume and, if appropriate,
2660	2660	25 be recalculated under the applicable provisions of this Code.
2661	2661	26 (i) (Blank).
2662	2662
2663	2663
2664	2664
2665	2665
2666	2666
2667	2667	SB0002 - 74 - LRB104 07746 RPS 17791 b
2668	2668
2669	2669
2670	2670	SB0002- 75 -LRB104 07746 RPS 17791 b SB0002 - 75 - LRB104 07746 RPS 17791 b
2671	2671	SB0002 - 75 - LRB104 07746 RPS 17791 b
2672	2672	1 (j) In the case of a conflict between the provisions of
2673	2673	2 this Section and any other provision of this Code, the
2674	2674	3 provisions of this Section shall control.
2675	2675	4 (Source: P.A. 101-610, eff. 1-1-20; 102-16, eff. 6-17-21;
2676	2676	5 102-210, eff. 1-1-22; 102-263, eff. 8-6-21; 102-719, eff.
2677	2677	6 5-6-22.)
2678	2678	7 (Text of Section from P.A. 102-813)
2679	2679	8 Sec. 1-160. Provisions applicable to new hires.
2680	2680	9 (a) The provisions of this Section apply to a person who,
2681	2681	10 on or after January 1, 2011, first becomes a member or a
2682	2682	11 participant under any reciprocal retirement system or pension
2683	2683	12 fund established under this Code, other than a retirement
2684	2684	13 system or pension fund established under Article 2, 3, 4, 5, 6,
2685	2685	14 7, 15, or 18 of this Code, notwithstanding any other provision
2686	2686	15 of this Code to the contrary, but do not apply to any
2687	2687	16 self-managed plan established under this Code or to any
2688	2688	17 participant of the retirement plan established under Section
2689	2689	18 22-101; except that this Section applies to a person who
2690	2690	19 elected to establish alternative credits by electing in
2691	2691	20 writing after January 1, 2011, but before August 8, 2011,
2692	2692	21 under Section 7-145.1 of this Code. Notwithstanding anything
2693	2693	22 to the contrary in this Section, for purposes of this Section,
2694	2694	23 a person who is a Tier 1 regular employee as defined in Section
2695	2695	24 7-109.4 of this Code or who participated in a retirement
2696	2696	25 system under Article 15 prior to January 1, 2011 shall be
2697	2697
2698	2698
2699	2699
2700	2700
2701	2701
2702	2702	SB0002 - 75 - LRB104 07746 RPS 17791 b
2703	2703
2704	2704
2705	2705	SB0002- 76 -LRB104 07746 RPS 17791 b SB0002 - 76 - LRB104 07746 RPS 17791 b
2706	2706	SB0002 - 76 - LRB104 07746 RPS 17791 b
2707	2707	1 deemed a person who first became a member or participant prior
2708	2708	2 to January 1, 2011 under any retirement system or pension fund
2709	2709	3 subject to this Section. The changes made to this Section by
2710	2710	4 Public Act 98-596 are a clarification of existing law and are
2711	2711	5 intended to be retroactive to January 1, 2011 (the effective
2712	2712	6 date of Public Act 96-889), notwithstanding the provisions of
2713	2713	7 Section 1-103.1 of this Code.
2714	2714	8 This Section does not apply to a person who first becomes a
2715	2715	9 noncovered employee under Article 14 on or after the
2716	2716	10 implementation date of the plan created under Section 1-161
2717	2717	11 for that Article, unless that person elects under subsection
2718	2718	12 (b) of Section 1-161 to instead receive the benefits provided
2719	2719	13 under this Section and the applicable provisions of that
2720	2720	14 Article.
2721	2721	15 This Section does not apply to a person who first becomes a
2722	2722	16 member or participant under Article 16 on or after the
2723	2723	17 implementation date of the plan created under Section 1-161
2724	2724	18 for that Article, unless that person elects under subsection
2725	2725	19 (b) of Section 1-161 to instead receive the benefits provided
2726	2726	20 under this Section and the applicable provisions of that
2727	2727	21 Article.
2728	2728	22 This Section does not apply to a person who elects under
2729	2729	23 subsection (c-5) of Section 1-161 to receive the benefits
2730	2730	24 under Section 1-161.
2731	2731	25 This Section does not apply to a person who first becomes a
2732	2732	26 member or participant of an affected pension fund on or after 6
2733	2733
2734	2734
2735	2735
2736	2736
2737	2737
2738	2738	SB0002 - 76 - LRB104 07746 RPS 17791 b
2739	2739
2740	2740
2741	2741	SB0002- 77 -LRB104 07746 RPS 17791 b SB0002 - 77 - LRB104 07746 RPS 17791 b
2742	2742	SB0002 - 77 - LRB104 07746 RPS 17791 b
2743	2743	1 months after the resolution or ordinance date, as defined in
2744	2744	2 Section 1-162, unless that person elects under subsection (c)
2745	2745	3 of Section 1-162 to receive the benefits provided under this
2746	2746	4 Section and the applicable provisions of the Article under
2747	2747	5 which he or she is a member or participant.
2748	2748	6 (a-5) In this Section, "affected member or participant"
2749	2749	7 means a member or participant to whom this Section applies and
2750	2750	8 who is an active member or participant on or after January 1,
2751	2751	9 2026; except that "affected member or participant" does not
2752	2752	10 include a member or participant under Article 22.
2753	2753	11 (b) For a person who is not an affected member or
2754	2754	12 participant, "final "Final average salary" means, except as
2755	2755	13 otherwise provided in this subsection, the average monthly (or
2756	2756	14 annual) salary obtained by dividing the total salary or
2757	2757	15 earnings calculated under the Article applicable to the member
2758	2758	16 or participant during the 96 consecutive months (or 8
2759	2759	17 consecutive years) of service within the last 120 months (or
2760	2760	18 10 years) of service in which the total salary or earnings
2761	2761	19 calculated under the applicable Article was the highest by the
2762	2762	20 number of months (or years) of service in that period. For the
2763	2763	21 purposes of a person who is not an affected member or
2764	2764	22 participant first becomes a member or participant of any
2765	2765	23 retirement system or pension fund to which this Section
2766	2766	24 applies on or after January 1, 2011, in this Code, "final
2767	2767	25 average salary" shall be substituted for the following:
2768	2768	26 (1) (Blank).
2769	2769
2770	2770
2771	2771
2772	2772
2773	2773
2774	2774	SB0002 - 77 - LRB104 07746 RPS 17791 b
2775	2775
2776	2776
2777	2777	SB0002- 78 -LRB104 07746 RPS 17791 b SB0002 - 78 - LRB104 07746 RPS 17791 b
2778	2778	SB0002 - 78 - LRB104 07746 RPS 17791 b
2779	2779	1 (2) In Articles 8, 9, 10, 11, and 12, "highest average
2780	2780	2 annual salary for any 4 consecutive years within the last
2781	2781	3 10 years of service immediately preceding the date of
2782	2782	4 withdrawal".
2783	2783	5 (3) In Article 13, "average final salary".
2784	2784	6 (4) In Article 14, "final average compensation".
2785	2785	7 (5) In Article 17, "average salary".
2786	2786	8 (6) In Section 22-207, "wages or salary received by
2787	2787	9 him at the date of retirement or discharge".
2788	2788	10 For an affected member or participant, "final average
2789	2789	11 salary" means:
2790	2790	12 (1) For Articles 8, 9, 10, 11, and 12, the highest
2791	2791	13 average annual salary for any 4 consecutive years within
2792	2792	14 the last 10 years of service immediately preceding the
2793	2793	15 date of withdrawal.
2794	2794	16 (2) For Article 13, the highest average monthly salary
2795	2795	17 as calculated by accumulating the salary for the highest
2796	2796	18 520 consecutive paid days of service within the last 10
2797	2797	19 years of service immediately preceding the date of
2798	2798	20 retirement and dividing by 24. If the employee is paid for
2799	2799	21 any portion of a workday, the fraction of the day worked
2800	2800	22 and the salary for that fraction of the day shall be
2801	2801	23 counted in accordance with the administrative rules of the
2802	2802	24 Fund established under Article 13.
2803	2803	25 (3) For Article 14, unless the member or participant
2804	2804	26 is entitled to an annuity under Section 14-110 and has at
2805	2805
2806	2806
2807	2807
2808	2808
2809	2809
2810	2810	SB0002 - 78 - LRB104 07746 RPS 17791 b
2811	2811
2812	2812
2813	2813	SB0002- 79 -LRB104 07746 RPS 17791 b SB0002 - 79 - LRB104 07746 RPS 17791 b
2814	2814	SB0002 - 79 - LRB104 07746 RPS 17791 b
2815	2815	1 least 20 years of eligible creditable service as defined
2816	2816	2 in Section 14-110, the monthly compensation obtained by
2817	2817	3 dividing the total compensation of an employee during the
2818	2818	4 period of: (1) the 48 consecutive months of service within
2819	2819	5 the last 120 months of service in which the total
2820	2820	6 compensation was the highest or (2) the total period of
2821	2821	7 service, if less than 48 months, by the number of months of
2822	2822	8 service in such period; however, for purposes of a
2823	2823	9 retirement annuity, the average compensation for the last
2824	2824	10 12 months of the 48-month period shall not exceed the
2825	2825	11 final average compensation by more than 25%.
2826	2826	12 (4) For Article 14, if the member or participant is
2827	2827	13 entitled to an annuity under Section 14-110 and has at
2828	2828	14 least 20 years of eligible creditable service as defined
2829	2829	15 in Section 14-110, the monthly rate of compensation
2830	2830	16 received by the member or participant on the last day of
2831	2831	17 eligible creditable service (but not to exceed 115% of the
2832	2832	18 average monthly compensation received by the member or
2833	2833	19 participant for the last 24 months of service) or the
2834	2834	20 average monthly compensation received by the member or
2835	2835	21 participant for the last 48 months of service prior to
2836	2836	22 retirement, whichever is greater.
2837	2837	23 (5) For Article 17, the average annual rate of salary
2838	2838	24 for the 4 consecutive years of validated service within
2839	2839	25 the last 10 years of service when such average annual rate
2840	2840	26 was highest.
2841	2841
2842	2842
2843	2843
2844	2844
2845	2845
2846	2846	SB0002 - 79 - LRB104 07746 RPS 17791 b
2847	2847
2848	2848
2849	2849	SB0002- 80 -LRB104 07746 RPS 17791 b SB0002 - 80 - LRB104 07746 RPS 17791 b
2850	2850	SB0002 - 80 - LRB104 07746 RPS 17791 b
2851	2851	1 A member of the Teachers' Retirement System of the State
2852	2852	2 of Illinois who retires on or after June 1, 2021 and for whom
2853	2853	3 the 2020-2021 school year is used in the calculation of the
2854	2854	4 member's final average salary shall use the higher of the
2855	2855	5 following for the purpose of determining the member's final
2856	2856	6 average salary:
2857	2857	7 (A) the amount otherwise calculated under the first
2858	2858	8 paragraph of this subsection; or
2859	2859	9 (B) an amount calculated by the Teachers' Retirement
2860	2860	10 System of the State of Illinois using the average of the
2861	2861	11 monthly (or annual) salary obtained by dividing the total
2862	2862	12 salary or earnings calculated under Article 16 applicable
2863	2863	13 to the member or participant during the 96 months (or 8
2864	2864	14 years) of service within the last 120 months (or 10 years)
2865	2865	15 of service in which the total salary or earnings
2866	2866	16 calculated under the Article was the highest by the number
2867	2867	17 of months (or years) of service in that period.
2868	2868	18 (b-5) Beginning on January 1, 2011, for all purposes under
2869	2869	19 this Code (including without limitation the calculation of
2870	2870	20 benefits and employee contributions), the annual earnings,
2871	2871	21 salary, or wages (based on the plan year) of a member or
2872	2872	22 participant to whom this Section applies shall not exceed
2873	2873	23 $106,800; however, that amount shall annually thereafter be
2874	2874	24 increased by the lesser of (i) 3% of that amount, including all
2875	2875	25 previous adjustments, or (ii) one-half the annual unadjusted
2876	2876	26 percentage increase (but not less than zero) in the consumer
2877	2877
2878	2878
2879	2879
2880	2880
2881	2881
2882	2882	SB0002 - 80 - LRB104 07746 RPS 17791 b
2883	2883
2884	2884
2885	2885	SB0002- 81 -LRB104 07746 RPS 17791 b SB0002 - 81 - LRB104 07746 RPS 17791 b
2886	2886	SB0002 - 81 - LRB104 07746 RPS 17791 b
2887	2887	1 price index-u for the 12 months ending with the September
2888	2888	2 preceding each November 1, including all previous adjustments.
2889	2889	3 For the purposes of this Section, "consumer price index-u"
2890	2890	4 means the index published by the Bureau of Labor Statistics of
2891	2891	5 the United States Department of Labor that measures the
2892	2892	6 average change in prices of goods and services purchased by
2893	2893	7 all urban consumers, United States city average, all items,
2894	2894	8 1982-84 = 100. The new amount resulting from each annual
2895	2895	9 adjustment shall be determined by the Public Pension Division
2896	2896	10 of the Department of Insurance and made available to the
2897	2897	11 boards of the retirement systems and pension funds by November
2898	2898	12 1 of each year.
2899	2899	13 (b-10) Beginning on January 1, 2024, for all purposes
2900	2900	14 under this Code (including, without limitation, the
2901	2901	15 calculation of benefits and employee contributions), the
2902	2902	16 annual earnings, salary, or wages (based on the plan year) of a
2903	2903	17 member or participant under Article 9 to whom this Section
2904	2904	18 applies shall include an annual earnings, salary, or wage cap
2905	2905	19 that tracks the Social Security wage base. Maximum annual
2906	2906	20 earnings, wages, or salary shall be the annual contribution
2907	2907	21 and benefit base established for the applicable year by the
2908	2908	22 Commissioner of the Social Security Administration under the
2909	2909	23 federal Social Security Act.
2910	2910	24 However, in no event shall the annual earnings, salary, or
2911	2911	25 wages for the purposes of this Article and Article 9 exceed any
2912	2912	26 limitation imposed on annual earnings, salary, or wages under
2913	2913
2914	2914
2915	2915
2916	2916
2917	2917
2918	2918	SB0002 - 81 - LRB104 07746 RPS 17791 b
2919	2919
2920	2920
2921	2921	SB0002- 82 -LRB104 07746 RPS 17791 b SB0002 - 82 - LRB104 07746 RPS 17791 b
2922	2922	SB0002 - 82 - LRB104 07746 RPS 17791 b
2923	2923	1 Section 1-117. Under no circumstances shall the maximum amount
2924	2924	2 of annual earnings, salary, or wages be greater than the
2925	2925	3 amount set forth in this subsection (b-10) as a result of
2926	2926	4 reciprocal service or any provisions regarding reciprocal
2927	2927	5 services, nor shall the Fund under Article 9 be required to pay
2928	2928	6 any refund as a result of the application of this maximum
2929	2929	7 annual earnings, salary, and wage cap.
2930	2930	8 Nothing in this subsection (b-10) shall cause or otherwise
2931	2931	9 result in any retroactive adjustment of any employee
2932	2932	10 contributions. Nothing in this subsection (b-10) shall cause
2933	2933	11 or otherwise result in any retroactive adjustment of
2934	2934	12 disability or other payments made between January 1, 2011 and
2935	2935	13 January 1, 2024.
2936	2936	14 (c) A member or participant is entitled to a retirement
2937	2937	15 annuity upon written application if he or she has attained age
2938	2938	16 67 (age 65, with respect to service under Article 12 that is
2939	2939	17 subject to this Section, for a member or participant under
2940	2940	18 Article 12 who first becomes a member or participant under
2941	2941	19 Article 12 on or after January 1, 2022 or who makes the
2942	2942	20 election under item (i) of subsection (d-15) of this Section)
2943	2943	21 and has at least 10 years of service credit and is otherwise
2944	2944	22 eligible under the requirements of the applicable Article.
2945	2945	23 A member or participant who has attained age 62 (age 60,
2946	2946	24 with respect to service under Article 12 that is subject to
2947	2947	25 this Section, for a member or participant under Article 12 who
2948	2948	26 first becomes a member or participant under Article 12 on or
2949	2949
2950	2950
2951	2951
2952	2952
2953	2953
2954	2954	SB0002 - 82 - LRB104 07746 RPS 17791 b
2955	2955
2956	2956
2957	2957	SB0002- 83 -LRB104 07746 RPS 17791 b SB0002 - 83 - LRB104 07746 RPS 17791 b
2958	2958	SB0002 - 83 - LRB104 07746 RPS 17791 b
2959	2959	1 after January 1, 2022 or who makes the election under item (i)
2960	2960	2 of subsection (d-15) of this Section) and has at least 10 years
2961	2961	3 of service credit and is otherwise eligible under the
2962	2962	4 requirements of the applicable Article may elect to receive
2963	2963	5 the lower retirement annuity provided in subsection (d) of
2964	2964	6 this Section.
2965	2965	7 (c-5) A person who first becomes a member or a participant
2966	2966	8 subject to this Section on or after July 6, 2017 (the effective
2967	2967	9 date of Public Act 100-23), notwithstanding any other
2968	2968	10 provision of this Code to the contrary, is entitled to a
2969	2969	11 retirement annuity under Article 8 or Article 11 upon written
2970	2970	12 application if he or she has attained age 65 and has at least
2971	2971	13 10 years of service credit and is otherwise eligible under the
2972	2972	14 requirements of Article 8 or Article 11 of this Code,
2973	2973	15 whichever is applicable.
2974	2974	16 (d) The retirement annuity of a member or participant who
2975	2975	17 is retiring after attaining age 62 (age 60, with respect to
2976	2976	18 service under Article 12 that is subject to this Section, for a
2977	2977	19 member or participant under Article 12 who first becomes a
2978	2978	20 member or participant under Article 12 on or after January 1,
2979	2979	21 2022 or who makes the election under item (i) of subsection
2980	2980	22 (d-15) of this Section) with at least 10 years of service
2981	2981	23 credit shall be reduced by one-half of 1% for each full month
2982	2982	24 that the member's age is under age 67 (age 65, with respect to
2983	2983	25 service under Article 12 that is subject to this Section, for a
2984	2984	26 member or participant under Article 12 who first becomes a
2985	2985
2986	2986
2987	2987
2988	2988
2989	2989
2990	2990	SB0002 - 83 - LRB104 07746 RPS 17791 b
2991	2991
2992	2992
2993	2993	SB0002- 84 -LRB104 07746 RPS 17791 b SB0002 - 84 - LRB104 07746 RPS 17791 b
2994	2994	SB0002 - 84 - LRB104 07746 RPS 17791 b
2995	2995	1 member or participant under Article 12 on or after January 1,
2996	2996	2 2022 or who makes the election under item (i) of subsection
2997	2997	3 (d-15) of this Section).
2998	2998	4 (d-5) The retirement annuity payable under Article 8 or
2999	2999	5 Article 11 to an eligible person subject to subsection (c-5)
3000	3000	6 of this Section who is retiring at age 60 with at least 10
3001	3001	7 years of service credit shall be reduced by one-half of 1% for
3002	3002	8 each full month that the member's age is under age 65.
3003	3003	9 (d-10) Each person who first became a member or
3004	3004	10 participant under Article 8 or Article 11 of this Code on or
3005	3005	11 after January 1, 2011 and prior to July 6, 2017 (the effective
3006	3006	12 date of Public Act 100-23) shall make an irrevocable election
3007	3007	13 either:
3008	3008	14 (i) to be eligible for the reduced retirement age
3009	3009	15 provided in subsections (c-5) and (d-5) of this Section,
3010	3010	16 the eligibility for which is conditioned upon the member
3011	3011	17 or participant agreeing to the increases in employee
3012	3012	18 contributions for age and service annuities provided in
3013	3013	19 subsection (a-5) of Section 8-174 of this Code (for
3014	3014	20 service under Article 8) or subsection (a-5) of Section
3015	3015	21 11-170 of this Code (for service under Article 11); or
3016	3016	22 (ii) to not agree to item (i) of this subsection
3017	3017	23 (d-10), in which case the member or participant shall
3018	3018	24 continue to be subject to the retirement age provisions in
3019	3019	25 subsections (c) and (d) of this Section and the employee
3020	3020	26 contributions for age and service annuity as provided in
3021	3021
3022	3022
3023	3023
3024	3024
3025	3025
3026	3026	SB0002 - 84 - LRB104 07746 RPS 17791 b
3027	3027
3028	3028
3029	3029	SB0002- 85 -LRB104 07746 RPS 17791 b SB0002 - 85 - LRB104 07746 RPS 17791 b
3030	3030	SB0002 - 85 - LRB104 07746 RPS 17791 b
3031	3031	1 subsection (a) of Section 8-174 of this Code (for service
3032	3032	2 under Article 8) or subsection (a) of Section 11-170 of
3033	3033	3 this Code (for service under Article 11).
3034	3034	4 The election provided for in this subsection shall be made
3035	3035	5 between October 1, 2017 and November 15, 2017. A person
3036	3036	6 subject to this subsection who makes the required election
3037	3037	7 shall remain bound by that election. A person subject to this
3038	3038	8 subsection who fails for any reason to make the required
3039	3039	9 election within the time specified in this subsection shall be
3040	3040	10 deemed to have made the election under item (ii).
3041	3041	11 (d-15) Each person who first becomes a member or
3042	3042	12 participant under Article 12 on or after January 1, 2011 and
3043	3043	13 prior to January 1, 2022 shall make an irrevocable election
3044	3044	14 either:
3045	3045	15 (i) to be eligible for the reduced retirement age
3046	3046	16 specified in subsections (c) and (d) of this Section, the
3047	3047	17 eligibility for which is conditioned upon the member or
3048	3048	18 participant agreeing to the increase in employee
3049	3049	19 contributions for service annuities specified in
3050	3050	20 subsection (b) of Section 12-150; or
3051	3051	21 (ii) to not agree to item (i) of this subsection
3052	3052	22 (d-15), in which case the member or participant shall not
3053	3053	23 be eligible for the reduced retirement age specified in
3054	3054	24 subsections (c) and (d) of this Section and shall not be
3055	3055	25 subject to the increase in employee contributions for
3056	3056	26 service annuities specified in subsection (b) of Section
3057	3057
3058	3058
3059	3059
3060	3060
3061	3061
3062	3062	SB0002 - 85 - LRB104 07746 RPS 17791 b
3063	3063
3064	3064
3065	3065	SB0002- 86 -LRB104 07746 RPS 17791 b SB0002 - 86 - LRB104 07746 RPS 17791 b
3066	3066	SB0002 - 86 - LRB104 07746 RPS 17791 b
3067	3067	1 12-150.
3068	3068	2 The election provided for in this subsection shall be made
3069	3069	3 between January 1, 2022 and April 1, 2022. A person subject to
3070	3070	4 this subsection who makes the required election shall remain
3071	3071	5 bound by that election. A person subject to this subsection
3072	3072	6 who fails for any reason to make the required election within
3073	3073	7 the time specified in this subsection shall be deemed to have
3074	3074	8 made the election under item (ii).
3075	3075	9 (e) Any retirement annuity or supplemental annuity shall
3076	3076	10 be subject to annual increases on the January 1 occurring
3077	3077	11 either on or after the attainment of age 67 (age 65, with
3078	3078	12 respect to service under Article 12 that is subject to this
3079	3079	13 Section, for a member or participant under Article 12 who
3080	3080	14 first becomes a member or participant under Article 12 on or
3081	3081	15 after January 1, 2022 or who makes the election under item (i)
3082	3082	16 of subsection (d-15); and beginning on July 6, 2017 (the
3083	3083	17 effective date of Public Act 100-23), age 65 with respect to
3084	3084	18 service under Article 8 or Article 11 for eligible persons
3085	3085	19 who: (i) are subject to subsection (c-5) of this Section; or
3086	3086	20 (ii) made the election under item (i) of subsection (d-10) of
3087	3087	21 this Section) or the first anniversary of the annuity start
3088	3088	22 date, whichever is later. Each annual increase shall be
3089	3089	23 calculated at 3% or one-half the annual unadjusted percentage
3090	3090	24 increase (but not less than zero) in the consumer price
3091	3091	25 index-u for the 12 months ending with the September preceding
3092	3092	26 each November 1, whichever is less, of the originally granted
3093	3093
3094	3094
3095	3095
3096	3096
3097	3097
3098	3098	SB0002 - 86 - LRB104 07746 RPS 17791 b
3099	3099
3100	3100
3101	3101	SB0002- 87 -LRB104 07746 RPS 17791 b SB0002 - 87 - LRB104 07746 RPS 17791 b
3102	3102	SB0002 - 87 - LRB104 07746 RPS 17791 b
3103	3103	1 retirement annuity. If the annual unadjusted percentage change
3104	3104	2 in the consumer price index-u for the 12 months ending with the
3105	3105	3 September preceding each November 1 is zero or there is a
3106	3106	4 decrease, then the annuity shall not be increased.
3107	3107	5 For the purposes of Section 1-103.1 of this Code, the
3108	3108	6 changes made to this Section by Public Act 102-263 are
3109	3109	7 applicable without regard to whether the employee was in
3110	3110	8 active service on or after August 6, 2021 (the effective date
3111	3111	9 of Public Act 102-263).
3112	3112	10 For the purposes of Section 1-103.1 of this Code, the
3113	3113	11 changes made to this Section by Public Act 100-23 are
3114	3114	12 applicable without regard to whether the employee was in
3115	3115	13 active service on or after July 6, 2017 (the effective date of
3116	3116	14 Public Act 100-23).
3117	3117	15 (f) The initial survivor's or widow's annuity of an
3118	3118	16 otherwise eligible survivor or widow of a retired member or
3119	3119	17 participant who first became a member or participant on or
3120	3120	18 after January 1, 2011 shall be in the amount of 66 2/3% of the
3121	3121	19 retired member's or participant's retirement annuity at the
3122	3122	20 date of death. In the case of the death of a member or
3123	3123	21 participant who has not retired and who first became a member
3124	3124	22 or participant on or after January 1, 2011, eligibility for a
3125	3125	23 survivor's or widow's annuity shall be determined by the
3126	3126	24 applicable Article of this Code. The initial benefit shall be
3127	3127	25 66 2/3% of the earned annuity without a reduction due to age. A
3128	3128	26 child's annuity of an otherwise eligible child shall be in the
3129	3129
3130	3130
3131	3131
3132	3132
3133	3133
3134	3134	SB0002 - 87 - LRB104 07746 RPS 17791 b
3135	3135
3136	3136
3137	3137	SB0002- 88 -LRB104 07746 RPS 17791 b SB0002 - 88 - LRB104 07746 RPS 17791 b
3138	3138	SB0002 - 88 - LRB104 07746 RPS 17791 b
3139	3139	1 amount prescribed under each Article if applicable. Any
3140	3140	2 survivor's or widow's annuity shall be increased (1) on each
3141	3141	3 January 1 occurring on or after the commencement of the
3142	3142	4 annuity if the deceased member died while receiving a
3143	3143	5 retirement annuity or (2) in other cases, on each January 1
3144	3144	6 occurring after the first anniversary of the commencement of
3145	3145	7 the annuity. Each annual increase shall be calculated at 3% or
3146	3146	8 one-half the annual unadjusted percentage increase (but not
3147	3147	9 less than zero) in the consumer price index-u for the 12 months
3148	3148	10 ending with the September preceding each November 1, whichever
3149	3149	11 is less, of the originally granted survivor's annuity. If the
3150	3150	12 annual unadjusted percentage change in the consumer price
3151	3151	13 index-u for the 12 months ending with the September preceding
3152	3152	14 each November 1 is zero or there is a decrease, then the
3153	3153	15 annuity shall not be increased.
3154	3154	16 (g) The benefits in Section 14-110 apply only if the
3155	3155	17 person is a State policeman, a fire fighter in the fire
3156	3156	18 protection service of a department, a conservation police
3157	3157	19 officer, an investigator for the Secretary of State, an arson
3158	3158	20 investigator, a Commerce Commission police officer,
3159	3159	21 investigator for the Department of Revenue or the Illinois
3160	3160	22 Gaming Board, a security employee of the Department of
3161	3161	23 Corrections or the Department of Juvenile Justice, or a
3162	3162	24 security employee of the Department of Innovation and
3163	3163	25 Technology, as those terms are defined in subsection (b) and
3164	3164	26 subsection (c) of Section 14-110. A person who meets the
3165	3165
3166	3166
3167	3167
3168	3168
3169	3169
3170	3170	SB0002 - 88 - LRB104 07746 RPS 17791 b
3171	3171
3172	3172
3173	3173	SB0002- 89 -LRB104 07746 RPS 17791 b SB0002 - 89 - LRB104 07746 RPS 17791 b
3174	3174	SB0002 - 89 - LRB104 07746 RPS 17791 b
3175	3175	1 requirements of this Section is entitled to an annuity
3176	3176	2 calculated under the provisions of Section 14-110, in lieu of
3177	3177	3 the regular or minimum retirement annuity, only if the person
3178	3178	4 has withdrawn from service with not less than 20 years of
3179	3179	5 eligible creditable service and has attained age 60,
3180	3180	6 regardless of whether the attainment of age 60 occurs while
3181	3181	7 the person is still in service.
3182	3182	8 (h) If a person who first becomes a member or a participant
3183	3183	9 of a retirement system or pension fund subject to this Section
3184	3184	10 on or after January 1, 2011 is receiving a retirement annuity
3185	3185	11 or retirement pension under that system or fund and becomes a
3186	3186	12 member or participant under any other system or fund created
3187	3187	13 by this Code and is employed on a full-time basis, except for
3188	3188	14 those members or participants exempted from the provisions of
3189	3189	15 this Section under subsection (a) of this Section, then the
3190	3190	16 person's retirement annuity or retirement pension under that
3191	3191	17 system or fund shall be suspended during that employment. Upon
3192	3192	18 termination of that employment, the person's retirement
3193	3193	19 annuity or retirement pension payments shall resume and be
3194	3194	20 recalculated if recalculation is provided for under the
3195	3195	21 applicable Article of this Code.
3196	3196	22 If a person who first becomes a member of a retirement
3197	3197	23 system or pension fund subject to this Section on or after
3198	3198	24 January 1, 2012 and is receiving a retirement annuity or
3199	3199	25 retirement pension under that system or fund and accepts on a
3200	3200	26 contractual basis a position to provide services to a
3201	3201
3202	3202
3203	3203
3204	3204
3205	3205
3206	3206	SB0002 - 89 - LRB104 07746 RPS 17791 b
3207	3207
3208	3208
3209	3209	SB0002- 90 -LRB104 07746 RPS 17791 b SB0002 - 90 - LRB104 07746 RPS 17791 b
3210	3210	SB0002 - 90 - LRB104 07746 RPS 17791 b
3211	3211	1 governmental entity from which he or she has retired, then
3212	3212	2 that person's annuity or retirement pension earned as an
3213	3213	3 active employee of the employer shall be suspended during that
3214	3214	4 contractual service. A person receiving an annuity or
3215	3215	5 retirement pension under this Code shall notify the pension
3216	3216	6 fund or retirement system from which he or she is receiving an
3217	3217	7 annuity or retirement pension, as well as his or her
3218	3218	8 contractual employer, of his or her retirement status before
3219	3219	9 accepting contractual employment. A person who fails to submit
3220	3220	10 such notification shall be guilty of a Class A misdemeanor and
3221	3221	11 required to pay a fine of $1,000. Upon termination of that
3222	3222	12 contractual employment, the person's retirement annuity or
3223	3223	13 retirement pension payments shall resume and, if appropriate,
3224	3224	14 be recalculated under the applicable provisions of this Code.
3225	3225	15 (i) (Blank).
3226	3226	16 (j) In the case of a conflict between the provisions of
3227	3227	17 this Section and any other provision of this Code, the
3228	3228	18 provisions of this Section shall control.
3229	3229	19 (Source: P.A. 101-610, eff. 1-1-20; 102-16, eff. 6-17-21;
3230	3230	20 102-210, eff. 1-1-22; 102-263, eff. 8-6-21; 102-813, eff.
3231	3231	21 5-13-22.)
3232	3232	22 (Text of Section from P.A. 102-956)
3233	3233	23 Sec. 1-160. Provisions applicable to new hires.
3234	3234	24 (a) The provisions of this Section apply to a person who,
3235	3235	25 on or after January 1, 2011, first becomes a member or a
3236	3236
3237	3237
3238	3238
3239	3239
3240	3240
3241	3241	SB0002 - 90 - LRB104 07746 RPS 17791 b
3242	3242
3243	3243
3244	3244	SB0002- 91 -LRB104 07746 RPS 17791 b SB0002 - 91 - LRB104 07746 RPS 17791 b
3245	3245	SB0002 - 91 - LRB104 07746 RPS 17791 b
3246	3246	1 participant under any reciprocal retirement system or pension
3247	3247	2 fund established under this Code, other than a retirement
3248	3248	3 system or pension fund established under Article 2, 3, 4, 5, 6,
3249	3249	4 7, 15, or 18 of this Code, notwithstanding any other provision
3250	3250	5 of this Code to the contrary, but do not apply to any
3251	3251	6 self-managed plan established under this Code or to any
3252	3252	7 participant of the retirement plan established under Section
3253	3253	8 22-101; except that this Section applies to a person who
3254	3254	9 elected to establish alternative credits by electing in
3255	3255	10 writing after January 1, 2011, but before August 8, 2011,
3256	3256	11 under Section 7-145.1 of this Code. Notwithstanding anything
3257	3257	12 to the contrary in this Section, for purposes of this Section,
3258	3258	13 a person who is a Tier 1 regular employee as defined in Section
3259	3259	14 7-109.4 of this Code or who participated in a retirement
3260	3260	15 system under Article 15 prior to January 1, 2011 shall be
3261	3261	16 deemed a person who first became a member or participant prior
3262	3262	17 to January 1, 2011 under any retirement system or pension fund
3263	3263	18 subject to this Section. The changes made to this Section by
3264	3264	19 Public Act 98-596 are a clarification of existing law and are
3265	3265	20 intended to be retroactive to January 1, 2011 (the effective
3266	3266	21 date of Public Act 96-889), notwithstanding the provisions of
3267	3267	22 Section 1-103.1 of this Code.
3268	3268	23 This Section does not apply to a person who first becomes a
3269	3269	24 noncovered employee under Article 14 on or after the
3270	3270	25 implementation date of the plan created under Section 1-161
3271	3271	26 for that Article, unless that person elects under subsection
3272	3272
3273	3273
3274	3274
3275	3275
3276	3276
3277	3277	SB0002 - 91 - LRB104 07746 RPS 17791 b
3278	3278
3279	3279
3280	3280	SB0002- 92 -LRB104 07746 RPS 17791 b SB0002 - 92 - LRB104 07746 RPS 17791 b
3281	3281	SB0002 - 92 - LRB104 07746 RPS 17791 b
3282	3282	1 (b) of Section 1-161 to instead receive the benefits provided
3283	3283	2 under this Section and the applicable provisions of that
3284	3284	3 Article.
3285	3285	4 This Section does not apply to a person who first becomes a
3286	3286	5 member or participant under Article 16 on or after the
3287	3287	6 implementation date of the plan created under Section 1-161
3288	3288	7 for that Article, unless that person elects under subsection
3289	3289	8 (b) of Section 1-161 to instead receive the benefits provided
3290	3290	9 under this Section and the applicable provisions of that
3291	3291	10 Article.
3292	3292	11 This Section does not apply to a person who elects under
3293	3293	12 subsection (c-5) of Section 1-161 to receive the benefits
3294	3294	13 under Section 1-161.
3295	3295	14 This Section does not apply to a person who first becomes a
3296	3296	15 member or participant of an affected pension fund on or after 6
3297	3297	16 months after the resolution or ordinance date, as defined in
3298	3298	17 Section 1-162, unless that person elects under subsection (c)
3299	3299	18 of Section 1-162 to receive the benefits provided under this
3300	3300	19 Section and the applicable provisions of the Article under
3301	3301	20 which he or she is a member or participant.
3302	3302	21 (a-5) In this Section, "affected member or participant"
3303	3303	22 means a member or participant to whom this Section applies and
3304	3304	23 who is an active member or participant on or after January 1,
3305	3305	24 2026; except that "affected member or participant" does not
3306	3306	25 include a member or participant under Article 22.
3307	3307	26 (b) For a person who is not an affected member or
3308	3308
3309	3309
3310	3310
3311	3311
3312	3312
3313	3313	SB0002 - 92 - LRB104 07746 RPS 17791 b
3314	3314
3315	3315
3316	3316	SB0002- 93 -LRB104 07746 RPS 17791 b SB0002 - 93 - LRB104 07746 RPS 17791 b
3317	3317	SB0002 - 93 - LRB104 07746 RPS 17791 b
3318	3318	1 participant, "final "Final average salary" means, except as
3319	3319	2 otherwise provided in this subsection, the average monthly (or
3320	3320	3 annual) salary obtained by dividing the total salary or
3321	3321	4 earnings calculated under the Article applicable to the member
3322	3322	5 or participant during the 96 consecutive months (or 8
3323	3323	6 consecutive years) of service within the last 120 months (or
3324	3324	7 10 years) of service in which the total salary or earnings
3325	3325	8 calculated under the applicable Article was the highest by the
3326	3326	9 number of months (or years) of service in that period. For the
3327	3327	10 purposes of a person who is not an affected member or
3328	3328	11 participant first becomes a member or participant of any
3329	3329	12 retirement system or pension fund to which this Section
3330	3330	13 applies on or after January 1, 2011, in this Code, "final
3331	3331	14 average salary" shall be substituted for the following:
3332	3332	15 (1) (Blank).
3333	3333	16 (2) In Articles 8, 9, 10, 11, and 12, "highest average
3334	3334	17 annual salary for any 4 consecutive years within the last
3335	3335	18 10 years of service immediately preceding the date of
3336	3336	19 withdrawal".
3337	3337	20 (3) In Article 13, "average final salary".
3338	3338	21 (4) In Article 14, "final average compensation".
3339	3339	22 (5) In Article 17, "average salary".
3340	3340	23 (6) In Section 22-207, "wages or salary received by
3341	3341	24 him at the date of retirement or discharge".
3342	3342	25 For an affected member or participant, "final average
3343	3343	26 salary" means:
3344	3344
3345	3345
3346	3346
3347	3347
3348	3348
3349	3349	SB0002 - 93 - LRB104 07746 RPS 17791 b
3350	3350
3351	3351
3352	3352	SB0002- 94 -LRB104 07746 RPS 17791 b SB0002 - 94 - LRB104 07746 RPS 17791 b
3353	3353	SB0002 - 94 - LRB104 07746 RPS 17791 b
3354	3354	1 (1) For Articles 8, 9, 10, 11, and 12, the highest
3355	3355	2 average annual salary for any 4 consecutive years within
3356	3356	3 the last 10 years of service immediately preceding the
3357	3357	4 date of withdrawal.
3358	3358	5 (2) For Article 13, the highest average monthly salary
3359	3359	6 as calculated by accumulating the salary for the highest
3360	3360	7 520 consecutive paid days of service within the last 10
3361	3361	8 years of service immediately preceding the date of
3362	3362	9 retirement and dividing by 24. If the employee is paid for
3363	3363	10 any portion of a workday, the fraction of the day worked
3364	3364	11 and the salary for that fraction of the day shall be
3365	3365	12 counted in accordance with the administrative rules of the
3366	3366	13 Fund established under Article 13.
3367	3367	14 (3) For Article 14, unless the member or participant
3368	3368	15 is entitled to an annuity under Section 14-110 and has at
3369	3369	16 least 20 years of eligible creditable service as defined
3370	3370	17 in Section 14-110, the monthly compensation obtained by
3371	3371	18 dividing the total compensation of an employee during the
3372	3372	19 period of: (1) the 48 consecutive months of service within
3373	3373	20 the last 120 months of service in which the total
3374	3374	21 compensation was the highest or (2) the total period of
3375	3375	22 service, if less than 48 months, by the number of months of
3376	3376	23 service in such period; however, for purposes of a
3377	3377	24 retirement annuity, the average compensation for the last
3378	3378	25 12 months of the 48-month period shall not exceed the
3379	3379	26 final average compensation by more than 25%.
3380	3380
3381	3381
3382	3382
3383	3383
3384	3384
3385	3385	SB0002 - 94 - LRB104 07746 RPS 17791 b
3386	3386
3387	3387
3388	3388	SB0002- 95 -LRB104 07746 RPS 17791 b SB0002 - 95 - LRB104 07746 RPS 17791 b
3389	3389	SB0002 - 95 - LRB104 07746 RPS 17791 b
3390	3390	1 (4) For Article 14, if the member or participant is
3391	3391	2 entitled to an annuity under Section 14-110 and has at
3392	3392	3 least 20 years of eligible creditable service as defined
3393	3393	4 in Section 14-110, the monthly rate of compensation
3394	3394	5 received by the member or participant on the last day of
3395	3395	6 eligible creditable service (but not to exceed 115% of the
3396	3396	7 average monthly compensation received by the member or
3397	3397	8 participant for the last 24 months of service) or the
3398	3398	9 average monthly compensation received by the member or
3399	3399	10 participant for the last 48 months of service prior to
3400	3400	11 retirement, whichever is greater.
3401	3401	12 (5) For Article 17, the average annual rate of salary
3402	3402	13 for the 4 consecutive years of validated service within
3403	3403	14 the last 10 years of service when such average annual rate
3404	3404	15 was highest.
3405	3405	16 A member of the Teachers' Retirement System of the State
3406	3406	17 of Illinois who retires on or after June 1, 2021 and for whom
3407	3407	18 the 2020-2021 school year is used in the calculation of the
3408	3408	19 member's final average salary shall use the higher of the
3409	3409	20 following for the purpose of determining the member's final
3410	3410	21 average salary:
3411	3411	22 (A) the amount otherwise calculated under the first
3412	3412	23 paragraph of this subsection; or
3413	3413	24 (B) an amount calculated by the Teachers' Retirement
3414	3414	25 System of the State of Illinois using the average of the
3415	3415	26 monthly (or annual) salary obtained by dividing the total
3416	3416
3417	3417
3418	3418
3419	3419
3420	3420
3421	3421	SB0002 - 95 - LRB104 07746 RPS 17791 b
3422	3422
3423	3423
3424	3424	SB0002- 96 -LRB104 07746 RPS 17791 b SB0002 - 96 - LRB104 07746 RPS 17791 b
3425	3425	SB0002 - 96 - LRB104 07746 RPS 17791 b
3426	3426	1 salary or earnings calculated under Article 16 applicable
3427	3427	2 to the member or participant during the 96 months (or 8
3428	3428	3 years) of service within the last 120 months (or 10 years)
3429	3429	4 of service in which the total salary or earnings
3430	3430	5 calculated under the Article was the highest by the number
3431	3431	6 of months (or years) of service in that period.
3432	3432	7 (b-5) Beginning on January 1, 2011, for all purposes under
3433	3433	8 this Code (including without limitation the calculation of
3434	3434	9 benefits and employee contributions), the annual earnings,
3435	3435	10 salary, or wages (based on the plan year) of a member or
3436	3436	11 participant to whom this Section applies shall not exceed
3437	3437	12 $106,800; however, that amount shall annually thereafter be
3438	3438	13 increased by the lesser of (i) 3% of that amount, including all
3439	3439	14 previous adjustments, or (ii) one-half the annual unadjusted
3440	3440	15 percentage increase (but not less than zero) in the consumer
3441	3441	16 price index-u for the 12 months ending with the September
3442	3442	17 preceding each November 1, including all previous adjustments.
3443	3443	18 For the purposes of this Section, "consumer price index-u"
3444	3444	19 means the index published by the Bureau of Labor Statistics of
3445	3445	20 the United States Department of Labor that measures the
3446	3446	21 average change in prices of goods and services purchased by
3447	3447	22 all urban consumers, United States city average, all items,
3448	3448	23 1982-84 = 100. The new amount resulting from each annual
3449	3449	24 adjustment shall be determined by the Public Pension Division
3450	3450	25 of the Department of Insurance and made available to the
3451	3451	26 boards of the retirement systems and pension funds by November
3452	3452
3453	3453
3454	3454
3455	3455
3456	3456
3457	3457	SB0002 - 96 - LRB104 07746 RPS 17791 b
3458	3458
3459	3459
3460	3460	SB0002- 97 -LRB104 07746 RPS 17791 b SB0002 - 97 - LRB104 07746 RPS 17791 b
3461	3461	SB0002 - 97 - LRB104 07746 RPS 17791 b
3462	3462	1 1 of each year.
3463	3463	2 (b-10) Beginning on January 1, 2024, for all purposes
3464	3464	3 under this Code (including, without limitation, the
3465	3465	4 calculation of benefits and employee contributions), the
3466	3466	5 annual earnings, salary, or wages (based on the plan year) of a
3467	3467	6 member or participant under Article 9 to whom this Section
3468	3468	7 applies shall include an annual earnings, salary, or wage cap
3469	3469	8 that tracks the Social Security wage base. Maximum annual
3470	3470	9 earnings, wages, or salary shall be the annual contribution
3471	3471	10 and benefit base established for the applicable year by the
3472	3472	11 Commissioner of the Social Security Administration under the
3473	3473	12 federal Social Security Act.
3474	3474	13 However, in no event shall the annual earnings, salary, or
3475	3475	14 wages for the purposes of this Article and Article 9 exceed any
3476	3476	15 limitation imposed on annual earnings, salary, or wages under
3477	3477	16 Section 1-117. Under no circumstances shall the maximum amount
3478	3478	17 of annual earnings, salary, or wages be greater than the
3479	3479	18 amount set forth in this subsection (b-10) as a result of
3480	3480	19 reciprocal service or any provisions regarding reciprocal
3481	3481	20 services, nor shall the Fund under Article 9 be required to pay
3482	3482	21 any refund as a result of the application of this maximum
3483	3483	22 annual earnings, salary, and wage cap.
3484	3484	23 Nothing in this subsection (b-10) shall cause or otherwise
3485	3485	24 result in any retroactive adjustment of any employee
3486	3486	25 contributions. Nothing in this subsection (b-10) shall cause
3487	3487	26 or otherwise result in any retroactive adjustment of
3488	3488
3489	3489
3490	3490
3491	3491
3492	3492
3493	3493	SB0002 - 97 - LRB104 07746 RPS 17791 b
3494	3494
3495	3495
3496	3496	SB0002- 98 -LRB104 07746 RPS 17791 b SB0002 - 98 - LRB104 07746 RPS 17791 b
3497	3497	SB0002 - 98 - LRB104 07746 RPS 17791 b
3498	3498	1 disability or other payments made between January 1, 2011 and
3499	3499	2 January 1, 2024.
3500	3500	3 (c) A member or participant is entitled to a retirement
3501	3501	4 annuity upon written application if he or she has attained age
3502	3502	5 67 (age 65, with respect to service under Article 12 that is
3503	3503	6 subject to this Section, for a member or participant under
3504	3504	7 Article 12 who first becomes a member or participant under
3505	3505	8 Article 12 on or after January 1, 2022 or who makes the
3506	3506	9 election under item (i) of subsection (d-15) of this Section)
3507	3507	10 and has at least 10 years of service credit and is otherwise
3508	3508	11 eligible under the requirements of the applicable Article.
3509	3509	12 A member or participant who has attained age 62 (age 60,
3510	3510	13 with respect to service under Article 12 that is subject to
3511	3511	14 this Section, for a member or participant under Article 12 who
3512	3512	15 first becomes a member or participant under Article 12 on or
3513	3513	16 after January 1, 2022 or who makes the election under item (i)
3514	3514	17 of subsection (d-15) of this Section) and has at least 10 years
3515	3515	18 of service credit and is otherwise eligible under the
3516	3516	19 requirements of the applicable Article may elect to receive
3517	3517	20 the lower retirement annuity provided in subsection (d) of
3518	3518	21 this Section.
3519	3519	22 (c-5) A person who first becomes a member or a participant
3520	3520	23 subject to this Section on or after July 6, 2017 (the effective
3521	3521	24 date of Public Act 100-23), notwithstanding any other
3522	3522	25 provision of this Code to the contrary, is entitled to a
3523	3523	26 retirement annuity under Article 8 or Article 11 upon written
3524	3524
3525	3525
3526	3526
3527	3527
3528	3528
3529	3529	SB0002 - 98 - LRB104 07746 RPS 17791 b
3530	3530
3531	3531
3532	3532	SB0002- 99 -LRB104 07746 RPS 17791 b SB0002 - 99 - LRB104 07746 RPS 17791 b
3533	3533	SB0002 - 99 - LRB104 07746 RPS 17791 b
3534	3534	1 application if he or she has attained age 65 and has at least
3535	3535	2 10 years of service credit and is otherwise eligible under the
3536	3536	3 requirements of Article 8 or Article 11 of this Code,
3537	3537	4 whichever is applicable.
3538	3538	5 (d) The retirement annuity of a member or participant who
3539	3539	6 is retiring after attaining age 62 (age 60, with respect to
3540	3540	7 service under Article 12 that is subject to this Section, for a
3541	3541	8 member or participant under Article 12 who first becomes a
3542	3542	9 member or participant under Article 12 on or after January 1,
3543	3543	10 2022 or who makes the election under item (i) of subsection
3544	3544	11 (d-15) of this Section) with at least 10 years of service
3545	3545	12 credit shall be reduced by one-half of 1% for each full month
3546	3546	13 that the member's age is under age 67 (age 65, with respect to
3547	3547	14 service under Article 12 that is subject to this Section, for a
3548	3548	15 member or participant under Article 12 who first becomes a
3549	3549	16 member or participant under Article 12 on or after January 1,
3550	3550	17 2022 or who makes the election under item (i) of subsection
3551	3551	18 (d-15) of this Section).
3552	3552	19 (d-5) The retirement annuity payable under Article 8 or
3553	3553	20 Article 11 to an eligible person subject to subsection (c-5)
3554	3554	21 of this Section who is retiring at age 60 with at least 10
3555	3555	22 years of service credit shall be reduced by one-half of 1% for
3556	3556	23 each full month that the member's age is under age 65.
3557	3557	24 (d-10) Each person who first became a member or
3558	3558	25 participant under Article 8 or Article 11 of this Code on or
3559	3559	26 after January 1, 2011 and prior to July 6, 2017 (the effective
3560	3560
3561	3561
3562	3562
3563	3563
3564	3564
3565	3565	SB0002 - 99 - LRB104 07746 RPS 17791 b
3566	3566
3567	3567
3568	3568	SB0002- 100 -LRB104 07746 RPS 17791 b SB0002 - 100 - LRB104 07746 RPS 17791 b
3569	3569	SB0002 - 100 - LRB104 07746 RPS 17791 b
3570	3570	1 date of Public Act 100-23) shall make an irrevocable election
3571	3571	2 either:
3572	3572	3 (i) to be eligible for the reduced retirement age
3573	3573	4 provided in subsections (c-5) and (d-5) of this Section,
3574	3574	5 the eligibility for which is conditioned upon the member
3575	3575	6 or participant agreeing to the increases in employee
3576	3576	7 contributions for age and service annuities provided in
3577	3577	8 subsection (a-5) of Section 8-174 of this Code (for
3578	3578	9 service under Article 8) or subsection (a-5) of Section
3579	3579	10 11-170 of this Code (for service under Article 11); or
3580	3580	11 (ii) to not agree to item (i) of this subsection
3581	3581	12 (d-10), in which case the member or participant shall
3582	3582	13 continue to be subject to the retirement age provisions in
3583	3583	14 subsections (c) and (d) of this Section and the employee
3584	3584	15 contributions for age and service annuity as provided in
3585	3585	16 subsection (a) of Section 8-174 of this Code (for service
3586	3586	17 under Article 8) or subsection (a) of Section 11-170 of
3587	3587	18 this Code (for service under Article 11).
3588	3588	19 The election provided for in this subsection shall be made
3589	3589	20 between October 1, 2017 and November 15, 2017. A person
3590	3590	21 subject to this subsection who makes the required election
3591	3591	22 shall remain bound by that election. A person subject to this
3592	3592	23 subsection who fails for any reason to make the required
3593	3593	24 election within the time specified in this subsection shall be
3594	3594	25 deemed to have made the election under item (ii).
3595	3595	26 (d-15) Each person who first becomes a member or
3596	3596
3597	3597
3598	3598
3599	3599
3600	3600
3601	3601	SB0002 - 100 - LRB104 07746 RPS 17791 b
3602	3602
3603	3603
3604	3604	SB0002- 101 -LRB104 07746 RPS 17791 b SB0002 - 101 - LRB104 07746 RPS 17791 b
3605	3605	SB0002 - 101 - LRB104 07746 RPS 17791 b
3606	3606	1 participant under Article 12 on or after January 1, 2011 and
3607	3607	2 prior to January 1, 2022 shall make an irrevocable election
3608	3608	3 either:
3609	3609	4 (i) to be eligible for the reduced retirement age
3610	3610	5 specified in subsections (c) and (d) of this Section, the
3611	3611	6 eligibility for which is conditioned upon the member or
3612	3612	7 participant agreeing to the increase in employee
3613	3613	8 contributions for service annuities specified in
3614	3614	9 subsection (b) of Section 12-150; or
3615	3615	10 (ii) to not agree to item (i) of this subsection
3616	3616	11 (d-15), in which case the member or participant shall not
3617	3617	12 be eligible for the reduced retirement age specified in
3618	3618	13 subsections (c) and (d) of this Section and shall not be
3619	3619	14 subject to the increase in employee contributions for
3620	3620	15 service annuities specified in subsection (b) of Section
3621	3621	16 12-150.
3622	3622	17 The election provided for in this subsection shall be made
3623	3623	18 between January 1, 2022 and April 1, 2022. A person subject to
3624	3624	19 this subsection who makes the required election shall remain
3625	3625	20 bound by that election. A person subject to this subsection
3626	3626	21 who fails for any reason to make the required election within
3627	3627	22 the time specified in this subsection shall be deemed to have
3628	3628	23 made the election under item (ii).
3629	3629	24 (e) Any retirement annuity or supplemental annuity shall
3630	3630	25 be subject to annual increases on the January 1 occurring
3631	3631	26 either on or after the attainment of age 67 (age 65, with
3632	3632
3633	3633
3634	3634
3635	3635
3636	3636
3637	3637	SB0002 - 101 - LRB104 07746 RPS 17791 b
3638	3638
3639	3639
3640	3640	SB0002- 102 -LRB104 07746 RPS 17791 b SB0002 - 102 - LRB104 07746 RPS 17791 b
3641	3641	SB0002 - 102 - LRB104 07746 RPS 17791 b
3642	3642	1 respect to service under Article 12 that is subject to this
3643	3643	2 Section, for a member or participant under Article 12 who
3644	3644	3 first becomes a member or participant under Article 12 on or
3645	3645	4 after January 1, 2022 or who makes the election under item (i)
3646	3646	5 of subsection (d-15); and beginning on July 6, 2017 (the
3647	3647	6 effective date of Public Act 100-23), age 65 with respect to
3648	3648	7 service under Article 8 or Article 11 for eligible persons
3649	3649	8 who: (i) are subject to subsection (c-5) of this Section; or
3650	3650	9 (ii) made the election under item (i) of subsection (d-10) of
3651	3651	10 this Section) or the first anniversary of the annuity start
3652	3652	11 date, whichever is later. Each annual increase shall be
3653	3653	12 calculated at 3% or one-half the annual unadjusted percentage
3654	3654	13 increase (but not less than zero) in the consumer price
3655	3655	14 index-u for the 12 months ending with the September preceding
3656	3656	15 each November 1, whichever is less, of the originally granted
3657	3657	16 retirement annuity. If the annual unadjusted percentage change
3658	3658	17 in the consumer price index-u for the 12 months ending with the
3659	3659	18 September preceding each November 1 is zero or there is a
3660	3660	19 decrease, then the annuity shall not be increased.
3661	3661	20 For the purposes of Section 1-103.1 of this Code, the
3662	3662	21 changes made to this Section by Public Act 102-263 are
3663	3663	22 applicable without regard to whether the employee was in
3664	3664	23 active service on or after August 6, 2021 (the effective date
3665	3665	24 of Public Act 102-263).
3666	3666	25 For the purposes of Section 1-103.1 of this Code, the
3667	3667	26 changes made to this Section by Public Act 100-23 are
3668	3668
3669	3669
3670	3670
3671	3671
3672	3672
3673	3673	SB0002 - 102 - LRB104 07746 RPS 17791 b
3674	3674
3675	3675
3676	3676	SB0002- 103 -LRB104 07746 RPS 17791 b SB0002 - 103 - LRB104 07746 RPS 17791 b
3677	3677	SB0002 - 103 - LRB104 07746 RPS 17791 b
3678	3678	1 applicable without regard to whether the employee was in
3679	3679	2 active service on or after July 6, 2017 (the effective date of
3680	3680	3 Public Act 100-23).
3681	3681	4 (f) The initial survivor's or widow's annuity of an
3682	3682	5 otherwise eligible survivor or widow of a retired member or
3683	3683	6 participant who first became a member or participant on or
3684	3684	7 after January 1, 2011 shall be in the amount of 66 2/3% of the
3685	3685	8 retired member's or participant's retirement annuity at the
3686	3686	9 date of death. In the case of the death of a member or
3687	3687	10 participant who has not retired and who first became a member
3688	3688	11 or participant on or after January 1, 2011, eligibility for a
3689	3689	12 survivor's or widow's annuity shall be determined by the
3690	3690	13 applicable Article of this Code. The initial benefit shall be
3691	3691	14 66 2/3% of the earned annuity without a reduction due to age. A
3692	3692	15 child's annuity of an otherwise eligible child shall be in the
3693	3693	16 amount prescribed under each Article if applicable. Any
3694	3694	17 survivor's or widow's annuity shall be increased (1) on each
3695	3695	18 January 1 occurring on or after the commencement of the
3696	3696	19 annuity if the deceased member died while receiving a
3697	3697	20 retirement annuity or (2) in other cases, on each January 1
3698	3698	21 occurring after the first anniversary of the commencement of
3699	3699	22 the annuity. Each annual increase shall be calculated at 3% or
3700	3700	23 one-half the annual unadjusted percentage increase (but not
3701	3701	24 less than zero) in the consumer price index-u for the 12 months
3702	3702	25 ending with the September preceding each November 1, whichever
3703	3703	26 is less, of the originally granted survivor's annuity. If the
3704	3704
3705	3705
3706	3706
3707	3707
3708	3708
3709	3709	SB0002 - 103 - LRB104 07746 RPS 17791 b
3710	3710
3711	3711
3712	3712	SB0002- 104 -LRB104 07746 RPS 17791 b SB0002 - 104 - LRB104 07746 RPS 17791 b
3713	3713	SB0002 - 104 - LRB104 07746 RPS 17791 b
3714	3714	1 annual unadjusted percentage change in the consumer price
3715	3715	2 index-u for the 12 months ending with the September preceding
3716	3716	3 each November 1 is zero or there is a decrease, then the
3717	3717	4 annuity shall not be increased.
3718	3718	5 (g) The benefits in Section 14-110 apply only if the
3719	3719	6 person is a State policeman, a fire fighter in the fire
3720	3720	7 protection service of a department, a conservation police
3721	3721	8 officer, an investigator for the Secretary of State, an
3722	3722	9 investigator for the Office of the Attorney General, an arson
3723	3723	10 investigator, a Commerce Commission police officer,
3724	3724	11 investigator for the Department of Revenue or the Illinois
3725	3725	12 Gaming Board, a security employee of the Department of
3726	3726	13 Corrections or the Department of Juvenile Justice, or a
3727	3727	14 security employee of the Department of Innovation and
3728	3728	15 Technology, as those terms are defined in subsection (b) and
3729	3729	16 subsection (c) of Section 14-110. A person who meets the
3730	3730	17 requirements of this Section is entitled to an annuity
3731	3731	18 calculated under the provisions of Section 14-110, in lieu of
3732	3732	19 the regular or minimum retirement annuity, only if the person
3733	3733	20 has withdrawn from service with not less than 20 years of
3734	3734	21 eligible creditable service and has attained age 60,
3735	3735	22 regardless of whether the attainment of age 60 occurs while
3736	3736	23 the person is still in service.
3737	3737	24 (h) If a person who first becomes a member or a participant
3738	3738	25 of a retirement system or pension fund subject to this Section
3739	3739	26 on or after January 1, 2011 is receiving a retirement annuity
3740	3740
3741	3741
3742	3742
3743	3743
3744	3744
3745	3745	SB0002 - 104 - LRB104 07746 RPS 17791 b
3746	3746
3747	3747
3748	3748	SB0002- 105 -LRB104 07746 RPS 17791 b SB0002 - 105 - LRB104 07746 RPS 17791 b
3749	3749	SB0002 - 105 - LRB104 07746 RPS 17791 b
3750	3750	1 or retirement pension under that system or fund and becomes a
3751	3751	2 member or participant under any other system or fund created
3752	3752	3 by this Code and is employed on a full-time basis, except for
3753	3753	4 those members or participants exempted from the provisions of
3754	3754	5 this Section under subsection (a) of this Section, then the
3755	3755	6 person's retirement annuity or retirement pension under that
3756	3756	7 system or fund shall be suspended during that employment. Upon
3757	3757	8 termination of that employment, the person's retirement
3758	3758	9 annuity or retirement pension payments shall resume and be
3759	3759	10 recalculated if recalculation is provided for under the
3760	3760	11 applicable Article of this Code.
3761	3761	12 If a person who first becomes a member of a retirement
3762	3762	13 system or pension fund subject to this Section on or after
3763	3763	14 January 1, 2012 and is receiving a retirement annuity or
3764	3764	15 retirement pension under that system or fund and accepts on a
3765	3765	16 contractual basis a position to provide services to a
3766	3766	17 governmental entity from which he or she has retired, then
3767	3767	18 that person's annuity or retirement pension earned as an
3768	3768	19 active employee of the employer shall be suspended during that
3769	3769	20 contractual service. A person receiving an annuity or
3770	3770	21 retirement pension under this Code shall notify the pension
3771	3771	22 fund or retirement system from which he or she is receiving an
3772	3772	23 annuity or retirement pension, as well as his or her
3773	3773	24 contractual employer, of his or her retirement status before
3774	3774	25 accepting contractual employment. A person who fails to submit
3775	3775	26 such notification shall be guilty of a Class A misdemeanor and
3776	3776
3777	3777
3778	3778
3779	3779
3780	3780
3781	3781	SB0002 - 105 - LRB104 07746 RPS 17791 b
3782	3782
3783	3783
3784	3784	SB0002- 106 -LRB104 07746 RPS 17791 b SB0002 - 106 - LRB104 07746 RPS 17791 b
3785	3785	SB0002 - 106 - LRB104 07746 RPS 17791 b
3786	3786	1 required to pay a fine of $1,000. Upon termination of that
3787	3787	2 contractual employment, the person's retirement annuity or
3788	3788	3 retirement pension payments shall resume and, if appropriate,
3789	3789	4 be recalculated under the applicable provisions of this Code.
3790	3790	5 (i) (Blank).
3791	3791	6 (j) In the case of a conflict between the provisions of
3792	3792	7 this Section and any other provision of this Code, the
3793	3793	8 provisions of this Section shall control.
3794	3794	9 (Source: P.A. 102-16, eff. 6-17-21; 102-210, eff. 1-1-22;
3795	3795	10 102-263, eff. 8-6-21; 102-956, eff. 5-27-22; 103-529, eff.
3796	3796	11 8-11-23.)
3797	3797	12 (40 ILCS 5/2-108.1) (from Ch. 108 1/2, par. 2-108.1)
3798	3798	13 (Text of Section WITHOUT the changes made by P.A. 98-599,
3799	3799	14 which has been held unconstitutional)
3800	3800	15 Sec. 2-108.1. Highest salary for annuity purposes.
3801	3801	16 (a) "Highest salary for annuity purposes" means whichever
3802	3802	17 of the following is applicable to the participant:
3803	3803	18 For a participant who first becomes a participant of this
3804	3804	19 System before August 10, 2009 (the effective date of Public
3805	3805	20 Act 96-207):
3806	3806	21 (1) For a participant who is a member of the General
3807	3807	22 Assembly on his or her last day of service: the highest
3808	3808	23 salary that is prescribed by law, on the participant's
3809	3809	24 last day of service, for a member of the General Assembly
3810	3810	25 who is not an officer; plus, if the participant was
3811	3811
3812	3812
3813	3813
3814	3814
3815	3815
3816	3816	SB0002 - 106 - LRB104 07746 RPS 17791 b
3817	3817
3818	3818
3819	3819	SB0002- 107 -LRB104 07746 RPS 17791 b SB0002 - 107 - LRB104 07746 RPS 17791 b
3820	3820	SB0002 - 107 - LRB104 07746 RPS 17791 b
3821	3821	1 elected or appointed to serve as an officer of the General
3822	3822	2 Assembly for 2 or more years and has made contributions as
3823	3823	3 required under subsection (d) of Section 2-126, the
3824	3824	4 highest additional amount of compensation prescribed by
3825	3825	5 law, at the time of the participant's service as an
3826	3826	6 officer, for members of the General Assembly who serve in
3827	3827	7 that office.
3828	3828	8 (2) For a participant who holds one of the State
3829	3829	9 executive offices specified in Section 2-105 on his or her
3830	3830	10 last day of service: the highest salary prescribed by law
3831	3831	11 for service in that office on the participant's last day
3832	3832	12 of service.
3833	3833	13 (3) For a participant who is Clerk or Assistant Clerk
3834	3834	14 of the House of Representatives or Secretary or Assistant
3835	3835	15 Secretary of the Senate on his or her last day of service:
3836	3836	16 the salary received for service in that capacity on the
3837	3837	17 last day of service, but not to exceed the highest salary
3838	3838	18 (including additional compensation for service as an
3839	3839	19 officer) that is prescribed by law on the participant's
3840	3840	20 last day of service for the highest paid officer of the
3841	3841	21 General Assembly.
3842	3842	22 (4) For a participant who is a continuing participant
3843	3843	23 under Section 2-117.1 on his or her last day of service:
3844	3844	24 the salary received for service in that capacity on the
3845	3845	25 last day of service, but not to exceed the highest salary
3846	3846	26 (including additional compensation for service as an
3847	3847
3848	3848
3849	3849
3850	3850
3851	3851
3852	3852	SB0002 - 107 - LRB104 07746 RPS 17791 b
3853	3853
3854	3854
3855	3855	SB0002- 108 -LRB104 07746 RPS 17791 b SB0002 - 108 - LRB104 07746 RPS 17791 b
3856	3856	SB0002 - 108 - LRB104 07746 RPS 17791 b
3857	3857	1 officer) that is prescribed by law on the participant's
3858	3858	2 last day of service for the highest paid officer of the
3859	3859	3 General Assembly.
3860	3860	4 For a participant who first becomes a participant of this
3861	3861	5 System on or after August 10, 2009 (the effective date of
3862	3862	6 Public Act 96-207) and before January 1, 2011 (the effective
3863	3863	7 date of Public Act 96-889), the average monthly salary
3864	3864	8 obtained by dividing the total salary of the participant
3865	3865	9 during the period of: (1) the 48 consecutive months of service
3866	3866	10 within the last 120 months of service in which the total
3867	3867	11 compensation was the highest, or (2) the total period of
3868	3868	12 service, if less than 48 months, by the number of months of
3869	3869	13 service in that period.
3870	3870	14 For a participant who first becomes a participant of this
3871	3871	15 System on or after January 1, 2011 (the effective date of
3872	3872	16 Public Act 96-889) and who is not in service on or after
3873	3873	17 January 1, 2026, the average monthly salary obtained by
3874	3874	18 dividing the total salary of the participant during the 96
3875	3875	19 consecutive months of service within the last 120 months of
3876	3876	20 service in which the total compensation was the highest by the
3877	3877	21 number of months of service in that period; however, beginning
3878	3878	22 January 1, 2011, the highest salary for annuity purposes may
3879	3879	23 not exceed $106,800, except that that amount shall annually
3880	3880	24 thereafter be increased by the lesser of (i) 3% of that amount,
3881	3881	25 including all previous adjustments, or (ii) the annual
3882	3882	26 unadjusted percentage increase (but not less than zero) in the
3883	3883
3884	3884
3885	3885
3886	3886
3887	3887
3888	3888	SB0002 - 108 - LRB104 07746 RPS 17791 b
3889	3889
3890	3890
3891	3891	SB0002- 109 -LRB104 07746 RPS 17791 b SB0002 - 109 - LRB104 07746 RPS 17791 b
3892	3892	SB0002 - 109 - LRB104 07746 RPS 17791 b
3893	3893	1 consumer price index-u for the 12 months ending with the
3894	3894	2 September preceding each November 1. "Consumer price index-u"
3895	3895	3 means the index published by the Bureau of Labor Statistics of
3896	3896	4 the United States Department of Labor that measures the
3897	3897	5 average change in prices of goods and services purchased by
3898	3898	6 all urban consumers, United States city average, all items,
3899	3899	7 1982-84 = 100. The new amount resulting from each annual
3900	3900	8 adjustment shall be determined by the Public Pension Division
3901	3901	9 of the Department of Insurance and made available to the Board
3902	3902	10 by November 1 of each year.
3903	3903	11 Subject to any applicable limitation on the highest salary
3904	3904	12 for annuity purposes, for a participant who first becomes a
3905	3905	13 participant of this System on or after January 1, 2011 and who
3906	3906	14 is in service on or after January 1, 2026, "highest salary for
3907	3907	15 annuity purposes" means:
3908	3908	16 (1) For a participant who is a member of the General
3909	3909	17 Assembly on his or her last day of service: the highest
3910	3910	18 salary that is prescribed by law, on the participant's
3911	3911	19 last day of service, for a member of the General Assembly
3912	3912	20 who is not an officer; plus, if the participant was
3913	3913	21 elected or appointed to serve as an officer of the General
3914	3914	22 Assembly for 2 or more years and has made contributions as
3915	3915	23 required under subsection (d) of Section 2-126, the
3916	3916	24 highest additional amount of compensation prescribed by
3917	3917	25 law, at the time of the participant's service as an
3918	3918	26 officer, for members of the General Assembly who serve in
3919	3919
3920	3920
3921	3921
3922	3922
3923	3923
3924	3924	SB0002 - 109 - LRB104 07746 RPS 17791 b
3925	3925
3926	3926
3927	3927	SB0002- 110 -LRB104 07746 RPS 17791 b SB0002 - 110 - LRB104 07746 RPS 17791 b
3928	3928	SB0002 - 110 - LRB104 07746 RPS 17791 b
3929	3929	1 that office.
3930	3930	2 (2) For a participant who holds one of the State
3931	3931	3 executive offices specified in Section 2-105 on his or her
3932	3932	4 last day of service: the highest salary prescribed by law
3933	3933	5 for service in that office on the participant's last day
3934	3934	6 of service.
3935	3935	7 (3) For a participant who is Clerk or Assistant Clerk
3936	3936	8 of the House of Representatives or Secretary or Assistant
3937	3937	9 Secretary of the Senate on his or her last day of service:
3938	3938	10 the salary received for service in that capacity on the
3939	3939	11 last day of service, but not to exceed the highest salary
3940	3940	12 (including additional compensation for service as an
3941	3941	13 officer) that is prescribed by law on the participant's
3942	3942	14 last day of service for the highest paid officer of the
3943	3943	15 General Assembly.
3944	3944	16 (4) For a participant who is a continuing participant
3945	3945	17 under Section 2-117.1 on his or her last day of service:
3946	3946	18 the salary received for service in that capacity on the
3947	3947	19 last day of service, but not to exceed the highest salary
3948	3948	20 (including additional compensation for service as an
3949	3949	21 officer) that is prescribed by law on the participant's
3950	3950	22 last day of service for the highest paid officer of the
3951	3951	23 General Assembly.
3952	3952	24 (b) The earnings limitations of subsection (a) apply to
3953	3953	25 earnings under any other participating system under the
3954	3954	26 Retirement Systems Reciprocal Act that are considered in
3955	3955
3956	3956
3957	3957
3958	3958
3959	3959
3960	3960	SB0002 - 110 - LRB104 07746 RPS 17791 b
3961	3961
3962	3962
3963	3963	SB0002- 111 -LRB104 07746 RPS 17791 b SB0002 - 111 - LRB104 07746 RPS 17791 b
3964	3964	SB0002 - 111 - LRB104 07746 RPS 17791 b
3965	3965	1 calculating a proportional annuity under this Article, except
3966	3966	2 in the case of a person who first became a member of this
3967	3967	3 System before August 22, 1994 and has not, on or after the
3968	3968	4 effective date of this amendatory Act of the 97th General
3969	3969	5 Assembly, irrevocably elected to have those limitations apply.
3970	3970	6 The limitations of subsection (a) shall apply, however, to
3971	3971	7 earnings under any other participating system under the
3972	3972	8 Retirement Systems Reciprocal Act that are considered in
3973	3973	9 calculating the proportional annuity of a person who first
3974	3974	10 became a member of this System before August 22, 1994 if, on or
3975	3975	11 after the effective date of this amendatory Act of the 97th
3976	3976	12 General Assembly, that member irrevocably elects to have those
3977	3977	13 limitations apply.
3978	3978	14 (c) In calculating the subsection (a) earnings limitation
3979	3979	15 to be applied to earnings under any other participating system
3980	3980	16 under the Retirement Systems Reciprocal Act for the purpose of
3981	3981	17 calculating a proportional annuity under this Article, the
3982	3982	18 participant's last day of service shall be deemed to mean the
3983	3983	19 last day of service in any participating system from which the
3984	3984	20 person has applied for a proportional annuity under the
3985	3985	21 Retirement Systems Reciprocal Act.
3986	3986	22 (Source: P.A. 96-207, eff. 8-10-09; 96-889, eff. 1-1-11;
3987	3987	23 96-1490, eff. 1-1-11; 97-967, eff. 8-16-12.)
3988	3988	24 (40 ILCS 5/3-111) (from Ch. 108 1/2, par. 3-111)
3989	3989	25 Sec. 3-111. Pension.
3990	3990
3991	3991
3992	3992
3993	3993
3994	3994
3995	3995	SB0002 - 111 - LRB104 07746 RPS 17791 b
3996	3996
3997	3997
3998	3998	SB0002- 112 -LRB104 07746 RPS 17791 b SB0002 - 112 - LRB104 07746 RPS 17791 b
3999	3999	SB0002 - 112 - LRB104 07746 RPS 17791 b
4000	4000	1 (a) A police officer age 50 or more with 20 or more years
4001	4001	2 of creditable service, who is not a participant in the
4002	4002	3 self-managed plan under Section 3-109.3 and who is no longer
4003	4003	4 in service as a police officer, shall receive a pension of 1/2
4004	4004	5 of the salary attached to the rank held by the officer on the
4005	4005	6 police force for one year immediately prior to retirement or,
4006	4006	7 beginning July 1, 1987 for persons terminating service on or
4007	4007	8 after that date, the salary attached to the rank held on the
4008	4008	9 last day of service or for one year prior to the last day,
4009	4009	10 whichever is greater. The pension shall be increased by 2.5%
4010	4010	11 of such salary for each additional year of service over 20
4011	4011	12 years of service through 30 years of service, to a maximum of
4012	4012	13 75% of such salary.
4013	4013	14 The changes made to this subsection (a) by this amendatory
4014	4014	15 Act of the 91st General Assembly apply to all pensions that
4015	4015	16 become payable under this subsection on or after January 1,
4016	4016	17 1999. All pensions payable under this subsection that began on
4017	4017	18 or after January 1, 1999 and before the effective date of this
4018	4018	19 amendatory Act shall be recalculated, and the amount of the
4019	4019	20 increase accruing for that period shall be payable to the
4020	4020	21 pensioner in a lump sum.
4021	4021	22 (a-5) No pension in effect on or granted after June 30,
4022	4022	23 1973 shall be less than $200 per month. Beginning July 1, 1987,
4023	4023	24 the minimum retirement pension for a police officer having at
4024	4024	25 least 20 years of creditable service shall be $400 per month,
4025	4025	26 without regard to whether or not retirement occurred prior to
4026	4026
4027	4027
4028	4028
4029	4029
4030	4030
4031	4031	SB0002 - 112 - LRB104 07746 RPS 17791 b
4032	4032
4033	4033
4034	4034	SB0002- 113 -LRB104 07746 RPS 17791 b SB0002 - 113 - LRB104 07746 RPS 17791 b
4035	4035	SB0002 - 113 - LRB104 07746 RPS 17791 b
4036	4036	1 that date. If the minimum pension established in Section
4037	4037	2 3-113.1 is greater than the minimum provided in this
4038	4038	3 subsection, the Section 3-113.1 minimum controls.
4039	4039	4 (b) A police officer mandatorily retired from service due
4040	4040	5 to age by operation of law, having at least 8 but less than 20
4041	4041	6 years of creditable service, shall receive a pension equal to
4042	4042	7 2 1/2% of the salary attached to the rank he or she held on the
4043	4043	8 police force for one year immediately prior to retirement or,
4044	4044	9 beginning July 1, 1987 for persons terminating service on or
4045	4045	10 after that date, the salary attached to the rank held on the
4046	4046	11 last day of service or for one year prior to the last day,
4047	4047	12 whichever is greater, for each year of creditable service.
4048	4048	13 A police officer who retires or is separated from service
4049	4049	14 having at least 8 years but less than 20 years of creditable
4050	4050	15 service, who is not mandatorily retired due to age by
4051	4051	16 operation of law, and who does not apply for a refund of
4052	4052	17 contributions at his or her last separation from police
4053	4053	18 service, shall receive a pension upon attaining age 60 equal
4054	4054	19 to 2.5% of the salary attached to the rank held by the police
4055	4055	20 officer on the police force for one year immediately prior to
4056	4056	21 retirement or, beginning July 1, 1987 for persons terminating
4057	4057	22 service on or after that date, the salary attached to the rank
4058	4058	23 held on the last day of service or for one year prior to the
4059	4059	24 last day, whichever is greater, for each year of creditable
4060	4060	25 service.
4061	4061	26 (c) A police officer no longer in service who has at least
4062	4062
4063	4063
4064	4064
4065	4065
4066	4066
4067	4067	SB0002 - 113 - LRB104 07746 RPS 17791 b
4068	4068
4069	4069
4070	4070	SB0002- 114 -LRB104 07746 RPS 17791 b SB0002 - 114 - LRB104 07746 RPS 17791 b
4071	4071	SB0002 - 114 - LRB104 07746 RPS 17791 b
4072	4072	1 one but less than 8 years of creditable service in a police
4073	4073	2 pension fund but meets the requirements of this subsection (c)
4074	4074	3 shall be eligible to receive a pension from that fund equal to
4075	4075	4 2.5% of the salary attached to the rank held on the last day of
4076	4076	5 service under that fund or for one year prior to that last day,
4077	4077	6 whichever is greater, for each year of creditable service in
4078	4078	7 that fund. The pension shall begin no earlier than upon
4079	4079	8 attainment of age 60 (or upon mandatory retirement from the
4080	4080	9 fund by operation of law due to age, if that occurs before age
4081	4081	10 60) and in no event before the effective date of this
4082	4082	11 amendatory Act of 1997.
4083	4083	12 In order to be eligible for a pension under this
4084	4084	13 subsection (c), the police officer must have at least 8 years
4085	4085	14 of creditable service in a second police pension fund under
4086	4086	15 this Article and be receiving a pension under subsection (a)
4087	4087	16 or (b) of this Section from that second fund. The police
4088	4088	17 officer need not be in service on or after the effective date
4089	4089	18 of this amendatory Act of 1997.
4090	4090	19 (d) Notwithstanding any other provision of this Article,
4091	4091	20 the provisions of this subsection (d) apply to a person who is
4092	4092	21 not a participant in the self-managed plan under Section
4093	4093	22 3-109.3 and who first becomes a police officer under this
4094	4094	23 Article on or after January 1, 2011.
4095	4095	24 A police officer age 55 or more who has 10 or more years of
4096	4096	25 service in that capacity shall be entitled at his option to
4097	4097	26 receive a monthly pension for his service as a police officer
4098	4098
4099	4099
4100	4100
4101	4101
4102	4102
4103	4103	SB0002 - 114 - LRB104 07746 RPS 17791 b
4104	4104
4105	4105
4106	4106	SB0002- 115 -LRB104 07746 RPS 17791 b SB0002 - 115 - LRB104 07746 RPS 17791 b
4107	4107	SB0002 - 115 - LRB104 07746 RPS 17791 b
4108	4108	1 computed by multiplying 2.5% for each year of such service by
4109	4109	2 his or her final average salary.
4110	4110	3 The pension of a police officer who is retiring after
4111	4111	4 attaining age 50 with 10 or more years of creditable service
4112	4112	5 shall be reduced by one-half of 1% for each month that the
4113	4113	6 police officer's age is under age 55.
4114	4114	7 The maximum pension under this subsection (d) shall be 75%
4115	4115	8 of final average salary.
4116	4116	9 For the purposes of this subsection (d), "final average
4117	4117	10 salary" means, for a police officer who is not an active police
4118	4118	11 officer on or after January 1, 2026, the greater of: (i) the
4119	4119	12 average monthly salary obtained by dividing the total salary
4120	4120	13 of the police officer during the 48 consecutive months of
4121	4121	14 service within the last 60 months of service in which the total
4122	4122	15 salary was the highest by the number of months of service in
4123	4123	16 that period; or (ii) the average monthly salary obtained by
4124	4124	17 dividing the total salary of the police officer during the 96
4125	4125	18 consecutive months of service within the last 120 months of
4126	4126	19 service in which the total salary was the highest by the number
4127	4127	20 of months of service in that period. For the purposes of this
4128	4128	21 subsection (d), "final average salary" means, for a police
4129	4129	22 officer who is an active police officer on or after January 1,
4130	4130	23 2026, the salary attached to the rank held by the officer on
4131	4131	24 the police force for one year immediately prior to retirement
4132	4132	25 or the salary attached to the rank held on the last day of
4133	4133	26 service or for one year prior to the last day, whichever is
4134	4134
4135	4135
4136	4136
4137	4137
4138	4138
4139	4139	SB0002 - 115 - LRB104 07746 RPS 17791 b
4140	4140
4141	4141
4142	4142	SB0002- 116 -LRB104 07746 RPS 17791 b SB0002 - 116 - LRB104 07746 RPS 17791 b
4143	4143	SB0002 - 116 - LRB104 07746 RPS 17791 b
4144	4144	1 greater.
4145	4145	2 Beginning on January 1, 2011, for all purposes under this
4146	4146	3 Code (including without limitation the calculation of benefits
4147	4147	4 and employee contributions), the annual salary based on the
4148	4148	5 plan year of a member or participant to whom this Section
4149	4149	6 applies shall not exceed $106,800; however, that amount shall
4150	4150	7 annually thereafter be increased by the lesser of (i) 3% of
4151	4151	8 that amount, including all previous adjustments, or (ii) the
4152	4152	9 annual unadjusted percentage increase (but not less than zero)
4153	4153	10 in the consumer price index-u for the 12 months ending with the
4154	4154	11 September preceding each November 1, including all previous
4155	4155	12 adjustments.
4156	4156	13 Nothing in this amendatory Act of the 101st General
4157	4157	14 Assembly shall cause or otherwise result in any retroactive
4158	4158	15 adjustment of any employee contributions.
4159	4159	16 (Source: P.A. 101-610, eff. 1-1-20.)
4160	4160	17 (40 ILCS 5/4-109) (from Ch. 108 1/2, par. 4-109)
4161	4161	18 Sec. 4-109. Pension.
4162	4162	19 (a) A firefighter age 50 or more with 20 or more years of
4163	4163	20 creditable service, who is no longer in service as a
4164	4164	21 firefighter, shall receive a monthly pension of 1/2 the
4165	4165	22 monthly salary attached to the rank held by him or her in the
4166	4166	23 fire service at the date of retirement.
4167	4167	24 The monthly pension shall be increased by 1/12 of 2.5% of
4168	4168	25 such monthly salary for each additional month over 20 years of
4169	4169
4170	4170
4171	4171
4172	4172
4173	4173
4174	4174	SB0002 - 116 - LRB104 07746 RPS 17791 b
4175	4175
4176	4176
4177	4177	SB0002- 117 -LRB104 07746 RPS 17791 b SB0002 - 117 - LRB104 07746 RPS 17791 b
4178	4178	SB0002 - 117 - LRB104 07746 RPS 17791 b
4179	4179	1 service through 30 years of service, to a maximum of 75% of
4180	4180	2 such monthly salary.
4181	4181	3 The changes made to this subsection (a) by this amendatory
4182	4182	4 Act of the 91st General Assembly apply to all pensions that
4183	4183	5 become payable under this subsection on or after January 1,
4184	4184	6 1999. All pensions payable under this subsection that began on
4185	4185	7 or after January 1, 1999 and before the effective date of this
4186	4186	8 amendatory Act shall be recalculated, and the amount of the
4187	4187	9 increase accruing for that period shall be payable to the
4188	4188	10 pensioner in a lump sum.
4189	4189	11 (b) A firefighter who retires or is separated from service
4190	4190	12 having at least 10 but less than 20 years of creditable
4191	4191	13 service, who is not entitled to receive a disability pension,
4192	4192	14 and who did not apply for a refund of contributions at his or
4193	4193	15 her last separation from service shall receive a monthly
4194	4194	16 pension upon attainment of age 60 based on the monthly salary
4195	4195	17 attached to his or her rank in the fire service on the date of
4196	4196	18 retirement or separation from service according to the
4197	4197	19 following schedule:
4198	4198	20 For 10 years of service, 15% of salary;
4199	4199	21 For 11 years of service, 17.6% of salary;
4200	4200	22 For 12 years of service, 20.4% of salary;
4201	4201	23 For 13 years of service, 23.4% of salary;
4202	4202	24 For 14 years of service, 26.6% of salary;
4203	4203	25 For 15 years of service, 30% of salary;
4204	4204	26 For 16 years of service, 33.6% of salary;
4205	4205
4206	4206
4207	4207
4208	4208
4209	4209
4210	4210	SB0002 - 117 - LRB104 07746 RPS 17791 b
4211	4211
4212	4212
4213	4213	SB0002- 118 -LRB104 07746 RPS 17791 b SB0002 - 118 - LRB104 07746 RPS 17791 b
4214	4214	SB0002 - 118 - LRB104 07746 RPS 17791 b
4215	4215	1 For 17 years of service, 37.4% of salary;
4216	4216	2 For 18 years of service, 41.4% of salary;
4217	4217	3 For 19 years of service, 45.6% of salary.
4218	4218	4 (c) Notwithstanding any other provision of this Article,
4219	4219	5 the provisions of this subsection (c) apply to a person who
4220	4220	6 first becomes a firefighter under this Article on or after
4221	4221	7 January 1, 2011.
4222	4222	8 A firefighter age 55 or more who has 10 or more years of
4223	4223	9 service in that capacity shall be entitled at his option to
4224	4224	10 receive a monthly pension for his service as a firefighter
4225	4225	11 computed by multiplying 2.5% for each year of such service by
4226	4226	12 his or her final average salary.
4227	4227	13 The pension of a firefighter who is retiring after
4228	4228	14 attaining age 50 with 10 or more years of creditable service
4229	4229	15 shall be reduced by one-half of 1% for each month that the
4230	4230	16 firefighter's age is under age 55.
4231	4231	17 The maximum pension under this subsection (c) shall be 75%
4232	4232	18 of final average salary.
4233	4233	19 For the purposes of this subsection (c), "final average
4234	4234	20 salary" means, for a firefighter who is not an active
4235	4235	21 firefighter on or after January 1, 2026, the greater of: (i)
4236	4236	22 the average monthly salary obtained by dividing the total
4237	4237	23 salary of the firefighter during the 48 consecutive months of
4238	4238	24 service within the last 60 months of service in which the total
4239	4239	25 salary was the highest by the number of months of service in
4240	4240	26 that period; or (ii) the average monthly salary obtained by
4241	4241
4242	4242
4243	4243
4244	4244
4245	4245
4246	4246	SB0002 - 118 - LRB104 07746 RPS 17791 b
4247	4247
4248	4248
4249	4249	SB0002- 119 -LRB104 07746 RPS 17791 b SB0002 - 119 - LRB104 07746 RPS 17791 b
4250	4250	SB0002 - 119 - LRB104 07746 RPS 17791 b
4251	4251	1 dividing the total salary of the firefighter during the 96
4252	4252	2 consecutive months of service within the last 120 months of
4253	4253	3 service in which the total salary was the highest by the number
4254	4254	4 of months of service in that period. For the purposes of this
4255	4255	5 subsection (c), "final average salary" means, for a
4256	4256	6 firefighter who is an active firefighter on or after January
4257	4257	7 1, 2026, the monthly salary attached to the rank held by him or
4258	4258	8 her in the fire service at the date of retirement.
4259	4259	9 Beginning on January 1, 2011, for all purposes under this
4260	4260	10 Code (including without limitation the calculation of benefits
4261	4261	11 and employee contributions), the annual salary based on the
4262	4262	12 plan year of a member or participant to whom this Section
4263	4263	13 applies shall not exceed $106,800; however, that amount shall
4264	4264	14 annually thereafter be increased by the lesser of (i) 3% of
4265	4265	15 that amount, including all previous adjustments, or (ii) the
4266	4266	16 annual unadjusted percentage increase (but not less than zero)
4267	4267	17 in the consumer price index-u for the 12 months ending with the
4268	4268	18 September preceding each November 1, including all previous
4269	4269	19 adjustments.
4270	4270	20 Nothing in this amendatory Act of the 101st General
4271	4271	21 Assembly shall cause or otherwise result in any retroactive
4272	4272	22 adjustment of any employee contributions.
4273	4273	23 (Source: P.A. 101-610, eff. 1-1-20.)
4274	4274	24 (40 ILCS 5/5-238)
4275	4275	25 Sec. 5-238. Provisions applicable to new hires; Tier 2.
4276	4276
4277	4277
4278	4278
4279	4279
4280	4280
4281	4281	SB0002 - 119 - LRB104 07746 RPS 17791 b
4282	4282
4283	4283
4284	4284	SB0002- 120 -LRB104 07746 RPS 17791 b SB0002 - 120 - LRB104 07746 RPS 17791 b
4285	4285	SB0002 - 120 - LRB104 07746 RPS 17791 b
4286	4286	1 (a) Notwithstanding any other provision of this Article,
4287	4287	2 the provisions of this Section apply to a person who first
4288	4288	3 becomes a policeman under this Article on or after January 1,
4289	4289	4 2011, and to certain qualified survivors of such a policeman.
4290	4290	5 Such persons, and the benefits and restrictions that apply
4291	4291	6 specifically to them under this Article, may be referred to as
4292	4292	7 "Tier 2".
4293	4293	8 (b) A policeman who has withdrawn from service, has
4294	4294	9 attained age 50 or more, and has 10 or more years of service in
4295	4295	10 that capacity shall be entitled, upon proper application being
4296	4296	11 received by the Fund, to receive a Tier 2 monthly retirement
4297	4297	12 annuity for his service as a police officer. The Tier 2 monthly
4298	4298	13 retirement annuity shall be computed by multiplying 2.5% for
4299	4299	14 each year of such service by his or her final average salary,
4300	4300	15 subject to an annuity reduction factor of one-half of 1% for
4301	4301	16 each month that the police officer's age at retirement is
4302	4302	17 under age 55. The Tier 2 monthly retirement annuity is in lieu
4303	4303	18 of any age and service annuity or other form of retirement
4304	4304	19 annuity under this Article.
4305	4305	20 The maximum retirement annuity under this subsection (b)
4306	4306	21 shall be 75% of final average salary.
4307	4307	22 For the purposes of this subsection (b), "final average
4308	4308	23 salary" means, for a policeman who is not an active policeman
4309	4309	24 on or after January 1, 2026, the average monthly salary
4310	4310	25 obtained by dividing the total salary of the policeman during
4311	4311	26 the 96 consecutive months of service within the last 120
4312	4312
4313	4313
4314	4314
4315	4315
4316	4316
4317	4317	SB0002 - 120 - LRB104 07746 RPS 17791 b
4318	4318
4319	4319
4320	4320	SB0002- 121 -LRB104 07746 RPS 17791 b SB0002 - 121 - LRB104 07746 RPS 17791 b
4321	4321	SB0002 - 121 - LRB104 07746 RPS 17791 b
4322	4322	1 months of service in which the total salary was the highest by
4323	4323	2 the number of months of service in that period. For the
4324	4324	3 purposes of this subsection (b), for a policeman who is an
4325	4325	4 active policeman on or after January 1, 2026, "final average
4326	4326	5 salary" means the average of the highest 4 consecutive years
4327	4327	6 of salary within the last 10 years of service.
4328	4328	7 Beginning on January 1, 2011, for all purposes under this
4329	4329	8 Code (including without limitation the calculation of benefits
4330	4330	9 and employee contributions), the annual salary based on the
4331	4331	10 plan year of a member or participant to whom this Section
4332	4332	11 applies shall not exceed $106,800; however, that amount shall
4333	4333	12 annually thereafter be increased by the lesser of (i) 3% of
4334	4334	13 that amount, including all previous adjustments, or (ii)
4335	4335	14 one-half the annual unadjusted percentage increase (but not
4336	4336	15 less than zero) in the consumer price index-u for the 12 months
4337	4337	16 ending with the September preceding each November 1, including
4338	4338	17 all previous adjustments.
4339	4339	18 (c) Notwithstanding any other provision of this Article,
4340	4340	19 for a person who first becomes a policeman under this Article
4341	4341	20 on or after January 1, 2011, eligibility for and the amount of
4342	4342	21 the annuity to which the qualified surviving spouse, children,
4343	4343	22 and parents are entitled under this subsection (c) shall be
4344	4344	23 determined as follows:
4345	4345	24 (1) The surviving spouse of a deceased policeman to
4346	4346	25 whom this Section applies shall be deemed qualified to
4347	4347	26 receive a Tier 2 surviving spouse's annuity under this
4348	4348
4349	4349
4350	4350
4351	4351
4352	4352
4353	4353	SB0002 - 121 - LRB104 07746 RPS 17791 b
4354	4354
4355	4355
4356	4356	SB0002- 122 -LRB104 07746 RPS 17791 b SB0002 - 122 - LRB104 07746 RPS 17791 b
4357	4357	SB0002 - 122 - LRB104 07746 RPS 17791 b
4358	4358	1 paragraph (1) if: (i) the deceased policeman meets the
4359	4359	2 requirements specified under subdivision (A), (B), (C), or
4360	4360	3 (D) of this paragraph (1); and (ii) the surviving spouse
4361	4361	4 would not otherwise be excluded from receiving a widow's
4362	4362	5 annuity under the eligibility requirements for a widow's
4363	4363	6 annuity set forth in Section 5-146. The Tier 2 surviving
4364	4364	7 spouse's annuity is in lieu of the widow's annuity
4365	4365	8 determined under any other Section of this Article and is
4366	4366	9 subject to the requirements of Section 5-147.1.
4367	4367	10 As used in this subsection (c), "earned annuity" means
4368	4368	11 a Tier 2 monthly retirement annuity determined under
4369	4369	12 subsection (b) of this Section, including any increases
4370	4370	13 the policeman had received pursuant to Section 5-167.1.
4371	4371	14 (A) If the deceased policeman was receiving an
4372	4372	15 earned annuity at the date of his or her death, the
4373	4373	16 Tier 2 surviving spouse's annuity under this paragraph
4374	4374	17 (1) shall be in the amount of 66 2/3% of the
4375	4375	18 policeman's earned annuity at the date of death.
4376	4376	19 (B) If the deceased policeman was not receiving an
4377	4377	20 earned annuity but had at least 10 years of service at
4378	4378	21 the time of death, the Tier 2 surviving spouse's
4379	4379	22 annuity under this paragraph (1) shall be the greater
4380	4380	23 of: (i) 30% of the annual maximum salary attached to
4381	4381	24 the classified civil service position of a first class
4382	4382	25 patrolman at the time of his death; or (ii) 66 2/3% of
4383	4383	26 the Tier 2 monthly retirement annuity that the
4384	4384
4385	4385
4386	4386
4387	4387
4388	4388
4389	4389	SB0002 - 122 - LRB104 07746 RPS 17791 b
4390	4390
4391	4391
4392	4392	SB0002- 123 -LRB104 07746 RPS 17791 b SB0002 - 123 - LRB104 07746 RPS 17791 b
4393	4393	SB0002 - 123 - LRB104 07746 RPS 17791 b
4394	4394	1 deceased policeman would have been eligible to receive
4395	4395	2 under subsection (b) of this Section, based upon the
4396	4396	3 actual service accrued through the day before the
4397	4397	4 policeman's death, but determined as though the
4398	4398	5 policeman was at least age 55 on the day before his or
4399	4399	6 her death and retired on that day.
4400	4400	7 (C) If the deceased policeman was an active
4401	4401	8 policeman with at least 1 1/2 but less than 10 years of
4402	4402	9 service at the time of death, the Tier 2 surviving
4403	4403	10 spouse's annuity under this paragraph (1) shall be in
4404	4404	11 the amount of 30% of the annual maximum salary
4405	4405	12 attached to the classified civil service position of a
4406	4406	13 first class patrolman at the time of his death.
4407	4407	14 (D) If the performance of an act or acts of duty
4408	4408	15 results directly in the death of a policeman subject
4409	4409	16 to this Section, or prevents him from subsequently
4410	4410	17 resuming active service in the police department, and
4411	4411	18 if the policeman's Tier 2 surviving spouse would
4412	4412	19 otherwise meet the eligibility requirements for a
4413	4413	20 compensation annuity or supplemental annuity granted
4414	4414	21 under Section 5-144, then in addition to the Tier 2
4415	4415	22 surviving spouse's annuity provided under subdivision
4416	4416	23 (A), (B), or (C) of this paragraph (1), whichever
4417	4417	24 applies, the Tier 2 surviving spouse shall be
4418	4418	25 qualified to receive compensation annuity or
4419	4419	26 supplemental annuity, as would be provided under
4420	4420
4421	4421
4422	4422
4423	4423
4424	4424
4425	4425	SB0002 - 123 - LRB104 07746 RPS 17791 b
4426	4426
4427	4427
4428	4428	SB0002- 124 -LRB104 07746 RPS 17791 b SB0002 - 124 - LRB104 07746 RPS 17791 b
4429	4429	SB0002 - 124 - LRB104 07746 RPS 17791 b
4430	4430	1 Section 5-144, in order to bring the total benefit up
4431	4431	2 to the applicable 75% salary limitation provided in
4432	4432	3 that Section, but subject to the Tier 2 salary cap
4433	4433	4 provided under subsection (b) of this Section; except
4434	4434	5 that no such annuity shall be paid to the surviving
4435	4435	6 spouse of a policeman who dies while in receipt of
4436	4436	7 disability benefits when the policeman's death was
4437	4437	8 caused by an intervening illness or injury unrelated
4438	4438	9 to the illness or injury that had prevented him from
4439	4439	10 subsequently resuming active service in the police
4440	4440	11 department.
4441	4441	12 (E) Notwithstanding any other provision of this
4442	4442	13 Article, the monthly Tier 2 surviving spouse's annuity
4443	4443	14 under subdivision (A) or (B) of this paragraph (1)
4444	4444	15 shall be increased on the January 1 next occurring
4445	4445	16 after (i) attainment of age 60 by the recipient of the
4446	4446	17 Tier 2 surviving spouse's annuity or (ii) the first
4447	4447	18 anniversary of the Tier 2 surviving spouse's annuity
4448	4448	19 start date, whichever is later, and on each January 1
4449	4449	20 thereafter, by 3% or one-half the annual unadjusted
4450	4450	21 percentage increase (but not less than zero) in the
4451	4451	22 consumer price index-u for the 12 months ending with
4452	4452	23 the September preceding each November 1, whichever is
4453	4453	24 less, of the originally granted Tier 2 surviving
4454	4454	25 spouse's annuity. If the unadjusted percentage change
4455	4455	26 in the consumer price index-u for a 12-month period
4456	4456
4457	4457
4458	4458
4459	4459
4460	4460
4461	4461	SB0002 - 124 - LRB104 07746 RPS 17791 b
4462	4462
4463	4463
4464	4464	SB0002- 125 -LRB104 07746 RPS 17791 b SB0002 - 125 - LRB104 07746 RPS 17791 b
4465	4465	SB0002 - 125 - LRB104 07746 RPS 17791 b
4466	4466	1 ending in September is zero or, when compared with the
4467	4467	2 preceding period, decreases, then the annuity shall
4468	4468	3 not be increased.
4469	4469	4 For the purposes of this Section, "consumer price
4470	4470	5 index-u" means the index published by the Bureau of
4471	4471	6 Labor Statistics of the United States Department of
4472	4472	7 Labor that measures the average change in prices of
4473	4473	8 goods and services purchased by all urban consumers,
4474	4474	9 United States city average, all items, 1982-84 = 100.
4475	4475	10 The new amount resulting from each annual adjustment
4476	4476	11 shall be determined by the Public Pension Division of
4477	4477	12 the Department of Insurance and made available to the
4478	4478	13 boards of the pension funds.
4479	4479	14 (F) Notwithstanding the other provisions of this
4480	4480	15 paragraph (1), for a qualified surviving spouse who is
4481	4481	16 entitled to a Tier 2 surviving spouse's annuity under
4482	4482	17 subdivision (A), (B), (C), or (D) of this paragraph
4483	4483	18 (1), that Tier 2 surviving spouse's annuity shall not
4484	4484	19 be less than the amount of the minimum widow's annuity
4485	4485	20 established from time to time under Section 5-167.4.
4486	4486	21 (2) Surviving children of a deceased policeman subject
4487	4487	22 to this Section who would otherwise meet the eligibility
4488	4488	23 requirements for a child's annuity set forth in Sections
4489	4489	24 5-151 and 5-152 shall be deemed qualified to receive a
4490	4490	25 Tier 2 child's annuity under this subsection (c), which
4491	4491	26 shall be in lieu of, but in the same amount and paid in the
4492	4492
4493	4493
4494	4494
4495	4495
4496	4496
4497	4497	SB0002 - 125 - LRB104 07746 RPS 17791 b
4498	4498
4499	4499
4500	4500	SB0002- 126 -LRB104 07746 RPS 17791 b SB0002 - 126 - LRB104 07746 RPS 17791 b
4501	4501	SB0002 - 126 - LRB104 07746 RPS 17791 b
4502	4502	1 same manner as, the child's annuity provided under those
4503	4503	2 Sections; except that any salary used for computing a Tier
4504	4504	3 2 child's annuity shall be subject to the Tier 2 salary cap
4505	4505	4 provided under subsection (b) of this Section. For
4506	4506	5 purposes of determining any pro rata reduction in child's
4507	4507	6 annuities under this subsection (c), references in Section
4508	4508	7 5-152 to the combined annuities of the family shall be
4509	4509	8 deemed to refer to the combined Tier 2 surviving spouse's
4510	4510	9 annuity, if any, and the Tier 2 child's annuities payable
4511	4511	10 under this subsection (c).
4512	4512	11 (3) Surviving parents of a deceased policeman subject
4513	4513	12 to this Section who would otherwise meet the eligibility
4514	4514	13 requirements for a parent's annuity set forth in Section
4515	4515	14 5-152 shall be deemed qualified to receive a Tier 2
4516	4516	15 parent's annuity under this subsection (c), which shall be
4517	4517	16 in lieu of, but in the same amount and paid in the same
4518	4518	17 manner as, the parent's annuity provided under Section
4519	4519	18 5-152.1; except that any salary used for computing a Tier
4520	4520	19 2 parent's annuity shall be subject to the Tier 2 salary
4521	4521	20 cap provided under subsection (b) of this Section. For the
4522	4522	21 purposes of this Section, a reference to "annuity" in
4523	4523	22 Section 5-152.1 includes: (i) in the context of a widow, a
4524	4524	23 Tier 2 surviving spouse's annuity and (ii) in the context
4525	4525	24 of a child, a Tier 2 child's annuity.
4526	4526	25 (d) The General Assembly finds and declares that the
4527	4527	26 provisions of this Section, as enacted by Public Act 96-1495,
4528	4528
4529	4529
4530	4530
4531	4531
4532	4532
4533	4533	SB0002 - 126 - LRB104 07746 RPS 17791 b
4534	4534
4535	4535
4536	4536	SB0002- 127 -LRB104 07746 RPS 17791 b SB0002 - 127 - LRB104 07746 RPS 17791 b
4537	4537	SB0002 - 127 - LRB104 07746 RPS 17791 b
4538	4538	1 require clarification relating to necessary eligibility
4539	4539	2 standards and the manner of determining and paying the
4540	4540	3 intended Tier 2 benefits and contributions in order to enable
4541	4541	4 the Fund to unambiguously implement and administer benefits
4542	4542	5 for Tier 2 members. The changes to this Section and the
4543	4543	6 conforming changes to Sections 5-153, 5-155, 5-163, 5-167.1
4544	4544	7 (except for the changes to subsection (a) of that Section),
4545	4545	8 5-169, and 5-170 made by this amendatory Act of the 99th
4546	4546	9 General Assembly are enacted to clarify the provisions of this
4547	4547	10 Section as enacted by Public Act 96-1495, and are hereby
4548	4548	11 declared to represent and be consistent with the original and
4549	4549	12 continuing intent of this Section and Public Act 96-1495.
4550	4550	13 (e) The changes to Sections 5-153, 5-155, 5-163, 5-167.1
4551	4551	14 (except for the changes to subsection (a) of that Section),
4552	4552	15 5-169, and 5-170 made by this amendatory Act of the 99th
4553	4553	16 General Assembly are intended to be retroactive to January 1,
4554	4554	17 2011 (the effective date of Public Act 96-1495) and, for the
4555	4555	18 purposes of Section 1-103.1 of this Code, they apply without
4556	4556	19 regard to whether the relevant policeman was in service on or
4557	4557	20 after the effective date of this amendatory Act of the 99th
4558	4558	21 General Assembly.
4559	4559	22 (Source: P.A. 99-905, eff. 11-29-16.)
4560	4560	23 (40 ILCS 5/6-229)
4561	4561	24 Sec. 6-229. Provisions applicable to new hires; Tier 2.
4562	4562	25 (a) Notwithstanding any other provision of this Article,
4563	4563
4564	4564
4565	4565
4566	4566
4567	4567
4568	4568	SB0002 - 127 - LRB104 07746 RPS 17791 b
4569	4569
4570	4570
4571	4571	SB0002- 128 -LRB104 07746 RPS 17791 b SB0002 - 128 - LRB104 07746 RPS 17791 b
4572	4572	SB0002 - 128 - LRB104 07746 RPS 17791 b
4573	4573	1 the provisions of this Section apply to a person who first
4574	4574	2 becomes a fireman under this Article on or after January 1,
4575	4575	3 2011, and to certain qualified survivors of such a fireman.
4576	4576	4 Such persons, and the benefits and restrictions that apply
4577	4577	5 specifically to them under this Article, may be referred to as
4578	4578	6 "Tier 2".
4579	4579	7 (b) A fireman who has withdrawn from service, has attained
4580	4580	8 age 50 or more, and has 10 or more years of service in that
4581	4581	9 capacity shall be entitled, upon proper application being
4582	4582	10 received by the Fund, to receive a Tier 2 monthly retirement
4583	4583	11 annuity for his service as a fireman. The Tier 2 monthly
4584	4584	12 retirement annuity shall be computed by multiplying 2.5% for
4585	4585	13 each year of such service by his or her final average salary,
4586	4586	14 subject to an annuity reduction factor of one-half of 1% for
4587	4587	15 each month that the fireman's age at retirement is under age
4588	4588	16 55. The Tier 2 monthly retirement annuity is in lieu of any age
4589	4589	17 and service annuity or other form of retirement annuity under
4590	4590	18 this Article.
4591	4591	19 The maximum retirement annuity under this subsection (b)
4592	4592	20 shall be 75% of final average salary.
4593	4593	21 For the purposes of this subsection (b), "final average
4594	4594	22 salary" means, for a fireman who is not an active fireman on or
4595	4595	23 after January 1, 2026, the greater of (1) the average monthly
4596	4596	24 salary obtained by dividing the total salary of the fireman
4597	4597	25 during the 96 consecutive months of service within the last
4598	4598	26 120 months of service in which the total salary was the highest
4599	4599
4600	4600
4601	4601
4602	4602
4603	4603
4604	4604	SB0002 - 128 - LRB104 07746 RPS 17791 b
4605	4605
4606	4606
4607	4607	SB0002- 129 -LRB104 07746 RPS 17791 b SB0002 - 129 - LRB104 07746 RPS 17791 b
4608	4608	SB0002 - 129 - LRB104 07746 RPS 17791 b
4609	4609	1 by the number of months of service in that period or (2) the
4610	4610	2 average monthly salary obtained by dividing the total salary
4611	4611	3 of the fireman during the 48 consecutive months of service
4612	4612	4 within the last 60 months of service in which the total salary
4613	4613	5 was the highest by the number of months of service in that
4614	4614	6 period. For the purposes of this subsection (b), for a fireman
4615	4615	7 who is an active fireman on or after January 1, 2026, "final
4616	4616	8 average salary" means the average of the fireman's highest 4
4617	4617	9 consecutive years of salary within the last 10 years of
4618	4618	10 service.
4619	4619	11 Beginning on January 1, 2011, for all purposes under this
4620	4620	12 Code (including without limitation the calculation of benefits
4621	4621	13 and employee contributions), the annual salary based on the
4622	4622	14 plan year of a member or participant to whom this Section
4623	4623	15 applies shall not exceed $106,800; however, that amount shall
4624	4624	16 annually thereafter be increased by the lesser of (i) 3% of
4625	4625	17 that amount, including all previous adjustments, or (ii)
4626	4626	18 one-half the annual unadjusted percentage increase (but not
4627	4627	19 less than zero) in the consumer price index-u for the 12 months
4628	4628	20 ending with the September preceding each November 1, including
4629	4629	21 all previous adjustments.
4630	4630	22 (b-5) For the purposes of this Section, "consumer price
4631	4631	23 index-u" means the index published by the Bureau of Labor
4632	4632	24 Statistics of the United States Department of Labor that
4633	4633	25 measures the average change in prices of goods and services
4634	4634	26 purchased by all urban consumers, United States city average,
4635	4635
4636	4636
4637	4637
4638	4638
4639	4639
4640	4640	SB0002 - 129 - LRB104 07746 RPS 17791 b
4641	4641
4642	4642
4643	4643	SB0002- 130 -LRB104 07746 RPS 17791 b SB0002 - 130 - LRB104 07746 RPS 17791 b
4644	4644	SB0002 - 130 - LRB104 07746 RPS 17791 b
4645	4645	1 all items, 1982-84 = 100. The new amount resulting from each
4646	4646	2 annual adjustment shall be determined by the Public Pension
4647	4647	3 Division of the Department of Insurance and made available to
4648	4648	4 the boards of the retirement systems and pension funds by
4649	4649	5 November 1 of each year.
4650	4650	6 (c) Notwithstanding any other provision of this Article,
4651	4651	7 for a person who first becomes a fireman under this Article on
4652	4652	8 or after January 1, 2011, eligibility for and the amount of the
4653	4653	9 annuity to which the qualified surviving spouse, children, and
4654	4654	10 parents of the fireman are entitled under this subsection (c)
4655	4655	11 shall be determined as follows:
4656	4656	12 (1) The surviving spouse of a deceased fireman to whom
4657	4657	13 this Section applies shall be deemed qualified to receive
4658	4658	14 a Tier 2 surviving spouse's annuity under this paragraph
4659	4659	15 (1) if: (i) the deceased fireman meets the requirements
4660	4660	16 specified under subdivision (A), (B), (C), or (D) of this
4661	4661	17 paragraph (1); and (ii) the surviving spouse would not
4662	4662	18 otherwise be excluded from receiving a widow's annuity
4663	4663	19 under the eligibility requirements for a widow's annuity
4664	4664	20 set forth in Section 6-142. The Tier 2 surviving spouse's
4665	4665	21 annuity is in lieu of the widow's annuity determined under
4666	4666	22 any other Section of this Article and is subject to the
4667	4667	23 requirements of Section 6-143.2.
4668	4668	24 As used in this subsection (c), "earned pension" means
4669	4669	25 a Tier 2 monthly retirement annuity determined under
4670	4670	26 subsection (b) of this Section, including any increases
4671	4671
4672	4672
4673	4673
4674	4674
4675	4675
4676	4676	SB0002 - 130 - LRB104 07746 RPS 17791 b
4677	4677
4678	4678
4679	4679	SB0002- 131 -LRB104 07746 RPS 17791 b SB0002 - 131 - LRB104 07746 RPS 17791 b
4680	4680	SB0002 - 131 - LRB104 07746 RPS 17791 b
4681	4681	1 the fireman had received pursuant to Section 6-164.
4682	4682	2 (A) If the deceased fireman was receiving an
4683	4683	3 earned pension at the date of his or her death, the
4684	4684	4 Tier 2 surviving spouse's annuity under this paragraph
4685	4685	5 (1) shall be in the amount of 66 2/3% of the fireman's
4686	4686	6 earned pension at the date of death.
4687	4687	7 (B) If the deceased fireman was not receiving an
4688	4688	8 earned pension but had at least 10 years of service at
4689	4689	9 the time of death, the Tier 2 surviving spouse's
4690	4690	10 annuity under this paragraph (1) shall be the greater
4691	4691	11 of: (i) 30% of the salary attached to the rank of first
4692	4692	12 class firefighter in the classified career service at
4693	4693	13 the time of the fireman's death; or (ii) 66 2/3% of the
4694	4694	14 Tier 2 monthly retirement annuity that the deceased
4695	4695	15 fireman would have been eligible to receive under
4696	4696	16 subsection (b) of this Section, based upon the actual
4697	4697	17 service accrued through the day before the fireman's
4698	4698	18 death, but determined as though the fireman was at
4699	4699	19 least age 55 on the day before his or her death and
4700	4700	20 retired on that day.
4701	4701	21 (C) If the deceased fireman was an active fireman
4702	4702	22 with at least 1 1/2 but less than 10 years of service
4703	4703	23 at the time of death, the Tier 2 surviving spouse's
4704	4704	24 annuity under this paragraph (1) shall be in the
4705	4705	25 amount of 30% of the salary attached to the rank of
4706	4706	26 first class firefighter in the classified career
4707	4707
4708	4708
4709	4709
4710	4710
4711	4711
4712	4712	SB0002 - 131 - LRB104 07746 RPS 17791 b
4713	4713
4714	4714
4715	4715	SB0002- 132 -LRB104 07746 RPS 17791 b SB0002 - 132 - LRB104 07746 RPS 17791 b
4716	4716	SB0002 - 132 - LRB104 07746 RPS 17791 b
4717	4717	1 service at the time of the fireman's death.
4718	4718	2 (D) Notwithstanding subdivisions (A), (B), and (C)
4719	4719	3 of this paragraph (1), if the performance of an act or
4720	4720	4 acts of duty results directly in the death of a fireman
4721	4721	5 subject to this Section, or prevents him from
4722	4722	6 subsequently resuming active service in the fire
4723	4723	7 department, then a surviving spouse who would
4724	4724	8 otherwise meet the eligibility requirements for a
4725	4725	9 death in the line of duty widow's annuity granted
4726	4726	10 under Section 6-140 shall be deemed to be qualified
4727	4727	11 for a Tier 2 surviving spouse's annuity under this
4728	4728	12 subdivision (D); except that no such annuity shall be
4729	4729	13 paid to the surviving spouse of a fireman who dies
4730	4730	14 while in receipt of disability benefits when the
4731	4731	15 fireman's death was caused by an intervening illness
4732	4732	16 or injury unrelated to the illness or injury that had
4733	4733	17 prevented him from subsequently resuming active
4734	4734	18 service in the fire department. The Tier 2 surviving
4735	4735	19 spouse's annuity calculated under this subdivision (D)
4736	4736	20 shall be in lieu of, but in the same amount and paid in
4737	4737	21 the same manner as, the widow's annuity provided under
4738	4738	22 Section 6-140; except that the salary used for
4739	4739	23 computing a Tier 2 surviving spouse's annuity under
4740	4740	24 this subdivision (D) shall be subject to the Tier 2
4741	4741	25 salary cap provided under subsection (b) of this
4742	4742	26 Section.
4743	4743
4744	4744
4745	4745
4746	4746
4747	4747
4748	4748	SB0002 - 132 - LRB104 07746 RPS 17791 b
4749	4749
4750	4750
4751	4751	SB0002- 133 -LRB104 07746 RPS 17791 b SB0002 - 133 - LRB104 07746 RPS 17791 b
4752	4752	SB0002 - 133 - LRB104 07746 RPS 17791 b
4753	4753	1 (E) Notwithstanding any other provision of this
4754	4754	2 Article, the monthly Tier 2 surviving spouse's annuity
4755	4755	3 under subdivision (A) or (B) of this paragraph (1)
4756	4756	4 shall be increased on the January 1 next occurring
4757	4757	5 after (i) attainment of age 60 by the recipient of the
4758	4758	6 Tier 2 surviving spouse's annuity or (ii) the first
4759	4759	7 anniversary of the Tier 2 surviving spouse's annuity
4760	4760	8 start date, whichever is later, and on each January 1
4761	4761	9 thereafter, by 3% or one-half the annual unadjusted
4762	4762	10 percentage increase in the consumer price index-u for
4763	4763	11 the 12 months ending with September preceding each
4764	4764	12 November 1, whichever is less, of the originally
4765	4765	13 granted Tier 2 surviving spouse's annuity. If the
4766	4766	14 annual unadjusted percentage change in the consumer
4767	4767	15 price index-u for a 12-month period ending in
4768	4768	16 September is zero or, when compared with the preceding
4769	4769	17 period, decreases, then the annuity shall not be
4770	4770	18 increased.
4771	4771	19 (F) Notwithstanding the other provisions of this
4772	4772	20 paragraph (1), for a qualified surviving spouse who is
4773	4773	21 entitled to a Tier 2 surviving spouse's annuity under
4774	4774	22 subdivision (A), (B), (C), or (D) of this paragraph
4775	4775	23 (1), that Tier 2 surviving spouse's annuity shall not
4776	4776	24 be less than the amount of the minimum widow's annuity
4777	4777	25 established from time to time under Section 6-128.4.
4778	4778	26 (2) Surviving children of a deceased fireman subject
4779	4779
4780	4780
4781	4781
4782	4782
4783	4783
4784	4784	SB0002 - 133 - LRB104 07746 RPS 17791 b
4785	4785
4786	4786
4787	4787	SB0002- 134 -LRB104 07746 RPS 17791 b SB0002 - 134 - LRB104 07746 RPS 17791 b
4788	4788	SB0002 - 134 - LRB104 07746 RPS 17791 b
4789	4789	1 to this Section who would otherwise meet the eligibility
4790	4790	2 requirements for a child's annuity set forth in Sections
4791	4791	3 6-147 and 6-148 shall be deemed qualified to receive a
4792	4792	4 Tier 2 child's annuity under this subsection (c), which
4793	4793	5 shall be in lieu of, but in the same amount and paid in the
4794	4794	6 same manner as, the child's annuity provided under those
4795	4795	7 Sections; except that any salary used for computing a Tier
4796	4796	8 2 child's annuity shall be subject to the Tier 2 salary cap
4797	4797	9 provided under subsection (b) of this Section. For
4798	4798	10 purposes of determining any pro rata reduction in child's
4799	4799	11 annuities under this subsection (c), references in Section
4800	4800	12 6-148 to the combined annuities of the family shall be
4801	4801	13 deemed to refer to the combined Tier 2 surviving spouse's
4802	4802	14 annuity, if any, and the Tier 2 child's annuities payable
4803	4803	15 under this subsection (c).
4804	4804	16 (3) Surviving parents of a deceased fireman subject to
4805	4805	17 this Section who would otherwise meet the eligibility
4806	4806	18 requirements for a parent's annuity set forth in Section
4807	4807	19 6-149 shall be deemed qualified to receive a Tier 2
4808	4808	20 parent's annuity under this subsection (c), which shall be
4809	4809	21 in lieu of, but in the same amount and paid in the same
4810	4810	22 manner as, the parent's annuity provided under Section
4811	4811	23 6-149; except that any salary used for computing a Tier 2
4812	4812	24 parent's annuity shall be subject to the Tier 2 salary cap
4813	4813	25 provided under subsection (b) of this Section. For the
4814	4814	26 purposes of this Section, a reference to "annuity" in
4815	4815
4816	4816
4817	4817
4818	4818
4819	4819
4820	4820	SB0002 - 134 - LRB104 07746 RPS 17791 b
4821	4821
4822	4822
4823	4823	SB0002- 135 -LRB104 07746 RPS 17791 b SB0002 - 135 - LRB104 07746 RPS 17791 b
4824	4824	SB0002 - 135 - LRB104 07746 RPS 17791 b
4825	4825	1 Section 6-149 includes: (i) in the context of a widow, a
4826	4826	2 Tier 2 surviving spouse's annuity and (ii) in the context
4827	4827	3 of a child, a Tier 2 child's annuity.
4828	4828	4 (d) The General Assembly finds and declares that the
4829	4829	5 provisions of this Section, as enacted by Public Act 96-1495,
4830	4830	6 require clarification relating to necessary eligibility
4831	4831	7 standards and the manner of determining and paying the
4832	4832	8 intended Tier 2 benefits and contributions in order to enable
4833	4833	9 the Fund to unambiguously implement and administer benefits
4834	4834	10 for Tier 2 members. The changes to this Section and the
4835	4835	11 conforming changes to Sections 6-150, 6-158, 6-164 (except for
4836	4836	12 the changes to subsection (a) of that Section), 6-166, and
4837	4837	13 6-167 made by this amendatory Act of the 99th General Assembly
4838	4838	14 are enacted to clarify the provisions of this Section as
4839	4839	15 enacted by Public Act 96-1495, and are hereby declared to
4840	4840	16 represent and be consistent with the original and continuing
4841	4841	17 intent of this Section and Public Act 96-1495.
4842	4842	18 (e) The changes to Sections 6-150, 6-158, 6-164 (except
4843	4843	19 for the changes to subsection (a) of that Section), 6-166, and
4844	4844	20 6-167 made by this amendatory Act of the 99th General Assembly
4845	4845	21 are intended to be retroactive to January 1, 2011 (the
4846	4846	22 effective date of Public Act 96-1495) and, for the purposes of
4847	4847	23 Section 1-103.1 of this Code, they apply without regard to
4848	4848	24 whether the relevant fireman was in service on or after the
4849	4849	25 effective date of this amendatory Act of the 99th General
4850	4850	26 Assembly.
4851	4851
4852	4852
4853	4853
4854	4854
4855	4855
4856	4856	SB0002 - 135 - LRB104 07746 RPS 17791 b
4857	4857
4858	4858
4859	4859	SB0002- 136 -LRB104 07746 RPS 17791 b SB0002 - 136 - LRB104 07746 RPS 17791 b
4860	4860	SB0002 - 136 - LRB104 07746 RPS 17791 b
4861	4861	1 (Source: P.A. 103-579, eff. 12-8-23.)
4862	4862	2 (40 ILCS 5/7-116) (from Ch. 108 1/2, par. 7-116)
4863	4863	3 Sec. 7-116. "Final rate of earnings":
4864	4864	4 (a) For retirement and survivor annuities, the monthly
4865	4865	5 earnings obtained by dividing the total earnings received by
4866	4866	6 the employee during the period of either (1) for Tier 1 regular
4867	4867	7 employees or Tier 2 regular employees who are in active
4868	4868	8 employment on or after January 1, 2026, the 48 consecutive
4869	4869	9 months of service within the last 120 months of service in
4870	4870	10 which his total earnings were the highest, (2) for Tier 2
4871	4871	11 regular employees who are not in active employment on or after
4872	4872	12 January 1, 2026, the 96 consecutive months of service within
4873	4873	13 the last 120 months of service in which his total earnings were
4874	4874	14 the highest, or (3) the employee's total period of service, by
4875	4875	15 the number of months of service in such period.
4876	4876	16 (b) For death benefits, the higher of the rate determined
4877	4877	17 under paragraph (a) of this Section or total earnings received
4878	4878	18 in the last 12 months of service divided by twelve. If the
4879	4879	19 deceased employee has less than 12 months of service, the
4880	4880	20 monthly final rate shall be the monthly rate of pay the
4881	4881	21 employee was receiving when he began service.
4882	4882	22 (c) For disability benefits, the total earnings of a
4883	4883	23 participating employee in the last 12 calendar months of
4884	4884	24 service prior to the date he becomes disabled divided by 12.
4885	4885	25 (d) In computing the final rate of earnings: (1) the
4886	4886
4887	4887
4888	4888
4889	4889
4890	4890
4891	4891	SB0002 - 136 - LRB104 07746 RPS 17791 b
4892	4892
4893	4893
4894	4894	SB0002- 137 -LRB104 07746 RPS 17791 b SB0002 - 137 - LRB104 07746 RPS 17791 b
4895	4895	SB0002 - 137 - LRB104 07746 RPS 17791 b
4896	4896	1 earnings rate for all periods of prior service shall be
4897	4897	2 considered equal to the average earnings rate for the last 3
4898	4898	3 calendar years of prior service for which creditable service
4899	4899	4 is received under Section 7-139 or, if there is less than 3
4900	4900	5 years of creditable prior service, the average for the total
4901	4901	6 prior service period for which creditable service is received
4902	4902	7 under Section 7-139; (2) for out of state service and
4903	4903	8 authorized leave, the earnings rate shall be the rate upon
4904	4904	9 which service credits are granted; (3) periods of military
4905	4905	10 leave shall not be considered; (4) the earnings rate for all
4906	4906	11 periods of disability shall be considered equal to the rate of
4907	4907	12 earnings upon which the employee's disability benefits are
4908	4908	13 computed for such periods; (5) the earnings to be considered
4909	4909	14 for each of the final three months of the final earnings period
4910	4910	15 for persons who first became participants before January 1,
4911	4911	16 2012 and the earnings to be considered for each of the final 24
4912	4912	17 months for participants who first become participants on or
4913	4913	18 after January 1, 2012 shall not exceed 125% of the highest
4914	4914	19 earnings of any other month in the final earnings period; and
4915	4915	20 (6) the annual amount of final rate of earnings shall be the
4916	4916	21 monthly amount multiplied by the number of months of service
4917	4917	22 normally required by the position in a year.
4918	4918	23 (Source: P.A. 102-210, eff. 1-1-22.)
4919	4919	24 (40 ILCS 5/7-142.1) (from Ch. 108 1/2, par. 7-142.1)
4920	4920	25 Sec. 7-142.1. Sheriff's law enforcement employees.
4921	4921
4922	4922
4923	4923
4924	4924
4925	4925
4926	4926	SB0002 - 137 - LRB104 07746 RPS 17791 b
4927	4927
4928	4928
4929	4929	SB0002- 138 -LRB104 07746 RPS 17791 b SB0002 - 138 - LRB104 07746 RPS 17791 b
4930	4930	SB0002 - 138 - LRB104 07746 RPS 17791 b
4931	4931	1 (a) In lieu of the retirement annuity provided by
4932	4932	2 subparagraph 1 of paragraph (a) of Section 7-142:
4933	4933	3 Any sheriff's law enforcement employee who has 20 or more
4934	4934	4 years of service in that capacity and who terminates service
4935	4935	5 prior to January 1, 1988 shall be entitled at his option to
4936	4936	6 receive a monthly retirement annuity for his service as a
4937	4937	7 sheriff's law enforcement employee computed by multiplying 2%
4938	4938	8 for each year of such service up to 10 years, 2 1/4% for each
4939	4939	9 year of such service above 10 years and up to 20 years, and 2
4940	4940	10 1/2% for each year of such service above 20 years, by his
4941	4941	11 annual final rate of earnings and dividing by 12.
4942	4942	12 Any sheriff's law enforcement employee who has 20 or more
4943	4943	13 years of service in that capacity and who terminates service
4944	4944	14 on or after January 1, 1988 and before July 1, 2004 shall be
4945	4945	15 entitled at his option to receive a monthly retirement annuity
4946	4946	16 for his service as a sheriff's law enforcement employee
4947	4947	17 computed by multiplying 2.5% for each year of such service up
4948	4948	18 to 20 years, 2% for each year of such service above 20 years
4949	4949	19 and up to 30 years, and 1% for each year of such service above
4950	4950	20 30 years, by his annual final rate of earnings and dividing by
4951	4951	21 12.
4952	4952	22 Any sheriff's law enforcement employee who has 20 or more
4953	4953	23 years of service in that capacity and who terminates service
4954	4954	24 on or after July 1, 2004 shall be entitled at his or her option
4955	4955	25 to receive a monthly retirement annuity for service as a
4956	4956	26 sheriff's law enforcement employee computed by multiplying
4957	4957
4958	4958
4959	4959
4960	4960
4961	4961
4962	4962	SB0002 - 138 - LRB104 07746 RPS 17791 b
4963	4963
4964	4964
4965	4965	SB0002- 139 -LRB104 07746 RPS 17791 b SB0002 - 139 - LRB104 07746 RPS 17791 b
4966	4966	SB0002 - 139 - LRB104 07746 RPS 17791 b
4967	4967	1 2.5% for each year of such service by his annual final rate of
4968	4968	2 earnings and dividing by 12.
4969	4969	3 If a sheriff's law enforcement employee has service in any
4970	4970	4 other capacity, his retirement annuity for service as a
4971	4971	5 sheriff's law enforcement employee may be computed under this
4972	4972	6 Section and the retirement annuity for his other service under
4973	4973	7 Section 7-142.
4974	4974	8 In no case shall the total monthly retirement annuity for
4975	4975	9 persons who retire before July 1, 2004 exceed 75% of the
4976	4976	10 monthly final rate of earnings. In no case shall the total
4977	4977	11 monthly retirement annuity for persons who retire on or after
4978	4978	12 July 1, 2004 exceed 80% of the monthly final rate of earnings.
4979	4979	13 (b) Whenever continued group insurance coverage is elected
4980	4980	14 in accordance with the provisions of Section 367h of the
4981	4981	15 Illinois Insurance Code, as now or hereafter amended, the
4982	4982	16 total monthly premium for such continued group insurance
4983	4983	17 coverage or such portion thereof as is not paid by the
4984	4984	18 municipality shall, upon request of the person electing such
4985	4985	19 continued group insurance coverage, be deducted from any
4986	4986	20 monthly pension benefit otherwise payable to such person
4987	4987	21 pursuant to this Section, to be remitted by the Fund to the
4988	4988	22 insurance company or other entity providing the group
4989	4989	23 insurance coverage.
4990	4990	24 (c) A sheriff's law enforcement employee who began service
4991	4991	25 in that capacity prior to the effective date of this
4992	4992	26 amendatory Act of the 97th General Assembly and who has
4993	4993
4994	4994
4995	4995
4996	4996
4997	4997
4998	4998	SB0002 - 139 - LRB104 07746 RPS 17791 b
4999	4999
5000	5000
5001	5001	SB0002- 140 -LRB104 07746 RPS 17791 b SB0002 - 140 - LRB104 07746 RPS 17791 b
5002	5002	SB0002 - 140 - LRB104 07746 RPS 17791 b
5003	5003	1 service in any other capacity may convert up to 10 years of
5004	5004	2 that service into service as a sheriff's law enforcement
5005	5005	3 employee by paying to the Fund an amount equal to (1) the
5006	5006	4 additional employee contribution required under Section
5007	5007	5 7-173.1, plus (2) the additional employer contribution
5008	5008	6 required under Section 7-172, plus (3) interest on items (1)
5009	5009	7 and (2) at the prescribed rate from the date of the service to
5010	5010	8 the date of payment. Application must be received by the Board
5011	5011	9 while the employee is an active participant in the Fund.
5012	5012	10 Payment must be received while the member is an active
5013	5013	11 participant, except that one payment will be permitted after
5014	5014	12 termination of participation.
5015	5015	13 (d) The changes to subsections (a) and (b) of this Section
5016	5016	14 made by this amendatory Act of the 94th General Assembly apply
5017	5017	15 only to persons in service on or after July 1, 2004. In the
5018	5018	16 case of such a person who begins to receive a retirement
5019	5019	17 annuity before the effective date of this amendatory Act of
5020	5020	18 the 94th General Assembly, the annuity shall be recalculated
5021	5021	19 prospectively to reflect those changes, with the resulting
5022	5022	20 increase beginning to accrue on the first annuity payment date
5023	5023	21 following the effective date of this amendatory Act.
5024	5024	22 (e) Any elected county officer who was entitled to receive
5025	5025	23 a stipend from the State on or after July 1, 2009 and on or
5026	5026	24 before June 30, 2010 may establish earnings credit for the
5027	5027	25 amount of stipend not received, if the elected county official
5028	5028	26 applies in writing to the fund within 6 months after the
5029	5029
5030	5030
5031	5031
5032	5032
5033	5033
5034	5034	SB0002 - 140 - LRB104 07746 RPS 17791 b
5035	5035
5036	5036
5037	5037	SB0002- 141 -LRB104 07746 RPS 17791 b SB0002 - 141 - LRB104 07746 RPS 17791 b
5038	5038	SB0002 - 141 - LRB104 07746 RPS 17791 b
5039	5039	1 effective date of this amendatory Act of the 96th General
5040	5040	2 Assembly and pays to the fund an amount equal to (i) employee
5041	5041	3 contributions on the amount of stipend not received, (ii)
5042	5042	4 employer contributions determined by the Board equal to the
5043	5043	5 employer's normal cost of the benefit on the amount of stipend
5044	5044	6 not received, plus (iii) interest on items (i) and (ii) at the
5045	5045	7 actuarially assumed rate.
5046	5046	8 (f) Notwithstanding any other provision of this Article,
5047	5047	9 the provisions of this subsection (f) apply to a person who
5048	5048	10 first becomes a sheriff's law enforcement employee under this
5049	5049	11 Article on or after January 1, 2011.
5050	5050	12 A sheriff's law enforcement employee age 55 or more who
5051	5051	13 has 10 or more years of service in that capacity shall be
5052	5052	14 entitled at his option to receive a monthly retirement annuity
5053	5053	15 for his or her service as a sheriff's law enforcement employee
5054	5054	16 computed by multiplying 2.5% for each year of such service by
5055	5055	17 his or her final rate of earnings.
5056	5056	18 The retirement annuity of a sheriff's law enforcement
5057	5057	19 employee who is retiring after attaining age 50 with 10 or more
5058	5058	20 years of creditable service shall be reduced by one-half of 1%
5059	5059	21 for each month that the sheriff's law enforcement employee's
5060	5060	22 age is under age 55.
5061	5061	23 The maximum retirement annuity under this subsection (f)
5062	5062	24 shall be 75% of final rate of earnings.
5063	5063	25 For the purposes of this subsection (f), "final rate of
5064	5064	26 earnings" means, for a sheriff's law enforcement employee who
5065	5065
5066	5066
5067	5067
5068	5068
5069	5069
5070	5070	SB0002 - 141 - LRB104 07746 RPS 17791 b
5071	5071
5072	5072
5073	5073	SB0002- 142 -LRB104 07746 RPS 17791 b SB0002 - 142 - LRB104 07746 RPS 17791 b
5074	5074	SB0002 - 142 - LRB104 07746 RPS 17791 b
5075	5075	1 is not an active sheriff's law enforcement employee on or
5076	5076	2 after January 1, 2026, the average monthly earnings obtained
5077	5077	3 by dividing the total salary of the sheriff's law enforcement
5078	5078	4 employee during the 96 consecutive months of service within
5079	5079	5 the last 120 months of service in which the total earnings was
5080	5080	6 the highest by the number of months of service in that period.
5081	5081	7 For the purposes of this subsection (f) "final rate of
5082	5082	8 earnings" means, for a sheriff's law enforcement employee who
5083	5083	9 is an active sheriff's law enforcement employee on or after
5084	5084	10 January 1, 2026, the 48 consecutive months of service within
5085	5085	11 the last 120 months of service in which the sheriff's law
5086	5086	12 enforcement employee's total earnings were the highest.
5087	5087	13 Notwithstanding any other provision of this Article,
5088	5088	14 beginning on January 1, 2011, for all purposes under this Code
5089	5089	15 (including without limitation the calculation of benefits and
5090	5090	16 employee contributions), the annual earnings of a sheriff's
5091	5091	17 law enforcement employee to whom this Section applies shall
5092	5092	18 not include overtime and shall not exceed $106,800; however,
5093	5093	19 that amount shall annually thereafter be increased by the
5094	5094	20 lesser of (i) 3% of that amount, including all previous
5095	5095	21 adjustments, or (ii) one-half the annual unadjusted percentage
5096	5096	22 increase (but not less than zero) in the consumer price
5097	5097	23 index-u for the 12 months ending with the September preceding
5098	5098	24 each November 1, including all previous adjustments.
5099	5099	25 (g) Notwithstanding any other provision of this Article,
5100	5100	26 the monthly annuity of a person who first becomes a sheriff's
5101	5101
5102	5102
5103	5103
5104	5104
5105	5105
5106	5106	SB0002 - 142 - LRB104 07746 RPS 17791 b
5107	5107
5108	5108
5109	5109	SB0002- 143 -LRB104 07746 RPS 17791 b SB0002 - 143 - LRB104 07746 RPS 17791 b
5110	5110	SB0002 - 143 - LRB104 07746 RPS 17791 b
5111	5111	1 law enforcement employee under this Article on or after
5112	5112	2 January 1, 2011 shall be increased on the January 1 occurring
5113	5113	3 either on or after the attainment of age 60 or the first
5114	5114	4 anniversary of the annuity start date, whichever is later.
5115	5115	5 Each annual increase shall be calculated at 3% or one-half the
5116	5116	6 annual unadjusted percentage increase (but not less than zero)
5117	5117	7 in the consumer price index-u for the 12 months ending with the
5118	5118	8 September preceding each November 1, whichever is less, of the
5119	5119	9 originally granted retirement annuity. If the annual
5120	5120	10 unadjusted percentage change in the consumer price index-u for
5121	5121	11 a 12-month period ending in September is zero or, when
5122	5122	12 compared with the preceding period, decreases, then the
5123	5123	13 annuity shall not be increased.
5124	5124	14 (h) Notwithstanding any other provision of this Article,
5125	5125	15 for a person who first becomes a sheriff's law enforcement
5126	5126	16 employee under this Article on or after January 1, 2011, the
5127	5127	17 annuity to which the surviving spouse, children, or parents
5128	5128	18 are entitled under this subsection (h) shall be in the amount
5129	5129	19 of 66 2/3% of the sheriff's law enforcement employee's earned
5130	5130	20 annuity at the date of death.
5131	5131	21 (i) Notwithstanding any other provision of this Article,
5132	5132	22 the monthly annuity of a survivor of a person who first becomes
5133	5133	23 a sheriff's law enforcement employee under this Article on or
5134	5134	24 after January 1, 2011 shall be increased on the January 1 after
5135	5135	25 attainment of age 60 by the recipient of the survivor's
5136	5136	26 annuity and each January 1 thereafter by 3% or one-half the
5137	5137
5138	5138
5139	5139
5140	5140
5141	5141
5142	5142	SB0002 - 143 - LRB104 07746 RPS 17791 b
5143	5143
5144	5144
5145	5145	SB0002- 144 -LRB104 07746 RPS 17791 b SB0002 - 144 - LRB104 07746 RPS 17791 b
5146	5146	SB0002 - 144 - LRB104 07746 RPS 17791 b
5147	5147	1 annual unadjusted percentage increase in the consumer price
5148	5148	2 index-u for the 12 months ending with the September preceding
5149	5149	3 each November 1, whichever is less, of the originally granted
5150	5150	4 pension. If the annual unadjusted percentage change in the
5151	5151	5 consumer price index-u for a 12-month period ending in
5152	5152	6 September is zero or, when compared with the preceding period,
5153	5153	7 decreases, then the annuity shall not be increased.
5154	5154	8 (j) For the purposes of this Section, "consumer price
5155	5155	9 index-u" means the index published by the Bureau of Labor
5156	5156	10 Statistics of the United States Department of Labor that
5157	5157	11 measures the average change in prices of goods and services
5158	5158	12 purchased by all urban consumers, United States city average,
5159	5159	13 all items, 1982-84 = 100. The new amount resulting from each
5160	5160	14 annual adjustment shall be determined by the Public Pension
5161	5161	15 Division of the Department of Insurance and made available to
5162	5162	16 the boards of the pension funds.
5163	5163	17 (Source: P.A. 100-148, eff. 8-18-17.)
5164	5164	18 (40 ILCS 5/15-112) (from Ch. 108 1/2, par. 15-112)
5165	5165	19 Sec. 15-112. Final rate of earnings. "Final rate of
5166	5166	20 earnings":
5167	5167	21 (a) This subsection (a) applies only to a Tier 1 member or
5168	5168	22 a Tier 2 member who receives earnings on or after January 1,
5169	5169	23 2026.
5170	5170	24 For an employee who is paid on an hourly basis or who
5171	5171	25 receives an annual salary in installments during 12 months of
5172	5172
5173	5173
5174	5174
5175	5175
5176	5176
5177	5177	SB0002 - 144 - LRB104 07746 RPS 17791 b
5178	5178
5179	5179
5180	5180	SB0002- 145 -LRB104 07746 RPS 17791 b SB0002 - 145 - LRB104 07746 RPS 17791 b
5181	5181	SB0002 - 145 - LRB104 07746 RPS 17791 b
5182	5182	1 each academic year, the average annual earnings during the 48
5183	5183	2 consecutive calendar month period ending with the last day of
5184	5184	3 final termination of employment or the 4 consecutive academic
5185	5185	4 years of service in which the employee's earnings were the
5186	5186	5 highest, whichever is greater. For any other employee, the
5187	5187	6 average annual earnings during the 4 consecutive academic
5188	5188	7 years of service in which his or her earnings were the highest.
5189	5189	8 For an employee with less than 48 months or 4 consecutive
5190	5190	9 academic years of service, the average earnings during his or
5191	5191	10 her entire period of service. The earnings of an employee with
5192	5192	11 more than 36 months of service under item (a) of Section
5193	5193	12 15-113.1 prior to the date of becoming a participant are, for
5194	5194	13 such period, considered equal to the average earnings during
5195	5195	14 the last 36 months of such service.
5196	5196	15 (b) This subsection (b) applies to a Tier 2 member who does
5197	5197	16 not receive earnings on or after January 1, 2026.
5198	5198	17 For an employee who is paid on an hourly basis or who
5199	5199	18 receives an annual salary in installments during 12 months of
5200	5200	19 each academic year, the average annual earnings obtained by
5201	5201	20 dividing by 8 the total earnings of the employee during the 96
5202	5202	21 consecutive months in which the total earnings were the
5203	5203	22 highest within the last 120 months prior to termination.
5204	5204	23 For any other employee, the average annual earnings during
5205	5205	24 the 8 consecutive academic years within the 10 years prior to
5206	5206	25 termination in which the employee's earnings were the highest.
5207	5207	26 For an employee with less than 96 consecutive months or 8
5208	5208
5209	5209
5210	5210
5211	5211
5212	5212
5213	5213	SB0002 - 145 - LRB104 07746 RPS 17791 b
5214	5214
5215	5215
5216	5216	SB0002- 146 -LRB104 07746 RPS 17791 b SB0002 - 146 - LRB104 07746 RPS 17791 b
5217	5217	SB0002 - 146 - LRB104 07746 RPS 17791 b
5218	5218	1 consecutive academic years of service, whichever is necessary,
5219	5219	2 the average earnings during his or her entire period of
5220	5220	3 service.
5221	5221	4 (c) For an employee on leave of absence with pay, or on
5222	5222	5 leave of absence without pay who makes contributions during
5223	5223	6 such leave, earnings are assumed to be equal to the basic
5224	5224	7 compensation on the date the leave began.
5225	5225	8 (d) For an employee on disability leave, earnings are
5226	5226	9 assumed to be equal to the basic compensation on the date
5227	5227	10 disability occurs or the average earnings during the 24 months
5228	5228	11 immediately preceding the month in which disability occurs,
5229	5229	12 whichever is greater.
5230	5230	13 (e) For a Tier 1 member who retires on or after August 22,
5231	5231	14 1997 (the effective date of Public Act 90-511) this amendatory
5232	5232	15 Act of 1997 with at least 20 years of service as a firefighter
5233	5233	16 or police officer under this Article, the final rate of
5234	5234	17 earnings shall be the annual rate of earnings received by the
5235	5235	18 participant on his or her last day as a firefighter or police
5236	5236	19 officer under this Article, if that is greater than the final
5237	5237	20 rate of earnings as calculated under the other provisions of
5238	5238	21 this Section.
5239	5239	22 (f) If a Tier 1 member is an employee for at least 6 months
5240	5240	23 during the academic year in which his or her employment is
5241	5241	24 terminated, the annual final rate of earnings shall be 25% of
5242	5242	25 the sum of (1) the annual basic compensation for that year, and
5243	5243	26 (2) the amount earned during the 36 months immediately
5244	5244
5245	5245
5246	5246
5247	5247
5248	5248
5249	5249	SB0002 - 146 - LRB104 07746 RPS 17791 b
5250	5250
5251	5251
5252	5252	SB0002- 147 -LRB104 07746 RPS 17791 b SB0002 - 147 - LRB104 07746 RPS 17791 b
5253	5253	SB0002 - 147 - LRB104 07746 RPS 17791 b
5254	5254	1 preceding that year, if this is greater than the final rate of
5255	5255	2 earnings as calculated under the other provisions of this
5256	5256	3 Section.
5257	5257	4 (g) In the determination of the final rate of earnings for
5258	5258	5 an employee, that part of an employee's earnings for any
5259	5259	6 academic year beginning after June 30, 1997, which exceeds the
5260	5260	7 employee's earnings with that employer for the preceding year
5261	5261	8 by more than 20% 20 percent shall be excluded; in the event
5262	5262	9 that an employee has more than one employer this limitation
5263	5263	10 shall be calculated separately for the earnings with each
5264	5264	11 employer. In making such calculation, only the basic
5265	5265	12 compensation of employees shall be considered, without regard
5266	5266	13 to vacation or overtime or to contracts for summer employment.
5267	5267	14 Beginning September 1, 2024, this subsection (g) also applies
5268	5268	15 to an employee who has been employed at 1/2 time or less for 3
5269	5269	16 or more years.
5270	5270	17 (h) The following are not considered as earnings in
5271	5271	18 determining the final rate of earnings: (1) severance or
5272	5272	19 separation pay, (2) retirement pay, (3) payment for unused
5273	5273	20 sick leave, and (4) payments from an employer for the period
5274	5274	21 used in determining the final rate of earnings for any purpose
5275	5275	22 other than (i) services rendered, (ii) leave of absence or
5276	5276	23 vacation granted during that period, and (iii) vacation of up
5277	5277	24 to 56 work days allowed upon termination of employment; except
5278	5278	25 that, if the benefit has been collectively bargained between
5279	5279	26 the employer and the recognized collective bargaining agent
5280	5280
5281	5281
5282	5282
5283	5283
5284	5284
5285	5285	SB0002 - 147 - LRB104 07746 RPS 17791 b
5286	5286
5287	5287
5288	5288	SB0002- 148 -LRB104 07746 RPS 17791 b SB0002 - 148 - LRB104 07746 RPS 17791 b
5289	5289	SB0002 - 148 - LRB104 07746 RPS 17791 b
5290	5290	1 pursuant to the Illinois Educational Labor Relations Act,
5291	5291	2 payment received during a period of up to 2 academic years for
5292	5292	3 unused sick leave may be considered as earnings in accordance
5293	5293	4 with the applicable collective bargaining agreement, subject
5294	5294	5 to the 20% increase limitation of this Section. Any unused
5295	5295	6 sick leave considered as earnings under this Section shall not
5296	5296	7 be taken into account in calculating service credit under
5297	5297	8 Section 15-113.4.
5298	5298	9 (i) Intermittent periods of service shall be considered as
5299	5299	10 consecutive in determining the final rate of earnings.
5300	5300	11 (Source: P.A. 103-548, eff. 8-11-23; revised 7-18-24.)
5301	5301	12 (40 ILCS 5/18-125) (from Ch. 108 1/2, par. 18-125)
5302	5302	13 Sec. 18-125. Retirement annuity amount.
5303	5303	14 (a) The annual retirement annuity for a participant who
5304	5304	15 terminated service as a judge prior to July 1, 1971 shall be
5305	5305	16 based on the law in effect at the time of termination of
5306	5306	17 service.
5307	5307	18 (b) Except as provided in subsection (b-5), effective July
5308	5308	19 1, 1971, the retirement annuity for any participant in service
5309	5309	20 on or after such date shall be 3 1/2% of final average salary,
5310	5310	21 as defined in this Section, for each of the first 10 years of
5311	5311	22 service, and 5% of such final average salary for each year of
5312	5312	23 service in excess of 10.
5313	5313	24 For purposes of this Section, final average salary for a
5314	5314	25 participant who first serves as a judge before August 10, 2009
5315	5315
5316	5316
5317	5317
5318	5318
5319	5319
5320	5320	SB0002 - 148 - LRB104 07746 RPS 17791 b
5321	5321
5322	5322
5323	5323	SB0002- 149 -LRB104 07746 RPS 17791 b SB0002 - 149 - LRB104 07746 RPS 17791 b
5324	5324	SB0002 - 149 - LRB104 07746 RPS 17791 b
5325	5325	1 (the effective date of Public Act 96-207) shall be:
5326	5326	2 (1) the average salary for the last 4 years of
5327	5327	3 credited service as a judge for a participant who
5328	5328	4 terminates service before July 1, 1975.
5329	5329	5 (2) for a participant who terminates service after
5330	5330	6 June 30, 1975 and before July 1, 1982, the salary on the
5331	5331	7 last day of employment as a judge.
5332	5332	8 (3) for any participant who terminates service after
5333	5333	9 June 30, 1982 and before January 1, 1990, the average
5334	5334	10 salary for the final year of service as a judge.
5335	5335	11 (4) for a participant who terminates service on or
5336	5336	12 after January 1, 1990 but before July 14, 1995 (the
5337	5337	13 effective date of Public Act 89-136), the salary on the
5338	5338	14 last day of employment as a judge.
5339	5339	15 (5) for a participant who terminates service on or
5340	5340	16 after July 14, 1995 (the effective date of Public Act
5341	5341	17 89-136), the salary on the last day of employment as a
5342	5342	18 judge, or the highest salary received by the participant
5343	5343	19 for employment as a judge in a position held by the
5344	5344	20 participant for at least 4 consecutive years, whichever is
5345	5345	21 greater.
5346	5346	22 However, in the case of a participant who elects to
5347	5347	23 discontinue contributions as provided in subdivision (a)(2) of
5348	5348	24 Section 18-133, the time of such election shall be considered
5349	5349	25 the last day of employment in the determination of final
5350	5350	26 average salary under this subsection.
5351	5351
5352	5352
5353	5353
5354	5354
5355	5355
5356	5356	SB0002 - 149 - LRB104 07746 RPS 17791 b
5357	5357
5358	5358
5359	5359	SB0002- 150 -LRB104 07746 RPS 17791 b SB0002 - 150 - LRB104 07746 RPS 17791 b
5360	5360	SB0002 - 150 - LRB104 07746 RPS 17791 b
5361	5361	1 For a participant who first serves as a judge on or after
5362	5362	2 August 10, 2009 (the effective date of Public Act 96-207) and
5363	5363	3 before January 1, 2011 (the effective date of Public Act
5364	5364	4 96-889), final average salary shall be the average monthly
5365	5365	5 salary obtained by dividing the total salary of the
5366	5366	6 participant during the period of: (1) the 48 consecutive
5367	5367	7 months of service within the last 120 months of service in
5368	5368	8 which the total compensation was the highest, or (2) the total
5369	5369	9 period of service, if less than 48 months, by the number of
5370	5370	10 months of service in that period.
5371	5371	11 The maximum retirement annuity for any participant shall
5372	5372	12 be 85% of final average salary.
5373	5373	13 (b-5) Notwithstanding any other provision of this Article,
5374	5374	14 for a participant who first serves as a judge on or after
5375	5375	15 January 1, 2011 (the effective date of Public Act 96-889), the
5376	5376	16 annual retirement annuity is 3% of the participant's final
5377	5377	17 average salary for each year of service. The maximum
5378	5378	18 retirement annuity payable shall be 60% of the participant's
5379	5379	19 final average salary.
5380	5380	20 For a participant who first serves as a judge on or after
5381	5381	21 January 1, 2011 (the effective date of Public Act 96-889) and
5382	5382	22 who does not serve as a judge on or after January 1, 2026,
5383	5383	23 final average salary shall be the average monthly salary
5384	5384	24 obtained by dividing the total salary of the judge during the
5385	5385	25 96 consecutive months of service within the last 120 months of
5386	5386	26 service in which the total salary was the highest by the number
5387	5387
5388	5388
5389	5389
5390	5390
5391	5391
5392	5392	SB0002 - 150 - LRB104 07746 RPS 17791 b
5393	5393
5394	5394
5395	5395	SB0002- 151 -LRB104 07746 RPS 17791 b SB0002 - 151 - LRB104 07746 RPS 17791 b
5396	5396	SB0002 - 151 - LRB104 07746 RPS 17791 b
5397	5397	1 of months of service in that period; however, beginning
5398	5398	2 January 1, 2011, the annual salary may not exceed $106,800,
5399	5399	3 except that that amount shall annually thereafter be increased
5400	5400	4 by the lesser of (i) 3% of that amount, including all previous
5401	5401	5 adjustments, or (ii) the annual unadjusted percentage increase
5402	5402	6 (but not less than zero) in the consumer price index-u for the
5403	5403	7 12 months ending with the September preceding each November 1.
5404	5404	8 "Consumer price index-u" means the index published by the
5405	5405	9 Bureau of Labor Statistics of the United States Department of
5406	5406	10 Labor that measures the average change in prices of goods and
5407	5407	11 services purchased by all urban consumers, United States city
5408	5408	12 average, all items, 1982-84 = 100. The new amount resulting
5409	5409	13 from each annual adjustment shall be determined by the Public
5410	5410	14 Pension Division of the Department of Insurance and made
5411	5411	15 available to the Board by November 1st of each year.
5412	5412	16 Subject to any applicable limitation on final average
5413	5413	17 salary, for a participant who first serves as a judge on or
5414	5414	18 after January 1, 2011 and serves as a judge on or after January
5415	5415	19 1, 2026, final average salary shall be the salary on the last
5416	5416	20 day of employment as a judge or the highest salary received by
5417	5417	21 the participant for employment as a judge in a position held by
5418	5418	22 the participant for at least 4 consecutive years, whichever is
5419	5419	23 greater.
5420	5420	24 (c) The retirement annuity for a participant who retires
5421	5421	25 prior to age 60 with less than 28 years of service in the
5422	5422	26 System shall be reduced 1/2 of 1% for each month that the
5423	5423
5424	5424
5425	5425
5426	5426
5427	5427
5428	5428	SB0002 - 151 - LRB104 07746 RPS 17791 b
5429	5429
5430	5430
5431	5431	SB0002- 152 -LRB104 07746 RPS 17791 b SB0002 - 152 - LRB104 07746 RPS 17791 b
5432	5432	SB0002 - 152 - LRB104 07746 RPS 17791 b
5433	5433	1 participant's age is under 60 years at the time the annuity
5434	5434	2 commences. However, for a participant who retires on or after
5435	5435	3 December 10, 1999 (the effective date of Public Act 91-653),
5436	5436	4 the percentage reduction in retirement annuity imposed under
5437	5437	5 this subsection shall be reduced by 5/12 of 1% for every month
5438	5438	6 of service in this System in excess of 20 years, and therefore
5439	5439	7 a participant with at least 26 years of service in this System
5440	5440	8 may retire at age 55 without any reduction in annuity.
5441	5441	9 The reduction in retirement annuity imposed by this
5442	5442	10 subsection shall not apply in the case of retirement on
5443	5443	11 account of disability.
5444	5444	12 (d) Notwithstanding any other provision of this Article,
5445	5445	13 for a participant who first serves as a judge on or after
5446	5446	14 January 1, 2011 (the effective date of Public Act 96-889) and
5447	5447	15 who is retiring after attaining age 62, the retirement annuity
5448	5448	16 shall be reduced by 1/2 of 1% for each month that the
5449	5449	17 participant's age is under age 67 at the time the annuity
5450	5450	18 commences.
5451	5451	19 (Source: P.A. 100-201, eff. 8-18-17.)
5452	5452	20 Article 3.
5453	5453	21 Section 3-5. The Illinois Pension Code is amended by
5454	5454	22 changing Sections 1-160, 2-119.1, 3-111.1, 4-109.1, 5-167.1,
5455	5455	23 6-164, 7-142, 7-142.1, 15-136, and 18-125.1 as follows:
5456	5456
5457	5457
5458	5458
5459	5459
5460	5460
5461	5461	SB0002 - 152 - LRB104 07746 RPS 17791 b
5462	5462
5463	5463
5464	5464	SB0002- 153 -LRB104 07746 RPS 17791 b SB0002 - 153 - LRB104 07746 RPS 17791 b
5465	5465	SB0002 - 153 - LRB104 07746 RPS 17791 b
5466	5466	1 (40 ILCS 5/1-160)
5467	5467	2 (Text of Section from P.A. 102-719)
5468	5468	3 Sec. 1-160. Provisions applicable to new hires.
5469	5469	4 (a) The provisions of this Section apply to a person who,
5470	5470	5 on or after January 1, 2011, first becomes a member or a
5471	5471	6 participant under any reciprocal retirement system or pension
5472	5472	7 fund established under this Code, other than a retirement
5473	5473	8 system or pension fund established under Article 2, 3, 4, 5, 6,
5474	5474	9 7, 15, or 18 of this Code, notwithstanding any other provision
5475	5475	10 of this Code to the contrary, but do not apply to any
5476	5476	11 self-managed plan established under this Code or to any
5477	5477	12 participant of the retirement plan established under Section
5478	5478	13 22-101; except that this Section applies to a person who
5479	5479	14 elected to establish alternative credits by electing in
5480	5480	15 writing after January 1, 2011, but before August 8, 2011,
5481	5481	16 under Section 7-145.1 of this Code. Notwithstanding anything
5482	5482	17 to the contrary in this Section, for purposes of this Section,
5483	5483	18 a person who is a Tier 1 regular employee as defined in Section
5484	5484	19 7-109.4 of this Code or who participated in a retirement
5485	5485	20 system under Article 15 prior to January 1, 2011 shall be
5486	5486	21 deemed a person who first became a member or participant prior
5487	5487	22 to January 1, 2011 under any retirement system or pension fund
5488	5488	23 subject to this Section. The changes made to this Section by
5489	5489	24 Public Act 98-596 are a clarification of existing law and are
5490	5490	25 intended to be retroactive to January 1, 2011 (the effective
5491	5491	26 date of Public Act 96-889), notwithstanding the provisions of
5492	5492
5493	5493
5494	5494
5495	5495
5496	5496
5497	5497	SB0002 - 153 - LRB104 07746 RPS 17791 b
5498	5498
5499	5499
5500	5500	SB0002- 154 -LRB104 07746 RPS 17791 b SB0002 - 154 - LRB104 07746 RPS 17791 b
5501	5501	SB0002 - 154 - LRB104 07746 RPS 17791 b
5502	5502	1 Section 1-103.1 of this Code.
5503	5503	2 This Section does not apply to a person who first becomes a
5504	5504	3 noncovered employee under Article 14 on or after the
5505	5505	4 implementation date of the plan created under Section 1-161
5506	5506	5 for that Article, unless that person elects under subsection
5507	5507	6 (b) of Section 1-161 to instead receive the benefits provided
5508	5508	7 under this Section and the applicable provisions of that
5509	5509	8 Article.
5510	5510	9 This Section does not apply to a person who first becomes a
5511	5511	10 member or participant under Article 16 on or after the
5512	5512	11 implementation date of the plan created under Section 1-161
5513	5513	12 for that Article, unless that person elects under subsection
5514	5514	13 (b) of Section 1-161 to instead receive the benefits provided
5515	5515	14 under this Section and the applicable provisions of that
5516	5516	15 Article.
5517	5517	16 This Section does not apply to a person who elects under
5518	5518	17 subsection (c-5) of Section 1-161 to receive the benefits
5519	5519	18 under Section 1-161.
5520	5520	19 This Section does not apply to a person who first becomes a
5521	5521	20 member or participant of an affected pension fund on or after 6
5522	5522	21 months after the resolution or ordinance date, as defined in
5523	5523	22 Section 1-162, unless that person elects under subsection (c)
5524	5524	23 of Section 1-162 to receive the benefits provided under this
5525	5525	24 Section and the applicable provisions of the Article under
5526	5526	25 which he or she is a member or participant.
5527	5527	26 (b) "Final average salary" means, except as otherwise
5528	5528
5529	5529
5530	5530
5531	5531
5532	5532
5533	5533	SB0002 - 154 - LRB104 07746 RPS 17791 b
5534	5534
5535	5535
5536	5536	SB0002- 155 -LRB104 07746 RPS 17791 b SB0002 - 155 - LRB104 07746 RPS 17791 b
5537	5537	SB0002 - 155 - LRB104 07746 RPS 17791 b
5538	5538	1 provided in this subsection, the average monthly (or annual)
5539	5539	2 salary obtained by dividing the total salary or earnings
5540	5540	3 calculated under the Article applicable to the member or
5541	5541	4 participant during the 96 consecutive months (or 8 consecutive
5542	5542	5 years) of service within the last 120 months (or 10 years) of
5543	5543	6 service in which the total salary or earnings calculated under
5544	5544	7 the applicable Article was the highest by the number of months
5545	5545	8 (or years) of service in that period. For the purposes of a
5546	5546	9 person who first becomes a member or participant of any
5547	5547	10 retirement system or pension fund to which this Section
5548	5548	11 applies on or after January 1, 2011, in this Code, "final
5549	5549	12 average salary" shall be substituted for the following:
5550	5550	13 (1) (Blank).
5551	5551	14 (2) In Articles 8, 9, 10, 11, and 12, "highest average
5552	5552	15 annual salary for any 4 consecutive years within the last
5553	5553	16 10 years of service immediately preceding the date of
5554	5554	17 withdrawal".
5555	5555	18 (3) In Article 13, "average final salary".
5556	5556	19 (4) In Article 14, "final average compensation".
5557	5557	20 (5) In Article 17, "average salary".
5558	5558	21 (6) In Section 22-207, "wages or salary received by
5559	5559	22 him at the date of retirement or discharge".
5560	5560	23 A member of the Teachers' Retirement System of the State
5561	5561	24 of Illinois who retires on or after June 1, 2021 and for whom
5562	5562	25 the 2020-2021 school year is used in the calculation of the
5563	5563	26 member's final average salary shall use the higher of the
5564	5564
5565	5565
5566	5566
5567	5567
5568	5568
5569	5569	SB0002 - 155 - LRB104 07746 RPS 17791 b
5570	5570
5571	5571
5572	5572	SB0002- 156 -LRB104 07746 RPS 17791 b SB0002 - 156 - LRB104 07746 RPS 17791 b
5573	5573	SB0002 - 156 - LRB104 07746 RPS 17791 b
5574	5574	1 following for the purpose of determining the member's final
5575	5575	2 average salary:
5576	5576	3 (A) the amount otherwise calculated under the first
5577	5577	4 paragraph of this subsection; or
5578	5578	5 (B) an amount calculated by the Teachers' Retirement
5579	5579	6 System of the State of Illinois using the average of the
5580	5580	7 monthly (or annual) salary obtained by dividing the total
5581	5581	8 salary or earnings calculated under Article 16 applicable
5582	5582	9 to the member or participant during the 96 months (or 8
5583	5583	10 years) of service within the last 120 months (or 10 years)
5584	5584	11 of service in which the total salary or earnings
5585	5585	12 calculated under the Article was the highest by the number
5586	5586	13 of months (or years) of service in that period.
5587	5587	14 (b-5) Beginning on January 1, 2011, for all purposes under
5588	5588	15 this Code (including without limitation the calculation of
5589	5589	16 benefits and employee contributions), the annual earnings,
5590	5590	17 salary, or wages (based on the plan year) of a member or
5591	5591	18 participant to whom this Section applies shall not exceed
5592	5592	19 $106,800; however, that amount shall annually thereafter be
5593	5593	20 increased by the lesser of (i) 3% of that amount, including all
5594	5594	21 previous adjustments, or (ii) one-half the annual unadjusted
5595	5595	22 percentage increase (but not less than zero) in the consumer
5596	5596	23 price index-u for the 12 months ending with the September
5597	5597	24 preceding each November 1, including all previous adjustments.
5598	5598	25 For the purposes of this Section, "consumer price index-u"
5599	5599	26 means the index published by the Bureau of Labor Statistics of
5600	5600
5601	5601
5602	5602
5603	5603
5604	5604
5605	5605	SB0002 - 156 - LRB104 07746 RPS 17791 b
5606	5606
5607	5607
5608	5608	SB0002- 157 -LRB104 07746 RPS 17791 b SB0002 - 157 - LRB104 07746 RPS 17791 b
5609	5609	SB0002 - 157 - LRB104 07746 RPS 17791 b
5610	5610	1 the United States Department of Labor that measures the
5611	5611	2 average change in prices of goods and services purchased by
5612	5612	3 all urban consumers, United States city average, all items,
5613	5613	4 1982-84 = 100. The new amount resulting from each annual
5614	5614	5 adjustment shall be determined by the Public Pension Division
5615	5615	6 of the Department of Insurance and made available to the
5616	5616	7 boards of the retirement systems and pension funds by November
5617	5617	8 1 of each year.
5618	5618	9 (b-10) Beginning on January 1, 2024, for all purposes
5619	5619	10 under this Code (including, without limitation, the
5620	5620	11 calculation of benefits and employee contributions), the
5621	5621	12 annual earnings, salary, or wages (based on the plan year) of a
5622	5622	13 member or participant under Article 9 to whom this Section
5623	5623	14 applies shall include an annual earnings, salary, or wage cap
5624	5624	15 that tracks the Social Security wage base. Maximum annual
5625	5625	16 earnings, wages, or salary shall be the annual contribution
5626	5626	17 and benefit base established for the applicable year by the
5627	5627	18 Commissioner of the Social Security Administration under the
5628	5628	19 federal Social Security Act.
5629	5629	20 However, in no event shall the annual earnings, salary, or
5630	5630	21 wages for the purposes of this Article and Article 9 exceed any
5631	5631	22 limitation imposed on annual earnings, salary, or wages under
5632	5632	23 Section 1-117. Under no circumstances shall the maximum amount
5633	5633	24 of annual earnings, salary, or wages be greater than the
5634	5634	25 amount set forth in this subsection (b-10) as a result of
5635	5635	26 reciprocal service or any provisions regarding reciprocal
5636	5636
5637	5637
5638	5638
5639	5639
5640	5640
5641	5641	SB0002 - 157 - LRB104 07746 RPS 17791 b
5642	5642
5643	5643
5644	5644	SB0002- 158 -LRB104 07746 RPS 17791 b SB0002 - 158 - LRB104 07746 RPS 17791 b
5645	5645	SB0002 - 158 - LRB104 07746 RPS 17791 b
5646	5646	1 services, nor shall the Fund under Article 9 be required to pay
5647	5647	2 any refund as a result of the application of this maximum
5648	5648	3 annual earnings, salary, and wage cap.
5649	5649	4 Nothing in this subsection (b-10) shall cause or otherwise
5650	5650	5 result in any retroactive adjustment of any employee
5651	5651	6 contributions. Nothing in this subsection (b-10) shall cause
5652	5652	7 or otherwise result in any retroactive adjustment of
5653	5653	8 disability or other payments made between January 1, 2011 and
5654	5654	9 January 1, 2024.
5655	5655	10 (c) A member or participant is entitled to a retirement
5656	5656	11 annuity upon written application if he or she has attained age
5657	5657	12 67 (age 65, with respect to service under Article 12 that is
5658	5658	13 subject to this Section, for a member or participant under
5659	5659	14 Article 12 who first becomes a member or participant under
5660	5660	15 Article 12 on or after January 1, 2022 or who makes the
5661	5661	16 election under item (i) of subsection (d-15) of this Section)
5662	5662	17 and has at least 10 years of service credit and is otherwise
5663	5663	18 eligible under the requirements of the applicable Article.
5664	5664	19 A member or participant who has attained age 62 (age 60,
5665	5665	20 with respect to service under Article 12 that is subject to
5666	5666	21 this Section, for a member or participant under Article 12 who
5667	5667	22 first becomes a member or participant under Article 12 on or
5668	5668	23 after January 1, 2022 or who makes the election under item (i)
5669	5669	24 of subsection (d-15) of this Section) and has at least 10 years
5670	5670	25 of service credit and is otherwise eligible under the
5671	5671	26 requirements of the applicable Article may elect to receive
5672	5672
5673	5673
5674	5674
5675	5675
5676	5676
5677	5677	SB0002 - 158 - LRB104 07746 RPS 17791 b
5678	5678
5679	5679
5680	5680	SB0002- 159 -LRB104 07746 RPS 17791 b SB0002 - 159 - LRB104 07746 RPS 17791 b
5681	5681	SB0002 - 159 - LRB104 07746 RPS 17791 b
5682	5682	1 the lower retirement annuity provided in subsection (d) of
5683	5683	2 this Section.
5684	5684	3 (c-5) A person who first becomes a member or a participant
5685	5685	4 subject to this Section on or after July 6, 2017 (the effective
5686	5686	5 date of Public Act 100-23), notwithstanding any other
5687	5687	6 provision of this Code to the contrary, is entitled to a
5688	5688	7 retirement annuity under Article 8 or Article 11 upon written
5689	5689	8 application if he or she has attained age 65 and has at least
5690	5690	9 10 years of service credit and is otherwise eligible under the
5691	5691	10 requirements of Article 8 or Article 11 of this Code,
5692	5692	11 whichever is applicable.
5693	5693	12 (d) The retirement annuity of a member or participant who
5694	5694	13 is retiring after attaining age 62 (age 60, with respect to
5695	5695	14 service under Article 12 that is subject to this Section, for a
5696	5696	15 member or participant under Article 12 who first becomes a
5697	5697	16 member or participant under Article 12 on or after January 1,
5698	5698	17 2022 or who makes the election under item (i) of subsection
5699	5699	18 (d-15) of this Section) with at least 10 years of service
5700	5700	19 credit shall be reduced by one-half of 1% for each full month
5701	5701	20 that the member's age is under age 67 (age 65, with respect to
5702	5702	21 service under Article 12 that is subject to this Section, for a
5703	5703	22 member or participant under Article 12 who first becomes a
5704	5704	23 member or participant under Article 12 on or after January 1,
5705	5705	24 2022 or who makes the election under item (i) of subsection
5706	5706	25 (d-15) of this Section).
5707	5707	26 (d-5) The retirement annuity payable under Article 8 or
5708	5708
5709	5709
5710	5710
5711	5711
5712	5712
5713	5713	SB0002 - 159 - LRB104 07746 RPS 17791 b
5714	5714
5715	5715
5716	5716	SB0002- 160 -LRB104 07746 RPS 17791 b SB0002 - 160 - LRB104 07746 RPS 17791 b
5717	5717	SB0002 - 160 - LRB104 07746 RPS 17791 b
5718	5718	1 Article 11 to an eligible person subject to subsection (c-5)
5719	5719	2 of this Section who is retiring at age 60 with at least 10
5720	5720	3 years of service credit shall be reduced by one-half of 1% for
5721	5721	4 each full month that the member's age is under age 65.
5722	5722	5 (d-10) Each person who first became a member or
5723	5723	6 participant under Article 8 or Article 11 of this Code on or
5724	5724	7 after January 1, 2011 and prior to July 6, 2017 (the effective
5725	5725	8 date of Public Act 100-23) shall make an irrevocable election
5726	5726	9 either:
5727	5727	10 (i) to be eligible for the reduced retirement age
5728	5728	11 provided in subsections (c-5) and (d-5) of this Section,
5729	5729	12 the eligibility for which is conditioned upon the member
5730	5730	13 or participant agreeing to the increases in employee
5731	5731	14 contributions for age and service annuities provided in
5732	5732	15 subsection (a-5) of Section 8-174 of this Code (for
5733	5733	16 service under Article 8) or subsection (a-5) of Section
5734	5734	17 11-170 of this Code (for service under Article 11); or
5735	5735	18 (ii) to not agree to item (i) of this subsection
5736	5736	19 (d-10), in which case the member or participant shall
5737	5737	20 continue to be subject to the retirement age provisions in
5738	5738	21 subsections (c) and (d) of this Section and the employee
5739	5739	22 contributions for age and service annuity as provided in
5740	5740	23 subsection (a) of Section 8-174 of this Code (for service
5741	5741	24 under Article 8) or subsection (a) of Section 11-170 of
5742	5742	25 this Code (for service under Article 11).
5743	5743	26 The election provided for in this subsection shall be made
5744	5744
5745	5745
5746	5746
5747	5747
5748	5748
5749	5749	SB0002 - 160 - LRB104 07746 RPS 17791 b
5750	5750
5751	5751
5752	5752	SB0002- 161 -LRB104 07746 RPS 17791 b SB0002 - 161 - LRB104 07746 RPS 17791 b
5753	5753	SB0002 - 161 - LRB104 07746 RPS 17791 b
5754	5754	1 between October 1, 2017 and November 15, 2017. A person
5755	5755	2 subject to this subsection who makes the required election
5756	5756	3 shall remain bound by that election. A person subject to this
5757	5757	4 subsection who fails for any reason to make the required
5758	5758	5 election within the time specified in this subsection shall be
5759	5759	6 deemed to have made the election under item (ii).
5760	5760	7 (d-15) Each person who first becomes a member or
5761	5761	8 participant under Article 12 on or after January 1, 2011 and
5762	5762	9 prior to January 1, 2022 shall make an irrevocable election
5763	5763	10 either:
5764	5764	11 (i) to be eligible for the reduced retirement age
5765	5765	12 specified in subsections (c) and (d) of this Section, the
5766	5766	13 eligibility for which is conditioned upon the member or
5767	5767	14 participant agreeing to the increase in employee
5768	5768	15 contributions for service annuities specified in
5769	5769	16 subsection (b) of Section 12-150; or
5770	5770	17 (ii) to not agree to item (i) of this subsection
5771	5771	18 (d-15), in which case the member or participant shall not
5772	5772	19 be eligible for the reduced retirement age specified in
5773	5773	20 subsections (c) and (d) of this Section and shall not be
5774	5774	21 subject to the increase in employee contributions for
5775	5775	22 service annuities specified in subsection (b) of Section
5776	5776	23 12-150.
5777	5777	24 The election provided for in this subsection shall be made
5778	5778	25 between January 1, 2022 and April 1, 2022. A person subject to
5779	5779	26 this subsection who makes the required election shall remain
5780	5780
5781	5781
5782	5782
5783	5783
5784	5784
5785	5785	SB0002 - 161 - LRB104 07746 RPS 17791 b
5786	5786
5787	5787
5788	5788	SB0002- 162 -LRB104 07746 RPS 17791 b SB0002 - 162 - LRB104 07746 RPS 17791 b
5789	5789	SB0002 - 162 - LRB104 07746 RPS 17791 b
5790	5790	1 bound by that election. A person subject to this subsection
5791	5791	2 who fails for any reason to make the required election within
5792	5792	3 the time specified in this subsection shall be deemed to have
5793	5793	4 made the election under item (ii).
5794	5794	5 (e) Any retirement annuity or supplemental annuity shall
5795	5795	6 be subject to annual increases on the January 1 occurring
5796	5796	7 either on or after the attainment of age 67 (age 65, with
5797	5797	8 respect to service under Article 12 that is subject to this
5798	5798	9 Section, for a member or participant under Article 12 who
5799	5799	10 first becomes a member or participant under Article 12 on or
5800	5800	11 after January 1, 2022 or who makes the election under item (i)
5801	5801	12 of subsection (d-15); and beginning on July 6, 2017 (the
5802	5802	13 effective date of Public Act 100-23), age 65 with respect to
5803	5803	14 service under Article 8 or Article 11 for eligible persons
5804	5804	15 who: (i) are subject to subsection (c-5) of this Section; or
5805	5805	16 (ii) made the election under item (i) of subsection (d-10) of
5806	5806	17 this Section) or the first anniversary of the annuity start
5807	5807	18 date, whichever is later. Each annual increase shall be
5808	5808	19 calculated at 3% or one-half the annual unadjusted percentage
5809	5809	20 increase (but not less than zero) in the consumer price
5810	5810	21 index-u for the 12 months ending with the September preceding
5811	5811	22 each November 1, whichever is less, of the originally granted
5812	5812	23 retirement annuity. If the annual unadjusted percentage change
5813	5813	24 in the consumer price index-u for the 12 months ending with the
5814	5814	25 September preceding each November 1 is zero or there is a
5815	5815	26 decrease, then the annuity shall not be increased.
5816	5816
5817	5817
5818	5818
5819	5819
5820	5820
5821	5821	SB0002 - 162 - LRB104 07746 RPS 17791 b
5822	5822
5823	5823
5824	5824	SB0002- 163 -LRB104 07746 RPS 17791 b SB0002 - 163 - LRB104 07746 RPS 17791 b
5825	5825	SB0002 - 163 - LRB104 07746 RPS 17791 b
5826	5826	1 Beginning January 1, 2026, for persons to whom this
5827	5827	2 Section applies, each annual increase in a retirement annuity
5828	5828	3 or supplemental annuity shall be calculated at 3% of the
5829	5829	4 originally granted retirement annuity.
5830	5830	5 For the purposes of Section 1-103.1 of this Code, the
5831	5831	6 changes made to this subsection by this amendatory Act of the
5832	5832	7 104th General Assembly are applicable without regard to
5833	5833	8 whether the employee was in active service on or after the
5834	5834	9 effective date of this amendatory Act of the 104th General
5835	5835	10 Assembly.
5836	5836	11 For the purposes of Section 1-103.1 of this Code, the
5837	5837	12 changes made to this Section by Public Act 102-263 are
5838	5838	13 applicable without regard to whether the employee was in
5839	5839	14 active service on or after August 6, 2021 (the effective date
5840	5840	15 of Public Act 102-263).
5841	5841	16 For the purposes of Section 1-103.1 of this Code, the
5842	5842	17 changes made to this Section by Public Act 100-23 are
5843	5843	18 applicable without regard to whether the employee was in
5844	5844	19 active service on or after July 6, 2017 (the effective date of
5845	5845	20 Public Act 100-23).
5846	5846	21 (f) The initial survivor's or widow's annuity of an
5847	5847	22 otherwise eligible survivor or widow of a retired member or
5848	5848	23 participant who first became a member or participant on or
5849	5849	24 after January 1, 2011 shall be in the amount of 66 2/3% of the
5850	5850	25 retired member's or participant's retirement annuity at the
5851	5851	26 date of death. In the case of the death of a member or
5852	5852
5853	5853
5854	5854
5855	5855
5856	5856
5857	5857	SB0002 - 163 - LRB104 07746 RPS 17791 b
5858	5858
5859	5859
5860	5860	SB0002- 164 -LRB104 07746 RPS 17791 b SB0002 - 164 - LRB104 07746 RPS 17791 b
5861	5861	SB0002 - 164 - LRB104 07746 RPS 17791 b
5862	5862	1 participant who has not retired and who first became a member
5863	5863	2 or participant on or after January 1, 2011, eligibility for a
5864	5864	3 survivor's or widow's annuity shall be determined by the
5865	5865	4 applicable Article of this Code. The initial benefit shall be
5866	5866	5 66 2/3% of the earned annuity without a reduction due to age. A
5867	5867	6 child's annuity of an otherwise eligible child shall be in the
5868	5868	7 amount prescribed under each Article if applicable. Any
5869	5869	8 survivor's or widow's annuity shall be increased (1) on each
5870	5870	9 January 1 occurring on or after the commencement of the
5871	5871	10 annuity if the deceased member died while receiving a
5872	5872	11 retirement annuity or (2) in other cases, on each January 1
5873	5873	12 occurring after the first anniversary of the commencement of
5874	5874	13 the annuity. Each annual increase shall be calculated at 3% or
5875	5875	14 one-half the annual unadjusted percentage increase (but not
5876	5876	15 less than zero) in the consumer price index-u for the 12 months
5877	5877	16 ending with the September preceding each November 1, whichever
5878	5878	17 is less, of the originally granted survivor's annuity. If the
5879	5879	18 annual unadjusted percentage change in the consumer price
5880	5880	19 index-u for the 12 months ending with the September preceding
5881	5881	20 each November 1 is zero or there is a decrease, then the
5882	5882	21 annuity shall not be increased.
5883	5883	22 (g) The benefits in Section 14-110 apply if the person is a
5884	5884	23 fire fighter in the fire protection service of a department, a
5885	5885	24 security employee of the Department of Corrections or the
5886	5886	25 Department of Juvenile Justice, or a security employee of the
5887	5887	26 Department of Innovation and Technology, as those terms are
5888	5888
5889	5889
5890	5890
5891	5891
5892	5892
5893	5893	SB0002 - 164 - LRB104 07746 RPS 17791 b
5894	5894
5895	5895
5896	5896	SB0002- 165 -LRB104 07746 RPS 17791 b SB0002 - 165 - LRB104 07746 RPS 17791 b
5897	5897	SB0002 - 165 - LRB104 07746 RPS 17791 b
5898	5898	1 defined in subsection (b) and subsection (c) of Section
5899	5899	2 14-110. A person who meets the requirements of this Section is
5900	5900	3 entitled to an annuity calculated under the provisions of
5901	5901	4 Section 14-110, in lieu of the regular or minimum retirement
5902	5902	5 annuity, only if the person has withdrawn from service with
5903	5903	6 not less than 20 years of eligible creditable service and has
5904	5904	7 attained age 60, regardless of whether the attainment of age
5905	5905	8 60 occurs while the person is still in service.
5906	5906	9 (g-5) The benefits in Section 14-110 apply if the person
5907	5907	10 is a State policeman, investigator for the Secretary of State,
5908	5908	11 conservation police officer, investigator for the Department
5909	5909	12 of Revenue or the Illinois Gaming Board, investigator for the
5910	5910	13 Office of the Attorney General, Commerce Commission police
5911	5911	14 officer, or arson investigator, as those terms are defined in
5912	5912	15 subsection (b) and subsection (c) of Section 14-110. A person
5913	5913	16 who meets the requirements of this Section is entitled to an
5914	5914	17 annuity calculated under the provisions of Section 14-110, in
5915	5915	18 lieu of the regular or minimum retirement annuity, only if the
5916	5916	19 person has withdrawn from service with not less than 20 years
5917	5917	20 of eligible creditable service and has attained age 55,
5918	5918	21 regardless of whether the attainment of age 55 occurs while
5919	5919	22 the person is still in service.
5920	5920	23 (h) If a person who first becomes a member or a participant
5921	5921	24 of a retirement system or pension fund subject to this Section
5922	5922	25 on or after January 1, 2011 is receiving a retirement annuity
5923	5923	26 or retirement pension under that system or fund and becomes a
5924	5924
5925	5925
5926	5926
5927	5927
5928	5928
5929	5929	SB0002 - 165 - LRB104 07746 RPS 17791 b
5930	5930
5931	5931
5932	5932	SB0002- 166 -LRB104 07746 RPS 17791 b SB0002 - 166 - LRB104 07746 RPS 17791 b
5933	5933	SB0002 - 166 - LRB104 07746 RPS 17791 b
5934	5934	1 member or participant under any other system or fund created
5935	5935	2 by this Code and is employed on a full-time basis, except for
5936	5936	3 those members or participants exempted from the provisions of
5937	5937	4 this Section under subsection (a) of this Section, then the
5938	5938	5 person's retirement annuity or retirement pension under that
5939	5939	6 system or fund shall be suspended during that employment. Upon
5940	5940	7 termination of that employment, the person's retirement
5941	5941	8 annuity or retirement pension payments shall resume and be
5942	5942	9 recalculated if recalculation is provided for under the
5943	5943	10 applicable Article of this Code.
5944	5944	11 If a person who first becomes a member of a retirement
5945	5945	12 system or pension fund subject to this Section on or after
5946	5946	13 January 1, 2012 and is receiving a retirement annuity or
5947	5947	14 retirement pension under that system or fund and accepts on a
5948	5948	15 contractual basis a position to provide services to a
5949	5949	16 governmental entity from which he or she has retired, then
5950	5950	17 that person's annuity or retirement pension earned as an
5951	5951	18 active employee of the employer shall be suspended during that
5952	5952	19 contractual service. A person receiving an annuity or
5953	5953	20 retirement pension under this Code shall notify the pension
5954	5954	21 fund or retirement system from which he or she is receiving an
5955	5955	22 annuity or retirement pension, as well as his or her
5956	5956	23 contractual employer, of his or her retirement status before
5957	5957	24 accepting contractual employment. A person who fails to submit
5958	5958	25 such notification shall be guilty of a Class A misdemeanor and
5959	5959	26 required to pay a fine of $1,000. Upon termination of that
5960	5960
5961	5961
5962	5962
5963	5963
5964	5964
5965	5965	SB0002 - 166 - LRB104 07746 RPS 17791 b
5966	5966
5967	5967
5968	5968	SB0002- 167 -LRB104 07746 RPS 17791 b SB0002 - 167 - LRB104 07746 RPS 17791 b
5969	5969	SB0002 - 167 - LRB104 07746 RPS 17791 b
5970	5970	1 contractual employment, the person's retirement annuity or
5971	5971	2 retirement pension payments shall resume and, if appropriate,
5972	5972	3 be recalculated under the applicable provisions of this Code.
5973	5973	4 (i) (Blank).
5974	5974	5 (j) In the case of a conflict between the provisions of
5975	5975	6 this Section and any other provision of this Code, the
5976	5976	7 provisions of this Section shall control.
5977	5977	8 (Source: P.A. 101-610, eff. 1-1-20; 102-16, eff. 6-17-21;
5978	5978	9 102-210, eff. 1-1-22; 102-263, eff. 8-6-21; 102-719, eff.
5979	5979	10 5-6-22; 103-529, eff. 8-11-23.)
5980	5980	11 (Text of Section from P.A. 102-813)
5981	5981	12 Sec. 1-160. Provisions applicable to new hires.
5982	5982	13 (a) The provisions of this Section apply to a person who,
5983	5983	14 on or after January 1, 2011, first becomes a member or a
5984	5984	15 participant under any reciprocal retirement system or pension
5985	5985	16 fund established under this Code, other than a retirement
5986	5986	17 system or pension fund established under Article 2, 3, 4, 5, 6,
5987	5987	18 7, 15, or 18 of this Code, notwithstanding any other provision
5988	5988	19 of this Code to the contrary, but do not apply to any
5989	5989	20 self-managed plan established under this Code or to any
5990	5990	21 participant of the retirement plan established under Section
5991	5991	22 22-101; except that this Section applies to a person who
5992	5992	23 elected to establish alternative credits by electing in
5993	5993	24 writing after January 1, 2011, but before August 8, 2011,
5994	5994	25 under Section 7-145.1 of this Code. Notwithstanding anything
5995	5995
5996	5996
5997	5997
5998	5998
5999	5999
6000	6000	SB0002 - 167 - LRB104 07746 RPS 17791 b
6001	6001
6002	6002
6003	6003	SB0002- 168 -LRB104 07746 RPS 17791 b SB0002 - 168 - LRB104 07746 RPS 17791 b
6004	6004	SB0002 - 168 - LRB104 07746 RPS 17791 b
6005	6005	1 to the contrary in this Section, for purposes of this Section,
6006	6006	2 a person who is a Tier 1 regular employee as defined in Section
6007	6007	3 7-109.4 of this Code or who participated in a retirement
6008	6008	4 system under Article 15 prior to January 1, 2011 shall be
6009	6009	5 deemed a person who first became a member or participant prior
6010	6010	6 to January 1, 2011 under any retirement system or pension fund
6011	6011	7 subject to this Section. The changes made to this Section by
6012	6012	8 Public Act 98-596 are a clarification of existing law and are
6013	6013	9 intended to be retroactive to January 1, 2011 (the effective
6014	6014	10 date of Public Act 96-889), notwithstanding the provisions of
6015	6015	11 Section 1-103.1 of this Code.
6016	6016	12 This Section does not apply to a person who first becomes a
6017	6017	13 noncovered employee under Article 14 on or after the
6018	6018	14 implementation date of the plan created under Section 1-161
6019	6019	15 for that Article, unless that person elects under subsection
6020	6020	16 (b) of Section 1-161 to instead receive the benefits provided
6021	6021	17 under this Section and the applicable provisions of that
6022	6022	18 Article.
6023	6023	19 This Section does not apply to a person who first becomes a
6024	6024	20 member or participant under Article 16 on or after the
6025	6025	21 implementation date of the plan created under Section 1-161
6026	6026	22 for that Article, unless that person elects under subsection
6027	6027	23 (b) of Section 1-161 to instead receive the benefits provided
6028	6028	24 under this Section and the applicable provisions of that
6029	6029	25 Article.
6030	6030	26 This Section does not apply to a person who elects under
6031	6031
6032	6032
6033	6033
6034	6034
6035	6035
6036	6036	SB0002 - 168 - LRB104 07746 RPS 17791 b
6037	6037
6038	6038
6039	6039	SB0002- 169 -LRB104 07746 RPS 17791 b SB0002 - 169 - LRB104 07746 RPS 17791 b
6040	6040	SB0002 - 169 - LRB104 07746 RPS 17791 b
6041	6041	1 subsection (c-5) of Section 1-161 to receive the benefits
6042	6042	2 under Section 1-161.
6043	6043	3 This Section does not apply to a person who first becomes a
6044	6044	4 member or participant of an affected pension fund on or after 6
6045	6045	5 months after the resolution or ordinance date, as defined in
6046	6046	6 Section 1-162, unless that person elects under subsection (c)
6047	6047	7 of Section 1-162 to receive the benefits provided under this
6048	6048	8 Section and the applicable provisions of the Article under
6049	6049	9 which he or she is a member or participant.
6050	6050	10 (b) "Final average salary" means, except as otherwise
6051	6051	11 provided in this subsection, the average monthly (or annual)
6052	6052	12 salary obtained by dividing the total salary or earnings
6053	6053	13 calculated under the Article applicable to the member or
6054	6054	14 participant during the 96 consecutive months (or 8 consecutive
6055	6055	15 years) of service within the last 120 months (or 10 years) of
6056	6056	16 service in which the total salary or earnings calculated under
6057	6057	17 the applicable Article was the highest by the number of months
6058	6058	18 (or years) of service in that period. For the purposes of a
6059	6059	19 person who first becomes a member or participant of any
6060	6060	20 retirement system or pension fund to which this Section
6061	6061	21 applies on or after January 1, 2011, in this Code, "final
6062	6062	22 average salary" shall be substituted for the following:
6063	6063	23 (1) (Blank).
6064	6064	24 (2) In Articles 8, 9, 10, 11, and 12, "highest average
6065	6065	25 annual salary for any 4 consecutive years within the last
6066	6066	26 10 years of service immediately preceding the date of
6067	6067
6068	6068
6069	6069
6070	6070
6071	6071
6072	6072	SB0002 - 169 - LRB104 07746 RPS 17791 b
6073	6073
6074	6074
6075	6075	SB0002- 170 -LRB104 07746 RPS 17791 b SB0002 - 170 - LRB104 07746 RPS 17791 b
6076	6076	SB0002 - 170 - LRB104 07746 RPS 17791 b
6077	6077	1 withdrawal".
6078	6078	2 (3) In Article 13, "average final salary".
6079	6079	3 (4) In Article 14, "final average compensation".
6080	6080	4 (5) In Article 17, "average salary".
6081	6081	5 (6) In Section 22-207, "wages or salary received by
6082	6082	6 him at the date of retirement or discharge".
6083	6083	7 A member of the Teachers' Retirement System of the State
6084	6084	8 of Illinois who retires on or after June 1, 2021 and for whom
6085	6085	9 the 2020-2021 school year is used in the calculation of the
6086	6086	10 member's final average salary shall use the higher of the
6087	6087	11 following for the purpose of determining the member's final
6088	6088	12 average salary:
6089	6089	13 (A) the amount otherwise calculated under the first
6090	6090	14 paragraph of this subsection; or
6091	6091	15 (B) an amount calculated by the Teachers' Retirement
6092	6092	16 System of the State of Illinois using the average of the
6093	6093	17 monthly (or annual) salary obtained by dividing the total
6094	6094	18 salary or earnings calculated under Article 16 applicable
6095	6095	19 to the member or participant during the 96 months (or 8
6096	6096	20 years) of service within the last 120 months (or 10 years)
6097	6097	21 of service in which the total salary or earnings
6098	6098	22 calculated under the Article was the highest by the number
6099	6099	23 of months (or years) of service in that period.
6100	6100	24 (b-5) Beginning on January 1, 2011, for all purposes under
6101	6101	25 this Code (including without limitation the calculation of
6102	6102	26 benefits and employee contributions), the annual earnings,
6103	6103
6104	6104
6105	6105
6106	6106
6107	6107
6108	6108	SB0002 - 170 - LRB104 07746 RPS 17791 b
6109	6109
6110	6110
6111	6111	SB0002- 171 -LRB104 07746 RPS 17791 b SB0002 - 171 - LRB104 07746 RPS 17791 b
6112	6112	SB0002 - 171 - LRB104 07746 RPS 17791 b
6113	6113	1 salary, or wages (based on the plan year) of a member or
6114	6114	2 participant to whom this Section applies shall not exceed
6115	6115	3 $106,800; however, that amount shall annually thereafter be
6116	6116	4 increased by the lesser of (i) 3% of that amount, including all
6117	6117	5 previous adjustments, or (ii) one-half the annual unadjusted
6118	6118	6 percentage increase (but not less than zero) in the consumer
6119	6119	7 price index-u for the 12 months ending with the September
6120	6120	8 preceding each November 1, including all previous adjustments.
6121	6121	9 For the purposes of this Section, "consumer price index-u"
6122	6122	10 means the index published by the Bureau of Labor Statistics of
6123	6123	11 the United States Department of Labor that measures the
6124	6124	12 average change in prices of goods and services purchased by
6125	6125	13 all urban consumers, United States city average, all items,
6126	6126	14 1982-84 = 100. The new amount resulting from each annual
6127	6127	15 adjustment shall be determined by the Public Pension Division
6128	6128	16 of the Department of Insurance and made available to the
6129	6129	17 boards of the retirement systems and pension funds by November
6130	6130	18 1 of each year.
6131	6131	19 (b-10) Beginning on January 1, 2024, for all purposes
6132	6132	20 under this Code (including, without limitation, the
6133	6133	21 calculation of benefits and employee contributions), the
6134	6134	22 annual earnings, salary, or wages (based on the plan year) of a
6135	6135	23 member or participant under Article 9 to whom this Section
6136	6136	24 applies shall include an annual earnings, salary, or wage cap
6137	6137	25 that tracks the Social Security wage base. Maximum annual
6138	6138	26 earnings, wages, or salary shall be the annual contribution
6139	6139
6140	6140
6141	6141
6142	6142
6143	6143
6144	6144	SB0002 - 171 - LRB104 07746 RPS 17791 b
6145	6145
6146	6146
6147	6147	SB0002- 172 -LRB104 07746 RPS 17791 b SB0002 - 172 - LRB104 07746 RPS 17791 b
6148	6148	SB0002 - 172 - LRB104 07746 RPS 17791 b
6149	6149	1 and benefit base established for the applicable year by the
6150	6150	2 Commissioner of the Social Security Administration under the
6151	6151	3 federal Social Security Act.
6152	6152	4 However, in no event shall the annual earnings, salary, or
6153	6153	5 wages for the purposes of this Article and Article 9 exceed any
6154	6154	6 limitation imposed on annual earnings, salary, or wages under
6155	6155	7 Section 1-117. Under no circumstances shall the maximum amount
6156	6156	8 of annual earnings, salary, or wages be greater than the
6157	6157	9 amount set forth in this subsection (b-10) as a result of
6158	6158	10 reciprocal service or any provisions regarding reciprocal
6159	6159	11 services, nor shall the Fund under Article 9 be required to pay
6160	6160	12 any refund as a result of the application of this maximum
6161	6161	13 annual earnings, salary, and wage cap.
6162	6162	14 Nothing in this subsection (b-10) shall cause or otherwise
6163	6163	15 result in any retroactive adjustment of any employee
6164	6164	16 contributions. Nothing in this subsection (b-10) shall cause
6165	6165	17 or otherwise result in any retroactive adjustment of
6166	6166	18 disability or other payments made between January 1, 2011 and
6167	6167	19 January 1, 2024.
6168	6168	20 (c) A member or participant is entitled to a retirement
6169	6169	21 annuity upon written application if he or she has attained age
6170	6170	22 67 (age 65, with respect to service under Article 12 that is
6171	6171	23 subject to this Section, for a member or participant under
6172	6172	24 Article 12 who first becomes a member or participant under
6173	6173	25 Article 12 on or after January 1, 2022 or who makes the
6174	6174	26 election under item (i) of subsection (d-15) of this Section)
6175	6175
6176	6176
6177	6177
6178	6178
6179	6179
6180	6180	SB0002 - 172 - LRB104 07746 RPS 17791 b
6181	6181
6182	6182
6183	6183	SB0002- 173 -LRB104 07746 RPS 17791 b SB0002 - 173 - LRB104 07746 RPS 17791 b
6184	6184	SB0002 - 173 - LRB104 07746 RPS 17791 b
6185	6185	1 and has at least 10 years of service credit and is otherwise
6186	6186	2 eligible under the requirements of the applicable Article.
6187	6187	3 A member or participant who has attained age 62 (age 60,
6188	6188	4 with respect to service under Article 12 that is subject to
6189	6189	5 this Section, for a member or participant under Article 12 who
6190	6190	6 first becomes a member or participant under Article 12 on or
6191	6191	7 after January 1, 2022 or who makes the election under item (i)
6192	6192	8 of subsection (d-15) of this Section) and has at least 10 years
6193	6193	9 of service credit and is otherwise eligible under the
6194	6194	10 requirements of the applicable Article may elect to receive
6195	6195	11 the lower retirement annuity provided in subsection (d) of
6196	6196	12 this Section.
6197	6197	13 (c-5) A person who first becomes a member or a participant
6198	6198	14 subject to this Section on or after July 6, 2017 (the effective
6199	6199	15 date of Public Act 100-23), notwithstanding any other
6200	6200	16 provision of this Code to the contrary, is entitled to a
6201	6201	17 retirement annuity under Article 8 or Article 11 upon written
6202	6202	18 application if he or she has attained age 65 and has at least
6203	6203	19 10 years of service credit and is otherwise eligible under the
6204	6204	20 requirements of Article 8 or Article 11 of this Code,
6205	6205	21 whichever is applicable.
6206	6206	22 (d) The retirement annuity of a member or participant who
6207	6207	23 is retiring after attaining age 62 (age 60, with respect to
6208	6208	24 service under Article 12 that is subject to this Section, for a
6209	6209	25 member or participant under Article 12 who first becomes a
6210	6210	26 member or participant under Article 12 on or after January 1,
6211	6211
6212	6212
6213	6213
6214	6214
6215	6215
6216	6216	SB0002 - 173 - LRB104 07746 RPS 17791 b
6217	6217
6218	6218
6219	6219	SB0002- 174 -LRB104 07746 RPS 17791 b SB0002 - 174 - LRB104 07746 RPS 17791 b
6220	6220	SB0002 - 174 - LRB104 07746 RPS 17791 b
6221	6221	1 2022 or who makes the election under item (i) of subsection
6222	6222	2 (d-15) of this Section) with at least 10 years of service
6223	6223	3 credit shall be reduced by one-half of 1% for each full month
6224	6224	4 that the member's age is under age 67 (age 65, with respect to
6225	6225	5 service under Article 12 that is subject to this Section, for a
6226	6226	6 member or participant under Article 12 who first becomes a
6227	6227	7 member or participant under Article 12 on or after January 1,
6228	6228	8 2022 or who makes the election under item (i) of subsection
6229	6229	9 (d-15) of this Section).
6230	6230	10 (d-5) The retirement annuity payable under Article 8 or
6231	6231	11 Article 11 to an eligible person subject to subsection (c-5)
6232	6232	12 of this Section who is retiring at age 60 with at least 10
6233	6233	13 years of service credit shall be reduced by one-half of 1% for
6234	6234	14 each full month that the member's age is under age 65.
6235	6235	15 (d-10) Each person who first became a member or
6236	6236	16 participant under Article 8 or Article 11 of this Code on or
6237	6237	17 after January 1, 2011 and prior to July 6, 2017 (the effective
6238	6238	18 date of Public Act 100-23) shall make an irrevocable election
6239	6239	19 either:
6240	6240	20 (i) to be eligible for the reduced retirement age
6241	6241	21 provided in subsections (c-5) and (d-5) of this Section,
6242	6242	22 the eligibility for which is conditioned upon the member
6243	6243	23 or participant agreeing to the increases in employee
6244	6244	24 contributions for age and service annuities provided in
6245	6245	25 subsection (a-5) of Section 8-174 of this Code (for
6246	6246	26 service under Article 8) or subsection (a-5) of Section
6247	6247
6248	6248
6249	6249
6250	6250
6251	6251
6252	6252	SB0002 - 174 - LRB104 07746 RPS 17791 b
6253	6253
6254	6254
6255	6255	SB0002- 175 -LRB104 07746 RPS 17791 b SB0002 - 175 - LRB104 07746 RPS 17791 b
6256	6256	SB0002 - 175 - LRB104 07746 RPS 17791 b
6257	6257	1 11-170 of this Code (for service under Article 11); or
6258	6258	2 (ii) to not agree to item (i) of this subsection
6259	6259	3 (d-10), in which case the member or participant shall
6260	6260	4 continue to be subject to the retirement age provisions in
6261	6261	5 subsections (c) and (d) of this Section and the employee
6262	6262	6 contributions for age and service annuity as provided in
6263	6263	7 subsection (a) of Section 8-174 of this Code (for service
6264	6264	8 under Article 8) or subsection (a) of Section 11-170 of
6265	6265	9 this Code (for service under Article 11).
6266	6266	10 The election provided for in this subsection shall be made
6267	6267	11 between October 1, 2017 and November 15, 2017. A person
6268	6268	12 subject to this subsection who makes the required election
6269	6269	13 shall remain bound by that election. A person subject to this
6270	6270	14 subsection who fails for any reason to make the required
6271	6271	15 election within the time specified in this subsection shall be
6272	6272	16 deemed to have made the election under item (ii).
6273	6273	17 (d-15) Each person who first becomes a member or
6274	6274	18 participant under Article 12 on or after January 1, 2011 and
6275	6275	19 prior to January 1, 2022 shall make an irrevocable election
6276	6276	20 either:
6277	6277	21 (i) to be eligible for the reduced retirement age
6278	6278	22 specified in subsections (c) and (d) of this Section, the
6279	6279	23 eligibility for which is conditioned upon the member or
6280	6280	24 participant agreeing to the increase in employee
6281	6281	25 contributions for service annuities specified in
6282	6282	26 subsection (b) of Section 12-150; or
6283	6283
6284	6284
6285	6285
6286	6286
6287	6287
6288	6288	SB0002 - 175 - LRB104 07746 RPS 17791 b
6289	6289
6290	6290
6291	6291	SB0002- 176 -LRB104 07746 RPS 17791 b SB0002 - 176 - LRB104 07746 RPS 17791 b
6292	6292	SB0002 - 176 - LRB104 07746 RPS 17791 b
6293	6293	1 (ii) to not agree to item (i) of this subsection
6294	6294	2 (d-15), in which case the member or participant shall not
6295	6295	3 be eligible for the reduced retirement age specified in
6296	6296	4 subsections (c) and (d) of this Section and shall not be
6297	6297	5 subject to the increase in employee contributions for
6298	6298	6 service annuities specified in subsection (b) of Section
6299	6299	7 12-150.
6300	6300	8 The election provided for in this subsection shall be made
6301	6301	9 between January 1, 2022 and April 1, 2022. A person subject to
6302	6302	10 this subsection who makes the required election shall remain
6303	6303	11 bound by that election. A person subject to this subsection
6304	6304	12 who fails for any reason to make the required election within
6305	6305	13 the time specified in this subsection shall be deemed to have
6306	6306	14 made the election under item (ii).
6307	6307	15 (e) Any retirement annuity or supplemental annuity shall
6308	6308	16 be subject to annual increases on the January 1 occurring
6309	6309	17 either on or after the attainment of age 67 (age 65, with
6310	6310	18 respect to service under Article 12 that is subject to this
6311	6311	19 Section, for a member or participant under Article 12 who
6312	6312	20 first becomes a member or participant under Article 12 on or
6313	6313	21 after January 1, 2022 or who makes the election under item (i)
6314	6314	22 of subsection (d-15); and beginning on July 6, 2017 (the
6315	6315	23 effective date of Public Act 100-23), age 65 with respect to
6316	6316	24 service under Article 8 or Article 11 for eligible persons
6317	6317	25 who: (i) are subject to subsection (c-5) of this Section; or
6318	6318	26 (ii) made the election under item (i) of subsection (d-10) of
6319	6319
6320	6320
6321	6321
6322	6322
6323	6323
6324	6324	SB0002 - 176 - LRB104 07746 RPS 17791 b
6325	6325
6326	6326
6327	6327	SB0002- 177 -LRB104 07746 RPS 17791 b SB0002 - 177 - LRB104 07746 RPS 17791 b
6328	6328	SB0002 - 177 - LRB104 07746 RPS 17791 b
6329	6329	1 this Section) or the first anniversary of the annuity start
6330	6330	2 date, whichever is later. Each annual increase shall be
6331	6331	3 calculated at 3% or one-half the annual unadjusted percentage
6332	6332	4 increase (but not less than zero) in the consumer price
6333	6333	5 index-u for the 12 months ending with the September preceding
6334	6334	6 each November 1, whichever is less, of the originally granted
6335	6335	7 retirement annuity. If the annual unadjusted percentage change
6336	6336	8 in the consumer price index-u for the 12 months ending with the
6337	6337	9 September preceding each November 1 is zero or there is a
6338	6338	10 decrease, then the annuity shall not be increased.
6339	6339	11 Beginning January 1, 2026, for persons to whom this
6340	6340	12 Section applies, each annual increase in a retirement annuity
6341	6341	13 or supplemental annuity shall be calculated at 3% of the
6342	6342	14 originally granted retirement annuity.
6343	6343	15 For the purposes of Section 1-103.1 of this Code, the
6344	6344	16 changes made to this subsection by this amendatory Act of the
6345	6345	17 104th General Assembly are applicable without regard to
6346	6346	18 whether the employee was in active service on or after the
6347	6347	19 effective date of this amendatory Act of the 104th General
6348	6348	20 Assembly.
6349	6349	21 For the purposes of Section 1-103.1 of this Code, the
6350	6350	22 changes made to this Section by Public Act 102-263 are
6351	6351	23 applicable without regard to whether the employee was in
6352	6352	24 active service on or after August 6, 2021 (the effective date
6353	6353	25 of Public Act 102-263).
6354	6354	26 For the purposes of Section 1-103.1 of this Code, the
6355	6355
6356	6356
6357	6357
6358	6358
6359	6359
6360	6360	SB0002 - 177 - LRB104 07746 RPS 17791 b
6361	6361
6362	6362
6363	6363	SB0002- 178 -LRB104 07746 RPS 17791 b SB0002 - 178 - LRB104 07746 RPS 17791 b
6364	6364	SB0002 - 178 - LRB104 07746 RPS 17791 b
6365	6365	1 changes made to this Section by Public Act 100-23 are
6366	6366	2 applicable without regard to whether the employee was in
6367	6367	3 active service on or after July 6, 2017 (the effective date of
6368	6368	4 Public Act 100-23).
6369	6369	5 (f) The initial survivor's or widow's annuity of an
6370	6370	6 otherwise eligible survivor or widow of a retired member or
6371	6371	7 participant who first became a member or participant on or
6372	6372	8 after January 1, 2011 shall be in the amount of 66 2/3% of the
6373	6373	9 retired member's or participant's retirement annuity at the
6374	6374	10 date of death. In the case of the death of a member or
6375	6375	11 participant who has not retired and who first became a member
6376	6376	12 or participant on or after January 1, 2011, eligibility for a
6377	6377	13 survivor's or widow's annuity shall be determined by the
6378	6378	14 applicable Article of this Code. The initial benefit shall be
6379	6379	15 66 2/3% of the earned annuity without a reduction due to age. A
6380	6380	16 child's annuity of an otherwise eligible child shall be in the
6381	6381	17 amount prescribed under each Article if applicable. Any
6382	6382	18 survivor's or widow's annuity shall be increased (1) on each
6383	6383	19 January 1 occurring on or after the commencement of the
6384	6384	20 annuity if the deceased member died while receiving a
6385	6385	21 retirement annuity or (2) in other cases, on each January 1
6386	6386	22 occurring after the first anniversary of the commencement of
6387	6387	23 the annuity. Each annual increase shall be calculated at 3% or
6388	6388	24 one-half the annual unadjusted percentage increase (but not
6389	6389	25 less than zero) in the consumer price index-u for the 12 months
6390	6390	26 ending with the September preceding each November 1, whichever
6391	6391
6392	6392
6393	6393
6394	6394
6395	6395
6396	6396	SB0002 - 178 - LRB104 07746 RPS 17791 b
6397	6397
6398	6398
6399	6399	SB0002- 179 -LRB104 07746 RPS 17791 b SB0002 - 179 - LRB104 07746 RPS 17791 b
6400	6400	SB0002 - 179 - LRB104 07746 RPS 17791 b
6401	6401	1 is less, of the originally granted survivor's annuity. If the
6402	6402	2 annual unadjusted percentage change in the consumer price
6403	6403	3 index-u for the 12 months ending with the September preceding
6404	6404	4 each November 1 is zero or there is a decrease, then the
6405	6405	5 annuity shall not be increased.
6406	6406	6 (g) The benefits in Section 14-110 apply only if the
6407	6407	7 person is a State policeman, a fire fighter in the fire
6408	6408	8 protection service of a department, a conservation police
6409	6409	9 officer, an investigator for the Secretary of State, an arson
6410	6410	10 investigator, a Commerce Commission police officer,
6411	6411	11 investigator for the Department of Revenue or the Illinois
6412	6412	12 Gaming Board, a security employee of the Department of
6413	6413	13 Corrections or the Department of Juvenile Justice, or a
6414	6414	14 security employee of the Department of Innovation and
6415	6415	15 Technology, as those terms are defined in subsection (b) and
6416	6416	16 subsection (c) of Section 14-110. A person who meets the
6417	6417	17 requirements of this Section is entitled to an annuity
6418	6418	18 calculated under the provisions of Section 14-110, in lieu of
6419	6419	19 the regular or minimum retirement annuity, only if the person
6420	6420	20 has withdrawn from service with not less than 20 years of
6421	6421	21 eligible creditable service and has attained age 60,
6422	6422	22 regardless of whether the attainment of age 60 occurs while
6423	6423	23 the person is still in service.
6424	6424	24 (h) If a person who first becomes a member or a participant
6425	6425	25 of a retirement system or pension fund subject to this Section
6426	6426	26 on or after January 1, 2011 is receiving a retirement annuity
6427	6427
6428	6428
6429	6429
6430	6430
6431	6431
6432	6432	SB0002 - 179 - LRB104 07746 RPS 17791 b
6433	6433
6434	6434
6435	6435	SB0002- 180 -LRB104 07746 RPS 17791 b SB0002 - 180 - LRB104 07746 RPS 17791 b
6436	6436	SB0002 - 180 - LRB104 07746 RPS 17791 b
6437	6437	1 or retirement pension under that system or fund and becomes a
6438	6438	2 member or participant under any other system or fund created
6439	6439	3 by this Code and is employed on a full-time basis, except for
6440	6440	4 those members or participants exempted from the provisions of
6441	6441	5 this Section under subsection (a) of this Section, then the
6442	6442	6 person's retirement annuity or retirement pension under that
6443	6443	7 system or fund shall be suspended during that employment. Upon
6444	6444	8 termination of that employment, the person's retirement
6445	6445	9 annuity or retirement pension payments shall resume and be
6446	6446	10 recalculated if recalculation is provided for under the
6447	6447	11 applicable Article of this Code.
6448	6448	12 If a person who first becomes a member of a retirement
6449	6449	13 system or pension fund subject to this Section on or after
6450	6450	14 January 1, 2012 and is receiving a retirement annuity or
6451	6451	15 retirement pension under that system or fund and accepts on a
6452	6452	16 contractual basis a position to provide services to a
6453	6453	17 governmental entity from which he or she has retired, then
6454	6454	18 that person's annuity or retirement pension earned as an
6455	6455	19 active employee of the employer shall be suspended during that
6456	6456	20 contractual service. A person receiving an annuity or
6457	6457	21 retirement pension under this Code shall notify the pension
6458	6458	22 fund or retirement system from which he or she is receiving an
6459	6459	23 annuity or retirement pension, as well as his or her
6460	6460	24 contractual employer, of his or her retirement status before
6461	6461	25 accepting contractual employment. A person who fails to submit
6462	6462	26 such notification shall be guilty of a Class A misdemeanor and
6463	6463
6464	6464
6465	6465
6466	6466
6467	6467
6468	6468	SB0002 - 180 - LRB104 07746 RPS 17791 b
6469	6469
6470	6470
6471	6471	SB0002- 181 -LRB104 07746 RPS 17791 b SB0002 - 181 - LRB104 07746 RPS 17791 b
6472	6472	SB0002 - 181 - LRB104 07746 RPS 17791 b
6473	6473	1 required to pay a fine of $1,000. Upon termination of that
6474	6474	2 contractual employment, the person's retirement annuity or
6475	6475	3 retirement pension payments shall resume and, if appropriate,
6476	6476	4 be recalculated under the applicable provisions of this Code.
6477	6477	5 (i) (Blank).
6478	6478	6 (j) In the case of a conflict between the provisions of
6479	6479	7 this Section and any other provision of this Code, the
6480	6480	8 provisions of this Section shall control.
6481	6481	9 (Source: P.A. 101-610, eff. 1-1-20; 102-16, eff. 6-17-21;
6482	6482	10 102-210, eff. 1-1-22; 102-263, eff. 8-6-21; 102-813, eff.
6483	6483	11 5-13-22; 103-529, eff. 8-11-23.)
6484	6484	12 (Text of Section from P.A. 102-956)
6485	6485	13 Sec. 1-160. Provisions applicable to new hires.
6486	6486	14 (a) The provisions of this Section apply to a person who,
6487	6487	15 on or after January 1, 2011, first becomes a member or a
6488	6488	16 participant under any reciprocal retirement system or pension
6489	6489	17 fund established under this Code, other than a retirement
6490	6490	18 system or pension fund established under Article 2, 3, 4, 5, 6,
6491	6491	19 7, 15, or 18 of this Code, notwithstanding any other provision
6492	6492	20 of this Code to the contrary, but do not apply to any
6493	6493	21 self-managed plan established under this Code or to any
6494	6494	22 participant of the retirement plan established under Section
6495	6495	23 22-101; except that this Section applies to a person who
6496	6496	24 elected to establish alternative credits by electing in
6497	6497	25 writing after January 1, 2011, but before August 8, 2011,
6498	6498
6499	6499
6500	6500
6501	6501
6502	6502
6503	6503	SB0002 - 181 - LRB104 07746 RPS 17791 b
6504	6504
6505	6505
6506	6506	SB0002- 182 -LRB104 07746 RPS 17791 b SB0002 - 182 - LRB104 07746 RPS 17791 b
6507	6507	SB0002 - 182 - LRB104 07746 RPS 17791 b
6508	6508	1 under Section 7-145.1 of this Code. Notwithstanding anything
6509	6509	2 to the contrary in this Section, for purposes of this Section,
6510	6510	3 a person who is a Tier 1 regular employee as defined in Section
6511	6511	4 7-109.4 of this Code or who participated in a retirement
6512	6512	5 system under Article 15 prior to January 1, 2011 shall be
6513	6513	6 deemed a person who first became a member or participant prior
6514	6514	7 to January 1, 2011 under any retirement system or pension fund
6515	6515	8 subject to this Section. The changes made to this Section by
6516	6516	9 Public Act 98-596 are a clarification of existing law and are
6517	6517	10 intended to be retroactive to January 1, 2011 (the effective
6518	6518	11 date of Public Act 96-889), notwithstanding the provisions of
6519	6519	12 Section 1-103.1 of this Code.
6520	6520	13 This Section does not apply to a person who first becomes a
6521	6521	14 noncovered employee under Article 14 on or after the
6522	6522	15 implementation date of the plan created under Section 1-161
6523	6523	16 for that Article, unless that person elects under subsection
6524	6524	17 (b) of Section 1-161 to instead receive the benefits provided
6525	6525	18 under this Section and the applicable provisions of that
6526	6526	19 Article.
6527	6527	20 This Section does not apply to a person who first becomes a
6528	6528	21 member or participant under Article 16 on or after the
6529	6529	22 implementation date of the plan created under Section 1-161
6530	6530	23 for that Article, unless that person elects under subsection
6531	6531	24 (b) of Section 1-161 to instead receive the benefits provided
6532	6532	25 under this Section and the applicable provisions of that
6533	6533	26 Article.
6534	6534
6535	6535
6536	6536
6537	6537
6538	6538
6539	6539	SB0002 - 182 - LRB104 07746 RPS 17791 b
6540	6540
6541	6541
6542	6542	SB0002- 183 -LRB104 07746 RPS 17791 b SB0002 - 183 - LRB104 07746 RPS 17791 b
6543	6543	SB0002 - 183 - LRB104 07746 RPS 17791 b
6544	6544	1 This Section does not apply to a person who elects under
6545	6545	2 subsection (c-5) of Section 1-161 to receive the benefits
6546	6546	3 under Section 1-161.
6547	6547	4 This Section does not apply to a person who first becomes a
6548	6548	5 member or participant of an affected pension fund on or after 6
6549	6549	6 months after the resolution or ordinance date, as defined in
6550	6550	7 Section 1-162, unless that person elects under subsection (c)
6551	6551	8 of Section 1-162 to receive the benefits provided under this
6552	6552	9 Section and the applicable provisions of the Article under
6553	6553	10 which he or she is a member or participant.
6554	6554	11 (b) "Final average salary" means, except as otherwise
6555	6555	12 provided in this subsection, the average monthly (or annual)
6556	6556	13 salary obtained by dividing the total salary or earnings
6557	6557	14 calculated under the Article applicable to the member or
6558	6558	15 participant during the 96 consecutive months (or 8 consecutive
6559	6559	16 years) of service within the last 120 months (or 10 years) of
6560	6560	17 service in which the total salary or earnings calculated under
6561	6561	18 the applicable Article was the highest by the number of months
6562	6562	19 (or years) of service in that period. For the purposes of a
6563	6563	20 person who first becomes a member or participant of any
6564	6564	21 retirement system or pension fund to which this Section
6565	6565	22 applies on or after January 1, 2011, in this Code, "final
6566	6566	23 average salary" shall be substituted for the following:
6567	6567	24 (1) (Blank).
6568	6568	25 (2) In Articles 8, 9, 10, 11, and 12, "highest average
6569	6569	26 annual salary for any 4 consecutive years within the last
6570	6570
6571	6571
6572	6572
6573	6573
6574	6574
6575	6575	SB0002 - 183 - LRB104 07746 RPS 17791 b
6576	6576
6577	6577
6578	6578	SB0002- 184 -LRB104 07746 RPS 17791 b SB0002 - 184 - LRB104 07746 RPS 17791 b
6579	6579	SB0002 - 184 - LRB104 07746 RPS 17791 b
6580	6580	1 10 years of service immediately preceding the date of
6581	6581	2 withdrawal".
6582	6582	3 (3) In Article 13, "average final salary".
6583	6583	4 (4) In Article 14, "final average compensation".
6584	6584	5 (5) In Article 17, "average salary".
6585	6585	6 (6) In Section 22-207, "wages or salary received by
6586	6586	7 him at the date of retirement or discharge".
6587	6587	8 A member of the Teachers' Retirement System of the State
6588	6588	9 of Illinois who retires on or after June 1, 2021 and for whom
6589	6589	10 the 2020-2021 school year is used in the calculation of the
6590	6590	11 member's final average salary shall use the higher of the
6591	6591	12 following for the purpose of determining the member's final
6592	6592	13 average salary:
6593	6593	14 (A) the amount otherwise calculated under the first
6594	6594	15 paragraph of this subsection; or
6595	6595	16 (B) an amount calculated by the Teachers' Retirement
6596	6596	17 System of the State of Illinois using the average of the
6597	6597	18 monthly (or annual) salary obtained by dividing the total
6598	6598	19 salary or earnings calculated under Article 16 applicable
6599	6599	20 to the member or participant during the 96 months (or 8
6600	6600	21 years) of service within the last 120 months (or 10 years)
6601	6601	22 of service in which the total salary or earnings
6602	6602	23 calculated under the Article was the highest by the number
6603	6603	24 of months (or years) of service in that period.
6604	6604	25 (b-5) Beginning on January 1, 2011, for all purposes under
6605	6605	26 this Code (including without limitation the calculation of
6606	6606
6607	6607
6608	6608
6609	6609
6610	6610
6611	6611	SB0002 - 184 - LRB104 07746 RPS 17791 b
6612	6612
6613	6613
6614	6614	SB0002- 185 -LRB104 07746 RPS 17791 b SB0002 - 185 - LRB104 07746 RPS 17791 b
6615	6615	SB0002 - 185 - LRB104 07746 RPS 17791 b
6616	6616	1 benefits and employee contributions), the annual earnings,
6617	6617	2 salary, or wages (based on the plan year) of a member or
6618	6618	3 participant to whom this Section applies shall not exceed
6619	6619	4 $106,800; however, that amount shall annually thereafter be
6620	6620	5 increased by the lesser of (i) 3% of that amount, including all
6621	6621	6 previous adjustments, or (ii) one-half the annual unadjusted
6622	6622	7 percentage increase (but not less than zero) in the consumer
6623	6623	8 price index-u for the 12 months ending with the September
6624	6624	9 preceding each November 1, including all previous adjustments.
6625	6625	10 For the purposes of this Section, "consumer price index-u"
6626	6626	11 means the index published by the Bureau of Labor Statistics of
6627	6627	12 the United States Department of Labor that measures the
6628	6628	13 average change in prices of goods and services purchased by
6629	6629	14 all urban consumers, United States city average, all items,
6630	6630	15 1982-84 = 100. The new amount resulting from each annual
6631	6631	16 adjustment shall be determined by the Public Pension Division
6632	6632	17 of the Department of Insurance and made available to the
6633	6633	18 boards of the retirement systems and pension funds by November
6634	6634	19 1 of each year.
6635	6635	20 (b-10) Beginning on January 1, 2024, for all purposes
6636	6636	21 under this Code (including, without limitation, the
6637	6637	22 calculation of benefits and employee contributions), the
6638	6638	23 annual earnings, salary, or wages (based on the plan year) of a
6639	6639	24 member or participant under Article 9 to whom this Section
6640	6640	25 applies shall include an annual earnings, salary, or wage cap
6641	6641	26 that tracks the Social Security wage base. Maximum annual
6642	6642
6643	6643
6644	6644
6645	6645
6646	6646
6647	6647	SB0002 - 185 - LRB104 07746 RPS 17791 b
6648	6648
6649	6649
6650	6650	SB0002- 186 -LRB104 07746 RPS 17791 b SB0002 - 186 - LRB104 07746 RPS 17791 b
6651	6651	SB0002 - 186 - LRB104 07746 RPS 17791 b
6652	6652	1 earnings, wages, or salary shall be the annual contribution
6653	6653	2 and benefit base established for the applicable year by the
6654	6654	3 Commissioner of the Social Security Administration under the
6655	6655	4 federal Social Security Act.
6656	6656	5 However, in no event shall the annual earnings, salary, or
6657	6657	6 wages for the purposes of this Article and Article 9 exceed any
6658	6658	7 limitation imposed on annual earnings, salary, or wages under
6659	6659	8 Section 1-117. Under no circumstances shall the maximum amount
6660	6660	9 of annual earnings, salary, or wages be greater than the
6661	6661	10 amount set forth in this subsection (b-10) as a result of
6662	6662	11 reciprocal service or any provisions regarding reciprocal
6663	6663	12 services, nor shall the Fund under Article 9 be required to pay
6664	6664	13 any refund as a result of the application of this maximum
6665	6665	14 annual earnings, salary, and wage cap.
6666	6666	15 Nothing in this subsection (b-10) shall cause or otherwise
6667	6667	16 result in any retroactive adjustment of any employee
6668	6668	17 contributions. Nothing in this subsection (b-10) shall cause
6669	6669	18 or otherwise result in any retroactive adjustment of
6670	6670	19 disability or other payments made between January 1, 2011 and
6671	6671	20 January 1, 2024.
6672	6672	21 (c) A member or participant is entitled to a retirement
6673	6673	22 annuity upon written application if he or she has attained age
6674	6674	23 67 (age 65, with respect to service under Article 12 that is
6675	6675	24 subject to this Section, for a member or participant under
6676	6676	25 Article 12 who first becomes a member or participant under
6677	6677	26 Article 12 on or after January 1, 2022 or who makes the
6678	6678
6679	6679
6680	6680
6681	6681
6682	6682
6683	6683	SB0002 - 186 - LRB104 07746 RPS 17791 b
6684	6684
6685	6685
6686	6686	SB0002- 187 -LRB104 07746 RPS 17791 b SB0002 - 187 - LRB104 07746 RPS 17791 b
6687	6687	SB0002 - 187 - LRB104 07746 RPS 17791 b
6688	6688	1 election under item (i) of subsection (d-15) of this Section)
6689	6689	2 and has at least 10 years of service credit and is otherwise
6690	6690	3 eligible under the requirements of the applicable Article.
6691	6691	4 A member or participant who has attained age 62 (age 60,
6692	6692	5 with respect to service under Article 12 that is subject to
6693	6693	6 this Section, for a member or participant under Article 12 who
6694	6694	7 first becomes a member or participant under Article 12 on or
6695	6695	8 after January 1, 2022 or who makes the election under item (i)
6696	6696	9 of subsection (d-15) of this Section) and has at least 10 years
6697	6697	10 of service credit and is otherwise eligible under the
6698	6698	11 requirements of the applicable Article may elect to receive
6699	6699	12 the lower retirement annuity provided in subsection (d) of
6700	6700	13 this Section.
6701	6701	14 (c-5) A person who first becomes a member or a participant
6702	6702	15 subject to this Section on or after July 6, 2017 (the effective
6703	6703	16 date of Public Act 100-23), notwithstanding any other
6704	6704	17 provision of this Code to the contrary, is entitled to a
6705	6705	18 retirement annuity under Article 8 or Article 11 upon written
6706	6706	19 application if he or she has attained age 65 and has at least
6707	6707	20 10 years of service credit and is otherwise eligible under the
6708	6708	21 requirements of Article 8 or Article 11 of this Code,
6709	6709	22 whichever is applicable.
6710	6710	23 (d) The retirement annuity of a member or participant who
6711	6711	24 is retiring after attaining age 62 (age 60, with respect to
6712	6712	25 service under Article 12 that is subject to this Section, for a
6713	6713	26 member or participant under Article 12 who first becomes a
6714	6714
6715	6715
6716	6716
6717	6717
6718	6718
6719	6719	SB0002 - 187 - LRB104 07746 RPS 17791 b
6720	6720
6721	6721
6722	6722	SB0002- 188 -LRB104 07746 RPS 17791 b SB0002 - 188 - LRB104 07746 RPS 17791 b
6723	6723	SB0002 - 188 - LRB104 07746 RPS 17791 b
6724	6724	1 member or participant under Article 12 on or after January 1,
6725	6725	2 2022 or who makes the election under item (i) of subsection
6726	6726	3 (d-15) of this Section) with at least 10 years of service
6727	6727	4 credit shall be reduced by one-half of 1% for each full month
6728	6728	5 that the member's age is under age 67 (age 65, with respect to
6729	6729	6 service under Article 12 that is subject to this Section, for a
6730	6730	7 member or participant under Article 12 who first becomes a
6731	6731	8 member or participant under Article 12 on or after January 1,
6732	6732	9 2022 or who makes the election under item (i) of subsection
6733	6733	10 (d-15) of this Section).
6734	6734	11 (d-5) The retirement annuity payable under Article 8 or
6735	6735	12 Article 11 to an eligible person subject to subsection (c-5)
6736	6736	13 of this Section who is retiring at age 60 with at least 10
6737	6737	14 years of service credit shall be reduced by one-half of 1% for
6738	6738	15 each full month that the member's age is under age 65.
6739	6739	16 (d-10) Each person who first became a member or
6740	6740	17 participant under Article 8 or Article 11 of this Code on or
6741	6741	18 after January 1, 2011 and prior to July 6, 2017 (the effective
6742	6742	19 date of Public Act 100-23) shall make an irrevocable election
6743	6743	20 either:
6744	6744	21 (i) to be eligible for the reduced retirement age
6745	6745	22 provided in subsections (c-5) and (d-5) of this Section,
6746	6746	23 the eligibility for which is conditioned upon the member
6747	6747	24 or participant agreeing to the increases in employee
6748	6748	25 contributions for age and service annuities provided in
6749	6749	26 subsection (a-5) of Section 8-174 of this Code (for
6750	6750
6751	6751
6752	6752
6753	6753
6754	6754
6755	6755	SB0002 - 188 - LRB104 07746 RPS 17791 b
6756	6756
6757	6757
6758	6758	SB0002- 189 -LRB104 07746 RPS 17791 b SB0002 - 189 - LRB104 07746 RPS 17791 b
6759	6759	SB0002 - 189 - LRB104 07746 RPS 17791 b
6760	6760	1 service under Article 8) or subsection (a-5) of Section
6761	6761	2 11-170 of this Code (for service under Article 11); or
6762	6762	3 (ii) to not agree to item (i) of this subsection
6763	6763	4 (d-10), in which case the member or participant shall
6764	6764	5 continue to be subject to the retirement age provisions in
6765	6765	6 subsections (c) and (d) of this Section and the employee
6766	6766	7 contributions for age and service annuity as provided in
6767	6767	8 subsection (a) of Section 8-174 of this Code (for service
6768	6768	9 under Article 8) or subsection (a) of Section 11-170 of
6769	6769	10 this Code (for service under Article 11).
6770	6770	11 The election provided for in this subsection shall be made
6771	6771	12 between October 1, 2017 and November 15, 2017. A person
6772	6772	13 subject to this subsection who makes the required election
6773	6773	14 shall remain bound by that election. A person subject to this
6774	6774	15 subsection who fails for any reason to make the required
6775	6775	16 election within the time specified in this subsection shall be
6776	6776	17 deemed to have made the election under item (ii).
6777	6777	18 (d-15) Each person who first becomes a member or
6778	6778	19 participant under Article 12 on or after January 1, 2011 and
6779	6779	20 prior to January 1, 2022 shall make an irrevocable election
6780	6780	21 either:
6781	6781	22 (i) to be eligible for the reduced retirement age
6782	6782	23 specified in subsections (c) and (d) of this Section, the
6783	6783	24 eligibility for which is conditioned upon the member or
6784	6784	25 participant agreeing to the increase in employee
6785	6785	26 contributions for service annuities specified in
6786	6786
6787	6787
6788	6788
6789	6789
6790	6790
6791	6791	SB0002 - 189 - LRB104 07746 RPS 17791 b
6792	6792
6793	6793
6794	6794	SB0002- 190 -LRB104 07746 RPS 17791 b SB0002 - 190 - LRB104 07746 RPS 17791 b
6795	6795	SB0002 - 190 - LRB104 07746 RPS 17791 b
6796	6796	1 subsection (b) of Section 12-150; or
6797	6797	2 (ii) to not agree to item (i) of this subsection
6798	6798	3 (d-15), in which case the member or participant shall not
6799	6799	4 be eligible for the reduced retirement age specified in
6800	6800	5 subsections (c) and (d) of this Section and shall not be
6801	6801	6 subject to the increase in employee contributions for
6802	6802	7 service annuities specified in subsection (b) of Section
6803	6803	8 12-150.
6804	6804	9 The election provided for in this subsection shall be made
6805	6805	10 between January 1, 2022 and April 1, 2022. A person subject to
6806	6806	11 this subsection who makes the required election shall remain
6807	6807	12 bound by that election. A person subject to this subsection
6808	6808	13 who fails for any reason to make the required election within
6809	6809	14 the time specified in this subsection shall be deemed to have
6810	6810	15 made the election under item (ii).
6811	6811	16 (e) Any retirement annuity or supplemental annuity shall
6812	6812	17 be subject to annual increases on the January 1 occurring
6813	6813	18 either on or after the attainment of age 67 (age 65, with
6814	6814	19 respect to service under Article 12 that is subject to this
6815	6815	20 Section, for a member or participant under Article 12 who
6816	6816	21 first becomes a member or participant under Article 12 on or
6817	6817	22 after January 1, 2022 or who makes the election under item (i)
6818	6818	23 of subsection (d-15); and beginning on July 6, 2017 (the
6819	6819	24 effective date of Public Act 100-23), age 65 with respect to
6820	6820	25 service under Article 8 or Article 11 for eligible persons
6821	6821	26 who: (i) are subject to subsection (c-5) of this Section; or
6822	6822
6823	6823
6824	6824
6825	6825
6826	6826
6827	6827	SB0002 - 190 - LRB104 07746 RPS 17791 b
6828	6828
6829	6829
6830	6830	SB0002- 191 -LRB104 07746 RPS 17791 b SB0002 - 191 - LRB104 07746 RPS 17791 b
6831	6831	SB0002 - 191 - LRB104 07746 RPS 17791 b
6832	6832	1 (ii) made the election under item (i) of subsection (d-10) of
6833	6833	2 this Section) or the first anniversary of the annuity start
6834	6834	3 date, whichever is later. Each annual increase shall be
6835	6835	4 calculated at 3% or one-half the annual unadjusted percentage
6836	6836	5 increase (but not less than zero) in the consumer price
6837	6837	6 index-u for the 12 months ending with the September preceding
6838	6838	7 each November 1, whichever is less, of the originally granted
6839	6839	8 retirement annuity. If the annual unadjusted percentage change
6840	6840	9 in the consumer price index-u for the 12 months ending with the
6841	6841	10 September preceding each November 1 is zero or there is a
6842	6842	11 decrease, then the annuity shall not be increased.
6843	6843	12 Beginning January 1, 2026, for persons to whom this
6844	6844	13 Section applies, each annual increase in a retirement annuity
6845	6845	14 or supplemental annuity shall be calculated at 3% of the
6846	6846	15 originally granted retirement annuity.
6847	6847	16 For the purposes of Section 1-103.1 of this Code, the
6848	6848	17 changes made to this subsection by this amendatory Act of the
6849	6849	18 104th General Assembly are applicable without regard to
6850	6850	19 whether the employee was in active service on or after the
6851	6851	20 effective date of this amendatory Act of the 104th General
6852	6852	21 Assembly.
6853	6853	22 For the purposes of Section 1-103.1 of this Code, the
6854	6854	23 changes made to this Section by Public Act 102-263 are
6855	6855	24 applicable without regard to whether the employee was in
6856	6856	25 active service on or after August 6, 2021 (the effective date
6857	6857	26 of Public Act 102-263).
6858	6858
6859	6859
6860	6860
6861	6861
6862	6862
6863	6863	SB0002 - 191 - LRB104 07746 RPS 17791 b
6864	6864
6865	6865
6866	6866	SB0002- 192 -LRB104 07746 RPS 17791 b SB0002 - 192 - LRB104 07746 RPS 17791 b
6867	6867	SB0002 - 192 - LRB104 07746 RPS 17791 b
6868	6868	1 For the purposes of Section 1-103.1 of this Code, the
6869	6869	2 changes made to this Section by Public Act 100-23 are
6870	6870	3 applicable without regard to whether the employee was in
6871	6871	4 active service on or after July 6, 2017 (the effective date of
6872	6872	5 Public Act 100-23).
6873	6873	6 (f) The initial survivor's or widow's annuity of an
6874	6874	7 otherwise eligible survivor or widow of a retired member or
6875	6875	8 participant who first became a member or participant on or
6876	6876	9 after January 1, 2011 shall be in the amount of 66 2/3% of the
6877	6877	10 retired member's or participant's retirement annuity at the
6878	6878	11 date of death. In the case of the death of a member or
6879	6879	12 participant who has not retired and who first became a member
6880	6880	13 or participant on or after January 1, 2011, eligibility for a
6881	6881	14 survivor's or widow's annuity shall be determined by the
6882	6882	15 applicable Article of this Code. The initial benefit shall be
6883	6883	16 66 2/3% of the earned annuity without a reduction due to age. A
6884	6884	17 child's annuity of an otherwise eligible child shall be in the
6885	6885	18 amount prescribed under each Article if applicable. Any
6886	6886	19 survivor's or widow's annuity shall be increased (1) on each
6887	6887	20 January 1 occurring on or after the commencement of the
6888	6888	21 annuity if the deceased member died while receiving a
6889	6889	22 retirement annuity or (2) in other cases, on each January 1
6890	6890	23 occurring after the first anniversary of the commencement of
6891	6891	24 the annuity. Each annual increase shall be calculated at 3% or
6892	6892	25 one-half the annual unadjusted percentage increase (but not
6893	6893	26 less than zero) in the consumer price index-u for the 12 months
6894	6894
6895	6895
6896	6896
6897	6897
6898	6898
6899	6899	SB0002 - 192 - LRB104 07746 RPS 17791 b
6900	6900
6901	6901
6902	6902	SB0002- 193 -LRB104 07746 RPS 17791 b SB0002 - 193 - LRB104 07746 RPS 17791 b
6903	6903	SB0002 - 193 - LRB104 07746 RPS 17791 b
6904	6904	1 ending with the September preceding each November 1, whichever
6905	6905	2 is less, of the originally granted survivor's annuity. If the
6906	6906	3 annual unadjusted percentage change in the consumer price
6907	6907	4 index-u for the 12 months ending with the September preceding
6908	6908	5 each November 1 is zero or there is a decrease, then the
6909	6909	6 annuity shall not be increased.
6910	6910	7 (g) The benefits in Section 14-110 apply only if the
6911	6911	8 person is a State policeman, a fire fighter in the fire
6912	6912	9 protection service of a department, a conservation police
6913	6913	10 officer, an investigator for the Secretary of State, an
6914	6914	11 investigator for the Office of the Attorney General, an arson
6915	6915	12 investigator, a Commerce Commission police officer,
6916	6916	13 investigator for the Department of Revenue or the Illinois
6917	6917	14 Gaming Board, a security employee of the Department of
6918	6918	15 Corrections or the Department of Juvenile Justice, or a
6919	6919	16 security employee of the Department of Innovation and
6920	6920	17 Technology, as those terms are defined in subsection (b) and
6921	6921	18 subsection (c) of Section 14-110. A person who meets the
6922	6922	19 requirements of this Section is entitled to an annuity
6923	6923	20 calculated under the provisions of Section 14-110, in lieu of
6924	6924	21 the regular or minimum retirement annuity, only if the person
6925	6925	22 has withdrawn from service with not less than 20 years of
6926	6926	23 eligible creditable service and has attained age 60,
6927	6927	24 regardless of whether the attainment of age 60 occurs while
6928	6928	25 the person is still in service.
6929	6929	26 (h) If a person who first becomes a member or a participant
6930	6930
6931	6931
6932	6932
6933	6933
6934	6934
6935	6935	SB0002 - 193 - LRB104 07746 RPS 17791 b
6936	6936
6937	6937
6938	6938	SB0002- 194 -LRB104 07746 RPS 17791 b SB0002 - 194 - LRB104 07746 RPS 17791 b
6939	6939	SB0002 - 194 - LRB104 07746 RPS 17791 b
6940	6940	1 of a retirement system or pension fund subject to this Section
6941	6941	2 on or after January 1, 2011 is receiving a retirement annuity
6942	6942	3 or retirement pension under that system or fund and becomes a
6943	6943	4 member or participant under any other system or fund created
6944	6944	5 by this Code and is employed on a full-time basis, except for
6945	6945	6 those members or participants exempted from the provisions of
6946	6946	7 this Section under subsection (a) of this Section, then the
6947	6947	8 person's retirement annuity or retirement pension under that
6948	6948	9 system or fund shall be suspended during that employment. Upon
6949	6949	10 termination of that employment, the person's retirement
6950	6950	11 annuity or retirement pension payments shall resume and be
6951	6951	12 recalculated if recalculation is provided for under the
6952	6952	13 applicable Article of this Code.
6953	6953	14 If a person who first becomes a member of a retirement
6954	6954	15 system or pension fund subject to this Section on or after
6955	6955	16 January 1, 2012 and is receiving a retirement annuity or
6956	6956	17 retirement pension under that system or fund and accepts on a
6957	6957	18 contractual basis a position to provide services to a
6958	6958	19 governmental entity from which he or she has retired, then
6959	6959	20 that person's annuity or retirement pension earned as an
6960	6960	21 active employee of the employer shall be suspended during that
6961	6961	22 contractual service. A person receiving an annuity or
6962	6962	23 retirement pension under this Code shall notify the pension
6963	6963	24 fund or retirement system from which he or she is receiving an
6964	6964	25 annuity or retirement pension, as well as his or her
6965	6965	26 contractual employer, of his or her retirement status before
6966	6966
6967	6967
6968	6968
6969	6969
6970	6970
6971	6971	SB0002 - 194 - LRB104 07746 RPS 17791 b
6972	6972
6973	6973
6974	6974	SB0002- 195 -LRB104 07746 RPS 17791 b SB0002 - 195 - LRB104 07746 RPS 17791 b
6975	6975	SB0002 - 195 - LRB104 07746 RPS 17791 b
6976	6976	1 accepting contractual employment. A person who fails to submit
6977	6977	2 such notification shall be guilty of a Class A misdemeanor and
6978	6978	3 required to pay a fine of $1,000. Upon termination of that
6979	6979	4 contractual employment, the person's retirement annuity or
6980	6980	5 retirement pension payments shall resume and, if appropriate,
6981	6981	6 be recalculated under the applicable provisions of this Code.
6982	6982	7 (i) (Blank).
6983	6983	8 (j) In the case of a conflict between the provisions of
6984	6984	9 this Section and any other provision of this Code, the
6985	6985	10 provisions of this Section shall control.
6986	6986	11 (Source: P.A. 102-16, eff. 6-17-21; 102-210, eff. 1-1-22;
6987	6987	12 102-263, eff. 8-6-21; 102-956, eff. 5-27-22; 103-529, eff.
6988	6988	13 8-11-23.)
6989	6989	14 (40 ILCS 5/2-119.1) (from Ch. 108 1/2, par. 2-119.1)
6990	6990	15 (Text of Section WITHOUT the changes made by P.A. 98-599,
6991	6991	16 which has been held unconstitutional)
6992	6992	17 Sec. 2-119.1. Automatic increase in retirement annuity.
6993	6993	18 (a) A participant who retires after June 30, 1967, and who
6994	6994	19 has not received an initial increase under this Section before
6995	6995	20 the effective date of this amendatory Act of 1991, shall, in
6996	6996	21 January or July next following the first anniversary of
6997	6997	22 retirement, whichever occurs first, and in the same month of
6998	6998	23 each year thereafter, but in no event prior to age 60, have the
6999	6999	24 amount of the originally granted retirement annuity increased
7000	7000	25 as follows: for each year through 1971, 1 1/2%; for each year
7001	7001
7002	7002
7003	7003
7004	7004
7005	7005
7006	7006	SB0002 - 195 - LRB104 07746 RPS 17791 b
7007	7007
7008	7008
7009	7009	SB0002- 196 -LRB104 07746 RPS 17791 b SB0002 - 196 - LRB104 07746 RPS 17791 b
7010	7010	SB0002 - 196 - LRB104 07746 RPS 17791 b
7011	7011	1 from 1972 through 1979, 2%; and for 1980 and each year
7012	7012	2 thereafter, 3%. Annuitants who have received an initial
7013	7013	3 increase under this subsection prior to the effective date of
7014	7014	4 this amendatory Act of 1991 shall continue to receive their
7015	7015	5 annual increases in the same month as the initial increase.
7016	7016	6 (b) Beginning January 1, 1990, for eligible participants
7017	7017	7 who remain in service after attaining 20 years of creditable
7018	7018	8 service, the 3% increases provided under subsection (a) shall
7019	7019	9 begin to accrue on the January 1 next following the date upon
7020	7020	10 which the participant (1) attains age 55, or (2) attains 20
7021	7021	11 years of creditable service, whichever occurs later, and shall
7022	7022	12 continue to accrue while the participant remains in service;
7023	7023	13 such increases shall become payable on January 1 or July 1,
7024	7024	14 whichever occurs first, next following the first anniversary
7025	7025	15 of retirement. For any person who has service credit in the
7026	7026	16 System for the entire period from January 15, 1969 through
7027	7027	17 December 31, 1992, regardless of the date of termination of
7028	7028	18 service, the reference to age 55 in clause (1) of this
7029	7029	19 subsection (b) shall be deemed to mean age 50.
7030	7030	20 This subsection (b) does not apply to any person who first
7031	7031	21 becomes a member of the System after the effective date of this
7032	7032	22 amendatory Act of the 93rd General Assembly.
7033	7033	23 (b-5) Notwithstanding any other provision of this Article,
7034	7034	24 a participant who first becomes a participant on or after
7035	7035	25 January 1, 2011 (the effective date of Public Act 96-889)
7036	7036	26 shall, in January or July next following the first anniversary
7037	7037
7038	7038
7039	7039
7040	7040
7041	7041
7042	7042	SB0002 - 196 - LRB104 07746 RPS 17791 b
7043	7043
7044	7044
7045	7045	SB0002- 197 -LRB104 07746 RPS 17791 b SB0002 - 197 - LRB104 07746 RPS 17791 b
7046	7046	SB0002 - 197 - LRB104 07746 RPS 17791 b
7047	7047	1 of retirement, whichever occurs first, and in the same month
7048	7048	2 of each year thereafter, but in no event prior to age 67, have
7049	7049	3 the amount of the retirement annuity then being paid increased
7050	7050	4 by 3% or the annual unadjusted percentage increase in the
7051	7051	5 Consumer Price Index for All Urban Consumers as determined by
7052	7052	6 the Public Pension Division of the Department of Insurance
7053	7053	7 under subsection (a) of Section 2-108.1, whichever is less;
7054	7054	8 except that, beginning January 1, 2026, each annual increase
7055	7055	9 under this subsection shall be calculated at 3% of the amount
7056	7056	10 of the retirement annuity then being paid.
7057	7057	11 For the purposes of Section 1-103.1 of this Code, the
7058	7058	12 changes made to this subsection by this amendatory Act of the
7059	7059	13 104th General Assembly are applicable without regard to
7060	7060	14 whether the employee was in active service on or after the
7061	7061	15 effective date of this amendatory Act of the 104th General
7062	7062	16 Assembly.
7063	7063	17 (c) The foregoing provisions relating to automatic
7064	7064	18 increases are not applicable to a participant who retires
7065	7065	19 before having made contributions (at the rate prescribed in
7066	7066	20 Section 2-126) for automatic increases for less than the
7067	7067	21 equivalent of one full year. However, in order to be eligible
7068	7068	22 for the automatic increases, such a participant may make
7069	7069	23 arrangements to pay to the system the amount required to bring
7070	7070	24 the total contributions for the automatic increase to the
7071	7071	25 equivalent of one year's contributions based upon his or her
7072	7072	26 last salary.
7073	7073
7074	7074
7075	7075
7076	7076
7077	7077
7078	7078	SB0002 - 197 - LRB104 07746 RPS 17791 b
7079	7079
7080	7080
7081	7081	SB0002- 198 -LRB104 07746 RPS 17791 b SB0002 - 198 - LRB104 07746 RPS 17791 b
7082	7082	SB0002 - 198 - LRB104 07746 RPS 17791 b
7083	7083	1 (d) A participant who terminated service prior to July 1,
7084	7084	2 1967, with at least 14 years of service is entitled to an
7085	7085	3 increase in retirement annuity beginning January, 1976, and to
7086	7086	4 additional increases in January of each year thereafter.
7087	7087	5 The initial increase shall be 1 1/2% of the originally
7088	7088	6 granted retirement annuity multiplied by the number of full
7089	7089	7 years that the annuitant was in receipt of such annuity prior
7090	7090	8 to January 1, 1972, plus 2% of the originally granted
7091	7091	9 retirement annuity for each year after that date. The
7092	7092	10 subsequent annual increases shall be at the rate of 2% of the
7093	7093	11 originally granted retirement annuity for each year through
7094	7094	12 1979 and at the rate of 3% for 1980 and thereafter.
7095	7095	13 (e) Beginning January 1, 1990, all automatic annual
7096	7096	14 increases payable under this Section shall be calculated as a
7097	7097	15 percentage of the total annuity payable at the time of the
7098	7098	16 increase, including previous increases granted under this
7099	7099	17 Article.
7100	7100	18 (Source: P.A. 96-889, eff. 1-1-11; 96-1490, eff. 1-1-11.)
7101	7101	19 (40 ILCS 5/3-111.1) (from Ch. 108 1/2, par. 3-111.1)
7102	7102	20 Sec. 3-111.1. Increase in pension.
7103	7103	21 (a) Except as provided in subsection (e), the monthly
7104	7104	22 pension of a police officer who retires after July 1, 1971, and
7105	7105	23 prior to January 1, 1986, shall be increased, upon either the
7106	7106	24 first of the month following the first anniversary of the date
7107	7107	25 of retirement if the officer is 60 years of age or over at
7108	7108
7109	7109
7110	7110
7111	7111
7112	7112
7113	7113	SB0002 - 198 - LRB104 07746 RPS 17791 b
7114	7114
7115	7115
7116	7116	SB0002- 199 -LRB104 07746 RPS 17791 b SB0002 - 199 - LRB104 07746 RPS 17791 b
7117	7117	SB0002 - 199 - LRB104 07746 RPS 17791 b
7118	7118	1 retirement date, or upon the first day of the month following
7119	7119	2 attainment of age 60 if it occurs after the first anniversary
7120	7120	3 of retirement, by 3% of the originally granted pension and by
7121	7121	4 an additional 3% of the originally granted pension in January
7122	7122	5 of each year thereafter.
7123	7123	6 (b) The monthly pension of a police officer who retired
7124	7124	7 from service with 20 or more years of service, on or before
7125	7125	8 July 1, 1971, shall be increased in January of the year
7126	7126	9 following the year of attaining age 65 or in January of 1972,
7127	7127	10 if then over age 65, by 3% of the originally granted pension
7128	7128	11 for each year the police officer received pension payments. In
7129	7129	12 each January thereafter, he or she shall receive an additional
7130	7130	13 increase of 3% of the original pension.
7131	7131	14 (c) The monthly pension of a police officer who retires on
7132	7132	15 disability or is retired for disability shall be increased in
7133	7133	16 January of the year following the year of attaining age 60, by
7134	7134	17 3% of the original grant of pension for each year he or she
7135	7135	18 received pension payments. In each January thereafter, the
7136	7136	19 police officer shall receive an additional increase of 3% of
7137	7137	20 the original pension.
7138	7138	21 (d) The monthly pension of a police officer who retires
7139	7139	22 after January 1, 1986, shall be increased, upon either the
7140	7140	23 first of the month following the first anniversary of the date
7141	7141	24 of retirement if the officer is 55 years of age or over, or
7142	7142	25 upon the first day of the month following attainment of age 55
7143	7143	26 if it occurs after the first anniversary of retirement, by
7144	7144
7145	7145
7146	7146
7147	7147
7148	7148
7149	7149	SB0002 - 199 - LRB104 07746 RPS 17791 b
7150	7150
7151	7151
7152	7152	SB0002- 200 -LRB104 07746 RPS 17791 b SB0002 - 200 - LRB104 07746 RPS 17791 b
7153	7153	SB0002 - 200 - LRB104 07746 RPS 17791 b
7154	7154	1 1/12 of 3% of the originally granted pension for each full
7155	7155	2 month that has elapsed since the pension began, and by an
7156	7156	3 additional 3% of the originally granted pension in January of
7157	7157	4 each year thereafter.
7158	7158	5 The changes made to this subsection (d) by this amendatory
7159	7159	6 Act of the 91st General Assembly apply to all initial
7160	7160	7 increases that become payable under this subsection on or
7161	7161	8 after January 1, 1999. All initial increases that became
7162	7162	9 payable under this subsection on or after January 1, 1999 and
7163	7163	10 before the effective date of this amendatory Act shall be
7164	7164	11 recalculated and the additional amount accruing for that
7165	7165	12 period, if any, shall be payable to the pensioner in a lump
7166	7166	13 sum.
7167	7167	14 (e) Notwithstanding the provisions of subsection (a), upon
7168	7168	15 the first day of the month following (1) the first anniversary
7169	7169	16 of the date of retirement, or (2) the attainment of age 55, or
7170	7170	17 (3) July 1, 1987, whichever occurs latest, the monthly pension
7171	7171	18 of a police officer who retired on or after January 1, 1977 and
7172	7172	19 on or before January 1, 1986, and did not receive an increase
7173	7173	20 under subsection (a) before July 1, 1987, shall be increased
7174	7174	21 by 3% of the originally granted monthly pension for each full
7175	7175	22 year that has elapsed since the pension began, and by an
7176	7176	23 additional 3% of the originally granted pension in each
7177	7177	24 January thereafter. The increases provided under this
7178	7178	25 subsection are in lieu of the increases provided in subsection
7179	7179	26 (a).
7180	7180
7181	7181
7182	7182
7183	7183
7184	7184
7185	7185	SB0002 - 200 - LRB104 07746 RPS 17791 b
7186	7186
7187	7187
7188	7188	SB0002- 201 -LRB104 07746 RPS 17791 b SB0002 - 201 - LRB104 07746 RPS 17791 b
7189	7189	SB0002 - 201 - LRB104 07746 RPS 17791 b
7190	7190	1 (f) Notwithstanding the other provisions of this Section,
7191	7191	2 beginning with increases granted on or after July 1, 1993, the
7192	7192	3 second and all subsequent automatic annual increases granted
7193	7193	4 under subsection (a), (b), (d), or (e) of this Section shall be
7194	7194	5 calculated as 3% of the amount of pension payable at the time
7195	7195	6 of the increase, including any increases previously granted
7196	7196	7 under this Section, rather than 3% of the originally granted
7197	7197	8 pension amount. Section 1-103.1 does not apply to this
7198	7198	9 subsection (f).
7199	7199	10 (g) Notwithstanding any other provision of this Article,
7200	7200	11 the monthly pension of a person who first becomes a police
7201	7201	12 officer under this Article on or after January 1, 2011 shall be
7202	7202	13 increased on the January 1 occurring either on or after the
7203	7203	14 attainment of age 60 or the first anniversary of the pension
7204	7204	15 start date, whichever is later. Each annual increase shall be
7205	7205	16 calculated at 3% or one-half the annual unadjusted percentage
7206	7206	17 increase (but not less than zero) in the consumer price
7207	7207	18 index-u for the 12 months ending with the September preceding
7208	7208	19 each November 1, whichever is less, of the originally granted
7209	7209	20 pension; except that, beginning January 1, 2026, each annual
7210	7210	21 increase under this subsection shall be calculated at 3% of
7211	7211	22 the amount of the originally granted pension. If the annual
7212	7212	23 unadjusted percentage change in the consumer price index-u for
7213	7213	24 a 12-month period ending in September is zero or, when
7214	7214	25 compared with the preceding period, decreases, then the
7215	7215	26 pension shall not be increased.
7216	7216
7217	7217
7218	7218
7219	7219
7220	7220
7221	7221	SB0002 - 201 - LRB104 07746 RPS 17791 b
7222	7222
7223	7223
7224	7224	SB0002- 202 -LRB104 07746 RPS 17791 b SB0002 - 202 - LRB104 07746 RPS 17791 b
7225	7225	SB0002 - 202 - LRB104 07746 RPS 17791 b
7226	7226	1 For the purposes of this subsection (g), "consumer price
7227	7227	2 index-u" means the index published by the Bureau of Labor
7228	7228	3 Statistics of the United States Department of Labor that
7229	7229	4 measures the average change in prices of goods and services
7230	7230	5 purchased by all urban consumers, United States city average,
7231	7231	6 all items, 1982-84 = 100. The new amount resulting from each
7232	7232	7 annual adjustment shall be determined by the Public Pension
7233	7233	8 Division of the Department of Insurance and made available to
7234	7234	9 the boards of the pension funds.
7235	7235	10 For the purposes of Section 1-103.1 of this Code, the
7236	7236	11 changes made to this subsection by this amendatory Act of the
7237	7237	12 104th General Assembly are applicable without regard to
7238	7238	13 whether the employee was in active service on or after the
7239	7239	14 effective date of this amendatory Act of the 104th General
7240	7240	15 Assembly.
7241	7241	16 (Source: P.A. 96-1495, eff. 1-1-11.)
7242	7242	17 (40 ILCS 5/4-109.1) (from Ch. 108 1/2, par. 4-109.1)
7243	7243	18 Sec. 4-109.1. Increase in pension.
7244	7244	19 (a) Except as provided in subsection (e), the monthly
7245	7245	20 pension of a firefighter who retires after July 1, 1971 and
7246	7246	21 prior to January 1, 1986, shall, upon either the first of the
7247	7247	22 month following the first anniversary of the date of
7248	7248	23 retirement if 60 years of age or over at retirement date, or
7249	7249	24 upon the first day of the month following attainment of age 60
7250	7250	25 if it occurs after the first anniversary of retirement, be
7251	7251
7252	7252
7253	7253
7254	7254
7255	7255
7256	7256	SB0002 - 202 - LRB104 07746 RPS 17791 b
7257	7257
7258	7258
7259	7259	SB0002- 203 -LRB104 07746 RPS 17791 b SB0002 - 203 - LRB104 07746 RPS 17791 b
7260	7260	SB0002 - 203 - LRB104 07746 RPS 17791 b
7261	7261	1 increased by 2% of the originally granted monthly pension and
7262	7262	2 by an additional 2% in each January thereafter. Effective
7263	7263	3 January 1976, the rate of the annual increase shall be 3% of
7264	7264	4 the originally granted monthly pension.
7265	7265	5 (b) The monthly pension of a firefighter who retired from
7266	7266	6 service with 20 or more years of service, on or before July 1,
7267	7267	7 1971, shall be increased, in January of the year following the
7268	7268	8 year of attaining age 65 or in January 1972, if then over age
7269	7269	9 65, by 2% of the originally granted monthly pension, for each
7270	7270	10 year the firefighter received pension payments. In each
7271	7271	11 January thereafter, he or she shall receive an additional
7272	7272	12 increase of 2% of the original monthly pension. Effective
7273	7273	13 January 1976, the rate of the annual increase shall be 3%.
7274	7274	14 (c) The monthly pension of a firefighter who is receiving
7275	7275	15 a disability pension under this Article shall be increased, in
7276	7276	16 January of the year following the year the firefighter attains
7277	7277	17 age 60, or in January 1974, if then over age 60, by 2% of the
7278	7278	18 originally granted monthly pension for each year he or she
7279	7279	19 received pension payments. In each January thereafter, the
7280	7280	20 firefighter shall receive an additional increase of 2% of the
7281	7281	21 original monthly pension. Effective January 1976, the rate of
7282	7282	22 the annual increase shall be 3%.
7283	7283	23 (c-1) On January 1, 1998, every child's disability benefit
7284	7284	24 payable on that date under Section 4-110 or 4-110.1 shall be
7285	7285	25 increased by an amount equal to 1/12 of 3% of the amount of the
7286	7286	26 benefit, multiplied by the number of months for which the
7287	7287
7288	7288
7289	7289
7290	7290
7291	7291
7292	7292	SB0002 - 203 - LRB104 07746 RPS 17791 b
7293	7293
7294	7294
7295	7295	SB0002- 204 -LRB104 07746 RPS 17791 b SB0002 - 204 - LRB104 07746 RPS 17791 b
7296	7296	SB0002 - 204 - LRB104 07746 RPS 17791 b
7297	7297	1 benefit has been payable. On each January 1 thereafter, every
7298	7298	2 child's disability benefit payable under Section 4-110 or
7299	7299	3 4-110.1 shall be increased by 3% of the amount of the benefit
7300	7300	4 then being paid, including any previous increases received
7301	7301	5 under this Article. These increases are not subject to any
7302	7302	6 limitation on the maximum benefit amount included in Section
7303	7303	7 4-110 or 4-110.1.
7304	7304	8 (c-2) On July 1, 2004, every pension payable to or on
7305	7305	9 behalf of a minor or disabled surviving child that is payable
7306	7306	10 on that date under Section 4-114 shall be increased by an
7307	7307	11 amount equal to 1/12 of 3% of the amount of the pension,
7308	7308	12 multiplied by the number of months for which the benefit has
7309	7309	13 been payable. On July 1, 2005, July 1, 2006, July 1, 2007, and
7310	7310	14 July 1, 2008, every pension payable to or on behalf of a minor
7311	7311	15 or disabled surviving child that is payable under Section
7312	7312	16 4-114 shall be increased by 3% of the amount of the pension
7313	7313	17 then being paid, including any previous increases received
7314	7314	18 under this Article. These increases are not subject to any
7315	7315	19 limitation on the maximum benefit amount included in Section
7316	7316	20 4-114.
7317	7317	21 (d) The monthly pension of a firefighter who retires after
7318	7318	22 January 1, 1986, shall, upon either the first of the month
7319	7319	23 following the first anniversary of the date of retirement if
7320	7320	24 55 years of age or over, or upon the first day of the month
7321	7321	25 following attainment of age 55 if it occurs after the first
7322	7322	26 anniversary of retirement, be increased by 1/12 of 3% of the
7323	7323
7324	7324
7325	7325
7326	7326
7327	7327
7328	7328	SB0002 - 204 - LRB104 07746 RPS 17791 b
7329	7329
7330	7330
7331	7331	SB0002- 205 -LRB104 07746 RPS 17791 b SB0002 - 205 - LRB104 07746 RPS 17791 b
7332	7332	SB0002 - 205 - LRB104 07746 RPS 17791 b
7333	7333	1 originally granted monthly pension for each full month that
7334	7334	2 has elapsed since the pension began, and by an additional 3% in
7335	7335	3 each January thereafter.
7336	7336	4 The changes made to this subsection (d) by this amendatory
7337	7337	5 Act of the 91st General Assembly apply to all initial
7338	7338	6 increases that become payable under this subsection on or
7339	7339	7 after January 1, 1999. All initial increases that became
7340	7340	8 payable under this subsection on or after January 1, 1999 and
7341	7341	9 before the effective date of this amendatory Act shall be
7342	7342	10 recalculated and the additional amount accruing for that
7343	7343	11 period, if any, shall be payable to the pensioner in a lump
7344	7344	12 sum.
7345	7345	13 (e) Notwithstanding the provisions of subsection (a), upon
7346	7346	14 the first day of the month following (1) the first anniversary
7347	7347	15 of the date of retirement, or (2) the attainment of age 55, or
7348	7348	16 (3) July 1, 1987, whichever occurs latest, the monthly pension
7349	7349	17 of a firefighter who retired on or after January 1, 1977 and on
7350	7350	18 or before January 1, 1986 and did not receive an increase under
7351	7351	19 subsection (a) before July 1, 1987, shall be increased by 3% of
7352	7352	20 the originally granted monthly pension for each full year that
7353	7353	21 has elapsed since the pension began, and by an additional 3% in
7354	7354	22 each January thereafter. The increases provided under this
7355	7355	23 subsection are in lieu of the increases provided in subsection
7356	7356	24 (a).
7357	7357	25 (f) In July 2009, the monthly pension of a firefighter who
7358	7358	26 retired before July 1, 1977 shall be recalculated and
7359	7359
7360	7360
7361	7361
7362	7362
7363	7363
7364	7364	SB0002 - 205 - LRB104 07746 RPS 17791 b
7365	7365
7366	7366
7367	7367	SB0002- 206 -LRB104 07746 RPS 17791 b SB0002 - 206 - LRB104 07746 RPS 17791 b
7368	7368	SB0002 - 206 - LRB104 07746 RPS 17791 b
7369	7369	1 increased to reflect the amount that the firefighter would
7370	7370	2 have received in July 2009 had the firefighter been receiving
7371	7371	3 a 3% compounded increase for each year he or she received
7372	7372	4 pension payments after January 1, 1986, plus any increases in
7373	7373	5 pension received for each year prior to January 1, 1986. In
7374	7374	6 each January thereafter, he or she shall receive an additional
7375	7375	7 increase of 3% of the amount of the pension then being paid.
7376	7376	8 The changes made to this Section by this amendatory Act of the
7377	7377	9 96th General Assembly apply without regard to whether the
7378	7378	10 firefighter was in service on or after its effective date.
7379	7379	11 (g) Notwithstanding any other provision of this Article,
7380	7380	12 the monthly pension of a person who first becomes a
7381	7381	13 firefighter under this Article on or after January 1, 2011
7382	7382	14 shall be increased on the January 1 occurring either on or
7383	7383	15 after the attainment of age 60 or the first anniversary of the
7384	7384	16 pension start date, whichever is later. Each annual increase
7385	7385	17 shall be calculated at 3% or one-half the annual unadjusted
7386	7386	18 percentage increase (but not less than zero) in the consumer
7387	7387	19 price index-u for the 12 months ending with the September
7388	7388	20 preceding each November 1, whichever is less, of the
7389	7389	21 originally granted pension; except that, beginning January 1,
7390	7390	22 2026, each annual increase under this subsection shall be
7391	7391	23 calculated at 3% of the amount of the originally granted
7392	7392	24 pension. If the annual unadjusted percentage change in the
7393	7393	25 consumer price index-u for a 12-month period ending in
7394	7394	26 September is zero or, when compared with the preceding period,
7395	7395
7396	7396
7397	7397
7398	7398
7399	7399
7400	7400	SB0002 - 206 - LRB104 07746 RPS 17791 b
7401	7401
7402	7402
7403	7403	SB0002- 207 -LRB104 07746 RPS 17791 b SB0002 - 207 - LRB104 07746 RPS 17791 b
7404	7404	SB0002 - 207 - LRB104 07746 RPS 17791 b
7405	7405	1 decreases, then the pension shall not be increased.
7406	7406	2 For the purposes of this subsection (g), "consumer price
7407	7407	3 index-u" means the index published by the Bureau of Labor
7408	7408	4 Statistics of the United States Department of Labor that
7409	7409	5 measures the average change in prices of goods and services
7410	7410	6 purchased by all urban consumers, United States city average,
7411	7411	7 all items, 1982-84 = 100. The new amount resulting from each
7412	7412	8 annual adjustment shall be determined by the Public Pension
7413	7413	9 Division of the Department of Insurance and made available to
7414	7414	10 the boards of the pension funds.
7415	7415	11 For the purposes of Section 1-103.1 of this Code, the
7416	7416	12 changes made to this subsection by this amendatory Act of the
7417	7417	13 104th General Assembly are applicable without regard to
7418	7418	14 whether the employee was in active service on or after the
7419	7419	15 effective date of this amendatory Act of the 104th General
7420	7420	16 Assembly.
7421	7421	17 (Source: P.A. 96-775, eff. 8-28-09; 96-1495, eff. 1-1-11.)
7422	7422	18 (40 ILCS 5/5-167.1) (from Ch. 108 1/2, par. 5-167.1)
7423	7423	19 Sec. 5-167.1. Automatic increase in annuity; retirement
7424	7424	20 from service after September 1, 1967.
7425	7425	21 (a) A policeman who retires from service after September
7426	7426	22 1, 1967 with at least 20 years of service credit shall, upon
7427	7427	23 either the first of the month following the first anniversary
7428	7428	24 of his date of retirement if he is age 55 or over on that
7429	7429	25 anniversary date, or upon the first of the month following his
7430	7430
7431	7431
7432	7432
7433	7433
7434	7434
7435	7435	SB0002 - 207 - LRB104 07746 RPS 17791 b
7436	7436
7437	7437
7438	7438	SB0002- 208 -LRB104 07746 RPS 17791 b SB0002 - 208 - LRB104 07746 RPS 17791 b
7439	7439	SB0002 - 208 - LRB104 07746 RPS 17791 b
7440	7440	1 attainment of age 55 if it occurs after the first anniversary
7441	7441	2 of his retirement date, have his then fixed and payable
7442	7442	3 monthly annuity increased by 3% and such first fixed annuity
7443	7443	4 as granted at retirement increased by an additional 3% in
7444	7444	5 January of each year thereafter.
7445	7445	6 Any policeman born before January 1, 1945 who qualifies
7446	7446	7 for a minimum annuity and retires after September 1, 1967 but
7447	7447	8 has not received the initial increase under this subsection
7448	7448	9 before January 1, 1996 is entitled to receive the initial
7449	7449	10 increase under this subsection on (1) January 1, 1996, (2) the
7450	7450	11 first anniversary of the date of retirement, or (3) attainment
7451	7451	12 of age 55, whichever occurs last. The changes to this Section
7452	7452	13 made by Public Act 89-12 apply beginning January 1, 1996 and
7453	7453	14 without regard to whether the policeman or annuitant
7454	7454	15 terminated service before the effective date of that Act.
7455	7455	16 Any policeman born before January 1, 1950 who qualifies
7456	7456	17 for a minimum annuity and retires after September 1, 1967 but
7457	7457	18 has not received the initial increase under this subsection
7458	7458	19 before January 1, 2000 is entitled to receive the initial
7459	7459	20 increase under this subsection on (1) January 1, 2000, (2) the
7460	7460	21 first anniversary of the date of retirement, or (3) attainment
7461	7461	22 of age 55, whichever occurs last. The changes to this Section
7462	7462	23 made by this amendatory Act of the 92nd General Assembly apply
7463	7463	24 without regard to whether the policeman or annuitant
7464	7464	25 terminated service before the effective date of this
7465	7465	26 amendatory Act.
7466	7466
7467	7467
7468	7468
7469	7469
7470	7470
7471	7471	SB0002 - 208 - LRB104 07746 RPS 17791 b
7472	7472
7473	7473
7474	7474	SB0002- 209 -LRB104 07746 RPS 17791 b SB0002 - 209 - LRB104 07746 RPS 17791 b
7475	7475	SB0002 - 209 - LRB104 07746 RPS 17791 b
7476	7476	1 Any policeman born before January 1, 1955 who qualifies
7477	7477	2 for a minimum annuity and retires after September 1, 1967 but
7478	7478	3 has not received the initial increase under this subsection
7479	7479	4 before January 1, 2005 is entitled to receive the initial
7480	7480	5 increase under this subsection on (1) January 1, 2005, (2) the
7481	7481	6 first anniversary of the date of retirement, or (3) attainment
7482	7482	7 of age 55, whichever occurs last. The changes to this Section
7483	7483	8 made by this amendatory Act of the 94th General Assembly apply
7484	7484	9 without regard to whether the policeman or annuitant
7485	7485	10 terminated service before the effective date of this
7486	7486	11 amendatory Act.
7487	7487	12 Any policeman born before January 1, 1966 who qualifies
7488	7488	13 for a minimum annuity and retires after September 1, 1967 but
7489	7489	14 has not received the initial increase under this subsection
7490	7490	15 before January 1, 2017 is entitled to receive an initial
7491	7491	16 increase under this subsection on (1) January 1, 2017, (2) the
7492	7492	17 first anniversary of the date of retirement, or (3) attainment
7493	7493	18 of age 55, whichever occurs last, in an amount equal to 3% for
7494	7494	19 each complete year following the date of retirement or
7495	7495	20 attainment of age 55, whichever occurs later. The changes to
7496	7496	21 this subsection made by this amendatory Act of the 99th
7497	7497	22 General Assembly apply without regard to whether the policeman
7498	7498	23 or annuitant terminated service before the effective date of
7499	7499	24 this amendatory Act.
7500	7500	25 Any policeman born on or after January 1, 1966 who
7501	7501	26 qualifies for a minimum annuity and retires after September 1,
7502	7502
7503	7503
7504	7504
7505	7505
7506	7506
7507	7507	SB0002 - 209 - LRB104 07746 RPS 17791 b
7508	7508
7509	7509
7510	7510	SB0002- 210 -LRB104 07746 RPS 17791 b SB0002 - 210 - LRB104 07746 RPS 17791 b
7511	7511	SB0002 - 210 - LRB104 07746 RPS 17791 b
7512	7512	1 1967 but has not received the initial increase under this
7513	7513	2 subsection before January 1, 2023 is entitled to receive the
7514	7514	3 initial increase under this subsection on (1) January 1, 2023,
7515	7515	4 (2) the first anniversary of the date of retirement, or (3)
7516	7516	5 attainment of age 55, whichever occurs last. The changes to
7517	7517	6 this Section made by this amendatory Act of the 103rd General
7518	7518	7 Assembly apply without regard to whether the policeman or
7519	7519	8 annuitant terminated service before the effective date of this
7520	7520	9 amendatory Act of the 103rd General Assembly.
7521	7521	10 (b) Subsection (a) of this Section is not applicable to an
7522	7522	11 employee receiving a term annuity.
7523	7523	12 (c) To help defray the cost of such increases in annuity,
7524	7524	13 there shall be deducted, beginning September 1, 1967, from
7525	7525	14 each payment of salary to a policeman, 1/2 of 1% of each salary
7526	7526	15 payment concurrently with and in addition to the salary
7527	7527	16 deductions otherwise made for annuity purposes.
7528	7528	17 The city, in addition to the contributions otherwise made
7529	7529	18 by it for annuity purposes under other provisions of this
7530	7530	19 Article, shall make matching contributions concurrently with
7531	7531	20 such salary deductions.
7532	7532	21 Each such 1/2 of 1% deduction from salary and each such
7533	7533	22 contribution by the city of 1/2 of 1% of salary shall be
7534	7534	23 credited to the Automatic Increase Reserve, to be used to
7535	7535	24 defray the cost of the annuity increase provided by this
7536	7536	25 Section. Any balance in such reserve as of the beginning of
7537	7537	26 each calendar year shall be credited with interest at the rate
7538	7538
7539	7539
7540	7540
7541	7541
7542	7542
7543	7543	SB0002 - 210 - LRB104 07746 RPS 17791 b
7544	7544
7545	7545
7546	7546	SB0002- 211 -LRB104 07746 RPS 17791 b SB0002 - 211 - LRB104 07746 RPS 17791 b
7547	7547	SB0002 - 211 - LRB104 07746 RPS 17791 b
7548	7548	1 of 3% per annum.
7549	7549	2 Such deductions from salary and city contributions shall
7550	7550	3 continue while the policeman is in service.
7551	7551	4 The salary deductions provided in this Section are not
7552	7552	5 subject to refund, except to the policeman himself, in any
7553	7553	6 case in which: (i) the policeman withdraws prior to
7554	7554	7 qualification for minimum annuity or Tier 2 monthly retirement
7555	7555	8 annuity and applies for refund, (ii) the policeman applies for
7556	7556	9 an annuity of a type that is not subject to annual increases
7557	7557	10 under this Section, or (iii) a term annuity becomes payable.
7558	7558	11 In such cases, the total of such salary deductions shall be
7559	7559	12 refunded to the policeman, without interest, and charged to
7560	7560	13 the Automatic Increase Reserve.
7561	7561	14 (d) Notwithstanding any other provision of this Article,
7562	7562	15 the Tier 2 monthly retirement annuity of a person who first
7563	7563	16 becomes a policeman under this Article on or after the
7564	7564	17 effective date of this amendatory Act of the 97th General
7565	7565	18 Assembly shall be increased on the January 1 occurring either
7566	7566	19 on or after (i) the attainment of age 60 or (ii) the first
7567	7567	20 anniversary of the annuity start date, whichever is later.
7568	7568	21 Each annual increase shall be calculated at 3% or one-half the
7569	7569	22 annual unadjusted percentage increase (but not less than zero)
7570	7570	23 in the consumer price index-u for the 12 months ending with the
7571	7571	24 September preceding each November 1, whichever is less, of the
7572	7572	25 originally granted retirement annuity; except that, beginning
7573	7573	26 January 1, 2026, each annual increase under this subsection
7574	7574
7575	7575
7576	7576
7577	7577
7578	7578
7579	7579	SB0002 - 211 - LRB104 07746 RPS 17791 b
7580	7580
7581	7581
7582	7582	SB0002- 212 -LRB104 07746 RPS 17791 b SB0002 - 212 - LRB104 07746 RPS 17791 b
7583	7583	SB0002 - 212 - LRB104 07746 RPS 17791 b
7584	7584	1 shall be calculated at 3% of the originally granted retirement
7585	7585	2 annuity. If the annual unadjusted percentage change in the
7586	7586	3 consumer price index-u for a 12-month period ending in
7587	7587	4 September is zero or, when compared with the preceding period,
7588	7588	5 decreases, then the annuity shall not be increased.
7589	7589	6 For the purposes of this subsection (d), "consumer price
7590	7590	7 index-u" means the index published by the Bureau of Labor
7591	7591	8 Statistics of the United States Department of Labor that
7592	7592	9 measures the average change in prices of goods and services
7593	7593	10 purchased by all urban consumers, United States city average,
7594	7594	11 all items, 1982-84 = 100. The new amount resulting from each
7595	7595	12 annual adjustment shall be determined by the Public Pension
7596	7596	13 Division of the Department of Insurance and made available to
7597	7597	14 the boards of the pension funds by November 1 of each year.
7598	7598	15 For the purposes of Section 1-103.1 of this Code, the
7599	7599	16 changes made to this subsection by this amendatory Act of the
7600	7600	17 104th General Assembly are applicable without regard to
7601	7601	18 whether the employee was in active service on or after the
7602	7602	19 effective date of this amendatory Act of the 104th General
7603	7603	20 Assembly.
7604	7604	21 (Source: P.A. 103-582, eff. 12-8-23.)
7605	7605	22 (40 ILCS 5/6-164) (from Ch. 108 1/2, par. 6-164)
7606	7606	23 Sec. 6-164. Automatic annual increase; retirement after
7607	7607	24 September 1, 1959.
7608	7608	25 (a) A fireman qualifying for a minimum annuity who retires
7609	7609
7610	7610
7611	7611
7612	7612
7613	7613
7614	7614	SB0002 - 212 - LRB104 07746 RPS 17791 b
7615	7615
7616	7616
7617	7617	SB0002- 213 -LRB104 07746 RPS 17791 b SB0002 - 213 - LRB104 07746 RPS 17791 b
7618	7618	SB0002 - 213 - LRB104 07746 RPS 17791 b
7619	7619	1 from service after September 1, 1959 shall, upon either the
7620	7620	2 first of the month following the first anniversary of his date
7621	7621	3 of retirement if he is age 55 or over on that anniversary date,
7622	7622	4 or upon the first of the month following his attainment of age
7623	7623	5 55 if that occurs after the first anniversary of his
7624	7624	6 retirement date, have his then fixed and payable monthly
7625	7625	7 annuity increased by 1 1/2%, and such first fixed annuity as
7626	7626	8 granted at retirement increased by an additional 1 1/2% in
7627	7627	9 January of each year thereafter up to a maximum increase of
7628	7628	10 30%. Beginning July 1, 1982 for firemen born before January 1,
7629	7629	11 1930, and beginning January 1, 1990 for firemen born after
7630	7630	12 December 31, 1929 and before January 1, 1940, and beginning
7631	7631	13 January 1, 1996 for firemen born after December 31, 1939 but
7632	7632	14 before January 1, 1945, and beginning January 1, 2004, for
7633	7633	15 firemen born after December 31, 1944 but before January 1,
7634	7634	16 1955, and beginning January 1, 2017, for firemen born after
7635	7635	17 December 31, 1954, such increases shall be 3% and such firemen
7636	7636	18 shall not be subject to the 30% maximum increase.
7637	7637	19 Any fireman born before January 1, 1945 who qualifies for
7638	7638	20 a minimum annuity and retires after September 1, 1967 but has
7639	7639	21 not received the initial increase under this subsection before
7640	7640	22 January 1, 1996 is entitled to receive the initial increase
7641	7641	23 under this subsection on (1) January 1, 1996, (2) the first
7642	7642	24 anniversary of the date of retirement, or (3) attainment of
7643	7643	25 age 55, whichever occurs last. The changes to this Section
7644	7644	26 made by this amendatory Act of 1995 apply beginning January 1,
7645	7645
7646	7646
7647	7647
7648	7648
7649	7649
7650	7650	SB0002 - 213 - LRB104 07746 RPS 17791 b
7651	7651
7652	7652
7653	7653	SB0002- 214 -LRB104 07746 RPS 17791 b SB0002 - 214 - LRB104 07746 RPS 17791 b
7654	7654	SB0002 - 214 - LRB104 07746 RPS 17791 b
7655	7655	1 1996 and apply without regard to whether the fireman or
7656	7656	2 annuitant terminated service before the effective date of this
7657	7657	3 amendatory Act of 1995.
7658	7658	4 Any fireman born before January 1, 1955 who qualifies for
7659	7659	5 a minimum annuity and retires after September 1, 1967 but has
7660	7660	6 not received the initial increase under this subsection before
7661	7661	7 January 1, 2004 is entitled to receive the initial increase
7662	7662	8 under this subsection on (1) January 1, 2004, (2) the first
7663	7663	9 anniversary of the date of retirement, or (3) attainment of
7664	7664	10 age 55, whichever occurs last. The changes to this Section
7665	7665	11 made by this amendatory Act of the 93rd General Assembly apply
7666	7666	12 without regard to whether the fireman or annuitant terminated
7667	7667	13 service before the effective date of this amendatory Act.
7668	7668	14 Any fireman born after December 31, 1954 but before
7669	7669	15 January 1, 1966 who qualifies for a minimum annuity and
7670	7670	16 retires after September 1, 1967 is entitled to receive an
7671	7671	17 increase under this subsection on (1) January 1, 2017, (2) the
7672	7672	18 first anniversary of the date of retirement, or (3) attainment
7673	7673	19 of age 55, whichever occurs last, in an amount equal to an
7674	7674	20 increase of 3% of his then fixed and payable monthly annuity
7675	7675	21 upon the first of the month following the first anniversary of
7676	7676	22 his date of retirement if he is age 55 or over on that
7677	7677	23 anniversary date or upon the first of the month following his
7678	7678	24 attainment of age 55 if that date occurs after the first
7679	7679	25 anniversary of his retirement date and such first fixed
7680	7680	26 annuity as granted at retirement shall be increased by an
7681	7681
7682	7682
7683	7683
7684	7684
7685	7685
7686	7686	SB0002 - 214 - LRB104 07746 RPS 17791 b
7687	7687
7688	7688
7689	7689	SB0002- 215 -LRB104 07746 RPS 17791 b SB0002 - 215 - LRB104 07746 RPS 17791 b
7690	7690	SB0002 - 215 - LRB104 07746 RPS 17791 b
7691	7691	1 additional 3% in January of each year thereafter. In the case
7692	7692	2 of a fireman born after December 31, 1954 but before January 1,
7693	7693	3 1966 who received an increase in any year of 1.5%, that fireman
7694	7694	4 shall receive an increase for any such year so that the total
7695	7695	5 increase is equal to 3% for each year the fireman would have
7696	7696	6 been otherwise eligible had the fireman not received any
7697	7697	7 increase. The changes to this subsection made by this
7698	7698	8 amendatory Act of the 99th General Assembly apply without
7699	7699	9 regard to whether the fireman or annuitant terminated service
7700	7700	10 before the effective date of this amendatory Act. The changes
7701	7701	11 to this subsection made by this amendatory Act of the 100th
7702	7702	12 General Assembly are a declaration of existing law and shall
7703	7703	13 not be construed as a new enactment.
7704	7704	14 Any fireman who qualifies for a minimum annuity and
7705	7705	15 retires after September 1, 1967 is entitled to receive an
7706	7706	16 increase under this subsection on (1) January 1, 2020, (2) the
7707	7707	17 first anniversary of the date of retirement, or (3) attainment
7708	7708	18 of age 55, whichever occurs last, in an amount equal to an
7709	7709	19 increase of 3% of his or her then fixed and payable monthly
7710	7710	20 annuity upon the first of the month following the first
7711	7711	21 anniversary of his or her date of retirement if he or she is
7712	7712	22 age 55 or over on that anniversary date or upon the first of
7713	7713	23 the month following his or her attainment of age 55 if that
7714	7714	24 date occurs after the first anniversary of his or her
7715	7715	25 retirement date and such first fixed annuity as granted at
7716	7716	26 retirement shall be increased by an additional 3% in January
7717	7717
7718	7718
7719	7719
7720	7720
7721	7721
7722	7722	SB0002 - 215 - LRB104 07746 RPS 17791 b
7723	7723
7724	7724
7725	7725	SB0002- 216 -LRB104 07746 RPS 17791 b SB0002 - 216 - LRB104 07746 RPS 17791 b
7726	7726	SB0002 - 216 - LRB104 07746 RPS 17791 b
7727	7727	1 of each year thereafter. In the case of a fireman who received
7728	7728	2 an increase in any year of 1.5%, that fireman shall receive an
7729	7729	3 increase for any such year so that the total increase is equal
7730	7730	4 to 3% for each year the fireman would have been otherwise
7731	7731	5 eligible had the fireman not received any increase. The
7732	7732	6 changes to this subsection made by this amendatory Act of the
7733	7733	7 101st General Assembly apply without regard to whether the
7734	7734	8 fireman or annuitant terminated service before the effective
7735	7735	9 date of this amendatory Act of the 101st General Assembly.
7736	7736	10 (b) Subsection (a) of this Section is not applicable to an
7737	7737	11 employee receiving a term annuity.
7738	7738	12 (c) To help defray the cost of such increases in annuity,
7739	7739	13 there shall be deducted, beginning September 1, 1959, from
7740	7740	14 each payment of salary to a fireman, 1/8 of 1% of each such
7741	7741	15 salary payment and an additional 1/8 of 1% beginning on
7742	7742	16 September 1, 1961, and September 1, 1963, respectively,
7743	7743	17 concurrently with and in addition to the salary deductions
7744	7744	18 otherwise made for annuity purposes.
7745	7745	19 Each such additional 1/8 of 1% deduction from salary which
7746	7746	20 shall, on September 1, 1963, result in a total increase of 3/8
7747	7747	21 of 1% of salary, shall be credited to the Automatic Increase
7748	7748	22 Reserve, to be used, together with city contributions as
7749	7749	23 provided in this Article, to defray the cost of the annuity
7750	7750	24 increments specified in this Section. Any balance in such
7751	7751	25 reserve as of the beginning of each calendar year shall be
7752	7752	26 credited with interest at the rate of 3% per annum.
7753	7753
7754	7754
7755	7755
7756	7756
7757	7757
7758	7758	SB0002 - 216 - LRB104 07746 RPS 17791 b
7759	7759
7760	7760
7761	7761	SB0002- 217 -LRB104 07746 RPS 17791 b SB0002 - 217 - LRB104 07746 RPS 17791 b
7762	7762	SB0002 - 217 - LRB104 07746 RPS 17791 b
7763	7763	1 The salary deductions provided in this Section are not
7764	7764	2 subject to refund, except to the fireman himself in any case in
7765	7765	3 which: (i) the fireman withdraws prior to qualification for
7766	7766	4 minimum annuity or Tier 2 monthly retirement annuity and
7767	7767	5 applies for refund, (ii) the fireman applies for an annuity of
7768	7768	6 a type that is not subject to annual increases under this
7769	7769	7 Section, or (iii) a term annuity becomes payable. In such
7770	7770	8 cases, the total of such salary deductions shall be refunded
7771	7771	9 to the fireman, without interest, and charged to the
7772	7772	10 aforementioned reserve.
7773	7773	11 (d) Notwithstanding any other provision of this Article,
7774	7774	12 the Tier 2 monthly retirement annuity of a person who first
7775	7775	13 becomes a fireman under this Article on or after January 1,
7776	7776	14 2011 shall be increased on the January 1 occurring either on or
7777	7777	15 after (i) the attainment of age 60 or (ii) the first
7778	7778	16 anniversary of the annuity start date, whichever is later.
7779	7779	17 Each annual increase shall be calculated at 3% or one-half the
7780	7780	18 annual unadjusted percentage increase (but not less than zero)
7781	7781	19 in the consumer price index-u for the 12 months ending with the
7782	7782	20 September preceding each November 1, whichever is less, of the
7783	7783	21 originally granted retirement annuity; except that, beginning
7784	7784	22 January 1, 2026, each annual increase under this subsection
7785	7785	23 shall be calculated at 3% of the originally granted retirement
7786	7786	24 annuity. If the annual unadjusted percentage change in the
7787	7787	25 consumer price index-u for a 12-month period ending in
7788	7788	26 September is zero or, when compared with the preceding period,
7789	7789
7790	7790
7791	7791
7792	7792
7793	7793
7794	7794	SB0002 - 217 - LRB104 07746 RPS 17791 b
7795	7795
7796	7796
7797	7797	SB0002- 218 -LRB104 07746 RPS 17791 b SB0002 - 218 - LRB104 07746 RPS 17791 b
7798	7798	SB0002 - 218 - LRB104 07746 RPS 17791 b
7799	7799	1 decreases, then the annuity shall not be increased.
7800	7800	2 For the purposes of this subsection (d), "consumer price
7801	7801	3 index-u" means the index published by the Bureau of Labor
7802	7802	4 Statistics of the United States Department of Labor that
7803	7803	5 measures the average change in prices of goods and services
7804	7804	6 purchased by all urban consumers, United States city average,
7805	7805	7 all items, 1982-84 = 100. The new amount resulting from each
7806	7806	8 annual adjustment shall be determined by the Public Pension
7807	7807	9 Division of the Department of Insurance and made available to
7808	7808	10 the boards of the pension funds by November 1 of each year.
7809	7809	11 For the purposes of Section 1-103.1 of this Code, the
7810	7810	12 changes made to this subsection by this amendatory Act of the
7811	7811	13 104th General Assembly are applicable without regard to
7812	7812	14 whether the employee was in active service on or after the
7813	7813	15 effective date of this amendatory Act of the 104th General
7814	7814	16 Assembly.
7815	7815	17 (Source: P.A. 100-23, eff. 7-6-17; 100-539, eff. 11-7-17;
7816	7816	18 101-673, eff. 4-5-21.)
7817	7817	19 (40 ILCS 5/7-142) (from Ch. 108 1/2, par. 7-142)
7818	7818	20 Sec. 7-142. Retirement annuities; amount annuities -
7819	7819	21 Amount.
7820	7820	22 (a) The amount of a retirement annuity shall be the sum of
7821	7821	23 the following, determined in accordance with the actuarial
7822	7822	24 tables in effect at the time of the grant of the annuity:
7823	7823	25 1. For Tier 1 regular employees with 8 or more years of
7824	7824
7825	7825
7826	7826
7827	7827
7828	7828
7829	7829	SB0002 - 218 - LRB104 07746 RPS 17791 b
7830	7830
7831	7831
7832	7832	SB0002- 219 -LRB104 07746 RPS 17791 b SB0002 - 219 - LRB104 07746 RPS 17791 b
7833	7833	SB0002 - 219 - LRB104 07746 RPS 17791 b
7834	7834	1 service or for Tier 2 regular employees, an annuity
7835	7835	2 computed pursuant to subparagraphs a or b of this
7836	7836	3 subparagraph 1, whichever is the higher, and for employees
7837	7837	4 with less than 8 or 10 years of service, respectively, the
7838	7838	5 annuity computed pursuant to subparagraph a:
7839	7839	6 a. The monthly annuity which can be provided from
7840	7840	7 the total accumulated normal, municipality and prior
7841	7841	8 service credits, as of the attained age of the
7842	7842	9 employee on the date the annuity begins provided that
7843	7843	10 such annuity shall not exceed 75% of the final rate of
7844	7844	11 earnings of the employee.
7845	7845	12 b. (i) The monthly annuity amount determined as
7846	7846	13 follows by multiplying (a) 1 2/3% for annuitants with
7847	7847	14 not more than 15 years or (b) 1 2/3% for the first 15
7848	7848	15 years and 2% for each year in excess of 15 years for
7849	7849	16 annuitants with more than 15 years by the number of
7850	7850	17 years plus fractional years, prorated on a basis of
7851	7851	18 months, of creditable service and multiply the product
7852	7852	19 thereof by the employee's final rate of earnings.
7853	7853	20 (ii) For the sole purpose of computing the formula
7854	7854	21 (and not for the purposes of the limitations
7855	7855	22 hereinafter stated) $125 shall be considered the final
7856	7856	23 rate of earnings in all cases where the final rate of
7857	7857	24 earnings is less than such amount.
7858	7858	25 (iii) The monthly annuity computed in accordance
7859	7859	26 with this subparagraph b, shall not exceed an amount
7860	7860
7861	7861
7862	7862
7863	7863
7864	7864
7865	7865	SB0002 - 219 - LRB104 07746 RPS 17791 b
7866	7866
7867	7867
7868	7868	SB0002- 220 -LRB104 07746 RPS 17791 b SB0002 - 220 - LRB104 07746 RPS 17791 b
7869	7869	SB0002 - 220 - LRB104 07746 RPS 17791 b
7870	7870	1 equal to 75% of the final rate of earnings.
7871	7871	2 (iv) For employees who have less than 35 years of
7872	7872	3 service, the annuity computed in accordance with this
7873	7873	4 subparagraph b (as reduced by application of
7874	7874	5 subparagraph (iii) above) shall be reduced by 0.25%
7875	7875	6 thereof (0.5% if service was terminated before January
7876	7876	7 1, 1988 or if the employee is a Tier 2 regular
7877	7877	8 employee) for each month or fraction thereof (1) that
7878	7878	9 the employee's age is less than 60 years for Tier 1
7879	7879	10 regular employees, (2) that the employee's age is less
7880	7880	11 than 67 years for Tier 2 regular employees, or (3) if
7881	7881	12 the employee has at least 30 years of service credit,
7882	7882	13 that the employee's service credit is less than 35
7883	7883	14 years, whichever is less, on the date the annuity
7884	7884	15 begins.
7885	7885	16 2. The annuity which can be provided from the total
7886	7886	17 accumulated additional credits as of the attained age of
7887	7887	18 the employee on the date the annuity begins.
7888	7888	19 (b) If payment of an annuity begins prior to the earliest
7889	7889	20 age at which the employee will become eligible for an old age
7890	7890	21 insurance benefit under the Federal Social Security Act, he
7891	7891	22 may elect that the annuity payments from this fund shall
7892	7892	23 exceed those payable after his attaining such age by an
7893	7893	24 amount, computed as determined by rules of the Board, but not
7894	7894	25 in excess of his estimated Social Security Benefit, determined
7895	7895	26 as of the effective date of the annuity, provided that in no
7896	7896
7897	7897
7898	7898
7899	7899
7900	7900
7901	7901	SB0002 - 220 - LRB104 07746 RPS 17791 b
7902	7902
7903	7903
7904	7904	SB0002- 221 -LRB104 07746 RPS 17791 b SB0002 - 221 - LRB104 07746 RPS 17791 b
7905	7905	SB0002 - 221 - LRB104 07746 RPS 17791 b
7906	7906	1 case shall the total annuity payments made by this fund exceed
7907	7907	2 in actuarial value the annuity which would have been payable
7908	7908	3 had no such election been made.
7909	7909	4 (c) Beginning January 1, 1984 and each January 1
7910	7910	5 thereafter, the retirement annuity of a Tier 1 regular
7911	7911	6 employee shall be increased by 3% each year, not compounded.
7912	7912	7 This increase shall be computed from the effective date of the
7913	7913	8 retirement annuity, the first increase being 0.25% of the
7914	7914	9 monthly amount times the number of months from the effective
7915	7915	10 date to January 1. This increase shall not be applicable to
7916	7916	11 annuitants who are not in service on or after September 8,
7917	7917	12 1971.
7918	7918	13 A retirement annuity of a Tier 2 regular employee shall
7919	7919	14 receive annual increases on the January 1 occurring either on
7920	7920	15 or after the attainment of age 67 or the first anniversary of
7921	7921	16 the annuity start date, whichever is later. Each annual
7922	7922	17 increase shall be calculated at the lesser of 3% or one-half
7923	7923	18 the annual unadjusted percentage increase (but not less than
7924	7924	19 zero) in the consumer price index-u for the 12 months ending
7925	7925	20 with the September preceding each November 1 of the originally
7926	7926	21 granted retirement annuity; except that, beginning January 1,
7927	7927	22 2026, each annual increase under this subsection shall be
7928	7928	23 calculated at 3% of the amount of the originally granted
7929	7929	24 retirement annuity. If the annual unadjusted percentage change
7930	7930	25 in the consumer price index-u for the 12 months ending with the
7931	7931	26 September preceding each November 1 is zero or there is a
7932	7932
7933	7933
7934	7934
7935	7935
7936	7936
7937	7937	SB0002 - 221 - LRB104 07746 RPS 17791 b
7938	7938
7939	7939
7940	7940	SB0002- 222 -LRB104 07746 RPS 17791 b SB0002 - 222 - LRB104 07746 RPS 17791 b
7941	7941	SB0002 - 222 - LRB104 07746 RPS 17791 b
7942	7942	1 decrease, then the annuity shall not be increased.
7943	7943	2 For the purposes of Section 1-103.1 of this Code, the
7944	7944	3 changes made to this subsection by this amendatory Act of the
7945	7945	4 104th General Assembly are applicable without regard to
7946	7946	5 whether the employee was in active service on or after the
7947	7947	6 effective date of this amendatory Act of the 104th General
7948	7948	7 Assembly.
7949	7949	8 (d) Any elected county officer who was entitled to receive
7950	7950	9 a stipend from the State on or after July 1, 2009 and on or
7951	7951	10 before June 30, 2010 may establish earnings credit for the
7952	7952	11 amount of stipend not received, if the elected county official
7953	7953	12 applies in writing to the fund within 6 months after the
7954	7954	13 effective date of this amendatory Act of the 96th General
7955	7955	14 Assembly and pays to the fund an amount equal to (i) employee
7956	7956	15 contributions on the amount of stipend not received, (ii)
7957	7957	16 employer contributions determined by the Board equal to the
7958	7958	17 employer's normal cost of the benefit on the amount of stipend
7959	7959	18 not received, plus (iii) interest on items (i) and (ii) at the
7960	7960	19 actuarially assumed rate.
7961	7961	20 (Source: P.A. 102-210, eff. 1-1-22.)
7962	7962	21 (40 ILCS 5/7-142.1) (from Ch. 108 1/2, par. 7-142.1)
7963	7963	22 Sec. 7-142.1. Sheriff's law enforcement employees.
7964	7964	23 (a) In lieu of the retirement annuity provided by
7965	7965	24 subparagraph 1 of paragraph (a) of Section 7-142:
7966	7966	25 Any sheriff's law enforcement employee who has 20 or more
7967	7967
7968	7968
7969	7969
7970	7970
7971	7971
7972	7972	SB0002 - 222 - LRB104 07746 RPS 17791 b
7973	7973
7974	7974
7975	7975	SB0002- 223 -LRB104 07746 RPS 17791 b SB0002 - 223 - LRB104 07746 RPS 17791 b
7976	7976	SB0002 - 223 - LRB104 07746 RPS 17791 b
7977	7977	1 years of service in that capacity and who terminates service
7978	7978	2 prior to January 1, 1988 shall be entitled at his option to
7979	7979	3 receive a monthly retirement annuity for his service as a
7980	7980	4 sheriff's law enforcement employee computed by multiplying 2%
7981	7981	5 for each year of such service up to 10 years, 2 1/4% for each
7982	7982	6 year of such service above 10 years and up to 20 years, and 2
7983	7983	7 1/2% for each year of such service above 20 years, by his
7984	7984	8 annual final rate of earnings and dividing by 12.
7985	7985	9 Any sheriff's law enforcement employee who has 20 or more
7986	7986	10 years of service in that capacity and who terminates service
7987	7987	11 on or after January 1, 1988 and before July 1, 2004 shall be
7988	7988	12 entitled at his option to receive a monthly retirement annuity
7989	7989	13 for his service as a sheriff's law enforcement employee
7990	7990	14 computed by multiplying 2.5% for each year of such service up
7991	7991	15 to 20 years, 2% for each year of such service above 20 years
7992	7992	16 and up to 30 years, and 1% for each year of such service above
7993	7993	17 30 years, by his annual final rate of earnings and dividing by
7994	7994	18 12.
7995	7995	19 Any sheriff's law enforcement employee who has 20 or more
7996	7996	20 years of service in that capacity and who terminates service
7997	7997	21 on or after July 1, 2004 shall be entitled at his or her option
7998	7998	22 to receive a monthly retirement annuity for service as a
7999	7999	23 sheriff's law enforcement employee computed by multiplying
8000	8000	24 2.5% for each year of such service by his annual final rate of
8001	8001	25 earnings and dividing by 12.
8002	8002	26 If a sheriff's law enforcement employee has service in any
8003	8003
8004	8004
8005	8005
8006	8006
8007	8007
8008	8008	SB0002 - 223 - LRB104 07746 RPS 17791 b
8009	8009
8010	8010
8011	8011	SB0002- 224 -LRB104 07746 RPS 17791 b SB0002 - 224 - LRB104 07746 RPS 17791 b
8012	8012	SB0002 - 224 - LRB104 07746 RPS 17791 b
8013	8013	1 other capacity, his retirement annuity for service as a
8014	8014	2 sheriff's law enforcement employee may be computed under this
8015	8015	3 Section and the retirement annuity for his other service under
8016	8016	4 Section 7-142.
8017	8017	5 In no case shall the total monthly retirement annuity for
8018	8018	6 persons who retire before July 1, 2004 exceed 75% of the
8019	8019	7 monthly final rate of earnings. In no case shall the total
8020	8020	8 monthly retirement annuity for persons who retire on or after
8021	8021	9 July 1, 2004 exceed 80% of the monthly final rate of earnings.
8022	8022	10 (b) Whenever continued group insurance coverage is elected
8023	8023	11 in accordance with the provisions of Section 367h of the
8024	8024	12 Illinois Insurance Code, as now or hereafter amended, the
8025	8025	13 total monthly premium for such continued group insurance
8026	8026	14 coverage or such portion thereof as is not paid by the
8027	8027	15 municipality shall, upon request of the person electing such
8028	8028	16 continued group insurance coverage, be deducted from any
8029	8029	17 monthly pension benefit otherwise payable to such person
8030	8030	18 pursuant to this Section, to be remitted by the Fund to the
8031	8031	19 insurance company or other entity providing the group
8032	8032	20 insurance coverage.
8033	8033	21 (c) A sheriff's law enforcement employee who began service
8034	8034	22 in that capacity prior to the effective date of this
8035	8035	23 amendatory Act of the 97th General Assembly and who has
8036	8036	24 service in any other capacity may convert up to 10 years of
8037	8037	25 that service into service as a sheriff's law enforcement
8038	8038	26 employee by paying to the Fund an amount equal to (1) the
8039	8039
8040	8040
8041	8041
8042	8042
8043	8043
8044	8044	SB0002 - 224 - LRB104 07746 RPS 17791 b
8045	8045
8046	8046
8047	8047	SB0002- 225 -LRB104 07746 RPS 17791 b SB0002 - 225 - LRB104 07746 RPS 17791 b
8048	8048	SB0002 - 225 - LRB104 07746 RPS 17791 b
8049	8049	1 additional employee contribution required under Section
8050	8050	2 7-173.1, plus (2) the additional employer contribution
8051	8051	3 required under Section 7-172, plus (3) interest on items (1)
8052	8052	4 and (2) at the prescribed rate from the date of the service to
8053	8053	5 the date of payment. Application must be received by the Board
8054	8054	6 while the employee is an active participant in the Fund.
8055	8055	7 Payment must be received while the member is an active
8056	8056	8 participant, except that one payment will be permitted after
8057	8057	9 termination of participation.
8058	8058	10 (d) The changes to subsections (a) and (b) of this Section
8059	8059	11 made by this amendatory Act of the 94th General Assembly apply
8060	8060	12 only to persons in service on or after July 1, 2004. In the
8061	8061	13 case of such a person who begins to receive a retirement
8062	8062	14 annuity before the effective date of this amendatory Act of
8063	8063	15 the 94th General Assembly, the annuity shall be recalculated
8064	8064	16 prospectively to reflect those changes, with the resulting
8065	8065	17 increase beginning to accrue on the first annuity payment date
8066	8066	18 following the effective date of this amendatory Act.
8067	8067	19 (e) Any elected county officer who was entitled to receive
8068	8068	20 a stipend from the State on or after July 1, 2009 and on or
8069	8069	21 before June 30, 2010 may establish earnings credit for the
8070	8070	22 amount of stipend not received, if the elected county official
8071	8071	23 applies in writing to the fund within 6 months after the
8072	8072	24 effective date of this amendatory Act of the 96th General
8073	8073	25 Assembly and pays to the fund an amount equal to (i) employee
8074	8074	26 contributions on the amount of stipend not received, (ii)
8075	8075
8076	8076
8077	8077
8078	8078
8079	8079
8080	8080	SB0002 - 225 - LRB104 07746 RPS 17791 b
8081	8081
8082	8082
8083	8083	SB0002- 226 -LRB104 07746 RPS 17791 b SB0002 - 226 - LRB104 07746 RPS 17791 b
8084	8084	SB0002 - 226 - LRB104 07746 RPS 17791 b
8085	8085	1 employer contributions determined by the Board equal to the
8086	8086	2 employer's normal cost of the benefit on the amount of stipend
8087	8087	3 not received, plus (iii) interest on items (i) and (ii) at the
8088	8088	4 actuarially assumed rate.
8089	8089	5 (f) Notwithstanding any other provision of this Article,
8090	8090	6 the provisions of this subsection (f) apply to a person who
8091	8091	7 first becomes a sheriff's law enforcement employee under this
8092	8092	8 Article on or after January 1, 2011.
8093	8093	9 A sheriff's law enforcement employee age 55 or more who
8094	8094	10 has 10 or more years of service in that capacity shall be
8095	8095	11 entitled at his option to receive a monthly retirement annuity
8096	8096	12 for his or her service as a sheriff's law enforcement employee
8097	8097	13 computed by multiplying 2.5% for each year of such service by
8098	8098	14 his or her final rate of earnings.
8099	8099	15 The retirement annuity of a sheriff's law enforcement
8100	8100	16 employee who is retiring after attaining age 50 with 10 or more
8101	8101	17 years of creditable service shall be reduced by one-half of 1%
8102	8102	18 for each month that the sheriff's law enforcement employee's
8103	8103	19 age is under age 55.
8104	8104	20 The maximum retirement annuity under this subsection (f)
8105	8105	21 shall be 75% of final rate of earnings.
8106	8106	22 For the purposes of this subsection (f), "final rate of
8107	8107	23 earnings" means the average monthly earnings obtained by
8108	8108	24 dividing the total salary of the sheriff's law enforcement
8109	8109	25 employee during the 96 consecutive months of service within
8110	8110	26 the last 120 months of service in which the total earnings was
8111	8111
8112	8112
8113	8113
8114	8114
8115	8115
8116	8116	SB0002 - 226 - LRB104 07746 RPS 17791 b
8117	8117
8118	8118
8119	8119	SB0002- 227 -LRB104 07746 RPS 17791 b SB0002 - 227 - LRB104 07746 RPS 17791 b
8120	8120	SB0002 - 227 - LRB104 07746 RPS 17791 b
8121	8121	1 the highest by the number of months of service in that period.
8122	8122	2 Notwithstanding any other provision of this Article,
8123	8123	3 beginning on January 1, 2011, for all purposes under this Code
8124	8124	4 (including without limitation the calculation of benefits and
8125	8125	5 employee contributions), the annual earnings of a sheriff's
8126	8126	6 law enforcement employee to whom this Section applies shall
8127	8127	7 not include overtime and shall not exceed $106,800; however,
8128	8128	8 that amount shall annually thereafter be increased by the
8129	8129	9 lesser of (i) 3% of that amount, including all previous
8130	8130	10 adjustments, or (ii) one-half the annual unadjusted percentage
8131	8131	11 increase (but not less than zero) in the consumer price
8132	8132	12 index-u for the 12 months ending with the September preceding
8133	8133	13 each November 1, including all previous adjustments.
8134	8134	14 (g) Notwithstanding any other provision of this Article,
8135	8135	15 the monthly annuity of a person who first becomes a sheriff's
8136	8136	16 law enforcement employee under this Article on or after
8137	8137	17 January 1, 2011 shall be increased on the January 1 occurring
8138	8138	18 either on or after the attainment of age 60 or the first
8139	8139	19 anniversary of the annuity start date, whichever is later.
8140	8140	20 Each annual increase shall be calculated at 3% or one-half the
8141	8141	21 annual unadjusted percentage increase (but not less than zero)
8142	8142	22 in the consumer price index-u for the 12 months ending with the
8143	8143	23 September preceding each November 1, whichever is less, of the
8144	8144	24 originally granted retirement annuity; except that, beginning
8145	8145	25 January 1, 2026, each annual increase under this subsection
8146	8146	26 shall be calculated at 3% of the amount of the originally
8147	8147
8148	8148
8149	8149
8150	8150
8151	8151
8152	8152	SB0002 - 227 - LRB104 07746 RPS 17791 b
8153	8153
8154	8154
8155	8155	SB0002- 228 -LRB104 07746 RPS 17791 b SB0002 - 228 - LRB104 07746 RPS 17791 b
8156	8156	SB0002 - 228 - LRB104 07746 RPS 17791 b
8157	8157	1 granted retirement annuity. If the annual unadjusted
8158	8158	2 percentage change in the consumer price index-u for a 12-month
8159	8159	3 period ending in September is zero or, when compared with the
8160	8160	4 preceding period, decreases, then the annuity shall not be
8161	8161	5 increased.
8162	8162	6 For the purposes of Section 1-103.1 of this Code, the
8163	8163	7 changes made to this subsection by this amendatory Act of the
8164	8164	8 104th General Assembly are applicable without regard to
8165	8165	9 whether the employee was in active service on or after the
8166	8166	10 effective date of this amendatory Act of the 104th General
8167	8167	11 Assembly.
8168	8168	12 (h) Notwithstanding any other provision of this Article,
8169	8169	13 for a person who first becomes a sheriff's law enforcement
8170	8170	14 employee under this Article on or after January 1, 2011, the
8171	8171	15 annuity to which the surviving spouse, children, or parents
8172	8172	16 are entitled under this subsection (h) shall be in the amount
8173	8173	17 of 66 2/3% of the sheriff's law enforcement employee's earned
8174	8174	18 annuity at the date of death.
8175	8175	19 (i) Notwithstanding any other provision of this Article,
8176	8176	20 the monthly annuity of a survivor of a person who first becomes
8177	8177	21 a sheriff's law enforcement employee under this Article on or
8178	8178	22 after January 1, 2011 shall be increased on the January 1 after
8179	8179	23 attainment of age 60 by the recipient of the survivor's
8180	8180	24 annuity and each January 1 thereafter by 3% or one-half the
8181	8181	25 annual unadjusted percentage increase in the consumer price
8182	8182	26 index-u for the 12 months ending with the September preceding
8183	8183
8184	8184
8185	8185
8186	8186
8187	8187
8188	8188	SB0002 - 228 - LRB104 07746 RPS 17791 b
8189	8189
8190	8190
8191	8191	SB0002- 229 -LRB104 07746 RPS 17791 b SB0002 - 229 - LRB104 07746 RPS 17791 b
8192	8192	SB0002 - 229 - LRB104 07746 RPS 17791 b
8193	8193	1 each November 1, whichever is less, of the originally granted
8194	8194	2 pension. If the annual unadjusted percentage change in the
8195	8195	3 consumer price index-u for a 12-month period ending in
8196	8196	4 September is zero or, when compared with the preceding period,
8197	8197	5 decreases, then the annuity shall not be increased.
8198	8198	6 (j) For the purposes of this Section, "consumer price
8199	8199	7 index-u" means the index published by the Bureau of Labor
8200	8200	8 Statistics of the United States Department of Labor that
8201	8201	9 measures the average change in prices of goods and services
8202	8202	10 purchased by all urban consumers, United States city average,
8203	8203	11 all items, 1982-84 = 100. The new amount resulting from each
8204	8204	12 annual adjustment shall be determined by the Public Pension
8205	8205	13 Division of the Department of Insurance and made available to
8206	8206	14 the boards of the pension funds.
8207	8207	15 (Source: P.A. 100-148, eff. 8-18-17.)
8208	8208	16 (40 ILCS 5/15-136) (from Ch. 108 1/2, par. 15-136)
8209	8209	17 Sec. 15-136. Retirement annuities; amount annuities -
8210	8210	18 Amount. The provisions of this Section 15-136 apply only to
8211	8211	19 those participants who are participating in the traditional
8212	8212	20 benefit package or the portable benefit package and do not
8213	8213	21 apply to participants who are participating in the
8214	8214	22 self-managed plan.
8215	8215	23 (a) The amount of a participant's retirement annuity,
8216	8216	24 expressed in the form of a single-life annuity, shall be
8217	8217	25 determined by whichever of the following rules is applicable
8218	8218
8219	8219
8220	8220
8221	8221
8222	8222
8223	8223	SB0002 - 229 - LRB104 07746 RPS 17791 b
8224	8224
8225	8225
8226	8226	SB0002- 230 -LRB104 07746 RPS 17791 b SB0002 - 230 - LRB104 07746 RPS 17791 b
8227	8227	SB0002 - 230 - LRB104 07746 RPS 17791 b
8228	8228	1 and provides the largest annuity:
8229	8229	2 Rule 1: The retirement annuity shall be 1.67% of final
8230	8230	3 rate of earnings for each of the first 10 years of service,
8231	8231	4 1.90% for each of the next 10 years of service, 2.10% for each
8232	8232	5 year of service in excess of 20 but not exceeding 30, and 2.30%
8233	8233	6 for each year in excess of 30; or for persons who retire on or
8234	8234	7 after January 1, 1998, 2.2% of the final rate of earnings for
8235	8235	8 each year of service.
8236	8236	9 Rule 2: The retirement annuity shall be the sum of the
8237	8237	10 following, determined from amounts credited to the participant
8238	8238	11 in accordance with the actuarial tables and the effective rate
8239	8239	12 of interest in effect at the time the retirement annuity
8240	8240	13 begins:
8241	8241	14 (i) the normal annuity which can be provided on an
8242	8242	15 actuarially equivalent basis, by the accumulated normal
8243	8243	16 contributions as of the date the annuity begins;
8244	8244	17 (ii) an annuity from employer contributions of an
8245	8245	18 amount equal to that which can be provided on an
8246	8246	19 actuarially equivalent basis from the accumulated normal
8247	8247	20 contributions made by the participant under Section
8248	8248	21 15-113.6 and Section 15-113.7 plus 1.4 times all other
8249	8249	22 accumulated normal contributions made by the participant;
8250	8250	23 and
8251	8251	24 (iii) the annuity that can be provided on an
8252	8252	25 actuarially equivalent basis from the entire contribution
8253	8253	26 made by the participant under Section 15-113.3.
8254	8254
8255	8255
8256	8256
8257	8257
8258	8258
8259	8259	SB0002 - 230 - LRB104 07746 RPS 17791 b
8260	8260
8261	8261
8262	8262	SB0002- 231 -LRB104 07746 RPS 17791 b SB0002 - 231 - LRB104 07746 RPS 17791 b
8263	8263	SB0002 - 231 - LRB104 07746 RPS 17791 b
8264	8264	1 With respect to a police officer or firefighter who
8265	8265	2 retires on or after August 14, 1998, the accumulated normal
8266	8266	3 contributions taken into account under clauses (i) and (ii) of
8267	8267	4 this Rule 2 shall include the additional normal contributions
8268	8268	5 made by the police officer or firefighter under Section
8269	8269	6 15-157(a).
8270	8270	7 The amount of a retirement annuity calculated under this
8271	8271	8 Rule 2 shall be computed solely on the basis of the
8272	8272	9 participant's accumulated normal contributions, as specified
8273	8273	10 in this Rule and defined in Section 15-116. Neither an
8274	8274	11 employee or employer contribution for early retirement under
8275	8275	12 Section 15-136.2 nor any other employer contribution shall be
8276	8276	13 used in the calculation of the amount of a retirement annuity
8277	8277	14 under this Rule 2.
8278	8278	15 This amendatory Act of the 91st General Assembly is a
8279	8279	16 clarification of existing law and applies to every participant
8280	8280	17 and annuitant without regard to whether status as an employee
8281	8281	18 terminates before the effective date of this amendatory Act.
8282	8282	19 This Rule 2 does not apply to a person who first becomes an
8283	8283	20 employee under this Article on or after July 1, 2005.
8284	8284	21 Rule 3: The retirement annuity of a participant who is
8285	8285	22 employed at least one-half time during the period on which his
8286	8286	23 or her final rate of earnings is based, shall be equal to the
8287	8287	24 participant's years of service not to exceed 30, multiplied by
8288	8288	25 (1) $96 if the participant's final rate of earnings is less
8289	8289	26 than $3,500, (2) $108 if the final rate of earnings is at least
8290	8290
8291	8291
8292	8292
8293	8293
8294	8294
8295	8295	SB0002 - 231 - LRB104 07746 RPS 17791 b
8296	8296
8297	8297
8298	8298	SB0002- 232 -LRB104 07746 RPS 17791 b SB0002 - 232 - LRB104 07746 RPS 17791 b
8299	8299	SB0002 - 232 - LRB104 07746 RPS 17791 b
8300	8300	1 $3,500 but less than $4,500, (3) $120 if the final rate of
8301	8301	2 earnings is at least $4,500 but less than $5,500, (4) $132 if
8302	8302	3 the final rate of earnings is at least $5,500 but less than
8303	8303	4 $6,500, (5) $144 if the final rate of earnings is at least
8304	8304	5 $6,500 but less than $7,500, (6) $156 if the final rate of
8305	8305	6 earnings is at least $7,500 but less than $8,500, (7) $168 if
8306	8306	7 the final rate of earnings is at least $8,500 but less than
8307	8307	8 $9,500, and (8) $180 if the final rate of earnings is $9,500 or
8308	8308	9 more, except that the annuity for those persons having made an
8309	8309	10 election under Section 15-154(a-1) shall be calculated and
8310	8310	11 payable under the portable retirement benefit program pursuant
8311	8311	12 to the provisions of Section 15-136.4.
8312	8312	13 Rule 4: A participant who is at least age 50 and has 25 or
8313	8313	14 more years of service as a police officer or firefighter, and a
8314	8314	15 participant who is age 55 or over and has at least 20 but less
8315	8315	16 than 25 years of service as a police officer or firefighter,
8316	8316	17 shall be entitled to a retirement annuity of 2 1/4% of the
8317	8317	18 final rate of earnings for each of the first 10 years of
8318	8318	19 service as a police officer or firefighter, 2 1/2% for each of
8319	8319	20 the next 10 years of service as a police officer or
8320	8320	21 firefighter, and 2 3/4% for each year of service as a police
8321	8321	22 officer or firefighter in excess of 20. The retirement annuity
8322	8322	23 for all other service shall be computed under Rule 1. A Tier 2
8323	8323	24 member is eligible for a retirement annuity calculated under
8324	8324	25 Rule 4 only if that Tier 2 member meets the service
8325	8325	26 requirements for that benefit calculation as prescribed under
8326	8326
8327	8327
8328	8328
8329	8329
8330	8330
8331	8331	SB0002 - 232 - LRB104 07746 RPS 17791 b
8332	8332
8333	8333
8334	8334	SB0002- 233 -LRB104 07746 RPS 17791 b SB0002 - 233 - LRB104 07746 RPS 17791 b
8335	8335	SB0002 - 233 - LRB104 07746 RPS 17791 b
8336	8336	1 this Rule 4 in addition to the applicable age requirement
8337	8337	2 under subsection (a-10) of Section 15-135.
8338	8338	3 For purposes of this Rule 4, a participant's service as a
8339	8339	4 firefighter shall also include the following:
8340	8340	5 (i) service that is performed while the person is an
8341	8341	6 employee under subsection (h) of Section 15-107; and
8342	8342	7 (ii) in the case of an individual who was a
8343	8343	8 participating employee employed in the fire department of
8344	8344	9 the University of Illinois's Champaign-Urbana campus
8345	8345	10 immediately prior to the elimination of that fire
8346	8346	11 department and who immediately after the elimination of
8347	8347	12 that fire department transferred to another job with the
8348	8348	13 University of Illinois, service performed as an employee
8349	8349	14 of the University of Illinois in a position other than
8350	8350	15 police officer or firefighter, from the date of that
8351	8351	16 transfer until the employee's next termination of service
8352	8352	17 with the University of Illinois.
8353	8353	18 (b) For a Tier 1 member, the retirement annuity provided
8354	8354	19 under Rules 1 and 3 above shall be reduced by 1/2 of 1% for
8355	8355	20 each month the participant is under age 60 at the time of
8356	8356	21 retirement. However, this reduction shall not apply in the
8357	8357	22 following cases:
8358	8358	23 (1) For a disabled participant whose disability
8359	8359	24 benefits have been discontinued because he or she has
8360	8360	25 exhausted eligibility for disability benefits under clause
8361	8361	26 (6) of Section 15-152;
8362	8362
8363	8363
8364	8364
8365	8365
8366	8366
8367	8367	SB0002 - 233 - LRB104 07746 RPS 17791 b
8368	8368
8369	8369
8370	8370	SB0002- 234 -LRB104 07746 RPS 17791 b SB0002 - 234 - LRB104 07746 RPS 17791 b
8371	8371	SB0002 - 234 - LRB104 07746 RPS 17791 b
8372	8372	1 (2) For a participant who has at least the number of
8373	8373	2 years of service required to retire at any age under
8374	8374	3 subsection (a) of Section 15-135; or
8375	8375	4 (3) For that portion of a retirement annuity which has
8376	8376	5 been provided on account of service of the participant
8377	8377	6 during periods when he or she performed the duties of a
8378	8378	7 police officer or firefighter, if these duties were
8379	8379	8 performed for at least 5 years immediately preceding the
8380	8380	9 date the retirement annuity is to begin.
8381	8381	10 (b-5) The retirement annuity of a Tier 2 member who is
8382	8382	11 retiring under Rule 1 or 3 after attaining age 62 with at least
8383	8383	12 10 years of service credit shall be reduced by 1/2 of 1% for
8384	8384	13 each full month that the member's age is under age 67.
8385	8385	14 (c) The maximum retirement annuity provided under Rules 1,
8386	8386	15 2, 4, and 5 shall be the lesser of (1) the annual limit of
8387	8387	16 benefits as specified in Section 415 of the Internal Revenue
8388	8388	17 Code of 1986, as such Section may be amended from time to time
8389	8389	18 and as such benefit limits shall be adjusted by the
8390	8390	19 Commissioner of Internal Revenue, and (2) 80% of final rate of
8391	8391	20 earnings.
8392	8392	21 (d) A Tier 1 member whose status as an employee terminates
8393	8393	22 after August 14, 1969 shall receive automatic increases in his
8394	8394	23 or her retirement annuity as follows:
8395	8395	24 Effective January 1 immediately following the date the
8396	8396	25 retirement annuity begins, the annuitant shall receive an
8397	8397	26 increase in his or her monthly retirement annuity of 0.125% of
8398	8398
8399	8399
8400	8400
8401	8401
8402	8402
8403	8403	SB0002 - 234 - LRB104 07746 RPS 17791 b
8404	8404
8405	8405
8406	8406	SB0002- 235 -LRB104 07746 RPS 17791 b SB0002 - 235 - LRB104 07746 RPS 17791 b
8407	8407	SB0002 - 235 - LRB104 07746 RPS 17791 b
8408	8408	1 the monthly retirement annuity provided under Rule 1, Rule 2,
8409	8409	2 Rule 3, or Rule 4 contained in this Section, multiplied by the
8410	8410	3 number of full months which elapsed from the date the
8411	8411	4 retirement annuity payments began to January 1, 1972, plus
8412	8412	5 0.1667% of such annuity, multiplied by the number of full
8413	8413	6 months which elapsed from January 1, 1972, or the date the
8414	8414	7 retirement annuity payments began, whichever is later, to
8415	8415	8 January 1, 1978, plus 0.25% of such annuity multiplied by the
8416	8416	9 number of full months which elapsed from January 1, 1978, or
8417	8417	10 the date the retirement annuity payments began, whichever is
8418	8418	11 later, to the effective date of the increase.
8419	8419	12 The annuitant shall receive an increase in his or her
8420	8420	13 monthly retirement annuity on each January 1 thereafter during
8421	8421	14 the annuitant's life of 3% of the monthly annuity provided
8422	8422	15 under Rule 1, Rule 2, Rule 3, or Rule 4 contained in this
8423	8423	16 Section. The change made under this subsection by P.A. 81-970
8424	8424	17 is effective January 1, 1980 and applies to each annuitant
8425	8425	18 whose status as an employee terminates before or after that
8426	8426	19 date.
8427	8427	20 Beginning January 1, 1990, all automatic annual increases
8428	8428	21 payable under this Section shall be calculated as a percentage
8429	8429	22 of the total annuity payable at the time of the increase,
8430	8430	23 including all increases previously granted under this Article.
8431	8431	24 The change made in this subsection by P.A. 85-1008 is
8432	8432	25 effective January 26, 1988, and is applicable without regard
8433	8433	26 to whether status as an employee terminated before that date.
8434	8434
8435	8435
8436	8436
8437	8437
8438	8438
8439	8439	SB0002 - 235 - LRB104 07746 RPS 17791 b
8440	8440
8441	8441
8442	8442	SB0002- 236 -LRB104 07746 RPS 17791 b SB0002 - 236 - LRB104 07746 RPS 17791 b
8443	8443	SB0002 - 236 - LRB104 07746 RPS 17791 b
8444	8444	1 (d-5) A retirement annuity of a Tier 2 member shall
8445	8445	2 receive annual increases on the January 1 occurring either on
8446	8446	3 or after the attainment of age 67 or the first anniversary of
8447	8447	4 the annuity start date, whichever is later. Each annual
8448	8448	5 increase shall be calculated at 3% or one half the annual
8449	8449	6 unadjusted percentage increase (but not less than zero) in the
8450	8450	7 consumer price index-u for the 12 months ending with the
8451	8451	8 September preceding each November 1, whichever is less, of the
8452	8452	9 originally granted retirement annuity; except that, beginning
8453	8453	10 January 1, 2026, each annual increase under this subsection
8454	8454	11 shall be calculated at 3% of the amount of the originally
8455	8455	12 granted retirement annuity. If the annual unadjusted
8456	8456	13 percentage change in the consumer price index-u for the 12
8457	8457	14 months ending with the September preceding each November 1 is
8458	8458	15 zero or there is a decrease, then the annuity shall not be
8459	8459	16 increased.
8460	8460	17 For the purposes of Section 1-103.1 of this Code, the
8461	8461	18 changes made to this subsection by this amendatory Act of the
8462	8462	19 104th General Assembly are applicable without regard to
8463	8463	20 whether the employee was in active service on or after the
8464	8464	21 effective date of this amendatory Act of the 104th General
8465	8465	22 Assembly.
8466	8466	23 (e) If, on January 1, 1987, or the date the retirement
8467	8467	24 annuity payment period begins, whichever is later, the sum of
8468	8468	25 the retirement annuity provided under Rule 1 or Rule 2 of this
8469	8469	26 Section and the automatic annual increases provided under the
8470	8470
8471	8471
8472	8472
8473	8473
8474	8474
8475	8475	SB0002 - 236 - LRB104 07746 RPS 17791 b
8476	8476
8477	8477
8478	8478	SB0002- 237 -LRB104 07746 RPS 17791 b SB0002 - 237 - LRB104 07746 RPS 17791 b
8479	8479	SB0002 - 237 - LRB104 07746 RPS 17791 b
8480	8480	1 preceding subsection or Section 15-136.1, amounts to less than
8481	8481	2 the retirement annuity which would be provided by Rule 3, the
8482	8482	3 retirement annuity shall be increased as of January 1, 1987,
8483	8483	4 or the date the retirement annuity payment period begins,
8484	8484	5 whichever is later, to the amount which would be provided by
8485	8485	6 Rule 3 of this Section. Such increased amount shall be
8486	8486	7 considered as the retirement annuity in determining benefits
8487	8487	8 provided under other Sections of this Article. This paragraph
8488	8488	9 applies without regard to whether status as an employee
8489	8489	10 terminated before the effective date of this amendatory Act of
8490	8490	11 1987, provided that the annuitant was employed at least
8491	8491	12 one-half time during the period on which the final rate of
8492	8492	13 earnings was based.
8493	8493	14 (f) A participant is entitled to such additional annuity
8494	8494	15 as may be provided on an actuarially equivalent basis, by any
8495	8495	16 accumulated additional contributions to his or her credit.
8496	8496	17 However, the additional contributions made by the participant
8497	8497	18 toward the automatic increases in annuity provided under this
8498	8498	19 Section shall not be taken into account in determining the
8499	8499	20 amount of such additional annuity.
8500	8500	21 (g) If, (1) by law, a function of a governmental unit, as
8501	8501	22 defined by Section 20-107 of this Code, is transferred in
8502	8502	23 whole or in part to an employer, and (2) a participant
8503	8503	24 transfers employment from such governmental unit to such
8504	8504	25 employer within 6 months after the transfer of the function,
8505	8505	26 and (3) the sum of (A) the annuity payable to the participant
8506	8506
8507	8507
8508	8508
8509	8509
8510	8510
8511	8511	SB0002 - 237 - LRB104 07746 RPS 17791 b
8512	8512
8513	8513
8514	8514	SB0002- 238 -LRB104 07746 RPS 17791 b SB0002 - 238 - LRB104 07746 RPS 17791 b
8515	8515	SB0002 - 238 - LRB104 07746 RPS 17791 b
8516	8516	1 under Rule 1, 2, or 3 of this Section (B) all proportional
8517	8517	2 annuities payable to the participant by all other retirement
8518	8518	3 systems covered by Article 20, and (C) the initial primary
8519	8519	4 insurance amount to which the participant is entitled under
8520	8520	5 the Social Security Act, is less than the retirement annuity
8521	8521	6 which would have been payable if all of the participant's
8522	8522	7 pension credits validated under Section 20-109 had been
8523	8523	8 validated under this system, a supplemental annuity equal to
8524	8524	9 the difference in such amounts shall be payable to the
8525	8525	10 participant.
8526	8526	11 (h) On January 1, 1981, an annuitant who was receiving a
8527	8527	12 retirement annuity on or before January 1, 1971 shall have his
8528	8528	13 or her retirement annuity then being paid increased $1 per
8529	8529	14 month for each year of creditable service. On January 1, 1982,
8530	8530	15 an annuitant whose retirement annuity began on or before
8531	8531	16 January 1, 1977, shall have his or her retirement annuity then
8532	8532	17 being paid increased $1 per month for each year of creditable
8533	8533	18 service.
8534	8534	19 (i) On January 1, 1987, any annuitant whose retirement
8535	8535	20 annuity began on or before January 1, 1977, shall have the
8536	8536	21 monthly retirement annuity increased by an amount equal to 8
8537	8537	22 per year of creditable service times the number of years that
8538	8538	23 have elapsed since the annuity began.
8539	8539	24 (j) The changes made to this Section by this amendatory
8540	8540	25 Act of the 101st General Assembly apply retroactively to
8541	8541	26 January 1, 2011.
8542	8542
8543	8543
8544	8544
8545	8545
8546	8546
8547	8547	SB0002 - 238 - LRB104 07746 RPS 17791 b
8548	8548
8549	8549
8550	8550	SB0002- 239 -LRB104 07746 RPS 17791 b SB0002 - 239 - LRB104 07746 RPS 17791 b
8551	8551	SB0002 - 239 - LRB104 07746 RPS 17791 b
8552	8552	1 (Source: P.A. 101-610, eff. 1-1-20.)
8553	8553	2 (40 ILCS 5/18-125.1) (from Ch. 108 1/2, par. 18-125.1)
8554	8554	3 Sec. 18-125.1. Automatic increase in retirement annuity. A
8555	8555	4 participant who retires from service after June 30, 1969,
8556	8556	5 shall, in January of the year next following the year in which
8557	8557	6 the first anniversary of retirement occurs, and in January of
8558	8558	7 each year thereafter, have the amount of his or her originally
8559	8559	8 granted retirement annuity increased as follows: for each year
8560	8560	9 up to and including 1971, 1 1/2%; for each year from 1972
8561	8561	10 through 1979 inclusive, 2%; and for 1980 and each year
8562	8562	11 thereafter, 3%.
8563	8563	12 Notwithstanding any other provision of this Article, a
8564	8564	13 retirement annuity for a participant who first serves as a
8565	8565	14 judge on or after January 1, 2011 (the effective date of Public
8566	8566	15 Act 96-889) shall be increased in January of the year next
8567	8567	16 following the year in which the first anniversary of
8568	8568	17 retirement occurs, but in no event prior to age 67, and in
8569	8569	18 January of each year thereafter, by an amount equal to 3% or
8570	8570	19 the annual percentage increase in the consumer price index-u
8571	8571	20 as determined by the Public Pension Division of the Department
8572	8572	21 of Insurance under subsection (b-5) of Section 18-125,
8573	8573	22 whichever is less, of the retirement annuity then being paid;
8574	8574	23 except that, beginning January 1, 2026, each annual increase
8575	8575	24 under this subsection shall be calculated at 3% of the amount
8576	8576	25 of the retirement annuity then being paid.
8577	8577
8578	8578
8579	8579
8580	8580
8581	8581
8582	8582	SB0002 - 239 - LRB104 07746 RPS 17791 b
8583	8583
8584	8584
8585	8585	SB0002- 240 -LRB104 07746 RPS 17791 b SB0002 - 240 - LRB104 07746 RPS 17791 b
8586	8586	SB0002 - 240 - LRB104 07746 RPS 17791 b
8587	8587	1 For the purposes of Section 1-103.1 of this Code, the
8588	8588	2 changes made to this Section by this amendatory Act of the
8589	8589	3 104th General Assembly are applicable without regard to
8590	8590	4 whether the employee was in active service on or after the
8591	8591	5 effective date of this amendatory Act of the 104th General
8592	8592	6 Assembly.
8593	8593	7 This Section is not applicable to a participant who
8594	8594	8 retires before he or she has made contributions at the rate
8595	8595	9 prescribed in Section 18-133 for automatic increases for not
8596	8596	10 less than the equivalent of one full year, unless such a
8597	8597	11 participant arranges to pay the system the amount required to
8598	8598	12 bring the total contributions for the automatic increase to
8599	8599	13 the equivalent of one year's contribution based upon his or
8600	8600	14 her last year's salary.
8601	8601	15 This Section is applicable to all participants in service
8602	8602	16 after June 30, 1969 unless a participant has elected, prior to
8603	8603	17 September 1, 1969, in a written direction filed with the board
8604	8604	18 not to be subject to the provisions of this Section. Any
8605	8605	19 participant in service on or after July 1, 1992 shall have the
8606	8606	20 option of electing prior to April 1, 1993, in a written
8607	8607	21 direction filed with the board, to be covered by the
8608	8608	22 provisions of the 1969 amendatory Act. Such participant shall
8609	8609	23 be required to make the aforesaid additional contributions
8610	8610	24 with compound interest at 4% per annum.
8611	8611	25 Any participant who has become eligible to receive the
8612	8612	26 maximum rate of annuity and who resumes service as a judge
8613	8613
8614	8614
8615	8615
8616	8616
8617	8617
8618	8618	SB0002 - 240 - LRB104 07746 RPS 17791 b
8619	8619
8620	8620
8621	8621	SB0002- 241 -LRB104 07746 RPS 17791 b SB0002 - 241 - LRB104 07746 RPS 17791 b
8622	8622	SB0002 - 241 - LRB104 07746 RPS 17791 b
8623	8623	1 after receiving a retirement annuity under this Article shall
8624	8624	2 have the amount of his or her retirement annuity increased by
8625	8625	3 3% of the originally granted annuity amount for each year of
8626	8626	4 such resumed service, beginning in January of the year next
8627	8627	5 following the date of such resumed service, upon subsequent
8628	8628	6 termination of such resumed service.
8629	8629	7 Beginning January 1, 1990, all automatic annual increases
8630	8630	8 payable under this Section shall be calculated as a percentage
8631	8631	9 of the total annuity payable at the time of the increase,
8632	8632	10 including previous increases granted under this Article.
8633	8633	11 (Source: P.A. 96-889, eff. 1-1-11; 96-1490, eff. 1-1-11.)
8634	8634	12 Article 3A.
8635	8635	13 Section 3A-5. The Illinois Pension Code is amended by
8636	8636	14 changing Sections 1-160, 2-119, 2-119.01, 2-119.1, 3-111,
8637	8637	15 3-111.1, 4-109, 4-109.1, 5-167.1, 5-238, 6-164, 6-229, 7-142,
8638	8638	16 7-142.1, 14-110, 15-135, 15-136, 18-124, and 18-125.1 as
8639	8639	17 follows:
8640	8640	18 (40 ILCS 5/1-160)
8641	8641	19 (Text of Section from P.A. 102-719)
8642	8642	20 Sec. 1-160. Provisions applicable to new hires.
8643	8643	21 (a) The provisions of this Section apply to a person who,
8644	8644	22 on or after January 1, 2011, first becomes a member or a
8645	8645	23 participant under any reciprocal retirement system or pension
8646	8646
8647	8647
8648	8648
8649	8649
8650	8650
8651	8651	SB0002 - 241 - LRB104 07746 RPS 17791 b
8652	8652
8653	8653
8654	8654	SB0002- 242 -LRB104 07746 RPS 17791 b SB0002 - 242 - LRB104 07746 RPS 17791 b
8655	8655	SB0002 - 242 - LRB104 07746 RPS 17791 b
8656	8656	1 fund established under this Code, other than a retirement
8657	8657	2 system or pension fund established under Article 2, 3, 4, 5, 6,
8658	8658	3 7, 15, or 18 of this Code, notwithstanding any other provision
8659	8659	4 of this Code to the contrary, but do not apply to any
8660	8660	5 self-managed plan established under this Code or to any
8661	8661	6 participant of the retirement plan established under Section
8662	8662	7 22-101; except that this Section applies to a person who
8663	8663	8 elected to establish alternative credits by electing in
8664	8664	9 writing after January 1, 2011, but before August 8, 2011,
8665	8665	10 under Section 7-145.1 of this Code. Notwithstanding anything
8666	8666	11 to the contrary in this Section, for purposes of this Section,
8667	8667	12 a person who is a Tier 1 regular employee as defined in Section
8668	8668	13 7-109.4 of this Code or who participated in a retirement
8669	8669	14 system under Article 15 prior to January 1, 2011 shall be
8670	8670	15 deemed a person who first became a member or participant prior
8671	8671	16 to January 1, 2011 under any retirement system or pension fund
8672	8672	17 subject to this Section. The changes made to this Section by
8673	8673	18 Public Act 98-596 are a clarification of existing law and are
8674	8674	19 intended to be retroactive to January 1, 2011 (the effective
8675	8675	20 date of Public Act 96-889), notwithstanding the provisions of
8676	8676	21 Section 1-103.1 of this Code.
8677	8677	22 This Section does not apply to a person who first becomes a
8678	8678	23 noncovered employee under Article 14 on or after the
8679	8679	24 implementation date of the plan created under Section 1-161
8680	8680	25 for that Article, unless that person elects under subsection
8681	8681	26 (b) of Section 1-161 to instead receive the benefits provided
8682	8682
8683	8683
8684	8684
8685	8685
8686	8686
8687	8687	SB0002 - 242 - LRB104 07746 RPS 17791 b
8688	8688
8689	8689
8690	8690	SB0002- 243 -LRB104 07746 RPS 17791 b SB0002 - 243 - LRB104 07746 RPS 17791 b
8691	8691	SB0002 - 243 - LRB104 07746 RPS 17791 b
8692	8692	1 under this Section and the applicable provisions of that
8693	8693	2 Article.
8694	8694	3 This Section does not apply to a person who first becomes a
8695	8695	4 member or participant under Article 16 on or after the
8696	8696	5 implementation date of the plan created under Section 1-161
8697	8697	6 for that Article, unless that person elects under subsection
8698	8698	7 (b) of Section 1-161 to instead receive the benefits provided
8699	8699	8 under this Section and the applicable provisions of that
8700	8700	9 Article.
8701	8701	10 This Section does not apply to a person who elects under
8702	8702	11 subsection (c-5) of Section 1-161 to receive the benefits
8703	8703	12 under Section 1-161.
8704	8704	13 This Section does not apply to a person who first becomes a
8705	8705	14 member or participant of an affected pension fund on or after 6
8706	8706	15 months after the resolution or ordinance date, as defined in
8707	8707	16 Section 1-162, unless that person elects under subsection (c)
8708	8708	17 of Section 1-162 to receive the benefits provided under this
8709	8709	18 Section and the applicable provisions of the Article under
8710	8710	19 which he or she is a member or participant.
8711	8711	20 (a-5) In this Section, "affected member or participant"
8712	8712	21 means a member or participant to whom this Section applies and
8713	8713	22 who is an active member or participant on or after January 1,
8714	8714	23 2026; except that "affected member or participant" does not
8715	8715	24 include a member or participant under Article 22.
8716	8716	25 (b) "Final average salary" means, except as otherwise
8717	8717	26 provided in this subsection, the average monthly (or annual)
8718	8718
8719	8719
8720	8720
8721	8721
8722	8722
8723	8723	SB0002 - 243 - LRB104 07746 RPS 17791 b
8724	8724
8725	8725
8726	8726	SB0002- 244 -LRB104 07746 RPS 17791 b SB0002 - 244 - LRB104 07746 RPS 17791 b
8727	8727	SB0002 - 244 - LRB104 07746 RPS 17791 b
8728	8728	1 salary obtained by dividing the total salary or earnings
8729	8729	2 calculated under the Article applicable to the member or
8730	8730	3 participant during the 96 consecutive months (or 8 consecutive
8731	8731	4 years) of service within the last 120 months (or 10 years) of
8732	8732	5 service in which the total salary or earnings calculated under
8733	8733	6 the applicable Article was the highest by the number of months
8734	8734	7 (or years) of service in that period. For the purposes of a
8735	8735	8 person who first becomes a member or participant of any
8736	8736	9 retirement system or pension fund to which this Section
8737	8737	10 applies on or after January 1, 2011, in this Code, "final
8738	8738	11 average salary" shall be substituted for the following:
8739	8739	12 (1) (Blank).
8740	8740	13 (2) In Articles 8, 9, 10, 11, and 12, "highest average
8741	8741	14 annual salary for any 4 consecutive years within the last
8742	8742	15 10 years of service immediately preceding the date of
8743	8743	16 withdrawal".
8744	8744	17 (3) In Article 13, "average final salary".
8745	8745	18 (4) In Article 14, "final average compensation".
8746	8746	19 (5) In Article 17, "average salary".
8747	8747	20 (6) In Section 22-207, "wages or salary received by
8748	8748	21 him at the date of retirement or discharge".
8749	8749	22 A member of the Teachers' Retirement System of the State
8750	8750	23 of Illinois who retires on or after June 1, 2021 and for whom
8751	8751	24 the 2020-2021 school year is used in the calculation of the
8752	8752	25 member's final average salary shall use the higher of the
8753	8753	26 following for the purpose of determining the member's final
8754	8754
8755	8755
8756	8756
8757	8757
8758	8758
8759	8759	SB0002 - 244 - LRB104 07746 RPS 17791 b
8760	8760
8761	8761
8762	8762	SB0002- 245 -LRB104 07746 RPS 17791 b SB0002 - 245 - LRB104 07746 RPS 17791 b
8763	8763	SB0002 - 245 - LRB104 07746 RPS 17791 b
8764	8764	1 average salary:
8765	8765	2 (A) the amount otherwise calculated under the first
8766	8766	3 paragraph of this subsection; or
8767	8767	4 (B) an amount calculated by the Teachers' Retirement
8768	8768	5 System of the State of Illinois using the average of the
8769	8769	6 monthly (or annual) salary obtained by dividing the total
8770	8770	7 salary or earnings calculated under Article 16 applicable
8771	8771	8 to the member or participant during the 96 months (or 8
8772	8772	9 years) of service within the last 120 months (or 10 years)
8773	8773	10 of service in which the total salary or earnings
8774	8774	11 calculated under the Article was the highest by the number
8775	8775	12 of months (or years) of service in that period.
8776	8776	13 (b-5) Beginning on January 1, 2011, for all purposes under
8777	8777	14 this Code (including without limitation the calculation of
8778	8778	15 benefits and employee contributions), the annual earnings,
8779	8779	16 salary, or wages (based on the plan year) of a member or
8780	8780	17 participant to whom this Section applies shall not exceed
8781	8781	18 $106,800; however, that amount shall annually thereafter be
8782	8782	19 increased by the lesser of (i) 3% of that amount, including all
8783	8783	20 previous adjustments, or (ii) one-half the annual unadjusted
8784	8784	21 percentage increase (but not less than zero) in the consumer
8785	8785	22 price index-u for the 12 months ending with the September
8786	8786	23 preceding each November 1, including all previous adjustments.
8787	8787	24 For the purposes of this Section, "consumer price index-u"
8788	8788	25 means the index published by the Bureau of Labor Statistics of
8789	8789	26 the United States Department of Labor that measures the
8790	8790
8791	8791
8792	8792
8793	8793
8794	8794
8795	8795	SB0002 - 245 - LRB104 07746 RPS 17791 b
8796	8796
8797	8797
8798	8798	SB0002- 246 -LRB104 07746 RPS 17791 b SB0002 - 246 - LRB104 07746 RPS 17791 b
8799	8799	SB0002 - 246 - LRB104 07746 RPS 17791 b
8800	8800	1 average change in prices of goods and services purchased by
8801	8801	2 all urban consumers, United States city average, all items,
8802	8802	3 1982-84 = 100. The new amount resulting from each annual
8803	8803	4 adjustment shall be determined by the Public Pension Division
8804	8804	5 of the Department of Insurance and made available to the
8805	8805	6 boards of the retirement systems and pension funds by November
8806	8806	7 1 of each year.
8807	8807	8 (b-10) Beginning on January 1, 2024, for all purposes
8808	8808	9 under this Code (including, without limitation, the
8809	8809	10 calculation of benefits and employee contributions), the
8810	8810	11 annual earnings, salary, or wages (based on the plan year) of a
8811	8811	12 member or participant under Article 9 to whom this Section
8812	8812	13 applies shall include an annual earnings, salary, or wage cap
8813	8813	14 that tracks the Social Security wage base. Maximum annual
8814	8814	15 earnings, wages, or salary shall be the annual contribution
8815	8815	16 and benefit base established for the applicable year by the
8816	8816	17 Commissioner of the Social Security Administration under the
8817	8817	18 federal Social Security Act.
8818	8818	19 However, in no event shall the annual earnings, salary, or
8819	8819	20 wages for the purposes of this Article and Article 9 exceed any
8820	8820	21 limitation imposed on annual earnings, salary, or wages under
8821	8821	22 Section 1-117. Under no circumstances shall the maximum amount
8822	8822	23 of annual earnings, salary, or wages be greater than the
8823	8823	24 amount set forth in this subsection (b-10) as a result of
8824	8824	25 reciprocal service or any provisions regarding reciprocal
8825	8825	26 services, nor shall the Fund under Article 9 be required to pay
8826	8826
8827	8827
8828	8828
8829	8829
8830	8830
8831	8831	SB0002 - 246 - LRB104 07746 RPS 17791 b
8832	8832
8833	8833
8834	8834	SB0002- 247 -LRB104 07746 RPS 17791 b SB0002 - 247 - LRB104 07746 RPS 17791 b
8835	8835	SB0002 - 247 - LRB104 07746 RPS 17791 b
8836	8836	1 any refund as a result of the application of this maximum
8837	8837	2 annual earnings, salary, and wage cap.
8838	8838	3 Nothing in this subsection (b-10) shall cause or otherwise
8839	8839	4 result in any retroactive adjustment of any employee
8840	8840	5 contributions. Nothing in this subsection (b-10) shall cause
8841	8841	6 or otherwise result in any retroactive adjustment of
8842	8842	7 disability or other payments made between January 1, 2011 and
8843	8843	8 January 1, 2024.
8844	8844	9 (c) For a member or participant who is not an affected
8845	8845	10 member or participant, a A member or participant is entitled
8846	8846	11 to a retirement annuity upon written application if he or she
8847	8847	12 has attained age 67 (age 65, with respect to service under
8848	8848	13 Article 12 that is subject to this Section, for a member or
8849	8849	14 participant under Article 12 who first becomes a member or
8850	8850	15 participant under Article 12 on or after January 1, 2022 or who
8851	8851	16 makes the election under item (i) of subsection (d-15) of this
8852	8852	17 Section) and has at least 10 years of service credit and is
8853	8853	18 otherwise eligible under the requirements of the applicable
8854	8854	19 Article.
8855	8855	20 For an affected member or participant, the age and service
8856	8856	21 eligibility requirements for a retirement annuity are the age
8857	8857	22 and service eligibility requirements applicable to a member or
8858	8858	23 participant who first became a member or participant under the
8859	8859	24 applicable Article on December 31, 2010.
8860	8860	25 A member or participant who has attained age 62 (age 60,
8861	8861	26 with respect to service under Article 12 that is subject to
8862	8862
8863	8863
8864	8864
8865	8865
8866	8866
8867	8867	SB0002 - 247 - LRB104 07746 RPS 17791 b
8868	8868
8869	8869
8870	8870	SB0002- 248 -LRB104 07746 RPS 17791 b SB0002 - 248 - LRB104 07746 RPS 17791 b
8871	8871	SB0002 - 248 - LRB104 07746 RPS 17791 b
8872	8872	1 this Section, for a member or participant under Article 12 who
8873	8873	2 first becomes a member or participant under Article 12 on or
8874	8874	3 after January 1, 2022 or who makes the election under item (i)
8875	8875	4 of subsection (d-15) of this Section) and has at least 10 years
8876	8876	5 of service credit and is otherwise eligible under the
8877	8877	6 requirements of the applicable Article may elect to receive
8878	8878	7 the lower retirement annuity provided in subsection (d) of
8879	8879	8 this Section. This paragraph does not apply to an affected
8880	8880	9 member or participant.
8881	8881	10 (c-5) A person who first becomes a member or a participant
8882	8882	11 subject to this Section on or after July 6, 2017 (the effective
8883	8883	12 date of Public Act 100-23), notwithstanding any other
8884	8884	13 provision of this Code to the contrary, is entitled to a
8885	8885	14 retirement annuity under Article 8 or Article 11 upon written
8886	8886	15 application if he or she has attained age 65 and has at least
8887	8887	16 10 years of service credit and is otherwise eligible under the
8888	8888	17 requirements of Article 8 or Article 11 of this Code,
8889	8889	18 whichever is applicable.
8890	8890	19 This subsection does not apply to an affected member or
8891	8891	20 participant.
8892	8892	21 (d) The retirement annuity of a member or participant who
8893	8893	22 is retiring after attaining age 62 (age 60, with respect to
8894	8894	23 service under Article 12 that is subject to this Section, for a
8895	8895	24 member or participant under Article 12 who first becomes a
8896	8896	25 member or participant under Article 12 on or after January 1,
8897	8897	26 2022 or who makes the election under item (i) of subsection
8898	8898
8899	8899
8900	8900
8901	8901
8902	8902
8903	8903	SB0002 - 248 - LRB104 07746 RPS 17791 b
8904	8904
8905	8905
8906	8906	SB0002- 249 -LRB104 07746 RPS 17791 b SB0002 - 249 - LRB104 07746 RPS 17791 b
8907	8907	SB0002 - 249 - LRB104 07746 RPS 17791 b
8908	8908	1 (d-15) of this Section) with at least 10 years of service
8909	8909	2 credit shall be reduced by one-half of 1% for each full month
8910	8910	3 that the member's age is under age 67 (age 65, with respect to
8911	8911	4 service under Article 12 that is subject to this Section, for a
8912	8912	5 member or participant under Article 12 who first becomes a
8913	8913	6 member or participant under Article 12 on or after January 1,
8914	8914	7 2022 or who makes the election under item (i) of subsection
8915	8915	8 (d-15) of this Section).
8916	8916	9 This subsection does not apply to an affected member or
8917	8917	10 participant.
8918	8918	11 (d-5) The retirement annuity payable under Article 8 or
8919	8919	12 Article 11 to an eligible person subject to subsection (c-5)
8920	8920	13 of this Section who is retiring at age 60 with at least 10
8921	8921	14 years of service credit shall be reduced by one-half of 1% for
8922	8922	15 each full month that the member's age is under age 65.
8923	8923	16 This subsection does not apply to an affected member or
8924	8924	17 participant.
8925	8925	18 (d-10) Each person who first became a member or
8926	8926	19 participant under Article 8 or Article 11 of this Code on or
8927	8927	20 after January 1, 2011 and prior to July 6, 2017 (the effective
8928	8928	21 date of Public Act 100-23) shall make an irrevocable election
8929	8929	22 either:
8930	8930	23 (i) to be eligible for the reduced retirement age
8931	8931	24 provided in subsections (c-5) and (d-5) of this Section,
8932	8932	25 the eligibility for which is conditioned upon the member
8933	8933	26 or participant agreeing to the increases in employee
8934	8934
8935	8935
8936	8936
8937	8937
8938	8938
8939	8939	SB0002 - 249 - LRB104 07746 RPS 17791 b
8940	8940
8941	8941
8942	8942	SB0002- 250 -LRB104 07746 RPS 17791 b SB0002 - 250 - LRB104 07746 RPS 17791 b
8943	8943	SB0002 - 250 - LRB104 07746 RPS 17791 b
8944	8944	1 contributions for age and service annuities provided in
8945	8945	2 subsection (a-5) of Section 8-174 of this Code (for
8946	8946	3 service under Article 8) or subsection (a-5) of Section
8947	8947	4 11-170 of this Code (for service under Article 11); or
8948	8948	5 (ii) to not agree to item (i) of this subsection
8949	8949	6 (d-10), in which case the member or participant shall
8950	8950	7 continue to be subject to the retirement age provisions in
8951	8951	8 subsections (c) and (d) of this Section and the employee
8952	8952	9 contributions for age and service annuity as provided in
8953	8953	10 subsection (a) of Section 8-174 of this Code (for service
8954	8954	11 under Article 8) or subsection (a) of Section 11-170 of
8955	8955	12 this Code (for service under Article 11).
8956	8956	13 The election provided for in this subsection shall be made
8957	8957	14 between October 1, 2017 and November 15, 2017. A person
8958	8958	15 subject to this subsection who makes the required election
8959	8959	16 shall remain bound by that election. A person subject to this
8960	8960	17 subsection who fails for any reason to make the required
8961	8961	18 election within the time specified in this subsection shall be
8962	8962	19 deemed to have made the election under item (ii).
8963	8963	20 This subsection does not apply to an affected member or
8964	8964	21 participant.
8965	8965	22 (d-15) Each person who first becomes a member or
8966	8966	23 participant under Article 12 on or after January 1, 2011 and
8967	8967	24 prior to January 1, 2022 shall make an irrevocable election
8968	8968	25 either:
8969	8969	26 (i) to be eligible for the reduced retirement age
8970	8970
8971	8971
8972	8972
8973	8973
8974	8974
8975	8975	SB0002 - 250 - LRB104 07746 RPS 17791 b
8976	8976
8977	8977
8978	8978	SB0002- 251 -LRB104 07746 RPS 17791 b SB0002 - 251 - LRB104 07746 RPS 17791 b
8979	8979	SB0002 - 251 - LRB104 07746 RPS 17791 b
8980	8980	1 specified in subsections (c) and (d) of this Section, the
8981	8981	2 eligibility for which is conditioned upon the member or
8982	8982	3 participant agreeing to the increase in employee
8983	8983	4 contributions for service annuities specified in
8984	8984	5 subsection (b) of Section 12-150; or
8985	8985	6 (ii) to not agree to item (i) of this subsection
8986	8986	7 (d-15), in which case the member or participant shall not
8987	8987	8 be eligible for the reduced retirement age specified in
8988	8988	9 subsections (c) and (d) of this Section and shall not be
8989	8989	10 subject to the increase in employee contributions for
8990	8990	11 service annuities specified in subsection (b) of Section
8991	8991	12 12-150.
8992	8992	13 The election provided for in this subsection shall be made
8993	8993	14 between January 1, 2022 and April 1, 2022. A person subject to
8994	8994	15 this subsection who makes the required election shall remain
8995	8995	16 bound by that election. A person subject to this subsection
8996	8996	17 who fails for any reason to make the required election within
8997	8997	18 the time specified in this subsection shall be deemed to have
8998	8998	19 made the election under item (ii).
8999	8999	20 This subsection does not apply to an affected member or
9000	9000	21 participant.
9001	9001	22 (e) For a member or participant who is not an affected
9002	9002	23 member or participant, any Any retirement annuity or
9003	9003	24 supplemental annuity shall be subject to annual increases on
9004	9004	25 the January 1 occurring either on or after the attainment of
9005	9005	26 age 67 (age 65, with respect to service under Article 12 that
9006	9006
9007	9007
9008	9008
9009	9009
9010	9010
9011	9011	SB0002 - 251 - LRB104 07746 RPS 17791 b
9012	9012
9013	9013
9014	9014	SB0002- 252 -LRB104 07746 RPS 17791 b SB0002 - 252 - LRB104 07746 RPS 17791 b
9015	9015	SB0002 - 252 - LRB104 07746 RPS 17791 b
9016	9016	1 is subject to this Section, for a member or participant under
9017	9017	2 Article 12 who first becomes a member or participant under
9018	9018	3 Article 12 on or after January 1, 2022 or who makes the
9019	9019	4 election under item (i) of subsection (d-15); and beginning on
9020	9020	5 July 6, 2017 (the effective date of Public Act 100-23), age 65
9021	9021	6 with respect to service under Article 8 or Article 11 for
9022	9022	7 eligible persons who: (i) are subject to subsection (c-5) of
9023	9023	8 this Section; or (ii) made the election under item (i) of
9024	9024	9 subsection (d-10) of this Section) or the first anniversary of
9025	9025	10 the annuity start date, whichever is later. Each annual
9026	9026	11 increase shall be calculated at 3% or one-half the annual
9027	9027	12 unadjusted percentage increase (but not less than zero) in the
9028	9028	13 consumer price index-u for the 12 months ending with the
9029	9029	14 September preceding each November 1, whichever is less, of the
9030	9030	15 originally granted retirement annuity. If the annual
9031	9031	16 unadjusted percentage change in the consumer price index-u for
9032	9032	17 the 12 months ending with the September preceding each
9033	9033	18 November 1 is zero or there is a decrease, then the annuity
9034	9034	19 shall not be increased.
9035	9035	20 For an affected member or participant, any retirement
9036	9036	21 annuity or supplemental annuity shall be subject to annual
9037	9037	22 increases on the January 1 occurring either on or after the
9038	9038	23 attainment of the retirement age under the Article applicable
9039	9039	24 to that member or participant or the first anniversary of the
9040	9040	25 annuity start date, whichever is later.
9041	9041	26 For the purposes of Section 1-103.1 of this Code, the
9042	9042
9043	9043
9044	9044
9045	9045
9046	9046
9047	9047	SB0002 - 252 - LRB104 07746 RPS 17791 b
9048	9048
9049	9049
9050	9050	SB0002- 253 -LRB104 07746 RPS 17791 b SB0002 - 253 - LRB104 07746 RPS 17791 b
9051	9051	SB0002 - 253 - LRB104 07746 RPS 17791 b
9052	9052	1 changes made to this Section by Public Act 102-263 are
9053	9053	2 applicable without regard to whether the employee was in
9054	9054	3 active service on or after August 6, 2021 (the effective date
9055	9055	4 of Public Act 102-263).
9056	9056	5 For the purposes of Section 1-103.1 of this Code, the
9057	9057	6 changes made to this Section by Public Act 100-23 are
9058	9058	7 applicable without regard to whether the employee was in
9059	9059	8 active service on or after July 6, 2017 (the effective date of
9060	9060	9 Public Act 100-23).
9061	9061	10 (f) The initial survivor's or widow's annuity of an
9062	9062	11 otherwise eligible survivor or widow of a retired member or
9063	9063	12 participant who first became a member or participant on or
9064	9064	13 after January 1, 2011 shall be in the amount of 66 2/3% of the
9065	9065	14 retired member's or participant's retirement annuity at the
9066	9066	15 date of death. In the case of the death of a member or
9067	9067	16 participant who has not retired and who first became a member
9068	9068	17 or participant on or after January 1, 2011, eligibility for a
9069	9069	18 survivor's or widow's annuity shall be determined by the
9070	9070	19 applicable Article of this Code. The initial benefit shall be
9071	9071	20 66 2/3% of the earned annuity without a reduction due to age. A
9072	9072	21 child's annuity of an otherwise eligible child shall be in the
9073	9073	22 amount prescribed under each Article if applicable. Any
9074	9074	23 survivor's or widow's annuity shall be increased (1) on each
9075	9075	24 January 1 occurring on or after the commencement of the
9076	9076	25 annuity if the deceased member died while receiving a
9077	9077	26 retirement annuity or (2) in other cases, on each January 1
9078	9078
9079	9079
9080	9080
9081	9081
9082	9082
9083	9083	SB0002 - 253 - LRB104 07746 RPS 17791 b
9084	9084
9085	9085
9086	9086	SB0002- 254 -LRB104 07746 RPS 17791 b SB0002 - 254 - LRB104 07746 RPS 17791 b
9087	9087	SB0002 - 254 - LRB104 07746 RPS 17791 b
9088	9088	1 occurring after the first anniversary of the commencement of
9089	9089	2 the annuity. Each annual increase shall be calculated at 3% or
9090	9090	3 one-half the annual unadjusted percentage increase (but not
9091	9091	4 less than zero) in the consumer price index-u for the 12 months
9092	9092	5 ending with the September preceding each November 1, whichever
9093	9093	6 is less, of the originally granted survivor's annuity. If the
9094	9094	7 annual unadjusted percentage change in the consumer price
9095	9095	8 index-u for the 12 months ending with the September preceding
9096	9096	9 each November 1 is zero or there is a decrease, then the
9097	9097	10 annuity shall not be increased.
9098	9098	11 (g) The benefits in Section 14-110 apply if the person is a
9099	9099	12 fire fighter in the fire protection service of a department, a
9100	9100	13 security employee of the Department of Corrections or the
9101	9101	14 Department of Juvenile Justice, a security employee of the
9102	9102	15 Department of Innovation and Technology, a security employee
9103	9103	16 of the Department of Human Services, an investigator for the
9104	9104	17 Department of the Lottery, a State policeman, an investigator
9105	9105	18 for the Secretary of State, a conservation police officer, an
9106	9106	19 investigator for the Department of Revenue or the Illinois
9107	9107	20 Gaming Board, an investigator for the Office of the Attorney
9108	9108	21 General, a Commerce Commission police officer, an arson
9109	9109	22 investigator, or a State highway maintenance worker a fire
9110	9110	23 fighter in the fire protection service of a department, a
9111	9111	24 security employee of the Department of Corrections or the
9112	9112	25 Department of Juvenile Justice, or a security employee of the
9113	9113	26 Department of Innovation and Technology, as those terms are
9114	9114
9115	9115
9116	9116
9117	9117
9118	9118
9119	9119	SB0002 - 254 - LRB104 07746 RPS 17791 b
9120	9120
9121	9121
9122	9122	SB0002- 255 -LRB104 07746 RPS 17791 b SB0002 - 255 - LRB104 07746 RPS 17791 b
9123	9123	SB0002 - 255 - LRB104 07746 RPS 17791 b
9124	9124	1 defined in subsection (b) and subsection (c) of Section
9125	9125	2 14-110. A person who meets the requirements of this Section is
9126	9126	3 entitled to an annuity calculated under the provisions of
9127	9127	4 Section 14-110, in lieu of the regular or minimum retirement
9128	9128	5 annuity, only if (i) the person has withdrawn from service
9129	9129	6 with not less than 25 20 years of eligible creditable service
9130	9130	7 and has attained age 50 60, regardless of whether the
9131	9131	8 attainment of age 50 60 occurs while the person is still in
9132	9132	9 service, or (ii) the person has withdrawn from service with
9133	9133	10 not less than 20 years of eligible creditable service and has
9134	9134	11 attained age 55, regardless of whether the attainment of age
9135	9135	12 55 occurs while the person is still in service.
9136	9136	13 (g-5) (Blank). The benefits in Section 14-110 apply if the
9137	9137	14 person is a State policeman, investigator for the Secretary of
9138	9138	15 State, conservation police officer, investigator for the
9139	9139	16 Department of Revenue or the Illinois Gaming Board,
9140	9140	17 investigator for the Office of the Attorney General, Commerce
9141	9141	18 Commission police officer, or arson investigator, as those
9142	9142	19 terms are defined in subsection (b) and subsection (c) of
9143	9143	20 Section 14-110. A person who meets the requirements of this
9144	9144	21 Section is entitled to an annuity calculated under the
9145	9145	22 provisions of Section 14-110, in lieu of the regular or
9146	9146	23 minimum retirement annuity, only if the person has withdrawn
9147	9147	24 from service with not less than 20 years of eligible
9148	9148	25 creditable service and has attained age 55, regardless of
9149	9149	26 whether the attainment of age 55 occurs while the person is
9150	9150
9151	9151
9152	9152
9153	9153
9154	9154
9155	9155	SB0002 - 255 - LRB104 07746 RPS 17791 b
9156	9156
9157	9157
9158	9158	SB0002- 256 -LRB104 07746 RPS 17791 b SB0002 - 256 - LRB104 07746 RPS 17791 b
9159	9159	SB0002 - 256 - LRB104 07746 RPS 17791 b
9160	9160	1 still in service.
9161	9161	2 (h) If a person who first becomes a member or a participant
9162	9162	3 of a retirement system or pension fund subject to this Section
9163	9163	4 on or after January 1, 2011 is receiving a retirement annuity
9164	9164	5 or retirement pension under that system or fund and becomes a
9165	9165	6 member or participant under any other system or fund created
9166	9166	7 by this Code and is employed on a full-time basis, except for
9167	9167	8 those members or participants exempted from the provisions of
9168	9168	9 this Section under subsection (a) of this Section, then the
9169	9169	10 person's retirement annuity or retirement pension under that
9170	9170	11 system or fund shall be suspended during that employment. Upon
9171	9171	12 termination of that employment, the person's retirement
9172	9172	13 annuity or retirement pension payments shall resume and be
9173	9173	14 recalculated if recalculation is provided for under the
9174	9174	15 applicable Article of this Code.
9175	9175	16 If a person who first becomes a member of a retirement
9176	9176	17 system or pension fund subject to this Section on or after
9177	9177	18 January 1, 2012 and is receiving a retirement annuity or
9178	9178	19 retirement pension under that system or fund and accepts on a
9179	9179	20 contractual basis a position to provide services to a
9180	9180	21 governmental entity from which he or she has retired, then
9181	9181	22 that person's annuity or retirement pension earned as an
9182	9182	23 active employee of the employer shall be suspended during that
9183	9183	24 contractual service. A person receiving an annuity or
9184	9184	25 retirement pension under this Code shall notify the pension
9185	9185	26 fund or retirement system from which he or she is receiving an
9186	9186
9187	9187
9188	9188
9189	9189
9190	9190
9191	9191	SB0002 - 256 - LRB104 07746 RPS 17791 b
9192	9192
9193	9193
9194	9194	SB0002- 257 -LRB104 07746 RPS 17791 b SB0002 - 257 - LRB104 07746 RPS 17791 b
9195	9195	SB0002 - 257 - LRB104 07746 RPS 17791 b
9196	9196	1 annuity or retirement pension, as well as his or her
9197	9197	2 contractual employer, of his or her retirement status before
9198	9198	3 accepting contractual employment. A person who fails to submit
9199	9199	4 such notification shall be guilty of a Class A misdemeanor and
9200	9200	5 required to pay a fine of $1,000. Upon termination of that
9201	9201	6 contractual employment, the person's retirement annuity or
9202	9202	7 retirement pension payments shall resume and, if appropriate,
9203	9203	8 be recalculated under the applicable provisions of this Code.
9204	9204	9 (i) (Blank).
9205	9205	10 (j) In the case of a conflict between the provisions of
9206	9206	11 this Section and any other provision of this Code, the
9207	9207	12 provisions of this Section shall control.
9208	9208	13 (Source: P.A. 101-610, eff. 1-1-20; 102-16, eff. 6-17-21;
9209	9209	14 102-210, eff. 1-1-22; 102-263, eff. 8-6-21; 102-719, eff.
9210	9210	15 5-6-22; 103-529, eff. 8-11-23.)
9211	9211	16 (Text of Section from P.A. 102-813)
9212	9212	17 Sec. 1-160. Provisions applicable to new hires.
9213	9213	18 (a) The provisions of this Section apply to a person who,
9214	9214	19 on or after January 1, 2011, first becomes a member or a
9215	9215	20 participant under any reciprocal retirement system or pension
9216	9216	21 fund established under this Code, other than a retirement
9217	9217	22 system or pension fund established under Article 2, 3, 4, 5, 6,
9218	9218	23 7, 15, or 18 of this Code, notwithstanding any other provision
9219	9219	24 of this Code to the contrary, but do not apply to any
9220	9220	25 self-managed plan established under this Code or to any
9221	9221
9222	9222
9223	9223
9224	9224
9225	9225
9226	9226	SB0002 - 257 - LRB104 07746 RPS 17791 b
9227	9227
9228	9228
9229	9229	SB0002- 258 -LRB104 07746 RPS 17791 b SB0002 - 258 - LRB104 07746 RPS 17791 b
9230	9230	SB0002 - 258 - LRB104 07746 RPS 17791 b
9231	9231	1 participant of the retirement plan established under Section
9232	9232	2 22-101; except that this Section applies to a person who
9233	9233	3 elected to establish alternative credits by electing in
9234	9234	4 writing after January 1, 2011, but before August 8, 2011,
9235	9235	5 under Section 7-145.1 of this Code. Notwithstanding anything
9236	9236	6 to the contrary in this Section, for purposes of this Section,
9237	9237	7 a person who is a Tier 1 regular employee as defined in Section
9238	9238	8 7-109.4 of this Code or who participated in a retirement
9239	9239	9 system under Article 15 prior to January 1, 2011 shall be
9240	9240	10 deemed a person who first became a member or participant prior
9241	9241	11 to January 1, 2011 under any retirement system or pension fund
9242	9242	12 subject to this Section. The changes made to this Section by
9243	9243	13 Public Act 98-596 are a clarification of existing law and are
9244	9244	14 intended to be retroactive to January 1, 2011 (the effective
9245	9245	15 date of Public Act 96-889), notwithstanding the provisions of
9246	9246	16 Section 1-103.1 of this Code.
9247	9247	17 This Section does not apply to a person who first becomes a
9248	9248	18 noncovered employee under Article 14 on or after the
9249	9249	19 implementation date of the plan created under Section 1-161
9250	9250	20 for that Article, unless that person elects under subsection
9251	9251	21 (b) of Section 1-161 to instead receive the benefits provided
9252	9252	22 under this Section and the applicable provisions of that
9253	9253	23 Article.
9254	9254	24 This Section does not apply to a person who first becomes a
9255	9255	25 member or participant under Article 16 on or after the
9256	9256	26 implementation date of the plan created under Section 1-161
9257	9257
9258	9258
9259	9259
9260	9260
9261	9261
9262	9262	SB0002 - 258 - LRB104 07746 RPS 17791 b
9263	9263
9264	9264
9265	9265	SB0002- 259 -LRB104 07746 RPS 17791 b SB0002 - 259 - LRB104 07746 RPS 17791 b
9266	9266	SB0002 - 259 - LRB104 07746 RPS 17791 b
9267	9267	1 for that Article, unless that person elects under subsection
9268	9268	2 (b) of Section 1-161 to instead receive the benefits provided
9269	9269	3 under this Section and the applicable provisions of that
9270	9270	4 Article.
9271	9271	5 This Section does not apply to a person who elects under
9272	9272	6 subsection (c-5) of Section 1-161 to receive the benefits
9273	9273	7 under Section 1-161.
9274	9274	8 This Section does not apply to a person who first becomes a
9275	9275	9 member or participant of an affected pension fund on or after 6
9276	9276	10 months after the resolution or ordinance date, as defined in
9277	9277	11 Section 1-162, unless that person elects under subsection (c)
9278	9278	12 of Section 1-162 to receive the benefits provided under this
9279	9279	13 Section and the applicable provisions of the Article under
9280	9280	14 which he or she is a member or participant.
9281	9281	15 (a-5) In this Section, "affected member or participant"
9282	9282	16 means a member or participant to whom this Section applies and
9283	9283	17 who is an active member or participant on or after January 1,
9284	9284	18 2026; except that "affected member or participant" does not
9285	9285	19 include a member or participant under Article 22.
9286	9286	20 (b) "Final average salary" means, except as otherwise
9287	9287	21 provided in this subsection, the average monthly (or annual)
9288	9288	22 salary obtained by dividing the total salary or earnings
9289	9289	23 calculated under the Article applicable to the member or
9290	9290	24 participant during the 96 consecutive months (or 8 consecutive
9291	9291	25 years) of service within the last 120 months (or 10 years) of
9292	9292	26 service in which the total salary or earnings calculated under
9293	9293
9294	9294
9295	9295
9296	9296
9297	9297
9298	9298	SB0002 - 259 - LRB104 07746 RPS 17791 b
9299	9299
9300	9300
9301	9301	SB0002- 260 -LRB104 07746 RPS 17791 b SB0002 - 260 - LRB104 07746 RPS 17791 b
9302	9302	SB0002 - 260 - LRB104 07746 RPS 17791 b
9303	9303	1 the applicable Article was the highest by the number of months
9304	9304	2 (or years) of service in that period. For the purposes of a
9305	9305	3 person who first becomes a member or participant of any
9306	9306	4 retirement system or pension fund to which this Section
9307	9307	5 applies on or after January 1, 2011, in this Code, "final
9308	9308	6 average salary" shall be substituted for the following:
9309	9309	7 (1) (Blank).
9310	9310	8 (2) In Articles 8, 9, 10, 11, and 12, "highest average
9311	9311	9 annual salary for any 4 consecutive years within the last
9312	9312	10 10 years of service immediately preceding the date of
9313	9313	11 withdrawal".
9314	9314	12 (3) In Article 13, "average final salary".
9315	9315	13 (4) In Article 14, "final average compensation".
9316	9316	14 (5) In Article 17, "average salary".
9317	9317	15 (6) In Section 22-207, "wages or salary received by
9318	9318	16 him at the date of retirement or discharge".
9319	9319	17 A member of the Teachers' Retirement System of the State
9320	9320	18 of Illinois who retires on or after June 1, 2021 and for whom
9321	9321	19 the 2020-2021 school year is used in the calculation of the
9322	9322	20 member's final average salary shall use the higher of the
9323	9323	21 following for the purpose of determining the member's final
9324	9324	22 average salary:
9325	9325	23 (A) the amount otherwise calculated under the first
9326	9326	24 paragraph of this subsection; or
9327	9327	25 (B) an amount calculated by the Teachers' Retirement
9328	9328	26 System of the State of Illinois using the average of the
9329	9329
9330	9330
9331	9331
9332	9332
9333	9333
9334	9334	SB0002 - 260 - LRB104 07746 RPS 17791 b
9335	9335
9336	9336
9337	9337	SB0002- 261 -LRB104 07746 RPS 17791 b SB0002 - 261 - LRB104 07746 RPS 17791 b
9338	9338	SB0002 - 261 - LRB104 07746 RPS 17791 b
9339	9339	1 monthly (or annual) salary obtained by dividing the total
9340	9340	2 salary or earnings calculated under Article 16 applicable
9341	9341	3 to the member or participant during the 96 months (or 8
9342	9342	4 years) of service within the last 120 months (or 10 years)
9343	9343	5 of service in which the total salary or earnings
9344	9344	6 calculated under the Article was the highest by the number
9345	9345	7 of months (or years) of service in that period.
9346	9346	8 (b-5) Beginning on January 1, 2011, for all purposes under
9347	9347	9 this Code (including without limitation the calculation of
9348	9348	10 benefits and employee contributions), the annual earnings,
9349	9349	11 salary, or wages (based on the plan year) of a member or
9350	9350	12 participant to whom this Section applies shall not exceed
9351	9351	13 $106,800; however, that amount shall annually thereafter be
9352	9352	14 increased by the lesser of (i) 3% of that amount, including all
9353	9353	15 previous adjustments, or (ii) one-half the annual unadjusted
9354	9354	16 percentage increase (but not less than zero) in the consumer
9355	9355	17 price index-u for the 12 months ending with the September
9356	9356	18 preceding each November 1, including all previous adjustments.
9357	9357	19 For the purposes of this Section, "consumer price index-u"
9358	9358	20 means the index published by the Bureau of Labor Statistics of
9359	9359	21 the United States Department of Labor that measures the
9360	9360	22 average change in prices of goods and services purchased by
9361	9361	23 all urban consumers, United States city average, all items,
9362	9362	24 1982-84 = 100. The new amount resulting from each annual
9363	9363	25 adjustment shall be determined by the Public Pension Division
9364	9364	26 of the Department of Insurance and made available to the
9365	9365
9366	9366
9367	9367
9368	9368
9369	9369
9370	9370	SB0002 - 261 - LRB104 07746 RPS 17791 b
9371	9371
9372	9372
9373	9373	SB0002- 262 -LRB104 07746 RPS 17791 b SB0002 - 262 - LRB104 07746 RPS 17791 b
9374	9374	SB0002 - 262 - LRB104 07746 RPS 17791 b
9375	9375	1 boards of the retirement systems and pension funds by November
9376	9376	2 1 of each year.
9377	9377	3 (b-10) Beginning on January 1, 2024, for all purposes
9378	9378	4 under this Code (including, without limitation, the
9379	9379	5 calculation of benefits and employee contributions), the
9380	9380	6 annual earnings, salary, or wages (based on the plan year) of a
9381	9381	7 member or participant under Article 9 to whom this Section
9382	9382	8 applies shall include an annual earnings, salary, or wage cap
9383	9383	9 that tracks the Social Security wage base. Maximum annual
9384	9384	10 earnings, wages, or salary shall be the annual contribution
9385	9385	11 and benefit base established for the applicable year by the
9386	9386	12 Commissioner of the Social Security Administration under the
9387	9387	13 federal Social Security Act.
9388	9388	14 However, in no event shall the annual earnings, salary, or
9389	9389	15 wages for the purposes of this Article and Article 9 exceed any
9390	9390	16 limitation imposed on annual earnings, salary, or wages under
9391	9391	17 Section 1-117. Under no circumstances shall the maximum amount
9392	9392	18 of annual earnings, salary, or wages be greater than the
9393	9393	19 amount set forth in this subsection (b-10) as a result of
9394	9394	20 reciprocal service or any provisions regarding reciprocal
9395	9395	21 services, nor shall the Fund under Article 9 be required to pay
9396	9396	22 any refund as a result of the application of this maximum
9397	9397	23 annual earnings, salary, and wage cap.
9398	9398	24 Nothing in this subsection (b-10) shall cause or otherwise
9399	9399	25 result in any retroactive adjustment of any employee
9400	9400	26 contributions. Nothing in this subsection (b-10) shall cause
9401	9401
9402	9402
9403	9403
9404	9404
9405	9405
9406	9406	SB0002 - 262 - LRB104 07746 RPS 17791 b
9407	9407
9408	9408
9409	9409	SB0002- 263 -LRB104 07746 RPS 17791 b SB0002 - 263 - LRB104 07746 RPS 17791 b
9410	9410	SB0002 - 263 - LRB104 07746 RPS 17791 b
9411	9411	1 or otherwise result in any retroactive adjustment of
9412	9412	2 disability or other payments made between January 1, 2011 and
9413	9413	3 January 1, 2024.
9414	9414	4 (c) For a member or participant who is not an affected
9415	9415	5 member or participant, a A member or participant is entitled
9416	9416	6 to a retirement annuity upon written application if he or she
9417	9417	7 has attained age 67 (age 65, with respect to service under
9418	9418	8 Article 12 that is subject to this Section, for a member or
9419	9419	9 participant under Article 12 who first becomes a member or
9420	9420	10 participant under Article 12 on or after January 1, 2022 or who
9421	9421	11 makes the election under item (i) of subsection (d-15) of this
9422	9422	12 Section) and has at least 10 years of service credit and is
9423	9423	13 otherwise eligible under the requirements of the applicable
9424	9424	14 Article.
9425	9425	15 For an affected member or participant, the age and service
9426	9426	16 eligibility requirements for a retirement annuity are the age
9427	9427	17 and service eligibility requirements applicable to a member or
9428	9428	18 participant who first became a member or participant under the
9429	9429	19 applicable Article on December 31, 2010.
9430	9430	20 A member or participant who has attained age 62 (age 60,
9431	9431	21 with respect to service under Article 12 that is subject to
9432	9432	22 this Section, for a member or participant under Article 12 who
9433	9433	23 first becomes a member or participant under Article 12 on or
9434	9434	24 after January 1, 2022 or who makes the election under item (i)
9435	9435	25 of subsection (d-15) of this Section) and has at least 10 years
9436	9436	26 of service credit and is otherwise eligible under the
9437	9437
9438	9438
9439	9439
9440	9440
9441	9441
9442	9442	SB0002 - 263 - LRB104 07746 RPS 17791 b
9443	9443
9444	9444
9445	9445	SB0002- 264 -LRB104 07746 RPS 17791 b SB0002 - 264 - LRB104 07746 RPS 17791 b
9446	9446	SB0002 - 264 - LRB104 07746 RPS 17791 b
9447	9447	1 requirements of the applicable Article may elect to receive
9448	9448	2 the lower retirement annuity provided in subsection (d) of
9449	9449	3 this Section. This paragraph does not apply to an affected
9450	9450	4 member or participant.
9451	9451	5 (c-5) A person who first becomes a member or a participant
9452	9452	6 subject to this Section on or after July 6, 2017 (the effective
9453	9453	7 date of Public Act 100-23), notwithstanding any other
9454	9454	8 provision of this Code to the contrary, is entitled to a
9455	9455	9 retirement annuity under Article 8 or Article 11 upon written
9456	9456	10 application if he or she has attained age 65 and has at least
9457	9457	11 10 years of service credit and is otherwise eligible under the
9458	9458	12 requirements of Article 8 or Article 11 of this Code,
9459	9459	13 whichever is applicable.
9460	9460	14 This subsection does not apply to an affected member or
9461	9461	15 participant.
9462	9462	16 (d) The retirement annuity of a member or participant who
9463	9463	17 is retiring after attaining age 62 (age 60, with respect to
9464	9464	18 service under Article 12 that is subject to this Section, for a
9465	9465	19 member or participant under Article 12 who first becomes a
9466	9466	20 member or participant under Article 12 on or after January 1,
9467	9467	21 2022 or who makes the election under item (i) of subsection
9468	9468	22 (d-15) of this Section) with at least 10 years of service
9469	9469	23 credit shall be reduced by one-half of 1% for each full month
9470	9470	24 that the member's age is under age 67 (age 65, with respect to
9471	9471	25 service under Article 12 that is subject to this Section, for a
9472	9472	26 member or participant under Article 12 who first becomes a
9473	9473
9474	9474
9475	9475
9476	9476
9477	9477
9478	9478	SB0002 - 264 - LRB104 07746 RPS 17791 b
9479	9479
9480	9480
9481	9481	SB0002- 265 -LRB104 07746 RPS 17791 b SB0002 - 265 - LRB104 07746 RPS 17791 b
9482	9482	SB0002 - 265 - LRB104 07746 RPS 17791 b
9483	9483	1 member or participant under Article 12 on or after January 1,
9484	9484	2 2022 or who makes the election under item (i) of subsection
9485	9485	3 (d-15) of this Section).
9486	9486	4 This subsection does not apply to an affected member or
9487	9487	5 participant.
9488	9488	6 (d-5) The retirement annuity payable under Article 8 or
9489	9489	7 Article 11 to an eligible person subject to subsection (c-5)
9490	9490	8 of this Section who is retiring at age 60 with at least 10
9491	9491	9 years of service credit shall be reduced by one-half of 1% for
9492	9492	10 each full month that the member's age is under age 65.
9493	9493	11 This subsection does not apply to an affected member or
9494	9494	12 participant.
9495	9495	13 (d-10) Each person who first became a member or
9496	9496	14 participant under Article 8 or Article 11 of this Code on or
9497	9497	15 after January 1, 2011 and prior to July 6, 2017 (the effective
9498	9498	16 date of Public Act 100-23) shall make an irrevocable election
9499	9499	17 either:
9500	9500	18 (i) to be eligible for the reduced retirement age
9501	9501	19 provided in subsections (c-5) and (d-5) of this Section,
9502	9502	20 the eligibility for which is conditioned upon the member
9503	9503	21 or participant agreeing to the increases in employee
9504	9504	22 contributions for age and service annuities provided in
9505	9505	23 subsection (a-5) of Section 8-174 of this Code (for
9506	9506	24 service under Article 8) or subsection (a-5) of Section
9507	9507	25 11-170 of this Code (for service under Article 11); or
9508	9508	26 (ii) to not agree to item (i) of this subsection
9509	9509
9510	9510
9511	9511
9512	9512
9513	9513
9514	9514	SB0002 - 265 - LRB104 07746 RPS 17791 b
9515	9515
9516	9516
9517	9517	SB0002- 266 -LRB104 07746 RPS 17791 b SB0002 - 266 - LRB104 07746 RPS 17791 b
9518	9518	SB0002 - 266 - LRB104 07746 RPS 17791 b
9519	9519	1 (d-10), in which case the member or participant shall
9520	9520	2 continue to be subject to the retirement age provisions in
9521	9521	3 subsections (c) and (d) of this Section and the employee
9522	9522	4 contributions for age and service annuity as provided in
9523	9523	5 subsection (a) of Section 8-174 of this Code (for service
9524	9524	6 under Article 8) or subsection (a) of Section 11-170 of
9525	9525	7 this Code (for service under Article 11).
9526	9526	8 The election provided for in this subsection shall be made
9527	9527	9 between October 1, 2017 and November 15, 2017. A person
9528	9528	10 subject to this subsection who makes the required election
9529	9529	11 shall remain bound by that election. A person subject to this
9530	9530	12 subsection who fails for any reason to make the required
9531	9531	13 election within the time specified in this subsection shall be
9532	9532	14 deemed to have made the election under item (ii).
9533	9533	15 This subsection does not apply to an affected member or
9534	9534	16 participant.
9535	9535	17 (d-15) Each person who first becomes a member or
9536	9536	18 participant under Article 12 on or after January 1, 2011 and
9537	9537	19 prior to January 1, 2022 shall make an irrevocable election
9538	9538	20 either:
9539	9539	21 (i) to be eligible for the reduced retirement age
9540	9540	22 specified in subsections (c) and (d) of this Section, the
9541	9541	23 eligibility for which is conditioned upon the member or
9542	9542	24 participant agreeing to the increase in employee
9543	9543	25 contributions for service annuities specified in
9544	9544	26 subsection (b) of Section 12-150; or
9545	9545
9546	9546
9547	9547
9548	9548
9549	9549
9550	9550	SB0002 - 266 - LRB104 07746 RPS 17791 b
9551	9551
9552	9552
9553	9553	SB0002- 267 -LRB104 07746 RPS 17791 b SB0002 - 267 - LRB104 07746 RPS 17791 b
9554	9554	SB0002 - 267 - LRB104 07746 RPS 17791 b
9555	9555	1 (ii) to not agree to item (i) of this subsection
9556	9556	2 (d-15), in which case the member or participant shall not
9557	9557	3 be eligible for the reduced retirement age specified in
9558	9558	4 subsections (c) and (d) of this Section and shall not be
9559	9559	5 subject to the increase in employee contributions for
9560	9560	6 service annuities specified in subsection (b) of Section
9561	9561	7 12-150.
9562	9562	8 The election provided for in this subsection shall be made
9563	9563	9 between January 1, 2022 and April 1, 2022. A person subject to
9564	9564	10 this subsection who makes the required election shall remain
9565	9565	11 bound by that election. A person subject to this subsection
9566	9566	12 who fails for any reason to make the required election within
9567	9567	13 the time specified in this subsection shall be deemed to have
9568	9568	14 made the election under item (ii).
9569	9569	15 This subsection does not apply to an affected member or
9570	9570	16 participant.
9571	9571	17 (e) For a member or participant who is not an affected
9572	9572	18 member or participant, any Any retirement annuity or
9573	9573	19 supplemental annuity shall be subject to annual increases on
9574	9574	20 the January 1 occurring either on or after the attainment of
9575	9575	21 age 67 (age 65, with respect to service under Article 12 that
9576	9576	22 is subject to this Section, for a member or participant under
9577	9577	23 Article 12 who first becomes a member or participant under
9578	9578	24 Article 12 on or after January 1, 2022 or who makes the
9579	9579	25 election under item (i) of subsection (d-15); and beginning on
9580	9580	26 July 6, 2017 (the effective date of Public Act 100-23), age 65
9581	9581
9582	9582
9583	9583
9584	9584
9585	9585
9586	9586	SB0002 - 267 - LRB104 07746 RPS 17791 b
9587	9587
9588	9588
9589	9589	SB0002- 268 -LRB104 07746 RPS 17791 b SB0002 - 268 - LRB104 07746 RPS 17791 b
9590	9590	SB0002 - 268 - LRB104 07746 RPS 17791 b
9591	9591	1 with respect to service under Article 8 or Article 11 for
9592	9592	2 eligible persons who: (i) are subject to subsection (c-5) of
9593	9593	3 this Section; or (ii) made the election under item (i) of
9594	9594	4 subsection (d-10) of this Section) or the first anniversary of
9595	9595	5 the annuity start date, whichever is later. Each annual
9596	9596	6 increase shall be calculated at 3% or one-half the annual
9597	9597	7 unadjusted percentage increase (but not less than zero) in the
9598	9598	8 consumer price index-u for the 12 months ending with the
9599	9599	9 September preceding each November 1, whichever is less, of the
9600	9600	10 originally granted retirement annuity. If the annual
9601	9601	11 unadjusted percentage change in the consumer price index-u for
9602	9602	12 the 12 months ending with the September preceding each
9603	9603	13 November 1 is zero or there is a decrease, then the annuity
9604	9604	14 shall not be increased.
9605	9605	15 For an affected member or participant, any retirement
9606	9606	16 annuity or supplemental annuity shall be subject to annual
9607	9607	17 increases on the January 1 occurring either on or after the
9608	9608	18 attainment of the retirement age under the Article applicable
9609	9609	19 to that member or participant or the first anniversary of the
9610	9610	20 annuity start date, whichever is later.
9611	9611	21 For the purposes of Section 1-103.1 of this Code, the
9612	9612	22 changes made to this Section by Public Act 102-263 are
9613	9613	23 applicable without regard to whether the employee was in
9614	9614	24 active service on or after August 6, 2021 (the effective date
9615	9615	25 of Public Act 102-263).
9616	9616	26 For the purposes of Section 1-103.1 of this Code, the
9617	9617
9618	9618
9619	9619
9620	9620
9621	9621
9622	9622	SB0002 - 268 - LRB104 07746 RPS 17791 b
9623	9623
9624	9624
9625	9625	SB0002- 269 -LRB104 07746 RPS 17791 b SB0002 - 269 - LRB104 07746 RPS 17791 b
9626	9626	SB0002 - 269 - LRB104 07746 RPS 17791 b
9627	9627	1 changes made to this Section by Public Act 100-23 are
9628	9628	2 applicable without regard to whether the employee was in
9629	9629	3 active service on or after July 6, 2017 (the effective date of
9630	9630	4 Public Act 100-23).
9631	9631	5 (f) The initial survivor's or widow's annuity of an
9632	9632	6 otherwise eligible survivor or widow of a retired member or
9633	9633	7 participant who first became a member or participant on or
9634	9634	8 after January 1, 2011 shall be in the amount of 66 2/3% of the
9635	9635	9 retired member's or participant's retirement annuity at the
9636	9636	10 date of death. In the case of the death of a member or
9637	9637	11 participant who has not retired and who first became a member
9638	9638	12 or participant on or after January 1, 2011, eligibility for a
9639	9639	13 survivor's or widow's annuity shall be determined by the
9640	9640	14 applicable Article of this Code. The initial benefit shall be
9641	9641	15 66 2/3% of the earned annuity without a reduction due to age. A
9642	9642	16 child's annuity of an otherwise eligible child shall be in the
9643	9643	17 amount prescribed under each Article if applicable. Any
9644	9644	18 survivor's or widow's annuity shall be increased (1) on each
9645	9645	19 January 1 occurring on or after the commencement of the
9646	9646	20 annuity if the deceased member died while receiving a
9647	9647	21 retirement annuity or (2) in other cases, on each January 1
9648	9648	22 occurring after the first anniversary of the commencement of
9649	9649	23 the annuity. Each annual increase shall be calculated at 3% or
9650	9650	24 one-half the annual unadjusted percentage increase (but not
9651	9651	25 less than zero) in the consumer price index-u for the 12 months
9652	9652	26 ending with the September preceding each November 1, whichever
9653	9653
9654	9654
9655	9655
9656	9656
9657	9657
9658	9658	SB0002 - 269 - LRB104 07746 RPS 17791 b
9659	9659
9660	9660
9661	9661	SB0002- 270 -LRB104 07746 RPS 17791 b SB0002 - 270 - LRB104 07746 RPS 17791 b
9662	9662	SB0002 - 270 - LRB104 07746 RPS 17791 b
9663	9663	1 is less, of the originally granted survivor's annuity. If the
9664	9664	2 annual unadjusted percentage change in the consumer price
9665	9665	3 index-u for the 12 months ending with the September preceding
9666	9666	4 each November 1 is zero or there is a decrease, then the
9667	9667	5 annuity shall not be increased.
9668	9668	6 (g) The benefits in Section 14-110 apply only if the
9669	9669	7 person is a fire fighter in the fire protection service of a
9670	9670	8 department, a security employee of the Department of
9671	9671	9 Corrections or the Department of Juvenile Justice, a security
9672	9672	10 employee of the Department of Innovation and Technology, a
9673	9673	11 security employee of the Department of Human Services, an
9674	9674	12 investigator for the Department of the Lottery, a State
9675	9675	13 policeman, an investigator for the Secretary of State, a
9676	9676	14 conservation police officer, an investigator for the
9677	9677	15 Department of Revenue or the Illinois Gaming Board, an
9678	9678	16 investigator for the Office of the Attorney General, a
9679	9679	17 Commerce Commission police officer, an arson investigator, or
9680	9680	18 a State highway maintenance worker a State policeman, a fire
9681	9681	19 fighter in the fire protection service of a department, a
9682	9682	20 conservation police officer, an investigator for the Secretary
9683	9683	21 of State, an arson investigator, a Commerce Commission police
9684	9684	22 officer, investigator for the Department of Revenue or the
9685	9685	23 Illinois Gaming Board, a security employee of the Department
9686	9686	24 of Corrections or the Department of Juvenile Justice, or a
9687	9687	25 security employee of the Department of Innovation and
9688	9688	26 Technology, as those terms are defined in subsection (b) and
9689	9689
9690	9690
9691	9691
9692	9692
9693	9693
9694	9694	SB0002 - 270 - LRB104 07746 RPS 17791 b
9695	9695
9696	9696
9697	9697	SB0002- 271 -LRB104 07746 RPS 17791 b SB0002 - 271 - LRB104 07746 RPS 17791 b
9698	9698	SB0002 - 271 - LRB104 07746 RPS 17791 b
9699	9699	1 subsection (c) of Section 14-110. A person who meets the
9700	9700	2 requirements of this Section is entitled to an annuity
9701	9701	3 calculated under the provisions of Section 14-110, in lieu of
9702	9702	4 the regular or minimum retirement annuity, only if (i) the
9703	9703	5 person has withdrawn from service with not less than 25 20
9704	9704	6 years of eligible creditable service and has attained age 50
9705	9705	7 60, regardless of whether the attainment of age 50 60 occurs
9706	9706	8 while the person is still in service, or (ii) the person has
9707	9707	9 withdrawn from service with not less than 20 years of eligible
9708	9708	10 creditable service and has attained age 55, regardless of
9709	9709	11 whether the attainment of age 55 occurs while the person is
9710	9710	12 still in service.
9711	9711	13 (h) If a person who first becomes a member or a participant
9712	9712	14 of a retirement system or pension fund subject to this Section
9713	9713	15 on or after January 1, 2011 is receiving a retirement annuity
9714	9714	16 or retirement pension under that system or fund and becomes a
9715	9715	17 member or participant under any other system or fund created
9716	9716	18 by this Code and is employed on a full-time basis, except for
9717	9717	19 those members or participants exempted from the provisions of
9718	9718	20 this Section under subsection (a) of this Section, then the
9719	9719	21 person's retirement annuity or retirement pension under that
9720	9720	22 system or fund shall be suspended during that employment. Upon
9721	9721	23 termination of that employment, the person's retirement
9722	9722	24 annuity or retirement pension payments shall resume and be
9723	9723	25 recalculated if recalculation is provided for under the
9724	9724	26 applicable Article of this Code.
9725	9725
9726	9726
9727	9727
9728	9728
9729	9729
9730	9730	SB0002 - 271 - LRB104 07746 RPS 17791 b
9731	9731
9732	9732
9733	9733	SB0002- 272 -LRB104 07746 RPS 17791 b SB0002 - 272 - LRB104 07746 RPS 17791 b
9734	9734	SB0002 - 272 - LRB104 07746 RPS 17791 b
9735	9735	1 If a person who first becomes a member of a retirement
9736	9736	2 system or pension fund subject to this Section on or after
9737	9737	3 January 1, 2012 and is receiving a retirement annuity or
9738	9738	4 retirement pension under that system or fund and accepts on a
9739	9739	5 contractual basis a position to provide services to a
9740	9740	6 governmental entity from which he or she has retired, then
9741	9741	7 that person's annuity or retirement pension earned as an
9742	9742	8 active employee of the employer shall be suspended during that
9743	9743	9 contractual service. A person receiving an annuity or
9744	9744	10 retirement pension under this Code shall notify the pension
9745	9745	11 fund or retirement system from which he or she is receiving an
9746	9746	12 annuity or retirement pension, as well as his or her
9747	9747	13 contractual employer, of his or her retirement status before
9748	9748	14 accepting contractual employment. A person who fails to submit
9749	9749	15 such notification shall be guilty of a Class A misdemeanor and
9750	9750	16 required to pay a fine of $1,000. Upon termination of that
9751	9751	17 contractual employment, the person's retirement annuity or
9752	9752	18 retirement pension payments shall resume and, if appropriate,
9753	9753	19 be recalculated under the applicable provisions of this Code.
9754	9754	20 (i) (Blank).
9755	9755	21 (j) In the case of a conflict between the provisions of
9756	9756	22 this Section and any other provision of this Code, the
9757	9757	23 provisions of this Section shall control.
9758	9758	24 (Source: P.A. 101-610, eff. 1-1-20; 102-16, eff. 6-17-21;
9759	9759	25 102-210, eff. 1-1-22; 102-263, eff. 8-6-21; 102-813, eff.
9760	9760	26 5-13-22; 103-529, eff. 8-11-23.)
9761	9761
9762	9762
9763	9763
9764	9764
9765	9765
9766	9766	SB0002 - 272 - LRB104 07746 RPS 17791 b
9767	9767
9768	9768
9769	9769	SB0002- 273 -LRB104 07746 RPS 17791 b SB0002 - 273 - LRB104 07746 RPS 17791 b
9770	9770	SB0002 - 273 - LRB104 07746 RPS 17791 b
9771	9771	1 (Text of Section from P.A. 102-956)
9772	9772	2 Sec. 1-160. Provisions applicable to new hires.
9773	9773	3 (a) The provisions of this Section apply to a person who,
9774	9774	4 on or after January 1, 2011, first becomes a member or a
9775	9775	5 participant under any reciprocal retirement system or pension
9776	9776	6 fund established under this Code, other than a retirement
9777	9777	7 system or pension fund established under Article 2, 3, 4, 5, 6,
9778	9778	8 7, 15, or 18 of this Code, notwithstanding any other provision
9779	9779	9 of this Code to the contrary, but do not apply to any
9780	9780	10 self-managed plan established under this Code or to any
9781	9781	11 participant of the retirement plan established under Section
9782	9782	12 22-101; except that this Section applies to a person who
9783	9783	13 elected to establish alternative credits by electing in
9784	9784	14 writing after January 1, 2011, but before August 8, 2011,
9785	9785	15 under Section 7-145.1 of this Code. Notwithstanding anything
9786	9786	16 to the contrary in this Section, for purposes of this Section,
9787	9787	17 a person who is a Tier 1 regular employee as defined in Section
9788	9788	18 7-109.4 of this Code or who participated in a retirement
9789	9789	19 system under Article 15 prior to January 1, 2011 shall be
9790	9790	20 deemed a person who first became a member or participant prior
9791	9791	21 to January 1, 2011 under any retirement system or pension fund
9792	9792	22 subject to this Section. The changes made to this Section by
9793	9793	23 Public Act 98-596 are a clarification of existing law and are
9794	9794	24 intended to be retroactive to January 1, 2011 (the effective
9795	9795	25 date of Public Act 96-889), notwithstanding the provisions of
9796	9796
9797	9797
9798	9798
9799	9799
9800	9800
9801	9801	SB0002 - 273 - LRB104 07746 RPS 17791 b
9802	9802
9803	9803
9804	9804	SB0002- 274 -LRB104 07746 RPS 17791 b SB0002 - 274 - LRB104 07746 RPS 17791 b
9805	9805	SB0002 - 274 - LRB104 07746 RPS 17791 b
9806	9806	1 Section 1-103.1 of this Code.
9807	9807	2 This Section does not apply to a person who first becomes a
9808	9808	3 noncovered employee under Article 14 on or after the
9809	9809	4 implementation date of the plan created under Section 1-161
9810	9810	5 for that Article, unless that person elects under subsection
9811	9811	6 (b) of Section 1-161 to instead receive the benefits provided
9812	9812	7 under this Section and the applicable provisions of that
9813	9813	8 Article.
9814	9814	9 This Section does not apply to a person who first becomes a
9815	9815	10 member or participant under Article 16 on or after the
9816	9816	11 implementation date of the plan created under Section 1-161
9817	9817	12 for that Article, unless that person elects under subsection
9818	9818	13 (b) of Section 1-161 to instead receive the benefits provided
9819	9819	14 under this Section and the applicable provisions of that
9820	9820	15 Article.
9821	9821	16 This Section does not apply to a person who elects under
9822	9822	17 subsection (c-5) of Section 1-161 to receive the benefits
9823	9823	18 under Section 1-161.
9824	9824	19 This Section does not apply to a person who first becomes a
9825	9825	20 member or participant of an affected pension fund on or after 6
9826	9826	21 months after the resolution or ordinance date, as defined in
9827	9827	22 Section 1-162, unless that person elects under subsection (c)
9828	9828	23 of Section 1-162 to receive the benefits provided under this
9829	9829	24 Section and the applicable provisions of the Article under
9830	9830	25 which he or she is a member or participant.
9831	9831	26 (a-5) In this Section, "affected member or participant"
9832	9832
9833	9833
9834	9834
9835	9835
9836	9836
9837	9837	SB0002 - 274 - LRB104 07746 RPS 17791 b
9838	9838
9839	9839
9840	9840	SB0002- 275 -LRB104 07746 RPS 17791 b SB0002 - 275 - LRB104 07746 RPS 17791 b
9841	9841	SB0002 - 275 - LRB104 07746 RPS 17791 b
9842	9842	1 means a member or participant to whom this Section applies and
9843	9843	2 who is an active member or participant on or after January 1,
9844	9844	3 2026; except that "affected member or participant" does not
9845	9845	4 include a member or participant under Article 22.
9846	9846	5 (b) "Final average salary" means, except as otherwise
9847	9847	6 provided in this subsection, the average monthly (or annual)
9848	9848	7 salary obtained by dividing the total salary or earnings
9849	9849	8 calculated under the Article applicable to the member or
9850	9850	9 participant during the 96 consecutive months (or 8 consecutive
9851	9851	10 years) of service within the last 120 months (or 10 years) of
9852	9852	11 service in which the total salary or earnings calculated under
9853	9853	12 the applicable Article was the highest by the number of months
9854	9854	13 (or years) of service in that period. For the purposes of a
9855	9855	14 person who first becomes a member or participant of any
9856	9856	15 retirement system or pension fund to which this Section
9857	9857	16 applies on or after January 1, 2011, in this Code, "final
9858	9858	17 average salary" shall be substituted for the following:
9859	9859	18 (1) (Blank).
9860	9860	19 (2) In Articles 8, 9, 10, 11, and 12, "highest average
9861	9861	20 annual salary for any 4 consecutive years within the last
9862	9862	21 10 years of service immediately preceding the date of
9863	9863	22 withdrawal".
9864	9864	23 (3) In Article 13, "average final salary".
9865	9865	24 (4) In Article 14, "final average compensation".
9866	9866	25 (5) In Article 17, "average salary".
9867	9867	26 (6) In Section 22-207, "wages or salary received by
9868	9868
9869	9869
9870	9870
9871	9871
9872	9872
9873	9873	SB0002 - 275 - LRB104 07746 RPS 17791 b
9874	9874
9875	9875
9876	9876	SB0002- 276 -LRB104 07746 RPS 17791 b SB0002 - 276 - LRB104 07746 RPS 17791 b
9877	9877	SB0002 - 276 - LRB104 07746 RPS 17791 b
9878	9878	1 him at the date of retirement or discharge".
9879	9879	2 A member of the Teachers' Retirement System of the State
9880	9880	3 of Illinois who retires on or after June 1, 2021 and for whom
9881	9881	4 the 2020-2021 school year is used in the calculation of the
9882	9882	5 member's final average salary shall use the higher of the
9883	9883	6 following for the purpose of determining the member's final
9884	9884	7 average salary:
9885	9885	8 (A) the amount otherwise calculated under the first
9886	9886	9 paragraph of this subsection; or
9887	9887	10 (B) an amount calculated by the Teachers' Retirement
9888	9888	11 System of the State of Illinois using the average of the
9889	9889	12 monthly (or annual) salary obtained by dividing the total
9890	9890	13 salary or earnings calculated under Article 16 applicable
9891	9891	14 to the member or participant during the 96 months (or 8
9892	9892	15 years) of service within the last 120 months (or 10 years)
9893	9893	16 of service in which the total salary or earnings
9894	9894	17 calculated under the Article was the highest by the number
9895	9895	18 of months (or years) of service in that period.
9896	9896	19 (b-5) Beginning on January 1, 2011, for all purposes under
9897	9897	20 this Code (including without limitation the calculation of
9898	9898	21 benefits and employee contributions), the annual earnings,
9899	9899	22 salary, or wages (based on the plan year) of a member or
9900	9900	23 participant to whom this Section applies shall not exceed
9901	9901	24 $106,800; however, that amount shall annually thereafter be
9902	9902	25 increased by the lesser of (i) 3% of that amount, including all
9903	9903	26 previous adjustments, or (ii) one-half the annual unadjusted
9904	9904
9905	9905
9906	9906
9907	9907
9908	9908
9909	9909	SB0002 - 276 - LRB104 07746 RPS 17791 b
9910	9910
9911	9911
9912	9912	SB0002- 277 -LRB104 07746 RPS 17791 b SB0002 - 277 - LRB104 07746 RPS 17791 b
9913	9913	SB0002 - 277 - LRB104 07746 RPS 17791 b
9914	9914	1 percentage increase (but not less than zero) in the consumer
9915	9915	2 price index-u for the 12 months ending with the September
9916	9916	3 preceding each November 1, including all previous adjustments.
9917	9917	4 For the purposes of this Section, "consumer price index-u"
9918	9918	5 means the index published by the Bureau of Labor Statistics of
9919	9919	6 the United States Department of Labor that measures the
9920	9920	7 average change in prices of goods and services purchased by
9921	9921	8 all urban consumers, United States city average, all items,
9922	9922	9 1982-84 = 100. The new amount resulting from each annual
9923	9923	10 adjustment shall be determined by the Public Pension Division
9924	9924	11 of the Department of Insurance and made available to the
9925	9925	12 boards of the retirement systems and pension funds by November
9926	9926	13 1 of each year.
9927	9927	14 (b-10) Beginning on January 1, 2024, for all purposes
9928	9928	15 under this Code (including, without limitation, the
9929	9929	16 calculation of benefits and employee contributions), the
9930	9930	17 annual earnings, salary, or wages (based on the plan year) of a
9931	9931	18 member or participant under Article 9 to whom this Section
9932	9932	19 applies shall include an annual earnings, salary, or wage cap
9933	9933	20 that tracks the Social Security wage base. Maximum annual
9934	9934	21 earnings, wages, or salary shall be the annual contribution
9935	9935	22 and benefit base established for the applicable year by the
9936	9936	23 Commissioner of the Social Security Administration under the
9937	9937	24 federal Social Security Act.
9938	9938	25 However, in no event shall the annual earnings, salary, or
9939	9939	26 wages for the purposes of this Article and Article 9 exceed any
9940	9940
9941	9941
9942	9942
9943	9943
9944	9944
9945	9945	SB0002 - 277 - LRB104 07746 RPS 17791 b
9946	9946
9947	9947
9948	9948	SB0002- 278 -LRB104 07746 RPS 17791 b SB0002 - 278 - LRB104 07746 RPS 17791 b
9949	9949	SB0002 - 278 - LRB104 07746 RPS 17791 b
9950	9950	1 limitation imposed on annual earnings, salary, or wages under
9951	9951	2 Section 1-117. Under no circumstances shall the maximum amount
9952	9952	3 of annual earnings, salary, or wages be greater than the
9953	9953	4 amount set forth in this subsection (b-10) as a result of
9954	9954	5 reciprocal service or any provisions regarding reciprocal
9955	9955	6 services, nor shall the Fund under Article 9 be required to pay
9956	9956	7 any refund as a result of the application of this maximum
9957	9957	8 annual earnings, salary, and wage cap.
9958	9958	9 Nothing in this subsection (b-10) shall cause or otherwise
9959	9959	10 result in any retroactive adjustment of any employee
9960	9960	11 contributions. Nothing in this subsection (b-10) shall cause
9961	9961	12 or otherwise result in any retroactive adjustment of
9962	9962	13 disability or other payments made between January 1, 2011 and
9963	9963	14 January 1, 2024.
9964	9964	15 (c) For a member or participant who is not an affected
9965	9965	16 member or participant, a A member or participant is entitled
9966	9966	17 to a retirement annuity upon written application if he or she
9967	9967	18 has attained age 67 (age 65, with respect to service under
9968	9968	19 Article 12 that is subject to this Section, for a member or
9969	9969	20 participant under Article 12 who first becomes a member or
9970	9970	21 participant under Article 12 on or after January 1, 2022 or who
9971	9971	22 makes the election under item (i) of subsection (d-15) of this
9972	9972	23 Section) and has at least 10 years of service credit and is
9973	9973	24 otherwise eligible under the requirements of the applicable
9974	9974	25 Article.
9975	9975	26 For an affected member or participant, the age and service
9976	9976
9977	9977
9978	9978
9979	9979
9980	9980
9981	9981	SB0002 - 278 - LRB104 07746 RPS 17791 b
9982	9982
9983	9983
9984	9984	SB0002- 279 -LRB104 07746 RPS 17791 b SB0002 - 279 - LRB104 07746 RPS 17791 b
9985	9985	SB0002 - 279 - LRB104 07746 RPS 17791 b
9986	9986	1 eligibility requirements for a retirement annuity are the age
9987	9987	2 and service eligibility requirements applicable to a member or
9988	9988	3 participant who first became a member or participant under the
9989	9989	4 applicable Article on December 31, 2010.
9990	9990	5 A member or participant who has attained age 62 (age 60,
9991	9991	6 with respect to service under Article 12 that is subject to
9992	9992	7 this Section, for a member or participant under Article 12 who
9993	9993	8 first becomes a member or participant under Article 12 on or
9994	9994	9 after January 1, 2022 or who makes the election under item (i)
9995	9995	10 of subsection (d-15) of this Section) and has at least 10 years
9996	9996	11 of service credit and is otherwise eligible under the
9997	9997	12 requirements of the applicable Article may elect to receive
9998	9998	13 the lower retirement annuity provided in subsection (d) of
9999	9999	14 this Section.
10000	10000	15 This subsection does not apply to an affected member or
10001	10001	16 participant.
10002	10002	17 (c-5) A person who first becomes a member or a participant
10003	10003	18 subject to this Section on or after July 6, 2017 (the effective
10004	10004	19 date of Public Act 100-23), notwithstanding any other
10005	10005	20 provision of this Code to the contrary, is entitled to a
10006	10006	21 retirement annuity under Article 8 or Article 11 upon written
10007	10007	22 application if he or she has attained age 65 and has at least
10008	10008	23 10 years of service credit and is otherwise eligible under the
10009	10009	24 requirements of Article 8 or Article 11 of this Code,
10010	10010	25 whichever is applicable.
10011	10011	26 This subsection does not apply to an affected member or
10012	10012
10013	10013
10014	10014
10015	10015
10016	10016
10017	10017	SB0002 - 279 - LRB104 07746 RPS 17791 b
10018	10018
10019	10019
10020	10020	SB0002- 280 -LRB104 07746 RPS 17791 b SB0002 - 280 - LRB104 07746 RPS 17791 b
10021	10021	SB0002 - 280 - LRB104 07746 RPS 17791 b
10022	10022	1 participant.
10023	10023	2 (d) The retirement annuity of a member or participant who
10024	10024	3 is retiring after attaining age 62 (age 60, with respect to
10025	10025	4 service under Article 12 that is subject to this Section, for a
10026	10026	5 member or participant under Article 12 who first becomes a
10027	10027	6 member or participant under Article 12 on or after January 1,
10028	10028	7 2022 or who makes the election under item (i) of subsection
10029	10029	8 (d-15) of this Section) with at least 10 years of service
10030	10030	9 credit shall be reduced by one-half of 1% for each full month
10031	10031	10 that the member's age is under age 67 (age 65, with respect to
10032	10032	11 service under Article 12 that is subject to this Section, for a
10033	10033	12 member or participant under Article 12 who first becomes a
10034	10034	13 member or participant under Article 12 on or after January 1,
10035	10035	14 2022 or who makes the election under item (i) of subsection
10036	10036	15 (d-15) of this Section). This paragraph does not apply to an
10037	10037	16 affected member or participant.
10038	10038	17 (d-5) The retirement annuity payable under Article 8 or
10039	10039	18 Article 11 to an eligible person subject to subsection (c-5)
10040	10040	19 of this Section who is retiring at age 60 with at least 10
10041	10041	20 years of service credit shall be reduced by one-half of 1% for
10042	10042	21 each full month that the member's age is under age 65.
10043	10043	22 This subsection does not apply to an affected member or
10044	10044	23 participant.
10045	10045	24 (d-10) Each person who first became a member or
10046	10046	25 participant under Article 8 or Article 11 of this Code on or
10047	10047	26 after January 1, 2011 and prior to July 6, 2017 (the effective
10048	10048
10049	10049
10050	10050
10051	10051
10052	10052
10053	10053	SB0002 - 280 - LRB104 07746 RPS 17791 b
10054	10054
10055	10055
10056	10056	SB0002- 281 -LRB104 07746 RPS 17791 b SB0002 - 281 - LRB104 07746 RPS 17791 b
10057	10057	SB0002 - 281 - LRB104 07746 RPS 17791 b
10058	10058	1 date of Public Act 100-23) shall make an irrevocable election
10059	10059	2 either:
10060	10060	3 (i) to be eligible for the reduced retirement age
10061	10061	4 provided in subsections (c-5) and (d-5) of this Section,
10062	10062	5 the eligibility for which is conditioned upon the member
10063	10063	6 or participant agreeing to the increases in employee
10064	10064	7 contributions for age and service annuities provided in
10065	10065	8 subsection (a-5) of Section 8-174 of this Code (for
10066	10066	9 service under Article 8) or subsection (a-5) of Section
10067	10067	10 11-170 of this Code (for service under Article 11); or
10068	10068	11 (ii) to not agree to item (i) of this subsection
10069	10069	12 (d-10), in which case the member or participant shall
10070	10070	13 continue to be subject to the retirement age provisions in
10071	10071	14 subsections (c) and (d) of this Section and the employee
10072	10072	15 contributions for age and service annuity as provided in
10073	10073	16 subsection (a) of Section 8-174 of this Code (for service
10074	10074	17 under Article 8) or subsection (a) of Section 11-170 of
10075	10075	18 this Code (for service under Article 11).
10076	10076	19 The election provided for in this subsection shall be made
10077	10077	20 between October 1, 2017 and November 15, 2017. A person
10078	10078	21 subject to this subsection who makes the required election
10079	10079	22 shall remain bound by that election. A person subject to this
10080	10080	23 subsection who fails for any reason to make the required
10081	10081	24 election within the time specified in this subsection shall be
10082	10082	25 deemed to have made the election under item (ii).
10083	10083	26 This subsection does not apply to an affected member or
10084	10084
10085	10085
10086	10086
10087	10087
10088	10088
10089	10089	SB0002 - 281 - LRB104 07746 RPS 17791 b
10090	10090
10091	10091
10092	10092	SB0002- 282 -LRB104 07746 RPS 17791 b SB0002 - 282 - LRB104 07746 RPS 17791 b
10093	10093	SB0002 - 282 - LRB104 07746 RPS 17791 b
10094	10094	1 participant.
10095	10095	2 (d-15) Each person who first becomes a member or
10096	10096	3 participant under Article 12 on or after January 1, 2011 and
10097	10097	4 prior to January 1, 2022 shall make an irrevocable election
10098	10098	5 either:
10099	10099	6 (i) to be eligible for the reduced retirement age
10100	10100	7 specified in subsections (c) and (d) of this Section, the
10101	10101	8 eligibility for which is conditioned upon the member or
10102	10102	9 participant agreeing to the increase in employee
10103	10103	10 contributions for service annuities specified in
10104	10104	11 subsection (b) of Section 12-150; or
10105	10105	12 (ii) to not agree to item (i) of this subsection
10106	10106	13 (d-15), in which case the member or participant shall not
10107	10107	14 be eligible for the reduced retirement age specified in
10108	10108	15 subsections (c) and (d) of this Section and shall not be
10109	10109	16 subject to the increase in employee contributions for
10110	10110	17 service annuities specified in subsection (b) of Section
10111	10111	18 12-150.
10112	10112	19 The election provided for in this subsection shall be made
10113	10113	20 between January 1, 2022 and April 1, 2022. A person subject to
10114	10114	21 this subsection who makes the required election shall remain
10115	10115	22 bound by that election. A person subject to this subsection
10116	10116	23 who fails for any reason to make the required election within
10117	10117	24 the time specified in this subsection shall be deemed to have
10118	10118	25 made the election under item (ii).
10119	10119	26 This subsection does not apply to an affected member or
10120	10120
10121	10121
10122	10122
10123	10123
10124	10124
10125	10125	SB0002 - 282 - LRB104 07746 RPS 17791 b
10126	10126
10127	10127
10128	10128	SB0002- 283 -LRB104 07746 RPS 17791 b SB0002 - 283 - LRB104 07746 RPS 17791 b
10129	10129	SB0002 - 283 - LRB104 07746 RPS 17791 b
10130	10130	1 participant.
10131	10131	2 (e) For a member or participant who is not an affected
10132	10132	3 member or participant, any Any retirement annuity or
10133	10133	4 supplemental annuity shall be subject to annual increases on
10134	10134	5 the January 1 occurring either on or after the attainment of
10135	10135	6 age 67 (age 65, with respect to service under Article 12 that
10136	10136	7 is subject to this Section, for a member or participant under
10137	10137	8 Article 12 who first becomes a member or participant under
10138	10138	9 Article 12 on or after January 1, 2022 or who makes the
10139	10139	10 election under item (i) of subsection (d-15); and beginning on
10140	10140	11 July 6, 2017 (the effective date of Public Act 100-23), age 65
10141	10141	12 with respect to service under Article 8 or Article 11 for
10142	10142	13 eligible persons who: (i) are subject to subsection (c-5) of
10143	10143	14 this Section; or (ii) made the election under item (i) of
10144	10144	15 subsection (d-10) of this Section) or the first anniversary of
10145	10145	16 the annuity start date, whichever is later. Each annual
10146	10146	17 increase shall be calculated at 3% or one-half the annual
10147	10147	18 unadjusted percentage increase (but not less than zero) in the
10148	10148	19 consumer price index-u for the 12 months ending with the
10149	10149	20 September preceding each November 1, whichever is less, of the
10150	10150	21 originally granted retirement annuity. If the annual
10151	10151	22 unadjusted percentage change in the consumer price index-u for
10152	10152	23 the 12 months ending with the September preceding each
10153	10153	24 November 1 is zero or there is a decrease, then the annuity
10154	10154	25 shall not be increased.
10155	10155	26 For an affected member or participant, any retirement
10156	10156
10157	10157
10158	10158
10159	10159
10160	10160
10161	10161	SB0002 - 283 - LRB104 07746 RPS 17791 b
10162	10162
10163	10163
10164	10164	SB0002- 284 -LRB104 07746 RPS 17791 b SB0002 - 284 - LRB104 07746 RPS 17791 b
10165	10165	SB0002 - 284 - LRB104 07746 RPS 17791 b
10166	10166	1 annuity or supplemental annuity shall be subject to annual
10167	10167	2 increases on the January 1 occurring either on or after the
10168	10168	3 attainment of the retirement age under the Article applicable
10169	10169	4 to that member or participant or the first anniversary of the
10170	10170	5 annuity start date, whichever is later.
10171	10171	6 For the purposes of Section 1-103.1 of this Code, the
10172	10172	7 changes made to this Section by Public Act 102-263 are
10173	10173	8 applicable without regard to whether the employee was in
10174	10174	9 active service on or after August 6, 2021 (the effective date
10175	10175	10 of Public Act 102-263).
10176	10176	11 For the purposes of Section 1-103.1 of this Code, the
10177	10177	12 changes made to this Section by Public Act 100-23 are
10178	10178	13 applicable without regard to whether the employee was in
10179	10179	14 active service on or after July 6, 2017 (the effective date of
10180	10180	15 Public Act 100-23).
10181	10181	16 (f) The initial survivor's or widow's annuity of an
10182	10182	17 otherwise eligible survivor or widow of a retired member or
10183	10183	18 participant who first became a member or participant on or
10184	10184	19 after January 1, 2011 shall be in the amount of 66 2/3% of the
10185	10185	20 retired member's or participant's retirement annuity at the
10186	10186	21 date of death. In the case of the death of a member or
10187	10187	22 participant who has not retired and who first became a member
10188	10188	23 or participant on or after January 1, 2011, eligibility for a
10189	10189	24 survivor's or widow's annuity shall be determined by the
10190	10190	25 applicable Article of this Code. The initial benefit shall be
10191	10191	26 66 2/3% of the earned annuity without a reduction due to age. A
10192	10192
10193	10193
10194	10194
10195	10195
10196	10196
10197	10197	SB0002 - 284 - LRB104 07746 RPS 17791 b
10198	10198
10199	10199
10200	10200	SB0002- 285 -LRB104 07746 RPS 17791 b SB0002 - 285 - LRB104 07746 RPS 17791 b
10201	10201	SB0002 - 285 - LRB104 07746 RPS 17791 b
10202	10202	1 child's annuity of an otherwise eligible child shall be in the
10203	10203	2 amount prescribed under each Article if applicable. Any
10204	10204	3 survivor's or widow's annuity shall be increased (1) on each
10205	10205	4 January 1 occurring on or after the commencement of the
10206	10206	5 annuity if the deceased member died while receiving a
10207	10207	6 retirement annuity or (2) in other cases, on each January 1
10208	10208	7 occurring after the first anniversary of the commencement of
10209	10209	8 the annuity. Each annual increase shall be calculated at 3% or
10210	10210	9 one-half the annual unadjusted percentage increase (but not
10211	10211	10 less than zero) in the consumer price index-u for the 12 months
10212	10212	11 ending with the September preceding each November 1, whichever
10213	10213	12 is less, of the originally granted survivor's annuity. If the
10214	10214	13 annual unadjusted percentage change in the consumer price
10215	10215	14 index-u for the 12 months ending with the September preceding
10216	10216	15 each November 1 is zero or there is a decrease, then the
10217	10217	16 annuity shall not be increased.
10218	10218	17 (g) The benefits in Section 14-110 apply only if the
10219	10219	18 person is a fire fighter in the fire protection service of a
10220	10220	19 department, a security employee of the Department of
10221	10221	20 Corrections or the Department of Juvenile Justice, a security
10222	10222	21 employee of the Department of Innovation and Technology, a
10223	10223	22 security employee of the Department of Human Services, an
10224	10224	23 investigator for the Department of the Lottery, a State
10225	10225	24 policeman, an investigator for the Secretary of State, a
10226	10226	25 conservation police officer, an investigator for the
10227	10227	26 Department of Revenue or the Illinois Gaming Board, an
10228	10228
10229	10229
10230	10230
10231	10231
10232	10232
10233	10233	SB0002 - 285 - LRB104 07746 RPS 17791 b
10234	10234
10235	10235
10236	10236	SB0002- 286 -LRB104 07746 RPS 17791 b SB0002 - 286 - LRB104 07746 RPS 17791 b
10237	10237	SB0002 - 286 - LRB104 07746 RPS 17791 b
10238	10238	1 investigator for the Office of the Attorney General, a
10239	10239	2 Commerce Commission police officer, an arson investigator, or
10240	10240	3 a State highway maintenance worker a State policeman, a fire
10241	10241	4 fighter in the fire protection service of a department, a
10242	10242	5 conservation police officer, an investigator for the Secretary
10243	10243	6 of State, an investigator for the Office of the Attorney
10244	10244	7 General, an arson investigator, a Commerce Commission police
10245	10245	8 officer, investigator for the Department of Revenue or the
10246	10246	9 Illinois Gaming Board, a security employee of the Department
10247	10247	10 of Corrections or the Department of Juvenile Justice, or a
10248	10248	11 security employee of the Department of Innovation and
10249	10249	12 Technology, as those terms are defined in subsection (b) and
10250	10250	13 subsection (c) of Section 14-110. A person who meets the
10251	10251	14 requirements of this Section is entitled to an annuity
10252	10252	15 calculated under the provisions of Section 14-110, in lieu of
10253	10253	16 the regular or minimum retirement annuity, only if (i) the
10254	10254	17 person has withdrawn from service with not less than 25 20
10255	10255	18 years of eligible creditable service and has attained age 50
10256	10256	19 60, regardless of whether the attainment of age 50 60 occurs
10257	10257	20 while the person is still in service, or (ii) the person has
10258	10258	21 withdrawn from service with not less than 20 years of eligible
10259	10259	22 creditable service and has attained age 55, regardless of
10260	10260	23 whether the attainment of age 55 occurs while the person is
10261	10261	24 still in service.
10262	10262	25 (h) If a person who first becomes a member or a participant
10263	10263	26 of a retirement system or pension fund subject to this Section
10264	10264
10265	10265
10266	10266
10267	10267
10268	10268
10269	10269	SB0002 - 286 - LRB104 07746 RPS 17791 b
10270	10270
10271	10271
10272	10272	SB0002- 287 -LRB104 07746 RPS 17791 b SB0002 - 287 - LRB104 07746 RPS 17791 b
10273	10273	SB0002 - 287 - LRB104 07746 RPS 17791 b
10274	10274	1 on or after January 1, 2011 is receiving a retirement annuity
10275	10275	2 or retirement pension under that system or fund and becomes a
10276	10276	3 member or participant under any other system or fund created
10277	10277	4 by this Code and is employed on a full-time basis, except for
10278	10278	5 those members or participants exempted from the provisions of
10279	10279	6 this Section under subsection (a) of this Section, then the
10280	10280	7 person's retirement annuity or retirement pension under that
10281	10281	8 system or fund shall be suspended during that employment. Upon
10282	10282	9 termination of that employment, the person's retirement
10283	10283	10 annuity or retirement pension payments shall resume and be
10284	10284	11 recalculated if recalculation is provided for under the
10285	10285	12 applicable Article of this Code.
10286	10286	13 If a person who first becomes a member of a retirement
10287	10287	14 system or pension fund subject to this Section on or after
10288	10288	15 January 1, 2012 and is receiving a retirement annuity or
10289	10289	16 retirement pension under that system or fund and accepts on a
10290	10290	17 contractual basis a position to provide services to a
10291	10291	18 governmental entity from which he or she has retired, then
10292	10292	19 that person's annuity or retirement pension earned as an
10293	10293	20 active employee of the employer shall be suspended during that
10294	10294	21 contractual service. A person receiving an annuity or
10295	10295	22 retirement pension under this Code shall notify the pension
10296	10296	23 fund or retirement system from which he or she is receiving an
10297	10297	24 annuity or retirement pension, as well as his or her
10298	10298	25 contractual employer, of his or her retirement status before
10299	10299	26 accepting contractual employment. A person who fails to submit
10300	10300
10301	10301
10302	10302
10303	10303
10304	10304
10305	10305	SB0002 - 287 - LRB104 07746 RPS 17791 b
10306	10306
10307	10307
10308	10308	SB0002- 288 -LRB104 07746 RPS 17791 b SB0002 - 288 - LRB104 07746 RPS 17791 b
10309	10309	SB0002 - 288 - LRB104 07746 RPS 17791 b
10310	10310	1 such notification shall be guilty of a Class A misdemeanor and
10311	10311	2 required to pay a fine of $1,000. Upon termination of that
10312	10312	3 contractual employment, the person's retirement annuity or
10313	10313	4 retirement pension payments shall resume and, if appropriate,
10314	10314	5 be recalculated under the applicable provisions of this Code.
10315	10315	6 (i) (Blank).
10316	10316	7 (j) In the case of a conflict between the provisions of
10317	10317	8 this Section and any other provision of this Code, the
10318	10318	9 provisions of this Section shall control.
10319	10319	10 (Source: P.A. 102-16, eff. 6-17-21; 102-210, eff. 1-1-22;
10320	10320	11 102-263, eff. 8-6-21; 102-956, eff. 5-27-22; 103-529, eff.
10321	10321	12 8-11-23.)
10322	10322	13 (40 ILCS 5/2-119) (from Ch. 108 1/2, par. 2-119)
10323	10323	14 (Text of Section WITHOUT the changes made by P.A. 98-599,
10324	10324	15 which has been held unconstitutional)
10325	10325	16 Sec. 2-119. Retirement annuity - conditions for
10326	10326	17 eligibility.
10327	10327	18 (a) A participant whose service as a member is terminated,
10328	10328	19 regardless of age or cause, is entitled to a retirement
10329	10329	20 annuity beginning on the date specified by the participant in
10330	10330	21 a written application subject to the following conditions:
10331	10331	22 1. The date the annuity begins does not precede the
10332	10332	23 date of final termination of service, or is not more than
10333	10333	24 30 days before the receipt of the application by the board
10334	10334	25 in the case of annuities based on disability or one year
10335	10335
10336	10336
10337	10337
10338	10338
10339	10339
10340	10340	SB0002 - 288 - LRB104 07746 RPS 17791 b
10341	10341
10342	10342
10343	10343	SB0002- 289 -LRB104 07746 RPS 17791 b SB0002 - 289 - LRB104 07746 RPS 17791 b
10344	10344	SB0002 - 289 - LRB104 07746 RPS 17791 b
10345	10345	1 before the receipt of the application in the case of
10346	10346	2 annuities based on attained age;
10347	10347	3 2. The participant meets one of the following
10348	10348	4 eligibility requirements:
10349	10349	5 For a participant who first becomes a participant of
10350	10350	6 this System before January 1, 2011 (the effective date of
10351	10351	7 Public Act 96-889) or a participant who first became a
10352	10352	8 participant of this System on or after January 1, 2011 and
10353	10353	9 was in service on or after January 1, 2026:
10354	10354	10 (A) He or she has attained age 55 and has at least
10355	10355	11 8 years of service credit;
10356	10356	12 (B) He or she has attained age 62 and terminated
10357	10357	13 service after July 1, 1971 with at least 4 years of
10358	10358	14 service credit; or
10359	10359	15 (C) He or she has completed 8 years of service and
10360	10360	16 has become permanently disabled and as a consequence,
10361	10361	17 is unable to perform the duties of his or her office.
10362	10362	18 For a participant who first becomes a participant of
10363	10363	19 this System on or after January 1, 2011 (the effective
10364	10364	20 date of Public Act 96-889) and who is not in service on or
10365	10365	21 after January 1, 2026, he or she has attained age 67 and
10366	10366	22 has at least 8 years of service credit.
10367	10367	23 (a-5) A participant who first becomes a participant of
10368	10368	24 this System on or after January 1, 2011 (the effective date of
10369	10369	25 Public Act 96-889) who is not in service on or after January 1,
10370	10370	26 2026, has attained age 62, and has at least 8 years of service
10371	10371
10372	10372
10373	10373
10374	10374
10375	10375
10376	10376	SB0002 - 289 - LRB104 07746 RPS 17791 b
10377	10377
10378	10378
10379	10379	SB0002- 290 -LRB104 07746 RPS 17791 b SB0002 - 290 - LRB104 07746 RPS 17791 b
10380	10380	SB0002 - 290 - LRB104 07746 RPS 17791 b
10381	10381	1 credit may elect to receive the lower retirement annuity
10382	10382	2 provided in paragraph (d) (c) of Section 2-119.01 of this
10383	10383	3 Code.
10384	10384	4 (b) A participant shall be considered permanently disabled
10385	10385	5 only if: (1) disability occurs while in service and is of such
10386	10386	6 a nature as to prevent him or her from reasonably performing
10387	10387	7 the duties of his or her office at the time; and (2) the board
10388	10388	8 has received a written certificate by at least 2 licensed
10389	10389	9 physicians appointed by the board stating that the member is
10390	10390	10 disabled and that the disability is likely to be permanent.
10391	10391	11 (Source: P.A. 96-889, eff. 1-1-11; 96-1490, eff. 1-1-11.)
10392	10392	12 (40 ILCS 5/2-119.01) (from Ch. 108 1/2, par. 2-119.01)
10393	10393	13 Sec. 2-119.01. Retirement annuities; amount annuities -
10394	10394	14 Amount.
10395	10395	15 (a) For a participant in service after June 30, 1977 who
10396	10396	16 has not made contributions to this System after January 1,
10397	10397	17 1982, the annual retirement annuity is 3% for each of the first
10398	10398	18 8 years of service, plus 4% for each of the next 4 years of
10399	10399	19 service, plus 5% for each year of service in excess of 12
10400	10400	20 years, based on the participant's highest salary for annuity
10401	10401	21 purposes. The maximum retirement annuity payable shall be 80%
10402	10402	22 of the participant's highest salary for annuity purposes.
10403	10403	23 (b) For a participant in service after June 30, 1977 who
10404	10404	24 has made contributions to this System on or after January 1,
10405	10405	25 1982, the annual retirement annuity is 3% for each of the first
10406	10406
10407	10407
10408	10408
10409	10409
10410	10410
10411	10411	SB0002 - 290 - LRB104 07746 RPS 17791 b
10412	10412
10413	10413
10414	10414	SB0002- 291 -LRB104 07746 RPS 17791 b SB0002 - 291 - LRB104 07746 RPS 17791 b
10415	10415	SB0002 - 291 - LRB104 07746 RPS 17791 b
10416	10416	1 4 years of service, plus 3 1/2% for each of the next 2 years of
10417	10417	2 service, plus 4% for each of the next 2 years of service, plus
10418	10418	3 4 1/2% for each of the next 4 years of service, plus 5% for
10419	10419	4 each year of service in excess of 12 years, of the
10420	10420	5 participant's highest salary for annuity purposes. The maximum
10421	10421	6 retirement annuity payable shall be 85% of the participant's
10422	10422	7 highest salary for annuity purposes.
10423	10423	8 (c) Notwithstanding any other provision of this Article,
10424	10424	9 for a participant who first becomes a participant on or after
10425	10425	10 January 1, 2011 (the effective date of Public Act 96-889), the
10426	10426	11 annual retirement annuity is 3% of the participant's highest
10427	10427	12 salary for annuity purposes for each year of service. The
10428	10428	13 maximum retirement annuity payable shall be 60% of the
10429	10429	14 participant's highest salary for annuity purposes.
10430	10430	15 (d) Notwithstanding any other provision of this Article,
10431	10431	16 for a participant who first becomes a participant on or after
10432	10432	17 January 1, 2011 (the effective date of Public Act 96-889) and
10433	10433	18 who is retiring after attaining age 62 with at least 8 years of
10434	10434	19 service credit, the retirement annuity shall be reduced by
10435	10435	20 one-half of 1% for each month that the member's age is under
10436	10436	21 age 67. This subsection does not apply to a participant who is
10437	10437	22 in service on or after January 1, 2026.
10438	10438	23 (Source: P.A. 96-889, eff. 1-1-11; 96-1490, eff. 1-1-11.)
10439	10439	24 (40 ILCS 5/2-119.1) (from Ch. 108 1/2, par. 2-119.1)
10440	10440	25 (Text of Section WITHOUT the changes made by P.A. 98-599,
10441	10441
10442	10442
10443	10443
10444	10444
10445	10445
10446	10446	SB0002 - 291 - LRB104 07746 RPS 17791 b
10447	10447
10448	10448
10449	10449	SB0002- 292 -LRB104 07746 RPS 17791 b SB0002 - 292 - LRB104 07746 RPS 17791 b
10450	10450	SB0002 - 292 - LRB104 07746 RPS 17791 b
10451	10451	1 which has been held unconstitutional)
10452	10452	2 Sec. 2-119.1. Automatic increase in retirement annuity.
10453	10453	3 (a) A participant who retires after June 30, 1967, and who
10454	10454	4 has not received an initial increase under this Section before
10455	10455	5 the effective date of this amendatory Act of 1991, shall, in
10456	10456	6 January or July next following the first anniversary of
10457	10457	7 retirement, whichever occurs first, and in the same month of
10458	10458	8 each year thereafter, but in no event prior to age 60, have the
10459	10459	9 amount of the originally granted retirement annuity increased
10460	10460	10 as follows: for each year through 1971, 1 1/2%; for each year
10461	10461	11 from 1972 through 1979, 2%; and for 1980 and each year
10462	10462	12 thereafter, 3%. Annuitants who have received an initial
10463	10463	13 increase under this subsection prior to the effective date of
10464	10464	14 this amendatory Act of 1991 shall continue to receive their
10465	10465	15 annual increases in the same month as the initial increase.
10466	10466	16 (b) Beginning January 1, 1990, for eligible participants
10467	10467	17 who remain in service after attaining 20 years of creditable
10468	10468	18 service, the 3% increases provided under subsection (a) shall
10469	10469	19 begin to accrue on the January 1 next following the date upon
10470	10470	20 which the participant (1) attains age 55, or (2) attains 20
10471	10471	21 years of creditable service, whichever occurs later, and shall
10472	10472	22 continue to accrue while the participant remains in service;
10473	10473	23 such increases shall become payable on January 1 or July 1,
10474	10474	24 whichever occurs first, next following the first anniversary
10475	10475	25 of retirement. For any person who has service credit in the
10476	10476	26 System for the entire period from January 15, 1969 through
10477	10477
10478	10478
10479	10479
10480	10480
10481	10481
10482	10482	SB0002 - 292 - LRB104 07746 RPS 17791 b
10483	10483
10484	10484
10485	10485	SB0002- 293 -LRB104 07746 RPS 17791 b SB0002 - 293 - LRB104 07746 RPS 17791 b
10486	10486	SB0002 - 293 - LRB104 07746 RPS 17791 b
10487	10487	1 December 31, 1992, regardless of the date of termination of
10488	10488	2 service, the reference to age 55 in clause (1) of this
10489	10489	3 subsection (b) shall be deemed to mean age 50.
10490	10490	4 This subsection (b) does not apply to any person who first
10491	10491	5 becomes a member of the System after the effective date of this
10492	10492	6 amendatory Act of the 93rd General Assembly.
10493	10493	7 (b-5) Notwithstanding any other provision of this Article,
10494	10494	8 a participant who first becomes a participant on or after
10495	10495	9 January 1, 2011 (the effective date of Public Act 96-889)
10496	10496	10 shall, in January or July next following the first anniversary
10497	10497	11 of retirement, whichever occurs first, and in the same month
10498	10498	12 of each year thereafter, but in no event prior to age 67 (age
10499	10499	13 62 if the participant was in service on or after January 1,
10500	10500	14 2026 and has at least 4 years of service credit or age 55 if
10501	10501	15 the participant was in service on or after January 1, 2026 and
10502	10502	16 has at least 8 years of service credit), have the amount of the
10503	10503	17 retirement annuity then being paid increased by 3% or the
10504	10504	18 annual unadjusted percentage increase in the Consumer Price
10505	10505	19 Index for All Urban Consumers as determined by the Public
10506	10506	20 Pension Division of the Department of Insurance under
10507	10507	21 subsection (a) of Section 2-108.1, whichever is less.
10508	10508	22 (c) The foregoing provisions relating to automatic
10509	10509	23 increases are not applicable to a participant who retires
10510	10510	24 before having made contributions (at the rate prescribed in
10511	10511	25 Section 2-126) for automatic increases for less than the
10512	10512	26 equivalent of one full year. However, in order to be eligible
10513	10513
10514	10514
10515	10515
10516	10516
10517	10517
10518	10518	SB0002 - 293 - LRB104 07746 RPS 17791 b
10519	10519
10520	10520
10521	10521	SB0002- 294 -LRB104 07746 RPS 17791 b SB0002 - 294 - LRB104 07746 RPS 17791 b
10522	10522	SB0002 - 294 - LRB104 07746 RPS 17791 b
10523	10523	1 for the automatic increases, such a participant may make
10524	10524	2 arrangements to pay to the system the amount required to bring
10525	10525	3 the total contributions for the automatic increase to the
10526	10526	4 equivalent of one year's contributions based upon his or her
10527	10527	5 last salary.
10528	10528	6 (d) A participant who terminated service prior to July 1,
10529	10529	7 1967, with at least 14 years of service is entitled to an
10530	10530	8 increase in retirement annuity beginning January, 1976, and to
10531	10531	9 additional increases in January of each year thereafter.
10532	10532	10 The initial increase shall be 1 1/2% of the originally
10533	10533	11 granted retirement annuity multiplied by the number of full
10534	10534	12 years that the annuitant was in receipt of such annuity prior
10535	10535	13 to January 1, 1972, plus 2% of the originally granted
10536	10536	14 retirement annuity for each year after that date. The
10537	10537	15 subsequent annual increases shall be at the rate of 2% of the
10538	10538	16 originally granted retirement annuity for each year through
10539	10539	17 1979 and at the rate of 3% for 1980 and thereafter.
10540	10540	18 (e) Beginning January 1, 1990, all automatic annual
10541	10541	19 increases payable under this Section shall be calculated as a
10542	10542	20 percentage of the total annuity payable at the time of the
10543	10543	21 increase, including previous increases granted under this
10544	10544	22 Article.
10545	10545	23 (Source: P.A. 96-889, eff. 1-1-11; 96-1490, eff. 1-1-11.)
10546	10546	24 (40 ILCS 5/3-111) (from Ch. 108 1/2, par. 3-111)
10547	10547	25 Sec. 3-111. Pension.
10548	10548
10549	10549
10550	10550
10551	10551
10552	10552
10553	10553	SB0002 - 294 - LRB104 07746 RPS 17791 b
10554	10554
10555	10555
10556	10556	SB0002- 295 -LRB104 07746 RPS 17791 b SB0002 - 295 - LRB104 07746 RPS 17791 b
10557	10557	SB0002 - 295 - LRB104 07746 RPS 17791 b
10558	10558	1 (a) A police officer age 50 or more with 20 or more years
10559	10559	2 of creditable service, who is not a participant in the
10560	10560	3 self-managed plan under Section 3-109.3 and who is no longer
10561	10561	4 in service as a police officer, shall receive a pension of 1/2
10562	10562	5 of the salary attached to the rank held by the officer on the
10563	10563	6 police force for one year immediately prior to retirement or,
10564	10564	7 beginning July 1, 1987 for persons terminating service on or
10565	10565	8 after that date, the salary attached to the rank held on the
10566	10566	9 last day of service or for one year prior to the last day,
10567	10567	10 whichever is greater. The pension shall be increased by 2.5%
10568	10568	11 of such salary for each additional year of service over 20
10569	10569	12 years of service through 30 years of service, to a maximum of
10570	10570	13 75% of such salary.
10571	10571	14 The changes made to this subsection (a) by this amendatory
10572	10572	15 Act of the 91st General Assembly apply to all pensions that
10573	10573	16 become payable under this subsection on or after January 1,
10574	10574	17 1999. All pensions payable under this subsection that began on
10575	10575	18 or after January 1, 1999 and before the effective date of this
10576	10576	19 amendatory Act shall be recalculated, and the amount of the
10577	10577	20 increase accruing for that period shall be payable to the
10578	10578	21 pensioner in a lump sum.
10579	10579	22 (a-5) No pension in effect on or granted after June 30,
10580	10580	23 1973 shall be less than $200 per month. Beginning July 1, 1987,
10581	10581	24 the minimum retirement pension for a police officer having at
10582	10582	25 least 20 years of creditable service shall be $400 per month,
10583	10583	26 without regard to whether or not retirement occurred prior to
10584	10584
10585	10585
10586	10586
10587	10587
10588	10588
10589	10589	SB0002 - 295 - LRB104 07746 RPS 17791 b
10590	10590
10591	10591
10592	10592	SB0002- 296 -LRB104 07746 RPS 17791 b SB0002 - 296 - LRB104 07746 RPS 17791 b
10593	10593	SB0002 - 296 - LRB104 07746 RPS 17791 b
10594	10594	1 that date. If the minimum pension established in Section
10595	10595	2 3-113.1 is greater than the minimum provided in this
10596	10596	3 subsection, the Section 3-113.1 minimum controls.
10597	10597	4 (b) A police officer mandatorily retired from service due
10598	10598	5 to age by operation of law, having at least 8 but less than 20
10599	10599	6 years of creditable service, shall receive a pension equal to
10600	10600	7 2 1/2% of the salary attached to the rank he or she held on the
10601	10601	8 police force for one year immediately prior to retirement or,
10602	10602	9 beginning July 1, 1987 for persons terminating service on or
10603	10603	10 after that date, the salary attached to the rank held on the
10604	10604	11 last day of service or for one year prior to the last day,
10605	10605	12 whichever is greater, for each year of creditable service.
10606	10606	13 A police officer who retires or is separated from service
10607	10607	14 having at least 8 years but less than 20 years of creditable
10608	10608	15 service, who is not mandatorily retired due to age by
10609	10609	16 operation of law, and who does not apply for a refund of
10610	10610	17 contributions at his or her last separation from police
10611	10611	18 service, shall receive a pension upon attaining age 60 equal
10612	10612	19 to 2.5% of the salary attached to the rank held by the police
10613	10613	20 officer on the police force for one year immediately prior to
10614	10614	21 retirement or, beginning July 1, 1987 for persons terminating
10615	10615	22 service on or after that date, the salary attached to the rank
10616	10616	23 held on the last day of service or for one year prior to the
10617	10617	24 last day, whichever is greater, for each year of creditable
10618	10618	25 service.
10619	10619	26 (c) A police officer no longer in service who has at least
10620	10620
10621	10621
10622	10622
10623	10623
10624	10624
10625	10625	SB0002 - 296 - LRB104 07746 RPS 17791 b
10626	10626
10627	10627
10628	10628	SB0002- 297 -LRB104 07746 RPS 17791 b SB0002 - 297 - LRB104 07746 RPS 17791 b
10629	10629	SB0002 - 297 - LRB104 07746 RPS 17791 b
10630	10630	1 one but less than 8 years of creditable service in a police
10631	10631	2 pension fund but meets the requirements of this subsection (c)
10632	10632	3 shall be eligible to receive a pension from that fund equal to
10633	10633	4 2.5% of the salary attached to the rank held on the last day of
10634	10634	5 service under that fund or for one year prior to that last day,
10635	10635	6 whichever is greater, for each year of creditable service in
10636	10636	7 that fund. The pension shall begin no earlier than upon
10637	10637	8 attainment of age 60 (or upon mandatory retirement from the
10638	10638	9 fund by operation of law due to age, if that occurs before age
10639	10639	10 60) and in no event before the effective date of this
10640	10640	11 amendatory Act of 1997.
10641	10641	12 In order to be eligible for a pension under this
10642	10642	13 subsection (c), the police officer must have at least 8 years
10643	10643	14 of creditable service in a second police pension fund under
10644	10644	15 this Article and be receiving a pension under subsection (a)
10645	10645	16 or (b) of this Section from that second fund. The police
10646	10646	17 officer need not be in service on or after the effective date
10647	10647	18 of this amendatory Act of 1997.
10648	10648	19 (d) Notwithstanding any other provision of this Article,
10649	10649	20 the provisions of this subsection (d) apply to a person who is
10650	10650	21 not a participant in the self-managed plan under Section
10651	10651	22 3-109.3 and who first becomes a police officer under this
10652	10652	23 Article on or after January 1, 2011.
10653	10653	24 A police officer age 55 or more who has 10 or more years of
10654	10654	25 service in that capacity shall be entitled at his option to
10655	10655	26 receive a monthly pension for his service as a police officer
10656	10656
10657	10657
10658	10658
10659	10659
10660	10660
10661	10661	SB0002 - 297 - LRB104 07746 RPS 17791 b
10662	10662
10663	10663
10664	10664	SB0002- 298 -LRB104 07746 RPS 17791 b SB0002 - 298 - LRB104 07746 RPS 17791 b
10665	10665	SB0002 - 298 - LRB104 07746 RPS 17791 b
10666	10666	1 computed by multiplying 2.5% for each year of such service by
10667	10667	2 his or her final average salary; except that, for a police
10668	10668	3 officer who is in service on or after January 1, 2026, the age
10669	10669	4 and service eligibility requirements for a monthly pension for
10670	10670	5 service as a police officer are the age and service
10671	10671	6 eligibility requirements applicable to a police officer who
10672	10672	7 first became a police officer on December 31, 2010.
10673	10673	8 The pension of a police officer who is retiring after
10674	10674	9 attaining age 50 with 10 or more years of creditable service
10675	10675	10 shall be reduced by one-half of 1% for each month that the
10676	10676	11 police officer's age is under age 55. This paragraph does not
10677	10677	12 apply to a police officer who is in service on or after January
10678	10678	13 1, 2026.
10679	10679	14 The maximum pension under this subsection (d) shall be 75%
10680	10680	15 of final average salary.
10681	10681	16 For the purposes of this subsection (d), "final average
10682	10682	17 salary" means the greater of: (i) the average monthly salary
10683	10683	18 obtained by dividing the total salary of the police officer
10684	10684	19 during the 48 consecutive months of service within the last 60
10685	10685	20 months of service in which the total salary was the highest by
10686	10686	21 the number of months of service in that period; or (ii) the
10687	10687	22 average monthly salary obtained by dividing the total salary
10688	10688	23 of the police officer during the 96 consecutive months of
10689	10689	24 service within the last 120 months of service in which the
10690	10690	25 total salary was the highest by the number of months of service
10691	10691	26 in that period.
10692	10692
10693	10693
10694	10694
10695	10695
10696	10696
10697	10697	SB0002 - 298 - LRB104 07746 RPS 17791 b
10698	10698
10699	10699
10700	10700	SB0002- 299 -LRB104 07746 RPS 17791 b SB0002 - 299 - LRB104 07746 RPS 17791 b
10701	10701	SB0002 - 299 - LRB104 07746 RPS 17791 b
10702	10702	1 Beginning on January 1, 2011, for all purposes under this
10703	10703	2 Code (including without limitation the calculation of benefits
10704	10704	3 and employee contributions), the annual salary based on the
10705	10705	4 plan year of a member or participant to whom this Section
10706	10706	5 applies shall not exceed $106,800; however, that amount shall
10707	10707	6 annually thereafter be increased by the lesser of (i) 3% of
10708	10708	7 that amount, including all previous adjustments, or (ii) the
10709	10709	8 annual unadjusted percentage increase (but not less than zero)
10710	10710	9 in the consumer price index-u for the 12 months ending with the
10711	10711	10 September preceding each November 1, including all previous
10712	10712	11 adjustments.
10713	10713	12 Nothing in this amendatory Act of the 101st General
10714	10714	13 Assembly shall cause or otherwise result in any retroactive
10715	10715	14 adjustment of any employee contributions.
10716	10716	15 (Source: P.A. 101-610, eff. 1-1-20.)
10717	10717	16 (40 ILCS 5/3-111.1) (from Ch. 108 1/2, par. 3-111.1)
10718	10718	17 Sec. 3-111.1. Increase in pension.
10719	10719	18 (a) Except as provided in subsection (e), the monthly
10720	10720	19 pension of a police officer who retires after July 1, 1971, and
10721	10721	20 prior to January 1, 1986, shall be increased, upon either the
10722	10722	21 first of the month following the first anniversary of the date
10723	10723	22 of retirement if the officer is 60 years of age or over at
10724	10724	23 retirement date, or upon the first day of the month following
10725	10725	24 attainment of age 60 if it occurs after the first anniversary
10726	10726	25 of retirement, by 3% of the originally granted pension and by
10727	10727
10728	10728
10729	10729
10730	10730
10731	10731
10732	10732	SB0002 - 299 - LRB104 07746 RPS 17791 b
10733	10733
10734	10734
10735	10735	SB0002- 300 -LRB104 07746 RPS 17791 b SB0002 - 300 - LRB104 07746 RPS 17791 b
10736	10736	SB0002 - 300 - LRB104 07746 RPS 17791 b
10737	10737	1 an additional 3% of the originally granted pension in January
10738	10738	2 of each year thereafter.
10739	10739	3 (b) The monthly pension of a police officer who retired
10740	10740	4 from service with 20 or more years of service, on or before
10741	10741	5 July 1, 1971, shall be increased in January of the year
10742	10742	6 following the year of attaining age 65 or in January of 1972,
10743	10743	7 if then over age 65, by 3% of the originally granted pension
10744	10744	8 for each year the police officer received pension payments. In
10745	10745	9 each January thereafter, he or she shall receive an additional
10746	10746	10 increase of 3% of the original pension.
10747	10747	11 (c) The monthly pension of a police officer who retires on
10748	10748	12 disability or is retired for disability shall be increased in
10749	10749	13 January of the year following the year of attaining age 60, by
10750	10750	14 3% of the original grant of pension for each year he or she
10751	10751	15 received pension payments. In each January thereafter, the
10752	10752	16 police officer shall receive an additional increase of 3% of
10753	10753	17 the original pension.
10754	10754	18 (d) The monthly pension of a police officer who retires
10755	10755	19 after January 1, 1986, shall be increased, upon either the
10756	10756	20 first of the month following the first anniversary of the date
10757	10757	21 of retirement if the officer is 55 years of age or over, or
10758	10758	22 upon the first day of the month following attainment of age 55
10759	10759	23 if it occurs after the first anniversary of retirement, by
10760	10760	24 1/12 of 3% of the originally granted pension for each full
10761	10761	25 month that has elapsed since the pension began, and by an
10762	10762	26 additional 3% of the originally granted pension in January of
10763	10763
10764	10764
10765	10765
10766	10766
10767	10767
10768	10768	SB0002 - 300 - LRB104 07746 RPS 17791 b
10769	10769
10770	10770
10771	10771	SB0002- 301 -LRB104 07746 RPS 17791 b SB0002 - 301 - LRB104 07746 RPS 17791 b
10772	10772	SB0002 - 301 - LRB104 07746 RPS 17791 b
10773	10773	1 each year thereafter.
10774	10774	2 The changes made to this subsection (d) by this amendatory
10775	10775	3 Act of the 91st General Assembly apply to all initial
10776	10776	4 increases that become payable under this subsection on or
10777	10777	5 after January 1, 1999. All initial increases that became
10778	10778	6 payable under this subsection on or after January 1, 1999 and
10779	10779	7 before the effective date of this amendatory Act shall be
10780	10780	8 recalculated and the additional amount accruing for that
10781	10781	9 period, if any, shall be payable to the pensioner in a lump
10782	10782	10 sum.
10783	10783	11 (e) Notwithstanding the provisions of subsection (a), upon
10784	10784	12 the first day of the month following (1) the first anniversary
10785	10785	13 of the date of retirement, or (2) the attainment of age 55, or
10786	10786	14 (3) July 1, 1987, whichever occurs latest, the monthly pension
10787	10787	15 of a police officer who retired on or after January 1, 1977 and
10788	10788	16 on or before January 1, 1986, and did not receive an increase
10789	10789	17 under subsection (a) before July 1, 1987, shall be increased
10790	10790	18 by 3% of the originally granted monthly pension for each full
10791	10791	19 year that has elapsed since the pension began, and by an
10792	10792	20 additional 3% of the originally granted pension in each
10793	10793	21 January thereafter. The increases provided under this
10794	10794	22 subsection are in lieu of the increases provided in subsection
10795	10795	23 (a).
10796	10796	24 (f) Notwithstanding the other provisions of this Section,
10797	10797	25 beginning with increases granted on or after July 1, 1993, the
10798	10798	26 second and all subsequent automatic annual increases granted
10799	10799
10800	10800
10801	10801
10802	10802
10803	10803
10804	10804	SB0002 - 301 - LRB104 07746 RPS 17791 b
10805	10805
10806	10806
10807	10807	SB0002- 302 -LRB104 07746 RPS 17791 b SB0002 - 302 - LRB104 07746 RPS 17791 b
10808	10808	SB0002 - 302 - LRB104 07746 RPS 17791 b
10809	10809	1 under subsection (a), (b), (d), or (e) of this Section shall be
10810	10810	2 calculated as 3% of the amount of pension payable at the time
10811	10811	3 of the increase, including any increases previously granted
10812	10812	4 under this Section, rather than 3% of the originally granted
10813	10813	5 pension amount. Section 1-103.1 does not apply to this
10814	10814	6 subsection (f).
10815	10815	7 (g) Notwithstanding any other provision of this Article,
10816	10816	8 the monthly pension of a person who first becomes a police
10817	10817	9 officer under this Article on or after January 1, 2011 shall be
10818	10818	10 increased on the January 1 occurring either on or after the
10819	10819	11 attainment of the retirement age applicable to that police
10820	10820	12 officer under this Article age 60 or the first anniversary of
10821	10821	13 the pension start date, whichever is later. Each annual
10822	10822	14 increase shall be calculated at 3% or one-half the annual
10823	10823	15 unadjusted percentage increase (but not less than zero) in the
10824	10824	16 consumer price index-u for the 12 months ending with the
10825	10825	17 September preceding each November 1, whichever is less, of the
10826	10826	18 originally granted pension. If the annual unadjusted
10827	10827	19 percentage change in the consumer price index-u for a 12-month
10828	10828	20 period ending in September is zero or, when compared with the
10829	10829	21 preceding period, decreases, then the pension shall not be
10830	10830	22 increased.
10831	10831	23 For the purposes of this subsection (g), "consumer price
10832	10832	24 index-u" means the index published by the Bureau of Labor
10833	10833	25 Statistics of the United States Department of Labor that
10834	10834	26 measures the average change in prices of goods and services
10835	10835
10836	10836
10837	10837
10838	10838
10839	10839
10840	10840	SB0002 - 302 - LRB104 07746 RPS 17791 b
10841	10841
10842	10842
10843	10843	SB0002- 303 -LRB104 07746 RPS 17791 b SB0002 - 303 - LRB104 07746 RPS 17791 b
10844	10844	SB0002 - 303 - LRB104 07746 RPS 17791 b
10845	10845	1 purchased by all urban consumers, United States city average,
10846	10846	2 all items, 1982-84 = 100. The new amount resulting from each
10847	10847	3 annual adjustment shall be determined by the Public Pension
10848	10848	4 Division of the Department of Insurance and made available to
10849	10849	5 the boards of the pension funds.
10850	10850	6 (Source: P.A. 96-1495, eff. 1-1-11.)
10851	10851	7 (40 ILCS 5/4-109) (from Ch. 108 1/2, par. 4-109)
10852	10852	8 Sec. 4-109. Pension.
10853	10853	9 (a) A firefighter age 50 or more with 20 or more years of
10854	10854	10 creditable service, who is no longer in service as a
10855	10855	11 firefighter, shall receive a monthly pension of 1/2 the
10856	10856	12 monthly salary attached to the rank held by him or her in the
10857	10857	13 fire service at the date of retirement.
10858	10858	14 The monthly pension shall be increased by 1/12 of 2.5% of
10859	10859	15 such monthly salary for each additional month over 20 years of
10860	10860	16 service through 30 years of service, to a maximum of 75% of
10861	10861	17 such monthly salary.
10862	10862	18 The changes made to this subsection (a) by this amendatory
10863	10863	19 Act of the 91st General Assembly apply to all pensions that
10864	10864	20 become payable under this subsection on or after January 1,
10865	10865	21 1999. All pensions payable under this subsection that began on
10866	10866	22 or after January 1, 1999 and before the effective date of this
10867	10867	23 amendatory Act shall be recalculated, and the amount of the
10868	10868	24 increase accruing for that period shall be payable to the
10869	10869	25 pensioner in a lump sum.
10870	10870
10871	10871
10872	10872
10873	10873
10874	10874
10875	10875	SB0002 - 303 - LRB104 07746 RPS 17791 b
10876	10876
10877	10877
10878	10878	SB0002- 304 -LRB104 07746 RPS 17791 b SB0002 - 304 - LRB104 07746 RPS 17791 b
10879	10879	SB0002 - 304 - LRB104 07746 RPS 17791 b
10880	10880	1 (b) A firefighter who retires or is separated from service
10881	10881	2 having at least 10 but less than 20 years of creditable
10882	10882	3 service, who is not entitled to receive a disability pension,
10883	10883	4 and who did not apply for a refund of contributions at his or
10884	10884	5 her last separation from service shall receive a monthly
10885	10885	6 pension upon attainment of age 60 based on the monthly salary
10886	10886	7 attached to his or her rank in the fire service on the date of
10887	10887	8 retirement or separation from service according to the
10888	10888	9 following schedule:
10889	10889	10 For 10 years of service, 15% of salary;
10890	10890	11 For 11 years of service, 17.6% of salary;
10891	10891	12 For 12 years of service, 20.4% of salary;
10892	10892	13 For 13 years of service, 23.4% of salary;
10893	10893	14 For 14 years of service, 26.6% of salary;
10894	10894	15 For 15 years of service, 30% of salary;
10895	10895	16 For 16 years of service, 33.6% of salary;
10896	10896	17 For 17 years of service, 37.4% of salary;
10897	10897	18 For 18 years of service, 41.4% of salary;
10898	10898	19 For 19 years of service, 45.6% of salary.
10899	10899	20 (c) Notwithstanding any other provision of this Article,
10900	10900	21 the provisions of this subsection (c) apply to a person who
10901	10901	22 first becomes a firefighter under this Article on or after
10902	10902	23 January 1, 2011.
10903	10903	24 A firefighter age 55 or more who has 10 or more years of
10904	10904	25 service in that capacity shall be entitled at his option to
10905	10905	26 receive a monthly pension for his service as a firefighter
10906	10906
10907	10907
10908	10908
10909	10909
10910	10910
10911	10911	SB0002 - 304 - LRB104 07746 RPS 17791 b
10912	10912
10913	10913
10914	10914	SB0002- 305 -LRB104 07746 RPS 17791 b SB0002 - 305 - LRB104 07746 RPS 17791 b
10915	10915	SB0002 - 305 - LRB104 07746 RPS 17791 b
10916	10916	1 computed by multiplying 2.5% for each year of such service by
10917	10917	2 his or her final average salary; except that, for a
10918	10918	3 firefighter who is in service on or after January 1, 2026, the
10919	10919	4 age and service eligibility requirements for a monthly pension
10920	10920	5 for service as a firefighter are the age and service
10921	10921	6 eligibility requirements applicable to a firefighter who first
10922	10922	7 became a firefighter on December 31, 2010.
10923	10923	8 The pension of a firefighter who is retiring after
10924	10924	9 attaining age 50 with 10 or more years of creditable service
10925	10925	10 shall be reduced by one-half of 1% for each month that the
10926	10926	11 firefighter's age is under age 55. This paragraph does not
10927	10927	12 apply to a firefighter who is in service on or after January 1,
10928	10928	13 2026.
10929	10929	14 The maximum pension under this subsection (c) shall be 75%
10930	10930	15 of final average salary.
10931	10931	16 For the purposes of this subsection (c), "final average
10932	10932	17 salary" means the greater of: (i) the average monthly salary
10933	10933	18 obtained by dividing the total salary of the firefighter
10934	10934	19 during the 48 consecutive months of service within the last 60
10935	10935	20 months of service in which the total salary was the highest by
10936	10936	21 the number of months of service in that period; or (ii) the
10937	10937	22 average monthly salary obtained by dividing the total salary
10938	10938	23 of the firefighter during the 96 consecutive months of service
10939	10939	24 within the last 120 months of service in which the total salary
10940	10940	25 was the highest by the number of months of service in that
10941	10941	26 period.
10942	10942
10943	10943
10944	10944
10945	10945
10946	10946
10947	10947	SB0002 - 305 - LRB104 07746 RPS 17791 b
10948	10948
10949	10949
10950	10950	SB0002- 306 -LRB104 07746 RPS 17791 b SB0002 - 306 - LRB104 07746 RPS 17791 b
10951	10951	SB0002 - 306 - LRB104 07746 RPS 17791 b
10952	10952	1 Beginning on January 1, 2011, for all purposes under this
10953	10953	2 Code (including without limitation the calculation of benefits
10954	10954	3 and employee contributions), the annual salary based on the
10955	10955	4 plan year of a member or participant to whom this Section
10956	10956	5 applies shall not exceed $106,800; however, that amount shall
10957	10957	6 annually thereafter be increased by the lesser of (i) 3% of
10958	10958	7 that amount, including all previous adjustments, or (ii) the
10959	10959	8 annual unadjusted percentage increase (but not less than zero)
10960	10960	9 in the consumer price index-u for the 12 months ending with the
10961	10961	10 September preceding each November 1, including all previous
10962	10962	11 adjustments.
10963	10963	12 Nothing in this amendatory Act of the 101st General
10964	10964	13 Assembly shall cause or otherwise result in any retroactive
10965	10965	14 adjustment of any employee contributions.
10966	10966	15 (Source: P.A. 101-610, eff. 1-1-20.)
10967	10967	16 (40 ILCS 5/4-109.1) (from Ch. 108 1/2, par. 4-109.1)
10968	10968	17 Sec. 4-109.1. Increase in pension.
10969	10969	18 (a) Except as provided in subsection (e), the monthly
10970	10970	19 pension of a firefighter who retires after July 1, 1971 and
10971	10971	20 prior to January 1, 1986, shall, upon either the first of the
10972	10972	21 month following the first anniversary of the date of
10973	10973	22 retirement if 60 years of age or over at retirement date, or
10974	10974	23 upon the first day of the month following attainment of age 60
10975	10975	24 if it occurs after the first anniversary of retirement, be
10976	10976	25 increased by 2% of the originally granted monthly pension and
10977	10977
10978	10978
10979	10979
10980	10980
10981	10981
10982	10982	SB0002 - 306 - LRB104 07746 RPS 17791 b
10983	10983
10984	10984
10985	10985	SB0002- 307 -LRB104 07746 RPS 17791 b SB0002 - 307 - LRB104 07746 RPS 17791 b
10986	10986	SB0002 - 307 - LRB104 07746 RPS 17791 b
10987	10987	1 by an additional 2% in each January thereafter. Effective
10988	10988	2 January 1976, the rate of the annual increase shall be 3% of
10989	10989	3 the originally granted monthly pension.
10990	10990	4 (b) The monthly pension of a firefighter who retired from
10991	10991	5 service with 20 or more years of service, on or before July 1,
10992	10992	6 1971, shall be increased, in January of the year following the
10993	10993	7 year of attaining age 65 or in January 1972, if then over age
10994	10994	8 65, by 2% of the originally granted monthly pension, for each
10995	10995	9 year the firefighter received pension payments. In each
10996	10996	10 January thereafter, he or she shall receive an additional
10997	10997	11 increase of 2% of the original monthly pension. Effective
10998	10998	12 January 1976, the rate of the annual increase shall be 3%.
10999	10999	13 (c) The monthly pension of a firefighter who is receiving
11000	11000	14 a disability pension under this Article shall be increased, in
11001	11001	15 January of the year following the year the firefighter attains
11002	11002	16 age 60, or in January 1974, if then over age 60, by 2% of the
11003	11003	17 originally granted monthly pension for each year he or she
11004	11004	18 received pension payments. In each January thereafter, the
11005	11005	19 firefighter shall receive an additional increase of 2% of the
11006	11006	20 original monthly pension. Effective January 1976, the rate of
11007	11007	21 the annual increase shall be 3%.
11008	11008	22 (c-1) On January 1, 1998, every child's disability benefit
11009	11009	23 payable on that date under Section 4-110 or 4-110.1 shall be
11010	11010	24 increased by an amount equal to 1/12 of 3% of the amount of the
11011	11011	25 benefit, multiplied by the number of months for which the
11012	11012	26 benefit has been payable. On each January 1 thereafter, every
11013	11013
11014	11014
11015	11015
11016	11016
11017	11017
11018	11018	SB0002 - 307 - LRB104 07746 RPS 17791 b
11019	11019
11020	11020
11021	11021	SB0002- 308 -LRB104 07746 RPS 17791 b SB0002 - 308 - LRB104 07746 RPS 17791 b
11022	11022	SB0002 - 308 - LRB104 07746 RPS 17791 b
11023	11023	1 child's disability benefit payable under Section 4-110 or
11024	11024	2 4-110.1 shall be increased by 3% of the amount of the benefit
11025	11025	3 then being paid, including any previous increases received
11026	11026	4 under this Article. These increases are not subject to any
11027	11027	5 limitation on the maximum benefit amount included in Section
11028	11028	6 4-110 or 4-110.1.
11029	11029	7 (c-2) On July 1, 2004, every pension payable to or on
11030	11030	8 behalf of a minor or disabled surviving child that is payable
11031	11031	9 on that date under Section 4-114 shall be increased by an
11032	11032	10 amount equal to 1/12 of 3% of the amount of the pension,
11033	11033	11 multiplied by the number of months for which the benefit has
11034	11034	12 been payable. On July 1, 2005, July 1, 2006, July 1, 2007, and
11035	11035	13 July 1, 2008, every pension payable to or on behalf of a minor
11036	11036	14 or disabled surviving child that is payable under Section
11037	11037	15 4-114 shall be increased by 3% of the amount of the pension
11038	11038	16 then being paid, including any previous increases received
11039	11039	17 under this Article. These increases are not subject to any
11040	11040	18 limitation on the maximum benefit amount included in Section
11041	11041	19 4-114.
11042	11042	20 (d) The monthly pension of a firefighter who retires after
11043	11043	21 January 1, 1986, shall, upon either the first of the month
11044	11044	22 following the first anniversary of the date of retirement if
11045	11045	23 55 years of age or over, or upon the first day of the month
11046	11046	24 following attainment of age 55 if it occurs after the first
11047	11047	25 anniversary of retirement, be increased by 1/12 of 3% of the
11048	11048	26 originally granted monthly pension for each full month that
11049	11049
11050	11050
11051	11051
11052	11052
11053	11053
11054	11054	SB0002 - 308 - LRB104 07746 RPS 17791 b
11055	11055
11056	11056
11057	11057	SB0002- 309 -LRB104 07746 RPS 17791 b SB0002 - 309 - LRB104 07746 RPS 17791 b
11058	11058	SB0002 - 309 - LRB104 07746 RPS 17791 b
11059	11059	1 has elapsed since the pension began, and by an additional 3% in
11060	11060	2 each January thereafter.
11061	11061	3 The changes made to this subsection (d) by this amendatory
11062	11062	4 Act of the 91st General Assembly apply to all initial
11063	11063	5 increases that become payable under this subsection on or
11064	11064	6 after January 1, 1999. All initial increases that became
11065	11065	7 payable under this subsection on or after January 1, 1999 and
11066	11066	8 before the effective date of this amendatory Act shall be
11067	11067	9 recalculated and the additional amount accruing for that
11068	11068	10 period, if any, shall be payable to the pensioner in a lump
11069	11069	11 sum.
11070	11070	12 (e) Notwithstanding the provisions of subsection (a), upon
11071	11071	13 the first day of the month following (1) the first anniversary
11072	11072	14 of the date of retirement, or (2) the attainment of age 55, or
11073	11073	15 (3) July 1, 1987, whichever occurs latest, the monthly pension
11074	11074	16 of a firefighter who retired on or after January 1, 1977 and on
11075	11075	17 or before January 1, 1986 and did not receive an increase under
11076	11076	18 subsection (a) before July 1, 1987, shall be increased by 3% of
11077	11077	19 the originally granted monthly pension for each full year that
11078	11078	20 has elapsed since the pension began, and by an additional 3% in
11079	11079	21 each January thereafter. The increases provided under this
11080	11080	22 subsection are in lieu of the increases provided in subsection
11081	11081	23 (a).
11082	11082	24 (f) In July 2009, the monthly pension of a firefighter who
11083	11083	25 retired before July 1, 1977 shall be recalculated and
11084	11084	26 increased to reflect the amount that the firefighter would
11085	11085
11086	11086
11087	11087
11088	11088
11089	11089
11090	11090	SB0002 - 309 - LRB104 07746 RPS 17791 b
11091	11091
11092	11092
11093	11093	SB0002- 310 -LRB104 07746 RPS 17791 b SB0002 - 310 - LRB104 07746 RPS 17791 b
11094	11094	SB0002 - 310 - LRB104 07746 RPS 17791 b
11095	11095	1 have received in July 2009 had the firefighter been receiving
11096	11096	2 a 3% compounded increase for each year he or she received
11097	11097	3 pension payments after January 1, 1986, plus any increases in
11098	11098	4 pension received for each year prior to January 1, 1986. In
11099	11099	5 each January thereafter, he or she shall receive an additional
11100	11100	6 increase of 3% of the amount of the pension then being paid.
11101	11101	7 The changes made to this Section by this amendatory Act of the
11102	11102	8 96th General Assembly apply without regard to whether the
11103	11103	9 firefighter was in service on or after its effective date.
11104	11104	10 (g) Notwithstanding any other provision of this Article,
11105	11105	11 the monthly pension of a person who first becomes a
11106	11106	12 firefighter under this Article on or after January 1, 2011
11107	11107	13 shall be increased on the January 1 occurring either on or
11108	11108	14 after the attainment of the retirement age applicable to that
11109	11109	15 firefighter under this Article age 60 or the first anniversary
11110	11110	16 of the pension start date, whichever is later. Each annual
11111	11111	17 increase shall be calculated at 3% or one-half the annual
11112	11112	18 unadjusted percentage increase (but not less than zero) in the
11113	11113	19 consumer price index-u for the 12 months ending with the
11114	11114	20 September preceding each November 1, whichever is less, of the
11115	11115	21 originally granted pension. If the annual unadjusted
11116	11116	22 percentage change in the consumer price index-u for a 12-month
11117	11117	23 period ending in September is zero or, when compared with the
11118	11118	24 preceding period, decreases, then the pension shall not be
11119	11119	25 increased.
11120	11120	26 For the purposes of this subsection (g), "consumer price
11121	11121
11122	11122
11123	11123
11124	11124
11125	11125
11126	11126	SB0002 - 310 - LRB104 07746 RPS 17791 b
11127	11127
11128	11128
11129	11129	SB0002- 311 -LRB104 07746 RPS 17791 b SB0002 - 311 - LRB104 07746 RPS 17791 b
11130	11130	SB0002 - 311 - LRB104 07746 RPS 17791 b
11131	11131	1 index-u" means the index published by the Bureau of Labor
11132	11132	2 Statistics of the United States Department of Labor that
11133	11133	3 measures the average change in prices of goods and services
11134	11134	4 purchased by all urban consumers, United States city average,
11135	11135	5 all items, 1982-84 = 100. The new amount resulting from each
11136	11136	6 annual adjustment shall be determined by the Public Pension
11137	11137	7 Division of the Department of Insurance and made available to
11138	11138	8 the boards of the pension funds.
11139	11139	9 (Source: P.A. 96-775, eff. 8-28-09; 96-1495, eff. 1-1-11.)
11140	11140	10 (40 ILCS 5/5-167.1) (from Ch. 108 1/2, par. 5-167.1)
11141	11141	11 Sec. 5-167.1. Automatic increase in annuity; retirement
11142	11142	12 from service after September 1, 1967.
11143	11143	13 (a) A policeman who retires from service after September
11144	11144	14 1, 1967 with at least 20 years of service credit shall, upon
11145	11145	15 either the first of the month following the first anniversary
11146	11146	16 of his date of retirement if he is age 55 or over on that
11147	11147	17 anniversary date, or upon the first of the month following his
11148	11148	18 attainment of age 55 if it occurs after the first anniversary
11149	11149	19 of his retirement date, have his then fixed and payable
11150	11150	20 monthly annuity increased by 3% and such first fixed annuity
11151	11151	21 as granted at retirement increased by an additional 3% in
11152	11152	22 January of each year thereafter.
11153	11153	23 Any policeman born before January 1, 1945 who qualifies
11154	11154	24 for a minimum annuity and retires after September 1, 1967 but
11155	11155	25 has not received the initial increase under this subsection
11156	11156
11157	11157
11158	11158
11159	11159
11160	11160
11161	11161	SB0002 - 311 - LRB104 07746 RPS 17791 b
11162	11162
11163	11163
11164	11164	SB0002- 312 -LRB104 07746 RPS 17791 b SB0002 - 312 - LRB104 07746 RPS 17791 b
11165	11165	SB0002 - 312 - LRB104 07746 RPS 17791 b
11166	11166	1 before January 1, 1996 is entitled to receive the initial
11167	11167	2 increase under this subsection on (1) January 1, 1996, (2) the
11168	11168	3 first anniversary of the date of retirement, or (3) attainment
11169	11169	4 of age 55, whichever occurs last. The changes to this Section
11170	11170	5 made by Public Act 89-12 apply beginning January 1, 1996 and
11171	11171	6 without regard to whether the policeman or annuitant
11172	11172	7 terminated service before the effective date of that Act.
11173	11173	8 Any policeman born before January 1, 1950 who qualifies
11174	11174	9 for a minimum annuity and retires after September 1, 1967 but
11175	11175	10 has not received the initial increase under this subsection
11176	11176	11 before January 1, 2000 is entitled to receive the initial
11177	11177	12 increase under this subsection on (1) January 1, 2000, (2) the
11178	11178	13 first anniversary of the date of retirement, or (3) attainment
11179	11179	14 of age 55, whichever occurs last. The changes to this Section
11180	11180	15 made by this amendatory Act of the 92nd General Assembly apply
11181	11181	16 without regard to whether the policeman or annuitant
11182	11182	17 terminated service before the effective date of this
11183	11183	18 amendatory Act.
11184	11184	19 Any policeman born before January 1, 1955 who qualifies
11185	11185	20 for a minimum annuity and retires after September 1, 1967 but
11186	11186	21 has not received the initial increase under this subsection
11187	11187	22 before January 1, 2005 is entitled to receive the initial
11188	11188	23 increase under this subsection on (1) January 1, 2005, (2) the
11189	11189	24 first anniversary of the date of retirement, or (3) attainment
11190	11190	25 of age 55, whichever occurs last. The changes to this Section
11191	11191	26 made by this amendatory Act of the 94th General Assembly apply
11192	11192
11193	11193
11194	11194
11195	11195
11196	11196
11197	11197	SB0002 - 312 - LRB104 07746 RPS 17791 b
11198	11198
11199	11199
11200	11200	SB0002- 313 -LRB104 07746 RPS 17791 b SB0002 - 313 - LRB104 07746 RPS 17791 b
11201	11201	SB0002 - 313 - LRB104 07746 RPS 17791 b
11202	11202	1 without regard to whether the policeman or annuitant
11203	11203	2 terminated service before the effective date of this
11204	11204	3 amendatory Act.
11205	11205	4 Any policeman born before January 1, 1966 who qualifies
11206	11206	5 for a minimum annuity and retires after September 1, 1967 but
11207	11207	6 has not received the initial increase under this subsection
11208	11208	7 before January 1, 2017 is entitled to receive an initial
11209	11209	8 increase under this subsection on (1) January 1, 2017, (2) the
11210	11210	9 first anniversary of the date of retirement, or (3) attainment
11211	11211	10 of age 55, whichever occurs last, in an amount equal to 3% for
11212	11212	11 each complete year following the date of retirement or
11213	11213	12 attainment of age 55, whichever occurs later. The changes to
11214	11214	13 this subsection made by this amendatory Act of the 99th
11215	11215	14 General Assembly apply without regard to whether the policeman
11216	11216	15 or annuitant terminated service before the effective date of
11217	11217	16 this amendatory Act.
11218	11218	17 Any policeman born on or after January 1, 1966 who
11219	11219	18 qualifies for a minimum annuity and retires after September 1,
11220	11220	19 1967 but has not received the initial increase under this
11221	11221	20 subsection before January 1, 2023 is entitled to receive the
11222	11222	21 initial increase under this subsection on (1) January 1, 2023,
11223	11223	22 (2) the first anniversary of the date of retirement, or (3)
11224	11224	23 attainment of age 55, whichever occurs last. The changes to
11225	11225	24 this Section made by this amendatory Act of the 103rd General
11226	11226	25 Assembly apply without regard to whether the policeman or
11227	11227	26 annuitant terminated service before the effective date of this
11228	11228
11229	11229
11230	11230
11231	11231
11232	11232
11233	11233	SB0002 - 313 - LRB104 07746 RPS 17791 b
11234	11234
11235	11235
11236	11236	SB0002- 314 -LRB104 07746 RPS 17791 b SB0002 - 314 - LRB104 07746 RPS 17791 b
11237	11237	SB0002 - 314 - LRB104 07746 RPS 17791 b
11238	11238	1 amendatory Act of the 103rd General Assembly.
11239	11239	2 (b) Subsection (a) of this Section is not applicable to an
11240	11240	3 employee receiving a term annuity.
11241	11241	4 (c) To help defray the cost of such increases in annuity,
11242	11242	5 there shall be deducted, beginning September 1, 1967, from
11243	11243	6 each payment of salary to a policeman, 1/2 of 1% of each salary
11244	11244	7 payment concurrently with and in addition to the salary
11245	11245	8 deductions otherwise made for annuity purposes.
11246	11246	9 The city, in addition to the contributions otherwise made
11247	11247	10 by it for annuity purposes under other provisions of this
11248	11248	11 Article, shall make matching contributions concurrently with
11249	11249	12 such salary deductions.
11250	11250	13 Each such 1/2 of 1% deduction from salary and each such
11251	11251	14 contribution by the city of 1/2 of 1% of salary shall be
11252	11252	15 credited to the Automatic Increase Reserve, to be used to
11253	11253	16 defray the cost of the annuity increase provided by this
11254	11254	17 Section. Any balance in such reserve as of the beginning of
11255	11255	18 each calendar year shall be credited with interest at the rate
11256	11256	19 of 3% per annum.
11257	11257	20 Such deductions from salary and city contributions shall
11258	11258	21 continue while the policeman is in service.
11259	11259	22 The salary deductions provided in this Section are not
11260	11260	23 subject to refund, except to the policeman himself, in any
11261	11261	24 case in which: (i) the policeman withdraws prior to
11262	11262	25 qualification for minimum annuity or Tier 2 monthly retirement
11263	11263	26 annuity and applies for refund, (ii) the policeman applies for
11264	11264
11265	11265
11266	11266
11267	11267
11268	11268
11269	11269	SB0002 - 314 - LRB104 07746 RPS 17791 b
11270	11270
11271	11271
11272	11272	SB0002- 315 -LRB104 07746 RPS 17791 b SB0002 - 315 - LRB104 07746 RPS 17791 b
11273	11273	SB0002 - 315 - LRB104 07746 RPS 17791 b
11274	11274	1 an annuity of a type that is not subject to annual increases
11275	11275	2 under this Section, or (iii) a term annuity becomes payable.
11276	11276	3 In such cases, the total of such salary deductions shall be
11277	11277	4 refunded to the policeman, without interest, and charged to
11278	11278	5 the Automatic Increase Reserve.
11279	11279	6 (d) Notwithstanding any other provision of this Article,
11280	11280	7 the Tier 2 monthly retirement annuity of a person who first
11281	11281	8 becomes a policeman under this Article on or after the
11282	11282	9 effective date of this amendatory Act of the 97th General
11283	11283	10 Assembly shall be increased on the January 1 occurring either
11284	11284	11 on or after (i) the attainment of the retirement age
11285	11285	12 applicable to that policeman under this Article age 60 or (ii)
11286	11286	13 the first anniversary of the annuity start date, whichever is
11287	11287	14 later. Each annual increase shall be calculated at 3% or
11288	11288	15 one-half the annual unadjusted percentage increase (but not
11289	11289	16 less than zero) in the consumer price index-u for the 12 months
11290	11290	17 ending with the September preceding each November 1, whichever
11291	11291	18 is less, of the originally granted retirement annuity. If the
11292	11292	19 annual unadjusted percentage change in the consumer price
11293	11293	20 index-u for a 12-month period ending in September is zero or,
11294	11294	21 when compared with the preceding period, decreases, then the
11295	11295	22 annuity shall not be increased.
11296	11296	23 For the purposes of this subsection (d), "consumer price
11297	11297	24 index-u" means the index published by the Bureau of Labor
11298	11298	25 Statistics of the United States Department of Labor that
11299	11299	26 measures the average change in prices of goods and services
11300	11300
11301	11301
11302	11302
11303	11303
11304	11304
11305	11305	SB0002 - 315 - LRB104 07746 RPS 17791 b
11306	11306
11307	11307
11308	11308	SB0002- 316 -LRB104 07746 RPS 17791 b SB0002 - 316 - LRB104 07746 RPS 17791 b
11309	11309	SB0002 - 316 - LRB104 07746 RPS 17791 b
11310	11310	1 purchased by all urban consumers, United States city average,
11311	11311	2 all items, 1982-84 = 100. The new amount resulting from each
11312	11312	3 annual adjustment shall be determined by the Public Pension
11313	11313	4 Division of the Department of Insurance and made available to
11314	11314	5 the boards of the pension funds by November 1 of each year.
11315	11315	6 (Source: P.A. 103-582, eff. 12-8-23.)
11316	11316	7 (40 ILCS 5/5-238)
11317	11317	8 Sec. 5-238. Provisions applicable to new hires; Tier 2.
11318	11318	9 (a) Notwithstanding any other provision of this Article,
11319	11319	10 the provisions of this Section apply to a person who first
11320	11320	11 becomes a policeman under this Article on or after January 1,
11321	11321	12 2011, and to certain qualified survivors of such a policeman.
11322	11322	13 Such persons, and the benefits and restrictions that apply
11323	11323	14 specifically to them under this Article, may be referred to as
11324	11324	15 "Tier 2".
11325	11325	16 (b) A policeman who has withdrawn from service, has
11326	11326	17 attained age 50 or more, and has 10 or more years of service in
11327	11327	18 that capacity shall be entitled, upon proper application being
11328	11328	19 received by the Fund, to receive a Tier 2 monthly retirement
11329	11329	20 annuity for his service as a police officer; except that, for a
11330	11330	21 policeman who is in service on or after January 1, 2026, the
11331	11331	22 age and service eligibility requirements for a Tier 2 monthly
11332	11332	23 retirement annuity for service as a police officer are the age
11333	11333	24 and service eligibility requirements applicable to a policeman
11334	11334	25 who first became a policeman on December 31, 2010. The Tier 2
11335	11335
11336	11336
11337	11337
11338	11338
11339	11339
11340	11340	SB0002 - 316 - LRB104 07746 RPS 17791 b
11341	11341
11342	11342
11343	11343	SB0002- 317 -LRB104 07746 RPS 17791 b SB0002 - 317 - LRB104 07746 RPS 17791 b
11344	11344	SB0002 - 317 - LRB104 07746 RPS 17791 b
11345	11345	1 monthly retirement annuity shall be computed by multiplying
11346	11346	2 2.5% for each year of such service by his or her final average
11347	11347	3 salary, subject to an annuity reduction factor of one-half of
11348	11348	4 1% for each month that the police officer's age at retirement
11349	11349	5 is under age 55. The annuity reduction factor does not apply to
11350	11350	6 a policeman who is in service on or after January 1, 2026. The
11351	11351	7 Tier 2 monthly retirement annuity is in lieu of any age and
11352	11352	8 service annuity or other form of retirement annuity under this
11353	11353	9 Article.
11354	11354	10 The maximum retirement annuity under this subsection (b)
11355	11355	11 shall be 75% of final average salary.
11356	11356	12 For the purposes of this subsection (b), "final average
11357	11357	13 salary" means the average monthly salary obtained by dividing
11358	11358	14 the total salary of the policeman during the 96 consecutive
11359	11359	15 months of service within the last 120 months of service in
11360	11360	16 which the total salary was the highest by the number of months
11361	11361	17 of service in that period.
11362	11362	18 Beginning on January 1, 2011, for all purposes under this
11363	11363	19 Code (including without limitation the calculation of benefits
11364	11364	20 and employee contributions), the annual salary based on the
11365	11365	21 plan year of a member or participant to whom this Section
11366	11366	22 applies shall not exceed $106,800; however, that amount shall
11367	11367	23 annually thereafter be increased by the lesser of (i) 3% of
11368	11368	24 that amount, including all previous adjustments, or (ii)
11369	11369	25 one-half the annual unadjusted percentage increase (but not
11370	11370	26 less than zero) in the consumer price index-u for the 12 months
11371	11371
11372	11372
11373	11373
11374	11374
11375	11375
11376	11376	SB0002 - 317 - LRB104 07746 RPS 17791 b
11377	11377
11378	11378
11379	11379	SB0002- 318 -LRB104 07746 RPS 17791 b SB0002 - 318 - LRB104 07746 RPS 17791 b
11380	11380	SB0002 - 318 - LRB104 07746 RPS 17791 b
11381	11381	1 ending with the September preceding each November 1, including
11382	11382	2 all previous adjustments.
11383	11383	3 (c) Notwithstanding any other provision of this Article,
11384	11384	4 for a person who first becomes a policeman under this Article
11385	11385	5 on or after January 1, 2011, eligibility for and the amount of
11386	11386	6 the annuity to which the qualified surviving spouse, children,
11387	11387	7 and parents are entitled under this subsection (c) shall be
11388	11388	8 determined as follows:
11389	11389	9 (1) The surviving spouse of a deceased policeman to
11390	11390	10 whom this Section applies shall be deemed qualified to
11391	11391	11 receive a Tier 2 surviving spouse's annuity under this
11392	11392	12 paragraph (1) if: (i) the deceased policeman meets the
11393	11393	13 requirements specified under subdivision (A), (B), (C), or
11394	11394	14 (D) of this paragraph (1); and (ii) the surviving spouse
11395	11395	15 would not otherwise be excluded from receiving a widow's
11396	11396	16 annuity under the eligibility requirements for a widow's
11397	11397	17 annuity set forth in Section 5-146. The Tier 2 surviving
11398	11398	18 spouse's annuity is in lieu of the widow's annuity
11399	11399	19 determined under any other Section of this Article and is
11400	11400	20 subject to the requirements of Section 5-147.1.
11401	11401	21 As used in this subsection (c), "earned annuity" means
11402	11402	22 a Tier 2 monthly retirement annuity determined under
11403	11403	23 subsection (b) of this Section, including any increases
11404	11404	24 the policeman had received pursuant to Section 5-167.1.
11405	11405	25 (A) If the deceased policeman was receiving an
11406	11406	26 earned annuity at the date of his or her death, the
11407	11407
11408	11408
11409	11409
11410	11410
11411	11411
11412	11412	SB0002 - 318 - LRB104 07746 RPS 17791 b
11413	11413
11414	11414
11415	11415	SB0002- 319 -LRB104 07746 RPS 17791 b SB0002 - 319 - LRB104 07746 RPS 17791 b
11416	11416	SB0002 - 319 - LRB104 07746 RPS 17791 b
11417	11417	1 Tier 2 surviving spouse's annuity under this paragraph
11418	11418	2 (1) shall be in the amount of 66 2/3% of the
11419	11419	3 policeman's earned annuity at the date of death.
11420	11420	4 (B) If the deceased policeman was not receiving an
11421	11421	5 earned annuity but had at least 10 years of service at
11422	11422	6 the time of death, the Tier 2 surviving spouse's
11423	11423	7 annuity under this paragraph (1) shall be the greater
11424	11424	8 of: (i) 30% of the annual maximum salary attached to
11425	11425	9 the classified civil service position of a first class
11426	11426	10 patrolman at the time of his death; or (ii) 66 2/3% of
11427	11427	11 the Tier 2 monthly retirement annuity that the
11428	11428	12 deceased policeman would have been eligible to receive
11429	11429	13 under subsection (b) of this Section, based upon the
11430	11430	14 actual service accrued through the day before the
11431	11431	15 policeman's death, but determined as though the
11432	11432	16 policeman was at least age 55 on the day before his or
11433	11433	17 her death and retired on that day.
11434	11434	18 (C) If the deceased policeman was an active
11435	11435	19 policeman with at least 1 1/2 but less than 10 years of
11436	11436	20 service at the time of death, the Tier 2 surviving
11437	11437	21 spouse's annuity under this paragraph (1) shall be in
11438	11438	22 the amount of 30% of the annual maximum salary
11439	11439	23 attached to the classified civil service position of a
11440	11440	24 first class patrolman at the time of his death.
11441	11441	25 (D) If the performance of an act or acts of duty
11442	11442	26 results directly in the death of a policeman subject
11443	11443
11444	11444
11445	11445
11446	11446
11447	11447
11448	11448	SB0002 - 319 - LRB104 07746 RPS 17791 b
11449	11449
11450	11450
11451	11451	SB0002- 320 -LRB104 07746 RPS 17791 b SB0002 - 320 - LRB104 07746 RPS 17791 b
11452	11452	SB0002 - 320 - LRB104 07746 RPS 17791 b
11453	11453	1 to this Section, or prevents him from subsequently
11454	11454	2 resuming active service in the police department, and
11455	11455	3 if the policeman's Tier 2 surviving spouse would
11456	11456	4 otherwise meet the eligibility requirements for a
11457	11457	5 compensation annuity or supplemental annuity granted
11458	11458	6 under Section 5-144, then in addition to the Tier 2
11459	11459	7 surviving spouse's annuity provided under subdivision
11460	11460	8 (A), (B), or (C) of this paragraph (1), whichever
11461	11461	9 applies, the Tier 2 surviving spouse shall be
11462	11462	10 qualified to receive compensation annuity or
11463	11463	11 supplemental annuity, as would be provided under
11464	11464	12 Section 5-144, in order to bring the total benefit up
11465	11465	13 to the applicable 75% salary limitation provided in
11466	11466	14 that Section, but subject to the Tier 2 salary cap
11467	11467	15 provided under subsection (b) of this Section; except
11468	11468	16 that no such annuity shall be paid to the surviving
11469	11469	17 spouse of a policeman who dies while in receipt of
11470	11470	18 disability benefits when the policeman's death was
11471	11471	19 caused by an intervening illness or injury unrelated
11472	11472	20 to the illness or injury that had prevented him from
11473	11473	21 subsequently resuming active service in the police
11474	11474	22 department.
11475	11475	23 (E) Notwithstanding any other provision of this
11476	11476	24 Article, the monthly Tier 2 surviving spouse's annuity
11477	11477	25 under subdivision (A) or (B) of this paragraph (1)
11478	11478	26 shall be increased on the January 1 next occurring
11479	11479
11480	11480
11481	11481
11482	11482
11483	11483
11484	11484	SB0002 - 320 - LRB104 07746 RPS 17791 b
11485	11485
11486	11486
11487	11487	SB0002- 321 -LRB104 07746 RPS 17791 b SB0002 - 321 - LRB104 07746 RPS 17791 b
11488	11488	SB0002 - 321 - LRB104 07746 RPS 17791 b
11489	11489	1 after (i) attainment of age 60 by the recipient of the
11490	11490	2 Tier 2 surviving spouse's annuity or (ii) the first
11491	11491	3 anniversary of the Tier 2 surviving spouse's annuity
11492	11492	4 start date, whichever is later, and on each January 1
11493	11493	5 thereafter, by 3% or one-half the annual unadjusted
11494	11494	6 percentage increase (but not less than zero) in the
11495	11495	7 consumer price index-u for the 12 months ending with
11496	11496	8 the September preceding each November 1, whichever is
11497	11497	9 less, of the originally granted Tier 2 surviving
11498	11498	10 spouse's annuity. If the unadjusted percentage change
11499	11499	11 in the consumer price index-u for a 12-month period
11500	11500	12 ending in September is zero or, when compared with the
11501	11501	13 preceding period, decreases, then the annuity shall
11502	11502	14 not be increased.
11503	11503	15 For the purposes of this Section, "consumer price
11504	11504	16 index-u" means the index published by the Bureau of
11505	11505	17 Labor Statistics of the United States Department of
11506	11506	18 Labor that measures the average change in prices of
11507	11507	19 goods and services purchased by all urban consumers,
11508	11508	20 United States city average, all items, 1982-84 = 100.
11509	11509	21 The new amount resulting from each annual adjustment
11510	11510	22 shall be determined by the Public Pension Division of
11511	11511	23 the Department of Insurance and made available to the
11512	11512	24 boards of the pension funds.
11513	11513	25 (F) Notwithstanding the other provisions of this
11514	11514	26 paragraph (1), for a qualified surviving spouse who is
11515	11515
11516	11516
11517	11517
11518	11518
11519	11519
11520	11520	SB0002 - 321 - LRB104 07746 RPS 17791 b
11521	11521
11522	11522
11523	11523	SB0002- 322 -LRB104 07746 RPS 17791 b SB0002 - 322 - LRB104 07746 RPS 17791 b
11524	11524	SB0002 - 322 - LRB104 07746 RPS 17791 b
11525	11525	1 entitled to a Tier 2 surviving spouse's annuity under
11526	11526	2 subdivision (A), (B), (C), or (D) of this paragraph
11527	11527	3 (1), that Tier 2 surviving spouse's annuity shall not
11528	11528	4 be less than the amount of the minimum widow's annuity
11529	11529	5 established from time to time under Section 5-167.4.
11530	11530	6 (2) Surviving children of a deceased policeman subject
11531	11531	7 to this Section who would otherwise meet the eligibility
11532	11532	8 requirements for a child's annuity set forth in Sections
11533	11533	9 5-151 and 5-152 shall be deemed qualified to receive a
11534	11534	10 Tier 2 child's annuity under this subsection (c), which
11535	11535	11 shall be in lieu of, but in the same amount and paid in the
11536	11536	12 same manner as, the child's annuity provided under those
11537	11537	13 Sections; except that any salary used for computing a Tier
11538	11538	14 2 child's annuity shall be subject to the Tier 2 salary cap
11539	11539	15 provided under subsection (b) of this Section. For
11540	11540	16 purposes of determining any pro rata reduction in child's
11541	11541	17 annuities under this subsection (c), references in Section
11542	11542	18 5-152 to the combined annuities of the family shall be
11543	11543	19 deemed to refer to the combined Tier 2 surviving spouse's
11544	11544	20 annuity, if any, and the Tier 2 child's annuities payable
11545	11545	21 under this subsection (c).
11546	11546	22 (3) Surviving parents of a deceased policeman subject
11547	11547	23 to this Section who would otherwise meet the eligibility
11548	11548	24 requirements for a parent's annuity set forth in Section
11549	11549	25 5-152 shall be deemed qualified to receive a Tier 2
11550	11550	26 parent's annuity under this subsection (c), which shall be
11551	11551
11552	11552
11553	11553
11554	11554
11555	11555
11556	11556	SB0002 - 322 - LRB104 07746 RPS 17791 b
11557	11557
11558	11558
11559	11559	SB0002- 323 -LRB104 07746 RPS 17791 b SB0002 - 323 - LRB104 07746 RPS 17791 b
11560	11560	SB0002 - 323 - LRB104 07746 RPS 17791 b
11561	11561	1 in lieu of, but in the same amount and paid in the same
11562	11562	2 manner as, the parent's annuity provided under Section
11563	11563	3 5-152.1; except that any salary used for computing a Tier
11564	11564	4 2 parent's annuity shall be subject to the Tier 2 salary
11565	11565	5 cap provided under subsection (b) of this Section. For the
11566	11566	6 purposes of this Section, a reference to "annuity" in
11567	11567	7 Section 5-152.1 includes: (i) in the context of a widow, a
11568	11568	8 Tier 2 surviving spouse's annuity and (ii) in the context
11569	11569	9 of a child, a Tier 2 child's annuity.
11570	11570	10 (d) The General Assembly finds and declares that the
11571	11571	11 provisions of this Section, as enacted by Public Act 96-1495,
11572	11572	12 require clarification relating to necessary eligibility
11573	11573	13 standards and the manner of determining and paying the
11574	11574	14 intended Tier 2 benefits and contributions in order to enable
11575	11575	15 the Fund to unambiguously implement and administer benefits
11576	11576	16 for Tier 2 members. The changes to this Section and the
11577	11577	17 conforming changes to Sections 5-153, 5-155, 5-163, 5-167.1
11578	11578	18 (except for the changes to subsection (a) of that Section),
11579	11579	19 5-169, and 5-170 made by this amendatory Act of the 99th
11580	11580	20 General Assembly are enacted to clarify the provisions of this
11581	11581	21 Section as enacted by Public Act 96-1495, and are hereby
11582	11582	22 declared to represent and be consistent with the original and
11583	11583	23 continuing intent of this Section and Public Act 96-1495.
11584	11584	24 (e) The changes to Sections 5-153, 5-155, 5-163, 5-167.1
11585	11585	25 (except for the changes to subsection (a) of that Section),
11586	11586	26 5-169, and 5-170 made by this amendatory Act of the 99th
11587	11587
11588	11588
11589	11589
11590	11590
11591	11591
11592	11592	SB0002 - 323 - LRB104 07746 RPS 17791 b
11593	11593
11594	11594
11595	11595	SB0002- 324 -LRB104 07746 RPS 17791 b SB0002 - 324 - LRB104 07746 RPS 17791 b
11596	11596	SB0002 - 324 - LRB104 07746 RPS 17791 b
11597	11597	1 General Assembly are intended to be retroactive to January 1,
11598	11598	2 2011 (the effective date of Public Act 96-1495) and, for the
11599	11599	3 purposes of Section 1-103.1 of this Code, they apply without
11600	11600	4 regard to whether the relevant policeman was in service on or
11601	11601	5 after the effective date of this amendatory Act of the 99th
11602	11602	6 General Assembly.
11603	11603	7 (Source: P.A. 99-905, eff. 11-29-16.)
11604	11604	8 (40 ILCS 5/6-164) (from Ch. 108 1/2, par. 6-164)
11605	11605	9 Sec. 6-164. Automatic annual increase; retirement after
11606	11606	10 September 1, 1959.
11607	11607	11 (a) A fireman qualifying for a minimum annuity who retires
11608	11608	12 from service after September 1, 1959 shall, upon either the
11609	11609	13 first of the month following the first anniversary of his date
11610	11610	14 of retirement if he is age 55 or over on that anniversary date,
11611	11611	15 or upon the first of the month following his attainment of age
11612	11612	16 55 if that occurs after the first anniversary of his
11613	11613	17 retirement date, have his then fixed and payable monthly
11614	11614	18 annuity increased by 1 1/2%, and such first fixed annuity as
11615	11615	19 granted at retirement increased by an additional 1 1/2% in
11616	11616	20 January of each year thereafter up to a maximum increase of
11617	11617	21 30%. Beginning July 1, 1982 for firemen born before January 1,
11618	11618	22 1930, and beginning January 1, 1990 for firemen born after
11619	11619	23 December 31, 1929 and before January 1, 1940, and beginning
11620	11620	24 January 1, 1996 for firemen born after December 31, 1939 but
11621	11621	25 before January 1, 1945, and beginning January 1, 2004, for
11622	11622
11623	11623
11624	11624
11625	11625
11626	11626
11627	11627	SB0002 - 324 - LRB104 07746 RPS 17791 b
11628	11628
11629	11629
11630	11630	SB0002- 325 -LRB104 07746 RPS 17791 b SB0002 - 325 - LRB104 07746 RPS 17791 b
11631	11631	SB0002 - 325 - LRB104 07746 RPS 17791 b
11632	11632	1 firemen born after December 31, 1944 but before January 1,
11633	11633	2 1955, and beginning January 1, 2017, for firemen born after
11634	11634	3 December 31, 1954, such increases shall be 3% and such firemen
11635	11635	4 shall not be subject to the 30% maximum increase.
11636	11636	5 Any fireman born before January 1, 1945 who qualifies for
11637	11637	6 a minimum annuity and retires after September 1, 1967 but has
11638	11638	7 not received the initial increase under this subsection before
11639	11639	8 January 1, 1996 is entitled to receive the initial increase
11640	11640	9 under this subsection on (1) January 1, 1996, (2) the first
11641	11641	10 anniversary of the date of retirement, or (3) attainment of
11642	11642	11 age 55, whichever occurs last. The changes to this Section
11643	11643	12 made by this amendatory Act of 1995 apply beginning January 1,
11644	11644	13 1996 and apply without regard to whether the fireman or
11645	11645	14 annuitant terminated service before the effective date of this
11646	11646	15 amendatory Act of 1995.
11647	11647	16 Any fireman born before January 1, 1955 who qualifies for
11648	11648	17 a minimum annuity and retires after September 1, 1967 but has
11649	11649	18 not received the initial increase under this subsection before
11650	11650	19 January 1, 2004 is entitled to receive the initial increase
11651	11651	20 under this subsection on (1) January 1, 2004, (2) the first
11652	11652	21 anniversary of the date of retirement, or (3) attainment of
11653	11653	22 age 55, whichever occurs last. The changes to this Section
11654	11654	23 made by this amendatory Act of the 93rd General Assembly apply
11655	11655	24 without regard to whether the fireman or annuitant terminated
11656	11656	25 service before the effective date of this amendatory Act.
11657	11657	26 Any fireman born after December 31, 1954 but before
11658	11658
11659	11659
11660	11660
11661	11661
11662	11662
11663	11663	SB0002 - 325 - LRB104 07746 RPS 17791 b
11664	11664
11665	11665
11666	11666	SB0002- 326 -LRB104 07746 RPS 17791 b SB0002 - 326 - LRB104 07746 RPS 17791 b
11667	11667	SB0002 - 326 - LRB104 07746 RPS 17791 b
11668	11668	1 January 1, 1966 who qualifies for a minimum annuity and
11669	11669	2 retires after September 1, 1967 is entitled to receive an
11670	11670	3 increase under this subsection on (1) January 1, 2017, (2) the
11671	11671	4 first anniversary of the date of retirement, or (3) attainment
11672	11672	5 of age 55, whichever occurs last, in an amount equal to an
11673	11673	6 increase of 3% of his then fixed and payable monthly annuity
11674	11674	7 upon the first of the month following the first anniversary of
11675	11675	8 his date of retirement if he is age 55 or over on that
11676	11676	9 anniversary date or upon the first of the month following his
11677	11677	10 attainment of age 55 if that date occurs after the first
11678	11678	11 anniversary of his retirement date and such first fixed
11679	11679	12 annuity as granted at retirement shall be increased by an
11680	11680	13 additional 3% in January of each year thereafter. In the case
11681	11681	14 of a fireman born after December 31, 1954 but before January 1,
11682	11682	15 1966 who received an increase in any year of 1.5%, that fireman
11683	11683	16 shall receive an increase for any such year so that the total
11684	11684	17 increase is equal to 3% for each year the fireman would have
11685	11685	18 been otherwise eligible had the fireman not received any
11686	11686	19 increase. The changes to this subsection made by this
11687	11687	20 amendatory Act of the 99th General Assembly apply without
11688	11688	21 regard to whether the fireman or annuitant terminated service
11689	11689	22 before the effective date of this amendatory Act. The changes
11690	11690	23 to this subsection made by this amendatory Act of the 100th
11691	11691	24 General Assembly are a declaration of existing law and shall
11692	11692	25 not be construed as a new enactment.
11693	11693	26 Any fireman who qualifies for a minimum annuity and
11694	11694
11695	11695
11696	11696
11697	11697
11698	11698
11699	11699	SB0002 - 326 - LRB104 07746 RPS 17791 b
11700	11700
11701	11701
11702	11702	SB0002- 327 -LRB104 07746 RPS 17791 b SB0002 - 327 - LRB104 07746 RPS 17791 b
11703	11703	SB0002 - 327 - LRB104 07746 RPS 17791 b
11704	11704	1 retires after September 1, 1967 is entitled to receive an
11705	11705	2 increase under this subsection on (1) January 1, 2020, (2) the
11706	11706	3 first anniversary of the date of retirement, or (3) attainment
11707	11707	4 of age 55, whichever occurs last, in an amount equal to an
11708	11708	5 increase of 3% of his or her then fixed and payable monthly
11709	11709	6 annuity upon the first of the month following the first
11710	11710	7 anniversary of his or her date of retirement if he or she is
11711	11711	8 age 55 or over on that anniversary date or upon the first of
11712	11712	9 the month following his or her attainment of age 55 if that
11713	11713	10 date occurs after the first anniversary of his or her
11714	11714	11 retirement date and such first fixed annuity as granted at
11715	11715	12 retirement shall be increased by an additional 3% in January
11716	11716	13 of each year thereafter. In the case of a fireman who received
11717	11717	14 an increase in any year of 1.5%, that fireman shall receive an
11718	11718	15 increase for any such year so that the total increase is equal
11719	11719	16 to 3% for each year the fireman would have been otherwise
11720	11720	17 eligible had the fireman not received any increase. The
11721	11721	18 changes to this subsection made by this amendatory Act of the
11722	11722	19 101st General Assembly apply without regard to whether the
11723	11723	20 fireman or annuitant terminated service before the effective
11724	11724	21 date of this amendatory Act of the 101st General Assembly.
11725	11725	22 (b) Subsection (a) of this Section is not applicable to an
11726	11726	23 employee receiving a term annuity.
11727	11727	24 (c) To help defray the cost of such increases in annuity,
11728	11728	25 there shall be deducted, beginning September 1, 1959, from
11729	11729	26 each payment of salary to a fireman, 1/8 of 1% of each such
11730	11730
11731	11731
11732	11732
11733	11733
11734	11734
11735	11735	SB0002 - 327 - LRB104 07746 RPS 17791 b
11736	11736
11737	11737
11738	11738	SB0002- 328 -LRB104 07746 RPS 17791 b SB0002 - 328 - LRB104 07746 RPS 17791 b
11739	11739	SB0002 - 328 - LRB104 07746 RPS 17791 b
11740	11740	1 salary payment and an additional 1/8 of 1% beginning on
11741	11741	2 September 1, 1961, and September 1, 1963, respectively,
11742	11742	3 concurrently with and in addition to the salary deductions
11743	11743	4 otherwise made for annuity purposes.
11744	11744	5 Each such additional 1/8 of 1% deduction from salary which
11745	11745	6 shall, on September 1, 1963, result in a total increase of 3/8
11746	11746	7 of 1% of salary, shall be credited to the Automatic Increase
11747	11747	8 Reserve, to be used, together with city contributions as
11748	11748	9 provided in this Article, to defray the cost of the annuity
11749	11749	10 increments specified in this Section. Any balance in such
11750	11750	11 reserve as of the beginning of each calendar year shall be
11751	11751	12 credited with interest at the rate of 3% per annum.
11752	11752	13 The salary deductions provided in this Section are not
11753	11753	14 subject to refund, except to the fireman himself in any case in
11754	11754	15 which: (i) the fireman withdraws prior to qualification for
11755	11755	16 minimum annuity or Tier 2 monthly retirement annuity and
11756	11756	17 applies for refund, (ii) the fireman applies for an annuity of
11757	11757	18 a type that is not subject to annual increases under this
11758	11758	19 Section, or (iii) a term annuity becomes payable. In such
11759	11759	20 cases, the total of such salary deductions shall be refunded
11760	11760	21 to the fireman, without interest, and charged to the
11761	11761	22 aforementioned reserve.
11762	11762	23 (d) Notwithstanding any other provision of this Article,
11763	11763	24 the Tier 2 monthly retirement annuity of a person who first
11764	11764	25 becomes a fireman under this Article on or after January 1,
11765	11765	26 2011 shall be increased on the January 1 occurring either on or
11766	11766
11767	11767
11768	11768
11769	11769
11770	11770
11771	11771	SB0002 - 328 - LRB104 07746 RPS 17791 b
11772	11772
11773	11773
11774	11774	SB0002- 329 -LRB104 07746 RPS 17791 b SB0002 - 329 - LRB104 07746 RPS 17791 b
11775	11775	SB0002 - 329 - LRB104 07746 RPS 17791 b
11776	11776	1 after (i) the attainment of the retirement age applicable to
11777	11777	2 that fireman under this Article age 60 or (ii) the first
11778	11778	3 anniversary of the annuity start date, whichever is later.
11779	11779	4 Each annual increase shall be calculated at 3% or one-half the
11780	11780	5 annual unadjusted percentage increase (but not less than zero)
11781	11781	6 in the consumer price index-u for the 12 months ending with the
11782	11782	7 September preceding each November 1, whichever is less, of the
11783	11783	8 originally granted retirement annuity. If the annual
11784	11784	9 unadjusted percentage change in the consumer price index-u for
11785	11785	10 a 12-month period ending in September is zero or, when
11786	11786	11 compared with the preceding period, decreases, then the
11787	11787	12 annuity shall not be increased.
11788	11788	13 For the purposes of this subsection (d), "consumer price
11789	11789	14 index-u" means the index published by the Bureau of Labor
11790	11790	15 Statistics of the United States Department of Labor that
11791	11791	16 measures the average change in prices of goods and services
11792	11792	17 purchased by all urban consumers, United States city average,
11793	11793	18 all items, 1982-84 = 100. The new amount resulting from each
11794	11794	19 annual adjustment shall be determined by the Public Pension
11795	11795	20 Division of the Department of Insurance and made available to
11796	11796	21 the boards of the pension funds by November 1 of each year.
11797	11797	22 (Source: P.A. 100-23, eff. 7-6-17; 100-539, eff. 11-7-17;
11798	11798	23 101-673, eff. 4-5-21.)
11799	11799	24 (40 ILCS 5/6-229)
11800	11800	25 Sec. 6-229. Provisions applicable to new hires; Tier 2.
11801	11801
11802	11802
11803	11803
11804	11804
11805	11805
11806	11806	SB0002 - 329 - LRB104 07746 RPS 17791 b
11807	11807
11808	11808
11809	11809	SB0002- 330 -LRB104 07746 RPS 17791 b SB0002 - 330 - LRB104 07746 RPS 17791 b
11810	11810	SB0002 - 330 - LRB104 07746 RPS 17791 b
11811	11811	1 (a) Notwithstanding any other provision of this Article,
11812	11812	2 the provisions of this Section apply to a person who first
11813	11813	3 becomes a fireman under this Article on or after January 1,
11814	11814	4 2011, and to certain qualified survivors of such a fireman.
11815	11815	5 Such persons, and the benefits and restrictions that apply
11816	11816	6 specifically to them under this Article, may be referred to as
11817	11817	7 "Tier 2".
11818	11818	8 (b) A fireman who has withdrawn from service, has attained
11819	11819	9 age 50 or more, and has 10 or more years of service in that
11820	11820	10 capacity shall be entitled, upon proper application being
11821	11821	11 received by the Fund, to receive a Tier 2 monthly retirement
11822	11822	12 annuity for his service as a fireman; except that, for a
11823	11823	13 fireman who is in service on or after January 1, 2026, the age
11824	11824	14 and service eligibility requirements for a Tier 2 monthly
11825	11825	15 retirement annuity for service as a fireman are the age and
11826	11826	16 service eligibility requirements applicable to a fireman who
11827	11827	17 first became a fireman on December 31, 2010. The Tier 2 monthly
11828	11828	18 retirement annuity shall be computed by multiplying 2.5% for
11829	11829	19 each year of such service by his or her final average salary,
11830	11830	20 subject to an annuity reduction factor of one-half of 1% for
11831	11831	21 each month that the fireman's age at retirement is under age
11832	11832	22 55. The annuity reduction factor does not apply to a policeman
11833	11833	23 who is in service on or after January 1, 2026. The Tier 2
11834	11834	24 monthly retirement annuity is in lieu of any age and service
11835	11835	25 annuity or other form of retirement annuity under this
11836	11836	26 Article.
11837	11837
11838	11838
11839	11839
11840	11840
11841	11841
11842	11842	SB0002 - 330 - LRB104 07746 RPS 17791 b
11843	11843
11844	11844
11845	11845	SB0002- 331 -LRB104 07746 RPS 17791 b SB0002 - 331 - LRB104 07746 RPS 17791 b
11846	11846	SB0002 - 331 - LRB104 07746 RPS 17791 b
11847	11847	1 The maximum retirement annuity under this subsection (b)
11848	11848	2 shall be 75% of final average salary.
11849	11849	3 For the purposes of this subsection (b), "final average
11850	11850	4 salary" means the greater of (1) the average monthly salary
11851	11851	5 obtained by dividing the total salary of the fireman during
11852	11852	6 the 96 consecutive months of service within the last 120
11853	11853	7 months of service in which the total salary was the highest by
11854	11854	8 the number of months of service in that period or (2) the
11855	11855	9 average monthly salary obtained by dividing the total salary
11856	11856	10 of the fireman during the 48 consecutive months of service
11857	11857	11 within the last 60 months of service in which the total salary
11858	11858	12 was the highest by the number of months of service in that
11859	11859	13 period.
11860	11860	14 Beginning on January 1, 2011, for all purposes under this
11861	11861	15 Code (including without limitation the calculation of benefits
11862	11862	16 and employee contributions), the annual salary based on the
11863	11863	17 plan year of a member or participant to whom this Section
11864	11864	18 applies shall not exceed $106,800; however, that amount shall
11865	11865	19 annually thereafter be increased by the lesser of (i) 3% of
11866	11866	20 that amount, including all previous adjustments, or (ii)
11867	11867	21 one-half the annual unadjusted percentage increase (but not
11868	11868	22 less than zero) in the consumer price index-u for the 12 months
11869	11869	23 ending with the September preceding each November 1, including
11870	11870	24 all previous adjustments.
11871	11871	25 (b-5) For the purposes of this Section, "consumer price
11872	11872	26 index-u" means the index published by the Bureau of Labor
11873	11873
11874	11874
11875	11875
11876	11876
11877	11877
11878	11878	SB0002 - 331 - LRB104 07746 RPS 17791 b
11879	11879
11880	11880
11881	11881	SB0002- 332 -LRB104 07746 RPS 17791 b SB0002 - 332 - LRB104 07746 RPS 17791 b
11882	11882	SB0002 - 332 - LRB104 07746 RPS 17791 b
11883	11883	1 Statistics of the United States Department of Labor that
11884	11884	2 measures the average change in prices of goods and services
11885	11885	3 purchased by all urban consumers, United States city average,
11886	11886	4 all items, 1982-84 = 100. The new amount resulting from each
11887	11887	5 annual adjustment shall be determined by the Public Pension
11888	11888	6 Division of the Department of Insurance and made available to
11889	11889	7 the boards of the retirement systems and pension funds by
11890	11890	8 November 1 of each year.
11891	11891	9 (c) Notwithstanding any other provision of this Article,
11892	11892	10 for a person who first becomes a fireman under this Article on
11893	11893	11 or after January 1, 2011, eligibility for and the amount of the
11894	11894	12 annuity to which the qualified surviving spouse, children, and
11895	11895	13 parents of the fireman are entitled under this subsection (c)
11896	11896	14 shall be determined as follows:
11897	11897	15 (1) The surviving spouse of a deceased fireman to whom
11898	11898	16 this Section applies shall be deemed qualified to receive
11899	11899	17 a Tier 2 surviving spouse's annuity under this paragraph
11900	11900	18 (1) if: (i) the deceased fireman meets the requirements
11901	11901	19 specified under subdivision (A), (B), (C), or (D) of this
11902	11902	20 paragraph (1); and (ii) the surviving spouse would not
11903	11903	21 otherwise be excluded from receiving a widow's annuity
11904	11904	22 under the eligibility requirements for a widow's annuity
11905	11905	23 set forth in Section 6-142. The Tier 2 surviving spouse's
11906	11906	24 annuity is in lieu of the widow's annuity determined under
11907	11907	25 any other Section of this Article and is subject to the
11908	11908	26 requirements of Section 6-143.2.
11909	11909
11910	11910
11911	11911
11912	11912
11913	11913
11914	11914	SB0002 - 332 - LRB104 07746 RPS 17791 b
11915	11915
11916	11916
11917	11917	SB0002- 333 -LRB104 07746 RPS 17791 b SB0002 - 333 - LRB104 07746 RPS 17791 b
11918	11918	SB0002 - 333 - LRB104 07746 RPS 17791 b
11919	11919	1 As used in this subsection (c), "earned pension" means
11920	11920	2 a Tier 2 monthly retirement annuity determined under
11921	11921	3 subsection (b) of this Section, including any increases
11922	11922	4 the fireman had received pursuant to Section 6-164.
11923	11923	5 (A) If the deceased fireman was receiving an
11924	11924	6 earned pension at the date of his or her death, the
11925	11925	7 Tier 2 surviving spouse's annuity under this paragraph
11926	11926	8 (1) shall be in the amount of 66 2/3% of the fireman's
11927	11927	9 earned pension at the date of death.
11928	11928	10 (B) If the deceased fireman was not receiving an
11929	11929	11 earned pension but had at least 10 years of service at
11930	11930	12 the time of death, the Tier 2 surviving spouse's
11931	11931	13 annuity under this paragraph (1) shall be the greater
11932	11932	14 of: (i) 30% of the salary attached to the rank of first
11933	11933	15 class firefighter in the classified career service at
11934	11934	16 the time of the fireman's death; or (ii) 66 2/3% of the
11935	11935	17 Tier 2 monthly retirement annuity that the deceased
11936	11936	18 fireman would have been eligible to receive under
11937	11937	19 subsection (b) of this Section, based upon the actual
11938	11938	20 service accrued through the day before the fireman's
11939	11939	21 death, but determined as though the fireman was at
11940	11940	22 least age 55 on the day before his or her death and
11941	11941	23 retired on that day.
11942	11942	24 (C) If the deceased fireman was an active fireman
11943	11943	25 with at least 1 1/2 but less than 10 years of service
11944	11944	26 at the time of death, the Tier 2 surviving spouse's
11945	11945
11946	11946
11947	11947
11948	11948
11949	11949
11950	11950	SB0002 - 333 - LRB104 07746 RPS 17791 b
11951	11951
11952	11952
11953	11953	SB0002- 334 -LRB104 07746 RPS 17791 b SB0002 - 334 - LRB104 07746 RPS 17791 b
11954	11954	SB0002 - 334 - LRB104 07746 RPS 17791 b
11955	11955	1 annuity under this paragraph (1) shall be in the
11956	11956	2 amount of 30% of the salary attached to the rank of
11957	11957	3 first class firefighter in the classified career
11958	11958	4 service at the time of the fireman's death.
11959	11959	5 (D) Notwithstanding subdivisions (A), (B), and (C)
11960	11960	6 of this paragraph (1), if the performance of an act or
11961	11961	7 acts of duty results directly in the death of a fireman
11962	11962	8 subject to this Section, or prevents him from
11963	11963	9 subsequently resuming active service in the fire
11964	11964	10 department, then a surviving spouse who would
11965	11965	11 otherwise meet the eligibility requirements for a
11966	11966	12 death in the line of duty widow's annuity granted
11967	11967	13 under Section 6-140 shall be deemed to be qualified
11968	11968	14 for a Tier 2 surviving spouse's annuity under this
11969	11969	15 subdivision (D); except that no such annuity shall be
11970	11970	16 paid to the surviving spouse of a fireman who dies
11971	11971	17 while in receipt of disability benefits when the
11972	11972	18 fireman's death was caused by an intervening illness
11973	11973	19 or injury unrelated to the illness or injury that had
11974	11974	20 prevented him from subsequently resuming active
11975	11975	21 service in the fire department. The Tier 2 surviving
11976	11976	22 spouse's annuity calculated under this subdivision (D)
11977	11977	23 shall be in lieu of, but in the same amount and paid in
11978	11978	24 the same manner as, the widow's annuity provided under
11979	11979	25 Section 6-140; except that the salary used for
11980	11980	26 computing a Tier 2 surviving spouse's annuity under
11981	11981
11982	11982
11983	11983
11984	11984
11985	11985
11986	11986	SB0002 - 334 - LRB104 07746 RPS 17791 b
11987	11987
11988	11988
11989	11989	SB0002- 335 -LRB104 07746 RPS 17791 b SB0002 - 335 - LRB104 07746 RPS 17791 b
11990	11990	SB0002 - 335 - LRB104 07746 RPS 17791 b
11991	11991	1 this subdivision (D) shall be subject to the Tier 2
11992	11992	2 salary cap provided under subsection (b) of this
11993	11993	3 Section.
11994	11994	4 (E) Notwithstanding any other provision of this
11995	11995	5 Article, the monthly Tier 2 surviving spouse's annuity
11996	11996	6 under subdivision (A) or (B) of this paragraph (1)
11997	11997	7 shall be increased on the January 1 next occurring
11998	11998	8 after (i) attainment of age 60 by the recipient of the
11999	11999	9 Tier 2 surviving spouse's annuity or (ii) the first
12000	12000	10 anniversary of the Tier 2 surviving spouse's annuity
12001	12001	11 start date, whichever is later, and on each January 1
12002	12002	12 thereafter, by 3% or one-half the annual unadjusted
12003	12003	13 percentage increase in the consumer price index-u for
12004	12004	14 the 12 months ending with September preceding each
12005	12005	15 November 1, whichever is less, of the originally
12006	12006	16 granted Tier 2 surviving spouse's annuity. If the
12007	12007	17 annual unadjusted percentage change in the consumer
12008	12008	18 price index-u for a 12-month period ending in
12009	12009	19 September is zero or, when compared with the preceding
12010	12010	20 period, decreases, then the annuity shall not be
12011	12011	21 increased.
12012	12012	22 (F) Notwithstanding the other provisions of this
12013	12013	23 paragraph (1), for a qualified surviving spouse who is
12014	12014	24 entitled to a Tier 2 surviving spouse's annuity under
12015	12015	25 subdivision (A), (B), (C), or (D) of this paragraph
12016	12016	26 (1), that Tier 2 surviving spouse's annuity shall not
12017	12017
12018	12018
12019	12019
12020	12020
12021	12021
12022	12022	SB0002 - 335 - LRB104 07746 RPS 17791 b
12023	12023
12024	12024
12025	12025	SB0002- 336 -LRB104 07746 RPS 17791 b SB0002 - 336 - LRB104 07746 RPS 17791 b
12026	12026	SB0002 - 336 - LRB104 07746 RPS 17791 b
12027	12027	1 be less than the amount of the minimum widow's annuity
12028	12028	2 established from time to time under Section 6-128.4.
12029	12029	3 (2) Surviving children of a deceased fireman subject
12030	12030	4 to this Section who would otherwise meet the eligibility
12031	12031	5 requirements for a child's annuity set forth in Sections
12032	12032	6 6-147 and 6-148 shall be deemed qualified to receive a
12033	12033	7 Tier 2 child's annuity under this subsection (c), which
12034	12034	8 shall be in lieu of, but in the same amount and paid in the
12035	12035	9 same manner as, the child's annuity provided under those
12036	12036	10 Sections; except that any salary used for computing a Tier
12037	12037	11 2 child's annuity shall be subject to the Tier 2 salary cap
12038	12038	12 provided under subsection (b) of this Section. For
12039	12039	13 purposes of determining any pro rata reduction in child's
12040	12040	14 annuities under this subsection (c), references in Section
12041	12041	15 6-148 to the combined annuities of the family shall be
12042	12042	16 deemed to refer to the combined Tier 2 surviving spouse's
12043	12043	17 annuity, if any, and the Tier 2 child's annuities payable
12044	12044	18 under this subsection (c).
12045	12045	19 (3) Surviving parents of a deceased fireman subject to
12046	12046	20 this Section who would otherwise meet the eligibility
12047	12047	21 requirements for a parent's annuity set forth in Section
12048	12048	22 6-149 shall be deemed qualified to receive a Tier 2
12049	12049	23 parent's annuity under this subsection (c), which shall be
12050	12050	24 in lieu of, but in the same amount and paid in the same
12051	12051	25 manner as, the parent's annuity provided under Section
12052	12052	26 6-149; except that any salary used for computing a Tier 2
12053	12053
12054	12054
12055	12055
12056	12056
12057	12057
12058	12058	SB0002 - 336 - LRB104 07746 RPS 17791 b
12059	12059
12060	12060
12061	12061	SB0002- 337 -LRB104 07746 RPS 17791 b SB0002 - 337 - LRB104 07746 RPS 17791 b
12062	12062	SB0002 - 337 - LRB104 07746 RPS 17791 b
12063	12063	1 parent's annuity shall be subject to the Tier 2 salary cap
12064	12064	2 provided under subsection (b) of this Section. For the
12065	12065	3 purposes of this Section, a reference to "annuity" in
12066	12066	4 Section 6-149 includes: (i) in the context of a widow, a
12067	12067	5 Tier 2 surviving spouse's annuity and (ii) in the context
12068	12068	6 of a child, a Tier 2 child's annuity.
12069	12069	7 (d) The General Assembly finds and declares that the
12070	12070	8 provisions of this Section, as enacted by Public Act 96-1495,
12071	12071	9 require clarification relating to necessary eligibility
12072	12072	10 standards and the manner of determining and paying the
12073	12073	11 intended Tier 2 benefits and contributions in order to enable
12074	12074	12 the Fund to unambiguously implement and administer benefits
12075	12075	13 for Tier 2 members. The changes to this Section and the
12076	12076	14 conforming changes to Sections 6-150, 6-158, 6-164 (except for
12077	12077	15 the changes to subsection (a) of that Section), 6-166, and
12078	12078	16 6-167 made by this amendatory Act of the 99th General Assembly
12079	12079	17 are enacted to clarify the provisions of this Section as
12080	12080	18 enacted by Public Act 96-1495, and are hereby declared to
12081	12081	19 represent and be consistent with the original and continuing
12082	12082	20 intent of this Section and Public Act 96-1495.
12083	12083	21 (e) The changes to Sections 6-150, 6-158, 6-164 (except
12084	12084	22 for the changes to subsection (a) of that Section), 6-166, and
12085	12085	23 6-167 made by this amendatory Act of the 99th General Assembly
12086	12086	24 are intended to be retroactive to January 1, 2011 (the
12087	12087	25 effective date of Public Act 96-1495) and, for the purposes of
12088	12088	26 Section 1-103.1 of this Code, they apply without regard to
12089	12089
12090	12090
12091	12091
12092	12092
12093	12093
12094	12094	SB0002 - 337 - LRB104 07746 RPS 17791 b
12095	12095
12096	12096
12097	12097	SB0002- 338 -LRB104 07746 RPS 17791 b SB0002 - 338 - LRB104 07746 RPS 17791 b
12098	12098	SB0002 - 338 - LRB104 07746 RPS 17791 b
12099	12099	1 whether the relevant fireman was in service on or after the
12100	12100	2 effective date of this amendatory Act of the 99th General
12101	12101	3 Assembly.
12102	12102	4 (Source: P.A. 103-579, eff. 12-8-23.)
12103	12103	5 (40 ILCS 5/7-142) (from Ch. 108 1/2, par. 7-142)
12104	12104	6 Sec. 7-142. Retirement annuities; amount annuities -
12105	12105	7 Amount.
12106	12106	8 (a) The amount of a retirement annuity shall be the sum of
12107	12107	9 the following, determined in accordance with the actuarial
12108	12108	10 tables in effect at the time of the grant of the annuity:
12109	12109	11 1. For Tier 1 regular employees with 8 or more years of
12110	12110	12 service or for Tier 2 regular employees, an annuity
12111	12111	13 computed pursuant to subparagraphs a or b of this
12112	12112	14 subparagraph 1, whichever is the higher, and for employees
12113	12113	15 with less than 8 or 10 years of service, respectively, the
12114	12114	16 annuity computed pursuant to subparagraph a:
12115	12115	17 a. The monthly annuity which can be provided from
12116	12116	18 the total accumulated normal, municipality and prior
12117	12117	19 service credits, as of the attained age of the
12118	12118	20 employee on the date the annuity begins provided that
12119	12119	21 such annuity shall not exceed 75% of the final rate of
12120	12120	22 earnings of the employee.
12121	12121	23 b. (i) The monthly annuity amount determined as
12122	12122	24 follows by multiplying (a) 1 2/3% for annuitants with
12123	12123	25 not more than 15 years or (b) 1 2/3% for the first 15
12124	12124
12125	12125
12126	12126
12127	12127
12128	12128
12129	12129	SB0002 - 338 - LRB104 07746 RPS 17791 b
12130	12130
12131	12131
12132	12132	SB0002- 339 -LRB104 07746 RPS 17791 b SB0002 - 339 - LRB104 07746 RPS 17791 b
12133	12133	SB0002 - 339 - LRB104 07746 RPS 17791 b
12134	12134	1 years and 2% for each year in excess of 15 years for
12135	12135	2 annuitants with more than 15 years by the number of
12136	12136	3 years plus fractional years, prorated on a basis of
12137	12137	4 months, of creditable service and multiply the product
12138	12138	5 thereof by the employee's final rate of earnings.
12139	12139	6 (ii) For the sole purpose of computing the formula
12140	12140	7 (and not for the purposes of the limitations
12141	12141	8 hereinafter stated) $125 shall be considered the final
12142	12142	9 rate of earnings in all cases where the final rate of
12143	12143	10 earnings is less than such amount.
12144	12144	11 (iii) The monthly annuity computed in accordance
12145	12145	12 with this subparagraph b, shall not exceed an amount
12146	12146	13 equal to 75% of the final rate of earnings.
12147	12147	14 (iv) For employees who have less than 35 years of
12148	12148	15 service, the annuity computed in accordance with this
12149	12149	16 subparagraph b (as reduced by application of
12150	12150	17 subparagraph (iii) above) shall be reduced by 0.25%
12151	12151	18 thereof (0.5% if service was terminated before January
12152	12152	19 1, 1988 or if the employee is a Tier 2 regular
12153	12153	20 employee) for each month or fraction thereof (1) that
12154	12154	21 the employee's age is less than 60 years for Tier 1
12155	12155	22 regular employees, (2) that the employee's age is less
12156	12156	23 than 67 years for Tier 2 regular employees, or (3) if
12157	12157	24 the employee has at least 30 years of service credit,
12158	12158	25 that the employee's service credit is less than 35
12159	12159	26 years, whichever is less, on the date the annuity
12160	12160
12161	12161
12162	12162
12163	12163
12164	12164
12165	12165	SB0002 - 339 - LRB104 07746 RPS 17791 b
12166	12166
12167	12167
12168	12168	SB0002- 340 -LRB104 07746 RPS 17791 b SB0002 - 340 - LRB104 07746 RPS 17791 b
12169	12169	SB0002 - 340 - LRB104 07746 RPS 17791 b
12170	12170	1 begins.
12171	12171	2 2. The annuity which can be provided from the total
12172	12172	3 accumulated additional credits as of the attained age of
12173	12173	4 the employee on the date the annuity begins.
12174	12174	5 (b) If payment of an annuity begins prior to the earliest
12175	12175	6 age at which the employee will become eligible for an old age
12176	12176	7 insurance benefit under the Federal Social Security Act, he
12177	12177	8 may elect that the annuity payments from this fund shall
12178	12178	9 exceed those payable after his attaining such age by an
12179	12179	10 amount, computed as determined by rules of the Board, but not
12180	12180	11 in excess of his estimated Social Security Benefit, determined
12181	12181	12 as of the effective date of the annuity, provided that in no
12182	12182	13 case shall the total annuity payments made by this fund exceed
12183	12183	14 in actuarial value the annuity which would have been payable
12184	12184	15 had no such election been made.
12185	12185	16 (c) Beginning January 1, 1984 and each January 1
12186	12186	17 thereafter, the retirement annuity of a Tier 1 regular
12187	12187	18 employee shall be increased by 3% each year, not compounded.
12188	12188	19 This increase shall be computed from the effective date of the
12189	12189	20 retirement annuity, the first increase being 0.25% of the
12190	12190	21 monthly amount times the number of months from the effective
12191	12191	22 date to January 1. This increase shall not be applicable to
12192	12192	23 annuitants who are not in service on or after September 8,
12193	12193	24 1971.
12194	12194	25 A retirement annuity of a Tier 2 regular employee shall
12195	12195	26 receive annual increases on the January 1 occurring either on
12196	12196
12197	12197
12198	12198
12199	12199
12200	12200
12201	12201	SB0002 - 340 - LRB104 07746 RPS 17791 b
12202	12202
12203	12203
12204	12204	SB0002- 341 -LRB104 07746 RPS 17791 b SB0002 - 341 - LRB104 07746 RPS 17791 b
12205	12205	SB0002 - 341 - LRB104 07746 RPS 17791 b
12206	12206	1 or after the attainment of the retirement age applicable to
12207	12207	2 that Tier 2 regular employee under this Article age 67 or the
12208	12208	3 first anniversary of the annuity start date, whichever is
12209	12209	4 later. Each annual increase shall be calculated at the lesser
12210	12210	5 of 3% or one-half the annual unadjusted percentage increase
12211	12211	6 (but not less than zero) in the consumer price index-u for the
12212	12212	7 12 months ending with the September preceding each November 1
12213	12213	8 of the originally granted retirement annuity. If the annual
12214	12214	9 unadjusted percentage change in the consumer price index-u for
12215	12215	10 the 12 months ending with the September preceding each
12216	12216	11 November 1 is zero or there is a decrease, then the annuity
12217	12217	12 shall not be increased.
12218	12218	13 (d) Any elected county officer who was entitled to receive
12219	12219	14 a stipend from the State on or after July 1, 2009 and on or
12220	12220	15 before June 30, 2010 may establish earnings credit for the
12221	12221	16 amount of stipend not received, if the elected county official
12222	12222	17 applies in writing to the fund within 6 months after the
12223	12223	18 effective date of this amendatory Act of the 96th General
12224	12224	19 Assembly and pays to the fund an amount equal to (i) employee
12225	12225	20 contributions on the amount of stipend not received, (ii)
12226	12226	21 employer contributions determined by the Board equal to the
12227	12227	22 employer's normal cost of the benefit on the amount of stipend
12228	12228	23 not received, plus (iii) interest on items (i) and (ii) at the
12229	12229	24 actuarially assumed rate.
12230	12230	25 (Source: P.A. 102-210, eff. 1-1-22.)
12231	12231
12232	12232
12233	12233
12234	12234
12235	12235
12236	12236	SB0002 - 341 - LRB104 07746 RPS 17791 b
12237	12237
12238	12238
12239	12239	SB0002- 342 -LRB104 07746 RPS 17791 b SB0002 - 342 - LRB104 07746 RPS 17791 b
12240	12240	SB0002 - 342 - LRB104 07746 RPS 17791 b
12241	12241	1 (40 ILCS 5/7-142.1) (from Ch. 108 1/2, par. 7-142.1)
12242	12242	2 Sec. 7-142.1. Sheriff's law enforcement employees.
12243	12243	3 (a) In lieu of the retirement annuity provided by
12244	12244	4 subparagraph 1 of paragraph (a) of Section 7-142:
12245	12245	5 Any sheriff's law enforcement employee who has 20 or more
12246	12246	6 years of service in that capacity and who terminates service
12247	12247	7 prior to January 1, 1988 shall be entitled at his option to
12248	12248	8 receive a monthly retirement annuity for his service as a
12249	12249	9 sheriff's law enforcement employee computed by multiplying 2%
12250	12250	10 for each year of such service up to 10 years, 2 1/4% for each
12251	12251	11 year of such service above 10 years and up to 20 years, and 2
12252	12252	12 1/2% for each year of such service above 20 years, by his
12253	12253	13 annual final rate of earnings and dividing by 12.
12254	12254	14 Any sheriff's law enforcement employee who has 20 or more
12255	12255	15 years of service in that capacity and who terminates service
12256	12256	16 on or after January 1, 1988 and before July 1, 2004 shall be
12257	12257	17 entitled at his option to receive a monthly retirement annuity
12258	12258	18 for his service as a sheriff's law enforcement employee
12259	12259	19 computed by multiplying 2.5% for each year of such service up
12260	12260	20 to 20 years, 2% for each year of such service above 20 years
12261	12261	21 and up to 30 years, and 1% for each year of such service above
12262	12262	22 30 years, by his annual final rate of earnings and dividing by
12263	12263	23 12.
12264	12264	24 Any sheriff's law enforcement employee who has 20 or more
12265	12265	25 years of service in that capacity and who terminates service
12266	12266	26 on or after July 1, 2004 shall be entitled at his or her option
12267	12267
12268	12268
12269	12269
12270	12270
12271	12271
12272	12272	SB0002 - 342 - LRB104 07746 RPS 17791 b
12273	12273
12274	12274
12275	12275	SB0002- 343 -LRB104 07746 RPS 17791 b SB0002 - 343 - LRB104 07746 RPS 17791 b
12276	12276	SB0002 - 343 - LRB104 07746 RPS 17791 b
12277	12277	1 to receive a monthly retirement annuity for service as a
12278	12278	2 sheriff's law enforcement employee computed by multiplying
12279	12279	3 2.5% for each year of such service by his annual final rate of
12280	12280	4 earnings and dividing by 12.
12281	12281	5 If a sheriff's law enforcement employee has service in any
12282	12282	6 other capacity, his retirement annuity for service as a
12283	12283	7 sheriff's law enforcement employee may be computed under this
12284	12284	8 Section and the retirement annuity for his other service under
12285	12285	9 Section 7-142.
12286	12286	10 In no case shall the total monthly retirement annuity for
12287	12287	11 persons who retire before July 1, 2004 exceed 75% of the
12288	12288	12 monthly final rate of earnings. In no case shall the total
12289	12289	13 monthly retirement annuity for persons who retire on or after
12290	12290	14 July 1, 2004 exceed 80% of the monthly final rate of earnings.
12291	12291	15 (b) Whenever continued group insurance coverage is elected
12292	12292	16 in accordance with the provisions of Section 367h of the
12293	12293	17 Illinois Insurance Code, as now or hereafter amended, the
12294	12294	18 total monthly premium for such continued group insurance
12295	12295	19 coverage or such portion thereof as is not paid by the
12296	12296	20 municipality shall, upon request of the person electing such
12297	12297	21 continued group insurance coverage, be deducted from any
12298	12298	22 monthly pension benefit otherwise payable to such person
12299	12299	23 pursuant to this Section, to be remitted by the Fund to the
12300	12300	24 insurance company or other entity providing the group
12301	12301	25 insurance coverage.
12302	12302	26 (c) A sheriff's law enforcement employee who began service
12303	12303
12304	12304
12305	12305
12306	12306
12307	12307
12308	12308	SB0002 - 343 - LRB104 07746 RPS 17791 b
12309	12309
12310	12310
12311	12311	SB0002- 344 -LRB104 07746 RPS 17791 b SB0002 - 344 - LRB104 07746 RPS 17791 b
12312	12312	SB0002 - 344 - LRB104 07746 RPS 17791 b
12313	12313	1 in that capacity prior to the effective date of this
12314	12314	2 amendatory Act of the 97th General Assembly and who has
12315	12315	3 service in any other capacity may convert up to 10 years of
12316	12316	4 that service into service as a sheriff's law enforcement
12317	12317	5 employee by paying to the Fund an amount equal to (1) the
12318	12318	6 additional employee contribution required under Section
12319	12319	7 7-173.1, plus (2) the additional employer contribution
12320	12320	8 required under Section 7-172, plus (3) interest on items (1)
12321	12321	9 and (2) at the prescribed rate from the date of the service to
12322	12322	10 the date of payment. Application must be received by the Board
12323	12323	11 while the employee is an active participant in the Fund.
12324	12324	12 Payment must be received while the member is an active
12325	12325	13 participant, except that one payment will be permitted after
12326	12326	14 termination of participation.
12327	12327	15 (d) The changes to subsections (a) and (b) of this Section
12328	12328	16 made by this amendatory Act of the 94th General Assembly apply
12329	12329	17 only to persons in service on or after July 1, 2004. In the
12330	12330	18 case of such a person who begins to receive a retirement
12331	12331	19 annuity before the effective date of this amendatory Act of
12332	12332	20 the 94th General Assembly, the annuity shall be recalculated
12333	12333	21 prospectively to reflect those changes, with the resulting
12334	12334	22 increase beginning to accrue on the first annuity payment date
12335	12335	23 following the effective date of this amendatory Act.
12336	12336	24 (e) Any elected county officer who was entitled to receive
12337	12337	25 a stipend from the State on or after July 1, 2009 and on or
12338	12338	26 before June 30, 2010 may establish earnings credit for the
12339	12339
12340	12340
12341	12341
12342	12342
12343	12343
12344	12344	SB0002 - 344 - LRB104 07746 RPS 17791 b
12345	12345
12346	12346
12347	12347	SB0002- 345 -LRB104 07746 RPS 17791 b SB0002 - 345 - LRB104 07746 RPS 17791 b
12348	12348	SB0002 - 345 - LRB104 07746 RPS 17791 b
12349	12349	1 amount of stipend not received, if the elected county official
12350	12350	2 applies in writing to the fund within 6 months after the
12351	12351	3 effective date of this amendatory Act of the 96th General
12352	12352	4 Assembly and pays to the fund an amount equal to (i) employee
12353	12353	5 contributions on the amount of stipend not received, (ii)
12354	12354	6 employer contributions determined by the Board equal to the
12355	12355	7 employer's normal cost of the benefit on the amount of stipend
12356	12356	8 not received, plus (iii) interest on items (i) and (ii) at the
12357	12357	9 actuarially assumed rate.
12358	12358	10 (f) Notwithstanding any other provision of this Article,
12359	12359	11 the provisions of this subsection (f) apply to a person who
12360	12360	12 first becomes a sheriff's law enforcement employee under this
12361	12361	13 Article on or after January 1, 2011.
12362	12362	14 A sheriff's law enforcement employee age 55 or more who
12363	12363	15 has 10 or more years of service in that capacity shall be
12364	12364	16 entitled at his option to receive a monthly retirement annuity
12365	12365	17 for his or her service as a sheriff's law enforcement employee
12366	12366	18 computed by multiplying 2.5% for each year of such service by
12367	12367	19 his or her final rate of earnings.
12368	12368	20 The retirement annuity of a sheriff's law enforcement
12369	12369	21 employee who is retiring after attaining age 50 with 10 or more
12370	12370	22 years of creditable service shall be reduced by one-half of 1%
12371	12371	23 for each month that the sheriff's law enforcement employee's
12372	12372	24 age is under age 55. This paragraph does not apply to a
12373	12373	25 sheriff's law enforcement employee who is an active sheriff's
12374	12374	26 law enforcement employee on or after January 1, 2026.
12375	12375
12376	12376
12377	12377
12378	12378
12379	12379
12380	12380	SB0002 - 345 - LRB104 07746 RPS 17791 b
12381	12381
12382	12382
12383	12383	SB0002- 346 -LRB104 07746 RPS 17791 b SB0002 - 346 - LRB104 07746 RPS 17791 b
12384	12384	SB0002 - 346 - LRB104 07746 RPS 17791 b
12385	12385	1 The maximum retirement annuity under this subsection (f)
12386	12386	2 shall be 75% of final rate of earnings.
12387	12387	3 For the purposes of this subsection (f), "final rate of
12388	12388	4 earnings" means the average monthly earnings obtained by
12389	12389	5 dividing the total salary of the sheriff's law enforcement
12390	12390	6 employee during the 96 consecutive months of service within
12391	12391	7 the last 120 months of service in which the total earnings was
12392	12392	8 the highest by the number of months of service in that period.
12393	12393	9 Notwithstanding any other provision of this Article,
12394	12394	10 beginning on January 1, 2011, for all purposes under this Code
12395	12395	11 (including without limitation the calculation of benefits and
12396	12396	12 employee contributions), the annual earnings of a sheriff's
12397	12397	13 law enforcement employee to whom this Section applies shall
12398	12398	14 not include overtime and shall not exceed $106,800; however,
12399	12399	15 that amount shall annually thereafter be increased by the
12400	12400	16 lesser of (i) 3% of that amount, including all previous
12401	12401	17 adjustments, or (ii) one-half the annual unadjusted percentage
12402	12402	18 increase (but not less than zero) in the consumer price
12403	12403	19 index-u for the 12 months ending with the September preceding
12404	12404	20 each November 1, including all previous adjustments.
12405	12405	21 (g) Notwithstanding any other provision of this Article,
12406	12406	22 the monthly annuity of a person who first becomes a sheriff's
12407	12407	23 law enforcement employee under this Article on or after
12408	12408	24 January 1, 2011 shall be increased on the January 1 occurring
12409	12409	25 either on or after the attainment of the retirement age
12410	12410	26 applicable to that sheriff's law enforcement employee under
12411	12411
12412	12412
12413	12413
12414	12414
12415	12415
12416	12416	SB0002 - 346 - LRB104 07746 RPS 17791 b
12417	12417
12418	12418
12419	12419	SB0002- 347 -LRB104 07746 RPS 17791 b SB0002 - 347 - LRB104 07746 RPS 17791 b
12420	12420	SB0002 - 347 - LRB104 07746 RPS 17791 b
12421	12421	1 this Article age 60 or the first anniversary of the annuity
12422	12422	2 start date, whichever is later. Each annual increase shall be
12423	12423	3 calculated at 3% or one-half the annual unadjusted percentage
12424	12424	4 increase (but not less than zero) in the consumer price
12425	12425	5 index-u for the 12 months ending with the September preceding
12426	12426	6 each November 1, whichever is less, of the originally granted
12427	12427	7 retirement annuity. If the annual unadjusted percentage change
12428	12428	8 in the consumer price index-u for a 12-month period ending in
12429	12429	9 September is zero or, when compared with the preceding period,
12430	12430	10 decreases, then the annuity shall not be increased.
12431	12431	11 (h) Notwithstanding any other provision of this Article,
12432	12432	12 for a person who first becomes a sheriff's law enforcement
12433	12433	13 employee under this Article on or after January 1, 2011, the
12434	12434	14 annuity to which the surviving spouse, children, or parents
12435	12435	15 are entitled under this subsection (h) shall be in the amount
12436	12436	16 of 66 2/3% of the sheriff's law enforcement employee's earned
12437	12437	17 annuity at the date of death.
12438	12438	18 (i) Notwithstanding any other provision of this Article,
12439	12439	19 the monthly annuity of a survivor of a person who first becomes
12440	12440	20 a sheriff's law enforcement employee under this Article on or
12441	12441	21 after January 1, 2011 shall be increased on the January 1 after
12442	12442	22 attainment of age 60 by the recipient of the survivor's
12443	12443	23 annuity and each January 1 thereafter by 3% or one-half the
12444	12444	24 annual unadjusted percentage increase in the consumer price
12445	12445	25 index-u for the 12 months ending with the September preceding
12446	12446	26 each November 1, whichever is less, of the originally granted
12447	12447
12448	12448
12449	12449
12450	12450
12451	12451
12452	12452	SB0002 - 347 - LRB104 07746 RPS 17791 b
12453	12453
12454	12454
12455	12455	SB0002- 348 -LRB104 07746 RPS 17791 b SB0002 - 348 - LRB104 07746 RPS 17791 b
12456	12456	SB0002 - 348 - LRB104 07746 RPS 17791 b
12457	12457	1 pension. If the annual unadjusted percentage change in the
12458	12458	2 consumer price index-u for a 12-month period ending in
12459	12459	3 September is zero or, when compared with the preceding period,
12460	12460	4 decreases, then the annuity shall not be increased.
12461	12461	5 (j) For the purposes of this Section, "consumer price
12462	12462	6 index-u" means the index published by the Bureau of Labor
12463	12463	7 Statistics of the United States Department of Labor that
12464	12464	8 measures the average change in prices of goods and services
12465	12465	9 purchased by all urban consumers, United States city average,
12466	12466	10 all items, 1982-84 = 100. The new amount resulting from each
12467	12467	11 annual adjustment shall be determined by the Public Pension
12468	12468	12 Division of the Department of Insurance and made available to
12469	12469	13 the boards of the pension funds.
12470	12470	14 (Source: P.A. 100-148, eff. 8-18-17.)
12471	12471	15 (40 ILCS 5/14-110) (from Ch. 108 1/2, par. 14-110)
12472	12472	16 (Text of Section from P.A. 102-813 and 103-34)
12473	12473	17 Sec. 14-110. Alternative retirement annuity.
12474	12474	18 (a) Any member who has withdrawn from service with not
12475	12475	19 less than 20 years of eligible creditable service and has
12476	12476	20 attained age 55, and any member who has withdrawn from service
12477	12477	21 with not less than 25 years of eligible creditable service and
12478	12478	22 has attained age 50, regardless of whether the attainment of
12479	12479	23 either of the specified ages occurs while the member is still
12480	12480	24 in service, shall be entitled to receive at the option of the
12481	12481	25 member, in lieu of the regular or minimum retirement annuity,
12482	12482
12483	12483
12484	12484
12485	12485
12486	12486
12487	12487	SB0002 - 348 - LRB104 07746 RPS 17791 b
12488	12488
12489	12489
12490	12490	SB0002- 349 -LRB104 07746 RPS 17791 b SB0002 - 349 - LRB104 07746 RPS 17791 b
12491	12491	SB0002 - 349 - LRB104 07746 RPS 17791 b
12492	12492	1 a retirement annuity computed as follows:
12493	12493	2 (i) for periods of service as a noncovered employee:
12494	12494	3 if retirement occurs on or after January 1, 2001, 3% of
12495	12495	4 final average compensation for each year of creditable
12496	12496	5 service; if retirement occurs before January 1, 2001, 2
12497	12497	6 1/4% of final average compensation for each of the first
12498	12498	7 10 years of creditable service, 2 1/2% for each year above
12499	12499	8 10 years to and including 20 years of creditable service,
12500	12500	9 and 2 3/4% for each year of creditable service above 20
12501	12501	10 years; and
12502	12502	11 (ii) for periods of eligible creditable service as a
12503	12503	12 covered employee: if retirement occurs on or after January
12504	12504	13 1, 2001, 2.5% of final average compensation for each year
12505	12505	14 of creditable service; if retirement occurs before January
12506	12506	15 1, 2001, 1.67% of final average compensation for each of
12507	12507	16 the first 10 years of such service, 1.90% for each of the
12508	12508	17 next 10 years of such service, 2.10% for each year of such
12509	12509	18 service in excess of 20 but not exceeding 30, and 2.30% for
12510	12510	19 each year in excess of 30.
12511	12511	20 Such annuity shall be subject to a maximum of 75% of final
12512	12512	21 average compensation if retirement occurs before January 1,
12513	12513	22 2001 or to a maximum of 80% of final average compensation if
12514	12514	23 retirement occurs on or after January 1, 2001.
12515	12515	24 These rates shall not be applicable to any service
12516	12516	25 performed by a member as a covered employee which is not
12517	12517	26 eligible creditable service. Service as a covered employee
12518	12518
12519	12519
12520	12520
12521	12521
12522	12522
12523	12523	SB0002 - 349 - LRB104 07746 RPS 17791 b
12524	12524
12525	12525
12526	12526	SB0002- 350 -LRB104 07746 RPS 17791 b SB0002 - 350 - LRB104 07746 RPS 17791 b
12527	12527	SB0002 - 350 - LRB104 07746 RPS 17791 b
12528	12528	1 which is not eligible creditable service shall be subject to
12529	12529	2 the rates and provisions of Section 14-108.
12530	12530	3 (b) For the purpose of this Section, "eligible creditable
12531	12531	4 service" means creditable service resulting from service in
12532	12532	5 one or more of the following positions:
12533	12533	6 (1) State policeman;
12534	12534	7 (2) fire fighter in the fire protection service of a
12535	12535	8 department;
12536	12536	9 (3) air pilot;
12537	12537	10 (4) special agent;
12538	12538	11 (5) investigator for the Secretary of State;
12539	12539	12 (6) conservation police officer;
12540	12540	13 (7) investigator for the Department of Revenue or the
12541	12541	14 Illinois Gaming Board;
12542	12542	15 (8) security employee of the Department of Human
12543	12543	16 Services;
12544	12544	17 (9) Central Management Services security police
12545	12545	18 officer;
12546	12546	19 (10) security employee of the Department of
12547	12547	20 Corrections or the Department of Juvenile Justice;
12548	12548	21 (11) dangerous drugs investigator;
12549	12549	22 (12) investigator for the Illinois State Police;
12550	12550	23 (13) investigator for the Office of the Attorney
12551	12551	24 General;
12552	12552	25 (14) controlled substance inspector;
12553	12553	26 (15) investigator for the Office of the State's
12554	12554
12555	12555
12556	12556
12557	12557
12558	12558
12559	12559	SB0002 - 350 - LRB104 07746 RPS 17791 b
12560	12560
12561	12561
12562	12562	SB0002- 351 -LRB104 07746 RPS 17791 b SB0002 - 351 - LRB104 07746 RPS 17791 b
12563	12563	SB0002 - 351 - LRB104 07746 RPS 17791 b
12564	12564	1 Attorneys Appellate Prosecutor;
12565	12565	2 (16) Commerce Commission police officer;
12566	12566	3 (17) arson investigator;
12567	12567	4 (18) State highway maintenance worker;
12568	12568	5 (19) security employee of the Department of Innovation
12569	12569	6 and Technology; or
12570	12570	7 (20) transferred employee; or .
12571	12571	8 (21) investigator for the Department of the Lottery.
12572	12572	9 A person employed in one of the positions specified in
12573	12573	10 this subsection is entitled to eligible creditable service for
12574	12574	11 service credit earned under this Article while undergoing the
12575	12575	12 basic police training course approved by the Illinois Law
12576	12576	13 Enforcement Training Standards Board, if completion of that
12577	12577	14 training is required of persons serving in that position. For
12578	12578	15 the purposes of this Code, service during the required basic
12579	12579	16 police training course shall be deemed performance of the
12580	12580	17 duties of the specified position, even though the person is
12581	12581	18 not a sworn peace officer at the time of the training.
12582	12582	19 A person under paragraph (20) is entitled to eligible
12583	12583	20 creditable service for service credit earned under this
12584	12584	21 Article on and after his or her transfer by Executive Order No.
12585	12585	22 2003-10, Executive Order No. 2004-2, or Executive Order No.
12586	12586	23 2016-1.
12587	12587	24 (c) For the purposes of this Section:
12588	12588	25 (1) The term "State policeman" includes any title or
12589	12589	26 position in the Illinois State Police that is held by an
12590	12590
12591	12591
12592	12592
12593	12593
12594	12594
12595	12595	SB0002 - 351 - LRB104 07746 RPS 17791 b
12596	12596
12597	12597
12598	12598	SB0002- 352 -LRB104 07746 RPS 17791 b SB0002 - 352 - LRB104 07746 RPS 17791 b
12599	12599	SB0002 - 352 - LRB104 07746 RPS 17791 b
12600	12600	1 individual employed under the Illinois State Police Act.
12601	12601	2 (2) The term "fire fighter in the fire protection
12602	12602	3 service of a department" includes all officers in such
12603	12603	4 fire protection service including fire chiefs and
12604	12604	5 assistant fire chiefs.
12605	12605	6 (3) The term "air pilot" includes any employee whose
12606	12606	7 official job description on file in the Department of
12607	12607	8 Central Management Services, or in the department by which
12608	12608	9 he is employed if that department is not covered by the
12609	12609	10 Personnel Code, states that his principal duty is the
12610	12610	11 operation of aircraft, and who possesses a pilot's
12611	12611	12 license; however, the change in this definition made by
12612	12612	13 Public Act 83-842 shall not operate to exclude any
12613	12613	14 noncovered employee who was an "air pilot" for the
12614	12614	15 purposes of this Section on January 1, 1984.
12615	12615	16 (4) The term "special agent" means any person who by
12616	12616	17 reason of employment by the Division of Narcotic Control,
12617	12617	18 the Bureau of Investigation or, after July 1, 1977, the
12618	12618	19 Division of Criminal Investigation, the Division of
12619	12619	20 Internal Investigation, the Division of Operations, the
12620	12620	21 Division of Patrol, or any other Division or
12621	12621	22 organizational entity in the Illinois State Police is
12622	12622	23 vested by law with duties to maintain public order,
12623	12623	24 investigate violations of the criminal law of this State,
12624	12624	25 enforce the laws of this State, make arrests and recover
12625	12625	26 property. The term "special agent" includes any title or
12626	12626
12627	12627
12628	12628
12629	12629
12630	12630
12631	12631	SB0002 - 352 - LRB104 07746 RPS 17791 b
12632	12632
12633	12633
12634	12634	SB0002- 353 -LRB104 07746 RPS 17791 b SB0002 - 353 - LRB104 07746 RPS 17791 b
12635	12635	SB0002 - 353 - LRB104 07746 RPS 17791 b
12636	12636	1 position in the Illinois State Police that is held by an
12637	12637	2 individual employed under the Illinois State Police Act.
12638	12638	3 (5) The term "investigator for the Secretary of State"
12639	12639	4 means any person employed by the Office of the Secretary
12640	12640	5 of State and vested with such investigative duties as
12641	12641	6 render him ineligible for coverage under the Social
12642	12642	7 Security Act by reason of Sections 218(d)(5)(A),
12643	12643	8 218(d)(8)(D) and 218(l)(1) of that Act.
12644	12644	9 A person who became employed as an investigator for
12645	12645	10 the Secretary of State between January 1, 1967 and
12646	12646	11 December 31, 1975, and who has served as such until
12647	12647	12 attainment of age 60, either continuously or with a single
12648	12648	13 break in service of not more than 3 years duration, which
12649	12649	14 break terminated before January 1, 1976, shall be entitled
12650	12650	15 to have his retirement annuity calculated in accordance
12651	12651	16 with subsection (a), notwithstanding that he has less than
12652	12652	17 20 years of credit for such service.
12653	12653	18 (6) The term "Conservation Police Officer" means any
12654	12654	19 person employed by the Division of Law Enforcement of the
12655	12655	20 Department of Natural Resources and vested with such law
12656	12656	21 enforcement duties as render him ineligible for coverage
12657	12657	22 under the Social Security Act by reason of Sections
12658	12658	23 218(d)(5)(A), 218(d)(8)(D), and 218(l)(1) of that Act. The
12659	12659	24 term "Conservation Police Officer" includes the positions
12660	12660	25 of Chief Conservation Police Administrator and Assistant
12661	12661	26 Conservation Police Administrator.
12662	12662
12663	12663
12664	12664
12665	12665
12666	12666
12667	12667	SB0002 - 353 - LRB104 07746 RPS 17791 b
12668	12668
12669	12669
12670	12670	SB0002- 354 -LRB104 07746 RPS 17791 b SB0002 - 354 - LRB104 07746 RPS 17791 b
12671	12671	SB0002 - 354 - LRB104 07746 RPS 17791 b
12672	12672	1 (7) The term "investigator for the Department of
12673	12673	2 Revenue" means any person employed by the Department of
12674	12674	3 Revenue and vested with such investigative duties as
12675	12675	4 render him ineligible for coverage under the Social
12676	12676	5 Security Act by reason of Sections 218(d)(5)(A),
12677	12677	6 218(d)(8)(D) and 218(l)(1) of that Act.
12678	12678	7 The term "investigator for the Illinois Gaming Board"
12679	12679	8 means any person employed as such by the Illinois Gaming
12680	12680	9 Board and vested with such peace officer duties as render
12681	12681	10 the person ineligible for coverage under the Social
12682	12682	11 Security Act by reason of Sections 218(d)(5)(A),
12683	12683	12 218(d)(8)(D), and 218(l)(1) of that Act.
12684	12684	13 (8) The term "security employee of the Department of
12685	12685	14 Human Services" means any person employed by the
12686	12686	15 Department of Human Services who (i) is employed at the
12687	12687	16 Chester Mental Health Center and has daily contact with
12688	12688	17 the residents thereof, (ii) is employed within a security
12689	12689	18 unit at a facility operated by the Department and has
12690	12690	19 daily contact with the residents of the security unit,
12691	12691	20 (iii) is employed at a facility operated by the Department
12692	12692	21 that includes a security unit and is regularly scheduled
12693	12693	22 to work at least 50% of his or her working hours within
12694	12694	23 that security unit, or (iv) is a mental health police
12695	12695	24 officer. "Mental health police officer" means any person
12696	12696	25 employed by the Department of Human Services in a position
12697	12697	26 pertaining to the Department's mental health and
12698	12698
12699	12699
12700	12700
12701	12701
12702	12702
12703	12703	SB0002 - 354 - LRB104 07746 RPS 17791 b
12704	12704
12705	12705
12706	12706	SB0002- 355 -LRB104 07746 RPS 17791 b SB0002 - 355 - LRB104 07746 RPS 17791 b
12707	12707	SB0002 - 355 - LRB104 07746 RPS 17791 b
12708	12708	1 developmental disabilities functions who is vested with
12709	12709	2 such law enforcement duties as render the person
12710	12710	3 ineligible for coverage under the Social Security Act by
12711	12711	4 reason of Sections 218(d)(5)(A), 218(d)(8)(D) and
12712	12712	5 218(l)(1) of that Act. "Security unit" means that portion
12713	12713	6 of a facility that is devoted to the care, containment,
12714	12714	7 and treatment of persons committed to the Department of
12715	12715	8 Human Services as sexually violent persons, persons unfit
12716	12716	9 to stand trial, or persons not guilty by reason of
12717	12717	10 insanity. With respect to past employment, references to
12718	12718	11 the Department of Human Services include its predecessor,
12719	12719	12 the Department of Mental Health and Developmental
12720	12720	13 Disabilities.
12721	12721	14 The changes made to this subdivision (c)(8) by Public
12722	12722	15 Act 92-14 apply to persons who retire on or after January
12723	12723	16 1, 2001, notwithstanding Section 1-103.1.
12724	12724	17 (9) "Central Management Services security police
12725	12725	18 officer" means any person employed by the Department of
12726	12726	19 Central Management Services who is vested with such law
12727	12727	20 enforcement duties as render him ineligible for coverage
12728	12728	21 under the Social Security Act by reason of Sections
12729	12729	22 218(d)(5)(A), 218(d)(8)(D) and 218(l)(1) of that Act.
12730	12730	23 (10) For a member who first became an employee under
12731	12731	24 this Article before July 1, 2005, the term "security
12732	12732	25 employee of the Department of Corrections or the
12733	12733	26 Department of Juvenile Justice" means any employee of the
12734	12734
12735	12735
12736	12736
12737	12737
12738	12738
12739	12739	SB0002 - 355 - LRB104 07746 RPS 17791 b
12740	12740
12741	12741
12742	12742	SB0002- 356 -LRB104 07746 RPS 17791 b SB0002 - 356 - LRB104 07746 RPS 17791 b
12743	12743	SB0002 - 356 - LRB104 07746 RPS 17791 b
12744	12744	1 Department of Corrections or the Department of Juvenile
12745	12745	2 Justice or the former Department of Personnel, and any
12746	12746	3 member or employee of the Prisoner Review Board, who has
12747	12747	4 daily contact with inmates or youth by working within a
12748	12748	5 correctional facility or Juvenile facility operated by the
12749	12749	6 Department of Juvenile Justice or who is a parole officer
12750	12750	7 or an employee who has direct contact with committed
12751	12751	8 persons in the performance of his or her job duties. For a
12752	12752	9 member who first becomes an employee under this Article on
12753	12753	10 or after July 1, 2005, the term means an employee of the
12754	12754	11 Department of Corrections or the Department of Juvenile
12755	12755	12 Justice who is any of the following: (i) officially
12756	12756	13 headquartered at a correctional facility or Juvenile
12757	12757	14 facility operated by the Department of Juvenile Justice,
12758	12758	15 (ii) a parole officer, (iii) a member of the apprehension
12759	12759	16 unit, (iv) a member of the intelligence unit, (v) a member
12760	12760	17 of the sort team, or (vi) an investigator.
12761	12761	18 (11) The term "dangerous drugs investigator" means any
12762	12762	19 person who is employed as such by the Department of Human
12763	12763	20 Services.
12764	12764	21 (12) The term "investigator for the Illinois State
12765	12765	22 Police" means a person employed by the Illinois State
12766	12766	23 Police who is vested under Section 4 of the Narcotic
12767	12767	24 Control Division Abolition Act with such law enforcement
12768	12768	25 powers as render him ineligible for coverage under the
12769	12769	26 Social Security Act by reason of Sections 218(d)(5)(A),
12770	12770
12771	12771
12772	12772
12773	12773
12774	12774
12775	12775	SB0002 - 356 - LRB104 07746 RPS 17791 b
12776	12776
12777	12777
12778	12778	SB0002- 357 -LRB104 07746 RPS 17791 b SB0002 - 357 - LRB104 07746 RPS 17791 b
12779	12779	SB0002 - 357 - LRB104 07746 RPS 17791 b
12780	12780	1 218(d)(8)(D) and 218(l)(1) of that Act.
12781	12781	2 (13) "Investigator for the Office of the Attorney
12782	12782	3 General" means any person who is employed as such by the
12783	12783	4 Office of the Attorney General and is vested with such
12784	12784	5 investigative duties as render him ineligible for coverage
12785	12785	6 under the Social Security Act by reason of Sections
12786	12786	7 218(d)(5)(A), 218(d)(8)(D) and 218(l)(1) of that Act. For
12787	12787	8 the period before January 1, 1989, the term includes all
12788	12788	9 persons who were employed as investigators by the Office
12789	12789	10 of the Attorney General, without regard to social security
12790	12790	11 status.
12791	12791	12 (14) "Controlled substance inspector" means any person
12792	12792	13 who is employed as such by the Department of Professional
12793	12793	14 Regulation and is vested with such law enforcement duties
12794	12794	15 as render him ineligible for coverage under the Social
12795	12795	16 Security Act by reason of Sections 218(d)(5)(A),
12796	12796	17 218(d)(8)(D) and 218(l)(1) of that Act. The term
12797	12797	18 "controlled substance inspector" includes the Program
12798	12798	19 Executive of Enforcement and the Assistant Program
12799	12799	20 Executive of Enforcement.
12800	12800	21 (15) The term "investigator for the Office of the
12801	12801	22 State's Attorneys Appellate Prosecutor" means a person
12802	12802	23 employed in that capacity on a full-time basis under the
12803	12803	24 authority of Section 7.06 of the State's Attorneys
12804	12804	25 Appellate Prosecutor's Act.
12805	12805	26 (16) "Commerce Commission police officer" means any
12806	12806
12807	12807
12808	12808
12809	12809
12810	12810
12811	12811	SB0002 - 357 - LRB104 07746 RPS 17791 b
12812	12812
12813	12813
12814	12814	SB0002- 358 -LRB104 07746 RPS 17791 b SB0002 - 358 - LRB104 07746 RPS 17791 b
12815	12815	SB0002 - 358 - LRB104 07746 RPS 17791 b
12816	12816	1 person employed by the Illinois Commerce Commission who is
12817	12817	2 vested with such law enforcement duties as render him
12818	12818	3 ineligible for coverage under the Social Security Act by
12819	12819	4 reason of Sections 218(d)(5)(A), 218(d)(8)(D), and
12820	12820	5 218(l)(1) of that Act.
12821	12821	6 (17) "Arson investigator" means any person who is
12822	12822	7 employed as such by the Office of the State Fire Marshal
12823	12823	8 and is vested with such law enforcement duties as render
12824	12824	9 the person ineligible for coverage under the Social
12825	12825	10 Security Act by reason of Sections 218(d)(5)(A),
12826	12826	11 218(d)(8)(D), and 218(l)(1) of that Act. A person who was
12827	12827	12 employed as an arson investigator on January 1, 1995 and
12828	12828	13 is no longer in service but not yet receiving a retirement
12829	12829	14 annuity may convert his or her creditable service for
12830	12830	15 employment as an arson investigator into eligible
12831	12831	16 creditable service by paying to the System the difference
12832	12832	17 between the employee contributions actually paid for that
12833	12833	18 service and the amounts that would have been contributed
12834	12834	19 if the applicant were contributing at the rate applicable
12835	12835	20 to persons with the same social security status earning
12836	12836	21 eligible creditable service on the date of application.
12837	12837	22 (18) The term "State highway maintenance worker" means
12838	12838	23 a person who is either of the following:
12839	12839	24 (i) A person employed on a full-time basis by the
12840	12840	25 Illinois Department of Transportation in the position
12841	12841	26 of highway maintainer, highway maintenance lead
12842	12842
12843	12843
12844	12844
12845	12845
12846	12846
12847	12847	SB0002 - 358 - LRB104 07746 RPS 17791 b
12848	12848
12849	12849
12850	12850	SB0002- 359 -LRB104 07746 RPS 17791 b SB0002 - 359 - LRB104 07746 RPS 17791 b
12851	12851	SB0002 - 359 - LRB104 07746 RPS 17791 b
12852	12852	1 worker, highway maintenance lead/lead worker, heavy
12853	12853	2 construction equipment operator, power shovel
12854	12854	3 operator, or bridge mechanic; and whose principal
12855	12855	4 responsibility is to perform, on the roadway, the
12856	12856	5 actual maintenance necessary to keep the highways that
12857	12857	6 form a part of the State highway system in serviceable
12858	12858	7 condition for vehicular traffic.
12859	12859	8 (ii) A person employed on a full-time basis by the
12860	12860	9 Illinois State Toll Highway Authority in the position
12861	12861	10 of equipment operator/laborer H-4, equipment
12862	12862	11 operator/laborer H-6, welder H-4, welder H-6,
12863	12863	12 mechanical/electrical H-4, mechanical/electrical H-6,
12864	12864	13 water/sewer H-4, water/sewer H-6, sign maker/hanger
12865	12865	14 H-4, sign maker/hanger H-6, roadway lighting H-4,
12866	12866	15 roadway lighting H-6, structural H-4, structural H-6,
12867	12867	16 painter H-4, or painter H-6; and whose principal
12868	12868	17 responsibility is to perform, on the roadway, the
12869	12869	18 actual maintenance necessary to keep the Authority's
12870	12870	19 tollways in serviceable condition for vehicular
12871	12871	20 traffic.
12872	12872	21 (19) The term "security employee of the Department of
12873	12873	22 Innovation and Technology" means a person who was a
12874	12874	23 security employee of the Department of Corrections or the
12875	12875	24 Department of Juvenile Justice, was transferred to the
12876	12876	25 Department of Innovation and Technology pursuant to
12877	12877	26 Executive Order 2016-01, and continues to perform similar
12878	12878
12879	12879
12880	12880
12881	12881
12882	12882
12883	12883	SB0002 - 359 - LRB104 07746 RPS 17791 b
12884	12884
12885	12885
12886	12886	SB0002- 360 -LRB104 07746 RPS 17791 b SB0002 - 360 - LRB104 07746 RPS 17791 b
12887	12887	SB0002 - 360 - LRB104 07746 RPS 17791 b
12888	12888	1 job functions under that Department.
12889	12889	2 (20) "Transferred employee" means an employee who was
12890	12890	3 transferred to the Department of Central Management
12891	12891	4 Services by Executive Order No. 2003-10 or Executive Order
12892	12892	5 No. 2004-2 or transferred to the Department of Innovation
12893	12893	6 and Technology by Executive Order No. 2016-1, or both, and
12894	12894	7 was entitled to eligible creditable service for services
12895	12895	8 immediately preceding the transfer.
12896	12896	9 (21) "Investigator for the Department of the Lottery"
12897	12897	10 means any person who is employed by the Department of the
12898	12898	11 Lottery and is vested with such investigative duties which
12899	12899	12 render him or her ineligible for coverage under the Social
12900	12900	13 Security Act by reason of Sections 218(d)(5)(A),
12901	12901	14 218(d)(8)(D), and 218(l)(1) of that Act. An investigator
12902	12902	15 for the Department of the Lottery who qualifies under this
12903	12903	16 Section shall earn eligible creditable service and be
12904	12904	17 required to make contributions at the rate specified in
12905	12905	18 paragraph (3) of subsection (a) of Section 14-133 for all
12906	12906	19 periods of service as an investigator for the Department
12907	12907	20 of the Lottery.
12908	12908	21 (d) A security employee of the Department of Corrections
12909	12909	22 or the Department of Juvenile Justice, a security employee of
12910	12910	23 the Department of Human Services who is not a mental health
12911	12911	24 police officer, and a security employee of the Department of
12912	12912	25 Innovation and Technology shall not be eligible for the
12913	12913	26 alternative retirement annuity provided by this Section unless
12914	12914
12915	12915
12916	12916
12917	12917
12918	12918
12919	12919	SB0002 - 360 - LRB104 07746 RPS 17791 b
12920	12920
12921	12921
12922	12922	SB0002- 361 -LRB104 07746 RPS 17791 b SB0002 - 361 - LRB104 07746 RPS 17791 b
12923	12923	SB0002 - 361 - LRB104 07746 RPS 17791 b
12924	12924	1 he or she meets the following minimum age and service
12925	12925	2 requirements at the time of retirement:
12926	12926	3 (i) 25 years of eligible creditable service and age
12927	12927	4 55; or
12928	12928	5 (ii) beginning January 1, 1987, 25 years of eligible
12929	12929	6 creditable service and age 54, or 24 years of eligible
12930	12930	7 creditable service and age 55; or
12931	12931	8 (iii) beginning January 1, 1988, 25 years of eligible
12932	12932	9 creditable service and age 53, or 23 years of eligible
12933	12933	10 creditable service and age 55; or
12934	12934	11 (iv) beginning January 1, 1989, 25 years of eligible
12935	12935	12 creditable service and age 52, or 22 years of eligible
12936	12936	13 creditable service and age 55; or
12937	12937	14 (v) beginning January 1, 1990, 25 years of eligible
12938	12938	15 creditable service and age 51, or 21 years of eligible
12939	12939	16 creditable service and age 55; or
12940	12940	17 (vi) beginning January 1, 1991, 25 years of eligible
12941	12941	18 creditable service and age 50, or 20 years of eligible
12942	12942	19 creditable service and age 55.
12943	12943	20 Persons who have service credit under Article 16 of this
12944	12944	21 Code for service as a security employee of the Department of
12945	12945	22 Corrections or the Department of Juvenile Justice, or the
12946	12946	23 Department of Human Services in a position requiring
12947	12947	24 certification as a teacher may count such service toward
12948	12948	25 establishing their eligibility under the service requirements
12949	12949	26 of this Section; but such service may be used only for
12950	12950
12951	12951
12952	12952
12953	12953
12954	12954
12955	12955	SB0002 - 361 - LRB104 07746 RPS 17791 b
12956	12956
12957	12957
12958	12958	SB0002- 362 -LRB104 07746 RPS 17791 b SB0002 - 362 - LRB104 07746 RPS 17791 b
12959	12959	SB0002 - 362 - LRB104 07746 RPS 17791 b
12960	12960	1 establishing such eligibility, and not for the purpose of
12961	12961	2 increasing or calculating any benefit.
12962	12962	3 (e) If a member enters military service while working in a
12963	12963	4 position in which eligible creditable service may be earned,
12964	12964	5 and returns to State service in the same or another such
12965	12965	6 position, and fulfills in all other respects the conditions
12966	12966	7 prescribed in this Article for credit for military service,
12967	12967	8 such military service shall be credited as eligible creditable
12968	12968	9 service for the purposes of the retirement annuity prescribed
12969	12969	10 in this Section.
12970	12970	11 (f) For purposes of calculating retirement annuities under
12971	12971	12 this Section, periods of service rendered after December 31,
12972	12972	13 1968 and before October 1, 1975 as a covered employee in the
12973	12973	14 position of special agent, conservation police officer, mental
12974	12974	15 health police officer, or investigator for the Secretary of
12975	12975	16 State, shall be deemed to have been service as a noncovered
12976	12976	17 employee, provided that the employee pays to the System prior
12977	12977	18 to retirement an amount equal to (1) the difference between
12978	12978	19 the employee contributions that would have been required for
12979	12979	20 such service as a noncovered employee, and the amount of
12980	12980	21 employee contributions actually paid, plus (2) if payment is
12981	12981	22 made after July 31, 1987, regular interest on the amount
12982	12982	23 specified in item (1) from the date of service to the date of
12983	12983	24 payment.
12984	12984	25 For purposes of calculating retirement annuities under
12985	12985	26 this Section, periods of service rendered after December 31,
12986	12986
12987	12987
12988	12988
12989	12989
12990	12990
12991	12991	SB0002 - 362 - LRB104 07746 RPS 17791 b
12992	12992
12993	12993
12994	12994	SB0002- 363 -LRB104 07746 RPS 17791 b SB0002 - 363 - LRB104 07746 RPS 17791 b
12995	12995	SB0002 - 363 - LRB104 07746 RPS 17791 b
12996	12996	1 1968 and before January 1, 1982 as a covered employee in the
12997	12997	2 position of investigator for the Department of Revenue shall
12998	12998	3 be deemed to have been service as a noncovered employee,
12999	12999	4 provided that the employee pays to the System prior to
13000	13000	5 retirement an amount equal to (1) the difference between the
13001	13001	6 employee contributions that would have been required for such
13002	13002	7 service as a noncovered employee, and the amount of employee
13003	13003	8 contributions actually paid, plus (2) if payment is made after
13004	13004	9 January 1, 1990, regular interest on the amount specified in
13005	13005	10 item (1) from the date of service to the date of payment.
13006	13006	11 (g) A State policeman may elect, not later than January 1,
13007	13007	12 1990, to establish eligible creditable service for up to 10
13008	13008	13 years of his service as a policeman under Article 3, by filing
13009	13009	14 a written election with the Board, accompanied by payment of
13010	13010	15 an amount to be determined by the Board, equal to (i) the
13011	13011	16 difference between the amount of employee and employer
13012	13012	17 contributions transferred to the System under Section 3-110.5,
13013	13013	18 and the amounts that would have been contributed had such
13014	13014	19 contributions been made at the rates applicable to State
13015	13015	20 policemen, plus (ii) interest thereon at the effective rate
13016	13016	21 for each year, compounded annually, from the date of service
13017	13017	22 to the date of payment.
13018	13018	23 Subject to the limitation in subsection (i), a State
13019	13019	24 policeman may elect, not later than July 1, 1993, to establish
13020	13020	25 eligible creditable service for up to 10 years of his service
13021	13021	26 as a member of the County Police Department under Article 9, by
13022	13022
13023	13023
13024	13024
13025	13025
13026	13026
13027	13027	SB0002 - 363 - LRB104 07746 RPS 17791 b
13028	13028
13029	13029
13030	13030	SB0002- 364 -LRB104 07746 RPS 17791 b SB0002 - 364 - LRB104 07746 RPS 17791 b
13031	13031	SB0002 - 364 - LRB104 07746 RPS 17791 b
13032	13032	1 filing a written election with the Board, accompanied by
13033	13033	2 payment of an amount to be determined by the Board, equal to
13034	13034	3 (i) the difference between the amount of employee and employer
13035	13035	4 contributions transferred to the System under Section 9-121.10
13036	13036	5 and the amounts that would have been contributed had those
13037	13037	6 contributions been made at the rates applicable to State
13038	13038	7 policemen, plus (ii) interest thereon at the effective rate
13039	13039	8 for each year, compounded annually, from the date of service
13040	13040	9 to the date of payment.
13041	13041	10 (h) Subject to the limitation in subsection (i), a State
13042	13042	11 policeman or investigator for the Secretary of State may elect
13043	13043	12 to establish eligible creditable service for up to 12 years of
13044	13044	13 his service as a policeman under Article 5, by filing a written
13045	13045	14 election with the Board on or before January 31, 1992, and
13046	13046	15 paying to the System by January 31, 1994 an amount to be
13047	13047	16 determined by the Board, equal to (i) the difference between
13048	13048	17 the amount of employee and employer contributions transferred
13049	13049	18 to the System under Section 5-236, and the amounts that would
13050	13050	19 have been contributed had such contributions been made at the
13051	13051	20 rates applicable to State policemen, plus (ii) interest
13052	13052	21 thereon at the effective rate for each year, compounded
13053	13053	22 annually, from the date of service to the date of payment.
13054	13054	23 Subject to the limitation in subsection (i), a State
13055	13055	24 policeman, conservation police officer, or investigator for
13056	13056	25 the Secretary of State may elect to establish eligible
13057	13057	26 creditable service for up to 10 years of service as a sheriff's
13058	13058
13059	13059
13060	13060
13061	13061
13062	13062
13063	13063	SB0002 - 364 - LRB104 07746 RPS 17791 b
13064	13064
13065	13065
13066	13066	SB0002- 365 -LRB104 07746 RPS 17791 b SB0002 - 365 - LRB104 07746 RPS 17791 b
13067	13067	SB0002 - 365 - LRB104 07746 RPS 17791 b
13068	13068	1 law enforcement employee under Article 7, by filing a written
13069	13069	2 election with the Board on or before January 31, 1993, and
13070	13070	3 paying to the System by January 31, 1994 an amount to be
13071	13071	4 determined by the Board, equal to (i) the difference between
13072	13072	5 the amount of employee and employer contributions transferred
13073	13073	6 to the System under Section 7-139.7, and the amounts that
13074	13074	7 would have been contributed had such contributions been made
13075	13075	8 at the rates applicable to State policemen, plus (ii) interest
13076	13076	9 thereon at the effective rate for each year, compounded
13077	13077	10 annually, from the date of service to the date of payment.
13078	13078	11 Subject to the limitation in subsection (i), a State
13079	13079	12 policeman, conservation police officer, or investigator for
13080	13080	13 the Secretary of State may elect to establish eligible
13081	13081	14 creditable service for up to 5 years of service as a police
13082	13082	15 officer under Article 3, a policeman under Article 5, a
13083	13083	16 sheriff's law enforcement employee under Article 7, a member
13084	13084	17 of the county police department under Article 9, or a police
13085	13085	18 officer under Article 15 by filing a written election with the
13086	13086	19 Board and paying to the System an amount to be determined by
13087	13087	20 the Board, equal to (i) the difference between the amount of
13088	13088	21 employee and employer contributions transferred to the System
13089	13089	22 under Section 3-110.6, 5-236, 7-139.8, 9-121.10, or 15-134.4
13090	13090	23 and the amounts that would have been contributed had such
13091	13091	24 contributions been made at the rates applicable to State
13092	13092	25 policemen, plus (ii) interest thereon at the effective rate
13093	13093	26 for each year, compounded annually, from the date of service
13094	13094
13095	13095
13096	13096
13097	13097
13098	13098
13099	13099	SB0002 - 365 - LRB104 07746 RPS 17791 b
13100	13100
13101	13101
13102	13102	SB0002- 366 -LRB104 07746 RPS 17791 b SB0002 - 366 - LRB104 07746 RPS 17791 b
13103	13103	SB0002 - 366 - LRB104 07746 RPS 17791 b
13104	13104	1 to the date of payment.
13105	13105	2 Subject to the limitation in subsection (i), an
13106	13106	3 investigator for the Office of the Attorney General, or an
13107	13107	4 investigator for the Department of Revenue, may elect to
13108	13108	5 establish eligible creditable service for up to 5 years of
13109	13109	6 service as a police officer under Article 3, a policeman under
13110	13110	7 Article 5, a sheriff's law enforcement employee under Article
13111	13111	8 7, or a member of the county police department under Article 9
13112	13112	9 by filing a written election with the Board within 6 months
13113	13113	10 after August 25, 2009 (the effective date of Public Act
13114	13114	11 96-745) and paying to the System an amount to be determined by
13115	13115	12 the Board, equal to (i) the difference between the amount of
13116	13116	13 employee and employer contributions transferred to the System
13117	13117	14 under Section 3-110.6, 5-236, 7-139.8, or 9-121.10 and the
13118	13118	15 amounts that would have been contributed had such
13119	13119	16 contributions been made at the rates applicable to State
13120	13120	17 policemen, plus (ii) interest thereon at the actuarially
13121	13121	18 assumed rate for each year, compounded annually, from the date
13122	13122	19 of service to the date of payment.
13123	13123	20 Subject to the limitation in subsection (i), a State
13124	13124	21 policeman, conservation police officer, investigator for the
13125	13125	22 Office of the Attorney General, an investigator for the
13126	13126	23 Department of Revenue, or investigator for the Secretary of
13127	13127	24 State may elect to establish eligible creditable service for
13128	13128	25 up to 5 years of service as a person employed by a
13129	13129	26 participating municipality to perform police duties, or law
13130	13130
13131	13131
13132	13132
13133	13133
13134	13134
13135	13135	SB0002 - 366 - LRB104 07746 RPS 17791 b
13136	13136
13137	13137
13138	13138	SB0002- 367 -LRB104 07746 RPS 17791 b SB0002 - 367 - LRB104 07746 RPS 17791 b
13139	13139	SB0002 - 367 - LRB104 07746 RPS 17791 b
13140	13140	1 enforcement officer employed on a full-time basis by a forest
13141	13141	2 preserve district under Article 7, a county corrections
13142	13142	3 officer, or a court services officer under Article 9, by
13143	13143	4 filing a written election with the Board within 6 months after
13144	13144	5 August 25, 2009 (the effective date of Public Act 96-745) and
13145	13145	6 paying to the System an amount to be determined by the Board,
13146	13146	7 equal to (i) the difference between the amount of employee and
13147	13147	8 employer contributions transferred to the System under
13148	13148	9 Sections 7-139.8 and 9-121.10 and the amounts that would have
13149	13149	10 been contributed had such contributions been made at the rates
13150	13150	11 applicable to State policemen, plus (ii) interest thereon at
13151	13151	12 the actuarially assumed rate for each year, compounded
13152	13152	13 annually, from the date of service to the date of payment.
13153	13153	14 Subject to the limitation in subsection (i), a State
13154	13154	15 policeman, arson investigator, or Commerce Commission police
13155	13155	16 officer may elect to establish eligible creditable service for
13156	13156	17 up to 5 years of service as a person employed by a
13157	13157	18 participating municipality to perform police duties under
13158	13158	19 Article 7, a county corrections officer, a court services
13159	13159	20 officer under Article 9, or a firefighter under Article 4 by
13160	13160	21 filing a written election with the Board within 6 months after
13161	13161	22 July 30, 2021 (the effective date of Public Act 102-210) and
13162	13162	23 paying to the System an amount to be determined by the Board
13163	13163	24 equal to (i) the difference between the amount of employee and
13164	13164	25 employer contributions transferred to the System under
13165	13165	26 Sections 4-108.8, 7-139.8, and 9-121.10 and the amounts that
13166	13166
13167	13167
13168	13168
13169	13169
13170	13170
13171	13171	SB0002 - 367 - LRB104 07746 RPS 17791 b
13172	13172
13173	13173
13174	13174	SB0002- 368 -LRB104 07746 RPS 17791 b SB0002 - 368 - LRB104 07746 RPS 17791 b
13175	13175	SB0002 - 368 - LRB104 07746 RPS 17791 b
13176	13176	1 would have been contributed had such contributions been made
13177	13177	2 at the rates applicable to State policemen, plus (ii) interest
13178	13178	3 thereon at the actuarially assumed rate for each year,
13179	13179	4 compounded annually, from the date of service to the date of
13180	13180	5 payment.
13181	13181	6 Subject to the limitation in subsection (i), a
13182	13182	7 conservation police officer may elect to establish eligible
13183	13183	8 creditable service for up to 5 years of service as a person
13184	13184	9 employed by a participating municipality to perform police
13185	13185	10 duties under Article 7, a county corrections officer, or a
13186	13186	11 court services officer under Article 9 by filing a written
13187	13187	12 election with the Board within 6 months after July 30, 2021
13188	13188	13 (the effective date of Public Act 102-210) and paying to the
13189	13189	14 System an amount to be determined by the Board equal to (i) the
13190	13190	15 difference between the amount of employee and employer
13191	13191	16 contributions transferred to the System under Sections 7-139.8
13192	13192	17 and 9-121.10 and the amounts that would have been contributed
13193	13193	18 had such contributions been made at the rates applicable to
13194	13194	19 State policemen, plus (ii) interest thereon at the actuarially
13195	13195	20 assumed rate for each year, compounded annually, from the date
13196	13196	21 of service to the date of payment.
13197	13197	22 Notwithstanding the limitation in subsection (i), a State
13198	13198	23 policeman or conservation police officer may elect to convert
13199	13199	24 service credit earned under this Article to eligible
13200	13200	25 creditable service, as defined by this Section, by filing a
13201	13201	26 written election with the board within 6 months after July 30,
13202	13202
13203	13203
13204	13204
13205	13205
13206	13206
13207	13207	SB0002 - 368 - LRB104 07746 RPS 17791 b
13208	13208
13209	13209
13210	13210	SB0002- 369 -LRB104 07746 RPS 17791 b SB0002 - 369 - LRB104 07746 RPS 17791 b
13211	13211	SB0002 - 369 - LRB104 07746 RPS 17791 b
13212	13212	1 2021 (the effective date of Public Act 102-210) and paying to
13213	13213	2 the System an amount to be determined by the Board equal to (i)
13214	13214	3 the difference between the amount of employee contributions
13215	13215	4 originally paid for that service and the amounts that would
13216	13216	5 have been contributed had such contributions been made at the
13217	13217	6 rates applicable to State policemen, plus (ii) the difference
13218	13218	7 between the employer's normal cost of the credit prior to the
13219	13219	8 conversion authorized by Public Act 102-210 and the employer's
13220	13220	9 normal cost of the credit converted in accordance with Public
13221	13221	10 Act 102-210, plus (iii) interest thereon at the actuarially
13222	13222	11 assumed rate for each year, compounded annually, from the date
13223	13223	12 of service to the date of payment.
13224	13224	13 (i) The total amount of eligible creditable service
13225	13225	14 established by any person under subsections (g), (h), (j),
13226	13226	15 (k), (l), (l-5), and (o), and (r) of this Section shall not
13227	13227	16 exceed 12 years.
13228	13228	17 (j) Subject to the limitation in subsection (i), an
13229	13229	18 investigator for the Office of the State's Attorneys Appellate
13230	13230	19 Prosecutor or a controlled substance inspector may elect to
13231	13231	20 establish eligible creditable service for up to 10 years of
13232	13232	21 his service as a policeman under Article 3 or a sheriff's law
13233	13233	22 enforcement employee under Article 7, by filing a written
13234	13234	23 election with the Board, accompanied by payment of an amount
13235	13235	24 to be determined by the Board, equal to (1) the difference
13236	13236	25 between the amount of employee and employer contributions
13237	13237	26 transferred to the System under Section 3-110.6 or 7-139.8,
13238	13238
13239	13239
13240	13240
13241	13241
13242	13242
13243	13243	SB0002 - 369 - LRB104 07746 RPS 17791 b
13244	13244
13245	13245
13246	13246	SB0002- 370 -LRB104 07746 RPS 17791 b SB0002 - 370 - LRB104 07746 RPS 17791 b
13247	13247	SB0002 - 370 - LRB104 07746 RPS 17791 b
13248	13248	1 and the amounts that would have been contributed had such
13249	13249	2 contributions been made at the rates applicable to State
13250	13250	3 policemen, plus (2) interest thereon at the effective rate for
13251	13251	4 each year, compounded annually, from the date of service to
13252	13252	5 the date of payment.
13253	13253	6 (k) Subject to the limitation in subsection (i) of this
13254	13254	7 Section, an alternative formula employee may elect to
13255	13255	8 establish eligible creditable service for periods spent as a
13256	13256	9 full-time law enforcement officer or full-time corrections
13257	13257	10 officer employed by the federal government or by a state or
13258	13258	11 local government located outside of Illinois, for which credit
13259	13259	12 is not held in any other public employee pension fund or
13260	13260	13 retirement system. To obtain this credit, the applicant must
13261	13261	14 file a written application with the Board by March 31, 1998,
13262	13262	15 accompanied by evidence of eligibility acceptable to the Board
13263	13263	16 and payment of an amount to be determined by the Board, equal
13264	13264	17 to (1) employee contributions for the credit being
13265	13265	18 established, based upon the applicant's salary on the first
13266	13266	19 day as an alternative formula employee after the employment
13267	13267	20 for which credit is being established and the rates then
13268	13268	21 applicable to alternative formula employees, plus (2) an
13269	13269	22 amount determined by the Board to be the employer's normal
13270	13270	23 cost of the benefits accrued for the credit being established,
13271	13271	24 plus (3) regular interest on the amounts in items (1) and (2)
13272	13272	25 from the first day as an alternative formula employee after
13273	13273	26 the employment for which credit is being established to the
13274	13274
13275	13275
13276	13276
13277	13277
13278	13278
13279	13279	SB0002 - 370 - LRB104 07746 RPS 17791 b
13280	13280
13281	13281
13282	13282	SB0002- 371 -LRB104 07746 RPS 17791 b SB0002 - 371 - LRB104 07746 RPS 17791 b
13283	13283	SB0002 - 371 - LRB104 07746 RPS 17791 b
13284	13284	1 date of payment.
13285	13285	2 (l) Subject to the limitation in subsection (i), a
13286	13286	3 security employee of the Department of Corrections may elect,
13287	13287	4 not later than July 1, 1998, to establish eligible creditable
13288	13288	5 service for up to 10 years of his or her service as a policeman
13289	13289	6 under Article 3, by filing a written election with the Board,
13290	13290	7 accompanied by payment of an amount to be determined by the
13291	13291	8 Board, equal to (i) the difference between the amount of
13292	13292	9 employee and employer contributions transferred to the System
13293	13293	10 under Section 3-110.5, and the amounts that would have been
13294	13294	11 contributed had such contributions been made at the rates
13295	13295	12 applicable to security employees of the Department of
13296	13296	13 Corrections, plus (ii) interest thereon at the effective rate
13297	13297	14 for each year, compounded annually, from the date of service
13298	13298	15 to the date of payment.
13299	13299	16 (l-5) Subject to the limitation in subsection (i) of this
13300	13300	17 Section, a State policeman may elect to establish eligible
13301	13301	18 creditable service for up to 5 years of service as a full-time
13302	13302	19 law enforcement officer employed by the federal government or
13303	13303	20 by a state or local government located outside of Illinois for
13304	13304	21 which credit is not held in any other public employee pension
13305	13305	22 fund or retirement system. To obtain this credit, the
13306	13306	23 applicant must file a written application with the Board no
13307	13307	24 later than 3 years after January 1, 2020 (the effective date of
13308	13308	25 Public Act 101-610), accompanied by evidence of eligibility
13309	13309	26 acceptable to the Board and payment of an amount to be
13310	13310
13311	13311
13312	13312
13313	13313
13314	13314
13315	13315	SB0002 - 371 - LRB104 07746 RPS 17791 b
13316	13316
13317	13317
13318	13318	SB0002- 372 -LRB104 07746 RPS 17791 b SB0002 - 372 - LRB104 07746 RPS 17791 b
13319	13319	SB0002 - 372 - LRB104 07746 RPS 17791 b
13320	13320	1 determined by the Board, equal to (1) employee contributions
13321	13321	2 for the credit being established, based upon the applicant's
13322	13322	3 salary on the first day as an alternative formula employee
13323	13323	4 after the employment for which credit is being established and
13324	13324	5 the rates then applicable to alternative formula employees,
13325	13325	6 plus (2) an amount determined by the Board to be the employer's
13326	13326	7 normal cost of the benefits accrued for the credit being
13327	13327	8 established, plus (3) regular interest on the amounts in items
13328	13328	9 (1) and (2) from the first day as an alternative formula
13329	13329	10 employee after the employment for which credit is being
13330	13330	11 established to the date of payment.
13331	13331	12 (m) The amendatory changes to this Section made by Public
13332	13332	13 Act 94-696 apply only to: (1) security employees of the
13333	13333	14 Department of Juvenile Justice employed by the Department of
13334	13334	15 Corrections before June 1, 2006 (the effective date of Public
13335	13335	16 Act 94-696) and transferred to the Department of Juvenile
13336	13336	17 Justice by Public Act 94-696; and (2) persons employed by the
13337	13337	18 Department of Juvenile Justice on or after June 1, 2006 (the
13338	13338	19 effective date of Public Act 94-696) who are required by
13339	13339	20 subsection (b) of Section 3-2.5-15 of the Unified Code of
13340	13340	21 Corrections to have any bachelor's or advanced degree from an
13341	13341	22 accredited college or university or, in the case of persons
13342	13342	23 who provide vocational training, who are required to have
13343	13343	24 adequate knowledge in the skill for which they are providing
13344	13344	25 the vocational training.
13345	13345	26 Beginning with the pay period that immediately follows the
13346	13346
13347	13347
13348	13348
13349	13349
13350	13350
13351	13351	SB0002 - 372 - LRB104 07746 RPS 17791 b
13352	13352
13353	13353
13354	13354	SB0002- 373 -LRB104 07746 RPS 17791 b SB0002 - 373 - LRB104 07746 RPS 17791 b
13355	13355	SB0002 - 373 - LRB104 07746 RPS 17791 b
13356	13356	1 effective date of this amendatory Act of the 104th General
13357	13357	2 Assembly, the bachelor's or advanced degree requirement of
13358	13358	3 subsection (b) of Section 3-2.5-15 of the Unified Code of
13359	13359	4 Corrections shall no longer determine the eligibility to earn
13360	13360	5 eligible creditable service for a person employed by the
13361	13361	6 Department of Juvenile Justice.
13362	13362	7 An employee may elect to convert into eligible creditable
13363	13363	8 service his or her creditable service earned with the
13364	13364	9 Department of Juvenile Justice while employed in a position
13365	13365	10 that required the employee to do any one or more of the
13366	13366	11 following: (1) participate or assist in the rehabilitative and
13367	13367	12 vocational training of delinquent youths; (2) supervise the
13368	13368	13 daily activities and assume direct and continuing
13369	13369	14 responsibility for the youth's security, welfare, and
13370	13370	15 development; or (3) participate in the personal rehabilitation
13371	13371	16 of delinquent youth by training, supervising, and assisting
13372	13372	17 lower-level personnel. To convert that creditable service to
13373	13373	18 eligible creditable service, the employee must pay to the
13374	13374	19 System the difference between the employee contributions
13375	13375	20 actually paid for that service and the amounts that would have
13376	13376	21 been contributed if the applicant were contributing at the
13377	13377	22 rate applicable to persons with the same Social Security
13378	13378	23 status earning eligible creditable service on the date of
13379	13379	24 application.
13380	13380	25 (n) A person employed in a position under subsection (b)
13381	13381	26 of this Section who has purchased service credit under
13382	13382
13383	13383
13384	13384
13385	13385
13386	13386
13387	13387	SB0002 - 373 - LRB104 07746 RPS 17791 b
13388	13388
13389	13389
13390	13390	SB0002- 374 -LRB104 07746 RPS 17791 b SB0002 - 374 - LRB104 07746 RPS 17791 b
13391	13391	SB0002 - 374 - LRB104 07746 RPS 17791 b
13392	13392	1 subsection (j) of Section 14-104 or subsection (b) of Section
13393	13393	2 14-105 in any other capacity under this Article may convert up
13394	13394	3 to 5 years of that service credit into service credit covered
13395	13395	4 under this Section by paying to the Fund an amount equal to (1)
13396	13396	5 the additional employee contribution required under Section
13397	13397	6 14-133, plus (2) the additional employer contribution required
13398	13398	7 under Section 14-131, plus (3) interest on items (1) and (2) at
13399	13399	8 the actuarially assumed rate from the date of the service to
13400	13400	9 the date of payment.
13401	13401	10 (o) Subject to the limitation in subsection (i), a
13402	13402	11 conservation police officer, investigator for the Secretary of
13403	13403	12 State, Commerce Commission police officer, investigator for
13404	13404	13 the Department of Revenue or the Illinois Gaming Board, or
13405	13405	14 arson investigator subject to subsection (g) of Section 1-160
13406	13406	15 may elect to convert up to 8 years of service credit
13407	13407	16 established before January 1, 2020 (the effective date of
13408	13408	17 Public Act 101-610) as a conservation police officer,
13409	13409	18 investigator for the Secretary of State, Commerce Commission
13410	13410	19 police officer, investigator for the Department of Revenue or
13411	13411	20 the Illinois Gaming Board, or arson investigator under this
13412	13412	21 Article into eligible creditable service by filing a written
13413	13413	22 election with the Board no later than one year after January 1,
13414	13414	23 2020 (the effective date of Public Act 101-610), accompanied
13415	13415	24 by payment of an amount to be determined by the Board equal to
13416	13416	25 (i) the difference between the amount of the employee
13417	13417	26 contributions actually paid for that service and the amount of
13418	13418
13419	13419
13420	13420
13421	13421
13422	13422
13423	13423	SB0002 - 374 - LRB104 07746 RPS 17791 b
13424	13424
13425	13425
13426	13426	SB0002- 375 -LRB104 07746 RPS 17791 b SB0002 - 375 - LRB104 07746 RPS 17791 b
13427	13427	SB0002 - 375 - LRB104 07746 RPS 17791 b
13428	13428	1 the employee contributions that would have been paid had the
13429	13429	2 employee contributions been made as a noncovered employee
13430	13430	3 serving in a position in which eligible creditable service, as
13431	13431	4 defined in this Section, may be earned, plus (ii) interest
13432	13432	5 thereon at the effective rate for each year, compounded
13433	13433	6 annually, from the date of service to the date of payment.
13434	13434	7 (q) A security employee of the Department of Human
13435	13435	8 Services who is subject to subsection (g) of Section 1-160 may
13436	13436	9 elect to convert up to 13 years of service credit established
13437	13437	10 before the effective date of this amendatory Act of the 104th
13438	13438	11 General Assembly as a security employee of the Department of
13439	13439	12 Human Services to eligible creditable service by filing a
13440	13440	13 written election with the Board no later than one year after
13441	13441	14 the effective date of this amendatory Act of the 104th General
13442	13442	15 Assembly, accompanied by payment of an amount, to be
13443	13443	16 determined by the Board, equal to (i) the difference between
13444	13444	17 the amount of the employee contributions actually paid for
13445	13445	18 that service and the amount of the employee contributions that
13446	13446	19 would have been paid had the employee contributions been made
13447	13447	20 as a covered employee serving in a position in which eligible
13448	13448	21 creditable service, as defined in this Section, may be earned,
13449	13449	22 plus (ii) interest thereon at the effective rate for each
13450	13450	23 year, compounded annually, from the date of service to the
13451	13451	24 date of payment.
13452	13452	25 (r) Subject to the limitation in subsection (i), a State
13453	13453	26 highway maintenance worker subject to subsection (g) of
13454	13454
13455	13455
13456	13456
13457	13457
13458	13458
13459	13459	SB0002 - 375 - LRB104 07746 RPS 17791 b
13460	13460
13461	13461
13462	13462	SB0002- 376 -LRB104 07746 RPS 17791 b SB0002 - 376 - LRB104 07746 RPS 17791 b
13463	13463	SB0002 - 376 - LRB104 07746 RPS 17791 b
13464	13464	1 Section 1-160 may elect to convert up to 8 years of service
13465	13465	2 credit established before the effective date of this
13466	13466	3 amendatory Act of the 104th General Assembly as a State
13467	13467	4 highway maintenance work under this Article into eligible
13468	13468	5 creditable service by filing a written election with the Board
13469	13469	6 no later than one year after the effective date of this
13470	13470	7 amendatory Act of the 104th General Assembly, accompanied by
13471	13471	8 payment of an amount to be determined by the Board equal to (i)
13472	13472	9 the difference between the amount of the employee
13473	13473	10 contributions actually paid for that service and the amount of
13474	13474	11 the employee contributions that would have been paid had the
13475	13475	12 employee contributions been made as a noncovered employee
13476	13476	13 serving in a position in which eligible creditable service, as
13477	13477	14 defined in this Section, may be earned, plus (ii) interest
13478	13478	15 thereon at the effective rate for each year, compounded
13479	13479	16 annually, from the date of service to the date of payment.
13480	13480	17 (Source: P.A. 102-210, eff. 7-30-21; 102-538, eff. 8-20-21;
13481	13481	18 102-813, eff. 5-13-22; 103-34, eff. 1-1-24.)
13482	13482	19 (Text of Section from P.A. 102-856 and 103-34)
13483	13483	20 Sec. 14-110. Alternative retirement annuity.
13484	13484	21 (a) Any member who has withdrawn from service with not
13485	13485	22 less than 20 years of eligible creditable service and has
13486	13486	23 attained age 55, and any member who has withdrawn from service
13487	13487	24 with not less than 25 years of eligible creditable service and
13488	13488	25 has attained age 50, regardless of whether the attainment of
13489	13489
13490	13490
13491	13491
13492	13492
13493	13493
13494	13494	SB0002 - 376 - LRB104 07746 RPS 17791 b
13495	13495
13496	13496
13497	13497	SB0002- 377 -LRB104 07746 RPS 17791 b SB0002 - 377 - LRB104 07746 RPS 17791 b
13498	13498	SB0002 - 377 - LRB104 07746 RPS 17791 b
13499	13499	1 either of the specified ages occurs while the member is still
13500	13500	2 in service, shall be entitled to receive at the option of the
13501	13501	3 member, in lieu of the regular or minimum retirement annuity,
13502	13502	4 a retirement annuity computed as follows:
13503	13503	5 (i) for periods of service as a noncovered employee:
13504	13504	6 if retirement occurs on or after January 1, 2001, 3% of
13505	13505	7 final average compensation for each year of creditable
13506	13506	8 service; if retirement occurs before January 1, 2001, 2
13507	13507	9 1/4% of final average compensation for each of the first
13508	13508	10 10 years of creditable service, 2 1/2% for each year above
13509	13509	11 10 years to and including 20 years of creditable service,
13510	13510	12 and 2 3/4% for each year of creditable service above 20
13511	13511	13 years; and
13512	13512	14 (ii) for periods of eligible creditable service as a
13513	13513	15 covered employee: if retirement occurs on or after January
13514	13514	16 1, 2001, 2.5% of final average compensation for each year
13515	13515	17 of creditable service; if retirement occurs before January
13516	13516	18 1, 2001, 1.67% of final average compensation for each of
13517	13517	19 the first 10 years of such service, 1.90% for each of the
13518	13518	20 next 10 years of such service, 2.10% for each year of such
13519	13519	21 service in excess of 20 but not exceeding 30, and 2.30% for
13520	13520	22 each year in excess of 30.
13521	13521	23 Such annuity shall be subject to a maximum of 75% of final
13522	13522	24 average compensation if retirement occurs before January 1,
13523	13523	25 2001 or to a maximum of 80% of final average compensation if
13524	13524	26 retirement occurs on or after January 1, 2001.
13525	13525
13526	13526
13527	13527
13528	13528
13529	13529
13530	13530	SB0002 - 377 - LRB104 07746 RPS 17791 b
13531	13531
13532	13532
13533	13533	SB0002- 378 -LRB104 07746 RPS 17791 b SB0002 - 378 - LRB104 07746 RPS 17791 b
13534	13534	SB0002 - 378 - LRB104 07746 RPS 17791 b
13535	13535	1 These rates shall not be applicable to any service
13536	13536	2 performed by a member as a covered employee which is not
13537	13537	3 eligible creditable service. Service as a covered employee
13538	13538	4 which is not eligible creditable service shall be subject to
13539	13539	5 the rates and provisions of Section 14-108.
13540	13540	6 (b) For the purpose of this Section, "eligible creditable
13541	13541	7 service" means creditable service resulting from service in
13542	13542	8 one or more of the following positions:
13543	13543	9 (1) State policeman;
13544	13544	10 (2) fire fighter in the fire protection service of a
13545	13545	11 department;
13546	13546	12 (3) air pilot;
13547	13547	13 (4) special agent;
13548	13548	14 (5) investigator for the Secretary of State;
13549	13549	15 (6) conservation police officer;
13550	13550	16 (7) investigator for the Department of Revenue or the
13551	13551	17 Illinois Gaming Board;
13552	13552	18 (8) security employee of the Department of Human
13553	13553	19 Services;
13554	13554	20 (9) Central Management Services security police
13555	13555	21 officer;
13556	13556	22 (10) security employee of the Department of
13557	13557	23 Corrections or the Department of Juvenile Justice;
13558	13558	24 (11) dangerous drugs investigator;
13559	13559	25 (12) investigator for the Illinois State Police;
13560	13560	26 (13) investigator for the Office of the Attorney
13561	13561
13562	13562
13563	13563
13564	13564
13565	13565
13566	13566	SB0002 - 378 - LRB104 07746 RPS 17791 b
13567	13567
13568	13568
13569	13569	SB0002- 379 -LRB104 07746 RPS 17791 b SB0002 - 379 - LRB104 07746 RPS 17791 b
13570	13570	SB0002 - 379 - LRB104 07746 RPS 17791 b
13571	13571	1 General;
13572	13572	2 (14) controlled substance inspector;
13573	13573	3 (15) investigator for the Office of the State's
13574	13574	4 Attorneys Appellate Prosecutor;
13575	13575	5 (16) Commerce Commission police officer;
13576	13576	6 (17) arson investigator;
13577	13577	7 (18) State highway maintenance worker;
13578	13578	8 (19) security employee of the Department of Innovation
13579	13579	9 and Technology; or
13580	13580	10 (20) transferred employee; or .
13581	13581	11 (21) investigator for the Department of the Lottery.
13582	13582	12 A person employed in one of the positions specified in
13583	13583	13 this subsection is entitled to eligible creditable service for
13584	13584	14 service credit earned under this Article while undergoing the
13585	13585	15 basic police training course approved by the Illinois Law
13586	13586	16 Enforcement Training Standards Board, if completion of that
13587	13587	17 training is required of persons serving in that position. For
13588	13588	18 the purposes of this Code, service during the required basic
13589	13589	19 police training course shall be deemed performance of the
13590	13590	20 duties of the specified position, even though the person is
13591	13591	21 not a sworn peace officer at the time of the training.
13592	13592	22 A person under paragraph (20) is entitled to eligible
13593	13593	23 creditable service for service credit earned under this
13594	13594	24 Article on and after his or her transfer by Executive Order No.
13595	13595	25 2003-10, Executive Order No. 2004-2, or Executive Order No.
13596	13596	26 2016-1.
13597	13597
13598	13598
13599	13599
13600	13600
13601	13601
13602	13602	SB0002 - 379 - LRB104 07746 RPS 17791 b
13603	13603
13604	13604
13605	13605	SB0002- 380 -LRB104 07746 RPS 17791 b SB0002 - 380 - LRB104 07746 RPS 17791 b
13606	13606	SB0002 - 380 - LRB104 07746 RPS 17791 b
13607	13607	1 (c) For the purposes of this Section:
13608	13608	2 (1) The term "State policeman" includes any title or
13609	13609	3 position in the Illinois State Police that is held by an
13610	13610	4 individual employed under the Illinois State Police Act.
13611	13611	5 (2) The term "fire fighter in the fire protection
13612	13612	6 service of a department" includes all officers in such
13613	13613	7 fire protection service including fire chiefs and
13614	13614	8 assistant fire chiefs.
13615	13615	9 (3) The term "air pilot" includes any employee whose
13616	13616	10 official job description on file in the Department of
13617	13617	11 Central Management Services, or in the department by which
13618	13618	12 he is employed if that department is not covered by the
13619	13619	13 Personnel Code, states that his principal duty is the
13620	13620	14 operation of aircraft, and who possesses a pilot's
13621	13621	15 license; however, the change in this definition made by
13622	13622	16 Public Act 83-842 shall not operate to exclude any
13623	13623	17 noncovered employee who was an "air pilot" for the
13624	13624	18 purposes of this Section on January 1, 1984.
13625	13625	19 (4) The term "special agent" means any person who by
13626	13626	20 reason of employment by the Division of Narcotic Control,
13627	13627	21 the Bureau of Investigation or, after July 1, 1977, the
13628	13628	22 Division of Criminal Investigation, the Division of
13629	13629	23 Internal Investigation, the Division of Operations, the
13630	13630	24 Division of Patrol, or any other Division or
13631	13631	25 organizational entity in the Illinois State Police is
13632	13632	26 vested by law with duties to maintain public order,
13633	13633
13634	13634
13635	13635
13636	13636
13637	13637
13638	13638	SB0002 - 380 - LRB104 07746 RPS 17791 b
13639	13639
13640	13640
13641	13641	SB0002- 381 -LRB104 07746 RPS 17791 b SB0002 - 381 - LRB104 07746 RPS 17791 b
13642	13642	SB0002 - 381 - LRB104 07746 RPS 17791 b
13643	13643	1 investigate violations of the criminal law of this State,
13644	13644	2 enforce the laws of this State, make arrests and recover
13645	13645	3 property. The term "special agent" includes any title or
13646	13646	4 position in the Illinois State Police that is held by an
13647	13647	5 individual employed under the Illinois State Police Act.
13648	13648	6 (5) The term "investigator for the Secretary of State"
13649	13649	7 means any person employed by the Office of the Secretary
13650	13650	8 of State and vested with such investigative duties as
13651	13651	9 render him ineligible for coverage under the Social
13652	13652	10 Security Act by reason of Sections 218(d)(5)(A),
13653	13653	11 218(d)(8)(D) and 218(l)(1) of that Act.
13654	13654	12 A person who became employed as an investigator for
13655	13655	13 the Secretary of State between January 1, 1967 and
13656	13656	14 December 31, 1975, and who has served as such until
13657	13657	15 attainment of age 60, either continuously or with a single
13658	13658	16 break in service of not more than 3 years duration, which
13659	13659	17 break terminated before January 1, 1976, shall be entitled
13660	13660	18 to have his retirement annuity calculated in accordance
13661	13661	19 with subsection (a), notwithstanding that he has less than
13662	13662	20 20 years of credit for such service.
13663	13663	21 (6) The term "Conservation Police Officer" means any
13664	13664	22 person employed by the Division of Law Enforcement of the
13665	13665	23 Department of Natural Resources and vested with such law
13666	13666	24 enforcement duties as render him ineligible for coverage
13667	13667	25 under the Social Security Act by reason of Sections
13668	13668	26 218(d)(5)(A), 218(d)(8)(D), and 218(l)(1) of that Act. The
13669	13669
13670	13670
13671	13671
13672	13672
13673	13673
13674	13674	SB0002 - 381 - LRB104 07746 RPS 17791 b
13675	13675
13676	13676
13677	13677	SB0002- 382 -LRB104 07746 RPS 17791 b SB0002 - 382 - LRB104 07746 RPS 17791 b
13678	13678	SB0002 - 382 - LRB104 07746 RPS 17791 b
13679	13679	1 term "Conservation Police Officer" includes the positions
13680	13680	2 of Chief Conservation Police Administrator and Assistant
13681	13681	3 Conservation Police Administrator.
13682	13682	4 (7) The term "investigator for the Department of
13683	13683	5 Revenue" means any person employed by the Department of
13684	13684	6 Revenue and vested with such investigative duties as
13685	13685	7 render him ineligible for coverage under the Social
13686	13686	8 Security Act by reason of Sections 218(d)(5)(A),
13687	13687	9 218(d)(8)(D) and 218(l)(1) of that Act.
13688	13688	10 The term "investigator for the Illinois Gaming Board"
13689	13689	11 means any person employed as such by the Illinois Gaming
13690	13690	12 Board and vested with such peace officer duties as render
13691	13691	13 the person ineligible for coverage under the Social
13692	13692	14 Security Act by reason of Sections 218(d)(5)(A),
13693	13693	15 218(d)(8)(D), and 218(l)(1) of that Act.
13694	13694	16 (8) The term "security employee of the Department of
13695	13695	17 Human Services" means any person employed by the
13696	13696	18 Department of Human Services who (i) is employed at the
13697	13697	19 Chester Mental Health Center and has daily contact with
13698	13698	20 the residents thereof, (ii) is employed within a security
13699	13699	21 unit at a facility operated by the Department and has
13700	13700	22 daily contact with the residents of the security unit,
13701	13701	23 (iii) is employed at a facility operated by the Department
13702	13702	24 that includes a security unit and is regularly scheduled
13703	13703	25 to work at least 50% of his or her working hours within
13704	13704	26 that security unit, or (iv) is a mental health police
13705	13705
13706	13706
13707	13707
13708	13708
13709	13709
13710	13710	SB0002 - 382 - LRB104 07746 RPS 17791 b
13711	13711
13712	13712
13713	13713	SB0002- 383 -LRB104 07746 RPS 17791 b SB0002 - 383 - LRB104 07746 RPS 17791 b
13714	13714	SB0002 - 383 - LRB104 07746 RPS 17791 b
13715	13715	1 officer. "Mental health police officer" means any person
13716	13716	2 employed by the Department of Human Services in a position
13717	13717	3 pertaining to the Department's mental health and
13718	13718	4 developmental disabilities functions who is vested with
13719	13719	5 such law enforcement duties as render the person
13720	13720	6 ineligible for coverage under the Social Security Act by
13721	13721	7 reason of Sections 218(d)(5)(A), 218(d)(8)(D) and
13722	13722	8 218(l)(1) of that Act. "Security unit" means that portion
13723	13723	9 of a facility that is devoted to the care, containment,
13724	13724	10 and treatment of persons committed to the Department of
13725	13725	11 Human Services as sexually violent persons, persons unfit
13726	13726	12 to stand trial, or persons not guilty by reason of
13727	13727	13 insanity. With respect to past employment, references to
13728	13728	14 the Department of Human Services include its predecessor,
13729	13729	15 the Department of Mental Health and Developmental
13730	13730	16 Disabilities.
13731	13731	17 The changes made to this subdivision (c)(8) by Public
13732	13732	18 Act 92-14 apply to persons who retire on or after January
13733	13733	19 1, 2001, notwithstanding Section 1-103.1.
13734	13734	20 (9) "Central Management Services security police
13735	13735	21 officer" means any person employed by the Department of
13736	13736	22 Central Management Services who is vested with such law
13737	13737	23 enforcement duties as render him ineligible for coverage
13738	13738	24 under the Social Security Act by reason of Sections
13739	13739	25 218(d)(5)(A), 218(d)(8)(D) and 218(l)(1) of that Act.
13740	13740	26 (10) For a member who first became an employee under
13741	13741
13742	13742
13743	13743
13744	13744
13745	13745
13746	13746	SB0002 - 383 - LRB104 07746 RPS 17791 b
13747	13747
13748	13748
13749	13749	SB0002- 384 -LRB104 07746 RPS 17791 b SB0002 - 384 - LRB104 07746 RPS 17791 b
13750	13750	SB0002 - 384 - LRB104 07746 RPS 17791 b
13751	13751	1 this Article before July 1, 2005, the term "security
13752	13752	2 employee of the Department of Corrections or the
13753	13753	3 Department of Juvenile Justice" means any employee of the
13754	13754	4 Department of Corrections or the Department of Juvenile
13755	13755	5 Justice or the former Department of Personnel, and any
13756	13756	6 member or employee of the Prisoner Review Board, who has
13757	13757	7 daily contact with inmates or youth by working within a
13758	13758	8 correctional facility or Juvenile facility operated by the
13759	13759	9 Department of Juvenile Justice or who is a parole officer
13760	13760	10 or an employee who has direct contact with committed
13761	13761	11 persons in the performance of his or her job duties. For a
13762	13762	12 member who first becomes an employee under this Article on
13763	13763	13 or after July 1, 2005, the term means an employee of the
13764	13764	14 Department of Corrections or the Department of Juvenile
13765	13765	15 Justice who is any of the following: (i) officially
13766	13766	16 headquartered at a correctional facility or Juvenile
13767	13767	17 facility operated by the Department of Juvenile Justice,
13768	13768	18 (ii) a parole officer, (iii) a member of the apprehension
13769	13769	19 unit, (iv) a member of the intelligence unit, (v) a member
13770	13770	20 of the sort team, or (vi) an investigator.
13771	13771	21 (11) The term "dangerous drugs investigator" means any
13772	13772	22 person who is employed as such by the Department of Human
13773	13773	23 Services.
13774	13774	24 (12) The term "investigator for the Illinois State
13775	13775	25 Police" means a person employed by the Illinois State
13776	13776	26 Police who is vested under Section 4 of the Narcotic
13777	13777
13778	13778
13779	13779
13780	13780
13781	13781
13782	13782	SB0002 - 384 - LRB104 07746 RPS 17791 b
13783	13783
13784	13784
13785	13785	SB0002- 385 -LRB104 07746 RPS 17791 b SB0002 - 385 - LRB104 07746 RPS 17791 b
13786	13786	SB0002 - 385 - LRB104 07746 RPS 17791 b
13787	13787	1 Control Division Abolition Act with such law enforcement
13788	13788	2 powers as render him ineligible for coverage under the
13789	13789	3 Social Security Act by reason of Sections 218(d)(5)(A),
13790	13790	4 218(d)(8)(D) and 218(l)(1) of that Act.
13791	13791	5 (13) "Investigator for the Office of the Attorney
13792	13792	6 General" means any person who is employed as such by the
13793	13793	7 Office of the Attorney General and is vested with such
13794	13794	8 investigative duties as render him ineligible for coverage
13795	13795	9 under the Social Security Act by reason of Sections
13796	13796	10 218(d)(5)(A), 218(d)(8)(D) and 218(l)(1) of that Act. For
13797	13797	11 the period before January 1, 1989, the term includes all
13798	13798	12 persons who were employed as investigators by the Office
13799	13799	13 of the Attorney General, without regard to social security
13800	13800	14 status.
13801	13801	15 (14) "Controlled substance inspector" means any person
13802	13802	16 who is employed as such by the Department of Professional
13803	13803	17 Regulation and is vested with such law enforcement duties
13804	13804	18 as render him ineligible for coverage under the Social
13805	13805	19 Security Act by reason of Sections 218(d)(5)(A),
13806	13806	20 218(d)(8)(D) and 218(l)(1) of that Act. The term
13807	13807	21 "controlled substance inspector" includes the Program
13808	13808	22 Executive of Enforcement and the Assistant Program
13809	13809	23 Executive of Enforcement.
13810	13810	24 (15) The term "investigator for the Office of the
13811	13811	25 State's Attorneys Appellate Prosecutor" means a person
13812	13812	26 employed in that capacity on a full-time basis under the
13813	13813
13814	13814
13815	13815
13816	13816
13817	13817
13818	13818	SB0002 - 385 - LRB104 07746 RPS 17791 b
13819	13819
13820	13820
13821	13821	SB0002- 386 -LRB104 07746 RPS 17791 b SB0002 - 386 - LRB104 07746 RPS 17791 b
13822	13822	SB0002 - 386 - LRB104 07746 RPS 17791 b
13823	13823	1 authority of Section 7.06 of the State's Attorneys
13824	13824	2 Appellate Prosecutor's Act.
13825	13825	3 (16) "Commerce Commission police officer" means any
13826	13826	4 person employed by the Illinois Commerce Commission who is
13827	13827	5 vested with such law enforcement duties as render him
13828	13828	6 ineligible for coverage under the Social Security Act by
13829	13829	7 reason of Sections 218(d)(5)(A), 218(d)(8)(D), and
13830	13830	8 218(l)(1) of that Act.
13831	13831	9 (17) "Arson investigator" means any person who is
13832	13832	10 employed as such by the Office of the State Fire Marshal
13833	13833	11 and is vested with such law enforcement duties as render
13834	13834	12 the person ineligible for coverage under the Social
13835	13835	13 Security Act by reason of Sections 218(d)(5)(A),
13836	13836	14 218(d)(8)(D), and 218(l)(1) of that Act. A person who was
13837	13837	15 employed as an arson investigator on January 1, 1995 and
13838	13838	16 is no longer in service but not yet receiving a retirement
13839	13839	17 annuity may convert his or her creditable service for
13840	13840	18 employment as an arson investigator into eligible
13841	13841	19 creditable service by paying to the System the difference
13842	13842	20 between the employee contributions actually paid for that
13843	13843	21 service and the amounts that would have been contributed
13844	13844	22 if the applicant were contributing at the rate applicable
13845	13845	23 to persons with the same social security status earning
13846	13846	24 eligible creditable service on the date of application.
13847	13847	25 (18) The term "State highway maintenance worker" means
13848	13848	26 a person who is either of the following:
13849	13849
13850	13850
13851	13851
13852	13852
13853	13853
13854	13854	SB0002 - 386 - LRB104 07746 RPS 17791 b
13855	13855
13856	13856
13857	13857	SB0002- 387 -LRB104 07746 RPS 17791 b SB0002 - 387 - LRB104 07746 RPS 17791 b
13858	13858	SB0002 - 387 - LRB104 07746 RPS 17791 b
13859	13859	1 (i) A person employed on a full-time basis by the
13860	13860	2 Illinois Department of Transportation in the position
13861	13861	3 of highway maintainer, highway maintenance lead
13862	13862	4 worker, highway maintenance lead/lead worker, heavy
13863	13863	5 construction equipment operator, power shovel
13864	13864	6 operator, or bridge mechanic; and whose principal
13865	13865	7 responsibility is to perform, on the roadway, the
13866	13866	8 actual maintenance necessary to keep the highways that
13867	13867	9 form a part of the State highway system in serviceable
13868	13868	10 condition for vehicular traffic.
13869	13869	11 (ii) A person employed on a full-time basis by the
13870	13870	12 Illinois State Toll Highway Authority in the position
13871	13871	13 of equipment operator/laborer H-4, equipment
13872	13872	14 operator/laborer H-6, welder H-4, welder H-6,
13873	13873	15 mechanical/electrical H-4, mechanical/electrical H-6,
13874	13874	16 water/sewer H-4, water/sewer H-6, sign maker/hanger
13875	13875	17 H-4, sign maker/hanger H-6, roadway lighting H-4,
13876	13876	18 roadway lighting H-6, structural H-4, structural H-6,
13877	13877	19 painter H-4, or painter H-6; and whose principal
13878	13878	20 responsibility is to perform, on the roadway, the
13879	13879	21 actual maintenance necessary to keep the Authority's
13880	13880	22 tollways in serviceable condition for vehicular
13881	13881	23 traffic.
13882	13882	24 (19) The term "security employee of the Department of
13883	13883	25 Innovation and Technology" means a person who was a
13884	13884	26 security employee of the Department of Corrections or the
13885	13885
13886	13886
13887	13887
13888	13888
13889	13889
13890	13890	SB0002 - 387 - LRB104 07746 RPS 17791 b
13891	13891
13892	13892
13893	13893	SB0002- 388 -LRB104 07746 RPS 17791 b SB0002 - 388 - LRB104 07746 RPS 17791 b
13894	13894	SB0002 - 388 - LRB104 07746 RPS 17791 b
13895	13895	1 Department of Juvenile Justice, was transferred to the
13896	13896	2 Department of Innovation and Technology pursuant to
13897	13897	3 Executive Order 2016-01, and continues to perform similar
13898	13898	4 job functions under that Department.
13899	13899	5 (20) "Transferred employee" means an employee who was
13900	13900	6 transferred to the Department of Central Management
13901	13901	7 Services by Executive Order No. 2003-10 or Executive Order
13902	13902	8 No. 2004-2 or transferred to the Department of Innovation
13903	13903	9 and Technology by Executive Order No. 2016-1, or both, and
13904	13904	10 was entitled to eligible creditable service for services
13905	13905	11 immediately preceding the transfer.
13906	13906	12 (21) "Investigator for the Department of the Lottery"
13907	13907	13 means any person who is employed by the Department of the
13908	13908	14 Lottery and is vested with such investigative duties which
13909	13909	15 render him or her ineligible for coverage under the Social
13910	13910	16 Security Act by reason of Sections 218(d)(5)(A),
13911	13911	17 218(d)(8)(D), and 218(l)(1) of that Act. An investigator
13912	13912	18 for the Department of the Lottery who qualifies under this
13913	13913	19 Section shall earn eligible creditable service and be
13914	13914	20 required to make contributions at the rate specified in
13915	13915	21 paragraph (3) of subsection (a) of Section 14-133 for all
13916	13916	22 periods of service as an investigator for the Department
13917	13917	23 of the Lottery.
13918	13918	24 (d) A security employee of the Department of Corrections
13919	13919	25 or the Department of Juvenile Justice, a security employee of
13920	13920	26 the Department of Human Services who is not a mental health
13921	13921
13922	13922
13923	13923
13924	13924
13925	13925
13926	13926	SB0002 - 388 - LRB104 07746 RPS 17791 b
13927	13927
13928	13928
13929	13929	SB0002- 389 -LRB104 07746 RPS 17791 b SB0002 - 389 - LRB104 07746 RPS 17791 b
13930	13930	SB0002 - 389 - LRB104 07746 RPS 17791 b
13931	13931	1 police officer, and a security employee of the Department of
13932	13932	2 Innovation and Technology shall not be eligible for the
13933	13933	3 alternative retirement annuity provided by this Section unless
13934	13934	4 he or she meets the following minimum age and service
13935	13935	5 requirements at the time of retirement:
13936	13936	6 (i) 25 years of eligible creditable service and age
13937	13937	7 55; or
13938	13938	8 (ii) beginning January 1, 1987, 25 years of eligible
13939	13939	9 creditable service and age 54, or 24 years of eligible
13940	13940	10 creditable service and age 55; or
13941	13941	11 (iii) beginning January 1, 1988, 25 years of eligible
13942	13942	12 creditable service and age 53, or 23 years of eligible
13943	13943	13 creditable service and age 55; or
13944	13944	14 (iv) beginning January 1, 1989, 25 years of eligible
13945	13945	15 creditable service and age 52, or 22 years of eligible
13946	13946	16 creditable service and age 55; or
13947	13947	17 (v) beginning January 1, 1990, 25 years of eligible
13948	13948	18 creditable service and age 51, or 21 years of eligible
13949	13949	19 creditable service and age 55; or
13950	13950	20 (vi) beginning January 1, 1991, 25 years of eligible
13951	13951	21 creditable service and age 50, or 20 years of eligible
13952	13952	22 creditable service and age 55.
13953	13953	23 Persons who have service credit under Article 16 of this
13954	13954	24 Code for service as a security employee of the Department of
13955	13955	25 Corrections or the Department of Juvenile Justice, or the
13956	13956	26 Department of Human Services in a position requiring
13957	13957
13958	13958
13959	13959
13960	13960
13961	13961
13962	13962	SB0002 - 389 - LRB104 07746 RPS 17791 b
13963	13963
13964	13964
13965	13965	SB0002- 390 -LRB104 07746 RPS 17791 b SB0002 - 390 - LRB104 07746 RPS 17791 b
13966	13966	SB0002 - 390 - LRB104 07746 RPS 17791 b
13967	13967	1 certification as a teacher may count such service toward
13968	13968	2 establishing their eligibility under the service requirements
13969	13969	3 of this Section; but such service may be used only for
13970	13970	4 establishing such eligibility, and not for the purpose of
13971	13971	5 increasing or calculating any benefit.
13972	13972	6 (e) If a member enters military service while working in a
13973	13973	7 position in which eligible creditable service may be earned,
13974	13974	8 and returns to State service in the same or another such
13975	13975	9 position, and fulfills in all other respects the conditions
13976	13976	10 prescribed in this Article for credit for military service,
13977	13977	11 such military service shall be credited as eligible creditable
13978	13978	12 service for the purposes of the retirement annuity prescribed
13979	13979	13 in this Section.
13980	13980	14 (f) For purposes of calculating retirement annuities under
13981	13981	15 this Section, periods of service rendered after December 31,
13982	13982	16 1968 and before October 1, 1975 as a covered employee in the
13983	13983	17 position of special agent, conservation police officer, mental
13984	13984	18 health police officer, or investigator for the Secretary of
13985	13985	19 State, shall be deemed to have been service as a noncovered
13986	13986	20 employee, provided that the employee pays to the System prior
13987	13987	21 to retirement an amount equal to (1) the difference between
13988	13988	22 the employee contributions that would have been required for
13989	13989	23 such service as a noncovered employee, and the amount of
13990	13990	24 employee contributions actually paid, plus (2) if payment is
13991	13991	25 made after July 31, 1987, regular interest on the amount
13992	13992	26 specified in item (1) from the date of service to the date of
13993	13993
13994	13994
13995	13995
13996	13996
13997	13997
13998	13998	SB0002 - 390 - LRB104 07746 RPS 17791 b
13999	13999
14000	14000
14001	14001	SB0002- 391 -LRB104 07746 RPS 17791 b SB0002 - 391 - LRB104 07746 RPS 17791 b
14002	14002	SB0002 - 391 - LRB104 07746 RPS 17791 b
14003	14003	1 payment.
14004	14004	2 For purposes of calculating retirement annuities under
14005	14005	3 this Section, periods of service rendered after December 31,
14006	14006	4 1968 and before January 1, 1982 as a covered employee in the
14007	14007	5 position of investigator for the Department of Revenue shall
14008	14008	6 be deemed to have been service as a noncovered employee,
14009	14009	7 provided that the employee pays to the System prior to
14010	14010	8 retirement an amount equal to (1) the difference between the
14011	14011	9 employee contributions that would have been required for such
14012	14012	10 service as a noncovered employee, and the amount of employee
14013	14013	11 contributions actually paid, plus (2) if payment is made after
14014	14014	12 January 1, 1990, regular interest on the amount specified in
14015	14015	13 item (1) from the date of service to the date of payment.
14016	14016	14 (g) A State policeman may elect, not later than January 1,
14017	14017	15 1990, to establish eligible creditable service for up to 10
14018	14018	16 years of his service as a policeman under Article 3, by filing
14019	14019	17 a written election with the Board, accompanied by payment of
14020	14020	18 an amount to be determined by the Board, equal to (i) the
14021	14021	19 difference between the amount of employee and employer
14022	14022	20 contributions transferred to the System under Section 3-110.5,
14023	14023	21 and the amounts that would have been contributed had such
14024	14024	22 contributions been made at the rates applicable to State
14025	14025	23 policemen, plus (ii) interest thereon at the effective rate
14026	14026	24 for each year, compounded annually, from the date of service
14027	14027	25 to the date of payment.
14028	14028	26 Subject to the limitation in subsection (i), a State
14029	14029
14030	14030
14031	14031
14032	14032
14033	14033
14034	14034	SB0002 - 391 - LRB104 07746 RPS 17791 b
14035	14035
14036	14036
14037	14037	SB0002- 392 -LRB104 07746 RPS 17791 b SB0002 - 392 - LRB104 07746 RPS 17791 b
14038	14038	SB0002 - 392 - LRB104 07746 RPS 17791 b
14039	14039	1 policeman may elect, not later than July 1, 1993, to establish
14040	14040	2 eligible creditable service for up to 10 years of his service
14041	14041	3 as a member of the County Police Department under Article 9, by
14042	14042	4 filing a written election with the Board, accompanied by
14043	14043	5 payment of an amount to be determined by the Board, equal to
14044	14044	6 (i) the difference between the amount of employee and employer
14045	14045	7 contributions transferred to the System under Section 9-121.10
14046	14046	8 and the amounts that would have been contributed had those
14047	14047	9 contributions been made at the rates applicable to State
14048	14048	10 policemen, plus (ii) interest thereon at the effective rate
14049	14049	11 for each year, compounded annually, from the date of service
14050	14050	12 to the date of payment.
14051	14051	13 (h) Subject to the limitation in subsection (i), a State
14052	14052	14 policeman or investigator for the Secretary of State may elect
14053	14053	15 to establish eligible creditable service for up to 12 years of
14054	14054	16 his service as a policeman under Article 5, by filing a written
14055	14055	17 election with the Board on or before January 31, 1992, and
14056	14056	18 paying to the System by January 31, 1994 an amount to be
14057	14057	19 determined by the Board, equal to (i) the difference between
14058	14058	20 the amount of employee and employer contributions transferred
14059	14059	21 to the System under Section 5-236, and the amounts that would
14060	14060	22 have been contributed had such contributions been made at the
14061	14061	23 rates applicable to State policemen, plus (ii) interest
14062	14062	24 thereon at the effective rate for each year, compounded
14063	14063	25 annually, from the date of service to the date of payment.
14064	14064	26 Subject to the limitation in subsection (i), a State
14065	14065
14066	14066
14067	14067
14068	14068
14069	14069
14070	14070	SB0002 - 392 - LRB104 07746 RPS 17791 b
14071	14071
14072	14072
14073	14073	SB0002- 393 -LRB104 07746 RPS 17791 b SB0002 - 393 - LRB104 07746 RPS 17791 b
14074	14074	SB0002 - 393 - LRB104 07746 RPS 17791 b
14075	14075	1 policeman, conservation police officer, or investigator for
14076	14076	2 the Secretary of State may elect to establish eligible
14077	14077	3 creditable service for up to 10 years of service as a sheriff's
14078	14078	4 law enforcement employee under Article 7, by filing a written
14079	14079	5 election with the Board on or before January 31, 1993, and
14080	14080	6 paying to the System by January 31, 1994 an amount to be
14081	14081	7 determined by the Board, equal to (i) the difference between
14082	14082	8 the amount of employee and employer contributions transferred
14083	14083	9 to the System under Section 7-139.7, and the amounts that
14084	14084	10 would have been contributed had such contributions been made
14085	14085	11 at the rates applicable to State policemen, plus (ii) interest
14086	14086	12 thereon at the effective rate for each year, compounded
14087	14087	13 annually, from the date of service to the date of payment.
14088	14088	14 Subject to the limitation in subsection (i), a State
14089	14089	15 policeman, conservation police officer, or investigator for
14090	14090	16 the Secretary of State may elect to establish eligible
14091	14091	17 creditable service for up to 5 years of service as a police
14092	14092	18 officer under Article 3, a policeman under Article 5, a
14093	14093	19 sheriff's law enforcement employee under Article 7, a member
14094	14094	20 of the county police department under Article 9, or a police
14095	14095	21 officer under Article 15 by filing a written election with the
14096	14096	22 Board and paying to the System an amount to be determined by
14097	14097	23 the Board, equal to (i) the difference between the amount of
14098	14098	24 employee and employer contributions transferred to the System
14099	14099	25 under Section 3-110.6, 5-236, 7-139.8, 9-121.10, or 15-134.4
14100	14100	26 and the amounts that would have been contributed had such
14101	14101
14102	14102
14103	14103
14104	14104
14105	14105
14106	14106	SB0002 - 393 - LRB104 07746 RPS 17791 b
14107	14107
14108	14108
14109	14109	SB0002- 394 -LRB104 07746 RPS 17791 b SB0002 - 394 - LRB104 07746 RPS 17791 b
14110	14110	SB0002 - 394 - LRB104 07746 RPS 17791 b
14111	14111	1 contributions been made at the rates applicable to State
14112	14112	2 policemen, plus (ii) interest thereon at the effective rate
14113	14113	3 for each year, compounded annually, from the date of service
14114	14114	4 to the date of payment.
14115	14115	5 Subject to the limitation in subsection (i), an
14116	14116	6 investigator for the Office of the Attorney General, or an
14117	14117	7 investigator for the Department of Revenue, may elect to
14118	14118	8 establish eligible creditable service for up to 5 years of
14119	14119	9 service as a police officer under Article 3, a policeman under
14120	14120	10 Article 5, a sheriff's law enforcement employee under Article
14121	14121	11 7, or a member of the county police department under Article 9
14122	14122	12 by filing a written election with the Board within 6 months
14123	14123	13 after August 25, 2009 (the effective date of Public Act
14124	14124	14 96-745) and paying to the System an amount to be determined by
14125	14125	15 the Board, equal to (i) the difference between the amount of
14126	14126	16 employee and employer contributions transferred to the System
14127	14127	17 under Section 3-110.6, 5-236, 7-139.8, or 9-121.10 and the
14128	14128	18 amounts that would have been contributed had such
14129	14129	19 contributions been made at the rates applicable to State
14130	14130	20 policemen, plus (ii) interest thereon at the actuarially
14131	14131	21 assumed rate for each year, compounded annually, from the date
14132	14132	22 of service to the date of payment.
14133	14133	23 Subject to the limitation in subsection (i), a State
14134	14134	24 policeman, conservation police officer, investigator for the
14135	14135	25 Office of the Attorney General, an investigator for the
14136	14136	26 Department of Revenue, or investigator for the Secretary of
14137	14137
14138	14138
14139	14139
14140	14140
14141	14141
14142	14142	SB0002 - 394 - LRB104 07746 RPS 17791 b
14143	14143
14144	14144
14145	14145	SB0002- 395 -LRB104 07746 RPS 17791 b SB0002 - 395 - LRB104 07746 RPS 17791 b
14146	14146	SB0002 - 395 - LRB104 07746 RPS 17791 b
14147	14147	1 State may elect to establish eligible creditable service for
14148	14148	2 up to 5 years of service as a person employed by a
14149	14149	3 participating municipality to perform police duties, or law
14150	14150	4 enforcement officer employed on a full-time basis by a forest
14151	14151	5 preserve district under Article 7, a county corrections
14152	14152	6 officer, or a court services officer under Article 9, by
14153	14153	7 filing a written election with the Board within 6 months after
14154	14154	8 August 25, 2009 (the effective date of Public Act 96-745) and
14155	14155	9 paying to the System an amount to be determined by the Board,
14156	14156	10 equal to (i) the difference between the amount of employee and
14157	14157	11 employer contributions transferred to the System under
14158	14158	12 Sections 7-139.8 and 9-121.10 and the amounts that would have
14159	14159	13 been contributed had such contributions been made at the rates
14160	14160	14 applicable to State policemen, plus (ii) interest thereon at
14161	14161	15 the actuarially assumed rate for each year, compounded
14162	14162	16 annually, from the date of service to the date of payment.
14163	14163	17 Subject to the limitation in subsection (i), a State
14164	14164	18 policeman, arson investigator, or Commerce Commission police
14165	14165	19 officer may elect to establish eligible creditable service for
14166	14166	20 up to 5 years of service as a person employed by a
14167	14167	21 participating municipality to perform police duties under
14168	14168	22 Article 7, a county corrections officer, a court services
14169	14169	23 officer under Article 9, or a firefighter under Article 4 by
14170	14170	24 filing a written election with the Board within 6 months after
14171	14171	25 July 30, 2021 (the effective date of Public Act 102-210) and
14172	14172	26 paying to the System an amount to be determined by the Board
14173	14173
14174	14174
14175	14175
14176	14176
14177	14177
14178	14178	SB0002 - 395 - LRB104 07746 RPS 17791 b
14179	14179
14180	14180
14181	14181	SB0002- 396 -LRB104 07746 RPS 17791 b SB0002 - 396 - LRB104 07746 RPS 17791 b
14182	14182	SB0002 - 396 - LRB104 07746 RPS 17791 b
14183	14183	1 equal to (i) the difference between the amount of employee and
14184	14184	2 employer contributions transferred to the System under
14185	14185	3 Sections 4-108.8, 7-139.8, and 9-121.10 and the amounts that
14186	14186	4 would have been contributed had such contributions been made
14187	14187	5 at the rates applicable to State policemen, plus (ii) interest
14188	14188	6 thereon at the actuarially assumed rate for each year,
14189	14189	7 compounded annually, from the date of service to the date of
14190	14190	8 payment.
14191	14191	9 Subject to the limitation in subsection (i), a
14192	14192	10 conservation police officer may elect to establish eligible
14193	14193	11 creditable service for up to 5 years of service as a person
14194	14194	12 employed by a participating municipality to perform police
14195	14195	13 duties under Article 7, a county corrections officer, or a
14196	14196	14 court services officer under Article 9 by filing a written
14197	14197	15 election with the Board within 6 months after July 30, 2021
14198	14198	16 (the effective date of Public Act 102-210) and paying to the
14199	14199	17 System an amount to be determined by the Board equal to (i) the
14200	14200	18 difference between the amount of employee and employer
14201	14201	19 contributions transferred to the System under Sections 7-139.8
14202	14202	20 and 9-121.10 and the amounts that would have been contributed
14203	14203	21 had such contributions been made at the rates applicable to
14204	14204	22 State policemen, plus (ii) interest thereon at the actuarially
14205	14205	23 assumed rate for each year, compounded annually, from the date
14206	14206	24 of service to the date of payment.
14207	14207	25 Subject to the limitation in subsection (i), an
14208	14208	26 investigator for the Department of Revenue, investigator for
14209	14209
14210	14210
14211	14211
14212	14212
14213	14213
14214	14214	SB0002 - 396 - LRB104 07746 RPS 17791 b
14215	14215
14216	14216
14217	14217	SB0002- 397 -LRB104 07746 RPS 17791 b SB0002 - 397 - LRB104 07746 RPS 17791 b
14218	14218	SB0002 - 397 - LRB104 07746 RPS 17791 b
14219	14219	1 the Illinois Gaming Board, investigator for the Secretary of
14220	14220	2 State, or arson investigator may elect to establish eligible
14221	14221	3 creditable service for up to 5 years of service as a person
14222	14222	4 employed by a participating municipality to perform police
14223	14223	5 duties under Article 7, a county corrections officer, a court
14224	14224	6 services officer under Article 9, or a firefighter under
14225	14225	7 Article 4 by filing a written election with the Board within 6
14226	14226	8 months after the effective date of this amendatory Act of the
14227	14227	9 102nd General Assembly and paying to the System an amount to be
14228	14228	10 determined by the Board equal to (i) the difference between
14229	14229	11 the amount of employee and employer contributions transferred
14230	14230	12 to the System under Sections 4-108.8, 7-139.8, and 9-121.10
14231	14231	13 and the amounts that would have been contributed had such
14232	14232	14 contributions been made at the rates applicable to State
14233	14233	15 policemen, plus (ii) interest thereon at the actuarially
14234	14234	16 assumed rate for each year, compounded annually, from the date
14235	14235	17 of service to the date of payment.
14236	14236	18 Notwithstanding the limitation in subsection (i), a State
14237	14237	19 policeman or conservation police officer may elect to convert
14238	14238	20 service credit earned under this Article to eligible
14239	14239	21 creditable service, as defined by this Section, by filing a
14240	14240	22 written election with the board within 6 months after July 30,
14241	14241	23 2021 (the effective date of Public Act 102-210) and paying to
14242	14242	24 the System an amount to be determined by the Board equal to (i)
14243	14243	25 the difference between the amount of employee contributions
14244	14244	26 originally paid for that service and the amounts that would
14245	14245
14246	14246
14247	14247
14248	14248
14249	14249
14250	14250	SB0002 - 397 - LRB104 07746 RPS 17791 b
14251	14251
14252	14252
14253	14253	SB0002- 398 -LRB104 07746 RPS 17791 b SB0002 - 398 - LRB104 07746 RPS 17791 b
14254	14254	SB0002 - 398 - LRB104 07746 RPS 17791 b
14255	14255	1 have been contributed had such contributions been made at the
14256	14256	2 rates applicable to State policemen, plus (ii) the difference
14257	14257	3 between the employer's normal cost of the credit prior to the
14258	14258	4 conversion authorized by Public Act 102-210 and the employer's
14259	14259	5 normal cost of the credit converted in accordance with Public
14260	14260	6 Act 102-210, plus (iii) interest thereon at the actuarially
14261	14261	7 assumed rate for each year, compounded annually, from the date
14262	14262	8 of service to the date of payment.
14263	14263	9 Notwithstanding the limitation in subsection (i), an
14264	14264	10 investigator for the Department of Revenue, investigator for
14265	14265	11 the Illinois Gaming Board, investigator for the Secretary of
14266	14266	12 State, or arson investigator may elect to convert service
14267	14267	13 credit earned under this Article to eligible creditable
14268	14268	14 service, as defined by this Section, by filing a written
14269	14269	15 election with the Board within 6 months after the effective
14270	14270	16 date of this amendatory Act of the 102nd General Assembly and
14271	14271	17 paying to the System an amount to be determined by the Board
14272	14272	18 equal to (i) the difference between the amount of employee
14273	14273	19 contributions originally paid for that service and the amounts
14274	14274	20 that would have been contributed had such contributions been
14275	14275	21 made at the rates applicable to investigators for the
14276	14276	22 Department of Revenue, investigators for the Illinois Gaming
14277	14277	23 Board, investigators for the Secretary of State, or arson
14278	14278	24 investigators, plus (ii) the difference between the employer's
14279	14279	25 normal cost of the credit prior to the conversion authorized
14280	14280	26 by this amendatory Act of the 102nd General Assembly and the
14281	14281
14282	14282
14283	14283
14284	14284
14285	14285
14286	14286	SB0002 - 398 - LRB104 07746 RPS 17791 b
14287	14287
14288	14288
14289	14289	SB0002- 399 -LRB104 07746 RPS 17791 b SB0002 - 399 - LRB104 07746 RPS 17791 b
14290	14290	SB0002 - 399 - LRB104 07746 RPS 17791 b
14291	14291	1 employer's normal cost of the credit converted in accordance
14292	14292	2 with this amendatory Act of the 102nd General Assembly, plus
14293	14293	3 (iii) interest thereon at the actuarially assumed rate for
14294	14294	4 each year, compounded annually, from the date of service to
14295	14295	5 the date of payment.
14296	14296	6 (i) The total amount of eligible creditable service
14297	14297	7 established by any person under subsections (g), (h), (j),
14298	14298	8 (k), (l), (l-5), and (o), and (r) of this Section shall not
14299	14299	9 exceed 12 years.
14300	14300	10 (j) Subject to the limitation in subsection (i), an
14301	14301	11 investigator for the Office of the State's Attorneys Appellate
14302	14302	12 Prosecutor or a controlled substance inspector may elect to
14303	14303	13 establish eligible creditable service for up to 10 years of
14304	14304	14 his service as a policeman under Article 3 or a sheriff's law
14305	14305	15 enforcement employee under Article 7, by filing a written
14306	14306	16 election with the Board, accompanied by payment of an amount
14307	14307	17 to be determined by the Board, equal to (1) the difference
14308	14308	18 between the amount of employee and employer contributions
14309	14309	19 transferred to the System under Section 3-110.6 or 7-139.8,
14310	14310	20 and the amounts that would have been contributed had such
14311	14311	21 contributions been made at the rates applicable to State
14312	14312	22 policemen, plus (2) interest thereon at the effective rate for
14313	14313	23 each year, compounded annually, from the date of service to
14314	14314	24 the date of payment.
14315	14315	25 (k) Subject to the limitation in subsection (i) of this
14316	14316	26 Section, an alternative formula employee may elect to
14317	14317
14318	14318
14319	14319
14320	14320
14321	14321
14322	14322	SB0002 - 399 - LRB104 07746 RPS 17791 b
14323	14323
14324	14324
14325	14325	SB0002- 400 -LRB104 07746 RPS 17791 b SB0002 - 400 - LRB104 07746 RPS 17791 b
14326	14326	SB0002 - 400 - LRB104 07746 RPS 17791 b
14327	14327	1 establish eligible creditable service for periods spent as a
14328	14328	2 full-time law enforcement officer or full-time corrections
14329	14329	3 officer employed by the federal government or by a state or
14330	14330	4 local government located outside of Illinois, for which credit
14331	14331	5 is not held in any other public employee pension fund or
14332	14332	6 retirement system. To obtain this credit, the applicant must
14333	14333	7 file a written application with the Board by March 31, 1998,
14334	14334	8 accompanied by evidence of eligibility acceptable to the Board
14335	14335	9 and payment of an amount to be determined by the Board, equal
14336	14336	10 to (1) employee contributions for the credit being
14337	14337	11 established, based upon the applicant's salary on the first
14338	14338	12 day as an alternative formula employee after the employment
14339	14339	13 for which credit is being established and the rates then
14340	14340	14 applicable to alternative formula employees, plus (2) an
14341	14341	15 amount determined by the Board to be the employer's normal
14342	14342	16 cost of the benefits accrued for the credit being established,
14343	14343	17 plus (3) regular interest on the amounts in items (1) and (2)
14344	14344	18 from the first day as an alternative formula employee after
14345	14345	19 the employment for which credit is being established to the
14346	14346	20 date of payment.
14347	14347	21 (l) Subject to the limitation in subsection (i), a
14348	14348	22 security employee of the Department of Corrections may elect,
14349	14349	23 not later than July 1, 1998, to establish eligible creditable
14350	14350	24 service for up to 10 years of his or her service as a policeman
14351	14351	25 under Article 3, by filing a written election with the Board,
14352	14352	26 accompanied by payment of an amount to be determined by the
14353	14353
14354	14354
14355	14355
14356	14356
14357	14357
14358	14358	SB0002 - 400 - LRB104 07746 RPS 17791 b
14359	14359
14360	14360
14361	14361	SB0002- 401 -LRB104 07746 RPS 17791 b SB0002 - 401 - LRB104 07746 RPS 17791 b
14362	14362	SB0002 - 401 - LRB104 07746 RPS 17791 b
14363	14363	1 Board, equal to (i) the difference between the amount of
14364	14364	2 employee and employer contributions transferred to the System
14365	14365	3 under Section 3-110.5, and the amounts that would have been
14366	14366	4 contributed had such contributions been made at the rates
14367	14367	5 applicable to security employees of the Department of
14368	14368	6 Corrections, plus (ii) interest thereon at the effective rate
14369	14369	7 for each year, compounded annually, from the date of service
14370	14370	8 to the date of payment.
14371	14371	9 (l-5) Subject to the limitation in subsection (i) of this
14372	14372	10 Section, a State policeman may elect to establish eligible
14373	14373	11 creditable service for up to 5 years of service as a full-time
14374	14374	12 law enforcement officer employed by the federal government or
14375	14375	13 by a state or local government located outside of Illinois for
14376	14376	14 which credit is not held in any other public employee pension
14377	14377	15 fund or retirement system. To obtain this credit, the
14378	14378	16 applicant must file a written application with the Board no
14379	14379	17 later than 3 years after January 1, 2020 (the effective date of
14380	14380	18 Public Act 101-610), accompanied by evidence of eligibility
14381	14381	19 acceptable to the Board and payment of an amount to be
14382	14382	20 determined by the Board, equal to (1) employee contributions
14383	14383	21 for the credit being established, based upon the applicant's
14384	14384	22 salary on the first day as an alternative formula employee
14385	14385	23 after the employment for which credit is being established and
14386	14386	24 the rates then applicable to alternative formula employees,
14387	14387	25 plus (2) an amount determined by the Board to be the employer's
14388	14388	26 normal cost of the benefits accrued for the credit being
14389	14389
14390	14390
14391	14391
14392	14392
14393	14393
14394	14394	SB0002 - 401 - LRB104 07746 RPS 17791 b
14395	14395
14396	14396
14397	14397	SB0002- 402 -LRB104 07746 RPS 17791 b SB0002 - 402 - LRB104 07746 RPS 17791 b
14398	14398	SB0002 - 402 - LRB104 07746 RPS 17791 b
14399	14399	1 established, plus (3) regular interest on the amounts in items
14400	14400	2 (1) and (2) from the first day as an alternative formula
14401	14401	3 employee after the employment for which credit is being
14402	14402	4 established to the date of payment.
14403	14403	5 (m) The amendatory changes to this Section made by Public
14404	14404	6 Act 94-696 apply only to: (1) security employees of the
14405	14405	7 Department of Juvenile Justice employed by the Department of
14406	14406	8 Corrections before June 1, 2006 (the effective date of Public
14407	14407	9 Act 94-696) and transferred to the Department of Juvenile
14408	14408	10 Justice by Public Act 94-696; and (2) persons employed by the
14409	14409	11 Department of Juvenile Justice on or after June 1, 2006 (the
14410	14410	12 effective date of Public Act 94-696) who are required by
14411	14411	13 subsection (b) of Section 3-2.5-15 of the Unified Code of
14412	14412	14 Corrections to have any bachelor's or advanced degree from an
14413	14413	15 accredited college or university or, in the case of persons
14414	14414	16 who provide vocational training, who are required to have
14415	14415	17 adequate knowledge in the skill for which they are providing
14416	14416	18 the vocational training.
14417	14417	19 Beginning with the pay period that immediately follows the
14418	14418	20 effective date of this amendatory Act of the 104th General
14419	14419	21 Assembly, the bachelor's or advanced degree requirement of
14420	14420	22 subsection (b) of Section 3-2.5-15 of the Unified Code of
14421	14421	23 Corrections shall no longer determine the eligibility to earn
14422	14422	24 eligible creditable service for a person employed by the
14423	14423	25 Department of Juvenile Justice.
14424	14424	26 An employee may elect to convert into eligible creditable
14425	14425
14426	14426
14427	14427
14428	14428
14429	14429
14430	14430	SB0002 - 402 - LRB104 07746 RPS 17791 b
14431	14431
14432	14432
14433	14433	SB0002- 403 -LRB104 07746 RPS 17791 b SB0002 - 403 - LRB104 07746 RPS 17791 b
14434	14434	SB0002 - 403 - LRB104 07746 RPS 17791 b
14435	14435	1 service his or her creditable service earned with the
14436	14436	2 Department of Juvenile Justice while employed in a position
14437	14437	3 that required the employee to do any one or more of the
14438	14438	4 following: (1) participate or assist in the rehabilitative and
14439	14439	5 vocational training of delinquent youths; (2) supervise the
14440	14440	6 daily activities and assume direct and continuing
14441	14441	7 responsibility for the youth's security, welfare, and
14442	14442	8 development; or (3) participate in the personal rehabilitation
14443	14443	9 of delinquent youth by training, supervising, and assisting
14444	14444	10 lower-level personnel. To convert that creditable service to
14445	14445	11 eligible creditable service, the employee must pay to the
14446	14446	12 System the difference between the employee contributions
14447	14447	13 actually paid for that service and the amounts that would have
14448	14448	14 been contributed if the applicant were contributing at the
14449	14449	15 rate applicable to persons with the same Social Security
14450	14450	16 status earning eligible creditable service on the date of
14451	14451	17 application.
14452	14452	18 (n) A person employed in a position under subsection (b)
14453	14453	19 of this Section who has purchased service credit under
14454	14454	20 subsection (j) of Section 14-104 or subsection (b) of Section
14455	14455	21 14-105 in any other capacity under this Article may convert up
14456	14456	22 to 5 years of that service credit into service credit covered
14457	14457	23 under this Section by paying to the Fund an amount equal to (1)
14458	14458	24 the additional employee contribution required under Section
14459	14459	25 14-133, plus (2) the additional employer contribution required
14460	14460	26 under Section 14-131, plus (3) interest on items (1) and (2) at
14461	14461
14462	14462
14463	14463
14464	14464
14465	14465
14466	14466	SB0002 - 403 - LRB104 07746 RPS 17791 b
14467	14467
14468	14468
14469	14469	SB0002- 404 -LRB104 07746 RPS 17791 b SB0002 - 404 - LRB104 07746 RPS 17791 b
14470	14470	SB0002 - 404 - LRB104 07746 RPS 17791 b
14471	14471	1 the actuarially assumed rate from the date of the service to
14472	14472	2 the date of payment.
14473	14473	3 (o) Subject to the limitation in subsection (i), a
14474	14474	4 conservation police officer, investigator for the Secretary of
14475	14475	5 State, Commerce Commission police officer, investigator for
14476	14476	6 the Department of Revenue or the Illinois Gaming Board, or
14477	14477	7 arson investigator subject to subsection (g) of Section 1-160
14478	14478	8 may elect to convert up to 8 years of service credit
14479	14479	9 established before January 1, 2020 (the effective date of
14480	14480	10 Public Act 101-610) as a conservation police officer,
14481	14481	11 investigator for the Secretary of State, Commerce Commission
14482	14482	12 police officer, investigator for the Department of Revenue or
14483	14483	13 the Illinois Gaming Board, or arson investigator under this
14484	14484	14 Article into eligible creditable service by filing a written
14485	14485	15 election with the Board no later than one year after January 1,
14486	14486	16 2020 (the effective date of Public Act 101-610), accompanied
14487	14487	17 by payment of an amount to be determined by the Board equal to
14488	14488	18 (i) the difference between the amount of the employee
14489	14489	19 contributions actually paid for that service and the amount of
14490	14490	20 the employee contributions that would have been paid had the
14491	14491	21 employee contributions been made as a noncovered employee
14492	14492	22 serving in a position in which eligible creditable service, as
14493	14493	23 defined in this Section, may be earned, plus (ii) interest
14494	14494	24 thereon at the effective rate for each year, compounded
14495	14495	25 annually, from the date of service to the date of payment.
14496	14496	26 (q) A security employee of the Department of Human
14497	14497
14498	14498
14499	14499
14500	14500
14501	14501
14502	14502	SB0002 - 404 - LRB104 07746 RPS 17791 b
14503	14503
14504	14504
14505	14505	SB0002- 405 -LRB104 07746 RPS 17791 b SB0002 - 405 - LRB104 07746 RPS 17791 b
14506	14506	SB0002 - 405 - LRB104 07746 RPS 17791 b
14507	14507	1 Services who is subject to subsection (g) of Section 1-160 may
14508	14508	2 elect to convert up to 13 years of service credit established
14509	14509	3 before the effective date of this amendatory Act of the 104th
14510	14510	4 General Assembly as a security employee of the Department of
14511	14511	5 Human Services to eligible creditable service by filing a
14512	14512	6 written election with the Board no later than one year after
14513	14513	7 the effective date of this amendatory Act of the 104th General
14514	14514	8 Assembly, accompanied by payment of an amount, to be
14515	14515	9 determined by the Board, equal to (i) the difference between
14516	14516	10 the amount of the employee contributions actually paid for
14517	14517	11 that service and the amount of the employee contributions that
14518	14518	12 would have been paid had the employee contributions been made
14519	14519	13 as a covered employee serving in a position in which eligible
14520	14520	14 creditable service, as defined in this Section, may be earned,
14521	14521	15 plus (ii) interest thereon at the effective rate for each
14522	14522	16 year, compounded annually, from the date of service to the
14523	14523	17 date of payment.
14524	14524	18 (r) Subject to the limitation in subsection (i), a State
14525	14525	19 highway maintenance worker subject to subsection (g) of
14526	14526	20 Section 1-160 may elect to convert up to 8 years of service
14527	14527	21 credit established before the effective date of this
14528	14528	22 amendatory Act of the 104th General Assembly as a State
14529	14529	23 highway maintenance work under this Article into eligible
14530	14530	24 creditable service by filing a written election with the Board
14531	14531	25 no later than one year after the effective date of this
14532	14532	26 amendatory Act of the 104th General Assembly, accompanied by
14533	14533
14534	14534
14535	14535
14536	14536
14537	14537
14538	14538	SB0002 - 405 - LRB104 07746 RPS 17791 b
14539	14539
14540	14540
14541	14541	SB0002- 406 -LRB104 07746 RPS 17791 b SB0002 - 406 - LRB104 07746 RPS 17791 b
14542	14542	SB0002 - 406 - LRB104 07746 RPS 17791 b
14543	14543	1 payment of an amount to be determined by the Board equal to (i)
14544	14544	2 the difference between the amount of the employee
14545	14545	3 contributions actually paid for that service and the amount of
14546	14546	4 the employee contributions that would have been paid had the
14547	14547	5 employee contributions been made as a noncovered employee
14548	14548	6 serving in a position in which eligible creditable service, as
14549	14549	7 defined in this Section, may be earned, plus (ii) interest
14550	14550	8 thereon at the effective rate for each year, compounded
14551	14551	9 annually, from the date of service to the date of payment.
14552	14552	10 (Source: P.A. 102-210, eff. 7-30-21; 102-538, eff. 8-20-21;
14553	14553	11 102-856, eff. 1-1-23; 103-34, eff. 1-1-24.)
14554	14554	12 (Text of Section from P.A. 102-956 and 103-34)
14555	14555	13 Sec. 14-110. Alternative retirement annuity.
14556	14556	14 (a) Any member who has withdrawn from service with not
14557	14557	15 less than 20 years of eligible creditable service and has
14558	14558	16 attained age 55, and any member who has withdrawn from service
14559	14559	17 with not less than 25 years of eligible creditable service and
14560	14560	18 has attained age 50, regardless of whether the attainment of
14561	14561	19 either of the specified ages occurs while the member is still
14562	14562	20 in service, shall be entitled to receive at the option of the
14563	14563	21 member, in lieu of the regular or minimum retirement annuity,
14564	14564	22 a retirement annuity computed as follows:
14565	14565	23 (i) for periods of service as a noncovered employee:
14566	14566	24 if retirement occurs on or after January 1, 2001, 3% of
14567	14567	25 final average compensation for each year of creditable
14568	14568
14569	14569
14570	14570
14571	14571
14572	14572
14573	14573	SB0002 - 406 - LRB104 07746 RPS 17791 b
14574	14574
14575	14575
14576	14576	SB0002- 407 -LRB104 07746 RPS 17791 b SB0002 - 407 - LRB104 07746 RPS 17791 b
14577	14577	SB0002 - 407 - LRB104 07746 RPS 17791 b
14578	14578	1 service; if retirement occurs before January 1, 2001, 2
14579	14579	2 1/4% of final average compensation for each of the first
14580	14580	3 10 years of creditable service, 2 1/2% for each year above
14581	14581	4 10 years to and including 20 years of creditable service,
14582	14582	5 and 2 3/4% for each year of creditable service above 20
14583	14583	6 years; and
14584	14584	7 (ii) for periods of eligible creditable service as a
14585	14585	8 covered employee: if retirement occurs on or after January
14586	14586	9 1, 2001, 2.5% of final average compensation for each year
14587	14587	10 of creditable service; if retirement occurs before January
14588	14588	11 1, 2001, 1.67% of final average compensation for each of
14589	14589	12 the first 10 years of such service, 1.90% for each of the
14590	14590	13 next 10 years of such service, 2.10% for each year of such
14591	14591	14 service in excess of 20 but not exceeding 30, and 2.30% for
14592	14592	15 each year in excess of 30.
14593	14593	16 Such annuity shall be subject to a maximum of 75% of final
14594	14594	17 average compensation if retirement occurs before January 1,
14595	14595	18 2001 or to a maximum of 80% of final average compensation if
14596	14596	19 retirement occurs on or after January 1, 2001.
14597	14597	20 These rates shall not be applicable to any service
14598	14598	21 performed by a member as a covered employee which is not
14599	14599	22 eligible creditable service. Service as a covered employee
14600	14600	23 which is not eligible creditable service shall be subject to
14601	14601	24 the rates and provisions of Section 14-108.
14602	14602	25 (b) For the purpose of this Section, "eligible creditable
14603	14603	26 service" means creditable service resulting from service in
14604	14604
14605	14605
14606	14606
14607	14607
14608	14608
14609	14609	SB0002 - 407 - LRB104 07746 RPS 17791 b
14610	14610
14611	14611
14612	14612	SB0002- 408 -LRB104 07746 RPS 17791 b SB0002 - 408 - LRB104 07746 RPS 17791 b
14613	14613	SB0002 - 408 - LRB104 07746 RPS 17791 b
14614	14614	1 one or more of the following positions:
14615	14615	2 (1) State policeman;
14616	14616	3 (2) fire fighter in the fire protection service of a
14617	14617	4 department;
14618	14618	5 (3) air pilot;
14619	14619	6 (4) special agent;
14620	14620	7 (5) investigator for the Secretary of State;
14621	14621	8 (6) conservation police officer;
14622	14622	9 (7) investigator for the Department of Revenue or the
14623	14623	10 Illinois Gaming Board;
14624	14624	11 (8) security employee of the Department of Human
14625	14625	12 Services;
14626	14626	13 (9) Central Management Services security police
14627	14627	14 officer;
14628	14628	15 (10) security employee of the Department of
14629	14629	16 Corrections or the Department of Juvenile Justice;
14630	14630	17 (11) dangerous drugs investigator;
14631	14631	18 (12) investigator for the Illinois State Police;
14632	14632	19 (13) investigator for the Office of the Attorney
14633	14633	20 General;
14634	14634	21 (14) controlled substance inspector;
14635	14635	22 (15) investigator for the Office of the State's
14636	14636	23 Attorneys Appellate Prosecutor;
14637	14637	24 (16) Commerce Commission police officer;
14638	14638	25 (17) arson investigator;
14639	14639	26 (18) State highway maintenance worker;
14640	14640
14641	14641
14642	14642
14643	14643
14644	14644
14645	14645	SB0002 - 408 - LRB104 07746 RPS 17791 b
14646	14646
14647	14647
14648	14648	SB0002- 409 -LRB104 07746 RPS 17791 b SB0002 - 409 - LRB104 07746 RPS 17791 b
14649	14649	SB0002 - 409 - LRB104 07746 RPS 17791 b
14650	14650	1 (19) security employee of the Department of Innovation
14651	14651	2 and Technology; or
14652	14652	3 (20) transferred employee; or .
14653	14653	4 (21) investigator for the Department of the Lottery.
14654	14654	5 A person employed in one of the positions specified in
14655	14655	6 this subsection is entitled to eligible creditable service for
14656	14656	7 service credit earned under this Article while undergoing the
14657	14657	8 basic police training course approved by the Illinois Law
14658	14658	9 Enforcement Training Standards Board, if completion of that
14659	14659	10 training is required of persons serving in that position. For
14660	14660	11 the purposes of this Code, service during the required basic
14661	14661	12 police training course shall be deemed performance of the
14662	14662	13 duties of the specified position, even though the person is
14663	14663	14 not a sworn peace officer at the time of the training.
14664	14664	15 A person under paragraph (20) is entitled to eligible
14665	14665	16 creditable service for service credit earned under this
14666	14666	17 Article on and after his or her transfer by Executive Order No.
14667	14667	18 2003-10, Executive Order No. 2004-2, or Executive Order No.
14668	14668	19 2016-1.
14669	14669	20 (c) For the purposes of this Section:
14670	14670	21 (1) The term "State policeman" includes any title or
14671	14671	22 position in the Illinois State Police that is held by an
14672	14672	23 individual employed under the Illinois State Police Act.
14673	14673	24 (2) The term "fire fighter in the fire protection
14674	14674	25 service of a department" includes all officers in such
14675	14675	26 fire protection service including fire chiefs and
14676	14676
14677	14677
14678	14678
14679	14679
14680	14680
14681	14681	SB0002 - 409 - LRB104 07746 RPS 17791 b
14682	14682
14683	14683
14684	14684	SB0002- 410 -LRB104 07746 RPS 17791 b SB0002 - 410 - LRB104 07746 RPS 17791 b
14685	14685	SB0002 - 410 - LRB104 07746 RPS 17791 b
14686	14686	1 assistant fire chiefs.
14687	14687	2 (3) The term "air pilot" includes any employee whose
14688	14688	3 official job description on file in the Department of
14689	14689	4 Central Management Services, or in the department by which
14690	14690	5 he is employed if that department is not covered by the
14691	14691	6 Personnel Code, states that his principal duty is the
14692	14692	7 operation of aircraft, and who possesses a pilot's
14693	14693	8 license; however, the change in this definition made by
14694	14694	9 Public Act 83-842 shall not operate to exclude any
14695	14695	10 noncovered employee who was an "air pilot" for the
14696	14696	11 purposes of this Section on January 1, 1984.
14697	14697	12 (4) The term "special agent" means any person who by
14698	14698	13 reason of employment by the Division of Narcotic Control,
14699	14699	14 the Bureau of Investigation or, after July 1, 1977, the
14700	14700	15 Division of Criminal Investigation, the Division of
14701	14701	16 Internal Investigation, the Division of Operations, the
14702	14702	17 Division of Patrol, or any other Division or
14703	14703	18 organizational entity in the Illinois State Police is
14704	14704	19 vested by law with duties to maintain public order,
14705	14705	20 investigate violations of the criminal law of this State,
14706	14706	21 enforce the laws of this State, make arrests and recover
14707	14707	22 property. The term "special agent" includes any title or
14708	14708	23 position in the Illinois State Police that is held by an
14709	14709	24 individual employed under the Illinois State Police Act.
14710	14710	25 (5) The term "investigator for the Secretary of State"
14711	14711	26 means any person employed by the Office of the Secretary
14712	14712
14713	14713
14714	14714
14715	14715
14716	14716
14717	14717	SB0002 - 410 - LRB104 07746 RPS 17791 b
14718	14718
14719	14719
14720	14720	SB0002- 411 -LRB104 07746 RPS 17791 b SB0002 - 411 - LRB104 07746 RPS 17791 b
14721	14721	SB0002 - 411 - LRB104 07746 RPS 17791 b
14722	14722	1 of State and vested with such investigative duties as
14723	14723	2 render him ineligible for coverage under the Social
14724	14724	3 Security Act by reason of Sections 218(d)(5)(A),
14725	14725	4 218(d)(8)(D) and 218(l)(1) of that Act.
14726	14726	5 A person who became employed as an investigator for
14727	14727	6 the Secretary of State between January 1, 1967 and
14728	14728	7 December 31, 1975, and who has served as such until
14729	14729	8 attainment of age 60, either continuously or with a single
14730	14730	9 break in service of not more than 3 years duration, which
14731	14731	10 break terminated before January 1, 1976, shall be entitled
14732	14732	11 to have his retirement annuity calculated in accordance
14733	14733	12 with subsection (a), notwithstanding that he has less than
14734	14734	13 20 years of credit for such service.
14735	14735	14 (6) The term "Conservation Police Officer" means any
14736	14736	15 person employed by the Division of Law Enforcement of the
14737	14737	16 Department of Natural Resources and vested with such law
14738	14738	17 enforcement duties as render him ineligible for coverage
14739	14739	18 under the Social Security Act by reason of Sections
14740	14740	19 218(d)(5)(A), 218(d)(8)(D), and 218(l)(1) of that Act. The
14741	14741	20 term "Conservation Police Officer" includes the positions
14742	14742	21 of Chief Conservation Police Administrator and Assistant
14743	14743	22 Conservation Police Administrator.
14744	14744	23 (7) The term "investigator for the Department of
14745	14745	24 Revenue" means any person employed by the Department of
14746	14746	25 Revenue and vested with such investigative duties as
14747	14747	26 render him ineligible for coverage under the Social
14748	14748
14749	14749
14750	14750
14751	14751
14752	14752
14753	14753	SB0002 - 411 - LRB104 07746 RPS 17791 b
14754	14754
14755	14755
14756	14756	SB0002- 412 -LRB104 07746 RPS 17791 b SB0002 - 412 - LRB104 07746 RPS 17791 b
14757	14757	SB0002 - 412 - LRB104 07746 RPS 17791 b
14758	14758	1 Security Act by reason of Sections 218(d)(5)(A),
14759	14759	2 218(d)(8)(D) and 218(l)(1) of that Act.
14760	14760	3 The term "investigator for the Illinois Gaming Board"
14761	14761	4 means any person employed as such by the Illinois Gaming
14762	14762	5 Board and vested with such peace officer duties as render
14763	14763	6 the person ineligible for coverage under the Social
14764	14764	7 Security Act by reason of Sections 218(d)(5)(A),
14765	14765	8 218(d)(8)(D), and 218(l)(1) of that Act.
14766	14766	9 (8) The term "security employee of the Department of
14767	14767	10 Human Services" means any person employed by the
14768	14768	11 Department of Human Services who (i) is employed at the
14769	14769	12 Chester Mental Health Center and has daily contact with
14770	14770	13 the residents thereof, (ii) is employed within a security
14771	14771	14 unit at a facility operated by the Department and has
14772	14772	15 daily contact with the residents of the security unit,
14773	14773	16 (iii) is employed at a facility operated by the Department
14774	14774	17 that includes a security unit and is regularly scheduled
14775	14775	18 to work at least 50% of his or her working hours within
14776	14776	19 that security unit, or (iv) is a mental health police
14777	14777	20 officer. "Mental health police officer" means any person
14778	14778	21 employed by the Department of Human Services in a position
14779	14779	22 pertaining to the Department's mental health and
14780	14780	23 developmental disabilities functions who is vested with
14781	14781	24 such law enforcement duties as render the person
14782	14782	25 ineligible for coverage under the Social Security Act by
14783	14783	26 reason of Sections 218(d)(5)(A), 218(d)(8)(D) and
14784	14784
14785	14785
14786	14786
14787	14787
14788	14788
14789	14789	SB0002 - 412 - LRB104 07746 RPS 17791 b
14790	14790
14791	14791
14792	14792	SB0002- 413 -LRB104 07746 RPS 17791 b SB0002 - 413 - LRB104 07746 RPS 17791 b
14793	14793	SB0002 - 413 - LRB104 07746 RPS 17791 b
14794	14794	1 218(l)(1) of that Act. "Security unit" means that portion
14795	14795	2 of a facility that is devoted to the care, containment,
14796	14796	3 and treatment of persons committed to the Department of
14797	14797	4 Human Services as sexually violent persons, persons unfit
14798	14798	5 to stand trial, or persons not guilty by reason of
14799	14799	6 insanity. With respect to past employment, references to
14800	14800	7 the Department of Human Services include its predecessor,
14801	14801	8 the Department of Mental Health and Developmental
14802	14802	9 Disabilities.
14803	14803	10 The changes made to this subdivision (c)(8) by Public
14804	14804	11 Act 92-14 apply to persons who retire on or after January
14805	14805	12 1, 2001, notwithstanding Section 1-103.1.
14806	14806	13 (9) "Central Management Services security police
14807	14807	14 officer" means any person employed by the Department of
14808	14808	15 Central Management Services who is vested with such law
14809	14809	16 enforcement duties as render him ineligible for coverage
14810	14810	17 under the Social Security Act by reason of Sections
14811	14811	18 218(d)(5)(A), 218(d)(8)(D) and 218(l)(1) of that Act.
14812	14812	19 (10) For a member who first became an employee under
14813	14813	20 this Article before July 1, 2005, the term "security
14814	14814	21 employee of the Department of Corrections or the
14815	14815	22 Department of Juvenile Justice" means any employee of the
14816	14816	23 Department of Corrections or the Department of Juvenile
14817	14817	24 Justice or the former Department of Personnel, and any
14818	14818	25 member or employee of the Prisoner Review Board, who has
14819	14819	26 daily contact with inmates or youth by working within a
14820	14820
14821	14821
14822	14822
14823	14823
14824	14824
14825	14825	SB0002 - 413 - LRB104 07746 RPS 17791 b
14826	14826
14827	14827
14828	14828	SB0002- 414 -LRB104 07746 RPS 17791 b SB0002 - 414 - LRB104 07746 RPS 17791 b
14829	14829	SB0002 - 414 - LRB104 07746 RPS 17791 b
14830	14830	1 correctional facility or Juvenile facility operated by the
14831	14831	2 Department of Juvenile Justice or who is a parole officer
14832	14832	3 or an employee who has direct contact with committed
14833	14833	4 persons in the performance of his or her job duties. For a
14834	14834	5 member who first becomes an employee under this Article on
14835	14835	6 or after July 1, 2005, the term means an employee of the
14836	14836	7 Department of Corrections or the Department of Juvenile
14837	14837	8 Justice who is any of the following: (i) officially
14838	14838	9 headquartered at a correctional facility or Juvenile
14839	14839	10 facility operated by the Department of Juvenile Justice,
14840	14840	11 (ii) a parole officer, (iii) a member of the apprehension
14841	14841	12 unit, (iv) a member of the intelligence unit, (v) a member
14842	14842	13 of the sort team, or (vi) an investigator.
14843	14843	14 (11) The term "dangerous drugs investigator" means any
14844	14844	15 person who is employed as such by the Department of Human
14845	14845	16 Services.
14846	14846	17 (12) The term "investigator for the Illinois State
14847	14847	18 Police" means a person employed by the Illinois State
14848	14848	19 Police who is vested under Section 4 of the Narcotic
14849	14849	20 Control Division Abolition Act with such law enforcement
14850	14850	21 powers as render him ineligible for coverage under the
14851	14851	22 Social Security Act by reason of Sections 218(d)(5)(A),
14852	14852	23 218(d)(8)(D) and 218(l)(1) of that Act.
14853	14853	24 (13) "Investigator for the Office of the Attorney
14854	14854	25 General" means any person who is employed as such by the
14855	14855	26 Office of the Attorney General and is vested with such
14856	14856
14857	14857
14858	14858
14859	14859
14860	14860
14861	14861	SB0002 - 414 - LRB104 07746 RPS 17791 b
14862	14862
14863	14863
14864	14864	SB0002- 415 -LRB104 07746 RPS 17791 b SB0002 - 415 - LRB104 07746 RPS 17791 b
14865	14865	SB0002 - 415 - LRB104 07746 RPS 17791 b
14866	14866	1 investigative duties as render him ineligible for coverage
14867	14867	2 under the Social Security Act by reason of Sections
14868	14868	3 218(d)(5)(A), 218(d)(8)(D) and 218(l)(1) of that Act. For
14869	14869	4 the period before January 1, 1989, the term includes all
14870	14870	5 persons who were employed as investigators by the Office
14871	14871	6 of the Attorney General, without regard to social security
14872	14872	7 status.
14873	14873	8 (14) "Controlled substance inspector" means any person
14874	14874	9 who is employed as such by the Department of Professional
14875	14875	10 Regulation and is vested with such law enforcement duties
14876	14876	11 as render him ineligible for coverage under the Social
14877	14877	12 Security Act by reason of Sections 218(d)(5)(A),
14878	14878	13 218(d)(8)(D) and 218(l)(1) of that Act. The term
14879	14879	14 "controlled substance inspector" includes the Program
14880	14880	15 Executive of Enforcement and the Assistant Program
14881	14881	16 Executive of Enforcement.
14882	14882	17 (15) The term "investigator for the Office of the
14883	14883	18 State's Attorneys Appellate Prosecutor" means a person
14884	14884	19 employed in that capacity on a full-time basis under the
14885	14885	20 authority of Section 7.06 of the State's Attorneys
14886	14886	21 Appellate Prosecutor's Act.
14887	14887	22 (16) "Commerce Commission police officer" means any
14888	14888	23 person employed by the Illinois Commerce Commission who is
14889	14889	24 vested with such law enforcement duties as render him
14890	14890	25 ineligible for coverage under the Social Security Act by
14891	14891	26 reason of Sections 218(d)(5)(A), 218(d)(8)(D), and
14892	14892
14893	14893
14894	14894
14895	14895
14896	14896
14897	14897	SB0002 - 415 - LRB104 07746 RPS 17791 b
14898	14898
14899	14899
14900	14900	SB0002- 416 -LRB104 07746 RPS 17791 b SB0002 - 416 - LRB104 07746 RPS 17791 b
14901	14901	SB0002 - 416 - LRB104 07746 RPS 17791 b
14902	14902	1 218(l)(1) of that Act.
14903	14903	2 (17) "Arson investigator" means any person who is
14904	14904	3 employed as such by the Office of the State Fire Marshal
14905	14905	4 and is vested with such law enforcement duties as render
14906	14906	5 the person ineligible for coverage under the Social
14907	14907	6 Security Act by reason of Sections 218(d)(5)(A),
14908	14908	7 218(d)(8)(D), and 218(l)(1) of that Act. A person who was
14909	14909	8 employed as an arson investigator on January 1, 1995 and
14910	14910	9 is no longer in service but not yet receiving a retirement
14911	14911	10 annuity may convert his or her creditable service for
14912	14912	11 employment as an arson investigator into eligible
14913	14913	12 creditable service by paying to the System the difference
14914	14914	13 between the employee contributions actually paid for that
14915	14915	14 service and the amounts that would have been contributed
14916	14916	15 if the applicant were contributing at the rate applicable
14917	14917	16 to persons with the same social security status earning
14918	14918	17 eligible creditable service on the date of application.
14919	14919	18 (18) The term "State highway maintenance worker" means
14920	14920	19 a person who is either of the following:
14921	14921	20 (i) A person employed on a full-time basis by the
14922	14922	21 Illinois Department of Transportation in the position
14923	14923	22 of highway maintainer, highway maintenance lead
14924	14924	23 worker, highway maintenance lead/lead worker, heavy
14925	14925	24 construction equipment operator, power shovel
14926	14926	25 operator, or bridge mechanic; and whose principal
14927	14927	26 responsibility is to perform, on the roadway, the
14928	14928
14929	14929
14930	14930
14931	14931
14932	14932
14933	14933	SB0002 - 416 - LRB104 07746 RPS 17791 b
14934	14934
14935	14935
14936	14936	SB0002- 417 -LRB104 07746 RPS 17791 b SB0002 - 417 - LRB104 07746 RPS 17791 b
14937	14937	SB0002 - 417 - LRB104 07746 RPS 17791 b
14938	14938	1 actual maintenance necessary to keep the highways that
14939	14939	2 form a part of the State highway system in serviceable
14940	14940	3 condition for vehicular traffic.
14941	14941	4 (ii) A person employed on a full-time basis by the
14942	14942	5 Illinois State Toll Highway Authority in the position
14943	14943	6 of equipment operator/laborer H-4, equipment
14944	14944	7 operator/laborer H-6, welder H-4, welder H-6,
14945	14945	8 mechanical/electrical H-4, mechanical/electrical H-6,
14946	14946	9 water/sewer H-4, water/sewer H-6, sign maker/hanger
14947	14947	10 H-4, sign maker/hanger H-6, roadway lighting H-4,
14948	14948	11 roadway lighting H-6, structural H-4, structural H-6,
14949	14949	12 painter H-4, or painter H-6; and whose principal
14950	14950	13 responsibility is to perform, on the roadway, the
14951	14951	14 actual maintenance necessary to keep the Authority's
14952	14952	15 tollways in serviceable condition for vehicular
14953	14953	16 traffic.
14954	14954	17 (19) The term "security employee of the Department of
14955	14955	18 Innovation and Technology" means a person who was a
14956	14956	19 security employee of the Department of Corrections or the
14957	14957	20 Department of Juvenile Justice, was transferred to the
14958	14958	21 Department of Innovation and Technology pursuant to
14959	14959	22 Executive Order 2016-01, and continues to perform similar
14960	14960	23 job functions under that Department.
14961	14961	24 (20) "Transferred employee" means an employee who was
14962	14962	25 transferred to the Department of Central Management
14963	14963	26 Services by Executive Order No. 2003-10 or Executive Order
14964	14964
14965	14965
14966	14966
14967	14967
14968	14968
14969	14969	SB0002 - 417 - LRB104 07746 RPS 17791 b
14970	14970
14971	14971
14972	14972	SB0002- 418 -LRB104 07746 RPS 17791 b SB0002 - 418 - LRB104 07746 RPS 17791 b
14973	14973	SB0002 - 418 - LRB104 07746 RPS 17791 b
14974	14974	1 No. 2004-2 or transferred to the Department of Innovation
14975	14975	2 and Technology by Executive Order No. 2016-1, or both, and
14976	14976	3 was entitled to eligible creditable service for services
14977	14977	4 immediately preceding the transfer.
14978	14978	5 (21) "Investigator for the Department of the Lottery"
14979	14979	6 means any person who is employed by the Department of the
14980	14980	7 Lottery and is vested with such investigative duties which
14981	14981	8 render him or her ineligible for coverage under the Social
14982	14982	9 Security Act by reason of Sections 218(d)(5)(A),
14983	14983	10 218(d)(8)(D), and 218(l)(1) of that Act. An investigator
14984	14984	11 for the Department of the Lottery who qualifies under this
14985	14985	12 Section shall earn eligible creditable service and be
14986	14986	13 required to make contributions at the rate specified in
14987	14987	14 paragraph (3) of subsection (a) of Section 14-133 for all
14988	14988	15 periods of service as an investigator for the Department
14989	14989	16 of the Lottery.
14990	14990	17 (d) A security employee of the Department of Corrections
14991	14991	18 or the Department of Juvenile Justice, a security employee of
14992	14992	19 the Department of Human Services who is not a mental health
14993	14993	20 police officer, and a security employee of the Department of
14994	14994	21 Innovation and Technology shall not be eligible for the
14995	14995	22 alternative retirement annuity provided by this Section unless
14996	14996	23 he or she meets the following minimum age and service
14997	14997	24 requirements at the time of retirement:
14998	14998	25 (i) 25 years of eligible creditable service and age
14999	14999	26 55; or
15000	15000
15001	15001
15002	15002
15003	15003
15004	15004
15005	15005	SB0002 - 418 - LRB104 07746 RPS 17791 b
15006	15006
15007	15007
15008	15008	SB0002- 419 -LRB104 07746 RPS 17791 b SB0002 - 419 - LRB104 07746 RPS 17791 b
15009	15009	SB0002 - 419 - LRB104 07746 RPS 17791 b
15010	15010	1 (ii) beginning January 1, 1987, 25 years of eligible
15011	15011	2 creditable service and age 54, or 24 years of eligible
15012	15012	3 creditable service and age 55; or
15013	15013	4 (iii) beginning January 1, 1988, 25 years of eligible
15014	15014	5 creditable service and age 53, or 23 years of eligible
15015	15015	6 creditable service and age 55; or
15016	15016	7 (iv) beginning January 1, 1989, 25 years of eligible
15017	15017	8 creditable service and age 52, or 22 years of eligible
15018	15018	9 creditable service and age 55; or
15019	15019	10 (v) beginning January 1, 1990, 25 years of eligible
15020	15020	11 creditable service and age 51, or 21 years of eligible
15021	15021	12 creditable service and age 55; or
15022	15022	13 (vi) beginning January 1, 1991, 25 years of eligible
15023	15023	14 creditable service and age 50, or 20 years of eligible
15024	15024	15 creditable service and age 55.
15025	15025	16 Persons who have service credit under Article 16 of this
15026	15026	17 Code for service as a security employee of the Department of
15027	15027	18 Corrections or the Department of Juvenile Justice, or the
15028	15028	19 Department of Human Services in a position requiring
15029	15029	20 certification as a teacher may count such service toward
15030	15030	21 establishing their eligibility under the service requirements
15031	15031	22 of this Section; but such service may be used only for
15032	15032	23 establishing such eligibility, and not for the purpose of
15033	15033	24 increasing or calculating any benefit.
15034	15034	25 (e) If a member enters military service while working in a
15035	15035	26 position in which eligible creditable service may be earned,
15036	15036
15037	15037
15038	15038
15039	15039
15040	15040
15041	15041	SB0002 - 419 - LRB104 07746 RPS 17791 b
15042	15042
15043	15043
15044	15044	SB0002- 420 -LRB104 07746 RPS 17791 b SB0002 - 420 - LRB104 07746 RPS 17791 b
15045	15045	SB0002 - 420 - LRB104 07746 RPS 17791 b
15046	15046	1 and returns to State service in the same or another such
15047	15047	2 position, and fulfills in all other respects the conditions
15048	15048	3 prescribed in this Article for credit for military service,
15049	15049	4 such military service shall be credited as eligible creditable
15050	15050	5 service for the purposes of the retirement annuity prescribed
15051	15051	6 in this Section.
15052	15052	7 (f) For purposes of calculating retirement annuities under
15053	15053	8 this Section, periods of service rendered after December 31,
15054	15054	9 1968 and before October 1, 1975 as a covered employee in the
15055	15055	10 position of special agent, conservation police officer, mental
15056	15056	11 health police officer, or investigator for the Secretary of
15057	15057	12 State, shall be deemed to have been service as a noncovered
15058	15058	13 employee, provided that the employee pays to the System prior
15059	15059	14 to retirement an amount equal to (1) the difference between
15060	15060	15 the employee contributions that would have been required for
15061	15061	16 such service as a noncovered employee, and the amount of
15062	15062	17 employee contributions actually paid, plus (2) if payment is
15063	15063	18 made after July 31, 1987, regular interest on the amount
15064	15064	19 specified in item (1) from the date of service to the date of
15065	15065	20 payment.
15066	15066	21 For purposes of calculating retirement annuities under
15067	15067	22 this Section, periods of service rendered after December 31,
15068	15068	23 1968 and before January 1, 1982 as a covered employee in the
15069	15069	24 position of investigator for the Department of Revenue shall
15070	15070	25 be deemed to have been service as a noncovered employee,
15071	15071	26 provided that the employee pays to the System prior to
15072	15072
15073	15073
15074	15074
15075	15075
15076	15076
15077	15077	SB0002 - 420 - LRB104 07746 RPS 17791 b
15078	15078
15079	15079
15080	15080	SB0002- 421 -LRB104 07746 RPS 17791 b SB0002 - 421 - LRB104 07746 RPS 17791 b
15081	15081	SB0002 - 421 - LRB104 07746 RPS 17791 b
15082	15082	1 retirement an amount equal to (1) the difference between the
15083	15083	2 employee contributions that would have been required for such
15084	15084	3 service as a noncovered employee, and the amount of employee
15085	15085	4 contributions actually paid, plus (2) if payment is made after
15086	15086	5 January 1, 1990, regular interest on the amount specified in
15087	15087	6 item (1) from the date of service to the date of payment.
15088	15088	7 (g) A State policeman may elect, not later than January 1,
15089	15089	8 1990, to establish eligible creditable service for up to 10
15090	15090	9 years of his service as a policeman under Article 3, by filing
15091	15091	10 a written election with the Board, accompanied by payment of
15092	15092	11 an amount to be determined by the Board, equal to (i) the
15093	15093	12 difference between the amount of employee and employer
15094	15094	13 contributions transferred to the System under Section 3-110.5,
15095	15095	14 and the amounts that would have been contributed had such
15096	15096	15 contributions been made at the rates applicable to State
15097	15097	16 policemen, plus (ii) interest thereon at the effective rate
15098	15098	17 for each year, compounded annually, from the date of service
15099	15099	18 to the date of payment.
15100	15100	19 Subject to the limitation in subsection (i), a State
15101	15101	20 policeman may elect, not later than July 1, 1993, to establish
15102	15102	21 eligible creditable service for up to 10 years of his service
15103	15103	22 as a member of the County Police Department under Article 9, by
15104	15104	23 filing a written election with the Board, accompanied by
15105	15105	24 payment of an amount to be determined by the Board, equal to
15106	15106	25 (i) the difference between the amount of employee and employer
15107	15107	26 contributions transferred to the System under Section 9-121.10
15108	15108
15109	15109
15110	15110
15111	15111
15112	15112
15113	15113	SB0002 - 421 - LRB104 07746 RPS 17791 b
15114	15114
15115	15115
15116	15116	SB0002- 422 -LRB104 07746 RPS 17791 b SB0002 - 422 - LRB104 07746 RPS 17791 b
15117	15117	SB0002 - 422 - LRB104 07746 RPS 17791 b
15118	15118	1 and the amounts that would have been contributed had those
15119	15119	2 contributions been made at the rates applicable to State
15120	15120	3 policemen, plus (ii) interest thereon at the effective rate
15121	15121	4 for each year, compounded annually, from the date of service
15122	15122	5 to the date of payment.
15123	15123	6 (h) Subject to the limitation in subsection (i), a State
15124	15124	7 policeman or investigator for the Secretary of State may elect
15125	15125	8 to establish eligible creditable service for up to 12 years of
15126	15126	9 his service as a policeman under Article 5, by filing a written
15127	15127	10 election with the Board on or before January 31, 1992, and
15128	15128	11 paying to the System by January 31, 1994 an amount to be
15129	15129	12 determined by the Board, equal to (i) the difference between
15130	15130	13 the amount of employee and employer contributions transferred
15131	15131	14 to the System under Section 5-236, and the amounts that would
15132	15132	15 have been contributed had such contributions been made at the
15133	15133	16 rates applicable to State policemen, plus (ii) interest
15134	15134	17 thereon at the effective rate for each year, compounded
15135	15135	18 annually, from the date of service to the date of payment.
15136	15136	19 Subject to the limitation in subsection (i), a State
15137	15137	20 policeman, conservation police officer, or investigator for
15138	15138	21 the Secretary of State may elect to establish eligible
15139	15139	22 creditable service for up to 10 years of service as a sheriff's
15140	15140	23 law enforcement employee under Article 7, by filing a written
15141	15141	24 election with the Board on or before January 31, 1993, and
15142	15142	25 paying to the System by January 31, 1994 an amount to be
15143	15143	26 determined by the Board, equal to (i) the difference between
15144	15144
15145	15145
15146	15146
15147	15147
15148	15148
15149	15149	SB0002 - 422 - LRB104 07746 RPS 17791 b
15150	15150
15151	15151
15152	15152	SB0002- 423 -LRB104 07746 RPS 17791 b SB0002 - 423 - LRB104 07746 RPS 17791 b
15153	15153	SB0002 - 423 - LRB104 07746 RPS 17791 b
15154	15154	1 the amount of employee and employer contributions transferred
15155	15155	2 to the System under Section 7-139.7, and the amounts that
15156	15156	3 would have been contributed had such contributions been made
15157	15157	4 at the rates applicable to State policemen, plus (ii) interest
15158	15158	5 thereon at the effective rate for each year, compounded
15159	15159	6 annually, from the date of service to the date of payment.
15160	15160	7 Subject to the limitation in subsection (i), a State
15161	15161	8 policeman, conservation police officer, or investigator for
15162	15162	9 the Secretary of State may elect to establish eligible
15163	15163	10 creditable service for up to 5 years of service as a police
15164	15164	11 officer under Article 3, a policeman under Article 5, a
15165	15165	12 sheriff's law enforcement employee under Article 7, a member
15166	15166	13 of the county police department under Article 9, or a police
15167	15167	14 officer under Article 15 by filing a written election with the
15168	15168	15 Board and paying to the System an amount to be determined by
15169	15169	16 the Board, equal to (i) the difference between the amount of
15170	15170	17 employee and employer contributions transferred to the System
15171	15171	18 under Section 3-110.6, 5-236, 7-139.8, 9-121.10, or 15-134.4
15172	15172	19 and the amounts that would have been contributed had such
15173	15173	20 contributions been made at the rates applicable to State
15174	15174	21 policemen, plus (ii) interest thereon at the effective rate
15175	15175	22 for each year, compounded annually, from the date of service
15176	15176	23 to the date of payment.
15177	15177	24 Subject to the limitation in subsection (i), an
15178	15178	25 investigator for the Office of the Attorney General, or an
15179	15179	26 investigator for the Department of Revenue, may elect to
15180	15180
15181	15181
15182	15182
15183	15183
15184	15184
15185	15185	SB0002 - 423 - LRB104 07746 RPS 17791 b
15186	15186
15187	15187
15188	15188	SB0002- 424 -LRB104 07746 RPS 17791 b SB0002 - 424 - LRB104 07746 RPS 17791 b
15189	15189	SB0002 - 424 - LRB104 07746 RPS 17791 b
15190	15190	1 establish eligible creditable service for up to 5 years of
15191	15191	2 service as a police officer under Article 3, a policeman under
15192	15192	3 Article 5, a sheriff's law enforcement employee under Article
15193	15193	4 7, or a member of the county police department under Article 9
15194	15194	5 by filing a written election with the Board within 6 months
15195	15195	6 after August 25, 2009 (the effective date of Public Act
15196	15196	7 96-745) and paying to the System an amount to be determined by
15197	15197	8 the Board, equal to (i) the difference between the amount of
15198	15198	9 employee and employer contributions transferred to the System
15199	15199	10 under Section 3-110.6, 5-236, 7-139.8, or 9-121.10 and the
15200	15200	11 amounts that would have been contributed had such
15201	15201	12 contributions been made at the rates applicable to State
15202	15202	13 policemen, plus (ii) interest thereon at the actuarially
15203	15203	14 assumed rate for each year, compounded annually, from the date
15204	15204	15 of service to the date of payment.
15205	15205	16 Subject to the limitation in subsection (i), a State
15206	15206	17 policeman, conservation police officer, investigator for the
15207	15207	18 Office of the Attorney General, an investigator for the
15208	15208	19 Department of Revenue, or investigator for the Secretary of
15209	15209	20 State may elect to establish eligible creditable service for
15210	15210	21 up to 5 years of service as a person employed by a
15211	15211	22 participating municipality to perform police duties, or law
15212	15212	23 enforcement officer employed on a full-time basis by a forest
15213	15213	24 preserve district under Article 7, a county corrections
15214	15214	25 officer, or a court services officer under Article 9, by
15215	15215	26 filing a written election with the Board within 6 months after
15216	15216
15217	15217
15218	15218
15219	15219
15220	15220
15221	15221	SB0002 - 424 - LRB104 07746 RPS 17791 b
15222	15222
15223	15223
15224	15224	SB0002- 425 -LRB104 07746 RPS 17791 b SB0002 - 425 - LRB104 07746 RPS 17791 b
15225	15225	SB0002 - 425 - LRB104 07746 RPS 17791 b
15226	15226	1 August 25, 2009 (the effective date of Public Act 96-745) and
15227	15227	2 paying to the System an amount to be determined by the Board,
15228	15228	3 equal to (i) the difference between the amount of employee and
15229	15229	4 employer contributions transferred to the System under
15230	15230	5 Sections 7-139.8 and 9-121.10 and the amounts that would have
15231	15231	6 been contributed had such contributions been made at the rates
15232	15232	7 applicable to State policemen, plus (ii) interest thereon at
15233	15233	8 the actuarially assumed rate for each year, compounded
15234	15234	9 annually, from the date of service to the date of payment.
15235	15235	10 Subject to the limitation in subsection (i), a State
15236	15236	11 policeman, arson investigator, or Commerce Commission police
15237	15237	12 officer may elect to establish eligible creditable service for
15238	15238	13 up to 5 years of service as a person employed by a
15239	15239	14 participating municipality to perform police duties under
15240	15240	15 Article 7, a county corrections officer, a court services
15241	15241	16 officer under Article 9, or a firefighter under Article 4 by
15242	15242	17 filing a written election with the Board within 6 months after
15243	15243	18 July 30, 2021 (the effective date of Public Act 102-210) and
15244	15244	19 paying to the System an amount to be determined by the Board
15245	15245	20 equal to (i) the difference between the amount of employee and
15246	15246	21 employer contributions transferred to the System under
15247	15247	22 Sections 4-108.8, 7-139.8, and 9-121.10 and the amounts that
15248	15248	23 would have been contributed had such contributions been made
15249	15249	24 at the rates applicable to State policemen, plus (ii) interest
15250	15250	25 thereon at the actuarially assumed rate for each year,
15251	15251	26 compounded annually, from the date of service to the date of
15252	15252
15253	15253
15254	15254
15255	15255
15256	15256
15257	15257	SB0002 - 425 - LRB104 07746 RPS 17791 b
15258	15258
15259	15259
15260	15260	SB0002- 426 -LRB104 07746 RPS 17791 b SB0002 - 426 - LRB104 07746 RPS 17791 b
15261	15261	SB0002 - 426 - LRB104 07746 RPS 17791 b
15262	15262	1 payment.
15263	15263	2 Subject to the limitation in subsection (i), a
15264	15264	3 conservation police officer may elect to establish eligible
15265	15265	4 creditable service for up to 5 years of service as a person
15266	15266	5 employed by a participating municipality to perform police
15267	15267	6 duties under Article 7, a county corrections officer, or a
15268	15268	7 court services officer under Article 9 by filing a written
15269	15269	8 election with the Board within 6 months after July 30, 2021
15270	15270	9 (the effective date of Public Act 102-210) and paying to the
15271	15271	10 System an amount to be determined by the Board equal to (i) the
15272	15272	11 difference between the amount of employee and employer
15273	15273	12 contributions transferred to the System under Sections 7-139.8
15274	15274	13 and 9-121.10 and the amounts that would have been contributed
15275	15275	14 had such contributions been made at the rates applicable to
15276	15276	15 State policemen, plus (ii) interest thereon at the actuarially
15277	15277	16 assumed rate for each year, compounded annually, from the date
15278	15278	17 of service to the date of payment.
15279	15279	18 Notwithstanding the limitation in subsection (i), a State
15280	15280	19 policeman or conservation police officer may elect to convert
15281	15281	20 service credit earned under this Article to eligible
15282	15282	21 creditable service, as defined by this Section, by filing a
15283	15283	22 written election with the board within 6 months after July 30,
15284	15284	23 2021 (the effective date of Public Act 102-210) and paying to
15285	15285	24 the System an amount to be determined by the Board equal to (i)
15286	15286	25 the difference between the amount of employee contributions
15287	15287	26 originally paid for that service and the amounts that would
15288	15288
15289	15289
15290	15290
15291	15291
15292	15292
15293	15293	SB0002 - 426 - LRB104 07746 RPS 17791 b
15294	15294
15295	15295
15296	15296	SB0002- 427 -LRB104 07746 RPS 17791 b SB0002 - 427 - LRB104 07746 RPS 17791 b
15297	15297	SB0002 - 427 - LRB104 07746 RPS 17791 b
15298	15298	1 have been contributed had such contributions been made at the
15299	15299	2 rates applicable to State policemen, plus (ii) the difference
15300	15300	3 between the employer's normal cost of the credit prior to the
15301	15301	4 conversion authorized by Public Act 102-210 and the employer's
15302	15302	5 normal cost of the credit converted in accordance with Public
15303	15303	6 Act 102-210, plus (iii) interest thereon at the actuarially
15304	15304	7 assumed rate for each year, compounded annually, from the date
15305	15305	8 of service to the date of payment.
15306	15306	9 (i) The total amount of eligible creditable service
15307	15307	10 established by any person under subsections (g), (h), (j),
15308	15308	11 (k), (l), (l-5), (o), and (p), and (r) of this Section shall
15309	15309	12 not exceed 12 years.
15310	15310	13 (j) Subject to the limitation in subsection (i), an
15311	15311	14 investigator for the Office of the State's Attorneys Appellate
15312	15312	15 Prosecutor or a controlled substance inspector may elect to
15313	15313	16 establish eligible creditable service for up to 10 years of
15314	15314	17 his service as a policeman under Article 3 or a sheriff's law
15315	15315	18 enforcement employee under Article 7, by filing a written
15316	15316	19 election with the Board, accompanied by payment of an amount
15317	15317	20 to be determined by the Board, equal to (1) the difference
15318	15318	21 between the amount of employee and employer contributions
15319	15319	22 transferred to the System under Section 3-110.6 or 7-139.8,
15320	15320	23 and the amounts that would have been contributed had such
15321	15321	24 contributions been made at the rates applicable to State
15322	15322	25 policemen, plus (2) interest thereon at the effective rate for
15323	15323	26 each year, compounded annually, from the date of service to
15324	15324
15325	15325
15326	15326
15327	15327
15328	15328
15329	15329	SB0002 - 427 - LRB104 07746 RPS 17791 b
15330	15330
15331	15331
15332	15332	SB0002- 428 -LRB104 07746 RPS 17791 b SB0002 - 428 - LRB104 07746 RPS 17791 b
15333	15333	SB0002 - 428 - LRB104 07746 RPS 17791 b
15334	15334	1 the date of payment.
15335	15335	2 (k) Subject to the limitation in subsection (i) of this
15336	15336	3 Section, an alternative formula employee may elect to
15337	15337	4 establish eligible creditable service for periods spent as a
15338	15338	5 full-time law enforcement officer or full-time corrections
15339	15339	6 officer employed by the federal government or by a state or
15340	15340	7 local government located outside of Illinois, for which credit
15341	15341	8 is not held in any other public employee pension fund or
15342	15342	9 retirement system. To obtain this credit, the applicant must
15343	15343	10 file a written application with the Board by March 31, 1998,
15344	15344	11 accompanied by evidence of eligibility acceptable to the Board
15345	15345	12 and payment of an amount to be determined by the Board, equal
15346	15346	13 to (1) employee contributions for the credit being
15347	15347	14 established, based upon the applicant's salary on the first
15348	15348	15 day as an alternative formula employee after the employment
15349	15349	16 for which credit is being established and the rates then
15350	15350	17 applicable to alternative formula employees, plus (2) an
15351	15351	18 amount determined by the Board to be the employer's normal
15352	15352	19 cost of the benefits accrued for the credit being established,
15353	15353	20 plus (3) regular interest on the amounts in items (1) and (2)
15354	15354	21 from the first day as an alternative formula employee after
15355	15355	22 the employment for which credit is being established to the
15356	15356	23 date of payment.
15357	15357	24 (l) Subject to the limitation in subsection (i), a
15358	15358	25 security employee of the Department of Corrections may elect,
15359	15359	26 not later than July 1, 1998, to establish eligible creditable
15360	15360
15361	15361
15362	15362
15363	15363
15364	15364
15365	15365	SB0002 - 428 - LRB104 07746 RPS 17791 b
15366	15366
15367	15367
15368	15368	SB0002- 429 -LRB104 07746 RPS 17791 b SB0002 - 429 - LRB104 07746 RPS 17791 b
15369	15369	SB0002 - 429 - LRB104 07746 RPS 17791 b
15370	15370	1 service for up to 10 years of his or her service as a policeman
15371	15371	2 under Article 3, by filing a written election with the Board,
15372	15372	3 accompanied by payment of an amount to be determined by the
15373	15373	4 Board, equal to (i) the difference between the amount of
15374	15374	5 employee and employer contributions transferred to the System
15375	15375	6 under Section 3-110.5, and the amounts that would have been
15376	15376	7 contributed had such contributions been made at the rates
15377	15377	8 applicable to security employees of the Department of
15378	15378	9 Corrections, plus (ii) interest thereon at the effective rate
15379	15379	10 for each year, compounded annually, from the date of service
15380	15380	11 to the date of payment.
15381	15381	12 (l-5) Subject to the limitation in subsection (i) of this
15382	15382	13 Section, a State policeman may elect to establish eligible
15383	15383	14 creditable service for up to 5 years of service as a full-time
15384	15384	15 law enforcement officer employed by the federal government or
15385	15385	16 by a state or local government located outside of Illinois for
15386	15386	17 which credit is not held in any other public employee pension
15387	15387	18 fund or retirement system. To obtain this credit, the
15388	15388	19 applicant must file a written application with the Board no
15389	15389	20 later than 3 years after January 1, 2020 (the effective date of
15390	15390	21 Public Act 101-610), accompanied by evidence of eligibility
15391	15391	22 acceptable to the Board and payment of an amount to be
15392	15392	23 determined by the Board, equal to (1) employee contributions
15393	15393	24 for the credit being established, based upon the applicant's
15394	15394	25 salary on the first day as an alternative formula employee
15395	15395	26 after the employment for which credit is being established and
15396	15396
15397	15397
15398	15398
15399	15399
15400	15400
15401	15401	SB0002 - 429 - LRB104 07746 RPS 17791 b
15402	15402
15403	15403
15404	15404	SB0002- 430 -LRB104 07746 RPS 17791 b SB0002 - 430 - LRB104 07746 RPS 17791 b
15405	15405	SB0002 - 430 - LRB104 07746 RPS 17791 b
15406	15406	1 the rates then applicable to alternative formula employees,
15407	15407	2 plus (2) an amount determined by the Board to be the employer's
15408	15408	3 normal cost of the benefits accrued for the credit being
15409	15409	4 established, plus (3) regular interest on the amounts in items
15410	15410	5 (1) and (2) from the first day as an alternative formula
15411	15411	6 employee after the employment for which credit is being
15412	15412	7 established to the date of payment.
15413	15413	8 (m) The amendatory changes to this Section made by Public
15414	15414	9 Act 94-696 apply only to: (1) security employees of the
15415	15415	10 Department of Juvenile Justice employed by the Department of
15416	15416	11 Corrections before June 1, 2006 (the effective date of Public
15417	15417	12 Act 94-696) and transferred to the Department of Juvenile
15418	15418	13 Justice by Public Act 94-696; and (2) persons employed by the
15419	15419	14 Department of Juvenile Justice on or after June 1, 2006 (the
15420	15420	15 effective date of Public Act 94-696) who are required by
15421	15421	16 subsection (b) of Section 3-2.5-15 of the Unified Code of
15422	15422	17 Corrections to have any bachelor's or advanced degree from an
15423	15423	18 accredited college or university or, in the case of persons
15424	15424	19 who provide vocational training, who are required to have
15425	15425	20 adequate knowledge in the skill for which they are providing
15426	15426	21 the vocational training.
15427	15427	22 Beginning with the pay period that immediately follows the
15428	15428	23 effective date of this amendatory Act of the 104th General
15429	15429	24 Assembly, the bachelor's or advanced degree requirement of
15430	15430	25 subsection (b) of Section 3-2.5-15 of the Unified Code of
15431	15431	26 Corrections shall no longer determine the eligibility to earn
15432	15432
15433	15433
15434	15434
15435	15435
15436	15436
15437	15437	SB0002 - 430 - LRB104 07746 RPS 17791 b
15438	15438
15439	15439
15440	15440	SB0002- 431 -LRB104 07746 RPS 17791 b SB0002 - 431 - LRB104 07746 RPS 17791 b
15441	15441	SB0002 - 431 - LRB104 07746 RPS 17791 b
15442	15442	1 eligible creditable service for a person employed by the
15443	15443	2 Department of Juvenile Justice.
15444	15444	3 An employee may elect to convert into eligible creditable
15445	15445	4 service his or her creditable service earned with the
15446	15446	5 Department of Juvenile Justice while employed in a position
15447	15447	6 that required the employee to do any one or more of the
15448	15448	7 following: (1) participate or assist in the rehabilitative and
15449	15449	8 vocational training of delinquent youths; (2) supervise the
15450	15450	9 daily activities and assume direct and continuing
15451	15451	10 responsibility for the youth's security, welfare, and
15452	15452	11 development; or (3) participate in the personal rehabilitation
15453	15453	12 of delinquent youth by training, supervising, and assisting
15454	15454	13 lower-level personnel. To convert that creditable service to
15455	15455	14 eligible creditable service, the employee must pay to the
15456	15456	15 System the difference between the employee contributions
15457	15457	16 actually paid for that service and the amounts that would have
15458	15458	17 been contributed if the applicant were contributing at the
15459	15459	18 rate applicable to persons with the same Social Security
15460	15460	19 status earning eligible creditable service on the date of
15461	15461	20 application.
15462	15462	21 (n) A person employed in a position under subsection (b)
15463	15463	22 of this Section who has purchased service credit under
15464	15464	23 subsection (j) of Section 14-104 or subsection (b) of Section
15465	15465	24 14-105 in any other capacity under this Article may convert up
15466	15466	25 to 5 years of that service credit into service credit covered
15467	15467	26 under this Section by paying to the Fund an amount equal to (1)
15468	15468
15469	15469
15470	15470
15471	15471
15472	15472
15473	15473	SB0002 - 431 - LRB104 07746 RPS 17791 b
15474	15474
15475	15475
15476	15476	SB0002- 432 -LRB104 07746 RPS 17791 b SB0002 - 432 - LRB104 07746 RPS 17791 b
15477	15477	SB0002 - 432 - LRB104 07746 RPS 17791 b
15478	15478	1 the additional employee contribution required under Section
15479	15479	2 14-133, plus (2) the additional employer contribution required
15480	15480	3 under Section 14-131, plus (3) interest on items (1) and (2) at
15481	15481	4 the actuarially assumed rate from the date of the service to
15482	15482	5 the date of payment.
15483	15483	6 (o) Subject to the limitation in subsection (i), a
15484	15484	7 conservation police officer, investigator for the Secretary of
15485	15485	8 State, Commerce Commission police officer, investigator for
15486	15486	9 the Department of Revenue or the Illinois Gaming Board, or
15487	15487	10 arson investigator subject to subsection (g) of Section 1-160
15488	15488	11 may elect to convert up to 8 years of service credit
15489	15489	12 established before January 1, 2020 (the effective date of
15490	15490	13 Public Act 101-610) as a conservation police officer,
15491	15491	14 investigator for the Secretary of State, Commerce Commission
15492	15492	15 police officer, investigator for the Department of Revenue or
15493	15493	16 the Illinois Gaming Board, or arson investigator under this
15494	15494	17 Article into eligible creditable service by filing a written
15495	15495	18 election with the Board no later than one year after January 1,
15496	15496	19 2020 (the effective date of Public Act 101-610), accompanied
15497	15497	20 by payment of an amount to be determined by the Board equal to
15498	15498	21 (i) the difference between the amount of the employee
15499	15499	22 contributions actually paid for that service and the amount of
15500	15500	23 the employee contributions that would have been paid had the
15501	15501	24 employee contributions been made as a noncovered employee
15502	15502	25 serving in a position in which eligible creditable service, as
15503	15503	26 defined in this Section, may be earned, plus (ii) interest
15504	15504
15505	15505
15506	15506
15507	15507
15508	15508
15509	15509	SB0002 - 432 - LRB104 07746 RPS 17791 b
15510	15510
15511	15511
15512	15512	SB0002- 433 -LRB104 07746 RPS 17791 b SB0002 - 433 - LRB104 07746 RPS 17791 b
15513	15513	SB0002 - 433 - LRB104 07746 RPS 17791 b
15514	15514	1 thereon at the effective rate for each year, compounded
15515	15515	2 annually, from the date of service to the date of payment.
15516	15516	3 (p) Subject to the limitation in subsection (i), an
15517	15517	4 investigator for the Office of the Attorney General subject to
15518	15518	5 subsection (g) of Section 1-160 may elect to convert up to 8
15519	15519	6 years of service credit established before the effective date
15520	15520	7 of this amendatory Act of the 102nd General Assembly as an
15521	15521	8 investigator for the Office of the Attorney General under this
15522	15522	9 Article into eligible creditable service by filing a written
15523	15523	10 election with the Board no later than one year after the
15524	15524	11 effective date of this amendatory Act of the 102nd General
15525	15525	12 Assembly, accompanied by payment of an amount to be determined
15526	15526	13 by the Board equal to (i) the difference between the amount of
15527	15527	14 the employee contributions actually paid for that service and
15528	15528	15 the amount of the employee contributions that would have been
15529	15529	16 paid had the employee contributions been made as a noncovered
15530	15530	17 employee serving in a position in which eligible creditable
15531	15531	18 service, as defined in this Section, may be earned, plus (ii)
15532	15532	19 interest thereon at the effective rate for each year,
15533	15533	20 compounded annually, from the date of service to the date of
15534	15534	21 payment.
15535	15535	22 (q) A security employee of the Department of Human
15536	15536	23 Services who is subject to subsection (g) of Section 1-160 may
15537	15537	24 elect to convert up to 13 years of service credit established
15538	15538	25 before the effective date of this amendatory Act of the 104th
15539	15539	26 General Assembly as a security employee of the Department of
15540	15540
15541	15541
15542	15542
15543	15543
15544	15544
15545	15545	SB0002 - 433 - LRB104 07746 RPS 17791 b
15546	15546
15547	15547
15548	15548	SB0002- 434 -LRB104 07746 RPS 17791 b SB0002 - 434 - LRB104 07746 RPS 17791 b
15549	15549	SB0002 - 434 - LRB104 07746 RPS 17791 b
15550	15550	1 Human Services to eligible creditable service by filing a
15551	15551	2 written election with the Board no later than one year after
15552	15552	3 the effective date of this amendatory Act of the 104th General
15553	15553	4 Assembly, accompanied by payment of an amount, to be
15554	15554	5 determined by the Board, equal to (i) the difference between
15555	15555	6 the amount of the employee contributions actually paid for
15556	15556	7 that service and the amount of the employee contributions that
15557	15557	8 would have been paid had the employee contributions been made
15558	15558	9 as a covered employee serving in a position in which eligible
15559	15559	10 creditable service, as defined in this Section, may be earned,
15560	15560	11 plus (ii) interest thereon at the effective rate for each
15561	15561	12 year, compounded annually, from the date of service to the
15562	15562	13 date of payment.
15563	15563	14 (r) Subject to the limitation in subsection (i), a State
15564	15564	15 highway maintenance worker subject to subsection (g) of
15565	15565	16 Section 1-160 may elect to convert up to 8 years of service
15566	15566	17 credit established before the effective date of this
15567	15567	18 amendatory Act of the 104th General Assembly as a State
15568	15568	19 highway maintenance work under this Article into eligible
15569	15569	20 creditable service by filing a written election with the Board
15570	15570	21 no later than one year after the effective date of this
15571	15571	22 amendatory Act of the 104th General Assembly, accompanied by
15572	15572	23 payment of an amount to be determined by the Board equal to (i)
15573	15573	24 the difference between the amount of the employee
15574	15574	25 contributions actually paid for that service and the amount of
15575	15575	26 the employee contributions that would have been paid had the
15576	15576
15577	15577
15578	15578
15579	15579
15580	15580
15581	15581	SB0002 - 434 - LRB104 07746 RPS 17791 b
15582	15582
15583	15583
15584	15584	SB0002- 435 -LRB104 07746 RPS 17791 b SB0002 - 435 - LRB104 07746 RPS 17791 b
15585	15585	SB0002 - 435 - LRB104 07746 RPS 17791 b
15586	15586	1 employee contributions been made as a noncovered employee
15587	15587	2 serving in a position in which eligible creditable service, as
15588	15588	3 defined in this Section, may be earned, plus (ii) interest
15589	15589	4 thereon at the effective rate for each year, compounded
15590	15590	5 annually, from the date of service to the date of payment.
15591	15591	6 (Source: P.A. 102-210, eff. 7-30-21; 102-538, eff. 8-20-21;
15592	15592	7 102-956, eff. 5-27-22; 103-34, eff. 1-1-24.)
15593	15593	8 (40 ILCS 5/15-135) (from Ch. 108 1/2, par. 15-135)
15594	15594	9 Sec. 15-135. Retirement annuities; conditions.
15595	15595	10 (a) This subsection (a) applies only to a Tier 1 member. A
15596	15596	11 participant who retires in one of the following specified
15597	15597	12 years with the specified amount of service is entitled to a
15598	15598	13 retirement annuity at any age under the retirement program
15599	15599	14 applicable to the participant:
15600	15600	15 35 years if retirement is in 1997 or before;
15601	15601	16 34 years if retirement is in 1998;
15602	15602	17 33 years if retirement is in 1999;
15603	15603	18 32 years if retirement is in 2000;
15604	15604	19 31 years if retirement is in 2001;
15605	15605	20 30 years if retirement is in 2002 or later.
15606	15606	21 A participant with 8 or more years of service after
15607	15607	22 September 1, 1941, is entitled to a retirement annuity on or
15608	15608	23 after attainment of age 55.
15609	15609	24 A participant with at least 5 but less than 8 years of
15610	15610	25 service after September 1, 1941, is entitled to a retirement
15611	15611
15612	15612
15613	15613
15614	15614
15615	15615
15616	15616	SB0002 - 435 - LRB104 07746 RPS 17791 b
15617	15617
15618	15618
15619	15619	SB0002- 436 -LRB104 07746 RPS 17791 b SB0002 - 436 - LRB104 07746 RPS 17791 b
15620	15620	SB0002 - 436 - LRB104 07746 RPS 17791 b
15621	15621	1 annuity on or after attainment of age 62.
15622	15622	2 A participant who has at least 25 years of service in this
15623	15623	3 system as a police officer or firefighter is entitled to a
15624	15624	4 retirement annuity on or after the attainment of age 50, if
15625	15625	5 Rule 4 of Section 15-136 is applicable to the participant.
15626	15626	6 (a-5) A Tier 2 member is entitled to a retirement annuity
15627	15627	7 upon written application if he or she has attained age 67 and
15628	15628	8 has at least 10 years of service credit and is otherwise
15629	15629	9 eligible under the requirements of this Article; except that,
15630	15630	10 for a Tier 2 member who is in service on or after January 1,
15631	15631	11 2026, the age and service eligibility requirements for a
15632	15632	12 retirement annuity are the age and service eligibility
15633	15633	13 requirements applicable to a Tier 1 member who first became a
15634	15634	14 participant on December 31, 2010. A Tier 2 member who has
15635	15635	15 attained age 62 and has at least 10 years of service credit and
15636	15636	16 is otherwise eligible under the requirements of this Article
15637	15637	17 may elect to receive the lower retirement annuity provided in
15638	15638	18 subsection (b-5) of Section 15-136 of this Article; except
15639	15639	19 that, a Tier 2 member who is in service on or after January 1,
15640	15640	20 2026 may not elect to receive the lower retirement annuity
15641	15641	21 provided in subsection (b-5) of Section 15-136.
15642	15642	22 (a-10) A Tier 2 member who was not in service on or after
15643	15643	23 January 1, 2026 and has at least 20 years of service in this
15644	15644	24 system as a police officer or firefighter is entitled to a
15645	15645	25 retirement annuity upon written application on or after the
15646	15646	26 attainment of age 60 if Rule 4 of Section 15-136 is applicable
15647	15647
15648	15648
15649	15649
15650	15650
15651	15651
15652	15652	SB0002 - 436 - LRB104 07746 RPS 17791 b
15653	15653
15654	15654
15655	15655	SB0002- 437 -LRB104 07746 RPS 17791 b SB0002 - 437 - LRB104 07746 RPS 17791 b
15656	15656	SB0002 - 437 - LRB104 07746 RPS 17791 b
15657	15657	1 to the participant. The changes made to this subsection by
15658	15658	2 this amendatory Act of the 101st General Assembly apply
15659	15659	3 retroactively to January 1, 2011.
15660	15660	4 (b) The annuity payment period shall begin on the date
15661	15661	5 specified by the participant or the recipient of a disability
15662	15662	6 retirement annuity submitting a written application. For a
15663	15663	7 participant, the date on which the annuity payment period
15664	15664	8 begins shall not be prior to termination of employment or more
15665	15665	9 than one year before the application is received by the board;
15666	15666	10 however, if the participant is not an employee of an employer
15667	15667	11 participating in this System or in a participating system as
15668	15668	12 defined in Article 20 of this Code on April 1 of the calendar
15669	15669	13 year next following the calendar year in which the participant
15670	15670	14 attains the age specified under Section 401(a)(9) of the
15671	15671	15 Internal Revenue Code of 1986, as amended, the annuity payment
15672	15672	16 period shall begin on that date regardless of whether an
15673	15673	17 application has been filed. For a recipient of a disability
15674	15674	18 retirement annuity, the date on which the annuity payment
15675	15675	19 period begins shall not be prior to the discontinuation of the
15676	15676	20 disability retirement annuity under Section 15-153.2.
15677	15677	21 (c) An annuity is not payable if the amount provided under
15678	15678	22 Section 15-136 is less than $10 per month.
15679	15679	23 (Source: P.A. 101-610, eff. 1-1-20; 102-210, eff. 7-30-21.)
15680	15680	24 (40 ILCS 5/15-136) (from Ch. 108 1/2, par. 15-136)
15681	15681	25 Sec. 15-136. Retirement annuities; amount annuities -
15682	15682
15683	15683
15684	15684
15685	15685
15686	15686
15687	15687	SB0002 - 437 - LRB104 07746 RPS 17791 b
15688	15688
15689	15689
15690	15690	SB0002- 438 -LRB104 07746 RPS 17791 b SB0002 - 438 - LRB104 07746 RPS 17791 b
15691	15691	SB0002 - 438 - LRB104 07746 RPS 17791 b
15692	15692	1 Amount. The provisions of this Section 15-136 apply only to
15693	15693	2 those participants who are participating in the traditional
15694	15694	3 benefit package or the portable benefit package and do not
15695	15695	4 apply to participants who are participating in the
15696	15696	5 self-managed plan.
15697	15697	6 (a) The amount of a participant's retirement annuity,
15698	15698	7 expressed in the form of a single-life annuity, shall be
15699	15699	8 determined by whichever of the following rules is applicable
15700	15700	9 and provides the largest annuity:
15701	15701	10 Rule 1: The retirement annuity shall be 1.67% of final
15702	15702	11 rate of earnings for each of the first 10 years of service,
15703	15703	12 1.90% for each of the next 10 years of service, 2.10% for each
15704	15704	13 year of service in excess of 20 but not exceeding 30, and 2.30%
15705	15705	14 for each year in excess of 30; or for persons who retire on or
15706	15706	15 after January 1, 1998, 2.2% of the final rate of earnings for
15707	15707	16 each year of service.
15708	15708	17 Rule 2: The retirement annuity shall be the sum of the
15709	15709	18 following, determined from amounts credited to the participant
15710	15710	19 in accordance with the actuarial tables and the effective rate
15711	15711	20 of interest in effect at the time the retirement annuity
15712	15712	21 begins:
15713	15713	22 (i) the normal annuity which can be provided on an
15714	15714	23 actuarially equivalent basis, by the accumulated normal
15715	15715	24 contributions as of the date the annuity begins;
15716	15716	25 (ii) an annuity from employer contributions of an
15717	15717	26 amount equal to that which can be provided on an
15718	15718
15719	15719
15720	15720
15721	15721
15722	15722
15723	15723	SB0002 - 438 - LRB104 07746 RPS 17791 b
15724	15724
15725	15725
15726	15726	SB0002- 439 -LRB104 07746 RPS 17791 b SB0002 - 439 - LRB104 07746 RPS 17791 b
15727	15727	SB0002 - 439 - LRB104 07746 RPS 17791 b
15728	15728	1 actuarially equivalent basis from the accumulated normal
15729	15729	2 contributions made by the participant under Section
15730	15730	3 15-113.6 and Section 15-113.7 plus 1.4 times all other
15731	15731	4 accumulated normal contributions made by the participant;
15732	15732	5 and
15733	15733	6 (iii) the annuity that can be provided on an
15734	15734	7 actuarially equivalent basis from the entire contribution
15735	15735	8 made by the participant under Section 15-113.3.
15736	15736	9 With respect to a police officer or firefighter who
15737	15737	10 retires on or after August 14, 1998, the accumulated normal
15738	15738	11 contributions taken into account under clauses (i) and (ii) of
15739	15739	12 this Rule 2 shall include the additional normal contributions
15740	15740	13 made by the police officer or firefighter under Section
15741	15741	14 15-157(a).
15742	15742	15 The amount of a retirement annuity calculated under this
15743	15743	16 Rule 2 shall be computed solely on the basis of the
15744	15744	17 participant's accumulated normal contributions, as specified
15745	15745	18 in this Rule and defined in Section 15-116. Neither an
15746	15746	19 employee or employer contribution for early retirement under
15747	15747	20 Section 15-136.2 nor any other employer contribution shall be
15748	15748	21 used in the calculation of the amount of a retirement annuity
15749	15749	22 under this Rule 2.
15750	15750	23 This amendatory Act of the 91st General Assembly is a
15751	15751	24 clarification of existing law and applies to every participant
15752	15752	25 and annuitant without regard to whether status as an employee
15753	15753	26 terminates before the effective date of this amendatory Act.
15754	15754
15755	15755
15756	15756
15757	15757
15758	15758
15759	15759	SB0002 - 439 - LRB104 07746 RPS 17791 b
15760	15760
15761	15761
15762	15762	SB0002- 440 -LRB104 07746 RPS 17791 b SB0002 - 440 - LRB104 07746 RPS 17791 b
15763	15763	SB0002 - 440 - LRB104 07746 RPS 17791 b
15764	15764	1 This Rule 2 does not apply to a person who first becomes an
15765	15765	2 employee under this Article on or after July 1, 2005.
15766	15766	3 Rule 3: The retirement annuity of a participant who is
15767	15767	4 employed at least one-half time during the period on which his
15768	15768	5 or her final rate of earnings is based, shall be equal to the
15769	15769	6 participant's years of service not to exceed 30, multiplied by
15770	15770	7 (1) $96 if the participant's final rate of earnings is less
15771	15771	8 than $3,500, (2) $108 if the final rate of earnings is at least
15772	15772	9 $3,500 but less than $4,500, (3) $120 if the final rate of
15773	15773	10 earnings is at least $4,500 but less than $5,500, (4) $132 if
15774	15774	11 the final rate of earnings is at least $5,500 but less than
15775	15775	12 $6,500, (5) $144 if the final rate of earnings is at least
15776	15776	13 $6,500 but less than $7,500, (6) $156 if the final rate of
15777	15777	14 earnings is at least $7,500 but less than $8,500, (7) $168 if
15778	15778	15 the final rate of earnings is at least $8,500 but less than
15779	15779	16 $9,500, and (8) $180 if the final rate of earnings is $9,500 or
15780	15780	17 more, except that the annuity for those persons having made an
15781	15781	18 election under Section 15-154(a-1) shall be calculated and
15782	15782	19 payable under the portable retirement benefit program pursuant
15783	15783	20 to the provisions of Section 15-136.4.
15784	15784	21 Rule 4: A participant who is at least age 50 and has 25 or
15785	15785	22 more years of service as a police officer or firefighter, and a
15786	15786	23 participant who is age 55 or over and has at least 20 but less
15787	15787	24 than 25 years of service as a police officer or firefighter,
15788	15788	25 shall be entitled to a retirement annuity of 2 1/4% of the
15789	15789	26 final rate of earnings for each of the first 10 years of
15790	15790
15791	15791
15792	15792
15793	15793
15794	15794
15795	15795	SB0002 - 440 - LRB104 07746 RPS 17791 b
15796	15796
15797	15797
15798	15798	SB0002- 441 -LRB104 07746 RPS 17791 b SB0002 - 441 - LRB104 07746 RPS 17791 b
15799	15799	SB0002 - 441 - LRB104 07746 RPS 17791 b
15800	15800	1 service as a police officer or firefighter, 2 1/2% for each of
15801	15801	2 the next 10 years of service as a police officer or
15802	15802	3 firefighter, and 2 3/4% for each year of service as a police
15803	15803	4 officer or firefighter in excess of 20. The retirement annuity
15804	15804	5 for all other service shall be computed under Rule 1. A Tier 2
15805	15805	6 member who was not in service on or after January 1, 2026 is
15806	15806	7 eligible for a retirement annuity calculated under Rule 4 only
15807	15807	8 if that Tier 2 member meets the service requirements for that
15808	15808	9 benefit calculation as prescribed under this Rule 4 in
15809	15809	10 addition to the applicable age requirement under subsection
15810	15810	11 (a-10) of Section 15-135. A Tier 2 member who was in service on
15811	15811	12 or after January 1, 2026 is not subject to subsection (a-10) of
15812	15812	13 Section 15-135.
15813	15813	14 For purposes of this Rule 4, a participant's service as a
15814	15814	15 firefighter shall also include the following:
15815	15815	16 (i) service that is performed while the person is an
15816	15816	17 employee under subsection (h) of Section 15-107; and
15817	15817	18 (ii) in the case of an individual who was a
15818	15818	19 participating employee employed in the fire department of
15819	15819	20 the University of Illinois's Champaign-Urbana campus
15820	15820	21 immediately prior to the elimination of that fire
15821	15821	22 department and who immediately after the elimination of
15822	15822	23 that fire department transferred to another job with the
15823	15823	24 University of Illinois, service performed as an employee
15824	15824	25 of the University of Illinois in a position other than
15825	15825	26 police officer or firefighter, from the date of that
15826	15826
15827	15827
15828	15828
15829	15829
15830	15830
15831	15831	SB0002 - 441 - LRB104 07746 RPS 17791 b
15832	15832
15833	15833
15834	15834	SB0002- 442 -LRB104 07746 RPS 17791 b SB0002 - 442 - LRB104 07746 RPS 17791 b
15835	15835	SB0002 - 442 - LRB104 07746 RPS 17791 b
15836	15836	1 transfer until the employee's next termination of service
15837	15837	2 with the University of Illinois.
15838	15838	3 (b) For a Tier 1 member or a Tier 2 member who was in
15839	15839	4 service on or after January 1, 2026, the retirement annuity
15840	15840	5 provided under Rules 1 and 3 above shall be reduced by 1/2 of
15841	15841	6 1% for each month the participant is under age 60 at the time
15842	15842	7 of retirement. However, this reduction shall not apply in the
15843	15843	8 following cases:
15844	15844	9 (1) For a disabled participant whose disability
15845	15845	10 benefits have been discontinued because he or she has
15846	15846	11 exhausted eligibility for disability benefits under clause
15847	15847	12 (6) of Section 15-152;
15848	15848	13 (2) For a participant who has at least the number of
15849	15849	14 years of service required to retire at any age under
15850	15850	15 subsection (a) of Section 15-135; or
15851	15851	16 (3) For that portion of a retirement annuity which has
15852	15852	17 been provided on account of service of the participant
15853	15853	18 during periods when he or she performed the duties of a
15854	15854	19 police officer or firefighter, if these duties were
15855	15855	20 performed for at least 5 years immediately preceding the
15856	15856	21 date the retirement annuity is to begin.
15857	15857	22 (b-5) The retirement annuity of a Tier 2 member who was not
15858	15858	23 in service on or after January 1, 2026 and who is retiring
15859	15859	24 under Rule 1 or 3 after attaining age 62 with at least 10 years
15860	15860	25 of service credit shall be reduced by 1/2 of 1% for each full
15861	15861	26 month that the member's age is under age 67.
15862	15862
15863	15863
15864	15864
15865	15865
15866	15866
15867	15867	SB0002 - 442 - LRB104 07746 RPS 17791 b
15868	15868
15869	15869
15870	15870	SB0002- 443 -LRB104 07746 RPS 17791 b SB0002 - 443 - LRB104 07746 RPS 17791 b
15871	15871	SB0002 - 443 - LRB104 07746 RPS 17791 b
15872	15872	1 (c) The maximum retirement annuity provided under Rules 1,
15873	15873	2 2, 4, and 5 shall be the lesser of (1) the annual limit of
15874	15874	3 benefits as specified in Section 415 of the Internal Revenue
15875	15875	4 Code of 1986, as such Section may be amended from time to time
15876	15876	5 and as such benefit limits shall be adjusted by the
15877	15877	6 Commissioner of Internal Revenue, and (2) 80% of final rate of
15878	15878	7 earnings.
15879	15879	8 (d) A Tier 1 member whose status as an employee terminates
15880	15880	9 after August 14, 1969 shall receive automatic increases in his
15881	15881	10 or her retirement annuity as follows:
15882	15882	11 Effective January 1 immediately following the date the
15883	15883	12 retirement annuity begins, the annuitant shall receive an
15884	15884	13 increase in his or her monthly retirement annuity of 0.125% of
15885	15885	14 the monthly retirement annuity provided under Rule 1, Rule 2,
15886	15886	15 Rule 3, or Rule 4 contained in this Section, multiplied by the
15887	15887	16 number of full months which elapsed from the date the
15888	15888	17 retirement annuity payments began to January 1, 1972, plus
15889	15889	18 0.1667% of such annuity, multiplied by the number of full
15890	15890	19 months which elapsed from January 1, 1972, or the date the
15891	15891	20 retirement annuity payments began, whichever is later, to
15892	15892	21 January 1, 1978, plus 0.25% of such annuity multiplied by the
15893	15893	22 number of full months which elapsed from January 1, 1978, or
15894	15894	23 the date the retirement annuity payments began, whichever is
15895	15895	24 later, to the effective date of the increase.
15896	15896	25 The annuitant shall receive an increase in his or her
15897	15897	26 monthly retirement annuity on each January 1 thereafter during
15898	15898
15899	15899
15900	15900
15901	15901
15902	15902
15903	15903	SB0002 - 443 - LRB104 07746 RPS 17791 b
15904	15904
15905	15905
15906	15906	SB0002- 444 -LRB104 07746 RPS 17791 b SB0002 - 444 - LRB104 07746 RPS 17791 b
15907	15907	SB0002 - 444 - LRB104 07746 RPS 17791 b
15908	15908	1 the annuitant's life of 3% of the monthly annuity provided
15909	15909	2 under Rule 1, Rule 2, Rule 3, or Rule 4 contained in this
15910	15910	3 Section. The change made under this subsection by P.A. 81-970
15911	15911	4 is effective January 1, 1980 and applies to each annuitant
15912	15912	5 whose status as an employee terminates before or after that
15913	15913	6 date.
15914	15914	7 Beginning January 1, 1990, all automatic annual increases
15915	15915	8 payable under this Section shall be calculated as a percentage
15916	15916	9 of the total annuity payable at the time of the increase,
15917	15917	10 including all increases previously granted under this Article.
15918	15918	11 The change made in this subsection by P.A. 85-1008 is
15919	15919	12 effective January 26, 1988, and is applicable without regard
15920	15920	13 to whether status as an employee terminated before that date.
15921	15921	14 (d-5) A retirement annuity of a Tier 2 member shall
15922	15922	15 receive annual increases on the January 1 occurring either on
15923	15923	16 or after the attainment of the retirement age applicable to
15924	15924	17 that Tier 2 member under this Article age 67 or the first
15925	15925	18 anniversary of the annuity start date, whichever is later.
15926	15926	19 Each annual increase shall be calculated at 3% or one half the
15927	15927	20 annual unadjusted percentage increase (but not less than zero)
15928	15928	21 in the consumer price index-u for the 12 months ending with the
15929	15929	22 September preceding each November 1, whichever is less, of the
15930	15930	23 originally granted retirement annuity. If the annual
15931	15931	24 unadjusted percentage change in the consumer price index-u for
15932	15932	25 the 12 months ending with the September preceding each
15933	15933	26 November 1 is zero or there is a decrease, then the annuity
15934	15934
15935	15935
15936	15936
15937	15937
15938	15938
15939	15939	SB0002 - 444 - LRB104 07746 RPS 17791 b
15940	15940
15941	15941
15942	15942	SB0002- 445 -LRB104 07746 RPS 17791 b SB0002 - 445 - LRB104 07746 RPS 17791 b
15943	15943	SB0002 - 445 - LRB104 07746 RPS 17791 b
15944	15944	1 shall not be increased.
15945	15945	2 (e) If, on January 1, 1987, or the date the retirement
15946	15946	3 annuity payment period begins, whichever is later, the sum of
15947	15947	4 the retirement annuity provided under Rule 1 or Rule 2 of this
15948	15948	5 Section and the automatic annual increases provided under the
15949	15949	6 preceding subsection or Section 15-136.1, amounts to less than
15950	15950	7 the retirement annuity which would be provided by Rule 3, the
15951	15951	8 retirement annuity shall be increased as of January 1, 1987,
15952	15952	9 or the date the retirement annuity payment period begins,
15953	15953	10 whichever is later, to the amount which would be provided by
15954	15954	11 Rule 3 of this Section. Such increased amount shall be
15955	15955	12 considered as the retirement annuity in determining benefits
15956	15956	13 provided under other Sections of this Article. This paragraph
15957	15957	14 applies without regard to whether status as an employee
15958	15958	15 terminated before the effective date of this amendatory Act of
15959	15959	16 1987, provided that the annuitant was employed at least
15960	15960	17 one-half time during the period on which the final rate of
15961	15961	18 earnings was based.
15962	15962	19 (f) A participant is entitled to such additional annuity
15963	15963	20 as may be provided on an actuarially equivalent basis, by any
15964	15964	21 accumulated additional contributions to his or her credit.
15965	15965	22 However, the additional contributions made by the participant
15966	15966	23 toward the automatic increases in annuity provided under this
15967	15967	24 Section shall not be taken into account in determining the
15968	15968	25 amount of such additional annuity.
15969	15969	26 (g) If, (1) by law, a function of a governmental unit, as
15970	15970
15971	15971
15972	15972
15973	15973
15974	15974
15975	15975	SB0002 - 445 - LRB104 07746 RPS 17791 b
15976	15976
15977	15977
15978	15978	SB0002- 446 -LRB104 07746 RPS 17791 b SB0002 - 446 - LRB104 07746 RPS 17791 b
15979	15979	SB0002 - 446 - LRB104 07746 RPS 17791 b
15980	15980	1 defined by Section 20-107 of this Code, is transferred in
15981	15981	2 whole or in part to an employer, and (2) a participant
15982	15982	3 transfers employment from such governmental unit to such
15983	15983	4 employer within 6 months after the transfer of the function,
15984	15984	5 and (3) the sum of (A) the annuity payable to the participant
15985	15985	6 under Rule 1, 2, or 3 of this Section (B) all proportional
15986	15986	7 annuities payable to the participant by all other retirement
15987	15987	8 systems covered by Article 20, and (C) the initial primary
15988	15988	9 insurance amount to which the participant is entitled under
15989	15989	10 the Social Security Act, is less than the retirement annuity
15990	15990	11 which would have been payable if all of the participant's
15991	15991	12 pension credits validated under Section 20-109 had been
15992	15992	13 validated under this system, a supplemental annuity equal to
15993	15993	14 the difference in such amounts shall be payable to the
15994	15994	15 participant.
15995	15995	16 (h) On January 1, 1981, an annuitant who was receiving a
15996	15996	17 retirement annuity on or before January 1, 1971 shall have his
15997	15997	18 or her retirement annuity then being paid increased $1 per
15998	15998	19 month for each year of creditable service. On January 1, 1982,
15999	15999	20 an annuitant whose retirement annuity began on or before
16000	16000	21 January 1, 1977, shall have his or her retirement annuity then
16001	16001	22 being paid increased $1 per month for each year of creditable
16002	16002	23 service.
16003	16003	24 (i) On January 1, 1987, any annuitant whose retirement
16004	16004	25 annuity began on or before January 1, 1977, shall have the
16005	16005	26 monthly retirement annuity increased by an amount equal to 8
16006	16006
16007	16007
16008	16008
16009	16009
16010	16010
16011	16011	SB0002 - 446 - LRB104 07746 RPS 17791 b
16012	16012
16013	16013
16014	16014	SB0002- 447 -LRB104 07746 RPS 17791 b SB0002 - 447 - LRB104 07746 RPS 17791 b
16015	16015	SB0002 - 447 - LRB104 07746 RPS 17791 b
16016	16016	1 per year of creditable service times the number of years that
16017	16017	2 have elapsed since the annuity began.
16018	16018	3 (j) The changes made to this Section by this amendatory
16019	16019	4 Act of the 101st General Assembly apply retroactively to
16020	16020	5 January 1, 2011.
16021	16021	6 (Source: P.A. 101-610, eff. 1-1-20.)
16022	16022	7 (40 ILCS 5/18-124) (from Ch. 108 1/2, par. 18-124)
16023	16023	8 Sec. 18-124. Retirement annuities; conditions annuities -
16024	16024	9 conditions for eligibility.
16025	16025	10 (a) This subsection (a) applies to a participant who first
16026	16026	11 serves as a judge before January 1, 2011 (the effective date of
16027	16027	12 Public Act 96-889) or a judge who serves as a judge on or after
16028	16028	13 January 1, 2026 this amendatory Act of the 96th General
16029	16029	14 Assembly.
16030	16030	15 A participant whose employment as a judge is terminated,
16031	16031	16 regardless of age or cause is entitled to a retirement annuity
16032	16032	17 beginning on the date specified in a written application
16033	16033	18 subject to the following:
16034	16034	19 (1) the date the annuity begins is subsequent to the
16035	16035	20 date of final termination of employment, or the date 30
16036	16036	21 days prior to the receipt of the application by the board
16037	16037	22 for annuities based on disability, or one year before the
16038	16038	23 receipt of the application by the board for annuities
16039	16039	24 based on attained age;
16040	16040	25 (2) the participant is at least age 55, or has become
16041	16041
16042	16042
16043	16043
16044	16044
16045	16045
16046	16046	SB0002 - 447 - LRB104 07746 RPS 17791 b
16047	16047
16048	16048
16049	16049	SB0002- 448 -LRB104 07746 RPS 17791 b SB0002 - 448 - LRB104 07746 RPS 17791 b
16050	16050	SB0002 - 448 - LRB104 07746 RPS 17791 b
16051	16051	1 permanently disabled and as a consequence is unable to
16052	16052	2 perform the duties of his or her office;
16053	16053	3 (3) the participant has at least 10 years of service
16054	16054	4 credit except that a participant terminating service after
16055	16055	5 June 30 1975, with at least 6 years of service credit,
16056	16056	6 shall be entitled to a retirement annuity at age 62 or
16057	16057	7 over;
16058	16058	8 (4) the participant is not receiving or entitled to
16059	16059	9 receive, at the date of retirement, any salary from an
16060	16060	10 employer for service currently performed.
16061	16061	11 (b) This subsection (b) applies to a participant who first
16062	16062	12 serves as a judge on or after January 1, 2011 (the effective
16063	16063	13 date of Public Act 96-889) and who does not serve as a judge on
16064	16064	14 or after January 1, 2026 this amendatory Act of the 96th
16065	16065	15 General Assembly.
16066	16066	16 A participant who has at least 8 years of creditable
16067	16067	17 service is entitled to a retirement annuity when he or she has
16068	16068	18 attained age 67.
16069	16069	19 A member who has attained age 62 and has at least 8 years
16070	16070	20 of service credit may elect to receive the lower retirement
16071	16071	21 annuity provided in subsection (d) of Section 18-125 of this
16072	16072	22 Code.
16073	16073	23 (Source: P.A. 96-889, eff. 1-1-11.)
16074	16074	24 (40 ILCS 5/18-125.1) (from Ch. 108 1/2, par. 18-125.1)
16075	16075	25 Sec. 18-125.1. Automatic increase in retirement annuity. A
16076	16076
16077	16077
16078	16078
16079	16079
16080	16080
16081	16081	SB0002 - 448 - LRB104 07746 RPS 17791 b
16082	16082
16083	16083
16084	16084	SB0002- 449 -LRB104 07746 RPS 17791 b SB0002 - 449 - LRB104 07746 RPS 17791 b
16085	16085	SB0002 - 449 - LRB104 07746 RPS 17791 b
16086	16086	1 participant who retires from service after June 30, 1969,
16087	16087	2 shall, in January of the year next following the year in which
16088	16088	3 the first anniversary of retirement occurs, and in January of
16089	16089	4 each year thereafter, have the amount of his or her originally
16090	16090	5 granted retirement annuity increased as follows: for each year
16091	16091	6 up to and including 1971, 1 1/2%; for each year from 1972
16092	16092	7 through 1979 inclusive, 2%; and for 1980 and each year
16093	16093	8 thereafter, 3%.
16094	16094	9 Notwithstanding any other provision of this Article, a
16095	16095	10 retirement annuity for a participant who first serves as a
16096	16096	11 judge on or after January 1, 2011 (the effective date of Public
16097	16097	12 Act 96-889) shall be increased in January of the year next
16098	16098	13 following the year in which the first anniversary of
16099	16099	14 retirement occurs, but in no event prior to the retirement age
16100	16100	15 applicable to that judge under this Article age 67, and in
16101	16101	16 January of each year thereafter, by an amount equal to 3% or
16102	16102	17 the annual percentage increase in the consumer price index-u
16103	16103	18 as determined by the Public Pension Division of the Department
16104	16104	19 of Insurance under subsection (b-5) of Section 18-125,
16105	16105	20 whichever is less, of the retirement annuity then being paid.
16106	16106	21 This Section is not applicable to a participant who
16107	16107	22 retires before he or she has made contributions at the rate
16108	16108	23 prescribed in Section 18-133 for automatic increases for not
16109	16109	24 less than the equivalent of one full year, unless such a
16110	16110	25 participant arranges to pay the system the amount required to
16111	16111	26 bring the total contributions for the automatic increase to
16112	16112
16113	16113
16114	16114
16115	16115
16116	16116
16117	16117	SB0002 - 449 - LRB104 07746 RPS 17791 b
16118	16118
16119	16119
16120	16120	SB0002- 450 -LRB104 07746 RPS 17791 b SB0002 - 450 - LRB104 07746 RPS 17791 b
16121	16121	SB0002 - 450 - LRB104 07746 RPS 17791 b
16122	16122	1 the equivalent of one year's contribution based upon his or
16123	16123	2 her last year's salary.
16124	16124	3 This Section is applicable to all participants in service
16125	16125	4 after June 30, 1969 unless a participant has elected, prior to
16126	16126	5 September 1, 1969, in a written direction filed with the board
16127	16127	6 not to be subject to the provisions of this Section. Any
16128	16128	7 participant in service on or after July 1, 1992 shall have the
16129	16129	8 option of electing prior to April 1, 1993, in a written
16130	16130	9 direction filed with the board, to be covered by the
16131	16131	10 provisions of the 1969 amendatory Act. Such participant shall
16132	16132	11 be required to make the aforesaid additional contributions
16133	16133	12 with compound interest at 4% per annum.
16134	16134	13 Any participant who has become eligible to receive the
16135	16135	14 maximum rate of annuity and who resumes service as a judge
16136	16136	15 after receiving a retirement annuity under this Article shall
16137	16137	16 have the amount of his or her retirement annuity increased by
16138	16138	17 3% of the originally granted annuity amount for each year of
16139	16139	18 such resumed service, beginning in January of the year next
16140	16140	19 following the date of such resumed service, upon subsequent
16141	16141	20 termination of such resumed service.
16142	16142	21 Beginning January 1, 1990, all automatic annual increases
16143	16143	22 payable under this Section shall be calculated as a percentage
16144	16144	23 of the total annuity payable at the time of the increase,
16145	16145	24 including previous increases granted under this Article.
16146	16146	25 (Source: P.A. 96-889, eff. 1-1-11; 96-1490, eff. 1-1-11.)
16147	16147
16148	16148
16149	16149
16150	16150
16151	16151
16152	16152	SB0002 - 450 - LRB104 07746 RPS 17791 b
16153	16153
16154	16154
16155	16155	SB0002- 451 -LRB104 07746 RPS 17791 b SB0002 - 451 - LRB104 07746 RPS 17791 b
16156	16156	SB0002 - 451 - LRB104 07746 RPS 17791 b
16157	16157	1 Article 3B.
16158	16158	2 Section 3B-5. The Illinois Pension Code is amended by
16159	16159	3 changing Section 1-160 as follows:
16160	16160	4 (40 ILCS 5/1-160)
16161	16161	5 (Text of Section from P.A. 102-719)
16162	16162	6 Sec. 1-160. Provisions applicable to new hires.
16163	16163	7 (a) The provisions of this Section apply to a person who,
16164	16164	8 on or after January 1, 2011, first becomes a member or a
16165	16165	9 participant under any reciprocal retirement system, regardless
16166	16166	10 of when that reciprocal retirement system became a reciprocal
16167	16167	11 retirement system, or pension fund established under this
16168	16168	12 Code, other than a retirement system or pension fund
16169	16169	13 established under Article 2, 3, 4, 5, 6, 7, 15, or 18 of this
16170	16170	14 Code, notwithstanding any other provision of this Code to the
16171	16171	15 contrary, but do not apply to any self-managed plan
16172	16172	16 established under this Code or to any participant of the
16173	16173	17 retirement plan established under Section 22-101; except that
16174	16174	18 this Section applies to a person who elected to establish
16175	16175	19 alternative credits by electing in writing after January 1,
16176	16176	20 2011, but before August 8, 2011, under Section 7-145.1 of this
16177	16177	21 Code. Notwithstanding anything to the contrary in this
16178	16178	22 Section, for purposes of this Section, a person who is a Tier 1
16179	16179	23 regular employee as defined in Section 7-109.4 of this Code or
16180	16180	24 who participated in a retirement system under Article 15 prior
16181	16181
16182	16182
16183	16183
16184	16184
16185	16185
16186	16186	SB0002 - 451 - LRB104 07746 RPS 17791 b
16187	16187
16188	16188
16189	16189	SB0002- 452 -LRB104 07746 RPS 17791 b SB0002 - 452 - LRB104 07746 RPS 17791 b
16190	16190	SB0002 - 452 - LRB104 07746 RPS 17791 b
16191	16191	1 to January 1, 2011 shall be deemed a person who first became a
16192	16192	2 member or participant prior to January 1, 2011 under any
16193	16193	3 retirement system or pension fund subject to this Section. The
16194	16194	4 changes made to this Section by Public Act 98-596 are a
16195	16195	5 clarification of existing law and are intended to be
16196	16196	6 retroactive to January 1, 2011 (the effective date of Public
16197	16197	7 Act 96-889), notwithstanding the provisions of Section 1-103.1
16198	16198	8 of this Code.
16199	16199	9 This Section does not apply to a person who first becomes a
16200	16200	10 noncovered employee under Article 14 on or after the
16201	16201	11 implementation date of the plan created under Section 1-161
16202	16202	12 for that Article, unless that person elects under subsection
16203	16203	13 (b) of Section 1-161 to instead receive the benefits provided
16204	16204	14 under this Section and the applicable provisions of that
16205	16205	15 Article.
16206	16206	16 This Section does not apply to a person who first becomes a
16207	16207	17 member or participant under Article 16 on or after the
16208	16208	18 implementation date of the plan created under Section 1-161
16209	16209	19 for that Article, unless that person elects under subsection
16210	16210	20 (b) of Section 1-161 to instead receive the benefits provided
16211	16211	21 under this Section and the applicable provisions of that
16212	16212	22 Article.
16213	16213	23 This Section does not apply to a person who elects under
16214	16214	24 subsection (c-5) of Section 1-161 to receive the benefits
16215	16215	25 under Section 1-161.
16216	16216	26 This Section does not apply to a person who first becomes a
16217	16217
16218	16218
16219	16219
16220	16220
16221	16221
16222	16222	SB0002 - 452 - LRB104 07746 RPS 17791 b
16223	16223
16224	16224
16225	16225	SB0002- 453 -LRB104 07746 RPS 17791 b SB0002 - 453 - LRB104 07746 RPS 17791 b
16226	16226	SB0002 - 453 - LRB104 07746 RPS 17791 b
16227	16227	1 member or participant of an affected pension fund on or after 6
16228	16228	2 months after the resolution or ordinance date, as defined in
16229	16229	3 Section 1-162, unless that person elects under subsection (c)
16230	16230	4 of Section 1-162 to receive the benefits provided under this
16231	16231	5 Section and the applicable provisions of the Article under
16232	16232	6 which he or she is a member or participant.
16233	16233	7 (b) "Final average salary" means, except as otherwise
16234	16234	8 provided in this subsection, the average monthly (or annual)
16235	16235	9 salary obtained by dividing the total salary or earnings
16236	16236	10 calculated under the Article applicable to the member or
16237	16237	11 participant during the 96 consecutive months (or 8 consecutive
16238	16238	12 years) of service within the last 120 months (or 10 years) of
16239	16239	13 service in which the total salary or earnings calculated under
16240	16240	14 the applicable Article was the highest by the number of months
16241	16241	15 (or years) of service in that period. For the purposes of a
16242	16242	16 person who first becomes a member or participant of any
16243	16243	17 retirement system or pension fund to which this Section
16244	16244	18 applies on or after January 1, 2011, in this Code, "final
16245	16245	19 average salary" shall be substituted for the following:
16246	16246	20 (1) (Blank).
16247	16247	21 (2) In Articles 8, 9, 10, 11, and 12, "highest average
16248	16248	22 annual salary for any 4 consecutive years within the last
16249	16249	23 10 years of service immediately preceding the date of
16250	16250	24 withdrawal".
16251	16251	25 (3) In Article 13, "average final salary".
16252	16252	26 (4) In Article 14, "final average compensation".
16253	16253
16254	16254
16255	16255
16256	16256
16257	16257
16258	16258	SB0002 - 453 - LRB104 07746 RPS 17791 b
16259	16259
16260	16260
16261	16261	SB0002- 454 -LRB104 07746 RPS 17791 b SB0002 - 454 - LRB104 07746 RPS 17791 b
16262	16262	SB0002 - 454 - LRB104 07746 RPS 17791 b
16263	16263	1 (5) In Article 17, "average salary".
16264	16264	2 (6) In Section 22-207, "wages or salary received by
16265	16265	3 him at the date of retirement or discharge".
16266	16266	4 A member of the Teachers' Retirement System of the State
16267	16267	5 of Illinois who retires on or after June 1, 2021 and for whom
16268	16268	6 the 2020-2021 school year is used in the calculation of the
16269	16269	7 member's final average salary shall use the higher of the
16270	16270	8 following for the purpose of determining the member's final
16271	16271	9 average salary:
16272	16272	10 (A) the amount otherwise calculated under the first
16273	16273	11 paragraph of this subsection; or
16274	16274	12 (B) an amount calculated by the Teachers' Retirement
16275	16275	13 System of the State of Illinois using the average of the
16276	16276	14 monthly (or annual) salary obtained by dividing the total
16277	16277	15 salary or earnings calculated under Article 16 applicable
16278	16278	16 to the member or participant during the 96 months (or 8
16279	16279	17 years) of service within the last 120 months (or 10 years)
16280	16280	18 of service in which the total salary or earnings
16281	16281	19 calculated under the Article was the highest by the number
16282	16282	20 of months (or years) of service in that period.
16283	16283	21 (b-5) Beginning on January 1, 2011, for all purposes under
16284	16284	22 this Code (including without limitation the calculation of
16285	16285	23 benefits and employee contributions), the annual earnings,
16286	16286	24 salary, or wages (based on the plan year) of a member or
16287	16287	25 participant to whom this Section applies shall not exceed
16288	16288	26 $106,800; however, that amount shall annually thereafter be
16289	16289
16290	16290
16291	16291
16292	16292
16293	16293
16294	16294	SB0002 - 454 - LRB104 07746 RPS 17791 b
16295	16295
16296	16296
16297	16297	SB0002- 455 -LRB104 07746 RPS 17791 b SB0002 - 455 - LRB104 07746 RPS 17791 b
16298	16298	SB0002 - 455 - LRB104 07746 RPS 17791 b
16299	16299	1 increased by the lesser of (i) 3% of that amount, including all
16300	16300	2 previous adjustments, or (ii) one-half the annual unadjusted
16301	16301	3 percentage increase (but not less than zero) in the consumer
16302	16302	4 price index-u for the 12 months ending with the September
16303	16303	5 preceding each November 1, including all previous adjustments.
16304	16304	6 For the purposes of this Section, "consumer price index-u"
16305	16305	7 means the index published by the Bureau of Labor Statistics of
16306	16306	8 the United States Department of Labor that measures the
16307	16307	9 average change in prices of goods and services purchased by
16308	16308	10 all urban consumers, United States city average, all items,
16309	16309	11 1982-84 = 100. The new amount resulting from each annual
16310	16310	12 adjustment shall be determined by the Public Pension Division
16311	16311	13 of the Department of Insurance and made available to the
16312	16312	14 boards of the retirement systems and pension funds by November
16313	16313	15 1 of each year.
16314	16314	16 (b-10) Beginning on January 1, 2024, for all purposes
16315	16315	17 under this Code (including, without limitation, the
16316	16316	18 calculation of benefits and employee contributions), the
16317	16317	19 annual earnings, salary, or wages (based on the plan year) of a
16318	16318	20 member or participant under Article 9 to whom this Section
16319	16319	21 applies shall include an annual earnings, salary, or wage cap
16320	16320	22 that tracks the Social Security wage base. Maximum annual
16321	16321	23 earnings, wages, or salary shall be the annual contribution
16322	16322	24 and benefit base established for the applicable year by the
16323	16323	25 Commissioner of the Social Security Administration under the
16324	16324	26 federal Social Security Act.
16325	16325
16326	16326
16327	16327
16328	16328
16329	16329
16330	16330	SB0002 - 455 - LRB104 07746 RPS 17791 b
16331	16331
16332	16332
16333	16333	SB0002- 456 -LRB104 07746 RPS 17791 b SB0002 - 456 - LRB104 07746 RPS 17791 b
16334	16334	SB0002 - 456 - LRB104 07746 RPS 17791 b
16335	16335	1 However, in no event shall the annual earnings, salary, or
16336	16336	2 wages for the purposes of this Article and Article 9 exceed any
16337	16337	3 limitation imposed on annual earnings, salary, or wages under
16338	16338	4 Section 1-117. Under no circumstances shall the maximum amount
16339	16339	5 of annual earnings, salary, or wages be greater than the
16340	16340	6 amount set forth in this subsection (b-10) as a result of
16341	16341	7 reciprocal service or any provisions regarding reciprocal
16342	16342	8 services, nor shall the Fund under Article 9 be required to pay
16343	16343	9 any refund as a result of the application of this maximum
16344	16344	10 annual earnings, salary, and wage cap.
16345	16345	11 Nothing in this subsection (b-10) shall cause or otherwise
16346	16346	12 result in any retroactive adjustment of any employee
16347	16347	13 contributions. Nothing in this subsection (b-10) shall cause
16348	16348	14 or otherwise result in any retroactive adjustment of
16349	16349	15 disability or other payments made between January 1, 2011 and
16350	16350	16 January 1, 2024.
16351	16351	17 (c) A member or participant is entitled to a retirement
16352	16352	18 annuity upon written application if he or she has attained age
16353	16353	19 67 (age 65, with respect to service under Article 12 that is
16354	16354	20 subject to this Section, for a member or participant under
16355	16355	21 Article 12 who first becomes a member or participant under
16356	16356	22 Article 12 on or after January 1, 2022 or who makes the
16357	16357	23 election under item (i) of subsection (d-15) of this Section)
16358	16358	24 and has at least 10 years of service credit and is otherwise
16359	16359	25 eligible under the requirements of the applicable Article.
16360	16360	26 A member or participant who has attained age 62 (age 60,
16361	16361
16362	16362
16363	16363
16364	16364
16365	16365
16366	16366	SB0002 - 456 - LRB104 07746 RPS 17791 b
16367	16367
16368	16368
16369	16369	SB0002- 457 -LRB104 07746 RPS 17791 b SB0002 - 457 - LRB104 07746 RPS 17791 b
16370	16370	SB0002 - 457 - LRB104 07746 RPS 17791 b
16371	16371	1 with respect to service under Article 12 that is subject to
16372	16372	2 this Section, for a member or participant under Article 12 who
16373	16373	3 first becomes a member or participant under Article 12 on or
16374	16374	4 after January 1, 2022 or who makes the election under item (i)
16375	16375	5 of subsection (d-15) of this Section) and has at least 10 years
16376	16376	6 of service credit and is otherwise eligible under the
16377	16377	7 requirements of the applicable Article may elect to receive
16378	16378	8 the lower retirement annuity provided in subsection (d) of
16379	16379	9 this Section.
16380	16380	10 (c-5) A person who first becomes a member or a participant
16381	16381	11 subject to this Section on or after July 6, 2017 (the effective
16382	16382	12 date of Public Act 100-23), notwithstanding any other
16383	16383	13 provision of this Code to the contrary, is entitled to a
16384	16384	14 retirement annuity under Article 8 or Article 11 upon written
16385	16385	15 application if he or she has attained age 65 and has at least
16386	16386	16 10 years of service credit and is otherwise eligible under the
16387	16387	17 requirements of Article 8 or Article 11 of this Code,
16388	16388	18 whichever is applicable.
16389	16389	19 (d) The retirement annuity of a member or participant who
16390	16390	20 is retiring after attaining age 62 (age 60, with respect to
16391	16391	21 service under Article 12 that is subject to this Section, for a
16392	16392	22 member or participant under Article 12 who first becomes a
16393	16393	23 member or participant under Article 12 on or after January 1,
16394	16394	24 2022 or who makes the election under item (i) of subsection
16395	16395	25 (d-15) of this Section) with at least 10 years of service
16396	16396	26 credit shall be reduced by one-half of 1% for each full month
16397	16397
16398	16398
16399	16399
16400	16400
16401	16401
16402	16402	SB0002 - 457 - LRB104 07746 RPS 17791 b
16403	16403
16404	16404
16405	16405	SB0002- 458 -LRB104 07746 RPS 17791 b SB0002 - 458 - LRB104 07746 RPS 17791 b
16406	16406	SB0002 - 458 - LRB104 07746 RPS 17791 b
16407	16407	1 that the member's age is under age 67 (age 65, with respect to
16408	16408	2 service under Article 12 that is subject to this Section, for a
16409	16409	3 member or participant under Article 12 who first becomes a
16410	16410	4 member or participant under Article 12 on or after January 1,
16411	16411	5 2022 or who makes the election under item (i) of subsection
16412	16412	6 (d-15) of this Section).
16413	16413	7 (d-5) The retirement annuity payable under Article 8 or
16414	16414	8 Article 11 to an eligible person subject to subsection (c-5)
16415	16415	9 of this Section who is retiring at age 60 with at least 10
16416	16416	10 years of service credit shall be reduced by one-half of 1% for
16417	16417	11 each full month that the member's age is under age 65.
16418	16418	12 (d-10) Each person who first became a member or
16419	16419	13 participant under Article 8 or Article 11 of this Code on or
16420	16420	14 after January 1, 2011 and prior to July 6, 2017 (the effective
16421	16421	15 date of Public Act 100-23) shall make an irrevocable election
16422	16422	16 either:
16423	16423	17 (i) to be eligible for the reduced retirement age
16424	16424	18 provided in subsections (c-5) and (d-5) of this Section,
16425	16425	19 the eligibility for which is conditioned upon the member
16426	16426	20 or participant agreeing to the increases in employee
16427	16427	21 contributions for age and service annuities provided in
16428	16428	22 subsection (a-5) of Section 8-174 of this Code (for
16429	16429	23 service under Article 8) or subsection (a-5) of Section
16430	16430	24 11-170 of this Code (for service under Article 11); or
16431	16431	25 (ii) to not agree to item (i) of this subsection
16432	16432	26 (d-10), in which case the member or participant shall
16433	16433
16434	16434
16435	16435
16436	16436
16437	16437
16438	16438	SB0002 - 458 - LRB104 07746 RPS 17791 b
16439	16439
16440	16440
16441	16441	SB0002- 459 -LRB104 07746 RPS 17791 b SB0002 - 459 - LRB104 07746 RPS 17791 b
16442	16442	SB0002 - 459 - LRB104 07746 RPS 17791 b
16443	16443	1 continue to be subject to the retirement age provisions in
16444	16444	2 subsections (c) and (d) of this Section and the employee
16445	16445	3 contributions for age and service annuity as provided in
16446	16446	4 subsection (a) of Section 8-174 of this Code (for service
16447	16447	5 under Article 8) or subsection (a) of Section 11-170 of
16448	16448	6 this Code (for service under Article 11).
16449	16449	7 The election provided for in this subsection shall be made
16450	16450	8 between October 1, 2017 and November 15, 2017. A person
16451	16451	9 subject to this subsection who makes the required election
16452	16452	10 shall remain bound by that election. A person subject to this
16453	16453	11 subsection who fails for any reason to make the required
16454	16454	12 election within the time specified in this subsection shall be
16455	16455	13 deemed to have made the election under item (ii).
16456	16456	14 (d-15) Each person who first becomes a member or
16457	16457	15 participant under Article 12 on or after January 1, 2011 and
16458	16458	16 prior to January 1, 2022 shall make an irrevocable election
16459	16459	17 either:
16460	16460	18 (i) to be eligible for the reduced retirement age
16461	16461	19 specified in subsections (c) and (d) of this Section, the
16462	16462	20 eligibility for which is conditioned upon the member or
16463	16463	21 participant agreeing to the increase in employee
16464	16464	22 contributions for service annuities specified in
16465	16465	23 subsection (b) of Section 12-150; or
16466	16466	24 (ii) to not agree to item (i) of this subsection
16467	16467	25 (d-15), in which case the member or participant shall not
16468	16468	26 be eligible for the reduced retirement age specified in
16469	16469
16470	16470
16471	16471
16472	16472
16473	16473
16474	16474	SB0002 - 459 - LRB104 07746 RPS 17791 b
16475	16475
16476	16476
16477	16477	SB0002- 460 -LRB104 07746 RPS 17791 b SB0002 - 460 - LRB104 07746 RPS 17791 b
16478	16478	SB0002 - 460 - LRB104 07746 RPS 17791 b
16479	16479	1 subsections (c) and (d) of this Section and shall not be
16480	16480	2 subject to the increase in employee contributions for
16481	16481	3 service annuities specified in subsection (b) of Section
16482	16482	4 12-150.
16483	16483	5 The election provided for in this subsection shall be made
16484	16484	6 between January 1, 2022 and April 1, 2022. A person subject to
16485	16485	7 this subsection who makes the required election shall remain
16486	16486	8 bound by that election. A person subject to this subsection
16487	16487	9 who fails for any reason to make the required election within
16488	16488	10 the time specified in this subsection shall be deemed to have
16489	16489	11 made the election under item (ii).
16490	16490	12 (e) Any retirement annuity or supplemental annuity shall
16491	16491	13 be subject to annual increases on the January 1 occurring
16492	16492	14 either on or after the attainment of age 67 (age 65, with
16493	16493	15 respect to service under Article 12 that is subject to this
16494	16494	16 Section, for a member or participant under Article 12 who
16495	16495	17 first becomes a member or participant under Article 12 on or
16496	16496	18 after January 1, 2022 or who makes the election under item (i)
16497	16497	19 of subsection (d-15); and beginning on July 6, 2017 (the
16498	16498	20 effective date of Public Act 100-23), age 65 with respect to
16499	16499	21 service under Article 8 or Article 11 for eligible persons
16500	16500	22 who: (i) are subject to subsection (c-5) of this Section; or
16501	16501	23 (ii) made the election under item (i) of subsection (d-10) of
16502	16502	24 this Section) or the first anniversary of the annuity start
16503	16503	25 date, whichever is later. Each annual increase shall be
16504	16504	26 calculated at 3% or one-half the annual unadjusted percentage
16505	16505
16506	16506
16507	16507
16508	16508
16509	16509
16510	16510	SB0002 - 460 - LRB104 07746 RPS 17791 b
16511	16511
16512	16512
16513	16513	SB0002- 461 -LRB104 07746 RPS 17791 b SB0002 - 461 - LRB104 07746 RPS 17791 b
16514	16514	SB0002 - 461 - LRB104 07746 RPS 17791 b
16515	16515	1 increase (but not less than zero) in the consumer price
16516	16516	2 index-u for the 12 months ending with the September preceding
16517	16517	3 each November 1, whichever is less, of the originally granted
16518	16518	4 retirement annuity. If the annual unadjusted percentage change
16519	16519	5 in the consumer price index-u for the 12 months ending with the
16520	16520	6 September preceding each November 1 is zero or there is a
16521	16521	7 decrease, then the annuity shall not be increased.
16522	16522	8 For the purposes of Section 1-103.1 of this Code, the
16523	16523	9 changes made to this Section by Public Act 102-263 are
16524	16524	10 applicable without regard to whether the employee was in
16525	16525	11 active service on or after August 6, 2021 (the effective date
16526	16526	12 of Public Act 102-263).
16527	16527	13 For the purposes of Section 1-103.1 of this Code, the
16528	16528	14 changes made to this Section by Public Act 100-23 are
16529	16529	15 applicable without regard to whether the employee was in
16530	16530	16 active service on or after July 6, 2017 (the effective date of
16531	16531	17 Public Act 100-23).
16532	16532	18 (f) The initial survivor's or widow's annuity of an
16533	16533	19 otherwise eligible survivor or widow of a retired member or
16534	16534	20 participant who first became a member or participant on or
16535	16535	21 after January 1, 2011 shall be in the amount of 66 2/3% of the
16536	16536	22 retired member's or participant's retirement annuity at the
16537	16537	23 date of death. In the case of the death of a member or
16538	16538	24 participant who has not retired and who first became a member
16539	16539	25 or participant on or after January 1, 2011, eligibility for a
16540	16540	26 survivor's or widow's annuity shall be determined by the
16541	16541
16542	16542
16543	16543
16544	16544
16545	16545
16546	16546	SB0002 - 461 - LRB104 07746 RPS 17791 b
16547	16547
16548	16548
16549	16549	SB0002- 462 -LRB104 07746 RPS 17791 b SB0002 - 462 - LRB104 07746 RPS 17791 b
16550	16550	SB0002 - 462 - LRB104 07746 RPS 17791 b
16551	16551	1 applicable Article of this Code. The initial benefit shall be
16552	16552	2 66 2/3% of the earned annuity without a reduction due to age. A
16553	16553	3 child's annuity of an otherwise eligible child shall be in the
16554	16554	4 amount prescribed under each Article if applicable. Any
16555	16555	5 survivor's or widow's annuity shall be increased (1) on each
16556	16556	6 January 1 occurring on or after the commencement of the
16557	16557	7 annuity if the deceased member died while receiving a
16558	16558	8 retirement annuity or (2) in other cases, on each January 1
16559	16559	9 occurring after the first anniversary of the commencement of
16560	16560	10 the annuity. Each annual increase shall be calculated at 3% or
16561	16561	11 one-half the annual unadjusted percentage increase (but not
16562	16562	12 less than zero) in the consumer price index-u for the 12 months
16563	16563	13 ending with the September preceding each November 1, whichever
16564	16564	14 is less, of the originally granted survivor's annuity. If the
16565	16565	15 annual unadjusted percentage change in the consumer price
16566	16566	16 index-u for the 12 months ending with the September preceding
16567	16567	17 each November 1 is zero or there is a decrease, then the
16568	16568	18 annuity shall not be increased.
16569	16569	19 (g) The benefits in Section 14-110 apply if the person is a
16570	16570	20 fire fighter in the fire protection service of a department, a
16571	16571	21 security employee of the Department of Corrections or the
16572	16572	22 Department of Juvenile Justice, or a security employee of the
16573	16573	23 Department of Innovation and Technology, as those terms are
16574	16574	24 defined in subsection (b) and subsection (c) of Section
16575	16575	25 14-110. A person who meets the requirements of this Section is
16576	16576	26 entitled to an annuity calculated under the provisions of
16577	16577
16578	16578
16579	16579
16580	16580
16581	16581
16582	16582	SB0002 - 462 - LRB104 07746 RPS 17791 b
16583	16583
16584	16584
16585	16585	SB0002- 463 -LRB104 07746 RPS 17791 b SB0002 - 463 - LRB104 07746 RPS 17791 b
16586	16586	SB0002 - 463 - LRB104 07746 RPS 17791 b
16587	16587	1 Section 14-110, in lieu of the regular or minimum retirement
16588	16588	2 annuity, only if the person has withdrawn from service with
16589	16589	3 not less than 20 years of eligible creditable service and has
16590	16590	4 attained age 60, regardless of whether the attainment of age
16591	16591	5 60 occurs while the person is still in service.
16592	16592	6 (g-5) The benefits in Section 14-110 apply if the person
16593	16593	7 is a State policeman, investigator for the Secretary of State,
16594	16594	8 conservation police officer, investigator for the Department
16595	16595	9 of Revenue or the Illinois Gaming Board, investigator for the
16596	16596	10 Office of the Attorney General, Commerce Commission police
16597	16597	11 officer, or arson investigator, as those terms are defined in
16598	16598	12 subsection (b) and subsection (c) of Section 14-110. A person
16599	16599	13 who meets the requirements of this Section is entitled to an
16600	16600	14 annuity calculated under the provisions of Section 14-110, in
16601	16601	15 lieu of the regular or minimum retirement annuity, only if the
16602	16602	16 person has withdrawn from service with not less than 20 years
16603	16603	17 of eligible creditable service and has attained age 55,
16604	16604	18 regardless of whether the attainment of age 55 occurs while
16605	16605	19 the person is still in service.
16606	16606	20 (h) If a person who first becomes a member or a participant
16607	16607	21 of a retirement system or pension fund subject to this Section
16608	16608	22 on or after January 1, 2011 is receiving a retirement annuity
16609	16609	23 or retirement pension under that system or fund and becomes a
16610	16610	24 member or participant under any other system or fund created
16611	16611	25 by this Code and is employed on a full-time basis, except for
16612	16612	26 those members or participants exempted from the provisions of
16613	16613
16614	16614
16615	16615
16616	16616
16617	16617
16618	16618	SB0002 - 463 - LRB104 07746 RPS 17791 b
16619	16619
16620	16620
16621	16621	SB0002- 464 -LRB104 07746 RPS 17791 b SB0002 - 464 - LRB104 07746 RPS 17791 b
16622	16622	SB0002 - 464 - LRB104 07746 RPS 17791 b
16623	16623	1 this Section under subsection (a) of this Section, then the
16624	16624	2 person's retirement annuity or retirement pension under that
16625	16625	3 system or fund shall be suspended during that employment. Upon
16626	16626	4 termination of that employment, the person's retirement
16627	16627	5 annuity or retirement pension payments shall resume and be
16628	16628	6 recalculated if recalculation is provided for under the
16629	16629	7 applicable Article of this Code.
16630	16630	8 If a person who first becomes a member of a retirement
16631	16631	9 system or pension fund subject to this Section on or after
16632	16632	10 January 1, 2012 and is receiving a retirement annuity or
16633	16633	11 retirement pension under that system or fund and accepts on a
16634	16634	12 contractual basis a position to provide services to a
16635	16635	13 governmental entity from which he or she has retired, then
16636	16636	14 that person's annuity or retirement pension earned as an
16637	16637	15 active employee of the employer shall be suspended during that
16638	16638	16 contractual service. A person receiving an annuity or
16639	16639	17 retirement pension under this Code shall notify the pension
16640	16640	18 fund or retirement system from which he or she is receiving an
16641	16641	19 annuity or retirement pension, as well as his or her
16642	16642	20 contractual employer, of his or her retirement status before
16643	16643	21 accepting contractual employment. A person who fails to submit
16644	16644	22 such notification shall be guilty of a Class A misdemeanor and
16645	16645	23 required to pay a fine of $1,000. Upon termination of that
16646	16646	24 contractual employment, the person's retirement annuity or
16647	16647	25 retirement pension payments shall resume and, if appropriate,
16648	16648	26 be recalculated under the applicable provisions of this Code.
16649	16649
16650	16650
16651	16651
16652	16652
16653	16653
16654	16654	SB0002 - 464 - LRB104 07746 RPS 17791 b
16655	16655
16656	16656
16657	16657	SB0002- 465 -LRB104 07746 RPS 17791 b SB0002 - 465 - LRB104 07746 RPS 17791 b
16658	16658	SB0002 - 465 - LRB104 07746 RPS 17791 b
16659	16659	1 (i) (Blank).
16660	16660	2 (j) In the case of a conflict between the provisions of
16661	16661	3 this Section and any other provision of this Code, the
16662	16662	4 provisions of this Section shall control.
16663	16663	5 (Source: P.A. 101-610, eff. 1-1-20; 102-16, eff. 6-17-21;
16664	16664	6 102-210, eff. 1-1-22; 102-263, eff. 8-6-21; 102-719, eff.
16665	16665	7 5-6-22; 103-529, eff. 8-11-23.)
16666	16666	8 (Text of Section from P.A. 102-813)
16667	16667	9 Sec. 1-160. Provisions applicable to new hires.
16668	16668	10 (a) The provisions of this Section apply to a person who,
16669	16669	11 on or after January 1, 2011, first becomes a member or a
16670	16670	12 participant under any reciprocal retirement system, regardless
16671	16671	13 of when that reciprocal retirement system became a reciprocal
16672	16672	14 retirement system, or pension fund established under this
16673	16673	15 Code, other than a retirement system or pension fund
16674	16674	16 established under Article 2, 3, 4, 5, 6, 7, 15, or 18 of this
16675	16675	17 Code, notwithstanding any other provision of this Code to the
16676	16676	18 contrary, but do not apply to any self-managed plan
16677	16677	19 established under this Code or to any participant of the
16678	16678	20 retirement plan established under Section 22-101; except that
16679	16679	21 this Section applies to a person who elected to establish
16680	16680	22 alternative credits by electing in writing after January 1,
16681	16681	23 2011, but before August 8, 2011, under Section 7-145.1 of this
16682	16682	24 Code. Notwithstanding anything to the contrary in this
16683	16683	25 Section, for purposes of this Section, a person who is a Tier 1
16684	16684
16685	16685
16686	16686
16687	16687
16688	16688
16689	16689	SB0002 - 465 - LRB104 07746 RPS 17791 b
16690	16690
16691	16691
16692	16692	SB0002- 466 -LRB104 07746 RPS 17791 b SB0002 - 466 - LRB104 07746 RPS 17791 b
16693	16693	SB0002 - 466 - LRB104 07746 RPS 17791 b
16694	16694	1 regular employee as defined in Section 7-109.4 of this Code or
16695	16695	2 who participated in a retirement system under Article 15 prior
16696	16696	3 to January 1, 2011 shall be deemed a person who first became a
16697	16697	4 member or participant prior to January 1, 2011 under any
16698	16698	5 retirement system or pension fund subject to this Section. The
16699	16699	6 changes made to this Section by Public Act 98-596 are a
16700	16700	7 clarification of existing law and are intended to be
16701	16701	8 retroactive to January 1, 2011 (the effective date of Public
16702	16702	9 Act 96-889), notwithstanding the provisions of Section 1-103.1
16703	16703	10 of this Code.
16704	16704	11 This Section does not apply to a person who first becomes a
16705	16705	12 noncovered employee under Article 14 on or after the
16706	16706	13 implementation date of the plan created under Section 1-161
16707	16707	14 for that Article, unless that person elects under subsection
16708	16708	15 (b) of Section 1-161 to instead receive the benefits provided
16709	16709	16 under this Section and the applicable provisions of that
16710	16710	17 Article.
16711	16711	18 This Section does not apply to a person who first becomes a
16712	16712	19 member or participant under Article 16 on or after the
16713	16713	20 implementation date of the plan created under Section 1-161
16714	16714	21 for that Article, unless that person elects under subsection
16715	16715	22 (b) of Section 1-161 to instead receive the benefits provided
16716	16716	23 under this Section and the applicable provisions of that
16717	16717	24 Article.
16718	16718	25 This Section does not apply to a person who elects under
16719	16719	26 subsection (c-5) of Section 1-161 to receive the benefits
16720	16720
16721	16721
16722	16722
16723	16723
16724	16724
16725	16725	SB0002 - 466 - LRB104 07746 RPS 17791 b
16726	16726
16727	16727
16728	16728	SB0002- 467 -LRB104 07746 RPS 17791 b SB0002 - 467 - LRB104 07746 RPS 17791 b
16729	16729	SB0002 - 467 - LRB104 07746 RPS 17791 b
16730	16730	1 under Section 1-161.
16731	16731	2 This Section does not apply to a person who first becomes a
16732	16732	3 member or participant of an affected pension fund on or after 6
16733	16733	4 months after the resolution or ordinance date, as defined in
16734	16734	5 Section 1-162, unless that person elects under subsection (c)
16735	16735	6 of Section 1-162 to receive the benefits provided under this
16736	16736	7 Section and the applicable provisions of the Article under
16737	16737	8 which he or she is a member or participant.
16738	16738	9 (b) "Final average salary" means, except as otherwise
16739	16739	10 provided in this subsection, the average monthly (or annual)
16740	16740	11 salary obtained by dividing the total salary or earnings
16741	16741	12 calculated under the Article applicable to the member or
16742	16742	13 participant during the 96 consecutive months (or 8 consecutive
16743	16743	14 years) of service within the last 120 months (or 10 years) of
16744	16744	15 service in which the total salary or earnings calculated under
16745	16745	16 the applicable Article was the highest by the number of months
16746	16746	17 (or years) of service in that period. For the purposes of a
16747	16747	18 person who first becomes a member or participant of any
16748	16748	19 retirement system or pension fund to which this Section
16749	16749	20 applies on or after January 1, 2011, in this Code, "final
16750	16750	21 average salary" shall be substituted for the following:
16751	16751	22 (1) (Blank).
16752	16752	23 (2) In Articles 8, 9, 10, 11, and 12, "highest average
16753	16753	24 annual salary for any 4 consecutive years within the last
16754	16754	25 10 years of service immediately preceding the date of
16755	16755	26 withdrawal".
16756	16756
16757	16757
16758	16758
16759	16759
16760	16760
16761	16761	SB0002 - 467 - LRB104 07746 RPS 17791 b
16762	16762
16763	16763
16764	16764	SB0002- 468 -LRB104 07746 RPS 17791 b SB0002 - 468 - LRB104 07746 RPS 17791 b
16765	16765	SB0002 - 468 - LRB104 07746 RPS 17791 b
16766	16766	1 (3) In Article 13, "average final salary".
16767	16767	2 (4) In Article 14, "final average compensation".
16768	16768	3 (5) In Article 17, "average salary".
16769	16769	4 (6) In Section 22-207, "wages or salary received by
16770	16770	5 him at the date of retirement or discharge".
16771	16771	6 A member of the Teachers' Retirement System of the State
16772	16772	7 of Illinois who retires on or after June 1, 2021 and for whom
16773	16773	8 the 2020-2021 school year is used in the calculation of the
16774	16774	9 member's final average salary shall use the higher of the
16775	16775	10 following for the purpose of determining the member's final
16776	16776	11 average salary:
16777	16777	12 (A) the amount otherwise calculated under the first
16778	16778	13 paragraph of this subsection; or
16779	16779	14 (B) an amount calculated by the Teachers' Retirement
16780	16780	15 System of the State of Illinois using the average of the
16781	16781	16 monthly (or annual) salary obtained by dividing the total
16782	16782	17 salary or earnings calculated under Article 16 applicable
16783	16783	18 to the member or participant during the 96 months (or 8
16784	16784	19 years) of service within the last 120 months (or 10 years)
16785	16785	20 of service in which the total salary or earnings
16786	16786	21 calculated under the Article was the highest by the number
16787	16787	22 of months (or years) of service in that period.
16788	16788	23 (b-5) Beginning on January 1, 2011, for all purposes under
16789	16789	24 this Code (including without limitation the calculation of
16790	16790	25 benefits and employee contributions), the annual earnings,
16791	16791	26 salary, or wages (based on the plan year) of a member or
16792	16792
16793	16793
16794	16794
16795	16795
16796	16796
16797	16797	SB0002 - 468 - LRB104 07746 RPS 17791 b
16798	16798
16799	16799
16800	16800	SB0002- 469 -LRB104 07746 RPS 17791 b SB0002 - 469 - LRB104 07746 RPS 17791 b
16801	16801	SB0002 - 469 - LRB104 07746 RPS 17791 b
16802	16802	1 participant to whom this Section applies shall not exceed
16803	16803	2 $106,800; however, that amount shall annually thereafter be
16804	16804	3 increased by the lesser of (i) 3% of that amount, including all
16805	16805	4 previous adjustments, or (ii) one-half the annual unadjusted
16806	16806	5 percentage increase (but not less than zero) in the consumer
16807	16807	6 price index-u for the 12 months ending with the September
16808	16808	7 preceding each November 1, including all previous adjustments.
16809	16809	8 For the purposes of this Section, "consumer price index-u"
16810	16810	9 means the index published by the Bureau of Labor Statistics of
16811	16811	10 the United States Department of Labor that measures the
16812	16812	11 average change in prices of goods and services purchased by
16813	16813	12 all urban consumers, United States city average, all items,
16814	16814	13 1982-84 = 100. The new amount resulting from each annual
16815	16815	14 adjustment shall be determined by the Public Pension Division
16816	16816	15 of the Department of Insurance and made available to the
16817	16817	16 boards of the retirement systems and pension funds by November
16818	16818	17 1 of each year.
16819	16819	18 (b-10) Beginning on January 1, 2024, for all purposes
16820	16820	19 under this Code (including, without limitation, the
16821	16821	20 calculation of benefits and employee contributions), the
16822	16822	21 annual earnings, salary, or wages (based on the plan year) of a
16823	16823	22 member or participant under Article 9 to whom this Section
16824	16824	23 applies shall include an annual earnings, salary, or wage cap
16825	16825	24 that tracks the Social Security wage base. Maximum annual
16826	16826	25 earnings, wages, or salary shall be the annual contribution
16827	16827	26 and benefit base established for the applicable year by the
16828	16828
16829	16829
16830	16830
16831	16831
16832	16832
16833	16833	SB0002 - 469 - LRB104 07746 RPS 17791 b
16834	16834
16835	16835
16836	16836	SB0002- 470 -LRB104 07746 RPS 17791 b SB0002 - 470 - LRB104 07746 RPS 17791 b
16837	16837	SB0002 - 470 - LRB104 07746 RPS 17791 b
16838	16838	1 Commissioner of the Social Security Administration under the
16839	16839	2 federal Social Security Act.
16840	16840	3 However, in no event shall the annual earnings, salary, or
16841	16841	4 wages for the purposes of this Article and Article 9 exceed any
16842	16842	5 limitation imposed on annual earnings, salary, or wages under
16843	16843	6 Section 1-117. Under no circumstances shall the maximum amount
16844	16844	7 of annual earnings, salary, or wages be greater than the
16845	16845	8 amount set forth in this subsection (b-10) as a result of
16846	16846	9 reciprocal service or any provisions regarding reciprocal
16847	16847	10 services, nor shall the Fund under Article 9 be required to pay
16848	16848	11 any refund as a result of the application of this maximum
16849	16849	12 annual earnings, salary, and wage cap.
16850	16850	13 Nothing in this subsection (b-10) shall cause or otherwise
16851	16851	14 result in any retroactive adjustment of any employee
16852	16852	15 contributions. Nothing in this subsection (b-10) shall cause
16853	16853	16 or otherwise result in any retroactive adjustment of
16854	16854	17 disability or other payments made between January 1, 2011 and
16855	16855	18 January 1, 2024.
16856	16856	19 (c) A member or participant is entitled to a retirement
16857	16857	20 annuity upon written application if he or she has attained age
16858	16858	21 67 (age 65, with respect to service under Article 12 that is
16859	16859	22 subject to this Section, for a member or participant under
16860	16860	23 Article 12 who first becomes a member or participant under
16861	16861	24 Article 12 on or after January 1, 2022 or who makes the
16862	16862	25 election under item (i) of subsection (d-15) of this Section)
16863	16863	26 and has at least 10 years of service credit and is otherwise
16864	16864
16865	16865
16866	16866
16867	16867
16868	16868
16869	16869	SB0002 - 470 - LRB104 07746 RPS 17791 b
16870	16870
16871	16871
16872	16872	SB0002- 471 -LRB104 07746 RPS 17791 b SB0002 - 471 - LRB104 07746 RPS 17791 b
16873	16873	SB0002 - 471 - LRB104 07746 RPS 17791 b
16874	16874	1 eligible under the requirements of the applicable Article.
16875	16875	2 A member or participant who has attained age 62 (age 60,
16876	16876	3 with respect to service under Article 12 that is subject to
16877	16877	4 this Section, for a member or participant under Article 12 who
16878	16878	5 first becomes a member or participant under Article 12 on or
16879	16879	6 after January 1, 2022 or who makes the election under item (i)
16880	16880	7 of subsection (d-15) of this Section) and has at least 10 years
16881	16881	8 of service credit and is otherwise eligible under the
16882	16882	9 requirements of the applicable Article may elect to receive
16883	16883	10 the lower retirement annuity provided in subsection (d) of
16884	16884	11 this Section.
16885	16885	12 (c-5) A person who first becomes a member or a participant
16886	16886	13 subject to this Section on or after July 6, 2017 (the effective
16887	16887	14 date of Public Act 100-23), notwithstanding any other
16888	16888	15 provision of this Code to the contrary, is entitled to a
16889	16889	16 retirement annuity under Article 8 or Article 11 upon written
16890	16890	17 application if he or she has attained age 65 and has at least
16891	16891	18 10 years of service credit and is otherwise eligible under the
16892	16892	19 requirements of Article 8 or Article 11 of this Code,
16893	16893	20 whichever is applicable.
16894	16894	21 (d) The retirement annuity of a member or participant who
16895	16895	22 is retiring after attaining age 62 (age 60, with respect to
16896	16896	23 service under Article 12 that is subject to this Section, for a
16897	16897	24 member or participant under Article 12 who first becomes a
16898	16898	25 member or participant under Article 12 on or after January 1,
16899	16899	26 2022 or who makes the election under item (i) of subsection
16900	16900
16901	16901
16902	16902
16903	16903
16904	16904
16905	16905	SB0002 - 471 - LRB104 07746 RPS 17791 b
16906	16906
16907	16907
16908	16908	SB0002- 472 -LRB104 07746 RPS 17791 b SB0002 - 472 - LRB104 07746 RPS 17791 b
16909	16909	SB0002 - 472 - LRB104 07746 RPS 17791 b
16910	16910	1 (d-15) of this Section) with at least 10 years of service
16911	16911	2 credit shall be reduced by one-half of 1% for each full month
16912	16912	3 that the member's age is under age 67 (age 65, with respect to
16913	16913	4 service under Article 12 that is subject to this Section, for a
16914	16914	5 member or participant under Article 12 who first becomes a
16915	16915	6 member or participant under Article 12 on or after January 1,
16916	16916	7 2022 or who makes the election under item (i) of subsection
16917	16917	8 (d-15) of this Section).
16918	16918	9 (d-5) The retirement annuity payable under Article 8 or
16919	16919	10 Article 11 to an eligible person subject to subsection (c-5)
16920	16920	11 of this Section who is retiring at age 60 with at least 10
16921	16921	12 years of service credit shall be reduced by one-half of 1% for
16922	16922	13 each full month that the member's age is under age 65.
16923	16923	14 (d-10) Each person who first became a member or
16924	16924	15 participant under Article 8 or Article 11 of this Code on or
16925	16925	16 after January 1, 2011 and prior to July 6, 2017 (the effective
16926	16926	17 date of Public Act 100-23) shall make an irrevocable election
16927	16927	18 either:
16928	16928	19 (i) to be eligible for the reduced retirement age
16929	16929	20 provided in subsections (c-5) and (d-5) of this Section,
16930	16930	21 the eligibility for which is conditioned upon the member
16931	16931	22 or participant agreeing to the increases in employee
16932	16932	23 contributions for age and service annuities provided in
16933	16933	24 subsection (a-5) of Section 8-174 of this Code (for
16934	16934	25 service under Article 8) or subsection (a-5) of Section
16935	16935	26 11-170 of this Code (for service under Article 11); or
16936	16936
16937	16937
16938	16938
16939	16939
16940	16940
16941	16941	SB0002 - 472 - LRB104 07746 RPS 17791 b
16942	16942
16943	16943
16944	16944	SB0002- 473 -LRB104 07746 RPS 17791 b SB0002 - 473 - LRB104 07746 RPS 17791 b
16945	16945	SB0002 - 473 - LRB104 07746 RPS 17791 b
16946	16946	1 (ii) to not agree to item (i) of this subsection
16947	16947	2 (d-10), in which case the member or participant shall
16948	16948	3 continue to be subject to the retirement age provisions in
16949	16949	4 subsections (c) and (d) of this Section and the employee
16950	16950	5 contributions for age and service annuity as provided in
16951	16951	6 subsection (a) of Section 8-174 of this Code (for service
16952	16952	7 under Article 8) or subsection (a) of Section 11-170 of
16953	16953	8 this Code (for service under Article 11).
16954	16954	9 The election provided for in this subsection shall be made
16955	16955	10 between October 1, 2017 and November 15, 2017. A person
16956	16956	11 subject to this subsection who makes the required election
16957	16957	12 shall remain bound by that election. A person subject to this
16958	16958	13 subsection who fails for any reason to make the required
16959	16959	14 election within the time specified in this subsection shall be
16960	16960	15 deemed to have made the election under item (ii).
16961	16961	16 (d-15) Each person who first becomes a member or
16962	16962	17 participant under Article 12 on or after January 1, 2011 and
16963	16963	18 prior to January 1, 2022 shall make an irrevocable election
16964	16964	19 either:
16965	16965	20 (i) to be eligible for the reduced retirement age
16966	16966	21 specified in subsections (c) and (d) of this Section, the
16967	16967	22 eligibility for which is conditioned upon the member or
16968	16968	23 participant agreeing to the increase in employee
16969	16969	24 contributions for service annuities specified in
16970	16970	25 subsection (b) of Section 12-150; or
16971	16971	26 (ii) to not agree to item (i) of this subsection
16972	16972
16973	16973
16974	16974
16975	16975
16976	16976
16977	16977	SB0002 - 473 - LRB104 07746 RPS 17791 b
16978	16978
16979	16979
16980	16980	SB0002- 474 -LRB104 07746 RPS 17791 b SB0002 - 474 - LRB104 07746 RPS 17791 b
16981	16981	SB0002 - 474 - LRB104 07746 RPS 17791 b
16982	16982	1 (d-15), in which case the member or participant shall not
16983	16983	2 be eligible for the reduced retirement age specified in
16984	16984	3 subsections (c) and (d) of this Section and shall not be
16985	16985	4 subject to the increase in employee contributions for
16986	16986	5 service annuities specified in subsection (b) of Section
16987	16987	6 12-150.
16988	16988	7 The election provided for in this subsection shall be made
16989	16989	8 between January 1, 2022 and April 1, 2022. A person subject to
16990	16990	9 this subsection who makes the required election shall remain
16991	16991	10 bound by that election. A person subject to this subsection
16992	16992	11 who fails for any reason to make the required election within
16993	16993	12 the time specified in this subsection shall be deemed to have
16994	16994	13 made the election under item (ii).
16995	16995	14 (e) Any retirement annuity or supplemental annuity shall
16996	16996	15 be subject to annual increases on the January 1 occurring
16997	16997	16 either on or after the attainment of age 67 (age 65, with
16998	16998	17 respect to service under Article 12 that is subject to this
16999	16999	18 Section, for a member or participant under Article 12 who
17000	17000	19 first becomes a member or participant under Article 12 on or
17001	17001	20 after January 1, 2022 or who makes the election under item (i)
17002	17002	21 of subsection (d-15); and beginning on July 6, 2017 (the
17003	17003	22 effective date of Public Act 100-23), age 65 with respect to
17004	17004	23 service under Article 8 or Article 11 for eligible persons
17005	17005	24 who: (i) are subject to subsection (c-5) of this Section; or
17006	17006	25 (ii) made the election under item (i) of subsection (d-10) of
17007	17007	26 this Section) or the first anniversary of the annuity start
17008	17008
17009	17009
17010	17010
17011	17011
17012	17012
17013	17013	SB0002 - 474 - LRB104 07746 RPS 17791 b
17014	17014
17015	17015
17016	17016	SB0002- 475 -LRB104 07746 RPS 17791 b SB0002 - 475 - LRB104 07746 RPS 17791 b
17017	17017	SB0002 - 475 - LRB104 07746 RPS 17791 b
17018	17018	1 date, whichever is later. Each annual increase shall be
17019	17019	2 calculated at 3% or one-half the annual unadjusted percentage
17020	17020	3 increase (but not less than zero) in the consumer price
17021	17021	4 index-u for the 12 months ending with the September preceding
17022	17022	5 each November 1, whichever is less, of the originally granted
17023	17023	6 retirement annuity. If the annual unadjusted percentage change
17024	17024	7 in the consumer price index-u for the 12 months ending with the
17025	17025	8 September preceding each November 1 is zero or there is a
17026	17026	9 decrease, then the annuity shall not be increased.
17027	17027	10 For the purposes of Section 1-103.1 of this Code, the
17028	17028	11 changes made to this Section by Public Act 102-263 are
17029	17029	12 applicable without regard to whether the employee was in
17030	17030	13 active service on or after August 6, 2021 (the effective date
17031	17031	14 of Public Act 102-263).
17032	17032	15 For the purposes of Section 1-103.1 of this Code, the
17033	17033	16 changes made to this Section by Public Act 100-23 are
17034	17034	17 applicable without regard to whether the employee was in
17035	17035	18 active service on or after July 6, 2017 (the effective date of
17036	17036	19 Public Act 100-23).
17037	17037	20 (f) The initial survivor's or widow's annuity of an
17038	17038	21 otherwise eligible survivor or widow of a retired member or
17039	17039	22 participant who first became a member or participant on or
17040	17040	23 after January 1, 2011 shall be in the amount of 66 2/3% of the
17041	17041	24 retired member's or participant's retirement annuity at the
17042	17042	25 date of death. In the case of the death of a member or
17043	17043	26 participant who has not retired and who first became a member
17044	17044
17045	17045
17046	17046
17047	17047
17048	17048
17049	17049	SB0002 - 475 - LRB104 07746 RPS 17791 b
17050	17050
17051	17051
17052	17052	SB0002- 476 -LRB104 07746 RPS 17791 b SB0002 - 476 - LRB104 07746 RPS 17791 b
17053	17053	SB0002 - 476 - LRB104 07746 RPS 17791 b
17054	17054	1 or participant on or after January 1, 2011, eligibility for a
17055	17055	2 survivor's or widow's annuity shall be determined by the
17056	17056	3 applicable Article of this Code. The initial benefit shall be
17057	17057	4 66 2/3% of the earned annuity without a reduction due to age. A
17058	17058	5 child's annuity of an otherwise eligible child shall be in the
17059	17059	6 amount prescribed under each Article if applicable. Any
17060	17060	7 survivor's or widow's annuity shall be increased (1) on each
17061	17061	8 January 1 occurring on or after the commencement of the
17062	17062	9 annuity if the deceased member died while receiving a
17063	17063	10 retirement annuity or (2) in other cases, on each January 1
17064	17064	11 occurring after the first anniversary of the commencement of
17065	17065	12 the annuity. Each annual increase shall be calculated at 3% or
17066	17066	13 one-half the annual unadjusted percentage increase (but not
17067	17067	14 less than zero) in the consumer price index-u for the 12 months
17068	17068	15 ending with the September preceding each November 1, whichever
17069	17069	16 is less, of the originally granted survivor's annuity. If the
17070	17070	17 annual unadjusted percentage change in the consumer price
17071	17071	18 index-u for the 12 months ending with the September preceding
17072	17072	19 each November 1 is zero or there is a decrease, then the
17073	17073	20 annuity shall not be increased.
17074	17074	21 (g) The benefits in Section 14-110 apply only if the
17075	17075	22 person is a State policeman, a fire fighter in the fire
17076	17076	23 protection service of a department, a conservation police
17077	17077	24 officer, an investigator for the Secretary of State, an arson
17078	17078	25 investigator, a Commerce Commission police officer,
17079	17079	26 investigator for the Department of Revenue or the Illinois
17080	17080
17081	17081
17082	17082
17083	17083
17084	17084
17085	17085	SB0002 - 476 - LRB104 07746 RPS 17791 b
17086	17086
17087	17087
17088	17088	SB0002- 477 -LRB104 07746 RPS 17791 b SB0002 - 477 - LRB104 07746 RPS 17791 b
17089	17089	SB0002 - 477 - LRB104 07746 RPS 17791 b
17090	17090	1 Gaming Board, a security employee of the Department of
17091	17091	2 Corrections or the Department of Juvenile Justice, or a
17092	17092	3 security employee of the Department of Innovation and
17093	17093	4 Technology, as those terms are defined in subsection (b) and
17094	17094	5 subsection (c) of Section 14-110. A person who meets the
17095	17095	6 requirements of this Section is entitled to an annuity
17096	17096	7 calculated under the provisions of Section 14-110, in lieu of
17097	17097	8 the regular or minimum retirement annuity, only if the person
17098	17098	9 has withdrawn from service with not less than 20 years of
17099	17099	10 eligible creditable service and has attained age 60,
17100	17100	11 regardless of whether the attainment of age 60 occurs while
17101	17101	12 the person is still in service.
17102	17102	13 (h) If a person who first becomes a member or a participant
17103	17103	14 of a retirement system or pension fund subject to this Section
17104	17104	15 on or after January 1, 2011 is receiving a retirement annuity
17105	17105	16 or retirement pension under that system or fund and becomes a
17106	17106	17 member or participant under any other system or fund created
17107	17107	18 by this Code and is employed on a full-time basis, except for
17108	17108	19 those members or participants exempted from the provisions of
17109	17109	20 this Section under subsection (a) of this Section, then the
17110	17110	21 person's retirement annuity or retirement pension under that
17111	17111	22 system or fund shall be suspended during that employment. Upon
17112	17112	23 termination of that employment, the person's retirement
17113	17113	24 annuity or retirement pension payments shall resume and be
17114	17114	25 recalculated if recalculation is provided for under the
17115	17115	26 applicable Article of this Code.
17116	17116
17117	17117
17118	17118
17119	17119
17120	17120
17121	17121	SB0002 - 477 - LRB104 07746 RPS 17791 b
17122	17122
17123	17123
17124	17124	SB0002- 478 -LRB104 07746 RPS 17791 b SB0002 - 478 - LRB104 07746 RPS 17791 b
17125	17125	SB0002 - 478 - LRB104 07746 RPS 17791 b
17126	17126	1 If a person who first becomes a member of a retirement
17127	17127	2 system or pension fund subject to this Section on or after
17128	17128	3 January 1, 2012 and is receiving a retirement annuity or
17129	17129	4 retirement pension under that system or fund and accepts on a
17130	17130	5 contractual basis a position to provide services to a
17131	17131	6 governmental entity from which he or she has retired, then
17132	17132	7 that person's annuity or retirement pension earned as an
17133	17133	8 active employee of the employer shall be suspended during that
17134	17134	9 contractual service. A person receiving an annuity or
17135	17135	10 retirement pension under this Code shall notify the pension
17136	17136	11 fund or retirement system from which he or she is receiving an
17137	17137	12 annuity or retirement pension, as well as his or her
17138	17138	13 contractual employer, of his or her retirement status before
17139	17139	14 accepting contractual employment. A person who fails to submit
17140	17140	15 such notification shall be guilty of a Class A misdemeanor and
17141	17141	16 required to pay a fine of $1,000. Upon termination of that
17142	17142	17 contractual employment, the person's retirement annuity or
17143	17143	18 retirement pension payments shall resume and, if appropriate,
17144	17144	19 be recalculated under the applicable provisions of this Code.
17145	17145	20 (i) (Blank).
17146	17146	21 (j) In the case of a conflict between the provisions of
17147	17147	22 this Section and any other provision of this Code, the
17148	17148	23 provisions of this Section shall control.
17149	17149	24 (Source: P.A. 101-610, eff. 1-1-20; 102-16, eff. 6-17-21;
17150	17150	25 102-210, eff. 1-1-22; 102-263, eff. 8-6-21; 102-813, eff.
17151	17151	26 5-13-22; 103-529, eff. 8-11-23.)
17152	17152
17153	17153
17154	17154
17155	17155
17156	17156
17157	17157	SB0002 - 478 - LRB104 07746 RPS 17791 b
17158	17158
17159	17159
17160	17160	SB0002- 479 -LRB104 07746 RPS 17791 b SB0002 - 479 - LRB104 07746 RPS 17791 b
17161	17161	SB0002 - 479 - LRB104 07746 RPS 17791 b
17162	17162	1 (Text of Section from P.A. 102-956)
17163	17163	2 Sec. 1-160. Provisions applicable to new hires.
17164	17164	3 (a) The provisions of this Section apply to a person who,
17165	17165	4 on or after January 1, 2011, first becomes a member or a
17166	17166	5 participant under any reciprocal retirement system, regardless
17167	17167	6 of when that reciprocal retirement system became a reciprocal
17168	17168	7 retirement system, or pension fund established under this
17169	17169	8 Code, other than a retirement system or pension fund
17170	17170	9 established under Article 2, 3, 4, 5, 6, 7, 15, or 18 of this
17171	17171	10 Code, notwithstanding any other provision of this Code to the
17172	17172	11 contrary, but do not apply to any self-managed plan
17173	17173	12 established under this Code or to any participant of the
17174	17174	13 retirement plan established under Section 22-101; except that
17175	17175	14 this Section applies to a person who elected to establish
17176	17176	15 alternative credits by electing in writing after January 1,
17177	17177	16 2011, but before August 8, 2011, under Section 7-145.1 of this
17178	17178	17 Code. Notwithstanding anything to the contrary in this
17179	17179	18 Section, for purposes of this Section, a person who is a Tier 1
17180	17180	19 regular employee as defined in Section 7-109.4 of this Code or
17181	17181	20 who participated in a retirement system under Article 15 prior
17182	17182	21 to January 1, 2011 shall be deemed a person who first became a
17183	17183	22 member or participant prior to January 1, 2011 under any
17184	17184	23 retirement system or pension fund subject to this Section. The
17185	17185	24 changes made to this Section by Public Act 98-596 are a
17186	17186	25 clarification of existing law and are intended to be
17187	17187
17188	17188
17189	17189
17190	17190
17191	17191
17192	17192	SB0002 - 479 - LRB104 07746 RPS 17791 b
17193	17193
17194	17194
17195	17195	SB0002- 480 -LRB104 07746 RPS 17791 b SB0002 - 480 - LRB104 07746 RPS 17791 b
17196	17196	SB0002 - 480 - LRB104 07746 RPS 17791 b
17197	17197	1 retroactive to January 1, 2011 (the effective date of Public
17198	17198	2 Act 96-889), notwithstanding the provisions of Section 1-103.1
17199	17199	3 of this Code.
17200	17200	4 This Section does not apply to a person who first becomes a
17201	17201	5 noncovered employee under Article 14 on or after the
17202	17202	6 implementation date of the plan created under Section 1-161
17203	17203	7 for that Article, unless that person elects under subsection
17204	17204	8 (b) of Section 1-161 to instead receive the benefits provided
17205	17205	9 under this Section and the applicable provisions of that
17206	17206	10 Article.
17207	17207	11 This Section does not apply to a person who first becomes a
17208	17208	12 member or participant under Article 16 on or after the
17209	17209	13 implementation date of the plan created under Section 1-161
17210	17210	14 for that Article, unless that person elects under subsection
17211	17211	15 (b) of Section 1-161 to instead receive the benefits provided
17212	17212	16 under this Section and the applicable provisions of that
17213	17213	17 Article.
17214	17214	18 This Section does not apply to a person who elects under
17215	17215	19 subsection (c-5) of Section 1-161 to receive the benefits
17216	17216	20 under Section 1-161.
17217	17217	21 This Section does not apply to a person who first becomes a
17218	17218	22 member or participant of an affected pension fund on or after 6
17219	17219	23 months after the resolution or ordinance date, as defined in
17220	17220	24 Section 1-162, unless that person elects under subsection (c)
17221	17221	25 of Section 1-162 to receive the benefits provided under this
17222	17222	26 Section and the applicable provisions of the Article under
17223	17223
17224	17224
17225	17225
17226	17226
17227	17227
17228	17228	SB0002 - 480 - LRB104 07746 RPS 17791 b
17229	17229
17230	17230
17231	17231	SB0002- 481 -LRB104 07746 RPS 17791 b SB0002 - 481 - LRB104 07746 RPS 17791 b
17232	17232	SB0002 - 481 - LRB104 07746 RPS 17791 b
17233	17233	1 which he or she is a member or participant.
17234	17234	2 (b) "Final average salary" means, except as otherwise
17235	17235	3 provided in this subsection, the average monthly (or annual)
17236	17236	4 salary obtained by dividing the total salary or earnings
17237	17237	5 calculated under the Article applicable to the member or
17238	17238	6 participant during the 96 consecutive months (or 8 consecutive
17239	17239	7 years) of service within the last 120 months (or 10 years) of
17240	17240	8 service in which the total salary or earnings calculated under
17241	17241	9 the applicable Article was the highest by the number of months
17242	17242	10 (or years) of service in that period. For the purposes of a
17243	17243	11 person who first becomes a member or participant of any
17244	17244	12 retirement system or pension fund to which this Section
17245	17245	13 applies on or after January 1, 2011, in this Code, "final
17246	17246	14 average salary" shall be substituted for the following:
17247	17247	15 (1) (Blank).
17248	17248	16 (2) In Articles 8, 9, 10, 11, and 12, "highest average
17249	17249	17 annual salary for any 4 consecutive years within the last
17250	17250	18 10 years of service immediately preceding the date of
17251	17251	19 withdrawal".
17252	17252	20 (3) In Article 13, "average final salary".
17253	17253	21 (4) In Article 14, "final average compensation".
17254	17254	22 (5) In Article 17, "average salary".
17255	17255	23 (6) In Section 22-207, "wages or salary received by
17256	17256	24 him at the date of retirement or discharge".
17257	17257	25 A member of the Teachers' Retirement System of the State
17258	17258	26 of Illinois who retires on or after June 1, 2021 and for whom
17259	17259
17260	17260
17261	17261
17262	17262
17263	17263
17264	17264	SB0002 - 481 - LRB104 07746 RPS 17791 b
17265	17265
17266	17266
17267	17267	SB0002- 482 -LRB104 07746 RPS 17791 b SB0002 - 482 - LRB104 07746 RPS 17791 b
17268	17268	SB0002 - 482 - LRB104 07746 RPS 17791 b
17269	17269	1 the 2020-2021 school year is used in the calculation of the
17270	17270	2 member's final average salary shall use the higher of the
17271	17271	3 following for the purpose of determining the member's final
17272	17272	4 average salary:
17273	17273	5 (A) the amount otherwise calculated under the first
17274	17274	6 paragraph of this subsection; or
17275	17275	7 (B) an amount calculated by the Teachers' Retirement
17276	17276	8 System of the State of Illinois using the average of the
17277	17277	9 monthly (or annual) salary obtained by dividing the total
17278	17278	10 salary or earnings calculated under Article 16 applicable
17279	17279	11 to the member or participant during the 96 months (or 8
17280	17280	12 years) of service within the last 120 months (or 10 years)
17281	17281	13 of service in which the total salary or earnings
17282	17282	14 calculated under the Article was the highest by the number
17283	17283	15 of months (or years) of service in that period.
17284	17284	16 (b-5) Beginning on January 1, 2011, for all purposes under
17285	17285	17 this Code (including without limitation the calculation of
17286	17286	18 benefits and employee contributions), the annual earnings,
17287	17287	19 salary, or wages (based on the plan year) of a member or
17288	17288	20 participant to whom this Section applies shall not exceed
17289	17289	21 $106,800; however, that amount shall annually thereafter be
17290	17290	22 increased by the lesser of (i) 3% of that amount, including all
17291	17291	23 previous adjustments, or (ii) one-half the annual unadjusted
17292	17292	24 percentage increase (but not less than zero) in the consumer
17293	17293	25 price index-u for the 12 months ending with the September
17294	17294	26 preceding each November 1, including all previous adjustments.
17295	17295
17296	17296
17297	17297
17298	17298
17299	17299
17300	17300	SB0002 - 482 - LRB104 07746 RPS 17791 b
17301	17301
17302	17302
17303	17303	SB0002- 483 -LRB104 07746 RPS 17791 b SB0002 - 483 - LRB104 07746 RPS 17791 b
17304	17304	SB0002 - 483 - LRB104 07746 RPS 17791 b
17305	17305	1 For the purposes of this Section, "consumer price index-u"
17306	17306	2 means the index published by the Bureau of Labor Statistics of
17307	17307	3 the United States Department of Labor that measures the
17308	17308	4 average change in prices of goods and services purchased by
17309	17309	5 all urban consumers, United States city average, all items,
17310	17310	6 1982-84 = 100. The new amount resulting from each annual
17311	17311	7 adjustment shall be determined by the Public Pension Division
17312	17312	8 of the Department of Insurance and made available to the
17313	17313	9 boards of the retirement systems and pension funds by November
17314	17314	10 1 of each year.
17315	17315	11 (b-10) Beginning on January 1, 2024, for all purposes
17316	17316	12 under this Code (including, without limitation, the
17317	17317	13 calculation of benefits and employee contributions), the
17318	17318	14 annual earnings, salary, or wages (based on the plan year) of a
17319	17319	15 member or participant under Article 9 to whom this Section
17320	17320	16 applies shall include an annual earnings, salary, or wage cap
17321	17321	17 that tracks the Social Security wage base. Maximum annual
17322	17322	18 earnings, wages, or salary shall be the annual contribution
17323	17323	19 and benefit base established for the applicable year by the
17324	17324	20 Commissioner of the Social Security Administration under the
17325	17325	21 federal Social Security Act.
17326	17326	22 However, in no event shall the annual earnings, salary, or
17327	17327	23 wages for the purposes of this Article and Article 9 exceed any
17328	17328	24 limitation imposed on annual earnings, salary, or wages under
17329	17329	25 Section 1-117. Under no circumstances shall the maximum amount
17330	17330	26 of annual earnings, salary, or wages be greater than the
17331	17331
17332	17332
17333	17333
17334	17334
17335	17335
17336	17336	SB0002 - 483 - LRB104 07746 RPS 17791 b
17337	17337
17338	17338
17339	17339	SB0002- 484 -LRB104 07746 RPS 17791 b SB0002 - 484 - LRB104 07746 RPS 17791 b
17340	17340	SB0002 - 484 - LRB104 07746 RPS 17791 b
17341	17341	1 amount set forth in this subsection (b-10) as a result of
17342	17342	2 reciprocal service or any provisions regarding reciprocal
17343	17343	3 services, nor shall the Fund under Article 9 be required to pay
17344	17344	4 any refund as a result of the application of this maximum
17345	17345	5 annual earnings, salary, and wage cap.
17346	17346	6 Nothing in this subsection (b-10) shall cause or otherwise
17347	17347	7 result in any retroactive adjustment of any employee
17348	17348	8 contributions. Nothing in this subsection (b-10) shall cause
17349	17349	9 or otherwise result in any retroactive adjustment of
17350	17350	10 disability or other payments made between January 1, 2011 and
17351	17351	11 January 1, 2024.
17352	17352	12 (c) A member or participant is entitled to a retirement
17353	17353	13 annuity upon written application if he or she has attained age
17354	17354	14 67 (age 65, with respect to service under Article 12 that is
17355	17355	15 subject to this Section, for a member or participant under
17356	17356	16 Article 12 who first becomes a member or participant under
17357	17357	17 Article 12 on or after January 1, 2022 or who makes the
17358	17358	18 election under item (i) of subsection (d-15) of this Section)
17359	17359	19 and has at least 10 years of service credit and is otherwise
17360	17360	20 eligible under the requirements of the applicable Article.
17361	17361	21 A member or participant who has attained age 62 (age 60,
17362	17362	22 with respect to service under Article 12 that is subject to
17363	17363	23 this Section, for a member or participant under Article 12 who
17364	17364	24 first becomes a member or participant under Article 12 on or
17365	17365	25 after January 1, 2022 or who makes the election under item (i)
17366	17366	26 of subsection (d-15) of this Section) and has at least 10 years
17367	17367
17368	17368
17369	17369
17370	17370
17371	17371
17372	17372	SB0002 - 484 - LRB104 07746 RPS 17791 b
17373	17373
17374	17374
17375	17375	SB0002- 485 -LRB104 07746 RPS 17791 b SB0002 - 485 - LRB104 07746 RPS 17791 b
17376	17376	SB0002 - 485 - LRB104 07746 RPS 17791 b
17377	17377	1 of service credit and is otherwise eligible under the
17378	17378	2 requirements of the applicable Article may elect to receive
17379	17379	3 the lower retirement annuity provided in subsection (d) of
17380	17380	4 this Section.
17381	17381	5 (c-5) A person who first becomes a member or a participant
17382	17382	6 subject to this Section on or after July 6, 2017 (the effective
17383	17383	7 date of Public Act 100-23), notwithstanding any other
17384	17384	8 provision of this Code to the contrary, is entitled to a
17385	17385	9 retirement annuity under Article 8 or Article 11 upon written
17386	17386	10 application if he or she has attained age 65 and has at least
17387	17387	11 10 years of service credit and is otherwise eligible under the
17388	17388	12 requirements of Article 8 or Article 11 of this Code,
17389	17389	13 whichever is applicable.
17390	17390	14 (d) The retirement annuity of a member or participant who
17391	17391	15 is retiring after attaining age 62 (age 60, with respect to
17392	17392	16 service under Article 12 that is subject to this Section, for a
17393	17393	17 member or participant under Article 12 who first becomes a
17394	17394	18 member or participant under Article 12 on or after January 1,
17395	17395	19 2022 or who makes the election under item (i) of subsection
17396	17396	20 (d-15) of this Section) with at least 10 years of service
17397	17397	21 credit shall be reduced by one-half of 1% for each full month
17398	17398	22 that the member's age is under age 67 (age 65, with respect to
17399	17399	23 service under Article 12 that is subject to this Section, for a
17400	17400	24 member or participant under Article 12 who first becomes a
17401	17401	25 member or participant under Article 12 on or after January 1,
17402	17402	26 2022 or who makes the election under item (i) of subsection
17403	17403
17404	17404
17405	17405
17406	17406
17407	17407
17408	17408	SB0002 - 485 - LRB104 07746 RPS 17791 b
17409	17409
17410	17410
17411	17411	SB0002- 486 -LRB104 07746 RPS 17791 b SB0002 - 486 - LRB104 07746 RPS 17791 b
17412	17412	SB0002 - 486 - LRB104 07746 RPS 17791 b
17413	17413	1 (d-15) of this Section).
17414	17414	2 (d-5) The retirement annuity payable under Article 8 or
17415	17415	3 Article 11 to an eligible person subject to subsection (c-5)
17416	17416	4 of this Section who is retiring at age 60 with at least 10
17417	17417	5 years of service credit shall be reduced by one-half of 1% for
17418	17418	6 each full month that the member's age is under age 65.
17419	17419	7 (d-10) Each person who first became a member or
17420	17420	8 participant under Article 8 or Article 11 of this Code on or
17421	17421	9 after January 1, 2011 and prior to July 6, 2017 (the effective
17422	17422	10 date of Public Act 100-23) shall make an irrevocable election
17423	17423	11 either:
17424	17424	12 (i) to be eligible for the reduced retirement age
17425	17425	13 provided in subsections (c-5) and (d-5) of this Section,
17426	17426	14 the eligibility for which is conditioned upon the member
17427	17427	15 or participant agreeing to the increases in employee
17428	17428	16 contributions for age and service annuities provided in
17429	17429	17 subsection (a-5) of Section 8-174 of this Code (for
17430	17430	18 service under Article 8) or subsection (a-5) of Section
17431	17431	19 11-170 of this Code (for service under Article 11); or
17432	17432	20 (ii) to not agree to item (i) of this subsection
17433	17433	21 (d-10), in which case the member or participant shall
17434	17434	22 continue to be subject to the retirement age provisions in
17435	17435	23 subsections (c) and (d) of this Section and the employee
17436	17436	24 contributions for age and service annuity as provided in
17437	17437	25 subsection (a) of Section 8-174 of this Code (for service
17438	17438	26 under Article 8) or subsection (a) of Section 11-170 of
17439	17439
17440	17440
17441	17441
17442	17442
17443	17443
17444	17444	SB0002 - 486 - LRB104 07746 RPS 17791 b
17445	17445
17446	17446
17447	17447	SB0002- 487 -LRB104 07746 RPS 17791 b SB0002 - 487 - LRB104 07746 RPS 17791 b
17448	17448	SB0002 - 487 - LRB104 07746 RPS 17791 b
17449	17449	1 this Code (for service under Article 11).
17450	17450	2 The election provided for in this subsection shall be made
17451	17451	3 between October 1, 2017 and November 15, 2017. A person
17452	17452	4 subject to this subsection who makes the required election
17453	17453	5 shall remain bound by that election. A person subject to this
17454	17454	6 subsection who fails for any reason to make the required
17455	17455	7 election within the time specified in this subsection shall be
17456	17456	8 deemed to have made the election under item (ii).
17457	17457	9 (d-15) Each person who first becomes a member or
17458	17458	10 participant under Article 12 on or after January 1, 2011 and
17459	17459	11 prior to January 1, 2022 shall make an irrevocable election
17460	17460	12 either:
17461	17461	13 (i) to be eligible for the reduced retirement age
17462	17462	14 specified in subsections (c) and (d) of this Section, the
17463	17463	15 eligibility for which is conditioned upon the member or
17464	17464	16 participant agreeing to the increase in employee
17465	17465	17 contributions for service annuities specified in
17466	17466	18 subsection (b) of Section 12-150; or
17467	17467	19 (ii) to not agree to item (i) of this subsection
17468	17468	20 (d-15), in which case the member or participant shall not
17469	17469	21 be eligible for the reduced retirement age specified in
17470	17470	22 subsections (c) and (d) of this Section and shall not be
17471	17471	23 subject to the increase in employee contributions for
17472	17472	24 service annuities specified in subsection (b) of Section
17473	17473	25 12-150.
17474	17474	26 The election provided for in this subsection shall be made
17475	17475
17476	17476
17477	17477
17478	17478
17479	17479
17480	17480	SB0002 - 487 - LRB104 07746 RPS 17791 b
17481	17481
17482	17482
17483	17483	SB0002- 488 -LRB104 07746 RPS 17791 b SB0002 - 488 - LRB104 07746 RPS 17791 b
17484	17484	SB0002 - 488 - LRB104 07746 RPS 17791 b
17485	17485	1 between January 1, 2022 and April 1, 2022. A person subject to
17486	17486	2 this subsection who makes the required election shall remain
17487	17487	3 bound by that election. A person subject to this subsection
17488	17488	4 who fails for any reason to make the required election within
17489	17489	5 the time specified in this subsection shall be deemed to have
17490	17490	6 made the election under item (ii).
17491	17491	7 (e) Any retirement annuity or supplemental annuity shall
17492	17492	8 be subject to annual increases on the January 1 occurring
17493	17493	9 either on or after the attainment of age 67 (age 65, with
17494	17494	10 respect to service under Article 12 that is subject to this
17495	17495	11 Section, for a member or participant under Article 12 who
17496	17496	12 first becomes a member or participant under Article 12 on or
17497	17497	13 after January 1, 2022 or who makes the election under item (i)
17498	17498	14 of subsection (d-15); and beginning on July 6, 2017 (the
17499	17499	15 effective date of Public Act 100-23), age 65 with respect to
17500	17500	16 service under Article 8 or Article 11 for eligible persons
17501	17501	17 who: (i) are subject to subsection (c-5) of this Section; or
17502	17502	18 (ii) made the election under item (i) of subsection (d-10) of
17503	17503	19 this Section) or the first anniversary of the annuity start
17504	17504	20 date, whichever is later. Each annual increase shall be
17505	17505	21 calculated at 3% or one-half the annual unadjusted percentage
17506	17506	22 increase (but not less than zero) in the consumer price
17507	17507	23 index-u for the 12 months ending with the September preceding
17508	17508	24 each November 1, whichever is less, of the originally granted
17509	17509	25 retirement annuity. If the annual unadjusted percentage change
17510	17510	26 in the consumer price index-u for the 12 months ending with the
17511	17511
17512	17512
17513	17513
17514	17514
17515	17515
17516	17516	SB0002 - 488 - LRB104 07746 RPS 17791 b
17517	17517
17518	17518
17519	17519	SB0002- 489 -LRB104 07746 RPS 17791 b SB0002 - 489 - LRB104 07746 RPS 17791 b
17520	17520	SB0002 - 489 - LRB104 07746 RPS 17791 b
17521	17521	1 September preceding each November 1 is zero or there is a
17522	17522	2 decrease, then the annuity shall not be increased.
17523	17523	3 For the purposes of Section 1-103.1 of this Code, the
17524	17524	4 changes made to this Section by Public Act 102-263 are
17525	17525	5 applicable without regard to whether the employee was in
17526	17526	6 active service on or after August 6, 2021 (the effective date
17527	17527	7 of Public Act 102-263).
17528	17528	8 For the purposes of Section 1-103.1 of this Code, the
17529	17529	9 changes made to this Section by Public Act 100-23 are
17530	17530	10 applicable without regard to whether the employee was in
17531	17531	11 active service on or after July 6, 2017 (the effective date of
17532	17532	12 Public Act 100-23).
17533	17533	13 (f) The initial survivor's or widow's annuity of an
17534	17534	14 otherwise eligible survivor or widow of a retired member or
17535	17535	15 participant who first became a member or participant on or
17536	17536	16 after January 1, 2011 shall be in the amount of 66 2/3% of the
17537	17537	17 retired member's or participant's retirement annuity at the
17538	17538	18 date of death. In the case of the death of a member or
17539	17539	19 participant who has not retired and who first became a member
17540	17540	20 or participant on or after January 1, 2011, eligibility for a
17541	17541	21 survivor's or widow's annuity shall be determined by the
17542	17542	22 applicable Article of this Code. The initial benefit shall be
17543	17543	23 66 2/3% of the earned annuity without a reduction due to age. A
17544	17544	24 child's annuity of an otherwise eligible child shall be in the
17545	17545	25 amount prescribed under each Article if applicable. Any
17546	17546	26 survivor's or widow's annuity shall be increased (1) on each
17547	17547
17548	17548
17549	17549
17550	17550
17551	17551
17552	17552	SB0002 - 489 - LRB104 07746 RPS 17791 b
17553	17553
17554	17554
17555	17555	SB0002- 490 -LRB104 07746 RPS 17791 b SB0002 - 490 - LRB104 07746 RPS 17791 b
17556	17556	SB0002 - 490 - LRB104 07746 RPS 17791 b
17557	17557	1 January 1 occurring on or after the commencement of the
17558	17558	2 annuity if the deceased member died while receiving a
17559	17559	3 retirement annuity or (2) in other cases, on each January 1
17560	17560	4 occurring after the first anniversary of the commencement of
17561	17561	5 the annuity. Each annual increase shall be calculated at 3% or
17562	17562	6 one-half the annual unadjusted percentage increase (but not
17563	17563	7 less than zero) in the consumer price index-u for the 12 months
17564	17564	8 ending with the September preceding each November 1, whichever
17565	17565	9 is less, of the originally granted survivor's annuity. If the
17566	17566	10 annual unadjusted percentage change in the consumer price
17567	17567	11 index-u for the 12 months ending with the September preceding
17568	17568	12 each November 1 is zero or there is a decrease, then the
17569	17569	13 annuity shall not be increased.
17570	17570	14 (g) The benefits in Section 14-110 apply only if the
17571	17571	15 person is a State policeman, a fire fighter in the fire
17572	17572	16 protection service of a department, a conservation police
17573	17573	17 officer, an investigator for the Secretary of State, an
17574	17574	18 investigator for the Office of the Attorney General, an arson
17575	17575	19 investigator, a Commerce Commission police officer,
17576	17576	20 investigator for the Department of Revenue or the Illinois
17577	17577	21 Gaming Board, a security employee of the Department of
17578	17578	22 Corrections or the Department of Juvenile Justice, or a
17579	17579	23 security employee of the Department of Innovation and
17580	17580	24 Technology, as those terms are defined in subsection (b) and
17581	17581	25 subsection (c) of Section 14-110. A person who meets the
17582	17582	26 requirements of this Section is entitled to an annuity
17583	17583
17584	17584
17585	17585
17586	17586
17587	17587
17588	17588	SB0002 - 490 - LRB104 07746 RPS 17791 b
17589	17589
17590	17590
17591	17591	SB0002- 491 -LRB104 07746 RPS 17791 b SB0002 - 491 - LRB104 07746 RPS 17791 b
17592	17592	SB0002 - 491 - LRB104 07746 RPS 17791 b
17593	17593	1 calculated under the provisions of Section 14-110, in lieu of
17594	17594	2 the regular or minimum retirement annuity, only if the person
17595	17595	3 has withdrawn from service with not less than 20 years of
17596	17596	4 eligible creditable service and has attained age 60,
17597	17597	5 regardless of whether the attainment of age 60 occurs while
17598	17598	6 the person is still in service.
17599	17599	7 (h) If a person who first becomes a member or a participant
17600	17600	8 of a retirement system or pension fund subject to this Section
17601	17601	9 on or after January 1, 2011 is receiving a retirement annuity
17602	17602	10 or retirement pension under that system or fund and becomes a
17603	17603	11 member or participant under any other system or fund created
17604	17604	12 by this Code and is employed on a full-time basis, except for
17605	17605	13 those members or participants exempted from the provisions of
17606	17606	14 this Section under subsection (a) of this Section, then the
17607	17607	15 person's retirement annuity or retirement pension under that
17608	17608	16 system or fund shall be suspended during that employment. Upon
17609	17609	17 termination of that employment, the person's retirement
17610	17610	18 annuity or retirement pension payments shall resume and be
17611	17611	19 recalculated if recalculation is provided for under the
17612	17612	20 applicable Article of this Code.
17613	17613	21 If a person who first becomes a member of a retirement
17614	17614	22 system or pension fund subject to this Section on or after
17615	17615	23 January 1, 2012 and is receiving a retirement annuity or
17616	17616	24 retirement pension under that system or fund and accepts on a
17617	17617	25 contractual basis a position to provide services to a
17618	17618	26 governmental entity from which he or she has retired, then
17619	17619
17620	17620
17621	17621
17622	17622
17623	17623
17624	17624	SB0002 - 491 - LRB104 07746 RPS 17791 b
17625	17625
17626	17626
17627	17627	SB0002- 492 -LRB104 07746 RPS 17791 b SB0002 - 492 - LRB104 07746 RPS 17791 b
17628	17628	SB0002 - 492 - LRB104 07746 RPS 17791 b
17629	17629	1 that person's annuity or retirement pension earned as an
17630	17630	2 active employee of the employer shall be suspended during that
17631	17631	3 contractual service. A person receiving an annuity or
17632	17632	4 retirement pension under this Code shall notify the pension
17633	17633	5 fund or retirement system from which he or she is receiving an
17634	17634	6 annuity or retirement pension, as well as his or her
17635	17635	7 contractual employer, of his or her retirement status before
17636	17636	8 accepting contractual employment. A person who fails to submit
17637	17637	9 such notification shall be guilty of a Class A misdemeanor and
17638	17638	10 required to pay a fine of $1,000. Upon termination of that
17639	17639	11 contractual employment, the person's retirement annuity or
17640	17640	12 retirement pension payments shall resume and, if appropriate,
17641	17641	13 be recalculated under the applicable provisions of this Code.
17642	17642	14 (i) (Blank).
17643	17643	15 (j) In the case of a conflict between the provisions of
17644	17644	16 this Section and any other provision of this Code, the
17645	17645	17 provisions of this Section shall control.
17646	17646	18 (Source: P.A. 102-16, eff. 6-17-21; 102-210, eff. 1-1-22;
17647	17647	19 102-263, eff. 8-6-21; 102-956, eff. 5-27-22; 103-529, eff.
17648	17648	20 8-11-23.)
17649	17649	21 Article 4.
17650	17650	22 Section 4-5. The Illinois Administrative Procedure Act is
17651	17651	23 amended by adding Section 5-45.65 as follows:
17652	17652
17653	17653
17654	17654
17655	17655
17656	17656
17657	17657	SB0002 - 492 - LRB104 07746 RPS 17791 b
17658	17658
17659	17659
17660	17660	SB0002- 493 -LRB104 07746 RPS 17791 b SB0002 - 493 - LRB104 07746 RPS 17791 b
17661	17661	SB0002 - 493 - LRB104 07746 RPS 17791 b
17662	17662	1 (5 ILCS 100/5-45.65 new)
17663	17663	2 Sec. 5-45.65. Emergency rulemaking; accelerated pension
17664	17664	3 benefit payments. To provide for the expeditious and timely
17665	17665	4 implementation of accelerated pension benefit payments under
17666	17666	5 Articles 2 and 18 of the Illinois Pension Code, emergency
17667	17667	6 rules implementing the accelerated pension benefit payments
17668	17668	7 under Article 2 may be adopted in accordance with Section 5-45
17669	17669	8 by the Board of Trustees established under Article 2 of the
17670	17670	9 Illinois Pension Code and emergency rules implementing the
17671	17671	10 accelerated pension benefit payments under Article 18 may be
17672	17672	11 adopted in accordance with Section 5-45 by the Board of
17673	17673	12 Trustees established under Article 18 of the Illinois Pension
17674	17674	13 Code. The adoption of emergency rules authorized by Section
17675	17675	14 5-45 and this Section is deemed to be necessary for the public
17676	17676	15 interest, safety, and welfare.
17677	17677	16 This Section is repealed one year after the effective date
17678	17678	17 of this amendatory Act of the 104th General Assembly.
17679	17679	18 Section 4-15. The Illinois Pension Code is amended by
17680	17680	19 adding Sections 2-154.5, 2-154.6, 17-156.10, 17-156.11,
17681	17681	20 18-161.5, and 18-161.6 as follows:
17682	17682	21 (40 ILCS 5/2-154.5 new)
17683	17683	22 Sec. 2-154.5. Accelerated pension benefit payment in lieu
17684	17684	23 of any pension benefit.
17685	17685	24 (a) As used in this Section:
17686	17686
17687	17687
17688	17688
17689	17689
17690	17690
17691	17691	SB0002 - 493 - LRB104 07746 RPS 17791 b
17692	17692
17693	17693
17694	17694	SB0002- 494 -LRB104 07746 RPS 17791 b SB0002 - 494 - LRB104 07746 RPS 17791 b
17695	17695	SB0002 - 494 - LRB104 07746 RPS 17791 b
17696	17696	1 "Eligible person" means a person who:
17697	17697	2 (1) has terminated service;
17698	17698	3 (2) has accrued sufficient service credit to be
17699	17699	4 eligible to receive a retirement annuity under this
17700	17700	5 Article;
17701	17701	6 (3) has not received any retirement annuity under this
17702	17702	7 Article; and
17703	17703	8 (4) has not made the election under Section 2-154.6.
17704	17704	9 "Pension benefit" means the benefits under this Article,
17705	17705	10 including any anticipated annual increases, that an eligible
17706	17706	11 person is entitled to upon attainment of the applicable
17707	17707	12 retirement age. "Pension benefit" also includes applicable
17708	17708	13 survivor's or disability benefits.
17709	17709	14 (b) As soon as practical after the effective date of this
17710	17710	15 amendatory Act of the 104th General Assembly, the System shall
17711	17711	16 calculate, using actuarial tables and other assumptions
17712	17712	17 adopted by the Board, the present value of pension benefits
17713	17713	18 for each eligible person who requests that information and
17714	17714	19 shall offer each eligible person the opportunity to
17715	17715	20 irrevocably elect to receive an amount determined by the
17716	17716	21 System to be equal to 60% of the present value of his or her
17717	17717	22 pension benefits in lieu of receiving any pension benefit. The
17718	17718	23 offer shall specify the dollar amount that the eligible person
17719	17719	24 will receive if he or she so elects and shall expire when a
17720	17720	25 subsequent offer is made to an eligible person. An eligible
17721	17721	26 person is limited to one calculation and offer per calendar
17722	17722
17723	17723
17724	17724
17725	17725
17726	17726
17727	17727	SB0002 - 494 - LRB104 07746 RPS 17791 b
17728	17728
17729	17729
17730	17730	SB0002- 495 -LRB104 07746 RPS 17791 b SB0002 - 495 - LRB104 07746 RPS 17791 b
17731	17731	SB0002 - 495 - LRB104 07746 RPS 17791 b
17732	17732	1 year. The System shall make a good faith effort to contact
17733	17733	2 every eligible person to notify him or her of the election.
17734	17734	3 Until January 1, 2031, an eligible person may irrevocably
17735	17735	4 elect to receive an accelerated pension benefit payment in the
17736	17736	5 amount that the System offers under this subsection in lieu of
17737	17737	6 receiving any pension benefit. A person who elects to receive
17738	17738	7 an accelerated pension benefit payment under this Section may
17739	17739	8 not elect to proceed under the Retirement Systems Reciprocal
17740	17740	9 Act with respect to service under this Article.
17741	17741	10 (c) A person's creditable service under this Article shall
17742	17742	11 be terminated upon the person's receipt of an accelerated
17743	17743	12 pension benefit payment under this Section, and no other
17744	17744	13 benefit shall be paid under this Article based on the
17745	17745	14 terminated creditable service, including any retirement,
17746	17746	15 survivor, or other benefit; except that to the extent that
17747	17747	16 participation, benefits, or premiums under the State Employees
17748	17748	17 Group Insurance Act of 1971 are based on the amount of service
17749	17749	18 credit, the terminated service credit shall be used for that
17750	17750	19 purpose.
17751	17751	20 (d) If a person who has received an accelerated pension
17752	17752	21 benefit payment under this Section returns to active service
17753	17753	22 under this Article, then:
17754	17754	23 (1) Any benefits under the System earned as a result
17755	17755	24 of that return to active service shall be based solely on
17756	17756	25 the person's creditable service arising from the return to
17757	17757	26 active service.
17758	17758
17759	17759
17760	17760
17761	17761
17762	17762
17763	17763	SB0002 - 495 - LRB104 07746 RPS 17791 b
17764	17764
17765	17765
17766	17766	SB0002- 496 -LRB104 07746 RPS 17791 b SB0002 - 496 - LRB104 07746 RPS 17791 b
17767	17767	SB0002 - 496 - LRB104 07746 RPS 17791 b
17768	17768	1 (2) The accelerated pension benefit payment may not be
17769	17769	2 repaid to the System, and the terminated creditable
17770	17770	3 service may not under any circumstances be reinstated.
17771	17771	4 (e) As a condition of receiving an accelerated pension
17772	17772	5 benefit payment, the accelerated pension benefit payment must
17773	17773	6 be transferred into a tax qualified retirement plan or
17774	17774	7 account. The accelerated pension benefit payment under this
17775	17775	8 Section may be subject to withholding or payment of applicable
17776	17776	9 taxes, but to the extent permitted by federal law, a person who
17777	17777	10 receives an accelerated pension benefit payment under this
17778	17778	11 Section must direct the System to pay all of that payment as a
17779	17779	12 rollover into another retirement plan or account qualified
17780	17780	13 under the Internal Revenue Code of 1986, as amended.
17781	17781	14 (f) Upon receipt of a member's irrevocable election to
17782	17782	15 receive an accelerated pension benefit payment under this
17783	17783	16 Section, the System shall submit a voucher to the Comptroller
17784	17784	17 for payment of the member's accelerated pension benefit
17785	17785	18 payment. The Comptroller shall transfer the amount of the
17786	17786	19 voucher from the General Revenue Fund to the System, and the
17787	17787	20 System shall transfer the amount into the member's eligible
17788	17788	21 retirement plan or qualified account.
17789	17789	22 (g) The Board shall adopt any rules, including emergency
17790	17790	23 rules, necessary to implement this Section.
17791	17791	24 (h) No provision of this Section shall be interpreted in a
17792	17792	25 way that would cause the applicable System to cease to be a
17793	17793	26 qualified plan under the Internal Revenue Code of 1986.
17794	17794
17795	17795
17796	17796
17797	17797
17798	17798
17799	17799	SB0002 - 496 - LRB104 07746 RPS 17791 b
17800	17800
17801	17801
17802	17802	SB0002- 497 -LRB104 07746 RPS 17791 b SB0002 - 497 - LRB104 07746 RPS 17791 b
17803	17803	SB0002 - 497 - LRB104 07746 RPS 17791 b
17804	17804	1 (40 ILCS 5/2-154.6 new)
17805	17805	2 Sec. 2-154.6. Accelerated pension benefit payment for a
17806	17806	3 reduction in annual retirement annuity and survivor's annuity
17807	17807	4 increases.
17808	17808	5 (a) As used in this Section:
17809	17809	6 "Accelerated pension benefit payment" means a lump sum
17810	17810	7 payment equal to 70% of the difference of the present value of
17811	17811	8 the automatic annual increases to a Tier 1 participant's
17812	17812	9 retirement annuity and survivor's annuity using the formula
17813	17813	10 applicable to the Tier 1 participant and the present value of
17814	17814	11 the automatic annual increases to the Tier 1 participant's
17815	17815	12 retirement annuity using the formula provided under subsection
17816	17816	13 (b-5) and survivor's annuity using the formula provided under
17817	17817	14 subsection (b-6).
17818	17818	15 "Eligible person" means a person who:
17819	17819	16 (1) is a Tier 1 participant;
17820	17820	17 (2) has submitted an application for a retirement
17821	17821	18 annuity under this Article;
17822	17822	19 (3) meets the age and service requirements for
17823	17823	20 receiving a retirement annuity under this Article;
17824	17824	21 (4) has not received any retirement annuity under this
17825	17825	22 Article; and
17826	17826	23 (5) has not made the election under Section 2-154.5.
17827	17827	24 (b) As soon as practical after the effective date of this
17828	17828	25 amendatory Act of the 104th General Assembly and until January
17829	17829
17830	17830
17831	17831
17832	17832
17833	17833
17834	17834	SB0002 - 497 - LRB104 07746 RPS 17791 b
17835	17835
17836	17836
17837	17837	SB0002- 498 -LRB104 07746 RPS 17791 b SB0002 - 498 - LRB104 07746 RPS 17791 b
17838	17838	SB0002 - 498 - LRB104 07746 RPS 17791 b
17839	17839	1 1, 2031, the System shall implement an accelerated pension
17840	17840	2 benefit payment option for eligible persons. Upon the request
17841	17841	3 of an eligible person, the System shall calculate, using
17842	17842	4 actuarial tables and other assumptions adopted by the Board,
17843	17843	5 an accelerated pension benefit payment amount and shall offer
17844	17844	6 that eligible person the opportunity to irrevocably elect to
17845	17845	7 have his or her automatic annual increases in retirement
17846	17846	8 annuity calculated in accordance with the formula provided
17847	17847	9 under subsection (b-5) and any increases in survivor's annuity
17848	17848	10 payable to his or her survivor's annuity beneficiary
17849	17849	11 calculated in accordance with the formula provided under
17850	17850	12 subsection (b-6) in exchange for the accelerated pension
17851	17851	13 benefit payment. The election under this subsection must be
17852	17852	14 made before the eligible person receives the first payment of
17853	17853	15 a retirement annuity otherwise payable under this Article.
17854	17854	16 (b-5) Notwithstanding any other provision of law, the
17855	17855	17 retirement annuity of a person who made the election under
17856	17856	18 subsection (b) shall be subject to annual increases on the
17857	17857	19 January 1 occurring either on or after the attainment of age 67
17858	17858	20 or the first anniversary of the annuity start date, whichever
17859	17859	21 is later. Each annual increase shall be calculated at 1.5% of
17860	17860	22 the originally granted retirement annuity.
17861	17861	23 (b-6) Notwithstanding any other provision of law, a
17862	17862	24 survivor's annuity payable to a survivor's annuity beneficiary
17863	17863	25 of a person who made the election under subsection (b) shall be
17864	17864	26 subject to annual increases on the January 1 occurring on or
17865	17865
17866	17866
17867	17867
17868	17868
17869	17869
17870	17870	SB0002 - 498 - LRB104 07746 RPS 17791 b
17871	17871
17872	17872
17873	17873	SB0002- 499 -LRB104 07746 RPS 17791 b SB0002 - 499 - LRB104 07746 RPS 17791 b
17874	17874	SB0002 - 499 - LRB104 07746 RPS 17791 b
17875	17875	1 after the first anniversary of the commencement of the
17876	17876	2 annuity. Each annual increase shall be calculated at 1.5% of
17877	17877	3 the originally granted survivor's annuity.
17878	17878	4 (c) If a person who has received an accelerated pension
17879	17879	5 benefit payment returns to active service under this Article,
17880	17880	6 then:
17881	17881	7 (1) the calculation of any future automatic annual
17882	17882	8 increase in retirement annuity shall be calculated in
17883	17883	9 accordance with the formula provided under subsection
17884	17884	10 (b-5); and
17885	17885	11 (2) the accelerated pension benefit payment may not be
17886	17886	12 repaid to the System.
17887	17887	13 (d) As a condition of receiving an accelerated pension
17888	17888	14 benefit payment, the accelerated pension benefit payment must
17889	17889	15 be transferred into a tax qualified retirement plan or
17890	17890	16 account. The accelerated pension benefit payment under this
17891	17891	17 Section may be subject to withholding or payment of applicable
17892	17892	18 taxes, but to the extent permitted by federal law, a person who
17893	17893	19 receives an accelerated pension benefit payment under this
17894	17894	20 Section must direct the System to pay all of that payment as a
17895	17895	21 rollover into another retirement plan or account qualified
17896	17896	22 under the Internal Revenue Code of 1986, as amended.
17897	17897	23 (d-5) Upon receipt of a participant's irrevocable election
17898	17898	24 to receive an accelerated pension benefit payment under this
17899	17899	25 Section, the System shall submit a voucher to the Comptroller
17900	17900	26 for payment of the participant's accelerated pension benefit
17901	17901
17902	17902
17903	17903
17904	17904
17905	17905
17906	17906	SB0002 - 499 - LRB104 07746 RPS 17791 b
17907	17907
17908	17908
17909	17909	SB0002- 500 -LRB104 07746 RPS 17791 b SB0002 - 500 - LRB104 07746 RPS 17791 b
17910	17910	SB0002 - 500 - LRB104 07746 RPS 17791 b
17911	17911	1 payment. The Comptroller shall transfer the amount of the
17912	17912	2 voucher from the General Revenue Fund to the System, and the
17913	17913	3 System shall transfer the amount into the member's eligible
17914	17914	4 retirement plan or qualified account.
17915	17915	5 (e) The Board shall adopt any rules, including emergency
17916	17916	6 rules, necessary to implement this Section.
17917	17917	7 (f) No provision of this Section shall be interpreted in a
17918	17918	8 way that would cause the applicable System to cease to be a
17919	17919	9 qualified plan under the Internal Revenue Code of 1986.
17920	17920	10 (40 ILCS 5/17-156.10 new)
17921	17921	11 Sec. 17-156.10. Accelerated pension benefit payment in
17922	17922	12 lieu of any pension benefit.
17923	17923	13 (a) As used in this Section:
17924	17924	14 "Eligible person" means a person who:
17925	17925	15 (1) has terminated service;
17926	17926	16 (2) has accrued sufficient service credit to be
17927	17927	17 eligible to receive a service retirement pension under
17928	17928	18 this Article;
17929	17929	19 (3) has not received any service retirement pension
17930	17930	20 under this Article; and
17931	17931	21 (4) has not made the election under Section 17-156.11.
17932	17932	22 "Pension benefit" means the benefits under this Article,
17933	17933	23 including any anticipated annual increases, that an eligible
17934	17934	24 person is entitled to upon attainment of the applicable
17935	17935	25 retirement age. "Pension benefit" also includes applicable
17936	17936
17937	17937
17938	17938
17939	17939
17940	17940
17941	17941	SB0002 - 500 - LRB104 07746 RPS 17791 b
17942	17942
17943	17943
17944	17944	SB0002- 501 -LRB104 07746 RPS 17791 b SB0002 - 501 - LRB104 07746 RPS 17791 b
17945	17945	SB0002 - 501 - LRB104 07746 RPS 17791 b
17946	17946	1 survivor's pensions, duty disability pensions, and disability
17947	17947	2 retirement pensions.
17948	17948	3 (b) As soon as practical after the effective date of this
17949	17949	4 amendatory Act of the 104th General Assembly, the Fund shall
17950	17950	5 calculate, using actuarial tables and other assumptions
17951	17951	6 adopted by the Board, the present value of pension benefits
17952	17952	7 for each eligible person who requests that information and
17953	17953	8 shall offer each eligible person the opportunity to
17954	17954	9 irrevocably elect to receive an amount determined by the Fund
17955	17955	10 to be equal to 60% of the present value of his or her pension
17956	17956	11 benefits in lieu of receiving any pension benefit. The offer
17957	17957	12 shall specify the dollar amount that the eligible person will
17958	17958	13 receive if he or she so elects and shall expire when a
17959	17959	14 subsequent offer is made to an eligible person. An eligible
17960	17960	15 person is limited to one calculation and offer per calendar
17961	17961	16 year. The Fund shall make a good faith effort to contact every
17962	17962	17 eligible person to notify him or her of the election. Until
17963	17963	18 January 1, 2031, an eligible person may irrevocably elect to
17964	17964	19 receive an accelerated pension benefit payment in the amount
17965	17965	20 that the Fund offers under this subsection in lieu of
17966	17966	21 receiving any pension benefit. A person who elects to receive
17967	17967	22 an accelerated pension benefit payment under this Section may
17968	17968	23 not elect to proceed under the Retirement Systems Reciprocal
17969	17969	24 Act with respect to service under this Article.
17970	17970	25 (c) A person's creditable service under this Article shall
17971	17971	26 be terminated upon the person's receipt of an accelerated
17972	17972
17973	17973
17974	17974
17975	17975
17976	17976
17977	17977	SB0002 - 501 - LRB104 07746 RPS 17791 b
17978	17978
17979	17979
17980	17980	SB0002- 502 -LRB104 07746 RPS 17791 b SB0002 - 502 - LRB104 07746 RPS 17791 b
17981	17981	SB0002 - 502 - LRB104 07746 RPS 17791 b
17982	17982	1 pension benefit payment under this Section, and no other
17983	17983	2 benefit shall be paid under this Article based on the
17984	17984	3 terminated creditable service, including any retirement,
17985	17985	4 survivor, or other pension benefit; except that to the extent
17986	17986	5 that participation, benefits, or premiums under the State
17987	17987	6 Employees Group Insurance Act of 1971 are based on the amount
17988	17988	7 of service credit, the terminated service credit shall be used
17989	17989	8 for that purpose.
17990	17990	9 (d) If a person who has received an accelerated pension
17991	17991	10 benefit payment under this Section returns to active service
17992	17992	11 under this Article, then:
17993	17993	12 (1) Any benefits under the Fund earned as a result of
17994	17994	13 that return to active service shall be based solely on the
17995	17995	14 person's creditable service arising from the return to
17996	17996	15 active service.
17997	17997	16 (2) The accelerated pension benefit payment may not be
17998	17998	17 repaid to the Fund, and the terminated creditable service
17999	17999	18 may not under any circumstances be reinstated.
18000	18000	19 (e) As a condition of receiving an accelerated pension
18001	18001	20 benefit payment, the accelerated pension benefit payment must
18002	18002	21 be transferred into a tax qualified retirement plan or
18003	18003	22 account. The accelerated pension benefit payment under this
18004	18004	23 Section may be subject to withholding or payment of applicable
18005	18005	24 taxes, but to the extent permitted by federal law, a person who
18006	18006	25 receives an accelerated pension benefit payment under this
18007	18007	26 Section must direct the Fund to pay all of that payment as a
18008	18008
18009	18009
18010	18010
18011	18011
18012	18012
18013	18013	SB0002 - 502 - LRB104 07746 RPS 17791 b
18014	18014
18015	18015
18016	18016	SB0002- 503 -LRB104 07746 RPS 17791 b SB0002 - 503 - LRB104 07746 RPS 17791 b
18017	18017	SB0002 - 503 - LRB104 07746 RPS 17791 b
18018	18018	1 rollover into another retirement plan or account qualified
18019	18019	2 under the Internal Revenue Code of 1986, as amended.
18020	18020	3 (f) Upon receipt of a member's irrevocable election to
18021	18021	4 receive an accelerated pension benefit payment under this
18022	18022	5 Section, the Fund shall submit a voucher to the Comptroller
18023	18023	6 for payment of the member's accelerated pension benefit
18024	18024	7 payment. The Comptroller shall transfer the amount of the
18025	18025	8 voucher from the General Revenue Fund to the Fund, and the Fund
18026	18026	9 shall transfer the amount into the member's eligible
18027	18027	10 retirement plan or qualified account.
18028	18028	11 (g) The Board shall adopt any rules necessary to implement
18029	18029	12 this Section.
18030	18030	13 (h) No provision of this Section shall be interpreted in a
18031	18031	14 way that would cause the Fund to cease to be a qualified plan
18032	18032	15 under the Internal Revenue Code of 1986.
18033	18033	16 (40 ILCS 5/17-156.11 new)
18034	18034	17 Sec. 17-156.11. Accelerated pension benefit payment for a
18035	18035	18 reduction in annual service retirement pension and survivor's
18036	18036	19 pension increases.
18037	18037	20 (a) As used in this Section:
18038	18038	21 "Accelerated pension benefit payment" means a lump sum
18039	18039	22 payment equal to 70% of the difference of the present value of
18040	18040	23 the automatic annual increases to a Tier 1 member's service
18041	18041	24 retirement pension and survivor's pension using the formula
18042	18042	25 applicable to the Tier 1 member and the present value of the
18043	18043
18044	18044
18045	18045
18046	18046
18047	18047
18048	18048	SB0002 - 503 - LRB104 07746 RPS 17791 b
18049	18049
18050	18050
18051	18051	SB0002- 504 -LRB104 07746 RPS 17791 b SB0002 - 504 - LRB104 07746 RPS 17791 b
18052	18052	SB0002 - 504 - LRB104 07746 RPS 17791 b
18053	18053	1 automatic annual increases to the Tier 1 member's service
18054	18054	2 retirement pension using the formula provided under subsection
18055	18055	3 (b-5) and survivor's pension using the formula provided under
18056	18056	4 subsection (b-6).
18057	18057	5 "Eligible person" means a person who:
18058	18058	6 (1) is a Tier 1 member;
18059	18059	7 (2) has submitted an application for a service
18060	18060	8 retirement pension under this Article;
18061	18061	9 (3) meets the age and service requirements for
18062	18062	10 receiving a service retirement pension under this Article;
18063	18063	11 (4) has not received any service retirement pension
18064	18064	12 under this Article; and
18065	18065	13 (5) has not made the election under Section 17-156.10.
18066	18066	14 "Tier 1 member" means a person who first became a member
18067	18067	15 before January 1, 2011.
18068	18068	16 (b) As soon as practical after the effective date of this
18069	18069	17 amendatory Act of the 104th General Assembly and until January
18070	18070	18 1, 2031, the Fund shall implement an accelerated pension
18071	18071	19 benefit payment option for eligible persons. Upon the request
18072	18072	20 of an eligible person, the Fund shall calculate, using
18073	18073	21 actuarial tables and other assumptions adopted by the Board,
18074	18074	22 an accelerated pension benefit payment amount and shall offer
18075	18075	23 that eligible person the opportunity to irrevocably elect to
18076	18076	24 have his or her automatic annual increases in service
18077	18077	25 retirement pension calculated in accordance with the formula
18078	18078	26 provided under subsection (b-5) and any increases in
18079	18079
18080	18080
18081	18081
18082	18082
18083	18083
18084	18084	SB0002 - 504 - LRB104 07746 RPS 17791 b
18085	18085
18086	18086
18087	18087	SB0002- 505 -LRB104 07746 RPS 17791 b SB0002 - 505 - LRB104 07746 RPS 17791 b
18088	18088	SB0002 - 505 - LRB104 07746 RPS 17791 b
18089	18089	1 survivor's pension payable to his or her survivor's pension
18090	18090	2 beneficiary calculated in accordance with the formula provided
18091	18091	3 under subsection (b-6) in exchange for the accelerated pension
18092	18092	4 benefit payment. The election under this subsection must be
18093	18093	5 made before the eligible person receives the first payment of
18094	18094	6 a service retirement pension otherwise payable under this
18095	18095	7 Article.
18096	18096	8 (b-5) Notwithstanding any other provision of law, the
18097	18097	9 service retirement pension of a person who made the election
18098	18098	10 under subsection (b) shall be subject to annual increases on
18099	18099	11 the January 1 occurring either on or after the attainment of
18100	18100	12 age 67 or the first anniversary of the pension start date,
18101	18101	13 whichever is later. Each annual increase shall be calculated
18102	18102	14 at 1.5% of the originally granted service retirement pension.
18103	18103	15 (b-6) Notwithstanding any other provision of law, a
18104	18104	16 survivor's pension payable to a survivor's pension beneficiary
18105	18105	17 of a person who made the election under subsection (b) shall be
18106	18106	18 subject to annual increases on the January 1 occurring on or
18107	18107	19 after the first anniversary of the commencement of the
18108	18108	20 pension. Each annual increase shall be calculated at 1.5% of
18109	18109	21 the originally granted survivor's pension.
18110	18110	22 (c) If a person who has received an accelerated pension
18111	18111	23 benefit payment returns to active service under this Article,
18112	18112	24 then:
18113	18113	25 (1) the calculation of any future automatic annual
18114	18114	26 increase in service retirement pension shall be calculated
18115	18115
18116	18116
18117	18117
18118	18118
18119	18119
18120	18120	SB0002 - 505 - LRB104 07746 RPS 17791 b
18121	18121
18122	18122
18123	18123	SB0002- 506 -LRB104 07746 RPS 17791 b SB0002 - 506 - LRB104 07746 RPS 17791 b
18124	18124	SB0002 - 506 - LRB104 07746 RPS 17791 b
18125	18125	1 in accordance with the formula provided under subsection
18126	18126	2 (b-5); and
18127	18127	3 (2) the accelerated pension benefit payment may not be
18128	18128	4 repaid to the Fund.
18129	18129	5 (d) As a condition of receiving an accelerated pension
18130	18130	6 benefit payment, the accelerated pension benefit payment must
18131	18131	7 be transferred into a tax qualified retirement plan or
18132	18132	8 account. The accelerated pension benefit payment under this
18133	18133	9 Section may be subject to withholding or payment of applicable
18134	18134	10 taxes, but to the extent permitted by federal law, a person who
18135	18135	11 receives an accelerated pension benefit payment under this
18136	18136	12 Section must direct the Fund to pay all of that payment as a
18137	18137	13 rollover into another retirement plan or account qualified
18138	18138	14 under the Internal Revenue Code of 1986, as amended.
18139	18139	15 (d-5) Upon receipt of a member's irrevocable election to
18140	18140	16 receive an accelerated pension benefit payment under this
18141	18141	17 Section, the Fund shall submit a voucher to the Comptroller
18142	18142	18 for payment of the member's accelerated pension benefit
18143	18143	19 payment. The Comptroller shall transfer the amount of the
18144	18144	20 voucher from the General Revenue Fund to the Fund, and the Fund
18145	18145	21 shall transfer the amount into the member's eligible
18146	18146	22 retirement plan or qualified account.
18147	18147	23 (e) The Board shall adopt any rules, including emergency
18148	18148	24 rules, necessary to implement this Section.
18149	18149	25 (f) No provision of this Section shall be interpreted in a
18150	18150	26 way that would cause the Fund to cease to be a qualified plan
18151	18151
18152	18152
18153	18153
18154	18154
18155	18155
18156	18156	SB0002 - 506 - LRB104 07746 RPS 17791 b
18157	18157
18158	18158
18159	18159	SB0002- 507 -LRB104 07746 RPS 17791 b SB0002 - 507 - LRB104 07746 RPS 17791 b
18160	18160	SB0002 - 507 - LRB104 07746 RPS 17791 b
18161	18161	1 under the Internal Revenue Code of 1986.
18162	18162	2 (40 ILCS 5/18-161.5 new)
18163	18163	3 Sec. 18-161.5. Accelerated pension benefit payment in lieu
18164	18164	4 of any pension benefit.
18165	18165	5 (a) As used in this Section:
18166	18166	6 "Eligible person" means a person who:
18167	18167	7 (1) has terminated service;
18168	18168	8 (2) has accrued sufficient service credit to be
18169	18169	9 eligible to receive a retirement annuity under this
18170	18170	10 Article;
18171	18171	11 (3) has not received any retirement annuity under this
18172	18172	12 Article; and
18173	18173	13 (4) has not made the election under Section 18-161.6.
18174	18174	14 "Pension benefit" means the benefits under this Article,
18175	18175	15 including any anticipated annual increases, that an eligible
18176	18176	16 person is entitled to upon attainment of the applicable
18177	18177	17 retirement age. "Pension benefit" also includes applicable
18178	18178	18 survivor's or disability benefits.
18179	18179	19 (b) As soon as practical after the effective date of this
18180	18180	20 amendatory Act of the 104th General Assembly, the System shall
18181	18181	21 calculate, using actuarial tables and other assumptions
18182	18182	22 adopted by the Board, the present value of pension benefits
18183	18183	23 for each eligible person who requests that information and
18184	18184	24 shall offer each eligible person the opportunity to
18185	18185	25 irrevocably elect to receive an amount determined by the
18186	18186
18187	18187
18188	18188
18189	18189
18190	18190
18191	18191	SB0002 - 507 - LRB104 07746 RPS 17791 b
18192	18192
18193	18193
18194	18194	SB0002- 508 -LRB104 07746 RPS 17791 b SB0002 - 508 - LRB104 07746 RPS 17791 b
18195	18195	SB0002 - 508 - LRB104 07746 RPS 17791 b
18196	18196	1 System to be equal to 60% of the present value of his or her
18197	18197	2 pension benefits in lieu of receiving any pension benefit. The
18198	18198	3 offer shall specify the dollar amount that the eligible person
18199	18199	4 will receive if he or she so elects and shall expire when a
18200	18200	5 subsequent offer is made to an eligible person. An eligible
18201	18201	6 person is limited to one calculation and offer per calendar
18202	18202	7 year. The System shall make a good faith effort to contact
18203	18203	8 every eligible person to notify him or her of the election.
18204	18204	9 Until January 1, 2031, an eligible person may irrevocably
18205	18205	10 elect to receive an accelerated pension benefit payment in the
18206	18206	11 amount that the System offers under this subsection in lieu of
18207	18207	12 receiving any pension benefit. A person who elects to receive
18208	18208	13 an accelerated pension benefit payment under this Section may
18209	18209	14 not elect to proceed under the Retirement Systems Reciprocal
18210	18210	15 Act with respect to service under this Article.
18211	18211	16 (c) A person's creditable service under this Article shall
18212	18212	17 be terminated upon the person's receipt of an accelerated
18213	18213	18 pension benefit payment under this Section, and no other
18214	18214	19 benefit shall be paid under this Article based on the
18215	18215	20 terminated creditable service, including any retirement,
18216	18216	21 survivor, or other benefit; except that to the extent that
18217	18217	22 participation, benefits, or premiums under the State Employees
18218	18218	23 Group Insurance Act of 1971 are based on the amount of service
18219	18219	24 credit, the terminated service credit shall be used for that
18220	18220	25 purpose.
18221	18221	26 (d) If a person who has received an accelerated pension
18222	18222
18223	18223
18224	18224
18225	18225
18226	18226
18227	18227	SB0002 - 508 - LRB104 07746 RPS 17791 b
18228	18228
18229	18229
18230	18230	SB0002- 509 -LRB104 07746 RPS 17791 b SB0002 - 509 - LRB104 07746 RPS 17791 b
18231	18231	SB0002 - 509 - LRB104 07746 RPS 17791 b
18232	18232	1 benefit payment under this Section returns to active service
18233	18233	2 under this Article, then:
18234	18234	3 (1) Any benefits under the System earned as a result
18235	18235	4 of that return to active service shall be based solely on
18236	18236	5 the person's creditable service arising from the return to
18237	18237	6 active service.
18238	18238	7 (2) The accelerated pension benefit payment may not be
18239	18239	8 repaid to the System, and the terminated creditable
18240	18240	9 service may not under any circumstances be reinstated.
18241	18241	10 (e) As a condition of receiving an accelerated pension
18242	18242	11 benefit payment, the accelerated pension benefit payment must
18243	18243	12 be transferred into a tax qualified retirement plan or
18244	18244	13 account. The accelerated pension benefit payment under this
18245	18245	14 Section may be subject to withholding or payment of applicable
18246	18246	15 taxes, but to the extent permitted by federal law, a person who
18247	18247	16 receives an accelerated pension benefit payment under this
18248	18248	17 Section must direct the System to pay all of that payment as a
18249	18249	18 rollover into another retirement plan or account qualified
18250	18250	19 under the Internal Revenue Code of 1986, as amended.
18251	18251	20 (f) Upon receipt of a member's irrevocable election to
18252	18252	21 receive an accelerated pension benefit payment under this
18253	18253	22 Section, the System shall submit a voucher to the Comptroller
18254	18254	23 for payment of the member's accelerated pension benefit
18255	18255	24 payment. The Comptroller shall transfer the amount of the
18256	18256	25 voucher from the General Revenue Fund to the System, and the
18257	18257	26 System shall transfer the amount into the member's eligible
18258	18258
18259	18259
18260	18260
18261	18261
18262	18262
18263	18263	SB0002 - 509 - LRB104 07746 RPS 17791 b
18264	18264
18265	18265
18266	18266	SB0002- 510 -LRB104 07746 RPS 17791 b SB0002 - 510 - LRB104 07746 RPS 17791 b
18267	18267	SB0002 - 510 - LRB104 07746 RPS 17791 b
18268	18268	1 retirement plan or qualified account.
18269	18269	2 (g) The Board shall adopt any rules, including emergency
18270	18270	3 rules, necessary to implement this Section.
18271	18271	4 (h) No provision of this Section shall be interpreted in a
18272	18272	5 way that would cause the applicable System to cease to be a
18273	18273	6 qualified plan under the Internal Revenue Code of 1986.
18274	18274	7 (40 ILCS 5/18-161.6 new)
18275	18275	8 Sec. 18-161.6. Accelerated pension benefit payment for a
18276	18276	9 reduction in annual retirement annuity and survivor's annuity
18277	18277	10 increases.
18278	18278	11 (a) As used in this Section:
18279	18279	12 "Accelerated pension benefit payment" means a lump sum
18280	18280	13 payment equal to 70% of the difference of the present value of
18281	18281	14 the automatic annual increases to a Tier 1 participant's
18282	18282	15 retirement annuity and survivor's annuity using the formula
18283	18283	16 applicable to the Tier 1 participant and the present value of
18284	18284	17 the automatic annual increases to the Tier 1 participant's
18285	18285	18 retirement annuity using the formula provided under subsection
18286	18286	19 (b-5) and survivor's annuity using the formula provided under
18287	18287	20 subsection (b-6).
18288	18288	21 "Eligible person" means a person who:
18289	18289	22 (1) is a Tier 1 participant;
18290	18290	23 (2) has submitted an application for a retirement
18291	18291	24 annuity under this Article;
18292	18292	25 (3) meets the age and service requirements for
18293	18293
18294	18294
18295	18295
18296	18296
18297	18297
18298	18298	SB0002 - 510 - LRB104 07746 RPS 17791 b
18299	18299
18300	18300
18301	18301	SB0002- 511 -LRB104 07746 RPS 17791 b SB0002 - 511 - LRB104 07746 RPS 17791 b
18302	18302	SB0002 - 511 - LRB104 07746 RPS 17791 b
18303	18303	1 receiving a retirement annuity under this Article;
18304	18304	2 (4) has not received any retirement annuity under this
18305	18305	3 Article; and
18306	18306	4 (5) has not made the election under Section 18-161.5.
18307	18307	5 "Tier 1 participant" means a person who first became a
18308	18308	6 participant before January 1, 2011.
18309	18309	7 (b) As soon as practical after the effective date of this
18310	18310	8 amendatory Act of the 104th General Assembly and until January
18311	18311	9 1, 2031, the System shall implement an accelerated pension
18312	18312	10 benefit payment option for eligible persons. Upon the request
18313	18313	11 of an eligible person, the System shall calculate, using
18314	18314	12 actuarial tables and other assumptions adopted by the Board,
18315	18315	13 an accelerated pension benefit payment amount and shall offer
18316	18316	14 that eligible person the opportunity to irrevocably elect to
18317	18317	15 have his or her automatic annual increases in retirement
18318	18318	16 annuity calculated in accordance with the formula provided
18319	18319	17 under subsection (b-5) and any increases in survivor's annuity
18320	18320	18 payable to his or her survivor's annuity beneficiary
18321	18321	19 calculated in accordance with the formula provided under
18322	18322	20 subsection (b-6) in exchange for the accelerated pension
18323	18323	21 benefit payment. The election under this subsection must be
18324	18324	22 made before the eligible person receives the first payment of
18325	18325	23 a retirement annuity otherwise payable under this Article.
18326	18326	24 (b-5) Notwithstanding any other provision of law, the
18327	18327	25 retirement annuity of a person who made the election under
18328	18328	26 subsection (b) shall be subject to annual increases on the
18329	18329
18330	18330
18331	18331
18332	18332
18333	18333
18334	18334	SB0002 - 511 - LRB104 07746 RPS 17791 b
18335	18335
18336	18336
18337	18337	SB0002- 512 -LRB104 07746 RPS 17791 b SB0002 - 512 - LRB104 07746 RPS 17791 b
18338	18338	SB0002 - 512 - LRB104 07746 RPS 17791 b
18339	18339	1 January 1 occurring either on or after the attainment of age 67
18340	18340	2 or the first anniversary of the annuity start date, whichever
18341	18341	3 is later. Each annual increase shall be calculated at 1.5% of
18342	18342	4 the originally granted retirement annuity.
18343	18343	5 (b-6) Notwithstanding any other provision of law, a
18344	18344	6 survivor's annuity payable to a survivor's annuity beneficiary
18345	18345	7 of a person who made the election under subsection (b) shall be
18346	18346	8 subject to annual increases on the January 1 occurring on or
18347	18347	9 after the first anniversary of the commencement of the
18348	18348	10 annuity. Each annual increase shall be calculated at 1.5% of
18349	18349	11 the originally granted survivor's annuity.
18350	18350	12 (c) If a person who has received an accelerated pension
18351	18351	13 benefit payment returns to active service under this Article,
18352	18352	14 then:
18353	18353	15 (1) the calculation of any future automatic annual
18354	18354	16 increase in retirement annuity shall be calculated in
18355	18355	17 accordance with the formula provided under subsection
18356	18356	18 (b-5); and
18357	18357	19 (2) the accelerated pension benefit payment may not be
18358	18358	20 repaid to the System.
18359	18359	21 (d) As a condition of receiving an accelerated pension
18360	18360	22 benefit payment, the accelerated pension benefit payment must
18361	18361	23 be transferred into a tax qualified retirement plan or
18362	18362	24 account. The accelerated pension benefit payment under this
18363	18363	25 Section may be subject to withholding or payment of applicable
18364	18364	26 taxes, but to the extent permitted by federal law, a person who
18365	18365
18366	18366
18367	18367
18368	18368
18369	18369
18370	18370	SB0002 - 512 - LRB104 07746 RPS 17791 b
18371	18371
18372	18372
18373	18373	SB0002- 513 -LRB104 07746 RPS 17791 b SB0002 - 513 - LRB104 07746 RPS 17791 b
18374	18374	SB0002 - 513 - LRB104 07746 RPS 17791 b
18375	18375	1 receives an accelerated pension benefit payment under this
18376	18376	2 Section must direct the System to pay all of that payment as a
18377	18377	3 rollover into another retirement plan or account qualified
18378	18378	4 under the Internal Revenue Code of 1986, as amended.
18379	18379	5 (d-5) Upon receipt of a participant's irrevocable election
18380	18380	6 to receive an accelerated pension benefit payment under this
18381	18381	7 Section, the System shall submit a voucher to the Comptroller
18382	18382	8 for payment of the participant's accelerated pension benefit
18383	18383	9 payment. The Comptroller shall transfer the amount of the
18384	18384	10 voucher from the General Revenue Fund to the System, and the
18385	18385	11 System shall transfer the amount into the member's eligible
18386	18386	12 retirement plan or qualified account.
18387	18387	13 (e) The Board shall adopt any rules, including emergency
18388	18388	14 rules, necessary to implement this Section.
18389	18389	15 (f) No provision of this Section shall be interpreted in a
18390	18390	16 way that would cause the applicable System to cease to be a
18391	18391	17 qualified plan under the Internal Revenue Code of 1986.
18392	18392	18 Article 5.
18393	18393	19 Section 5-5. The Illinois Pension Code is amended by
18394	18394	20 adding Sections 3-144.3, 4-138.15, 5-240, and 6-232 as
18395	18395	21 follows:
18396	18396	22 (40 ILCS 5/3-144.3 new)
18397	18397	23 Sec. 3-144.3. Retirement Systems Reciprocal Act. The
18398	18398
18399	18399
18400	18400
18401	18401
18402	18402
18403	18403	SB0002 - 513 - LRB104 07746 RPS 17791 b
18404	18404
18405	18405
18406	18406	SB0002- 514 -LRB104 07746 RPS 17791 b SB0002 - 514 - LRB104 07746 RPS 17791 b
18407	18407	SB0002 - 514 - LRB104 07746 RPS 17791 b
18408	18408	1 Retirement Systems Reciprocal Act, Article 20 of this Code, is
18409	18409	2 adopted and made a part of this Article, but only with respect
18410	18410	3 to a person who, on or after the effective date of this
18411	18411	4 amendatory Act of the 104th General Assembly, is entitled
18412	18412	5 under this Article or through a participating system under the
18413	18413	6 Retirement Systems Reciprocal Act, as defined in Section
18414	18414	7 20-108, to begin receiving a retirement annuity or survivor's
18415	18415	8 annuity (as those terms are defined in Article 20) and who
18416	18416	9 elects to proceed under the Retirement Systems Reciprocal Act.
18417	18417	10 (40 ILCS 5/4-138.15 new)
18418	18418	11 Sec. 4-138.15. Retirement Systems Reciprocal Act. The
18419	18419	12 Retirement Systems Reciprocal Act, Article 20 of this Code, is
18420	18420	13 adopted and made a part of this Article, but only with respect
18421	18421	14 to a person who, on or after the effective date of this
18422	18422	15 amendatory Act of the 104th General Assembly, is entitled
18423	18423	16 under this Article or through a participating system under the
18424	18424	17 Retirement Systems Reciprocal Act, as defined in Section
18425	18425	18 20-108, to begin receiving a retirement annuity or survivor's
18426	18426	19 annuity (as those terms are defined in Article 20) and who
18427	18427	20 elects to proceed under the Retirement Systems Reciprocal Act.
18428	18428	21 (40 ILCS 5/5-240 new)
18429	18429	22 Sec. 5-240. Retirement Systems Reciprocal Act. The
18430	18430	23 Retirement Systems Reciprocal Act, Article 20 of this Code, is
18431	18431	24 adopted and made a part of this Article, but only with respect
18432	18432
18433	18433
18434	18434
18435	18435
18436	18436
18437	18437	SB0002 - 514 - LRB104 07746 RPS 17791 b
18438	18438
18439	18439
18440	18440	SB0002- 515 -LRB104 07746 RPS 17791 b SB0002 - 515 - LRB104 07746 RPS 17791 b
18441	18441	SB0002 - 515 - LRB104 07746 RPS 17791 b
18442	18442	1 to a person who, on or after the effective date of this
18443	18443	2 amendatory Act of the 104th General Assembly, is entitled
18444	18444	3 under this Article or through a participating system under the
18445	18445	4 Retirement Systems Reciprocal Act, as defined in Section
18446	18446	5 20-108, to begin receiving a retirement annuity or survivor's
18447	18447	6 annuity (as those terms are defined in Article 20) and who
18448	18448	7 elects to proceed under the Retirement Systems Reciprocal Act.
18449	18449	8 (40 ILCS 5/6-232 new)
18450	18450	9 Sec. 6-232. Retirement Systems Reciprocal Act. The
18451	18451	10 Retirement Systems Reciprocal Act, Article 20 of this Code, is
18452	18452	11 adopted and made a part of this Article, but only with respect
18453	18453	12 to a person who, on or after the effective date of this
18454	18454	13 amendatory Act of the 104th General Assembly, is entitled
18455	18455	14 under this Article or through a participating system under the
18456	18456	15 Retirement Systems Reciprocal Act, as defined in Section
18457	18457	16 20-108, to begin receiving a retirement annuity or survivor's
18458	18458	17 annuity (as those terms are defined in Article 20) and who
18459	18459	18 elects to proceed under the Retirement Systems Reciprocal Act.
18460	18460	19 Article 7.
18461	18461	20 Section 7-5. The Illinois Pension Code is amended by
18462	18462	21 changing Section 7-109.3 as follows:
18463	18463	22 (40 ILCS 5/7-109.3) (from Ch. 108 1/2, par. 7-109.3)
18464	18464
18465	18465
18466	18466
18467	18467
18468	18468
18469	18469	SB0002 - 515 - LRB104 07746 RPS 17791 b
18470	18470
18471	18471
18472	18472	SB0002- 516 -LRB104 07746 RPS 17791 b SB0002 - 516 - LRB104 07746 RPS 17791 b
18473	18473	SB0002 - 516 - LRB104 07746 RPS 17791 b
18474	18474	1 Sec. 7-109.3. "Sheriff's Law Enforcement Employees".
18475	18475	2 (a) "Sheriff's law enforcement employee" or "SLEP" means:
18476	18476	3 (1) A county sheriff and all deputies, other than
18477	18477	4 special deputies, employed on a full time basis in the
18478	18478	5 office of the sheriff.
18479	18479	6 (2) A person who has elected to participate in this
18480	18480	7 Fund under Section 3-109.1 of this Code, and who is
18481	18481	8 employed by a participating municipality to perform police
18482	18482	9 duties.
18483	18483	10 (3) A law enforcement officer employed on a full time
18484	18484	11 basis by a Forest Preserve District, provided that such
18485	18485	12 officer shall be deemed a "sheriff's law enforcement
18486	18486	13 employee" for the purposes of this Article, and service in
18487	18487	14 that capacity shall be deemed to be service as a sheriff's
18488	18488	15 law enforcement employee, only if the board of
18489	18489	16 commissioners of the District have so elected by adoption
18490	18490	17 of an affirmative resolution. Such election, once made,
18491	18491	18 may not be rescinded.
18492	18492	19 (4) A person not eligible to participate in a fund
18493	18493	20 established under Article 3 of this Code who is employed
18494	18494	21 on a full-time basis by a participating municipality or
18495	18495	22 participating instrumentality to perform police duties at
18496	18496	23 an airport, but only if the governing authority of the
18497	18497	24 employer has approved sheriff's law enforcement employee
18498	18498	25 status for its airport police employees by adoption of an
18499	18499	26 affirmative resolution. Such approval, once given, may not
18500	18500
18501	18501
18502	18502
18503	18503
18504	18504
18505	18505	SB0002 - 516 - LRB104 07746 RPS 17791 b
18506	18506
18507	18507
18508	18508	SB0002- 517 -LRB104 07746 RPS 17791 b SB0002 - 517 - LRB104 07746 RPS 17791 b
18509	18509	SB0002 - 517 - LRB104 07746 RPS 17791 b
18510	18510	1 be rescinded.
18511	18511	2 (5) A person first hired on or after January 1, 2011
18512	18512	3 who (i) is employed by a participating municipality that
18513	18513	4 has both 30 or more full-time police officers and 50 or
18514	18514	5 more full-time firefighters and has not established a fund
18515	18515	6 under Article 3 or Article 4 of this Code and (ii) is
18516	18516	7 employed on a full-time basis by that participating
18517	18517	8 municipality to perform police duties or firefighting and
18518	18518	9 EMS duties; but only if the governing authority of that
18519	18519	10 municipality has approved sheriff's law enforcement
18520	18520	11 employee status for its police officer or firefighter
18521	18521	12 employees by adoption of an affirmative resolution. The
18522	18522	13 resolution must specify that SLEP status shall be
18523	18523	14 applicable to such employment occurring on or after the
18524	18524	15 adoption of the resolution. Such resolution shall be
18525	18525	16 irrevocable, but shall automatically terminate upon the
18526	18526	17 establishment of an Article 3 or 4 fund by the
18527	18527	18 municipality.
18528	18528	19 (6) A person who is a county correctional officer or
18529	18529	20 probation officer.
18530	18530	21 (7) A person who participates in the Fund and
18531	18531	22 qualifies as a firefighter, as defined in Section 3 of the
18532	18532	23 Public Safety Employee Benefits Act.
18533	18533	24 (8) A person who is a sworn law enforcement officer
18534	18534	25 for a municipal employer that has not established a
18535	18535	26 pension fund under Article 3.
18536	18536
18537	18537
18538	18538
18539	18539
18540	18540
18541	18541	SB0002 - 517 - LRB104 07746 RPS 17791 b
18542	18542
18543	18543
18544	18544	SB0002- 518 -LRB104 07746 RPS 17791 b SB0002 - 518 - LRB104 07746 RPS 17791 b
18545	18545	SB0002 - 518 - LRB104 07746 RPS 17791 b
18546	18546	1 (b) An employee who is a sheriff's law enforcement
18547	18547	2 employee and is granted military leave or authorized leave of
18548	18548	3 absence shall receive service credit in that capacity.
18549	18549	4 Sheriff's law enforcement employees shall not be entitled to
18550	18550	5 out-of-State service credit under Section 7-139.
18551	18551	6 (Source: P.A. 100-354, eff. 8-25-17; 100-1097, eff. 8-26-18.)
18552	18552	7 Article 8.
18553	18553	8 Section 8-5. The Illinois Pension Code is amended by
18554	18554	9 changing Section 4-106 as follows:
18555	18555	10 (40 ILCS 5/4-106) (from Ch. 108 1/2, par. 4-106)
18556	18556	11 Sec. 4-106. Firefighter, firefighters. "Firefighter,
18557	18557	12 firefighters":
18558	18558	13 (a) In municipalities which have adopted Division 1 of
18559	18559	14 Article 10 of the Illinois Municipal Code, any person employed
18560	18560	15 in the municipality's fire service as a firefighter, fire
18561	18561	16 engineer, marine engineer, fire pilot, bomb technician or
18562	18562	17 scuba diver; and in any of these positions where such person's
18563	18563	18 duties also include those of a firefighter as classified by
18564	18564	19 the Civil Service Commission of that city, and whose duty is to
18565	18565	20 participate in the work of controlling and extinguishing fires
18566	18566	21 at the location of any such fires.
18567	18567	22 (b) In municipalities which are subject to Division 2.1 of
18568	18568	23 Article 10 of the Illinois Municipal Code, any person employed
18569	18569
18570	18570
18571	18571
18572	18572
18573	18573
18574	18574	SB0002 - 518 - LRB104 07746 RPS 17791 b
18575	18575
18576	18576
18577	18577	SB0002- 519 -LRB104 07746 RPS 17791 b SB0002 - 519 - LRB104 07746 RPS 17791 b
18578	18578	SB0002 - 519 - LRB104 07746 RPS 17791 b
18579	18579	1 by a city in its fire service as a firefighter, fire engineer,
18580	18580	2 marine engineer, fire pilot, bomb technician, or scuba diver;
18581	18581	3 and, in any of these positions whose duties also include those
18582	18582	4 of a firefighter and are certified in the same manner as a
18583	18583	5 firefighter in that city.
18584	18584	6 (c) Any person employed in a municipality's or fire
18585	18585	7 protection district's fire service as a de facto firefighter.
18586	18586	8 In this definition, "de facto firefighter" means a
18587	18587	9 firefighter:
18588	18588	10 (1) who spends a majority of the firefighter's working
18589	18589	11 time participating in the work of controlling and
18590	18590	12 extinguishing fires at the location of any such fires,
18591	18591	13 preparing for such work or waiting to respond to such
18592	18592	14 calls for work; and
18593	18593	15 (2) whose scheduled or actual work hours are
18594	18594	16 commensurate in duration and frequency with firefighters
18595	18595	17 who are subject to Division 1 or Division 2.1 of Article 10
18596	18596	18 of the Illinois Municipal Code.
18597	18597	19 "De facto firefighter" does not include part-time
18598	18598	20 firefighters who are not covered under this Section;
18599	18599	21 auxiliary, reserve, or voluntary firefighters, including
18600	18600	22 paid-on-call firefighters; and clerks, dispatchers, or other
18601	18601	23 civilian employees of a fire department or fire protection
18602	18602	24 district who are not routinely expected to perform firefighter
18603	18603	25 duties. In municipalities which are subject to neither
18604	18604	26 Division 1 nor Division 2.1 of Article 10 of the Illinois
18605	18605
18606	18606
18607	18607
18608	18608
18609	18609
18610	18610	SB0002 - 519 - LRB104 07746 RPS 17791 b
18611	18611
18612	18612
18613	18613	SB0002- 520 -LRB104 07746 RPS 17791 b SB0002 - 520 - LRB104 07746 RPS 17791 b
18614	18614	SB0002 - 520 - LRB104 07746 RPS 17791 b
18615	18615	1 Municipal Code, any person who would have been included as a
18616	18616	2 firefighter under sub-paragraph (a) or (b) above except that
18617	18617	3 he served as a de facto and not as a de jure firefighter.
18618	18618	4 (d) Notwithstanding the other provisions of this Section,
18619	18619	5 "firefighter" does not include any person who is actively
18620	18620	6 participating in the State Universities Retirement System
18621	18621	7 under subsection (h) of Section 15-107 with respect to the
18622	18622	8 employment for which he or she is a participating employee in
18623	18623	9 that System.
18624	18624	10 (e) This amendatory Act of 1977 does not affect persons
18625	18625	11 covered by this Article prior to September 22, 1977.
18626	18626	12 The changes made to this Section by this amendatory Act of
18627	18627	13 the 104th General Assembly do not affect persons covered by
18628	18628	14 this Article before the effective date of this amendatory Act
18629	18629	15 of the 104th General Assembly.
18630	18630	16 (Source: P.A. 90-576, eff. 3-31-98.)
18631	18631	17 Article 9.
18632	18632	18 Section 9-5. The Illinois Pension Code is amended by
18633	18633	19 changing Section 4-109.1 as follows:
18634	18634	20 (40 ILCS 5/4-109.1) (from Ch. 108 1/2, par. 4-109.1)
18635	18635	21 Sec. 4-109.1. Increase in pension.
18636	18636	22 (a) Except as provided in subsection (e), the monthly
18637	18637	23 pension of a firefighter who retires after July 1, 1971 and
18638	18638
18639	18639
18640	18640
18641	18641
18642	18642
18643	18643	SB0002 - 520 - LRB104 07746 RPS 17791 b
18644	18644
18645	18645
18646	18646	SB0002- 521 -LRB104 07746 RPS 17791 b SB0002 - 521 - LRB104 07746 RPS 17791 b
18647	18647	SB0002 - 521 - LRB104 07746 RPS 17791 b
18648	18648	1 prior to January 1, 1986, shall, upon either the first of the
18649	18649	2 month following the first anniversary of the date of
18650	18650	3 retirement if 60 years of age or over at retirement date, or
18651	18651	4 upon the first day of the month following attainment of age 60
18652	18652	5 if it occurs after the first anniversary of retirement, be
18653	18653	6 increased by 2% of the originally granted monthly pension and
18654	18654	7 by an additional 2% in each January thereafter. Effective
18655	18655	8 January 1976, the rate of the annual increase shall be 3% of
18656	18656	9 the originally granted monthly pension.
18657	18657	10 (b) The monthly pension of a firefighter who retired from
18658	18658	11 service with 20 or more years of service, on or before July 1,
18659	18659	12 1971, shall be increased, in January of the year following the
18660	18660	13 year of attaining age 65 or in January 1972, if then over age
18661	18661	14 65, by 2% of the originally granted monthly pension, for each
18662	18662	15 year the firefighter received pension payments. In each
18663	18663	16 January thereafter, he or she shall receive an additional
18664	18664	17 increase of 2% of the original monthly pension. Effective
18665	18665	18 January 1976, the rate of the annual increase shall be 3%.
18666	18666	19 (c) The monthly pension of a firefighter who is receiving
18667	18667	20 a disability pension under this Article shall be increased, in
18668	18668	21 January of the year following the year the firefighter attains
18669	18669	22 age 60, or in January 1974, if then over age 60, by 2% of the
18670	18670	23 originally granted monthly pension for each year he or she
18671	18671	24 received pension payments. In each January thereafter, the
18672	18672	25 firefighter shall receive an additional increase of 2% of the
18673	18673	26 original monthly pension. Effective January 1976, the rate of
18674	18674
18675	18675
18676	18676
18677	18677
18678	18678
18679	18679	SB0002 - 521 - LRB104 07746 RPS 17791 b
18680	18680
18681	18681
18682	18682	SB0002- 522 -LRB104 07746 RPS 17791 b SB0002 - 522 - LRB104 07746 RPS 17791 b
18683	18683	SB0002 - 522 - LRB104 07746 RPS 17791 b
18684	18684	1 the annual increase shall be 3%. Notwithstanding any other
18685	18685	2 provision of this Article, this subsection applies to a
18686	18686	3 firefighter regardless of whether that firefighter first
18687	18687	4 became a firefighter on or after January 1, 2011.
18688	18688	5 Notwithstanding Section 1-103.1, the changes made to this
18689	18689	6 Section apply without regard to whether the firefighter is in
18690	18690	7 service on or after the effective date of this amendatory Act
18691	18691	8 of the 104th General Assembly.
18692	18692	9 (c-1) On January 1, 1998, every child's disability benefit
18693	18693	10 payable on that date under Section 4-110 or 4-110.1 shall be
18694	18694	11 increased by an amount equal to 1/12 of 3% of the amount of the
18695	18695	12 benefit, multiplied by the number of months for which the
18696	18696	13 benefit has been payable. On each January 1 thereafter, every
18697	18697	14 child's disability benefit payable under Section 4-110 or
18698	18698	15 4-110.1 shall be increased by 3% of the amount of the benefit
18699	18699	16 then being paid, including any previous increases received
18700	18700	17 under this Article. These increases are not subject to any
18701	18701	18 limitation on the maximum benefit amount included in Section
18702	18702	19 4-110 or 4-110.1.
18703	18703	20 (c-2) On July 1, 2004, every pension payable to or on
18704	18704	21 behalf of a minor or disabled surviving child that is payable
18705	18705	22 on that date under Section 4-114 shall be increased by an
18706	18706	23 amount equal to 1/12 of 3% of the amount of the pension,
18707	18707	24 multiplied by the number of months for which the benefit has
18708	18708	25 been payable. On July 1, 2005, July 1, 2006, July 1, 2007, and
18709	18709	26 July 1, 2008, every pension payable to or on behalf of a minor
18710	18710
18711	18711
18712	18712
18713	18713
18714	18714
18715	18715	SB0002 - 522 - LRB104 07746 RPS 17791 b
18716	18716
18717	18717
18718	18718	SB0002- 523 -LRB104 07746 RPS 17791 b SB0002 - 523 - LRB104 07746 RPS 17791 b
18719	18719	SB0002 - 523 - LRB104 07746 RPS 17791 b
18720	18720	1 or disabled surviving child that is payable under Section
18721	18721	2 4-114 shall be increased by 3% of the amount of the pension
18722	18722	3 then being paid, including any previous increases received
18723	18723	4 under this Article. These increases are not subject to any
18724	18724	5 limitation on the maximum benefit amount included in Section
18725	18725	6 4-114.
18726	18726	7 (d) The monthly pension of a firefighter who retires after
18727	18727	8 January 1, 1986, shall, upon either the first of the month
18728	18728	9 following the first anniversary of the date of retirement if
18729	18729	10 55 years of age or over, or upon the first day of the month
18730	18730	11 following attainment of age 55 if it occurs after the first
18731	18731	12 anniversary of retirement, be increased by 1/12 of 3% of the
18732	18732	13 originally granted monthly pension for each full month that
18733	18733	14 has elapsed since the pension began, and by an additional 3% in
18734	18734	15 each January thereafter.
18735	18735	16 The changes made to this subsection (d) by this amendatory
18736	18736	17 Act of the 91st General Assembly apply to all initial
18737	18737	18 increases that become payable under this subsection on or
18738	18738	19 after January 1, 1999. All initial increases that became
18739	18739	20 payable under this subsection on or after January 1, 1999 and
18740	18740	21 before the effective date of this amendatory Act shall be
18741	18741	22 recalculated and the additional amount accruing for that
18742	18742	23 period, if any, shall be payable to the pensioner in a lump
18743	18743	24 sum.
18744	18744	25 (e) Notwithstanding the provisions of subsection (a), upon
18745	18745	26 the first day of the month following (1) the first anniversary
18746	18746
18747	18747
18748	18748
18749	18749
18750	18750
18751	18751	SB0002 - 523 - LRB104 07746 RPS 17791 b
18752	18752
18753	18753
18754	18754	SB0002- 524 -LRB104 07746 RPS 17791 b SB0002 - 524 - LRB104 07746 RPS 17791 b
18755	18755	SB0002 - 524 - LRB104 07746 RPS 17791 b
18756	18756	1 of the date of retirement, or (2) the attainment of age 55, or
18757	18757	2 (3) July 1, 1987, whichever occurs latest, the monthly pension
18758	18758	3 of a firefighter who retired on or after January 1, 1977 and on
18759	18759	4 or before January 1, 1986 and did not receive an increase under
18760	18760	5 subsection (a) before July 1, 1987, shall be increased by 3% of
18761	18761	6 the originally granted monthly pension for each full year that
18762	18762	7 has elapsed since the pension began, and by an additional 3% in
18763	18763	8 each January thereafter. The increases provided under this
18764	18764	9 subsection are in lieu of the increases provided in subsection
18765	18765	10 (a).
18766	18766	11 (f) In July 2009, the monthly pension of a firefighter who
18767	18767	12 retired before July 1, 1977 shall be recalculated and
18768	18768	13 increased to reflect the amount that the firefighter would
18769	18769	14 have received in July 2009 had the firefighter been receiving
18770	18770	15 a 3% compounded increase for each year he or she received
18771	18771	16 pension payments after January 1, 1986, plus any increases in
18772	18772	17 pension received for each year prior to January 1, 1986. In
18773	18773	18 each January thereafter, he or she shall receive an additional
18774	18774	19 increase of 3% of the amount of the pension then being paid.
18775	18775	20 The changes made to this Section by this amendatory Act of the
18776	18776	21 96th General Assembly apply without regard to whether the
18777	18777	22 firefighter was in service on or after its effective date.
18778	18778	23 (g) Notwithstanding any other provision of this Article,
18779	18779	24 the monthly pension of a person who first becomes a
18780	18780	25 firefighter under this Article on or after January 1, 2011
18781	18781	26 shall be increased on the January 1 occurring either on or
18782	18782
18783	18783
18784	18784
18785	18785
18786	18786
18787	18787	SB0002 - 524 - LRB104 07746 RPS 17791 b
18788	18788
18789	18789
18790	18790	SB0002- 525 -LRB104 07746 RPS 17791 b SB0002 - 525 - LRB104 07746 RPS 17791 b
18791	18791	SB0002 - 525 - LRB104 07746 RPS 17791 b
18792	18792	1 after the attainment of age 60 or the first anniversary of the
18793	18793	2 pension start date, whichever is later. Each annual increase
18794	18794	3 shall be calculated at 3% or one-half the annual unadjusted
18795	18795	4 percentage increase (but not less than zero) in the consumer
18796	18796	5 price index-u for the 12 months ending with the September
18797	18797	6 preceding each November 1, whichever is less, of the
18798	18798	7 originally granted pension. If the annual unadjusted
18799	18799	8 percentage change in the consumer price index-u for a 12-month
18800	18800	9 period ending in September is zero or, when compared with the
18801	18801	10 preceding period, decreases, then the pension shall not be
18802	18802	11 increased.
18803	18803	12 For the purposes of this subsection (g), "consumer price
18804	18804	13 index-u" means the index published by the Bureau of Labor
18805	18805	14 Statistics of the United States Department of Labor that
18806	18806	15 measures the average change in prices of goods and services
18807	18807	16 purchased by all urban consumers, United States city average,
18808	18808	17 all items, 1982-84 = 100. The new amount resulting from each
18809	18809	18 annual adjustment shall be determined by the Public Pension
18810	18810	19 Division of the Department of Insurance and made available to
18811	18811	20 the boards of the pension funds.
18812	18812	21 (Source: P.A. 96-775, eff. 8-28-09; 96-1495, eff. 1-1-11.)
18813	18813	22 Article 10.
18814	18814	23 Section 10-5. The Illinois Pension Code is amended by
18815	18815	24 changing Section 4-109.2 as follows:
18816	18816
18817	18817
18818	18818
18819	18819
18820	18820
18821	18821	SB0002 - 525 - LRB104 07746 RPS 17791 b
18822	18822
18823	18823
18824	18824	SB0002- 526 -LRB104 07746 RPS 17791 b SB0002 - 526 - LRB104 07746 RPS 17791 b
18825	18825	SB0002 - 526 - LRB104 07746 RPS 17791 b
18826	18826	1 (40 ILCS 5/4-109.2) (from Ch. 108 1/2, par. 4-109.2)
18827	18827	2 Sec. 4-109.2. Minimum pension.
18828	18828	3 (a) Beginning January 1, 1984, the minimum disability
18829	18829	4 pension granted under Section 4-110 or 4-111, the minimum
18830	18830	5 surviving spouse's pension, and the minimum retirement pension
18831	18831	6 granted to a firefighter with 20 or more years of creditable
18832	18832	7 service, shall be $300 per month, without regard to whether
18833	18833	8 the death, disability or retirement of the firefighter
18834	18834	9 occurred prior to that date.
18835	18835	10 Beginning July 1, 1987, the minimum retirement pension
18836	18836	11 payable to a firefighter with 20 or more years of creditable
18837	18837	12 service, the minimum disability pension payable under Section
18838	18838	13 4-110 or 4-111, and the minimum surviving spouse's pension
18839	18839	14 shall be $400 per month, without regard to whether the death,
18840	18840	15 retirement or disability of the firefighter occurred prior to
18841	18841	16 that date.
18842	18842	17 Beginning July 1, 1993, the minimum retirement pension
18843	18843	18 payable to a firefighter with 20 or more years of creditable
18844	18844	19 service and the minimum surviving spouse's pension shall be
18845	18845	20 $475 per month, without regard to whether the firefighter was
18846	18846	21 in service on or after the effective date of this amendatory
18847	18847	22 Act of 1993.
18848	18848	23 (b) Beginning January 1, 1999, the minimum retirement
18849	18849	24 pension payable to a firefighter with 20 or more years of
18850	18850	25 creditable service, the minimum disability pension payable
18851	18851
18852	18852
18853	18853
18854	18854
18855	18855
18856	18856	SB0002 - 526 - LRB104 07746 RPS 17791 b
18857	18857
18858	18858
18859	18859	SB0002- 527 -LRB104 07746 RPS 17791 b SB0002 - 527 - LRB104 07746 RPS 17791 b
18860	18860	SB0002 - 527 - LRB104 07746 RPS 17791 b
18861	18861	1 under Section 4-110, 4-110.1, or 4-111, and the minimum
18862	18862	2 surviving spouse's pension shall be $600 per month, without
18863	18863	3 regard to whether the firefighter was in service on or after
18864	18864	4 the effective date of this amendatory Act of the 91st General
18865	18865	5 Assembly.
18866	18866	6 In the case of a pensioner whose pension began before the
18867	18867	7 effective date of this amendatory Act and is subject to
18868	18868	8 increase under this subsection (b), the pensioner shall be
18869	18869	9 entitled to a lump sum payment of the amount of that increase
18870	18870	10 accruing from January 1, 1999 (or the date the pension began,
18871	18871	11 if later) to the effective date of this amendatory Act.
18872	18872	12 (c) Beginning January 1, 2000, the minimum retirement
18873	18873	13 pension payable to a firefighter with 20 or more years of
18874	18874	14 creditable service, the minimum disability pension payable
18875	18875	15 under Section 4-110, 4-110.1, or 4-111, and the minimum
18876	18876	16 surviving spouse's pension shall be $800 per month, without
18877	18877	17 regard to whether the firefighter was in service on or after
18878	18878	18 the effective date of this amendatory Act of the 91st General
18879	18879	19 Assembly.
18880	18880	20 (d) Beginning January 1, 2001, the minimum retirement
18881	18881	21 pension payable to a firefighter with 20 or more years of
18882	18882	22 creditable service, the minimum disability pension payable
18883	18883	23 under Section 4-110, 4-110.1, or 4-111, and the minimum
18884	18884	24 surviving spouse's pension shall be $1000 per month, without
18885	18885	25 regard to whether the firefighter was in service on or after
18886	18886	26 the effective date of this amendatory Act of the 91st General
18887	18887
18888	18888
18889	18889
18890	18890
18891	18891
18892	18892	SB0002 - 527 - LRB104 07746 RPS 17791 b
18893	18893
18894	18894
18895	18895	SB0002- 528 -LRB104 07746 RPS 17791 b SB0002 - 528 - LRB104 07746 RPS 17791 b
18896	18896	SB0002 - 528 - LRB104 07746 RPS 17791 b
18897	18897	1 Assembly.
18898	18898	2 (e) Beginning July 1, 2004, the minimum retirement pension
18899	18899	3 payable to a firefighter with 20 or more years of creditable
18900	18900	4 service, the minimum disability pension payable under Section
18901	18901	5 4-110, 4-110.1, or 4-111, and the minimum surviving spouse's
18902	18902	6 pension shall be $1030 per month, without regard to whether
18903	18903	7 the firefighter was in service on or after the effective date
18904	18904	8 of this amendatory Act of the 93rd General Assembly.
18905	18905	9 (f) Beginning July 1, 2005, the minimum retirement pension
18906	18906	10 payable to a firefighter with 20 or more years of creditable
18907	18907	11 service, the minimum disability pension payable under Section
18908	18908	12 4-110, 4-110.1, or 4-111, and the minimum surviving spouse's
18909	18909	13 pension shall be $1060.90 per month, without regard to whether
18910	18910	14 the firefighter was in service on or after the effective date
18911	18911	15 of this amendatory Act of the 93rd General Assembly.
18912	18912	16 (g) Beginning July 1, 2006, the minimum retirement pension
18913	18913	17 payable to a firefighter with 20 or more years of creditable
18914	18914	18 service, the minimum disability pension payable under Section
18915	18915	19 4-110, 4-110.1, or 4-111, and the minimum surviving spouse's
18916	18916	20 pension shall be $1092.73 per month, without regard to whether
18917	18917	21 the firefighter was in service on or after the effective date
18918	18918	22 of this amendatory Act of the 93rd General Assembly.
18919	18919	23 (h) Beginning July 1, 2007, the minimum retirement pension
18920	18920	24 payable to a firefighter with 20 or more years of creditable
18921	18921	25 service, the minimum disability pension payable under Section
18922	18922	26 4-110, 4-110.1, or 4-111, and the minimum surviving spouse's
18923	18923
18924	18924
18925	18925
18926	18926
18927	18927
18928	18928	SB0002 - 528 - LRB104 07746 RPS 17791 b
18929	18929
18930	18930
18931	18931	SB0002- 529 -LRB104 07746 RPS 17791 b SB0002 - 529 - LRB104 07746 RPS 17791 b
18932	18932	SB0002 - 529 - LRB104 07746 RPS 17791 b
18933	18933	1 pension shall be $1125.51 per month, without regard to whether
18934	18934	2 the firefighter was in service on or after the effective date
18935	18935	3 of this amendatory Act of the 93rd General Assembly.
18936	18936	4 (i) Beginning July 1, 2008, the minimum retirement pension
18937	18937	5 payable to a firefighter with 20 or more years of creditable
18938	18938	6 service, the minimum disability pension payable under Section
18939	18939	7 4-110, 4-110.1, or 4-111, and the minimum surviving spouse's
18940	18940	8 pension shall be $1159.27 per month, without regard to whether
18941	18941	9 the firefighter was in service on or after the effective date
18942	18942	10 of this amendatory Act of the 93rd General Assembly.
18943	18943	11 (j) Beginning July 1, 2026, the minimum retirement pension
18944	18944	12 payable to a firefighter with 20 or more years of creditable
18945	18945	13 service, the minimum disability pension payable under Section
18946	18946	14 4-110, 4-110.1, or 4-111, and the minimum surviving spouse's
18947	18947	15 pension shall be $1,822.50 per month, without regard to
18948	18948	16 whether the firefighter was in service on or after the
18949	18949	17 effective date of this amendatory Act of the 104th General
18950	18950	18 Assembly. A one-time payment of $62,471.40 shall be paid to
18951	18951	19 each active member or participant subject to the minimum
18952	18952	20 retirement pension adjustment in this subsection.
18953	18953	21 (k) Beginning July 1, 2027, the minimum retirement pension
18954	18954	22 payable to a firefighter with 20 or more years of creditable
18955	18955	23 service, the minimum disability pension payable under Section
18956	18956	24 4-110, 4-110.1, or 4-111, and the minimum surviving spouse's
18957	18957	25 pension shall be no less than 150% of the federal poverty level
18958	18958	26 for all persons receiving annuities on or after that date
18959	18959
18960	18960
18961	18961
18962	18962
18963	18963
18964	18964	SB0002 - 529 - LRB104 07746 RPS 17791 b
18965	18965
18966	18966
18967	18967	SB0002- 530 -LRB104 07746 RPS 17791 b SB0002 - 530 - LRB104 07746 RPS 17791 b
18968	18968	SB0002 - 530 - LRB104 07746 RPS 17791 b
18969	18969	1 without regard to whether the firefighter was in service on or
18970	18970	2 after the effective date of this amendatory Act of the 104th
18971	18971	3 General Assembly.
18972	18972	4 (l) For purposes of this Section, "federal poverty level"
18973	18973	5 means the poverty guidelines applicable to an individual in a
18974	18974	6 single-person household located in Illinois, as updated
18975	18975	7 periodically in the Federal Register by the United States
18976	18976	8 Department of Health and Human Services under the authority of
18977	18977	9 42 U.S.C. 9902(2).
18978	18978	10 (Source: P.A. 93-689, eff. 7-1-04.)
18979	18979	11 Article 11.
18980	18980	12 Section 11-5. The Illinois Pension Code is amended by
18981	18981	13 changing Sections 1-160, 8-174, 11-170, and 12-150 as follows:
18982	18982	14 (40 ILCS 5/1-160)
18983	18983	15 (Text of Section from P.A. 102-719)
18984	18984	16 Sec. 1-160. Provisions applicable to new hires.
18985	18985	17 (a) The provisions of this Section apply to a person who,
18986	18986	18 on or after January 1, 2011, first becomes a member or a
18987	18987	19 participant under any reciprocal retirement system or pension
18988	18988	20 fund established under this Code, other than a retirement
18989	18989	21 system or pension fund established under Article 2, 3, 4, 5, 6,
18990	18990	22 7, 15, or 18 of this Code, notwithstanding any other provision
18991	18991	23 of this Code to the contrary, but do not apply to any
18992	18992
18993	18993
18994	18994
18995	18995
18996	18996
18997	18997	SB0002 - 530 - LRB104 07746 RPS 17791 b
18998	18998
18999	18999
19000	19000	SB0002- 531 -LRB104 07746 RPS 17791 b SB0002 - 531 - LRB104 07746 RPS 17791 b
19001	19001	SB0002 - 531 - LRB104 07746 RPS 17791 b
19002	19002	1 self-managed plan established under this Code or to any
19003	19003	2 participant of the retirement plan established under Section
19004	19004	3 22-101; except that this Section applies to a person who
19005	19005	4 elected to establish alternative credits by electing in
19006	19006	5 writing after January 1, 2011, but before August 8, 2011,
19007	19007	6 under Section 7-145.1 of this Code. Notwithstanding anything
19008	19008	7 to the contrary in this Section, for purposes of this Section,
19009	19009	8 a person who is a Tier 1 regular employee as defined in Section
19010	19010	9 7-109.4 of this Code or who participated in a retirement
19011	19011	10 system under Article 15 prior to January 1, 2011 shall be
19012	19012	11 deemed a person who first became a member or participant prior
19013	19013	12 to January 1, 2011 under any retirement system or pension fund
19014	19014	13 subject to this Section. The changes made to this Section by
19015	19015	14 Public Act 98-596 are a clarification of existing law and are
19016	19016	15 intended to be retroactive to January 1, 2011 (the effective
19017	19017	16 date of Public Act 96-889), notwithstanding the provisions of
19018	19018	17 Section 1-103.1 of this Code.
19019	19019	18 This Section does not apply to a person who first becomes a
19020	19020	19 noncovered employee under Article 14 on or after the
19021	19021	20 implementation date of the plan created under Section 1-161
19022	19022	21 for that Article, unless that person elects under subsection
19023	19023	22 (b) of Section 1-161 to instead receive the benefits provided
19024	19024	23 under this Section and the applicable provisions of that
19025	19025	24 Article.
19026	19026	25 This Section does not apply to a person who first becomes a
19027	19027	26 member or participant under Article 16 on or after the
19028	19028
19029	19029
19030	19030
19031	19031
19032	19032
19033	19033	SB0002 - 531 - LRB104 07746 RPS 17791 b
19034	19034
19035	19035
19036	19036	SB0002- 532 -LRB104 07746 RPS 17791 b SB0002 - 532 - LRB104 07746 RPS 17791 b
19037	19037	SB0002 - 532 - LRB104 07746 RPS 17791 b
19038	19038	1 implementation date of the plan created under Section 1-161
19039	19039	2 for that Article, unless that person elects under subsection
19040	19040	3 (b) of Section 1-161 to instead receive the benefits provided
19041	19041	4 under this Section and the applicable provisions of that
19042	19042	5 Article.
19043	19043	6 This Section does not apply to a person who elects under
19044	19044	7 subsection (c-5) of Section 1-161 to receive the benefits
19045	19045	8 under Section 1-161.
19046	19046	9 This Section does not apply to a person who first becomes a
19047	19047	10 member or participant of an affected pension fund on or after 6
19048	19048	11 months after the resolution or ordinance date, as defined in
19049	19049	12 Section 1-162, unless that person elects under subsection (c)
19050	19050	13 of Section 1-162 to receive the benefits provided under this
19051	19051	14 Section and the applicable provisions of the Article under
19052	19052	15 which he or she is a member or participant.
19053	19053	16 (b) "Final average salary" means, except as otherwise
19054	19054	17 provided in this subsection, the average monthly (or annual)
19055	19055	18 salary obtained by dividing the total salary or earnings
19056	19056	19 calculated under the Article applicable to the member or
19057	19057	20 participant during the 96 consecutive months (or 8 consecutive
19058	19058	21 years) of service within the last 120 months (or 10 years) of
19059	19059	22 service in which the total salary or earnings calculated under
19060	19060	23 the applicable Article was the highest by the number of months
19061	19061	24 (or years) of service in that period. For the purposes of a
19062	19062	25 person who first becomes a member or participant of any
19063	19063	26 retirement system or pension fund to which this Section
19064	19064
19065	19065
19066	19066
19067	19067
19068	19068
19069	19069	SB0002 - 532 - LRB104 07746 RPS 17791 b
19070	19070
19071	19071
19072	19072	SB0002- 533 -LRB104 07746 RPS 17791 b SB0002 - 533 - LRB104 07746 RPS 17791 b
19073	19073	SB0002 - 533 - LRB104 07746 RPS 17791 b
19074	19074	1 applies on or after January 1, 2011, in this Code, "final
19075	19075	2 average salary" shall be substituted for the following:
19076	19076	3 (1) (Blank).
19077	19077	4 (2) In Articles 8, 9, 10, 11, and 12, "highest average
19078	19078	5 annual salary for any 4 consecutive years within the last
19079	19079	6 10 years of service immediately preceding the date of
19080	19080	7 withdrawal".
19081	19081	8 (3) In Article 13, "average final salary".
19082	19082	9 (4) In Article 14, "final average compensation".
19083	19083	10 (5) In Article 17, "average salary".
19084	19084	11 (6) In Section 22-207, "wages or salary received by
19085	19085	12 him at the date of retirement or discharge".
19086	19086	13 A member of the Teachers' Retirement System of the State
19087	19087	14 of Illinois who retires on or after June 1, 2021 and for whom
19088	19088	15 the 2020-2021 school year is used in the calculation of the
19089	19089	16 member's final average salary shall use the higher of the
19090	19090	17 following for the purpose of determining the member's final
19091	19091	18 average salary:
19092	19092	19 (A) the amount otherwise calculated under the first
19093	19093	20 paragraph of this subsection; or
19094	19094	21 (B) an amount calculated by the Teachers' Retirement
19095	19095	22 System of the State of Illinois using the average of the
19096	19096	23 monthly (or annual) salary obtained by dividing the total
19097	19097	24 salary or earnings calculated under Article 16 applicable
19098	19098	25 to the member or participant during the 96 months (or 8
19099	19099	26 years) of service within the last 120 months (or 10 years)
19100	19100
19101	19101
19102	19102
19103	19103
19104	19104
19105	19105	SB0002 - 533 - LRB104 07746 RPS 17791 b
19106	19106
19107	19107
19108	19108	SB0002- 534 -LRB104 07746 RPS 17791 b SB0002 - 534 - LRB104 07746 RPS 17791 b
19109	19109	SB0002 - 534 - LRB104 07746 RPS 17791 b
19110	19110	1 of service in which the total salary or earnings
19111	19111	2 calculated under the Article was the highest by the number
19112	19112	3 of months (or years) of service in that period.
19113	19113	4 (b-5) Beginning on January 1, 2011, for all purposes under
19114	19114	5 this Code (including without limitation the calculation of
19115	19115	6 benefits and employee contributions), the annual earnings,
19116	19116	7 salary, or wages (based on the plan year) of a member or
19117	19117	8 participant to whom this Section applies shall not exceed
19118	19118	9 $106,800; however, that amount shall annually thereafter be
19119	19119	10 increased by the lesser of (i) 3% of that amount, including all
19120	19120	11 previous adjustments, or (ii) one-half the annual unadjusted
19121	19121	12 percentage increase (but not less than zero) in the consumer
19122	19122	13 price index-u for the 12 months ending with the September
19123	19123	14 preceding each November 1, including all previous adjustments.
19124	19124	15 For the purposes of this Section, "consumer price index-u"
19125	19125	16 means the index published by the Bureau of Labor Statistics of
19126	19126	17 the United States Department of Labor that measures the
19127	19127	18 average change in prices of goods and services purchased by
19128	19128	19 all urban consumers, United States city average, all items,
19129	19129	20 1982-84 = 100. The new amount resulting from each annual
19130	19130	21 adjustment shall be determined by the Public Pension Division
19131	19131	22 of the Department of Insurance and made available to the
19132	19132	23 boards of the retirement systems and pension funds by November
19133	19133	24 1 of each year.
19134	19134	25 (b-10) Beginning on January 1, 2024, for all purposes
19135	19135	26 under this Code (including, without limitation, the
19136	19136
19137	19137
19138	19138
19139	19139
19140	19140
19141	19141	SB0002 - 534 - LRB104 07746 RPS 17791 b
19142	19142
19143	19143
19144	19144	SB0002- 535 -LRB104 07746 RPS 17791 b SB0002 - 535 - LRB104 07746 RPS 17791 b
19145	19145	SB0002 - 535 - LRB104 07746 RPS 17791 b
19146	19146	1 calculation of benefits and employee contributions), the
19147	19147	2 annual earnings, salary, or wages (based on the plan year) of a
19148	19148	3 member or participant under Article 9 to whom this Section
19149	19149	4 applies shall include an annual earnings, salary, or wage cap
19150	19150	5 that tracks the Social Security wage base. Maximum annual
19151	19151	6 earnings, wages, or salary shall be the annual contribution
19152	19152	7 and benefit base established for the applicable year by the
19153	19153	8 Commissioner of the Social Security Administration under the
19154	19154	9 federal Social Security Act.
19155	19155	10 However, in no event shall the annual earnings, salary, or
19156	19156	11 wages for the purposes of this Article and Article 9 exceed any
19157	19157	12 limitation imposed on annual earnings, salary, or wages under
19158	19158	13 Section 1-117. Under no circumstances shall the maximum amount
19159	19159	14 of annual earnings, salary, or wages be greater than the
19160	19160	15 amount set forth in this subsection (b-10) as a result of
19161	19161	16 reciprocal service or any provisions regarding reciprocal
19162	19162	17 services, nor shall the Fund under Article 9 be required to pay
19163	19163	18 any refund as a result of the application of this maximum
19164	19164	19 annual earnings, salary, and wage cap.
19165	19165	20 Nothing in this subsection (b-10) shall cause or otherwise
19166	19166	21 result in any retroactive adjustment of any employee
19167	19167	22 contributions. Nothing in this subsection (b-10) shall cause
19168	19168	23 or otherwise result in any retroactive adjustment of
19169	19169	24 disability or other payments made between January 1, 2011 and
19170	19170	25 January 1, 2024.
19171	19171	26 (c) A member or participant is entitled to a retirement
19172	19172
19173	19173
19174	19174
19175	19175
19176	19176
19177	19177	SB0002 - 535 - LRB104 07746 RPS 17791 b
19178	19178
19179	19179
19180	19180	SB0002- 536 -LRB104 07746 RPS 17791 b SB0002 - 536 - LRB104 07746 RPS 17791 b
19181	19181	SB0002 - 536 - LRB104 07746 RPS 17791 b
19182	19182	1 annuity upon written application if he or she has attained age
19183	19183	2 67 (age 65, with respect to service under Article 12 that is
19184	19184	3 subject to this Section, for a member or participant under
19185	19185	4 Article 12 who first becomes a member or participant under
19186	19186	5 Article 12 on or after January 1, 2022 or who makes the
19187	19187	6 election under item (i) of subsection (d-15) of this Section)
19188	19188	7 and has at least 10 years of service credit and is otherwise
19189	19189	8 eligible under the requirements of the applicable Article.
19190	19190	9 A member or participant who has attained age 62 (age 60,
19191	19191	10 with respect to service under Article 12 that is subject to
19192	19192	11 this Section, for a member or participant under Article 12 who
19193	19193	12 first becomes a member or participant under Article 12 on or
19194	19194	13 after January 1, 2022 or who makes the election under item (i)
19195	19195	14 of subsection (d-15) of this Section) and has at least 10 years
19196	19196	15 of service credit and is otherwise eligible under the
19197	19197	16 requirements of the applicable Article may elect to receive
19198	19198	17 the lower retirement annuity provided in subsection (d) of
19199	19199	18 this Section.
19200	19200	19 (c-5) (Blank). A person who first becomes a member or a
19201	19201	20 participant subject to this Section on or after July 6, 2017
19202	19202	21 (the effective date of Public Act 100-23), notwithstanding any
19203	19203	22 other provision of this Code to the contrary, is entitled to a
19204	19204	23 retirement annuity under Article 8 or Article 11 upon written
19205	19205	24 application if he or she has attained age 65 and has at least
19206	19206	25 10 years of service credit and is otherwise eligible under the
19207	19207	26 requirements of Article 8 or Article 11 of this Code,
19208	19208
19209	19209
19210	19210
19211	19211
19212	19212
19213	19213	SB0002 - 536 - LRB104 07746 RPS 17791 b
19214	19214
19215	19215
19216	19216	SB0002- 537 -LRB104 07746 RPS 17791 b SB0002 - 537 - LRB104 07746 RPS 17791 b
19217	19217	SB0002 - 537 - LRB104 07746 RPS 17791 b
19218	19218	1 whichever is applicable.
19219	19219	2 (d) The retirement annuity of a member or participant who
19220	19220	3 is retiring after attaining age 62 (age 60, with respect to
19221	19221	4 service under Article 12 that is subject to this Section, for a
19222	19222	5 member or participant under Article 12 who first becomes a
19223	19223	6 member or participant under Article 12 on or after January 1,
19224	19224	7 2022 or who makes the election under item (i) of subsection
19225	19225	8 (d-15) of this Section) with at least 10 years of service
19226	19226	9 credit shall be reduced by one-half of 1% for each full month
19227	19227	10 that the member's age is under age 67 (age 65, with respect to
19228	19228	11 service under Article 12 that is subject to this Section, for a
19229	19229	12 member or participant under Article 12 who first becomes a
19230	19230	13 member or participant under Article 12 on or after January 1,
19231	19231	14 2022 or who makes the election under item (i) of subsection
19232	19232	15 (d-15) of this Section).
19233	19233	16 (d-5) (Blank). The retirement annuity payable under
19234	19234	17 Article 8 or Article 11 to an eligible person subject to
19235	19235	18 subsection (c-5) of this Section who is retiring at age 60 with
19236	19236	19 at least 10 years of service credit shall be reduced by
19237	19237	20 one-half of 1% for each full month that the member's age is
19238	19238	21 under age 65.
19239	19239	22 (d-10) Each person who first became a member or
19240	19240	23 participant under Article 8 or Article 11 of this Code on or
19241	19241	24 after January 1, 2011 and prior to July 6, 2017 (the effective
19242	19242	25 date of Public Act 100-23) shall make an irrevocable election
19243	19243	26 either:
19244	19244
19245	19245
19246	19246
19247	19247
19248	19248
19249	19249	SB0002 - 537 - LRB104 07746 RPS 17791 b
19250	19250
19251	19251
19252	19252	SB0002- 538 -LRB104 07746 RPS 17791 b SB0002 - 538 - LRB104 07746 RPS 17791 b
19253	19253	SB0002 - 538 - LRB104 07746 RPS 17791 b
19254	19254	1 (i) to be eligible for the reduced retirement age
19255	19255	2 provided in subsections (c-5) and (d-5) of this Section,
19256	19256	3 the eligibility for which is conditioned upon the member
19257	19257	4 or participant agreeing to the increases in employee
19258	19258	5 contributions for age and service annuities provided in
19259	19259	6 subsection (a-5) of Section 8-174 of this Code (for
19260	19260	7 service under Article 8) or subsection (a-5) of Section
19261	19261	8 11-170 of this Code (for service under Article 11); or
19262	19262	9 (ii) to not agree to item (i) of this subsection
19263	19263	10 (d-10), in which case the member or participant shall
19264	19264	11 continue to be subject to the retirement age provisions in
19265	19265	12 subsections (c) and (d) of this Section and the employee
19266	19266	13 contributions for age and service annuity as provided in
19267	19267	14 subsection (a) of Section 8-174 of this Code (for service
19268	19268	15 under Article 8) or subsection (a) of Section 11-170 of
19269	19269	16 this Code (for service under Article 11).
19270	19270	17 The election provided for in this subsection shall be made
19271	19271	18 between October 1, 2017 and November 15, 2017. A person
19272	19272	19 subject to this subsection who makes the required election
19273	19273	20 shall remain bound by that election, except that an election
19274	19274	21 made under this subsection is rescinded by operation of law
19275	19275	22 and such person is subject to the provisions otherwise
19276	19276	23 applicable to a participant who first became a participant
19277	19277	24 under Article 8 or Article 11 on or after January 1, 2011. A
19278	19278	25 person subject to this subsection who fails for any reason to
19279	19279	26 make the required election within the time specified in this
19280	19280
19281	19281
19282	19282
19283	19283
19284	19284
19285	19285	SB0002 - 538 - LRB104 07746 RPS 17791 b
19286	19286
19287	19287
19288	19288	SB0002- 539 -LRB104 07746 RPS 17791 b SB0002 - 539 - LRB104 07746 RPS 17791 b
19289	19289	SB0002 - 539 - LRB104 07746 RPS 17791 b
19290	19290	1 subsection shall be deemed to have made the election under
19291	19291	2 item (ii).
19292	19292	3 (d-15) Each person who first becomes a member or
19293	19293	4 participant under Article 12 on or after January 1, 2011 and
19294	19294	5 prior to January 1, 2022 shall make an irrevocable election
19295	19295	6 either:
19296	19296	7 (i) to be eligible for the reduced retirement age
19297	19297	8 specified in subsections (c) and (d) of this Section, the
19298	19298	9 eligibility for which is conditioned upon the member or
19299	19299	10 participant agreeing to the increase in employee
19300	19300	11 contributions for service annuities specified in
19301	19301	12 subsection (b) of Section 12-150; or
19302	19302	13 (ii) to not agree to item (i) of this subsection
19303	19303	14 (d-15), in which case the member or participant shall not
19304	19304	15 be eligible for the reduced retirement age specified in
19305	19305	16 subsections (c) and (d) of this Section and shall not be
19306	19306	17 subject to the increase in employee contributions for
19307	19307	18 service annuities specified in subsection (b) of Section
19308	19308	19 12-150.
19309	19309	20 The election provided for in this subsection shall be made
19310	19310	21 between January 1, 2022 and April 1, 2022. A person subject to
19311	19311	22 this subsection who makes the required election shall remain
19312	19312	23 bound by that election, except that an election made under
19313	19313	24 this subsection is rescinded by operation of law and such
19314	19314	25 person is subject to the provisions otherwise applicable to a
19315	19315	26 participant who first became a participant under Article 12 on
19316	19316
19317	19317
19318	19318
19319	19319
19320	19320
19321	19321	SB0002 - 539 - LRB104 07746 RPS 17791 b
19322	19322
19323	19323
19324	19324	SB0002- 540 -LRB104 07746 RPS 17791 b SB0002 - 540 - LRB104 07746 RPS 17791 b
19325	19325	SB0002 - 540 - LRB104 07746 RPS 17791 b
19326	19326	1 or after January 1, 2011. A person subject to this subsection
19327	19327	2 who fails for any reason to make the required election within
19328	19328	3 the time specified in this subsection shall be deemed to have
19329	19329	4 made the election under item (ii).
19330	19330	5 (e) Any retirement annuity or supplemental annuity shall
19331	19331	6 be subject to annual increases on the January 1 occurring
19332	19332	7 either on or after the attainment of age 67 (age 65, with
19333	19333	8 respect to service under Article 12 that is subject to this
19334	19334	9 Section, for a member or participant under Article 12 who
19335	19335	10 first becomes a member or participant under Article 12 on or
19336	19336	11 after January 1, 2022 or who makes the election under item (i)
19337	19337	12 of subsection (d-15); and beginning on July 6, 2017 (the
19338	19338	13 effective date of Public Act 100-23), age 65 with respect to
19339	19339	14 service under Article 8 or Article 11 for eligible persons
19340	19340	15 who: (i) are subject to subsection (c-5) of this Section; or
19341	19341	16 (ii) made the election under item (i) of subsection (d-10) of
19342	19342	17 this Section) or the first anniversary of the annuity start
19343	19343	18 date, whichever is later. Each annual increase shall be
19344	19344	19 calculated at 3% or one-half the annual unadjusted percentage
19345	19345	20 increase (but not less than zero) in the consumer price
19346	19346	21 index-u for the 12 months ending with the September preceding
19347	19347	22 each November 1, whichever is less, of the originally granted
19348	19348	23 retirement annuity. If the annual unadjusted percentage change
19349	19349	24 in the consumer price index-u for the 12 months ending with the
19350	19350	25 September preceding each November 1 is zero or there is a
19351	19351	26 decrease, then the annuity shall not be increased.
19352	19352
19353	19353
19354	19354
19355	19355
19356	19356
19357	19357	SB0002 - 540 - LRB104 07746 RPS 17791 b
19358	19358
19359	19359
19360	19360	SB0002- 541 -LRB104 07746 RPS 17791 b SB0002 - 541 - LRB104 07746 RPS 17791 b
19361	19361	SB0002 - 541 - LRB104 07746 RPS 17791 b
19362	19362	1 For the purposes of Section 1-103.1 of this Code, the
19363	19363	2 changes made to this Section by Public Act 102-263 are
19364	19364	3 applicable without regard to whether the employee was in
19365	19365	4 active service on or after August 6, 2021 (the effective date
19366	19366	5 of Public Act 102-263).
19367	19367	6 For the purposes of Section 1-103.1 of this Code, the
19368	19368	7 changes made to this Section by Public Act 100-23 are
19369	19369	8 applicable without regard to whether the employee was in
19370	19370	9 active service on or after July 6, 2017 (the effective date of
19371	19371	10 Public Act 100-23).
19372	19372	11 (f) The initial survivor's or widow's annuity of an
19373	19373	12 otherwise eligible survivor or widow of a retired member or
19374	19374	13 participant who first became a member or participant on or
19375	19375	14 after January 1, 2011 shall be in the amount of 66 2/3% of the
19376	19376	15 retired member's or participant's retirement annuity at the
19377	19377	16 date of death. In the case of the death of a member or
19378	19378	17 participant who has not retired and who first became a member
19379	19379	18 or participant on or after January 1, 2011, eligibility for a
19380	19380	19 survivor's or widow's annuity shall be determined by the
19381	19381	20 applicable Article of this Code. The initial benefit shall be
19382	19382	21 66 2/3% of the earned annuity without a reduction due to age. A
19383	19383	22 child's annuity of an otherwise eligible child shall be in the
19384	19384	23 amount prescribed under each Article if applicable. Any
19385	19385	24 survivor's or widow's annuity shall be increased (1) on each
19386	19386	25 January 1 occurring on or after the commencement of the
19387	19387	26 annuity if the deceased member died while receiving a
19388	19388
19389	19389
19390	19390
19391	19391
19392	19392
19393	19393	SB0002 - 541 - LRB104 07746 RPS 17791 b
19394	19394
19395	19395
19396	19396	SB0002- 542 -LRB104 07746 RPS 17791 b SB0002 - 542 - LRB104 07746 RPS 17791 b
19397	19397	SB0002 - 542 - LRB104 07746 RPS 17791 b
19398	19398	1 retirement annuity or (2) in other cases, on each January 1
19399	19399	2 occurring after the first anniversary of the commencement of
19400	19400	3 the annuity. Each annual increase shall be calculated at 3% or
19401	19401	4 one-half the annual unadjusted percentage increase (but not
19402	19402	5 less than zero) in the consumer price index-u for the 12 months
19403	19403	6 ending with the September preceding each November 1, whichever
19404	19404	7 is less, of the originally granted survivor's annuity. If the
19405	19405	8 annual unadjusted percentage change in the consumer price
19406	19406	9 index-u for the 12 months ending with the September preceding
19407	19407	10 each November 1 is zero or there is a decrease, then the
19408	19408	11 annuity shall not be increased.
19409	19409	12 (g) The benefits in Section 14-110 apply if the person is a
19410	19410	13 fire fighter in the fire protection service of a department, a
19411	19411	14 security employee of the Department of Corrections or the
19412	19412	15 Department of Juvenile Justice, or a security employee of the
19413	19413	16 Department of Innovation and Technology, as those terms are
19414	19414	17 defined in subsection (b) and subsection (c) of Section
19415	19415	18 14-110. A person who meets the requirements of this Section is
19416	19416	19 entitled to an annuity calculated under the provisions of
19417	19417	20 Section 14-110, in lieu of the regular or minimum retirement
19418	19418	21 annuity, only if the person has withdrawn from service with
19419	19419	22 not less than 20 years of eligible creditable service and has
19420	19420	23 attained age 60, regardless of whether the attainment of age
19421	19421	24 60 occurs while the person is still in service.
19422	19422	25 (g-5) The benefits in Section 14-110 apply if the person
19423	19423	26 is a State policeman, investigator for the Secretary of State,
19424	19424
19425	19425
19426	19426
19427	19427
19428	19428
19429	19429	SB0002 - 542 - LRB104 07746 RPS 17791 b
19430	19430
19431	19431
19432	19432	SB0002- 543 -LRB104 07746 RPS 17791 b SB0002 - 543 - LRB104 07746 RPS 17791 b
19433	19433	SB0002 - 543 - LRB104 07746 RPS 17791 b
19434	19434	1 conservation police officer, investigator for the Department
19435	19435	2 of Revenue or the Illinois Gaming Board, investigator for the
19436	19436	3 Office of the Attorney General, Commerce Commission police
19437	19437	4 officer, or arson investigator, as those terms are defined in
19438	19438	5 subsection (b) and subsection (c) of Section 14-110. A person
19439	19439	6 who meets the requirements of this Section is entitled to an
19440	19440	7 annuity calculated under the provisions of Section 14-110, in
19441	19441	8 lieu of the regular or minimum retirement annuity, only if the
19442	19442	9 person has withdrawn from service with not less than 20 years
19443	19443	10 of eligible creditable service and has attained age 55,
19444	19444	11 regardless of whether the attainment of age 55 occurs while
19445	19445	12 the person is still in service.
19446	19446	13 (h) If a person who first becomes a member or a participant
19447	19447	14 of a retirement system or pension fund subject to this Section
19448	19448	15 on or after January 1, 2011 is receiving a retirement annuity
19449	19449	16 or retirement pension under that system or fund and becomes a
19450	19450	17 member or participant under any other system or fund created
19451	19451	18 by this Code and is employed on a full-time basis, except for
19452	19452	19 those members or participants exempted from the provisions of
19453	19453	20 this Section under subsection (a) of this Section, then the
19454	19454	21 person's retirement annuity or retirement pension under that
19455	19455	22 system or fund shall be suspended during that employment. Upon
19456	19456	23 termination of that employment, the person's retirement
19457	19457	24 annuity or retirement pension payments shall resume and be
19458	19458	25 recalculated if recalculation is provided for under the
19459	19459	26 applicable Article of this Code.
19460	19460
19461	19461
19462	19462
19463	19463
19464	19464
19465	19465	SB0002 - 543 - LRB104 07746 RPS 17791 b
19466	19466
19467	19467
19468	19468	SB0002- 544 -LRB104 07746 RPS 17791 b SB0002 - 544 - LRB104 07746 RPS 17791 b
19469	19469	SB0002 - 544 - LRB104 07746 RPS 17791 b
19470	19470	1 If a person who first becomes a member of a retirement
19471	19471	2 system or pension fund subject to this Section on or after
19472	19472	3 January 1, 2012 and is receiving a retirement annuity or
19473	19473	4 retirement pension under that system or fund and accepts on a
19474	19474	5 contractual basis a position to provide services to a
19475	19475	6 governmental entity from which he or she has retired, then
19476	19476	7 that person's annuity or retirement pension earned as an
19477	19477	8 active employee of the employer shall be suspended during that
19478	19478	9 contractual service. A person receiving an annuity or
19479	19479	10 retirement pension under this Code shall notify the pension
19480	19480	11 fund or retirement system from which he or she is receiving an
19481	19481	12 annuity or retirement pension, as well as his or her
19482	19482	13 contractual employer, of his or her retirement status before
19483	19483	14 accepting contractual employment. A person who fails to submit
19484	19484	15 such notification shall be guilty of a Class A misdemeanor and
19485	19485	16 required to pay a fine of $1,000. Upon termination of that
19486	19486	17 contractual employment, the person's retirement annuity or
19487	19487	18 retirement pension payments shall resume and, if appropriate,
19488	19488	19 be recalculated under the applicable provisions of this Code.
19489	19489	20 (i) (Blank).
19490	19490	21 (j) In the case of a conflict between the provisions of
19491	19491	22 this Section and any other provision of this Code, the
19492	19492	23 provisions of this Section shall control.
19493	19493	24 (Source: P.A. 101-610, eff. 1-1-20; 102-16, eff. 6-17-21;
19494	19494	25 102-210, eff. 1-1-22; 102-263, eff. 8-6-21; 102-719, eff.
19495	19495	26 5-6-22; 103-529, eff. 8-11-23.)
19496	19496
19497	19497
19498	19498
19499	19499
19500	19500
19501	19501	SB0002 - 544 - LRB104 07746 RPS 17791 b
19502	19502
19503	19503
19504	19504	SB0002- 545 -LRB104 07746 RPS 17791 b SB0002 - 545 - LRB104 07746 RPS 17791 b
19505	19505	SB0002 - 545 - LRB104 07746 RPS 17791 b
19506	19506	1 (Text of Section from P.A. 102-813)
19507	19507	2 Sec. 1-160. Provisions applicable to new hires.
19508	19508	3 (a) The provisions of this Section apply to a person who,
19509	19509	4 on or after January 1, 2011, first becomes a member or a
19510	19510	5 participant under any reciprocal retirement system or pension
19511	19511	6 fund established under this Code, other than a retirement
19512	19512	7 system or pension fund established under Article 2, 3, 4, 5, 6,
19513	19513	8 7, 15, or 18 of this Code, notwithstanding any other provision
19514	19514	9 of this Code to the contrary, but do not apply to any
19515	19515	10 self-managed plan established under this Code or to any
19516	19516	11 participant of the retirement plan established under Section
19517	19517	12 22-101; except that this Section applies to a person who
19518	19518	13 elected to establish alternative credits by electing in
19519	19519	14 writing after January 1, 2011, but before August 8, 2011,
19520	19520	15 under Section 7-145.1 of this Code. Notwithstanding anything
19521	19521	16 to the contrary in this Section, for purposes of this Section,
19522	19522	17 a person who is a Tier 1 regular employee as defined in Section
19523	19523	18 7-109.4 of this Code or who participated in a retirement
19524	19524	19 system under Article 15 prior to January 1, 2011 shall be
19525	19525	20 deemed a person who first became a member or participant prior
19526	19526	21 to January 1, 2011 under any retirement system or pension fund
19527	19527	22 subject to this Section. The changes made to this Section by
19528	19528	23 Public Act 98-596 are a clarification of existing law and are
19529	19529	24 intended to be retroactive to January 1, 2011 (the effective
19530	19530	25 date of Public Act 96-889), notwithstanding the provisions of
19531	19531
19532	19532
19533	19533
19534	19534
19535	19535
19536	19536	SB0002 - 545 - LRB104 07746 RPS 17791 b
19537	19537
19538	19538
19539	19539	SB0002- 546 -LRB104 07746 RPS 17791 b SB0002 - 546 - LRB104 07746 RPS 17791 b
19540	19540	SB0002 - 546 - LRB104 07746 RPS 17791 b
19541	19541	1 Section 1-103.1 of this Code.
19542	19542	2 This Section does not apply to a person who first becomes a
19543	19543	3 noncovered employee under Article 14 on or after the
19544	19544	4 implementation date of the plan created under Section 1-161
19545	19545	5 for that Article, unless that person elects under subsection
19546	19546	6 (b) of Section 1-161 to instead receive the benefits provided
19547	19547	7 under this Section and the applicable provisions of that
19548	19548	8 Article.
19549	19549	9 This Section does not apply to a person who first becomes a
19550	19550	10 member or participant under Article 16 on or after the
19551	19551	11 implementation date of the plan created under Section 1-161
19552	19552	12 for that Article, unless that person elects under subsection
19553	19553	13 (b) of Section 1-161 to instead receive the benefits provided
19554	19554	14 under this Section and the applicable provisions of that
19555	19555	15 Article.
19556	19556	16 This Section does not apply to a person who elects under
19557	19557	17 subsection (c-5) of Section 1-161 to receive the benefits
19558	19558	18 under Section 1-161.
19559	19559	19 This Section does not apply to a person who first becomes a
19560	19560	20 member or participant of an affected pension fund on or after 6
19561	19561	21 months after the resolution or ordinance date, as defined in
19562	19562	22 Section 1-162, unless that person elects under subsection (c)
19563	19563	23 of Section 1-162 to receive the benefits provided under this
19564	19564	24 Section and the applicable provisions of the Article under
19565	19565	25 which he or she is a member or participant.
19566	19566	26 (b) "Final average salary" means, except as otherwise
19567	19567
19568	19568
19569	19569
19570	19570
19571	19571
19572	19572	SB0002 - 546 - LRB104 07746 RPS 17791 b
19573	19573
19574	19574
19575	19575	SB0002- 547 -LRB104 07746 RPS 17791 b SB0002 - 547 - LRB104 07746 RPS 17791 b
19576	19576	SB0002 - 547 - LRB104 07746 RPS 17791 b
19577	19577	1 provided in this subsection, the average monthly (or annual)
19578	19578	2 salary obtained by dividing the total salary or earnings
19579	19579	3 calculated under the Article applicable to the member or
19580	19580	4 participant during the 96 consecutive months (or 8 consecutive
19581	19581	5 years) of service within the last 120 months (or 10 years) of
19582	19582	6 service in which the total salary or earnings calculated under
19583	19583	7 the applicable Article was the highest by the number of months
19584	19584	8 (or years) of service in that period. For the purposes of a
19585	19585	9 person who first becomes a member or participant of any
19586	19586	10 retirement system or pension fund to which this Section
19587	19587	11 applies on or after January 1, 2011, in this Code, "final
19588	19588	12 average salary" shall be substituted for the following:
19589	19589	13 (1) (Blank).
19590	19590	14 (2) In Articles 8, 9, 10, 11, and 12, "highest average
19591	19591	15 annual salary for any 4 consecutive years within the last
19592	19592	16 10 years of service immediately preceding the date of
19593	19593	17 withdrawal".
19594	19594	18 (3) In Article 13, "average final salary".
19595	19595	19 (4) In Article 14, "final average compensation".
19596	19596	20 (5) In Article 17, "average salary".
19597	19597	21 (6) In Section 22-207, "wages or salary received by
19598	19598	22 him at the date of retirement or discharge".
19599	19599	23 A member of the Teachers' Retirement System of the State
19600	19600	24 of Illinois who retires on or after June 1, 2021 and for whom
19601	19601	25 the 2020-2021 school year is used in the calculation of the
19602	19602	26 member's final average salary shall use the higher of the
19603	19603
19604	19604
19605	19605
19606	19606
19607	19607
19608	19608	SB0002 - 547 - LRB104 07746 RPS 17791 b
19609	19609
19610	19610
19611	19611	SB0002- 548 -LRB104 07746 RPS 17791 b SB0002 - 548 - LRB104 07746 RPS 17791 b
19612	19612	SB0002 - 548 - LRB104 07746 RPS 17791 b
19613	19613	1 following for the purpose of determining the member's final
19614	19614	2 average salary:
19615	19615	3 (A) the amount otherwise calculated under the first
19616	19616	4 paragraph of this subsection; or
19617	19617	5 (B) an amount calculated by the Teachers' Retirement
19618	19618	6 System of the State of Illinois using the average of the
19619	19619	7 monthly (or annual) salary obtained by dividing the total
19620	19620	8 salary or earnings calculated under Article 16 applicable
19621	19621	9 to the member or participant during the 96 months (or 8
19622	19622	10 years) of service within the last 120 months (or 10 years)
19623	19623	11 of service in which the total salary or earnings
19624	19624	12 calculated under the Article was the highest by the number
19625	19625	13 of months (or years) of service in that period.
19626	19626	14 (b-5) Beginning on January 1, 2011, for all purposes under
19627	19627	15 this Code (including without limitation the calculation of
19628	19628	16 benefits and employee contributions), the annual earnings,
19629	19629	17 salary, or wages (based on the plan year) of a member or
19630	19630	18 participant to whom this Section applies shall not exceed
19631	19631	19 $106,800; however, that amount shall annually thereafter be
19632	19632	20 increased by the lesser of (i) 3% of that amount, including all
19633	19633	21 previous adjustments, or (ii) one-half the annual unadjusted
19634	19634	22 percentage increase (but not less than zero) in the consumer
19635	19635	23 price index-u for the 12 months ending with the September
19636	19636	24 preceding each November 1, including all previous adjustments.
19637	19637	25 For the purposes of this Section, "consumer price index-u"
19638	19638	26 means the index published by the Bureau of Labor Statistics of
19639	19639
19640	19640
19641	19641
19642	19642
19643	19643
19644	19644	SB0002 - 548 - LRB104 07746 RPS 17791 b
19645	19645
19646	19646
19647	19647	SB0002- 549 -LRB104 07746 RPS 17791 b SB0002 - 549 - LRB104 07746 RPS 17791 b
19648	19648	SB0002 - 549 - LRB104 07746 RPS 17791 b
19649	19649	1 the United States Department of Labor that measures the
19650	19650	2 average change in prices of goods and services purchased by
19651	19651	3 all urban consumers, United States city average, all items,
19652	19652	4 1982-84 = 100. The new amount resulting from each annual
19653	19653	5 adjustment shall be determined by the Public Pension Division
19654	19654	6 of the Department of Insurance and made available to the
19655	19655	7 boards of the retirement systems and pension funds by November
19656	19656	8 1 of each year.
19657	19657	9 (b-10) Beginning on January 1, 2024, for all purposes
19658	19658	10 under this Code (including, without limitation, the
19659	19659	11 calculation of benefits and employee contributions), the
19660	19660	12 annual earnings, salary, or wages (based on the plan year) of a
19661	19661	13 member or participant under Article 9 to whom this Section
19662	19662	14 applies shall include an annual earnings, salary, or wage cap
19663	19663	15 that tracks the Social Security wage base. Maximum annual
19664	19664	16 earnings, wages, or salary shall be the annual contribution
19665	19665	17 and benefit base established for the applicable year by the
19666	19666	18 Commissioner of the Social Security Administration under the
19667	19667	19 federal Social Security Act.
19668	19668	20 However, in no event shall the annual earnings, salary, or
19669	19669	21 wages for the purposes of this Article and Article 9 exceed any
19670	19670	22 limitation imposed on annual earnings, salary, or wages under
19671	19671	23 Section 1-117. Under no circumstances shall the maximum amount
19672	19672	24 of annual earnings, salary, or wages be greater than the
19673	19673	25 amount set forth in this subsection (b-10) as a result of
19674	19674	26 reciprocal service or any provisions regarding reciprocal
19675	19675
19676	19676
19677	19677
19678	19678
19679	19679
19680	19680	SB0002 - 549 - LRB104 07746 RPS 17791 b
19681	19681
19682	19682
19683	19683	SB0002- 550 -LRB104 07746 RPS 17791 b SB0002 - 550 - LRB104 07746 RPS 17791 b
19684	19684	SB0002 - 550 - LRB104 07746 RPS 17791 b
19685	19685	1 services, nor shall the Fund under Article 9 be required to pay
19686	19686	2 any refund as a result of the application of this maximum
19687	19687	3 annual earnings, salary, and wage cap.
19688	19688	4 Nothing in this subsection (b-10) shall cause or otherwise
19689	19689	5 result in any retroactive adjustment of any employee
19690	19690	6 contributions. Nothing in this subsection (b-10) shall cause
19691	19691	7 or otherwise result in any retroactive adjustment of
19692	19692	8 disability or other payments made between January 1, 2011 and
19693	19693	9 January 1, 2024.
19694	19694	10 (c) A member or participant is entitled to a retirement
19695	19695	11 annuity upon written application if he or she has attained age
19696	19696	12 67 (age 65, with respect to service under Article 12 that is
19697	19697	13 subject to this Section, for a member or participant under
19698	19698	14 Article 12 who first becomes a member or participant under
19699	19699	15 Article 12 on or after January 1, 2022 or who makes the
19700	19700	16 election under item (i) of subsection (d-15) of this Section)
19701	19701	17 and has at least 10 years of service credit and is otherwise
19702	19702	18 eligible under the requirements of the applicable Article.
19703	19703	19 A member or participant who has attained age 62 (age 60,
19704	19704	20 with respect to service under Article 12 that is subject to
19705	19705	21 this Section, for a member or participant under Article 12 who
19706	19706	22 first becomes a member or participant under Article 12 on or
19707	19707	23 after January 1, 2022 or who makes the election under item (i)
19708	19708	24 of subsection (d-15) of this Section) and has at least 10 years
19709	19709	25 of service credit and is otherwise eligible under the
19710	19710	26 requirements of the applicable Article may elect to receive
19711	19711
19712	19712
19713	19713
19714	19714
19715	19715
19716	19716	SB0002 - 550 - LRB104 07746 RPS 17791 b
19717	19717
19718	19718
19719	19719	SB0002- 551 -LRB104 07746 RPS 17791 b SB0002 - 551 - LRB104 07746 RPS 17791 b
19720	19720	SB0002 - 551 - LRB104 07746 RPS 17791 b
19721	19721	1 the lower retirement annuity provided in subsection (d) of
19722	19722	2 this Section.
19723	19723	3 (c-5) (Blank). A person who first becomes a member or a
19724	19724	4 participant subject to this Section on or after July 6, 2017
19725	19725	5 (the effective date of Public Act 100-23), notwithstanding any
19726	19726	6 other provision of this Code to the contrary, is entitled to a
19727	19727	7 retirement annuity under Article 8 or Article 11 upon written
19728	19728	8 application if he or she has attained age 65 and has at least
19729	19729	9 10 years of service credit and is otherwise eligible under the
19730	19730	10 requirements of Article 8 or Article 11 of this Code,
19731	19731	11 whichever is applicable.
19732	19732	12 (d) The retirement annuity of a member or participant who
19733	19733	13 is retiring after attaining age 62 (age 60, with respect to
19734	19734	14 service under Article 12 that is subject to this Section, for a
19735	19735	15 member or participant under Article 12 who first becomes a
19736	19736	16 member or participant under Article 12 on or after January 1,
19737	19737	17 2022 or who makes the election under item (i) of subsection
19738	19738	18 (d-15) of this Section) with at least 10 years of service
19739	19739	19 credit shall be reduced by one-half of 1% for each full month
19740	19740	20 that the member's age is under age 67 (age 65, with respect to
19741	19741	21 service under Article 12 that is subject to this Section, for a
19742	19742	22 member or participant under Article 12 who first becomes a
19743	19743	23 member or participant under Article 12 on or after January 1,
19744	19744	24 2022 or who makes the election under item (i) of subsection
19745	19745	25 (d-15) of this Section).
19746	19746	26 (d-5) (Blank). The retirement annuity payable under
19747	19747
19748	19748
19749	19749
19750	19750
19751	19751
19752	19752	SB0002 - 551 - LRB104 07746 RPS 17791 b
19753	19753
19754	19754
19755	19755	SB0002- 552 -LRB104 07746 RPS 17791 b SB0002 - 552 - LRB104 07746 RPS 17791 b
19756	19756	SB0002 - 552 - LRB104 07746 RPS 17791 b
19757	19757	1 Article 8 or Article 11 to an eligible person subject to
19758	19758	2 subsection (c-5) of this Section who is retiring at age 60 with
19759	19759	3 at least 10 years of service credit shall be reduced by
19760	19760	4 one-half of 1% for each full month that the member's age is
19761	19761	5 under age 65.
19762	19762	6 (d-10) Each person who first became a member or
19763	19763	7 participant under Article 8 or Article 11 of this Code on or
19764	19764	8 after January 1, 2011 and prior to July 6, 2017 (the effective
19765	19765	9 date of Public Act 100-23) shall make an irrevocable election
19766	19766	10 either:
19767	19767	11 (i) to be eligible for the reduced retirement age
19768	19768	12 provided in subsections (c-5) and (d-5) of this Section,
19769	19769	13 the eligibility for which is conditioned upon the member
19770	19770	14 or participant agreeing to the increases in employee
19771	19771	15 contributions for age and service annuities provided in
19772	19772	16 subsection (a-5) of Section 8-174 of this Code (for
19773	19773	17 service under Article 8) or subsection (a-5) of Section
19774	19774	18 11-170 of this Code (for service under Article 11); or
19775	19775	19 (ii) to not agree to item (i) of this subsection
19776	19776	20 (d-10), in which case the member or participant shall
19777	19777	21 continue to be subject to the retirement age provisions in
19778	19778	22 subsections (c) and (d) of this Section and the employee
19779	19779	23 contributions for age and service annuity as provided in
19780	19780	24 subsection (a) of Section 8-174 of this Code (for service
19781	19781	25 under Article 8) or subsection (a) of Section 11-170 of
19782	19782	26 this Code (for service under Article 11).
19783	19783
19784	19784
19785	19785
19786	19786
19787	19787
19788	19788	SB0002 - 552 - LRB104 07746 RPS 17791 b
19789	19789
19790	19790
19791	19791	SB0002- 553 -LRB104 07746 RPS 17791 b SB0002 - 553 - LRB104 07746 RPS 17791 b
19792	19792	SB0002 - 553 - LRB104 07746 RPS 17791 b
19793	19793	1 The election provided for in this subsection shall be made
19794	19794	2 between October 1, 2017 and November 15, 2017. A person
19795	19795	3 subject to this subsection who makes the required election
19796	19796	4 shall remain bound by that election, except that an election
19797	19797	5 made under this subsection is rescinded by operation of law
19798	19798	6 and such person is subject to the provisions otherwise
19799	19799	7 applicable to a participant who first became a participant
19800	19800	8 under Article 8 or Article 11 on or after January 1, 2011. A
19801	19801	9 person subject to this subsection who fails for any reason to
19802	19802	10 make the required election within the time specified in this
19803	19803	11 subsection shall be deemed to have made the election under
19804	19804	12 item (ii).
19805	19805	13 (d-15) Each person who first becomes a member or
19806	19806	14 participant under Article 12 on or after January 1, 2011 and
19807	19807	15 prior to January 1, 2022 shall make an irrevocable election
19808	19808	16 either:
19809	19809	17 (i) to be eligible for the reduced retirement age
19810	19810	18 specified in subsections (c) and (d) of this Section, the
19811	19811	19 eligibility for which is conditioned upon the member or
19812	19812	20 participant agreeing to the increase in employee
19813	19813	21 contributions for service annuities specified in
19814	19814	22 subsection (b) of Section 12-150; or
19815	19815	23 (ii) to not agree to item (i) of this subsection
19816	19816	24 (d-15), in which case the member or participant shall not
19817	19817	25 be eligible for the reduced retirement age specified in
19818	19818	26 subsections (c) and (d) of this Section and shall not be
19819	19819
19820	19820
19821	19821
19822	19822
19823	19823
19824	19824	SB0002 - 553 - LRB104 07746 RPS 17791 b
19825	19825
19826	19826
19827	19827	SB0002- 554 -LRB104 07746 RPS 17791 b SB0002 - 554 - LRB104 07746 RPS 17791 b
19828	19828	SB0002 - 554 - LRB104 07746 RPS 17791 b
19829	19829	1 subject to the increase in employee contributions for
19830	19830	2 service annuities specified in subsection (b) of Section
19831	19831	3 12-150.
19832	19832	4 The election provided for in this subsection shall be made
19833	19833	5 between January 1, 2022 and April 1, 2022. A person subject to
19834	19834	6 this subsection who makes the required election shall remain
19835	19835	7 bound by that election, except that an election made under
19836	19836	8 this subsection is rescinded by operation of law and such
19837	19837	9 person is subject to the provisions otherwise applicable to a
19838	19838	10 participant who first became a participant under Article 12 on
19839	19839	11 or after January 1, 2011. A person subject to this subsection
19840	19840	12 who fails for any reason to make the required election within
19841	19841	13 the time specified in this subsection shall be deemed to have
19842	19842	14 made the election under item (ii).
19843	19843	15 (e) Any retirement annuity or supplemental annuity shall
19844	19844	16 be subject to annual increases on the January 1 occurring
19845	19845	17 either on or after the attainment of age 67 (age 65, with
19846	19846	18 respect to service under Article 12 that is subject to this
19847	19847	19 Section, for a member or participant under Article 12 who
19848	19848	20 first becomes a member or participant under Article 12 on or
19849	19849	21 after January 1, 2022 or who makes the election under item (i)
19850	19850	22 of subsection (d-15); and beginning on July 6, 2017 (the
19851	19851	23 effective date of Public Act 100-23), age 65 with respect to
19852	19852	24 service under Article 8 or Article 11 for eligible persons
19853	19853	25 who: (i) are subject to subsection (c-5) of this Section; or
19854	19854	26 (ii) made the election under item (i) of subsection (d-10) of
19855	19855
19856	19856
19857	19857
19858	19858
19859	19859
19860	19860	SB0002 - 554 - LRB104 07746 RPS 17791 b
19861	19861
19862	19862
19863	19863	SB0002- 555 -LRB104 07746 RPS 17791 b SB0002 - 555 - LRB104 07746 RPS 17791 b
19864	19864	SB0002 - 555 - LRB104 07746 RPS 17791 b
19865	19865	1 this Section) or the first anniversary of the annuity start
19866	19866	2 date, whichever is later. Each annual increase shall be
19867	19867	3 calculated at 3% or one-half the annual unadjusted percentage
19868	19868	4 increase (but not less than zero) in the consumer price
19869	19869	5 index-u for the 12 months ending with the September preceding
19870	19870	6 each November 1, whichever is less, of the originally granted
19871	19871	7 retirement annuity. If the annual unadjusted percentage change
19872	19872	8 in the consumer price index-u for the 12 months ending with the
19873	19873	9 September preceding each November 1 is zero or there is a
19874	19874	10 decrease, then the annuity shall not be increased.
19875	19875	11 For the purposes of Section 1-103.1 of this Code, the
19876	19876	12 changes made to this Section by Public Act 102-263 are
19877	19877	13 applicable without regard to whether the employee was in
19878	19878	14 active service on or after August 6, 2021 (the effective date
19879	19879	15 of Public Act 102-263).
19880	19880	16 For the purposes of Section 1-103.1 of this Code, the
19881	19881	17 changes made to this Section by Public Act 100-23 are
19882	19882	18 applicable without regard to whether the employee was in
19883	19883	19 active service on or after July 6, 2017 (the effective date of
19884	19884	20 Public Act 100-23).
19885	19885	21 (f) The initial survivor's or widow's annuity of an
19886	19886	22 otherwise eligible survivor or widow of a retired member or
19887	19887	23 participant who first became a member or participant on or
19888	19888	24 after January 1, 2011 shall be in the amount of 66 2/3% of the
19889	19889	25 retired member's or participant's retirement annuity at the
19890	19890	26 date of death. In the case of the death of a member or
19891	19891
19892	19892
19893	19893
19894	19894
19895	19895
19896	19896	SB0002 - 555 - LRB104 07746 RPS 17791 b
19897	19897
19898	19898
19899	19899	SB0002- 556 -LRB104 07746 RPS 17791 b SB0002 - 556 - LRB104 07746 RPS 17791 b
19900	19900	SB0002 - 556 - LRB104 07746 RPS 17791 b
19901	19901	1 participant who has not retired and who first became a member
19902	19902	2 or participant on or after January 1, 2011, eligibility for a
19903	19903	3 survivor's or widow's annuity shall be determined by the
19904	19904	4 applicable Article of this Code. The initial benefit shall be
19905	19905	5 66 2/3% of the earned annuity without a reduction due to age. A
19906	19906	6 child's annuity of an otherwise eligible child shall be in the
19907	19907	7 amount prescribed under each Article if applicable. Any
19908	19908	8 survivor's or widow's annuity shall be increased (1) on each
19909	19909	9 January 1 occurring on or after the commencement of the
19910	19910	10 annuity if the deceased member died while receiving a
19911	19911	11 retirement annuity or (2) in other cases, on each January 1
19912	19912	12 occurring after the first anniversary of the commencement of
19913	19913	13 the annuity. Each annual increase shall be calculated at 3% or
19914	19914	14 one-half the annual unadjusted percentage increase (but not
19915	19915	15 less than zero) in the consumer price index-u for the 12 months
19916	19916	16 ending with the September preceding each November 1, whichever
19917	19917	17 is less, of the originally granted survivor's annuity. If the
19918	19918	18 annual unadjusted percentage change in the consumer price
19919	19919	19 index-u for the 12 months ending with the September preceding
19920	19920	20 each November 1 is zero or there is a decrease, then the
19921	19921	21 annuity shall not be increased.
19922	19922	22 (g) The benefits in Section 14-110 apply only if the
19923	19923	23 person is a State policeman, a fire fighter in the fire
19924	19924	24 protection service of a department, a conservation police
19925	19925	25 officer, an investigator for the Secretary of State, an arson
19926	19926	26 investigator, a Commerce Commission police officer,
19927	19927
19928	19928
19929	19929
19930	19930
19931	19931
19932	19932	SB0002 - 556 - LRB104 07746 RPS 17791 b
19933	19933
19934	19934
19935	19935	SB0002- 557 -LRB104 07746 RPS 17791 b SB0002 - 557 - LRB104 07746 RPS 17791 b
19936	19936	SB0002 - 557 - LRB104 07746 RPS 17791 b
19937	19937	1 investigator for the Department of Revenue or the Illinois
19938	19938	2 Gaming Board, a security employee of the Department of
19939	19939	3 Corrections or the Department of Juvenile Justice, or a
19940	19940	4 security employee of the Department of Innovation and
19941	19941	5 Technology, as those terms are defined in subsection (b) and
19942	19942	6 subsection (c) of Section 14-110. A person who meets the
19943	19943	7 requirements of this Section is entitled to an annuity
19944	19944	8 calculated under the provisions of Section 14-110, in lieu of
19945	19945	9 the regular or minimum retirement annuity, only if the person
19946	19946	10 has withdrawn from service with not less than 20 years of
19947	19947	11 eligible creditable service and has attained age 60,
19948	19948	12 regardless of whether the attainment of age 60 occurs while
19949	19949	13 the person is still in service.
19950	19950	14 (h) If a person who first becomes a member or a participant
19951	19951	15 of a retirement system or pension fund subject to this Section
19952	19952	16 on or after January 1, 2011 is receiving a retirement annuity
19953	19953	17 or retirement pension under that system or fund and becomes a
19954	19954	18 member or participant under any other system or fund created
19955	19955	19 by this Code and is employed on a full-time basis, except for
19956	19956	20 those members or participants exempted from the provisions of
19957	19957	21 this Section under subsection (a) of this Section, then the
19958	19958	22 person's retirement annuity or retirement pension under that
19959	19959	23 system or fund shall be suspended during that employment. Upon
19960	19960	24 termination of that employment, the person's retirement
19961	19961	25 annuity or retirement pension payments shall resume and be
19962	19962	26 recalculated if recalculation is provided for under the
19963	19963
19964	19964
19965	19965
19966	19966
19967	19967
19968	19968	SB0002 - 557 - LRB104 07746 RPS 17791 b
19969	19969
19970	19970
19971	19971	SB0002- 558 -LRB104 07746 RPS 17791 b SB0002 - 558 - LRB104 07746 RPS 17791 b
19972	19972	SB0002 - 558 - LRB104 07746 RPS 17791 b
19973	19973	1 applicable Article of this Code.
19974	19974	2 If a person who first becomes a member of a retirement
19975	19975	3 system or pension fund subject to this Section on or after
19976	19976	4 January 1, 2012 and is receiving a retirement annuity or
19977	19977	5 retirement pension under that system or fund and accepts on a
19978	19978	6 contractual basis a position to provide services to a
19979	19979	7 governmental entity from which he or she has retired, then
19980	19980	8 that person's annuity or retirement pension earned as an
19981	19981	9 active employee of the employer shall be suspended during that
19982	19982	10 contractual service. A person receiving an annuity or
19983	19983	11 retirement pension under this Code shall notify the pension
19984	19984	12 fund or retirement system from which he or she is receiving an
19985	19985	13 annuity or retirement pension, as well as his or her
19986	19986	14 contractual employer, of his or her retirement status before
19987	19987	15 accepting contractual employment. A person who fails to submit
19988	19988	16 such notification shall be guilty of a Class A misdemeanor and
19989	19989	17 required to pay a fine of $1,000. Upon termination of that
19990	19990	18 contractual employment, the person's retirement annuity or
19991	19991	19 retirement pension payments shall resume and, if appropriate,
19992	19992	20 be recalculated under the applicable provisions of this Code.
19993	19993	21 (i) (Blank).
19994	19994	22 (j) In the case of a conflict between the provisions of
19995	19995	23 this Section and any other provision of this Code, the
19996	19996	24 provisions of this Section shall control.
19997	19997	25 (Source: P.A. 101-610, eff. 1-1-20; 102-16, eff. 6-17-21;
19998	19998	26 102-210, eff. 1-1-22; 102-263, eff. 8-6-21; 102-813, eff.
19999	19999
20000	20000
20001	20001
20002	20002
20003	20003
20004	20004	SB0002 - 558 - LRB104 07746 RPS 17791 b
20005	20005
20006	20006
20007	20007	SB0002- 559 -LRB104 07746 RPS 17791 b SB0002 - 559 - LRB104 07746 RPS 17791 b
20008	20008	SB0002 - 559 - LRB104 07746 RPS 17791 b
20009	20009	1 5-13-22; 103-529, eff. 8-11-23.)
20010	20010	2 (Text of Section from P.A. 102-956)
20011	20011	3 Sec. 1-160. Provisions applicable to new hires.
20012	20012	4 (a) The provisions of this Section apply to a person who,
20013	20013	5 on or after January 1, 2011, first becomes a member or a
20014	20014	6 participant under any reciprocal retirement system or pension
20015	20015	7 fund established under this Code, other than a retirement
20016	20016	8 system or pension fund established under Article 2, 3, 4, 5, 6,
20017	20017	9 7, 15, or 18 of this Code, notwithstanding any other provision
20018	20018	10 of this Code to the contrary, but do not apply to any
20019	20019	11 self-managed plan established under this Code or to any
20020	20020	12 participant of the retirement plan established under Section
20021	20021	13 22-101; except that this Section applies to a person who
20022	20022	14 elected to establish alternative credits by electing in
20023	20023	15 writing after January 1, 2011, but before August 8, 2011,
20024	20024	16 under Section 7-145.1 of this Code. Notwithstanding anything
20025	20025	17 to the contrary in this Section, for purposes of this Section,
20026	20026	18 a person who is a Tier 1 regular employee as defined in Section
20027	20027	19 7-109.4 of this Code or who participated in a retirement
20028	20028	20 system under Article 15 prior to January 1, 2011 shall be
20029	20029	21 deemed a person who first became a member or participant prior
20030	20030	22 to January 1, 2011 under any retirement system or pension fund
20031	20031	23 subject to this Section. The changes made to this Section by
20032	20032	24 Public Act 98-596 are a clarification of existing law and are
20033	20033	25 intended to be retroactive to January 1, 2011 (the effective
20034	20034
20035	20035
20036	20036
20037	20037
20038	20038
20039	20039	SB0002 - 559 - LRB104 07746 RPS 17791 b
20040	20040
20041	20041
20042	20042	SB0002- 560 -LRB104 07746 RPS 17791 b SB0002 - 560 - LRB104 07746 RPS 17791 b
20043	20043	SB0002 - 560 - LRB104 07746 RPS 17791 b
20044	20044	1 date of Public Act 96-889), notwithstanding the provisions of
20045	20045	2 Section 1-103.1 of this Code.
20046	20046	3 This Section does not apply to a person who first becomes a
20047	20047	4 noncovered employee under Article 14 on or after the
20048	20048	5 implementation date of the plan created under Section 1-161
20049	20049	6 for that Article, unless that person elects under subsection
20050	20050	7 (b) of Section 1-161 to instead receive the benefits provided
20051	20051	8 under this Section and the applicable provisions of that
20052	20052	9 Article.
20053	20053	10 This Section does not apply to a person who first becomes a
20054	20054	11 member or participant under Article 16 on or after the
20055	20055	12 implementation date of the plan created under Section 1-161
20056	20056	13 for that Article, unless that person elects under subsection
20057	20057	14 (b) of Section 1-161 to instead receive the benefits provided
20058	20058	15 under this Section and the applicable provisions of that
20059	20059	16 Article.
20060	20060	17 This Section does not apply to a person who elects under
20061	20061	18 subsection (c-5) of Section 1-161 to receive the benefits
20062	20062	19 under Section 1-161.
20063	20063	20 This Section does not apply to a person who first becomes a
20064	20064	21 member or participant of an affected pension fund on or after 6
20065	20065	22 months after the resolution or ordinance date, as defined in
20066	20066	23 Section 1-162, unless that person elects under subsection (c)
20067	20067	24 of Section 1-162 to receive the benefits provided under this
20068	20068	25 Section and the applicable provisions of the Article under
20069	20069	26 which he or she is a member or participant.
20070	20070
20071	20071
20072	20072
20073	20073
20074	20074
20075	20075	SB0002 - 560 - LRB104 07746 RPS 17791 b
20076	20076
20077	20077
20078	20078	SB0002- 561 -LRB104 07746 RPS 17791 b SB0002 - 561 - LRB104 07746 RPS 17791 b
20079	20079	SB0002 - 561 - LRB104 07746 RPS 17791 b
20080	20080	1 (b) "Final average salary" means, except as otherwise
20081	20081	2 provided in this subsection, the average monthly (or annual)
20082	20082	3 salary obtained by dividing the total salary or earnings
20083	20083	4 calculated under the Article applicable to the member or
20084	20084	5 participant during the 96 consecutive months (or 8 consecutive
20085	20085	6 years) of service within the last 120 months (or 10 years) of
20086	20086	7 service in which the total salary or earnings calculated under
20087	20087	8 the applicable Article was the highest by the number of months
20088	20088	9 (or years) of service in that period. For the purposes of a
20089	20089	10 person who first becomes a member or participant of any
20090	20090	11 retirement system or pension fund to which this Section
20091	20091	12 applies on or after January 1, 2011, in this Code, "final
20092	20092	13 average salary" shall be substituted for the following:
20093	20093	14 (1) (Blank).
20094	20094	15 (2) In Articles 8, 9, 10, 11, and 12, "highest average
20095	20095	16 annual salary for any 4 consecutive years within the last
20096	20096	17 10 years of service immediately preceding the date of
20097	20097	18 withdrawal".
20098	20098	19 (3) In Article 13, "average final salary".
20099	20099	20 (4) In Article 14, "final average compensation".
20100	20100	21 (5) In Article 17, "average salary".
20101	20101	22 (6) In Section 22-207, "wages or salary received by
20102	20102	23 him at the date of retirement or discharge".
20103	20103	24 A member of the Teachers' Retirement System of the State
20104	20104	25 of Illinois who retires on or after June 1, 2021 and for whom
20105	20105	26 the 2020-2021 school year is used in the calculation of the
20106	20106
20107	20107
20108	20108
20109	20109
20110	20110
20111	20111	SB0002 - 561 - LRB104 07746 RPS 17791 b
20112	20112
20113	20113
20114	20114	SB0002- 562 -LRB104 07746 RPS 17791 b SB0002 - 562 - LRB104 07746 RPS 17791 b
20115	20115	SB0002 - 562 - LRB104 07746 RPS 17791 b
20116	20116	1 member's final average salary shall use the higher of the
20117	20117	2 following for the purpose of determining the member's final
20118	20118	3 average salary:
20119	20119	4 (A) the amount otherwise calculated under the first
20120	20120	5 paragraph of this subsection; or
20121	20121	6 (B) an amount calculated by the Teachers' Retirement
20122	20122	7 System of the State of Illinois using the average of the
20123	20123	8 monthly (or annual) salary obtained by dividing the total
20124	20124	9 salary or earnings calculated under Article 16 applicable
20125	20125	10 to the member or participant during the 96 months (or 8
20126	20126	11 years) of service within the last 120 months (or 10 years)
20127	20127	12 of service in which the total salary or earnings
20128	20128	13 calculated under the Article was the highest by the number
20129	20129	14 of months (or years) of service in that period.
20130	20130	15 (b-5) Beginning on January 1, 2011, for all purposes under
20131	20131	16 this Code (including without limitation the calculation of
20132	20132	17 benefits and employee contributions), the annual earnings,
20133	20133	18 salary, or wages (based on the plan year) of a member or
20134	20134	19 participant to whom this Section applies shall not exceed
20135	20135	20 $106,800; however, that amount shall annually thereafter be
20136	20136	21 increased by the lesser of (i) 3% of that amount, including all
20137	20137	22 previous adjustments, or (ii) one-half the annual unadjusted
20138	20138	23 percentage increase (but not less than zero) in the consumer
20139	20139	24 price index-u for the 12 months ending with the September
20140	20140	25 preceding each November 1, including all previous adjustments.
20141	20141	26 For the purposes of this Section, "consumer price index-u"
20142	20142
20143	20143
20144	20144
20145	20145
20146	20146
20147	20147	SB0002 - 562 - LRB104 07746 RPS 17791 b
20148	20148
20149	20149
20150	20150	SB0002- 563 -LRB104 07746 RPS 17791 b SB0002 - 563 - LRB104 07746 RPS 17791 b
20151	20151	SB0002 - 563 - LRB104 07746 RPS 17791 b
20152	20152	1 means the index published by the Bureau of Labor Statistics of
20153	20153	2 the United States Department of Labor that measures the
20154	20154	3 average change in prices of goods and services purchased by
20155	20155	4 all urban consumers, United States city average, all items,
20156	20156	5 1982-84 = 100. The new amount resulting from each annual
20157	20157	6 adjustment shall be determined by the Public Pension Division
20158	20158	7 of the Department of Insurance and made available to the
20159	20159	8 boards of the retirement systems and pension funds by November
20160	20160	9 1 of each year.
20161	20161	10 (b-10) Beginning on January 1, 2024, for all purposes
20162	20162	11 under this Code (including, without limitation, the
20163	20163	12 calculation of benefits and employee contributions), the
20164	20164	13 annual earnings, salary, or wages (based on the plan year) of a
20165	20165	14 member or participant under Article 9 to whom this Section
20166	20166	15 applies shall include an annual earnings, salary, or wage cap
20167	20167	16 that tracks the Social Security wage base. Maximum annual
20168	20168	17 earnings, wages, or salary shall be the annual contribution
20169	20169	18 and benefit base established for the applicable year by the
20170	20170	19 Commissioner of the Social Security Administration under the
20171	20171	20 federal Social Security Act.
20172	20172	21 However, in no event shall the annual earnings, salary, or
20173	20173	22 wages for the purposes of this Article and Article 9 exceed any
20174	20174	23 limitation imposed on annual earnings, salary, or wages under
20175	20175	24 Section 1-117. Under no circumstances shall the maximum amount
20176	20176	25 of annual earnings, salary, or wages be greater than the
20177	20177	26 amount set forth in this subsection (b-10) as a result of
20178	20178
20179	20179
20180	20180
20181	20181
20182	20182
20183	20183	SB0002 - 563 - LRB104 07746 RPS 17791 b
20184	20184
20185	20185
20186	20186	SB0002- 564 -LRB104 07746 RPS 17791 b SB0002 - 564 - LRB104 07746 RPS 17791 b
20187	20187	SB0002 - 564 - LRB104 07746 RPS 17791 b
20188	20188	1 reciprocal service or any provisions regarding reciprocal
20189	20189	2 services, nor shall the Fund under Article 9 be required to pay
20190	20190	3 any refund as a result of the application of this maximum
20191	20191	4 annual earnings, salary, and wage cap.
20192	20192	5 Nothing in this subsection (b-10) shall cause or otherwise
20193	20193	6 result in any retroactive adjustment of any employee
20194	20194	7 contributions. Nothing in this subsection (b-10) shall cause
20195	20195	8 or otherwise result in any retroactive adjustment of
20196	20196	9 disability or other payments made between January 1, 2011 and
20197	20197	10 January 1, 2024.
20198	20198	11 (c) A member or participant is entitled to a retirement
20199	20199	12 annuity upon written application if he or she has attained age
20200	20200	13 67 (age 65, with respect to service under Article 12 that is
20201	20201	14 subject to this Section, for a member or participant under
20202	20202	15 Article 12 who first becomes a member or participant under
20203	20203	16 Article 12 on or after January 1, 2022 or who makes the
20204	20204	17 election under item (i) of subsection (d-15) of this Section)
20205	20205	18 and has at least 10 years of service credit and is otherwise
20206	20206	19 eligible under the requirements of the applicable Article.
20207	20207	20 A member or participant who has attained age 62 (age 60,
20208	20208	21 with respect to service under Article 12 that is subject to
20209	20209	22 this Section, for a member or participant under Article 12 who
20210	20210	23 first becomes a member or participant under Article 12 on or
20211	20211	24 after January 1, 2022 or who makes the election under item (i)
20212	20212	25 of subsection (d-15) of this Section) and has at least 10 years
20213	20213	26 of service credit and is otherwise eligible under the
20214	20214
20215	20215
20216	20216
20217	20217
20218	20218
20219	20219	SB0002 - 564 - LRB104 07746 RPS 17791 b
20220	20220
20221	20221
20222	20222	SB0002- 565 -LRB104 07746 RPS 17791 b SB0002 - 565 - LRB104 07746 RPS 17791 b
20223	20223	SB0002 - 565 - LRB104 07746 RPS 17791 b
20224	20224	1 requirements of the applicable Article may elect to receive
20225	20225	2 the lower retirement annuity provided in subsection (d) of
20226	20226	3 this Section.
20227	20227	4 (c-5) (Blank). A person who first becomes a member or a
20228	20228	5 participant subject to this Section on or after July 6, 2017
20229	20229	6 (the effective date of Public Act 100-23), notwithstanding any
20230	20230	7 other provision of this Code to the contrary, is entitled to a
20231	20231	8 retirement annuity under Article 8 or Article 11 upon written
20232	20232	9 application if he or she has attained age 65 and has at least
20233	20233	10 10 years of service credit and is otherwise eligible under the
20234	20234	11 requirements of Article 8 or Article 11 of this Code,
20235	20235	12 whichever is applicable.
20236	20236	13 (d) The retirement annuity of a member or participant who
20237	20237	14 is retiring after attaining age 62 (age 60, with respect to
20238	20238	15 service under Article 12 that is subject to this Section, for a
20239	20239	16 member or participant under Article 12 who first becomes a
20240	20240	17 member or participant under Article 12 on or after January 1,
20241	20241	18 2022 or who makes the election under item (i) of subsection
20242	20242	19 (d-15) of this Section) with at least 10 years of service
20243	20243	20 credit shall be reduced by one-half of 1% for each full month
20244	20244	21 that the member's age is under age 67 (age 65, with respect to
20245	20245	22 service under Article 12 that is subject to this Section, for a
20246	20246	23 member or participant under Article 12 who first becomes a
20247	20247	24 member or participant under Article 12 on or after January 1,
20248	20248	25 2022 or who makes the election under item (i) of subsection
20249	20249	26 (d-15) of this Section).
20250	20250
20251	20251
20252	20252
20253	20253
20254	20254
20255	20255	SB0002 - 565 - LRB104 07746 RPS 17791 b
20256	20256
20257	20257
20258	20258	SB0002- 566 -LRB104 07746 RPS 17791 b SB0002 - 566 - LRB104 07746 RPS 17791 b
20259	20259	SB0002 - 566 - LRB104 07746 RPS 17791 b
20260	20260	1 (d-5) (Blank). The retirement annuity payable under
20261	20261	2 Article 8 or Article 11 to an eligible person subject to
20262	20262	3 subsection (c-5) of this Section who is retiring at age 60 with
20263	20263	4 at least 10 years of service credit shall be reduced by
20264	20264	5 one-half of 1% for each full month that the member's age is
20265	20265	6 under age 65.
20266	20266	7 (d-10) Each person who first became a member or
20267	20267	8 participant under Article 8 or Article 11 of this Code on or
20268	20268	9 after January 1, 2011 and prior to July 6, 2017 (the effective
20269	20269	10 date of Public Act 100-23) shall make an irrevocable election
20270	20270	11 either:
20271	20271	12 (i) to be eligible for the reduced retirement age
20272	20272	13 provided in subsections (c-5) and (d-5) of this Section,
20273	20273	14 the eligibility for which is conditioned upon the member
20274	20274	15 or participant agreeing to the increases in employee
20275	20275	16 contributions for age and service annuities provided in
20276	20276	17 subsection (a-5) of Section 8-174 of this Code (for
20277	20277	18 service under Article 8) or subsection (a-5) of Section
20278	20278	19 11-170 of this Code (for service under Article 11); or
20279	20279	20 (ii) to not agree to item (i) of this subsection
20280	20280	21 (d-10), in which case the member or participant shall
20281	20281	22 continue to be subject to the retirement age provisions in
20282	20282	23 subsections (c) and (d) of this Section and the employee
20283	20283	24 contributions for age and service annuity as provided in
20284	20284	25 subsection (a) of Section 8-174 of this Code (for service
20285	20285	26 under Article 8) or subsection (a) of Section 11-170 of
20286	20286
20287	20287
20288	20288
20289	20289
20290	20290
20291	20291	SB0002 - 566 - LRB104 07746 RPS 17791 b
20292	20292
20293	20293
20294	20294	SB0002- 567 -LRB104 07746 RPS 17791 b SB0002 - 567 - LRB104 07746 RPS 17791 b
20295	20295	SB0002 - 567 - LRB104 07746 RPS 17791 b
20296	20296	1 this Code (for service under Article 11).
20297	20297	2 The election provided for in this subsection shall be made
20298	20298	3 between October 1, 2017 and November 15, 2017. A person
20299	20299	4 subject to this subsection who makes the required election
20300	20300	5 shall remain bound by that election, except that an election
20301	20301	6 made under this subsection is rescinded by operation of law
20302	20302	7 and such person is subject to the provisions otherwise
20303	20303	8 applicable to a participant who first became a participant
20304	20304	9 under Article 8 or Article 11 on or after January 1, 2011. A
20305	20305	10 person subject to this subsection who fails for any reason to
20306	20306	11 make the required election within the time specified in this
20307	20307	12 subsection shall be deemed to have made the election under
20308	20308	13 item (ii).
20309	20309	14 (d-15) Each person who first becomes a member or
20310	20310	15 participant under Article 12 on or after January 1, 2011 and
20311	20311	16 prior to January 1, 2022 shall make an irrevocable election
20312	20312	17 either:
20313	20313	18 (i) to be eligible for the reduced retirement age
20314	20314	19 specified in subsections (c) and (d) of this Section, the
20315	20315	20 eligibility for which is conditioned upon the member or
20316	20316	21 participant agreeing to the increase in employee
20317	20317	22 contributions for service annuities specified in
20318	20318	23 subsection (b) of Section 12-150; or
20319	20319	24 (ii) to not agree to item (i) of this subsection
20320	20320	25 (d-15), in which case the member or participant shall not
20321	20321	26 be eligible for the reduced retirement age specified in
20322	20322
20323	20323
20324	20324
20325	20325
20326	20326
20327	20327	SB0002 - 567 - LRB104 07746 RPS 17791 b
20328	20328
20329	20329
20330	20330	SB0002- 568 -LRB104 07746 RPS 17791 b SB0002 - 568 - LRB104 07746 RPS 17791 b
20331	20331	SB0002 - 568 - LRB104 07746 RPS 17791 b
20332	20332	1 subsections (c) and (d) of this Section and shall not be
20333	20333	2 subject to the increase in employee contributions for
20334	20334	3 service annuities specified in subsection (b) of Section
20335	20335	4 12-150.
20336	20336	5 The election provided for in this subsection shall be made
20337	20337	6 between January 1, 2022 and April 1, 2022. A person subject to
20338	20338	7 this subsection who makes the required election shall remain
20339	20339	8 bound by that election, except that an election made under
20340	20340	9 this subsection is rescinded by operation of law and such
20341	20341	10 person is subject to the provisions otherwise applicable to a
20342	20342	11 participant who first became a participant under Article 12 on
20343	20343	12 or after January 1, 2011. A person subject to this subsection
20344	20344	13 who fails for any reason to make the required election within
20345	20345	14 the time specified in this subsection shall be deemed to have
20346	20346	15 made the election under item (ii).
20347	20347	16 (e) Any retirement annuity or supplemental annuity shall
20348	20348	17 be subject to annual increases on the January 1 occurring
20349	20349	18 either on or after the attainment of age 67 (age 65, with
20350	20350	19 respect to service under Article 12 that is subject to this
20351	20351	20 Section, for a member or participant under Article 12 who
20352	20352	21 first becomes a member or participant under Article 12 on or
20353	20353	22 after January 1, 2022 or who makes the election under item (i)
20354	20354	23 of subsection (d-15); and beginning on July 6, 2017 (the
20355	20355	24 effective date of Public Act 100-23), age 65 with respect to
20356	20356	25 service under Article 8 or Article 11 for eligible persons
20357	20357	26 who: (i) are subject to subsection (c-5) of this Section; or
20358	20358
20359	20359
20360	20360
20361	20361
20362	20362
20363	20363	SB0002 - 568 - LRB104 07746 RPS 17791 b
20364	20364
20365	20365
20366	20366	SB0002- 569 -LRB104 07746 RPS 17791 b SB0002 - 569 - LRB104 07746 RPS 17791 b
20367	20367	SB0002 - 569 - LRB104 07746 RPS 17791 b
20368	20368	1 (ii) made the election under item (i) of subsection (d-10) of
20369	20369	2 this Section) or the first anniversary of the annuity start
20370	20370	3 date, whichever is later. Each annual increase shall be
20371	20371	4 calculated at 3% or one-half the annual unadjusted percentage
20372	20372	5 increase (but not less than zero) in the consumer price
20373	20373	6 index-u for the 12 months ending with the September preceding
20374	20374	7 each November 1, whichever is less, of the originally granted
20375	20375	8 retirement annuity. If the annual unadjusted percentage change
20376	20376	9 in the consumer price index-u for the 12 months ending with the
20377	20377	10 September preceding each November 1 is zero or there is a
20378	20378	11 decrease, then the annuity shall not be increased.
20379	20379	12 For the purposes of Section 1-103.1 of this Code, the
20380	20380	13 changes made to this Section by Public Act 102-263 are
20381	20381	14 applicable without regard to whether the employee was in
20382	20382	15 active service on or after August 6, 2021 (the effective date
20383	20383	16 of Public Act 102-263).
20384	20384	17 For the purposes of Section 1-103.1 of this Code, the
20385	20385	18 changes made to this Section by Public Act 100-23 are
20386	20386	19 applicable without regard to whether the employee was in
20387	20387	20 active service on or after July 6, 2017 (the effective date of
20388	20388	21 Public Act 100-23).
20389	20389	22 (f) The initial survivor's or widow's annuity of an
20390	20390	23 otherwise eligible survivor or widow of a retired member or
20391	20391	24 participant who first became a member or participant on or
20392	20392	25 after January 1, 2011 shall be in the amount of 66 2/3% of the
20393	20393	26 retired member's or participant's retirement annuity at the
20394	20394
20395	20395
20396	20396
20397	20397
20398	20398
20399	20399	SB0002 - 569 - LRB104 07746 RPS 17791 b
20400	20400
20401	20401
20402	20402	SB0002- 570 -LRB104 07746 RPS 17791 b SB0002 - 570 - LRB104 07746 RPS 17791 b
20403	20403	SB0002 - 570 - LRB104 07746 RPS 17791 b
20404	20404	1 date of death. In the case of the death of a member or
20405	20405	2 participant who has not retired and who first became a member
20406	20406	3 or participant on or after January 1, 2011, eligibility for a
20407	20407	4 survivor's or widow's annuity shall be determined by the
20408	20408	5 applicable Article of this Code. The initial benefit shall be
20409	20409	6 66 2/3% of the earned annuity without a reduction due to age. A
20410	20410	7 child's annuity of an otherwise eligible child shall be in the
20411	20411	8 amount prescribed under each Article if applicable. Any
20412	20412	9 survivor's or widow's annuity shall be increased (1) on each
20413	20413	10 January 1 occurring on or after the commencement of the
20414	20414	11 annuity if the deceased member died while receiving a
20415	20415	12 retirement annuity or (2) in other cases, on each January 1
20416	20416	13 occurring after the first anniversary of the commencement of
20417	20417	14 the annuity. Each annual increase shall be calculated at 3% or
20418	20418	15 one-half the annual unadjusted percentage increase (but not
20419	20419	16 less than zero) in the consumer price index-u for the 12 months
20420	20420	17 ending with the September preceding each November 1, whichever
20421	20421	18 is less, of the originally granted survivor's annuity. If the
20422	20422	19 annual unadjusted percentage change in the consumer price
20423	20423	20 index-u for the 12 months ending with the September preceding
20424	20424	21 each November 1 is zero or there is a decrease, then the
20425	20425	22 annuity shall not be increased.
20426	20426	23 (g) The benefits in Section 14-110 apply only if the
20427	20427	24 person is a State policeman, a fire fighter in the fire
20428	20428	25 protection service of a department, a conservation police
20429	20429	26 officer, an investigator for the Secretary of State, an
20430	20430
20431	20431
20432	20432
20433	20433
20434	20434
20435	20435	SB0002 - 570 - LRB104 07746 RPS 17791 b
20436	20436
20437	20437
20438	20438	SB0002- 571 -LRB104 07746 RPS 17791 b SB0002 - 571 - LRB104 07746 RPS 17791 b
20439	20439	SB0002 - 571 - LRB104 07746 RPS 17791 b
20440	20440	1 investigator for the Office of the Attorney General, an arson
20441	20441	2 investigator, a Commerce Commission police officer,
20442	20442	3 investigator for the Department of Revenue or the Illinois
20443	20443	4 Gaming Board, a security employee of the Department of
20444	20444	5 Corrections or the Department of Juvenile Justice, or a
20445	20445	6 security employee of the Department of Innovation and
20446	20446	7 Technology, as those terms are defined in subsection (b) and
20447	20447	8 subsection (c) of Section 14-110. A person who meets the
20448	20448	9 requirements of this Section is entitled to an annuity
20449	20449	10 calculated under the provisions of Section 14-110, in lieu of
20450	20450	11 the regular or minimum retirement annuity, only if the person
20451	20451	12 has withdrawn from service with not less than 20 years of
20452	20452	13 eligible creditable service and has attained age 60,
20453	20453	14 regardless of whether the attainment of age 60 occurs while
20454	20454	15 the person is still in service.
20455	20455	16 (h) If a person who first becomes a member or a participant
20456	20456	17 of a retirement system or pension fund subject to this Section
20457	20457	18 on or after January 1, 2011 is receiving a retirement annuity
20458	20458	19 or retirement pension under that system or fund and becomes a
20459	20459	20 member or participant under any other system or fund created
20460	20460	21 by this Code and is employed on a full-time basis, except for
20461	20461	22 those members or participants exempted from the provisions of
20462	20462	23 this Section under subsection (a) of this Section, then the
20463	20463	24 person's retirement annuity or retirement pension under that
20464	20464	25 system or fund shall be suspended during that employment. Upon
20465	20465	26 termination of that employment, the person's retirement
20466	20466
20467	20467
20468	20468
20469	20469
20470	20470
20471	20471	SB0002 - 571 - LRB104 07746 RPS 17791 b
20472	20472
20473	20473
20474	20474	SB0002- 572 -LRB104 07746 RPS 17791 b SB0002 - 572 - LRB104 07746 RPS 17791 b
20475	20475	SB0002 - 572 - LRB104 07746 RPS 17791 b
20476	20476	1 annuity or retirement pension payments shall resume and be
20477	20477	2 recalculated if recalculation is provided for under the
20478	20478	3 applicable Article of this Code.
20479	20479	4 If a person who first becomes a member of a retirement
20480	20480	5 system or pension fund subject to this Section on or after
20481	20481	6 January 1, 2012 and is receiving a retirement annuity or
20482	20482	7 retirement pension under that system or fund and accepts on a
20483	20483	8 contractual basis a position to provide services to a
20484	20484	9 governmental entity from which he or she has retired, then
20485	20485	10 that person's annuity or retirement pension earned as an
20486	20486	11 active employee of the employer shall be suspended during that
20487	20487	12 contractual service. A person receiving an annuity or
20488	20488	13 retirement pension under this Code shall notify the pension
20489	20489	14 fund or retirement system from which he or she is receiving an
20490	20490	15 annuity or retirement pension, as well as his or her
20491	20491	16 contractual employer, of his or her retirement status before
20492	20492	17 accepting contractual employment. A person who fails to submit
20493	20493	18 such notification shall be guilty of a Class A misdemeanor and
20494	20494	19 required to pay a fine of $1,000. Upon termination of that
20495	20495	20 contractual employment, the person's retirement annuity or
20496	20496	21 retirement pension payments shall resume and, if appropriate,
20497	20497	22 be recalculated under the applicable provisions of this Code.
20498	20498	23 (i) (Blank).
20499	20499	24 (j) In the case of a conflict between the provisions of
20500	20500	25 this Section and any other provision of this Code, the
20501	20501	26 provisions of this Section shall control.
20502	20502
20503	20503
20504	20504
20505	20505
20506	20506
20507	20507	SB0002 - 572 - LRB104 07746 RPS 17791 b
20508	20508
20509	20509
20510	20510	SB0002- 573 -LRB104 07746 RPS 17791 b SB0002 - 573 - LRB104 07746 RPS 17791 b
20511	20511	SB0002 - 573 - LRB104 07746 RPS 17791 b
20512	20512	1 (Source: P.A. 102-16, eff. 6-17-21; 102-210, eff. 1-1-22;
20513	20513	2 102-263, eff. 8-6-21; 102-956, eff. 5-27-22; 103-529, eff.
20514	20514	3 8-11-23.)
20515	20515	4 (40 ILCS 5/8-174) (from Ch. 108 1/2, par. 8-174)
20516	20516	5 Sec. 8-174. Contributions for age and service annuities
20517	20517	6 for present employees and future entrants.
20518	20518	7 (a) Beginning on the effective date and prior to July 1,
20519	20519	8 1947, 3 1/4%; and beginning on July 1, 1947 and prior to July
20520	20520	9 1, 1953, 5%; and beginning July 1, 1953, and prior to January
20521	20521	10 1, 1972, 6%; and beginning January 1, 1972, 6-1/2% of each
20522	20522	11 payment of the salary of each present employee and future
20523	20523	12 entrant, except as provided in subsection (a-5) and (a-10),
20524	20524	13 shall be contributed to the fund as a deduction from salary for
20525	20525	14 age and service annuity.
20526	20526	15 (a-5) Except as provided in subsection (a-10), for an
20527	20527	16 employee who made the election under item (i) of subsection
20528	20528	17 (d-10) of Section 1-160: prior to the effective date of this
20529	20529	18 amendatory Act of the 100th General Assembly, 6.5%; and
20530	20530	19 beginning on the effective date of this amendatory Act of the
20531	20531	20 100th General Assembly and prior to January 1, 2018, 7.5%; and
20532	20532	21 beginning January 1, 2018 and prior to January 1, 2019, 8.5%;
20533	20533	22 and beginning January 1, 2019 and thereafter, employee
20534	20534	23 contributions for those employees who made the election under
20535	20535	24 item (i) of subsection (d-10) of Section 1-160 shall be the
20536	20536	25 lesser of: (i) the total normal cost, calculated using the
20537	20537
20538	20538
20539	20539
20540	20540
20541	20541
20542	20542	SB0002 - 573 - LRB104 07746 RPS 17791 b
20543	20543
20544	20544
20545	20545	SB0002- 574 -LRB104 07746 RPS 17791 b SB0002 - 574 - LRB104 07746 RPS 17791 b
20546	20546	SB0002 - 574 - LRB104 07746 RPS 17791 b
20547	20547	1 entry age normal actuarial method, projected for the prior
20548	20548	2 fiscal year for the benefits and expenses of the plan of
20549	20549	3 benefits applicable to those members and participants who
20550	20550	4 first became members or participants on or after the effective
20551	20551	5 date of this amendatory Act of the 100th General Assembly and
20552	20552	6 to those employees who made the election under item (i) of
20553	20553	7 subsection (d-10) of Section 1-160, but not less than 6.5% of
20554	20554	8 each payment of salary combined with the employee
20555	20555	9 contributions provided for in subsection (b) of Section 8-137
20556	20556	10 and Section 8-182 of this Article; or (ii) the aggregate
20557	20557	11 employee contribution consisting of 9.5% of each payment of
20558	20558	12 salary combined with the employee contributions provided for
20559	20559	13 in subsection (b) of Section 8-137 and 8-182 of this Article.
20560	20560	14 For the one-year period beginning with the first pay
20561	20561	15 period in January of each year after the date when the funded
20562	20562	16 ratio of the fund as determined in the annual actuarial
20563	20563	17 valuation is first determined to have reached the 90% funding
20564	20564	18 goal, and each subsequent one-year period thereafter for as
20565	20565	19 long as the fund maintains a funding ratio of 75% or more,
20566	20566	20 employee contributions for age and service annuity for those
20567	20567	21 employees who made the election under item (i) of subsection
20568	20568	22 (d-10) of Section 1-160 shall be 5.5% of each payment of
20569	20569	23 salary. If the funding ratio falls below 75%, then employee
20570	20570	24 contributions for age and service annuity for those employees
20571	20571	25 who made the election under item (i) of subsection (d-10)
20572	20572	26 shall revert to the lesser of: (A) the total normal cost,
20573	20573
20574	20574
20575	20575
20576	20576
20577	20577
20578	20578	SB0002 - 574 - LRB104 07746 RPS 17791 b
20579	20579
20580	20580
20581	20581	SB0002- 575 -LRB104 07746 RPS 17791 b SB0002 - 575 - LRB104 07746 RPS 17791 b
20582	20582	SB0002 - 575 - LRB104 07746 RPS 17791 b
20583	20583	1 calculated using the entry age normal actuarial method,
20584	20584	2 projected for the prior fiscal year for the benefits and
20585	20585	3 expenses of the plan of benefits applicable to those members
20586	20586	4 and participants who first became members or participants on
20587	20587	5 or after the effective date of this amendatory Act of the 100th
20588	20588	6 General Assembly and to those employees who made the election
20589	20589	7 under item (i) of subsection (d-10) of Section 1-160, but not
20590	20590	8 less than 6.5% of each payment of salary combined with the
20591	20591	9 employee contributions provided for in subsection (b) of
20592	20592	10 Section 8-137 and Section 8-182 of this Article; or (B) the
20593	20593	11 aggregate employee contribution consisting of 9.5% of each
20594	20594	12 payment of salary combined with the employee contributions
20595	20595	13 provided for in subsection (b) of Section 8-137 and 8-182 of
20596	20596	14 this Article. If the fund once again is determined to have
20597	20597	15 reached a funding ratio of 75%, the 5.5% of salary
20598	20598	16 contribution for age and service annuity shall resume. An
20599	20599	17 employee who made the election under item (ii) of subsection
20600	20600	18 (d-10) of Section 1-160 shall continue to have the
20601	20601	19 contributions for age and service annuity determined under
20602	20602	20 subsection (a) of this Section.
20603	20603	21 If contributions are reduced to less than the aggregate
20604	20604	22 employee contribution described in item (ii) or item (B) of
20605	20605	23 this subsection due to application of the normal cost
20606	20606	24 criterion, the employee contribution amount shall be
20607	20607	25 consistent for that fiscal year.
20608	20608	26 The normal cost, for the purposes of this subsection (a-5)
20609	20609
20610	20610
20611	20611
20612	20612
20613	20613
20614	20614	SB0002 - 575 - LRB104 07746 RPS 17791 b
20615	20615
20616	20616
20617	20617	SB0002- 576 -LRB104 07746 RPS 17791 b SB0002 - 576 - LRB104 07746 RPS 17791 b
20618	20618	SB0002 - 576 - LRB104 07746 RPS 17791 b
20619	20619	1 and subsection (a-10), shall be calculated by an independent
20620	20620	2 enrolled actuary mutually agreed upon by the fund and the
20621	20621	3 City. The fees and expenses of the independent actuary shall
20622	20622	4 be the responsibility of the City. For purposes of this
20623	20623	5 subsection (a-5), the fund and the City shall both be
20624	20624	6 considered to be the clients of the actuary, and the actuary
20625	20625	7 shall utilize participant data and actuarial standards to
20626	20626	8 calculate the normal cost. The fund shall provide information
20627	20627	9 that the actuary requests in order to calculate the applicable
20628	20628	10 normal cost.
20629	20629	11 (a-10) For each employee subject to subsection (c-5) of
20630	20630	12 Section 1-160, 9.5% of each payment of salary shall be
20631	20631	13 contributed to the fund as a deduction from salary for age and
20632	20632	14 service annuity. Beginning January 1, 2018 and each year
20633	20633	15 thereafter, employee contributions for each employee subject
20634	20634	16 to this subsection (a-10) shall be the lesser of: (i) the total
20635	20635	17 normal cost, calculated using the entry age normal actuarial
20636	20636	18 method, projected for the prior fiscal year for the benefits
20637	20637	19 and expenses of the plan of benefits applicable to those
20638	20638	20 members and participants who first become members or
20639	20639	21 participants on or after the effective date of this amendatory
20640	20640	22 Act of the 100th General Assembly and to those employees who
20641	20641	23 made the election under item (i) of subsection (d-10) of
20642	20642	24 Section 1-160, but not less than 6.5% of each payment of salary
20643	20643	25 combined with the employee contributions provided for in
20644	20644	26 subsection (b) of Section 8-137 and Section 8-182 of this
20645	20645
20646	20646
20647	20647
20648	20648
20649	20649
20650	20650	SB0002 - 576 - LRB104 07746 RPS 17791 b
20651	20651
20652	20652
20653	20653	SB0002- 577 -LRB104 07746 RPS 17791 b SB0002 - 577 - LRB104 07746 RPS 17791 b
20654	20654	SB0002 - 577 - LRB104 07746 RPS 17791 b
20655	20655	1 Article; or (ii) the aggregate employee contribution
20656	20656	2 consisting of 9.5% of each payment of salary combined with the
20657	20657	3 employee contributions provided for in subsection (b) of
20658	20658	4 Section 8-137 and Section 8-182 of this Article.
20659	20659	5 For the one-year period beginning with the first pay
20660	20660	6 period in January of each year after the date when the funded
20661	20661	7 ratio of the fund as determined in the annual actuarial
20662	20662	8 valuation is first determined to have reached the 90% funding
20663	20663	9 goal, and each subsequent one-year period thereafter for as
20664	20664	10 long as the fund maintains a funding ratio of 75% or more,
20665	20665	11 employee contributions for age and service annuity for each
20666	20666	12 employee subject to this subsection (a-10) shall be 5.5% of
20667	20667	13 each payment of salary. If the funding ratio falls below 75%,
20668	20668	14 then employee contributions for age and service annuity for
20669	20669	15 each employee subject to this subsection (a-10) shall revert
20670	20670	16 to the lesser of: (A) the total normal cost, calculated using
20671	20671	17 the entry age normal actuarial method, projected for the prior
20672	20672	18 fiscal year for the benefits and expenses of the plan of
20673	20673	19 benefits applicable to those members and participants who
20674	20674	20 first become members or participants on or after the effective
20675	20675	21 date of this amendatory Act of the 100th General Assembly and
20676	20676	22 to those employees who made the election under item (i) of
20677	20677	23 subsection (d-10) of Section 1-160, but not less than 6.5% of
20678	20678	24 each payment of salary combined with the employee
20679	20679	25 contributions provided for in subsection (b) of Section 8-137
20680	20680	26 and Section 8-182 of this Article; or (B) the aggregate
20681	20681
20682	20682
20683	20683
20684	20684
20685	20685
20686	20686	SB0002 - 577 - LRB104 07746 RPS 17791 b
20687	20687
20688	20688
20689	20689	SB0002- 578 -LRB104 07746 RPS 17791 b SB0002 - 578 - LRB104 07746 RPS 17791 b
20690	20690	SB0002 - 578 - LRB104 07746 RPS 17791 b
20691	20691	1 employee contribution consisting of 9.5% of each payment of
20692	20692	2 salary combined with the employee contributions provided for
20693	20693	3 in subsection (b) of Section 8-137 and Section 8-182 of this
20694	20694	4 Article. If the fund once again is determined to have reached a
20695	20695	5 funding ratio of 75%, the 5.5% of salary contribution for age
20696	20696	6 and service annuity shall resume.
20697	20697	7 If contributions are reduced to less than the aggregate
20698	20698	8 employee contribution described in item (ii) or item (B) of
20699	20699	9 this subsection (a-10) due to application of the normal cost
20700	20700	10 criterion, the employee contribution amount shall be
20701	20701	11 consistent for that fiscal year.
20702	20702	12 Such deductions beginning on the effective date and prior
20703	20703	13 to July 1, 1947 shall be made for a future entrant while he is
20704	20704	14 in the service until he attains age 65 and for a present
20705	20705	15 employee while he is in the service until the amount so
20706	20706	16 deducted from his salary with the amount deducted from his
20707	20707	17 salary or paid by him according to law to any municipal pension
20708	20708	18 fund in force on the effective date with interest on both such
20709	20709	19 amounts at 4% per annum equals the sum that would have been to
20710	20710	20 his credit from sums deducted from his salary if deductions at
20711	20711	21 the rate herein stated had been made during his entire service
20712	20712	22 until he attained age 65 with interest at 4% per annum for the
20713	20713	23 period subsequent to his attainment of age 65. Such deductions
20714	20714	24 beginning July 1, 1947 shall be made and continued for
20715	20715	25 employees while in the service.
20716	20716	26 (b) Concurrently with each employee contribution, the city
20717	20717
20718	20718
20719	20719
20720	20720
20721	20721
20722	20722	SB0002 - 578 - LRB104 07746 RPS 17791 b
20723	20723
20724	20724
20725	20725	SB0002- 579 -LRB104 07746 RPS 17791 b SB0002 - 579 - LRB104 07746 RPS 17791 b
20726	20726	SB0002 - 579 - LRB104 07746 RPS 17791 b
20727	20727	1 shall contribute beginning on the effective date and prior to
20728	20728	2 July 1, 1947, 5 3/4%; and beginning July 1, 1947 and prior to
20729	20729	3 July 1, 1953, 7%; and beginning July 1, 1953 and prior to July
20730	20730	4 6, 2017, 6% of each payment of such salary until the employee
20731	20731	5 attains age 65. Beginning July 6, 2017, the Fund shall credit
20732	20732	6 sums equal to 6% of each payment of such salary for annuity
20733	20733	7 purposes. The amounts credited for annuity purposes shall not
20734	20734	8 be credited for refund purposes.
20735	20735	9 (c) Each employee contribution made prior to the date the
20736	20736	10 age and service annuity for an employee is fixed and each
20737	20737	11 corresponding city contribution shall be credited to the
20738	20738	12 employee and allocated to the account of the employee for
20739	20739	13 whose benefit it is made.
20740	20740	14 (d) The changes made to this subsection by this amendatory
20741	20741	15 Act of the 104th General Assembly do not entitle an employee to
20742	20742	16 any refund of contributions already made. However, the changes
20743	20743	17 made to this subsection by this amendatory Act of the 104th
20744	20744	18 General Assembly are not intended to limit an employee's
20745	20745	19 entitlement to a refund under any other provision of this
20746	20746	20 Code. Notwithstanding Section 1-103.1, the changes to this
20747	20747	21 Section made by this amendatory Act of the 100th General
20748	20748	22 Assembly apply regardless of whether the employee was in
20749	20749	23 active service on or after the effective date of this
20750	20750	24 amendatory Act of the 100th General Assembly.
20751	20751	25 (Source: P.A. 100-23, eff. 7-6-17; 100-1166, eff. 1-4-19.)
20752	20752
20753	20753
20754	20754
20755	20755
20756	20756
20757	20757	SB0002 - 579 - LRB104 07746 RPS 17791 b
20758	20758
20759	20759
20760	20760	SB0002- 580 -LRB104 07746 RPS 17791 b SB0002 - 580 - LRB104 07746 RPS 17791 b
20761	20761	SB0002 - 580 - LRB104 07746 RPS 17791 b
20762	20762	1 (40 ILCS 5/11-170) (from Ch. 108 1/2, par. 11-170)
20763	20763	2 Sec. 11-170. Contributions for age and service annuities
20764	20764	3 for present employees, future entrants and re-entrants.
20765	20765	4 (a) Beginning on the effective date and prior to July 1,
20766	20766	5 1947, 3 1/4%; and beginning on July 1, 1947 and prior to July
20767	20767	6 1, 1953, 5%; and beginning July 1, 1953 and prior to January 1,
20768	20768	7 1972, 6%; and beginning January 1, 1972, 6 1/2% of each payment
20769	20769	8 of the salary of each present employee, future entrant, and
20770	20770	9 re-entrant, except as provided in subsection (a-5) and (a-10),
20771	20771	10 shall be contributed to the fund as a deduction from salary for
20772	20772	11 age and service annuity.
20773	20773	12 (a-5) Except as provided in subsection (a-10), for an
20774	20774	13 employee who made the election under item (i) of subsection
20775	20775	14 (d-10) of Section 1-160: prior to the effective date of this
20776	20776	15 amendatory Act of the 100th General Assembly, 6.5%; and
20777	20777	16 beginning on the effective date of this amendatory Act of the
20778	20778	17 100th General Assembly and prior to January 1, 2018, 7.5%; and
20779	20779	18 beginning January 1, 2018 and prior to January 1, 2019, 8.5%;
20780	20780	19 and beginning January 1, 2019 and thereafter, employee
20781	20781	20 contributions for those employees who made the election under
20782	20782	21 item (i) of subsection (d-10) of Section 1-160 shall be the
20783	20783	22 lesser of: (i) the total normal cost, calculated using the
20784	20784	23 entry age normal actuarial method, projected for the prior
20785	20785	24 fiscal year for the benefits and expenses of the plan of
20786	20786	25 benefits applicable to those members and participants who
20787	20787	26 first became members or participants on or after the effective
20788	20788
20789	20789
20790	20790
20791	20791
20792	20792
20793	20793	SB0002 - 580 - LRB104 07746 RPS 17791 b
20794	20794
20795	20795
20796	20796	SB0002- 581 -LRB104 07746 RPS 17791 b SB0002 - 581 - LRB104 07746 RPS 17791 b
20797	20797	SB0002 - 581 - LRB104 07746 RPS 17791 b
20798	20798	1 date of this amendatory Act of the 100th General Assembly and
20799	20799	2 to those employees who made the election under item (i) of
20800	20800	3 subsection (d-10) of Section 1-160, but not less than 6.5% of
20801	20801	4 each payment of salary combined with the employee
20802	20802	5 contributions provided for in subsection (b) of Section
20803	20803	6 11-134.1 and Section 11-174 of this Article; or (ii) the
20804	20804	7 aggregate employee contribution consisting of 9.5% of each
20805	20805	8 payment of salary combined with the employee contributions
20806	20806	9 provided for in subsection (b) of Section 11-134.1 and 11-174
20807	20807	10 of this Article.
20808	20808	11 For the one-year period beginning with the first pay
20809	20809	12 period in January of each year the date when the funded ratio
20810	20810	13 of the fund as determined in the annual actuarial valuation is
20811	20811	14 first determined to have reached the 90% funding goal, and
20812	20812	15 each subsequent one-year period thereafter for as long as the
20813	20813	16 fund maintains a funding ratio of 75% or more, employee
20814	20814	17 contributions for age and service annuity for those employees
20815	20815	18 who made the election under item (i) of subsection (d-10) of
20816	20816	19 Section 1-160 shall be 5.5% of each payment of salary. If the
20817	20817	20 funding ratio falls below 75%, then employee contributions for
20818	20818	21 age and service annuity for those employees who made the
20819	20819	22 election under item (i) of subsection (d-10) shall revert to
20820	20820	23 the lesser of: (A) the total normal cost, calculated using the
20821	20821	24 entry age normal actuarial method, projected for the prior
20822	20822	25 fiscal year for the benefits and expenses of the plan of
20823	20823	26 benefits applicable to those members and participants who
20824	20824
20825	20825
20826	20826
20827	20827
20828	20828
20829	20829	SB0002 - 581 - LRB104 07746 RPS 17791 b
20830	20830
20831	20831
20832	20832	SB0002- 582 -LRB104 07746 RPS 17791 b SB0002 - 582 - LRB104 07746 RPS 17791 b
20833	20833	SB0002 - 582 - LRB104 07746 RPS 17791 b
20834	20834	1 first became members or participants on or after the effective
20835	20835	2 date of this amendatory Act of the 100th General Assembly and
20836	20836	3 to those employees who made the election under item (i) of
20837	20837	4 subsection (d-10) of Section 1-160, but not less than 6.5% of
20838	20838	5 each payment of salary combined with the employee
20839	20839	6 contributions provided for in subsection (b) of Section
20840	20840	7 11-134.1 and Section 11-174 of this Article; or (B) the
20841	20841	8 aggregate employee contribution consisting of 9.5% of each
20842	20842	9 payment of salary combined with the employee contributions
20843	20843	10 provided for in subsection (b) of Section 11-134.1 and 11-174
20844	20844	11 of this Article. If the fund once again is determined to have
20845	20845	12 reached a funding ratio of 75%, the 5.5% of salary
20846	20846	13 contribution for age and service annuity shall resume. An
20847	20847	14 employee who made the election under item (ii) of subsection
20848	20848	15 (d-10) of Section 1-160 shall continue to have the
20849	20849	16 contributions for age and service annuity determined under
20850	20850	17 subsection (a) of this Section.
20851	20851	18 If contributions are reduced to less than the aggregate
20852	20852	19 employee contribution described in item (ii) or item (B) of
20853	20853	20 this subsection due to application of the normal cost
20854	20854	21 criterion, the employee contribution amount shall be
20855	20855	22 consistent for that fiscal year.
20856	20856	23 The normal cost, for the purposes of this subsection (a-5)
20857	20857	24 and subsection (a-10), shall be calculated by an independent
20858	20858	25 enrolled actuary mutually agreed upon by the fund and the
20859	20859	26 City. The fees and expenses of the independent actuary shall
20860	20860
20861	20861
20862	20862
20863	20863
20864	20864
20865	20865	SB0002 - 582 - LRB104 07746 RPS 17791 b
20866	20866
20867	20867
20868	20868	SB0002- 583 -LRB104 07746 RPS 17791 b SB0002 - 583 - LRB104 07746 RPS 17791 b
20869	20869	SB0002 - 583 - LRB104 07746 RPS 17791 b
20870	20870	1 be the responsibility of the City. For purposes of this
20871	20871	2 subsection (a-5), the fund and the City shall both be
20872	20872	3 considered to be the clients of the actuary, and the actuary
20873	20873	4 shall utilize participant data and actuarial standards to
20874	20874	5 calculate the normal cost. The fund shall provide information
20875	20875	6 that the actuary requests in order to calculate the applicable
20876	20876	7 normal cost.
20877	20877	8 (a-10) For each employee subject to subsection (c-5) of
20878	20878	9 Section 1-160, 9.5% of each payment of salary shall be
20879	20879	10 contributed to the fund as a deduction from salary for age and
20880	20880	11 service annuity. Beginning January 1, 2018 and each year
20881	20881	12 thereafter, employee contributions for each employee subject
20882	20882	13 to this subsection (a-10) shall be the lesser of: (i) the total
20883	20883	14 normal cost, calculated using the entry age normal actuarial
20884	20884	15 method, projected for the prior fiscal year for the benefits
20885	20885	16 and expenses of the plan of benefits applicable to those
20886	20886	17 members and participants who first become members or
20887	20887	18 participants on or after the effective date of this amendatory
20888	20888	19 Act of the 100th General Assembly and to those employees who
20889	20889	20 made the election under item (i) of subsection (d-10) of
20890	20890	21 Section 1-160, but not less than 6.5% of each payment of salary
20891	20891	22 combined with the employee contributions provided for in
20892	20892	23 subsection (b) of Section 11-134.1 and Section 11-174 of this
20893	20893	24 Article; or (ii) the aggregate employee contribution
20894	20894	25 consisting of 9.5% of each payment of salary combined with the
20895	20895	26 employee contributions provided for in subsection (b) of
20896	20896
20897	20897
20898	20898
20899	20899
20900	20900
20901	20901	SB0002 - 583 - LRB104 07746 RPS 17791 b
20902	20902
20903	20903
20904	20904	SB0002- 584 -LRB104 07746 RPS 17791 b SB0002 - 584 - LRB104 07746 RPS 17791 b
20905	20905	SB0002 - 584 - LRB104 07746 RPS 17791 b
20906	20906	1 Section 11-134.1 and Section 11-174 of this Article.
20907	20907	2 For the one-year period beginning with the first pay
20908	20908	3 period in January of each year after the date when the funded
20909	20909	4 ratio of the fund as determined in the annual actuarial
20910	20910	5 valuation is first determined to have reached the 90% funding
20911	20911	6 goal, and each subsequent one-year period thereafter for as
20912	20912	7 long as the fund maintains a funding ratio of 75% or more,
20913	20913	8 employee contributions for age and service annuity for each
20914	20914	9 employee subject to this subsection (a-10) shall be 5.5% of
20915	20915	10 each payment of salary. If the funding ratio falls below 75%,
20916	20916	11 then employee contributions for age and service annuity for
20917	20917	12 each employee subject to this subsection (a-10) shall revert
20918	20918	13 to the lesser of: (A) the total normal cost, calculated using
20919	20919	14 the entry age normal actuarial method, projected for the prior
20920	20920	15 fiscal year for the benefits and expenses of the plan of
20921	20921	16 benefits applicable to those members and participants who
20922	20922	17 first become members or participants on or after the effective
20923	20923	18 date of this amendatory Act of the 100th General Assembly and
20924	20924	19 to those employees who made the election under item (i) of
20925	20925	20 subsection (d-10) of Section 1-160, but not less than 6.5% of
20926	20926	21 each payment of salary combined with the employee
20927	20927	22 contributions provided for in subsection (b) of Section
20928	20928	23 11-134.1 and Section 11-174 of this Article; or (B) the
20929	20929	24 aggregate employee contribution consisting of 9.5% of each
20930	20930	25 payment of salary combined with the employee contributions
20931	20931	26 provided for in subsection (b) of Section 11-134.1 and Section
20932	20932
20933	20933
20934	20934
20935	20935
20936	20936
20937	20937	SB0002 - 584 - LRB104 07746 RPS 17791 b
20938	20938
20939	20939
20940	20940	SB0002- 585 -LRB104 07746 RPS 17791 b SB0002 - 585 - LRB104 07746 RPS 17791 b
20941	20941	SB0002 - 585 - LRB104 07746 RPS 17791 b
20942	20942	1 11-174 of this Article. If the fund once again is determined to
20943	20943	2 have reached a funding ratio of 75%, the 5.5% of salary
20944	20944	3 contribution for age and service annuity shall resume.
20945	20945	4 If contributions are reduced to less than the aggregate
20946	20946	5 employee contribution described in item (ii) or item (B) of
20947	20947	6 this subsection (a-10) due to application of the normal cost
20948	20948	7 criterion, the employee contribution amount shall be
20949	20949	8 consistent for that fiscal year.
20950	20950	9 Such deductions beginning on the effective date and prior
20951	20951	10 to June 30, 1947, inclusive shall be made for a future entrant
20952	20952	11 while he is in service until he attains age 65, and for a
20953	20953	12 present employee while he is in service until the amount so
20954	20954	13 deducted from his salary with interest at the rate of 4% per
20955	20955	14 annum shall be equal to the sum which would have accumulated to
20956	20956	15 his credit from sums deducted from his salary if deductions at
20957	20957	16 the rate herein stated had been made during his entire service
20958	20958	17 until he attained age 65 with interest at 4% per annum for the
20959	20959	18 period subsequent to his attainment of age 65. Such deductions
20960	20960	19 beginning July 1, 1947 shall be made and continued for
20961	20961	20 employees while in the service.
20962	20962	21 (b) Concurrently with each employee contribution, the city
20963	20963	22 shall contribute beginning on the effective date and prior to
20964	20964	23 July 1, 1947, 5 3/4%; and beginning July 1, 1947 and prior to
20965	20965	24 July 1, 1953, 7%; and beginning July 1, 1953 and prior to July
20966	20966	25 6, 2017, 6% of each payment of such salary until the employee
20967	20967	26 attains age 65. Beginning July 6, 2017, the Fund shall credit
20968	20968
20969	20969
20970	20970
20971	20971
20972	20972
20973	20973	SB0002 - 585 - LRB104 07746 RPS 17791 b
20974	20974
20975	20975
20976	20976	SB0002- 586 -LRB104 07746 RPS 17791 b SB0002 - 586 - LRB104 07746 RPS 17791 b
20977	20977	SB0002 - 586 - LRB104 07746 RPS 17791 b
20978	20978	1 sums equal to 6% of each payment of such salary for annuity
20979	20979	2 purposes. The amounts credited for annuity purposes shall not
20980	20980	3 be credited for refund purposes.
20981	20981	4 (c) Each employee contribution made prior to the date age
20982	20982	5 and service annuity for an employee is fixed and each
20983	20983	6 corresponding city contribution shall be allocated to the
20984	20984	7 account of and credited to the employee for whose benefit it is
20985	20985	8 made.
20986	20986	9 (d) The changes made to this subsection by this amendatory
20987	20987	10 Act of the 104th General Assembly do not entitle an employee to
20988	20988	11 any refund of contributions already made. However, the changes
20989	20989	12 made to this subsection by this amendatory Act of the 104th
20990	20990	13 General Assembly are not intended to limit an employee's
20991	20991	14 entitlement to a refund under any other provision of this
20992	20992	15 Code. Notwithstanding Section 1-103.1, the changes to this
20993	20993	16 Section made by this amendatory Act of the 100th General
20994	20994	17 Assembly apply regardless of whether the employee was in
20995	20995	18 active service on or after the effective date of this
20996	20996	19 amendatory Act.
20997	20997	20 (Source: P.A. 100-23, eff. 7-6-17; 100-1166, eff. 1-4-19.)
20998	20998	21 (40 ILCS 5/12-150) (from Ch. 108 1/2, par. 12-150)
20999	20999	22 Sec. 12-150. Contributions by employees for service
21000	21000	23 annuity.
21001	21001	24 (a) From each payment of salary to a present employee
21002	21002	25 beginning August 4, 1961, and prior to September 1, 1971,
21003	21003
21004	21004
21005	21005
21006	21006
21007	21007
21008	21008	SB0002 - 586 - LRB104 07746 RPS 17791 b
21009	21009
21010	21010
21011	21011	SB0002- 587 -LRB104 07746 RPS 17791 b SB0002 - 587 - LRB104 07746 RPS 17791 b
21012	21012	SB0002 - 587 - LRB104 07746 RPS 17791 b
21013	21013	1 there shall be deducted as contributions for service annuity
21014	21014	2 6% of such payment. Beginning September 1, 1971, the deduction
21015	21015	3 shall be 6 1/2% of salary. These contributions shall continue
21016	21016	4 until the amounts thus deducted will provide an accumulation,
21017	21017	5 at regular interest, at least equal to the amount that would be
21018	21018	6 provided on such date from employee contributions, assuming
21019	21019	7 regular interest to such date, if such employee had been
21020	21020	8 contributing in accordance with the provisions of "The 1919
21021	21021	9 Act" and this Article from the beginning of his service and the
21022	21022	10 salary of the employee during his prior service was the same as
21023	21023	11 it was on July 1, 1919, or on July 1, 1937 in the case of an
21024	21024	12 employee of the board.
21025	21025	13 (b) From each payment of salary to a future entrant
21026	21026	14 beginning August 4, 1961, and prior to September 1, 1971,
21027	21027	15 there shall be deducted as contributions for service annuity
21028	21028	16 6% of such payment. Beginning September 1, 1971, the deduction
21029	21029	17 shall be 6 1/2% of salary. Beginning January 1, 1990, the
21030	21030	18 deduction shall be 7% of salary, except that the deduction
21031	21031	19 shall be 9% of salary for a person who first becomes an
21032	21032	20 employee on or after January 1, 2022 or who makes the election
21033	21033	21 under item (i) of subsection (d-15) of Section 1-160.
21034	21034	22 The changes made to this subsection by this amendatory Act
21035	21035	23 of the 104th General Assembly do not entitle an employee to any
21036	21036	24 refund of contributions already made. However, the changes
21037	21037	25 made to this subsection by this amendatory Act of the 104th
21038	21038	26 General Assembly are not intended to limit an employee's
21039	21039
21040	21040
21041	21041
21042	21042
21043	21043
21044	21044	SB0002 - 587 - LRB104 07746 RPS 17791 b
21045	21045
21046	21046
21047	21047	SB0002- 588 -LRB104 07746 RPS 17791 b SB0002 - 588 - LRB104 07746 RPS 17791 b
21048	21048	SB0002 - 588 - LRB104 07746 RPS 17791 b
21049	21049	1 entitlement to a refund under any other provision of this
21050	21050	2 Code.
21051	21051	3 (c) For service rendered prior to August 4, 1961, the
21052	21052	4 rates of contribution by employees for service annuity shall
21053	21053	5 be as follows: July 1, 1919 to July 20, 1947, inclusive, 4% of
21054	21054	6 salary; July 21, 1947 to August 3, 1961, inclusive, 5% of
21055	21055	7 salary.
21056	21056	8 For the period from July 1, 1919, to August 4, 1961 such
21057	21057	9 deductions for a present employee shall continue until such
21058	21058	10 date as the amounts deducted will provide an accumulation at
21059	21059	11 least equal to that which would be provided on such date,
21060	21060	12 assuming regular interest to such date, from deductions from
21061	21061	13 salary of such employee if such employee had been under the
21062	21062	14 provisions of "The 1919 Act" and this Article from the
21063	21063	15 beginning of his service and the salary of such employee
21064	21064	16 during his period of prior service was the same as it was on
21065	21065	17 July 1, 1919 or on July 1, 1937 in the case of an employee of
21066	21066	18 the board.
21067	21067	19 (d) Any employee shall have the option to contribute for
21068	21068	20 service annuity an amount, together with regular interest,
21069	21069	21 equal to the difference between the amount he had accumulated
21070	21070	22 in the fund on June 30, 1947, from contributions at the rate of
21071	21071	23 4% of salary, together with regular interest, and the amount
21072	21072	24 he would have accumulated, together with regular interest, if
21073	21073	25 he had made contributions at the rate of 5% of salary. All such
21074	21074	26 contributions shall be subject to salary limitations and other
21075	21075
21076	21076
21077	21077
21078	21078
21079	21079
21080	21080	SB0002 - 588 - LRB104 07746 RPS 17791 b
21081	21081
21082	21082
21083	21083	SB0002- 589 -LRB104 07746 RPS 17791 b SB0002 - 589 - LRB104 07746 RPS 17791 b
21084	21084	SB0002 - 589 - LRB104 07746 RPS 17791 b
21085	21085	1 conditions in effect prior to July 1, 1947. Upon making such
21086	21086	2 contribution the employer of such employee shall contribute in
21087	21087	3 the ratio of 2 to 1 with such employee.
21088	21088	4 (Source: P.A. 102-263, eff. 8-6-21.)
21089	21089	5 Article 12.
21090	21090	6 Section 12-5. The Illinois Pension Code is amended by
21091	21091	7 changing Section 15-113.4 as follows:
21092	21092	8 (40 ILCS 5/15-113.4) (from Ch. 108 1/2, par. 15-113.4)
21093	21093	9 (Text of Section WITHOUT the changes made by P.A. 98-599,
21094	21094	10 which has been held unconstitutional)
21095	21095	11 Sec. 15-113.4. Service for unused sick leave. "Service for
21096	21096	12 unused sick leave": A participant who is an employee under
21097	21097	13 this System or one of the other systems subject to Article 20
21098	21098	14 of this Code within 60 days immediately preceding the date on
21099	21099	15 which his or her retirement annuity begins, is entitled to
21100	21100	16 credit for service for that portion of unused sick leave
21101	21101	17 earned in the course of employment with an employer and
21102	21102	18 credited on the date of termination of employment by an
21103	21103	19 employer for which payment is not received, in accordance with
21104	21104	20 the following schedule: 30 through 90 full calendar days and
21105	21105	21 20 through 59 full work days of unused sick leave, 1/4 of a
21106	21106	22 year of service; 91 through 180 full calendar days and 60
21107	21107	23 through 119 full work days, 1/2 of a year of service; 181
21108	21108
21109	21109
21110	21110
21111	21111
21112	21112
21113	21113	SB0002 - 589 - LRB104 07746 RPS 17791 b
21114	21114
21115	21115
21116	21116	SB0002- 590 -LRB104 07746 RPS 17791 b SB0002 - 590 - LRB104 07746 RPS 17791 b
21117	21117	SB0002 - 590 - LRB104 07746 RPS 17791 b
21118	21118	1 through 270 full calendar days and 120 through 179 full work
21119	21119	2 days, 3/4 of a year of service; 271 through 360 full calendar
21120	21120	3 days and 180 through 240 full work days, one year of service.
21121	21121	4 Notwithstanding any other law to the contrary, a participant
21122	21122	5 is entitled to a maximum of 2 years of service credit for that
21123	21123	6 portion of unused sick leave earned in the course of
21124	21124	7 employment with an employer and credited on the date of
21125	21125	8 termination of employment by an employer for which payment is
21126	21126	9 not received. Only uncompensated, unused sick leave earned in
21127	21127	10 accordance with an employer's sick leave accrual policy
21128	21128	11 generally applicable to employees or a class of employees
21129	21129	12 shall be taken into account in calculating service credit
21130	21130	13 under this Section. Any uncompensated, unused sick leave
21131	21131	14 granted by an employer to facilitate the hiring, retirement,
21132	21132	15 termination, or other special circumstances of an employee
21133	21133	16 shall not be taken into account in calculating service credit
21134	21134	17 under this Section. If a participant transfers from one
21135	21135	18 employer to another, the unused sick leave credited by the
21136	21136	19 previous employer shall be considered in determining service
21137	21137	20 to be credited under this Section, even if the participant
21138	21138	21 terminated service prior to the effective date of P.A. 86-272
21139	21139	22 (August 23, 1989); if necessary, the retirement annuity shall
21140	21140	23 be recalculated to reflect such sick leave credit. Each
21141	21141	24 employer shall certify to the board the number of days of
21142	21142	25 unused sick leave accrued to the participant's credit on the
21143	21143	26 date that the participant's status as an employee terminated.
21144	21144
21145	21145
21146	21146
21147	21147
21148	21148
21149	21149	SB0002 - 590 - LRB104 07746 RPS 17791 b
21150	21150
21151	21151
21152	21152	SB0002- 591 -LRB104 07746 RPS 17791 b SB0002 - 591 - LRB104 07746 RPS 17791 b
21153	21153	SB0002 - 591 - LRB104 07746 RPS 17791 b
21154	21154	1 This period of unused sick leave shall not be considered in
21155	21155	2 determining the date the retirement annuity begins.
21156	21156	3 (Source: P.A. 90-65, eff. 7-7-97; 90-511, eff. 8-22-97.)
21157	21157	4 Article 13.
21158	21158	5 Section 13-5. The Illinois Pension Code is amended by
21159	21159	6 changing Sections 15-155 and 16-158 as follows:
21160	21160	7 (40 ILCS 5/15-155) (from Ch. 108 1/2, par. 15-155)
21161	21161	8 Sec. 15-155. Employer contributions.
21162	21162	9 (a) The State of Illinois shall make contributions by
21163	21163	10 appropriations of amounts which, together with the other
21164	21164	11 employer contributions from trust, federal, and other funds,
21165	21165	12 employee contributions, income from investments, and other
21166	21166	13 income of this System, will be sufficient to meet the cost of
21167	21167	14 maintaining and administering the System on a 90% funded basis
21168	21168	15 in accordance with actuarial recommendations.
21169	21169	16 The Board shall determine the amount of State
21170	21170	17 contributions required for each fiscal year on the basis of
21171	21171	18 the actuarial tables and other assumptions adopted by the
21172	21172	19 Board and the recommendations of the actuary, using the
21173	21173	20 formula in subsection (a-1).
21174	21174	21 (a-1) For State fiscal years 2012 through 2045, the
21175	21175	22 minimum contribution to the System to be made by the State for
21176	21176	23 each fiscal year shall be an amount determined by the System to
21177	21177
21178	21178
21179	21179
21180	21180
21181	21181
21182	21182	SB0002 - 591 - LRB104 07746 RPS 17791 b
21183	21183
21184	21184
21185	21185	SB0002- 592 -LRB104 07746 RPS 17791 b SB0002 - 592 - LRB104 07746 RPS 17791 b
21186	21186	SB0002 - 592 - LRB104 07746 RPS 17791 b
21187	21187	1 be sufficient to bring the total assets of the System up to 90%
21188	21188	2 of the total actuarial liabilities of the System by the end of
21189	21189	3 State fiscal year 2045. In making these determinations, the
21190	21190	4 required State contribution shall be calculated each year as a
21191	21191	5 level percentage of payroll over the years remaining to and
21192	21192	6 including fiscal year 2045 and shall be determined under the
21193	21193	7 projected unit credit actuarial cost method.
21194	21194	8 For each of State fiscal years 2018, 2019, and 2020, the
21195	21195	9 State shall make an additional contribution to the System
21196	21196	10 equal to 2% of the total payroll of each employee who is deemed
21197	21197	11 to have elected the benefits under Section 1-161 or who has
21198	21198	12 made the election under subsection (c) of Section 1-161.
21199	21199	13 A change in an actuarial or investment assumption that
21200	21200	14 increases or decreases the required State contribution and
21201	21201	15 first applies in State fiscal year 2018 or thereafter shall be
21202	21202	16 implemented in equal annual amounts over a 5-year period
21203	21203	17 beginning in the State fiscal year in which the actuarial
21204	21204	18 change first applies to the required State contribution.
21205	21205	19 A change in an actuarial or investment assumption that
21206	21206	20 increases or decreases the required State contribution and
21207	21207	21 first applied to the State contribution in fiscal year 2014,
21208	21208	22 2015, 2016, or 2017 shall be implemented:
21209	21209	23 (i) as already applied in State fiscal years before
21210	21210	24 2018; and
21211	21211	25 (ii) in the portion of the 5-year period beginning in
21212	21212	26 the State fiscal year in which the actuarial change first
21213	21213
21214	21214
21215	21215
21216	21216
21217	21217
21218	21218	SB0002 - 592 - LRB104 07746 RPS 17791 b
21219	21219
21220	21220
21221	21221	SB0002- 593 -LRB104 07746 RPS 17791 b SB0002 - 593 - LRB104 07746 RPS 17791 b
21222	21222	SB0002 - 593 - LRB104 07746 RPS 17791 b
21223	21223	1 applied that occurs in State fiscal year 2018 or
21224	21224	2 thereafter, by calculating the change in equal annual
21225	21225	3 amounts over that 5-year period and then implementing it
21226	21226	4 at the resulting annual rate in each of the remaining
21227	21227	5 fiscal years in that 5-year period.
21228	21228	6 For State fiscal years 1996 through 2005, the State
21229	21229	7 contribution to the System, as a percentage of the applicable
21230	21230	8 employee payroll, shall be increased in equal annual
21231	21231	9 increments so that by State fiscal year 2011, the State is
21232	21232	10 contributing at the rate required under this Section.
21233	21233	11 Notwithstanding any other provision of this Article, the
21234	21234	12 total required State contribution for State fiscal year 2006
21235	21235	13 is $166,641,900.
21236	21236	14 Notwithstanding any other provision of this Article, the
21237	21237	15 total required State contribution for State fiscal year 2007
21238	21238	16 is $252,064,100.
21239	21239	17 For each of State fiscal years 2008 through 2009, the
21240	21240	18 State contribution to the System, as a percentage of the
21241	21241	19 applicable employee payroll, shall be increased in equal
21242	21242	20 annual increments from the required State contribution for
21243	21243	21 State fiscal year 2007, so that by State fiscal year 2011, the
21244	21244	22 State is contributing at the rate otherwise required under
21245	21245	23 this Section.
21246	21246	24 Notwithstanding any other provision of this Article, the
21247	21247	25 total required State contribution for State fiscal year 2010
21248	21248	26 is $702,514,000 and shall be made from the State Pensions Fund
21249	21249
21250	21250
21251	21251
21252	21252
21253	21253
21254	21254	SB0002 - 593 - LRB104 07746 RPS 17791 b
21255	21255
21256	21256
21257	21257	SB0002- 594 -LRB104 07746 RPS 17791 b SB0002 - 594 - LRB104 07746 RPS 17791 b
21258	21258	SB0002 - 594 - LRB104 07746 RPS 17791 b
21259	21259	1 and proceeds of bonds sold in fiscal year 2010 pursuant to
21260	21260	2 Section 7.2 of the General Obligation Bond Act, less (i) the
21261	21261	3 pro rata share of bond sale expenses determined by the
21262	21262	4 System's share of total bond proceeds, (ii) any amounts
21263	21263	5 received from the General Revenue Fund in fiscal year 2010,
21264	21264	6 (iii) any reduction in bond proceeds due to the issuance of
21265	21265	7 discounted bonds, if applicable.
21266	21266	8 Notwithstanding any other provision of this Article, the
21267	21267	9 total required State contribution for State fiscal year 2011
21268	21268	10 is the amount recertified by the System on or before April 1,
21269	21269	11 2011 pursuant to Section 15-165 and shall be made from the
21270	21270	12 State Pensions Fund and proceeds of bonds sold in fiscal year
21271	21271	13 2011 pursuant to Section 7.2 of the General Obligation Bond
21272	21272	14 Act, less (i) the pro rata share of bond sale expenses
21273	21273	15 determined by the System's share of total bond proceeds, (ii)
21274	21274	16 any amounts received from the General Revenue Fund in fiscal
21275	21275	17 year 2011, and (iii) any reduction in bond proceeds due to the
21276	21276	18 issuance of discounted bonds, if applicable.
21277	21277	19 Beginning in State fiscal year 2046, the minimum State
21278	21278	20 contribution for each fiscal year shall be the amount needed
21279	21279	21 to maintain the total assets of the System at 90% of the total
21280	21280	22 actuarial liabilities of the System.
21281	21281	23 Amounts received by the System pursuant to Section 25 of
21282	21282	24 the Budget Stabilization Act or Section 8.12 of the State
21283	21283	25 Finance Act in any fiscal year do not reduce and do not
21284	21284	26 constitute payment of any portion of the minimum State
21285	21285
21286	21286
21287	21287
21288	21288
21289	21289
21290	21290	SB0002 - 594 - LRB104 07746 RPS 17791 b
21291	21291
21292	21292
21293	21293	SB0002- 595 -LRB104 07746 RPS 17791 b SB0002 - 595 - LRB104 07746 RPS 17791 b
21294	21294	SB0002 - 595 - LRB104 07746 RPS 17791 b
21295	21295	1 contribution required under this Article in that fiscal year.
21296	21296	2 Such amounts shall not reduce, and shall not be included in the
21297	21297	3 calculation of, the required State contributions under this
21298	21298	4 Article in any future year until the System has reached a
21299	21299	5 funding ratio of at least 90%. A reference in this Article to
21300	21300	6 the "required State contribution" or any substantially similar
21301	21301	7 term does not include or apply to any amounts payable to the
21302	21302	8 System under Section 25 of the Budget Stabilization Act.
21303	21303	9 Notwithstanding any other provision of this Section, the
21304	21304	10 required State contribution for State fiscal year 2005 and for
21305	21305	11 fiscal year 2008 and each fiscal year thereafter, as
21306	21306	12 calculated under this Section and certified under Section
21307	21307	13 15-165, shall not exceed an amount equal to (i) the amount of
21308	21308	14 the required State contribution that would have been
21309	21309	15 calculated under this Section for that fiscal year if the
21310	21310	16 System had not received any payments under subsection (d) of
21311	21311	17 Section 7.2 of the General Obligation Bond Act, minus (ii) the
21312	21312	18 portion of the State's total debt service payments for that
21313	21313	19 fiscal year on the bonds issued in fiscal year 2003 for the
21314	21314	20 purposes of that Section 7.2, as determined and certified by
21315	21315	21 the Comptroller, that is the same as the System's portion of
21316	21316	22 the total moneys distributed under subsection (d) of Section
21317	21317	23 7.2 of the General Obligation Bond Act. In determining this
21318	21318	24 maximum for State fiscal years 2008 through 2010, however, the
21319	21319	25 amount referred to in item (i) shall be increased, as a
21320	21320	26 percentage of the applicable employee payroll, in equal
21321	21321
21322	21322
21323	21323
21324	21324
21325	21325
21326	21326	SB0002 - 595 - LRB104 07746 RPS 17791 b
21327	21327
21328	21328
21329	21329	SB0002- 596 -LRB104 07746 RPS 17791 b SB0002 - 596 - LRB104 07746 RPS 17791 b
21330	21330	SB0002 - 596 - LRB104 07746 RPS 17791 b
21331	21331	1 increments calculated from the sum of the required State
21332	21332	2 contribution for State fiscal year 2007 plus the applicable
21333	21333	3 portion of the State's total debt service payments for fiscal
21334	21334	4 year 2007 on the bonds issued in fiscal year 2003 for the
21335	21335	5 purposes of Section 7.2 of the General Obligation Bond Act, so
21336	21336	6 that, by State fiscal year 2011, the State is contributing at
21337	21337	7 the rate otherwise required under this Section.
21338	21338	8 (a-2) Beginning in fiscal year 2018, each employer under
21339	21339	9 this Article shall pay to the System a required contribution
21340	21340	10 determined as a percentage of projected payroll and sufficient
21341	21341	11 to produce an annual amount equal to:
21342	21342	12 (i) for each of fiscal years 2018, 2019, and 2020, the
21343	21343	13 defined benefit normal cost of the defined benefit plan,
21344	21344	14 less the employee contribution, for each employee of that
21345	21345	15 employer who has elected or who is deemed to have elected
21346	21346	16 the benefits under Section 1-161 or who has made the
21347	21347	17 election under subsection (c) of Section 1-161; for fiscal
21348	21348	18 year 2021 and each fiscal year thereafter, the defined
21349	21349	19 benefit normal cost of the defined benefit plan, less the
21350	21350	20 employee contribution, plus 2%, for each employee of that
21351	21351	21 employer who has elected or who is deemed to have elected
21352	21352	22 the benefits under Section 1-161 or who has made the
21353	21353	23 election under subsection (c) of Section 1-161; plus
21354	21354	24 (ii) the amount required for that fiscal year to
21355	21355	25 amortize any unfunded actuarial accrued liability
21356	21356	26 associated with the present value of liabilities
21357	21357
21358	21358
21359	21359
21360	21360
21361	21361
21362	21362	SB0002 - 596 - LRB104 07746 RPS 17791 b
21363	21363
21364	21364
21365	21365	SB0002- 597 -LRB104 07746 RPS 17791 b SB0002 - 597 - LRB104 07746 RPS 17791 b
21366	21366	SB0002 - 597 - LRB104 07746 RPS 17791 b
21367	21367	1 attributable to the employer's account under Section
21368	21368	2 15-155.2, determined as a level percentage of payroll over
21369	21369	3 a 30-year rolling amortization period.
21370	21370	4 In determining contributions required under item (i) of
21371	21371	5 this subsection, the System shall determine an aggregate rate
21372	21372	6 for all employers, expressed as a percentage of projected
21373	21373	7 payroll.
21374	21374	8 In determining the contributions required under item (ii)
21375	21375	9 of this subsection, the amount shall be computed by the System
21376	21376	10 on the basis of the actuarial assumptions and tables used in
21377	21377	11 the most recent actuarial valuation of the System that is
21378	21378	12 available at the time of the computation.
21379	21379	13 The contributions required under this subsection (a-2)
21380	21380	14 shall be paid by an employer concurrently with that employer's
21381	21381	15 payroll payment period. The State, as the actual employer of
21382	21382	16 an employee, shall make the required contributions under this
21383	21383	17 subsection.
21384	21384	18 As used in this subsection, "academic year" means the
21385	21385	19 12-month period beginning September 1.
21386	21386	20 (b) If an employee is paid from trust or federal funds, the
21387	21387	21 employer shall pay to the Board contributions from those funds
21388	21388	22 which are sufficient to cover the accruing normal costs on
21389	21389	23 behalf of the employee. However, universities having employees
21390	21390	24 who are compensated out of local auxiliary funds, income
21391	21391	25 funds, or service enterprise funds are not required to pay
21392	21392	26 such contributions on behalf of those employees. The local
21393	21393
21394	21394
21395	21395
21396	21396
21397	21397
21398	21398	SB0002 - 597 - LRB104 07746 RPS 17791 b
21399	21399
21400	21400
21401	21401	SB0002- 598 -LRB104 07746 RPS 17791 b SB0002 - 598 - LRB104 07746 RPS 17791 b
21402	21402	SB0002 - 598 - LRB104 07746 RPS 17791 b
21403	21403	1 auxiliary funds, income funds, and service enterprise funds of
21404	21404	2 universities shall not be considered trust funds for the
21405	21405	3 purpose of this Article, but funds of alumni associations,
21406	21406	4 foundations, and athletic associations which are affiliated
21407	21407	5 with the universities included as employers under this Article
21408	21408	6 and other employers which do not receive State appropriations
21409	21409	7 are considered to be trust funds for the purpose of this
21410	21410	8 Article.
21411	21411	9 (b-1) The City of Urbana and the City of Champaign shall
21412	21412	10 each make employer contributions to this System for their
21413	21413	11 respective firefighter employees who participate in this
21414	21414	12 System pursuant to subsection (h) of Section 15-107. The rate
21415	21415	13 of contributions to be made by those municipalities shall be
21416	21416	14 determined annually by the Board on the basis of the actuarial
21417	21417	15 assumptions adopted by the Board and the recommendations of
21418	21418	16 the actuary, and shall be expressed as a percentage of salary
21419	21419	17 for each such employee. The Board shall certify the rate to the
21420	21420	18 affected municipalities as soon as may be practical. The
21421	21421	19 employer contributions required under this subsection shall be
21422	21422	20 remitted by the municipality to the System at the same time and
21423	21423	21 in the same manner as employee contributions.
21424	21424	22 (c) Through State fiscal year 1995: The total employer
21425	21425	23 contribution shall be apportioned among the various funds of
21426	21426	24 the State and other employers, whether trust, federal, or
21427	21427	25 other funds, in accordance with actuarial procedures approved
21428	21428	26 by the Board. State of Illinois contributions for employers
21429	21429
21430	21430
21431	21431
21432	21432
21433	21433
21434	21434	SB0002 - 598 - LRB104 07746 RPS 17791 b
21435	21435
21436	21436
21437	21437	SB0002- 599 -LRB104 07746 RPS 17791 b SB0002 - 599 - LRB104 07746 RPS 17791 b
21438	21438	SB0002 - 599 - LRB104 07746 RPS 17791 b
21439	21439	1 receiving State appropriations for personal services shall be
21440	21440	2 payable from appropriations made to the employers or to the
21441	21441	3 System. The contributions for Class I community colleges
21442	21442	4 covering earnings other than those paid from trust and federal
21443	21443	5 funds, shall be payable solely from appropriations to the
21444	21444	6 Illinois Community College Board or the System for employer
21445	21445	7 contributions.
21446	21446	8 (d) Beginning in State fiscal year 1996, the required
21447	21447	9 State contributions to the System shall be appropriated
21448	21448	10 directly to the System and shall be payable through vouchers
21449	21449	11 issued in accordance with subsection (c) of Section 15-165,
21450	21450	12 except as provided in subsection (g).
21451	21451	13 (e) The State Comptroller shall draw warrants payable to
21452	21452	14 the System upon proper certification by the System or by the
21453	21453	15 employer in accordance with the appropriation laws and this
21454	21454	16 Code.
21455	21455	17 (f) Normal costs under this Section means liability for
21456	21456	18 pensions and other benefits which accrues to the System
21457	21457	19 because of the credits earned for service rendered by the
21458	21458	20 participants during the fiscal year and expenses of
21459	21459	21 administering the System, but shall not include the principal
21460	21460	22 of or any redemption premium or interest on any bonds issued by
21461	21461	23 the Board or any expenses incurred or deposits required in
21462	21462	24 connection therewith.
21463	21463	25 (g) If the amount of a participant's earnings for any
21464	21464	26 academic year used to determine the final rate of earnings,
21465	21465
21466	21466
21467	21467
21468	21468
21469	21469
21470	21470	SB0002 - 599 - LRB104 07746 RPS 17791 b
21471	21471
21472	21472
21473	21473	SB0002- 600 -LRB104 07746 RPS 17791 b SB0002 - 600 - LRB104 07746 RPS 17791 b
21474	21474	SB0002 - 600 - LRB104 07746 RPS 17791 b
21475	21475	1 determined on a full-time equivalent basis, exceeds the amount
21476	21476	2 of his or her earnings with the same employer for the previous
21477	21477	3 academic year, determined on a full-time equivalent basis, by
21478	21478	4 more than 6%, the participant's employer shall pay to the
21479	21479	5 System, in addition to all other payments required under this
21480	21480	6 Section and in accordance with guidelines established by the
21481	21481	7 System, the present value of the increase in benefits
21482	21482	8 resulting from the portion of the increase in earnings that is
21483	21483	9 in excess of 6%. This present value shall be computed by the
21484	21484	10 System on the basis of the actuarial assumptions and tables
21485	21485	11 used in the most recent actuarial valuation of the System that
21486	21486	12 is available at the time of the computation. The System may
21487	21487	13 require the employer to provide any pertinent information or
21488	21488	14 documentation.
21489	21489	15 Whenever it determines that a payment is or may be
21490	21490	16 required under this subsection (g), the System shall calculate
21491	21491	17 the amount of the payment and bill the employer for that
21492	21492	18 amount. The bill shall specify the calculations used to
21493	21493	19 determine the amount due. If the employer disputes the amount
21494	21494	20 of the bill, it may, within 30 days after receipt of the bill,
21495	21495	21 apply to the System in writing for a recalculation. The
21496	21496	22 application must specify in detail the grounds of the dispute
21497	21497	23 and, if the employer asserts that the calculation is subject
21498	21498	24 to subsection (h), (h-5), or (i) of this Section, must include
21499	21499	25 an affidavit setting forth and attesting to all facts within
21500	21500	26 the employer's knowledge that are pertinent to the
21501	21501
21502	21502
21503	21503
21504	21504
21505	21505
21506	21506	SB0002 - 600 - LRB104 07746 RPS 17791 b
21507	21507
21508	21508
21509	21509	SB0002- 601 -LRB104 07746 RPS 17791 b SB0002 - 601 - LRB104 07746 RPS 17791 b
21510	21510	SB0002 - 601 - LRB104 07746 RPS 17791 b
21511	21511	1 applicability of that subsection. Upon receiving a timely
21512	21512	2 application for recalculation, the System shall review the
21513	21513	3 application and, if appropriate, recalculate the amount due.
21514	21514	4 The employer contributions required under this subsection
21515	21515	5 (g) may be paid in the form of a lump sum within 90 days after
21516	21516	6 receipt of the bill. If the employer contributions are not
21517	21517	7 paid within 90 days after receipt of the bill, then interest
21518	21518	8 will be charged at a rate equal to the System's annual
21519	21519	9 actuarially assumed rate of return on investment compounded
21520	21520	10 annually from the 91st day after receipt of the bill. Payments
21521	21521	11 must be concluded within 3 years after the employer's receipt
21522	21522	12 of the bill.
21523	21523	13 When assessing payment for any amount due under this
21524	21524	14 subsection (g), the System shall include earnings, to the
21525	21525	15 extent not established by a participant under Section
21526	21526	16 15-113.11 or 15-113.12, that would have been paid to the
21527	21527	17 participant had the participant not taken (i) periods of
21528	21528	18 voluntary or involuntary furlough occurring on or after July
21529	21529	19 1, 2015 and on or before June 30, 2017 or (ii) periods of
21530	21530	20 voluntary pay reduction in lieu of furlough occurring on or
21531	21531	21 after July 1, 2015 and on or before June 30, 2017. Determining
21532	21532	22 earnings that would have been paid to a participant had the
21533	21533	23 participant not taken periods of voluntary or involuntary
21534	21534	24 furlough or periods of voluntary pay reduction shall be the
21535	21535	25 responsibility of the employer, and shall be reported in a
21536	21536	26 manner prescribed by the System.
21537	21537
21538	21538
21539	21539
21540	21540
21541	21541
21542	21542	SB0002 - 601 - LRB104 07746 RPS 17791 b
21543	21543
21544	21544
21545	21545	SB0002- 602 -LRB104 07746 RPS 17791 b SB0002 - 602 - LRB104 07746 RPS 17791 b
21546	21546	SB0002 - 602 - LRB104 07746 RPS 17791 b
21547	21547	1 This subsection (g) does not apply to (1) Tier 2 hybrid
21548	21548	2 plan members and (2) Tier 2 defined benefit members who first
21549	21549	3 participate under this Article on or after the implementation
21550	21550	4 date of the Optional Hybrid Plan.
21551	21551	5 (g-1) (Blank).
21552	21552	6 (h) This subsection (h) applies only to payments made or
21553	21553	7 salary increases given on or after June 1, 2005 but before July
21554	21554	8 1, 2011. The changes made by Public Act 94-1057 shall not
21555	21555	9 require the System to refund any payments received before July
21556	21556	10 31, 2006 (the effective date of Public Act 94-1057).
21557	21557	11 When assessing payment for any amount due under subsection
21558	21558	12 (g), the System shall exclude earnings increases paid to
21559	21559	13 participants under contracts or collective bargaining
21560	21560	14 agreements entered into, amended, or renewed before June 1,
21561	21561	15 2005.
21562	21562	16 When assessing payment for any amount due under subsection
21563	21563	17 (g), the System shall exclude earnings increases paid to a
21564	21564	18 participant at a time when the participant is 10 or more years
21565	21565	19 from retirement eligibility under Section 15-135.
21566	21566	20 When assessing payment for any amount due under subsection
21567	21567	21 (g), the System shall exclude earnings increases resulting
21568	21568	22 from overload work, including a contract for summer teaching,
21569	21569	23 or overtime when the employer has certified to the System, and
21570	21570	24 the System has approved the certification, that: (i) in the
21571	21571	25 case of overloads (A) the overload work is for the sole purpose
21572	21572	26 of academic instruction in excess of the standard number of
21573	21573
21574	21574
21575	21575
21576	21576
21577	21577
21578	21578	SB0002 - 602 - LRB104 07746 RPS 17791 b
21579	21579
21580	21580
21581	21581	SB0002- 603 -LRB104 07746 RPS 17791 b SB0002 - 603 - LRB104 07746 RPS 17791 b
21582	21582	SB0002 - 603 - LRB104 07746 RPS 17791 b
21583	21583	1 instruction hours for a full-time employee occurring during
21584	21584	2 the academic year that the overload is paid and (B) the
21585	21585	3 earnings increases are equal to or less than the rate of pay
21586	21586	4 for academic instruction computed using the participant's
21587	21587	5 current salary rate and work schedule; and (ii) in the case of
21588	21588	6 overtime, the overtime was necessary for the educational
21589	21589	7 mission.
21590	21590	8 When assessing payment for any amount due under subsection
21591	21591	9 (g), the System shall exclude any earnings increase resulting
21592	21592	10 from (i) a promotion for which the employee moves from one
21593	21593	11 classification to a higher classification under the State
21594	21594	12 Universities Civil Service System, (ii) a promotion in
21595	21595	13 academic rank for a tenured or tenure-track faculty position,
21596	21596	14 or (iii) a promotion that the Illinois Community College Board
21597	21597	15 has recommended in accordance with subsection (k) of this
21598	21598	16 Section. These earnings increases shall be excluded only if
21599	21599	17 the promotion is to a position that has existed and been filled
21600	21600	18 by a member for no less than one complete academic year and the
21601	21601	19 earnings increase as a result of the promotion is an increase
21602	21602	20 that results in an amount no greater than the average salary
21603	21603	21 paid for other similar positions.
21604	21604	22 (h-5) When assessing payment for any amount due under
21605	21605	23 subsection (g), the System shall exclude any earnings increase
21606	21606	24 paid in an academic year beginning on or after July 1, 2020
21607	21607	25 resulting from overload work performed in an academic year
21608	21608	26 subsequent to an academic year in which the employer was
21609	21609
21610	21610
21611	21611
21612	21612
21613	21613
21614	21614	SB0002 - 603 - LRB104 07746 RPS 17791 b
21615	21615
21616	21616
21617	21617	SB0002- 604 -LRB104 07746 RPS 17791 b SB0002 - 604 - LRB104 07746 RPS 17791 b
21618	21618	SB0002 - 604 - LRB104 07746 RPS 17791 b
21619	21619	1 unable to offer or allow to be conducted overload work due to
21620	21620	2 an emergency declaration limiting such activities.
21621	21621	3 (i) (Blank). When assessing payment for any amount due
21622	21622	4 under subsection (g), the System shall exclude any salary
21623	21623	5 increase described in subsection (h) of this Section given on
21624	21624	6 or after July 1, 2011 but before July 1, 2014 under a contract
21625	21625	7 or collective bargaining agreement entered into, amended, or
21626	21626	8 renewed on or after June 1, 2005 but before July 1, 2011.
21627	21627	9 Except as provided in subsection (h-5), any payments made or
21628	21628	10 salary increases given after June 30, 2014 shall be used in
21629	21629	11 assessing payment for any amount due under subsection (g) of
21630	21630	12 this Section.
21631	21631	13 (j) The System shall prepare a report and file copies of
21632	21632	14 the report with the Governor and the General Assembly by
21633	21633	15 January 1, 2007 that contains all of the following
21634	21634	16 information:
21635	21635	17 (1) The number of recalculations required by the
21636	21636	18 changes made to this Section by Public Act 94-1057 for
21637	21637	19 each employer.
21638	21638	20 (2) The dollar amount by which each employer's
21639	21639	21 contribution to the System was changed due to
21640	21640	22 recalculations required by Public Act 94-1057.
21641	21641	23 (3) The total amount the System received from each
21642	21642	24 employer as a result of the changes made to this Section by
21643	21643	25 Public Act 94-4.
21644	21644	26 (4) The increase in the required State contribution
21645	21645
21646	21646
21647	21647
21648	21648
21649	21649
21650	21650	SB0002 - 604 - LRB104 07746 RPS 17791 b
21651	21651
21652	21652
21653	21653	SB0002- 605 -LRB104 07746 RPS 17791 b SB0002 - 605 - LRB104 07746 RPS 17791 b
21654	21654	SB0002 - 605 - LRB104 07746 RPS 17791 b
21655	21655	1 resulting from the changes made to this Section by Public
21656	21656	2 Act 94-1057.
21657	21657	3 (j-5) For State fiscal years beginning on or after July 1,
21658	21658	4 2017, if the amount of a participant's earnings for any State
21659	21659	5 fiscal year exceeds the amount of the salary set by law for the
21660	21660	6 Governor that is in effect on July 1 of that fiscal year, the
21661	21661	7 participant's employer shall pay to the System, in addition to
21662	21662	8 all other payments required under this Section and in
21663	21663	9 accordance with guidelines established by the System, an
21664	21664	10 amount determined by the System to be equal to the employer
21665	21665	11 normal cost, as established by the System and expressed as a
21666	21666	12 total percentage of payroll, multiplied by the amount of
21667	21667	13 earnings in excess of the amount of the salary set by law for
21668	21668	14 the Governor. This amount shall be computed by the System on
21669	21669	15 the basis of the actuarial assumptions and tables used in the
21670	21670	16 most recent actuarial valuation of the System that is
21671	21671	17 available at the time of the computation. The System may
21672	21672	18 require the employer to provide any pertinent information or
21673	21673	19 documentation.
21674	21674	20 Whenever it determines that a payment is or may be
21675	21675	21 required under this subsection, the System shall calculate the
21676	21676	22 amount of the payment and bill the employer for that amount.
21677	21677	23 The bill shall specify the calculation used to determine the
21678	21678	24 amount due. If the employer disputes the amount of the bill, it
21679	21679	25 may, within 30 days after receipt of the bill, apply to the
21680	21680	26 System in writing for a recalculation. The application must
21681	21681
21682	21682
21683	21683
21684	21684
21685	21685
21686	21686	SB0002 - 605 - LRB104 07746 RPS 17791 b
21687	21687
21688	21688
21689	21689	SB0002- 606 -LRB104 07746 RPS 17791 b SB0002 - 606 - LRB104 07746 RPS 17791 b
21690	21690	SB0002 - 606 - LRB104 07746 RPS 17791 b
21691	21691	1 specify in detail the grounds of the dispute. Upon receiving a
21692	21692	2 timely application for recalculation, the System shall review
21693	21693	3 the application and, if appropriate, recalculate the amount
21694	21694	4 due.
21695	21695	5 The employer contributions required under this subsection
21696	21696	6 may be paid in the form of a lump sum within 90 days after
21697	21697	7 issuance of the bill. If the employer contributions are not
21698	21698	8 paid within 90 days after issuance of the bill, then interest
21699	21699	9 will be charged at a rate equal to the System's annual
21700	21700	10 actuarially assumed rate of return on investment compounded
21701	21701	11 annually from the 91st day after issuance of the bill. All
21702	21702	12 payments must be received within 3 years after issuance of the
21703	21703	13 bill. If the employer fails to make complete payment,
21704	21704	14 including applicable interest, within 3 years, then the System
21705	21705	15 may, after giving notice to the employer, certify the
21706	21706	16 delinquent amount to the State Comptroller, and the
21707	21707	17 Comptroller shall thereupon deduct the certified delinquent
21708	21708	18 amount from State funds payable to the employer and pay them
21709	21709	19 instead to the System.
21710	21710	20 This subsection (j-5) does not apply to a participant's
21711	21711	21 earnings to the extent an employer pays the employer normal
21712	21712	22 cost of such earnings.
21713	21713	23 The changes made to this subsection (j-5) by Public Act
21714	21714	24 100-624 are intended to apply retroactively to July 6, 2017
21715	21715	25 (the effective date of Public Act 100-23).
21716	21716	26 (k) The Illinois Community College Board shall adopt rules
21717	21717
21718	21718
21719	21719
21720	21720
21721	21721
21722	21722	SB0002 - 606 - LRB104 07746 RPS 17791 b
21723	21723
21724	21724
21725	21725	SB0002- 607 -LRB104 07746 RPS 17791 b SB0002 - 607 - LRB104 07746 RPS 17791 b
21726	21726	SB0002 - 607 - LRB104 07746 RPS 17791 b
21727	21727	1 for recommending lists of promotional positions submitted to
21728	21728	2 the Board by community colleges and for reviewing the
21729	21729	3 promotional lists on an annual basis. When recommending
21730	21730	4 promotional lists, the Board shall consider the similarity of
21731	21731	5 the positions submitted to those positions recognized for
21732	21732	6 State universities by the State Universities Civil Service
21733	21733	7 System. The Illinois Community College Board shall file a copy
21734	21734	8 of its findings with the System. The System shall consider the
21735	21735	9 findings of the Illinois Community College Board when making
21736	21736	10 determinations under this Section. The System shall not
21737	21737	11 exclude any earnings increases resulting from a promotion when
21738	21738	12 the promotion was not submitted by a community college.
21739	21739	13 Nothing in this subsection (k) shall require any community
21740	21740	14 college to submit any information to the Community College
21741	21741	15 Board.
21742	21742	16 (l) For purposes of determining the required State
21743	21743	17 contribution to the System, the value of the System's assets
21744	21744	18 shall be equal to the actuarial value of the System's assets,
21745	21745	19 which shall be calculated as follows:
21746	21746	20 As of June 30, 2008, the actuarial value of the System's
21747	21747	21 assets shall be equal to the market value of the assets as of
21748	21748	22 that date. In determining the actuarial value of the System's
21749	21749	23 assets for fiscal years after June 30, 2008, any actuarial
21750	21750	24 gains or losses from investment return incurred in a fiscal
21751	21751	25 year shall be recognized in equal annual amounts over the
21752	21752	26 5-year period following that fiscal year.
21753	21753
21754	21754
21755	21755
21756	21756
21757	21757
21758	21758	SB0002 - 607 - LRB104 07746 RPS 17791 b
21759	21759
21760	21760
21761	21761	SB0002- 608 -LRB104 07746 RPS 17791 b SB0002 - 608 - LRB104 07746 RPS 17791 b
21762	21762	SB0002 - 608 - LRB104 07746 RPS 17791 b
21763	21763	1 (m) For purposes of determining the required State
21764	21764	2 contribution to the system for a particular year, the
21765	21765	3 actuarial value of assets shall be assumed to earn a rate of
21766	21766	4 return equal to the system's actuarially assumed rate of
21767	21767	5 return.
21768	21768	6 (Source: P.A. 101-10, eff. 6-5-19; 101-81, eff. 7-12-19;
21769	21769	7 102-16, eff. 6-17-21; 102-558, eff. 8-20-21; 102-764, eff.
21770	21770	8 5-13-22.)
21771	21771	9 (40 ILCS 5/16-158) (from Ch. 108 1/2, par. 16-158)
21772	21772	10 Sec. 16-158. Contributions by State and other employing
21773	21773	11 units.
21774	21774	12 (a) The State shall make contributions to the System by
21775	21775	13 means of appropriations from the Common School Fund and other
21776	21776	14 State funds of amounts which, together with other employer
21777	21777	15 contributions, employee contributions, investment income, and
21778	21778	16 other income, will be sufficient to meet the cost of
21779	21779	17 maintaining and administering the System on a 90% funded basis
21780	21780	18 in accordance with actuarial recommendations.
21781	21781	19 The Board shall determine the amount of State
21782	21782	20 contributions required for each fiscal year on the basis of
21783	21783	21 the actuarial tables and other assumptions adopted by the
21784	21784	22 Board and the recommendations of the actuary, using the
21785	21785	23 formula in subsection (b-3).
21786	21786	24 (a-1) Annually, on or before November 15 until November
21787	21787	25 15, 2011, the Board shall certify to the Governor the amount of
21788	21788
21789	21789
21790	21790
21791	21791
21792	21792
21793	21793	SB0002 - 608 - LRB104 07746 RPS 17791 b
21794	21794
21795	21795
21796	21796	SB0002- 609 -LRB104 07746 RPS 17791 b SB0002 - 609 - LRB104 07746 RPS 17791 b
21797	21797	SB0002 - 609 - LRB104 07746 RPS 17791 b
21798	21798	1 the required State contribution for the coming fiscal year.
21799	21799	2 The certification under this subsection (a-1) shall include a
21800	21800	3 copy of the actuarial recommendations upon which it is based
21801	21801	4 and shall specifically identify the System's projected State
21802	21802	5 normal cost for that fiscal year.
21803	21803	6 On or before May 1, 2004, the Board shall recalculate and
21804	21804	7 recertify to the Governor the amount of the required State
21805	21805	8 contribution to the System for State fiscal year 2005, taking
21806	21806	9 into account the amounts appropriated to and received by the
21807	21807	10 System under subsection (d) of Section 7.2 of the General
21808	21808	11 Obligation Bond Act.
21809	21809	12 On or before July 1, 2005, the Board shall recalculate and
21810	21810	13 recertify to the Governor the amount of the required State
21811	21811	14 contribution to the System for State fiscal year 2006, taking
21812	21812	15 into account the changes in required State contributions made
21813	21813	16 by Public Act 94-4.
21814	21814	17 On or before April 1, 2011, the Board shall recalculate
21815	21815	18 and recertify to the Governor the amount of the required State
21816	21816	19 contribution to the System for State fiscal year 2011,
21817	21817	20 applying the changes made by Public Act 96-889 to the System's
21818	21818	21 assets and liabilities as of June 30, 2009 as though Public Act
21819	21819	22 96-889 was approved on that date.
21820	21820	23 (a-5) On or before November 1 of each year, beginning
21821	21821	24 November 1, 2012, the Board shall submit to the State Actuary,
21822	21822	25 the Governor, and the General Assembly a proposed
21823	21823	26 certification of the amount of the required State contribution
21824	21824
21825	21825
21826	21826
21827	21827
21828	21828
21829	21829	SB0002 - 609 - LRB104 07746 RPS 17791 b
21830	21830
21831	21831
21832	21832	SB0002- 610 -LRB104 07746 RPS 17791 b SB0002 - 610 - LRB104 07746 RPS 17791 b
21833	21833	SB0002 - 610 - LRB104 07746 RPS 17791 b
21834	21834	1 to the System for the next fiscal year, along with all of the
21835	21835	2 actuarial assumptions, calculations, and data upon which that
21836	21836	3 proposed certification is based. On or before January 1 of
21837	21837	4 each year, beginning January 1, 2013, the State Actuary shall
21838	21838	5 issue a preliminary report concerning the proposed
21839	21839	6 certification and identifying, if necessary, recommended
21840	21840	7 changes in actuarial assumptions that the Board must consider
21841	21841	8 before finalizing its certification of the required State
21842	21842	9 contributions. On or before January 15, 2013 and each January
21843	21843	10 15 thereafter, the Board shall certify to the Governor and the
21844	21844	11 General Assembly the amount of the required State contribution
21845	21845	12 for the next fiscal year. The Board's certification must note
21846	21846	13 any deviations from the State Actuary's recommended changes,
21847	21847	14 the reason or reasons for not following the State Actuary's
21848	21848	15 recommended changes, and the fiscal impact of not following
21849	21849	16 the State Actuary's recommended changes on the required State
21850	21850	17 contribution.
21851	21851	18 (a-10) By November 1, 2017, the Board shall recalculate
21852	21852	19 and recertify to the State Actuary, the Governor, and the
21853	21853	20 General Assembly the amount of the State contribution to the
21854	21854	21 System for State fiscal year 2018, taking into account the
21855	21855	22 changes in required State contributions made by Public Act
21856	21856	23 100-23. The State Actuary shall review the assumptions and
21857	21857	24 valuations underlying the Board's revised certification and
21858	21858	25 issue a preliminary report concerning the proposed
21859	21859	26 recertification and identifying, if necessary, recommended
21860	21860
21861	21861
21862	21862
21863	21863
21864	21864
21865	21865	SB0002 - 610 - LRB104 07746 RPS 17791 b
21866	21866
21867	21867
21868	21868	SB0002- 611 -LRB104 07746 RPS 17791 b SB0002 - 611 - LRB104 07746 RPS 17791 b
21869	21869	SB0002 - 611 - LRB104 07746 RPS 17791 b
21870	21870	1 changes in actuarial assumptions that the Board must consider
21871	21871	2 before finalizing its certification of the required State
21872	21872	3 contributions. The Board's final certification must note any
21873	21873	4 deviations from the State Actuary's recommended changes, the
21874	21874	5 reason or reasons for not following the State Actuary's
21875	21875	6 recommended changes, and the fiscal impact of not following
21876	21876	7 the State Actuary's recommended changes on the required State
21877	21877	8 contribution.
21878	21878	9 (a-15) On or after June 15, 2019, but no later than June
21879	21879	10 30, 2019, the Board shall recalculate and recertify to the
21880	21880	11 Governor and the General Assembly the amount of the State
21881	21881	12 contribution to the System for State fiscal year 2019, taking
21882	21882	13 into account the changes in required State contributions made
21883	21883	14 by Public Act 100-587. The recalculation shall be made using
21884	21884	15 assumptions adopted by the Board for the original fiscal year
21885	21885	16 2019 certification. The monthly voucher for the 12th month of
21886	21886	17 fiscal year 2019 shall be paid by the Comptroller after the
21887	21887	18 recertification required pursuant to this subsection is
21888	21888	19 submitted to the Governor, Comptroller, and General Assembly.
21889	21889	20 The recertification submitted to the General Assembly shall be
21890	21890	21 filed with the Clerk of the House of Representatives and the
21891	21891	22 Secretary of the Senate in electronic form only, in the manner
21892	21892	23 that the Clerk and the Secretary shall direct.
21893	21893	24 (b) Through State fiscal year 1995, the State
21894	21894	25 contributions shall be paid to the System in accordance with
21895	21895	26 Section 18-7 of the School Code.
21896	21896
21897	21897
21898	21898
21899	21899
21900	21900
21901	21901	SB0002 - 611 - LRB104 07746 RPS 17791 b
21902	21902
21903	21903
21904	21904	SB0002- 612 -LRB104 07746 RPS 17791 b SB0002 - 612 - LRB104 07746 RPS 17791 b
21905	21905	SB0002 - 612 - LRB104 07746 RPS 17791 b
21906	21906	1 (b-1) Unless otherwise directed by the Comptroller under
21907	21907	2 subsection (b-1.1), the Board shall submit vouchers for
21908	21908	3 payment of State contributions to the System for the
21909	21909	4 applicable month on the 15th day of each month, or as soon
21910	21910	5 thereafter as may be practicable. The amount vouchered for a
21911	21911	6 monthly payment shall total one-twelfth of the required annual
21912	21912	7 State contribution certified under subsection (a-1).
21913	21913	8 (b-1.1) Beginning in State fiscal year 2025, if the
21914	21914	9 Comptroller requests that the Board submit, during a State
21915	21915	10 fiscal year, vouchers for multiple monthly payments for the
21916	21916	11 advance payment of State contributions due to the System for
21917	21917	12 that State fiscal year, then the Board shall submit those
21918	21918	13 additional vouchers as directed by the Comptroller,
21919	21919	14 notwithstanding subsection (b-1). Unless an act of
21920	21920	15 appropriations provides otherwise, nothing in this Section
21921	21921	16 authorizes the Board to submit, in a State fiscal year,
21922	21922	17 vouchers for the payment of State contributions to the System
21923	21923	18 in an amount that exceeds the rate of payroll that is certified
21924	21924	19 by the System under this Section for that State fiscal year.
21925	21925	20 (b-1.2) The vouchers described in subsections (b-1) and
21926	21926	21 (b-1.1) shall be paid by the State Comptroller and Treasurer
21927	21927	22 by warrants drawn on the funds appropriated to the System for
21928	21928	23 that fiscal year.
21929	21929	24 If in any month the amount remaining unexpended from all
21930	21930	25 other appropriations to the System for the applicable fiscal
21931	21931	26 year (including the appropriations to the System under Section
21932	21932
21933	21933
21934	21934
21935	21935
21936	21936
21937	21937	SB0002 - 612 - LRB104 07746 RPS 17791 b
21938	21938
21939	21939
21940	21940	SB0002- 613 -LRB104 07746 RPS 17791 b SB0002 - 613 - LRB104 07746 RPS 17791 b
21941	21941	SB0002 - 613 - LRB104 07746 RPS 17791 b
21942	21942	1 8.12 of the State Finance Act and Section 1 of the State
21943	21943	2 Pension Funds Continuing Appropriation Act) is less than the
21944	21944	3 amount lawfully vouchered under this subsection, the
21945	21945	4 difference shall be paid from the Common School Fund under the
21946	21946	5 continuing appropriation authority provided in Section 1.1 of
21947	21947	6 the State Pension Funds Continuing Appropriation Act.
21948	21948	7 (b-2) Allocations from the Common School Fund apportioned
21949	21949	8 to school districts not coming under this System shall not be
21950	21950	9 diminished or affected by the provisions of this Article.
21951	21951	10 (b-3) For State fiscal years 2012 through 2045, the
21952	21952	11 minimum contribution to the System to be made by the State for
21953	21953	12 each fiscal year shall be an amount determined by the System to
21954	21954	13 be sufficient to bring the total assets of the System up to 90%
21955	21955	14 of the total actuarial liabilities of the System by the end of
21956	21956	15 State fiscal year 2045. In making these determinations, the
21957	21957	16 required State contribution shall be calculated each year as a
21958	21958	17 level percentage of payroll over the years remaining to and
21959	21959	18 including fiscal year 2045 and shall be determined under the
21960	21960	19 projected unit credit actuarial cost method.
21961	21961	20 For each of State fiscal years 2018, 2019, and 2020, the
21962	21962	21 State shall make an additional contribution to the System
21963	21963	22 equal to 2% of the total payroll of each employee who is deemed
21964	21964	23 to have elected the benefits under Section 1-161 or who has
21965	21965	24 made the election under subsection (c) of Section 1-161.
21966	21966	25 A change in an actuarial or investment assumption that
21967	21967	26 increases or decreases the required State contribution and
21968	21968
21969	21969
21970	21970
21971	21971
21972	21972
21973	21973	SB0002 - 613 - LRB104 07746 RPS 17791 b
21974	21974
21975	21975
21976	21976	SB0002- 614 -LRB104 07746 RPS 17791 b SB0002 - 614 - LRB104 07746 RPS 17791 b
21977	21977	SB0002 - 614 - LRB104 07746 RPS 17791 b
21978	21978	1 first applies in State fiscal year 2018 or thereafter shall be
21979	21979	2 implemented in equal annual amounts over a 5-year period
21980	21980	3 beginning in the State fiscal year in which the actuarial
21981	21981	4 change first applies to the required State contribution.
21982	21982	5 A change in an actuarial or investment assumption that
21983	21983	6 increases or decreases the required State contribution and
21984	21984	7 first applied to the State contribution in fiscal year 2014,
21985	21985	8 2015, 2016, or 2017 shall be implemented:
21986	21986	9 (i) as already applied in State fiscal years before
21987	21987	10 2018; and
21988	21988	11 (ii) in the portion of the 5-year period beginning in
21989	21989	12 the State fiscal year in which the actuarial change first
21990	21990	13 applied that occurs in State fiscal year 2018 or
21991	21991	14 thereafter, by calculating the change in equal annual
21992	21992	15 amounts over that 5-year period and then implementing it
21993	21993	16 at the resulting annual rate in each of the remaining
21994	21994	17 fiscal years in that 5-year period.
21995	21995	18 For State fiscal years 1996 through 2005, the State
21996	21996	19 contribution to the System, as a percentage of the applicable
21997	21997	20 employee payroll, shall be increased in equal annual
21998	21998	21 increments so that by State fiscal year 2011, the State is
21999	21999	22 contributing at the rate required under this Section; except
22000	22000	23 that in the following specified State fiscal years, the State
22001	22001	24 contribution to the System shall not be less than the
22002	22002	25 following indicated percentages of the applicable employee
22003	22003	26 payroll, even if the indicated percentage will produce a State
22004	22004
22005	22005
22006	22006
22007	22007
22008	22008
22009	22009	SB0002 - 614 - LRB104 07746 RPS 17791 b
22010	22010
22011	22011
22012	22012	SB0002- 615 -LRB104 07746 RPS 17791 b SB0002 - 615 - LRB104 07746 RPS 17791 b
22013	22013	SB0002 - 615 - LRB104 07746 RPS 17791 b
22014	22014	1 contribution in excess of the amount otherwise required under
22015	22015	2 this subsection and subsection (a), and notwithstanding any
22016	22016	3 contrary certification made under subsection (a-1) before May
22017	22017	4 27, 1998 (the effective date of Public Act 90-582): 10.02% in
22018	22018	5 FY 1999; 10.77% in FY 2000; 11.47% in FY 2001; 12.16% in FY
22019	22019	6 2002; 12.86% in FY 2003; and 13.56% in FY 2004.
22020	22020	7 Notwithstanding any other provision of this Article, the
22021	22021	8 total required State contribution for State fiscal year 2006
22022	22022	9 is $534,627,700.
22023	22023	10 Notwithstanding any other provision of this Article, the
22024	22024	11 total required State contribution for State fiscal year 2007
22025	22025	12 is $738,014,500.
22026	22026	13 For each of State fiscal years 2008 through 2009, the
22027	22027	14 State contribution to the System, as a percentage of the
22028	22028	15 applicable employee payroll, shall be increased in equal
22029	22029	16 annual increments from the required State contribution for
22030	22030	17 State fiscal year 2007, so that by State fiscal year 2011, the
22031	22031	18 State is contributing at the rate otherwise required under
22032	22032	19 this Section.
22033	22033	20 Notwithstanding any other provision of this Article, the
22034	22034	21 total required State contribution for State fiscal year 2010
22035	22035	22 is $2,089,268,000 and shall be made from the proceeds of bonds
22036	22036	23 sold in fiscal year 2010 pursuant to Section 7.2 of the General
22037	22037	24 Obligation Bond Act, less (i) the pro rata share of bond sale
22038	22038	25 expenses determined by the System's share of total bond
22039	22039	26 proceeds, (ii) any amounts received from the Common School
22040	22040
22041	22041
22042	22042
22043	22043
22044	22044
22045	22045	SB0002 - 615 - LRB104 07746 RPS 17791 b
22046	22046
22047	22047
22048	22048	SB0002- 616 -LRB104 07746 RPS 17791 b SB0002 - 616 - LRB104 07746 RPS 17791 b
22049	22049	SB0002 - 616 - LRB104 07746 RPS 17791 b
22050	22050	1 Fund in fiscal year 2010, and (iii) any reduction in bond
22051	22051	2 proceeds due to the issuance of discounted bonds, if
22052	22052	3 applicable.
22053	22053	4 Notwithstanding any other provision of this Article, the
22054	22054	5 total required State contribution for State fiscal year 2011
22055	22055	6 is the amount recertified by the System on or before April 1,
22056	22056	7 2011 pursuant to subsection (a-1) of this Section and shall be
22057	22057	8 made from the proceeds of bonds sold in fiscal year 2011
22058	22058	9 pursuant to Section 7.2 of the General Obligation Bond Act,
22059	22059	10 less (i) the pro rata share of bond sale expenses determined by
22060	22060	11 the System's share of total bond proceeds, (ii) any amounts
22061	22061	12 received from the Common School Fund in fiscal year 2011, and
22062	22062	13 (iii) any reduction in bond proceeds due to the issuance of
22063	22063	14 discounted bonds, if applicable. This amount shall include, in
22064	22064	15 addition to the amount certified by the System, an amount
22065	22065	16 necessary to meet employer contributions required by the State
22066	22066	17 as an employer under paragraph (e) of this Section, which may
22067	22067	18 also be used by the System for contributions required by
22068	22068	19 paragraph (a) of Section 16-127.
22069	22069	20 Beginning in State fiscal year 2046, the minimum State
22070	22070	21 contribution for each fiscal year shall be the amount needed
22071	22071	22 to maintain the total assets of the System at 90% of the total
22072	22072	23 actuarial liabilities of the System.
22073	22073	24 Amounts received by the System pursuant to Section 25 of
22074	22074	25 the Budget Stabilization Act or Section 8.12 of the State
22075	22075	26 Finance Act in any fiscal year do not reduce and do not
22076	22076
22077	22077
22078	22078
22079	22079
22080	22080
22081	22081	SB0002 - 616 - LRB104 07746 RPS 17791 b
22082	22082
22083	22083
22084	22084	SB0002- 617 -LRB104 07746 RPS 17791 b SB0002 - 617 - LRB104 07746 RPS 17791 b
22085	22085	SB0002 - 617 - LRB104 07746 RPS 17791 b
22086	22086	1 constitute payment of any portion of the minimum State
22087	22087	2 contribution required under this Article in that fiscal year.
22088	22088	3 Such amounts shall not reduce, and shall not be included in the
22089	22089	4 calculation of, the required State contributions under this
22090	22090	5 Article in any future year until the System has reached a
22091	22091	6 funding ratio of at least 90%. A reference in this Article to
22092	22092	7 the "required State contribution" or any substantially similar
22093	22093	8 term does not include or apply to any amounts payable to the
22094	22094	9 System under Section 25 of the Budget Stabilization Act.
22095	22095	10 Notwithstanding any other provision of this Section, the
22096	22096	11 required State contribution for State fiscal year 2005 and for
22097	22097	12 fiscal year 2008 and each fiscal year thereafter, as
22098	22098	13 calculated under this Section and certified under subsection
22099	22099	14 (a-1), shall not exceed an amount equal to (i) the amount of
22100	22100	15 the required State contribution that would have been
22101	22101	16 calculated under this Section for that fiscal year if the
22102	22102	17 System had not received any payments under subsection (d) of
22103	22103	18 Section 7.2 of the General Obligation Bond Act, minus (ii) the
22104	22104	19 portion of the State's total debt service payments for that
22105	22105	20 fiscal year on the bonds issued in fiscal year 2003 for the
22106	22106	21 purposes of that Section 7.2, as determined and certified by
22107	22107	22 the Comptroller, that is the same as the System's portion of
22108	22108	23 the total moneys distributed under subsection (d) of Section
22109	22109	24 7.2 of the General Obligation Bond Act. In determining this
22110	22110	25 maximum for State fiscal years 2008 through 2010, however, the
22111	22111	26 amount referred to in item (i) shall be increased, as a
22112	22112
22113	22113
22114	22114
22115	22115
22116	22116
22117	22117	SB0002 - 617 - LRB104 07746 RPS 17791 b
22118	22118
22119	22119
22120	22120	SB0002- 618 -LRB104 07746 RPS 17791 b SB0002 - 618 - LRB104 07746 RPS 17791 b
22121	22121	SB0002 - 618 - LRB104 07746 RPS 17791 b
22122	22122	1 percentage of the applicable employee payroll, in equal
22123	22123	2 increments calculated from the sum of the required State
22124	22124	3 contribution for State fiscal year 2007 plus the applicable
22125	22125	4 portion of the State's total debt service payments for fiscal
22126	22126	5 year 2007 on the bonds issued in fiscal year 2003 for the
22127	22127	6 purposes of Section 7.2 of the General Obligation Bond Act, so
22128	22128	7 that, by State fiscal year 2011, the State is contributing at
22129	22129	8 the rate otherwise required under this Section.
22130	22130	9 (b-4) Beginning in fiscal year 2018, each employer under
22131	22131	10 this Article shall pay to the System a required contribution
22132	22132	11 determined as a percentage of projected payroll and sufficient
22133	22133	12 to produce an annual amount equal to:
22134	22134	13 (i) for each of fiscal years 2018, 2019, and 2020, the
22135	22135	14 defined benefit normal cost of the defined benefit plan,
22136	22136	15 less the employee contribution, for each employee of that
22137	22137	16 employer who has elected or who is deemed to have elected
22138	22138	17 the benefits under Section 1-161 or who has made the
22139	22139	18 election under subsection (b) of Section 1-161; for fiscal
22140	22140	19 year 2021 and each fiscal year thereafter, the defined
22141	22141	20 benefit normal cost of the defined benefit plan, less the
22142	22142	21 employee contribution, plus 2%, for each employee of that
22143	22143	22 employer who has elected or who is deemed to have elected
22144	22144	23 the benefits under Section 1-161 or who has made the
22145	22145	24 election under subsection (b) of Section 1-161; plus
22146	22146	25 (ii) the amount required for that fiscal year to
22147	22147	26 amortize any unfunded actuarial accrued liability
22148	22148
22149	22149
22150	22150
22151	22151
22152	22152
22153	22153	SB0002 - 618 - LRB104 07746 RPS 17791 b
22154	22154
22155	22155
22156	22156	SB0002- 619 -LRB104 07746 RPS 17791 b SB0002 - 619 - LRB104 07746 RPS 17791 b
22157	22157	SB0002 - 619 - LRB104 07746 RPS 17791 b
22158	22158	1 associated with the present value of liabilities
22159	22159	2 attributable to the employer's account under Section
22160	22160	3 16-158.3, determined as a level percentage of payroll over
22161	22161	4 a 30-year rolling amortization period.
22162	22162	5 In determining contributions required under item (i) of
22163	22163	6 this subsection, the System shall determine an aggregate rate
22164	22164	7 for all employers, expressed as a percentage of projected
22165	22165	8 payroll.
22166	22166	9 In determining the contributions required under item (ii)
22167	22167	10 of this subsection, the amount shall be computed by the System
22168	22168	11 on the basis of the actuarial assumptions and tables used in
22169	22169	12 the most recent actuarial valuation of the System that is
22170	22170	13 available at the time of the computation.
22171	22171	14 The contributions required under this subsection (b-4)
22172	22172	15 shall be paid by an employer concurrently with that employer's
22173	22173	16 payroll payment period. The State, as the actual employer of
22174	22174	17 an employee, shall make the required contributions under this
22175	22175	18 subsection.
22176	22176	19 (c) Payment of the required State contributions and of all
22177	22177	20 pensions, retirement annuities, death benefits, refunds, and
22178	22178	21 other benefits granted under or assumed by this System, and
22179	22179	22 all expenses in connection with the administration and
22180	22180	23 operation thereof, are obligations of the State.
22181	22181	24 If members are paid from special trust or federal funds
22182	22182	25 which are administered by the employing unit, whether school
22183	22183	26 district or other unit, the employing unit shall pay to the
22184	22184
22185	22185
22186	22186
22187	22187
22188	22188
22189	22189	SB0002 - 619 - LRB104 07746 RPS 17791 b
22190	22190
22191	22191
22192	22192	SB0002- 620 -LRB104 07746 RPS 17791 b SB0002 - 620 - LRB104 07746 RPS 17791 b
22193	22193	SB0002 - 620 - LRB104 07746 RPS 17791 b
22194	22194	1 System from such funds the full accruing retirement costs
22195	22195	2 based upon that service, which, beginning July 1, 2017, shall
22196	22196	3 be at a rate, expressed as a percentage of salary, equal to the
22197	22197	4 total employer's normal cost, expressed as a percentage of
22198	22198	5 payroll, as determined by the System. Employer contributions,
22199	22199	6 based on salary paid to members from federal funds, may be
22200	22200	7 forwarded by the distributing agency of the State of Illinois
22201	22201	8 to the System prior to allocation, in an amount determined in
22202	22202	9 accordance with guidelines established by such agency and the
22203	22203	10 System. Any contribution for fiscal year 2015 collected as a
22204	22204	11 result of the change made by Public Act 98-674 shall be
22205	22205	12 considered a State contribution under subsection (b-3) of this
22206	22206	13 Section.
22207	22207	14 (d) Effective July 1, 1986, any employer of a teacher as
22208	22208	15 defined in paragraph (8) of Section 16-106 shall pay the
22209	22209	16 employer's normal cost of benefits based upon the teacher's
22210	22210	17 service, in addition to employee contributions, as determined
22211	22211	18 by the System. Such employer contributions shall be forwarded
22212	22212	19 monthly in accordance with guidelines established by the
22213	22213	20 System.
22214	22214	21 However, with respect to benefits granted under Section
22215	22215	22 16-133.4 or 16-133.5 to a teacher as defined in paragraph (8)
22216	22216	23 of Section 16-106, the employer's contribution shall be 12%
22217	22217	24 (rather than 20%) of the member's highest annual salary rate
22218	22218	25 for each year of creditable service granted, and the employer
22219	22219	26 shall also pay the required employee contribution on behalf of
22220	22220
22221	22221
22222	22222
22223	22223
22224	22224
22225	22225	SB0002 - 620 - LRB104 07746 RPS 17791 b
22226	22226
22227	22227
22228	22228	SB0002- 621 -LRB104 07746 RPS 17791 b SB0002 - 621 - LRB104 07746 RPS 17791 b
22229	22229	SB0002 - 621 - LRB104 07746 RPS 17791 b
22230	22230	1 the teacher. For the purposes of Sections 16-133.4 and
22231	22231	2 16-133.5, a teacher as defined in paragraph (8) of Section
22232	22232	3 16-106 who is serving in that capacity while on leave of
22233	22233	4 absence from another employer under this Article shall not be
22234	22234	5 considered an employee of the employer from which the teacher
22235	22235	6 is on leave.
22236	22236	7 (e) Beginning July 1, 1998, every employer of a teacher
22237	22237	8 shall pay to the System an employer contribution computed as
22238	22238	9 follows:
22239	22239	10 (1) Beginning July 1, 1998 through June 30, 1999, the
22240	22240	11 employer contribution shall be equal to 0.3% of each
22241	22241	12 teacher's salary.
22242	22242	13 (2) Beginning July 1, 1999 and thereafter, the
22243	22243	14 employer contribution shall be equal to 0.58% of each
22244	22244	15 teacher's salary.
22245	22245	16 The school district or other employing unit may pay these
22246	22246	17 employer contributions out of any source of funding available
22247	22247	18 for that purpose and shall forward the contributions to the
22248	22248	19 System on the schedule established for the payment of member
22249	22249	20 contributions.
22250	22250	21 These employer contributions are intended to offset a
22251	22251	22 portion of the cost to the System of the increases in
22252	22252	23 retirement benefits resulting from Public Act 90-582.
22253	22253	24 Each employer of teachers is entitled to a credit against
22254	22254	25 the contributions required under this subsection (e) with
22255	22255	26 respect to salaries paid to teachers for the period January 1,
22256	22256
22257	22257
22258	22258
22259	22259
22260	22260
22261	22261	SB0002 - 621 - LRB104 07746 RPS 17791 b
22262	22262
22263	22263
22264	22264	SB0002- 622 -LRB104 07746 RPS 17791 b SB0002 - 622 - LRB104 07746 RPS 17791 b
22265	22265	SB0002 - 622 - LRB104 07746 RPS 17791 b
22266	22266	1 2002 through June 30, 2003, equal to the amount paid by that
22267	22267	2 employer under subsection (a-5) of Section 6.6 of the State
22268	22268	3 Employees Group Insurance Act of 1971 with respect to salaries
22269	22269	4 paid to teachers for that period.
22270	22270	5 The additional 1% employee contribution required under
22271	22271	6 Section 16-152 by Public Act 90-582 is the responsibility of
22272	22272	7 the teacher and not the teacher's employer, unless the
22273	22273	8 employer agrees, through collective bargaining or otherwise,
22274	22274	9 to make the contribution on behalf of the teacher.
22275	22275	10 If an employer is required by a contract in effect on May
22276	22276	11 1, 1998 between the employer and an employee organization to
22277	22277	12 pay, on behalf of all its full-time employees covered by this
22278	22278	13 Article, all mandatory employee contributions required under
22279	22279	14 this Article, then the employer shall be excused from paying
22280	22280	15 the employer contribution required under this subsection (e)
22281	22281	16 for the balance of the term of that contract. The employer and
22282	22282	17 the employee organization shall jointly certify to the System
22283	22283	18 the existence of the contractual requirement, in such form as
22284	22284	19 the System may prescribe. This exclusion shall cease upon the
22285	22285	20 termination, extension, or renewal of the contract at any time
22286	22286	21 after May 1, 1998.
22287	22287	22 (f) If the amount of a teacher's salary for any school year
22288	22288	23 used to determine final average salary exceeds the member's
22289	22289	24 annual full-time salary rate with the same employer for the
22290	22290	25 previous school year by more than 6%, the teacher's employer
22291	22291	26 shall pay to the System, in addition to all other payments
22292	22292
22293	22293
22294	22294
22295	22295
22296	22296
22297	22297	SB0002 - 622 - LRB104 07746 RPS 17791 b
22298	22298
22299	22299
22300	22300	SB0002- 623 -LRB104 07746 RPS 17791 b SB0002 - 623 - LRB104 07746 RPS 17791 b
22301	22301	SB0002 - 623 - LRB104 07746 RPS 17791 b
22302	22302	1 required under this Section and in accordance with guidelines
22303	22303	2 established by the System, the present value of the increase
22304	22304	3 in benefits resulting from the portion of the increase in
22305	22305	4 salary that is in excess of 6%. This present value shall be
22306	22306	5 computed by the System on the basis of the actuarial
22307	22307	6 assumptions and tables used in the most recent actuarial
22308	22308	7 valuation of the System that is available at the time of the
22309	22309	8 computation. If a teacher's salary for the 2005-2006 school
22310	22310	9 year is used to determine final average salary under this
22311	22311	10 subsection (f), then the changes made to this subsection (f)
22312	22312	11 by Public Act 94-1057 shall apply in calculating whether the
22313	22313	12 increase in his or her salary is in excess of 6%. For the
22314	22314	13 purposes of this Section, change in employment under Section
22315	22315	14 10-21.12 of the School Code on or after June 1, 2005 shall
22316	22316	15 constitute a change in employer. The System may require the
22317	22317	16 employer to provide any pertinent information or
22318	22318	17 documentation. The changes made to this subsection (f) by
22319	22319	18 Public Act 94-1111 apply without regard to whether the teacher
22320	22320	19 was in service on or after its effective date.
22321	22321	20 Whenever it determines that a payment is or may be
22322	22322	21 required under this subsection, the System shall calculate the
22323	22323	22 amount of the payment and bill the employer for that amount.
22324	22324	23 The bill shall specify the calculations used to determine the
22325	22325	24 amount due. If the employer disputes the amount of the bill, it
22326	22326	25 may, within 30 days after receipt of the bill, apply to the
22327	22327	26 System in writing for a recalculation. The application must
22328	22328
22329	22329
22330	22330
22331	22331
22332	22332
22333	22333	SB0002 - 623 - LRB104 07746 RPS 17791 b
22334	22334
22335	22335
22336	22336	SB0002- 624 -LRB104 07746 RPS 17791 b SB0002 - 624 - LRB104 07746 RPS 17791 b
22337	22337	SB0002 - 624 - LRB104 07746 RPS 17791 b
22338	22338	1 specify in detail the grounds of the dispute and, if the
22339	22339	2 employer asserts that the calculation is subject to subsection
22340	22340	3 (g), (g-5), (g-10), (g-15), (g-20), or (h) of this Section,
22341	22341	4 must include an affidavit setting forth and attesting to all
22342	22342	5 facts within the employer's knowledge that are pertinent to
22343	22343	6 the applicability of that subsection. Upon receiving a timely
22344	22344	7 application for recalculation, the System shall review the
22345	22345	8 application and, if appropriate, recalculate the amount due.
22346	22346	9 The employer contributions required under this subsection
22347	22347	10 (f) may be paid in the form of a lump sum within 90 days after
22348	22348	11 receipt of the bill. If the employer contributions are not
22349	22349	12 paid within 90 days after receipt of the bill, then interest
22350	22350	13 will be charged at a rate equal to the System's annual
22351	22351	14 actuarially assumed rate of return on investment compounded
22352	22352	15 annually from the 91st day after receipt of the bill. Payments
22353	22353	16 must be concluded within 3 years after the employer's receipt
22354	22354	17 of the bill.
22355	22355	18 (f-1) (Blank).
22356	22356	19 (g) This subsection (g) applies only to payments made or
22357	22357	20 salary increases given on or after June 1, 2005 but before July
22358	22358	21 1, 2011. The changes made by Public Act 94-1057 shall not
22359	22359	22 require the System to refund any payments received before July
22360	22360	23 31, 2006 (the effective date of Public Act 94-1057).
22361	22361	24 When assessing payment for any amount due under subsection
22362	22362	25 (f), the System shall exclude salary increases paid to
22363	22363	26 teachers under contracts or collective bargaining agreements
22364	22364
22365	22365
22366	22366
22367	22367
22368	22368
22369	22369	SB0002 - 624 - LRB104 07746 RPS 17791 b
22370	22370
22371	22371
22372	22372	SB0002- 625 -LRB104 07746 RPS 17791 b SB0002 - 625 - LRB104 07746 RPS 17791 b
22373	22373	SB0002 - 625 - LRB104 07746 RPS 17791 b
22374	22374	1 entered into, amended, or renewed before June 1, 2005.
22375	22375	2 When assessing payment for any amount due under subsection
22376	22376	3 (f), the System shall exclude salary increases paid to a
22377	22377	4 teacher at a time when the teacher is 10 or more years from
22378	22378	5 retirement eligibility under Section 16-132 or 16-133.2.
22379	22379	6 When assessing payment for any amount due under subsection
22380	22380	7 (f), the System shall exclude salary increases resulting from
22381	22381	8 overload work, including summer school, when the school
22382	22382	9 district has certified to the System, and the System has
22383	22383	10 approved the certification, that (i) the overload work is for
22384	22384	11 the sole purpose of classroom instruction in excess of the
22385	22385	12 standard number of classes for a full-time teacher in a school
22386	22386	13 district during a school year and (ii) the salary increases
22387	22387	14 are equal to or less than the rate of pay for classroom
22388	22388	15 instruction computed on the teacher's current salary and work
22389	22389	16 schedule.
22390	22390	17 When assessing payment for any amount due under subsection
22391	22391	18 (f), the System shall exclude a salary increase resulting from
22392	22392	19 a promotion (i) for which the employee is required to hold a
22393	22393	20 certificate or supervisory endorsement issued by the State
22394	22394	21 Teacher Certification Board that is a different certification
22395	22395	22 or supervisory endorsement than is required for the teacher's
22396	22396	23 previous position and (ii) to a position that has existed and
22397	22397	24 been filled by a member for no less than one complete academic
22398	22398	25 year and the salary increase from the promotion is an increase
22399	22399	26 that results in an amount no greater than the lesser of the
22400	22400
22401	22401
22402	22402
22403	22403
22404	22404
22405	22405	SB0002 - 625 - LRB104 07746 RPS 17791 b
22406	22406
22407	22407
22408	22408	SB0002- 626 -LRB104 07746 RPS 17791 b SB0002 - 626 - LRB104 07746 RPS 17791 b
22409	22409	SB0002 - 626 - LRB104 07746 RPS 17791 b
22410	22410	1 average salary paid for other similar positions in the
22411	22411	2 district requiring the same certification or the amount
22412	22412	3 stipulated in the collective bargaining agreement for a
22413	22413	4 similar position requiring the same certification.
22414	22414	5 When assessing payment for any amount due under subsection
22415	22415	6 (f), the System shall exclude any payment to the teacher from
22416	22416	7 the State of Illinois or the State Board of Education over
22417	22417	8 which the employer does not have discretion, notwithstanding
22418	22418	9 that the payment is included in the computation of final
22419	22419	10 average salary.
22420	22420	11 (g-5) When assessing payment for any amount due under
22421	22421	12 subsection (f), the System shall exclude salary increases
22422	22422	13 resulting from overload or stipend work performed in a school
22423	22423	14 year subsequent to a school year in which the employer was
22424	22424	15 unable to offer or allow to be conducted overload or stipend
22425	22425	16 work due to an emergency declaration limiting such activities.
22426	22426	17 (g-10) When assessing payment for any amount due under
22427	22427	18 subsection (f), the System shall exclude salary increases
22428	22428	19 resulting from increased instructional time that exceeded the
22429	22429	20 instructional time required during the 2019-2020 school year
22430	22430	21 or any school year thereafter.
22431	22431	22 (g-15) When assessing payment for any amount due under
22432	22432	23 subsection (f), the System shall exclude salary increases
22433	22433	24 resulting from teaching summer school on or after May 1, 2021
22434	22434	25 and before September 15, 2022.
22435	22435	26 (g-20) When assessing payment for any amount due under
22436	22436
22437	22437
22438	22438
22439	22439
22440	22440
22441	22441	SB0002 - 626 - LRB104 07746 RPS 17791 b
22442	22442
22443	22443
22444	22444	SB0002- 627 -LRB104 07746 RPS 17791 b SB0002 - 627 - LRB104 07746 RPS 17791 b
22445	22445	SB0002 - 627 - LRB104 07746 RPS 17791 b
22446	22446	1 subsection (f), the System shall exclude salary increases
22447	22447	2 necessary to bring a school board in compliance with Public
22448	22448	3 Act 101-443 or this amendatory Act of the 103rd General
22449	22449	4 Assembly.
22450	22450	5 (h) (Blank). When assessing payment for any amount due
22451	22451	6 under subsection (f), the System shall exclude any salary
22452	22452	7 increase described in subsection (g) of this Section given on
22453	22453	8 or after July 1, 2011 but before July 1, 2014 under a contract
22454	22454	9 or collective bargaining agreement entered into, amended, or
22455	22455	10 renewed on or after June 1, 2005 but before July 1, 2011.
22456	22456	11 Notwithstanding any other provision of this Section, any
22457	22457	12 payments made or salary increases given after June 30, 2014
22458	22458	13 shall be used in assessing payment for any amount due under
22459	22459	14 subsection (f) of this Section.
22460	22460	15 (i) The System shall prepare a report and file copies of
22461	22461	16 the report with the Governor and the General Assembly by
22462	22462	17 January 1, 2007 that contains all of the following
22463	22463	18 information:
22464	22464	19 (1) The number of recalculations required by the
22465	22465	20 changes made to this Section by Public Act 94-1057 for
22466	22466	21 each employer.
22467	22467	22 (2) The dollar amount by which each employer's
22468	22468	23 contribution to the System was changed due to
22469	22469	24 recalculations required by Public Act 94-1057.
22470	22470	25 (3) The total amount the System received from each
22471	22471	26 employer as a result of the changes made to this Section by
22472	22472
22473	22473
22474	22474
22475	22475
22476	22476
22477	22477	SB0002 - 627 - LRB104 07746 RPS 17791 b
22478	22478
22479	22479
22480	22480	SB0002- 628 -LRB104 07746 RPS 17791 b SB0002 - 628 - LRB104 07746 RPS 17791 b
22481	22481	SB0002 - 628 - LRB104 07746 RPS 17791 b
22482	22482	1 Public Act 94-4.
22483	22483	2 (4) The increase in the required State contribution
22484	22484	3 resulting from the changes made to this Section by Public
22485	22485	4 Act 94-1057.
22486	22486	5 (i-5) For school years beginning on or after July 1, 2017,
22487	22487	6 if the amount of a participant's salary for any school year
22488	22488	7 exceeds the amount of the salary set for the Governor, the
22489	22489	8 participant's employer shall pay to the System, in addition to
22490	22490	9 all other payments required under this Section and in
22491	22491	10 accordance with guidelines established by the System, an
22492	22492	11 amount determined by the System to be equal to the employer
22493	22493	12 normal cost, as established by the System and expressed as a
22494	22494	13 total percentage of payroll, multiplied by the amount of
22495	22495	14 salary in excess of the amount of the salary set for the
22496	22496	15 Governor. This amount shall be computed by the System on the
22497	22497	16 basis of the actuarial assumptions and tables used in the most
22498	22498	17 recent actuarial valuation of the System that is available at
22499	22499	18 the time of the computation. The System may require the
22500	22500	19 employer to provide any pertinent information or
22501	22501	20 documentation.
22502	22502	21 Whenever it determines that a payment is or may be
22503	22503	22 required under this subsection, the System shall calculate the
22504	22504	23 amount of the payment and bill the employer for that amount.
22505	22505	24 The bill shall specify the calculations used to determine the
22506	22506	25 amount due. If the employer disputes the amount of the bill, it
22507	22507	26 may, within 30 days after receipt of the bill, apply to the
22508	22508
22509	22509
22510	22510
22511	22511
22512	22512
22513	22513	SB0002 - 628 - LRB104 07746 RPS 17791 b
22514	22514
22515	22515
22516	22516	SB0002- 629 -LRB104 07746 RPS 17791 b SB0002 - 629 - LRB104 07746 RPS 17791 b
22517	22517	SB0002 - 629 - LRB104 07746 RPS 17791 b
22518	22518	1 System in writing for a recalculation. The application must
22519	22519	2 specify in detail the grounds of the dispute. Upon receiving a
22520	22520	3 timely application for recalculation, the System shall review
22521	22521	4 the application and, if appropriate, recalculate the amount
22522	22522	5 due.
22523	22523	6 The employer contributions required under this subsection
22524	22524	7 may be paid in the form of a lump sum within 90 days after
22525	22525	8 receipt of the bill. If the employer contributions are not
22526	22526	9 paid within 90 days after receipt of the bill, then interest
22527	22527	10 will be charged at a rate equal to the System's annual
22528	22528	11 actuarially assumed rate of return on investment compounded
22529	22529	12 annually from the 91st day after receipt of the bill. Payments
22530	22530	13 must be concluded within 3 years after the employer's receipt
22531	22531	14 of the bill.
22532	22532	15 (j) For purposes of determining the required State
22533	22533	16 contribution to the System, the value of the System's assets
22534	22534	17 shall be equal to the actuarial value of the System's assets,
22535	22535	18 which shall be calculated as follows:
22536	22536	19 As of June 30, 2008, the actuarial value of the System's
22537	22537	20 assets shall be equal to the market value of the assets as of
22538	22538	21 that date. In determining the actuarial value of the System's
22539	22539	22 assets for fiscal years after June 30, 2008, any actuarial
22540	22540	23 gains or losses from investment return incurred in a fiscal
22541	22541	24 year shall be recognized in equal annual amounts over the
22542	22542	25 5-year period following that fiscal year.
22543	22543	26 (k) For purposes of determining the required State
22544	22544
22545	22545
22546	22546
22547	22547
22548	22548
22549	22549	SB0002 - 629 - LRB104 07746 RPS 17791 b
22550	22550
22551	22551
22552	22552	SB0002- 630 -LRB104 07746 RPS 17791 b SB0002 - 630 - LRB104 07746 RPS 17791 b
22553	22553	SB0002 - 630 - LRB104 07746 RPS 17791 b
22554	22554	1 contribution to the system for a particular year, the
22555	22555	2 actuarial value of assets shall be assumed to earn a rate of
22556	22556	3 return equal to the system's actuarially assumed rate of
22557	22557	4 return.
22558	22558	5 (Source: P.A. 102-16, eff. 6-17-21; 102-525, eff. 8-20-21;
22559	22559	6 102-558, eff. 8-20-21; 102-813, eff. 5-13-22; 103-515, eff.
22560	22560	7 8-11-23; 103-588, eff. 6-5-24.)
22561	22561	8 Article 14.
22562	22562	9 Section 14-5. The Illinois Pension Code is amended by
22563	22563	10 changing Section 7-142.1 as follows:
22564	22564	11 (40 ILCS 5/7-142.1) (from Ch. 108 1/2, par. 7-142.1)
22565	22565	12 Sec. 7-142.1. Sheriff's law enforcement employees.
22566	22566	13 (a) In lieu of the retirement annuity provided by
22567	22567	14 subparagraph 1 of paragraph (a) of Section 7-142:
22568	22568	15 Any sheriff's law enforcement employee who has 20 or more
22569	22569	16 years of service in that capacity and who terminates service
22570	22570	17 prior to January 1, 1988 shall be entitled at his option to
22571	22571	18 receive a monthly retirement annuity for his service as a
22572	22572	19 sheriff's law enforcement employee computed by multiplying 2%
22573	22573	20 for each year of such service up to 10 years, 2 1/4% for each
22574	22574	21 year of such service above 10 years and up to 20 years, and 2
22575	22575	22 1/2% for each year of such service above 20 years, by his
22576	22576	23 annual final rate of earnings and dividing by 12.
22577	22577
22578	22578
22579	22579
22580	22580
22581	22581
22582	22582	SB0002 - 630 - LRB104 07746 RPS 17791 b
22583	22583
22584	22584
22585	22585	SB0002- 631 -LRB104 07746 RPS 17791 b SB0002 - 631 - LRB104 07746 RPS 17791 b
22586	22586	SB0002 - 631 - LRB104 07746 RPS 17791 b
22587	22587	1 Any sheriff's law enforcement employee who has 20 or more
22588	22588	2 years of service in that capacity and who terminates service
22589	22589	3 on or after January 1, 1988 and before July 1, 2004 shall be
22590	22590	4 entitled at his option to receive a monthly retirement annuity
22591	22591	5 for his service as a sheriff's law enforcement employee
22592	22592	6 computed by multiplying 2.5% for each year of such service up
22593	22593	7 to 20 years, 2% for each year of such service above 20 years
22594	22594	8 and up to 30 years, and 1% for each year of such service above
22595	22595	9 30 years, by his annual final rate of earnings and dividing by
22596	22596	10 12.
22597	22597	11 Any sheriff's law enforcement employee who has 20 or more
22598	22598	12 years of service in that capacity and who terminates service
22599	22599	13 on or after July 1, 2004 shall be entitled at his or her option
22600	22600	14 to receive a monthly retirement annuity for service as a
22601	22601	15 sheriff's law enforcement employee computed by multiplying
22602	22602	16 2.5% for each year of such service by his annual final rate of
22603	22603	17 earnings and dividing by 12.
22604	22604	18 If a sheriff's law enforcement employee has service in any
22605	22605	19 other capacity, his retirement annuity for service as a
22606	22606	20 sheriff's law enforcement employee may be computed under this
22607	22607	21 Section and the retirement annuity for his other service under
22608	22608	22 Section 7-142.
22609	22609	23 In no case shall the total monthly retirement annuity for
22610	22610	24 persons who retire before July 1, 2004 exceed 75% of the
22611	22611	25 monthly final rate of earnings. In no case shall the total
22612	22612	26 monthly retirement annuity for persons who retire on or after
22613	22613
22614	22614
22615	22615
22616	22616
22617	22617
22618	22618	SB0002 - 631 - LRB104 07746 RPS 17791 b
22619	22619
22620	22620
22621	22621	SB0002- 632 -LRB104 07746 RPS 17791 b SB0002 - 632 - LRB104 07746 RPS 17791 b
22622	22622	SB0002 - 632 - LRB104 07746 RPS 17791 b
22623	22623	1 July 1, 2004 exceed 80% of the monthly final rate of earnings.
22624	22624	2 (b) Whenever continued group insurance coverage is elected
22625	22625	3 in accordance with the provisions of Section 367h of the
22626	22626	4 Illinois Insurance Code, as now or hereafter amended, the
22627	22627	5 total monthly premium for such continued group insurance
22628	22628	6 coverage or such portion thereof as is not paid by the
22629	22629	7 municipality shall, upon request of the person electing such
22630	22630	8 continued group insurance coverage, be deducted from any
22631	22631	9 monthly pension benefit otherwise payable to such person
22632	22632	10 pursuant to this Section, to be remitted by the Fund to the
22633	22633	11 insurance company or other entity providing the group
22634	22634	12 insurance coverage.
22635	22635	13 (c) A sheriff's law enforcement employee who began service
22636	22636	14 in that capacity prior to the effective date of this
22637	22637	15 amendatory Act of the 97th General Assembly and who has
22638	22638	16 service in any other capacity may convert up to 10 years of
22639	22639	17 that service into service as a sheriff's law enforcement
22640	22640	18 employee by paying to the Fund an amount equal to (1) the
22641	22641	19 additional employee contribution required under Section
22642	22642	20 7-173.1, plus (2) the additional employer contribution
22643	22643	21 required under Section 7-172, plus (3) interest on items (1)
22644	22644	22 and (2) at the prescribed rate from the date of the service to
22645	22645	23 the date of payment. Application must be received by the Board
22646	22646	24 while the employee is an active participant in the Fund.
22647	22647	25 Payment must be received while the member is an active
22648	22648	26 participant, except that one payment will be permitted after
22649	22649
22650	22650
22651	22651
22652	22652
22653	22653
22654	22654	SB0002 - 632 - LRB104 07746 RPS 17791 b
22655	22655
22656	22656
22657	22657	SB0002- 633 -LRB104 07746 RPS 17791 b SB0002 - 633 - LRB104 07746 RPS 17791 b
22658	22658	SB0002 - 633 - LRB104 07746 RPS 17791 b
22659	22659	1 termination of participation.
22660	22660	2 (d) The changes to subsections (a) and (b) of this Section
22661	22661	3 made by this amendatory Act of the 94th General Assembly apply
22662	22662	4 only to persons in service on or after July 1, 2004. In the
22663	22663	5 case of such a person who begins to receive a retirement
22664	22664	6 annuity before the effective date of this amendatory Act of
22665	22665	7 the 94th General Assembly, the annuity shall be recalculated
22666	22666	8 prospectively to reflect those changes, with the resulting
22667	22667	9 increase beginning to accrue on the first annuity payment date
22668	22668	10 following the effective date of this amendatory Act.
22669	22669	11 (e) Any elected county officer who was entitled to receive
22670	22670	12 a stipend from the State on or after July 1, 2009 and on or
22671	22671	13 before June 30, 2010 may establish earnings credit for the
22672	22672	14 amount of stipend not received, if the elected county official
22673	22673	15 applies in writing to the fund within 6 months after the
22674	22674	16 effective date of this amendatory Act of the 96th General
22675	22675	17 Assembly and pays to the fund an amount equal to (i) employee
22676	22676	18 contributions on the amount of stipend not received, (ii)
22677	22677	19 employer contributions determined by the Board equal to the
22678	22678	20 employer's normal cost of the benefit on the amount of stipend
22679	22679	21 not received, plus (iii) interest on items (i) and (ii) at the
22680	22680	22 actuarially assumed rate.
22681	22681	23 (f) Notwithstanding any other provision of this Article,
22682	22682	24 the provisions of this subsection (f) apply to a person who
22683	22683	25 first becomes a sheriff's law enforcement employee under this
22684	22684	26 Article on or after January 1, 2011 and does not have any prior
22685	22685
22686	22686
22687	22687
22688	22688
22689	22689
22690	22690	SB0002 - 633 - LRB104 07746 RPS 17791 b
22691	22691
22692	22692
22693	22693	SB0002- 634 -LRB104 07746 RPS 17791 b SB0002 - 634 - LRB104 07746 RPS 17791 b
22694	22694	SB0002 - 634 - LRB104 07746 RPS 17791 b
22695	22695	1 service with any other pension fund or retirement system
22696	22696	2 established under this Code.
22697	22697	3 A sheriff's law enforcement employee age 55 or more who
22698	22698	4 has 10 or more years of service in that capacity shall be
22699	22699	5 entitled at his option to receive a monthly retirement annuity
22700	22700	6 for his or her service as a sheriff's law enforcement employee
22701	22701	7 computed by multiplying 2.5% for each year of such service by
22702	22702	8 his or her final rate of earnings.
22703	22703	9 The retirement annuity of a sheriff's law enforcement
22704	22704	10 employee who is retiring after attaining age 50 with 10 or more
22705	22705	11 years of creditable service shall be reduced by one-half of 1%
22706	22706	12 for each month that the sheriff's law enforcement employee's
22707	22707	13 age is under age 55.
22708	22708	14 The maximum retirement annuity under this subsection (f)
22709	22709	15 shall be 75% of final rate of earnings.
22710	22710	16 For the purposes of this subsection (f), "final rate of
22711	22711	17 earnings" means the average monthly earnings obtained by
22712	22712	18 dividing the total salary of the sheriff's law enforcement
22713	22713	19 employee during the 96 consecutive months of service within
22714	22714	20 the last 120 months of service in which the total earnings was
22715	22715	21 the highest by the number of months of service in that period.
22716	22716	22 Notwithstanding any other provision of this Article,
22717	22717	23 beginning on January 1, 2011, for all purposes under this Code
22718	22718	24 (including without limitation the calculation of benefits and
22719	22719	25 employee contributions), the annual earnings of a sheriff's
22720	22720	26 law enforcement employee to whom this Section applies shall
22721	22721
22722	22722
22723	22723
22724	22724
22725	22725
22726	22726	SB0002 - 634 - LRB104 07746 RPS 17791 b
22727	22727
22728	22728
22729	22729	SB0002- 635 -LRB104 07746 RPS 17791 b SB0002 - 635 - LRB104 07746 RPS 17791 b
22730	22730	SB0002 - 635 - LRB104 07746 RPS 17791 b
22731	22731	1 not include overtime and shall not exceed $106,800; however,
22732	22732	2 that amount shall annually thereafter be increased by the
22733	22733	3 lesser of (i) 3% of that amount, including all previous
22734	22734	4 adjustments, or (ii) one-half the annual unadjusted percentage
22735	22735	5 increase (but not less than zero) in the consumer price
22736	22736	6 index-u for the 12 months ending with the September preceding
22737	22737	7 each November 1, including all previous adjustments.
22738	22738	8 (g) Notwithstanding any other provision of this Article,
22739	22739	9 the monthly annuity of a person who first becomes a sheriff's
22740	22740	10 law enforcement employee under this Article on or after
22741	22741	11 January 1, 2011 shall be increased on the January 1 occurring
22742	22742	12 either on or after the attainment of age 60 or the first
22743	22743	13 anniversary of the annuity start date, whichever is later.
22744	22744	14 Each annual increase shall be calculated at 3% or one-half the
22745	22745	15 annual unadjusted percentage increase (but not less than zero)
22746	22746	16 in the consumer price index-u for the 12 months ending with the
22747	22747	17 September preceding each November 1, whichever is less, of the
22748	22748	18 originally granted retirement annuity. If the annual
22749	22749	19 unadjusted percentage change in the consumer price index-u for
22750	22750	20 a 12-month period ending in September is zero or, when
22751	22751	21 compared with the preceding period, decreases, then the
22752	22752	22 annuity shall not be increased.
22753	22753	23 (h) Notwithstanding any other provision of this Article,
22754	22754	24 for a person who first becomes a sheriff's law enforcement
22755	22755	25 employee under this Article on or after January 1, 2011, the
22756	22756	26 annuity to which the surviving spouse, children, or parents
22757	22757
22758	22758
22759	22759
22760	22760
22761	22761
22762	22762	SB0002 - 635 - LRB104 07746 RPS 17791 b
22763	22763
22764	22764
22765	22765	SB0002- 636 -LRB104 07746 RPS 17791 b SB0002 - 636 - LRB104 07746 RPS 17791 b
22766	22766	SB0002 - 636 - LRB104 07746 RPS 17791 b
22767	22767	1 are entitled under this subsection (h) shall be in the amount
22768	22768	2 of 66 2/3% of the sheriff's law enforcement employee's earned
22769	22769	3 annuity at the date of death.
22770	22770	4 (i) Notwithstanding any other provision of this Article,
22771	22771	5 the monthly annuity of a survivor of a person who first becomes
22772	22772	6 a sheriff's law enforcement employee under this Article on or
22773	22773	7 after January 1, 2011 shall be increased on the January 1 after
22774	22774	8 attainment of age 60 by the recipient of the survivor's
22775	22775	9 annuity and each January 1 thereafter by 3% or one-half the
22776	22776	10 annual unadjusted percentage increase in the consumer price
22777	22777	11 index-u for the 12 months ending with the September preceding
22778	22778	12 each November 1, whichever is less, of the originally granted
22779	22779	13 pension. If the annual unadjusted percentage change in the
22780	22780	14 consumer price index-u for a 12-month period ending in
22781	22781	15 September is zero or, when compared with the preceding period,
22782	22782	16 decreases, then the annuity shall not be increased.
22783	22783	17 (j) For the purposes of this Section, "consumer price
22784	22784	18 index-u" means the index published by the Bureau of Labor
22785	22785	19 Statistics of the United States Department of Labor that
22786	22786	20 measures the average change in prices of goods and services
22787	22787	21 purchased by all urban consumers, United States city average,
22788	22788	22 all items, 1982-84 = 100. The new amount resulting from each
22789	22789	23 annual adjustment shall be determined by the Public Pension
22790	22790	24 Division of the Department of Insurance and made available to
22791	22791	25 the boards of the pension funds.
22792	22792	26 (Source: P.A. 100-148, eff. 8-18-17.)
22793	22793
22794	22794
22795	22795
22796	22796
22797	22797
22798	22798	SB0002 - 636 - LRB104 07746 RPS 17791 b
22799	22799
22800	22800
22801	22801	SB0002- 637 -LRB104 07746 RPS 17791 b SB0002 - 637 - LRB104 07746 RPS 17791 b
22802	22802	SB0002 - 637 - LRB104 07746 RPS 17791 b
22803	22803	1 Article 90.
22804	22804	2 Section 90-5. The Illinois Pension Code is amended by
22805	22805	3 changing Sections 2-162, 12-195, 14-152.1, 15-198, 16-203, and
22806	22806	4 18-169 as follows:
22807	22807	5 (40 ILCS 5/2-162)
22808	22808	6 Sec. 2-162. Application and expiration of new benefit
22809	22809	7 increases.
22810	22810	8 (a) As used in this Section, "new benefit increase" means
22811	22811	9 an increase in the amount of any benefit provided under this
22812	22812	10 Article, or an expansion of the conditions of eligibility for
22813	22813	11 any benefit under this Article, that results from an amendment
22814	22814	12 to this Code that takes effect after the effective date of this
22815	22815	13 amendatory Act of the 94th General Assembly. "New benefit
22816	22816	14 increase", however, does not include any benefit increase
22817	22817	15 resulting from the changes made to this Article by this
22818	22818	16 amendatory Act of the 104th General Assembly.
22819	22819	17 (b) Notwithstanding any other provision of this Code or
22820	22820	18 any subsequent amendment to this Code, every new benefit
22821	22821	19 increase is subject to this Section and shall be deemed to be
22822	22822	20 granted only in conformance with and contingent upon
22823	22823	21 compliance with the provisions of this Section.
22824	22824	22 (c) The Public Act enacting a new benefit increase must
22825	22825	23 identify and provide for payment to the System of additional
22826	22826
22827	22827
22828	22828
22829	22829
22830	22830
22831	22831	SB0002 - 637 - LRB104 07746 RPS 17791 b
22832	22832
22833	22833
22834	22834	SB0002- 638 -LRB104 07746 RPS 17791 b SB0002 - 638 - LRB104 07746 RPS 17791 b
22835	22835	SB0002 - 638 - LRB104 07746 RPS 17791 b
22836	22836	1 funding at least sufficient to fund the resulting annual
22837	22837	2 increase in cost to the System as it accrues.
22838	22838	3 Every new benefit increase is contingent upon the General
22839	22839	4 Assembly providing the additional funding required under this
22840	22840	5 subsection. The Commission on Government Forecasting and
22841	22841	6 Accountability shall analyze whether adequate additional
22842	22842	7 funding has been provided for the new benefit increase and
22843	22843	8 shall report its analysis to the Public Pension Division of
22844	22844	9 the Department of Insurance. A new benefit increase created by
22845	22845	10 a Public Act that does not include the additional funding
22846	22846	11 required under this subsection is null and void. If the Public
22847	22847	12 Pension Division determines that the additional funding
22848	22848	13 provided for a new benefit increase under this subsection is
22849	22849	14 or has become inadequate, it may so certify to the Governor and
22850	22850	15 the State Comptroller and, in the absence of corrective action
22851	22851	16 by the General Assembly, the new benefit increase shall expire
22852	22852	17 at the end of the fiscal year in which the certification is
22853	22853	18 made.
22854	22854	19 (d) Every new benefit increase shall expire 5 years after
22855	22855	20 its effective date or on such earlier date as may be specified
22856	22856	21 in the language enacting the new benefit increase or provided
22857	22857	22 under subsection (c). This does not prevent the General
22858	22858	23 Assembly from extending or re-creating a new benefit increase
22859	22859	24 by law.
22860	22860	25 (e) Except as otherwise provided in the language creating
22861	22861	26 the new benefit increase, a new benefit increase that expires
22862	22862
22863	22863
22864	22864
22865	22865
22866	22866
22867	22867	SB0002 - 638 - LRB104 07746 RPS 17791 b
22868	22868
22869	22869
22870	22870	SB0002- 639 -LRB104 07746 RPS 17791 b SB0002 - 639 - LRB104 07746 RPS 17791 b
22871	22871	SB0002 - 639 - LRB104 07746 RPS 17791 b
22872	22872	1 under this Section continues to apply to persons who applied
22873	22873	2 and qualified for the affected benefit while the new benefit
22874	22874	3 increase was in effect and to the affected beneficiaries and
22875	22875	4 alternate payees of such persons, but does not apply to any
22876	22876	5 other person, including without limitation a person who
22877	22877	6 continues in service after the expiration date and did not
22878	22878	7 apply and qualify for the affected benefit while the new
22879	22879	8 benefit increase was in effect.
22880	22880	9 (Source: P.A. 103-426, eff. 8-4-23.)
22881	22881	10 (40 ILCS 5/12-195)
22882	22882	11 Sec. 12-195. Application and expiration of new benefit
22883	22883	12 increases.
22884	22884	13 (a) As used in this Section, "new benefit increase" means
22885	22885	14 an increase in the amount of any benefit provided under this
22886	22886	15 Article, or an expansion of the conditions of eligibility for
22887	22887	16 any benefit under this Article, that results from an amendment
22888	22888	17 to this Code that takes effect after the effective date of this
22889	22889	18 amendatory Act of the 98th General Assembly. "New benefit
22890	22890	19 increase", however, does not include any benefit increase
22891	22891	20 resulting from the changes made to this Article by this
22892	22892	21 amendatory Act of the 104th General Assembly.
22893	22893	22 (b) Notwithstanding any other provision of this Code or
22894	22894	23 any subsequent amendment to this Code, every new benefit
22895	22895	24 increase is subject to this Section and shall be deemed to be
22896	22896	25 granted only in conformance with and contingent upon
22897	22897
22898	22898
22899	22899
22900	22900
22901	22901
22902	22902	SB0002 - 639 - LRB104 07746 RPS 17791 b
22903	22903
22904	22904
22905	22905	SB0002- 640 -LRB104 07746 RPS 17791 b SB0002 - 640 - LRB104 07746 RPS 17791 b
22906	22906	SB0002 - 640 - LRB104 07746 RPS 17791 b
22907	22907	1 compliance with the provisions of this Section.
22908	22908	2 (c) The Public Act enacting a new benefit increase must
22909	22909	3 identify and provide for payment to the Fund of additional
22910	22910	4 funding at least sufficient to fund the resulting annual
22911	22911	5 increase in cost to the Fund as it accrues.
22912	22912	6 Every new benefit increase is contingent upon the General
22913	22913	7 Assembly providing the additional funding required under this
22914	22914	8 subsection (c). The State Actuary shall analyze whether
22915	22915	9 adequate additional funding has been provided for the new
22916	22916	10 benefit increase. A new benefit increase created by a Public
22917	22917	11 Act that does not include the additional funding required
22918	22918	12 under this subsection (c) is null and void. If the State
22919	22919	13 Actuary determines that the additional funding provided for a
22920	22920	14 new benefit increase under this subsection (c) is or has
22921	22921	15 become inadequate, it may so certify to the Governor and the
22922	22922	16 State Comptroller and, in the absence of corrective action by
22923	22923	17 the General Assembly, the new benefit increase shall expire at
22924	22924	18 the end of the fiscal year in which the certification is made.
22925	22925	19 (Source: P.A. 102-263, eff. 8-6-21.)
22926	22926	20 (40 ILCS 5/14-152.1)
22927	22927	21 Sec. 14-152.1. Application and expiration of new benefit
22928	22928	22 increases.
22929	22929	23 (a) As used in this Section, "new benefit increase" means
22930	22930	24 an increase in the amount of any benefit provided under this
22931	22931	25 Article, or an expansion of the conditions of eligibility for
22932	22932
22933	22933
22934	22934
22935	22935
22936	22936
22937	22937	SB0002 - 640 - LRB104 07746 RPS 17791 b
22938	22938
22939	22939
22940	22940	SB0002- 641 -LRB104 07746 RPS 17791 b SB0002 - 641 - LRB104 07746 RPS 17791 b
22941	22941	SB0002 - 641 - LRB104 07746 RPS 17791 b
22942	22942	1 any benefit under this Article, that results from an amendment
22943	22943	2 to this Code that takes effect after June 1, 2005 (the
22944	22944	3 effective date of Public Act 94-4). "New benefit increase",
22945	22945	4 however, does not include any benefit increase resulting from
22946	22946	5 the changes made to Article 1 or this Article by Public Act
22947	22947	6 96-37, Public Act 100-23, Public Act 100-587, Public Act
22948	22948	7 100-611, Public Act 101-10, Public Act 101-610, Public Act
22949	22949	8 102-210, Public Act 102-856, Public Act 102-956, or this
22950	22950	9 amendatory Act of the 104th General Assembly this amendatory
22951	22951	10 Act of the 102nd General Assembly.
22952	22952	11 (b) Notwithstanding any other provision of this Code or
22953	22953	12 any subsequent amendment to this Code, every new benefit
22954	22954	13 increase is subject to this Section and shall be deemed to be
22955	22955	14 granted only in conformance with and contingent upon
22956	22956	15 compliance with the provisions of this Section.
22957	22957	16 (c) The Public Act enacting a new benefit increase must
22958	22958	17 identify and provide for payment to the System of additional
22959	22959	18 funding at least sufficient to fund the resulting annual
22960	22960	19 increase in cost to the System as it accrues.
22961	22961	20 Every new benefit increase is contingent upon the General
22962	22962	21 Assembly providing the additional funding required under this
22963	22963	22 subsection. The Commission on Government Forecasting and
22964	22964	23 Accountability shall analyze whether adequate additional
22965	22965	24 funding has been provided for the new benefit increase and
22966	22966	25 shall report its analysis to the Public Pension Division of
22967	22967	26 the Department of Insurance. A new benefit increase created by
22968	22968
22969	22969
22970	22970
22971	22971
22972	22972
22973	22973	SB0002 - 641 - LRB104 07746 RPS 17791 b
22974	22974
22975	22975
22976	22976	SB0002- 642 -LRB104 07746 RPS 17791 b SB0002 - 642 - LRB104 07746 RPS 17791 b
22977	22977	SB0002 - 642 - LRB104 07746 RPS 17791 b
22978	22978	1 a Public Act that does not include the additional funding
22979	22979	2 required under this subsection is null and void. If the Public
22980	22980	3 Pension Division determines that the additional funding
22981	22981	4 provided for a new benefit increase under this subsection is
22982	22982	5 or has become inadequate, it may so certify to the Governor and
22983	22983	6 the State Comptroller and, in the absence of corrective action
22984	22984	7 by the General Assembly, the new benefit increase shall expire
22985	22985	8 at the end of the fiscal year in which the certification is
22986	22986	9 made.
22987	22987	10 (d) Every new benefit increase shall expire 5 years after
22988	22988	11 its effective date or on such earlier date as may be specified
22989	22989	12 in the language enacting the new benefit increase or provided
22990	22990	13 under subsection (c). This does not prevent the General
22991	22991	14 Assembly from extending or re-creating a new benefit increase
22992	22992	15 by law.
22993	22993	16 (e) Except as otherwise provided in the language creating
22994	22994	17 the new benefit increase, a new benefit increase that expires
22995	22995	18 under this Section continues to apply to persons who applied
22996	22996	19 and qualified for the affected benefit while the new benefit
22997	22997	20 increase was in effect and to the affected beneficiaries and
22998	22998	21 alternate payees of such persons, but does not apply to any
22999	22999	22 other person, including, without limitation, a person who
23000	23000	23 continues in service after the expiration date and did not
23001	23001	24 apply and qualify for the affected benefit while the new
23002	23002	25 benefit increase was in effect.
23003	23003	26 (Source: P.A. 101-10, eff. 6-5-19; 101-81, eff. 7-12-19;
23004	23004
23005	23005
23006	23006
23007	23007
23008	23008
23009	23009	SB0002 - 642 - LRB104 07746 RPS 17791 b
23010	23010
23011	23011
23012	23012	SB0002- 643 -LRB104 07746 RPS 17791 b SB0002 - 643 - LRB104 07746 RPS 17791 b
23013	23013	SB0002 - 643 - LRB104 07746 RPS 17791 b
23014	23014	1 101-610, eff. 1-1-20; 102-210, eff. 7-30-21; 102-856, eff.
23015	23015	2 1-1-23; 102-956, eff. 5-27-22.)
23016	23016	3 (40 ILCS 5/15-198)
23017	23017	4 Sec. 15-198. Application and expiration of new benefit
23018	23018	5 increases.
23019	23019	6 (a) As used in this Section, "new benefit increase" means
23020	23020	7 an increase in the amount of any benefit provided under this
23021	23021	8 Article, or an expansion of the conditions of eligibility for
23022	23022	9 any benefit under this Article, that results from an amendment
23023	23023	10 to this Code that takes effect after June 1, 2005 (the
23024	23024	11 effective date of Public Act 94-4). "New benefit increase",
23025	23025	12 however, does not include any benefit increase resulting from
23026	23026	13 the changes made to Article 1 or this Article by Public Act
23027	23027	14 100-23, Public Act 100-587, Public Act 100-769, Public Act
23028	23028	15 101-10, Public Act 101-610, Public Act 102-16, Public Act
23029	23029	16 103-80, or Public Act 103-548, or this amendatory Act of the
23030	23030	17 104th General Assembly.
23031	23031	18 (b) Notwithstanding any other provision of this Code or
23032	23032	19 any subsequent amendment to this Code, every new benefit
23033	23033	20 increase is subject to this Section and shall be deemed to be
23034	23034	21 granted only in conformance with and contingent upon
23035	23035	22 compliance with the provisions of this Section.
23036	23036	23 (c) The Public Act enacting a new benefit increase must
23037	23037	24 identify and provide for payment to the System of additional
23038	23038	25 funding at least sufficient to fund the resulting annual
23039	23039
23040	23040
23041	23041
23042	23042
23043	23043
23044	23044	SB0002 - 643 - LRB104 07746 RPS 17791 b
23045	23045
23046	23046
23047	23047	SB0002- 644 -LRB104 07746 RPS 17791 b SB0002 - 644 - LRB104 07746 RPS 17791 b
23048	23048	SB0002 - 644 - LRB104 07746 RPS 17791 b
23049	23049	1 increase in cost to the System as it accrues.
23050	23050	2 Every new benefit increase is contingent upon the General
23051	23051	3 Assembly providing the additional funding required under this
23052	23052	4 subsection. The Commission on Government Forecasting and
23053	23053	5 Accountability shall analyze whether adequate additional
23054	23054	6 funding has been provided for the new benefit increase and
23055	23055	7 shall report its analysis to the Public Pension Division of
23056	23056	8 the Department of Insurance. A new benefit increase created by
23057	23057	9 a Public Act that does not include the additional funding
23058	23058	10 required under this subsection is null and void. If the Public
23059	23059	11 Pension Division determines that the additional funding
23060	23060	12 provided for a new benefit increase under this subsection is
23061	23061	13 or has become inadequate, it may so certify to the Governor and
23062	23062	14 the State Comptroller and, in the absence of corrective action
23063	23063	15 by the General Assembly, the new benefit increase shall expire
23064	23064	16 at the end of the fiscal year in which the certification is
23065	23065	17 made.
23066	23066	18 (d) Every new benefit increase shall expire 5 years after
23067	23067	19 its effective date or on such earlier date as may be specified
23068	23068	20 in the language enacting the new benefit increase or provided
23069	23069	21 under subsection (c). This does not prevent the General
23070	23070	22 Assembly from extending or re-creating a new benefit increase
23071	23071	23 by law.
23072	23072	24 (e) Except as otherwise provided in the language creating
23073	23073	25 the new benefit increase, a new benefit increase that expires
23074	23074	26 under this Section continues to apply to persons who applied
23075	23075
23076	23076
23077	23077
23078	23078
23079	23079
23080	23080	SB0002 - 644 - LRB104 07746 RPS 17791 b
23081	23081
23082	23082
23083	23083	SB0002- 645 -LRB104 07746 RPS 17791 b SB0002 - 645 - LRB104 07746 RPS 17791 b
23084	23084	SB0002 - 645 - LRB104 07746 RPS 17791 b
23085	23085	1 and qualified for the affected benefit while the new benefit
23086	23086	2 increase was in effect and to the affected beneficiaries and
23087	23087	3 alternate payees of such persons, but does not apply to any
23088	23088	4 other person, including, without limitation, a person who
23089	23089	5 continues in service after the expiration date and did not
23090	23090	6 apply and qualify for the affected benefit while the new
23091	23091	7 benefit increase was in effect.
23092	23092	8 (Source: P.A. 102-16, eff. 6-17-21; 103-80, eff. 6-9-23;
23093	23093	9 103-548, eff. 8-11-23; 103-605, eff. 7-1-24.)
23094	23094	10 (40 ILCS 5/16-203)
23095	23095	11 Sec. 16-203. Application and expiration of new benefit
23096	23096	12 increases.
23097	23097	13 (a) As used in this Section, "new benefit increase" means
23098	23098	14 an increase in the amount of any benefit provided under this
23099	23099	15 Article, or an expansion of the conditions of eligibility for
23100	23100	16 any benefit under this Article, that results from an amendment
23101	23101	17 to this Code that takes effect after June 1, 2005 (the
23102	23102	18 effective date of Public Act 94-4). "New benefit increase",
23103	23103	19 however, does not include any benefit increase resulting from
23104	23104	20 the changes made to Article 1 or this Article by Public Act
23105	23105	21 95-910, Public Act 100-23, Public Act 100-587, Public Act
23106	23106	22 100-743, Public Act 100-769, Public Act 101-10, Public Act
23107	23107	23 101-49, Public Act 102-16, or Public Act 102-871, or this
23108	23108	24 amendatory Act of the 104th General Assembly.
23109	23109	25 (b) Notwithstanding any other provision of this Code or
23110	23110
23111	23111
23112	23112
23113	23113
23114	23114
23115	23115	SB0002 - 645 - LRB104 07746 RPS 17791 b
23116	23116
23117	23117
23118	23118	SB0002- 646 -LRB104 07746 RPS 17791 b SB0002 - 646 - LRB104 07746 RPS 17791 b
23119	23119	SB0002 - 646 - LRB104 07746 RPS 17791 b
23120	23120	1 any subsequent amendment to this Code, every new benefit
23121	23121	2 increase is subject to this Section and shall be deemed to be
23122	23122	3 granted only in conformance with and contingent upon
23123	23123	4 compliance with the provisions of this Section.
23124	23124	5 (c) The Public Act enacting a new benefit increase must
23125	23125	6 identify and provide for payment to the System of additional
23126	23126	7 funding at least sufficient to fund the resulting annual
23127	23127	8 increase in cost to the System as it accrues.
23128	23128	9 Every new benefit increase is contingent upon the General
23129	23129	10 Assembly providing the additional funding required under this
23130	23130	11 subsection. The Commission on Government Forecasting and
23131	23131	12 Accountability shall analyze whether adequate additional
23132	23132	13 funding has been provided for the new benefit increase and
23133	23133	14 shall report its analysis to the Public Pension Division of
23134	23134	15 the Department of Insurance. A new benefit increase created by
23135	23135	16 a Public Act that does not include the additional funding
23136	23136	17 required under this subsection is null and void. If the Public
23137	23137	18 Pension Division determines that the additional funding
23138	23138	19 provided for a new benefit increase under this subsection is
23139	23139	20 or has become inadequate, it may so certify to the Governor and
23140	23140	21 the State Comptroller and, in the absence of corrective action
23141	23141	22 by the General Assembly, the new benefit increase shall expire
23142	23142	23 at the end of the fiscal year in which the certification is
23143	23143	24 made.
23144	23144	25 (d) Every new benefit increase shall expire 5 years after
23145	23145	26 its effective date or on such earlier date as may be specified
23146	23146
23147	23147
23148	23148
23149	23149
23150	23150
23151	23151	SB0002 - 646 - LRB104 07746 RPS 17791 b
23152	23152
23153	23153
23154	23154	SB0002- 647 -LRB104 07746 RPS 17791 b SB0002 - 647 - LRB104 07746 RPS 17791 b
23155	23155	SB0002 - 647 - LRB104 07746 RPS 17791 b
23156	23156	1 in the language enacting the new benefit increase or provided
23157	23157	2 under subsection (c). This does not prevent the General
23158	23158	3 Assembly from extending or re-creating a new benefit increase
23159	23159	4 by law.
23160	23160	5 (e) Except as otherwise provided in the language creating
23161	23161	6 the new benefit increase, a new benefit increase that expires
23162	23162	7 under this Section continues to apply to persons who applied
23163	23163	8 and qualified for the affected benefit while the new benefit
23164	23164	9 increase was in effect and to the affected beneficiaries and
23165	23165	10 alternate payees of such persons, but does not apply to any
23166	23166	11 other person, including, without limitation, a person who
23167	23167	12 continues in service after the expiration date and did not
23168	23168	13 apply and qualify for the affected benefit while the new
23169	23169	14 benefit increase was in effect.
23170	23170	15 (Source: P.A. 102-16, eff. 6-17-21; 102-558, eff. 8-20-21;
23171	23171	16 102-813, eff. 5-13-22; 102-871, eff. 5-13-22; 103-154, eff.
23172	23172	17 6-30-23.)
23173	23173	18 (40 ILCS 5/18-169)
23174	23174	19 Sec. 18-169. Application and expiration of new benefit
23175	23175	20 increases.
23176	23176	21 (a) As used in this Section, "new benefit increase" means
23177	23177	22 an increase in the amount of any benefit provided under this
23178	23178	23 Article, or an expansion of the conditions of eligibility for
23179	23179	24 any benefit under this Article, that results from an amendment
23180	23180	25 to this Code that takes effect after the effective date of this
23181	23181
23182	23182
23183	23183
23184	23184
23185	23185
23186	23186	SB0002 - 647 - LRB104 07746 RPS 17791 b
23187	23187
23188	23188
23189	23189	SB0002- 648 -LRB104 07746 RPS 17791 b SB0002 - 648 - LRB104 07746 RPS 17791 b
23190	23190	SB0002 - 648 - LRB104 07746 RPS 17791 b
23191	23191	1 amendatory Act of the 94th General Assembly. "New benefit
23192	23192	2 increase", however, does not include any benefit increase
23193	23193	3 resulting from the changes made to this Article by this
23194	23194	4 amendatory Act of the 104th General Assembly.
23195	23195	5 (b) Notwithstanding any other provision of this Code or
23196	23196	6 any subsequent amendment to this Code, every new benefit
23197	23197	7 increase is subject to this Section and shall be deemed to be
23198	23198	8 granted only in conformance with and contingent upon
23199	23199	9 compliance with the provisions of this Section.
23200	23200	10 (c) The Public Act enacting a new benefit increase must
23201	23201	11 identify and provide for payment to the System of additional
23202	23202	12 funding at least sufficient to fund the resulting annual
23203	23203	13 increase in cost to the System as it accrues.
23204	23204	14 Every new benefit increase is contingent upon the General
23205	23205	15 Assembly providing the additional funding required under this
23206	23206	16 subsection. The Commission on Government Forecasting and
23207	23207	17 Accountability shall analyze whether adequate additional
23208	23208	18 funding has been provided for the new benefit increase and
23209	23209	19 shall report its analysis to the Public Pension Division of
23210	23210	20 the Department of Insurance. A new benefit increase created by
23211	23211	21 a Public Act that does not include the additional funding
23212	23212	22 required under this subsection is null and void. If the Public
23213	23213	23 Pension Division determines that the additional funding
23214	23214	24 provided for a new benefit increase under this subsection is
23215	23215	25 or has become inadequate, it may so certify to the Governor and
23216	23216	26 the State Comptroller and, in the absence of corrective action
23217	23217
23218	23218
23219	23219
23220	23220
23221	23221
23222	23222	SB0002 - 648 - LRB104 07746 RPS 17791 b
23223	23223
23224	23224
23225	23225	SB0002- 649 -LRB104 07746 RPS 17791 b SB0002 - 649 - LRB104 07746 RPS 17791 b
23226	23226	SB0002 - 649 - LRB104 07746 RPS 17791 b
23227	23227	1 by the General Assembly, the new benefit increase shall expire
23228	23228	2 at the end of the fiscal year in which the certification is
23229	23229	3 made.
23230	23230	4 (d) Every new benefit increase shall expire 5 years after
23231	23231	5 its effective date or on such earlier date as may be specified
23232	23232	6 in the language enacting the new benefit increase or provided
23233	23233	7 under subsection (c). This does not prevent the General
23234	23234	8 Assembly from extending or re-creating a new benefit increase
23235	23235	9 by law.
23236	23236	10 (e) Except as otherwise provided in the language creating
23237	23237	11 the new benefit increase, a new benefit increase that expires
23238	23238	12 under this Section continues to apply to persons who applied
23239	23239	13 and qualified for the affected benefit while the new benefit
23240	23240	14 increase was in effect and to the affected beneficiaries and
23241	23241	15 alternate payees of such persons, but does not apply to any
23242	23242	16 other person, including without limitation a person who
23243	23243	17 continues in service after the expiration date and did not
23244	23244	18 apply and qualify for the affected benefit while the new
23245	23245	19 benefit increase was in effect.
23246	23246	20 (Source: P.A. 103-426, eff. 8-4-23.)
23247	23247	21 Section 90-90. The State Mandates Act is amended by adding
23248	23248	22 Section 8.49 as follows:
23249	23249	23 (30 ILCS 805/8.49 new)
23250	23250	24 Sec. 8.49. Exempt mandate. Notwithstanding Sections 6 and
23251	23251
23252	23252
23253	23253
23254	23254
23255	23255
23256	23256	SB0002 - 649 - LRB104 07746 RPS 17791 b
23257	23257
23258	23258
23259	23259	SB0002- 650 -LRB104 07746 RPS 17791 b SB0002 - 650 - LRB104 07746 RPS 17791 b
23260	23260	SB0002 - 650 - LRB104 07746 RPS 17791 b
23261	23261	1 8 of this Act, no reimbursement by the State is required for
23262	23262	2 the implementation of any mandate created by this amendatory
23263	23263	3 Act of the 104th General Assembly.
23264	23264	4 Article 99.
23265	23265	5 Section 99-99. Effective date. This Act takes effect upon
23266	23266	6 becoming law.
23267	23267	SB0002- 651 -LRB104 07746 RPS 17791 b 1 INDEX 2 Statutes amended in order of appearance 3 40 ILCS 5/1-1604 40 ILCS 5/1-163 new5 40 ILCS 5/2-108.1from Ch. 108 1/2, par. 2-108.16 40 ILCS 5/3-153 new7 40 ILCS 5/4-145 new8 40 ILCS 5/5-239 new9 40 ILCS 5/6-231 new10 40 ILCS 5/7-226 new11 40 ILCS 5/8-251.5 new12 40 ILCS 5/9-242 new13 40 ILCS 5/10-110 new14 40 ILCS 5/11-233 new15 40 ILCS 5/12-196 new16 40 ILCS 5/13-217 new17 40 ILCS 5/14-157 new18 40 ILCS 5/15-203 new19 40 ILCS 5/16-207 new20 40 ILCS 5/17-160 new21 40 ILCS 5/18-125from Ch. 108 1/2, par. 18-12522 40 ILCS 5/1-16023 40 ILCS 5/2-108.1from Ch. 108 1/2, par. 2-108.124 40 ILCS 5/3-111from Ch. 108 1/2, par. 3-11125 40 ILCS 5/4-109from Ch. 108 1/2, par. 4-109 SB0002- 652 -LRB104 07746 RPS 17791 b 1 40 ILCS 5/5-2382 40 ILCS 5/6-2293 40 ILCS 5/7-116from Ch. 108 1/2, par. 7-1164 40 ILCS 5/7-142.1from Ch. 108 1/2, par. 7-142.15 40 ILCS 5/15-112from Ch. 108 1/2, par. 15-1126 40 ILCS 5/18-125from Ch. 108 1/2, par. 18-1257 40 ILCS 5/1-1608 40 ILCS 5/2-119.1from Ch. 108 1/2, par. 2-119.19 40 ILCS 5/3-111.1from Ch. 108 1/2, par. 3-111.110 40 ILCS 5/4-109.1from Ch. 108 1/2, par. 4-109.111 40 ILCS 5/5-167.1from Ch. 108 1/2, par. 5-167.112 40 ILCS 5/6-164from Ch. 108 1/2, par. 6-16413 40 ILCS 5/7-142from Ch. 108 1/2, par. 7-14214 40 ILCS 5/7-142.1from Ch. 108 1/2, par. 7-142.115 40 ILCS 5/15-136from Ch. 108 1/2, par. 15-13616 40 ILCS 5/18-125.1from Ch. 108 1/2, par. 18-125.117 40 ILCS 5/1-16018 40 ILCS 5/2-119from Ch. 108 1/2, par. 2-11919 40 ILCS 5/2-119.01from Ch. 108 1/2, par. 2-119.0120 40 ILCS 5/2-119.1from Ch. 108 1/2, par. 2-119.121 40 ILCS 5/3-111from Ch. 108 1/2, par. 3-11122 40 ILCS 5/3-111.1from Ch. 108 1/2, par. 3-111.123 40 ILCS 5/4-109from Ch. 108 1/2, par. 4-10924 40 ILCS 5/4-109.1from Ch. 108 1/2, par. 4-109.125 40 ILCS 5/5-167.1from Ch. 108 1/2, par. 5-167.126 40 ILCS 5/5-238 SB0002- 653 -LRB104 07746 RPS 17791 b 1 40 ILCS 5/6-164from Ch. 108 1/2, par. 6-1642 40 ILCS 5/6-2293 40 ILCS 5/7-142from Ch. 108 1/2, par. 7-1424 40 ILCS 5/7-142.1from Ch. 108 1/2, par. 7-142.15 40 ILCS 5/14-110from Ch. 108 1/2, par. 14-1106 40 ILCS 5/15-135from Ch. 108 1/2, par. 15-1357 40 ILCS 5/15-136from Ch. 108 1/2, par. 15-1368 40 ILCS 5/18-124from Ch. 108 1/2, par. 18-1249 40 ILCS 5/18-125.1from Ch. 108 1/2, par. 18-125.110 40 ILCS 5/1-16011 5 ILCS 100/5-45.65 new12 40 ILCS 5/2-154.5 new13 40 ILCS 5/2-154.6 new14 40 ILCS 5/17-156.10 new15 40 ILCS 5/17-156.11 new16 40 ILCS 5/18-161.5 new17 40 ILCS 5/18-161.6 new18 40 ILCS 5/3-144.3 new19 40 ILCS 5/4-138.15 new20 40 ILCS 5/5-240 new21 40 ILCS 5/6-232 new22 40 ILCS 5/7-109.3from Ch. 108 1/2, par. 7-109.323 40 ILCS 5/4-106from Ch. 108 1/2, par. 4-10624 40 ILCS 5/4-109.1from Ch. 108 1/2, par. 4-109.125 40 ILCS 5/4-109.2from Ch. 108 1/2, par. 4-109.226 40 ILCS 5/1-160 SB0002- 654 -LRB104 07746 RPS 17791 b SB0002- 651 -LRB104 07746 RPS 17791 b SB0002 - 651 - LRB104 07746 RPS 17791 b 1 INDEX 2 Statutes amended in order of appearance 3 40 ILCS 5/1-160 4 40 ILCS 5/1-163 new 5 40 ILCS 5/2-108.1 from Ch. 108 1/2, par. 2-108.1 6 40 ILCS 5/3-153 new 7 40 ILCS 5/4-145 new 8 40 ILCS 5/5-239 new 9 40 ILCS 5/6-231 new 10 40 ILCS 5/7-226 new 11 40 ILCS 5/8-251.5 new 12 40 ILCS 5/9-242 new 13 40 ILCS 5/10-110 new 14 40 ILCS 5/11-233 new 15 40 ILCS 5/12-196 new 16 40 ILCS 5/13-217 new 17 40 ILCS 5/14-157 new 18 40 ILCS 5/15-203 new 19 40 ILCS 5/16-207 new 20 40 ILCS 5/17-160 new 21 40 ILCS 5/18-125 from Ch. 108 1/2, par. 18-125 22 40 ILCS 5/1-160 23 40 ILCS 5/2-108.1 from Ch. 108 1/2, par. 2-108.1 24 40 ILCS 5/3-111 from Ch. 108 1/2, par. 3-111 25 40 ILCS 5/4-109 from Ch. 108 1/2, par. 4-109 SB0002- 652 -LRB104 07746 RPS 17791 b SB0002 - 652 - LRB104 07746 RPS 17791 b 1 40 ILCS 5/5-238 2 40 ILCS 5/6-229 3 40 ILCS 5/7-116 from Ch. 108 1/2, par. 7-116 4 40 ILCS 5/7-142.1 from Ch. 108 1/2, par. 7-142.1 5 40 ILCS 5/15-112 from Ch. 108 1/2, par. 15-112 6 40 ILCS 5/18-125 from Ch. 108 1/2, par. 18-125 7 40 ILCS 5/1-160 8 40 ILCS 5/2-119.1 from Ch. 108 1/2, par. 2-119.1 9 40 ILCS 5/3-111.1 from Ch. 108 1/2, par. 3-111.1 10 40 ILCS 5/4-109.1 from Ch. 108 1/2, par. 4-109.1 11 40 ILCS 5/5-167.1 from Ch. 108 1/2, par. 5-167.1 12 40 ILCS 5/6-164 from Ch. 108 1/2, par. 6-164 13 40 ILCS 5/7-142 from Ch. 108 1/2, par. 7-142 14 40 ILCS 5/7-142.1 from Ch. 108 1/2, par. 7-142.1 15 40 ILCS 5/15-136 from Ch. 108 1/2, par. 15-136 16 40 ILCS 5/18-125.1 from Ch. 108 1/2, par. 18-125.1 17 40 ILCS 5/1-160 18 40 ILCS 5/2-119 from Ch. 108 1/2, par. 2-119 19 40 ILCS 5/2-119.01 from Ch. 108 1/2, par. 2-119.01 20 40 ILCS 5/2-119.1 from Ch. 108 1/2, par. 2-119.1 21 40 ILCS 5/3-111 from Ch. 108 1/2, par. 3-111 22 40 ILCS 5/3-111.1 from Ch. 108 1/2, par. 3-111.1 23 40 ILCS 5/4-109 from Ch. 108 1/2, par. 4-109 24 40 ILCS 5/4-109.1 from Ch. 108 1/2, par. 4-109.1 25 40 ILCS 5/5-167.1 from Ch. 108 1/2, par. 5-167.1 26 40 ILCS 5/5-238 SB0002- 653 -LRB104 07746 RPS 17791 b SB0002 - 653 - LRB104 07746 RPS 17791 b 1 40 ILCS 5/6-164 from Ch. 108 1/2, par. 6-164 2 40 ILCS 5/6-229 3 40 ILCS 5/7-142 from Ch. 108 1/2, par. 7-142 4 40 ILCS 5/7-142.1 from Ch. 108 1/2, par. 7-142.1 5 40 ILCS 5/14-110 from Ch. 108 1/2, par. 14-110 6 40 ILCS 5/15-135 from Ch. 108 1/2, par. 15-135 7 40 ILCS 5/15-136 from Ch. 108 1/2, par. 15-136 8 40 ILCS 5/18-124 from Ch. 108 1/2, par. 18-124 9 40 ILCS 5/18-125.1 from Ch. 108 1/2, par. 18-125.1 10 40 ILCS 5/1-160 11 5 ILCS 100/5-45.65 new 12 40 ILCS 5/2-154.5 new 13 40 ILCS 5/2-154.6 new 14 40 ILCS 5/17-156.10 new 15 40 ILCS 5/17-156.11 new 16 40 ILCS 5/18-161.5 new 17 40 ILCS 5/18-161.6 new 18 40 ILCS 5/3-144.3 new 19 40 ILCS 5/4-138.15 new 20 40 ILCS 5/5-240 new 21 40 ILCS 5/6-232 new 22 40 ILCS 5/7-109.3 from Ch. 108 1/2, par. 7-109.3 23 40 ILCS 5/4-106 from Ch. 108 1/2, par. 4-106 24 40 ILCS 5/4-109.1 from Ch. 108 1/2, par. 4-109.1 25 40 ILCS 5/4-109.2 from Ch. 108 1/2, par. 4-109.2 26 40 ILCS 5/1-160 SB0002- 654 -LRB104 07746 RPS 17791 b SB0002 - 654 - LRB104 07746 RPS 17791 b
23268	23268	SB0002- 651 -LRB104 07746 RPS 17791 b SB0002 - 651 - LRB104 07746 RPS 17791 b
23269	23269	SB0002 - 651 - LRB104 07746 RPS 17791 b
23270	23270	1 INDEX
23271	23271	2 Statutes amended in order of appearance
23272	23272	3 40 ILCS 5/1-160
23273	23273	4 40 ILCS 5/1-163 new
23274	23274	5 40 ILCS 5/2-108.1 from Ch. 108 1/2, par. 2-108.1
23275	23275	6 40 ILCS 5/3-153 new
23276	23276	7 40 ILCS 5/4-145 new
23277	23277	8 40 ILCS 5/5-239 new
23278	23278	9 40 ILCS 5/6-231 new
23279	23279	10 40 ILCS 5/7-226 new
23280	23280	11 40 ILCS 5/8-251.5 new
23281	23281	12 40 ILCS 5/9-242 new
23282	23282	13 40 ILCS 5/10-110 new
23283	23283	14 40 ILCS 5/11-233 new
23284	23284	15 40 ILCS 5/12-196 new
23285	23285	16 40 ILCS 5/13-217 new
23286	23286	17 40 ILCS 5/14-157 new
23287	23287	18 40 ILCS 5/15-203 new
23288	23288	19 40 ILCS 5/16-207 new
23289	23289	20 40 ILCS 5/17-160 new
23290	23290	21 40 ILCS 5/18-125 from Ch. 108 1/2, par. 18-125
23291	23291	22 40 ILCS 5/1-160
23292	23292	23 40 ILCS 5/2-108.1 from Ch. 108 1/2, par. 2-108.1
23293	23293	24 40 ILCS 5/3-111 from Ch. 108 1/2, par. 3-111
23294	23294	25 40 ILCS 5/4-109 from Ch. 108 1/2, par. 4-109
23295	23295	SB0002- 652 -LRB104 07746 RPS 17791 b SB0002 - 652 - LRB104 07746 RPS 17791 b
23296	23296	SB0002 - 652 - LRB104 07746 RPS 17791 b
23297	23297	1 40 ILCS 5/5-238
23298	23298	2 40 ILCS 5/6-229
23299	23299	3 40 ILCS 5/7-116 from Ch. 108 1/2, par. 7-116
23300	23300	4 40 ILCS 5/7-142.1 from Ch. 108 1/2, par. 7-142.1
23301	23301	5 40 ILCS 5/15-112 from Ch. 108 1/2, par. 15-112
23302	23302	6 40 ILCS 5/18-125 from Ch. 108 1/2, par. 18-125
23303	23303	7 40 ILCS 5/1-160
23304	23304	8 40 ILCS 5/2-119.1 from Ch. 108 1/2, par. 2-119.1
23305	23305	9 40 ILCS 5/3-111.1 from Ch. 108 1/2, par. 3-111.1
23306	23306	10 40 ILCS 5/4-109.1 from Ch. 108 1/2, par. 4-109.1
23307	23307	11 40 ILCS 5/5-167.1 from Ch. 108 1/2, par. 5-167.1
23308	23308	12 40 ILCS 5/6-164 from Ch. 108 1/2, par. 6-164
23309	23309	13 40 ILCS 5/7-142 from Ch. 108 1/2, par. 7-142
23310	23310	14 40 ILCS 5/7-142.1 from Ch. 108 1/2, par. 7-142.1
23311	23311	15 40 ILCS 5/15-136 from Ch. 108 1/2, par. 15-136
23312	23312	16 40 ILCS 5/18-125.1 from Ch. 108 1/2, par. 18-125.1
23313	23313	17 40 ILCS 5/1-160
23314	23314	18 40 ILCS 5/2-119 from Ch. 108 1/2, par. 2-119
23315	23315	19 40 ILCS 5/2-119.01 from Ch. 108 1/2, par. 2-119.01
23316	23316	20 40 ILCS 5/2-119.1 from Ch. 108 1/2, par. 2-119.1
23317	23317	21 40 ILCS 5/3-111 from Ch. 108 1/2, par. 3-111
23318	23318	22 40 ILCS 5/3-111.1 from Ch. 108 1/2, par. 3-111.1
23319	23319	23 40 ILCS 5/4-109 from Ch. 108 1/2, par. 4-109
23320	23320	24 40 ILCS 5/4-109.1 from Ch. 108 1/2, par. 4-109.1
23321	23321	25 40 ILCS 5/5-167.1 from Ch. 108 1/2, par. 5-167.1
23322	23322	26 40 ILCS 5/5-238
23323	23323	SB0002- 653 -LRB104 07746 RPS 17791 b SB0002 - 653 - LRB104 07746 RPS 17791 b
23324	23324	SB0002 - 653 - LRB104 07746 RPS 17791 b
23325	23325	1 40 ILCS 5/6-164 from Ch. 108 1/2, par. 6-164
23326	23326	2 40 ILCS 5/6-229
23327	23327	3 40 ILCS 5/7-142 from Ch. 108 1/2, par. 7-142
23328	23328	4 40 ILCS 5/7-142.1 from Ch. 108 1/2, par. 7-142.1
23329	23329	5 40 ILCS 5/14-110 from Ch. 108 1/2, par. 14-110
23330	23330	6 40 ILCS 5/15-135 from Ch. 108 1/2, par. 15-135
23331	23331	7 40 ILCS 5/15-136 from Ch. 108 1/2, par. 15-136
23332	23332	8 40 ILCS 5/18-124 from Ch. 108 1/2, par. 18-124
23333	23333	9 40 ILCS 5/18-125.1 from Ch. 108 1/2, par. 18-125.1
23334	23334	10 40 ILCS 5/1-160
23335	23335	11 5 ILCS 100/5-45.65 new
23336	23336	12 40 ILCS 5/2-154.5 new
23337	23337	13 40 ILCS 5/2-154.6 new
23338	23338	14 40 ILCS 5/17-156.10 new
23339	23339	15 40 ILCS 5/17-156.11 new
23340	23340	16 40 ILCS 5/18-161.5 new
23341	23341	17 40 ILCS 5/18-161.6 new
23342	23342	18 40 ILCS 5/3-144.3 new
23343	23343	19 40 ILCS 5/4-138.15 new
23344	23344	20 40 ILCS 5/5-240 new
23345	23345	21 40 ILCS 5/6-232 new
23346	23346	22 40 ILCS 5/7-109.3 from Ch. 108 1/2, par. 7-109.3
23347	23347	23 40 ILCS 5/4-106 from Ch. 108 1/2, par. 4-106
23348	23348	24 40 ILCS 5/4-109.1 from Ch. 108 1/2, par. 4-109.1
23349	23349	25 40 ILCS 5/4-109.2 from Ch. 108 1/2, par. 4-109.2
23350	23350	26 40 ILCS 5/1-160
23351	23351	SB0002- 654 -LRB104 07746 RPS 17791 b SB0002 - 654 - LRB104 07746 RPS 17791 b
23352	23352	SB0002 - 654 - LRB104 07746 RPS 17791 b
23353	23353
23354	23354
23355	23355
23356	23356
23357	23357
23358	23358	SB0002 - 650 - LRB104 07746 RPS 17791 b
23359	23359
23360	23360
23361	23361
23362	23362	SB0002- 651 -LRB104 07746 RPS 17791 b SB0002 - 651 - LRB104 07746 RPS 17791 b
23363	23363	SB0002 - 651 - LRB104 07746 RPS 17791 b
23364	23364	1 INDEX
23365	23365	2 Statutes amended in order of appearance
23366	23366	3 40 ILCS 5/1-160
23367	23367	4 40 ILCS 5/1-163 new
23368	23368	5 40 ILCS 5/2-108.1 from Ch. 108 1/2, par. 2-108.1
23369	23369	6 40 ILCS 5/3-153 new
23370	23370	7 40 ILCS 5/4-145 new
23371	23371	8 40 ILCS 5/5-239 new
23372	23372	9 40 ILCS 5/6-231 new
23373	23373	10 40 ILCS 5/7-226 new
23374	23374	11 40 ILCS 5/8-251.5 new
23375	23375	12 40 ILCS 5/9-242 new
23376	23376	13 40 ILCS 5/10-110 new
23377	23377	14 40 ILCS 5/11-233 new
23378	23378	15 40 ILCS 5/12-196 new
23379	23379	16 40 ILCS 5/13-217 new
23380	23380	17 40 ILCS 5/14-157 new
23381	23381	18 40 ILCS 5/15-203 new
23382	23382	19 40 ILCS 5/16-207 new
23383	23383	20 40 ILCS 5/17-160 new
23384	23384	21 40 ILCS 5/18-125 from Ch. 108 1/2, par. 18-125
23385	23385	22 40 ILCS 5/1-160
23386	23386	23 40 ILCS 5/2-108.1 from Ch. 108 1/2, par. 2-108.1
23387	23387	24 40 ILCS 5/3-111 from Ch. 108 1/2, par. 3-111
23388	23388	25 40 ILCS 5/4-109 from Ch. 108 1/2, par. 4-109
23389	23389
23390	23390
23391	23391
23392	23392
23393	23393
23394	23394	SB0002 - 651 - LRB104 07746 RPS 17791 b
23395	23395
23396	23396
23397	23397	SB0002- 652 -LRB104 07746 RPS 17791 b SB0002 - 652 - LRB104 07746 RPS 17791 b
23398	23398	SB0002 - 652 - LRB104 07746 RPS 17791 b
23399	23399	1 40 ILCS 5/5-238
23400	23400	2 40 ILCS 5/6-229
23401	23401	3 40 ILCS 5/7-116 from Ch. 108 1/2, par. 7-116
23402	23402	4 40 ILCS 5/7-142.1 from Ch. 108 1/2, par. 7-142.1
23403	23403	5 40 ILCS 5/15-112 from Ch. 108 1/2, par. 15-112
23404	23404	6 40 ILCS 5/18-125 from Ch. 108 1/2, par. 18-125
23405	23405	7 40 ILCS 5/1-160
23406	23406	8 40 ILCS 5/2-119.1 from Ch. 108 1/2, par. 2-119.1
23407	23407	9 40 ILCS 5/3-111.1 from Ch. 108 1/2, par. 3-111.1
23408	23408	10 40 ILCS 5/4-109.1 from Ch. 108 1/2, par. 4-109.1
23409	23409	11 40 ILCS 5/5-167.1 from Ch. 108 1/2, par. 5-167.1
23410	23410	12 40 ILCS 5/6-164 from Ch. 108 1/2, par. 6-164
23411	23411	13 40 ILCS 5/7-142 from Ch. 108 1/2, par. 7-142
23412	23412	14 40 ILCS 5/7-142.1 from Ch. 108 1/2, par. 7-142.1
23413	23413	15 40 ILCS 5/15-136 from Ch. 108 1/2, par. 15-136
23414	23414	16 40 ILCS 5/18-125.1 from Ch. 108 1/2, par. 18-125.1
23415	23415	17 40 ILCS 5/1-160
23416	23416	18 40 ILCS 5/2-119 from Ch. 108 1/2, par. 2-119
23417	23417	19 40 ILCS 5/2-119.01 from Ch. 108 1/2, par. 2-119.01
23418	23418	20 40 ILCS 5/2-119.1 from Ch. 108 1/2, par. 2-119.1
23419	23419	21 40 ILCS 5/3-111 from Ch. 108 1/2, par. 3-111
23420	23420	22 40 ILCS 5/3-111.1 from Ch. 108 1/2, par. 3-111.1
23421	23421	23 40 ILCS 5/4-109 from Ch. 108 1/2, par. 4-109
23422	23422	24 40 ILCS 5/4-109.1 from Ch. 108 1/2, par. 4-109.1
23423	23423	25 40 ILCS 5/5-167.1 from Ch. 108 1/2, par. 5-167.1
23424	23424	26 40 ILCS 5/5-238
23425	23425
23426	23426
23427	23427
23428	23428
23429	23429
23430	23430	SB0002 - 652 - LRB104 07746 RPS 17791 b
23431	23431
23432	23432
23433	23433	SB0002- 653 -LRB104 07746 RPS 17791 b SB0002 - 653 - LRB104 07746 RPS 17791 b
23434	23434	SB0002 - 653 - LRB104 07746 RPS 17791 b
23435	23435	1 40 ILCS 5/6-164 from Ch. 108 1/2, par. 6-164
23436	23436	2 40 ILCS 5/6-229
23437	23437	3 40 ILCS 5/7-142 from Ch. 108 1/2, par. 7-142
23438	23438	4 40 ILCS 5/7-142.1 from Ch. 108 1/2, par. 7-142.1
23439	23439	5 40 ILCS 5/14-110 from Ch. 108 1/2, par. 14-110
23440	23440	6 40 ILCS 5/15-135 from Ch. 108 1/2, par. 15-135
23441	23441	7 40 ILCS 5/15-136 from Ch. 108 1/2, par. 15-136
23442	23442	8 40 ILCS 5/18-124 from Ch. 108 1/2, par. 18-124
23443	23443	9 40 ILCS 5/18-125.1 from Ch. 108 1/2, par. 18-125.1
23444	23444	10 40 ILCS 5/1-160
23445	23445	11 5 ILCS 100/5-45.65 new
23446	23446	12 40 ILCS 5/2-154.5 new
23447	23447	13 40 ILCS 5/2-154.6 new
23448	23448	14 40 ILCS 5/17-156.10 new
23449	23449	15 40 ILCS 5/17-156.11 new
23450	23450	16 40 ILCS 5/18-161.5 new
23451	23451	17 40 ILCS 5/18-161.6 new
23452	23452	18 40 ILCS 5/3-144.3 new
23453	23453	19 40 ILCS 5/4-138.15 new
23454	23454	20 40 ILCS 5/5-240 new
23455	23455	21 40 ILCS 5/6-232 new
23456	23456	22 40 ILCS 5/7-109.3 from Ch. 108 1/2, par. 7-109.3
23457	23457	23 40 ILCS 5/4-106 from Ch. 108 1/2, par. 4-106
23458	23458	24 40 ILCS 5/4-109.1 from Ch. 108 1/2, par. 4-109.1
23459	23459	25 40 ILCS 5/4-109.2 from Ch. 108 1/2, par. 4-109.2
23460	23460	26 40 ILCS 5/1-160
23461	23461
23462	23462
23463	23463
23464	23464
23465	23465
23466	23466	SB0002 - 653 - LRB104 07746 RPS 17791 b
23467	23467
23468	23468
23469	23469	SB0002- 654 -LRB104 07746 RPS 17791 b SB0002 - 654 - LRB104 07746 RPS 17791 b
23470	23470	SB0002 - 654 - LRB104 07746 RPS 17791 b
23471	23471
23472	23472
23473	23473
23474	23474
23475	23475
23476	23476	SB0002 - 654 - LRB104 07746 RPS 17791 b