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| Public Act 100-0769 | ||||
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AN ACT concerning public employee benefits.
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Be it enacted by the People of the State of Illinois,
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represented in the General Assembly:
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Section 5. The Illinois Pension Code is amended by changing | ||||
Sections 15-198 and 16-203 and by adding Sections 15-202 and | ||||
16-204 as follows: | ||||
(40 ILCS 5/15-198)
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Sec. 15-198. Application and expiration of new benefit | ||||
increases. | ||||
(a) As used in this Section, "new benefit increase" means | ||||
an increase in the amount of any benefit provided under this | ||||
Article, or an expansion of the conditions of eligibility for | ||||
any benefit under this Article, that results from an amendment | ||||
to this Code that takes effect after the effective date of this | ||||
amendatory Act of the 94th General Assembly. "New benefit | ||||
increase", however, does not include any benefit increase | ||||
resulting from the changes made to Article 1 or this Article by | ||||
Public Act 100-23 or this amendatory Act of the 100th General | ||||
Assembly this amendatory Act of the 100th General Assembly. | ||||
(b) Notwithstanding any other provision of this Code or any | ||||
subsequent amendment to this Code, every new benefit increase | ||||
is subject to this Section and shall be deemed to be granted | ||||
only in conformance with and contingent upon compliance with | ||||
the provisions of this Section.
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(c) The Public Act enacting a new benefit increase must | ||
identify and provide for payment to the System of additional | ||
funding at least sufficient to fund the resulting annual | ||
increase in cost to the System as it accrues. | ||
Every new benefit increase is contingent upon the General | ||
Assembly providing the additional funding required under this | ||
subsection. The Commission on Government Forecasting and | ||
Accountability shall analyze whether adequate additional | ||
funding has been provided for the new benefit increase and | ||
shall report its analysis to the Public Pension Division of the | ||
Department of Insurance. A new benefit increase created by a | ||
Public Act that does not include the additional funding | ||
required under this subsection is null and void. If the Public | ||
Pension Division determines that the additional funding | ||
provided for a new benefit increase under this subsection is or | ||
has become inadequate, it may so certify to the Governor and | ||
the State Comptroller and, in the absence of corrective action | ||
by the General Assembly, the new benefit increase shall expire | ||
at the end of the fiscal year in which the certification is | ||
made.
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(d) Every new benefit increase shall expire 5 years after | ||
its effective date or on such earlier date as may be specified | ||
in the language enacting the new benefit increase or provided | ||
under subsection (c). This does not prevent the General | ||
Assembly from extending or re-creating a new benefit increase | ||
by law. | ||
(e) Except as otherwise provided in the language creating | ||
the new benefit increase, a new benefit increase that expires | ||
under this Section continues to apply to persons who applied | ||
and qualified for the affected benefit while the new benefit | ||
increase was in effect and to the affected beneficiaries and | ||
alternate payees of such persons, but does not apply to any | ||
other person, including without limitation a person who | ||
continues in service after the expiration date and did not | ||
apply and qualify for the affected benefit while the new | ||
benefit increase was in effect.
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(Source: P.A. 100-23, eff. 7-6-17.) | ||
(40 ILCS 5/15-202 new) | ||
Sec. 15-202. Optional defined contribution benefit. As | ||
soon as practicable after the effective date of this amendatory | ||
Act of the 100th General Assembly, the System shall offer a | ||
defined contribution benefit to active members of the System. | ||
The defined contribution benefit shall be an optional benefit | ||
to any member who chooses to participate. The defined | ||
contribution benefit shall collect optional employee and | ||
optional employer contributions into an account and shall offer | ||
investment options to the participant. The benefit under this | ||
Section shall be operated in full compliance with any | ||
applicable State and federal laws, and the System shall utilize | ||
generally accepted practices in creating and maintaining the | ||
benefit for the best interest of the participants. The System | ||
may use funds from the employee and employer contributions to | ||
defray any and all costs of creating and maintaining the | ||
benefit. The System shall produce an annual report on the | ||
participation in the benefit and shall make the report public. | ||
(40 ILCS 5/16-203)
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Sec. 16-203. Application and expiration of new benefit | ||
increases. | ||
(a) As used in this Section, "new benefit increase" means | ||
an increase in the amount of any benefit provided under this | ||
Article, or an expansion of the conditions of eligibility for | ||
any benefit under this Article, that results from an amendment | ||
to this Code that takes effect after June 1, 2005 (the | ||
effective date of Public Act 94-4). "New benefit increase", | ||
however, does not include any benefit increase resulting from | ||
the changes made to Article 1 or this Article by Public Act | ||
95-910, Public Act 100-23, or this amendatory Act of the 100th | ||
General Assembly or this amendatory Act of the 100th General | ||
Assembly. | ||
(b) Notwithstanding any other provision of this Code or any | ||
subsequent amendment to this Code, every new benefit increase | ||
is subject to this Section and shall be deemed to be granted | ||
only in conformance with and contingent upon compliance with | ||
the provisions of this Section.
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(c) The Public Act enacting a new benefit increase must | ||
identify and provide for payment to the System of additional | ||
funding at least sufficient to fund the resulting annual | ||
increase in cost to the System as it accrues. | ||
Every new benefit increase is contingent upon the General | ||
Assembly providing the additional funding required under this | ||
subsection. The Commission on Government Forecasting and | ||
Accountability shall analyze whether adequate additional | ||
funding has been provided for the new benefit increase and | ||
shall report its analysis to the Public Pension Division of the | ||
Department of Insurance. A new benefit increase created by a | ||
Public Act that does not include the additional funding | ||
required under this subsection is null and void. If the Public | ||
Pension Division determines that the additional funding | ||
provided for a new benefit increase under this subsection is or | ||
has become inadequate, it may so certify to the Governor and | ||
the State Comptroller and, in the absence of corrective action | ||
by the General Assembly, the new benefit increase shall expire | ||
at the end of the fiscal year in which the certification is | ||
made.
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(d) Every new benefit increase shall expire 5 years after | ||
its effective date or on such earlier date as may be specified | ||
in the language enacting the new benefit increase or provided | ||
under subsection (c). This does not prevent the General | ||
Assembly from extending or re-creating a new benefit increase | ||
by law. | ||
(e) Except as otherwise provided in the language creating | ||
the new benefit increase, a new benefit increase that expires | ||
under this Section continues to apply to persons who applied | ||
and qualified for the affected benefit while the new benefit | ||
increase was in effect and to the affected beneficiaries and | ||
alternate payees of such persons, but does not apply to any | ||
other person, including without limitation a person who | ||
continues in service after the expiration date and did not | ||
apply and qualify for the affected benefit while the new | ||
benefit increase was in effect.
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(Source: P.A. 100-23, eff. 7-6-17.) | ||
(40 ILCS 5/16-204 new) | ||
Sec. 16-204. Optional defined contribution benefit. As | ||
soon as practicable after the effective date of this amendatory | ||
Act of the 100th General Assembly, the System shall offer a | ||
defined contribution benefit to active members of the System. | ||
The defined contribution benefit shall be an optional benefit | ||
to any member who chooses to participate. The defined | ||
contribution benefit shall collect optional employee and | ||
optional employer contributions into an account and shall offer | ||
investment options to the participant. The benefit under this | ||
Section shall be operated in full compliance with any | ||
applicable State and federal laws, and the System shall utilize | ||
generally accepted practices in creating and maintaining the | ||
benefit for the best interest of the participants. The System | ||
may use funds from the employee and employer contributions to | ||
defray any and all costs of creating and maintaining the | ||
benefit. The System shall produce an annual report on the | ||
participation in the benefit and shall make the report public.
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Section 99. Effective date. This Act takes effect upon | ||
becoming law.
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