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| Public Act 101-0673 | ||||
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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 | ||||
Section 6-164 as follows:
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(40 ILCS 5/6-164)
(from Ch. 108 1/2, par. 6-164)
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Sec. 6-164. Automatic annual increase; retirement after | ||||
September 1, 1959.
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(a) A fireman qualifying for a minimum annuity who retires | ||||
from service
after September 1, 1959 shall, upon either the | ||||
first of the month following the
first anniversary of his date | ||||
of retirement if he is age 60 (age 55 if born
before January 1, | ||||
1966) or over on that anniversary date, or upon
the first of | ||||
the month following his attainment of age 60 (age 55 if born
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before January 1, 1966) if that occurs after the first | ||||
anniversary
of his retirement date, have his then fixed and | ||||
payable monthly annuity
increased by 1 1/2%, and such first | ||||
fixed annuity as granted at retirement
increased by an | ||||
additional 1 1/2% in January of each year thereafter up to a
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maximum increase of 30%.
Beginning July 1, 1982 for firemen | ||||
born before January 1, 1930, and beginning
January 1, 1990 for | ||||
firemen born after December 31, 1929 and before January 1,
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1940, and beginning January 1, 1996 for firemen born after | ||||
December 31, 1939
but before January 1, 1945, and beginning | ||
January 1, 2004, for firemen born
after December 31, 1944 but | ||
before January 1, 1955, and beginning January 1, 2017, for | ||
firemen born after December 31, 1954 but before January 1, | ||
1966, such increases shall be
3% and such firemen shall not be | ||
subject to the 30% maximum increase.
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Any fireman born before January 1, 1945 who qualifies for a | ||
minimum annuity
and retires after September 1, 1967 but has not | ||
received the initial increase
under this subsection before | ||
January 1, 1996 is entitled to receive the initial
increase | ||
under this subsection on (1) January 1, 1996, (2) the first
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anniversary of the date of retirement, or (3) attainment of age | ||
55, whichever
occurs last. The changes to this Section made by | ||
this amendatory Act of 1995
apply beginning January 1, 1996 and | ||
apply without regard to whether the fireman
or annuitant | ||
terminated service before the effective date of this amendatory
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Act of 1995.
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Any fireman born before January 1, 1955 who qualifies for a | ||
minimum
annuity and retires after September 1, 1967 but has not | ||
received the initial
increase under this subsection before | ||
January 1, 2004 is entitled to receive
the initial increase | ||
under this subsection on (1) January 1, 2004, (2) the
first | ||
anniversary of the date of retirement, or (3) attainment of age | ||
55,
whichever occurs last. The changes to this Section made by | ||
this amendatory
Act of the 93rd General Assembly apply without | ||
regard to whether the fireman
or annuitant terminated service | ||
before the effective date of this amendatory
Act.
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Any fireman born after December 31, 1954 but before January | ||
1, 1966 who qualifies for
a minimum annuity and retires after
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September 1, 1967 is entitled to
receive an increase under this | ||
subsection on (1)
January 1, 2017, (2) the first anniversary of | ||
the date of
retirement, or (3) attainment of age 55, whichever | ||
occurs last, in an amount equal to an increase of 3% of his | ||
then fixed and payable monthly annuity upon the first of the | ||
month following the first anniversary of his date of retirement | ||
if he is age 55 or over on that anniversary date or upon the | ||
first of the month following his attainment of age 55 if that | ||
date occurs after the first anniversary of his retirement date | ||
and such first fixed annuity as granted at retirement shall be | ||
increased by an additional 3% in January of each year | ||
thereafter. In the case of a fireman born after December 31, | ||
1954 but before January 1, 1966 who received an increase in any | ||
year of 1.5%, that fireman shall receive an increase for any | ||
such year so that the total increase is equal to 3% for each | ||
year the fireman would have been otherwise eligible had the | ||
fireman not received any increase. The changes to this | ||
subsection made by this amendatory
Act of the 99th General | ||
Assembly apply without regard to whether the fireman
or | ||
annuitant terminated service before the effective date of this | ||
amendatory
Act. The changes to this subsection made by this | ||
amendatory Act of the 100th General Assembly are a declaration | ||
of existing law and shall not be construed as a new enactment. | ||
Any fireman who qualifies for
a minimum annuity and retires | ||
after
September 1, 1967 is entitled to
receive an increase | ||
under this subsection on (1)
January 1, 2020, (2) the first | ||
anniversary of the date of
retirement, or (3) attainment of age | ||
55, whichever occurs last, in an amount equal to an increase of | ||
3% of his or her then fixed and payable monthly annuity upon | ||
the first of the month following the first anniversary of his | ||
or her date of retirement if he or she is age 55 or over on that | ||
anniversary date or upon the first of the month following his | ||
or her attainment of age 55 if that date occurs after the first | ||
anniversary of his or her retirement date and such first fixed | ||
annuity as granted at retirement shall be increased by an | ||
additional 3% in January of each year thereafter. In the case | ||
of a fireman who received an increase in any year of 1.5%, that | ||
fireman shall receive an increase for any such year so that the | ||
total increase is equal to 3% for each year the fireman would | ||
have been otherwise eligible had the fireman not received any | ||
increase. The changes to this subsection made by this | ||
amendatory
Act of the 101st General Assembly apply without | ||
regard to whether the fireman
or annuitant terminated service | ||
before the effective date of this amendatory
Act of the 101st | ||
General Assembly. | ||
(b) Subsection (a) of this Section is
not applicable to an | ||
employee receiving a term annuity.
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(c) To help defray the cost of such increases in annuity, | ||
there
shall be deducted, beginning September 1, 1959, from each | ||
payment of salary
to a fireman, 1/8 of 1% of each such salary | ||
payment and an additional 1/8
of 1% beginning on September 1, | ||
1961, and September 1, 1963, respectively,
concurrently with | ||
and in addition to the salary deductions otherwise made
for | ||
annuity purposes.
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Each such additional 1/8 of 1% deduction from salary which | ||
shall, on
September 1, 1963, result in a total increase of 3/8 | ||
of 1% of salary,
shall be credited to the Automatic Increase | ||
Reserve, to be used,
together with city contributions as | ||
provided in this Article, to defray
the cost of the annuity | ||
increments specified in this Section. Any balance
in such | ||
reserve as of the beginning of each calendar year shall be
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credited with interest at the rate of 3% per annum.
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The salary deductions provided in this Section are not | ||
subject to
refund, except to the fireman himself in any case in | ||
which: (i) the fireman
withdraws prior to qualification for | ||
minimum annuity or Tier 2 monthly retirement annuity and | ||
applies for
refund, (ii) the fireman applies for an annuity of | ||
a type that is not subject to annual increases under this | ||
Section, or (iii) a term annuity becomes
payable. In such | ||
cases, the total of such salary deductions shall be
refunded to | ||
the fireman, without interest, and charged to the
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aforementioned reserve.
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(d) Notwithstanding any other provision of this Article, | ||
the Tier 2 monthly retirement annuity of a
person who first | ||
becomes a fireman under this Article on or after January 1, | ||
2011 shall be increased on the January 1 occurring either on or | ||
after (i) the attainment of age 60 or (ii) the first | ||
anniversary of the annuity start date, whichever is later. Each | ||
annual increase shall be calculated at 3% or one-half the | ||
annual unadjusted percentage increase (but not less than zero) | ||
in the consumer price index-u for the 12 months ending with the | ||
September preceding each November 1, whichever is less, of the | ||
originally granted retirement annuity. If the annual | ||
unadjusted percentage change in the consumer price index-u for | ||
a 12-month period ending in September is zero or, when compared | ||
with the preceding period, decreases, then the annuity shall | ||
not be increased. | ||
For the purposes of this subsection (d), "consumer price | ||
index-u" means the index published by the Bureau of Labor | ||
Statistics of the United States Department of Labor that | ||
measures the average change in prices of goods and services | ||
purchased by all urban consumers, United States city average, | ||
all items, 1982-84 = 100. The new amount resulting from each | ||
annual adjustment shall be determined by the Public Pension | ||
Division of the Department of Insurance and made available to | ||
the boards of the pension funds by November 1 of each year. | ||
(Source: P.A. 99-905, eff. 11-29-16; 100-23, eff. 7-6-17; | ||
100-539, eff. 11-7-17.)
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Section 90. The State Mandates Act is amended by adding | ||
Section 8.43 as follows: | ||
(30 ILCS 805/8.43 new) | ||
Sec. 8.43. Exempt mandate. Notwithstanding Sections 6 and 8 | ||
of this Act, no reimbursement by the State is required for the | ||
implementation of any mandate created by this amendatory Act of | ||
the 101st General Assembly.
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Section 99. Effective date. This Act takes effect upon | ||
becoming law.
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