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91_HB0363
LRB9101363EGfg
1 AN ACT to amend the Illinois Pension Code by changing
2 Section 6-164 and to amend the State Mandates Act.
3 Be it enacted by the People of the State of Illinois,
4 represented in the General Assembly:
5 Section 5. The Illinois Pension Code is amended by
6 changing Section 6-164 as follows:
7 (40 ILCS 5/6-164) (from Ch. 108 1/2, par. 6-164)
8 Sec. 6-164. Automatic annual increase; retirement after
9 September 1, 1959.
10 (a) A fireman qualifying for a minimum annuity who
11 retires from service after September 1, 1959 shall, upon
12 either the first of the month following the first anniversary
13 of his date of retirement if he is age 60 (age 55 if born
14 before January 1, 1945) or over on that anniversary date, or
15 upon the first of the month following his attainment of age
16 60 (age 55 if born before January 1, 1945) if that occurs
17 after the first anniversary of his retirement date, have his
18 then fixed and payable monthly annuity increased by 1 1/2%,
19 and such first fixed annuity as granted at retirement
20 increased by an additional 1 1/2% in January of each year
21 thereafter up to a maximum increase of 30%. Beginning July
22 1, 1982 for firemen born before January 1, 1930, and
23 beginning January 1, 1990 for firemen born after December 31,
24 1929 and before January 1, 1940, and beginning January 1,
25 1996 for firemen born after December 31, 1939 but before
26 January 1, 1945, and beginning January 1, 2000 for firemen
27 born after December 31, 1944 but before January 1, 1955,
28 such increases shall be 3% and such firemen shall not be
29 subject to the 30% maximum increase. The changes to this
30 Section made by this amendatory Act of the 91st General
31 Assembly apply without regard to whether the fireman or
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1 annuitant terminated service before the effective date of
2 this amendatory Act.
3 Any fireman born before January 1, 1945 who qualifies for
4 a minimum annuity and retires after September 1, 1967 but has
5 not received the initial increase under this subsection
6 before January 1, 1996 is entitled to receive the initial
7 increase under this subsection on (1) January 1, 1996, (2)
8 the first anniversary of the date of retirement, or (3)
9 attainment of age 55, whichever occurs last. The changes to
10 this Section made by this amendatory Act of 1995 apply
11 beginning January 1, 1996 and apply without regard to whether
12 the fireman or annuitant terminated service before the
13 effective date of this amendatory Act of 1995.
14 (b) Subsection (a) of this Section is not applicable to
15 an employee receiving a term annuity.
16 (c) To help defray the cost of such increases in
17 annuity, there shall be deducted, beginning September 1,
18 1959, from each payment of salary to a fireman, 1/8 of 1% of
19 each such salary payment and an additional 1/8 of 1%
20 beginning on September 1, 1961, and September 1, 1963,
21 respectively, concurrently with and in addition to the salary
22 deductions otherwise made for annuity purposes.
23 Each such additional 1/8 of 1% deduction from salary
24 which shall, on September 1, 1963, result in a total increase
25 of 3/8 of 1% of salary, shall be credited to the Automatic
26 Increase Reserve, to be used, together with city
27 contributions as provided in this Article, to defray the cost
28 of the 1 1/2% annuity increments herein specified. Any
29 balance in such reserve as of the beginning of each calendar
30 year shall be credited with interest at the rate of 3% per
31 annum.
32 The salary deductions provided in this Section are not
33 subject to refund, except to the fireman himself, in any case
34 in which a fireman withdraws prior to qualification for
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1 minimum annuity and applies for refund, or applies for
2 annuity, and also where a term annuity becomes payable. In
3 such cases, the total of such salary deductions shall be
4 refunded to the fireman, without interest, and charged to the
5 aforementioned reserve.
6 (Source: P.A. 89-136, eff. 7-14-95.)
7 Section 90. The State Mandates Act is amended by adding
8 Section 8.23 as follows:
9 (30 ILCS 805/8.23 new)
10 Sec. 8.23. Exempt mandate. Notwithstanding Sections 6
11 and 8 of this Act, no reimbursement by the State is required
12 for the implementation of any mandate created by this
13 amendatory Act of the 91st General Assembly.
14 Section 99. Effective date. This Act takes effect upon
15 becoming law.