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91_SB0135
LRB9100810EGfg
1 AN ACT to amend the Illinois Pension Code by changing
2 Section 17-134 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 17-134 as follows:
7 (40 ILCS 5/17-134) (from Ch. 108 1/2, par. 17-134)
8 Sec. 17-134. Contributions for leaves of absence;
9 military service; computing service. In computing service
10 for pension purposes the following periods of service shall
11 stand in lieu of a like number of years of teaching service
12 upon payment therefor in the manner hereinafter provided: (a)
13 time spent on sabbatical leaves of absence, sick leaves or
14 maternity or paternity leaves; (b) service with teacher or
15 labor organizations based upon special leaves of absence
16 therefor granted by an Employer; (c) a maximum of 5 years
17 spent in the military service of the United States, of which
18 up to 2 years may have been served outside the pension
19 period; (d) unused sick days at termination of service to a
20 maximum of 315 244 days; (e) time lost due to layoff and
21 curtailment of the school term from June 6 through June 21,
22 1976; and (f) time spent after June 30, 1982 as a member of
23 the Board of Education, if required to resign from an
24 administrative or teaching position in order to qualify as a
25 member of the Board of Education.
26 (1) For time spent on or after September 6, 1948 on
27 sabbatical leaves of absence or sick leaves, for which
28 salaries are paid, an Employer shall make payroll
29 deductions at the applicable rates in effect during such
30 periods.
31 (2) For time spent on sabbatical or sick leaves
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1 commencing on or after September 1, 1961, and for time
2 spent on maternity or paternity leaves, for which no
3 salaries are paid, teachers desiring credit therefor
4 shall pay the required contributions at the rates in
5 effect during such periods as though they were in
6 teaching service. If an Employer pays salary for
7 vacations which occur during a teacher's sick leave or
8 maternity or paternity leave without salary, vacation pay
9 for which the teacher would have qualified while in
10 active service shall be considered part of the teacher's
11 total salary for pension purposes. No more than 12 months
12 of sick leave or maternity or paternity leave credit may
13 be allowed any person during the entire term of service.
14 Sabbatical leave credit shall be limited to the time the
15 person on leave without salary under an Employer's rules
16 is allowed to engage in an activity for which he receives
17 salary or compensation.
18 (3) For time spent prior to September 6, 1948, on
19 sabbatical leaves of absence or sick leaves for which
20 salaries were paid, teachers desiring service credit
21 therefor shall pay the required contributions at the
22 maximum applicable rates in effect during such periods.
23 (4) For service with teacher or labor organizations
24 authorized by special leaves of absence, for which no
25 payroll deductions are made by an Employer, teachers
26 desiring service credit therefor shall contribute to the
27 Fund upon the basis of the actual salary received from
28 such organizations at the percentage rates in effect
29 during such periods for certified positions with such
30 Employer. To the extent the actual salary exceeds the
31 regular salary, which shall be defined as the salary
32 rate, as calculated by the Board, in effect for the
33 teacher's regular position in teaching service on
34 September 1, 1983 or on the effective date of the leave
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1 with the organization, whichever is later, the
2 organization shall pay to the Fund the employer's normal
3 cost as set by the Board on the increment.
4 (5) For time spent in the military service,
5 teachers entitled to and desiring credit therefor shall
6 contribute the amount required for each year of service
7 or fraction thereof at the rates in force (a) at the date
8 oF appointment, or (b) on return to teaching service as a
9 regularly certified teacher, as the case may be; provided
10 such rates shall not be less than $450 per year of
11 service. These conditions shall apply unless an Employer
12 elects to and does pay into the Fund the amount which
13 would have been due from such person had he been employed
14 as a teacher during such time. In the case of credit for
15 military service not during the pension period, the
16 teacher must also pay to the Fund an amount determined by
17 the Board to be equal to the employer's normal cost of
18 the benefits accrued from such service, plus interest
19 thereon at 5% per year, compounded annually, from the
20 date of appointment to the date of payment.
21 The changes to this Section made by Public Act
22 87-795 shall apply not only to persons who on or after
23 its effective date are in service under the Fund, but
24 also to persons whose status as a teacher terminated
25 prior to that date, whether or not the person is an
26 annuitant on that date. In the case of an annuitant who
27 applies for credit allowable under this Section for a
28 period of military service that did not immediately
29 follow employment, and who has made the required
30 contributions for such credit, the annuity shall be
31 recalculated to include the additional service credit,
32 with the increase taking effect on the date the Fund
33 received written notification of the annuitant's intent
34 to purchase the credit, if payment of all the required
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1 contributions is made within 60 days of such notice, or
2 else on the first annuity payment date following the date
3 of payment of the required contributions. In calculating
4 the automatic annual increase for an annuity that has
5 been recalculated under this Section, the increase
6 attributable to the additional service allowable under
7 this amendatory Act of 1991 shall be included in the
8 calculation of automatic annual increases accruing after
9 the effective date of the recalculation.
10 The total credit for military service shall not
11 exceed 5 years, except that any teacher who on July 1,
12 1963, had validated credit for more than 5 years of
13 military service shall be entitled to the total amount of
14 such credit.
15 (6) A maximum of 315 244 unused sick days credited
16 to his account by an Employer on the date of termination
17 of employment. Members, upon verification of unused sick
18 days, may add this service time to total creditable
19 service.
20 (7) In all cases where time spent on leave is
21 creditable and no payroll deductions therefor are made by
22 an Employer, persons desiring service credit shall make
23 the required contributions directly to the Fund.
24 (8) For time lost without pay due to layoff and
25 curtailment of the school term from June 6 through June
26 21, 1976, as provided in item (e) of the first paragraph
27 of this Section, persons who were contributors on the
28 days immediately preceding such layoff shall receive
29 credit upon paying to the Fund a contribution based on
30 the rates of compensation and employee contributions in
31 effect at the time of such layoff, together with an
32 additional amount equal to 12.2% of the compensation
33 computed for such period of layoff, plus interest on the
34 entire amount at 5% per annum from January 1, 1978 to the
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1 date of payment. If such contribution is paid, salary
2 for pension purposes for any year in which such a layoff
3 occurred shall include the compensation recognized for
4 purposes of computing that contribution.
5 (9) For time spent after June 30, 1982, as a
6 nonsalaried member of the Board of Education, if required
7 to resign from an administrative or teaching position in
8 order to qualify as a member of the Board of Education,
9 an administrator or teacher desiring credit therefor
10 shall pay the required contributions at the rates and
11 salaries in effect during such periods as though the
12 member were in service.
13 Effective September 1, 1974, the interest charged for
14 validation of service described in paragraphs (2) through (5)
15 of this Section shall be compounded annually at a rate of 5%
16 commencing one year after the termination of the leave or
17 return to service.
18 (Source: P.A. 90-32, eff. 6-27-97; 90-566, eff. 1-2-98.)
19 Section 90. The State Mandates Act is amended by adding
20 Section 8.23 as follows:
21 (30 ILCS 805/8.23 new)
22 Sec. 8.23. Exempt mandate. Notwithstanding Sections 6
23 and 8 of this Act, no reimbursement by the State is required
24 for the implementation of any mandate created by this
25 amendatory Act of the 91st General Assembly.
26 Section 99. Effective date. This Act takes effect upon
27 becoming law.