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SB2826 Enrolled LRB104 17390 RPS 30815 b
1 AN ACT concerning public employee benefits.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The Illinois Pension Code is amended by
5 changing Sections 7-141, 7-166, and 7-174 as follows:
6 (40 ILCS 5/7-141) (from Ch. 108 1/2, par. 7-141)
7 Sec. 7-141. Retirement annuities; conditions. Retirement
8 annuities shall be payable as hereinafter set forth:
9 (a) A participating employee who, regardless of cause, is
10 separated from the service of the all participating
11 municipalities and instrumentalities thereof and participating
12 instrumentalities from which the participating employee is
13 seeking to retire shall be entitled to a retirement annuity
14 provided:
15 1. He is at least age 55 if he is a Tier 1 regular
16 employee, he is age 62 if he is a Tier 2 regular employee,
17 or, in the case of a person who is eligible to have his
18 annuity calculated under Section 7-142.1, he is at least
19 age 50;
20 2. He is not entitled to receive earnings for
21 employment in a position requiring him, or entitling him
22 to elect, to be a participating employee as defined in
23 Section 7-137 or under subsection (a) of Section 7-144;
SB2826 Enrolled -2- LRB104 17390 RPS 30815 b
1 3. The amount of his annuity, before the application
2 of paragraph (b) of Section 7-142 is at least $10 per
3 month;
4 4. If he first became a participating employee after
5 December 31, 1961 and is a Tier 1 regular employee, he has
6 at least 8 years of service, or, if he is a Tier 2 regular
7 member, he has at least 10 years of service. This service
8 requirement shall not apply to any participating employee,
9 regardless of participation date, if the General Assembly
10 terminates the Fund; .
11 5. He has not prearranged to return to the service of
12 the participating municipalities and instrumentalities
13 thereof and participating instrumentalities from which the
14 participating employee retired.
15 (b) Retirement annuities shall be payable:
16 1. As provided in Section 7-119;
17 2. Except as provided in item 3, upon receipt by the
18 fund of a written application. The effective date may be
19 not more than one year prior to the date of the receipt by
20 the fund of the application;
21 3. Upon attainment of the required age of distribution
22 under Section 401(a)(9) of the Internal Revenue Code of
23 1986, as amended, if the member (i) is no longer in
24 service, and (ii) is otherwise entitled to an annuity
25 under this Article;
26 4. To the beneficiary of the deceased annuitant for
SB2826 Enrolled -3- LRB104 17390 RPS 30815 b
1 the unpaid amount accrued to date of death, if any.
2 (Source: P.A. 102-210, Article 5, Section 5-5, eff. 7-30-21;
3 102-210, Article 10, Section 10-5, eff. 1-1-22; 102-813, eff.
4 5-13-22.)
5 (40 ILCS 5/7-166) (from Ch. 108 1/2, par. 7-166)
6 Sec. 7-166. Separation benefits; eligibility benefits -
7 eligibility. Separation benefits shall be payable as
8 hereinafter set forth:
9 1. Any Upon separation from the service of all
10 participating municipalities and instrumentalities
11 thereof and participating instrumentalities, any
12 participating employee who, on the date of application for
13 such benefit, is not entitled to a retirement annuity and
14 has separated from the service of the participating
15 municipality or instrumentality with which the
16 participating employee last participated in the Fund shall
17 be entitled to a separation benefit.
18 2. Any Upon separation from the service of all
19 participating municipalities and instrumentalities
20 thereof and participating instrumentalities, any
21 participating employee who, on the date of application for
22 such benefit, is entitled to a retirement annuity of less
23 than $100 per month for life and has separated from the
24 service of the participating municipality or
25 instrumentality with which the participating employee last
SB2826 Enrolled -4- LRB104 17390 RPS 30815 b
1 participated in the Fund may elect to take a separation
2 benefit in lieu of the retirement annuity.
3 3. Any Upon separation from the service of all
4 participating municipalities and instrumentalities
5 thereof and participating instrumentalities, any
6 participating employee who, on the date of application for
7 such benefit, is entitled to a retirement annuity, but
8 wishes instead to use the amounts to his or her credit in
9 the Fund to purchase credit in another retirement plan,
10 and has separated from the service of the participating
11 municipality or instrumentality with which the
12 participating employee last participated in the Fund may
13 elect to take a separation benefit in lieu of the
14 retirement annuity.
15 (Source: P.A. 99-747, eff. 1-1-17.)
16 (40 ILCS 5/7-174) (from Ch. 108 1/2, par. 7-174)
17 Sec. 7-174. Board created.
18 (a) A board of 8 members shall constitute a board of
19 trustees authorized to carry out the provisions of this
20 Article. Each trustee shall be a participating employee of a
21 participating municipality or participating instrumentality or
22 an annuitant of the Fund and no person shall be eligible to
23 become a trustee after January 1, 1979 who does not have the
24 minimum service credit in this Fund to qualify for a pension.
25 Notwithstanding any other provision of this subsection, on
SB2826 Enrolled -5- LRB104 17390 RPS 30815 b
1 and after the effective date of this amendatory Act of the
2 104th General Assembly, no person who has earned creditable
3 service through employment by the Fund shall be eligible to
4 serve as a trustee.
5 (b) The board shall consist of representatives of various
6 groups as follows:
7 1. 4 trustees shall be a chief executive officer,
8 chief finance officer, or other officer, executive or
9 department head of a participating municipality or
10 participating instrumentality, and each such trustee shall
11 be designated as an executive trustee.
12 2. 3 trustees shall be employees of a participating
13 municipality or participating instrumentality and each
14 such trustee shall be designated as an employee trustee. A
15 person who meets the criteria to be an executive trustee
16 may not serve as an employee trustee.
17 3. One trustee shall be an annuitant of the Fund, who
18 shall be designated the annuitant trustee.
19 (c) A person elected as a trustee shall qualify as a
20 trustee, after declaration by the board that he has been duly
21 elected, upon taking and subscribing to the constitutional
22 oath of office and filing same in the office of the Fund.
23 (d) The term of office of each trustee shall begin upon
24 January 1 of the year following the year in which he is elected
25 and shall continue for a period of 5 years and until a
26 successor has been elected and qualified, or until prior
SB2826 Enrolled -6- LRB104 17390 RPS 30815 b
1 resignation, death, incapacity or disqualification.
2 (e) Any elected trustee (other than the annuitant trustee)
3 shall be disqualified immediately upon termination of
4 employment with all participating municipalities and
5 instrumentalities thereof or upon any change in status which
6 removes any such trustee from all employments within the group
7 he represents. The annuitant trustee shall be disqualified
8 upon termination of his or her annuity.
9 (e-5) Notwithstanding any other provision, an elected
10 trustee shall not be considered disqualified due to
11 termination of participation under subsection (e) if:
12 (1) he or she thereafter begins participation with a
13 different participating employer;
14 (2) there is no gap in service credit established
15 under this Article; and
16 (3) the trustee continues to meet all eligibility
17 requirements under subsection (b) for the same type of
18 trustee position.
19 (f) The trustees shall fill any vacancy in the board by
20 appointment, for the period until the next election of
21 trustees, or, if the remaining term is less than 2 years, for
22 the remainder of the term, and until his successor has been
23 elected and qualified.
24 (g) Trustees shall serve without compensation, but shall
25 be reimbursed for any reasonable expenses incurred in
26 attending meetings of the board and in performing duties on
SB2826 Enrolled -7- LRB104 17390 RPS 30815 b
1 behalf of the Fund and for the amount of any earnings withheld
2 by any employing municipality or participating instrumentality
3 because of attendance at any board meeting.
4 (h) Each trustee shall be entitled to one vote on any and
5 all actions before the board. At least 5 concurring votes
6 shall be necessary for every decision or action by the board at
7 any of its meetings. No decision or action shall become
8 effective unless presented and so approved at a regular or
9 duly called special meeting of the board.
10 (Source: P.A. 102-479, eff. 8-20-21; 103-464, eff. 8-4-23.)Every fact on this page links to its source, starting with the official bill record.