Bill Amendment: IL SB2022 | 2019-2020 | 101st General Assembly
NOTE: For additional amemendments please see the Bill Drafting List
Bill Title: PEN CD-IMRF-SURVIVING SPOUSES
Status: 2021-01-13 - Session Sine Die [SB2022 Detail]
Download: Illinois-2019-SB2022-Senate_Amendment_001.html
Bill Title: PEN CD-IMRF-SURVIVING SPOUSES
Status: 2021-01-13 - Session Sine Die [SB2022 Detail]
Download: Illinois-2019-SB2022-Senate_Amendment_001.html
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1 | AMENDMENT TO SENATE BILL 2022
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2 | AMENDMENT NO. ______. Amend Senate Bill 2022 by replacing | ||||||
3 | everything after the enacting clause with the following:
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4 | "Section 5. The Illinois Pension Code is amended by | ||||||
5 | changing Section 7-159 as follows:
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6 | (40 ILCS 5/7-159) (from Ch. 108 1/2, par. 7-159)
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7 | Sec. 7-159. Surviving spouse annuity - refund of survivor | ||||||
8 | credits.
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9 | (a) Any employee annuitant who (1) upon the date a | ||||||
10 | retirement annuity
begins is not then married, or (2) is | ||||||
11 | married to a person who would not qualify
for surviving spouse | ||||||
12 | annuity if the person died on such date, is entitled to a
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13 | refund of the survivor credits including interest accumulated | ||||||
14 | on the date the
annuity begins, excluding survivor credits and | ||||||
15 | interest thereon credited during
periods of disability, and no | ||||||
16 | spouse shall have a right to any surviving spouse
annuity from |
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1 | this Fund. If the employee annuitant
reenters service and upon | ||||||
2 | subsequent retirement has a spouse who would
qualify for a | ||||||
3 | surviving spouse annuity, the employee annuitant may pay the
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4 | fund the amount of the refund plus interest at the effective | ||||||
5 | rate at the
date of payment. The payment shall qualify the | ||||||
6 | spouse for a surviving
spouse annuity and the amount paid shall | ||||||
7 | be considered as survivor
contributions.
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8 | (b) Instead of a refund under subsection (a), the retiring | ||||||
9 | employee may
elect to convert the amount of the refund into an | ||||||
10 | annuity, payable
separately from the retirement annuity. If the | ||||||
11 | annuitant dies before the
guaranteed amount has been | ||||||
12 | distributed, the remainder shall be paid in a lump
sum to the | ||||||
13 | designated beneficiary of the annuitant. The Board shall adopt | ||||||
14 | any
rules necessary for the implementation of this subsection.
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15 | (c) An annuitant who retired prior to June 1, 2011 and | ||||||
16 | received a refund of
survivor credits under subsection (a), and | ||||||
17 | who thereafter became, and remains,
either: | ||||||
18 | (1) a party to a civil union or a party to a legal | ||||||
19 | relationship that is recognized as a civil union or | ||||||
20 | marriage under the Illinois Religious Freedom Protection | ||||||
21 | and Civil Union Act on or after June 1, 2011; or | ||||||
22 | (2) a party to a marriage under the Illinois Marriage | ||||||
23 | and Dissolution of Marriage Act on or after February 26, | ||||||
24 | 2014; or | ||||||
25 | (3) a party to a marriage, civil union or other legal | ||||||
26 | relationship that, at the time it was formed, was not |
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1 | legally recognized in Illinois but was subsequently | ||||||
2 | recognized as a civil union or marriage under the Illinois | ||||||
3 | Religious Freedom Protection and Civil Union Act on or | ||||||
4 | after June 1, 2011, a marriage under the Illinois Marriage | ||||||
5 | and Dissolution of Marriage Act on or after February 26, | ||||||
6 | 2014, or both; | ||||||
7 | may, within a period of one year beginning 5 months after the | ||||||
8 | effective date of this amendatory Act of the 99th General | ||||||
9 | Assembly, make an election to re-establish rights to a
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10 | surviving spouse annuity under Sections 7-154 through 7-158 | ||||||
11 | (notwithstanding
the eligibility requirements of paragraph | ||||||
12 | (a)(1) of Section 7-154), by paying to the
Fund: (1) the total | ||||||
13 | amount of the refund received for survivor credits; and (2)
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14 | interest thereon at the actuarially assumed rate of return from | ||||||
15 | the date of the refund to the date of
payment. Such election | ||||||
16 | must be made prior to the date of death of the annuitant. | ||||||
17 | The Fund may allow the annuitant to repay this refund over | ||||||
18 | a period of not more
than 24 months. To the extent permitted by | ||||||
19 | the Internal Revenue Code of 1986, as amended, for federal and | ||||||
20 | State tax purposes, if a member pays in monthly
installments by | ||||||
21 | reducing the monthly benefit by the amount of the otherwise
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22 | applicable contribution, the monthly amount by which the | ||||||
23 | annuitant's benefit is
reduced shall not be treated as a | ||||||
24 | contribution by the annuitant but rather as a
reduction of the | ||||||
25 | annuitant's monthly benefit. | ||||||
26 | If an annuitant makes an election under this subsection (c) |
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1 | and the contributions
required are not paid in full, an | ||||||
2 | otherwise qualifying spouse shall be given the
option to make | ||||||
3 | an additional lump sum payment of the remaining contributions
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4 | and qualify for a surviving spouse annuity. Otherwise, an | ||||||
5 | additional refund
representing contributions made hereunder | ||||||
6 | shall be paid at the annuitant's death
and there shall be no | ||||||
7 | surviving spouse annuity paid. | ||||||
8 | (d) Any surviving spouse of an annuitant who (1) retired | ||||||
9 | prior to June 1, 2011, (2) was not married on the date the | ||||||
10 | retirement annuity began, (3) received a refund of survivor | ||||||
11 | credits under subsection (a), and (4) died prior to the | ||||||
12 | implementation of Public Act 99-682 on December 29, 2016 may, | ||||||
13 | within a period of one year beginning 5 months after the | ||||||
14 | effective date of this amendatory Act of the 101st General | ||||||
15 | Assembly, make an election to re-establish rights to a | ||||||
16 | surviving spouse annuity under Sections 7-154 through 7-158 | ||||||
17 | (notwithstanding the eligibility requirements of paragraph (a) | ||||||
18 | of subsection (1) of Section 7-154), by paying to the Fund: (i) | ||||||
19 | the total amount of the refund received for survivor credits; | ||||||
20 | and (ii) interest thereon at the actuarially assumed rate of | ||||||
21 | return from the date of the refund to the date of payment. The | ||||||
22 | surviving spouse must also provide documentation proving he or | ||||||
23 | she was married to the annuitant or a party to a civil union | ||||||
24 | with the annuitant at the time of death and has not | ||||||
25 | subsequently remarried. This proof must include a marriage | ||||||
26 | certificate or a certificate for a civil union and any other |
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1 | supporting documents deemed necessary by the Fund. | ||||||
2 | (Source: P.A. 99-682, eff. 7-29-16.)
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3 | Section 99. Effective date. This Act takes effect upon | ||||||
4 | becoming law.".
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