Bill Text: IL HB0362 | 2017-2018 | 100th General Assembly | Introduced

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Bill Title: Amends the Illinois Municipal Retirement Fund (IMRF) Article of the Illinois Pension Code. Provides that a person who holds elective office in a participating municipality that is not a home rule unit and is first so elected on or after the effective date of the amendatory Act is not a participating employee with respect to that office. Effective immediately.

Spectrum: Slight Partisan Bill (Democrat 2-1)

Status: (Failed) 2019-01-08 - Session Sine Die [HB0362 Detail]

Download: Illinois-2017-HB0362-Introduced.html

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100TH GENERAL ASSEMBLY State of Illinois 2017 and 2018 HB0362 Introduced , by Rep. Allen Skillicorn SYNOPSIS AS INTRODUCED:
40 ILCS 5/7-137 from Ch. 108 1/2, par. 7-137
Amends the Illinois Municipal Retirement Fund (IMRF) Article of the Illinois Pension Code. Provides that a person who holds elective office in a participating municipality that is not a home rule unit and is first so elected on or after the effective date of the amendatory Act is not a participating employee with respect to that office. Effective immediately.
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FISCAL NOTE ACT MAY APPLY PENSION IMPACT NOTE ACT MAY APPLY
A BILL FOR
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AN ACT concerning public employee benefits.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Illinois Pension Code is amended by changing
Section 7-137 as follows:
(40 ILCS 5/7-137) (from Ch. 108 1/2, par. 7-137)
Sec. 7-137. Participating and covered employees.
(a) The persons described in this paragraph (a) shall be
included within and be subject to this Article and eligible to
benefits from this fund, beginning upon the dates hereinafter
specified:
1. Except as to the employees specifically excluded
under the provisions of this Article, all persons who are
employees of any municipality (or instrumentality thereof)
or participating instrumentality on the effective date of
participation of the municipality or participating
instrumentality beginning upon such effective date.
2. Except as to the employees specifically excluded
under the provisions of this Article, all persons, who
became employees of any participating municipality (or
instrumentality thereof) or participating instrumentality
after the effective date of participation of such
municipality or participating instrumentality, beginning

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upon the date such person becomes an employee.
3. All persons who file notice with the board as
provided in paragraph (b) 2 and 3 of this Section,
beginning upon the date of filing such notice.
(b) The following described persons shall not be considered
participating employees eligible for benefits from this fund,
but shall be included within and be subject to this Article
(each of the descriptions is not exclusive but is cumulative):
1. Any person who occupies an office or is employed in
a position normally requiring performance of duty during
less than 600 hours a year for a municipality (including
all instrumentalities thereof) or a participating
instrumentality. If a school treasurer performs services
for more than one school district, the total number of
hours of service normally required for the several school
districts shall be considered to determine whether he
qualifies under this paragraph;
2. Except as provided in items 2.5, and 2.6, and 2.7,
any person who holds elective office unless he or she has
elected while in that office in a written notice on file
with the board to become a participating employee;
2.5. Except as provided in item 2.6, any person who
holds elective office as a member of a county board,
unless:
(i) the person was first elected as a member of a
county board before the effective date of this

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amendatory Act of the 99th General Assembly;
(ii) the person has elected while in that office,
in a written notice on file with the board, to become a
participating employee;
(iii) the county board has filed the resolution
required by subsection (a) of Section 7-137.2 of this
Article; and
(iv) the person has submitted the required time
sheets evidencing that the person has met the hourly
standard as required by subsection (b) of Section
7-137.2 of this Article;
2.6. Any person who is an elected member of a county
board and is first so elected on or after the effective
date of this amendatory Act of the 99th General Assembly;
2.7. Any person who holds elective office in a
participating municipality that is not a home rule unit and
is first so elected on or after the effective date of this
amendatory Act of the 100th General Assembly;
3. Any person working for a city hospital unless any
such person, while in active employment, has elected in a
written notice on file with the board to become a
participating employee and notification thereof is
received by the board;
4. Any person who becomes an employee after June 30,
1979 as a public service employment program participant
under the federal Comprehensive Employment and Training

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Act and whose wages or fringe benefits are paid in whole or
in part by funds provided under such Act;
5. Any person who is actively employed by a
municipality on its effective date of participation in the
Fund if that municipality (i) has at least 35 employees on
its effective date of participation; (ii) is located in a
county with at least 2,000,000 inhabitants; and (iii)
maintains an independent defined benefit pension plan for
the benefit of its eligible employees, unless the person
files with the board within 90 days after the
municipality's effective date of participation an
irrevocable election to participate.
(c) Any person electing to be a participating employee,
pursuant to paragraph (b) of this Section may not change such
election, except as provided in Section 7-137.1.
(d) Any employee who occupied the position of school nurse
in any participating municipality on August 8, 1961 and
continuously thereafter until the effective date of the
exercise of the option authorized by this subparagraph, who on
August 7, 1961 was a member of the Teachers' Retirement System
of Illinois, by virtue of certification by the Department of
Registration and Education as a public health nurse, may elect
to terminate participation in this Fund in order to
re-establish membership in such System. The election may be
exercised by filing written notice thereof with the Board or
with the Board of Trustees of said Teachers' Retirement System,

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not later than September 30, 1963, and shall be effective on
the first day of the calendar month next following the month in
which the notice was filed. If the written notice is filed with
such Teachers' Retirement System, that System shall
immediately notify this Fund, but neither failure nor delay in
notification shall affect the validity of the employee's
election. If the option is exercised, the Fund shall notify
such Teachers' Retirement System of such fact and transfer to
that system the amounts contributed by the employee to this
Fund, including interest at 3% per annum, but excluding
contributions applicable to social security coverage during
the period beginning August 8, 1961 to the effective date of
the employee's election. Participation in this Fund as to any
credits on or after August 8, 1961 and up to the effective date
of the employee's election shall terminate on such effective
date.
(e) Any participating municipality or participating
instrumentality, other than a school district or special
education joint agreement created under Section 10-22.31 of the
School Code, may, by a resolution or ordinance duly adopted by
its governing body, elect to exclude from participation and
eligibility for benefits all persons who are employed after the
effective date of such resolution or ordinance and who occupy
an office or are employed in a position normally requiring
performance of duty for less than 1000 hours per year for the
participating municipality (including all instrumentalities

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thereof) or participating instrumentality except for persons
employed in a position normally requiring performance of duty
for 600 hours or more per year (i) by such participating
municipality or participating instrumentality prior to the
effective date of the resolution or ordinance and (ii) by a
participating municipality or participating instrumentality,
which had not adopted such a resolution when the person was
employed, and the function served by the employee's position is
assumed by another participating municipality or participating
instrumentality. Notwithstanding the foregoing, a
participating municipality or participating instrumentality
which is formed solely to succeed to the functions of a
participating municipality or participating instrumentality
shall be considered to have adopted any such resolution or
ordinance which may have been applicable to the employees
performing such functions. The election made by the resolution
or ordinance shall take effect at the time specified in the
resolution or ordinance, and once effective shall be
irrevocable.
(Source: P.A. 99-900, eff. 8-26-16.)