Bill Text: IL HB4197 | 2021-2022 | 102nd General Assembly | Introduced

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Bill Title: Amends the Chicago Laborers Article of the Illinois Pension Code. In provisions concerning contributions for leaves of absence during which a participant is employed by a local labor organization, provides that for levy year 2017 and until the effective date of the amendatory Act, the participant, or the labor organization on the participant's behalf, shall make employer contributions equal to the contributions the participant would have made if the participant was an active employee. Provides that beginning after the effective date of the amendatory Act, the participant, or the labor organization on the participant's behalf, shall make employer contributions equal to the difference between the amount contributed by the participant as though the participant was an active employee and the normal cost, which shall be calculated by the Fund's actuary on an aggregate basis specific to the participant's Tier based on the Fund's most recent actuarial valuation and shall be effective on each July 1 after the Board certifies the amount of the contribution to the participant. Effective immediately.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2021-10-27 - Referred to Rules Committee [HB4197 Detail]

Download: Illinois-2021-HB4197-Introduced.html

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102ND GENERAL ASSEMBLY State of Illinois 2021 and 2022 HB4197 Introduced , by Rep. Michael J. Zalewski SYNOPSIS AS INTRODUCED:
40 ILCS 5/11-215 from Ch. 108 1/2, par. 11-215
Amends the Chicago Laborers Article of the Illinois Pension Code. In provisions concerning contributions for leaves of absence during which a participant is employed by a local labor organization, provides that for levy year 2017 and until the effective date of the amendatory Act, the participant, or the labor organization on the participant's behalf, shall make employer contributions equal to the contributions the participant would have made if the participant was an active employee. Provides that beginning after the effective date of the amendatory Act, the participant, or the labor organization on the participant's behalf, shall make employer contributions equal to the difference between the amount contributed by the participant as though the participant was an active employee and the normal cost, which shall be calculated by the Fund's actuary on an aggregate basis specific to the participant's Tier based on the Fund's most recent actuarial valuation and shall be effective on each July 1 after the Board certifies the amount of the contribution to the participant. Effective immediately.
LRB102 19594 RPS 28362 b
FISCAL NOTE ACT MAY APPLY PENSION IMPACT NOTE ACT MAY APPLY
A BILL FOR
HB4197 LRB102 19594 RPS 28362 b
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 11-215 as follows:
(40 ILCS 5/11-215) (from Ch. 108 1/2, par. 11-215)
Sec. 11-215. Computation of service.
(a) In computing the term of service of an employee prior
to the effective date, the entire period beginning on the date
he was first appointed and ending on the day before the
effective date, except any intervening period during which he
was separated by withdrawal from service, shall be counted for
all purposes of this Article. Only the first year of each
period of lay-off or leave of absence without pay, continuing
or extending for a period in excess of one year, shall be
counted as such service.
(b) For a person employed by an employer for whom this
Article was in effect prior to August 1, 1949, from whose
salary deductions are first made under this Article after July
31, 1949, any period of service rendered prior to the
effective date, unless he was in service on the day before the
effective date, shall not be counted as service.
(c) In computing the term of service of an employee

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subsequent to the day before the effective date, the following
periods of time shall be counted as periods of service for
annuity purposes:
(1) the time during which he performed the duties of
his position;
(2) leaves of absence with whole or part pay, and
leaves of absence without pay not longer than 90 days;
(3) leaves of absence without pay that begin before
the effective date of this amendatory Act of the 97th
General Assembly and during which a participant is
employed full-time by a local labor organization that
represents municipal employees, provided that:
(A) the participant continues to make employee
contributions to the Fund as though he were an active
employee, based on the regular salary rate received by
the participant for his municipal employment
immediately prior to such leave of absence (and in the
case of such employment prior to December 9, 1987,
pays to the Fund an amount equal to the employee
contributions for such employment plus regular
interest thereon as calculated by the board), and
based on his current salary with such labor
organization after the effective date of this
amendatory Act of 1991; ,
(B) after January 1, 1989 the participant, or the
labor organization on the participant's behalf, makes

HB4197 - 3 - LRB102 19594 RPS 28362 b
contributions to the Fund as though it were the
employer, as follows:
(i) after January 1, 1989 and prior to levy
year 2017, in the same amount and same manner as
specified under this Article, based on the regular
salary rate received by the participant for his
municipal employment immediately prior to such
leave of absence, and based on his current salary
with such labor organization after the effective
date of this amendatory Act of 1991;
(ii) beginning in levy year 2017 and until the
effective date of this amendatory Act of the 102nd
General Assembly, in an amount equal to the
contribution by the participant under subparagraph
(A) of this paragraph; and
(iii) on and after the effective date of this
amendatory Act of the 102nd General Assembly, in
an amount equal to the difference between the
contribution by the participant under subparagraph
(A) of this paragraph and the normal cost, which
shall be calculated by the Fund's actuary on an
aggregate basis specific to the participant's Tier
based on the Fund's most recent actuarial
valuation and shall be effective on each July 1
after the Board certifies the amount of the
contribution to the participant; , and

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(C) the participant does not receive credit in any
pension plan established by the local labor
organization based on his employment by the
organization;
(4) any period of disability for which he received (i)
a disability benefit under this Article, or (ii) a
temporary total disability benefit under the Workers'
Compensation Act if the disability results from a
condition commonly termed heart attack or stroke or any
other condition falling within the broad field of coronary
involvement or heart disease, or (iii) whole or part pay.
(d) For a person employed by an employer, or the
retirement board, in which "The 1935 Act" was in effect prior
to August 1, 1949, from whose salary deductions are first made
under "The 1935 Act" or this Article after July 31, 1949, any
period of service rendered subsequent to the effective date
and prior to August 1, 1949, shall not be counted as a period
of service under this Article, except such period for which he
made payment, as provided in Section 11-221 of this Article,
in which case such period shall be counted as a period of
service for all annuity purposes hereunder.
(e) In computing the term of service of an employee
subsequent to the day before the effective date for ordinary
disability benefit purposes, the following periods of time
shall be counted as periods of service:
(1) any period during which he performed the duties of

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his position;
(2) leaves of absence with whole or part pay;
(3) any period of disability for which he received (i)
a duty disability benefit under this Article, or (ii) a
temporary total disability benefit under the Workers'
Compensation Act if the disability results from a
condition commonly termed heart attack or stroke or any
other condition falling within the broad field of coronary
involvement or heart disease, or (iii) whole or part pay.
However, any period of service rendered by an employee
contributor prior to the date he became a contributor to the
fund shall not be counted as a period of service for ordinary
disability purposes, unless the person made payment for the
period as provided in Section 11-221 of this Article, in which
case the period shall be counted as a period of service for
ordinary disability purposes for periods of disability on or
after the effective date of this amendatory Act of 1997.
Overtime or extra service shall not be included in
computing any term of service. Not more than 1 year of service
shall be allowed for service rendered during any calendar
year.
For the purposes of this Section, the phrase "any pension
plan established by the local labor organization" means any
pension plan in which a participant may receive credit as a
result of his or her membership in the local labor
organization, including, but not limited to, the local labor

HB4197 - 6 - LRB102 19594 RPS 28362 b
organization itself and its affiliates at the local,
intrastate, State, multi-state, national, or international
level. The definition of this phrase is a declaration of
existing law and shall not be construed as a new enactment.
(Source: P.A. 97-651, eff. 1-5-12.)
Section 99. Effective date. This Act takes effect upon
becoming law.