Bill Text: IL HB5373 | 2009-2010 | 96th General Assembly | Introduced

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Bill Title: Amends the Chicago Firefighter Article of the Illinois Pension Code. Provides that a fireman who qualifies for a minimum annuity and retires after September 1, 1967 but has not received the initial increase to his or her annuity before January 1, 2011 is entitled to receive the initial increase on (1) January 1, 2011, (2) the first anniversary of the date of retirement, or (3) attainment of age 55, whichever occurs last. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2010-02-05 - Referred to Rules Committee [HB5373 Detail]

Download: Illinois-2009-HB5373-Introduced.html

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96TH GENERAL ASSEMBLY State of Illinois 2009 and 2010 HB5373 Introduced 2/5/2010, by Rep. Joseph M. Lyons SYNOPSIS AS INTRODUCED:
40 ILCS 5/6-164 from Ch. 108 1/2, par. 6-164
30 ILCS 805/8.34 new
Amends the Chicago Firefighter Article of the Illinois Pension Code. Provides that a fireman who qualifies for a minimum annuity and retires after September 1, 1967 but has not received the initial increase to his or her annuity before January 1, 2011 is entitled to receive the initial increase on (1) January 1, 2011, (2) the first anniversary of the date of retirement, or (3) attainment of age 55, whichever occurs last. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately.
LRB096 18278 AMC 33653 b
FISCAL NOTE ACT MAY APPLY PENSION IMPACT NOTE ACT MAY APPLY STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT
A BILL FOR
HB5373 LRB096 18278 AMC 33653 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 6-164 as follows:
(40 ILCS 5/6-164) (from Ch. 108 1/2, par. 6-164)
Sec. 6-164. Automatic annual increase; retirement after
September 1, 1959.
(a) A fireman qualifying for a minimum annuity who retires
from service after September 1, 1959 shall, upon either the
first of the month following the first anniversary of his date
of retirement if he is age 60 (age 55 if born before January 1,
1955) or over on that anniversary date, or upon the first of
the month following his attainment of age 60 (age 55 if born
before January 1, 1955) if that occurs after the first
anniversary of his retirement date, have his then fixed and
payable monthly annuity increased by 1 1/2%, and such first
fixed annuity as granted at retirement increased by an
additional 1 1/2% in January of each year thereafter up to a
maximum increase of 30%. Beginning July 1, 1982 for firemen
born before January 1, 1930, and beginning January 1, 1990 for
firemen born after December 31, 1929 and before January 1,
1940, and beginning January 1, 1996 for firemen born after

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December 31, 1939 but before January 1, 1945, and beginning
January 1, 2004, for firemen born after December 31, 1944 but
before January 1, 1955, such increases shall be 3% and such
firemen shall not be subject to the 30% maximum increase.
Any fireman born before January 1, 1945 who qualifies for a
minimum annuity and retires after September 1, 1967 but has not
received the initial increase under this subsection before
January 1, 1996 is entitled to receive the initial increase
under this subsection on (1) January 1, 1996, (2) the first
anniversary of the date of retirement, or (3) attainment of age
55, whichever occurs last. The changes to this Section made by
this amendatory Act of 1995 apply beginning January 1, 1996 and
apply without regard to whether the fireman or annuitant
terminated service before the effective date of this amendatory
Act of 1995.
Any fireman born before January 1, 1955 who qualifies for a
minimum annuity and retires after September 1, 1967 but has not
received the initial increase under this subsection before
January 1, 2004 is entitled to receive the initial increase
under this subsection on (1) January 1, 2004, (2) the first
anniversary of the date of retirement, or (3) attainment of age
55, whichever occurs last. The changes to this Section made by
this amendatory Act of the 93rd General Assembly apply without
regard to whether the fireman or annuitant terminated service
before the effective date of this amendatory Act.
Any fireman who qualifies for a minimum annuity and retires

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after September 1, 1967 but has not received the initial
increase under this subsection before January 1, 2011 is
entitled to receive the initial increase under this subsection
on (1) January 1, 2011, (2) the first anniversary of the date
of retirement, or (3) attainment of age 55, whichever occurs
last. The changes to this Section made by this amendatory Act
of the 96th General Assembly apply without regard to whether
the fireman or annuitant terminated service before the
effective date of this amendatory Act.
(b) Subsection (a) of this Section is not applicable to an
employee receiving a term annuity.
(c) To help defray the cost of such increases in annuity,
there shall be deducted, beginning September 1, 1959, from each
payment of salary to a fireman, 1/8 of 1% of each such salary
payment and an additional 1/8 of 1% beginning on September 1,
1961, and September 1, 1963, respectively, concurrently with
and in addition to the salary deductions otherwise made for
annuity purposes.
Each such additional 1/8 of 1% deduction from salary which
shall, on September 1, 1963, result in a total increase of 3/8
of 1% of salary, shall be credited to the Automatic Increase
Reserve, to be used, together with city contributions as
provided in this Article, to defray the cost of the 1 1/2%
annuity increments herein specified. Any balance in such
reserve as of the beginning of each calendar year shall be
credited with interest at the rate of 3% per annum.

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The salary deductions provided in this Section are not
subject to refund, except to the fireman himself, in any case
in which a fireman withdraws prior to qualification for minimum
annuity and applies for refund, or applies for annuity, and
also where a term annuity becomes payable. In such cases, the
total of such salary deductions shall be refunded to the
fireman, without interest, and charged to the aforementioned
reserve.
(Source: P.A. 93-654, eff. 1-16-04.)
Section 90. The State Mandates Act is amended by adding
Section 8.34 as follows:
(30 ILCS 805/8.34 new)
Sec. 8.34. Exempt mandate. Notwithstanding Sections 6 and 8
of this Act, no reimbursement by the State is required for the
implementation of any mandate created by this amendatory Act of
the 96th General Assembly.
Section 99. Effective date. This Act takes effect upon
becoming law.