Bill Text: IL SB1673 | 2011-2012 | 97th General Assembly | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Amends the Cook County Article of the Illinois Pension Code. Provides that "re-entrant" does not include any employee who enters service after January 1, 2011 and whose retirement age is 67.

Spectrum: Bipartisan Bill

Status: (Failed) 2013-01-08 - Session Sine Die [SB1673 Detail]

Download: Illinois-2011-SB1673-Amended.html

Rep. Elaine Nekritz

Filed: 1/8/2013

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1
AMENDMENT TO SENATE BILL 1673
2 AMENDMENT NO. ______. Amend Senate Bill 1673, AS AMENDED,
3with reference to page and line numbers of House Amendment No.
410, on page 1, in line 5, by changing "4 and 15" to "2, 4, 14,
5and 15"; and
6on page 1, below line 5, by inserting the following:
7 "(5 ILCS 315/2) (from Ch. 48, par. 1602)
8 Sec. 2. Policy. It is the public policy of the State of
9Illinois to grant public employees full freedom of association,
10self-organization, and designation of representatives of their
11own choosing for the purpose of negotiating wages, hours and
12other conditions of employment or other mutual aid or
13protection.
14 It is the purpose of this Act to regulate labor relations
15between public employers and employees, including the
16designation of employee representatives, negotiation of wages,

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1hours and other conditions of employment, and resolution of
2disputes arising under collective bargaining agreements.
3 It is the purpose of this Act to prescribe the legitimate
4rights of both public employees and public employers, to
5protect the public health and safety of the citizens of
6Illinois, and to provide peaceful and orderly procedures for
7protection of the rights of all. To prevent labor strife and to
8protect the public health and safety of the citizens of
9Illinois, all collective bargaining disputes involving persons
10designated by the Board as performing essential services and
11those persons defined herein as security employees shall be
12submitted to impartial arbitrators, who shall be authorized to
13issue awards in order to resolve such disputes; except that
14such arbitration and awards shall not alter or affect the
15changes, the impact of the changes, or the implementation of
16the changes set forth in this amendatory Act of the 97th
17General Assembly, which are prohibited subjects of bargaining.
18It is the public policy of the State of Illinois that where the
19right of employees to strike is prohibited by law, it is
20necessary to afford an alternate, expeditious, equitable and
21effective procedure for the resolution of labor disputes
22subject to approval procedures mandated by this Act. To that
23end, the provisions for such awards shall be liberally
24construed.
25(Source: P.A. 83-1012.)"; and

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1on page 2, in line 3, after "Assembly", by inserting ", which
2are prohibited subjects of bargaining"; and
3on page 2, in line 14, after "Assembly", by inserting ", which
4are prohibited subjects of bargaining"; and
5on page 2, below line 25, by inserting the following:
6 "(5 ILCS 315/14) (from Ch. 48, par. 1614)
7 Sec. 14. Security Employee, Peace Officer and Fire Fighter
8Disputes.
9 (a) In the case of collective bargaining agreements
10involving units of security employees of a public employer,
11Peace Officer Units, or units of fire fighters or paramedics,
12and in the case of disputes under Section 18, unless the
13parties mutually agree to some other time limit, mediation
14shall commence 30 days prior to the expiration date of such
15agreement or at such later time as the mediation services
16chosen under subsection (b) of Section 12 can be provided to
17the parties. In the case of negotiations for an initial
18collective bargaining agreement, mediation shall commence upon
1915 days notice from either party or at such later time as the
20mediation services chosen pursuant to subsection (b) of Section
2112 can be provided to the parties. In mediation under this
22Section, if either party requests the use of mediation services
23from the Federal Mediation and Conciliation Service, the other

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1party shall either join in such request or bear the additional
2cost of mediation services from another source. The mediator
3shall have a duty to keep the Board informed on the progress of
4the mediation. If any dispute has not been resolved within 15
5days after the first meeting of the parties and the mediator,
6or within such other time limit as may be mutually agreed upon
7by the parties, either the exclusive representative or employer
8may request of the other, in writing, arbitration, and shall
9submit a copy of the request to the Board.
10 (b) Within 10 days after such a request for arbitration has
11been made, the employer shall choose a delegate and the
12employees' exclusive representative shall choose a delegate to
13a panel of arbitration as provided in this Section. The
14employer and employees shall forthwith advise the other and the
15Board of their selections.
16 (c) Within 7 days after the request of either party, the
17parties shall request a panel of impartial arbitrators from
18which they shall select the neutral chairman according to the
19procedures provided in this Section. If the parties have agreed
20to a contract that contains a grievance resolution procedure as
21provided in Section 8, the chairman shall be selected using
22their agreed contract procedure unless they mutually agree to
23another procedure. If the parties fail to notify the Board of
24their selection of neutral chairman within 7 days after receipt
25of the list of impartial arbitrators, the Board shall appoint,
26at random, a neutral chairman from the list. In the absence of

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1an agreed contract procedure for selecting an impartial
2arbitrator, either party may request a panel from the Board.
3Within 7 days of the request of either party, the Board shall
4select from the Public Employees Labor Mediation Roster 7
5persons who are on the labor arbitration panels of either the
6American Arbitration Association or the Federal Mediation and
7Conciliation Service, or who are members of the National
8Academy of Arbitrators, as nominees for impartial arbitrator of
9the arbitration panel. The parties may select an individual on
10the list provided by the Board or any other individual mutually
11agreed upon by the parties. Within 7 days following the receipt
12of the list, the parties shall notify the Board of the person
13they have selected. Unless the parties agree on an alternate
14selection procedure, they shall alternatively strike one name
15from the list provided by the Board until only one name
16remains. A coin toss shall determine which party shall strike
17the first name. If the parties fail to notify the Board in a
18timely manner of their selection for neutral chairman, the
19Board shall appoint a neutral chairman from the Illinois Public
20Employees Mediation/Arbitration Roster.
21 (d) The chairman shall call a hearing to begin within 15
22days and give reasonable notice of the time and place of the
23hearing. The hearing shall be held at the offices of the Board
24or at such other location as the Board deems appropriate. The
25chairman shall preside over the hearing and shall take
26testimony. Any oral or documentary evidence and other data

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1deemed relevant by the arbitration panel may be received in
2evidence. The proceedings shall be informal. Technical rules of
3evidence shall not apply and the competency of the evidence
4shall not thereby be deemed impaired. A verbatim record of the
5proceedings shall be made and the arbitrator shall arrange for
6the necessary recording service. Transcripts may be ordered at
7the expense of the party ordering them, but the transcripts
8shall not be necessary for a decision by the arbitration panel.
9The expense of the proceedings, including a fee for the
10chairman, established in advance by the Board, shall be borne
11equally by each of the parties to the dispute. The delegates,
12if public officers or employees, shall continue on the payroll
13of the public employer without loss of pay. The hearing
14conducted by the arbitration panel may be adjourned from time
15to time, but unless otherwise agreed by the parties, shall be
16concluded within 30 days of the time of its commencement.
17Majority actions and rulings shall constitute the actions and
18rulings of the arbitration panel. Arbitration proceedings
19under this Section shall not be interrupted or terminated by
20reason of any unfair labor practice charge filed by either
21party at any time.
22 (e) The arbitration panel may administer oaths, require the
23attendance of witnesses, and the production of such books,
24papers, contracts, agreements and documents as may be deemed by
25it material to a just determination of the issues in dispute,
26and for such purpose may issue subpoenas. If any person refuses

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1to obey a subpoena, or refuses to be sworn or to testify, or if
2any witness, party or attorney is guilty of any contempt while
3in attendance at any hearing, the arbitration panel may, or the
4attorney general if requested shall, invoke the aid of any
5circuit court within the jurisdiction in which the hearing is
6being held, which court shall issue an appropriate order. Any
7failure to obey the order may be punished by the court as
8contempt.
9 (f) At any time before the rendering of an award, the
10chairman of the arbitration panel, if he is of the opinion that
11it would be useful or beneficial to do so, may remand the
12dispute to the parties for further collective bargaining for a
13period not to exceed 2 weeks. If the dispute is remanded for
14further collective bargaining the time provisions of this Act
15shall be extended for a time period equal to that of the
16remand. The chairman of the panel of arbitration shall notify
17the Board of the remand.
18 (g) At or before the conclusion of the hearing held
19pursuant to subsection (d), the arbitration panel shall
20identify the economic issues in dispute, and direct each of the
21parties to submit, within such time limit as the panel shall
22prescribe, to the arbitration panel and to each other its last
23offer of settlement on each economic issue. The determination
24of the arbitration panel as to the issues in dispute and as to
25which of these issues are economic shall be conclusive. The
26arbitration panel, within 30 days after the conclusion of the

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1hearing, or such further additional periods to which the
2parties may agree, shall make written findings of fact and
3promulgate a written opinion and shall mail or otherwise
4deliver a true copy thereof to the parties and their
5representatives and to the Board. As to each economic issue,
6the arbitration panel shall adopt the last offer of settlement
7which, in the opinion of the arbitration panel, more nearly
8complies with the applicable factors prescribed in subsection
9(h). The findings, opinions and order as to all other issues
10shall be based upon the applicable factors prescribed in
11subsection (h).
12 (h) Where there is no agreement between the parties, or
13where there is an agreement but the parties have begun
14negotiations or discussions looking to a new agreement or
15amendment of the existing agreement, and wage rates or other
16conditions of employment under the proposed new or amended
17agreement are in dispute, the arbitration panel shall base its
18findings, opinions and order upon the following factors, as
19applicable:
20 (1) The lawful authority of the employer.
21 (2) Stipulations of the parties.
22 (3) The interests and welfare of the public and the
23 financial ability of the unit of government to meet those
24 costs.
25 (4) Comparison of the wages, hours and conditions of
26 employment of the employees involved in the arbitration

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1 proceeding with the wages, hours and conditions of
2 employment of other employees performing similar services
3 and with other employees generally:
4 (A) In public employment in comparable
5 communities.
6 (B) In private employment in comparable
7 communities.
8 (5) The average consumer prices for goods and services,
9 commonly known as the cost of living.
10 (6) The overall compensation presently received by the
11 employees, including direct wage compensation, vacations,
12 holidays and other excused time, insurance and pensions,
13 medical and hospitalization benefits, the continuity and
14 stability of employment and all other benefits received.
15 (7) Changes in any of the foregoing circumstances
16 during the pendency of the arbitration proceedings.
17 (8) Such other factors, not confined to the foregoing,
18 which are normally or traditionally taken into
19 consideration in the determination of wages, hours and
20 conditions of employment through voluntary collective
21 bargaining, mediation, fact-finding, arbitration or
22 otherwise between the parties, in the public service or in
23 private employment.
24 (i) In the case of peace officers, the arbitration decision
25shall be limited to wages, hours, and conditions of employment
26(which may include residency requirements in municipalities

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1with a population under 1,000,000, but those residency
2requirements shall not allow residency outside of Illinois) and
3shall not include the following: i) residency requirements in
4municipalities with a population of at least 1,000,000; ii) the
5type of equipment, other than uniforms, issued or used; iii)
6manning; iv) the total number of employees employed by the
7department; v) mutual aid and assistance agreements to other
8units of government; and vi) the criterion pursuant to which
9force, including deadly force, can be used; and vii) the
10changes, the impact of the changes, and the implementation of
11the changes set forth in this amendatory Act of the 97th
12General Assembly, which are prohibited subjects of bargaining;
13provided, nothing herein shall preclude an arbitration
14decision regarding equipment or manning levels if such decision
15is based on a finding that the equipment or manning
16considerations in a specific work assignment involve a serious
17risk to the safety of a peace officer beyond that which is
18inherent in the normal performance of police duties. Limitation
19of the terms of the arbitration decision pursuant to this
20subsection shall not be construed to limit the factors upon
21which the decision may be based, as set forth in subsection
22(h).
23 In the case of fire fighter, and fire department or fire
24district paramedic matters, the arbitration decision shall be
25limited to wages, hours, and conditions of employment (which
26may include residency requirements in municipalities with a

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1population under 1,000,000, but those residency requirements
2shall not allow residency outside of Illinois) and shall not
3include the following matters: i) residency requirements in
4municipalities with a population of at least 1,000,000; ii) the
5type of equipment (other than uniforms and fire fighter turnout
6gear) issued or used; iii) the total number of employees
7employed by the department; iv) mutual aid and assistance
8agreements to other units of government; and v) the criterion
9pursuant to which force, including deadly force, can be used;
10and vi) the changes, the impact of the changes, and the
11implementation of the changes set forth in this amendatory Act
12of the 97th General Assembly, which are prohibited subjects of
13bargaining; provided, however, nothing herein shall preclude
14an arbitration decision regarding equipment levels if such
15decision is based on a finding that the equipment
16considerations in a specific work assignment involve a serious
17risk to the safety of a fire fighter beyond that which is
18inherent in the normal performance of fire fighter duties.
19Limitation of the terms of the arbitration decision pursuant to
20this subsection shall not be construed to limit the facts upon
21which the decision may be based, as set forth in subsection
22(h).
23 The changes to this subsection (i) made by Public Act
2490-385 (relating to residency requirements) do not apply to
25persons who are employed by a combined department that performs
26both police and firefighting services; these persons shall be

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1governed by the provisions of this subsection (i) relating to
2peace officers, as they existed before the amendment by Public
3Act 90-385.
4 To preserve historical bargaining rights, this subsection
5shall not apply to any provision of a fire fighter collective
6bargaining agreement in effect and applicable on the effective
7date of this Act; provided, however, nothing herein shall
8preclude arbitration with respect to any such provision.
9 In the case of security employees or employees deemed to be
10essential workers pursuant to Section 18 of this Act, an
11arbitration decision shall not alter or affect the changes, the
12impact of the changes, or the implementation of the changes set
13forth in this amendatory Act of the 97th General Assembly,
14which are prohibited subjects of bargaining.
15 (j) Arbitration procedures shall be deemed to be initiated
16by the filing of a letter requesting mediation as required
17under subsection (a) of this Section. The commencement of a new
18municipal fiscal year after the initiation of arbitration
19procedures under this Act, but before the arbitration decision,
20or its enforcement, shall not be deemed to render a dispute
21moot, or to otherwise impair the jurisdiction or authority of
22the arbitration panel or its decision. Increases in rates of
23compensation awarded by the arbitration panel may be effective
24only at the start of the fiscal year next commencing after the
25date of the arbitration award. If a new fiscal year has
26commenced either since the initiation of arbitration

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1procedures under this Act or since any mutually agreed
2extension of the statutorily required period of mediation under
3this Act by the parties to the labor dispute causing a delay in
4the initiation of arbitration, the foregoing limitations shall
5be inapplicable, and such awarded increases may be retroactive
6to the commencement of the fiscal year, any other statute or
7charter provisions to the contrary, notwithstanding. At any
8time the parties, by stipulation, may amend or modify an award
9of arbitration.
10 (k) Orders of the arbitration panel shall be reviewable,
11upon appropriate petition by either the public employer or the
12exclusive bargaining representative, by the circuit court for
13the county in which the dispute arose or in which a majority of
14the affected employees reside, but only for reasons that the
15arbitration panel was without or exceeded its statutory
16authority; the order is arbitrary, or capricious; or the order
17was procured by fraud, collusion or other similar and unlawful
18means. Such petitions for review must be filed with the
19appropriate circuit court within 90 days following the issuance
20of the arbitration order. The pendency of such proceeding for
21review shall not automatically stay the order of the
22arbitration panel. The party against whom the final decision of
23any such court shall be adverse, if such court finds such
24appeal or petition to be frivolous, shall pay reasonable
25attorneys' fees and costs to the successful party as determined
26by said court in its discretion. If said court's decision

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1affirms the award of money, such award, if retroactive, shall
2bear interest at the rate of 12 percent per annum from the
3effective retroactive date.
4 (l) During the pendency of proceedings before the
5arbitration panel, existing wages, hours, and other conditions
6of employment shall not be changed by action of either party
7without the consent of the other but a party may so consent
8without prejudice to his rights or position under this Act. The
9proceedings are deemed to be pending before the arbitration
10panel upon the initiation of arbitration procedures under this
11Act.
12 (m) Security officers of public employers, and Peace
13Officers, Fire Fighters and fire department and fire protection
14district paramedics, covered by this Section may not withhold
15services, nor may public employers lock out or prevent such
16employees from performing services at any time.
17 (n) All of the terms decided upon by the arbitration panel
18shall be included in an agreement to be submitted to the public
19employer's governing body for ratification and adoption by law,
20ordinance or the equivalent appropriate means.
21 The governing body shall review each term decided by the
22arbitration panel. If the governing body fails to reject one or
23more terms of the arbitration panel's decision by a 3/5 vote of
24those duly elected and qualified members of the governing body,
25within 20 days of issuance, or in the case of firefighters
26employed by a state university, at the next regularly scheduled

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1meeting of the governing body after issuance, such term or
2terms shall become a part of the collective bargaining
3agreement of the parties. If the governing body affirmatively
4rejects one or more terms of the arbitration panel's decision,
5it must provide reasons for such rejection with respect to each
6term so rejected, within 20 days of such rejection and the
7parties shall return to the arbitration panel for further
8proceedings and issuance of a supplemental decision with
9respect to the rejected terms. Any supplemental decision by an
10arbitration panel or other decision maker agreed to by the
11parties shall be submitted to the governing body for
12ratification and adoption in accordance with the procedures and
13voting requirements set forth in this Section. The voting
14requirements of this subsection shall apply to all disputes
15submitted to arbitration pursuant to this Section
16notwithstanding any contrary voting requirements contained in
17any existing collective bargaining agreement between the
18parties.
19 (o) If the governing body of the employer votes to reject
20the panel's decision, the parties shall return to the panel
21within 30 days from the issuance of the reasons for rejection
22for further proceedings and issuance of a supplemental
23decision. All reasonable costs of such supplemental proceeding
24including the exclusive representative's reasonable attorney's
25fees, as established by the Board, shall be paid by the
26employer.

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1 (p) Notwithstanding the provisions of this Section the
2employer and exclusive representative may agree to submit
3unresolved disputes concerning wages, hours, terms and
4conditions of employment to an alternative form of impasse
5resolution.
6(Source: P.A. 96-813, eff. 10-30-09.)"; and
7on page 3, in line 8, by deleting "to the Illinois Pension
8Code"; and
9on page 30, below line 25, by inserting the following:
10 "Any payments required to be made by the State pursuant to
11this subsection (c) are expressly subordinated to the payment
12of the principal, interest, and premium, if any, on any bonded
13debt obligation of the State or any other State-created entity,
14either currently outstanding or to be issued, for which the
15source of repayment or security thereon is derived directly or
16indirectly from tax revenues collected by the State or any
17other State-created entity. Payments on such bonded
18obligations include any statutory fund transfers or other
19prefunding mechanisms or formulas set forth, now or hereafter,
20in State law or bond indentures, into debt service funds or
21accounts of the State related to such bonded obligations,
22consistent with the payment schedules associated with such
23obligations."; and

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1on page 66, below line 9, by inserting the following:
2 "Any payments required to be made by the State pursuant to
3this subsection (c) are expressly subordinated to the payment
4of the principal, interest, and premium, if any, on any bonded
5debt obligation of the State or any other State-created entity,
6either currently outstanding or to be issued, for which the
7source of repayment or security thereon is derived directly or
8indirectly from tax revenues collected by the State or any
9other State-created entity. Payments on such bonded
10obligations include any statutory fund transfers or other
11prefunding mechanisms or formulas set forth, now or hereafter,
12in State law or bond indentures, into debt service funds or
13accounts of the State related to such bonded obligations,
14consistent with the payment schedules associated with such
15obligations."; and
16on page 111, below line 6, by inserting the following:
17 "Any payments required to be made by the State pursuant to
18this subsection (b) are expressly subordinated to the payment
19of the principal, interest, and premium, if any, on any bonded
20debt obligation of the State or any other State-created entity,
21either currently outstanding or to be issued, for which the
22source of repayment or security thereon is derived directly or
23indirectly from tax revenues collected by the State or any
24other State-created entity. Payments on such bonded
25obligations include any statutory fund transfers or other

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1prefunding mechanisms or formulas set forth, now or hereafter,
2in State law or bond indentures, into debt service funds or
3accounts of the State related to such bonded obligations,
4consistent with the payment schedules associated with such
5obligations."; and
6on page 164, by replacing lines 4 through 11 with the
7following:
8 "(40 ILCS 5/16-158.2 new)
9 Sec. 16-158.2. Obligations of State; funding guarantee.
10Beginning July 1, 2013, the State shall be"; and
11on page 165, below line 6, by inserting the following:
12 "Any payments required to be made by the State pursuant to
13this Section are expressly subordinated to the payment of the
14principal, interest, and premium, if any, on any bonded debt
15obligation of the State or any other State-created entity,
16either currently outstanding or to be issued, for which the
17source of repayment or security thereon is derived directly or
18indirectly from tax revenues collected by the State or any
19other State-created entity. Payments on such bonded
20obligations include any statutory fund transfers or other
21prefunding mechanisms or formulas set forth, now or hereafter,
22in State law or bond indentures, into debt service funds or
23accounts of the State related to such bonded obligations,

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1consistent with the payment schedules associated with such
2obligations.".
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