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| | 101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
SB2022 Introduced 2/15/2019, by Sen. Heather A. Steans SYNOPSIS AS INTRODUCED:
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| 40 ILCS 5/7-159 | from Ch. 108 1/2, par. 7-159 |
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Amends the Illinois Municipal Retirement Fund (IMRF) Article of the Illinois Pension Code. Provides that any surviving spouse of an annuitant who (1) retired prior to June 1, 2011, (2) was not married on the date the retirement annuity began, (3) received a specified refund of survivor credits, and (4) died prior to the implementation of Public Act 99-682, which allowed certain annuitants who received a refund of contributions for survivor benefits to elect to repay the refund and have their survivor benefit rights reinstated, may, within a period of one year beginning 5 months after the effective date of the amendatory Act, make an election to re-establish rights to a surviving spouse annuity by paying to the Fund: (1) the total amount of the refund received for survivor credits; and (2) interest thereon at the actuarially assumed rate of return from the date of the refund to the date of payment. Provides that the surviving spouse must also provide documentation proving he or she was married to the annuitant at the time of death and has not subsequently remarried. Provides that the Fund may allow the surviving spouse to repay this refund over a period of not more than 24 months. Provides that, for federal and State tax purposes and to the extent permitted by law, if a surviving spouse pays in monthly installments by reducing the monthly benefit by the amount of the otherwise applicable contribution, the monthly amount by which the surviving spouse's benefit is reduced shall not be treated as a contribution by the surviving spouse but rather as a reduction of the surviving spouse's monthly benefit. Effective immediately.
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| | FISCAL NOTE ACT MAY APPLY | | PENSION IMPACT NOTE ACT MAY APPLY |
| | A BILL FOR |
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| | SB2022 | | LRB101 10996 RPS 56182 b |
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1 | | AN ACT concerning public employee benefits.
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2 | | Be it enacted by the People of the State of Illinois,
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3 | | represented in the General Assembly:
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4 | | Section 5. The Illinois Pension Code is amended by changing |
5 | | 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 |
17 | | this Fund. If the employee annuitant
reenters service and upon |
18 | | subsequent retirement has a spouse who would
qualify for a |
19 | | surviving spouse annuity, the employee annuitant may pay the
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20 | | fund the amount of the refund plus interest at the effective |
21 | | rate at the
date of payment. The payment shall qualify the |
22 | | spouse for a surviving
spouse annuity and the amount paid shall |
23 | | be considered as survivor
contributions.
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