SB 1265 — PEN CD-SURS-VARIOUS

SB1265 EngrossedEnrolled LRB101 07893 RPS 52948 b AN ACT concerning public employee benefits.

(1) is a student enrolled in and regularly attending classes in a college or university which is an employer, SB1265 EngrossedEnrolled - 2 - LRB101 07893 RPS 52948 b and is employed on a temporary basis at less than full time;

(b) Any employer may, by filing a written notice with the board, exclude from the definition of "employee" all persons employed pursuant to a federally funded contract entered into SB1265 EngrossedEnrolled - 3 - LRB101 07893 RPS 52948 b after July 1, 1982 with a federal military department in a program providing training in military courses to federal military personnel on a military site owned by the United States Government, if this exclusion is not prohibited by the federally funded contract or federal laws or rules governing the administration of the contract.

If such absences during any period of 12 months exceed 30 work days, SB1265 EngrossedEnrolled - 4 - LRB101 07893 RPS 52948 b the employee status of the person is considered as interrupted as of the 31st work day.

(i) An individual who is employed on a full-time basis as an officer or employee of a statewide teacher organization that serves System participants or an officer of a national teacher organization that serves System participants may participate SB1265 EngrossedEnrolled - 5 - LRB101 07893 RPS 52948 b in the System and shall be deemed an employee, provided that (1) the individual has previously earned creditable service under this Article, (2) the individual files with the System an irrevocable election to become a participant before January 5, 2012 (the effective date of Public Act 97-651) this amendatory Act of the 97th General Assembly, (3) the individual does not receive credit for that employment under any other Article of this Code, and (4) the individual first became a full-time employee of the teacher organization and becomes a participant before January 5, 2012 (the effective date of Public Act 97-651) this amendatory Act of the 97th General Assembly.

However, credit shall not be granted under this subsection for any such prior employment for SB1265 EngrossedEnrolled - 6 - LRB101 07893 RPS 52948 b which the applicant received credit under any other provision of this Code, or during which the applicant was on a leave of absence under Section 15-113.2.

(1) the value of maintenance, board, living quarters, SB1265 EngrossedEnrolled - 7 - LRB101 07893 RPS 52948 b personal laundry, or other allowances furnished in lieu of salary which are considered gross income under the federal Internal Revenue Code of 1986, as amended;

and (3) overseas differential allowances, quarters allowances, post allowances, educational allowances and transportation allowances paid by an employer under a contract with the federal government or its agencies for services rendered in SB1265 EngrossedEnrolled - 8 - LRB101 07893 RPS 52948 b other countries.

If by law, a function of a governmental unit, as defined by Section 20-107, is transferred in whole or in part to an employer, and an employee transfers employment from this SB1265 EngrossedEnrolled - 9 - LRB101 07893 RPS 52948 b governmental unit to such employer within 6 months after the transfer of this function, the service credits in the governmental unit's retirement system which have been validated under Section 20-109 shall be considered in determining eligibility for survivors benefits under this Section.

A surviving spouse whose survivors annuity has been terminated due to remarriage may apply for reinstatement of SB1265 EngrossedEnrolled - 10 - LRB101 07893 RPS 52948 b that annuity.

(c) Each dependent unmarried child under age 18 (under age 22 if a full-time student) of a deceased participant, or of a deceased annuitant who did not take a refund or additional annuity consisting of accumulated survivors insurance contributions or who repaid the refund or additional annuity, shall receive a survivors annuity equal to the sum of (1) 20% SB1265 EngrossedEnrolled - 11 - LRB101 07893 RPS 52948 b of the final rate of earnings, and (2) 10% of the final rate of earnings divided by the number of children entitled to this benefit.

For the purposes of this Section, disability means inability to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment that can be expected to result in death or that has SB1265 EngrossedEnrolled - 12 - LRB101 07893 RPS 52948 b lasted or can be expected to last for a continuous period of at least one year.

The change made to this Section by this amendatory Act of the 91st General Assembly, pertaining to remarriage prior to age 55, applies without regard to whether the deceased SB1265 EngrossedEnrolled - 13 - LRB101 07893 RPS 52948 b participant or annuitant was in service on or after the effective date of this amendatory Act of the 91st General Assembly.

(i) If the sum of the lump sum and total monthly survivor benefits payable under this Section upon the death of an annuitant receiving a retirement annuity or disability retirement annuity amounts to less than the death benefit SB1265 EngrossedEnrolled - 14 - LRB101 07893 RPS 52948 b payable under Section 15-142, the difference shall be paid to the beneficiary of the annuitant who is living on the date that this additional amount becomes payable.

(k) If the Internal Revenue Code of 1986, as amended, requires that the survivors benefits be payable at an age earlier than that specified in this Section the benefits shall begin at the earlier age, in which event, the survivor's beneficiary shall be entitled only to that amount which is equal to the actuarial equivalent of the benefits provided by SB1265 EngrossedEnrolled - 15 - LRB101 07893 RPS 52948 b this Section.