HB 2966 — PEN CD-IMRF-BOARD OF TRUSTEES

HB2966 EngrossedEnrolled LRB100 09048 RPS 19197 b AN ACT concerning public employee benefits.

if it has no participating employees with current earnings, an amount payable which, over a closed period of HB2966 EngrossedEnrolled - 2 - LRB100 09048 RPS 19197 b 20 years for participating municipalities and 10 years for participating instrumentalities, will amortize, at the effective rate for that year, any unfunded obligation.

The percentage of earnings of all the participating employees of all participating municipalities and participating instrumentalities which, if paid over the entire period of their service, will be sufficient when combined with all employee contributions available for the payment of benefits, to provide all annuities for participating employees, and the $3,000 death benefit HB2966 EngrossedEnrolled - 3 - LRB100 09048 RPS 19197 b payable under Sections 7-158 and 7-164, such percentage to be known as the normal cost rate.

The percentage of earnings of the participating employees of all participating municipalities and participating instrumentalities necessary to provide the present value of the net single sum death benefits expected HB2966 EngrossedEnrolled - 4 - LRB100 09048 RPS 19197 b to become payable from the reserve established under Section 7-206 during the year for which this rate is fixed.

The Board may also provide that, in lieu of a separate municipality rate for these HB2966 EngrossedEnrolled - 5 - LRB100 09048 RPS 19197 b employees, a portion of the municipality contributions for such program participants shall be refunded or an extra charge assessed so that the amount of municipality contributions retained or received by the fund for all CETA program participants shall be an amount equal to that which would be provided by the separate municipality contribution rate for all such program participants.

(f) Any municipality which is the recipient of State allocations representing that municipality's contributions for retirement annuity purposes on behalf of its employees as HB2966 EngrossedEnrolled - 6 - LRB100 09048 RPS 19197 b provided in Section 12-21.16 of the Illinois Public Aid Code shall pay the allocations so received to the Board for such purpose.

From the funds subject to allocation among districts and parts of districts pursuant to the School Code, the trustees HB2966 EngrossedEnrolled - 7 - LRB100 09048 RPS 19197 b shall withhold the proportionate share of the liability for municipality contributions imposed upon such districts by this Section, in respect to such township treasurers and employees and remit the same to the Board.

Delinquent payments of HB2966 EngrossedEnrolled - 8 - LRB100 09048 RPS 19197 b contributions due under this Section may, with interest, be recovered by civil action against the participating municipalities or participating instrumentalities.

(k) If the amount of a participating employee's reported HB2966 EngrossedEnrolled - 9 - LRB100 09048 RPS 19197 b earnings for any of the 12-month periods used to determine the final rate of earnings exceeds the employee's 12 month reported earnings with the same employer for the previous year by the greater of 6% or 1.5 times the annual increase in the Consumer Price Index-U, as established by the United States Department of Labor for the preceding September, the participating municipality or participating instrumentality that paid those earnings shall pay to the Fund, in addition to any other contributions required under this Article, the present value of the increase in the pension resulting from the portion of the increase in reported earnings salary that is in excess of the greater of 6% or 1.5 times the annual increase in the Consumer Price Index-U, as determined by the Fund.

Upon receiving a timely application for HB2966 EngrossedEnrolled - 10 - LRB100 09048 RPS 19197 b recalculation, the fund shall review the application and, if appropriate, recalculate the amount due.

This subsection (k) does not apply to earnings increases paid to individuals under contracts or collective bargaining agreements entered into, amended, or renewed before January 1, 2012 (the effective date of Public Act 97-609), earnings increases paid to members who are 10 years or more from retirement eligibility, or earnings increases resulting from HB2966 EngrossedEnrolled - 11 - LRB100 09048 RPS 19197 b an increase in the number of hours required to be worked.

HB2966 EngrossedEnrolled - 12 - LRB100 09048 RPS 19197 b 1.

HB2966 EngrossedEnrolled - 13 - LRB100 09048 RPS 19197 b (f) The trustees shall fill any vacancy in the board by appointment, for the period until the next election of trustees, or, if the remaining term is less than 2 years, for the remainder of the term, and until his successor has been elected and qualified.