SB 302 — PEN CD-SERS-LAID OFF EMPLOYEES

*LRB09604280AMC14326b* SB0302 96THEngrossed GENERALLRB096 ASSEMBLY04280 StateAMC of14326 Illinoisb andAN 2010ACT SB0302concerning Introducedpublic 2/6/2009,employee bybenefits. Sen.

Larry K.

Bomke SYNOPSIS AS INTRODUCED:

ILCS 5/14-104 from Ch.

108 1/2, par.

14-104 Amends the State Employee Article of the Illinois Pension Code.

Allows an employee who was laid off but returned to any State employment to establish creditable service for the period of the layoff, provided that (1) the applicant applies for the creditable service within 6 months after the effective date of this amendatory Act, (2) the applicant does not receive credit for that period under any other provision of this Code, (3) at the time of the layoff, the applicant is not in an initial probationary status consistent with the rules of the Department of Central Management applicant under the provisions does not exceed 3 years.

Provides that thehe funding for any new benefit increase created will be provided by employee contributions.

Effective immediately.

LRB096 04280 AMC 14326 b FISCAL NOTE ACT PENSION IMPACT MAY APPLY NOTE ACT MAY APPLY A BILL FOR SB0302 LRB096 04280 AMC 14326 b AN ACT concerning public employee benefits.

(a) Any member may make contributions as required in this Section for any period of service, subsequent to the date of SB0302 Engrossed - 2 - LRB096 04280 AMC 14326 b establishment, but prior to the date of membership.

(e) Any person employed by the United States government or any instrumentality or agency thereof from January 1, 1942 through November 15, 1946 as the result of a transfer from State service by executive order of the President of the United States shall be entitled to prior service credit covering the period from January 1, 1942 through December 31, 1943 as SB0302 Engrossed - 3 - LRB096 04280 AMC 14326 b provided for in this Article and to membership service credit for the period from January 1, 1944 through November 15, 1946 by making the contributions required in this Section.

Upon making the contributions required by this SB0302 Engrossed - 4 - LRB096 04280 AMC 14326 b Section, the member shall be granted the creditable service that would have been received if the waiver had not been executed.

(j) By paying the contributions otherwise required under this Section, plus an amount determined by the Board to be equal to the employer's normal cost of the benefit plus interest, but with all of the interest calculated from the date the employee last became a member of the System or November 19, 1991, whichever is later, to the date of payment, an employee may establish service credit for a period of up to 4 years spent in active military service for which he does not qualify for credit under Section 14-105, provided that (1) he was not dishonorably discharged from such military service, and (2) the amount of service credit established by a member under this subsection (j), when added to the amount of military service SB0302 Engrossed - 5 - LRB096 04280 AMC 14326 b credit granted to the member under subsection (b) of Section 14-105, shall not exceed 5 years.

(l) By paying the contributions otherwise required under this Section, plus an amount determined by the Board to be equal to the employer's normal cost of the benefit plus SB0302 Engrossed - 6 - LRB096 04280 AMC 14326 b interest, a member may establish service credit for periods of less than one year spent on authorized leave of absence from service, provided that (1) the period of leave began on or after January 1, 1982 and (2) any credit established by the member for the period of leave in any other public employee retirement system has been terminated.

(m) Any person who rendered contractual services to a SB0302 Engrossed - 7 - LRB096 04280 AMC 14326 b member of the General Assembly as a worker in the member's district office may establish creditable service for up to 3 years of those contractual services by making the contributions required under this Section.

(p) By paying the contributions otherwise required under SB0302 Engrossed - 8 - LRB096 04280 AMC 14326 b this Section, plus an amount determined by the Board to be equal to the employer's normal cost of the benefit plus interest, a member may establish service credit for a period of up to 8 years during which he or she was employed by the Visually Handicapped Managers of Illinois in a vending program operated under a contractual agreement with the Department of Rehabilitation Services or its successor agency.

(q) By paying the required contributions under this Section, plus an amount determined by the Board to be equal to the employer's normal cost of the benefit plus interest, an employee who was laid off but returned to any State employment under circumstances in which the employee is considered to have been in continuous service for purposes of determining seniority may establish creditable service for the period of the layoff, provided that (1) the applicant applies for the creditable service under this subsection (q) within 6 months after the effective date of this amendatory Act of the 96th 94th General Assembly, (2) the applicant does not receive credit for that period under any other provision of this Code, SB0302 Engrossed - 9 - LRB096 04280 AMC 14326 b (3) at the time of the layoff, the applicant is not in an initial probationary status consistent with the rules of the Department of Central Management Services, and (4) the total amount of creditable service established by the applicant under this subsection (q) does not exceed 3 years.

For service established under this subsection (q), the required employee contribution shall be based on the rate of compensation earned by the employee on the date of returning to employment after the layoff and the contribution rate then in effect, and the required interest shall be calculated at the actuarially assumed rate from the date of returning to employment after the layoff to the date of payment.

SB0302 Engrossed - 10 - LRB096 04280 AMC 14326 b (s) A member who worked as a nurse under a contractual agreement for the Department of Public Aid, or its successor agency, the Department of Human Services, in the Client Assessment Unit and was subsequently determined to be a State employee by the United States Internal Revenue Service and the Illinois Labor Relations Board may establish creditable service for those contractual services by making the contributions required under this Section.