Bill Text: IL SB0037 | 2019-2020 | 101st General Assembly | Enrolled
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Reinserts the provisions of the engrossed bill with the following changes. Provides that the fire chief of a secondary employer shall report any injury, illness, or exposure incurred by a secondary employee during his or her employment to the primary employer's pension fund within 96 hours from the time of the occurrence. Provides that a municipality (instead of a unit of local government) that has established a pension fund under the Downstate Firefighter Article and who employs a full-time firefighter shall be deemed a primary employer with respect to that full-time firefighter. Provides that any municipality (instead of any unit of local government) of 5,000 or more inhabitants that employs or enrolls a firefighter (instead of employs a firefighter) and meets other criteria shall be deemed a secondary employer. Requires a secondary employer to annually prepare a report a report accounting for all hours worked by and wages and salaries (instead of wages and salaries) paid to secondary employee firefighters. Requires a certified copy of the report to be transmitted to the primary employer's pension fund (instead of the primary employer). Removes provisions requiring a secondary employer to make specified contributions to the primary employer's firefighters' pension fund. Makes conforming changes. Effective immediately.
Spectrum: Moderate Partisan Bill (Democrat 13-4)
Status: (Passed) 2019-08-23 - Public Act . . . . . . . . . 101-0522 [SB0037 Detail]
Download: Illinois-2019-SB0037-Enrolled.html
Bill Title: Reinserts the provisions of the engrossed bill with the following changes. Provides that the fire chief of a secondary employer shall report any injury, illness, or exposure incurred by a secondary employee during his or her employment to the primary employer's pension fund within 96 hours from the time of the occurrence. Provides that a municipality (instead of a unit of local government) that has established a pension fund under the Downstate Firefighter Article and who employs a full-time firefighter shall be deemed a primary employer with respect to that full-time firefighter. Provides that any municipality (instead of any unit of local government) of 5,000 or more inhabitants that employs or enrolls a firefighter (instead of employs a firefighter) and meets other criteria shall be deemed a secondary employer. Requires a secondary employer to annually prepare a report a report accounting for all hours worked by and wages and salaries (instead of wages and salaries) paid to secondary employee firefighters. Requires a certified copy of the report to be transmitted to the primary employer's pension fund (instead of the primary employer). Removes provisions requiring a secondary employer to make specified contributions to the primary employer's firefighters' pension fund. Makes conforming changes. Effective immediately.
Spectrum: Moderate Partisan Bill (Democrat 13-4)
Status: (Passed) 2019-08-23 - Public Act . . . . . . . . . 101-0522 [SB0037 Detail]
Download: Illinois-2019-SB0037-Enrolled.html
| |||||||
| |||||||
| |||||||
1 | AN ACT concerning public employee benefits.
| ||||||
2 | Be it enacted by the People of the State of Illinois,
| ||||||
3 | represented in the General Assembly:
| ||||||
4 | Section 5. The Illinois Pension Code is amended by adding | ||||||
5 | Section 4-110.2 and by changing Section 4-118 as follows:
| ||||||
6 | (40 ILCS 5/4-110.2 new) | ||||||
7 | Sec. 4-110.2. Secondary employer injury and exposure | ||||||
8 | reporting. The fire chief of a secondary employer, as described | ||||||
9 | in Section 4-118, shall report any injury, illness, or exposure | ||||||
10 | incurred by a secondary employee during his or her employment | ||||||
11 | to the primary employer's pension fund within 96 hours from the | ||||||
12 | time of the occurrence. The reporting requirements shall be | ||||||
13 | consistent with the recommendations found in Chapters 4, 13, | ||||||
14 | and 14 of the NFPA 1500 Standard on Fire Department | ||||||
15 | Occupational Safety, Health, and Wellness Program.
| ||||||
16 | (40 ILCS 5/4-118) (from Ch. 108 1/2, par. 4-118)
| ||||||
17 | Sec. 4-118. Financing.
| ||||||
18 | (a) The city council or the board of trustees
of the | ||||||
19 | municipality shall annually levy a tax upon all the taxable | ||||||
20 | property
of the municipality at the rate on the dollar which | ||||||
21 | will produce an amount
which, when added to the deductions from | ||||||
22 | the salaries or wages of
firefighters and revenues available |
| |||||||
| |||||||
1 | from other sources, will equal a sum
sufficient to meet the | ||||||
2 | annual actuarial requirements of the pension fund,
as | ||||||
3 | determined by an enrolled actuary employed by the Illinois | ||||||
4 | Department of
Insurance or by an enrolled actuary retained by | ||||||
5 | the pension fund or
municipality. For the purposes of this | ||||||
6 | Section, the annual actuarial
requirements of the pension fund | ||||||
7 | are equal to (1) the normal cost of the
pension fund, or 17.5% | ||||||
8 | of the salaries and wages to be paid to firefighters
for the | ||||||
9 | year involved, whichever is greater, plus (2) an annual amount
| ||||||
10 | sufficient to bring the total assets of the pension fund up to | ||||||
11 | 90% of the total actuarial liabilities of the pension fund by | ||||||
12 | the end of municipal fiscal year 2040, as annually updated and | ||||||
13 | determined by an enrolled actuary employed by the Illinois | ||||||
14 | Department of Insurance or by an enrolled actuary retained by | ||||||
15 | the pension fund or the municipality. In making these | ||||||
16 | determinations, the required minimum employer contribution | ||||||
17 | shall be calculated each year as a level percentage of payroll | ||||||
18 | over the years remaining up to and including fiscal year 2040 | ||||||
19 | and shall be determined under the projected unit credit | ||||||
20 | actuarial cost method. The amount
to be applied towards the | ||||||
21 | amortization of the unfunded accrued liability in any
year | ||||||
22 | shall not be less than the annual amount required to amortize | ||||||
23 | the unfunded
accrued liability, including interest, as a level | ||||||
24 | percentage of payroll over
the number of years remaining in the | ||||||
25 | 40 year amortization period.
| ||||||
26 | (a-2) A municipality that has established a pension fund |
| |||||||
| |||||||
1 | under this Article and who employs a full-time firefighter, as | ||||||
2 | defined in Section 4-106, shall be deemed a primary employer | ||||||
3 | with respect to that full-time firefighter. Any municipality of | ||||||
4 | 5,000 or more inhabitants that employs or enrolls a firefighter | ||||||
5 | while that firefighter continues to earn service credit as a | ||||||
6 | participant in a primary employer's pension fund under this | ||||||
7 | Article shall be deemed a secondary employer and such employees | ||||||
8 | shall be deemed to be secondary employee firefighters. To | ||||||
9 | ensure that the primary employer's pension fund under this | ||||||
10 | Article is aware of additional liabilities and risks to which | ||||||
11 | firefighters are exposed when performing work as firefighters | ||||||
12 | for secondary employers, a secondary employer shall annually | ||||||
13 | prepare a report accounting for all hours worked by and wages | ||||||
14 | and salaries paid to the secondary employee firefighters it | ||||||
15 | receives services from or employs for each fiscal year in which | ||||||
16 | such firefighters are employed and transmit a certified copy of | ||||||
17 | that report to the primary employer's pension fund and the | ||||||
18 | secondary employee firefighter no later than 30 days after the | ||||||
19 | end of any fiscal year in which wages were paid to the | ||||||
20 | secondary employee firefighters. | ||||||
21 | Nothing in this Section shall be construed to allow a | ||||||
22 | secondary employee to qualify for benefits or creditable | ||||||
23 | service for employment as a firefighter for a secondary | ||||||
24 | employer. | ||||||
25 | (a-5) For purposes of determining the required employer | ||||||
26 | contribution to a pension fund, the value of the pension fund's |
| |||||||
| |||||||
1 | assets shall be equal to the actuarial value of the pension | ||||||
2 | fund's assets, which shall be calculated as follows: | ||||||
3 | (1) On March 30, 2011, the actuarial value of a pension | ||||||
4 | fund's assets shall be equal to the market value of the | ||||||
5 | assets as of that date. | ||||||
6 | (2) In determining the actuarial value of the pension | ||||||
7 | fund's assets for fiscal years after March 30, 2011, any | ||||||
8 | actuarial gains or losses from investment return incurred | ||||||
9 | in a fiscal year shall be recognized in equal annual | ||||||
10 | amounts over the 5-year period following that fiscal year. | ||||||
11 | (b) The tax shall be levied and collected in the same | ||||||
12 | manner
as the general taxes of the municipality, and shall be | ||||||
13 | in addition
to all other taxes now or hereafter authorized to | ||||||
14 | be levied upon all
property within the municipality, and in | ||||||
15 | addition to the amount authorized
to be levied for general | ||||||
16 | purposes, under Section 8-3-1 of the Illinois
Municipal Code or | ||||||
17 | under Section 14 of the Fire Protection District Act. The
tax | ||||||
18 | shall be forwarded directly to the treasurer of the board | ||||||
19 | within 30
business days of receipt by the county
(or, in the | ||||||
20 | case of amounts
added to the tax levy under subsection (f), | ||||||
21 | used by the municipality to pay the
employer contributions | ||||||
22 | required under subsection (b-1) of Section 15-155 of
this | ||||||
23 | Code).
| ||||||
24 | (b-5) If a participating municipality fails to transmit to | ||||||
25 | the fund contributions required of it under this Article for | ||||||
26 | more than 90 days after the payment of those contributions is |
| |||||||
| |||||||
1 | due, the fund may, after giving notice to the municipality, | ||||||
2 | certify to the State Comptroller the amounts of the delinquent | ||||||
3 | payments in accordance with any applicable rules of the | ||||||
4 | Comptroller, and the Comptroller must, beginning in fiscal year | ||||||
5 | 2016, deduct and remit to the fund the certified amounts or a | ||||||
6 | portion of those amounts from the following proportions of | ||||||
7 | payments of State funds to the municipality: | ||||||
8 | (1) in fiscal year 2016, one-third of the total amount | ||||||
9 | of any payments of State funds to the municipality; | ||||||
10 | (2) in fiscal year 2017, two-thirds of the total amount | ||||||
11 | of any payments of State funds to the municipality; and | ||||||
12 | (3) in fiscal year 2018 and each fiscal year | ||||||
13 | thereafter, the total amount of any payments of State funds | ||||||
14 | to the municipality. | ||||||
15 | The State Comptroller may not deduct from any payments of | ||||||
16 | State funds to the municipality more than the amount of | ||||||
17 | delinquent payments certified to the State Comptroller by the | ||||||
18 | fund. | ||||||
19 | (c) The board shall make available to the membership and | ||||||
20 | the general public
for inspection and copying at reasonable | ||||||
21 | times the most recent Actuarial
Valuation Balance Sheet and Tax | ||||||
22 | Levy Requirement issued to the fund by the
Department of | ||||||
23 | Insurance.
| ||||||
24 | (d) The firefighters' pension fund shall consist of the | ||||||
25 | following moneys
which shall be set apart by the treasurer of | ||||||
26 | the municipality: (1) all
moneys derived from the taxes levied |
| |||||||
| |||||||
1 | hereunder; (2) contributions
by firefighters as provided under | ||||||
2 | Section 4-118.1; (3) all
rewards in money, fees, gifts, and | ||||||
3 | emoluments that may be paid or given
for or on account of | ||||||
4 | extraordinary service by the fire department or any
member | ||||||
5 | thereof, except when allowed to be retained by competitive | ||||||
6 | awards;
and (4) any money, real estate or personal property | ||||||
7 | received by the board.
| ||||||
8 | (e) For the purposes of this Section, "enrolled actuary" | ||||||
9 | means an actuary:
(1) who is a member of the Society of | ||||||
10 | Actuaries or the American
Academy of Actuaries; and (2) who is | ||||||
11 | enrolled under Subtitle
C of Title III of the Employee | ||||||
12 | Retirement Income Security Act of 1974, or
who has been engaged | ||||||
13 | in providing actuarial services to one or more public
| ||||||
14 | retirement systems for a period of at least 3 years as of July | ||||||
15 | 1, 1983.
| ||||||
16 | (f) The corporate authorities of a municipality that | ||||||
17 | employs a person
who is described in subdivision (d) of Section | ||||||
18 | 4-106 may add to the tax levy
otherwise provided for in this | ||||||
19 | Section an amount equal to the projected cost of
the employer | ||||||
20 | contributions required to be paid by the municipality to the | ||||||
21 | State
Universities Retirement System under subsection (b-1) of | ||||||
22 | Section 15-155 of this
Code. | ||||||
23 | (g) The Commission on Government Forecasting and
| ||||||
24 | Accountability shall conduct a study of all funds established
| ||||||
25 | under this Article and shall report its findings to the General
| ||||||
26 | Assembly on or before January 1, 2013. To the fullest extent |
| |||||||
| |||||||
1 | possible, the study shall include, but not be limited to, the | ||||||
2 | following: | ||||||
3 | (1) fund balances; | ||||||
4 | (2) historical employer contribution rates for each
| ||||||
5 | fund; | ||||||
6 | (3) the actuarial formulas used as a basis for employer
| ||||||
7 | contributions, including the actual assumed rate of return
| ||||||
8 | for each year, for each fund; | ||||||
9 | (4) available contribution funding sources; | ||||||
10 | (5) the impact of any revenue limitations caused by
| ||||||
11 | PTELL and employer home rule or non-home rule status; and | ||||||
12 | (6) existing statutory funding compliance procedures
| ||||||
13 | and funding enforcement mechanisms for all municipal
| ||||||
14 | pension funds.
| ||||||
15 | (Source: P.A. 99-8, eff. 7-9-15.)
| ||||||
16 | Section 90. The State Mandates Act is amended by adding | ||||||
17 | Section 8.43 as follows:
| ||||||
18 | (30 ILCS 805/8.43 new) | ||||||
19 | Sec. 8.43. Exempt mandate. Notwithstanding Sections 6 and 8 | ||||||
20 | of this Act, no reimbursement by the State is required for the | ||||||
21 | implementation of any mandate created by this amendatory Act of | ||||||
22 | the 101st General Assembly.
| ||||||
23 | Section 99. Effective date. This Act takes effect upon | ||||||
24 | becoming law.
|