Senate Bill 3538 passed
Posted: Fri Dec 03, 2010 10:54 pmFrom: Michael K. Shields [mailto:mikeshields1@yahoo.com]
Sent: Thursday, December 02, 2010 12:37 PM
Subject: Senate Bill 3538 passed (pdf version included)
This bill is a win for the solvency of the Police and Fire Pension Funds throughout the State of Illinois. The bill places all Illinois Police and Fire Funds on the same level playing field in obtaining contributions from the municipalities. For the Chicago Police and Fire Funds, the City will have to begin paying based on the ARC rather than the minimum requirement of our 2:1 employer to employee multiplier. The contributions are enforceable.
The Legislature has opened the door for a trailer bill in the next session (or a future legislative session). The fight will continue in the future to not allow the City to restructure the Actuarial Required Contributions (ARC) by being given relief in 2015.
The big losses: two-tiered pension structure for future hires only after January 1, 2011-no one wants to see this happen to our future fellow brother and sister officers. There was no stopping this two-tiered train that left the station last session. The pressure was far too great on the Legislature to stop a two-tiered system. Other negatives: no 3% COLA for those born after January 1, 1955. No increase for widows (the other funds have 66 2/3 widows annuity).
Despite a huge objection from Mayor Daley, Senate President Cullerton and Speaker Madigan openly challenged the Mayor's power in Springfield by forcing this funding mechanism on the City. This was a pivotal measure by the Illinois Legislature to provide a solution to the mess created by the severe underfunding throughout Daley's tenure.
Here is the Senate voting list:
http://www.ilga.gov/legislation/votehis ... 16000C.pdf
You may view the full text of the bill in pdf format here –
http://www.ilga.gov/legislation/96/SB/P ... ham003.pdf
Sent: Thursday, December 02, 2010 12:37 PM
Subject: Senate Bill 3538 passed (pdf version included)
This bill is a win for the solvency of the Police and Fire Pension Funds throughout the State of Illinois. The bill places all Illinois Police and Fire Funds on the same level playing field in obtaining contributions from the municipalities. For the Chicago Police and Fire Funds, the City will have to begin paying based on the ARC rather than the minimum requirement of our 2:1 employer to employee multiplier. The contributions are enforceable.
The Legislature has opened the door for a trailer bill in the next session (or a future legislative session). The fight will continue in the future to not allow the City to restructure the Actuarial Required Contributions (ARC) by being given relief in 2015.
The big losses: two-tiered pension structure for future hires only after January 1, 2011-no one wants to see this happen to our future fellow brother and sister officers. There was no stopping this two-tiered train that left the station last session. The pressure was far too great on the Legislature to stop a two-tiered system. Other negatives: no 3% COLA for those born after January 1, 1955. No increase for widows (the other funds have 66 2/3 widows annuity).
Despite a huge objection from Mayor Daley, Senate President Cullerton and Speaker Madigan openly challenged the Mayor's power in Springfield by forcing this funding mechanism on the City. This was a pivotal measure by the Illinois Legislature to provide a solution to the mess created by the severe underfunding throughout Daley's tenure.
Here is the Senate voting list:
http://www.ilga.gov/legislation/votehis ... 16000C.pdf
You may view the full text of the bill in pdf format here –
http://www.ilga.gov/legislation/96/SB/P ... ham003.pdf