State Codes and Statutes

Statutes > Illinois > Chapter40 > 638 > 004000050HArt_17


      (40 ILCS 5/Art. 17 heading)
ARTICLE 17. PUBLIC SCHOOL TEACHERS' PENSION AND RETIREMENT FUND‑‑CITIES OF
OVER 500,000 INHABITANTS

    (40 ILCS 5/17‑101) (from Ch. 108 1/2, par. 17‑101)
    Sec. 17‑101. Creation of fund.
    In each city with a population over 500,000, there is created a Public School Teachers' Pension and Retirement Fund to be maintained and administered in the manner prescribed in this Article and to be known as the Public School Teachers' Pension and Retirement Fund of ....(city).
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑102) (from Ch. 108 1/2, par. 17‑102)
    Sec. 17‑102. Terms defined.
    The terms used in this Article shall have the meanings ascribed to them in Sections 17‑‑103 to 17‑‑113, inclusive, except when the context otherwise requires.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑103) (from Ch. 108 1/2, par. 17‑103)
    Sec. 17‑103. Actuarial equivalent.
    "Actuarial equivalent": A pension equal to the value of another sum or pension when computed according to the actuarial tables and rate of interest in use by the board.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑104) (from Ch. 108 1/2, par. 17‑104)
    Sec. 17‑104. Board.
    "Board": Board of Trustees of the Public School Teachers' Pension and Retirement Fund of ....(city) as created in this Article.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑105) (from Ch. 108 1/2, par. 17‑105)
    Sec. 17‑105. Board of Education.
    "Board of Education": The Board of Education in a city in which the fund provided by this Article is maintained and operated.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑105.1)
    Sec. 17‑105.1. Employer. "Employer": The Board of Education and a charter school as defined under the provisions of Section 27a‑5 of the School Code.
(Source: P.A. 90‑566, eff. 1‑2‑98.)

    (40 ILCS 5/17‑106) (from Ch. 108 1/2, par. 17‑106)
    Sec. 17‑106. Contributor, member or teacher. "Contributor", "member" or "teacher": All members of the teaching force of the city, including principals, assistant principals, the general superintendent of schools, deputy superintendents of schools, associate superintendents of schools, assistant and district superintendents of schools, members of the Board of Examiners, all other persons whose employment requires a teaching certificate issued under the laws governing the certification of teachers, any educational, administrative, professional, or other staff employed in a charter school operating in compliance with the Charter Schools Law who is certified under the law governing the certification of teachers, and employees of the Board, but excluding persons contributing concurrently to any other public employee pension system in Illinois for the same employment or receiving retirement pensions under another Article of this Code for that same employment, persons employed on an hourly basis, and persons receiving pensions from the Fund who are employed temporarily by an Employer and not on an annual basis.
    In the case of a person who has been making contributions and otherwise participating in this Fund prior to the effective date of this amendatory Act of the 91st General Assembly, and whose right to participate in the Fund is established or confirmed by this amendatory Act, such prior participation in the Fund, including all contributions previously made and service credits previously earned by the person, are hereby validated.
    The changes made to this Section and Section 17‑149 by this amendatory Act of the 92nd General Assembly apply without regard to whether the person was in service on or after the effective date of this amendatory Act, notwithstanding Sections 1‑103.1 and 17‑157.
(Source: P.A. 91‑887, eff. 7‑6‑00; 92‑416, eff. 8‑17‑01; 92‑599, eff. 6‑28‑02.)

    (40 ILCS 5/17‑106.1)
    Sec. 17‑106.1. Administrator. Administrator means a member who (i) is employed in a position that requires him or her to hold a Type 75 Certificate issued by the State Teacher Certification Board, (ii) is not on the Chicago teachers' or the Chicago charter school teachers' salary schedule, or (iii) is paid on an administrative payroll.
(Source: P.A. 94‑514, eff. 8‑10‑05; 94‑912, eff. 6‑23‑06.)

    (40 ILCS 5/17‑107) (from Ch. 108 1/2, par. 17‑107)
    Sec. 17‑107. Creditable service.
    "Creditable service": Service for which pension credits have not been validated concurrently with its rendition, but which may be validated for pension purposes upon compliance with the conditions prescribed in this Article.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑108) (from Ch. 108 1/2, par. 17‑108)
    Sec. 17‑108. Fiscal year and school year.
    "Fiscal year" and "school year": Beginning July 1, 1999, the period beginning on the 1st day of July of one calendar year and ending on the 30th day of June of the next calendar year. Each fiscal year and each school year shall be designated for convenience with the same number as the calendar year in which that fiscal year or school year ends. The fiscal year which begins September 1, 1998 shall end June 30, 1999.
(Source: P.A. 90‑548, eff. 12‑4‑97.)

    (40 ILCS 5/17‑109) (from Ch. 108 1/2, par. 17‑109)
    Sec. 17‑109. Fund.
    "Fund": The Public School Teachers' Pension and Retirement Fund of ....(city).
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑109.1) (from Ch. 108 1/2, par. 17‑109.1)
    Sec. 17‑109.1. Pension deferred.
    "Pension deferred": A pension of a sum determined on termination of service but payable upon the expiration of a fixed period of time, provided the person concerned is alive at such date. All such pensions shall be calculated in accordance with the laws in effect at the date of termination of service.
(Source: P.A. 83‑792.)

    (40 ILCS 5/17‑109.2) (from Ch. 108 1/2, par. 17‑109.2)
    Sec. 17‑109.2. Pension pending period.
    "Pension pending period": The time required to process all details attendant on the granting of a pension after (1) filing an application therefor and (2) official termination of service.
(Source: P.A. 83‑792.)

    (40 ILCS 5/17‑110) (from Ch. 108 1/2, par. 17‑110)
    Sec. 17‑110. Pension period.
    "Pension period": All time during which service is creditable for pension purposes pursuant to this Article.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑111) (from Ch. 108 1/2, par. 17‑111)
    Sec. 17‑111. Reversionary pension.
    "Reversionary pension": A pension computed on an actuarially equated basis and payable to a contributor's beneficiary designated under a prescribed option before retirement, commencing upon the death of the contributor after retirement on pension and continuing thereafter during the life of the beneficiary.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑111.1) (from Ch. 108 1/2, par. 17‑111.1)
    Sec. 17‑111.1. Gender.
    Whenever used in this Act, the masculine gender shall be understood to include the feminine gender.
(Source: P. A. 78‑1129.)

    (40 ILCS 5/17‑112) (from Ch. 108 1/2, par. 17‑112)
    Sec. 17‑112. Supplementary payment.
    "Supplementary payment": The payment from the retired teachers' supplementary payment fund necessary to increase a retired teacher's service or disability retirement pension to the amount provided in Section 17‑‑154.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑113) (from Ch. 108 1/2, par. 17‑113)
    Sec. 17‑113. Validated service.
    "Validated service": Service accredited for pension purposes under this Article.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑114) (from Ch. 108 1/2, par. 17‑114)
    Sec. 17‑114. Computation of service. When computing validated service, 10 months or more shall constitute one year of service unless a lesser number of months is established as a school year by an Employer. Salary representing 5 days' or more employment paid in a semi‑monthly or bi‑weekly payroll period, whichever the case may be, shall be considered for the purpose of computing service credit and shall entitle a contributor to 1/2 month of service. When computing total service rendered, 3 to 10 days' employment in the final total of such service shall entitle a contributor to 1/2 month of service.
(Source: P.A. 90‑566, eff. 1‑2‑98.)

    (40 ILCS 5/17‑114.1) (from Ch. 108 1/2, par. 17‑114.1)
    Sec. 17‑114.1. (a) Any active member of the General Assembly Retirement System may apply for transfer of his credits and creditable service accumulated under this Fund to the General Assembly System. Such credits and creditable service shall be transferred forthwith. Payment by this Fund to the General Assembly Retirement System shall be made at the same time and shall consist of:
    (1) the amounts accumulated to the credit of the applicant, including interest, on the books of the Fund on the date of transfer, but excluding any additional or optional credits, which credits shall be refunded to the applicant; and
    (2) employer credits computed and credited under this Article including interest, on the books of the Fund on the date the member terminated service under the Fund. Participation in this Fund as to any credits transferred under this Section shall terminate on the date of transfer.
    (b) An active member of the General Assembly may reinstate service and service credits terminated upon receipt of a separation benefit, by payment to the Fund of the amount of the separation benefit plus interest thereon to the date of payment.
(Source: P.A. 81‑1128.)

    (40 ILCS 5/17‑114.2) (from Ch. 108 1/2, par. 17‑114.2)
    Sec. 17‑114.2. Transfer of creditable service to Article 8, 9 or 13 Fund.
    (a) Any city officer as defined in Section 8‑243.2 of this Code, any county officer elected by vote of the people who is a participant in the pension fund established under Article 9 of this Code, and any elected sanitary district commissioner who is a participant in a pension fund established under Article 13 of this Code, may apply for transfer of his credits and creditable service accumulated under this Fund to such Article 8, 9 or 13 fund. Such creditable service shall be transferred forthwith. Payment by this Fund to the Article 8, 9 or 13 fund shall be made at the same time and shall consist of:
        (1) the amounts accumulated to the credit of the
     applicant, including interest, on the books of the Fund on the date of transfer, but excluding any additional or optional credits, which credits shall be refunded to the applicant; and
        (2) employer contributions computed by the Board and
     credited to the applicant under this Article, including interest, on the books of the Fund on the date the applicant terminated service under the Fund.
    Participation in this Fund as to any credits transferred under this Section shall terminate on the date of transfer.
    (b) Any such elected city officer, county officer or sanitary district commissioner may reinstate credits and creditable service terminated upon receipt of a separation benefit, by payment to the Fund of the amount of the separation benefit plus interest thereon to the date of payment.
(Source: P.A. 85‑964; 86‑1488.)

    (40 ILCS 5/17‑114.3) (from Ch. 108 1/2, par. 17‑114.3)
    Sec. 17‑114.3. (a) Persons otherwise required or eligible to participate in the Fund who elect to continue participation in the General Assembly System under Section 2‑117.1 may not participate in the Fund for the duration of such continued participation under Section 2‑117.1.
    (b) Upon terminating such continued participation, a person may transfer credits and creditable service accumulated under Section 2‑117.1 to this Fund, upon payment to the Fund of the amount by which (1) the employer and employee contributions that would have been required if he had participated in this Fund during the period for which credit under Section 2‑117.1 is being transferred, plus interest thereon at 6% per annum compounded annually from the date of such participation to the date of payment, exceeds (2) the amounts actually transferred under that Section to the Fund.
(Source: P.A. 86‑272.)

    (40 ILCS 5/17‑115) (from Ch. 108 1/2, par. 17‑115)
    Sec. 17‑115. Eligibility for service retirement pension.
    (a) The Board shall find a contributor eligible for service retirement pension when he has:
        (1) Left the employment of an Employer after
     completing 5 or more years of service.
        (2) Contributed to the Fund the total sums provided
     in this Article.
        (3) Contributed as a member of the teaching force in
     the public schools of the City or to the State Universities Retirement System or to the Teachers' Retirement System of the State of Illinois during the last 5 years of his term of service.
        (4) Filed a written application for pension.
    (b) In computing the years of service for which annuity is granted, the following conditions shall apply:
        (1) No more than 10 years of teaching service in
     public schools of the several states or in schools operated by or under the auspices of the United States shall be allowed. This maximum shall be reduced by the service credit which is validated under paragraph (i) of Section 15‑113 and paragraph (3) of Section 16‑127 of this Code. Three‑fifths of the term of service for which an annuity is granted shall have been rendered in the public schools of the city. No portion of any such service shall be included in the total period of service for which a pension is payable or paid by some other public retirement system; provided that this shall not apply to any benefit payable only after the teacher's death or to any compensation or annuity paid by an employer after retirement from active service.
        (2) Up to 5 years of military active service, if
     preceded by service as a teacher under this Fund or under Article 16, shall be included in the total period of service even though it can otherwise be used in the computation of a pension or other benefit provided for service in any branch of the armed forces of the United States.
(Source: P.A. 90‑32, eff. 6‑27‑97; 90‑566, eff. 1‑2‑98.)

    (40 ILCS 5/17‑116) (from Ch. 108 1/2, par. 17‑116)
    Sec. 17‑116. Service retirement pension.
    (a) Each teacher having 20 years of service upon attainment of age 55, or who thereafter attains age 55 shall be entitled to a service retirement pension upon or after attainment of age 55; and each teacher in service on or after July 1, 1971, with 5 or more but less than 20 years of service shall be entitled to receive a service retirement pension upon or after attainment of age 62.
    (b) The service retirement pension for a teacher who retires on or after June 25, 1971, at age 60 or over, shall be calculated as follows:
        (1) For creditable service earned before July 1,
     1998 that has not been augmented under Section 17‑119.1: 1.67% for each of the first 10 years of service; 1.90% for each of the next 10 years of service; 2.10% for each year of service in excess of 20 but not exceeding 30; and 2.30% for each year of service in excess of 30, based upon average salary as herein defined.
        (2) For creditable service earned on or after July
     1, 1998 by a member who has at least 30 years of creditable service on July 1, 1998 and who does not elect to augment service under Section 17‑119.1: 2.3% of average salary for each year of creditable service earned on or after July 1, 1998.
        (3) For all other creditable service: 2.2% of
     average salary for each year of creditable service.
    (c) When computing such service retirement pensions, the following conditions shall apply:
        1. Average salary shall consist of the average
     annual rate of salary for the 4 consecutive years of validated service within the last 10 years of service when such average annual rate was highest. In the determination of average salary for retirement allowance purposes, for members who commenced employment after August 31, 1979, that part of the salary for any year shall be excluded which exceeds the annual full‑time salary rate for the preceding year by more than 20%. In the case of a member who commenced employment before August 31, 1979 and who receives salary during any year after September 1, 1983 which exceeds the annual full time salary rate for the preceding year by more than 20%, an Employer and other employers of eligible contributors as defined in Section 17‑106 shall pay to the Fund an amount equal to the present value of the additional service retirement pension resulting from such excess salary. The present value of the additional service retirement pension shall be computed by the Board on the basis of actuarial tables adopted by the Board. If a member elects to receive a pension from this Fund provided by Section 20‑121, his salary under the State Universities Retirement System and the Teachers' Retirement System of the State of Illinois shall be considered in determining such average salary. Amounts paid after the effective date of this amendatory Act of 1991 for unused vacation time earned after that effective date shall not under any circumstances be included in the calculation of average salary or the annual rate of salary for the purposes of this Article.
        2. Proportionate credit shall be given for validated
     service of less than one year.
        3. For retirement at age 60 or over the pension
     shall be payable at the full rate.
        4. For separation from service below age 60 to a
     minimum age of 55, the pension shall be discounted at the rate of 1/2 of one per cent for each month that the age of the contributor is less than 60, but a teacher may elect to defer the effective date of pension in order to eliminate or reduce this discount. This discount shall not be applicable to any participant who has at least 34 years of service or a retirement pension of at least 74.6% of average salary on the date the retirement annuity begins.
        5. No additional pension shall be granted for
     service exceeding 45 years. Beginning June 26, 1971 no pension shall exceed the greater of $1,500 per month or 75% of average salary as herein defined.
        6. Service retirement pensions shall begin on the
     effective date of resignation, retirement, the day following the close of the payroll period for which service credit was validated, or the time the person resigning or retiring attains age 55, or on a date elected by the teacher, whichever shall be latest.
        7. A member who is eligible to receive a retirement
     pension of at least 74.6% of average salary and will attain age 55 on or before December 31 during the year which commences on July 1 shall be deemed to attain age 55 on the preceding June 1.
        8. A member retiring after the effective date of
     this amendatory Act of 1998 shall receive a pension equal to 75% of average salary if the member is qualified to receive a retirement pension equal to at least 74.6% of average salary under this Article or as proportional annuities under Article 20 of this Code.
(Source: P.A. 90‑566, eff. 1‑2‑98; 90‑582, eff. 5‑27‑98.)

    (40 ILCS 5/17‑116.1)(from Ch. 108 1/2, par. 17‑116.1)
    Sec. 17‑116.1. Early retirement without discount.
    (a) A member retiring after June 1, 1980 and before June 30, 1995 and within 6 months of the last day of teaching for which retirement contributions were required, may elect at the time of application to make a one time employee contribution to the system and thereby avoid the early retirement reduction in allowance specified in paragraph (4) of Section 17‑116 of this Article. The exercise of the election shall obligate the last Employer to also make a one time non‑refundable contribution to the Fund.
    (b) Subject to authorization by the Employer as provided in subsection (c), a member retiring on or after June 30, 1995 and on or before June 30, 2010 and within 6 months of the last day of teaching for which retirement contributions were required may elect at the time of application to make a one‑time employee contribution to the Fund and thereby avoid the early retirement reduction in allowance specified in paragraph (4) of Section 17‑116. The exercise of the election shall obligate the last Employer to also make a one‑time nonrefundable contribution to the Fund.
    (c) The benefits provided in subsection (b) are available only to members who retire, during a specified period, from employment with an Employer that has adopted and filed with the Board a resolution expressly providing for the creation of an early retirement without discount program under this Section for that period.
    The Employer has the full discretion and authority to determine whether an early retirement without discount program is in its best interest and to provide such a program to its eligible employees in accordance with this Section. The Employer may decide to authorize such a program for one or more of the following periods: for the period beginning July 1, 1997 and ending June 30, 1998, in which case the resolution must be adopted by January 1, 1998; for the period beginning July 1, 1998 and ending June 30, 1999, in which case the resolution must be adopted by March 31, 1998; for the period beginning July 1, 1999 and ending June 30, 2000, in which case the resolution must be adopted by March 31, 1999; for the period beginning July 1, 2000 and ending June 30, 2001, in which case the resolution must be adopted by March 31, 2000; for the period beginning July 1, 2001 and ending June 30, 2002, in which case the resolution must be adopted by March 31, 2001; for the period beginning July 1, 2002 and ending June 30, 2003, in which case the resolution must be adopted by March 31, 2002; for the period beginning July 1, 2003 and ending June 30, 2004, in which case the resolution must be adopted by March 31, 2003; for

State Codes and Statutes

Statutes > Illinois > Chapter40 > 638 > 004000050HArt_17


      (40 ILCS 5/Art. 17 heading)
ARTICLE 17. PUBLIC SCHOOL TEACHERS' PENSION AND RETIREMENT FUND‑‑CITIES OF
OVER 500,000 INHABITANTS

    (40 ILCS 5/17‑101) (from Ch. 108 1/2, par. 17‑101)
    Sec. 17‑101. Creation of fund.
    In each city with a population over 500,000, there is created a Public School Teachers' Pension and Retirement Fund to be maintained and administered in the manner prescribed in this Article and to be known as the Public School Teachers' Pension and Retirement Fund of ....(city).
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑102) (from Ch. 108 1/2, par. 17‑102)
    Sec. 17‑102. Terms defined.
    The terms used in this Article shall have the meanings ascribed to them in Sections 17‑‑103 to 17‑‑113, inclusive, except when the context otherwise requires.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑103) (from Ch. 108 1/2, par. 17‑103)
    Sec. 17‑103. Actuarial equivalent.
    "Actuarial equivalent": A pension equal to the value of another sum or pension when computed according to the actuarial tables and rate of interest in use by the board.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑104) (from Ch. 108 1/2, par. 17‑104)
    Sec. 17‑104. Board.
    "Board": Board of Trustees of the Public School Teachers' Pension and Retirement Fund of ....(city) as created in this Article.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑105) (from Ch. 108 1/2, par. 17‑105)
    Sec. 17‑105. Board of Education.
    "Board of Education": The Board of Education in a city in which the fund provided by this Article is maintained and operated.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑105.1)
    Sec. 17‑105.1. Employer. "Employer": The Board of Education and a charter school as defined under the provisions of Section 27a‑5 of the School Code.
(Source: P.A. 90‑566, eff. 1‑2‑98.)

    (40 ILCS 5/17‑106) (from Ch. 108 1/2, par. 17‑106)
    Sec. 17‑106. Contributor, member or teacher. "Contributor", "member" or "teacher": All members of the teaching force of the city, including principals, assistant principals, the general superintendent of schools, deputy superintendents of schools, associate superintendents of schools, assistant and district superintendents of schools, members of the Board of Examiners, all other persons whose employment requires a teaching certificate issued under the laws governing the certification of teachers, any educational, administrative, professional, or other staff employed in a charter school operating in compliance with the Charter Schools Law who is certified under the law governing the certification of teachers, and employees of the Board, but excluding persons contributing concurrently to any other public employee pension system in Illinois for the same employment or receiving retirement pensions under another Article of this Code for that same employment, persons employed on an hourly basis, and persons receiving pensions from the Fund who are employed temporarily by an Employer and not on an annual basis.
    In the case of a person who has been making contributions and otherwise participating in this Fund prior to the effective date of this amendatory Act of the 91st General Assembly, and whose right to participate in the Fund is established or confirmed by this amendatory Act, such prior participation in the Fund, including all contributions previously made and service credits previously earned by the person, are hereby validated.
    The changes made to this Section and Section 17‑149 by this amendatory Act of the 92nd General Assembly apply without regard to whether the person was in service on or after the effective date of this amendatory Act, notwithstanding Sections 1‑103.1 and 17‑157.
(Source: P.A. 91‑887, eff. 7‑6‑00; 92‑416, eff. 8‑17‑01; 92‑599, eff. 6‑28‑02.)

    (40 ILCS 5/17‑106.1)
    Sec. 17‑106.1. Administrator. Administrator means a member who (i) is employed in a position that requires him or her to hold a Type 75 Certificate issued by the State Teacher Certification Board, (ii) is not on the Chicago teachers' or the Chicago charter school teachers' salary schedule, or (iii) is paid on an administrative payroll.
(Source: P.A. 94‑514, eff. 8‑10‑05; 94‑912, eff. 6‑23‑06.)

    (40 ILCS 5/17‑107) (from Ch. 108 1/2, par. 17‑107)
    Sec. 17‑107. Creditable service.
    "Creditable service": Service for which pension credits have not been validated concurrently with its rendition, but which may be validated for pension purposes upon compliance with the conditions prescribed in this Article.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑108) (from Ch. 108 1/2, par. 17‑108)
    Sec. 17‑108. Fiscal year and school year.
    "Fiscal year" and "school year": Beginning July 1, 1999, the period beginning on the 1st day of July of one calendar year and ending on the 30th day of June of the next calendar year. Each fiscal year and each school year shall be designated for convenience with the same number as the calendar year in which that fiscal year or school year ends. The fiscal year which begins September 1, 1998 shall end June 30, 1999.
(Source: P.A. 90‑548, eff. 12‑4‑97.)

    (40 ILCS 5/17‑109) (from Ch. 108 1/2, par. 17‑109)
    Sec. 17‑109. Fund.
    "Fund": The Public School Teachers' Pension and Retirement Fund of ....(city).
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑109.1) (from Ch. 108 1/2, par. 17‑109.1)
    Sec. 17‑109.1. Pension deferred.
    "Pension deferred": A pension of a sum determined on termination of service but payable upon the expiration of a fixed period of time, provided the person concerned is alive at such date. All such pensions shall be calculated in accordance with the laws in effect at the date of termination of service.
(Source: P.A. 83‑792.)

    (40 ILCS 5/17‑109.2) (from Ch. 108 1/2, par. 17‑109.2)
    Sec. 17‑109.2. Pension pending period.
    "Pension pending period": The time required to process all details attendant on the granting of a pension after (1) filing an application therefor and (2) official termination of service.
(Source: P.A. 83‑792.)

    (40 ILCS 5/17‑110) (from Ch. 108 1/2, par. 17‑110)
    Sec. 17‑110. Pension period.
    "Pension period": All time during which service is creditable for pension purposes pursuant to this Article.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑111) (from Ch. 108 1/2, par. 17‑111)
    Sec. 17‑111. Reversionary pension.
    "Reversionary pension": A pension computed on an actuarially equated basis and payable to a contributor's beneficiary designated under a prescribed option before retirement, commencing upon the death of the contributor after retirement on pension and continuing thereafter during the life of the beneficiary.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑111.1) (from Ch. 108 1/2, par. 17‑111.1)
    Sec. 17‑111.1. Gender.
    Whenever used in this Act, the masculine gender shall be understood to include the feminine gender.
(Source: P. A. 78‑1129.)

    (40 ILCS 5/17‑112) (from Ch. 108 1/2, par. 17‑112)
    Sec. 17‑112. Supplementary payment.
    "Supplementary payment": The payment from the retired teachers' supplementary payment fund necessary to increase a retired teacher's service or disability retirement pension to the amount provided in Section 17‑‑154.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑113) (from Ch. 108 1/2, par. 17‑113)
    Sec. 17‑113. Validated service.
    "Validated service": Service accredited for pension purposes under this Article.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑114) (from Ch. 108 1/2, par. 17‑114)
    Sec. 17‑114. Computation of service. When computing validated service, 10 months or more shall constitute one year of service unless a lesser number of months is established as a school year by an Employer. Salary representing 5 days' or more employment paid in a semi‑monthly or bi‑weekly payroll period, whichever the case may be, shall be considered for the purpose of computing service credit and shall entitle a contributor to 1/2 month of service. When computing total service rendered, 3 to 10 days' employment in the final total of such service shall entitle a contributor to 1/2 month of service.
(Source: P.A. 90‑566, eff. 1‑2‑98.)

    (40 ILCS 5/17‑114.1) (from Ch. 108 1/2, par. 17‑114.1)
    Sec. 17‑114.1. (a) Any active member of the General Assembly Retirement System may apply for transfer of his credits and creditable service accumulated under this Fund to the General Assembly System. Such credits and creditable service shall be transferred forthwith. Payment by this Fund to the General Assembly Retirement System shall be made at the same time and shall consist of:
    (1) the amounts accumulated to the credit of the applicant, including interest, on the books of the Fund on the date of transfer, but excluding any additional or optional credits, which credits shall be refunded to the applicant; and
    (2) employer credits computed and credited under this Article including interest, on the books of the Fund on the date the member terminated service under the Fund. Participation in this Fund as to any credits transferred under this Section shall terminate on the date of transfer.
    (b) An active member of the General Assembly may reinstate service and service credits terminated upon receipt of a separation benefit, by payment to the Fund of the amount of the separation benefit plus interest thereon to the date of payment.
(Source: P.A. 81‑1128.)

    (40 ILCS 5/17‑114.2) (from Ch. 108 1/2, par. 17‑114.2)
    Sec. 17‑114.2. Transfer of creditable service to Article 8, 9 or 13 Fund.
    (a) Any city officer as defined in Section 8‑243.2 of this Code, any county officer elected by vote of the people who is a participant in the pension fund established under Article 9 of this Code, and any elected sanitary district commissioner who is a participant in a pension fund established under Article 13 of this Code, may apply for transfer of his credits and creditable service accumulated under this Fund to such Article 8, 9 or 13 fund. Such creditable service shall be transferred forthwith. Payment by this Fund to the Article 8, 9 or 13 fund shall be made at the same time and shall consist of:
        (1) the amounts accumulated to the credit of the
     applicant, including interest, on the books of the Fund on the date of transfer, but excluding any additional or optional credits, which credits shall be refunded to the applicant; and
        (2) employer contributions computed by the Board and
     credited to the applicant under this Article, including interest, on the books of the Fund on the date the applicant terminated service under the Fund.
    Participation in this Fund as to any credits transferred under this Section shall terminate on the date of transfer.
    (b) Any such elected city officer, county officer or sanitary district commissioner may reinstate credits and creditable service terminated upon receipt of a separation benefit, by payment to the Fund of the amount of the separation benefit plus interest thereon to the date of payment.
(Source: P.A. 85‑964; 86‑1488.)

    (40 ILCS 5/17‑114.3) (from Ch. 108 1/2, par. 17‑114.3)
    Sec. 17‑114.3. (a) Persons otherwise required or eligible to participate in the Fund who elect to continue participation in the General Assembly System under Section 2‑117.1 may not participate in the Fund for the duration of such continued participation under Section 2‑117.1.
    (b) Upon terminating such continued participation, a person may transfer credits and creditable service accumulated under Section 2‑117.1 to this Fund, upon payment to the Fund of the amount by which (1) the employer and employee contributions that would have been required if he had participated in this Fund during the period for which credit under Section 2‑117.1 is being transferred, plus interest thereon at 6% per annum compounded annually from the date of such participation to the date of payment, exceeds (2) the amounts actually transferred under that Section to the Fund.
(Source: P.A. 86‑272.)

    (40 ILCS 5/17‑115) (from Ch. 108 1/2, par. 17‑115)
    Sec. 17‑115. Eligibility for service retirement pension.
    (a) The Board shall find a contributor eligible for service retirement pension when he has:
        (1) Left the employment of an Employer after
     completing 5 or more years of service.
        (2) Contributed to the Fund the total sums provided
     in this Article.
        (3) Contributed as a member of the teaching force in
     the public schools of the City or to the State Universities Retirement System or to the Teachers' Retirement System of the State of Illinois during the last 5 years of his term of service.
        (4) Filed a written application for pension.
    (b) In computing the years of service for which annuity is granted, the following conditions shall apply:
        (1) No more than 10 years of teaching service in
     public schools of the several states or in schools operated by or under the auspices of the United States shall be allowed. This maximum shall be reduced by the service credit which is validated under paragraph (i) of Section 15‑113 and paragraph (3) of Section 16‑127 of this Code. Three‑fifths of the term of service for which an annuity is granted shall have been rendered in the public schools of the city. No portion of any such service shall be included in the total period of service for which a pension is payable or paid by some other public retirement system; provided that this shall not apply to any benefit payable only after the teacher's death or to any compensation or annuity paid by an employer after retirement from active service.
        (2) Up to 5 years of military active service, if
     preceded by service as a teacher under this Fund or under Article 16, shall be included in the total period of service even though it can otherwise be used in the computation of a pension or other benefit provided for service in any branch of the armed forces of the United States.
(Source: P.A. 90‑32, eff. 6‑27‑97; 90‑566, eff. 1‑2‑98.)

    (40 ILCS 5/17‑116) (from Ch. 108 1/2, par. 17‑116)
    Sec. 17‑116. Service retirement pension.
    (a) Each teacher having 20 years of service upon attainment of age 55, or who thereafter attains age 55 shall be entitled to a service retirement pension upon or after attainment of age 55; and each teacher in service on or after July 1, 1971, with 5 or more but less than 20 years of service shall be entitled to receive a service retirement pension upon or after attainment of age 62.
    (b) The service retirement pension for a teacher who retires on or after June 25, 1971, at age 60 or over, shall be calculated as follows:
        (1) For creditable service earned before July 1,
     1998 that has not been augmented under Section 17‑119.1: 1.67% for each of the first 10 years of service; 1.90% for each of the next 10 years of service; 2.10% for each year of service in excess of 20 but not exceeding 30; and 2.30% for each year of service in excess of 30, based upon average salary as herein defined.
        (2) For creditable service earned on or after July
     1, 1998 by a member who has at least 30 years of creditable service on July 1, 1998 and who does not elect to augment service under Section 17‑119.1: 2.3% of average salary for each year of creditable service earned on or after July 1, 1998.
        (3) For all other creditable service: 2.2% of
     average salary for each year of creditable service.
    (c) When computing such service retirement pensions, the following conditions shall apply:
        1. Average salary shall consist of the average
     annual rate of salary for the 4 consecutive years of validated service within the last 10 years of service when such average annual rate was highest. In the determination of average salary for retirement allowance purposes, for members who commenced employment after August 31, 1979, that part of the salary for any year shall be excluded which exceeds the annual full‑time salary rate for the preceding year by more than 20%. In the case of a member who commenced employment before August 31, 1979 and who receives salary during any year after September 1, 1983 which exceeds the annual full time salary rate for the preceding year by more than 20%, an Employer and other employers of eligible contributors as defined in Section 17‑106 shall pay to the Fund an amount equal to the present value of the additional service retirement pension resulting from such excess salary. The present value of the additional service retirement pension shall be computed by the Board on the basis of actuarial tables adopted by the Board. If a member elects to receive a pension from this Fund provided by Section 20‑121, his salary under the State Universities Retirement System and the Teachers' Retirement System of the State of Illinois shall be considered in determining such average salary. Amounts paid after the effective date of this amendatory Act of 1991 for unused vacation time earned after that effective date shall not under any circumstances be included in the calculation of average salary or the annual rate of salary for the purposes of this Article.
        2. Proportionate credit shall be given for validated
     service of less than one year.
        3. For retirement at age 60 or over the pension
     shall be payable at the full rate.
        4. For separation from service below age 60 to a
     minimum age of 55, the pension shall be discounted at the rate of 1/2 of one per cent for each month that the age of the contributor is less than 60, but a teacher may elect to defer the effective date of pension in order to eliminate or reduce this discount. This discount shall not be applicable to any participant who has at least 34 years of service or a retirement pension of at least 74.6% of average salary on the date the retirement annuity begins.
        5. No additional pension shall be granted for
     service exceeding 45 years. Beginning June 26, 1971 no pension shall exceed the greater of $1,500 per month or 75% of average salary as herein defined.
        6. Service retirement pensions shall begin on the
     effective date of resignation, retirement, the day following the close of the payroll period for which service credit was validated, or the time the person resigning or retiring attains age 55, or on a date elected by the teacher, whichever shall be latest.
        7. A member who is eligible to receive a retirement
     pension of at least 74.6% of average salary and will attain age 55 on or before December 31 during the year which commences on July 1 shall be deemed to attain age 55 on the preceding June 1.
        8. A member retiring after the effective date of
     this amendatory Act of 1998 shall receive a pension equal to 75% of average salary if the member is qualified to receive a retirement pension equal to at least 74.6% of average salary under this Article or as proportional annuities under Article 20 of this Code.
(Source: P.A. 90‑566, eff. 1‑2‑98; 90‑582, eff. 5‑27‑98.)

    (40 ILCS 5/17‑116.1)(from Ch. 108 1/2, par. 17‑116.1)
    Sec. 17‑116.1. Early retirement without discount.
    (a) A member retiring after June 1, 1980 and before June 30, 1995 and within 6 months of the last day of teaching for which retirement contributions were required, may elect at the time of application to make a one time employee contribution to the system and thereby avoid the early retirement reduction in allowance specified in paragraph (4) of Section 17‑116 of this Article. The exercise of the election shall obligate the last Employer to also make a one time non‑refundable contribution to the Fund.
    (b) Subject to authorization by the Employer as provided in subsection (c), a member retiring on or after June 30, 1995 and on or before June 30, 2010 and within 6 months of the last day of teaching for which retirement contributions were required may elect at the time of application to make a one‑time employee contribution to the Fund and thereby avoid the early retirement reduction in allowance specified in paragraph (4) of Section 17‑116. The exercise of the election shall obligate the last Employer to also make a one‑time nonrefundable contribution to the Fund.
    (c) The benefits provided in subsection (b) are available only to members who retire, during a specified period, from employment with an Employer that has adopted and filed with the Board a resolution expressly providing for the creation of an early retirement without discount program under this Section for that period.
    The Employer has the full discretion and authority to determine whether an early retirement without discount program is in its best interest and to provide such a program to its eligible employees in accordance with this Section. The Employer may decide to authorize such a program for one or more of the following periods: for the period beginning July 1, 1997 and ending June 30, 1998, in which case the resolution must be adopted by January 1, 1998; for the period beginning July 1, 1998 and ending June 30, 1999, in which case the resolution must be adopted by March 31, 1998; for the period beginning July 1, 1999 and ending June 30, 2000, in which case the resolution must be adopted by March 31, 1999; for the period beginning July 1, 2000 and ending June 30, 2001, in which case the resolution must be adopted by March 31, 2000; for the period beginning July 1, 2001 and ending June 30, 2002, in which case the resolution must be adopted by March 31, 2001; for the period beginning July 1, 2002 and ending June 30, 2003, in which case the resolution must be adopted by March 31, 2002; for the period beginning July 1, 2003 and ending June 30, 2004, in which case the resolution must be adopted by March 31, 2003; for

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Statutes > Illinois > Chapter40 > 638 > 004000050HArt_17


      (40 ILCS 5/Art. 17 heading)
ARTICLE 17. PUBLIC SCHOOL TEACHERS' PENSION AND RETIREMENT FUND‑‑CITIES OF
OVER 500,000 INHABITANTS

    (40 ILCS 5/17‑101) (from Ch. 108 1/2, par. 17‑101)
    Sec. 17‑101. Creation of fund.
    In each city with a population over 500,000, there is created a Public School Teachers' Pension and Retirement Fund to be maintained and administered in the manner prescribed in this Article and to be known as the Public School Teachers' Pension and Retirement Fund of ....(city).
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑102) (from Ch. 108 1/2, par. 17‑102)
    Sec. 17‑102. Terms defined.
    The terms used in this Article shall have the meanings ascribed to them in Sections 17‑‑103 to 17‑‑113, inclusive, except when the context otherwise requires.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑103) (from Ch. 108 1/2, par. 17‑103)
    Sec. 17‑103. Actuarial equivalent.
    "Actuarial equivalent": A pension equal to the value of another sum or pension when computed according to the actuarial tables and rate of interest in use by the board.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑104) (from Ch. 108 1/2, par. 17‑104)
    Sec. 17‑104. Board.
    "Board": Board of Trustees of the Public School Teachers' Pension and Retirement Fund of ....(city) as created in this Article.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑105) (from Ch. 108 1/2, par. 17‑105)
    Sec. 17‑105. Board of Education.
    "Board of Education": The Board of Education in a city in which the fund provided by this Article is maintained and operated.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑105.1)
    Sec. 17‑105.1. Employer. "Employer": The Board of Education and a charter school as defined under the provisions of Section 27a‑5 of the School Code.
(Source: P.A. 90‑566, eff. 1‑2‑98.)

    (40 ILCS 5/17‑106) (from Ch. 108 1/2, par. 17‑106)
    Sec. 17‑106. Contributor, member or teacher. "Contributor", "member" or "teacher": All members of the teaching force of the city, including principals, assistant principals, the general superintendent of schools, deputy superintendents of schools, associate superintendents of schools, assistant and district superintendents of schools, members of the Board of Examiners, all other persons whose employment requires a teaching certificate issued under the laws governing the certification of teachers, any educational, administrative, professional, or other staff employed in a charter school operating in compliance with the Charter Schools Law who is certified under the law governing the certification of teachers, and employees of the Board, but excluding persons contributing concurrently to any other public employee pension system in Illinois for the same employment or receiving retirement pensions under another Article of this Code for that same employment, persons employed on an hourly basis, and persons receiving pensions from the Fund who are employed temporarily by an Employer and not on an annual basis.
    In the case of a person who has been making contributions and otherwise participating in this Fund prior to the effective date of this amendatory Act of the 91st General Assembly, and whose right to participate in the Fund is established or confirmed by this amendatory Act, such prior participation in the Fund, including all contributions previously made and service credits previously earned by the person, are hereby validated.
    The changes made to this Section and Section 17‑149 by this amendatory Act of the 92nd General Assembly apply without regard to whether the person was in service on or after the effective date of this amendatory Act, notwithstanding Sections 1‑103.1 and 17‑157.
(Source: P.A. 91‑887, eff. 7‑6‑00; 92‑416, eff. 8‑17‑01; 92‑599, eff. 6‑28‑02.)

    (40 ILCS 5/17‑106.1)
    Sec. 17‑106.1. Administrator. Administrator means a member who (i) is employed in a position that requires him or her to hold a Type 75 Certificate issued by the State Teacher Certification Board, (ii) is not on the Chicago teachers' or the Chicago charter school teachers' salary schedule, or (iii) is paid on an administrative payroll.
(Source: P.A. 94‑514, eff. 8‑10‑05; 94‑912, eff. 6‑23‑06.)

    (40 ILCS 5/17‑107) (from Ch. 108 1/2, par. 17‑107)
    Sec. 17‑107. Creditable service.
    "Creditable service": Service for which pension credits have not been validated concurrently with its rendition, but which may be validated for pension purposes upon compliance with the conditions prescribed in this Article.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑108) (from Ch. 108 1/2, par. 17‑108)
    Sec. 17‑108. Fiscal year and school year.
    "Fiscal year" and "school year": Beginning July 1, 1999, the period beginning on the 1st day of July of one calendar year and ending on the 30th day of June of the next calendar year. Each fiscal year and each school year shall be designated for convenience with the same number as the calendar year in which that fiscal year or school year ends. The fiscal year which begins September 1, 1998 shall end June 30, 1999.
(Source: P.A. 90‑548, eff. 12‑4‑97.)

    (40 ILCS 5/17‑109) (from Ch. 108 1/2, par. 17‑109)
    Sec. 17‑109. Fund.
    "Fund": The Public School Teachers' Pension and Retirement Fund of ....(city).
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑109.1) (from Ch. 108 1/2, par. 17‑109.1)
    Sec. 17‑109.1. Pension deferred.
    "Pension deferred": A pension of a sum determined on termination of service but payable upon the expiration of a fixed period of time, provided the person concerned is alive at such date. All such pensions shall be calculated in accordance with the laws in effect at the date of termination of service.
(Source: P.A. 83‑792.)

    (40 ILCS 5/17‑109.2) (from Ch. 108 1/2, par. 17‑109.2)
    Sec. 17‑109.2. Pension pending period.
    "Pension pending period": The time required to process all details attendant on the granting of a pension after (1) filing an application therefor and (2) official termination of service.
(Source: P.A. 83‑792.)

    (40 ILCS 5/17‑110) (from Ch. 108 1/2, par. 17‑110)
    Sec. 17‑110. Pension period.
    "Pension period": All time during which service is creditable for pension purposes pursuant to this Article.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑111) (from Ch. 108 1/2, par. 17‑111)
    Sec. 17‑111. Reversionary pension.
    "Reversionary pension": A pension computed on an actuarially equated basis and payable to a contributor's beneficiary designated under a prescribed option before retirement, commencing upon the death of the contributor after retirement on pension and continuing thereafter during the life of the beneficiary.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑111.1) (from Ch. 108 1/2, par. 17‑111.1)
    Sec. 17‑111.1. Gender.
    Whenever used in this Act, the masculine gender shall be understood to include the feminine gender.
(Source: P. A. 78‑1129.)

    (40 ILCS 5/17‑112) (from Ch. 108 1/2, par. 17‑112)
    Sec. 17‑112. Supplementary payment.
    "Supplementary payment": The payment from the retired teachers' supplementary payment fund necessary to increase a retired teacher's service or disability retirement pension to the amount provided in Section 17‑‑154.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑113) (from Ch. 108 1/2, par. 17‑113)
    Sec. 17‑113. Validated service.
    "Validated service": Service accredited for pension purposes under this Article.
(Source: Laws 1963, p. 161.)

    (40 ILCS 5/17‑114) (from Ch. 108 1/2, par. 17‑114)
    Sec. 17‑114. Computation of service. When computing validated service, 10 months or more shall constitute one year of service unless a lesser number of months is established as a school year by an Employer. Salary representing 5 days' or more employment paid in a semi‑monthly or bi‑weekly payroll period, whichever the case may be, shall be considered for the purpose of computing service credit and shall entitle a contributor to 1/2 month of service. When computing total service rendered, 3 to 10 days' employment in the final total of such service shall entitle a contributor to 1/2 month of service.
(Source: P.A. 90‑566, eff. 1‑2‑98.)

    (40 ILCS 5/17‑114.1) (from Ch. 108 1/2, par. 17‑114.1)
    Sec. 17‑114.1. (a) Any active member of the General Assembly Retirement System may apply for transfer of his credits and creditable service accumulated under this Fund to the General Assembly System. Such credits and creditable service shall be transferred forthwith. Payment by this Fund to the General Assembly Retirement System shall be made at the same time and shall consist of:
    (1) the amounts accumulated to the credit of the applicant, including interest, on the books of the Fund on the date of transfer, but excluding any additional or optional credits, which credits shall be refunded to the applicant; and
    (2) employer credits computed and credited under this Article including interest, on the books of the Fund on the date the member terminated service under the Fund. Participation in this Fund as to any credits transferred under this Section shall terminate on the date of transfer.
    (b) An active member of the General Assembly may reinstate service and service credits terminated upon receipt of a separation benefit, by payment to the Fund of the amount of the separation benefit plus interest thereon to the date of payment.
(Source: P.A. 81‑1128.)

    (40 ILCS 5/17‑114.2) (from Ch. 108 1/2, par. 17‑114.2)
    Sec. 17‑114.2. Transfer of creditable service to Article 8, 9 or 13 Fund.
    (a) Any city officer as defined in Section 8‑243.2 of this Code, any county officer elected by vote of the people who is a participant in the pension fund established under Article 9 of this Code, and any elected sanitary district commissioner who is a participant in a pension fund established under Article 13 of this Code, may apply for transfer of his credits and creditable service accumulated under this Fund to such Article 8, 9 or 13 fund. Such creditable service shall be transferred forthwith. Payment by this Fund to the Article 8, 9 or 13 fund shall be made at the same time and shall consist of:
        (1) the amounts accumulated to the credit of the
     applicant, including interest, on the books of the Fund on the date of transfer, but excluding any additional or optional credits, which credits shall be refunded to the applicant; and
        (2) employer contributions computed by the Board and
     credited to the applicant under this Article, including interest, on the books of the Fund on the date the applicant terminated service under the Fund.
    Participation in this Fund as to any credits transferred under this Section shall terminate on the date of transfer.
    (b) Any such elected city officer, county officer or sanitary district commissioner may reinstate credits and creditable service terminated upon receipt of a separation benefit, by payment to the Fund of the amount of the separation benefit plus interest thereon to the date of payment.
(Source: P.A. 85‑964; 86‑1488.)

    (40 ILCS 5/17‑114.3) (from Ch. 108 1/2, par. 17‑114.3)
    Sec. 17‑114.3. (a) Persons otherwise required or eligible to participate in the Fund who elect to continue participation in the General Assembly System under Section 2‑117.1 may not participate in the Fund for the duration of such continued participation under Section 2‑117.1.
    (b) Upon terminating such continued participation, a person may transfer credits and creditable service accumulated under Section 2‑117.1 to this Fund, upon payment to the Fund of the amount by which (1) the employer and employee contributions that would have been required if he had participated in this Fund during the period for which credit under Section 2‑117.1 is being transferred, plus interest thereon at 6% per annum compounded annually from the date of such participation to the date of payment, exceeds (2) the amounts actually transferred under that Section to the Fund.
(Source: P.A. 86‑272.)

    (40 ILCS 5/17‑115) (from Ch. 108 1/2, par. 17‑115)
    Sec. 17‑115. Eligibility for service retirement pension.
    (a) The Board shall find a contributor eligible for service retirement pension when he has:
        (1) Left the employment of an Employer after
     completing 5 or more years of service.
        (2) Contributed to the Fund the total sums provided
     in this Article.
        (3) Contributed as a member of the teaching force in
     the public schools of the City or to the State Universities Retirement System or to the Teachers' Retirement System of the State of Illinois during the last 5 years of his term of service.
        (4) Filed a written application for pension.
    (b) In computing the years of service for which annuity is granted, the following conditions shall apply:
        (1) No more than 10 years of teaching service in
     public schools of the several states or in schools operated by or under the auspices of the United States shall be allowed. This maximum shall be reduced by the service credit which is validated under paragraph (i) of Section 15‑113 and paragraph (3) of Section 16‑127 of this Code. Three‑fifths of the term of service for which an annuity is granted shall have been rendered in the public schools of the city. No portion of any such service shall be included in the total period of service for which a pension is payable or paid by some other public retirement system; provided that this shall not apply to any benefit payable only after the teacher's death or to any compensation or annuity paid by an employer after retirement from active service.
        (2) Up to 5 years of military active service, if
     preceded by service as a teacher under this Fund or under Article 16, shall be included in the total period of service even though it can otherwise be used in the computation of a pension or other benefit provided for service in any branch of the armed forces of the United States.
(Source: P.A. 90‑32, eff. 6‑27‑97; 90‑566, eff. 1‑2‑98.)

    (40 ILCS 5/17‑116) (from Ch. 108 1/2, par. 17‑116)
    Sec. 17‑116. Service retirement pension.
    (a) Each teacher having 20 years of service upon attainment of age 55, or who thereafter attains age 55 shall be entitled to a service retirement pension upon or after attainment of age 55; and each teacher in service on or after July 1, 1971, with 5 or more but less than 20 years of service shall be entitled to receive a service retirement pension upon or after attainment of age 62.
    (b) The service retirement pension for a teacher who retires on or after June 25, 1971, at age 60 or over, shall be calculated as follows:
        (1) For creditable service earned before July 1,
     1998 that has not been augmented under Section 17‑119.1: 1.67% for each of the first 10 years of service; 1.90% for each of the next 10 years of service; 2.10% for each year of service in excess of 20 but not exceeding 30; and 2.30% for each year of service in excess of 30, based upon average salary as herein defined.
        (2) For creditable service earned on or after July
     1, 1998 by a member who has at least 30 years of creditable service on July 1, 1998 and who does not elect to augment service under Section 17‑119.1: 2.3% of average salary for each year of creditable service earned on or after July 1, 1998.
        (3) For all other creditable service: 2.2% of
     average salary for each year of creditable service.
    (c) When computing such service retirement pensions, the following conditions shall apply:
        1. Average salary shall consist of the average
     annual rate of salary for the 4 consecutive years of validated service within the last 10 years of service when such average annual rate was highest. In the determination of average salary for retirement allowance purposes, for members who commenced employment after August 31, 1979, that part of the salary for any year shall be excluded which exceeds the annual full‑time salary rate for the preceding year by more than 20%. In the case of a member who commenced employment before August 31, 1979 and who receives salary during any year after September 1, 1983 which exceeds the annual full time salary rate for the preceding year by more than 20%, an Employer and other employers of eligible contributors as defined in Section 17‑106 shall pay to the Fund an amount equal to the present value of the additional service retirement pension resulting from such excess salary. The present value of the additional service retirement pension shall be computed by the Board on the basis of actuarial tables adopted by the Board. If a member elects to receive a pension from this Fund provided by Section 20‑121, his salary under the State Universities Retirement System and the Teachers' Retirement System of the State of Illinois shall be considered in determining such average salary. Amounts paid after the effective date of this amendatory Act of 1991 for unused vacation time earned after that effective date shall not under any circumstances be included in the calculation of average salary or the annual rate of salary for the purposes of this Article.
        2. Proportionate credit shall be given for validated
     service of less than one year.
        3. For retirement at age 60 or over the pension
     shall be payable at the full rate.
        4. For separation from service below age 60 to a
     minimum age of 55, the pension shall be discounted at the rate of 1/2 of one per cent for each month that the age of the contributor is less than 60, but a teacher may elect to defer the effective date of pension in order to eliminate or reduce this discount. This discount shall not be applicable to any participant who has at least 34 years of service or a retirement pension of at least 74.6% of average salary on the date the retirement annuity begins.
        5. No additional pension shall be granted for
     service exceeding 45 years. Beginning June 26, 1971 no pension shall exceed the greater of $1,500 per month or 75% of average salary as herein defined.
        6. Service retirement pensions shall begin on the
     effective date of resignation, retirement, the day following the close of the payroll period for which service credit was validated, or the time the person resigning or retiring attains age 55, or on a date elected by the teacher, whichever shall be latest.
        7. A member who is eligible to receive a retirement
     pension of at least 74.6% of average salary and will attain age 55 on or before December 31 during the year which commences on July 1 shall be deemed to attain age 55 on the preceding June 1.
        8. A member retiring after the effective date of
     this amendatory Act of 1998 shall receive a pension equal to 75% of average salary if the member is qualified to receive a retirement pension equal to at least 74.6% of average salary under this Article or as proportional annuities under Article 20 of this Code.
(Source: P.A. 90‑566, eff. 1‑2‑98; 90‑582, eff. 5‑27‑98.)

    (40 ILCS 5/17‑116.1)(from Ch. 108 1/2, par. 17‑116.1)
    Sec. 17‑116.1. Early retirement without discount.
    (a) A member retiring after June 1, 1980 and before June 30, 1995 and within 6 months of the last day of teaching for which retirement contributions were required, may elect at the time of application to make a one time employee contribution to the system and thereby avoid the early retirement reduction in allowance specified in paragraph (4) of Section 17‑116 of this Article. The exercise of the election shall obligate the last Employer to also make a one time non‑refundable contribution to the Fund.
    (b) Subject to authorization by the Employer as provided in subsection (c), a member retiring on or after June 30, 1995 and on or before June 30, 2010 and within 6 months of the last day of teaching for which retirement contributions were required may elect at the time of application to make a one‑time employee contribution to the Fund and thereby avoid the early retirement reduction in allowance specified in paragraph (4) of Section 17‑116. The exercise of the election shall obligate the last Employer to also make a one‑time nonrefundable contribution to the Fund.
    (c) The benefits provided in subsection (b) are available only to members who retire, during a specified period, from employment with an Employer that has adopted and filed with the Board a resolution expressly providing for the creation of an early retirement without discount program under this Section for that period.
    The Employer has the full discretion and authority to determine whether an early retirement without discount program is in its best interest and to provide such a program to its eligible employees in accordance with this Section. The Employer may decide to authorize such a program for one or more of the following periods: for the period beginning July 1, 1997 and ending June 30, 1998, in which case the resolution must be adopted by January 1, 1998; for the period beginning July 1, 1998 and ending June 30, 1999, in which case the resolution must be adopted by March 31, 1998; for the period beginning July 1, 1999 and ending June 30, 2000, in which case the resolution must be adopted by March 31, 1999; for the period beginning July 1, 2000 and ending June 30, 2001, in which case the resolution must be adopted by March 31, 2000; for the period beginning July 1, 2001 and ending June 30, 2002, in which case the resolution must be adopted by March 31, 2001; for the period beginning July 1, 2002 and ending June 30, 2003, in which case the resolution must be adopted by March 31, 2002; for the period beginning July 1, 2003 and ending June 30, 2004, in which case the resolution must be adopted by March 31, 2003; for

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