40 ILCS 5/6-165
2021 Illinois Compiled Statutes|Chapter 40 - PENSIONS|40 ILCS 5/ - Illinois Pension Code.|Article 6 - Firemen's Annuity And Benefit Fund--Cities Over 500,000

   (from Ch. 108 1/2, par. 6-165)Sec. 6-165. Financing; tax.(a) Except as expressly provided in this  Section, each city shall levy a tax annually upon all  taxable property therein for the purpose of providing revenue for the  fund.  For the years prior to the year 1960, the tax rate shall be as  provided for in the "Firemen's Annuity and Benefit Fund of the Illinois  Municipal Code".  The tax, from and after January 1, 1968 to and  including the year 1971, shall not exceed .0863% of the value, as  equalized or assessed by the Department of Revenue, of  all taxable property in the city.  Beginning with the year 1972 and through 2014, the city shall levy a tax annually at a rate on the  dollar of the value, as equalized or assessed by the Department of Revenue  of all taxable property within such city that will  produce, when extended, not to exceed an amount equal to the total  amount of contributions by the employees to the fund made in the  calendar year 2 years prior to the year for which the annual applicable  tax is levied, multiplied by 2.23 through the calendar year 1981, and by  2.26 for the year 1982 and for each tax levy year through 2014. Beginning in tax levy year 2015, the city council shall levy a tax annually at a rate on the dollar of the assessed valuation of all taxable property that will produce when extended an annual amount that is equal to no less than the amount of the city's contribution in each of the following payment years: for 2016, $199,000,000; for 2017, $208,000,000; for 2018, $227,000,000; for 2019, $235,000,000; for 2020, $245,000,000.Beginning in tax levy year 2020, the city council shall levy a tax annually at a rate on the dollar of the assessed valuation of all taxable property that will produce when extended an annual amount that is equal to no less than (1) the normal cost to the Fund, plus (2) an annual amount sufficient to bring the total assets of the Fund up to 90% of the total actuarial liabilities of the Fund by the end of fiscal year 2055, as annually updated and determined by an enrolled actuary employed by the Illinois Department of Insurance or by an enrolled actuary retained by the Fund or the city. In making these determinations, the required minimum employer contribution shall be calculated each year as a level percentage of payroll over the years remaining up to and including fiscal year 2055 and shall be determined under the entry age normal actuarial cost method. Beginning in payment year 2056, the city's required contribution in that year and for each year thereafter shall be an annual amount that is equal to no less than (1) the normal cost to the Fund, plus (2) the annual amount determined by an enrolled actuary employed by the Illinois Department of Insurance or by an enrolled actuary retained by the Fund to be equal to the amount, if any, needed to bring the total actuarial assets of the Fund up to 90% of the total actuarial liabilities of the Fund as of the end of the year, utilizing the entry age normal actuarial cost method as provided above.To provide revenue for the ordinary death benefit established by  Section 6-150 of this Article, in addition to the contributions by the firemen  for this purpose, the city council shall for the  year 1962 and each year thereafter annually levy a tax, which shall be  in addition to and exclusive of the taxes authorized to be levied under  the foregoing provisions of this Section, upon all taxable property in  the city, as equalized or assessed by the Department of Revenue, at such  rate per cent of the value of such property as shall be  sufficient to produce for each year the sum of $142,000.The amounts produced by the taxes levied annually, together with the  deposit expressly authorized in this Section, shall be  sufficient, when added to the amounts deducted from the salaries of  firemen and applied to the fund, to provide for the purposes of the  fund.(a-5) For purposes of determining the required employer contribution to the Fund, the value of the Fund's assets shall be equal to the actuarial value of the Fund's assets, which shall be calculated as follows:(1) On March 30, 2011, the actuarial value of the     Fund's assets shall be equal to the market value of the assets as of that date.(2) In determining the actuarial value of the Fund's     assets for fiscal years after March 30, 2011, any actuarial gains or losses from investment return incurred in a fiscal year shall be recognized in equal annual amounts over the 5-year period following that fiscal year.(a-7) If the city fails to transmit to the Fund contributions required of it under this Article for more than 90 days after the payment of those contributions is due, the Fund shall, after giving notice to the city, certify to the State Comptroller the amounts of the delinquent payments, and the Comptroller must, beginning in fiscal year 2016, deduct  and deposit into the Fund the certified amounts  or a portion of those amounts from the following proportions of grants of State funds to the city:(1) in fiscal year 2016, one-third of the total     amount of any grants of State funds to the city;(2) in fiscal year 2017, two-thirds of the total     amount of any grants of State funds to the city; and(3) in fiscal year 2018 and each  fiscal year     thereafter, the total amount of any grants of State funds to the city.The State Comptroller may not deduct from any grants of State funds to the city more than the amount of delinquent payments certified to the State Comptroller by the Fund.(b) The taxes shall be levied and collected in like manner with the  general taxes of the city, and shall be in addition to all other taxes  which the city may levy upon all taxable property therein and shall be  exclusive of and in addition to the amount of tax the city may levy for  general purposes under Section 8-3-1 of the Illinois Municipal Code,  approved May 29, 1961, as amended, or under any other law or laws which  may limit the amount of tax which the city may levy for general  purposes.(c) The amounts of the taxes to be levied in each year shall be  certified to the city council by the board.(d) As soon as any revenue derived from such taxes is collected, it  shall be paid to the city treasurer and held for the benefit of the fund, and  all such revenue shall be paid into the fund in accordance with the  provisions of this Article.(e) If the funds available are insufficient during any year to  meet the requirements of this Article, the city may issue tax anticipation  warrants, against the tax levies herein authorized for the current  fiscal year.(f) The various sums, hereinafter stated, including interest, to be  contributed by the city, shall be taken from the revenue derived from the taxes  or otherwise as expressly provided in this Section.  Except for defraying the  cost of administration of the fund during the calendar year in which a city  first attains a population of 500,000 and comes under the provisions of this  Article and the first calendar year thereafter, any money of the city derived  from any source other than these taxes or the sale of tax anticipation warrants  shall not be used to provide revenue for the fund, nor to pay any part of the  cost of administration thereof, unless applied to make the deposit expressly  authorized in this Section  or the additional city contributions required under subsection (h).(g) In lieu of levying all or a portion of the tax required under this  Section in any year, the city may deposit with the city treasurer no later than  March 1 of that year for the benefit of the fund, to be held in accordance with  this Article, an amount that, together with the taxes levied under this Section  for that year, is not less than the amount of the city contributions for that  year as certified by the board to the city council.  The deposit may be derived  from any source legally available for that purpose, including, but not limited  to, the proceeds of city borrowings.  The making of a deposit shall satisfy  fully the requirements of this Section for that year to the extent of the  amounts so deposited.  Amounts deposited under this subsection may be used  by the fund for any of the purposes for which the proceeds of the taxes levied  under this Section may be used, including the payment of any amount that is  otherwise required by this Article to be paid from the proceeds of those  taxes.(h) In addition to the contributions required under the other provisions  of this Article, by November 1 of the following specified years, the city shall  deposit with the city treasurer for the benefit of the fund, to be held and  used in accordance with this Article, the following specified amounts:  $6,300,000 in 1999;  $5,880,000 in 2000;  $5,460,000 in 2001;  $5,040,000 in 2002; and  $4,620,000 in 2003.The additional city contributions required under this subsection are  intended to decrease the unfunded liability of the fund and shall not decrease  the amount of the city contributions required under the other provisions of  this Article.  The additional city contributions made under this subsection  may be used by the fund for any of its lawful purposes.(i) Any proceeds received by the city in relation to the operation of a casino or casinos within the city shall be expended by the city for payment to the Firemen's Annuity and Benefit Fund of Chicago to satisfy the city contribution obligation in any year. (Source: P.A. 99-506, eff. 5-30-16.)