IL SB1629

Modifies the "final average salary" calculation for Tier 2 firefighters to use the greater of either the highest 96 consecutive months within the last 120 months of service or the highest 48 consecutive months within the last 60 months of service.

Establishes salary cap for Tier 2 firefighters at $106,800 beginning January 1, 2011, with annual increases limited to the lesser of 3% or one-half the annual consumer price index increase.

Provides Tier 2 surviving spouse annuity benefits ranging from 30% to 66 2/3% of the firefighter's salary or earned pension depending on service length and circumstances of death, with a minimum floor equal to the minimum widow's annuity under Section 6-128.4.

Adds cost-of-living adjustments to Tier 2 surviving spouse annuities beginning on January 1 following either the recipient's 60th birthday or the first anniversary of the annuity, whichever is later, at the lesser of 3% or one-half the consumer price index increase.

Exempts the state from reimbursing local governments for mandates created by this amendment under the State Mandates Act.