SB3614 Summary

• Lowers the age threshold for Tier 2 monthly retirement annuity increases from age 60 to age 55 for Chicago police officers and firefighters hired on or after specific dates.

• Changes annual annuity increases for Tier 2 retirees from a variable rate (3% or half of consumer price index-u, whichever is less) to a fixed 3% of the originally granted retirement annuity.

• Eliminates the annuity reduction factor for police officers and firefighters retiring after age 50 with 20 or more years of creditable service under Tier 2.

• Allows retired officers and firefighters with 10 or more years but less than 20 years of service who reach age 50 to qualify for Tier 2 monthly retirement annuities without early retirement reductions.

• Exempts implementation of the bill from State Mandates Act reimbursement requirements.