Proposed bill to suspend pension payments while drawing a salary

Excerpts from NorthwestHerald.com:

A new bill has passed the Illinois House that aims to stop retired public safety workers from holding full-time government jobs while still receiving their pensions. The legislation, known as House Bill 1334, was introduced by Rep. Jack Franks, a Democrat from Marengo.

The bill would freeze pension payments for police officers and firefighters who take on full-time roles in other local or state government positions that also offer pensions. Franks argues that it’s unfair for taxpayers to cover two salaries when someone is already being paid through retirement benefits.

Under the proposed law, the pension would resume once the individual leaves the post-retirement job. “This is an unfair system. Retirement should mean retirement,” Franks said. “My bill ensures that.”

The bill passed with a strong vote of 105 to 2 and is now moving to the Senate. If signed into law, it will take effect next year.

Franks introduced the bill after several high-profile cases where retired police officials were able to collect both a salary and a pension. These situations have raised concerns about the growing burden on public pension funds across the state.

One example involved Jim Wales, the former Police Chief of Lake in the Hills. After retiring in 2004, he was given a civilian position as director of public safety, allowing him to receive both a salary and his pension. He eventually left that role in 2014.

Another case involved Jeff Lawler, the former Barrington Police Chief, who took a 6% pay raise upon retiring and was later hired as village manager. In 2013, he received a $109,108 pension, while earning $147,212 as a village administrator. Barrington later joined a coalition pushing for pension reform.

Similar instances have been reported in cities like Danville, Chicago Heights, Hinsdale, and Franklin Park. While the bill specifically targets public safety workers, the practice exists in other areas of government too.

In Rockford, the Park District initially planned to hire Tim Dimke, the outgoing executive director, as a consultant after his retirement. However, the Illinois Municipal Retirement Fund denied his pension request, stating he wasn’t truly retiring. Dimke ultimately decided to stay in his role.

Thanks, Dan

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