IASB Legislative Report 103-39

Delivered via email: November 15, 2024
 

The First Week of Veto Session

This week kicked off the first week of the Illinois General Assembly's Fall Veto Session (November 12-14 and November 19-21). The main purpose of a veto session is for lawmakers to override or accept the Governor’s vetoes. However, given that legislators may continue work on existing legislation or introduce new issues, the IASB Governmental Relations staff has been monitoring bills closely this week.

With this year’s Veto Session taking place the week after the state and federal elections, lawmakers returned to Springfield for leadership meetings and to caucus with their respective parties, but no major action was taken. Instead, much of the work focused on planning for the second week of the Veto Session, as well as the Lame Duck Session, which will occur in early January. At this time, the Governmental Relations team does not anticipate any major action next week as it relates to K-12 education, but legislators could take up more substantive issues during Lame Duck.

Even though the committee schedule for the week was light, the Governmental Relations team was at the Capitol both days of session, meeting with members and staff. The Senate Executive Committee held a Subject Matter Hearing on additional benefits that would be required by health insurance plans. Both the House and Senate adjourned on Wednesday, November 13 and will be back Tuesday, November 19.
 

Pension Reform Discussions Ramp Up

The We Are One Coalition, a coalition of labor unions, held a rally on Wednesday at the Capitol in support of two pension bills that were introduced this week by Senator Robert Martwick and Representative Stephanie Kifowit. While we do not expect action on these two bills next week, it is important to note that this is the first major Tier 2 pension reform bill that the Senate and House have introduced together. This conversation has been elevated over the past year with Representative Kifowit’s introduction of numerous pension reform bills and the House Pension Committee holding over a dozen subject matter hearings on this issue. More importantly, these two bills set the stage to continue talks into Lame Duck and possibly Spring Session.

HB5909/SB3988 (Kifowit/Martwick) Tier 2 Pension Benefits
The legislation was filed in both the Illinois House and Senate on Tuesday to address Tier 2 pensions. These bills would bring two issues back in line with Tier 1 benefits:
  • The final average salary pension calculation would return to four years (currently eight years); and
  • Align retirement ages back to Tier 1 levels.
The proposal differs from the current Tier 1 system in that retirement annual increases would be calculated at 3% simple interest (Tier 1 currently uses 3% compounded interest); and it would adjust the pension earnings limitation to match the Social Security Wage Base (currently, the Tier 1 earnings limitation is significantly higher than the Social Security Wage Base). The earning limitations proposal would address the federal “safe harbor” problem and ensure Tier 2 pensions are equal to or greater than what an employee would otherwise receive under Social Security.

Again, these are the current proposals to address Tier 2, and we anticipate negotiations to occur on these proposals over the next month. With an anticipated $3 billion deficit to the FY26 budget, how to pay for the proposed pension changes will be a key issue debated.


Other Bills Filed

Several bills were introduced this week to begin conversations on issues of importance to legislators in preparation for Spring Session. Some of those issues include school bus safety belts (SB2984 and SB3985, Senator Julie Morrison), suicide awareness and mental health (HB4353, Representative Tom Weber), and insurance coverage (SB3972, Senator Willie Preston). These bills are unlikely to move during the Veto Session. Rather, they were introduced to start a broader conversation around issues of importance to legislators. IASB will be meeting with legislators in the coming weeks to get a better understanding of their concerns.
 

IASB Delegate Assembly

The IASB Delegate Assembly will take place on Saturday, November 23, at 10:30 a.m. as part of the Joint Annual Conference in Chicago. Delegates do not have to be registered for the Conference to take part in the Delegate Assembly. Any district that has not yet named a delegate for this year’s assembly is encouraged to review the 2024 Resolutions Committee Report and register a board member as a delegate. Roster managers for IASB member districts can register delegates online. Online registration of delegates closes at 4:30 p.m. on Thursday, November 21. After that, onsite registration will be available for limited hours on Friday and Saturday morning of Conference, however IASB highly encourages online registration.

A webinar is available online which offers a preview of what members can expect at the Delegate Assembly. Registered delegates, as well as interested board members, are encouraged to view the video on the IASB website in the Advocacy tab.
 

Brewing Advocacy in You: A Blend of Passion and Purpose

Join the IASB Governmental Relations team on Sunday, November 24 at 8:30 a.m. at the Hyatt East Grand A, Ballroom Level, for the Coffee & Conversation session Brewing Advocacy in You: A Blend of Passion and Purpose at the Joint Annual Conference. This informative session will include a recap of Fall Veto Session, a preview of the upcoming Lame Duck and 2025 Spring Session, as well as a discussion of legislative priorities.

We will also share information about the Advocacy Ambassadors Program, including how you can get involved and make a difference in state and federal advocacy efforts. We hope to see you there!