In many ways, the 2011 legislative session ended the same way it began - at least with regard to pensions. The General Assembly has adjourned without voting on the major pension bill SB 512, just as the spring session ended without a vote on the same bill.

Lawmakers return to Springfield on Nov. 29 for a special session unrelated to pensions but pensions are expected to be a major topic again when the spring 2012 legislative session gets underway in January. While there are many questions as to the motives of SB 512's supporters, what is not in question is the willingness of IEA members to respond when asked to engage their elected officials. In concert with our labor partners, IEA members put up some astonishing numbers.

• The labor coalition's "We Are One" Illinois hotline connected more than 7,000 calls to lawmakers this week. On Tuesday alone, nearly 5,000 calls were made via this system.

• Since the veto session started more than 27,700 emails were sent to lawmakers through the IEA website;

• On Tuesday we had 25,553 page views on the IEA website; the most we have ever had was 28,452 last May 26.

During this veto session, there was legislative action on pensions in the form of HB 3813 and HB 3815. These bills will have a lasting impact on public employees (see below). IEA supports HB 3815, which is constitutional. But on the larger question of a constitutional solution that addresses the pension systems' unfunded liability and provides for the long-term stability of the pension systems, a debate will continue into 2012. We will need to be thoughtful and creative as we work with our labor partners and the members of the General Assembly to craft a proposal that we can bring forth. We face dire circumstances if we leave it to the General Assembly and outside interest groups to craft a bill that impacts our members.

As we move into 2012, we ask that you be ready to respond to our "Calls to Action" and ready to engage your legislators in conversations about the need for a constitutional solution. The stakes continue to rise and 2012 will be a pivotal year for pensions here in Illinois. We want to be fully engaged in your local school districts and here in Springfield.

Thanks for your support...and your passion.

Pension Bills that Moved this Week

HB 3813 (Senator Raoul, D-Chicago/Representative Cross, R-Oswego) passed the House 111-3 and passed the Senate 50-0. The bill has been amended in the Senate and would now prohibit future officers and employees of labor organizations from participating in numerous retirement systems. Certain participants in TRS and SURS were included in the legislation. To be specific to TRS and SURS, this legislation will prohibit future officers or employees of a statewide teacher organization, even if they are currently participating in TRS or SURS (IEA and IFT), from having that service used in the calculation of his/her annuity. The IEA opposed this legislation since it still runs afoul of our interpretation of the Illinois Constitution. No IEA employees participate in TRS or SURS. The legislation now goes back to the House for concurrence.

HB 3815 (Senator Raoul, D-Chicago/Representative May, D-Highland Park) is an additional piece of legislation that is meant to deal with union officials participating in public retirement plans. The legislation passed the House 113-2 and passed the Senate 37-11. This legislation will prohibit participants that begin participation in TRS and SURS after the effective date of the bill being signed into law from having their service as an officer or employee of a statewide teacher organization included in their pension calculation. This legislation was supported by the IEA because it is constitutional. The legislation must receive a second House vote, since it was amended in the Senate.

Regional Offices of Education (ROE) funding

SB 2147 (Senator Sullivan, D-Rushville/Representative Mautino, D-Spring Valley) passed the House 74-36 and passed the Senate 38-16. This legislation was passed to fund the ROEs for the current fiscal year only, by using the Corporate Personal Property Replacement Tax (CPPRT). Revenues from that tax normally go to local governments for their use. For decades, the ROEs have been paid by a state appropriation. However, this year the governor eliminated that appropriation and the legislature determined that the ROEs would now be funded through a portion of the CPPRT for the current fiscal year. The amount transferred to fund the ROEs is an estimated $13 million. The legislation also creates a commission to determine the future of the ROEs throughout the state. There is a deadline of Aug. 1, 2012, for the commission to file its report. However, there is a push to ensure that the commission reports its findings before the end of the current fiscal year (June 30, 2012). The legislation now goes to the governor.

Property Tax Extension Limitation Law (PTELL)

HB 3793 (Franks, D-Woodstock) would have had a major negative impact on school districts under the jurisdiction of the PTELL, more commonly known as tax caps. The legislation would have required school districts in a tax-capped county to lose a significant amount of revenue if the Equalized Assessed Valuation (EAV) was less than the EAV for the previous year. Currently, districts in tax-capped counties can increase local revenue by the amount of the Consumer Price Index (CPI) or 5%, whichever amount is less. HB 3793 would have taken away a district's ability to increase local revenue to keep pace with inflation (CPI) by only allowing a 0% increase in cases where EAV is down from one year to the next.

The IEA opposed the bill and it only received 34 "yes" votes in the Illinois House of Representatives. The required number of votes for passage is 71 in the House.

School Report Card

HB 605 (Lightford, D-Maywood/Chapa LaVia, D-Aurora) passed the Senate unanimously this week. This bill requires that the State Board of Education prepare a new report card for every district and school by Oct. 31 of 2013, and update the cards yearly thereafter.

The new cards would include detailed demographic data on the following:

• students; gender, race and subgroup information now required

• mobility rates

• curriculum data

• percentage of students graduating

• teacher attendance

The bill was unanimously supported by the education stakeholders representing labor, management, parent groups and the State Board of Education. As reported last week, this bill passed the House and will now be sent to the Governor for his signature.

School Waivers

The House and Senate passed House Joint Resolution 44 (Chapa LaVia, D-Aurora/Lightford,D - Maywood) in response to requests made by school districts identified in the October report filed by the State Board of Education. HJR 44 outlines the waivers that will be disapproved, approved in part, or withdrawn from the following school districts; Stockton CUSD #206, Ridgewood High School District 234, Keeneyville Elementary School District 20, and Rockford Public School District 205.

What's Next